AecomUnited States: Aecom is involved in the management of the Nevada National Security Site (NNSS) where subcritical testing to maintain and modernise the US nuclear arsenal take place.
Aecom, based in the US, provides professional technical and management support services to a broad range of markets, including transportation, facilities, environmental, energy, water and government.[i]
In the financial year ending 30 September 2015, Aecom reported revenues of US$ 18.0 billion (€ 16.0 billion), resulting in an operating income of US$ 129.0 million (€ 114.7 million) and a net loss of US$ 154.8 million (€ 137.7 million).[ii] In October 2014, Aecom acquired US technology and engineering company URS.[iii]
Together with partners BWX Technologies, CH2M Hill and Northrop Grumman, Aecom is a joint venture partner in National Security Technologies (NSTec). The exact ownership distribution is not known. Since 2006, NSTec has managed the Nevada National Security Site (NNSS), previously known as the Nevada Test Site.[i] The US$ 3.1 billion (€ 2.3 billion) contract includes operation and maintenance of over 500 facilities and laboratories as well as associated infrastructure, vehicles, and IT/communications.[ii] The contract expires in September 2016.[iii] The NNSS is the only US nuclear test site where subcritical tests are still taking place, and is a critical facility for the modernisation of the US nuclear arsenal. The most recent subcritical test was the Pollux test in December 2012.[iv] In the financial years 2014 to 2016, the National Nuclear Security Administration (NNSA) is planning the Lyra-series of three scaled-integral implosion experiments; these include Vega, a subcritical experiment in the NNSS complex using a plutonium pit.[v]
The joint venture is responsible for managing the nuclear explosives safety team, as well as support hazardous chemical spill testing, and emergency response training, among other tasks.[vi] Aecom states that it specifically oversees remote field experiments, multiple laboratory operations, waste management systems, and the design and fabrication of electronic, mechanical and structural systems at the NNSS.[vii]
Through its acquisition of URS in October 2014, Aecom became involved in the Lawrence Livermore (LLNL) and Los Alamos National Laboratories (LANL), which are jointly managed by BWXT, University of California, Bechtel and URS Corporation. The Lawrence Livermore National Security partnership also includes Battelle and Texas A&M University.[viii] LLNL and LANL play an important role in the research, design, development and production of nuclear weapons.[ix]
The contract with Los Alamos National Security, which was awarded in 2006, currently amounts to around US$ 2 billion (€ 1.8 billion) per year plus a performance-based fee.[x] Despite substandard performance in recent years, the consortium managing the LANL was granted a waiver extending the contract through 2018. This was subsequently revoked and reduced to 2017. However, the Department of Energy cut the fees in recent years, by 90% in 2014 alone, citing a “significant or ‘First Degree’ performance failure” of the contractor.[xi] In December 2015, the National Nuclear Safety Administration informed the US Congress that the LANL contract will be up for competitive bidding after 2017. While the performance evaluation was better than in the previous year, it was still not good enough to earn the operators an award of an extra contract year.[xii]
The contract for LLNL was awarded in 2007 and currently runs through September 2019.[xiii] The maximum possible fee to be collected under the contract is US$ 45.5 million (€ 37.6 million) a year.[xiv] As at LANL, the National Nuclear Security Administration was criticised for renewing lucrative deals at LLNL despite poor performance of the contractors.[xv]
 Battelle is a US based 501(c)(3) charitable trust. In examining their tax records, they appear to have reported only government income and no external or private financing.
The following financial institutions have made approximately US$ 17,088 million available to this producer since January 2013.
