CVN 65 Industry Day Responses for Qs and As 31 Mar 23.docx

CVN 65 Industry Day Questions and Responses

The Navy is preparing an Environmental Impact Statement (EIS) on Ex‑ENTERPRISE disposal, which must complete and a Record of Decision (ROD) selecting the method described in the RFI issued before the project can proceed. The Navy anticipates completing the EIS and issuing the ROD in 2023.

PAST PERFORMANCE-

Q: Will the Navy clarify the stated requirement of $200M worth of Past Performance?

A: The past performance is focused on radiological remediation. On the shipbreaking side, we are interested in a facility that has the capability to already do the work. Past Performance of prior work would be based on aggregate totals. All taken in to account in a teaming environment. The Government is reviewing language to clarify the requirement in the RFP.

MOORING -

Q: What mooring arrangements will be required to receive the ex-Enterprise and will mooring drawings be made available?

A: Mooring specifications will be provided in the RFP. Each location will need to be prepared to meet the TYPE IV Mooring (Unified Facilities Criteria UFCUFC 4-159-03, dated 14 March 2020) The ship is expected to be moored with the starboard side to the pier. Mooring facility requirements will be verified after contract award during the process to transfer vessel custody.

GOVERNMENT FURNISHED INFORMATION (GFI) and SHIPCHECK - Q: When will the shipcheck occur and will the Government be able to make available a 3D model or 3D Virtual tour?

A: All timing is subject to change and depends on the Government completing the EIS process and issuing a Record of Decision to pursue full commercial disposal in 2023; however, if this timing holds, is expected the shipcheck will occur on or about the first quarter of calendar year 2024. The Government is investigating making a 3D video tour available.

Q: When will Government furnished information (GFI) be made available to potential bidders? How will the information be made available?

A: The Government recognizes that bidders need as much information as possible as early as possible to begin understanding the full scope of effort. As some information is still Controlled Unclassified Information (CUI) and/or Naval Nuclear Propulsion Information (NNPI), it is not possible to release without appropriate controls. The Government is investigating a means to make information available to bidders electronically while ensuring appropriate controls are in place to safeguard the information. The Government is also investigating options to make information available in hard copy. There is no anticipated timeline to complete these investigations; however, the Government understands the urgency of the matter and are working to releasing information prior to RFP release.

Q: Will information be made available such as: Passive Protection Systems, Piping Systems, Ventilation Systems, Structural Drawings, General Arrangements, Damage Control Drawings, and Mooring Arrangements etc.?

A: Yes, the Government intends to make all information available to potential bidders. This will require vetting to access the information as much of it remains Controlled Unclassified Information (CUI).

Q: Is information available of radiologically impacted spaces outside of the reactor compartments and is there information available with detailed survey results of the reactor compartments?

A: The Government will provide the Ship System Status Report (SSSR) to potential bidders containing information regarding survey results from the reactor compartments and potentially impacted areas of the ship outside of the reactor compartments. This information is Controlled Unclassified Information (CUI) as Naval Nuclear Propulsion Information (NNPI) and therefore must be protected and controlled. The Government is working to provide a controlled means to distribute this information; however, there is no definitive timeline when the Government will be able to complete this release.

VESSEL TRANSFER -

Q: What will the ship draft be upon arrival at contractor facility?

A: The anticipated max draft at arrival is expected to be 37ft max draft. This will be as a result of ballasting required for optimal towing.

Q: What will need to occur prior to the Navy towing the vessel to my facility?

A: The contractor must provide the required documents to request transfer of vessel possession IAW NRC requirements and outlined in the contract scope of work and prepare the facility to receive the vessel. The request to transfer possession documents will be provided with your proposal and reviewed for approval following contract award. Providing this information as part of your proposal is expected streamline the administrative process to approve the vessel transfer after contract award, which will occur in parallel with establishing the Contractor’s facility to safely receive the vessel.

Q: How long after contract award will it take for the Navy to deliver the vessel to my facility?

A: The Navy expects to deliver the vessel to a successful bidder’s facility at a time mutually agreed to between the Government and the vendor following final contract award, but will be dependent upon weather, final readiness of the facility and Navy tow plan approval.

SSSB EXPERIENCE with NRC - Q: In the RFI, the Surface Ship Support Barge (SSSB) project was mentioned, can the Navy share lessons learned from the SSSB project?

A: The SSSB contract is ongoing. The Government intends to gather lessons learned from the project during SSSB contract closeout. If releasable, the Government will provide applicable lessons learned to potential bidders in the third or fourth quarter of calendar year 2023 Q: Can the Navy share a timeline of the Nuclear Regulatory Commission (NRC) review process as it related to SSSB documents?

