Oak Ridge Institute of Nuclear Studies Annual Report 1947-1948

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TH3 BOARD OF DIRECTORS TO THZ COUNCIL THE OAK RIDGE INSTITUTE OF 2U CLEAR STUDIES, IXC.

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The Oak Ridge Institute of Nuclear Studies rounds out its seeond full year with its major training programs launched and a n enduring foundation laid for a broad program of service.As the year draws toa clo68, there seems every reason for confidence in the future of the Institute in service toits sponsoring universities,the Atomic Energy Commission, and the Nation The past year has been a difficult one for the Institute. During this period all the varied problems of creating and establishing a new organization have had t o be faced and solved. These problams include assembly of staff ; development of suitable personnel policies and employee benefits ; establishment of adequate accounting, purchasing, property record, and other office procedures; the solution of many legal problems of corporate lia - bil it y and responsibility including the determination of adequate insurance coverage c;nd types of insurance needed; together with many others incident to establishing a going organization. solved at the present stage but great progress has been mede during the year i n coping with many of them. Those problems are by no means all In addition to those problems peculiar to the management and functions of our corporation itself, our energies have been absorbed from time t o time with the several major crises arising during the year inthe management and program of t h e Chk Ridge National Laboratory (formerly Clinton Laboratories) as described in detail in the first section of this report.Since the welfare and .stature of this Laboratory constitutes the primary concern of the Institute, it was essential that we forego the development of our om organization and programs during each such crisis in order to lend our full support the Laboratory. This situation has naturally multiplied our problems greatly and slowed our,progress considerably. In spite of this very difficult period, the Institute is in a' Pan s trang - er position than ever before. This statement is based on several factors. One is the fact that the Commission has recognized the Institute as anin - te gral part of Oak Ridge and a key element in its plans for developing the Oak Ridge Area on a lasting and-permanent basis deeply rooted in this region. Others are the very earnest desire on the part of the Carbide Company t o openate X-10 as a true national laboratory,their complete cooperation with the Institute in organizing its programs, the str on k possibility of obtaining important new research projects at Oak Ridge National Laboratory, and the very warm support accorded the Institute by Mr. J. C. Franklin, Manager of Oak Ridge Directed Operations, and of his representative Dr. H. M. Roth who administers the fn st it ute contract with the Commission.! It is in the field of relations with its member universities.that the This has been partly due to the several changes i n management of Oak Ridge National Laboratory which have necessitated a new star teau h.time in negotiations on suit - able plans for participation in the laboratory by university staff members and graduate students, and partly it has been due to the great pressure of . progress of the Institute has been slowest during the year.

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problems demnding immediate attention in connection with establishing our corporation r;nd 1aunchinE its contract with the Commission. kith many of these initial problem out of the way, we are looking forward to3period of greatly increased service to our member universities during the coming I n conclusion w e can say that nothing has changed the fact that Oak Ridge contains research and training facilities unmtched in the world, and failure to utilize these facilities for the advancement of science would be an educational disaster of the first order. The Institute is now r e - cognized by all concerned asthe proper agency--and the only ngency--which can fulfill the high promise inherent in Oak Ridge.

