CBCA 5636
Board: CBCA
Agency: Department of Energy
Appellant: Savannah River Nuclear Solutions, LLC
Date: 2017-05-12
Outcome: denied
DENIED: May 12, 2017
CBCA 5636
SAVANNAH RIVER NUCLEAR SOLUTIONS, LLC,
Petitioner,
v.
DEPARTMENT OF ENERGY,
Respondent.
Karen L. Manos and Erin N. Rankin of Gibson, Dunn & Crutcher, LLP, Washington,
DC, counsel for Petitioner.
Lucy M. Knowles, Ralf Wilms, and Jennifer B. Farmer, Office of Chief Counsel,
Department of Energy, Aiken, SC, counsel for Respondent.
Before Board Judges DANIELS (Chairman), GOODMAN, and ZISCHKAU.
GOODMAN, Board Judge.
On February 10, 2017, Savannah River Nuclear Solutions, LLC (SRNS or petitioner)
filed a submission which it titled as a âPetitionâ pursuant to the Contract Disputes Act. The
petition stated that SRNS had submitted a claim to the Department of Energyâs contracting
officer on November 16, 2016, and attached a copy of the claim to the petition as Exhibit 1.
The petition requested two forms of alternate reliefââthat the Board direct the Contracting
Officer to issue a final decision on the attached claim . . . within thirty days, or treat it as a
deemed denial in accordance with 41 U.S.C. § 7103(f)(5)[2012].â
According to the petition, the contract at issue is the Management and Operating
contract for the Savannah River Site in Aiken, South Carolina (the contract), and âthe claim
CBCA 5636 2
seeks, as a matter of right, an interpretation of the contract terms determining that . . .
[certain] costs being charged by and reimbursed to SRNS under the Contract are allowable.â
The petition stated further:
The Contract Disputes Act mandates that, within 60 days of receipt of SRNSâs
claim, the CO [contracting officer] take one of two actions: (1) issue a final
decision, or (2) notify SRNS âof the time within which a decision will be
issued.â 41 U.S.C. § 7103(f)(2); see also Whiteriver Constr., Inc. v. Depât of
Interior, CBCA No. 2349, 12-1 BCA ¶ 34,938 at 171,773 (finding jurisdiction
over the deemed denial of a claim and explaining that â[o]nce the claim was
submitted, the contracting officer was required to issue a decision on it or
notify the contractor of a reasonable time in which the decision would be
issuedâ). The CO failed to take either of those actions by January 9, 2017, the
60th day after receipt of SRNSâs claim. Instead, by letter dated January 9,
2017[1], the CO informed SRNS that â[d]ue to ongoing investigations and in
accordance with Federal Acquisition Regulation 33.211(c)(2), the Request for
Final Decision will be delayed until August 10, 2017.â
The Board docketed the petition and issued an order on proceedings which stated that
the panel chair would schedule a conference with counsel after government counsel filed an
appearance. The Board did not issue its standard order on proceedings for an appeal which
would have established a schedule for the submission of a complaint, answer, and appeal file.
Once government counsel filed an appearance, on February 22, 2017, a conference was held
to discuss the issues and schedule further proceedings. By order of the Board dated
February 23, 2017, the parties were then directed to brief the following issues raised in the
petition:
1) [Whether] the contracting officer failed to timely meet the obligation
pursuant to the Contract Disputes Act to issue a final decision or notify the
contractor of a reasonable time in which the decision would be issued.
2) If the contracting officer is found to have notified the contractor as to a time
when the decision would be issued, whether that time is reasonable.
1
A copy of this letter was attached to the petition as Exhibit 2.
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The parties filed briefs as directed, and additional reply briefs.2
Discussion
Petitionerâs Request to Direct the Contracting Officer to Issue a Decision
SRNSâs submission was designated a petition. CBCA Rule 1(b)(7)(48 CFR
6101.1(b)(7) (2016) defines a petition as ârequest filed under 41 U.S.C. 7103(f)(4) that the
Board direct a contracting officer to issue a written decision on a claim.â The provision of
the CDA cited in the rule, 41 U.S.C.