Intelligent Sustainment and Renewal of Department of Energy Facilities and Infrastructure
THE NATIONAL ACADEMIES PRESS
WASHINGTON, D.C.
www.nap.edu
THE NATIONAL ACADEMIES PRESS
500 Fifth Street, N.W. Washington, DC 20001
NOTICE: The project that is the subject of this report was approved by the Governing Board of the National Research Council, whose members are drawn from the councils of the National Academy of Sciences, the National Academy of Engineering, and the Institute of Medicine. The members of the committee responsible for the report were chosen for their special competences and with regard for appropriate balance.
This study was supported by Contract Number DEAM01-99PO8006 between the U.S. Department of Energy and the National Academy of Sciences. Any opinions, findings, conclusions, or recommendations expressed in this publication are those of the authors and do not necessarily reflect the views of the organizations or agencies that provided support for the project.
International Standard Book Number 0-309-09444-5 (book)
International Standard Book Number 0-309-54652-4 (PDF)
Additional copies of this report are available from the
National Academies Press,
500 Fifth Street, N.W., Lockbox 285, Washington, DC 20055; (800) 624-6242 or (202) 334-3313 (in the Washington metropolitan area); Internet, http://www.nap.edu
Copyright 2004 by the National Academy of Sciences. All rights reserved.
Printed in the United States of America
THE NATIONAL ACADEMIES
Advisers to the Nation on Science, Engineering, and Medicine
The National Academy of Sciences is a private, nonprofit, self-perpetuating society of distinguished scholars engaged in scientific and engineering research, dedicated to the furtherance of science and technology and to their use for the general welfare. Upon the authority of the charter granted to it by the Congress in 1863, the Academy has a mandate that requires it to advise the federal government on scientific and technical matters. Dr. Bruce M. Alberts is president of the National Academy of Sciences.
The National Academy of Engineering was established in 1964, under the charter of the National Academy of Sciences, as a parallel organization of outstanding engineers. It is autonomous in its administration and in the selection of its members, sharing with the National Academy of Sciences the responsibility for advising the federal government. The National Academy of Engineering also sponsors engineering programs aimed at meeting national needs, encourages education and research, and recognizes the superior achievements of engineers. Dr. Wm. A. Wulf is president of the National Academy of Engineering.
The Institute of Medicine was established in 1970 by the National Academy of Sciences to secure the services of eminent members of appropriate professions in the examination of policy matters pertaining to the health of the public. The Institute acts under the responsibility given to the National Academy of Sciences by its congressional charter to be an adviser to the federal government and, upon its own initiative, to identify issues of medical care, research, and education. Dr. Harvey V. Fineberg is president of the Institute of Medicine.
The National Research Council was organized by the National Academy of Sciences in 1916 to associate the broad community of science and technology with the Academy’s purposes of furthering knowledge and advising the federal government. Functioning in accordance with general policies determined by the Academy, the Council has become the principal operating agency of both the National Academy of Sciences and the National Academy of Engineering in providing services to the government, the public, and the scientific and engineering communities. The Council is administered jointly by both Academies and the Institute of Medicine. Dr. Bruce M. Alberts and Dr. Wm. A. Wulf are chair and vice chair, respectively, of the National Research Council.
COMMITTEE ON THE RENEWAL OF DEPARTMENT OF ENERGY INFRASTRUCTURE
JAMES M. BRAUS, Chair,
Shell Oil Company (retired), Kingwood, Texas
DAVID A. CAIN,
Northern Arizona University, Flagstaff
CHARLES DAVIDSON,
J.A. Jones, Inc. (retired), Charlotte, North Carolina
J. CLAY DEAN,
Knowledge Management Consultant, Burke, Virginia
DONALD V. FREIERT, JR.,
Nationwide Insurance, Columbus, Ohio
ANGELO GIAMBUSSO,
Stone and Webster Engineering Corporation (retired), Wilmington, Massachusetts
JAMES H. JOHNSON, JR.,
Howard University, Washington, D.C.
MARGARET P. KINNAMAN,
University of Maryland, Baltimore
PETER MARSHALL,
Burns & Roe Services, Virginia Beach
LINDA NOZICK,
Cornell University, Ithaca, New York
DOUGLAS SARNO,
The Perspectives Group, Inc., Alexandria, Virginia
JAMES M. TIEN,
Rensselaer Polytechnic Institute, Troy, New York
ZHANMIN ZHANG,
University of Texas, Austin
Staff
RICHARD G. LITTLE, Director,
Board on Infrastructure and the Constructed Environment
MICHAEL D. COHN, Program Officer
DANA CAINES, Financial Associate
PAT WILLIAMS, Senior Project Assistant
BOARD ON INFRASTRUCTURE AND THE CONSTRUCTED ENVIRONMENT
PAUL GILBERT, Chair,
Parsons Brinckerhoff Quade & Douglas, Seattle, Washington
MASSOUD AMIN,
University of Minnesota, Minneapolis
RACHEL DAVIDSON,
Cornell University, Ithaca, New York
REGINALD DesROCHES,
Georgia Institute of Technology, Atlanta
DENNIS DUNNE,
California Department of General Services, Sacramento
PAUL FISSETTE,
University of Massachusetts, Amherst
WILLIAM HANSMIRE,
Parsons Brinckerhoff Quade & Douglas, San Francisco, California
HENRY HATCH,
U.S. Army Corps of Engineers (retired), Oakton, Virginia
AMY HELLING,
Georgia State University, Atlanta
SUE McNEIL,
University of Illinois, Chicago
DEREK PARKER,
Anshen+Allen, San Francisco, California
DOUGLAS SARNO,
The Perspectives Group, Inc., Alexandria, Virginia
HENRY SCHWARTZ, JR.,
Washington University, St. Louis, Missouri
DAVID SKIVEN,
General Motors Corporation, Detroit, Michigan
MICHAEL STEGMAN,
University of North Carolina, Chapel Hill
WILLIAM WALLACE,
Rensselaer Polytechnic Institute, Troy, New York
ZOFIA ZAGER,
County of Fairfax, Fairfax, Virginia
CRAIG ZIMRING,
Georgia Institute of Technology, Atlanta
Staff
RICHARD G. LITTLE, Director,
Board on Infrastructure and the Constructed Environment
LYNDA L. STANLEY, Executive Director,
Federal Facilities Council
MICHAEL D. COHN, Program Officer
DANA CAINES, Financial Associate
PAT WILLIAMS, Senior Project Assistant
Preface
With this report, the Committee on the Renewal of Department of Energy Infrastructure conveys its evaluation of the department’s progress toward intelligent sustainment and renewal of Department of Energy (DOE) facilities and infrastructure (F&I). While it is clear that many challenges remain, the committee found many good people working with reasonable processes in DOE’s F&I management system. However, significantly, the committee also became aware of a concept, prevalent throughout much of DOE, that spending resources on F&I activities is done at the expense of DOE’s program missions. As a former industry executive, I view the lack of integration of F&I into overall DOE strategy as a major challenge for DOE senior managers. This zero-sum-game approach may have been relevant 50 years ago, but it has been discarded by most, if not all, successful organizations in government and industry. The intimate integration of missions and management processes applies not only to F&I but also to environmental performance, safety, health, community relations, and other supporting functions. Such elements are not competitors for program resources; rather, they are program enablers that make the program bigger and better than the sum of its parts.
