A new engineered safety feature that automatically trips the primary coolant pumps following a low-pressure reactor scram was recently installed in the Advanced Test Reactor (ATR). The purpose of this engineered safety feature is to prevent the ATR's surge tank, which contains compressed air, from emptying during a small-break loss-of-coolant accident (SBLOCA). If the surge tank were to empty, the air introduced into the primary coolant loop could potentially cause the performance of the primary and/or emergency coolant pumps to degrade, thereby reducing core thermal margins. Safety analysis performed with the RELAP5 thermal-hydraulic code and the SINDA thermal analyzer shows that adequate thermal margins are maintained during an SBLOCA with the new engineered safety feature installed. The analysis also shows that the surge tank will not empty during an SBLOCA even if one of the primary coolant pumps fails to trip.