The Department of Energy and Bechtel Jacobs Co. have reached agreement on a newly restructured contract, valued at $1.48 billion, for Oak Ridge cleanup activities through 2011. The new contract replaces Bechtel Jacobs’ previous contract and extends the contract period. It also establishes a fixed fee for the company’s future work and includes a settlement on previous fees owed to Bechtel Jacobs, which had been the subject of lengthy negotiations.

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The U.S. Department of Energy (DOE) today issued a Preliminary Notice of Violation (PNOV) to Bechtel National, Inc. (BNI) for a nuclear safety violation at DOE’s Hanford Site near Richland, Washington. BNI is the contractor responsible for the design and construction of the Waste Treatment and Immobilization Plant (WTP) at the Hanford Site in southeast Washington State.

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The Department of Energy plans to fine Bechtel National $41,250 for laying off an engineer after he raised concerns in 2005 related to the safety of Hanford's vitrification plant. The DOE Office of Enforcement later concluded one of the employee's safety concerns, which were related to the software that will control the plant, was valid and issued a notice of violation to Bechtel about the issue in 2007.

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Bechtel National has taken disciplinary action against four managers at the Hanford vitrification plant for reportedly eavesdropping on a meeting between safety representatives and the Department of Energy. An investigation was begun by Bechtel 12 days ago after an anonymous call was made to an employee concerns program.

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The Department of Energy has confirmed plans to rebid the Oak Ridge cleanup contract currently held by Bechtel Jacobs Co. Bechtel Jacobs has been DOE’s cleanup manager since 1998 and the current pact, originally scheduled to conclude this year, was extended through 2011 to make progress on the much-delayed dismantlement project at the K-25 and K-27 uranium-enrichment facilities.

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