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U-S Senator Questions Nuclear Plant Cleanup
Hinting at Coziness, Grassley seeks memos between Energy Dept. and Lockheed
 
By Joby Warrick, Washington Post Staff Writer
Saturday, August 10, page A03

  A Senate Republican yesterday demanded extensive records of the Department of Energy's
dealings with contractor Lockheed Martin Corp., questioning whether "cozy relations" were
impeding a government probe of alleged fraud and environmental abuse at the agency's Paducah,
Ky., uranium plant.
 
   Sen. Charles E. Grassley (Iowa), the ranking Republican on the Senate Finance Committee, was
the second senior lawmaker in as many days to publicly question the department's handling of
the cleanup at Paducah, a nuclear-fuel plant that became the focus of a federal probe three
years ago this month.
 
  Although the department has acknowledged extensive environmental damage at the Kentucky plant
-- and even issued an apology to workers -- it has not decided whether former plant operator
Lockheed Martin should be held financially responsible. A Justice Department decision on
whether to join a whistle-blower lawsuit against Lockheed has been delayed for more than two
years, in part because the department has withheld its opinion on the merits of the case.
 
  The lawsuit alleges that Energy Department contractors misled workers and the government
about environmental contamination at the plant, built in 1952 to enrich uranium for nuclear
bombs.
 
  "I am troubled by the possibility that there may be a subtle effort underway at the Energy
Department to slow or even sideline" the government's intervention in the case, Grassley wrote
in a letter to Energy Secretary Spencer Abraham.
 
  Too often, he wrote, "I have seen agencies place a premium on cozy relationships with their
contractors . . . over and above the need to protect taxpayers." Grassley asked Abraham to turn
over three years' worth of documents and memos between Energy officials and Lockheed.
 
  Similar concerns were raised in a letter Thursday by Rep. Henry A. Waxman (Calif.), the
ranking Democrat on the House Government Reform Committee. Waxman noted ties between Lockheed
and the Bush administration -- Vice President Cheney's wife, Lynne V. Cheney, is a former
Lockheed board member -- as well as the contractor's reputation for lobbying and political
giving.
 
  "If a corporation has indeed caused this terrible harm at Paducah, it would be outrageous to
force the public to pay the bills three times over -- first for contract fees, second in
suffering the harm and third for the cleanup," Waxman wrote.
 
  The Energy Department yesterday promised to review the lawmakers' concerns. "We are carefully
considering all points raised and seeking the views of all parties," department spokesman Joe
Davis said.
 
  Lockheed Martin has declined to talk about the specifics of the whistle-blower case, but
spokeswoman Meghan Mariman said yesterday that the company has cooperated fully with government
investigators. "We believe the case has no merit," she said.
 
  The apparent ambivalence over the whistle-blower case stands in sharp contrast with the
department's decisive steps in launching a $1.3 billion cleanup and assisting ailing workers.
 
  On Thursday, Abraham announced changes intended to make it easier for workers to qualify for
payments. "Employees of DOE contractors have performed important work for their country,"
Abraham said in announcing the rule changes. "Even though they may have worked for a government
contractor, these dedicated individuals are our workers, and we are going to take care of
them."