Department of Energy FY 2012 Congressional ... - The FIRE Place

99-D-143, Mixed Oxide Fuel Fabrication Facility,
Savannah River Site, Aiken, South Carolina
Project Data Sheet is for Construction
1. Significant Changes
The most recent Department of Energy (DOE) Order 413.3B approved Critical Decision (CD) is
CD-3, Start of Construction, and was approved on April 11, 2007, with a Total Project Cost (TPC) of
$4,814,329 and CD-4 of FY 2017. However, as directed by the Revised Continuing Resolution, 2007,
Public Law 110-5, construction began on August 1, 2007. The latest approved baseline change was on
December 17, 2008, with a TPC of $4,857,129 and CD-4 of FY 2017.
A Federal Project Director certified at the appropriate level has been assigned to this project.
This Project Data Sheet (PDS) is an update of the FY 2011 PDS. Significant changes include the
following:
The project has had continued difficulty identifying suppliers and subcontractors with the ability and
experience to fabricate and install equipment to the requirements of Nuclear Quality Assurance
(NQA) -1 standard for nuclear work. It has been necessary to station dedicated MOX facility quality
assurance and engineering personnel at supplier and subcontractor locations to train personnel and
ensure fabricated equipment and installations meet NQA-1 requirements. The lack of experienced
nuclear equipment suppliers has in turn resulted in a lack of competition for the work and higher than
expected bids as the inexperienced suppliers are uncertain how much effort is required to meet NQA-1
requirements. In cases where qualified suppliers and subcontractors are not available, too expensive, or
are so inexperienced as to present unacceptable risk, DOE has authorized the MOX facility prime
contractor, Shaw AREVA MOX Services, to “self-perform” a limited amount of fabrication and
installation activities.
Shaw AREVA MOX Services is also experiencing significantly greater than expected turnover of
experienced personnel due to the expansion of the U.S. commercial nuclear industry. Over 15 percent
of the project’s engineering and technical personnel have left for other nuclear industry jobs in the last
year with pay increases of at least 25 percent. Finding experienced replacements has become difficult
and expensive. In most cases, replacement personnel are being hired without the requisite nuclear
experience and therefore must be trained prior to performing NQA-1 work.
The MOX project has allocated contingency and management reserve funds when needed to address
these issues and to mitigate overall project risks. While allocation of reserves funds has remained within
overall planning limits, the project team must continue to actively manage these issues in the future to
mitigate any potential cost and schedule impacts.
DOE has announced its intent to modify the scope of the Surplus Plutonium Disposition (SPD)
Supplemental Environmental Impact Statement (EIS) and conduct additional public scoping as stated in
the Federal Register dated July 19, 2010. The revised scope of the SPD Supplemental EIS includes
disposition alternatives for plutonium declared surplus to the Nation's defense needs in 2008 and
Defense Nuclear Nonproliferation/
Fissile Materials Disposition/
99-D-143, Mixed Oxide (MOX)
Fuel Fabrication Facility Page 391
FY 2012 Congressional Budget