Wanted: a single entity or consortium to manage the nation's leading nuclear weapons lab. Group can be public, private or not-for-profit. Experience in scientific research, handling nuclear materials and a keen appreciation of security a plus.
The government agency responsible for awarding the management contract of New Mexico's Los Alamos National Laboratory released a draft request for proposals Wednesday, specifying parameters any potential bidder must meet. Some of the conditions include a mandatory re-hiring of the lab's current staff with comparable pay and benefits, an initial contract term of five years and an estimated compensation award of $2 billion per year.
The UT System has kept quiet about potential plans to bid on the contract despite formally expressing interest to the National Nuclear Security Administration, which oversees management of the labs. The System also commissioned a task force and private consulting group to evaluate the request for proposal, said Randa Safady, the vice chancellor of external relations for the UT System.
Lab officials said strong management practices will be a quality just as important as scientific ability in the lab's new manager.
"We're looking for the best offer, whatever the business entity happens to be," said Tyler Przybylek, chairman of the contract evaluation board of NNSA. "We want world-class science or better, and business and operations good enough to enable that science."
Los Alamos has been managed by the University of California System since its inception during World War II to build the first atomic bomb as part of the Manhattan Project.
The NNSA announced the contract for the DOE-owned lab would be up for bid once UC's term ends fall 2005. A series of security and safety problems culminated with questions surrounding missing classified computer drives and a laser accident involving an intern.
Provisions in the draft proposal award financial bonuses and the option of adding extra years to the contract if performance levels are met. In addition to receiving an annual operating budget, the lab's contractor will receive an additional fee tentatively set at 1.5 percent of the budget to compensate for management, according to the draft request.
The roughly 400-page draft request covers every facet of operating the lab, ranging from services being acquired to stipulations for Los Alamos employees' pension plan. Potential bidders and other interested members will have 30 days to comment on the proposal before a final draft is released sometime after the new year, Przybylek said.
The System has not had enough time to decide to bid or not, Safady said. Kelly Anderson and Associates, a consulting firm hired by the System, will evaluate the draft request for proposals before determining what a successful bid on the lab contract would mean for the University, Safady said.
UT Chancellor Mark Yudof will review the consulting group's findings, and any recommendation to proceed with a bid on the lab would be presented to the Board of Regents at its February quarterly meeting.
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