1
          1                      UNITED STATES OF AMERICA
          2                    NUCLEAR REGULATORY COMMISSION
          3                                 ***
          4                             BRIEFING ON
          5             SITE DECOMMISSIONING MANAGEMENT PLAN (SDMP)
          6                                 ***
          7                           PUBLIC MEETING
          8                                 ***
          9                             Commission Conference Room
         10                             United States Nuclear Regulatory
         11                               Commission
         12                             11555 Rockville Pike
         13                             Rockville, Maryland
         14
         15                             Wednesday, October 29, 1997
         16
         17              The Commission met in open session, pursuant to
         18    notice, at 2:00 p.m., the Honorable SHIRLEY A. JACKSON,
         19    Chairman of the Commission, presiding.
         20
         21    COMMISSIONERS PRESENT:
         22              SHIRLEY A. JACKSON, Chairman of the Commission
         23              EDWARD McGAFFIGAN, JR., Commissioner
         24              GRETA J. DICUS, Commissioner
         25              NILS J.DIAZ, Commissioner
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          1    STAFF AND PRESENTERS SEATED AT COMMISSION TABLE:
          2              KAREN D. CYR, General Counsel
          3              L. JOSEPH CALLAN, EDO
          4              DAVID FAUVER, NMSS
          5              JOHN GREEVES, NMSS
          6              JOHN HICKEY, NMSS
          7              CARL PAPERIELLO, NMSS
          8              NICHOLAS COSTANZA, Office of Research
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          1                        P R O C E E D I N G S
          2                                                     [2:00 p.m.]
          3              CHAIRMAN JACKSON:  Well, good afternoon, ladies
          4    and gentlemen.  Today the NRC staff will update the
          5    Commission on the status of the site decommissioning
          6    management plan, or the SDMP, as it is called.
          7              The staff last briefed the Commission on this
          8    program on October 7, 1996.  Along with this briefing, the
          9    staff has prepared a commission, SECY-97-242, that provides
         10    an update of the significant SDMP activities that have taken
         11    place during the past year.
         12              The paper details progress on removing sites from
         13    the SDMP and notes that eight sites have been removed since
         14    September 1996, although three of the eight sites were
         15    transferred to Massachusetts when it became an agreement
         16    state earlier this year.
         17              The staff has indicated in that SECY paper that is
         18    proposing that this be the last SDMP report to the
         19    Commission and that the SDMP terminology be phased out.  The
         20    staff plans to call for an annual briefing of the Commission
         21    on the implementation of the License Termination Rule and
         22    the program on decommissioning cases.
         23              The Commission looks forward to hearing more about
         24    the staff's future plans during today's briefing.  I
         25    understand that copies of staff's paper and the briefing
             
