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EA-96-327 - Washington Nuclear 2 (Washington Public Power Supply System)EA 96-327 J. V. Parrish, Chief Executive Officer SUBJECT: ORDER IMPOSING CIVIL MONETARY PENALTY - $100,000 (Washington Nuclear Project 2) Dear Mr. Parrish: This refers to your letter dated December 23, 1996, in response to the Notice of Violation and Proposed Imposition of Civil Penalty (Notice) sent to you by our letter dated November 26, 1996. Our letter and Notice described several violations of Technical Specification requirements at Washington Nuclear Project 2 (WNP-2). To emphasize the significance of taking corrective actions that are effective in precluding similar violations and the fundamental importance of having an effective program for assuring that surveillance requirements are performed as required, a civil penalty of $100,000 was proposed. In proposing this penalty, the NRC recognized that the Washington Public Power Supply System (Supply System) identified most of the current violations and took prompt and comprehensive corrective action for the current violations. However, the NRC utilized its enforcement discretion to propose the penalty to emphasize the Supply System's failure to adequately correct previous similar violations and to emphasize the fundamental importance of surveillance requirements. In its response, the Supply System admitted that the violations had occurred but requested reconsideration of the proposed civil penalty, citing the following reasons: 1) a penalty of $50,000 would be more consistent with the purposes of the NRC's enforcement policy; 2) there was no systemic breakdown in operational activities at WNP-2; 3) additional credit should be given for corrective actions; and 4) the enforcement action placed too much emphasis on a previous surveillance-related violation. After consideration of the response, we have concluded for the reasons provided in the Appendix to the enclosed Order Imposing Civil Monetary Penalty (Order) that the civil penalty as originally proposed should be imposed by order. Accordingly, the enclosed Order requires the Washington Public Power Supply System to pay a civil monetary penalty in the amount of $100,000, as provided in Section IV of the enclosed Order. We will review the effectiveness of your corrective actions during subsequent inspections. In accordance with 10 CFR 2.790 of the NRC's "Rules of Practice", a copy of this letter and enclosure will be placed in the NRC's Public Document Room. Sincerely, James Lieberman, Director Office of Enforcement Docket No. 50-397 Enclosure: As Stated cc w/Encl: Frederick S. Adair, Chairman Mr. Paul R. Bemis (Mail Drop PE20) Mr. Rodney L. Webring (Mail Drop PE08) Mr. Greg O. Smith (Mail Drop 927M) Mr. David A. Swank (Mail Drop PE20) Mr. Al E. Mouncer (Mail Drop 396) Ms. Lourdes C. Fernandez (Mail Drop PE20) Mr. Malcolm H. Phillips, Jr., Esq.
NUCLEAR REGULATORY COMMISSION In the Matter of ) ) Docket No. 50-397 WASHINGTON PUBLIC POWER SUPPLY SYSTEM ) License No. NPF-21 Washington Nuclear Project-2 ) EA 96-327
Washington Public Power Supply System (Supply System or Licensee) is the holder of reactor operating license NPF-21 issued by the Nuclear Regulatory Commission (NRC or Commission) on April 13, 1984. The license authorizes the Licensee to operate Washington Nuclear Project 2 (WNP-2) in accordance with the conditions specified therein.
An inspection of the Licensee's activities was conducted June 28 through September 4, 1996. The results of this inspection indicated that the Licensee had not conducted its activities in full compliance with NRC requirements. A written Notice of Violation and Proposed Imposition of Civil Penalty (Notice) was served upon the Licensee by letter dated November 26, 1996. The Notice described the violations, including the provisions of the NRC's requirements that the Licensee had violated, and the amount of the civil penalty proposed for the violations. The Licensee responded to the Notice in a letter dated December 23, 1996. In its response, the Licensee admitted that the violations had occurred but requested reconsideration of the proposed civil penalty, citing the following reasons: 1) a penalty of $50,000 would be more consistent with the purposes of the NRC's enforcement policy; 2) there was no systemic breakdown in operational activities at WNP-2; 3) additional credit should be given for corrective actions; and 4) the enforcement action placed too much emphasis on a previous surveillance-related violation.