- Anchor Bolt Capital
- Auto-Owners Insurance
- Banco Bilbao Vizcaya Argentaria (BBVA)
- Bank of America
- Bank of Communications
- Bank of New York Mellon
- BMO Financial Group
- BNP Paribas
- Capital One Financial
- Central Bank of Libya
- Chiba Bank
- City National Corporation
- Crédit Agricole
- Dimensional Fund Advisors
- E.SUN Financial
- Fidelity Investments
- Fifth Third Bancorp
- First Financial Holding
- Geode Capital Management
- Greenlight Capital
- Hua Nan Financial
- JPMorgan Chase
- Legg Mason
- Lord, Abbett & Co
- Lyrical Partners
- M&T Bank
- MassMutual Financial
- Mega Financial
- Mitsubishi UFJ Financial
- Mizuho Financial
- Morgan Stanley
- New Jersey Department of the Treasury
- New Mountain Capital
- Northern Trust
- Norwegian Government Pension Fund – Global
- Old Mutual
- Polar Capital Holdings
- Poplar Forest Capital
- Power Financial Corporation
- Primecap Management
- Pzena Investment Management
- S&T Bancorp
- SinoPac Holdings
- Standard Chartered
- State Bank of India
- State Street
- State Teachers Retirement System of Ohio
- Sumitomo Mitsui Financial
- Taiwan Business Bank
- Taiwan Cooperative Financial
- Taiwan Financial Holding
- Thornburg Investment Management
- Toronto-Dominion Bank
- US Bancorp
- Wedge Capital Management
- Wells Fargo
Facebook: www.facebook.com/AecomTechnologyCorporation[last updated 30 November 2016]
[i] Aecom, “About”, Website Aecom (www.aecom.com/About), viewed June 2016.
[ii] Aecom, “Annual Report 2015”, Aecom, November 2015.
[iii] Aecom, “Aecom completes acquisition of URS Corporation”, News release Aecom, 17 October 2014 (investors.aecom.com/phoenix.zhtml?c=131318&p=irol-newsarticle&ID=1978957).
[i] National Security Technologies, “NSTec, Who we are…”, Website National Security Technologies (www2.nstec.com/Pages/About.aspx), viewed June 2016;
Aecom, “10-K Annual Report 2013”, Aecom, November 2013 (phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9MjIzNjQyfENoaWxkSUQ9LTF8VHlwZT0z&t=1);
InsideDefense, “DOE Awards Northrop Grumman Nevada Test Site Management and Operations Contract”, InsideDefense, 29 March 2006.
[ii] Aecom, “Annual Report 2014”, Aecom, November 2014.
[iii] Rothberg, D., “With billions at stake, contractors eye bid to operate National Security Site”, Website Las Vegas Sun, 25 November 2015 (lasvegassun.com/news/2015/nov/25/with-billions-at-stake-contractors-eye-bid-to-oper/).
[iv] Nevada Site Office, “NNSA Conducts Pollux Subcritical Experiment at Nevada National Security Site”, Website Nevada Site Office, 6 December 2012 (nnsa.energy.gov/mediaroom/pressreleases/pollux120612);
Licherman, A., “Issue Update – Subcritical tests”, Western States Legal Foundation, 2012 (www.wslfweb.org/docs/WSLF%20Issue%20Update–Subcritical%20Tests%20Fall%202012.pdf).
[v] Office of Research, Development, Test and Evaluation, “Stockpile Stewardship Quarterly”, National Nuclear Security Administration (NNSA), March 2015 (www.nnsa.energy.gov/sites/default/files/2015-03%20SSQ%20V5%20N1.pdf);
Furlanetto, M.R., “Stockpile Stewardship through Subcritical Experiments”, Los Alamos National Laboratory, 19 February 2014 (www.orau.gov/ssap2014/presentations/furlanetto_m.pdf).
[vi] US Department of Energy, “FY 2016 Performance Evaluation Plan, National Security Technologies, LLC”, US Department of Energy, September 2015 (nnsa.energy.gov/sites/default/files/nnsa/multiplefiles/FY2016%20NSTec%20PEMP_Redacted.pdf);
CH2M HILL, “CH2M HILL awarded joint venture contract to provide support and infrastructure expertise at the Nevada Test Site”, Media release CH2M HILL, 3 April 2006 (www.ch2m.com/corporate/news_room/news_story.asp?story_id=79).
[vii] Aecom, “Annual Report 2014”, Aecom, November 2014.