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          1    charts are available at the entrances to the meeting room.
          2              And so, unless my colleagues have anything to add,
          3    Mr. Callan, would you please proceed.
          4              MR. CALLAN:  Thank you, Chairman.  Let me take a
          5    minute to do some introductions.  Of course, you all know
          6    Carl Paperiello, the office director for the Office of NMSS.
          7              CHAIRMAN JACKSON:  No.
          8              [Laughter.]
          9              MR. CALLAN:  And under Carl, we have John Greeves,
         10    who is the director of the Division of Waste Management. 
         11    Under --
         12              CHAIRMAN JACKSON:  Don't know him, either.
         13              MR. CALLAN:  Under John, we have John Hickey, who
         14    is the branch chief for the Low Level Waste and
         15    Decommissioning Branch, and under John Hickey, we have David
         16    Fauver, who is a senior project manager and health
         17    physicist.  He just told me he has been working these issues
         18    since 1991.
         19              MR. FAUVER:  Correct.
         20              MR. CALLAN:  Also, I would like to introduce,
         21    behind me, next to Hugh Thompson, Nick Costanza and his
         22    staff from the Office of Research, who were involved with
         23    the recently published rule on radiological criteria for
         24    license termination.
         25              Chairman, the staff has been doing this annual
                                                                        5
          1    briefing since 1990.  This one, as you pointed out, is a
          2    transition type of briefing, and you correctly stated it
          3    that the staff would like to transition from reviewing,
          4    managing site-specific issues and generic issues on
          5    decommissioning within the framework of SDMP to managing
          6    those same issues in the context of the new rule on
          7    radiological criteria for license termination.
          8              The staff will also discuss progress on Direction
          9    Setting Issue No. 9, which is the DSI on Decommissioning.
         10              With that, I'll turn the meeting over to John
         11    Hickey, who is the chief of the Low Level Waste and
         12    Decommissioning Branch who will be the primary presenter. 
         13    John.
         14              MR. HICKEY:  Thank you, Mr. Callan, Madame
         15    Chairman, Commissioners.
         16              Could I have slide 2, please.
         17              [Slide.]
         18              First, I would like to give you an overview of
         19    what we plan to present today.  We'll go over some
         20    background on the problems that needed to be addressed that
         21    brought about the SDMP and some of the early progress and
         22    accomplishments we've made under the SDMP.
         23              You mentioned that we briefed you a year ago and
         24    there were some specific actions that you asked us to take
         25    to follow up on that briefing, and we'll summarize the
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          1    actions we took to follow up on that.
          2              You also mentioned our proposal to phase out SDMP
          3    terminology and treatment of SDMP as a distinct program, and
          4    we'll tell you more about why we feel this is the
          5    appropriate time.
          6              Two of the significant developments over the last
          7    year that are pushing us in that direction were the recent
          8    publication of the License Termination Rule -- and we'll
          9    talk to you about what we've been doing on that and where
         10    we're going to go on that -- and, also, the Commission has a
         11    strategic assessment effort
         12              We have a specific Direction Setting Issue, No. 9,
         13    that is pointed directly toward decommissioning, and we'll
         14    tell you what we're doing in that area, and then we'll
         15    present our forward view and tell you where we're going to
         16    go from here.
         17              Could I have the next slide, please.
         18              [Slide.]
         19              To give you some history, going back into 1980's
         20    and even earlier, the agency recognized the need to improve
         21    our decommissioning program.  In 1988 -- this was before the
         22    SDMP -- we published a Financial Assurance Rule, and it, for
         23    the first time, exclusively required licensees to have
         24    decommissioning plans and to estimate what it would cost to
         25    decommission a facility and provide financial assurance to
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          1    assure that there was money available when the facility
          2    needed to be decommissioned.  So that was a first big step
          3    in improving our decommissioning plan.
          4              But then, in 1989, there was congressional
          5    scrutiny of the program.  There was a General Accounting
          6    Office report that had numerous criticism or our program,
          7    and there was a congressional hearing that then-Chairman
          8    Carr testified at.
          9              Some of the issues that were discussed were the
         10    fact that we did not have clean-up standards in the
         11    regulations; we did not have any timeliness requirements
         12    that required licensees that were ready to be
         13    decommissioned.  The facilities were inactive.  There was
         14    nothing to compel them to proceed with decommissioning, and
         15    in many cases it was in the licensees' interest not to take
         16    any action because it was very expensive to pursue
         17    decommissioning.
         18              The GAO also pointed out that the licensees had
         19    incomplete records with respect to where radioactive
         20    material had been used and what the extent of contamination
         21    was, and there was nothing that required the licensees to
         22    keep complete records.
         23              The licensees who were decommissioning in many
         24    cases were doing inadequate surveys, and so they did not
         25    identify the contamination that existed, and in many cases,
             
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          1    a facility could be released without an adequate survey.
          2              Another example of something that was pointed out
          3    is under our former regulations, licensees could bury
          4    radioactive waste without NRC approval, and the GAO
          5    expressed some concerns that some of these burial sites
          6    might still pose risk, and I'm sure you will recall that
          7    from previous briefings.  They wanted us to go back and
          8    assess those risks.
          9              So the Commission, following this Congressional
         10    review -- and there was already recognition that we needed
         11    to keep making improvements -- directed the staff to take
         12    some concerted action to improve the program, and we
         13    developed the first SDMP and presented it to the Commission
         14    in 1990, and that listed the sites that were of concern --
         15    there were 40 sites -- and it identified regulatory
         16    improvements that were needed that came out of the
         17    Congressional review and other sources and enumerated the
         18    actions the staff planned to take to make those
         19    improvements.
         20              That still was a mixture of concrete action and
         21    good intention.  We still did not have specific criteria and
         22    mechanisms to compel the licensees to move forward.  Now, we
         23    pursued some rulemakings, but in 1992, we published what we
         24    called the SDM action plan and we went formally public in
         25    the Federal Register with the list of sites that we were
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          1    going to pursue, and we also summarized our criteria,
          2    clean-up criteria which we would now call interim criteria
          3    because, as we'll get to later, we now have a license
          4    termination rule, but at that time, we didn't have that.  So
          5    we gave the licensees the target criteria and told them that
          6    we wanted them to proceed expeditiously with
          7    decommissioning, and that we were going to start with
          8    encouraging and relying on voluntary action on the part of
          9    the licensees, but if necessary, we were going to take
         10    enforcement action to compel the licensees to clean up.
         11              Could I have the next slide, please.
         12              [Slide.]
         13              As I said, there were 40 sites originally on the
         14    list, and since then, we have added 20 sites and we removed
         15    20 sites, and as Madame Chairman mentioned, eight were
         16    removed in 1997, so there's 39 sites left.
         17              Just to summarize the types of sites, in general,
         18    they're sites that involve extensive outdoor contamination,
         19    normally uranium and thorium, either a soil contamination or
         20    large piles of tailings or that type of process material.
         21              In many cases, there are also contaminated
         22    buildings, and in some cases, there are fission products,
         23    such as Cobalt 16 and Strontium 90, but it's primarily a
         24    uranium and thorium problem.
         25              Could I have the next slide, please.
             