After consideration of the Licensee's response and the statements of fact, explanation, and argument for mitigation contained therein, the NRC staff has determined, as set forth in the Appendix to this Order, that the Licensee has not provided a basis for mitigation of the civil penalty and that the penalty proposed for the violations in the Notice should be imposed.
In view of the foregoing and pursuant to Section 234 of the Atomic Energy Act of 1954, as amended (Act), 42 U.S.C. 2282, and 10 CFR 2.205, IT IS HEREBY ORDERED THAT: The Licensee pay a civil penalty in the amount of $100,000 within 30 days of the date of this Order, by check, draft, money order, or electronic transfer, payable to the Treasurer of the United States and mailed to James Lieberman, Director, Office of Enforcement, U.S. Nuclear Regulatory Commission, One White Flint North, 11555 Rockville Pike, Rockville, MD 20852-2738.
The Licensee may request a hearing within 30 days of the date of this Order. Where good cause is shown, consideration will be given to extending the time to request a hearing. A request for extension of time must be made in writing to the Director, Office of Enforcement, U.S. Nuclear Regulatory Commission Washington, D.C. 20555, and include a statement of good cause for the extension. A request for a hearing should be clearly marked as a "Request for an Enforcement Hearing" and shall be addressed to the Director, Office of Enforcement, U.S. Nuclear Regulatory Commission Washington, D.C. 20555, with a copy to the Commission's Document Control Desk, Washington, D.C. 20555. Copies also shall be sent to the Assistant General Counsel for Hearings and Enforcement at the same address and to the Regional Administrator, NRC Region IV, 611 Ryan Plaza Drive, Suite 400, Arlington, TX 76055. If a hearing is requested, the Commission will issue an Order designating the time and place of the hearing. If the Licensee fails to request a hearing within 30 days of the date of this Order (or if written approval of an extension of time in which to request a hearing has not been granted), the provisions of this Order shall be effective without further proceedings. If payment has not been made by that time, the matter may be referred to the Attorney General for collection. In the event the Licensee requests a hearing as provided above, the issues to be considered at such hearing shall be: Whether, on the basis of the violations admitted by the Licensee, this Order should be sustained. FOR THE NUCLEAR REGULATORY COMMISSION James Lieberman, Director Office of Enforcement Dated at Rockville, Maryland
EVALUATION AND CONCLUSION On November 26, 1996 a Notice of Violation and Proposed Imposition of Civil Penalty (Notice) was issued for violations identified during an NRC inspection. The Washington Public Power Supply System (Supply System or Licensee) responded to the Notice on December 23, 1996. The Supply System admitted the violations but requested reconsideration of the amount of the civil penalty. A summary of the Licensee's reasons for a reduction in the amount of the civil penalty and the NRC's evaluation of those reasons follow: Summary of Licensee's Request for Reconsideration and NRC Evaluation 1. The Supply System stated that, given the NRC's recognition of the Supply System's identification of most of the violations and its prompt and comprehensive corrective actions, a more appropriate regulatory message would be a penalty at the base amount of $50,000. The Supply System cited the intent of the NRC's Enforcement Policy (General Statement of Policy and Procedures for NRC Enforcement Actions, NUREG-1600) to encourage prompt identification and prompt, comprehensive correction of violations. NRC Conclusion The NRC concludes that its use of enforcement discretion to propose a $100,000 civil penalty was appropriate and in accordance with the Enforcement Policy's emphasis in Section VII.A.1 of assuring that the enforcement action reflects the significance of the circumstances and conveys the appropriate regulatory message. Consequently, the proposed civil penalty in the amount of $100,000 should be imposed by order. |
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