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Sunday December 28th 1997

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Fluor to evaluate contracts of 5 main subcontractors

This story was published Thursday December 18th 1997

By the Herald staff

Fluor Daniel Hanford will not automatically renew contracts with its five main subcontractors.

Each of those five is more than halfway through two-year contracts under Fluor Daniel's umbrella to manage Hanford.

Between three and nine months from now, Fluor will evaluate each of the five to see if any of those contracts should be put up for bids again, said Ron Peterson, president of Fluor Corp.'s government, environment and telecommunications group. Fluor Daniel Hanford belongs to that group.

Peterson hopes those decisions will be made sooner, rather than later. The decision on the five companies will not be made simultaneously, but rather one at a time, he said.

Fluor Daniel Hanford is the leader and coordinator for five companies handling five different aspects of Hanford's cleanup.

These are DE&S Hanford Co., which handled the spent nuclear fuel removal project; B&W Hanford Co., which maintains and cleans up several facilities; Waste Management Federal Services of Hanford, which handles a variety of waste matters; Lockheed Martin Hanford Co., which is in charge of the tank farms; and Numatec Hanford Co., which provides engineering support for the rest.

A sixth major subcontractor, DynCorp Tri-Cities Services Inc., is not one of the original subcontractors and occupies a separate corporate branch in the Fluor team's family tree.

Peterson said the upcoming reviews will look at the delays and cost increases in removing the spent nuclear fuel from the K Basins, and at the explosion and plutonium moving moratorium at the Plutonium Finishing Plant.

"We are not happy with the outcomes of those two projects," Peterson said.


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