ML20211C421
| ML20211C421 | |
| Person / Time | |
|---|---|
| Issue date: | 09/25/1986 |
| From: | Roberts T NRC COMMISSION (OCM) |
| To: | John Miller OFFICE OF MANAGEMENT & BUDGET |
| References | |
| NUDOCS 8610210360 | |
| Download: ML20211C421 (8) | |
Text
e f hN ~
gf ""%y%
V UNITED STATES O
0
[
NUCLEAR REGULATORY COMMISSION WASHINGTON, D. C. 20555
'5 l
'% * * *. * )
September 25, 1986 CHAIRMAN The Honorable James C. Miller, III Director, Office of Management and Budget Washington,.D. C.
20503
Dear Mr. Miller:
In accordance'with the provisions of OMB Circular No. A-11, I am submitting an FY 1987 budget supplement for the U.S. Nuclear Regulatory Commission (NRC).
This supplement is for $6.5 million and represents the additional FY 1987 resources required to consolidate our headquarters offices.
The U.S. General Services Administration (GSA) has signed an agreement with White Flint North limited Partnership to purchase One White Flint North, an 18-story office building in Rockviller Maryland.
This purchase is the first step in a two-part consolidation of NRC employees, currently housed in almost a dozen different locations in Maryland and the District of Columbia.
The purchase agreement includes an option for GSA to lease space in an adjacent office tower, scheduled for construction within two years.
Exercise of the option would permit full consolidation of NRC headquarters offices in Rockville.
We have worked diligently on this endeavor and are committed to its success.
Consolidation is extremely important and will improve the efficiency of NRC's headquarters operations-Both the " Report of the President's Commission on the Accident at Three Mile Island" and the NRC's Special Inquiry Group in their report "Three Mile Island:
A Report to the Commissioners and to the Public" strongly recommended this consolidation.
The Congress has repeatedly supported consolidation of headquarters employees, most recently in approval of the prospectus to purchase One White Flint North.
The prospectus for a second building on the same site to complete the consolidation has been approved by 0MB and submitted to the Congress for their consideration.
We believe the benefits the agency will derive from consolidation will be permanent and will have a positive effect on our abi.lity to protect the public health and safety.
In the long term,'the cost of consolidation should be more than repaid by the savings we will be able to achieve.
The enclosed material describes our budget supplement in detail.
This supplement represents added costs to the NRC in FY 1987 for the consolidation and is not included in our presently available funding.
We are. prepared to discuss the request at the convenience of your staff.
8610210360 860925 PDR COMMS NRRC CORRESPONDENCE PDR
e t
As required by Section 1108(c) of Title 31,'Onited States Code, I am reporting that all statements of obligations furnished to the Office of Management and Budget in connection with the Nuclear Regulatory Commission request for proposed appropriations for the FY 1987 consist of valid obligations as defined in Se,ction 1501(a) of that title.
Sin erely N
omas M. Roberts Acting Chairman
Enclosure:
FY 1987 Budget Supplement i
r..
t ENCLOSURE a
. 1.
'N BUDGET I
SUPPLEMENT i
i l
FISCAL YEAR 1987 J
1 1
I i
h 1
l-4 l
4 i
SEPTEMBER 1986 U.S. NUCLEAR REGULATORY COMMISSION
)
i i
1 s
i
.-n-
.-, -- n -. - - _ _
,._..,,,,n__
U.S. NUCLEAR REGULATORY COMMISSION FY 1987 BUDGET SUPPLEMENT (Dollars in tnousands, except in text, where whole dollars are used.)
., PROPOSED LANGUAGE - SALARIES AND EXPENSES The proposed language is as follows:
U.S. NUCLEAR REGULATORY COMMISSION Salaries and Expenses For an additional amount for " Salaries and Expenses," $6,500,000 to remain
- ~
available until expended..__
i U.S. NUCLEAR REGULATORY COMMISSION FY 1987 BUDGET SUPPLEMENT (Dollars in thousands, except in text, where whole dollars are used.)
SUMMARY
OF OBLIGATIONS OBLIGATIONS BY PROGRAM Direct Program:
FY 1987 FY 1987 FY 1987 Current Revised Proposed Estimate Estimate Supplement Nuclear Reactor Regulation......
$ 78,950
$ 80,640
$ 1,690 Nuclear Material Safety and S a feg u a rd s....................
39,050 39,890 840 Inspection and Enforcement......
98,365 99,015 650 Nuclear Regulatory Research.....
112,355 112,875 520 Program Technical Support.......
32,334 33,314 980 Program Direction'and Administration................
43,946 45,766 1,820 Total Obligations -
Di rect Prog ram..............
$405',000
$411,500
$ 6,500 Reimbursable Program..........
500 500 0
Total Obligations............
$405,500
$412,000
$ 6,500 OBLIGATIONS BY FUNCTION FY 1987 FY 1987 FY 1987 Current Revised Proposed Estimate Estimate Supplement Salaries and Benefits............
$171,000
$171,000 0
Program Support..................
164,700 164,700 0
Administrative Support..........
58,800 65,300 6,500 Travel...........................
