DOE Consolidated Audit Program: Program Overview and Accomplishments

1. U.S. Department of Energy’sConsolidated Audit Program Richard W. MartinDeputy Manager, DOE Consolidated Audit ProgramOak Ridge Office Presented before the 2009 Third Annual RadWaste Summit September 8-11, 2009 Las Vegas, Nevada

2. Presentation Outline • Program Overview • Audit Checklists and Process • FY 2009 Accomplishments • Continuing Program Challenges

3. Overview of Analytical Services Program

4. Finding from DOE’s Office of the Inspector General and GAO Reports Report on the Audit of DOE’s Commercial Laboratory Quality Assurance Evaluation Program (June 1995) IG and GAO Identified reductions in DOE Auditing and Contracting of Analytical Services • Some laboratories were audited numerous times; others were never audited • Evaluation methods varied significantly from one contractor to another • Audit results were not shared between contractors

5. DOECAP Background • Purpose: • Eliminate/minimize audit redundancies • Standardize audit methodology, policies and procedures • Communicate Lessons Learned • Reduce overall Department risks/liabilities • Contractual agreement linkage • Involves all DOE line organizations/field operations • Auditor participants primarily DOE contractors • Auditor qualifications/training requirements • Federal staff lead TSDF audits

6. Results of FormalizedDOE Auditing Program DOECAP reduced the Department’s risks and liabilities, and verified radioactive and chemical waste accountability FYO9 DOECAP Auditing Activities: 34 Analytical Environmental Laboratories - 31 audits - 2 laboratory closure audits - 1 laboratory follow-up surveillance 9 TSDF’s - 7 radiological TSDFs - 2 non-radiological TSDFs

7. Criteria Definitions Priority I Finding • Programmatic/systematic failure • Imminent threat to worker safety/health • Potential for major property/facility damage • Repeated deficiency Priority II Finding • Nonconformance with requirements • External /regulatory • Contractual Observation • Isolated instance/deficiency • Opportunity for improvement

8. TSDF Audit Checklists Module 1 – Quality Assurance Management Systems Module 2 – Sampling and Analytical Data Quality Module 3 – Waste Operations Module 4 – Environmental Compliance and Permitting Module 5 – Radiological Control Module 6 – Industrial & Chemical Safety Module 7 – Transportation Management

9. Lab Audit Checklists Module 1- QA Management Systems & General Laboratory Practices Module 2 - Data Quality for Organic Analyses Module 3 - Data Quality for Inorganic Analyses Module 4 - Data Quality for Radiochemistry Analyses Module 5 - Laboratory Information Management Systems/Electronic Data Management Module 6 - Hazardous and Radioactive Materials Management Module 7 – Special Geochemical/Geotechnical Analyses Module 8 – Special Biological Analyses and Aquatic Toxicity Module 9 – Special Non-Destructive Assay (NDA) Module 10 – Laboratory Closure Audit

10. Audit Driver • DOE Order 435.1 (manual), Radioactive Waste Management • Requires that DOE first utilize DOE facilities to manage radioactive waste • However, if DOE chooses to use a non-DOE waste vendor, DOE must perform an annual ES&H review

11. Perspective/Context All TSDFs and Labs were found to maintain the established management systems and operational activities necessary to meet DOE requirements for the analysis, storage, handling, transportation, processing and final disposition of DOE waste.

12. Percent Distribution of FY 2009 TSDF Findings

13. Percent Distribution of FY 2009 Lab Findings

14. TSDFs Audited in FY09 • Diversified Scientific Services, Inc., Kingston, TN • Energy Solutions, LLC, Oak Ridge, TN • Energy Solutions of Utah, Clive, Utah • Materials and Energy Corporation, Oak Ridge, TN • Perma-Fix Northwest, Richland, WA • Perma-Fix of Florida, Gainesville, FL • Waste Control Specialists, Andrews, TX • Clean Harbors Environmental Services, Aragonite, UT • Clean Harbors Environmental Services, El Dorado, AR

15. Labs Audited in FY09 LaboratoryMonthLaboratoryMonth S&ME, Inc October 2008 SwRI April 2009 Assaigai October 2008 GEL April 2009 Test America, Knoxville November 2008 GPL, Tennessee May 2009 GPL , Maryland December 2008 BC Laboratories May 2009 USEC Paducah December 2008 USEC Portsmouth May 2009 ORISE, Oak Ridge January 2009 ORNL ESD May 2009 Eberline Oak Ridge January 2009 Shaw May 2009 BWXT Lynchburg February 2009 Test America, Richland June 2009 UTB RMAL February 2009 Davis and Floyd June 2009 S&ME, Inc. (Closure) February 2009 Caltest June 2009 Eberline Richmond February 2009 CEBAM June 2009 Xenco (Closure) February 2009 ORISE, Oak Ridge June 2009 MCL March 2009 Test America, Arvada July 2009 Lionville March 2009 ARS July 2009 GPL , Alabama March 2009 DataChem SLC July 2009 Test America, St. Louis March 2009 Shealy Environmental August 2009 Paragon March 2009

16. TSDF Accomplishments • Completed 9 TSDF audits during FY09 • Initiated implementation of non-radiological TSDF audits • Evaluated 7 TSDF Corrective Action Plans from FY08 TSDF audits • Tracked 90% of FY2008 Corrective Actions to completion (56 FY2008 findings closed out of 62 identified) • Updated Program audit checklists and internal documents • Increased number of TSDF qualified auditors and lead auditors • Continued interagency partnering with EPA and State Agencies

17. Laboratory Accomplishments Completed 34 Environmental Laboratory audits during FY09 Initiated implementation of Interim Priority I Findings based on laboratory poor performance testing (PT) results Evaluated 30 Corrective Action Plans from FY08 Environmental Laboratory audits Tracked 89% of FY2008 Corrective Actions to completion (173 FY2008 findings closed out of 195 identified) Updated audit checklists and internal documents Maintained number of qualified auditors and lead auditors Continued interagency partnering with EPA, State Agencies, and DoD

18. DOECAP Challenges • Increase Federal team leaders • Increase pool of qualified auditors • Radiological control • Industrial and chemical safety • Improve POCs active participation -- HQ/field • Improve localized/regional auditor participation to reduce travel costs • Improve program ownership/responsibility • Increase incorporation of DOECAP language into contracts

19. ASP Program Contact Information George Detsis, Analytical Services Program (ASP) Manager Phone: (301) 903-1488E-mail:  George.Detsis@hq.doe.gov Jorge A. Ferrer - DOECAP Manager, DOE Oak Ridge Phone: (865) 576-6638E-mail:  ferrerja@oro.doe.gov Richard Martin – Deputy Manager, DOECAP , DOE Oak Ridge Phone: (865) 576-9428 E-mail: martinr@oro.doe.gov