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          1              [Slide.]
          2              Now, let me summarize what we did following
          3    specifically on the last briefing.  You asked us to report
          4    back to you on the feasibility of a generic environmental
          5    impact statement, and the idea behind a GEIS would be that
          6    it would reduce the need for individual impact statements by
          7    enveloping a bunch of common issues among certain sites and
          8    save resources and resolve policy issues in a coordinated
          9    manner.
         10              We reported back to you in July that at this time,
         11    we didn't think that pursuing a GEIS would be
         12    cost-effective, that we noted that with the license
         13    termination rule, it had its own GEIS, and we thought we
         14    should pursue implementation of the license termination rule
         15    and deal with the sites in that context, and then we would
         16    revisit the issue of a GEIS in two years.
         17              CHAIRMAN JACKSON:  Let me ask you this:  What
         18    information or data would you be anticipating within that
         19    two-year period that would change your recommendation not to
         20    proceed with an EIS for certain of these sites?
         21              MR. HICKEY:  Well, some of the licensees that we
         22    thought might require an EIS it may turn out are
         23    decommissioned under the new rule without an EIS.  They may
         24    make it on a clear path and not need an EIS.
         25              CHAIRMAN JACKSON:  Okay.  I may come back to that. 
             
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          1    Go ahead.
          2              MR. HICKEY:  The second item you asked us to
          3    pursue was a risk informed approach for the formerly
          4    licensed sites that had been released and needed to be
          5    reviewed and also these former burials that were identified
          6    by the GAO as an issue.
          7              We provided you with a report in April, and we
          8    described that we had developed screening instruments to
          9    screen these types of sites and assess the need for
         10    remediation, and it would take into account the degree of
         11    the hazard and it wouldn't just be arbitrary decisions as to
         12    deciding on the need for remediation.
         13              The third item that you asked --
         14              CHAIRMAN JACKSON:  So what's the status now given
         15    that we have the license termination rules finalized? 
         16    What's the status of the preliminary hazards analysis for
         17    formerly licensed sites, particularly those that may have
         18    been in process?
         19              MR. HICKEY:  Well, we think that a lot of those
         20    can be closed out using the preliminary hazard analysis
         21    because of the grandfathering and phase-in provisions of the
         22    new rule, but if for some reason some of them drag on too
         23    long, then it may be a matter of looking at it under both
         24    provisions.  But our plan now is to close out as many as we
         25    can under the current provisions.
             
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          1              CHAIRMAN JACKSON:  And does the preliminary
          2    hazards -- it is supplanted by something else in the license
          3    termination rule that is equally risk informed?
          4              MR. HICKEY:  I think -- I'll ask Mr. Fauver to
          5    address that, if I could.
          6              MR. FAUVER:  Yes.  One of the problems we were
          7    running into is that we had a requirement -- the criteria
          8    for buildings was Reg Guide 1.86, and it was rather
          9    prescriptive and basically just gave a concentration number. 
         10    So we needed to somehow come up with a technique of looking
         11    at that in a risk perspective.
         12              There may be cases -- we were finding cases where
         13    there was very limited contamination, in corners, in cracks,
         14    in little spots in these buildings that exceeded the
         15    criteria but clearly were not a risk problem.
         16              Under the new rule, that kind of assessment is
         17    actually mandated to do a dose-based assessment so that with
         18    the transition to that, the new rule will basically cover
         19    that kind of assessment.
         20              CHAIRMAN JACKSON:  Okay.  Thank you.
         21              MR. HICKEY:  The third item you asked us to look
         22    at which we have not previously reported to you was the
         23    impact of project manager turnover, and in the last year --
         24    we did provide a summary in the most recent SECY paper -- in
         25    the last year, we had seven people that either left the
             