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SECTION I. CLINTON NATIONAL LABORATORY NEGOTIATIONS Changes i n Contract Operator At Clinton National Laboratory Energy Commission t o meet with the Board of Directors to discuss the operation of Clinton National Laboratory by the Institute and there by fill the vacuum i n management that had resulted from the withdrawal of the Monsanto Chemical Company from Oak Ridge. The Council also approved appropriate changes inthe Institute ' s by-laws and inthe composition of its Board t o meet the larger responsibilities that would necessarily devolve on the Institute should it be named t o operate Clinton National Laboretory. On the last day ofthe 1946-47 fiscal year,the Institute Council by resolution asked the Atomic Following the Council meeting i n June, a telegram and follow-up letter a meeting ofthe Board of Directors with the Commission for consideration of Ei contract with the Institute for the operation of Clinton Laboratory. Shortly after this,a letter was received from Mr. Carroll nils on in response t o a letter which Dr.Pollard had sent to Dr. Bacher prior to the Council meeting. This letter from &.Wilson stated that the Commission felt that it was necessary for it t o choose an operating contractor with established mnagement experience, construction experience, and a large reservoir of experienced management and technical personnel. Be said that although the Commission felt that full participation by the Institute in the Clinton Xational Laboratory was essential,they did not feel that a meeting with the Board was desir able at that time. Negotiations by the Commission with several possible industrial contract - ors to assume the operating role at Clinton hb oratory were unsuccessfu1, and the Commission approached the University of Chicago around the middle of July with a view t o exploring the possibility that it might take over the contract fvr this operation. Officials of the University agreed t o explore the possibilities,but insisted that they should first determine the attitude of the Institute and ofthe Laboratory staff.A series of meetings were held i n Oak Ridge for this purpose on August 12 and 13. In the meantime, Dr.Graham called Vi. Lilienthal on August 8, and on finding that the Co mission ChEiirman was axay from Washington, he talked to hk. Nayrrack instead. In this con vers rti on,Dr, Graham emphasized theim - portance tothe Commission of developing and strengthening,rather than weak- ' ening, the regional university concept represented by the Institute. It was agreed that neither the Commission nor the University of Chicago would proceed further with contract negotiations unless it was completely satisfactory On August 12, five representatives of the Commission and five from the University of Chicago came t o Oak Ridge for the purpose of carrying out i n - it i al exploratory discussions with the Institute and with scientific staff members of the Laboratory. Dr.Pollard met with th s group on the morning of the12th and later the entire group went to Clinton Laboratories and met during the afternoon with a number of representatives of the Laboratory staff.

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at ives aloiie and z t this time i c vias arr sed that the meting between the Board of Directors and the Copmission v:hich had been Council meeting sho& beheld. Tnis rresting took piece on the following day, August 14, inthe Atomic Energy Commission building in Washineton. atthe meeting were Bard Members Granam, Beam, Gross, Pegram and Pollard for the Institute and Nessrs. Nilson, Fisk, Euddleson, Ylrks, and M cF niel for the Commission. (aoard Members Good p sture,Fainter,Seitz and 'bvigner were unable to attend the meeting.) r sq he s ted at the time of the Although several plans of operation were discussed, Drimary consid sr - ation vas given tothe two possibilities of operation by the University of Chicago on the one hsnd and the Oak Ridge 1nst ; itute on the other. The point of view advanced by the Boar2 Elembers of the Institute was The Institute,as the represent z ti ve of the leadbased largely on the philosophy of regional wnagement of -the Conmission's ing universities in this section, provide2 a strong and enduring basis for such operation,d cox tractor otherwise selected could not provide the same continuity of service, nor could it be deeply rooted inthe hopes and aspiret ions of a region. ly considered bythe Council atits meeting on June 30, and all ne-cessary steps had been taken by the Council to modify the organizational structure of the Institute for this pur?ose, Koreover, operatior, by the Institute had been throughThe Conunission represent lt ives brought out seo era l points,all of which weighed considerably with the Commission ir, f'avor of the University of Chicago as contractor for this operation. importance of the reactor program on the ons ?end and 5he need fora quick return to management stability of' the Lib oratory of the ct her, both had i m - pelle d the Cominission t o seek a contractor pith a large reservoir of s cie nti - fic personnel and extensive experience in this typc: of operation under government contract. Two primary aspects of the problem had combined to single out the University of Chicago as th s most apc roar i ate agency for zee ting these demands. On t h e one,hand, the General Advisory Coxmittee t o the Commission hsd gonne National Laboratory anpeared t o be the most likely. the University of Chicago had already served for a considerable Ferioi! during the mr as con tr - ct operator of Clinton Laboratories and thus could supply a background of experience for this particular oDeration which no other candid ate would possess. The Commission felt th ct in Dlacinf the two labor at or - iesin Which reactor development work was being carried out, namely Argome and Clinton, under t h e same msnegemest, it would be going f a r toward meeting the recommendation of its General Advisory Committez and it would atthe same time provide a n operator for Clinton of sufficient experience and resources toget operatior; going well. ata minimum of tine and thus make possible a bigger sdvance in the reactor developrent field, Tne great urgency and prim ry a consolidation 0." all re ac & r developaent work a t one 0x1 the other hand, After a thorough discussion of these points of view, the Institute representatives reported that its services as operator of the laboratory were still available,but ,khat it wauld cooperate fully with the University of Chicago as contract operator of the hb oratory,n ro vii ed that it did not

