March 17, 2014

AFTER FIRING WSI, B&W Y-12 TO BEGIN ABSORBING PRO FORCE WORK TODAY

By ExchangeMonitor

B&W Y-12 has fired protective force contractor WSI-Oak Ridge and will begin transitioning security activities at the site today, the company said in a statement released late Friday evening. Earlier Friday, the NNSA asked B&W Y-12 to terminate WSI’s contract due to continuing concerns about the contractor’s response to a July 28 security breach at Y-12. In a letter to B&W Y-12 President and General Manager Chuck Spencer, NNSA Contracting Officer Jill Albaugh said corrective actions undertaken by WSI-Oak Ridge and B&W Y-12 since the incident have not completely addressed issues outlined in an Aug. 10 “show cause” notice issued to B&W Y-12 and continued to remind the contractors that the impact of the security breach could be felt in future procurements. The NNSA assigned WSI-Oak Ridge’s contract to B&W Y-12 following the incident and issued its own “cure” notice to the contractor in late August. “While we recognize that both B&W Y-12 and WSI-OR have undertaken corrective actions, neither these actions nor the response to the Show Cause Notice are enough, at this point, to fully resolve the issues presented in the Show Cause Notice,” Albaugh wrote. “Therefore, we intend to present additional questions and concerns to which we will expect prompt and complete answers. We will also continue to carefully monitor ongoing corrective actions and performance. We also remind you that past performance will play an important role in upcoming procurement actions.”

B&W Y-12 said that all active Y-12 guards and other active union WSI-Oak Ridge employees at Y-12 and Oak Ridge’s Central Training Facility will be offered jobs with B&W Y-12 at their current wages and benefits. It will also evaluate non-union WSI-Oak Ridge employees, including those in supervisory and support roles. “B&W Y-12 fully supports NNSA’s recommendation in this matter and will work diligently to further enhance the security at Y-12 and make the transition for former WSI Oak Ridge employees as seamless as possible,” Spencer said in a statement. “We recognize that our focus on safety and security at Y-12 cannot be compromised, and we remain committed to continuing to drive improvements in both areas.” WSI-Oak Ridge declined to comment on the decision.

Rep. Michael Turner (R-Ohio), the chairman of the House Armed Services Strategic Forces Subcommittee and the author of a recently introduced bill that would have the military provide security at NNSA sites, welcomed the decision to fire WSI-Oak Ridge, but said more changes need to be made. “I believe any reasonable person would expect this contract to be terminated given the egregious nature of the security violations,” Turner said in a statement to NW&M Monitor. “There has been no accountability at the federal level. Much more needs to be done to change the systemic culture of mismanagement and excuses that continues to pervade at this NNSA facility and others.” Rep. Chuck Fleischmann (R-Tenn.), whose district includes Y-12, was less pointed in his response to the firing. “As I told a group of community leaders in Oak Ridge this morning, there have been and will continue to be difficult times as a result of the security incident at Y-12,” he said in a statement. “But I am encouraged by the recent reviews of safeguards and security conducted in the past few weeks at Y-12. While the July incursion was unacceptable, DOE and NNSA must now focus on solutions and move forward with the important national security work at Y-12.”

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