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                                                  1
 1                      UNITED STATES OF AMERICA
 2                    NUCLEAR REGULATORY COMMISSION
 3                                 ***
 4                             BRIEFING BY
 5                   NATIONAL MINING ASSOCIATION ON
 6             REGULATION OF THE URANIUM RECOVERY INDUSTRY
 7                                 ***
 8                           PUBLIC MEETING
 9                                 ***
10                             Nuclear Regulatory Commission
11                             One White Flint North
12                             11555 Rockville Pike
13                             Rockville, Maryland
14
15                             Wednesday, June 17, 1998
16
17              The Commission met in open session, pursuant to
18    notice, at 10:00 a.m., the Honorable Shirley A. Jackson,
19    Chairman, presiding.
20
21    COMMISSIONERS PRESENT:
22         SHIRLEY A. JACKSON, Chairman of the Commission
23         GRETA J. DICUS, Member of the Commission
24         NILS J. DIAZ, Member of the Commission
25         EDWARD McGAFFIGAN, JR., Member of the Commission
                                                  2
 1    STAFF AND PRESENTERS SEATED AT THE COMMISSION TABLE:
 2    JOHN C. HOYLE, Secretary
 3    KAREN D. CYR, General Counsel
 4    KATIE SWEENEY, NMA
 5    ANTHONY THOMPSON, Shaw, Pittman, Potts & Trowbridge
 6    GENERAL RICHARD LAWSON, NMA
 7    MARK WITTRUP, ESPRI
 8    STEPHANIE BAKER, ESWNI
 9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
                                                  3
 1                        P R O C E E D I N G S
 2                                                    [10:06 a.m.]
 3              CHAIRMAN JACKSON:  Good morning, ladies and
 4    gentlemen.  Today representatives of the National Mining
 5    Association have requested an opportunity to brief the
 6    Commission on its white paper entitled, "Recommendations for
 7    a Coordinated Approach to Regulating the Uranium Industry."
 8              The National Mining Association promised to
 9    provide this white paper at a briefing of the Commission in
10    May, 1997.  The paper was provided to the Commission in
11    April of this year and this meeting provides an opportunity
12    for the National Mining Association to discuss aspects of
13    the paper that it feels are most important for the
14    Commission to focus on.
15              Currently the NRC Staff is evaluating the entire
16    framework under which the uranium recovery operations are
17    regulated and is developing a detailed approach to be
18    presented to the Commission on how best to proceed.
19              This paper we expect to be presented to the
20    Commission for approval in the near future.  This gives us
21    then the opportunity to consider the issues raised in your
22    white paper and discussed here today when it reviews the
23    recommendations by the Staff.
24              Now I understand that viewgraphs of your
25    presentation are available, copies of the viewgraphs, at the
                                                  4
 1    entrances to the room, and unless my colleagues have
 2    anything to add, Mr. Lawson, please proceed.
 3              GENERAL LAWSON:  Thank you very much, Madam
 4    Chairman and Commissioners, and members of the Staff, and we
 5    are thrilled to have this kind of a turnout here today.
 6              In the agenda, I thought I would give some brief
 7    opening remarks and kind of set the stage for our actions,
 8    and then turn the discussions over to Mr. Thompson and Ms.
 9    Sweeney to cover some of the specifics in the program, and
10    then we have members from the industry here as well to
11    provide additional insights.
12              The National Mining Association, as I think you
13    know, represents all of the mining that goes on in the
14    United States, and our efforts are to work as carefully as
15    we can to provide an environment for that activity to occur
16    and which not only meets the needs of the industry but meets
17    the needs of the country as a whole.
18              In our industry we say that everything begins with
19    mining and that is only a little bit of an expansion on
20    reality.  Last year the U.S. economy used 47,000 pounds per
21    person of items and energy that we took out of the earth in
22    order to make this economy of ours run.
23              We are really talking here today about those items
24    associated with the uranium industry, but I would just
25    remind all of you that mining coal and uranium provide 80
                                                  5
 1    percent of the electricity that is used in this country and
 2    when you look out to the future and the needs of our economy
 3    as projected from the Department of Energy, you begin to see
 4    how critical that is to the country because now and the year
 5    2010 our electrical grid is being asked to add an amount of
 6    electricity equal to that currently used by Japan and
 7    Germany, our two principal competitors, so it is a
 8    remarkable program out there in front of us and those who
 9    are familiar with energy in the most basic form realize that
10    given some of the environmental concerns about certain
11    aspects of the electrical industry and given the
12    technological demands that are coming forth, this is a time
13    when we need all of the energy that we can find for this
14    country of ours because there are about two billion people
15    that will also join us at the same time that have to be fed
16    and housed and clothed.
17              Our efforts in this study -- and by the way, let
18    me once again, as I did a year ago, congratulate the
19    Commission upon the establishment of this assessment.  It
20    comes at exactly the right time for all of us to put
21    together our heads on how to proceed into the 21st century,
22    it seems to me, and that is what we tried to do in this
23    paper.
24              We discussed, as you will recall, a year ago, we
25    kind of circled around some of the problems and we gave a
                                                  6
 1    few of the incidents that we have concerns on, but in this
 2    white paper what we have tried to do is say if we were part
 3    of your Staff, what are the kinds of issues that we would
 4    re-examine after this first 20 years?  What kinds of
 5    technology, what kinds of expertise, what kinds of legal
 6    thoughts -- what are the general dimensions of the Staff's
 7    problems as they make this assessment and how can we provide
 8    assistance?
 9              In that fashion, let me just say as a postscript
10    to this briefing, we will be there for any assistance that
11    any of the Staff need, for any discussions that any of the
12    Staff need, and to provide anything else that will be useful
13    because we believe that in the 21st century nuclear energy
14    is indeed not going to have a rebirth -- is going to be
15    forced to have a rebirth because of the huge energy demands
16    that are just around the corner for the entire globe.
17              So with that kind of a background, let me just ask
18    Tony and Katie to proceed with the presentation.  We will
19    all be available for questions and thank you again for
20    inviting us.
21              CHAIRMAN JACKSON:  Thank you.  You are going to
22    begin?
23              MS. SWEENEY:  Yes.  I am Katie Sweeney, Associate
24    General Counsel for the National Mining Association. NRC's
25    strategic assessment and rebaselining initiative really
                                                  7
 1    struck a chord with the National Mining Association's
 2    uranium recovery members.  It is not often that a Government
 3    agency can or is willing to conduct a strategic assessment
 4    of its regulatory program.
 5              While NMA had identified some problems, some
 6    regulatory problems that could pose serious problems, it
 7    wasn't until NRC came out with its strategic assessment that
 8    we realized that a strategic reassessment of the Uranium
 9    Recovery Program was exactly what was needed, so NMA's white
10    paper builds on NRC's strategic assessment concept and at
11    heart really is a request that NRC perform a strategic
12    reassessment of some key NRC positions taken regarding the
13    uranium recovery industry with a view towards the goal of
14    optimization of protection of public health, safety, and the
15    environment, something that we believe both NRC and industry
16    would like to see achieved.
