URS-CH2M Oak Ridge, the Department of Energy’s cleanup manager in Oak Ridge for the past four years, is meeting its goals for subcontracting to small businesses, according to a DOE Inspector General report released today.
The audit was conducted to make sure DOE’s Office of Environmental Management was overseeing the contractor’s progress and properly reporting its targets. When it won the contract in 2011, UCOR promised to award 65 percent of its total subcontracting dollars to small businesses. The new report indicated that — through August 2014 — the Oak Ridge cleanup contractor had reported 76 percent ($331 million) of the funding had been awarded to small businesses.
“Nothing came to our attention to indicate UCOR had not made adequate progress in meeting and reporting on its overall established small business subcontracting goals,” the report’s summary stated.
While there were no “material issues” uncovered by the audit, the IG report said auditors identified instances where the Oak Ridge contractor incorrectly reported the socioeconomic status of some of its small business awards “and did not include the signature date on many of the attestation documents.”
The report said auditors looked at 83 small business subcontracts and all of the FY 2014 purchase and blanket order procurements processed by UCOR that exceeded $10,000.
“We identified inconsistent socioeconomic statuses in 23 percent (19 of 83) of the subcontract awards and 24 percent (59 of 251) of the purchase and blanket orders,” the audit report stated.
For instance, in one case a certified woman-owned small business was identified only as being a small business. In another case, the same was true when reporting on an order involving a small and disadvantaged company.
According to the memo from Debra Solmonson, director of the IG’s Eastern Audits Division, these inconsistencies resulted in UCOR inaccurately reporting performance metrics. However, the report said it should not have affected the contractor’s overall performance in meeting its small-business goals.
The report noted that UCOR had taken several procurement improvements to help ensure that information was being reported timely and accurately.
A feature on Atomic City Underground allows readers to sign up for email updates and receive a notice each time new information is posted on the news blog. Just put your email address in the box on the lower right of the blog’s front page and follow instructions. Thanks to all loyal readers.