Beruflich Dokumente
Kultur Dokumente
September 2008
U.S. Department of Energy Unfunded Environmental Liabilities
TABLE OF CONTENTS
Overview ........................................................................................................................................ 1
Unfunded Environmental Liabilities .......................................................................................... 2
Appendix A.................................................................................................................................... 6
Appendix B .................................................................................................................................... 9
Appendix C.................................................................................................................................. 19
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U.S. Department of Energy Unfunded Environmental Liabilities
ACRONYMS
Overview
This report responds to direction in the FY 2008 House Energy and Water Development
Appropriations Report (H.R. 110-185) to prepare a report on the scope of the Department’s
environmental liabilities, the facilities and sites to be considered, life-cycle cost estimates of
work to be performed, and the schedule as to when the work will begin and end. The
management and control of these liabilities under the Department of Energy’s (DOE)
Environmental Management (EM) program has great importance to the Department, given the
possibility for these liabilities to create a financial and safety burden that EM will not be able to
address expeditiously. The congressional language requesting the report appears below:
The Department has hundreds of excess contaminated facilities, materials and radioactive wastes
requiring cleanup. The Program Secretarial Offices (PSOs) are currently responsible for
management and maintenance of these excess facilities and materials until transferred to the
Office of Environmental Management (EM). EM’s current program plans do not include this
new cleanup scope. The framework used for managing these unfunded environmental liabilities
is provided in Appendix A. In addition, a summary of the 340 excess facilities and materials is
displayed in Table 2 on page 5, and a cumulative inventory can be found in Appendices B and C.
These unfunded liabilities, estimated at up to $9.2 billion, translate into potential risks to the
health and safety of DOE workers, the public and the environment. In addition, they limit the
Department’s ability to reconfigure sites and laboratories to more effectively sustain ongoing
DOE missions.
EM will ultimately be responsible for addressing unfunded environmental cleanup and waste
management liabilities, and will incorporate those liabilities into its plans.* This will be done
commensurate with the risk these activities pose, and in accordance with appropriate DOE
Orders and directives. Consequently, some of these activities may be deferred for many years,
extending completion dates at some sites.
DOE manages excess facilities and materials in accordance with three DOE directives:
! DOE Order 413.3A, Project Management for the Acquisition of Capital Assets – provides
the requirements and guidance to DOE employees, including the National Nuclear
Security Administration (NNSA) on the planning and acquisition of capital assets. EM
utilizes the guidelines in this Order for the management of its operating projects as well.
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* EM’s responsibilities do not include those legacy surveillance, maintenance and other activities at closed sites, for which the
Office of Legacy Management (LM) is responsible.
U.S. Department of Energy Unfunded Environmental Liabilities
! DOE Order 430.1B, Real Property Asset Management – establishes a corporate, holistic,
and performance-based approach to real property life-cycle asset management that links
real property asset planning, programming, budgeting, and evaluation to program mission
projections and performance outcomes.
! DOE Order 435.1, Radioactive Waste Management – defines the requirements for the
management of radioactive wastes within DOE. The Order provides specific
requirements for the management of each radioactive waste type, such as high-level
waste, transuranic waste, low-level radioactive waste, and mixed wastes. The Order also
defines the responsibilities of each HQ element, particularly those programs that generate
these waste types as part of their operations mission.
In the U.S. Department of Energy Agency Financial Report for Fiscal Year 2007 (FY2007), the
DOE reported a liability of $188.7 billion in constant FY2007 dollars for the Environmental
Management Program. More specifically, the Department reported a liability of $29.2 billion in
constant FY2007 dollars for the active and surplus facilities not currently in the EM program.
This report focuses on a portion of the $29.2 billion in active and surplus facilities that EM may
accept from other DOE programs for remediation in future years. The facilities addressed in this
report represent a portion of that $29.2 billion liability estimate. (See summary below.)
Developing life-cycle costs for these unfunded liabilities presents a number of challenges related
to the scope, schedule and complexity of the work. Detailed assessments are being performed to
better understand the extent of contamination and the complexity of the demolition work for
facilities. Materials assessments will focus on the volumes and types of wastes and potential
disposition paths. The term “materials” encompasses various radioactive, hazardous and/or
chemical substances identified for possible transfer to EM. Examples of materials include, but
are not limited to, low-level or low-level mixed radioactive wastes, transuranic waste, special
nuclear materials, spent nuclear fuels, radioactive metals, and contaminated soil and equipment.
The Department developed initial cost ranges associated with the Department’s unfunded
liabilities addressed in this report to better reflect the uncertainties likely to be encountered. The
total cost range for the unfunded work scope identified in this report is estimated at $3.7 billion
to $9.2 billion.
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U.S. Department of Energy Unfunded Environmental Liabilities
Table 1 on page 4 displays the cost range and identifies the DOE site, the PSO, and whether the
range is for facilities, materials, or both.
Based on EM’s current planning, the earliest EM could accommodate any of the new work
without re-prioritization of its existing work scope is 2017. Integration of these unfunded
liabilities into the existing EM program will require re-prioritization based on an overarching
framework that accounts for health and safety, environmental, and regulatory.
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Table 1
Unfunded Environmental Liability Cost Estimates
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Table 2
Summary of Facilities and Material Groups for Potential Transfer to EM in the Out-years
F M
SC 164 24 $1,624.4 - $3,624.2 3,144,903
ANL 15 0 1,149,237
BNL 8 3 $285.1 - $611.2 160,252
SLAC 0 20
FNAL 0 1
ORNL 124 0 $980.5 - $2,588.4 832,384
Y-12 17 0 $358.8 - $424.6 1,003,030
* For the gray-shaded columns, “F” means number of facilities; “M” means number of materials.