17              This presentation is, as General Lawson said,
18    intended to provide to you with NMA's input on the issues
19    integral to such a reassessment and offer some
20    recommendations on how they should be addressed.
21              The white paper is an opportunity to address these
22    potential regulatory problems to ensure they are minimized
23    or eliminated before they undermine the intent of the
24    Uranium Mill Tailings Implementation and Control Act or
25    UMTRCA.
                                                  8
 1              We believe the white paper recommends a common
 2    sense approach for conducting a reassessment of the Uranium
 3    Recovery Program and we believe the recommendations make
 4    sense and we'll help NRC conduct a strategic reassessment of
 5    the Uranium Recovery Program.  We also believe the
 6    recommendations will assist NRC in instituting a
 7    legally-sound program consistent with UMTRCA.
 8              The white paper addresses four regulatory
 9    positions for NRC to reassess.
10              The first is jurisdiction of nonagreement states
11    over nonradiological components of 11e.2 byproduct material.
12              The second is NRC jurisdiction over in in-situ
13    leach facilities.
14              The third is disposal of non-11e.2 byproduct
15    material and tailings impoundments.
16              Finally is NRC's alternate feed policy.
17              We will discuss each of those in turn today.
18              Why is reconsideration necessary?  Reconsideration
19    is needed because these positions were adopted over the last
20    20 years on an ad hoc basis, in response to specific
21    questions and specific circumstances, without always
22    considering whether an efficient, coherent program was being
23    achieved.
24              I must stress that this is not intended as blame
25    or criticism of NRC Staff, but we are criticizing these
                                                  9
 1    positions, recognizing that there may be reasons they were
 2    reasonable or appropriate at the time they were developed.
 3              Just because these positions have been followed
 4    since they were developed, that should not prevent NRC from
 5    revisiting these positions nor as new questions arise from
 6    adopting the mindset to stand back from an issue and look at
 7    the whole program to see if the right questions are being
 8    asked or if an efficient, cohesive program is being
 9    developed.
10              Basically the general problem with the positions
11    taken is that these positions, particularly those on
12    jurisdiction, have become de facto Staff policy and they
13    have been conformed to since their inception, built on, and
14    various regulatory questions and puzzles have been
15    developed.
16              MR. THOMPSON:  I guess one of the next points that
17    we are making is some of the positions that were taken in
18    those days, while they may have made sense at the time,
19    aren't really compatible with the industry as it exists
20    today.
21              For example, the memorandum in 1980 assumed that
22    the focus of the NRC regulations was radiological and not
23    nonradiological, and in fact at the time the NRC's draft and
24    final regulations were going to address groundwater on a
25    site-specific basis as did EPA's first standards for their
                                                 10
 1    Title I sites, but by 1983 groundwater standards were
 2    promulgated and now groundwater is the most problematic
 3    issue at any uranium recovery facility, not control of the
 4    radon or the radiation hazards.
 5              There was an assumption there would be an enormous
 6    number of additional mills -- I think some 50 or so.  ISL
 7    was considered to be just -- you know, going to be a minor
 8    contributor to uranium production, yet now ISL production is
 9    the primary focus of production, and you have in the ISL
10    area also an extensive EPA Safe Drinking Water Act,
11    underground injection control program, that regulates these
12    facilities as well.
13              So that is just by way of sort of a quick
14    reference to why we think things are little bit different
15    than back when some of these decisions were made.
16              MS. SWEENEY:  The most crucial issue addressed in
17    the White Paper is jurisdiction of non-agreement states over
18    the non-radiological components of 11e.2 byproduct material. 
19    In 1980 NRC's Office of Executive Legal Director issued an
20    advisory legal opinion concluding that federal law does not
21    pre-empt the exercise of non-agreement state authority over
22    the non-radiological aspects of 11e.2 material.
23              As discussed in extensive detail in the text of
24    the White Paper, this conclusion is legally unsound.  We
25    would like to call your attention to the four reasons cited
                                                 11
 1    by OELD to support is opinion.
 2              First, the opinion advanced the idea that since it
 3    appeared that radiological hazards, as Tony just discussed,
 4    radon emissions, associated with those tailings and waste
 5    would be the primary focus of regulatory concern.  And that
 6    meant that federal pre-emption of agreement state regulation
 7    existed only with respect to the radiological aspects.  This
 8    argument is clearly incorrect since, as Tony just explained,
 9    UMTRCA requires both the Environmental Protection Agency and
10    NRC to regulate both radiological and non-radiological
11    components of uranium mill tailings and related waste from
12    the point of their generation to their ultimate disposition.
13              Second, the OELD opinion cited the fact that
14    states regulate NORM, which is naturally occurring
15    radioactive material, which is similar in nature to these
16    mill tailings waste.  OELD found this supported its
17    conclusion that states have concurrent jurisdiction over the
18    non-radiological components of 11e.2 material.  But this
19    argument makes no sense since the definition of 11e
20    byproduct material is what makes the legal difference, as
21    recognized in NRC's non-11e.2 disposal policy.
22              Third, the OELD found that the states' ability to
23    take custody of these sites after license termination
24    implied that states have an independent authority over these
25    sites.  But that is not the case.  The state can only take
                                                 12
 1    custody by becoming an NRC licensee, and then they will be
 2    regulated by NRC and not have authority over the site
 3    themself.
 4              Fourth, the OELD asserted that the savings clause
 5    contained in Section 275 of the Atomic Energy Act gave the
 6    states authority over these sites.  This savings clause
 7    states that the UMTRCA amendments are not intended to impact
 8    EPA authority under the Clean Water Act or the Clean Air
 9    Act.  The OELD appeared to reason that to the extent states
10    have derivative authority from the Environmental Protection
11    Agency, they can continue to exercise authority over
12    hazardous constituents.  The savings clause does not even
13    mention NRC authority and the Ninth Circuit recently held
14    the savings clause does not give EPA the authority to
15    regulate 11e.2 by product material, so it would be difficult
16    for the states to claim that that same savings clause would
17    give them authority to do so.
18              CHAIRMAN JACKSON:  I am confused.
19              MS. SWEENEY:  Okay.
20              CHAIRMAN JACKSON:  I mean it almost sounds as if
21    you just walked your way through to say that the savings
22    clause doesn't give anybody authority.
23              MS. SWEENEY:  I think that what the Court said --
24    and, Tony, jump in if you feel I am -- is that the savings
25    clause was not intended to impact the authority of the
                                                 13
 1    Environmental Protection Agency under the Clean Water Act or
 2    the Clean Air Act in other regards.  And --
 3              CHAIRMAN JACKSON:  According to -- yes.
 4              MS. SWEENEY:  Yes.  And -- what were you going to
 5    say, Tony?
 6              MR. THOMPSON:  Well, I think that -- I think you
 7    said it.  I mean the opinion seems to suggest that it
 8    doesn't affect the Environmental Protection Agency's
 9    authority under the Clean Water Act or the Clean Air Act,
10    except that now we have, in conjunction with the Supreme
11    Court Opinion, something that says that under the Clean
12    Water Act, EPA doesn't even have the authority to regulate
13    byproduct material.
