CHAPTER III

                             ANALYTICAL STUDIES

1.  GENERAL.  Analytical studies are an important component of the DOE's
    nuclear materials management program.  Studies can provide valuable
    planning information needed in the decision-making process associated
    with the production, processing, utilization, storage, or disposition of
    nuclear materials.  Analytical studies take the form of complex computer
    models or simple paper exercises.  In view of current DOE emphasis,
    study analysis should include costs and impacts associated with full
    compliance of all applicable environment, safety, health and waste
    management requirements, both from the short-term and long-term
    management aspects.

2.  PROCEDURES.  Major steps involved in the development and use of
    analytical studies are as follows:

    a.   Define the scope and objective(s) of the study.

    b.   Determine what data are available.

    c.   Define the approach to accomplishing the study.

    d.   Develop the analytical methodology.

    e.   Establish a schedule for completion of the study and milestones.

    f.   Perform analysis and determine economics and materials impacts.

    g.   Develop data displays and report presentation formats.

    h.   Review and evaluate study in terms of original objectives.

    i.   Prepare and issue report.

3.  ANALYTICAL STUDIES FORMAT.  Attachment III-1 provides a recommended
    format for reporting the results of analytical studies.  (The report
    should include the items presented, with sufficient flexibility to
    accommodate local requirements.)

4.  TYPES OF ANALYTICAL STUDIES.  The following list provides examples of
    analytical studies involved in managing DOE's existing and planned
    nuclear material resources:

    a.   Value of nuclear materials.

    b.   Alternative methods for producing/supplying/storing nuclear
         materials.

    c.   Scrap recovery/disposal analysis.

    d.   Use of alternative materials for mission requirements.

    e.   Determination of optimum inventory levels.

    f.   Development of contingency plans.

    g.   Utilization of inactive nuclear materials.

    h.   Operational-materials requirement tradeoffs.

5.  GENERAL RESPONSIBILITIES.

    a.   Director of the Office of Nuclear Weapons Management.

         (1)  Provides field offices and Headquarters programs with guidance
              and instructions for preparing special analytical studies;

         (2)  Suggests topics for analytical studies;

         (3)  Reviews and comments on analytical studies prepared by the
              field offices, contractors, and Headquarters programs;

         (4)  Provides data to field offices and Headquarters programs on
              nuclear material requirements and, in coordination with the
              Chief Financial Officer, data on nuclear material values;

         (5)  Performs, or commissions performance of, special studies
              required to support the Office of Nuclear Weapons Management's
              nuclear materials management mission;

         (6)  Provides analytical studies to appropriate Headquarters and
              field organizations for review and comment; and

         (7)  Implements or recommends implementation of study results.

    b.   Directors of Headquarters Programs.  Perform analytical studies
         necessary to define and evaluate budgetary/materials management
         tradeoff options to ensure that total resources (operating,
         equipment, and capital dollars, and material values) committed to
         program objectives are optimized.

    c.   Heads of Field Organizations.

         (1)  Identify and perform studies necessary to ensure that
              inventory levels for projects under the office's management
              control are at reasonable levels.

         (2)  Provide contractors with guidance, instructions, information,
              data, and funding, as necessary, to perform analytical studies
              and coordinate the studies with the appropriate Headquarters
              organization.

         (3)  Implement recommendations of analytical studies that have been
              approved by the cognizant program.

         (4)  Review, evaluate, and comment on analytical studies performed
              by contractors and provide copies to the Office of Nuclear
              Weapons Management and other Headquarters organizations.
              Studies conducted primarily for operational purposes that
              impact nuclear materials management also should be provided to
              the Office of Nuclear Weapons Management.

         (5)  Perform studies and prepare plans to carry out materials
              management coordination functions that have been assigned to
              the field office, if applicable.

         (6)  Provide the Office of Nuclear Weapons Management with an
              annual list of nuclear materials management studies being
              performed or completed (see page II-2, paragraph 3a(4)).