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. Identify associated PBS # for each performance objective and/or measures as appropriate.

Performance Objective: Disposition Surplus Buildings                         PBS RL TP-08

Measure 1 - # of buildings dispositioned

1.a.  # of key buildings deactivated (324/327)

Expectation(s)	Regular	Stretch
FY00	See below	See below
*FY07	See below	N/A

This measure includes the progressive deactivation of buildings over an 8-year period. This prevents the ability to count the number of buildings completely deactivated until the last year of the life of the project. Accordingly, the near term measure evaluates the completion of the current work scope as it relates to the overall life cycle of the project. In Fiscal Year 2000, this equates to accomplishment of approximately 15% of the remaining workscope. The last year of the project will reflect completion of the total number of buildings involved in the deactivation project.

It is recognized that there is no amount budgeted for contingency within the project. Because this is a first of a kind deactivation project, a minimal unfavorable cost or schedule variance is within acceptable project performance parameters. This compensates for the lack of contingency which is normally applied to a project of this nature

Performance for this PI will be assessed against calculated earned value performance measures for the Project Baseline Summary level for the approved life-cycle project baseline.

Regular

Cost Variance	The life cycle cost variance is maintained at or above – 1.2 % at year-end as measured on September 30, 2000.
Schedule Variance	The life cycle schedule variance is maintained at or above – 1.5% at year-end as measured on September 30, 2000.

Stretch

Cost Variance	Additional measures are met if cost variance is established greater than -0.6%, 0%, or +0.5% respectively at year-end as measured on September 30, 2000. (as per table in Section 4).
Schedule Variance	Schedule Variance Additional measures are met if schedule variance is established greater than –0.7%, 0%, or +0.5 respectively at year end as measured on September 30, 2000. (as per Table in Section 4).
Critical Path	Additional measures are met if Critical Path for the life-cycle of the project is maintained with greater than 30 days of positive float greater than HNF-1289, Rev 2, (or most current version) Critical Path schedule. Additional measures are met if Critical Path for the life-cycle of the project is maintained with greater than 60 days of positive float greater than the HNF-1289, Rev 2, (or most current version) Critical Path schedule.

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

Regular = 70% of the fee available for this Performance Incentive
Stretch = 30% of the fee available for this Performance Incentive

Regular

Cost Variance	35% of fee is earned if the life cycle cost variance is maintained at or above – 1.2 % at year-end as measured on September 30, 2000.
Schedule Variance	35% of the fee is earned if the life cycle schedule variance is maintained at or above – 1.5% at year-end as measured on September 30, 2000.
Both regular cost and schedule variance thresholds must be achieved before any regular fee can be earned. Both Regular cost and schedule variance thresholds must be achieved before any stretch fee can be earned.

Stretch

Cost Variance	An additional 2%, 4% or 10% of fee is earned if cost variance is established greater than -0.6%, 0%, or +0.5% respectively at year-end as measured on September 30, 2000 (as per table in Section 4).
Schedule Variance	An additional 2%, 4% or 10% of fee is earned if schedule variance is established greater than –0.7%, 0%, or +0.5 respectively at year end as measured on September 30, 2000 (as per table in Section 4).
Critical Path	An additional 5% of fee is earned if Critical Path for the life-cycle of the project is maintained with greater than 30 days of positive float greater than HNF-1289, Rev 2, (or most current revision ) Critical Path schedule. An additional 5% of fee is earned if Critical Path for the life-cycle of the project is maintained with greater than 60 days of positive float greater than the HNF-1289, Rev 2, (or most current revision) Critical Path schedule.

Incremental Fee for Stretch

Measure Cost Variance (= or>)	Base	Stretch 1	Stretch 2	Stretch 3
-1.2	35%
-0.6		37%
0.0			39%
+0.5				45%
Schedule Variance (= or>)
-1.5	35%
-0.7		37%
0.0			39%
+0.5				45%
Delta to Total Float (= or>)
+30 Days		5%
+60 Days			10%

Incentive fee will be determined based on the fiscal year-end status of the life-cycle project baseline.