14              MS. SWEENEY:  Right.
15              MR. THOMPSON:  Including 11e.2 byproduct.  Under
16    the Clean Water, the savings clause doesn't affect the
17    authority of EPA to issue regulations under the Atomic
18    Energy Act, which they clearly were given and which
19    regulations has conformed its regulations to.
20              CHAIRMAN JACKSON:  Okay.
21              COMMISSIONER McGAFFIGAN:  Madame Chairman.
22              CHAIRMAN JACKSON:  Yes, please.
23              COMMISSIONER McGAFFIGAN:  On an issue of this
24    sort, that has been kicking around for 18 years, and I guess
25    some of the others are almost similar duration, you are
                                                 14
 1    basically arguing, our General Counsel's Office or its
 2    predecessor erred, but -- and court decisions have come
 3    down.  But if the Congress is indeed going to look at our
 4    authorizing statues in some comprehensive way later this
 5    year, as is implied in some of the Appropriations Report
 6    language, do you want us to clarify, or do you want Congress
 7    to clarify some of these matters?
 8              MS. SWEENEY:  I think that some of them could be
 9    clarified without --
10              COMMISSIONER McGAFFIGAN:  Without statute.
11              MS. SWEENEY:  Without statute.  I think that,
12    particularly on the jurisdictional issues that we are
13    raising, that it is something that the Commission could do
14    on their own.  I don't think that statutory changes are
15    needed to implement the recommendations.  However, if that
16    would help.
17              COMMISSIONER McGAFFIGAN:  But let me just ask --
18    you know, there's always multiple parties.  If we were to do
19    what you are suggesting, in clarifying the two
20    jurisdictional issues, the other one that you are going to
21    come to, who is going to take us to court saying that we
22    have erred on the other side?  And would you -- if there's
23    no one, then we don't have to worry, but if there is
24    someone, would we be better off having Congressional
25    statutory clarification and legal clarification at that
                                                 15
 1    point just so we don't get into these endless court cases? 
 2    I love lawyers, but I don't like lawyers' entitlement acts.
 3              MS. SWEENEY:  I think that if you implemented all
 4    of our recommendations, might you face some issues with the
 5    states?
 6              COMMISSIONER McGAFFIGAN:  Yes.
 7              MS. SWEENEY:  I would say greater than -- yes,
 8    greater than 50 percent chance that you would.  I think it's
 9    -- statutory changes probably would give you a stronger
10    basis for contesting their arguments in court.  But they are
11    not --
12              COMMISSIONER McGAFFIGAN:  But I wouldn't guarantee
13    that they would take it to court.  I mean you have agreement
14    -- I think if you are talking about, as your notice had
15    suggested, that in conjunction with rulemaking, raising
16    these issues for public comment, you would get a plethora of
17    comment and be able to sort through it and see what you
18    think with respect to what the public has said.  Certainly,
19    there might be some agreement states who would come in and
20    say, yeah, we agree with this.  We go through all the
21    trouble of becoming an agreement state and, essentially, a
22    non-agreement state has more authority than we do, that
23    doesn't make sense.
24              So I would -- I mean it hasn't come to litigation,
25    really, yet, except in a very special case in the past.  And
                                                 16
 1    I think part of that is that the issues weren't ripe until
 2    now.  Now, you have a bunch of these sites going to closure
 3    and the issues of where a non-agreement state gets involved
 4    with final site closure of a mill tailing site are just
 5    coming to the fore because you just now have the site
 6    starting to go to closure.
 7              COMMISSIONER DICUS:  I have a follow-up question
 8    to Commissioner McGaffigan's point that he was making. 
 9    Specifically, do you know of individual views of any states,
10    if we were to assume the authority of 11e.2 material, the
11    issue that you had before us, of any particular views how
12    the states -- the non-agreement states would really view
13    this, or EPA, their points on this, specifically?
14              MR. THOMPSON:  I would suspect that Utah and
15    Wyoming, who have been fairly aggressive in expressing their
16    views, would take a different view.  Whether they would, you
17    know, do any more than express their opinions in terms, in a
18    rulemaking proceeding, obviously, I couldn't say.
19              I know that, presumably, an agreement state like
20    Colorado will present a slightly different approach.  Having
21    an agreement state program that is covering mill tailings
22    and has from the 1980s on, I suspect they would advance a
23    different position.
24              MS. SWEENEY:  And I don't think we have any views
25    on EPA, on their thoughts.  I haven't -- or I don't --
                                                 17
 1              MR. THOMPSON:  No, I mean I don't know that EPA --
 2    it seems to me this is really -- really, NRC's call.  I mean
 3    we know that EPA sets the general applicable standards and
 4    we know that EPA has, for ground water, provided equivalent
 5    to RCRA standards for mill tailings, and we know that EPA is
 6    forbidden from issuing RCRA permits for mill tailings sites. 
 7    So, I don't know that EPA would be actively involved in
 8    this.
 9              MS. SWEENEY:  We would like to provide you with
10    some examples of problems with the concurrent jurisdiction
11    position.  I would like to acknowledge that these are
12    potential problems, at least for now.  But with more sites
13    nearing closure, there is a greater likelihood that one of
14    these problems could occur.
15              The first example is the potential for perpetual
16    license.  In January 1998, NRC and the Department of Energy
17    finalized their working protocol on license termination and
18    transfer of custody of 11e.2 byproduct material facilities. 
19    The protocol states NRC will not terminate any site-specific
20    license until the site licensee has demonstrated that all
21    issues with state regulatory authorities have been resolved.
22              This language was presumably included to address
23    concerns that DOE could be required by the Federal
24    Facilities Compliance Act to resolve these state issues
25    after license termination.  While this provision may address
                                                 18
 1    DOE concerns, it forces any Title 2 site that is subject to
 2    complex state regulations, such as ground water standards,
 3    to grapple with the prospect of a substantial delay in
 4    termination of the license, even after the licensee has
 5    completed remediation satisfying all NRC requirements.
 6              Given the active role playing by states such as
 7    Wyoming in extending their regulatory jurisdiction over
 8    uranium mill tailings sites, this scenario will likely be
 9    played out at many Title 2 sites and may result in serious
10    delays in license termination, or perhaps even a perpetual
11    license situation.
12              The protocol, as agreed to by both NRC and DOE,
13    demonstrates that DOE is extremely reluctant to accept title
14    to sites where concurrent jurisdiction means states will be
15    able to require clean-up measures even after all NRC
16    requirements have been made.
17              A second example is that concurrent jurisdiction
18    could also potentially create a whole new category of
19    licenses.  For example, say a site has completed surface
20    stabilization and been granted an alternate concentration
21    limit.  Anything within the point of exposure would remain
22    within NRC jurisdiction, but under the concurrent
23    jurisdiction approach, states would have jurisdiction over
24    ground water inside and outside the point of exposure.  And
25    if there are non-hazardous, non-radiological constituents in
                                                 19
 1    such ground water that exceed the state standards, states
 2    may require the licensee to institute pump and treat
 3    technology.  If this involves pumping and treating 11e.2
 4    byproduct material outside the point of exposure, a new
 5    license for 11e.2 material could be required, which raises
 6    some interesting questions such as -- What if the licensee
 7    doesn't own the land outside the point of exposure, who will
 8    be the licensee, and where will the material being treated
 9    be disposed?
