(Final) CGN 9 Dismantlement and Disposal Industry Day Brief.pdf

CVN Inactivation and Disposal PMS 368 Program Office

EX-LONG BEACH (CGN 9)

PRE-RFP DISMANTLEMENT AND

DISPOSAL INDUSTRY DAY

ERIN ANDERSON

AIRCRAFT CARRIERS

CONTRACTS DIRECTOR

JERRY LOW

CONTRACTING OFFICER

PAE MARITIME CONTRACTS

202-781-2397

Presented by

RAY DUFF, PAPM

INAC AND DISPOSAL

DPAE CARRIERS

202-781-2129

Welcome Remarks/Presenters

▪ Welcome Remarks o CAPT Cleveland, Program Manager, PMS 368 o Erin Anderson, Aircraft Carriers Contracts Director, PAE Maritime

Contracts o Jerry Low, Contracting Officer, PAE Maritime Contracts (KO)

▪ Presenters o Ray Duff, PAPM, PMS 368 o Steve Picard, RCOH/INAC/DISP, NAVSEA 08P o Cese Covington/Clayton Schaffer, PSNS o Vince Jarecki, SEA 00C

Agenda – Day 1

Time Event

08:00 - 09:00 Check-In

09:00 - 09:15 Welcome Remarks/Presenters

• PM – CAPT Bryant Cleveland

• PAE Maritime Contracts – Ms. Erin Anderson (Aircraft Carriers Contracts Director) Mr. Jerry Low (KO)

09:15 - 09:30 Ground Rules; RFP Overview and Requirements; "Draft"

Statement of Work

09:30 - 10:00 CGN9 Current condition

Tow/heavylift evolution

10:00 - 10:15 Break - Break

10:15 - 10:45 Notional Regulatory Construct

10:45 - 11:15 Potential Contract Structure and Solicitation Process

11:15 - 11:30 Closing Remarks

11:30 - 12:30 LUNCH

12:30 - 15:30 "One on One" Sessions – To be scheduled

Agenda – Day 1

Time Event

10:30 - 15:30 Start "One on One" Sessions

10:30 - 11:30 Energy Solutions

12:30 - 13:30 SA Recycling

13:30 - 14:30 APTIM

14:30 - 15:30 NorthStar

Agenda – Day 2

Time Event

08:30 - 09:00 Check-In Start “One on One” Sessions

09:00 - 10:00 IMIA

10:00 - 11:00 NAC International

11:00 - 12:00 HII Nuclear

12:00 - 13:00 ISL

Ground Rules

▪ All attendees must sign-in and receive a CACI badge.

▪ The briefing is unclassified – Please refrain from discussing NOFORN technical details.

▪ Turn cell phones OFF.

▪ Dialogue encouraged in plenary and one-on-one sessions; note that today's dialogue is non-binding.

▪ All technical and contract requirements in this presentation are notional and pre-decisional.

▪ The Navy will lead but values stakeholder input to refine requirements and subsequent solicitation.

▪ Any disparities between this brief and the solicitation will defer to the final solicitation.

▪ Submit all questions in writing to the contracting officer at jerry.low.civ@us.navy.mil and contract specialist at jason.chan7.civ@us.navy.mil by July 10, 2026.

mailto:jerry.low.civ@us.navy.mil mailto:jason.chan.civ@us.navy.mil

RFP Overview and Requirements

▪ The Request for Proposal (RFP) outlines the commercial dismantlement and disposal of Ex-LONG BEACH (vessel), encompassing the contract structure and project technical requirements.

▪ Proposed Contract Requirements:

o Preparation and submission of a Decommissioning Work Plan (DWP) compliant with NRC regulations.

o Execution of work within the United States.

o Acquisition and maintenance of necessary permits and licenses.

o Transportation of CGN 9 to the Dismantlement site.

o Comprehensive dismantlement and disposal of all components of the CGN 9 structure.

o Removal and proper disposal of radiological and/or hazardous waste.

o Removal and disposal of residual auxiliary machinery and equipment onboard.

o Demilitarization of applicable components and structure in accordance with DOD requirements.

o Documentation ensuring hazardous and radioactive materials disposal compliance with DWP, local, state and federal regulations.

o Provision of a certificate of completion to the Navy.

