Home subscribe manage Las Vegas Review-Journal
  Jobs Cars Homes Shopping Travel Weddings Golf Best of Las Vegas Photo   Search:

RECENT EDITIONS
Sun Mon Tue Wed Thu Fri Sat

News


DOE contract for Yucca Mountain attracts attention

U.S. Justice Department takes notice

WASHINGTON -- The Department of Justice is raising its eyebrows at a multimillion-dollar legal services contract the Department of Energy awarded in the fall to handle licensing for the Yucca Mountain nuclear waste repository.

Energy Department officials failed to check with the Justice Department before signing a four-year $47.7 million contract with Morgan Lewis & Bockius LLP, a firm acknowledged to have conflicts on nuclear waste matters, a Justice official said.

Newsvine Digg Fark Technorati reddit StumbleUpon del.icio.us Slashdot Propeller Mixx Furl Twitter MySpace Facebook Google Bookmarks Yahoo! Bookmarks Windows Live Favorites Ask MyStuff myAOL Favorites

Most Popular Stories
  • NORM: Penthouse wants piece of the Strip
  • RAMPAGE ENDS IN SUICIDE: Man runs amok in Las Vegas
  • ROBBERY-HOMICIDE CASE: Juror sent flirtatious messages
  • Father mourns his daughter
  • NORM: 'Joe the Plumber' too booked for LV
  • Judge asks court to release son arrested after crash that killed girl
  • NORM: Strip club owners, 'Vinny' part ways
  • Anger over cuts reaches fever pitch
  • Working beneath Lake Las Vegas
  • DISCIPLINE COMMISSION: Halverson removed from bench



  • "Neither DOE nor Morgan Lewis consulted with or even notified the Department of Justice before entering into an agreement that involved significant conflicts of interest affecting the United States," said Jeanne E. Davidson, director of the Justice Department's commercial litigation branch.

    Davidson indicated that the Justice Department would have had the authority to block the contract. Neither Justice nor DOE officials could be reached Monday evening, and it was not immediately clear whether Justice might be contemplating action at this point.

    Davidson conveyed the department's position in a June 16 letter to Gregory Friedman, the Energy Department's inspector general. A copy of the letter was obtained Monday.

    In addition to helping the Energy Department win a construction license for the proposed nuclear waste site 100 miles northwest of Las Vegas, Morgan Lewis also represents more than a dozen utility companies that have sued DOE for missing project deadlines dating to 1998.

    The Justice Department represents taxpayers in the utility lawsuits that DOE has estimated could cost at least $7 billion in settlements and judgments. Davidson said the Justice Department as a key player should have been consulted.

    Davidson said Morgan Lewis is pressing the federal Court of Claims for damage payments to utilities that continue to store their nuclear waste on site. At the same time, Davidson said, the firm will play a role in determining when a Yucca repository might open, if ever.

    That means Morgan Lewis has the ability to affect the amount of damages its utility clients will receive, she said.

    The Energy Department said it obtained a waiver in order to hire Morgan Lewis, which it contended was the only firm sizable and skilled enough for the Yucca Mountain licensing case. The firm said it erected firewalls to shield its lawyers handling various nuclear waste projects.

    Davidson said the Justice Department has asked Morgan Lewis to explain what safeguards it installed to protect against conflicts.

    The Morgan Lewis contract includes five one-year options that could raise its total value to $109 million, an amount lawyers said could be a record for a nuclear venture.

    Friedman's office issued a report in April faulting the Energy Department for not fully documenting its selection process. Other than that, inspectors said DOE appeared to follow proper procedures in obtaining the waiver to hire Morgan Lewis.

    More recently, the state of Nevada tried to have the firm disqualified from handling Yucca Mountain matters before the Nuclear Regulatory Commission, but the NRC rejected the state's demand.

    Several Nevada lawmakers renewed their call for the Morgan Lewis contract to be suspended.

