EM and its cleanup contractors across the DOE complex invest hundreds of millions of dollars each fiscal year in the goods and services of business in the communities and states that host them.
Following is a sampling of EM sites and the amounts they spent in their respective local areas and states in fiscal year 2017:
Hanford
EM Richland Operations Office (RL) contractor CH2M HILL Plateau Remediation Company (CHPRC) spent more than $189 million on goods and services in fiscal year 2017 (FY17) to perform cleanup work at Hanford. More than $137 million, or 73 percent, went to Washington and Oregon businesses, and $123 million, or 65 percent, went to local businesses in the Tri-Cities region, where Hanford is located.
CHPRC relied heavily on local businesses for several projects. In May, the roof of a waste storage tunnel associated with the former Plutonium Uranium Extraction (PUREX) Plant partially collapsed. Workers with Intermech Inc., a local business, quickly stabilized the tunnel by filling it with engineered grout.
“Local businesses continue to play an important role in helping to mitigate risk and perform cleanup at the Hanford Site," said Tracy Heidelberg, CHPRC chief financial officer. “And, they help keep the surrounding communities strong by supplying meaningful jobs."
Since the beginning of its contract in 2010, CHPRC has spent more than $2.6 billion on goods and services for Hanford work. About $2.1 billion of that went to Washington and Oregon businesses, and $1.8 billion went to local businesses in the Tri-Cities region.
RL contractor Mission Support Alliance (MSA) subcontracted $155 million worth of work in FY17 to provide services such as road maintenance, utilities, and emergency response. Nearly 70 percent of that was spent in Washington and Oregon, and more than $86 million was spent in the Tri-Cities region.
“We are proud to partner with the local businesses in the Tri-Cities and surrounding communities. These companies provide essential goods, services, and equipment needed to continue making cleanup progress at Hanford," said Brad Edwards, MSA contracts director.
Since the company became Hanford’s site services provider in 2009, MSA has spent nearly $1.5 billion for goods and subcontracted services.
Hanford’s Waste Treatment and Immobilization Plant (WTP) procurements tallied $211 million in FY17. Of that total, $126 million, or nearly 60 percent, was spent in Washington and Oregon, with $94 million, or more than 45 percent, spent in the Tri-Cities.
“Our successful procurement spending supported the positive progress made with continued construction and startup efforts for the Department of Energy’s Direct Feed Low-Activity Waste (DFLAW) vitrification approach," said Frank Salaman, Bechtel National Inc.’s manager of procurement and subcontracts. “We purchased quality-driven equipment, supplies, and services throughout the U.S., while also increasing business with companies in Washington, Oregon, and here in the Tri-Cities."
Since the start of WTP construction, more than $4 billion in goods and services have been procured from companies across the U.S. Of that total, $1.94 billion was spent in Washington and Oregon, with $1.36 billion procured in the Tri-Cities.
Sponsored by WRPS through the local chamber of commerce, the quarterly business outreach program, Meet the Buyer, gives attendees an opportunity to learn about doing business with organizations in the region. In its seventh year, the Meet the Buyer program is one element of WRPS’s small business outreach efforts.
Washington River Protection Solutions (WRPS), Hanford’s tank operations contractor, spent $166 million on procurements from small businesses in FY17. More than $111 million of that went to businesses in the Tri-Cities.
“Our procurement efforts continue to support small businesses, particularly local and regional businesses," said Jose Legarreta, WRPS procurement manager. “WRPS exceeded the 58.2-percent small business goal and successfully awarded 72.5 percent for total goods and services from small businesses in FY17."
Oak Ridge
The Oak Ridge Office of Environmental Management (OREM) spent $421 million on contracts with Tennessee-based companies in FY17. The in-state procurements, services, and subcontracts of OREM’s prime contractors in that period totaled $146 million.
“Our mission is helping enhance the region on multiple fronts," OREM Manager Jay Mullis said. “Environmental cleanup is improving safety, transforming the site, and removing barriers to economic development, while our funding through contracts and procurements is supporting employment and advancing the local and state economies in a significant way."
A by the Howard H. Baker Jr. Center for Public Policy further details the program’s annual economic benefits to Knox, Anderson, and Roane counties, and the state. Environmental cleanup in Oak Ridge directly funds 1,900 local jobs, and it creates an estimated 6,200 additional jobs in Tennessee.
An updated economic impact report is expected later this year.
Waste Isolation Pilot Plant
The Waste Isolation Pilot Plant (WIPP) reported procurements of approximately $70 million for FY17. Of that amount, $21 million, or nearly 30 percent, was spent in New Mexico, and $15 million, or roughly 21 percent, was spent on small businesses in the southeastern portion of the state where WIPP is located.
“The support from New Mexico businesses is essential to the success of fulfilling WIPP's mission," said Ryan Williamson, Nuclear Waste Partnership, LLC’s (NWP) small business program manager. “The procurement team has a strong commitment to quality, customer satisfaction, and responsiveness, and strives to follow good commercial practices in conducting business at WIPP."
WIPP’s procurement team strives to maintain good corporate citizenship and a well-defined socioeconomic program. For example, WIPP has placed awards with small local businesses and participated in several outreach events in New Mexico seeking to provide businesses within the state an opportunity to work with WIPP.
NWP manages and operates WIPP for EM’s Carlsbad Field Office.
Nevada Program
Procurements, grants and payments associated with the EM Nevada Program mission at the Nevada National Security Site totaled in excess of $49 million for the Nevada economy in FY17.
“EM Nevada spending supported ongoing remediation and disposal activities in support of Department of Energy’s national mission," said Catherine Hampton the EM Nevada Program deputy program manager for operations support.
Source: U.S. Dept. of Energy, Office of Environmental Management
