Lesley Gasperow Office of Health, Safety and Security (HSS) U.S. Department of Energy

1. Lesley GasperowOffice of Health, Safety and Security (HSS)U.S. Department of Energy Program Overview, Challenges, and Opportunities

2. Lesley GasperowOffice of Health, Safety and Security (HSS)U.S. Department of Energy Program Overview, Challenges, and Opportunities

3. Purpose • Provide program status • Progress • Challenges and opportunities • Solicit feedback • Program evolution • Priorities

4. Significance of the 2010 NMMSS Meeting • Build on successful partnership and collaboration within the NMMSS community: Data providers, data users, and the regulators--- • Identify and address common issues and challenges • Discuss opportunities for improvement and program evolution • Participate in focused training sessions and topical discussions • Opportunity to directly interact and communicate with the entire NMMSS Federal program management team • NMMSS Program managers and respective senior managers from both the DOE and NRC are in attendance • Accountability and ownership for the overall system performance and functionality rests with the Federal program management team!

5. NMMSS At-A-GlanceResponds to the needs and expectations of a diverse and broad spectrum of stakeholders • Tracks a wide range of reportable materials • Structured to meet reporting requirements of two different U.S. agencies: DOE and NRC • Fulfills U.S. Government reporting obligations under at least ten different international, bilateral, and IAEA agreements • Dependent on a broad spectrum of data providers operating under varying legal authority based on different types of licenses or contracts • Deals with the day-to-day challenge of balancing of material accountability: • transfer • ownership changes • contract turnovers, and • other bookkeeping issues • Faces increased external stakeholders expectations for accuracy, verification, and validation of reported inventories

6. 2009 Operating Experience • In 2009, seven (7) facilities identified nuclear materials for which there is no longer a continuing programmatic need • Experienced operational performance improvement year-to-year related to: • Backlog and report timeliness • Network , software, and infrastructure • Continued to address legacy issues: • Reconciliation/Error rates • Network , software, and infrastructure • Ownership and status of material • Multiplicity of reporting requirements and formats • Competing priorities for limited resources Appreciate your continued support!

7. 2009 Operating Experience(Cont’d) • Key promise kept -- Greater transparency on Federal performance and accountability • Performance Report Card online http://www.hss.energy.gov/nmmss/index.html • Reconciliation of Large NRC Submitters • Reconciliation of Small NRC Submitters • Closing of the Accounting Month (Number of days closed after month end) • Distribution of NMMSS Reports • Daily Processing (Records Processed) • Provides month-to-month performance trends Request recommendations on other Performance Metrics of interest to the NMMSS Community!

8. 2009 Operating Experience(Cont’d) Status of Action Items in Response to the DOE Inspector General recommendations, dated February 2009 (DOE/IG-0813) • Accountability over Department-owned Nuclear Materials • DOE owned material at NRC Licensees ineffectively managed by DOE • Material write-offs without adequate justification Commitments met • Conducted Material Balance reconciliation activities of NMMSS and DOE owned licensee material • Identified material to be returned to DOE as the reconciliation is conducted • Performed independent assessment

9. 2010 Challenges and Opportunities NMMSS continues to be in the spotlight • Facing greater external attention, scrutiny, and focus on NMMSS • April 2010 Nuclear Summit in Washington, D.C. • Theme: Location, Accounting, and Control of nuclear materials • Recent Government Accountability Office (GAO) Nuclear Cooperation Agreements Review- GAO Job Code 361111—Focus: • Tracking of US-obligated material outside the US? • Confirmation/reconciliation of U.S. nuclear materials held by partner countries? • Two-day reporting notification to Japan and South Korea on arrival of nuclear material • Accounting for approximately 250 material transfers of Pu subject to U.S. controls planned/separated from spent reactor fuel in Europe and Japan • Other questions related to HEU/LEU exports, approved storage facilities, etc

10. 2010 Challenges and Opportunities(Cont’d) • Evaluate proposed changes • Designed to make day-to-day operations more efficient • Specifics of the proposal and its implementation details to be presented at the DOE breakout session on Thursday, May 20 • Continue to explore any and all strategies and approaches to improve delivery and efficiency of services – Key considerations include: • Balance the complexities of NMMSS program needs and obligations • Ensure there are no unforeseen impacts to the community as a whole • Ensure there are no added requirements for new site specific investments, e.g., infrastructure, software, training • Ensure regulatory and contractual commitments are met Ensure United States national and international reporting obligations are met

11. 2010 Challenges and Opportunities • Launch NMMSS Working Group–Functions of NMMSS Working Group to address inherent programmatic changes and evolution • Assessment of programmatic implications, emerging issues and developments, e.g., Yucca Mountain , GAO/IG recommendations • Interface with site-specific processes and systems • More effective application of IT technology and know-how • Needs identification including training, infrastructure, guidance, procedures • First meeting planned for Thursday, May 20, 2010

12. Summary • NMMSS is a vital tool for the U.S. Government • Enables operational awareness of the location, inventory, and status of nuclear materials.   • Facilitates informed decision-making • Timeliness, accuracy, and completeness of data is paramount to its success • Please share your ideas and suggestions on: • How can we collectively improve NMMSS’s overall performance? • Key emerging issues, challenges, and opportunities that we as a community should plan and prepare for! Your continued partnership and cooperation is needed to further the credibility and vitality of NMMSS