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Audit Report: ER-B-99-06

April 14, 1999

Bechtel Jacobs Payroll Creation

The Oak Ridge Operations Office (Operations Office) awarded a contract to the Bechtel Jacobs Company, LLC (Bechtel Jacobs) in December 1997. The terms of the contract require Bechtel Jacobs to create new jobs in the Oak Ridge area with a cumulative payroll of $427 million through Fiscal Year (FY) 2003. In FY 1998, the contract required Bechtel Jacobs to create $11 million in new payroll. The objective of the audit was to determine if Bechtel Jacobs met its commitment to create at least $11 million in new payroll in the Oak Ridge, Tennessee area through September 30, 1998.