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          1    agency or there was a change of some sort, and that affected
          2    eleven projects.  Three of the people left the agency and
          3    that affected four cases.
          4              Of the eleven, we felt that only two of the cases
          5    were adversely affected by the turnover and four of the
          6    cases were affected favorably because it went from somebody
          7    who was more -- had a heavier workload to somebody who had a
          8    lighter workload, so there was a better adjustment of
          9    workload, and in five of the cases, we thought it was just a
         10    smooth transition with no impact.
         11              So overall, I would say that project management
         12    turnover was not a problem in affecting our cases.
         13              CHAIRMAN JACKSON:  This is just for a point of
         14    clarity.  In those four cases which you said were impacted
         15    positively, you indicated that the effect on the schedule
         16    was positive because it resulted in an increased pace of
         17    staff effort.  What does that mean?
         18              MR. HICKEY:  Well, in some cases, it might mean
         19    that the project was bogged down because the person was too
         20    busy -- the person that was on the case was too busy to work
         21    on it, and another person may have become freed up because a
         22    case was completed, so we gave it to that person.
         23              MR. GREEVES:  Some project managers have multiple
         24    sites and they only spread around so far.  So as we have
         25    added new people, we have been able to give them some relief
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          1    and actually increase the pace on some of these sites is
          2    what John is identifying.
          3              CHAIRMAN JACKSON:  Okay.  And then there was a
          4    question about the schedule for finalizing a draft -- there
          5    was a draft branch technical position for screening sites,
          6    and maybe this goes back to this preliminary hazards
          7    analysis, and that the -- the statement was that it would be
          8    finalized after a number of burials had been evaluated using
          9    that branch technical position, and after public comments
         10    were also resolved.
         11              Now, what is the current schedule for finalizing
         12    that?  And again, has that been affected or supplanted by
         13    the final license termination rule?
         14              MR. HICKEY:  First of all, with respect to the
         15    schedule, we're behind schedule.  We did get the public
         16    comments and we pretty much evaluated the public comments,
         17    but it's going to take us a couple more months to finalize
         18    that position.
         19              We still have to assess the effect of the new
         20    rule.  We still think it's useful because it's a very
         21    conservative screening technique and if you pass that
         22    screening technique, we think that you still will pass --
         23    will meet the requirement of the new rule, but we still need
         24    to evaluate that.
         25              CHAIRMAN JACKSON:  Well, I guess the real question
             
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          1    has to do with how does the one play off the other?  I mean,
          2    how does the branch technical position for screening sites
          3    that pose a significant risk to the public play off of the
          4    license termination rule which wasn't in place when you
          5    started working on this draft?
          6              MR. HICKEY:  I'm not sure I have a good answer to
          7    that.  I think that in some cases, we may need to evaluate
          8    both because the -- or we may need to modify the branch
          9    technical position before we issue it in final to take into
         10    account the new rule because --
         11              CHAIRMAN JACKSON:  Yes.  I mean, that's really
         12    what I'm trying to get at.
         13              MR. HICKEY:  Yes.
         14              CHAIRMAN JACKSON:  I mean, why should you be
         15    issuing a branch technical position without checking its
         16    conformance with the new license termination rule?
         17              MR. GREEVES:  To take us back to when the branch
         18    technical position was put out, there was not a rule.
         19              CHAIRMAN JACKSON:  Absolutely.
         20              MR. GREEVES:  It was a tool --
         21              CHAIRMAN JACKSON:  Absolutely.
         22              MR. GREEVES:  -- that we were using to screen
         23    sites.
         24              CHAIRMAN JACKSON:  Absolutely.  It's just like --
         25              MR. GREEVES:  Now, there is --
             
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          1              CHAIRMAN JACKSON:  -- the preliminary hazards
          2    analysis.  Now there's a rule.  So I'm really asking you
          3    what now?
          4              MR. GREEVES:  And I think we need to think it
          5    through, so can we take that as an item --
          6              CHAIRMAN JACKSON:  Yes.
          7              MR. GREEVES:  -- to get back to you on?
          8              CHAIRMAN JACKSON:  Okay.
          9              COMMISSIONER McGAFFIGAN:  Can I follow up just
         10    briefly?  The new rule and the criteria in the new rule
         11    compared to the criteria in either the BTP or in this reg
         12    guide 1.86 which is more constraining?  Does it depend on
         13    the material, like for the -- primarily, you said earlier,
         14    uranium and thorium is what characterizes these sites.  Is
         15    the new rule more constraining or less constraining?
         16              MR. FAUVER:  The preliminary numbers indicate that
         17    it may be slightly more constraining for uranium and
         18    thorium.
         19              CHAIRMAN JACKSON:  With the new rule.
         20              MR. FAUVER:  With the new rule, the 25 millirem. 
         21    A number of the other nuclides I think are going to be
         22    favorable, meaning higher concentrations.
         23              However, those numbers are only screening values. 
         24    What we're -- the guidance is being developed in such a way
         25    that a licensee can proceed from a screening conservative
             
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          1    analysis into a site-specific dose assessment, and in many
          2    cases, I think there's a general expectation that a
          3    site-specific value may be higher than the current DTP
          4    values.  That will require some analysis by the licensees,
          5    but that's what the rule basically implies.
          6              CHAIRMAN JACKSON:  So you're going to --
          7              MR. GREEVES:  I was just -- I think Dave partially
          8    answered the point I was trying to make, which is, I think
          9    his first answer was in some cases, the new rule is more
         10    restrictive, as he said, on the screening basis, but now the
         11    new rule does allow you to look at things that aren't
         12    exemptions anymore.  So it actually gives us tools that we
         13    did not have before.  So on that front, I think the new rule
         14    -- well, you've heard this before -- is the tool that we
         15    needed.
         16              CHAIRMAN JACKSON:  Right.  And all we're trying to
         17    get at is where all of these kind of ad hoc tools,
         18    instruments and tools, what's going to happen to them and on
         19    what scheduled and how do they affect the sites where you
         20    had already begun your screening before the issuance of the
         21    final rule.  So just come back with that information.
         22              MR. FAUVER:  Okay.
         23              CHAIRMAN JACKSON:  Okay.
         24              MR. HICKEY:  May I have the next slide, please.
         25              [Slide.]
             
