This section describes (1) WIPP’s layout and base operations, (2) the February 2014 truck fire and radiological release accident investigation reports, (3) DOE’s requirements for operations activities and for project management applicable to the WIPP Recovery effort, (4) best practices for cost and schedule estimating, (5) best practices for conducting an AOA, (6) Revisions in 2014 and 2015 to DOE’s requirements for AOAs, and (7) DOE’s AOA process for WIPP’s new permanent ventilation system. As shown in figure 1, WIPP’s layout consists of surface facilities, underground facilities, and four shafts that connect the surface with the underground. WIPP’s underground facilities currently include seven waste disposal units or panels where waste containers are placed for final disposal, an area designated for constructing future disposal units, and an area for experimental research. The four shafts connecting the surface and underground facilities are (1) the air intake shaft, which is the primary air supply to the underground; (2) the exhaust shaft, through which all air exits the underground; (3) the salt handling shaft, which is used to remove mined salt from the underground and also supplies air to the underground; and (4) the waste handling shaft which is used to transport waste containers to the underground. Figure 1 also shows the locations of the February 2014 accidents that led to the suspension of WIPP’s operations. Under normal operating conditions, base operations at WIPP include waste handling to receive waste from generator sites and prepare and place the waste, ongoing maintenance of the WIPP surface facilities and underground, as well as support functions such as program management, engineering, quality assurance, safety and security, and environmental management. In addition, NWP reviews and certifies waste containers on DOE’s behalf at DOE’s transuranic waste generator sites. During implementation of the WIPP recovery plan, DOE continued aspects of these base operations such as maintenance of the surface facilities and program management. In addition, NWP continued to review and certify waste packages at select sites. The salt truck fire, which occurred on February 5, 2014, created substantial smoke and soot that damaged key equipment and facilities in the underground. On February 14, 2014, the radiological release occurred when a transuranic waste container was breached. The breach was caused by a chemical reaction inside the container between materials that DOE later determined should not have been packaged together. The reaction generated enough heat to increase pressure in the container. The pressure forced open the container’s lid and propelled its radioactive waste contents, combustible gases, and other materials into the air and on to adjacent waste containers. The radioactive contents, gases, and other materials ignited and triggered a fire in the disposal room by igniting other materials in the room. WIPP’s ventilation system failed to contain all of the airborne radiological material underground and allowed a small amount to enter the environment. As a result of the release, portions of the WIPP underground and the existing ventilation system were radiologically contaminated. DOE issued an accident investigation report on the salt truck fire in March 2014 and an accident investigation report on the radiological release in April 2014 called “phase one report.” The phase one report focused on the release to the environment and the response at WIPP to the release. One year later, in April 2015, DOE issued a phase two report that focused on the radiological release from inside the waste container. The reports determined that the causes of the accidents included the degraded condition of critical equipment, inadequacies in the design and operations of WIPP’s ventilation system, and deficiencies in the management of WIPP’s safety programs that are intended to control and discipline operations to protect workers, the public, and the environment from radiological and other hazards. In total, the three reports made 100 recommendations to DOE and NWP to complete corrective actions. For example, the phase one report identified a number of weaknesses with the WIPP nuclear safety documentation and recommended that this documentation be revised prior to resuming limited waste disposal operations to ensure the repository can be operated safely with respect to workers, the public, and the environment. DOE is managing the recovery activities to restart limited waste disposal operations at WIPP and to design and build the new permanent ventilation system capital asset project following two separate project management requirements. DOE requires that the recovery activities to restart limited waste disposal operations and overall base operations of WIPP be managed following EM’s protocol for operations activities. This protocol defines operations activities to include activities that are project- like with defined start and end dates and reoccurring facility or environmental operations. The new permanent ventilation system project must follow DOE’s Order 413.3B, which governs project management for the acquisition of capital assets. The following is a description of the two different requirements: EM operations activities protocol. EM’s protocol establishes a framework for managing and reporting the progress of cleanup operations by requiring, among other