    "The Justice Department has finally recognized that this conflict of interest extends beyond the DOE and that it's the American taxpayer who stands to lose at the end of the day," said David Cherry, a spokesman for Rep. Shelley Berkley, D-Nev.

    Sen. Harry Reid, D-Nev., said through a spokesman it was suspicious "that DOE went around the DOJ on a legal matter related to the largest government contract for legal services in history."

    Contact Stephens Washington Bureau Chief Steve Tetreault at stetreault@stephensmedia.com or 202-783-1760.



    Leave Your Comment 3 Reader Comments
    Terms & Conditions
    The following comments are provided by readers and are the sole responsiblity of the authors. The reviewjournal.com does not review comments before publication nor guarantee their accuracy. By publishing a comment here you agree to abide by the comment policy. If you see a comment that violates the policy, please notify the web editor.

    Some comments may not display immediately due to an automatic filter. These comments will be reviewed within 48 hours. Please do not submit a comment more than once.
    Current Word Count:

    Informed Nuke wrote on June 25, 2008 05:10 PM: Just to set the record straight for all who might take a look. An average nuclear plant of the light water reactor type (LWR) expends approximatly 20 tons of used fuel per year. Currently this is what we classify as "waste", although it still contains about 95% of its original energy, but that is a different issue. The Yucca Mountain site is legislated to store approximatly 70,000 tons of this "waste" but numerous studies show that this could be expanded.


    Skeptical Nevadan wrote on June 25, 2008 08:16 AM: Just another example of how political and hypocritical this whole fiasco has become: the State objecting sharply to the possibility that the law firm hired by DOE (i.e., paid advocates) might actually take the position of advocating for their clients. I suppose it's reasonable to hold the DOE to a higher standard in this case (it has the burden of proof, it should avoid potential conflicts of interest, etc.). But still, the State's own legal representation is openly and rabidly against the Yucca Mountain repository, as witnessed by the recent and unfortunate death of one of the State's hired legal guns, Joe Egan, who requested that his ashes be scattered at the Yucca site with the message "Over my dead body."

    As for the transportation issue, the idea that the waste will travel right through Vegas is a fantasy perpetuated by repository opponents to frighten gullible citizens. All of the proposed transportation routes don't come near Vegas, in accordance with strict federal guidelines set by the NRC and DOT.

    The simple truth is that Las Vegans face a far more serious threat from the daily shipments of common chemicals in tanker trucks, and yet no one seems concerned about them, much in the way people in our town are unconcerned about environmental and safety issues in general.

    And by the way, either the History Channel or the viewers got the facts wrong if they claimed that Yucca Mountain will store 170,000 tons of waste or that nuclear plants currently produce 70,000 tons of such waste per year. Yucca Mountain is slated to store about 77,000 tons total, and the total inventory of waste in the U.S. is about 60,000 tons. If we produced waste at a rate of 70,000 tons per year, we'd have over two million tons.


    Kent wrote on June 24, 2008 11:36 PM: On the History Channel this evening they showed a timely program on nuclear waste issues and Yucca Mountain respository. After seeing it, I see very little comfort in the way that the DOE is handling the project. Storage is not only issue, but also the transportation infrastructure is called into question when much of the waste goes right through Las Vegas. There will be objections from other states as well where this spent fuel needs to travel through by train and tractor rigs to transport the waste to Yucca Mountain. The plan, I learned, is that Yucca Mountain is geared up to store 170,000 tons of hot and cold nuclear waste. The 103 nuclear plants in the U.S. expend 70,000 tons of spent fuel each year. So the DOE is going to have to cut corners or expand Yucca repository even more. Also DOE guarantees the site will be safe for 1 million years after its closed, if you believe this claim. The Feds broke their contract to nuclear utility companies because they guaranteed to take their spent fuel by January 1998 at Yucca and now paying them $300 million a year to store the waste until they have Yucca ready. The site is only an 1.5 hours from Vegas on SR-95.