[CTRL] DOE, in Answer to Los Alamos Lapses, Wants Outside Firm to Handle Security

[Shane A. Saylor, Eccentric Bard]

July 3, 2000

By JOHN J. FIALKA
Staff Reporter of THE WALL STREET JOURNAL


WASHINGTON -- The Department of Energy, moving to crack down on embarrassing
lapses at the Los Alamos nuclear weapons lab in New Mexico, wants the
University of California to bring in an outside firm to take over security
and some management functions there and at another government weapons lab it
operates.

Secretary of Energy Bill Richardson said Friday that the DOE will
renegotiate its current contract with the university to require it to form a
"partnership" with an outside firm that is skilled in security and
management practices. "We want to use the assets of the university, which is
its superb science skills, but discard the liabilities," said Mr.
Richardson.

The university has operated the nation's two main weapons laboratories, at
Los Alamos and Livermore, Calif., since World War II. Los Alamos is
struggling with its second major security lapse in two years as the Federal
Bureau of Investigation conducts a criminal investigation into the temporary
but still mysterious disappearance of two computer hard drives containing
highly classified information on nuclear-weapons technology.

In a statement, Richard C. Atkinson, president of the university, said he
"welcomes the opportunity to work with DOE in this effort and to create a
path forward that meets all security needs."

Just how much activity at the labs will be turned over to an outside firm
will be negotiated between the university and the DOE's new undersecretary
for nuclear security matters, Gen. John A. Gordon. Mr. Richardson said the
university's current operation of security "is unacceptable and must be
immediately addressed."

DOE's $2.75 billion-a-year contract with the university to manage the two
labs doesn't expire until Sept. 30, 2002. The current contract, according to
the DOE, will be "restructured" to improve security and "other facility
operations," which neither the agency nor Mr. Richardson would specify.

Mr. Richardson, who has been strongly criticized by Congress for failing to
improve security at Los Alamos, had earlier suggested that he might invite
other firms to bid on a new management contract for the labs when the
current one expires. DOE officials said, however, that he hasn't made a
final decision on that matter, which raises touchy political issues.

Forty-seven members of Congress from California warned Mr. Richardson in a
letter last week "not to act precipitously" in contractual matters with the
university until the implications of the security lapses are "carefully
evaluated." Some veteran scientists at the labs have warned that they will
resign if the university is removed as their manager.

University officials indicated earlier than they regard managing the labs as
a public service and wouldn't bid on a new contract if they had to compete
with outside firms.

--
Everything on this earth has a purpose, and every disease an herb to
cure it, and every person a mission. This is the Indian theory of
existence. --Mourning Dove, 1888-1936

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