things, that project performance be measured objectively and that management actions be taken to mitigate risks and manage costs. EM’s protocol directs EM sites to develop performance baselines—or estimates—for cost, schedule, and scope to use in assessing the project’s performance over the fiscal year, multiyear contract period of performance, and the life cycle of the project. The protocol directs that the project develop estimates but does not include specific requirements that must be followed, such as the steps that must be followed to develop cost and schedule estimates. DOE Order 413.3B. DOE’s order provides program and project management direction for the acquisition of capital assets, with the stated goal of delivering fully capable projects within the planned cost, schedule, and performance baseline. The order establishes five critical decision processes of project development that each end with a major approval milestone—or “critical decision” point—that cover the life of a project. The order specifies the requirements that must be met, including for developing and managing project cost and schedule estimates to move a project past each critical decision milestone. DOE also provides suggested approaches for meeting the requirements contained in the order through a series of guides, such as a guide for cost estimating. In June 2015, the Secretary of Energy directed that this order be revised to require that cost and schedule estimates be developed, maintained, and documented in a manner consistent with methods and the best practices identified in GAO’s cost and schedule assessment guides and other published standards and best practices, such as the Federal Acquisition Regulation and Office of Management and Budget guidance. The GAO Cost Estimating and Assessment Guide and the GAO Schedule Assessment Guide compiled best practices corresponding to the characteristics of high-quality and reliable cost and schedule estimates. A high-quality, reliable cost estimate has the following four characteristics: comprehensive (e.g., has enough detail to ensure that cost elements are neither omitted nor double counted), well-documented (e.g., allows for data it contains to be traced to accurate (e.g., is based on an assessment of most likely costs and has been adjusted properly for inflation), and credible (e.g., discusses any limitations because of uncertainty or bias surrounding data or assumptions). Similarly, a high-quality, reliable schedule has four characteristics: comprehensive (e.g., captures all government and contractor activities necessary to accomplish a project’s objectives), well-constructed (e.g., sequences all activities using the most straightforward logic possible), controlled (e.g., is updated periodically to realistically forecast dates for activities), and credible (e.g., uses data about risks to predict the level of confidence in meeting a completion date and necessary schedule contingency and high-priority risks are identified based on conducting a robust schedule risk analysis). The characteristics of a high-quality and reliable cost estimate are supported by best practices listed in appendix II, and the characteristics of a high-quality and reliable schedule are supported by best practices listed in appendix III. In a December 2014 report we compiled 24 best practices for conducting an AOA. As noted above, the AOA is a key first step in acquisition of a capital asset such as WIPP’s new permanent ventilation system. The process entails identifying, analyzing, and selecting a preferred alternative. Conforming to these best practices helps ensure that the preferred alternative selected is the one that best meets the agency’s mission needs. We grouped these 24 best practices into the following four categories: General principles. This category includes best practices to be applied in planning, conducting, and documenting the AOA, such as defining functional requirements based on the mission need and conducting the analysis without a predetermined solution. Identifying alternatives. The identifying alternatives category includes best practices that help ensure the alternatives to be analyzed are sufficient, diverse, and viable. Analyzing alternatives. The analyzing alternatives category contains best practices related to estimating the costs and benefits of each alternative over its life cycle. Selecting a preferred alternative. The selecting a preferred alternative category includes best practices to help ensure a preferred alternative is selected that best meets the mission need by comparing alternatives based on their costs and benefits and independently reviewing the AOA process. Appendix IV lists the 24 best practices organized by the four categories. DOE’s procedures for conducting an AOA have changed twice since DOE began the AOA process for the WIPP permanent ventilation system. DOE started the AOA process for this system in October 2014. At that time, DOE was operating under AOA requirements defined in Order 413.3B. The AOA process, as defined in the order, occurs during the span of the first two critical decisions—Critical Decision-0 and Critical Decision-1 (Approve Alternative Selection and Cost Range). In December 2014, the Secretary of Energy established a new requirement that for projects estimated to cost $50 million or more, the responsible program office is to conduct an AOA independent of the contractor responsible for the project.