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126494 1 (1985-03-21)

handle is hein.gao/gaobactki0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE STATEMENT OF F. KEVIN BOLAND SENIOR ASSOCIATE DIRECTOR RESOURCES, COMMUNITY AND ECONOMIC DEVELOPMENT DIVISION 126494 BEFORE THE SUBCOMMITTEE ON ENERGY CONSERVATION AND POWER HOUSE COMMITTEE ON ENERGY AND COMMERCE Mr. Chairman and Members of the Subcommittee: We appreciate the opportunity to be here today to discuss the Department of Energy's efforts to implement the Nuclear Waste Policy Act of 1982. Overall, we found that DOE has made significant progress toward implementing major legislative require- ments. DOE, however, faces a difficult challenge in meeting repository siting dead- lines mandated by the act, ensuring adequate financing for the high cost of the pro- gram, and enhancing management controls over repository planning and execution. In regard to program financing, we noted the potential for earlier collection of millions of dollars in user fees, and our January 1985 report made specific recommendations to the Secretary of Energy to reexamine program financing.arrangements. In the repository siting area, DOE has taken several important steps toward finding a suitable location for the nation's first high-level waste repository. The most important step occurred in December 1984 when DOE announced its intent to propose to the President three preferred sites in Nevada, Texas, and Washington State for detailed on-site tests. Draft environmental assessments on each of the nine candidate tites form the basis for DOE's preliminary site proposals. They are undergoing public review and comment before being finalized and before the Secretary of Energy makes a formal recommendation to the President. The act required the Secretary of Energy to r ke this recommendation not later than January 1, 1985, but DOE does not expect to be na position to do so until late summer 1985. Organizationally, DOE has put in place a headquarters office to direct the overall program. However, its managers do not have the authority to directly control the field staff who execute the program through a multitude of contractors. The field staff are assigned, controlled, and evaluated by managers in DOE's field offices. Under this decentralized field management approach, which is typical of most DOE programs, the DOE Waste Office will need to pay particularly close attention to developing strong manage- ment controls over repository planning and execution. In the program financing area, we believe that DOE should fully evaluate ways to more promptly collect fees from all anticipated users of its repository services. DOE bas established procedures for the collection and payment of fees for the spent fuel pwned by the nation's utilities and other commercial owners. However, DOE has not done for the high-level wastes produced by DOE defense programs and a small amount main- ained by New York State. On the basis of our analysis of DOE's fee collection procedures or plans, we found that DOE may be able to accelerate millions of dollars in payments from these antici- ated repository users. It is difficult, however, to make a firm estimate of the addi- tional revenues that would accrue to the Nuclear Waste Fund. Moreover, each possible iay of accelerating payments that we analyzed has obstacles or concerns which DOE would need to address. We recommended that DOE (1) evaluate ways to more promptly collect fees from all generators and owners of highly radioactive materials and (2) establish fees for the disposal of high-level wastes.

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