Contract Extension Negotiated

The U.S. Department of Energy will negotiate with Southeastern Universities Research Association Inc. (SURA) to extend the current multi-year performance-based contract for the management and operation of the Thomas Jefferson National Accelerator Facility in Newport News.

This decision is based on scientific, technical, operations, environmental, safety and health, and institutional management accomplishments, as well as performance in business and administrative practices at Jefferson Lab.

The Department's current contract with SURA runs through Sept. 30, 1999. The new contract extension to be negotiated would extend this agreement for an additional five years. At the time the contract was executed on July 1, 1995, it was estimated to involve approximately $300 million in operating costs for basic and applied research over the four-year extension is expected to have a similar level of funding.

A key incentive under the current agreement was an option permitting DOE to extend the contract for an additional five-years based on superior performance. The department's decision to begin negotiations preliminary to exercising the option is based in part on performance reviews under the contract. DOE recently rated SURA's management performance as "outstanding," the highest rating that can be achieved, and its business and administrative performance was rated "excellent," the second highest rating.