10              A final problem is the concurrent jurisdiction
11    could also pose a potential threat to the Agreement State
12    Program and Tony was just talking about this.
13              Agreement states must carefully conform their
14    regulation of radiological and nonradiological hazards
15    associated with 11e.2 material to federal standards, as
16    required by UMTRCA.  Nonagreement states, on the other hand,
17    are free to regulate 11e.2 material without any regard to
18    consistency with the federal standards
19              In other words, agreement states would have to
20    comply with stringent requirements in order to achieve and
21    retain their agreement state status and yet receive less
22    authority over 11e.2 material than they would otherwise be
23    able to exercise as nonagreement states and we don't think
24    this makes much sense.
25              CHAIRMAN JACKSON:  Please.
                                                 20
 1              COMMISSIONER McGAFFIGAN:  Is there real cases at
 2    the moment in Colorado and New Mexico that different from
 3    Wyoming and Utah in how they are going about terminating and
 4    turning over to DOE sites?  Can you discern real differences
 5    in the programs of those states?
 6              MS. SWEENEY:  At the moment, since only two Title
 7    II licenses have been terminated, and other sites are just
 8    starting to go through the process, I don't believe that we
 9    see any noticeable differences at this juncture.
10              COMMISSIONER McGAFFIGAN:  Which two are
11    terminated?
12              MS. SWEENEY:  TVA and Atlas Blue Water.
13              COMMISSIONER McGAFFIGAN:  And Arco?
14              MS. SWEENEY:  Arco -- I mean Arco Blue Water, I'm
15    sorry.  Got Atlas on the brain.
16              MR. THOMPSON:  There have been assertions by state
17    regulatory officials in New Mexico, Wyoming and Utah that we
18    are aware of suggesting that they, because of their
19    authority to regulate nonradiological constituents right up
20    under the pile -- not just inside the point of exposure --
21    that they even have authority to review the surface
22    stabilization plan because part of the surface stabilization
23    is to prohibit infiltration and therefore it impacts
24    groundwater and therefore they have a derivative authority.
25              That has been expressed, in some cases in writing.
                                                 21
 1              MS. SWEENEY:  I am sure as more sites are going
 2    through the closure process, I think we will see some
 3    diverging activities between -- differences between the
 4    agreement states and the nonagreement states in their
 5    approaches.
 6              COMMISSIONER DICUS:  But there have been to date
 7    no actual problems of the transfer in DOE.  What I am
 8    getting at is wanting to address an issue before it becomes
 9    a problem, is that a fair statement?
10              MS. SWEENEY:  Correct.  Definitely.
11              The National Mining Association's recommendation
12    on the concurrent jurisdiction issue is we are asking the
13    Commission to re-evaluate the current de facto policy being
14    applied and to affirmatively assert and as needed vigorous
15    defend Federal preemption in this area.
16              CHAIRMAN JACKSON:  Please.
17              COMMISSIONER DICUS:  If the NRC were to do this, I
18    want to try -- no, let me ask my question and see if I have
19    to explain it.
20              If we were to do this, would there be in your view
21    net harm to the public health and safety or net improvement
22    in the public health and safety?  I am trying to tie the
23    action to a health and safety issue if there is one, or is
24    the issue predominantly legal and economic?
25              Can you tie those together for me?
                                                 22
 1              MS. SWEENEY:  That's a big one.  Do you want to --
 2              MR. THOMPSON:  I think you can.  I think you can
 3    in the sense that you are going to optimize regulatory --
 4              MS. SWEENEY:  -- efficiency.
 5              MR. THOMPSON:  -- efficiency.                                      
           
ncy.  What you may wind
 6    up with is the nonhazardous, nonradiologial constituents in
 7    groundwater, for example, driving the issue of when you can
 8    terminate a license.
 9              The NRC's program is risk-based.  Alternate
10    concentration limit is a site-specific risk-based standard. 
11    The State of Wyoming says that we don't do risk-based.  You
12    have to meet a more stringent standard where there is any
13    risk to human health or not.  That is one example, so we
14    think that it would promote human health and safety because
15    the idea is to get these piles closed, address whatever
16    issues there are related to them in terms of long-term
17    public care and public exposure, get them stabilized, get
18    the groundwater done and get on with it.
19              That would be my answer.
20              MS. SWEENEY:  And I think that that's right and I
21    think that the risks being addressed by NRC encompass what
22    the states are trying to achieve.  I think what we have is
23    duplicative and that if the states were out of it, the
24    public certainly wouldn't be at any greater risk.  They are
25    already protected by the Nuclear Regulatory Commission and
                                                 23
 1    the Environmental Protection Agency.
 2              MR. THOMPSON:  I am just going to briefly address
 3    the in-situ issue.
 4              As I mentioned, in-situ at the time that opinion
 5    came out was really a very small, tiny -- you know, R&D; kind
 6    of a thing and now it is really dominating production in
 7    this country.
 8              Our view of that opinion is that it really is
 9    perhaps -- I don't know why -- I mean it's sort of an
10    aggressive position on taking jurisdiction there and a more
11    reluctant position on taking jurisdiction over --
12    pre-emptying jurisdiction, shall we say.
13              There is an inconsistent application of some of
14    NRC's definitions and things as they are applied, as far as
15    we are concerned NRC doesn't regulate or that is taken from
16    underground or surface uranium mines and stored on pads at
17    the surface or transported to the mill, because NRC has
18    traditionally not regulated source material until it's
19    removed from its place in nature.
20              We view this mining as mining and not underground
21    milling, which is what the Staff position is.
22              Also, the whole reason for creating 11e byproduct
23    material was that there was no source material left in the
24    tailings at .05 percent or greater.  The uranium in the
25    solution coming out of the underground mine is not at .05
                                                 24
 1    percent until it gets at least to the I-X, and perhaps
 2    further and it is not refined.  It is unrefined and
 3    unprocessed according to the definition of that, as far as
 4    we consider it.
 5              So the final thing I guess is you have now the EPA
 6    UIC Program and basically what that says is you have got to
 7    get an aquifer exemption first which says this is not a
 8    drinking water aquifer that you are operating in because you
 9    have got minerals in there and you have got high levels of
10    radionuclides.  You can't drink it because you have got, for
11    example, radon concentrations in hundreds of thousands,
12    perhaps millions of picocuries per liter, so they grant you
13    an aquifer exemption within a certain confined area, and
14    then you have to get a UIC permit which says how you pump it
15    and all that, and that is completely overlapping with NRC
16    right now.
17              It is totally duplicative and the states as
18    well -- for example, in Wyoming the state has a very
19    sophisticated, I would day -- fair statement? --
20    sophisticated program that involves ISL because they have a
21    lot of ISL mines, so basically we think it would make sense
22    for the NRC to regulate the discrete surface wastes from ISL
23    mining because that is really what the Mill Tailings Act was
24    looking at and not at the wellfields as such.
