JA_N4523A23R4025 Redacted.pdf

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Attached to
Low Level Radioactive Waste Disposal IDIQ Federal contract opportunity
Solicitation number
N4523A23R4025
Issued by
Department of the Navy Naval Supply Systems Command

About this file

This document is a Justification and Approval (J&A) for a sole source contract award. The Navy requires low-level radioactive waste disposal services from US Ecology for facilities in Washington and South Carolina. Only US Ecology's facility in Richland, Washington is licensed to accept the required Classes A, B, and C waste from the states involved in the Northwest Interstate Compact. The previous sole source contract to US Ecology was awarded on August 31, 2018. Pricing will conform to rates set by the Washington Utilities and Transportation Commission. If another licensed facility emerges that can accept the required waste classes, the Navy will assess future competition.

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CUI J&A Number: 23-4JA

CUI

4. Statutory Authority Permitting Other Than Full and Open Competition.

The statutory authority is 10 U.S.C. § 3204(a) (1) as implemented by FAR Part FAR 6.302-1- Only one responsible source and no other supplies or services will satisfy agency requirement.

5. Rationale Justifying Use of Cited Statutory Authority.

10 U.S.C. § 3204(a)(1) states the head of an agency may use procedures other than competitive procedures when the property or services needed by the agency are available from only one responsible source or only from a limited number of responsible sources and no other type of

FAR 6.302-1 provides that this authority is appropriate when only one source can provide the supplies or services required by the agency and no other type of supplies or services will satisfy agency requirements.

The Low-level Radioactive Waste Policy Amendments Act of 1985 gave the states responsibility for the disposal of their low-level radioactive waste. LLWD occurs at commercially operated low-level waste disposal facilities that must be licensed by either NRC or Agreement States. (Agreement States that have entered into agreements with the NRC gives them the authority to license and inspect byproduct, source, or special nuclear materials used or possessed within their borders.) NRC and the Agreement States regulate low-level waste disposal through a combination of regulatory requirements, licensing, and safety oversight. As of 1 March 2023, there are four existing low-level waste disposal facilities in the United States that accept various types of low-level waste, all of which are in Agreement States. The four Agreement States and businesses are:

Energy Solutions Barnwell Operations, located in Barnwell, South Carolina, licensed for disposal of Class A, B, and C who accepts waste from Connecticut, New Jersey, and South Carolina U.S. Ecology, located in Richland, Washington, licensed for disposal of Class A, B, and C who accepts waste from Nevada, Colorado, New Mexico, Alaska, Hawaii, Idaho, Montana, Oregon, Utah, Wyoming, and Washington Energy Solutions Clive Operations, located in Clive, Utah, licensed for disposal of Class A only who accepts waste from all regions of the United States Waste Control Specialists (WCS), LLC, located near Andrews, Texas, licensed for disposal of Class A, B, and C who accepts waste from the Texas, Vermont, and Rhode Island

As described in paragraph 2 above, PSNS & IMF and PHNSY & IMF requires services of acceptance, dispose/burial, and maintenance in perpetuity of LLRW Classes A, B, and C, currently serviced in totality by U.S. Ecology only.

The Low-Level Radioactive Waste Policy Amendments Act of 19851 - Amends the Low-Level Radioactive Waste Policy Act of 1980 confer responsibility for the disposal of specified low-

1 Data retrieved on 13Mar2018 from https://www.congress.gov/bill/99th-congress/house-bill/1083. Verified 23Nov2022

It also granted congressional consent to the Northwest Interstate Compact on Low-Level Radioactive Waste Management (Compact)2, which provides for cooperation among the States of Alaska, Hawaii, Idaho, Montana, Oregon, Utah, and Washington (a.k.a. In the safety of the citizens of the party states and the most economical management of low-level radioactive wastes can be accomplished through cooperation of the states in minimizing the amount of handling and transportation required to dispose of such wastes and through the cooperation of the states in providing facilities that serve the In addition, Article IV par.

related to its facility to assure that closure, perpetual care, and maintenance and contingency Article III Regulatory Practices mandates

-level waste shipments originating within its borders and destined for a facility within another party state to conform to

-Level

Radioactive Waste Forum, Inc. report to the Chairman of the U.S. Nuclear Regulatory Commission dated 23 April 2009 where it discussed the requirement to dispose of LLRW at its Richland facility.

The Richland facility is the designated LLRW disposal site for the Northwest Interstate Compact for which Washington State and Hawaii are party states. US Ecology is the sole operator of the Richland facility and is the only company authorized to operate at the facility.

Services required by the resulting contract (the purpose of this J&A) ensure that PSNS & IMF and PHNSY & IMF maintain the ability to service nuclear vessels as part of the Naval Nuclear Propulsion Program. These services are required for the foreseeable future and therefore rely on contracts with US Ecology as the sole source of the required services. These services directly support the mission of the Navy by supporting maintenance and repair of Navy nuclear vessels.

The previous contract for these services, N4523A18D4000 (awarded on 31 August 2018) was not competed based on the same facts described above. Only US Ecology was licensed at the time of award to perform the required services.

6. Description of Efforts Made to Solicit Offers from as Many Offerors as Practicable.

The Government conducted market research to identify disposal facilities licensed by either NRC or have obtained an Agreement that supports the required classes. A notice of intent to sole source was posted on SAM.GOV on March 20th 2023, and closed on April 4th 2023. Interested parties were encouraged to submit information in response to the posting, but the Government received no response. US Ecology remains the only identifiable source qualified to complete this work as evidenced by paragraph 5 above.

2 Data retrieved on 13Mar2018 from https://apps.leg.wa.gov/rcw/default.aspx?cite=70A.380.010. Verified 23Nov2022

7. Determination of Fair and Reasonable Costs (FAR 6.303-2(b)(7).

Pricing for low-level radioactive waste disposal at US Ecology is posted by the Washington Utilities and Transportation Commission (WUTC) (https://www.utc.wa.gov/). The Contracting Officer will confirm the rates proposed for this contract conform with the most recent pricing published by the WUTC at the time of evaluation prior to Contract Award. Therefore, the Contracting Officer determinates that the anticipated cost to the Government will be fair and reasonable.

8. Actions to Remove Barriers to Competition

If another potential source licensed for disposal of Class A, B, and C waste and who accepts waste from the Northwest Interstate Compact emerges, PSNS & IMF will assess whether competition for future requirements is feasible.

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