The Government Accountability Office has said it has
continuing concerns about the current strategy to
build a massive waste treatment plant since the
initial 11-year contract award to Betchel National,
Inc. in 2000 for $4.3 billion grew to $11 billion,
party due to contractor and management problems.
It said those problems have led to higher costs,
construction delays, and safety concerns for the
Hanford Waste Treatment Plant, intended to stabilize
and prepare for disposal of 55 million gallons of
radioactive and hazardous wastes currently held in
underground tanks.
Numerous problems have surfaced since the contract
was awarded that will significantly increase the
project’s final cost and completion date, which could
extend beyond 2017 after initially being scheduled
for 2011, according to GAO-06-602T.
It said the main causes for the increases in time
and money are contractor performance shortcomings in
developing project estimates and implementing nuclear
safety requirements, agency management problems
including inadequate oversight of contractor performance,
and technical challenges that have been more difficult
than expected to overcome.
DoE and Betchel have attempted to regain management
control of the project by trying to slow down or stop
construction on some facilities to allow time to
address technical and safety problems and to give
design activities more of a lead, as well as trying
to strengthen project management and oversight, GAO
said.
It said however, that it remains concerned with the
continued use of a fast-track, design-build approach
for remaining work on the project, the historical
unreliability of cost and schedule estimates, and
the inadequate incentives and management controls for
ensuring effective project management and oversight.