Making a DifferenceAmerican Recovery and Reinvestment Act

Thursday, February 25, 2010

Thomas Johnson, Jr.Deputy Director, EM Recovery Act

Office of Environmental ManagementU.S. Department of Energy

Presented to: Morehouse College

Entrepreneurship Conference

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EM Mission

• Largest environmental cleanup effort in the world, originally involving two million acres at 108 sites in 35 states

• Safely performing work– In challenging environments – Involving some of the most

dangerous materials known to man– Solving highly complex technical

problems with first-of-a-kind technologies

• Operating in the world’s most complex regulatory environment

• Supporting other continuing DOE missions and stakeholder partnerships

“Complete the safe cleanup of the environmental legacy brought about from five decades of nuclear weapons development, production, and Government-sponsored nuclear energy research.”

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EM Program Priorities

• Essential activities to maintain a safe, secure, and compliant posture in the EM complex

• Radioactive tank waste stabilization, treatment, and disposal

• Spent nuclear fuel storage, receipt, and disposition

• Special nuclear material consolidation, stabilization, and disposition

• High priority groundwater remediation • Transuranic (TRU) and mixed/low-level

waste disposition• Soil and groundwater remediation• Excess facilities deactivation and

decommissioning (D&D)

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Secretary Chu’s Key Recovery Act Objectives

“We will turn this time of economic crisis into an opportunity to build a clean, secure, and prosperous energy future for America….”

—Dr. Steven Chu, Secretary of Energy

• Start projects quickly• Ensure projects have

lasting value• Provide public with

unprecedented transparency

• Make a significant down payment on the Nation’s energy and environmental future

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DOE Recovery Act Funding

Department of Energy Program OfficeRecovery Act

($ Millions)

Office of Energy Efficiency & Renewable Energy $16,800

Office of Science $2,000

Office of Electricity Delivery and Energy Reliability $4,500

Office of Fossil Energy $3,400

Office of Environmental Management $6,000

DOE TOTAL (Excluding Loans) $32,700

Office of the Chief Financial Officer - Technology Loan Guarantee $6,000

Power Marketing Administrations - Borrowing Authority $6,500

DOE TOTAL (Including Loans) $45,200

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EM Received $6 Billion inRecovery Act Funding

• Directed towards existing scope that can most readily be accelerated– Soil and groundwater remediation– Radioactive solid waste disposition– Facility decontamination & decommissioning

• “Shovel-ready” projects– Fully-defined cost, scope, and schedule– Established regulatory framework– Proven technology– Proven performance– Existing contract vehicles

• Focus on EM completion and footprint reduction

• Recovery Act funding will accelerate approximately 48 compliance milestones

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Hanford SiteRichland $1.635 B Office of River Protection $326 M Idaho National

Laboratory$468 M

Argonne National Laboratory

$99 M

Portsmouth Site$118 M

West Valley Demonstration

Project$74 M

Separations Process Research Unit

$52 M

Brookhaven National Laboratory$42 M

Paducah Site$79 M

Oak Ridge $755 M

Savannah River Site$1.615 B

Waste Isolation Pilot Plant$172 M

Moab$108 M

Los Alamos National Laboratory

$212 M

SLAC National Accelerator Laboratory$8 M

Nevada Test Site$44 M

Energy Technology Engineering Center

$54 M

$6 Billion: Making a Difference in Communities Across the Country

Mound$20 M

12 States, 17 SitesUranium/Thorium $69 MManagement & Oversight $50 M

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Recovery Act Funding Obligationsat EM Sites

Financial data are based on reporting as of February 16, 2010, and are subject to change.

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Getting The Job Done

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Over 14,400 Jobs Saved or Created

Applicants Headcount Job FairsArgonne (IL) 2,815 103 13

Brookhaven (NY) 41 153 0

ETEC (CA) 1,220 170 0

Hanford-ORP (WA) 22,875 803 25

Hanford-Richland (WA) 17,562 2,918 18

Idaho (ID) 6,399 1,840 9

Los Alamos (NM) 897 233 2

Moab (UT) 3,819 227 0

Mound (OH) 12 45 0

Nevada (NV) 39 394 0

Oak Ridge (TN) 10,543 2,843 8

Paducah (KY) 5,251 234 4

Portsmouth (OH) 3,226 547 3

Savannah River (SC) 17,781 2,917 6

SLAC (CA) 90 122 1

SPRU (NY) 196 157 0

West Valley (NY) 1,128 319 0

WIPP (NM) 448 377 0

TOTALS 94,342 14,402 89

EM Job Applicants, Headcount, and Job Fairs(January 12, 2010)

Headcount - workers that have benefited from ARRA funding including full-time, part-time, and temporary workers

Note that the job numbers reported in FederalReporting.gov only account for prime contractor workers

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Footprint Reduction means that the active DOE EM mission is complete within a particular area in terms of decontamination and decommissioning, waste disposition, ground water remediation, soil removal, etc.

