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<classification authority="sudocs">GA 1.13:RCED-00-271</classification>
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 <subject>Financial management</subject>
 <subject>Contract oversight</subject>
 <subject>Cost overruns</subject>
 <subject>Schedule slippages</subject>
 <subject>Laboratories</subject>
 <subject>Test facilities</subject>
 <subject>Nuclear weapons testing</subject>
 <subject>Future budget projections</subject>
 <identifier>DOE Inertial Confinement Fusion Program</identifier>
 <identifier>DOE Stockpile Stewardship Program</identifier>
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<titleInfo>
 <title>National Ignition Facility: Management and Oversight</title>
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<abstract>Pursuant to a congressional request, GAO provided information on the
Department of Energy&apos;s (DOE) National Ignition Facility (NIF), focusing
on the: (1) magnitude of NIF&apos;s cost and schedule overruns; (2) reasons
for these cost and schedule problems; (3) effects of NIF&apos;s cost and
schedule on other weapons and science programs; and (4) DOE&apos;s and
Lawrence Livermore&apos;s actions to correct these problems.&lt;p/&gt;GAO noted that: (1) DOE and Lawrence Livermore now estimate that NIF
will eventually cost about $3.3 billion and will be completed in 2008;
(2) these new estimates mean NIF will cost over $1 billion more than
originally planned and take 6 years longer to complete; (3) however, on
the basis of analysis of figures from DOE and Lawrence Livermore, GAO
estimates that NIF&apos;s cost is closer to $4 billion because DOE&apos;s estimate
does not include all research and development costs from other program
areas that are needed to support NIF; (4) furthermore, since significant
research and development activities to support NIF remain to be
completed and technical uncertainties persist, the cost of NIF could
grow even higher and completion could take even longer; (5) NIF&apos;s cost
increases and schedule delays were caused by a combination of poor
Lawrence Livermore management and inadequate DOE oversight; (6) since
NIF&apos;s beginning, the absence of effective independent reviews has
enabled the project&apos;s costs and schedules to grow undetected by DOE
program officials at headquarters and at Lawrence Livermore; (7)
furthermore, none of these reviews has examined both the construction
project and its supporting research and development activities; (8)
paying for NIF&apos;s cost overruns has broad implications for DOE&apos;s nuclear
weapons program; (9) the Secretary of Energy has said he wants to
complete NIF but will not ask Congress for additional appropriations to
pay for NIF&apos;s cost increases; (10) instead, he announced that the
Department will pay for NIF&apos;s overruns by reallocating funds from within
DOE&apos;s existing nuclear weapons budget; (11) however, DOE has not fully
disclosed which programs will be cut to pay for NIF, nor when or how
this will be done; (12) nor has DOE evaluated how this reallocation will
affect components of the nuclear weapons program that might be
eliminated, reduced in scope, or extended in order to fund NIF; (13) DOE
tried but was unable to secure agreement among its three weapons
laboratories that will use NIF--Lawrence Livermore, Los Alamos, and
Sandia; (14) consequently, DOE&apos;s June &quot;interim&quot; cost and schedule plan
was not developed by taking into account the many potential impacts on
DOE&apos;s nuclear weapons program; and (15) in addition, because DOE has not
determined how it intends to pay for NIF&apos;s cost overruns, the potential
impacts on other science programs are unknown.</abstract>
<location>
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<identifier type="preferred citation">GAO/RCED-00-271</identifier>
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<note>Letter Report</note>
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 <searchTitle>GAO/RCED-00-271; National Ignition Facility: Management and Oversight;
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<subject>
 <topic>Financial management</topic>
 <topic>Contract oversight</topic>
 <topic>Cost overruns</topic>
 <topic>Schedule slippages</topic>
 <topic>Laboratories</topic>
 <topic>Test facilities</topic>
 <topic>Nuclear weapons testing</topic>
 <topic>Future budget projections</topic>
 <topic>DOE Inertial Confinement Fusion Program</topic>
 <topic>DOE Stockpile Stewardship Program</topic>
</subject>
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