Below is Nuclear Security & Deterrence Monitor’s annual digest of the National Nuclear Security Administration’s (NNSA) performance evaluation summaries: the agency’s report cards for its big contracts, which explain how much management and operations entities earned for their performance.
The Monitor has provided links to NNSA source documents.
Kansas City National Security Campus, Kansas City, Mo. Honeywell Federal Manufacturing & Technology.
- Total fee earned for fiscal 2022: $62.7 million of a possible $66.9 million, including $21.4 million worth of fixed fees.
- Total award fee earned: $41.3 million/90.9% of available $45.4 million.
- Adjectival: Excellent: “exceeding almost all of the Objectives and Key Outcomes and generally meeting the overall cost, schedule and technical performance requirements with accomplishments that significantly outweigh issues.”
- 2022 was the first option period on the company’s contract. Four one-year options remain.
- “Completed first production unit ahead of schedule on a key redesigned component which had significant positive impacts on U.S. Air Force weapon deployments.”
- “Delays in getting piece parts through the procurement and inspection cycle drove some lower level assembly baseline changes and increased the overall W80-4 schedule risk.”
Lawrence Livermore National Laboratory, Livermore, Calif., Lawrence Livermore National Security (University of California and Bechtel National, with AECOM and BWX Technologies).
- Total fee earned for fiscal 2022: $69.8 million of a possible $73.8 million, including $28.3 million worth of fixed fees.
- Total award fee earned: $41.5 million/91% of available $45.5 million
- Adjectival: Excellent: “exceeding almost all of the objectives and key outcomes under the PEMP goals, generally meeting overall cost, schedule, and technical performance requirements with accomplishments that significantly outweigh issues.”
- Contract ends Sept. 30 2026.
- “Met all W87-1 warhead deliverables on time, on schedule to close phase 6.2a., completed Weapons Design Cost Report deliverables, supported system cost gate, resolved internal budget shortfall, projected to support system first production unit.”
- “Prioritization at superblock remains a challenge resulting in a missed SCE [subcritical experiment] milestone.”
Los Alamos National Laboratory, Los Alamos, N.M. Triad National Security (University of California, Battelle Memorial Institute, Texas A&M University, with industry subcontractors Fluor Corp. and Huntington Ingalls).
- Total fee earned for fiscal 2022: $47 million of a possible $50 million, including $23.9 million worth of fixed fees.
- Total award fee earned: $23 million/87% of available $26 million.
- Adjectival: Very Good. “exceeding many of the objectives and key outcomes under the PEMP goals, generally meeting overall cost, schedule, and technical performance requirements with accomplishments that greatly outweigh issues.”
- In 2022, the NNSA picked up all five one-year options on Triad’s contract, extending the team through Nov. 1, 2028.
- “Completed pit builds and leveraged world-class laboratory expertise to resolve build issues.”
- “Triad has not instilled a culture of consistent production that minimizes facility downtime.”
Nevada National Security Site, Mission Support and Test Services (Honeywell International, with Jacobs, and Stoller Newport News Nuclear).
- Total fee earned for fiscal 2022: $25.4 million of a possible $28.4 million, including $2.2 million worth of fixed fees.
- Total award fee earned: $23.2 million/88.7% of available $26 million.
- Adjectival: Very Good: “exceeding many of the objectives under the PEMP goals, generally meeting overall cost, schedule, and technical performance requirements with accomplishments that greatly outweighed issues.”
- The company’s contract, which initially ran through 2022, was extended through 2027.
- Completed construction and commissioning for U1a Complex Enhancements Project (UCEP) 010; began construction on UCEP 020; and completed top bench mining for the Entombment drift.
- UCEP 020 is under budget and behind schedule.
NNSA Production Office. Pantex Plant, Amarillo, Texas, and Y-12 National Security Complex, Oak Ridge, Tenn. Consolidated Nuclear Security (Bechtel National, with Leidos, Northrop Grumman, and SOC).
- Total fee earned for fiscal 2022: $60.9 million of a possible $69 million, including $12.1 million worth of fixed fees.
- Total award fee earned: $48.8 million/86% of available 56.9 million.
- Adjectival: Very Good: “exceeding many of the objectives and key outcomes under the PEMP goals, generally meeting overall cost, schedule, and technical performance requirements with accomplishments that greatly outweigh issues.”
- NNSA in 2022 extended Consolidated Nuclear Security’s management contract through 2025.
- Notable accomplishments include exceeding the baselines for the B61-12 Life Extension Program (LEP) and Canned Subassemblies (CSA) Dismantlements and meeting the baselines for B61-12 CSAs, B61 Disassembly LEP, CSA Dismantlement, and the Y-12 Base Surveillance deliverables. CNS delivered the W88 Alteration (Alt) 370 Initial Operational Capability on time to the U.S. Navy and met all shipments as scheduled.
- Significant cost and schedule growth and execution performance on Line Items and Major Items of Equipment.
Sandia National Laboratories, Albuquerque, N.M., and Livermore, Calif. National Technology and Engineering Solutions of Sandia (wholly owned Honeywell International subsidiary).
- Total fee earned for fiscal 2022: $41 million of a possible $42 million, including $32 million worth of fixed fees.
- Total award fee earned: $8 million/89% of available $9 million.
- Adjectival: Very Good: “exceeding many of the objectives and key outcomes under the PEMP goals, generally meeting overall cost, schedule, and technical performance requirements with accomplishments that greatly outweigh issues.”
- In 2022, the NNSA picked up all five one-year options on National Technology and Engineering Solutions of Sandia’s contract, extending the team through fiscal year 2027.
- Applied innovative science and engineering capabilities to increase confidence in performance and survivability of nuclear deterrence systems.
- Did not consistently meet product delivery schedules and programmatic milestones for pre-Phase 6.6 modernization programs and the Mobile Guardian Transporter.
Savannah River Site, Aiken, S.C. Savannah River Nuclear Solutions (Fluor, with Honeywell International and Stoller Newport News Nuclear).
- Total award fee earned for NNSA work in fiscal 2022: $39 million. There is no fixed fee for the contractor’s NNSA’s work at the site.
- Adjectival: “Very Good.”
- DOE’s Office of Environmental Management owns the contract, which this year was extended. Options take it into 2027.
- SRNS collaborated with Los Alamos National Laboratory to establish NNSA’s ability to produce at least 80 pits per year.
- SRNS project management and design performance has been inadequate on the Surplus Plutonium Disposition Project, increasing the overall project design costs $108M, extending the CD-2/3 approval from March 2023 to April 2024, and requiring a baseline change.
