Summary: Since the end of the Cold War, the Energy Department (DOE) has been downsizing and realigning its facilities. As part of this effort, DOE closed its Pinellas plant, located in Largo, Florida, which had manufactured components for nuclear weapons. In 1995, DOE transferred to facility to the Pinellas County Industry Council to help alleviate the economic impact of the closing on neighboring communities. DOE also provided funding to help mitigate the effects of the closing. GAO examined the criteria DOE used to identify and evaluate the economic effects of closing the Pinellas plant and found that DOE's policy guidance supports economic development to minimize the impact on displaced workers and affected communities of closing the Department's former defense nuclear weapons facilities. However, DOE has not established specific criteria for identifying and evaluating the impact of the closings; nor has it established criteria for deciding what types and amounts of assistance are appropriate to offset that impact. Such criteria are important because DOE's downsizing will likely continue to years and will cost millions of dollars.