NOTE: For a comprehensive inventory of all facilities and materials included in this report, please
reference Appendix B.
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Appendix A
The process for transferring excess contaminated facilities and “materials” (hereinafter
collectively referred to as “cleanup scope”) between EM and DOE’s operating programs, such as
SC, NE and NNSA, has evolved and matured since the EM program was established in 1989. At
that time, all known “cleanup” was simply transferred to EM as a policy decision. Over the
subsequent years, based on a drastically changing DOE mission, more and more “cleanup scope”
was transferred to EM, including landlord responsibilities for large sites, including the Hanford
Site, the Idaho National Laboratory, the Rocky Flats Environmental Technology Site, and the
majority of the Savannah River Site, as well as smaller but no less significant sites like Fernald
and Mound. In the mid 1990s, the consequence of this approach was that EM accepted
additional cleanup scope without the necessary resources. As a result, EM decided to limit the
number of “cleanup” transfers to EM, and transfers were accepted only after a more rigorous and
disciplined process was conducted, mostly through the establishment of formal DOE Orders,
such as DOE Order 430.1A, DOE Order 430.1B, and their associated Guides.
DOE Order 430.1B, published in 2003, is the primary requirements directive for determining
how excess facilities are transferred from non-EM PSOs to EM. DOE Order 430.1B contains the
specific requirements for the transfer of excess contaminated facilities, and was tiered off its
predecessor document, DOE Order 430.lA, Life Cycle Asset Management (LCAM). The LCAM
order was developed as a joint effort among EM, NE, SC, and NNSA, and has already been
proven as a successful tool in efficiently transferring a number of facilities. The same process
was implemented with this initiative, helping EM better determine and compare the relative risk
ranking of new proposed scope with current EM scope, while also providing approximate
timeframes for commencing the transfers and work that would fit into EM planning.
The framework established in DOE O 430.1B is fairly straight forward and is initiated annually
by EM’s request to other Departmental PSOs to identify what “cleanup scope” they would like to
propose for transfer to EM. Following the receipt of the PSO nominations, EM convenes an
integrated team of representatives from various EM program and budget offices, the PSO
requesting the transfer, DOE field offices, and DOE contractors. The integrated team conducts a
site visit and completes an evaluation of the subject facility, using a standard and comprehensive
“walk-down” checklist that helps evaluate the overall facility condition and any major associated
risks and liabilities. In addition, stabilization actions for which the PSO requesting the transfer is
responsible, are identified, and a cost estimate for required surveillance and maintenance (S&M)
is developed. The information is consolidated and formalized in a report, which becomes the
basis for a Memorandum of Agreement (MOA) that specifies the condition of the facility at the
time of transfer, the schedule for transfer, and the amount of funding required to allow S&M
activities to continue during the period of transfer and the shift in budgetary responsibility
between the PSO and EM.
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U.S. Department of Energy Unfunded Environmental Liabilities
In addition to establishing the general framework, DOE O 430.1B also establishes the primary
criteria for assessing a facility’s readiness for transfer into the EM program. In evaluating excess
facilities nominated under this current transfer, 430.1B criteria were applied to each proposed
facility to determine if it satisfied transfer requirements. They included:
! The facility must be certified as excess (surplus) to Departmental mission needs, not just
the mission needs of the requesting PSO. The principal concepts supporting this criterion
are twofold: 1) retrofitting and/or modifications and associated clean-out and
decontamination of a facility to meet new mission needs is an operating program
responsibility; and 2) if a facility is excess to one program, but suitable to the mission of
another, transferring to EM for final disposition is counterproductive.
! The facility must be a stand-alone building, and not a room, wing or annex of a non-
excess facility. The fundamental concept behind this criterion is the lack of feasibility
and cost effectiveness of demolishing part of a building without impacting the remainder
of the structure. A similar consideration is the need to potentially re-route utilities
running through an excess facility. Exceptions to this criterion are considered if the PSO
proposing the transfer is willing to conduct (as a stabilization action) or fund the
segregation, safeguards, or re-routing required for efficient and cost-effective demolition.
Stabilization actions must be completed prior to the effective date of transfer.
For materials declared excess and identified for potential transfer by non-EM PSOs to EM, there
are no DOE Orders, directives or guidance documents similar to 430.1B to which an analysis can
be performed using specific criteria. Moreover, unlike certain commonalities often present in the
D&D of excess facilities, the level of difficulty in managing and dispositioning radioactive
materials varies greatly, due to their chemical makeup, pre-treatment and stabilization
requirements, regulatory schemes, risks to worker and public safety, and paths to ultimate
disposition. The materials recently identified for transfer by the PSOs present similar challenges,
and each is being reviewed individually. The range of materials and waste types nominated
include low-level and low-level mixed radioactive wastes, transuranic wastes, special nuclear
materials, spent nuclear fuels, radioactive metals, and contaminated soil and equipment. See
Appendix C for a detailed list of the types of materials nominated by the PSOs for possible
transfer.
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U.S. Department of Energy Unfunded Environmental Liabilities
In considering each material or waste group for potential transfer, EM will apply several basic
criteria during the analysis. They include:
! that the material is fully excess to Departmental needs and that processing above and
beyond stabilization is necessary to meet disposition requirements;
! if the materials are not suitable for disposition within EM’s currently planned waste
management program, they may be referred to the Nuclear Materials Disposition and
Consolidation Coordination Committee (NMDCCC) or other Departmental decision
makers for corporate level consideration of disposition options.
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Appendix B
Unfunded Environmental Liabilities Inventory
Appendix C
Y-12 TBD
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