A: The NRC Agency wide Documents Access and Management System (ADAMS) website (https://adams.nrc.gov/wba) contains a multitude of documents related to the SSSB project. Potential bidders are highly encouraged to review these documents and their associated dates. However, the Government cannot commit to specific review/approval timelines since these reviews are dependent on the Contractor’s chosen dismantlement and disposal strategy and the quality of the Contractor’s submittals.

DISMANTLING APPROACH and LOCATION - Q: Does the Navy have a preferred dismantling approach for the ex-Enterprise? (E.g. Waterborne vs. Land; Hybrid approach of D&D work, etc.)

A: No, the Navy will allow any approach that will ensure people and the environment are protected throughout the process. The Navy is interested in receiving proposed approaches in RFI responses and will safeguard all business sensitive information.

Q: Does the Navy have a preferred dismantling or disposal site location?

A: No. The locations analyzed in the Environmental Impact Statement (EIS) were locations identified by the Navy as having technical capability to handle dismantlement of a ship of this size within existing private industry capacity. While the Navy market research identified the three locations in the EIS as viable locations, sites not covered in the EIS would not be barred from competing for the dismantlement and disposal contract.

Q: Will the Navy remain the generator of radiological waste?

A: While the Navy will maintain regulatory authority for the radiological material, the Contractor would be required to obtain required permits for all hazardous wastes, to include radiological wastes, for generation, shipping and disposal. The Navy’s contract would apply NRC requirements for generation, packaging, and shipping of radiological wastes.

INSURANCE and INDEMNIFICATION –

Q: Will the Government be providing Nuclear Indemnification under Public Law 85-804?

A: The Government is still evaluating if this will be necessary and is interested in receiving feedback in RFI submittals on why this would be necessary for a potential bidder to complete the proposed effort.

Q: Will protections under the Price-Anderson Act (PAA) be available on the ex-Enterprise project?

A: No, it is not anticipated that PAA protections will be applicable to this project.

Q: Can the Government specifically outline the Insurance requirements required for this effort.

A: Yes, the Government will clarify Insurance Requirements before the final Request for Proposal (RFP). The Government would like to receive feedback during the RFI process on obtaining nuclear hazard insurance for this type of work.

FIRE PROTECTION REQUIREMENTS -

Q: Will the fire protection plan for the ex-Enterprise be required as part of the Decommissioning Work Plan (DWP) A: Yes, potential Bidders will be required to submit a plan to meet NRC fire protection requirements. Contract Statement of Work will also require fire response capabilities.

Q: Will any existing fire protection systems remain on-board?

A: Yes. A temporary firemain system that was installed to protect the vessel pierside in storage. This system will remain on-board; however, it will be incumbent on the offeror to verify the system’s configuration during the shipcheck process as limited information is available regarding the current system and the appropriates for supporting radiological decommissioning work in accordance with NRC fire protection requirements

SOURCE SELECTION EVALUATION CRITERIA -

Q: The Navy provided an idea of the selection criteria during the Industry Day brief, was that provided in order of importance?

A: No, it was provided as a general guide to what the Government will be looking at during source selection.

Q: Will any other Government agencies, such as the NRC, be involved with the Navy during source selection?

A: No, the Navy will be completing the source selection process.

NUCLEAR REGULATORY COMMISSION (NRC) ROLE -

Q: Will the NRC only be responsible for oversight on areas of the ship that were radiologically impacted?

A: The intent is to treat this project similar to a commercial decommissioning and/or radiological remediation project as far as practicable. The NRC will be conducting routine inspections of the entire project site, including a confirmatory whole site final status survey. For nuclear decommissioning projects, NRC has a memorandum of understanding with OSHA for oversight of industrial safety, and NRC inspectors are trained on industrial safety regulations. It can be expected that NRC inspectors with similar training will be conducting inspections of the ex-ENTERPRISE dismantlement.

Q: Can the Government clarify the phrase used in the RFI “unrestricted use” as it pertains to the project site after work is complete?

A: The phrase is intended to be specifically related to radiological controls and radiological impact. After work completion, the work site should be cleared by the NRC and Navy from any radiological controls or impact.

Q: How will state radiation regulators fit in to the project?

A: As this is a Federal project, we do not anticipate significant state involvement for oversight of radiological dismantlement work. On previous project Naval Reactors and Nuclear Regulatory Commission took the responsibility to engage state regulators and keep them professionally informed. It is anticipated this model will continue with the ex-Enterprise project; however, it will be incumbent upon the contractor to engage state and local officials from a public affairs perspective not related to regulators.

Q: What role will Naval Reactors have in this project?