▪ Anticipated RFP Release Date: August 2026.

“Draft” Statement of Work

• Contractor shall transport vessel to a mutually agreed to location following NRC concurrence and NAVY authorization to transfer custody of the vessel. The location is expected to be close to the disposal contractor’s facility. Initial transfer of vessel from PSNS will be mutually agreed to between the contractor and Navy following review of the contractor transport plan.

• Vessel will be transported by heavy lift or submersible barge only, open ocean wet towing is not authorized.

• Contractor shall transport the vessel at a date mutually agreed to by the Navy and disposal contractor after Navy approval to Transfer Custody of the vessel is provided. Any follow-on relocations will require NAVSEA00C certification.

• Radiological work will only commence after the contractor-prepared DWP has been reviewed by the NRC and approved by NAVSEA 08. The vessel may be received before the DWP is approved in which case only approved preparatory actions will be taken until the DWP is approved.

• Dismantle the vessel and onboard equipment, process scrap metals for recycling and dispose of all hazardous materials and solid waste:

• Hull and all remaining equipment/systems (IAW DEMIL 4160.28 manual pertains)

• Disposal of radiological components/systems/spaces

• Sale of scrap metals permitted if desired by the disposal contractor

• All work must be accomplished in accordance with Federal, State, and local environmental, occupational safety & health laws and/or regulations

• Contractor shall provide all the personnel, equipment, tools, vehicles, materials, facilities, supervision, security services and other items as required by the RFP

• Contractor may use any part of the vessel during dismantlement. However, the vessel will be provided “as is”, and the contractor will need to make any assessment of the usefulness and safety of any equipment used.

Vessel Condition and Tow/Heavylift Effort

CGN9 current condition (PSNS)

Review of CGN9 Pictures/drawings (PSNS)

Normal tow configuration (chocks and bits) (PSNS)

Tow reference documents and heavylift/submersible barge requirements (00C)

This section of the brief covers:

Ex-Long Beach (CGN 9) Vessel Profile

Length: 427 ft. Beam: 73 ft. 1 ½ in.

Displacement: 8,818 LT Draft: 17 ft.

Air Draft: 28 ft. 6 in. Reactors: (2) C1W (defueled)

Shafts: Removed Props: Removed

Rudders: Removed

Transportation Requirements

• Contractor shall transport vessel to a mutually agreed to location close to the disposal contractor’s facility.

• Vessel will be transported dry by heavy lift vessel or barge only.

Open ocean wet towing is not authorized. Inland tow is authorized with Navy concurrence.

• Structural modifications including removal of the bow and stern along with RC removal preclude wet tow.

• Transport will be done in accordance with the US Navy Tow

Manual.

• Tow Manual requirements for in harbor tow and heavy lift or barge dry transport.

• https://www.navsea.navy.mil/Home/SUPSALV/00C2-Salvage/Salvage-Publications/

• Navy to approve transport plan, provide operational oversight and concurrence prior to departure from PSNS, onload, departure from Puget Sound, and offload at destination.

https://www.navsea.navy.mil/Home/SUPSALV/00C2-Salvage/Salvage-Publications/ https://www.navsea.navy.mil/Home/SUPSALV/00C2-Salvage/Salvage-Publications/ https://www.navsea.navy.mil/Home/SUPSALV/00C2-Salvage/Salvage-Publications/ https://www.navsea.navy.mil/Home/SUPSALV/00C2-Salvage/Salvage-Publications/ https://www.navsea.navy.mil/Home/SUPSALV/00C2-Salvage/Salvage-Publications/ https://www.navsea.navy.mil/Home/SUPSALV/00C2-Salvage/Salvage-Publications/

Notional Regulatory Construct

Slide Title

Fire Protection and Safety

Information and Physical Security

Regulated Hazardous Material Waste Removal and Disposal

Regulatory Model for Radiological Work

Performance of Radiological Work

Expected Interactions Between NRC and the Disposal Contractor

Indemnification Against Nuclear Risks (FAR Part 50)

Financial Assurances and Guarantees

This section of the brief covers:

Fire Protection & Safety

• The Navy intends to adopt the NRC regulations for fire protection programs for decommissioned nuclear power plants for dismantlement and disposal of the reactor plants and radiologically controlled support systems. (Section 50.48 of 10 CFR and Appendix A & R to Part 50)

• For non-radiological shipbreaking activities (i.e., involving non-radiologically impacted portions of the vessel) fire protection requirements will be in accordance with OSHA requirements (Section 1915 subpart P) and applicable State and local requirements.