0

100

200

300

400

500

600

700

800

900

1000

Sept. 2008 Sept. 2009 Sept. 2010 Sept. 2011 Sept. 2012 Sept. 2013 Sept. 2014 Sept. 2015 Post Sept. 2015

Squa

re M

iles

900 sq. mi.

90 sq. mi.

Approx. 450 sq. mi. Reduction

EM footprint will be reduced from 900 sq. mi. to approximately 450 sq. mi. (approx. 40 to 50 percent) by Sept. 2011, and to about 90 sq. mi. (approx. 80 to 90 percent) of the initial footprint) by Sept. 2015.

Footprint Reduction

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Project Management Oversight & Accountability

• Maintain regular communications with regulators, Tribal Nations and stakeholders

• Fully implement DOE Order 413.3A

• Phased release of funding based on performance– Integrates project, contract and funds management

• Ensure projects stay on schedule and within cost

• Conduct regular reviews to track and monitor performance

• On-site Headquarters representatives will closely observe project performance

• External oversight reviews by the IG and GAO

Safety is the #1 priority for all EM Recovery Act projects.

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Recovery Act Work Requires All Types of Skills

DOE Headquarters Site Field Offices• Project Managers• Contracting Specialists• Project Engineers• Chemical Engineers• Safety and Quality Assurance Specialists• Budget• Administrative Assistants• Strategic Planners

• Project Managers• Cost Estimators• Schedulers• Construction Engineers• Heavy Equipment Operators• Radiological Technologists• Nuclear Safety Engineers• Quality Assurance and

Quality Control Engineers• Truck Drivers• Health Physics Technicians• Earth Drillers• Environmental Engineers• Nuclear Waste Processing Operators• Geologists

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Making Progress in Empowering Small Business

• EM prime contracting small business goal for FY 2009 is was 4.8%

• Each EM site is expected to meet or exceed EM’s corporate small business goal and maximize small business prime and subcontracting opportunities

• EM Recovery Act program targeted more than 4.8%, or $288 million of the $6 billion in ARRA funds, for small business primes

• Exceeded small business target goal—more than $396 million obligated as of Sept 30, 2009 for all small business categories

EM Recovery Act Program has achieved 136% of its small business goals for FY 2009!

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Small Business Opportunities

• Increase Small Business Participation through– Exploring new ways to facilitate small business participation

– Developing mechanism to assist small business through State

and Regional Finance Development Organizations

For small business information and opportunities contact Ms. Brenda Degraffenreid at:

brenda.degraffenreid@hq.doe.gov or (202) 586-4620

For stakeholder and regulator information contact Ms. Melissa Nielson at melissa.nielson@em.doe.gov or

David Borak at david.borak@em.doe.gov

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Communicate. Communicate. Communicate.

• Hot Link Jobs Button

• EM Recovery Act newsletter

• Weekly News Flash

• EM Recovery Act website

• Stakeholder conference calls

• Public meetings

• OMB/Congress

• GAO/IG

EM Headquarters and Field sites are striving to provide “unprecedented transparency” as to where the ARRA

money is going and what is being accomplished.

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Summary

EM Recovery Act Program is making progress in achieving the President’s goals of job creation and environmental cleanup through the American Recovery and Reinvestment Act.

• More than 99% of Recovery Act funds have been allocated to sites

• $5.77 billion obligated to contracts for EM Recovery projects

• 14,400 jobs created and preserved in 12 States

• Over $1.3 billion spent on Recovery work

• Achieved 136% of EM small business prime contracting goal

• Monthly monitoring of project execution and performance

• Active engagement with stakeholders and regulators

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Learn More About theEM Recovery Act Program

EM Recovery Act Program Officehttp://www.em.doe.gov/emrecovery

Email: EMRecovery@em.doe.gov

Phone: 202-586-2083

DOE Recovery Act Clearinghousehttp://RecoveryClearinghouse.energy.gov

Email: RecoveryClearinghouse@hq.doe.gov

Phone: 1-888-DOE-RCVY