NRC's Committee on Government Data Centers made a set of technology recommendations for data centers meet user needs and develop the long-term record of environmental change. ArC is a low cost scalable Archive Storage Management System that will help NASA respond to the NRC recommendations. The ArC architecture is innovative in the replacement of current tape-based archival systems with a highly distributed disk-based system that provides unprecedented ease of use implemented over commodity Linux clusters using scalable indexing and load balancing algorithms. The Phase II Technical Objectives are to develop a full-scope prototype system, evaluate its performance using the EOS Science Investigator-led Processing System (SIPS) on OMIDAPS, and incorporate performance improvements. The prototype will provide a 36TB archival system that will enable archive administrators automate the day-to-day operations of the archive, ensure the preservation of authenticity, provide audit constructs, and achieve the lowest possible cost of operation.