25              I guess the -- I am not going to dwell on this
                                                 25
 1    effluent guidance because the Staff is changing the effluent
 2    guidance in response to comments and discussions we have had
 3    with them, but as an example, you get into all kinds of sort
 4    of funny situations.  I mean under the current situation we
 5    are saying that the NRC -- that we have milling underground,
 6    yet the wastes that are created underground are not
 7    byproduct material, whereas the waste created by milling on
 8    the surface, the tailings and the contaminants that get into
 9    the groundwater, are considered 11e.2 byproduct material, so
10    that we wind up with a mixture of what we call production
11    wastes, which are 11e.2 byproduct materials because the
12    wellfield is part of NRC's jurisdiction currently, and then
13    the restoration of the wellfield, which is not 11e.2
14    byproduct material, and that has led to a mixture of wastes
15    in the past in sludges, for example, that are a mixture of
16    process and restoration wastes.
17              What that then has resulted in is when you say,
18    well gee, we have a non-11e.2 policy that says we are not
19    supposed to put in effect restoration wastes in the tailings
20    pile, we have come up with predominant waste tests.  We are
21    having to jerry-rig at this point in this point in time and
22    we are saying that if most of the wastes created by ISL are
23    from process then we can put it in the tailings pile and we
24    will call it all 11e.2, because most of the wastes are
25    restoration.
                                                 26
 1              Well, if that predominant test is the predominant
 2    source test, you could put anything in a big enough mill
 3    tailings pile because it is going to be swamped by the fact
 4    that 98 percent of everything in there is 11e.2, so it just
 5    that I guess again, getting back to the strategic
 6    reassessment, you have got to sort of back-and-fill now in
 7    some of these situations and that is what has happened and
 8    it creates perplexing situations for I think the Staff and
 9    for the licensees as well.
10              Our recommendation would be for NRC to consider
11    essentially regulating the surface activities of ISL
12    facilities, waste that is to go to tailings piles, such as
13    filters, things of that nature, that are on the surface, but
14    to get out of the wellfields.
15              COMMISSIONER McGAFFIGAN:  Again, this has been in
16    place for 18 years and things have changed, but would we be
17    leaving a gap?  I guess Wyoming hasn't come to rely on your
18    testimony, but has EPA come to rely on us in other cases,
19    and would our backing off and just dealing with the surface
20    activities leave them in any fix or not?
21              MR. THOMPSON:  I don't believe so.  I mean I
22    believe that EPA proceeds independently under the UIC
23    provisions and those who are concerned, for example, with
24    issues relating to an ISL project, there is a complete
25    public input process involved in EPA's UIC program, so that
                                                 27
 1    proceeds independently and in duplication of what NRC is
 2    currently doing, and indeed perhaps in triplication with
 3    certain states.
 4              CHAIRMAN JACKSON:  Okay.  Commissioner?
 5              COMMISSIONER DICUS:  Follow-up on that.
 6              Does the EPA's UIC program provide the same degree
 7    of protection to the environment as ours, more or less?
 8              MR. THOMPSON:  I would say yes, the same.  Mark
 9    might be able to speak to the specifics more than --
10              MR. WITTRUP:  I would say in general more,
11    especially as administered in my case by Wyoming.
12              CHAIRMAN JACKSON:  EPA's provides more?
13              MR. WITTRUP:  Yes.
14              CHAIRMAN JACKSON:  Okay.
15              MS. SWEENEY:  The third issue addressed in the
16    white paper is NRC's final guidance for disposal of
17    non-11e.2 byproduct material and tailings piles.
18              Under the guidance, a facility may dispose of
19    non-11e.2 material and tailings impoundments only after
20    satisfying nine criteria specified in the guidance.  The
21    purpose of the guidance is to prevent inappropriate
22    commingling of mill tailings with non-11e.2 materials and
23    tailings piles in order to prevent a mixed waste situation,
24    and thus to avoid any duplicative regulation by EPA or a
25    state and also to avoid DOE reluctance to accept title to
                                                 28
 1    the site.
 2              We believe that guidance is too restrictive,
 3    making it very difficult to actually dispose of such
 4    materials and tailings piles.
 5              Let me tell you that the materials we are talking
 6    about aren't materials that would increase the risk to the
 7    public.  We are talking about materials that are similar in
 8    nature to the wastes already in the tailings impoundments.
 9              NMA believes that facilitating such disposal is
10    consistent with sound public policy and the goal of
11    optimizing protection of public health, safety and the
12    environment.
13              Given the current shortage of disposal capacity
14    for low level radioactive materials, difficulties involved
15    with siting new facilities, and the conservative UMTRCA
16    requirements that protect public health and environment, it
17    makes sense to allow such disposal.  And NRC has recognized
18    that uranium mill tailings may potentially be a solution for
19    radioactive waste disposal in Direction Setting Issue 9,
20    Option 7 of its Strategic Assessment.
21              We believe that DOE should not have a problem
22    accepting title to sites with such material.  While UMTRCA
23    only requires DOE to take 11e.2 byproduct material, the
24    Nuclear Waste Policy Act authorizes DOE to take title to and
25    custody of low level waste under certain conditions that we
                                                 29
 1    believe UMTRCA and the regulations thereunder satisfy by
 2    definition.
 3              As to duplicative regulation by EPA, UMTRCA's
 4    statutory scheme provides for EPA-NRC dual jurisdiction in a
 5    variety of circumstances, so we don't think that dual
 6    jurisdiction poses a new problem here.  And we think that
 7    duplicative regulation with EPA or the states is something
 8    that can be worked out, maybe memorandums of understandings,
 9    maybe legislation.  There might be solutions out there, and
10    we think that this is an areas where perhaps being creative
11    can be helpful, and it just makes a lot of sense to allow
12    this type of disposal.
13              CHAIRMAN JACKSON:  Let me ask you a question.  As
14    far as I understand, the staff's guidance doesn't preclude
15    --
16              MS. SWEENEY:  No.
17              CHAIRMAN JACKSON:  -- the disposal of the
18    materials, --
19              MS. SWEENEY:  It just makes --
20              CHAIRMAN JACKSON:  -- it just says that there
21    should be special reviews done?
22              MS. SWEENEY:  Correct.
23              CHAIRMAN JACKSON:  So is it that -- is your
24    objection then to having the special reviews done?
25              MS. SWEENEY:  Of special nuclear material?
                                                 30
 1              CHAIRMAN JACKSON:  Yes.
 2              MS. SWEENEY:  No.  We don't object to that.  As a
 3    matter of fact, in the White Paper, we wrote that perhaps
 4    for special nuclear material that there would have to be a
 5    new framework set up.  But once that -- you know, there
 6    might have to be certain criteria that would have to be met
 7    before you could dispose of special nuclear material in the
 8    pile.  But we think if that framework was in place, then we
 9    wouldn't have to have an individual review each time that
10    you wanted to place special nuclear material in the pile,
11    you would just have to have met those specific new criteria.