• The goal of the fire protection program envisioned during this project is to provide an appropriate level of defense-in-depth protection against the threat of fires.

• Defense-in-depth for fire protection involves a comprehensive program of administrative controls, physical fire protection features, emergency response capabilities, and protection of radiologically controlled structures, systems and components necessary to prevent or mitigate the potential of an unacceptable release of radioactive materials.

• Fire protection requirements and response capabilities for the reactor plants and radiologically controlled areas are expected to evolve throughout the project, commensurate with ongoing work and associated fire hazards. (NRC Information Notice 23-04 and Ref Guide 1.191 rev 1)

• The Contractor’s fire protection program is expected to include outreach, coordination, and training with mutual aid emergency response.

Information and Physical Security

• The ship, to include the hull and any passive protection features, and defueled reactor plants contain no physical equipment, structures, or arrangements that are classified.

• No classified information is necessary (or will be provided) to plan or accomplish the notional scope of work to dismantle and dispose of the vessel and associated reactor plants.

• Contractor will maintain a current Cybersecurity Maturity Model Certification (CMMC) Level TBD

IAW DFARS 252.204-7021.”

• Facility and personnel security clearances are not required to complete the scope of the project.

• The Reactor Compartments do include Controlled Unclassified Information (CUI) designated as Unclassified – Naval Nuclear Propulsion Information (U-NNPI).

• Based on the presence of U-NNPI on the vessel and the need to process U-NNPI to plan and accomplish the scope of work, all employees, subcontractors, and other persons with direct access to Reactor Compartment spaces and U-NNPI Government Furnished Information (GFI) shall be U.S. Citizens with demonstrated Need to Know (NTK).

• Contractor will comply with required security measures for IT systems and networks.

• Other forms of CUI related to design of the ship require similar protections and shall only be accessible by U.S. Citizens with demonstrated NTK.

Regulated and Hazardous Material Waste Removal and Disposal

• Contractor is sole generator of non-radiological hazardous waste; Government will not be a co-generator on any permits.

• Contractor shall provide the Government with copies of hazardous/non-hazardous material/waste manifests, bills of lading, and other waste shipping documents as requested and in final report.

• Upon completion, Contractor shall certify all hazardous material removal in compliance with Federal, State, and local laws.

• Contractor shall obtain all necessary licenses and permits; provide copies to

Government upon request.

• Contractor shall accomplish all notification and manifesting requirements.

• Contractor shall comply with any applicable Federal, State, and local laws and regulations.

• Contractor shall take any necessary corrective actions resulting from work performed in violation of applicable Federal, State, and local laws and regulations.

• Contractor shall provide immediate notification to ON-SITE Government representative and results of any regulatory agency inspection or visit and any citations or cautionary notices received.

Regulatory Model for Radiological Work

• Accomplishment of the radiological dismantlement (decommissioning) effort will be conducted using Nuclear Regulatory Commission (NRC) regulations with enforcement for compliance provided via the contract.

• For purposes of this project, the Contractor would refer to the responsibilities of a

“licensee” within NRC regulations for management of the nuclear decommissioning work. These regulations would be enforced by the Navy through the contract.

• NRC is envisioned to provide the same reviews prior to dismantlement and apply the same inspection program as would be required if a similar task were performed in the

NRC regulated sector.

• The Navy will neither add or subtract from the NRC recommended enforcement or corrective actions; the Contractor will be responsible to address these issues at no-cost and within the scope of the contract terms and conditions.

Performance of Radiological Work

• Ensure work under this contract has no adverse effect on human health or quality of the environment.

• All reactor plant dismantlement, packaging, and disposal activities shall be in accordance with the Contractor’s approved DWP; the DWP will be incorporated into the contract requirements when reviewed by the NRC and approved by the

Navy. The vessel may be received prior to DWP approval; however, no radiological work may proceed prior to DWP approval.

