A system for cleaning and milling bone to form bone chips. The system includes a shell into which bone stock is introduced. Internal to the shell is a cleaning element that removes soft tissue and other material surrounding the bone stock. The cleaned bone stock is transferred through an opening in the shell to a mill unit. The mill unit has a milling element against which the bone is disposed. The milling element, when actuated coverts the bone stock into bone chip. A motor drives both the cleaning element and the mill element. The shell and mill unit may be part of a head unit. The head unit is removably attached to a base in which the motor is disposed.