NNSA awards management and operating contract for Y-12, Pantex
December 3, 2021

WASHINGTON, DC — The Department of Energy’s National Nuclear Security Administration (DOE/NNSA) announced today it has selected Nuclear Production One, LLC (NPOne) for the Management and Operating (M&O) contract for the Y-12 National Security Complex and Pantex Plant, located in Oak Ridge, Tennessee and Amarillo, Texas, respectively.

NPOne is a limited liability company, which consists of Fluor Federal Services, Inc. and AECOM Energy & Construction (an Amentum company).

“For over 40 years, the Pantex Plant in Amarillo, Texas has been the Nation’s primary nuclear weapon assembly, disassembly, and life-extension center. The Y-12 National Security Complex in Oak Ridge, Tennessee has been strengthening our national security and reducing the global threat from weapons of mass destruction since 1943,” said Jill Hruby, Administrator of the NNSA. “I look forward to NPOne helping us accomplish our mission.”

The contract includes a four-month transition period starting in December 2021 and a five-year base period with five, one-year options, for a total contract period of up to 10 years if all options are exercised. The estimated value of the contract is $2.8 billion annually.

NNSA has designed the contract and transition period to minimize the impact on workers at Y-12 and Pantex. Aside from a handful of top managers, the contract requires NPOne to offer positions to all current employees it deems necessary for completing the requirements of the contract, and offer the same pay to all employees who remain in their current positions. NPOne will also be required to become the sponsor of the existing retirement benefit plans and must permit incumbent employees to remain in those plans.

The current M&O contract for Y-12 and Pantex, held by Consolidated Nuclear Security, LLC (CNS), expires on March 31, 2022, and allows for an approximately four-month transition period, which will provide stability for the workforce employed under the current contract and ensure efficient continuity of operations.

Source: U.S. Department of Energy