• All radiological dismantlement and sizing evolutions shall be performed in Contractor established radiologically controlled areas either inside the volume of the ship (i.e., within the hull) or inside a weather protected containment volume. Implementation of this requirement shall be reflected in the Contractor’s approved DWP.

• Any radiological work in an off-hull location shall be conducted over an impermeable surface and within a HEPA filtered weather protected area.

• Material identified as potentially radiologically impacted shall either be disposed of as

Low Level Radioactive Waste (LLRW), or when cost effective and radiation exposure is maintained As Low As Reasonably Achievable (ALARA), material may be surveyed for release and unrestricted use.

Performance of Radiological Work

• Based on the current inactivated system status no radioactive or processed radioactive liquid would be released to the environment.

• Expected cost to support decontamination, surveys, and release, recycling and rad waste estimates should include disposal of all MMR and RAR material as LLRW, such that a bounding estimate can be determined.

• The DWP should only allow storage of materials in full-strength shipping containers when material is stored outside of the ship or containment volume (i.e., awaiting shipping). The volume of onsite packaged radioactive waste should be minimized by prompt shipment to disposal vendors.

• The Contractor must apply appropriate environmental monitoring and effluent management programs in the DWP to achieve the overall goals of no adverse effect on human health or quality of the environment.

• Upon completion of the scope of work, the Contractor shall restore the dismantlement site to an acceptable condition supporting unrestricted use.

Expected Interactions Between NRC and the Disposal Contractor

• NRC will review and recommend whether the Navy should approve a request for the

Contractor to take custody of Ex-LONG BEACH and associated radioactivity. This request will be provided as part of Contractor proposals, with the NRC review and

NAVSEA 08 approval occurring after Source Selection activities complete and contract award.

• NRC will review and recommend whether the Navy should approve the Contractor developed DWP, as well as develop and deliver appropriate level of environmental analysis (e.g., environmental review or environmental assessment) consistent with the proposal.

• The Contractor shall lead periodic project review teleconferences for NRC and the

Navy, with frequency (i.e., weekly, bi-weekly) dependent on ongoing and upcoming scope of work.

• NRC will conduct ON-SITE inspections of the project and review of Contractor programs supporting the decommissioning work.

Indemnification Against Nuclear Risks (FAR Part 50)

• The scope of work involves “by-product material,” as such materials are defined in the Atomic Energy Act of 1954, as amended.

• The Navy considers FAR Part 50 indemnification against nuclear risks may apply and would recommend to SECNAV that it applies based on inputs from the

Contractors for applicability of contractual provisions for indemnification against nuclear risks under Public Law 85-804 and the framework and requirements for implementation of such an indemnity agreement described in Federal Acquisition

Regulation (FAR) Part 50.

• The decision authority for an indemnification action under PL 85-804 and FAR Part

50 in Navy contracts is the Secretary of the Navy (SECNAV).

• The Navy seeks information from the perspective of potential Contractors regarding the specific nuclear risks involved with the project scope of work, how the Contractor might be exposed to those risks, and whether losses associated with those risks would otherwise be compensable by insurance policies.

Financial Assurances and Guarantees

• Public assurances and guarantees to mitigate technical and financial risks are provided by contractual arrangements between commercial utility operators and decommissioning contractors. Facilitated transfer of the NRC licenses for several nuclear power stations from operation to decommissioning have ensured the Public’s interest in the decommissioning was upheld.

• These contractual arrangements, in addition to technical requirements, included performance bonds, and radioactive waste disposal easements. For example, for

CGN 9 contract will include the following:

• Performance bond valued at 20% of the contract price;

• 500,000 cu-ft waste disposal easement (Estimate for Ex-LONG BEACH).

• The Navy considers these financial assurances and guarantees from these license transfers, could be adapted to the Ex-LONG BEACH dismantlement to achieve similar mitigation for technical and financial risks, with one important difference: the

Contractor would not hold title to the ship.

Notional Contract Structure

• The Navy is considering a “net price award” under Firm Fixed Price contract terms with a radiological regulatory compliance performance incentive.

