M -- NUCLEAR WEAPONS INDUSTRIAL COMPLEX (NWIC) CONCEPT The U.S. Department of Energy (DOE) is continuing to restructure and downsize its nuclear weapons program facilities, infrastructure and work force. These activities are consistent with the December 1996 Record of Decision on the Stockpile Stewardship and Management Programmatic Environmental Impact Statement. A key element of the Department's strategic planning has been the transition to smaller and more efficient production operations consistent with the needs of a smaller nuclear weapons stockpile. The Department is committed to maintaining an enduring Nuclear Weapons Industrial Complex (NWIC) with appropriate capacity to meet current and future requirements while assuring a safe, secure, and reliable nuclear weapons stockpile. The Department has developed a concept for improving the effectiveness and efficiency of DOE's management of the NWIC through contract consolidation. We have prepared a report on the concept entitled, "NWIC Restructuring Concept", which is available at DOE/AL HomePage at "http://www.doeal.gov/nwic". The report discusses key elements in restructuring the Department's nuclear weapons industrial complex including: Purpose, Objectives and Vision, Benefits and Potential Savings, Acquisition Strategy, and Issues and Concerns. The scope of this single consolidated contract would include the existing contracts for management and operation of the Kansas City Plant in Kansas City, MO, the Y-12 Plant at Oak Ridge, TN, the Pantex Plant near Amarillo, Texas; and potentially, the weapons production activities at Sandia National Laboratories in NM, the weapons production activities at Los Alamos National Laboratory in NM; and the tritium operations at the Savannah River Site, near Aiken, SC and Augusta, GA. The purpose of this announcement is to request industry, community, and other stakeholder comments on the concept of contract consolidation within the NWIC. This announcement is not advertising a procurement, and the Department is not committed to pursing this concept. The Department is soliciting innovative and creative ideas or approaches to manage the NWIC more effectively from both a programmatic and cost standpoint. Comments on the concept are sought particularly in regard to: viability of competition; sites to be included within the contract; timetable for phase-in of affected contracts; potential cost savings due to system efficiencies and improved integration and optimization of operations; transition period and costs; the proposed establishment of a Nuclear Weapons Industrial Program Corporation and its attendant responsibilities addressed in the Acquisition Strategy section; contract term; time needed to prepare a proposal should the Department pursue the concept; Human Resource issues including a preferred option for employee pay and benefit plans and reasons therefore; and other considerations and issues that the DOE should consider prior to a final decision on the consolidated contract concept. Comments regarding the Department's proposed consolidated contract concept will be protected from disclosure to the maximum extent permissible under applicable law, including the Freedom of Information Act. The comments will be used in helping the Department determine whether to pursue contract consolidation, and if pursued, the appropriate acquisition strategy to be reflected in any solicitation document. Written comments must be submitted by July 15, 1998, to the following e-mail address: nwic@doeal.gov. In addition, organizations may present their comments through a scheduled meeting with senior Department officials. The week of June 29 has been reserved for this purpose, and the meetings will be held at the Forrestal Building in Washington, D.C. Organizations desiring to present their views orally may request an appointment by calling Mr. Jon Ventura at 202-586-5164 by June 18, 1998. The Department reserves the right to limit the time available for providing oral comments, based on the number of requested meetings and time available. Following review of industry and stakeholder comments and considering our strategic objectives for the NWIC, the Department will make a decision on whether or not to proceed with this contract consolidation concept. An announcement will be issued in the Commerce Business Daily and at the above Web-site notifying interested parties of the Department's decision. We are in the process of establishing reading rooms containing site information pertinent to this restructuring concept. As soon as the data are compiled and the reading rooms established, you will be notified through the web page identified above. We expect to have this information on the web page by June 12, 1998. Questions regarding this announcement should be sent to, US Dept. of Energy, Albuquerque Operations Office, PO Box 5400, Albuquerque, NM 87185-5400, Attn: William Meyers or Michael Frietze; e-mail address nwic@doeal.gov; telephone 505-845-5777. WEB: NWIC, http://wwww.doeal.gov/nwic. E-MAIL: NWIC, nwic@doeal.gov.

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