[viii] BWX Technologies, “Lawrence Livermore National Laboratory (LLNL)”, Website BWX Technologies (www.bwxt.com/about/operations–locations/lawrence-livermore-national-laboratory), viewed June 2016;
BWX Technologies, “Los Alamos National Laboratories”, Website BWX Technologies (www.bwxt.com/about/operations–locations/lawrence-livermore-national-laboratory), viewed June 2016;
National Nuclear Security Administration, “Our locations”, Website National Nuclear Security Administration (/nnsa.energy.gov/aboutus/ourlocations), viewed June 2016;
Union of Concerned Scientists, “Lawrence Livermore National Laboratory”, Union of Concerned Scientists, November 2012 (www.ucsusa.org/assets/documents/nwgs/nuclear-weapons-complex/livermore-fact-sheet.pdf);
Mello, G., “The US nuclear weapons complex: Pushing for a new production capability”, The Bulletin, 20 March 2008 (thebulletin.org/us-nuclear-weapons-complex-pushing-new-production-capability);
Bechtel, “US National Laboratories”, Website Bechtel (www.bechtel.com/u.s._national_laboratories.html), viewed June 2016.
[ix] Union of Concerned Scientists, “Lawrence Livermore National Laboratory”, Union of Concerned Scientists, November 2012 (www.ucsusa.org/assets/documents/nwgs/nuclear-weapons-complex/livermore-fact-sheet.pdf);
National Nuclear Security Administration (NNSA), “Lawrence Livermore National Laboratory (LLNL): Nuclear design and engineering and high explosive research & development (R&D)”, Website NNSA (nnsa.energy.gov/sites/default/files/nnsa/inlinefiles/LivermoreFactSheet.pdf), viewed June 2016;
Los Alamos National Laboratory, “National Security, Weapons Science”, Website Los Alamos National Laboratory (www.lanl.gov/science-innovation/capabilities/national-security-weapons-science/index.php), viewed June 2016.
[x] U.S. Department of Energy, “Management and Operating Contract for the Los Alamos National Laboratory National Nuclear Security Administration – Contract No. DE-AC52-06NA25396”, U.S. Department of Energy, 21 December 2005 (www.lanl.gov/about/_assets/docs/conformed-prime-contract.pdf);
Oswald, M., “LANL contract up for bid after 2017”, Alburquerque Journal, 18 December 2015 (www.abqjournal.com/693548/poor-performance-at-lanl-means-contract-up-for-bid-post2017.html, viewed in June 2016.
[xi] NNSA Los Alamos Site Office, “Amendment of solicitation/Modification of contract – Contract No. DE-AC52-06NA25396, Modification No. 264”, U.S. Department of Energy, 16 April 2014 (nnsa.energy.gov/sites/default/files/nnsa/05-14-inlinefiles/2014-05-21%20LANS-LANL%20Mod0264(4.17.14).pdf);
Project on Government Oversight, “Nuclear Contractor’s Award Fee Slashed by 90 Percent”, Website Project on Government Oversight, 6 January 2015 (www.pogo.org/blog/2015/01/nuclear-contractors-award-fee-slashed.html?referrer=https://www.google.com/);
Oswald, M., “Feds slash management fee for LANL contractor”, Website Alberquerque Journal, 30 December 2014 (www.abqjournal.com/518894/news/feds-slash-fees-for-lanl-contractor-by-90.html);
Gerew, G, “Los Alamos management gets contract extension despite low score”, Website Bizjournals, 17 January 2013 (www.bizjournals.com/albuquerque/blog/morning-edition/2013/01/los-alamos-management-gets-extension.html).
[xii] Oswald, M., “LANL contract up for bid after 2017”, Alburquerque Journal, 18 December 2015 (www.abqjournal.com/693548/poor-performance-at-lanl-means-contract-up-for-bid-post2017.html, viewed in June 2016.
[xiii] Lawrence Livermore National Security, “LLNS, LLC Prime Contract Documents”, Website Lawrence Livermore National Security (www.llnsllc.com/contract/contract.asp), viewed June 2016.
[xiv] Inside the Pentagon, “University of California, Bechtel Consortium wins Livermore Contract”, Inside Defense, 10 May 2007.
[xv] Global Security Newswire, “NNSA Defends Contract Extensions but Congressional Scrutiny Expected”, Website NTI, 12 March 2013 (www.nti.org/gsn/article/nnsa-defends-contract-extensions-congressional-scrutiny-expected/).