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          1              As we said before, we wanted to discuss with you
          2    our view that we've reached a point where we should phase
          3    out SDMP terminology and phase out treatment of the SDMP as
          4    a large distinct program and think more in terms of a
          5    broader decommissioning program.
          6              Now, if you look at the SDMP just in terms of
          7    progress on the sites, you're not going to be very impressed
          8    because we started out with 40 sites and we did resolve some
          9    of the sites, but we still have 39 sites due to some of the
         10    additions.  But if you look at the progress in terms of the
         11    improvements that we've made in our regulatory framework, we
         12    believe we have succeeded to a large degree in addressing
         13    all the major deficiencies that were identified prior to
         14    1990.
         15              We have addressed the generic policy issues
         16    through rules and guidance.  We're now maintaining the list
         17    of the SDMP sites and addressing those sites in an orderly
         18    manner.  We have management control and the Division of
         19    Waste Management is assigned the overall responsibility to
         20    make sure these sites are managed, and we now have the
         21    license termination rule, which is a crowning achievement,
         22    and we think that we can begin to view the decommissioning
         23    program in the context of the license termination rule.
         24              CHAIRMAN JACKSON:  Having done that and having
         25    said that, which relates to these three other points that
             
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          1    I've kind of stopped you, I think it's important that you
          2    just provide to the Commission a clear, crisp description of
          3    the transition, since you're proposing to eliminate the SDMP
          4    "program and terminology," a clear, crisp description of the
          5    transition from the SDMP to the license termination rule.
          6              It is very important because it's the kind of
          7    thing that I get asked about on the Hill about what we're
          8    doing with these sites, and we have branch technical
          9    positions floating around, hazards analyses floating around,
         10    various documents floating around.  If you could just do
         11    that, and so broaden what you were going to do vis-a-vis BDP
         12    into just giving us a clear, crisp description of the
         13    transition, what gets phased in, what gets phased out, you
         14    know, what will be used and when, and what happens to those
         15    sites that are in process, I think that would be helpful.
         16              MR. HICKEY:  Okay.
         17              CHAIRMAN JACKSON:  Commissioner Dicus?
         18              COMMISSIONER DICUS:  Yes.  Following up on her
         19    comment, the Chairman's comment, I know, as you pointed out,
         20    a great part of the reason to have the SDMP program was to
         21    address the issues that rose in the hearings, and you've
         22    indicated we've addressed or probably resolved the generic
         23    policy issues, some of these other things, but I think as
         24    part of this, to ensure that all of these issues were
         25    identified, were resolved from the hearings so that we are
             
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          1    sure that if we are asked by Congress to address this or if
          2    there is another GAO report, that we have our ducks in a row
          3    on this.
          4              MR. GREEVES:  That's right.
          5              COMMISSIONER DICUS:  I think we do, but to be very
          6    clear on that is very useful.
          7              MR. GREEVES:  Right.  Okay.
          8              COMMISSIONER McGAFFIGAN:  Just if I might --
          9              CHAIRMAN JACKSON:  Commissioner.
         10              COMMISSIONER McGAFFIGAN:  It's on the same issue. 
         11    I think one of the problems we've faced already, we've
         12    released a couple of sites, I believe one in Maryland
         13    recently, and the question has come in, I believe, from
         14    sister agencies or whatever, how does this site -- you know,
         15    we released it under SDMP, but how does the site stack up
         16    under the new rule?  I think, until you have these 40 that
         17    are grandfathered under the new rule, or 39 I guess it is,
         18    sites off the books, you're probably going to live in a dual
         19    system.  They voluntarily move to the new rule as they can,
         20    but they are not required to under the new rule.
         21              MR. GREEVES:  That's the natural transition, that
         22    this rule actually gives the licensees some choice.  They
         23    can stick with the old criteria or go to the criteria, and
         24    in part, I think the vision we have is over the next several
         25    years, that natural transition is going to take place. 
             
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          1    We'll see how many licensees want to stick with the old
          2    criteria, we'll see how many go to the new ones, and how we
          3    implement that process, because we're dealing with a new
          4    rule, we're running into a few things that take some
          5    implementation thoughts.  But as far as documenting where we
          6    are now, we can do that --
          7              CHAIRMAN JACKSON:  The real question is, have you
          8    developed the associated regulatory guidance for the license
          9    termination rule?
         10              MR. GREEVES:  Have we developed it?
         11              CHAIRMAN JACKSON:  Yes.
         12              MR. GREEVES:  We got an SRM by February of this
         13    year.  In fact, I think it would be part of this briefing.
         14              MR. PAPERIELLO:  The point is, this is where we're
         15    dependent on the Office of Research who has the resources in
         16    both FTE and dollars and charged with developing the
         17    criteria to implement the decommissioning rule.
         18              On our side, we'll develop a standard review plan,
         19    but the criteria, whether it's levels of screening levels or
         20    specific computer programs that are used, would be dependent
         21    upon the Office of Research to develop.
         22              CHAIRMAN JACKSON:  Please speak into the
         23    microphone.
         24              MR. HICKEY:  At this point, the only thing I can
         25    say is that we're working very diligently to meet that
             
