URS SEEKS FEE PAYMENT AT SPRU D&D PROJECT

URS is seeking approximately $4.5 million in fee for some of the work it has performed at the Separations Process Research Unit (SPRU) site, according to a recent filing with the Securities and Exchange Commission. After a set of contamination incidents disrupted D&D work at SPRU in 2010, URS lost all of the originally available fee on the project, which amounted to approximately $7 million. The fee URS is now seeking, though, appears to be tied to some of the work the contractor performed in response to the effects of Hurricane Irene on the site in 2011 as part of efforts to resume the D&D project.

URS’ filing states, “Due to unanticipated requirements and permitting delays by federal and state agencies, as well as delays and related ground stabilization activities caused by Hurricane Irene, [URS] has been required to perform work outside the scope of the Task Order Modification. Based on changes and delays to date, requests for equitable adjustment (“REA”) amounting to $47.1 million and proposals related to the hurricane-caused impacts and other directed changes in the amount of $105.1 million have been submitted to the DOE for approval.  WGI Ohio also expects to submit additional REAs of at least $11.0 million to the DOE in 2013.  Through December 28, 2012, the DOE authorized an additional $27.2 million of funding primarily related to the hurricane-caused impacts.  In early 2013, [URS] submitted several certified claims against the DOE pursuant to the Contracts Disputes Acts seeking recovery of $100.8 million of the above unfunded REA and proposal costs and $4.5 million of fee on the expanded work scope.”