These five multi-purpose Operations Offices support research and development activities through contract administration and day-to-day management oversight of Government-Owned Contractor-Operated facilities; design, engineering and construction management; procurement; property and real estate management; contractor industrial relations; financial management; and management of related support services. The other three Operations Offices primarily support Defense Activities and are funded by the Atomic Energy Defense Appropriations. The FY 1985 request includes a savings of $1.9 million resulting from the Management Reform Initiatives in the areas of payroll and personnel, administrative organization management, procurement reform and travel management. COST OF WORK FOR OTHERS AND MISCELLANEOUS REVENUES Cost of Work for Others covers expenses for materials and services to nonFederal organizations when such products or services are not readily available from alternate sources. Examples of such products and services include special reactor materials, isotopes, and irradiation and test reactor services. The FY 1985 estimate is $115.7 million. The Department will receive an estimated $128.1 million in Miscellaneous Revenues as reimbursements for this work. Revenues estimated at $91.3 million are also earned from the sale of byproducts, such as reactor steam and special nuclear materials. IN-HOUSE ENERGY MANAGEMENT The FY 1985 request for In-House Energy Management is $24.0 million. The requested amount reflects continuity in the approach toward energy conservation through quick payback retrofit construction projects. The funding level proposed will enable us to further approach the established retrofitting goals outlined in the National Energy Conservation Policy Act of 1978 (P.L. 95-619). The In-House Energy Management Program represents a continuing investment to improve the energy efficiency of DOE buildings, facilities and operations. The program of energy saving retrofits proposed in the FY 1985 budget has a payback period of 2.7 years with annual energy savings to the Department of 535,000 barrels of oil equivalent. Proposed funding also continues the program of conservation surveys to identify future retrofit projects; central plant studies to evaluate the economic feasibility of cogeneration of electricity and other central plant improvements; and model energy conservations programs such as a steam trap improvement program and a boiler operator training program. Continuation of the annual program of quick payback retrofit projects for the Department's facilities reduces outyear utility costs and provides a very high rate return on investment dollars. TECHNICAL INFORMATION MANAGEMENT PROGRAM The Technical Information Management Program is a centralized scientific and technical information resources management function for the Department's program managers and contractors. The goals of the Technical Information Management Program are to contribute to DOE's mission in advancing energy and nuclear defense technologies, protect U.S. economic and military security through the effective control and use of scientific and technical energy information as a national and agency resource, and to enhance productivity of energy research and development. The program supports energy research and development by developing Departmentwide policy; conducting an oversight program; and collecting, managing, controlling and disseminating scientific, technical and engineering energy information. The FY 1985 budget request for the Technical Information Management Program is $15.4 million, which includes $14.6 million for operating expenses and $0.8 million for purchase of capital equipment. This request includes support for 172 full-time equivalents. This budget request reflects $0.3 million in savings resulting from Management Reform Initiatives in the area of printing and publications. PLANT ENGINEERING AND DESIGN The Department is not requesting separate funding in FY 1985 for Plant Engineering and Design. The purpose of this activity was to identify and support, through the funding of advance Architect - Engineering services, those proposed non-defense construction projects considered critical to the timely accomplishment of the Department's mission. Due to a change in policy, this activity will be funded by the appropriate program in FY 1985. Mr. Chairman, that concludes my presentation. I will be happy to respond to any questions you or the Committee members may have. STATEMENT OF HELMUT A. MERKLEIN, Assistant SECRETARY FOR INTERNATIONAL AFFAIRS AND ENERGY EMERGENCIES Mr: Chairman, Members of the Subcommittee: It is a pleasure to present testimony before this Subcommittee on the FY 1985 budget request for the Office of International Affairs and Energy Emergencies. I shall be discussing only that portion of my program which is under the jurisdiction of the Deputy Assistant Secretary for International Affairs. As you may be aware, the programs of the Deputy Assistant Secretary for Energy Emergencies were added to those of the Office of International Affairs as of January 23, 1984. The Energy Emergencies budget continues to be under the jurisdiction of the Interior Subcommittee. PROGRAM AUTHORIZATION AND GOALS The overall policy role for International Affairs is established by the Department of Energy Organization Act of 1977 (P.L. 95-91). This Act requires the Department to develop and implement international energy policy consistent with domestic energy and U.S. foreign policy and to provide independent technical advice to the President on international energy-related matters. In accordance with the National Energy Policy Plan (NEPP IV), our program is focussing on the international dimensions of energy supply, energy security, and emergency preparedness as pasic elements of an adequate supply of energy in the United States. Our primary international energy goals are to reinforce the international nuclear nonproliferation regime; to advise on policies to remove impediments that hinder free markets; to improve U.S. accessibility in world energy markets, primarily nuclear, oil and gas; and to help shape policies that reduce U.S. vulnerability to energy supply disruptions, predominantly oil. Our areas of responsibility include international nuclear cooperation and nonproliferation (under the Atomic Energy Act and the Nuclear Non-proliferation Act), integration of contingency planning and other elements of department policy with international policy; energy market analysis, and international cooperative arrangements with foreign nations and international energy organizations. Our activities are carried out primarily by our in-house civil service staff, supplemented, as needed, by energy experts in the private sector, universities, national laboratories, and other government agencies. INTERNATIONAL AFFAIRS PROGRAM ORGANIZATION The work of the IA program is carried out by four organizations reborting to the Deputy Assistant Secretary for International Affairs: The Division of International Market & Policy Analysis This office is responsible for analyzing trends in world energy supply and demand with particular emphasis on the policy aspects of theorectical and empirical developments in academic and industrial research. The Division of International Policy Integration This office is responsible for the international aspects of DOE/US participation in contingency planning programs and coordinates and implements policies regarding related US participation in the International Energy Agency (IEA), NATO and the European Community and bilateral relations with major energy consuming nations. The Division of International Research and Development This office is responsible for developing and implementing policies for US international energy R&D cooperation and related international trade with energy producing and consuming nations, and for negotiation and administration of the Department's international energy research and development agreements. The Division of International Nuclear Nonproliferation Policy This office is responsible, with the Department of State, for developing and implementing US nuclear nonproliferation and (non-R&D) cooperation policies. Export policies are coordinated with the Office of International Security Affairs, Defense Programs. The FY 1985 Budget request for International Affairs is $4,328, 000, an increase of approximately $1 million dollars from 1984. At this level, the Office maintains its current staffing level of 55 FTES. Requested funding provides for the salaries, benefits, and travel for International Affairs' in-house civil service employees. This level also provides funding for two overseas offices in Tokyo and Paris, including personnel and administrative support, and administrative support for a mission in Vienna. The FY 1985 budget request for International Policy Studies is $1,250,000, an increase of $1,000,000 from 1984. This funding level will be used primarily to: meet IA responsibilities in support of the 1985 lead DOE responsibility for development of the U.S. position on Article IV, technical cooperation, that is of major concern to the non-aligned nations. track fluctuations in world energy supply and demand which greatly affect domestic energy as well as programs of energy cooperation with other nations. |