• Contractor applies proceeds from the sale of scrap and reusable equipment to offset price of performance

• These estimated proceeds must be factored into proposed price

• Mandatory “ship tour participation” at Puget Sound Naval Shipyard, WA required for proposal submission.

• CLIN structure still being evaluated:

• CLIN 0001 – Transport

• Contractor prep for transfer of custody of the ship:

• Included in proposal submission, for NRC recommendation for approval, Navy approval and preparation for Transfer of Custody.

• Contractor takes custody of ship

• Transfer of vessel to a mutually agreed upon location when site is ready to support the vessel.

• CLIN 0002 – Dismantle and Dispose

• Preparation, submission, and approval of the DWP

• DWP includes facilities and licensing requirements, physical security requirements, environmental, safety and health systems.

• Dismantlement and disposal of non-radiologically controlled ship sections.

• Dismantlement and disposal of radiologically controlled ship sections.

• Included in the DWP for NRC recommendation for radiological work and that remainder of the ship can be released from further radiological regulatory oversight.

Notional Contract (cont.)

• CLIN 0002 – Dismantle and Dispose (cont.)

• Perform post-dismantlement activities:

• Document completion of all CGN 9 material recycling and disposal.

• Perform site release surveys for submission, review and approval.

• Submit site release request with documentation of approval for all radiological release documents, material recycling / disposal and any site restoration documentation for Navy approval.

• CLIN 0003 – Data Items

• CLIN 0004 – Incentive Fee for Radiological Regulatory Compliance

• Regulatory compliance incentive fee will be a predetermined amount, to be paid upon the successful completion of the dismantlement/disposal of the vessel.

• Full incentive is reduced if monetary penalties (i.e., fines if this were NRC-regulated work) are assessed under the Notional Framework during the contract period of performance.

Dismantling MUST be accomplished in the United States

The vessel and site MUST be available at all times for Government oversight.

On-site Government oversight will be provided.

Notional Contract (cont.)

• Contract award would be made to the responsible offeror based on meeting minimum requirements for:

• Technical approach

• Management approach

• Schedule

• Past performance

• Price

• Determination of whether an offeror is technically qualified will include the capabilities and "past performance" of the offeror on similar or more challenging work.

• A technically compliant proposal will include the demonstrated ability of the offeror to meet the strong financial guarantee requirements.

• Price includes the sum of the fixed price to complete the project and the radiological regulatory compliance incentive fee.

Proposal – Required Technical Content

▪ As part of the solicitation process, Contractors should expect

Government to request, at a minimum, the following to evaluate the technical adequacy of the proposal.

• Plans covering:

• Transfer of Custody in accordance with Notional Regulatory Framework

• Preparing the facility to accept the vessel for dismantlement and disposal

• Compliance with Federal, State and local regulations for safety & health, environmental and fire safety

• Environmental and radiological remediation

• Sale of scrap and reusable equipment/materials

• Procedures and techniques used to dismantle and dispose of the vessel.

• Measures to prevent fire, flooding and sinking during dismantlement.

Notional Timeline

Event Target Date

RFI Responses Due (Executive Summary) 6/15/2026

Industry Day 6/24 - 6/25/2026

RFI Responses Due (White Paper) 7/10/2026

Site Visits Jul-Sep 2026

Release RFP August 2026

Receive Proposals October 2026

Award Contract March 2027

Closing Remarks

▪ A copy of today’s brief will be posted to www.sam.gov

▪ Submit all questions with white paper RFI responses by 10 July 2026:

o jerry.low.civ@us.navy.mil (Contracting Officer) o Jason.chan7.civ@us.navy.mil (Contracts Specialist) o herbert.r.duff.civ@us.navy.mil (PAPM Inact and Disposal)

Thank you for attending and your interest in NAVY’s Ex-LONG BEACH (CGN 9) Dismantlement and

Disposal Project.

The NAVY values your input!

http://www.sam.gov/ mailto:jerry.low.civ@us.navy.mil mailto:jerry.low.civ@us.navy.mil mailto:Jason.chan7.civ@us.navy.mil mailto:Jason.chan7.civ@us.navy.mil mailto:Herbert.r.duff.civ@us.navy.mil mailto:Herbert.r.duff.civ@us.navy.mil