Check appropriate box:

þ    Outcome #1: Restore the River Corridor for multiple uses

¨    Outcome #2: Transition Central Plateau to support long-term waste management

¨    Outcome #3: Put DOE Assets to work for the future

List associated performance objectives, measures, and performance expectations for FY00. Identify associated PBS # for each performance objective and/or measures as appropriate.

Performance Objective: Move K-Basin SNF and Sludge                               PBS RL – WM01

Measure1:   Amount of fuel removed

Accelerated commencement and completion of K Basins Fuel Removal

Expectation(s)	Superstretch
FY00 & FY01	1.	Accelerate Start of Fuel Movement by two months—move the first MCO from K west Basin to CVDF by 9/30/00. Maintain at least a two month advance schedule progress until 9/30/01.
FY00	2.	Complete FRS/IWTS System testing using SNF (hot testing phases III and IV of the PSI) and complete the Construction Completion Documentation (CCD2) for the FRS/IWTS by 8/15/00.

Identify fee schedule by performance objective and/or measure(s)

Superstretch = Up to $3M

Superstretch

FY00

1. Up to $2.18M fee is available for Expectation 1 of this Performance Incentive

   1. If fuel is moved by 09/30/00, the contractor will earn $2.18M
   2. If fuel is moved by 10/15/00, the contractor will earn $1.635M
   3. If fuel is moved by 10/31/00, the contractor will earn $1.09M
   4. If fuel is moved by 11/15/00, the contractor will earn $0.545M

   Any fee earned after 9/30/00 under this PI shall be considered earned from the FY01 superstretch incentive fee pool.

   If the schedule acceleration achieved is not maintained, Contractor shall refund all or part of the fee earned as follows:

1. If fee is paid pursuant to 1.b above, the following rate of fee refunded to RL will apply:

   Schedule acceleration as measured on 09/30/01 (days)	Fee retained or refunded
   59-45	All fee retained
   44-31	$0.545M fee refunded
   30-15	$1.09M fee refunded
   less than 15	All fee refunded

2. If fee is paid pursuant to 1.c. above, the following rate of fee refunded to RL will apply:

   Schedule acceleration as measured on 09/30/01 (days)	Fee retained or refunded
   44-31	All fee retained
   30-15	$0.545M fee refunded
   less than 15	All fee refunded

3. If fee is paid pursuant to 1.d. above, the following rate of fee refunded to RL will apply:

   Schedule acceleration as measured on 09/30/01 (days)	Fee retained or refunded
   30-15	All fee retained
   less than 15	All fee refunded

2. $0.82M fee is available for Expectation 2 of this Performance Incentive

PREVIOUS YEAR’S GATEWAY Describe previous year’s gateway (if applicable) that must be completed before fee can be paid under this performance measure. The requirements listed below are the gateway only requirements for this Performance Measure.

GENERAL REQUIREMENTS: In order to earn incentive fee under this Performance Incentive, the Contractor shall:

1. Meet the specific completion criteria and expectations set forth in this Performance Incentive; and
2. Not incur any unfavorable cost variance [(BCWP-ACWP)/BCWP] greater than 5.0 percent, or incur any unfavorable schedule variance [(BCWP-BCWS/BCWS] greater than 7.5 percent, measured at the Project Baseline Summary level at the end of FY 2000.

DEFINE COMPLETION: (Specify Performance Elements and describe indicators of success (quality/progress). Include baseline documentation/data against which completion documentation should be compared).

Expectation 1:

1. Commence fuel removal from K West Basin and move to the CVDF by 9/30/00, and continue fuel removal at a rate that maintains a two-month schedule progress advancement through 9/30/01. If the two month advance in fuel removal schedule progress in K West is not maintained through 9/30/01, the contractor will reimburse RL 1/60 ($36,333) of the previously awarded fee under Fee Schedule 1.a. for each day of lost schedule acceleration until the entire fee earned under Fee Schedule 1.a. has been returned. The K-East cost and schedule variances shall be maintained within 5% and 7.5% thresholds respectively for the K East WBS elements (*listed below), including modifications per RL-approved baseline change requests, or all fee associated with Expectation 1 shall be returned to RL. The Contractor shall reimburse such overpayment to the Government upon demand, payable with interest in accordance with contract clause I-61, entitled "Interest".

2. If the advance in fuel removal schedule acceleration in K West is completed after 9/30/00, but on or before 11/15/00, the schedule acceleration rate must be maintained at the same rate through 9/30/01. If an equal K West schedule acceleration is not maintained through 9/30/01, the contractor will reimburse RL previously awarded fee under Fee Schedule at the rate specified in Section 4. The K-East cost and schedule variances shall be maintained within 5% and 7.5% thresholds respectively for the K East WBS elements (*listed below) or as added or subtracted through RL-approved baseline change requests, including modifications per RL-approved baseline change requests, or all fee associated with Fee Schedule shall be returned to RL. The Contractor shall reimburse such overpayment to the Government upon demand, payable with interest in accordance with the contract I-61 clause entitled "Interest".

   *1.3.1.2.20.14.15.10	1.3.1.2.50.20.10.10.10
   1.3.1.2.20.14.15.20	1.3.1.2.50.20.20.10.10
   1.3.1.2.20.14.15.30	1.3.1.2.50.20.20.20.10
   1.3.1.2.20.14.15.40	1.3.1.2.10.20.40.10.10
   1.3.1.2.20.14.15.50	1.3.1.2.10..20.40.15
   1.3.1.2.20.15.15.10	1.3.1.2.10.20.40.50
   1.3.1.2.20.15.15.20

Expectation 2

1. Phased Startup Initiative: Satisfactory completion of Phases III & IV and CCD 2 for the FRS/IWTS, in accordance with the RL approved baseline change request SNF 1999-085, Phase Start-up Initiative, by 8/15/00. The Contractor shall verify satisfactory completion by submitting a completion letter to DOE by 8/15/00.

DEFINITIONS: (define terms)

CCD2	Construction Completion Documentation
CVDF	Cold Vacuum Drying Facility
FRS	Fuel Retrieval System
MCO	Multi Canister Overpack
MYWP	Multi-Year Work Plan
PSI	Phased Startup Initiative.

COMPLETION DOCUMENTS LIST: (In addition to the Completion Notice the document(s) that should be submitted/data that should be available/actions to be taken by evaluator, to determine actual performance to the requirements stated above).

1. Contractor shall submit a letter to DOE verifying that the first Multi-Canister Over Pack of Spent Nuclear Fuel has been loaded and transported to the CVDF for processing on September 30, 2000.

2. Contractor shall submit completion letter with appropriate documentation verifying that Phases III, IV and CCD2 have been satisfactorily completed.

ASSUMPTIONS/TECHNICAL BOUNDARY CONDITIONS AND REMEDY STATED: (For reasonably foreseeable impacts to performance which are not covered under the Contract. If the assumption or condition proves false the remedy shall be in effect. If remedy is not possible the next step is renegotiation).

None