A: Naval Reactors has statutory responsibility for the radioactivity in ex-ENTERPRISE and will retain that responsibility for the duration of the project, although the Contractor will have possession of that radioactivity in accordance with contract requirements. For this project Naval Reactors is choosing to apply NRC regulations for conduct of radiological work and to enter into an agreement with NRC to provide regulatory oversight services of the Contractor’s work. The Navy will have full-time on-site representatives to oversee contract performance.

Q: How long will it take for NRC to review documents and return approvals?

A: This is highly depended on the quality of submissions and is impossible to answer with confidence. The Navy cannot make commitments on the NRC review timelines but notes that the Navy’s action will neither add nor subtract from the NRC recommendations.

Q: The Navy intends to use the US NRC regulatory decommissioning process for the ex-Enterprise. How will the various commercial reactor processes, such as post shutdown Decommissioning Activities Report, License Termination Plan, and Final Status Survey. (I.e. MARSSIM) requirements be applied to the project?

A: The Navy will require the Contractor to prepare a Decommissioning Work Plan (DWP) that will outline the detailed work process the contractor expects to execute for the radiological dismantlement work. This will be reviewed by NRC and recommended for approval by the Navy. A Final Status Survey is also expected to be required and will be confirmed by the NRC.

Q: Will the DWP be required to be approved by the Navy and NRC prior to taking vessel possession?

A: No, the Navy’s intent is to transfer the vessel as soon as the Contractor meets the requirements to accept possession of the vessel as outlined in the contract statement of work. The DWP can be reviewed and approved in parallel with the transfer of possession and any preparatory shipboard work in advance of conducing radiological dismantlement activities. However, no radiological dismantlement work may begin until the DWP is reviewed by NRC and approved by the Navy.

CONTRACTING STRATEGY -

Q: What cost and timeframe is the Government expecting to complete the project?

A: The notional timeframe of 5 years is based on Government estimates and to use Government funding.

Q: Has the Government decided what kind of contract the ex-Enterprise dismantlement and disposal effort will utilize?

A: The Government has not decided if this will be a fixed-price or cost reimbursable contract but is more likely to select a fixed-price contract. If a fixed-price contract is chosen, it has not been determined whether the selection will be based on Lowest Price Technically Acceptable (LPTA) or Best Value to the Government. The Government is interested in feedback on contract type and methodology in RFI responses.

Q: Has the Government decided what type of milestones may be available for payment? What about bonding milestones?

A: No, the Government is open to feedback in RFI responses. No milestone payments have been determined by the Government.

Q: What are the draft Request for Proposal (RFP) and final RFP timelines?

A: This will occur after the Environmental Impact Statement (EIS) and Record of Decision (ROD) is completed and therefore is still pre-decisional. Notionally, the Government would like to have a draft RFP out by the first quarter of calendar year 2024 with a final RFP in the third quarter of calendar year 2024.

Q: How long after proposals are submitted will an award be expected?

A: Approximately 3-6 months.

Q: Can the Government clarify the salvage credit portion of proposals.

A: The Government expects offerors to propose the cost to complete the ex-Enterprise work and the expected salvage cost of intended recovered materials. The proposed price is expected to be the cost of the work less the recovered salvage costs, if any.

Q: Will Key Personnel be required as part of proposals?

A: This is pre-decisional; however, it is expected that there will be key personnel required in proposals such as: Program Manager, Radiological Safety Officer, Quality Assurance, Safety Officer etc.

Q: If an incentive type contract is chosen, what will the value of the incentive be?

A: This has not been determined but likely to be a relatively small portion of the total contract value. This incentive is envisioned to be a hold back or escrow to provide a means to enforce any fines recommend by the NRC. As the contract will be with the Navy, NRC has no authority to levy fines directly on the Contractor, but since the Navy’s posture for applying NRC regulations for this project is to neither add nor subtract from the NRC enforcement recommendations, the contract needs to have a mechanism for applying any specific monetary penalties recommended by NRC.

Q: When does the Government expect to release a Record of Decision (ROD) for the ex-Enterprise dismantlement and disposal?

A: By the end of Calendar Year 2023.

SCHEDULE -

Q: What are the draft & final RFP timelines – time to build estimates?

A: RFP release expected to be the 1st quarter of calendar year 2024, based on an assumed release of a Record of Decision (ROD) for the ongoing Environmental Impact Statement (EIS) by the end of calendar year 2023 release.

Q: The transfer of possession can happen within close proximity to contract award. Is this 1-month? This could drive a significant amount of work now or it could result in an advantage to someone who has done this type of work.