12              CHAIRMAN JACKSON:  Please.
13              COMMISSIONER McGAFFIGAN:  I think you said
14    something to the effect that DOE can take possession under
15    the Low Level Waste Policy Act of this material and it is
16    similar to the material that is at UMTRCA.  But do you end
17    up in a situation where the site, having accepted this
18    material, essentially, is both a low level waste site and
19    comes under that regulatory scheme, and -- I mean if you are
20    DOE, you know have -- you have a low level waste site and
21    you have a -- which DOE currently self-regulates, if it's a
22    DOE low level waste site, but you -- and a uranium mill
23    tailings site, and you will end up with a very complex
24    regulatory framework?
25              MS. SWEENEY:  I --
                                                 31
 1              COMMISSIONER McGAFFIGAN:  Go ahead.
 2              MS. SWEENEY:  I was going to say, no, I don't
 3    think so.  The UMTRCA program has a much larger horizon of
 4    time that it covers.  It is more protective than the Low
 5    Level Waste Program, so I believe that DOE could follow the
 6    UMTRCA requirements.
 7              COMMISSIONER McGAFFIGAN:  And just say that by --
 8              MS. SWEENEY:  That by following those they are
 9    meeting the low level waste.
10              COMMISSIONER McGAFFIGAN:  Low level waste.  So
11    there is nothing additional?  The one regime trumps the
12    other and anything the other requires is already met by the
13    UMTRCA, that's --
14              MR. THOMPSON:  I think you could address that
15    issue, and you probably should address that issue if you are
16    going to try to create alternate criteria.  The issue has
17    been somewhat addressed, for example, with respect to the
18    Envirocare 11e.2 facility, in which initially there was some
19    question about whether there would have to be sort of a dual
20    Part 61-Part 40 license and, basically, they said, no, this
21    is 11e.2, it will be under Part 40, however, you are going
22    to have to comply with some Part 61 record keeping
23    requirements.
24              So to the extent that there -- and waste form, for
25    example, is more important in -- at least in Part 61
                                                 32
 1    because, in Part 40, if you are talking about an operating
 2    mill, you have got liquid in it, and you don't have liquid
 3    in the waste that is going to a Part 61 facility.  But those
 4    are kinds of issues that could be addressed, and it seemed
 5    to me that NRC could include some provisions that they felt
 6    were relevant in Part 61 that would be applicable to the
 7    disposal of any such material as part of the generic
 8    criteria.  There could be a waiver of certain Part 61
 9    requirements, a generic waiver based on certain
10    requirements.  And I think we suggest that in the comment.
11              CHAIRMAN JACKSON:  Have you ever petitioned the
12    NRC for rulemaking?
13              MR. THOMPSON:  Have I ever?
14              CHAIRMAN JACKSON:  Yes, on these particular
15    issues.
16              MR. THOMPSON:  No.  No, in fact, we -- the
17    question was whether -- should we petition for rulemaking on
18    these issues?  And the answer, essentially, was we knew that
19    NRC was possibly going to be looking at some of the issues
20    in conjunction with Part 41.  Also, again, this is an issue
21    that is just coming to maturity in some ways now, because
22    what we are really talking about in a lot of respects is a
23    lot of high volume wastes that are simply unlikely to go to
24    a compact site just because of the cost, if for no other
25    reason.  Where you are talking about hundreds of dollars a
                                                 33
 1    cubic foot and we are talking about thousands of tons of
 2    material.  So we had just, really, in the last year begun
 3    discussions, that is, the NMA did, with members of the Fuel
 4    Cycle Facility Forum.  And so these issues are still, I
 5    would say, in the opening phases of consideration and that's
 6    the way we proffer them.  We don't necessarily suggest we
 7    have all the answers, but we think they might ought to be
 8    looked at.
 9              CHAIRMAN JACKSON:  Well, Commissioner Dicus, then
10    Commissioner McGaffigan.
11              COMMISSIONER DICUS:  Have you discussed this issue
12    with, for example, the Low Level Radioactive Waste Forum or
13    with compacts as to whether or not any changes that we might
14    make in our criteria create problems or take away problems
15    with, particularly, states that are in the process of either
16    trying to license a new site or those states that are still
17    in the process?  I would just be interested to know if this
18    creates a problem.
19              MR. THOMPSON:  I think we are too preliminary.  We
20    are just raising the issues.  I mean I think that there have
21    been active discussions amongst our group in the Fuel Cycle
22    Facility Forum licensees that if they were to petition for
23    rulemaking, and that has been discussed, that they would
24    need to go and talk to the compacts and the state regulators
25    as well.  And there is an awareness that that would have to
                                                 34
 1    be something that would be addressed.
 2              COMMISSIONER McGAFFIGAN:  And my question directly
 3    follows Commissioner Dicus'.  The other interested party in
 4    this may be DOE, not just from a regulatory perspective, but
 5    if somebody has large volumes of low activity waste lying
 6    around at various places, it is the Department of Energy
 7    itself.  Have you talked to them about whether, you know, in
 8    their environmental management mode, they would be
 9    interested in these sorts of schemes?  I mean the sort of --
10              MR. THOMPSON:  Not directly.  But, certainly, that
11    has also been discussed, because, in conjunction with the
12    potential that DOE may be ultimately, or some portions of
13    DOE may be regulated by NRC, it seemed to make some sense to
14    raise the issue, since by law these sites will in all
15    likelihood, since no state has expressed an interest, be DOE
16    licensees anyway under the Mill Tailings Act.
17              COMMISSIONER DIAZ:  Going back to the bottom line
18    on this issue, you are really at the present time just
19    saying that the criteria need to be maybe simplified and
20    clarified for use and in other possible options, that is the
21    bottom line on this?
22              MS. SWEENEY:  Correct.
23              COMMISSIONER DIAZ:  Okay.
24              MS. SWEENEY:  And just to add to Tony's response
25    on Department of Energy, I know that there have been some
                                                 35
 1    folks that I have talked to just very casually about the
 2    idea at Department of Energy who have said that is something
 3    that should be considered.  And, in fact, the National
 4    Mining Association submitted comments to DOE on its notice
 5    of intent to consider use of commercial facilities for low
 6    level radioactive waste, and in addition to our comments, we
 7    submitted a copy of the White Paper with those comments to
 8    highlight that issue.  So I think it is something that at
 9    least some people at DOE are aware of and are considering.
10              COMMISSIONER McGAFFIGAN:  Could we get a copy of
11    those comments just to have in our system as well?
12              MS. SWEENEY:  Sure.
13              COMMISSIONER McGAFFIGAN:  Thank you.  Okay.
14              MR. THOMPSON:  Actually, this fits rather nicely
15    into the next topic, which is the alternate feed policy. 
16    You have two tests now under the alternate feed policy, the
17    co-disposal test, which incorporates all nine of the
18    requirements for the non-11e.2 disposal and therefore is,
19    practically speaking, of little use.  And then the
20    certification test which now appears to incorporate some
21    sort of economic analysis of whether or not the uranium
22    itself is in and of itself economically viable to process
23    the ore.