* Note: Fiscal Year 01 thru 07 are provided for future planning purposes only. No fee is assigned to this item in FY00.

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. (N/A in FY 2000)

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. Life-cycle project critical path float is maintained with zero or positive float from the established baseline

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

Completion will require the Contractor demonstrate that the life-cycle project baseline, including project cost, project schedule and critical path, meet the criteria established in Section III of this Performance Incentive at the end of FY2000.

The life-cycle project baseline for deactivation of the 324 and 327 Buildings is described by HNF-IP-1289, Rev 2, (or most current revision) "324/327 Buildings Stabilization/Deactivation Project Management Plan" and as implemented by the approved Multi-Year Work Plan and Baseline Change Requests. Successful completion of the life-cycle project baseline will require meeting each of the associated end points (as defined in HNF-2119, Rev A and HNF-2118, Rev A, for 324 and 327 buildings respectively) and placing the buildings into a low cost state for long term surveillance and maintenance pending final decommissioning. Deactivation of the 324 Building is currently scheduled to be completed by January 2, 2007, and deactivation of the 327 Building is currently scheduled to be completed by September 7, 2007.

The Referenced Baseline Document, HNF-1289, "324/327 Buildings Stabilization/Deactivation Project Management Plan", is intended to be modified (Revision 3) to incorporate the following changes:

• Carryover Workscope from FY99
• Incorporation of re-baselined elements based on completion of engineering and technical study/analysis
• Any other funding changes or modifications

DEFINITIONS: (define terms)

The life-cycle project baseline for deactivation of the 324 and 327 Buildings is described by HNF-IP-1289, Rev 2, "324/327 Buildings Stabilization/Deactivation Project Management Plan" and as implemented by the approved Multi-Year Work Plan and Baseline Change Requests.

Critical Path for any project is defined as the longest time path through a network from the initial project activity to the final project completion milestone. It is the chain of activities that controls the overall project completion time. It is by definition the series of activities in a logic network with the least amount of total float.

End points are defined in HNF-2119, Rev A and HNF-2118, Rev A, for 324 and 327 buildings respectively or as modified by the change control process

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).

Monthly Performance Reports will be provided and monitored to assess earned value performance measures and project performance trends. Existing documentation will be used to the extent practicable Minimum data to be provided monthly beginning the first month of the second quarter (for December Month End) and will include the following (Schedule data will be provided for the first quarter out of P3):

• Current fiscal year cumulative-to-date. The performance information includes the following.
• The planned budget amount for each WBS reporting level element (BCWS)
• The earned progress amount (BCWP) (from current or outyears)
• Actuals of the work performed (ACWP)
• The cost variance indicating the difference when actuals are subtracted from earned, showing whether the work performed costs more or less than that budgeted.
• The spend variance, a comparison of actual to planned cost spending.
• At-completion year end. Provide cost completion estimates and the resultant variances for the current fiscal year.
• Total project cumulative-to-date. Provide information on cumulative project performance, including prior and current fiscal years. The performance data mirrors that in the current fiscal year cumulative-to-date bullet above.
• At completion total project. Provides estimated completion costs for the entire project period of performance and the resultant variances.
• Critical path schedule analysis showing overall 324/327 Stabilization/Deactivation project critical paths (those paths with zero or less float based on project end date) and total float.

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).

If circumstances result in an approved baseline change to include contingency, this performance incentive will be reevaluated and modified as appropriate.

If the 324/327 Buildings Stabilization/Deactivation Project Management Plan, HNF-1289, Revision 3 is not implemented via approved BCR by January 31, 2000, due to budget uncertainties, this PI will be reevaluated and modified as appropriate. This assures establishment of a baseline on which to measure performance for this PI.