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Preliminary Notice of Violation issued to Kaiser-Hill Company, LLC, related to an Unplanned, Radioactive Material Uptake at the Rocky Flats Environmental Technology Site, (EA-2000-05)

Issued to International Isotopes Idaho, Inc., related to Work Planning and Control Deficiencies associated with Replacement of Exhaust Ventilation Filters at the Test Reactor Area Hot Cell Facility at the Idaho National Engineering and Environmental La...

Brookhaven National Laboratory's (Brookhaven) Central Shops Division (Central Shops) provides support services for research and development programs and user facilities. The Department requires its management and operating contractors to evaluate, by performing a make-or-buy analysis, whether their services could be obtained at a lower cost by outsourcing to commercial entities. The objective of the audit was to determine whether Brookhaven prepared a make-or-buy analysis for its Central Shops.

Central Shops at Brookhaven National Laboratory

In Calendar Year (CY) 1998, the Department of Energy (Department) spent about $480 million to provide health benefits for employees of its contractors. In 1994, the Office of Inspector General (OIG) evaluated the system in place at that time to determine if contractor employee health benefit costs were reasonable. In our June 1994 report, DOE/IG-0350, Audit of Health Benefit Costs at the Department's Management and Operating Contractors, we reported that the Department paid more than its fair share of management and operating contractors’ employee health benefit costs. We recommended that the Department (1) publish quantitative measurement techniques or standards for use in testing the reasonableness of contractor employees' health benefit costs, (2) require tests of the reasonableness of employees' health benefit costs to be performed periodically, and (3) provide guidance concerning specific health care provisions in Management and Operating (M&O) contracts. In response to the audit recommendations, the Department issued Order 350.1, Contractor Human Resource Management Programs, to require that contractors use one of two quantitative measurement techniques to periodically evaluate the reasonableness of employee benefit programs, and to require model contract language addressing employee benefit program features. Health benefit plans are a part of overall contractor employee benefit programs. In addition, the Department increased its staff of benefit experts, prepared a training manual, and held training on Order 350.1 at Departmental field sites.

Follow-up Audit of Health Benefit Costs at the Department’s Management and Operating Contractors

Issued to Babcock & Wilcox of Ohio, Inc., related to Deficiencies in the Unresolved Safety Question Process at the Miamisburg Environmental Management Project

Order authorizing NRG Power Marketing LLC to export electric energy to Canada.