                                                          22
          1    February deadline.  We are depending to a large degree for
          2    technical assistance in developing this guidance on Sandia
          3    Laboratories.  We are in correspondence with Sandia almost
          4    daily and pressing upon them the need to do their part in an
          5    expedited fashion.  We think -- well, as of this moment, we
          6    are on schedule.  We don't anticipate any major technical
          7    problems, but this is a very complex and tough knot.  But we
          8    are continuing to press forward.
          9              NMSS has assured us that they are going to be
         10    doing their part in terms of making sure that the
         11    development of the reg guide is coordinated and that it
         12    satisfies their needs as well.
         13              CHAIRMAN JACKSON:  Commissioner.
         14              COMMISSIONER McGAFFIGAN:  I would like to ask a
         15    question with regard to what our realistic expectations
         16    should be for February.  It strikes me that the modelling in
         17    this area is complex and there are a bunch of models around,
         18    and there might be some benefit in actually applying some of
         19    them before -- you know, maybe put a reg guide out and then
         20    put a final reg guide out once we've actually gotten some
         21    experience.  Is that what we should be expecting, or are you
         22    trying to make all these decisions between now and February
         23    as to what the right model is and which application and how
         24    to use it?
         25              MR. PAPERIELLO:  At a screening level, we are
                                                                       23
          1    pretty confident that we will have a good story in February,
          2    that we will be able to provide useful guidance to
          3    licensees.
          4              We will also have in that guide some indication of
          5    how to proceed with site-specific analyses should that be
          6    desirable.  However, the specific models which will be
          7    tested for site-specific application, that will take some
          8    time after the February reg guide is published.
          9              CHAIRMAN JACKSON:  Well, I think this is part of
         10    what I had in mind when I said we need a clear, crisp layout
         11    of what the transition strategy is and process so that you
         12    can kind of sweep all of this together.
         13              Okay.  Thank you.
         14              MR. PAPERIELLO:  I would like to make, if I might
         15    make one observation?
         16              CHAIRMAN JACKSON:  Sure.
         17              MR. PAPERIELLO:  Fort St. Vrein was probably, in
         18    terms of curie content, the largest decommissioning we've
         19    ever been involved in.  It was never on the SDMP because we
         20    had a licensee with both the resources and the incentive to
         21    do the job.
         22              John's staff was the staff that managed this
         23    program, and I think when I talk about essentially merging
         24    the two, that's what we're really talking about.  The fact
         25    is, the methodology -- we are now developing common
             
                                                          24
          1    methodologies, common survey methods.  It isn't this piece
          2    over here and this piece over there.
          3              CHAIRMAN JACKSON:  Okay.  Thank you.
          4              MR. HICKEY:  I believe we're on slide 7 now.
          5              Well, it's clear we're going to have to get back
          6    to you with a comprehensive response that addresses this,
          7    but I will -- to give you a feel, some of the material we've
          8    prepared touches on some of these points.  The
          9    accomplishments we've made is we do have rules now that
         10    require comprehensive recordkeeping by the licensees, so
         11    they have a record of what needs to be decommissioned.
         12              We have a timeliness rule which gives us a basis
         13    to compel decommissioning in a timely manner, and of course
         14    we now have the final license termination rule.
         15              I would also point out, in '96, we promulgated a
         16    comprehensive reactor decommissioning rule that lays out the
         17    requirements for reactor decommissioning when they're shut
         18    down in an orderly fashion.
         19              Some of the areas that are not rulemakings but are
         20    also very helpful is when the SDMP came out, we did not have
         21    guidance on how to do a proper site survey, and we have now
         22    developed that, and that has progressed to the point where
         23    it's now a multi-agency effort and the acronym we use is
         24    MARSIM.  So we've cooperated with the main agencies on the
         25    proper way to do site surveys, and that's helpful for both
             
                                                          25
          1    the licensees and the agencies that are involved in
          2    decommissioning.
          3              We have also brought, as we discussed, burials
          4    into the umbrella and told licensees that those have to be
          5    addressed in a timely manner, and you have correctly pointed
          6    out now we have to visit the issue of how the guidance
          7    mergers with the rule and make sure we apply the rule
          8    properly.
          9              We also have comprehensive internal guidance and
         10    procedures for our reviewers and inspectors who would
         11    conduct decommissioning reviews and inspections.
         12              With respect to our vision of the future
         13    decommissioning program, we still would plan to brief you
         14    annually, and the focus would be how the new rule is being
         15    implemented, and we would also tell you how the complex
         16    decommissioning cases are coming along, including the sites
         17    that were originally on the SDMP sites.
         18              Again, we're going to have to give you a
         19    comprehensive response on that, but the SDMP would not
         20    disappear overnight in any scenario.  So in addition -- we
         21    would continue to manage the case work.  In addition to the
         22    39 sites -- we have the formerly licensed sites and the
         23    burials -- we will have other licensees that come in and
         24    propose restricted use under the new rule which the SDMP
         25    action plan did not specifically provide for.  The new rule
             