A: There is currently no specific timeline in mind for the transfer of possession following contract award just that the date will be mutually agreeable between the Navy and the Contractor. The Navy recognizes the significant effort needed to prepare a facility to receive the vessel in support of the contract statement of work. However, the plan is to start the review process of the contractor’s ability to take possession immediately after source selection in order to streamline administrative timelines associated with the actual movement of the vessel.

Q: What will the RFP turnaround time and when will CTR have access to the information?

A: The Government will have to work through what we need to get, how important it is to get that information on the street earlier and how to understand how you are able to use the information with the required and appropriate security. The Navy is interested in receiving proposed approaches in RFI responses and will safeguard all business sensitive information.

Q: What extent of cost and schedule feedback are you looking for? Are you looking for something that just meets your timeline or are you looking for some out of the box thinking?

A: The schedule is driven by the source of appropriations and the expiration of those funds. The cost is going to be the cost, if it is fair and reasonable. The schedule is essentially a 5-year limit based on the type of Congressional appropriation expected to be used for this project. Review of the disposal of a conventional aircraft carrier is only 20 months. The Navy obtained an independent assessment of this project and assumes preparing the facility. Completing the transfer of possession process, and gaining approval to commence radiological work will take about 1 year. Further, the radiological decommissioning work could reasonably complete in less than 3 years.

SMALL BUSINESS -

Q: Will the Government mandate small business involvement and how much of a discriminating factor will this be in source selection?

A: As with any Government contract, there is an interest in utilizing small businesses to the maximum extent practicable and as such will be required. There will be a threshold identified in the RFP, that must be achieved or an offer will be deemed unacceptable. If the threshold is met, the offer will be acceptable.

Q: Can the Government provide information on what small business can provide? What are the U-NNPI arrangement for partnering purposes?

A: The contractors (to include the prime and any sub-contractors) must be certified to receive UNNPI information if required to execute the contract statement of work. Intent is to identify certification requirements and certify bidders in the pre-solicitation period.

DEMILITARIZATION -

Q: Is demilitarization of military components required? Is there a list of components on-board required to be demilitarized?

A: Yes, demilitarization will be required. No, there is no list of required components; however, demilitarization will be required in accordance with DoD Instruction 4160.28. Demilitarization has special handling controls that require only U.S. citizens and the need to know. Anything not commercially released has to be demilitarized.

DECOMMISSIONING WORK PLAN (DWP) –

Q: Is there a standard DWP format?

A: The requirements for a DWP are defined in NRC NUREG 1757. Further, there is a DWP from the SSSB available on NRC ADAMS. The DWP is intended to include your radiation safety program, your approach to complete the work, and your final site survey plan.

REACTORS -

Q: Are there any concerns with removing the reactor vessels s as a whole?

A: No, the Navy has funded the design of containers for the safe transport of the entire defueled reactor vessels without segmentation. This design will be available to all potential bidders. The Navy only intends to provide the completed design as Government Furnished Information (GFI) and does not intend to manufacture the container or require the use of the container.

ABATEMENT -

Q: Are other hazards such as Asbestos, Polychlorinated Biphenyls (PCBs), or Lead expected to be present on the ex-Enterprise? Can the Government provide a characterization of how much and where these hazardous material are on the vessel? Will bidders have the opportunity to sample the vessel for these hazardous materials?

A: It is expected that all of the mentioned hazards are present on the vessel due to the types of construction materials in use over the construction and operation of the ex-Enterprise. Potential bidders must follow applicable rules and regulation relating to the abatement of these materials. The Government will provide available information to potential bidders as a part of provided GFI. The Government will investigate providing an opportunity for potential bidders to survey the vessel during the shipcheck or to provide sample results to potential bidders.

Q: How does the waste easement play in to the bid? If a bidder does not have it, can they up the bond?

A: 20% performance bond is required in conjunction with obtaining the easement for LLRW disposal, or alternatively the Contractor may elect to obtain a 50% performance bond without the LLRW disposal easement. Intent is not to disadvantage a bidder. The Navy is interested in feedback on this aspect as part of RFI responses.

MITIGATING OF CONFLICT OF INTEREST -

Q: The Government has requested a significant amount of information in the ex-Enterprise RFI, there is a concern that the Government may take our proprietary information and use it in the RFP. What safeguards are in place to ensure this does not happen.

A: The Government is sensitive to the fact that responses will include proprietary information. As such, the Government will utilize the existing CUI process for Proprietary Business Information specifically identified as requiring protection.

Q: There is a concern that some bidders will have historical information that is not available to all parties. What is the Government doing to alleviate this perceived advantage?

A: The Government is working to release all available information to interested bidders in the form of a document library. This will be done through vetted access to protect CUI and U-NNPI.