24              And it is the position of NMA, and embellished
25    upon in the IUC petition, that, basically, when they create
                                                 36
 1    11e.2 byproduct material, Chairman Henry's testimony was to
 2    modify the definition of byproduct material to include -- so
 3    that there wouldn't be a waste stream escaping the 11e.2
 4    designation.  That would include processing ores below the
 5    .05 percent licensable level.  And that was designed in
 6    order to assure there was no -- in other words, our view is
 7    that the real focus is to make sure there is no regulatory
 8    gap here, and there isn't a regulatory gap.  It isn't really
 9    whether the economics of the production are based only on
10    the uranium.  In fact, NRC's policies for a long time have
11    recognized that that isn't necessarily the case because you
12    have the IUC mill and previously the energy fuels and Union
13    Carbide, when they owned that mill, were processing dual
14    streams of vanadium and uranium.
15              There are other facilities -- and the point is
16    that the word primary, and in NRC's own language, which we
17    quote in the IUC petition, the word primary is to
18    distinguish from secondary uranium recovery facilities, a
19    molybdenum or a copper facility that is taking off, you
20    know, lead, zinc, whatever, perhaps uranium, because it
21    isn't their primary purpose.  Their uranium recovery may be
22    licensed under a source material license, but it doesn't
23    turn all the tailings and the mill and everything else into
24    11e.2 byproduct material.
25              And we think this fits very nicely with this idea
                                                 37
 1    of waste disposal.  For example, there is an amendment
 2    before the staff now to take some FUS wrap materials, which
 3    DOE has classified as essentially byproduct material, and to
 4    do it at less cost than other options that have been quoted. 
 5    At the same time, to be able to take out whatever valuable
 6    components, in terms of source material, are in that
 7    material.  And so this is an example of a way in which --
 8    this was formerly DOE, now Corps of Engineers, but some DOE
 9    wastes can be disposed after you process them, recycle them
10    to get whatever value there is, and then dispose of them in
11    the tailings.  It is not escaping regulation.
12              CHAIRMAN JACKSON:  So you think that the staff's
13    concerns about sham disposals are unfounded?
14              MR. THOMPSON:  Yes, we do.  We think that,
15    basically, -- I mean there was an opinion in a case where
16    the judge said we have to look at economics, but there was a
17    recent opinion where the judge said, well, what would be
18    wrong with recovery valuable source material and lowering
19    the cost of disposal at the same time?  As long as you make
20    the basic assumption that uranium mill tailings facilities
21    are licensed as part of the fuel cycle and, therefore, the
22    primary purpose for processing materials that contain source
23    material is, by definition, to recover the source material
24    content.  There can be second side stream or secondary
25    recovery such as vanadium or tantalum or niobium or other
                                                 38
 1    things, but the materials become 11e.2, the wastes become
 2    11e.2.
 3              CHAIRMAN JACKSON:  Okay.
 4              MR. THOMPSON:  And, really, again, we are talking
 5    here about materials that are similar to mill tailings,
 6    large volume soil and rubble that just it's going to be hard
 7    to send to a compact, and just direct disposal doesn't give
 8    you the benefit of taking whatever value -- valuable
 9    minerals are in there, whether it be just uranium or uranium
10    and some other things.
11              COMMISSIONER DICUS:  What technical assessments
12    have been made to demonstrate that the hazardous waste
13    components from a milling alternative feed, materials are
14    generically within the design parameters of conventional
15    uranium mill tailings disposal sites would not affect their
16    performance?
17              MR. THOMPSON:  Well, right now the Staff's policy
18    requires that you demonstrate that it doesn't contain a
19    listed -- that it isn't a listed hazardous waste, so that
20    you don't run into a mixed waste problem, but the Staff
21    policy says that if it is, just the corrosivity, toxicity
22    and those things, that recycling takes it out from under
23    RCRA.
24              Essentially you have RCRA requirements or the
25    equivalent of RCRA requirements applied to mill tailings
                                                 39
 1    facilities anyway and you are really talking about hazardous
 2    materials and groundwater.  The same RCRA standards that are
 3    applicable to surface impoundments essentially are
 4    applicable to these facilities through the EPA and NRC
 5    regulations, so there is no gap there.
 6              We know that one of the reasons they said mill
 7    tailings are to be all waste was that they knew that it
 8    contained heavy metals, hazardous constituents and they
 9    wanted to cover it all, and that is why Congress for this
10    one subset of your licensees has made them responsible for
11    the nonradiological components.
12              Mill tailings, if you look at them physically,
13    radiologically and hazardous, they are classic mixed waste,
14    but NRC's interpretation, and which we cite in here in a
15    memo from Mr. Lohaus says that because it is 11e.2 byproduct
16    material it is not, by definition, mixed waste, and DOE and
17    EPA agree with him -- even though it has hazardous
18    constituents that might otherwise make it a mixed waste.  It
19    is because of that definition, and that is why we say these
20    definitions are very important.
21              CHAIRMAN JACKSON:  I want you to repeat the
22    question, because I thought it was an interesting question.
23              COMMISSIONER DICUS:  Well, I am not sure it's --
24              CHAIRMAN JACKSON:  -- been answered.
25              COMMISSIONER DICUS:  -- been answered either.
                                                 40
 1              I am asking specifically technically assessments. 
 2    Have they been done --
 3              MR. THOMPSON:  Yes.
 4              COMMISSIONER DICUS:  -- or are you aware that they
 5    have been done?
 6              MR. THOMPSON:  Yes.
 7              COMMISSIONER DICUS:  Where?
 8              MR. THOMPSON:  In conjunction with license
 9    amendments, licensees have done detailed tests to determine
10    whether or not the materials contain hazardous waste or
11    hazardous materials and would have an adverse impact --
12              COMMISSIONER DICUS:  -- on the performance.
13              MR. THOMPSON:  -- on the performance.  In general,
14    the rules that EPA created when they created the rules in an
15    engineering sense, made the assumption that they wouldn't
16    because they were going to be subject to these RCRA
17    groundwater standards anyway.
18              If you go back and look at the EPA, in 1983 they
19    just incorporated the RCRA requirements in.
20              COMMISSIONER DICUS:  Are you aware of any of those
21    assessments that were done that found a problem with a
22    certain strange alternative feed?
23              MR. THOMPSON:  I am not aware of any but there
24    were, I am sure they weren't granted.  To the extent that a
25    hazardous constituent is a problem, a listed hazardous
                                                 41
 1    constituent, bringing dual jurisdiction, I think you could
 2    set that aside and deal with that later, but I think the
 3    assumption is now that for an alternate feed it has to meet
 4    the requirements of RCRA that it be characteristic and that
 5    there be recycling so it is no longer a hazardous concern.
 6              I don't think there's ever been any real concern
 7    expressed that I am aware of that any of the hazardous
 8    constituents that typically go with alternate feeds are
 9    going to adversely affect the performance of the mill
10    tailings cell.  If there were, I am sure that the Staff
11    wouldn't grant the amendment or if there were I am sure that
12    the licensee, certainly if they were raising it with their
13    counsel, their counsel would say don't put it in there if it
14    is going to impact the -- if you go beyond what is accessed
15    environmentally or EA or whatever, you can't put it in.
