Summary

The Energy Department's (DOE) computerized Nuclear Materials Management and Safeguards System has significant limitations that impair its ability to track the international movement of nuclear materials. GAO is concerned that DOE's new tracking system will not overcome existing limitations that are often caused by non-system problems. For example, the system lacks data that are not required to be reported under the U.S. agreements for cooperation. GAO believes that DOE should have explored systems alterations and asked its intended users to try to mitigate some of these limitations. In addition, because DOE has not followed good systems development practices, it cannot be sure that the system will be cost-effective or will even fulfill the needs of its major users.

GAO found that: (1) the United States relies primarily on NMMSS to track exported nuclear materials, but the system does not have enough information to track all nuclear materials that are supplied to foreign countries; (2) the reliability of NMMSS data depends on the data reported under international agreements, as well as foreign countries' willingness to report complete and accurate data; (3) the new NMMSS will replicate current NMMSS functions and contain the same tracking limitations that currently exist; (4) DOE has not adequately planned the development effort for the new NMMSS and cannot ensure that the new NMMSS will meet users' needs; (5) neither the current nor planned new NMMSS can provide data on nuclear materials of foreign origin; (6) DOE collects information on nuclear materials worldwide through other sources that may not always be accurate; (7) the U.S. government's ability to ensure that exported nuclear materials are adequately protected is contingent on foreign countries' cooperation; and (8) while the United States conducts on-site evaluations of foreign countries' physical protection systems, recommendations that may result from these visits are not binding on the country.