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Audit Report: ER-B-98-06

April 1, 1998

Fluor Daniel Fernald's Use of Temporary Service Subcontractors

The Department of Energy (Department) and Fluor Daniel Fernald (Fluor Daniel) implemented two work force restructurings at the Fernald Environmental Management Project between Fiscal Years (FY) 1994 and 1996. During the restructurings, the Department's cost for temporary service subcontracts increased from $2.8 million to $9.8 million annually. The objective of this audit was to determine whether Fluor Daniel utilized temporary service agreements in an economical and efficient manner and in accordance with the policy and goals of the Department's Work Force Restructuring Program.