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compete with the Institute ' s recognized academic and training functions. It was agreed thata meeting between representatives of the Institute,the Commission and the University of Chicago would be called at a nearly date for the purpose of working out detailed arrangements under which the objectives of the Institute could be achieved with the University of Chicago as operator of the Laboratory. The Board designated Dr.Pollard to represent it a t such a meeting. Arrangements fur this meeting were made by the Commission and it was 63 held in Viashington on August 28. counsel, attended for the Institute in accordance the University of Chicago. ed out whereby the University of Chicago would operate Clinton National Laboratory purely as a management function,with all educational and academic activities,including the Laboratory training school, managed by the Institute. It was also arranged t o have the Board of Directors of the Institute act in an advisory capacity to the Director of the Laboratory with respect to the research program, budget, and policies in much the same capacity as that exer c is ed by the Argonne Board of Governors. Those representing the Commission at this meeting were Xessrs. with the action taken by William B. Harrell and narre n C. Johnson represented At this meeting, detailed arrangements were workThe development of graduate research facilities in Southern universities i n conjunction with the Laboratory was not discussed in detail, inasmuch a s Dr.Fisk stated that the Commission-sponsored s ux ort for University research programs had not yet been formulated. st it ute ' s program, to the extent it contemplates such Commi ssion-sponsored support, must await the development of Commission policy in this matter. Accordingly, this oh sse of the InThe terms of the proposed operating contract x5th the University were discussed in detail.Dr.Pollard stated that the Institute felt that it would like to consider the possibility of working toward the eventual end of assuming the responsibility for the operation and management of the Laboratories,but recognized the factors involved and the difficulties Of attempting to predict when the Institute could realize this object3ve. Dr. Fisk stated that the Commission continued t o recognize the aspirations of the Institute,but in entering into a contract with the University of Chicago for four years,the Commission felt it must m sint a in itself in a position to extend that term upon exD i ration if at that time such a course appeared desir able, and that no commitment cmld be m de that a contract with the Univers it y would not extend beyond four years.Dr.Pollard agreed that the In - st it ute was not asking the Commission to take a different position to thctt i Public announcement of the assumption of the operating role by the University of Chicago was made jointly on September 25 by the University, the Institute and the Commission. Negotiations had been completed i n O, most cordial manner, and the University gave every indication that it would coope rate fully with the Institute insetting up it sed nation ul and training Immediately following the public announcements, tho Institute nnd the University began negotiations with a view t o drawing up n subcontract under

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which the Institute would conduct those portions of its program which utilized the Clinton Laboratory staff and facilities, and atthe same time, provide for an advisory comriittee from the Institute to assist the Laboratory staff in tho sci ent ii ' ic aspects of its program. The Bard of Directors of the Institute devoted considers ble time s t its fourth regular meeting on October 31 to various aspects of the negotiations. Training School, and later Mr, William B. Harrell, Business Manager of the University of Chicago, met with the Board to discuss the future arrangements for this school and the relationships of the Institute with the University of for a school at the Laboratory. ers it y of Chicago t o cooperate with the Institute and reaffirmed the arrangements which had been developed for the operation of Clinton National Laboratory. Dr. VonderLage discussed a written pro so sal which he had prepared Ah. Harrell discussed the desire of the UnivNegotiations continued satisfactorily during the period prior to January 1948, on which date the University of Chicago was to take over operations om Monsanto Chemical Company. They had progressed t o such a point that the Bulletin announcing the Institute ' s Graduate Training Program was i n process of being printed and arrangements …