Local Officials Near Site Want to Block Award of New Contract to TFE, Inc.
Kenneth Fletcher
WC Monitor
5/16/2014
Local officials in Carlsbad, N.M., are pushing the Department of Energy to block the recent award of a $24.5 million Waste Isolation Pilot Plant subcontract to Tennessee-based TFE, Inc. URS-led M&O contractor Nuclear Waste Partnership last week announced the TFE award of the subcontract to manage records at WIPP over the incumbent S.M. Stoller. Carlsbad officials say that it may result in the loss of more than 30 local jobs as they fear that some records processing will be moved out of New Mexico. “I’m personally horrified by the fact that they have done this. I can’t believe that DOE hasn’t rejected [it] themselves,” Carlsbad Nuclear Task Force Chair John Heaton told WC Monitor. “Not only do they not fully maintain WIPP and adhere to all the safety rules, now they are damaging the community as much as they can.”
Local leaders united on the issue in a letter this week to Energy Secretary Ernest Moniz signed by Heaton, Carlsbad Mayor Dale Janway, Eddy County Commission Chairman Tony Hernandez, and Carlsbad Department of Development Chair Dave Sepich. “Let’s put aside, for a moment, the horrible public relations aspect of this decision. NWP and all of WIPP are currently embroiled in the most significant setback of the project’s 15-year history. NWP should be building confidence in Southeastern New Mexico right now, and subcontracting with an outside company who will be laying off a large group of local people doesn’t exactly seem like the wisest way to build community relations,” states the May 13 letter, referring to the ongoing shutdown of WIPP prompted by a set of incidents that occurred in February. The Carlsbad officials are asking for the subcontract to be blocked. “We believe the awarding of this subcontract to be illegitimate. After you have had time to review the facts, we hope you will reach the same conclusion and rescind the contract award immediately,” the letter states.
In a statement, though, NWP said that it “competitively bid—through a fair and exhaustive procurement process” the new subcontract. “City leaders were briefed about the procurement process on multiple occasions, including recently as part of an overall communications strategy. As stewards of taxpayer dollars, NWP must ensure that the best value for the Government is one of our primary considerations,” the contractor said.
Will Records Processing be Moved Out of N.M.?
The Carlsbad officials pointed out that language in Congressional appropriations bill and in WIPP’s permit from the state of New Mexico says that WIPP records will be consolidated at Carlsbad. The officials said that records processing facilities were built in Carlsbad with DOE funding for WIPP. “Several million dollars were spent on designing these facilities to be the long-term record archive. Abandoning these facilities now is a crime against the taxpayer,” their letter states. “It is certainly possible that NWP examined the two competing bids and judged TFE to be the better proposal. However, one of the requirements should have been retaining all operations in Carlsbad, so if TFE’s bid involved taking consolidation of WIPP records or the archive itself out of Carlsbad, then the bid should not have been awarded to TFE.”
NWP did not directly answer whether any records processing would be moved out of state, but said: “As part of its proposal, TFE identified an efficient and effective solution for managing WIPP’s records. Additional technological capabilities provided by the new contractor, at no extra cost to the taxpayer, will improve overall productivity and ensure records are maintained in full compliance with applicable requirements.”
Oak Ridge-based TFE, Technical and Field Engineering, provides technical training programs and engineering and technical support services at nuclear facilities, according to the company’s web site. The company this month also acquired a waste transportation subcontract with URS-CH2M Oak Ridge, LLC, that had been held by Transportation, Operations and Professional Services, which was raided by federal law enforcement agents earlier this year. TFE did not return calls for comment this week.
NWP Pledges to ‘Minimize Impacts’
NWP has pledged to work closely with TFE and Carlsbad “to minimize impacts to employees who support the records subcontract. As in the past, NWP will continue to support economic development goals and objectives for Carlsbad and Eddy County,” according to the statement. NWP said: “Nuclear Waste Partnership, its employees and our predecessor companies have been active members of the Carlsbad and Eddy County communities for more than 35 years. NWP appreciates the positive, productive relationship we have developed in support of the Waste Isolation Pilot Plant, and it is our plan to continue this partnership for years to come.”
But the Carlsbad officials have vowed to keep pushing on the issue. While they have voiced a growing discontent with NWP, they are backing the incumbent DOE management. “We are also currently working with Carlsbad Field Office Manager Joe Franco on resolving this issue. Joe has been tremendous to work with through this entire ordeal. We have a high degree of confidence in his abilities as Manager of the Carlsbad DOE facilities,” the officials’ letter states.
