Morning Briefing - January 07, 2020
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January 07, 2020

UCOR Lands 97% of Potential Fee for Last 6 Months of Fiscal 2019 at Oak Ridge

By ExchangeMonitor

The AECOM-Jacobs joint venture in charge of decontamination and decommissioning at the Energy Department’s Oak Ridge Site in Tennessee earned about 97% of its potential fee for its cleanup work in the last half of fiscal 2019.

URS/CH2M Hill Oak Ridge (UCOR) won almost $20.4 million out of a potential $21 million for the period from April 1, 2019 through Sept. 30, 2019.

That includes almost $14.5 million or 100% of its objective performance-based incentive fee in addition to $5.88 million out of a potential $6.56 million for the subjective criteria fee as assessed by DOE.

The subjective fee evaluation was noted in a Dec. 23 letter from the Energy Department to UCOR President and Project Manager Ken Rueter.

The vendor in charge of environmental work that includes tearing down old structures and disposing of waste at the East Tennessee Technology Park, where decades of uranium enrichment took place, earned more than $2.9 million or 81% of its potential $3.6 million in project management fee. It also won with 100% of its $2.95 million cost and schedule incentive fee.

The subjective award fee is explained in the letter from Jay Mullis, the manager of the DOE Oak Ridge Office of Environmental Management.

Previously, UCOR earned 95% or $12.5 million for its work from Oct. 1, 2018 to March 31, 2019. The vendor is winding down its environmental work on a $3.2 billion contract that it began in 2011. Barring an extension, the agreement will expire this July.

The Energy Department said in July 2019 that it planned to issue a draft request for proposals (RFP) on a new Oak Ridge remediation contract, focusing more of work at the Oak Ridge National Laboratory as well as the Y-12 National Security Complex within 60 days. But that draft has yet to be issued.

In its latest scorecard, the Energy Department praised UCOR for its support of a subcontractor’s construction of the Mercury Treatment Facility, which will be important as more mercury-laden buildings are taken down at Oak Ridge.

The article was modified Jan. 7 to correct figures. 

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