The committee paid specific attention to this problem and offers recommendations in Chapter 2 for improvements to the DOE’s strategic plan, organizational structure, and implementation of F&I policies, procedures, and guidelines. Chapters 3 and 4 identify challenges in infrastructure management and provide recommendations for improvement.
To naysayers who contend that a consistent holistic approach is not workable at DOE, I point with professional respect to the progress made within the National
Nuclear Security Administration (NNSA). While NNSA has not yet addressed every issue surrounding the integration of program and F&I needs, it has recognized F&I as an enabler. As a result, NNSA’s execution of Real Property Asset Management (O 430.1B) (RPAM) is the most advanced in DOE. In the simplest of terms: NNSA “gets it.” There is no reason that all DOE program offices cannot meet and exceed the progress made by NNSA. I believe it is a matter of leadership.
James M. Braus, Chair
Committee on the Renewal of Department of Energy Infrastructure
Acknowledgment of Reviewers
This report has been reviewed in draft form by individuals chosen for their diverse perspectives and technical expertise, in accordance with procedures approved by the National Research Council’s Report Review Committee. The purpose of this independent review is to provide candid and critical comments that will assist the institution in making its published report as sound as possible and to ensure that the report meets institutional standards for objectivity, evidence, and responsiveness to the study charge. The review comments and draft manuscript remain confidential to protect the integrity of the deliberative process. We wish to thank the following individuals for their review of this report:
Nancy Rutledge Connery, Consultant,
Lloyd A. Duscha, U.S. Army Corps of Engineers (retired),
G. Brian Estes, U.S. Navy (retired),
David Skiven, General Motors Corporation,
Richard Stegemeier, Unocal Corporation (retired),
Michael L. Telson, University of California Office of Federal Governmental Relations, and
James W. Wright, Naval Facilities Engineering Command.
Although the reviewers listed have provided many constructive comments and suggestions, they were not asked to endorse the conclusions or recommendations, nor did they see the final draft of the report before its release. The review of this report was overseen by John Ahearne. Appointed by the National Research
Council, he was responsible for making certain that an independent examination of this report was carried out in accordance with institutional procedures and that all review comments were carefully considered. Responsibility for the final content of this report rests entirely with the authoring committee and the institution.
Acronyms and Abbreviations
ACI
asset condition index
APPA
Association of Higher Education Facility Officers
AUI
asset utilization index
BMAR
backlog of maintenance and repair
BSC
balanced scorecard
CAIS
Condition Assessment Information System
CAS
Condition Assessment Survey
CNI
Commander of Naval Installations Command
CRE
corporate real estate
CRV
current replacement value
CSO
cognizant secretarial office
DM
deferred maintenance
DoD
U.S. Department of Defense
DOE
U.S. Department of Energy
DOE IG
U.S. Department of Energy Inspector General
DRIP
data rich and information poor
EM
Office of Environmental Management
F&I
facilities and infrastructure
FAR
Federal Acquisition Regulations
FCI
facility condition index
FDC
facility deterioration curve
FIMS
Facilities Information Management System
FIRP
Facilities and Infrastructure Recapitalization Program
FISC
Facilities and Infrastructure Executive Steering Committee
FMS
facilities management system
FRM
Facilities Recapitalization Metric
FRR
Facilities Revitalization Rate
FSM
Facilities Sustainment Model
GAO
U.S. Government Accountability Office (formerly U.S. General Accounting Office)
GPRA
Government Performance and Results Act
IRR
installation readiness report
LCAM
Life-Cycle Asset Management
LLNL
Lawrence Livermore National Laboratory
LPSO
lead program secretarial office
M&O
management and operation
MCI
mission condition index
MDI
mission dependency index
ME
mission effectiveness
NASA
National Aeronautics and Space Administration
NI
needs index
NNSA
National Nuclear Security Administration
NRC
National Research Council
OECM
Office of Engineering and Construction Management
OMBE
Office of Management, Budget, and Evaluation
PMCDP
Project Management Career Development Program
PSO
program secretarial office
RPAM
Real Property Asset Management
RPV
replacement plant value
S
alternative renewal strategies
SAM
Strategic Assessment Model
SC
Office of Science