                  
                                                          26
          1    does provide for that.  Of course, we'll still have the vast
          2    majority of the sites that are routinely cleaned up for
          3    unrestricted use.
          4              We recognize that there will continue to be
          5    special issues that call for Commission consultation and
          6    involvement with EPA and the public.  We find that these
          7    types of cases are very resource intensive and it's
          8    important to involve the public and consult with the
          9    Commission as appropriate, consult with EPA as appropriate,
         10    and so we will continue to bring those cases to the
         11    Commission and the public and make sure that they're
         12    involved.
         13              Next slide, please.
         14              [Slide.]
         15              We already started talking about the license
         16    termination rule, but let me just briefly go over that.  Dr.
         17    Kastanzi described where we are.
         18              [Slide.]
         19              If I could go on to slide 11, the guidance that's
         20    being developed, I would point out again that it does allow
         21    for restricted use, and so that's going to be an important
         22    aspect of developing guidance, and then we have other
         23    modules of the guidance for surveys for the as low as
         24    reasonably achievable principles and the dose modeling which
         25    Commissioner McGaffigan correctly pointed out is quite
             
                                                          27
          1    complex.
          2              There are public workshops being conducted in
          3    connection with developing the guidance.  We've already
          4    helped one and I think there will be three more over the
          5    next few months.
          6              MR. GREEVES:  Could I interject on this slide?
          7              This is basically a topic you started into a few
          8    minutes ago, and this is a big challenge.  You asked about
          9    can we meet the February time frame.
         10              Research has the lead on that responsibility, and
         11    we're working with them very well on that.  However, I
         12    wouldn't want to over-promise you on the dose modelling
         13    issue.  Of these four items, that's the one we're going to
         14    have the most trouble with.  Research has asked the Program
         15    Office to increase the level of resources that we're --
         16    we're already putting resources on it; it's important to
         17    you, Carl made real clear to me it's important to him, so
         18    it's important to me, too, and we --
         19              CHAIRMAN JACKSON:  You mean it wasn't important to
         20    you irrespective of that?
         21              MR. GREEVES:  I'm just trying to make the point
         22    that we're actually allocating resources to this that we are
         23    pushing off of work items, and it actually, I think, is
         24    going to increase it over time, and even with that, the dose
         25    modelling is the area that has the biggest challenge.  There
            
                                                          28
          1    will be a workshop on the dose modeling.  We learn things
          2    from the licensees in that area.
          3              So what we have in February will be based on that
          4    level of effort and how far along we can bring it. 
          5    Candidly, I think we're going to be working on this topic
          6    through time just as the Commissioner mentioned earlier on,
          7    and it will get better with time, just like our performance
          8    assessment in high level waste.  So I just don't want to
          9    over-promise what you can expect in that area in the
         10    February time frame.
         11              MR. FAUVER:  I'm not sure it was mentioned that it
         12    is going to be published as an interim final reg guide, and
         13    there is full expectation of development over some period of
         14    time to fine-tune the process that is going to be put in the
         15    initial reg guide.
         16              MR. HICKEY:  And this is the one the licensees are
         17    going to be particularly interested in, the dose modeling
         18    aspect, so I expect a fair amount of follow-up on that.
         19              These workshops actually are a unique opportunity. 
         20    We're putting -- actually, Research is putting information
         21    up on the Internet.  We're getting real-time comments.  It's
         22    an iterative process.  I just wanted to take a stop, if I
         23    could, and --
         24              CHAIRMAN JACKSON:  Let me just ask a question. 
         25    Did this work not start until after the final rule was
             
                                                          29
          1    promulgated, or you've been working --
          2              MR. HICKEY:  No.  Some of this work was ongoing
          3    even before the final rule.  When you gave us the February
          4    time frame, it sort of calibrated, you know, what had to be
          5    done in what time frame.  I think we originally asked for a
          6    year to complete it and you came back and said February.  So
          7    I think Nick maybe can answer that question better than I,
          8    but Sandia was working on this issue before the rule came in
          9    place.
         10              Nick, do you want to help out on it?
         11              MR. COSTANZA:  Yes.  When we first started putting
         12    together the rulemaking for license termination, one of the
         13    key questions related to what should the criteria be was how
         14    would one demonstrate that you've met whatever those
         15    criteria might be.
         16              So from the onset, when we began this enterprise,
         17    we were worried about how to have -- how the licensee would
         18    demonstrate compliance, and what kind of guidance would we
         19    -- are we bringing upon ourselves to provide to the license
         20    for the demonstration?
         21              So hand in hand with the development of the rule
         22    and the models which support the environmental assessment,
         23    which supports the rule, was development of what's going on
         24    with the reg guide.  Now, the rule has been published, of
         25    course, and now what we're trying to do is clean up the
             
