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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

Answer:

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:

How will the new cost estimates be derived?

Answer:

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.

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Answer:

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.

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