Calendar Year 2020

Since September 1 1,200 1, the Department of Energy has, on several occasions, revised
its security posture based on identified threats and adversaries. These revisions in
security posture have driven Departmental sites to upgrade their defensive and tactical
equipment. Subsequent changes in the perceived threats have, in some cases, led to a
reduction in the need for certain types of weapons, thus creating a pool of surplus
equipment. These surplus weapons could potentially be used by other Department sites
and Federal law enforcement agencies.

The Washington Savannah River Company, LLC (WSRC), served as the management
and operating contractor for the Department of Energy's Savannah River Site (SRS) from
April 1, 1989, to July 3 1, 2008. [n accordance with the terms of its contract, WSRC
expended Federal filnds for the operation and maintenance of SRS. WSRC was required
to account for all filnds advanced by the Department and to safeguard Government assets
in its care. Also, as required by its contract, WSRC was to annually prepare a Statement
qfC'osl.~In curred und ('laimed, which it submitted to the Department for all Federal
funds expended during the year. For Fiscal Year (FY) 2007, WSRC expended and
claimed $1,420,986,556.87.

During Fiscal Year (FY) 2008, we reviewed a variety of critical areas relevant to the Department’s mission priorities. One of our goals, for example, was to examine possible programmatic improvements in Department operations relating to cyber security and contract management. Overall, our efforts resulted in the issuance of over 70 audit and inspection reports containing recommendations for enhancing Departmental operations, with likely savings of over $7 million. Further as a result of our investigative efforts, we obtained 20 criminal convictions, recovered $22.8 million in fines, restitutions and settlements, and, processed over 1,100 complaints and concerns from employees,
contractors, and taxpayers regarding the Department and its functions.
In the upcoming year, the OIG plans to focus its efforts on addressing other OIG-identified Management Challenges: safeguards and security, environmental cleanup, stockpile stewardship, and energy supply. No doubt, we will also be involved in the effort to restructure the IG community’s governance model as called for in the Inspector General
Reform Act of 2008. Among a number of initiatives, this includes the standing up of a new, unified, executive council for the IG community. We anticipate being directly involved in this and a number of related activities.

The American Recovery and Reinvestment Act of 2009 (Recovery Act) was signed into law on February 17, 2009, as a way to jumpstart the U.S. economy, create or save millions of jobs, spur technological advances in science and health, and invest in the Nation's energy
future. This national effort will require an unprecedented level of transparency and accountability to ensure that U.S. citizens know where their tax dollars are going and how they are being spent. As part of the Recovery Act, the Department of Energy will receive
more than $38 billion to support a number of science, energy, and environmental initiatives. Additionally, the Department's authority to make or guarantee energy-related loans has increased to about $127 billion. The Department plans to disburse the vast majority of the
funds it receives through grants, cooperative agreements, contracts, and other financial instruments.