10,500 10,500 0
Total Obligations -
Direct Program............ $405,000
$411,500
$ 6,500 Reimbursable Program.............
500 500 0
Total Obligations............
$405,500
$412,000
$ 6,500 e
U.S. NUCLEAR REGULATORY COMMISSION FY 1987 BUDGET SUPPLEMENT (Dollars in thousands, except in text, where whole dollars are used.)
PROGRAM JUSTIFICATION Current Estimate....... $405,000 Proposed Supplement 6,500 Revised Estimate...... $411,500 Reimbursable Program..
500 TOTAL OBLIGATIONS.. $412,000 This $6,500,000 supplement is for the additional FY 1987 resources required to consolidate NRC's headquarters offices.
The U.S. General Services Administration (GSA) has signed an agreement with White Flint North Limited Partnership to purchase One White Flint North, an 18-story office building in Rockville, Maryland. This purchase is the first step in a two-part consolidation of NRC employees, currently housed in almost a dozen different locations in Maryland and the District of Columbia. The purchase agreement includes an option for GSA to lease space in an adjacent twin office tower, scheduled for construction within two years.
Exercise of the option would permit full consolidation in Rockville.
Consolidation is extremely important. 'Both the " Report of the President's Commission on the Accident at Three Mile island" and the NRC's Special Inquiry Group in their report "Three Mile Island: A Report to the Commissioners and to the Public" strongly recommended this consolidation. The Congress has repeatedly supported consolidation of NRC's headquarters employees.
The NRC estimates that the total costs to occupy White Flint One and White Flint Two will be about $50,000,000 over four years.beginning in FY 1986.
Cost avoidances of about $15,000,000 are also expected, resulting in a net cost of about $35,000,000. Most of these savings are associated with vacating space in buildings currently cccupied by NRC staff. To cover the net cost, the NRC redirected $4,300,000 in FY 1986, included $2,400,000 in its FY 1987 President's Budget, and requested a total of $22,200,000 in its FY 1988-1989 budget estimates submitted to the Office of Management and Budget on September 2, 1986. There remains a shortfall of $6,500,000 in FY 1987 to pay for consolidation.
This budget supplement is to cover the shortfall. -
i t
U.S. NUCLEAR REGULATORY COMMISSION FY 1987 BUDGET SUPPLEMENT (Dollars in thousands, except where in text, whole dollars are used.)
The benefits the agency will~ derive from consolidation will be permanent and will have a positive effect on our ability to protect the public health and safety.
In the long term, the cost of consolidation should be more than repaid by the savings we will be able to achieve.
The FY 1987 estimated costs of consolidation are:
FY 1987 COSTRIQUIREMENTS ESTIMATE Rent Payments (SLUC)
$3,100,000 Telecomunications Modernization 400,000 Facility and Space Preparation 1,200,000 Property and Supply 4,800,000 Moving and Relocation 300,000 Telecommunications Moves and Installation 400,000 Security 600,000 SUBT0TAL
$10,800,000 COST AVOIDANCE Space Vacated 1,600,000 Guard Services 300,000 SUBT0TAL
$1,900,000 NET TOTAL
$8,900,000 The NRC rent payments of $3,100,000 to GSA, called Standard Level User Charges (SLUC), account for 29 percent of the FY 1987 cost requirements for consolidation.
In the aggregate, SLUC charges will amount to 41 percent of the total cost of consolidation. The estimates for SLUC are based on current GSA quotations of $26.00 per square foot for the White Flint complex. - This quote is effectively twice our current average SLUC charge of about $13.00 per square foot for the buildings NRC occupies now. SLUC charges are assessed directly by GSA and not subject to negotiation.
Property and supply estimates of $4,800,000 for carpeting and furniture account for about 44 percent of FY 1987 cost requirements. About $4,400,000 of this estimate is for new systems furniture that is designed to optimize both space and worker efficiency at the White Flint complex. Systems furniture maximizes useable work surface and personal storage and is essential if NRC is to meet the space allocation per employee being imposed by GSA. We estimate an average cost of $3,600 per employee work station.,
i
.t U.S. NUCLEAR REGULATORY COMMISSION FY 1987 BUDGET SUPPLEMENT (Dollars in thousands, except in text, where whole dollars are used.)
Facility and space preparation estimates of $1,200,000 will fund alterations beyond those allowances prescribed in the building purchase agreement. These alterations include reuseable panel walls as well as support walls for the planned office layout. Partitions, electrical modifications and raised flooring are needed to prepare rooms for conferences, hearings, computers, word processors and a kitchen with a. dining facility. Heating, ventilating and air conditioning above building capacity are required to support employee occupancy in accordance with GSA imposed space allocations. Smoke and fire detection systems must be added for protection of personnel and facilities.
The remaining FY 1987 costs to occupy the White Flint complex include various telecommunications modernization and relocation; packing and moving charges for furniture and equipment throughout the reconfigured headquarters offices; and
. security costs for guards and surveillance equipment. ~ Together these amount to $1,700,000.
I _ _ _ _ _ _ _ _
_ _ _ _ _ _