16              CHAIRMAN JACKSON:  Well, as far as you know, the
17    Staff explicitly considers the impact on the --
18              MR. THOMPSON:  Yes.
19              CHAIRMAN JACKSON:  And has an application filed
20    for the processing of alternative feed material ever been
21    denied by the Staff?
22              MR. THOMPSON:  You know, I can't answer that.  I
23    know that there have been --
24              CHAIRMAN JACKSON:  I think not.
25              MR. THOMPSON:  -- sort of withdrawn but --
                                                 42
 1              CHAIRMAN JACKSON:  Okay.  I think not, and so I
 2    guess I am trying to get at what the fundamental issue is.
 3              MR. THOMPSON:  The fundamental issue is I think
 4    that the Commission's actual practice in addressing
 5    applications is almost right where we are suggesting it
 6    ought to be explicitly.
 7              CHAIRMAN JACKSON:  But in practice there's --
 8              MR. THOMPSON:  In practice, but for example the
 9    question comes up when you are dealing with some FUSWRAP
10    material or perhaps some other DOE wastes or other wastes,
11    do we have to go through a full-scale process every time to
12    address it, and do we have to look at the economics of the
13    uranium alone and our answer is no.
14              COMMISSIONER McGAFFIGAN:  My sense is what they
15    are saying is delete the economic tests and have all the
16    health and safety tests that we put them through in terms of
17    justifying that this material, once it is processed, still
18    is similar to the material that is going to be in the
19    tailings pile anyways, and so it is the economic tests that
20    you are suggesting that we delete while keeping all of the
21    health and safety tests.
22              MR. THOMPSON:  That is one way of saying it, yes.
23              We think you are very close to the way we want it
24    addressed, but we think a easy way to do it is to make that
25    assumption that we talked about.
                                                 43
 1              CHAIRMAN JACKSON:  Well, an easy way would be the
 2    health and safety way -- is to focus on the health and
 3    safety issues vis-a-vis the performance of the mill
 4    tailings.
 5              MR. THOMPSON:  Right, and we agree with that.
 6              CHAIRMAN JACKSON:  All right.
 7              MS. SWEENEY:  We have a few suggestions for
 8    changes necessary to institute the recommendations as a
 9    whole in the white paper.
10              The strategic reassessment will be required and as
11    your letter yesterday to me stated, Chairman Jackson, that
12    seems to be a path that you are already on, and you are
13    going to be looking at these issues in conjunction with
14    Staff and the Staff is looking at rulemaking options and we
15    think that changes in regulatory practices or regulations
16    may be necessary.
17              We know that there are concerns about the
18    nonradiological, nonhazardous components of 11e.2 byproduct
19    material, and maybe there is need for some work in that
20    area.
21              Also, there might be, as we were discussing, with
22    the special nuclear material, maybe there is a need there to
23    find out -- to draw up some guidelines on what could and
24    could not go in the tailings pile for disposal.
25              We also believe that on the jurisdictional issues
                                                 44
 1    that Commission directives would be helpful.  We don't think
 2    legislation is necessary but if that is the path the NRC
 3    would like to follow, we would certainly support it and we
 4    would like to support any efforts in this area and will
 5    continue to work with the Staff and the Commission to
 6    proceed on these issues.
 7              We just have a few questions that we feel need to
 8    be asked and they are questions that highlight the issues
 9    that we talked about today, and we consider these common
10    sense questions and if we could go back to the beginning,
11    these are the kind of questions that we would like to ask
12    and we think that these kind of questions can help focus our
13    attention on the issues.
14              Does concurrent jurisdiction over nonradiological
15    component of 11e.2 byproduct material make sense, given how
16    it will interfere with site closure and license termination?
17              Does it make sense to treat the subsurface aspects
18    of ISL mining differently than conventional mining when the
19    processes are essentially similar?
20              Does it make sense to ignore the waste capacity of
21    mill tailings piles given the difficulty in siting new waste
22    disposal facilities?
23              Does it make sense to create barriers to putting
24    other materials in tailings piles as long as risks to the
25    public do not increase?
                                                 45
 1              Does it make sense to create barriers to running
 2    alternate feed through the mill when such activity makes
 3    both environmental and economic sense?
 4              The answer to all these questions of course, in
 5    our opinion anyway, is no.  We believe NMA's white paper
 6    recommendations are legally sound, are good public policy
 7    and will optimize the protection of public health and
 8    safety, which is the primary mission of the Nuclear
 9    Regulatory Commission.
10              We thank you for your attention today and hope to
11    continue to work with you on these issues.
12              CHAIRMAN JACKSON:  Let me take you back to your
13    more common sense questions.
14              MS. SWEENEY:  Okay.
15              CHAIRMAN JACKSON:  Where you say does it make
16    sense to ignore the waste capacity of mill tailings piles
17    given the difficulty in siting new waste disposal
18    facilities, are you willing to have your mill tailings piles
19    subject to the same regulatory requirements as low-level
20    waste facilities?
21              MS. SWEENEY:  I would have to ask my -- I think
22    there are some NMA member companies who would, but I cannot
23    answer for them individually, but I do believe that there
24    are some companies that would be interested enough in
25    pursuing that.
                                                 46
 1              CHAIRMAN JACKSON:  I mean given that there are low
 2    level waste requirements, as well as ones that relate to
 3    siting of them -- I am just only focusing on that one common
 4    sense question --
 5              MS. SWEENEY:  Yes.
 6              CHAIRMAN JACKSON:  -- that at the heart of it, you
 7    seem to be suggesting that we adopt a policy that would de
 8    facto allow you to create a low level waste disposal site
 9    and therefore the question has to be addressed as to the
10    subjection of that given mill tailings site to low level
11    waste siting requirements and there are specific ones that
12    are in the low level waste -- in the Nuclear Waste Policy
13    Act, et cetera, and so this one is not -- and we talked
14    about it and you --
15              MR. THOMPSON:  I think you would have to address
16    those issues and see which ones are relevant at a particular
17    site, and I think again that the focus here is on low level
18    waste that you could say are essentially similar --
19              MS. SWEENEY:  Similar.
20              MR. THOMPSON:  -- physically, chemically and
21    radiologically to what is in there, so we are not talking
22    about all low level waste, clearly.  We are talking about a
23    very fine subset of low level waste.
24              CHAIRMAN JACKSON:  Commissioners?
25              [No response.]
                                                 47
 1              CHAIRMAN JACKSON:  Any further comments?
 2              MR. THOMPSON:  Thank you very much.
 3              MS. SWEENEY:  Thank you.
 4              CHAIRMAN JACKSON:  Well, thank you very much.
 5              I think it's been a helpful presentation and as we
 6    are considering our various reassessments and the Staff
 7    recommendations relative to that later on this year,
 8    particularly relating to the regulation of uranium recovery
 9    operations, your white paper will be useful to us.
10              Thank you very much for coming.
11              MS. SWEENEY:  Thank you.
12              [Whereupon, at 11:12 a.m., the briefing was
13    concluded.]
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