Washington River Protection Solutions (WRPS) will pay the U.S. Department of Energy $6.5 million to resolve allegations that the Hanford site contractor overcharged the agency for millions of dollars in labor that was never performed.
The U.S. Attorney’s Office for Eastern Washington announced the settlement June 24. As part of the settlement, WRPS has admitted that between October 1, 2017, and December 31, 2024, it sought and received $3 million in reimbursements from DOE for labor hours made up of unallowable excessive idle time. The company also admitted that it did not schedule or assign sufficient work to be performed by its personnel.
“This is unfortunately not the first time that WRPS has settled allegations of committing fraud on the Tank Farms Contract,” acting U.S. Attorney Richard B. Barker said in a statement, referring to a 2017 False Claims Act settlement with WRPS where it paid $5.275 million to resolve allegations that it knowingly submitted false claims to DOE for overtime and premium pay as well as that it had failed to comply with its internal audit requirements.
WRPS was responsible for management and operation of the 176 large underground storage tanks holding millions of gallons of hazardous and radioactive waste. It had a cost-plus-award-fee contract with DOE, meaning it could receive reimbursement for its claimed allowable costs, including labor.
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