Answer:

The technical issues and design changes and corresponding cost increases were recommended by the SSC Laboratory. The estimated cost was reviewed and discussed within the Department, resulting in the indicated review and validation process to establish a baseline design, schedule, and final cost estimate for the SSC project.

Question:

How was it approved at various levels within the Department?

Answer:

A revised cost estimate has not been approved by the Department.
Rather, increases in the cost have been discussed with the SSC
Laboratory and a number of independent reviews of cost and

design are underway. A revised cost estimate will not be

approved by the Department until these reviews are complete and

the costs have been validated by the Department.

The need for the design changes recommended by the SSC Laboratory has been reviewed and endorsed by the High Energy Physics Advisory Panel (HEPAP) Subpanel on SSC in January 1990. This Subpanel felt strongly about the need for a flexible and reliable facility at 20 TeV for decades to come and concurred with the SSC Laboratory on the logic of making the technical design changes described above. The HEPAP recommendations have been accepted by the Secretary.

Question: Explain the origin of the cost increases.

Answer:

The cost increases derive primarily from the need to incorporate design changes in the SSC particle accelerator based on new information on technical issues not known at the time of the 1986 conceptual design. In addition, we now have a better understanding of the schedule, funding profile, manpower, labor and tooling costs and a site specific conceptual design.

Question:

Answer:

How will the new cost estimates be derived?

The new cost estimates will be based on a "bottoms-up" cost
estimating procedure conducted by the Laboratory and reviewed by
DOE. This estimate will be based on the site specific
conceptual design and will account for the technical information
and knowledge of magnet and accelerator performance now
available since the time of the 1986 conceptual design. The
cost estimate will be derived from individual component and
subsystem cost estimates for the technical systems and the civil
construction aggregated with capital equipment and operating
costs to define a total cost for the project. Further details
for the proposed civil construction will be developed as part of
detailed design activities.

Question:

Answer:

Who will do the estimation?

The SSC Laboratory will develop the basic cost estimate. This
estimate will then be reviewed in the Department by two
independent groups. These groups are organized by the Office of
Energy Research's Construction Management Support Division and
by the Department's Independent Cost Estimating staff to
validate the estimates for cost, schedule and baseline design
proposed by the SSC Laboratory. In addition, the Secretary has
requested a third independent review of the cost estimate by a
Subpanel of the HEPAP to report on the validity of the cost
estimate.