Calendar Year 2020

From 1952 through 1988, RMI Titanium Company (RMI), a private company, performed work
for the Department of Energy and its predecessor agencies as well as for various commercial
customers. RMI's commercial work involved processing uranium and non-radioactive metals,
such as copper and copper alloys. Historically, the Federal Government has not reimbursed
private companies for clean-up activities related to their commercial operations. However, in
March 1993, the Department awarded RMI a 10-year, cost-reimbursable contract to clean up
the RMI site in its entirety and adjacent grounds to a level that permits release of the site for
unrestricted use.
The site remediation, now referred to as the Ashtabula Environmental Management Project, is
projected to cost approximately $300 million. Through Fiscal Year 2001, the Department has
spent about $103 million on this effort. We conducted this audit to determine whether RMI
should pay a portion of the remediation cost of Ashtabula.
The Department of Energy (Department), by its own estimate, spends about $217 million
annually to operate over 50 separate nuclear material tracking systems and to perform other
procedures necessary to maintain accountability over its nuclear material inventory. Because
these systems are not fully integrated, obtaining comprehensive data about nuclear materials is
inefficient. In addition to the many site-level systems, the Department also maintains the
Nuclear Materials Management Safeguards System (NMMSS). Used since 1965, NMMSS
comprises a major component of the Government's nuclear materials accounting system. It
contains high-level, aggregate data on quantity, as well as individual transaction data on
shipments of nuclear materials, both internal and external to the United States. The
Department and the Nuclear Regulatory Commission share the $4 million annual operating
costs for NMMSS. In recognition of the inefficiencies of maintaining numerous tracking
systems, the Department initiated a study in 1999 to examine opportunities to modernize its
nuclear materials management systems.@Nõ
From 1954 through 1989, the mission of the Department of Energy's Fernald
Environmental Management Project (FEMP) was the production of high-purity uranium
metals for use in the Department's nuclear weapons program. The Department suspended
all production operations at the site in 1989 and, in 1991, it formally ended the site's
production mission. The first environmental restoration contract at the FEMP was
awarded to the Fernald Environmental Restoration Management Corporation, now known
as Fluor Fernald, Inc. (Fluor), in 1992. From December of that year through November
2000, Fluor managed the site's cleanup activities, and in November 2000, was awarded
the FEMP's closure contract.
The Plutonium Stabilization and Packaging System at the Rocky Flats Environmental Technology Site
From 1952 to 1989, the Rocky Flats Environmental Technology Site (Rocky Flats) produced
nuclear weapons components for the Department of Energy. In January 1992, the primary
mission of the site changed from nuclear weapons production to site cleanup and closure. A
prerequisite to closure is the removal of 9,800 kilograms of plutonium metals and oxides stored at
the site. Rocky Flats estimates that these metals and oxides will be packaged into 1,900
containers which, as currently planned, will be shipped to the Department's Savannah River Site