                                                          30
          1    loose ends and make sure that we have everything in order
          2    and proof tested it so that we will be able to provide
          3    guidance in which we have confidence to licensees so that
          4    they would be able to comply with the rule.
          5              But we have been doing this since the inception of
          6    the rulemaking, which is some five years ago or something
          7    like that.  It was quite some time ago.
          8              CHAIRMAN JACKSON:  Okay.
          9              MR. HICKEY:  Slide 12, please.
         10              [Slide.]
         11              The other aspect of the rule as far as the
         12    implementation is how would it apply to the SDMP sites, and
         13    we -- you know, all the I's are not dotted and T's crossed,
         14    but our sense is that about half of the sites are on a path
         15    to being released for unrestricted use, but they would not
         16    apply the rule, they would be grandfathered under the new
         17    rule because the licensees already made enough progress to
         18    consider themselves under the SDMP action plan criteria.  We
         19    have some examples here:  RMI, Heritage Minerals and
         20    Chemetron, which are uranium-thorium type licensees.
         21              We think about half may request restricted
         22    release, such as Shieldalloy, Cabot and Dow Bay City,
         23    Michigan.
         24              Now, obviously the cases that involve restricted
         25    release are more difficult and require resources, but even
             
                                                          31
          1    for cases involving unrestricted release, it can get quite
          2    involved depending on the complexity and public interest.  I
          3    would like to walk you through one case to illustrate the
          4    challenges that can be presented, if I could go on to the
          5    next slide.
          6              [Slide.]
          7              In this case, the Chemetron case in Ohio, it
          8    involves a site that is being cleaned up for unrestricted
          9    use, but in many ways, it mirrors the general problems
         10    associated with our decommissioning program over the last 20
         11    years, and it kind of tracks our chronology of our
         12    decommissioning program.
         13              It was identified as a contaminated site in 1980. 
         14    There were numerous unsuccessful attempts to remediate it
         15    where they came and told us the site was cleaned up and we
         16    went out and found contamination, but we -- our program was
         17    weak, so we were not giving the licensee clear guidance as
         18    to what it was we expected.
         19              Well, in 1990, they had some management changes
         20    where they became more serious about getting the site
         21    cleaned up and we became more serious through the SDMP about
         22    getting the site cleaned up.
         23              So in the '90s, we finally got them, after some
         24    false starts, to adequately characterize the site and submit
         25    an adequate decommissioning plan which we approved earlier
            
                                                          32
          1    this year, and so they are remediating the site and they're
          2    on a path to get it cleaned up and released for unrestricted
          3    use in '98.  There was substantial public interest from
          4    elected officials, the state and local agencies, the Ohio
          5    EPA and the public, and we have gone out, you know, made a
          6    lot of effort to have public meetings and make sure the
          7    public understands what's going on.
          8              So we view this as a success story where we have
          9    had extensive coordination with the public, but it took a
         10    lot of time and resources, and our goal in the future is to
         11    make sure that we involve the public in the decommissioning
         12    process to maximize as much as possible the public
         13    understanding of what we're doing and hopefully acceptance. 
         14    We can't guarantee 100 percent acceptance in all cases, but
         15    at least we can involve the public and make sure the public
         16    has an understanding of what we're doing.
         17              CHAIRMAN JACKSON:  Okay.
         18              Commissioner McGaffigan?
         19              COMMISSIONER McGAFFIGAN:  I would like to use this
         20    go to back to slide 9.  Is this a site that we would get
         21    informed about, the Commission and the public and EPA, when
         22    it's -- it's going to be released for unrestricted use, so
         23    it doesn't meet the first criteria.  I don't know whether
         24    there are unique issues associated with it.
         25              CHAIRMAN JACKSON:  That's the criteria.
                                                                       33
          1              COMMISSIONER McGAFFIGAN:  So would it have been
          2    one that --
          3              MR. PAPERIELLO:  Yes.  I hate to say this -- I may
          4    be the oldest NRC manager.  I was associated with this site
          5    in the 1980s.
          6              COMMISSIONER McGAFFIGAN:  Also, when it is
          7    released -- you said uranium and thorium is the primary --
          8              MR. PAPERIELLO:  Uranium, yes.
          9              COMMISSIONER McGAFFIGAN:  Uranium.  Will this --
         10    are the criteria for unrestricted release under SDMP -- we
         11    mentioned earlier that they might be less restrictive than
         12    the new rule.  Would it also qualify for unrestricted
         13    release under the new rule?
         14              CHAIRMAN JACKSON:  Under the new rule, yes.
         15              MR. PAPERIELLO:  Let me ask the project manager. 
         16    He has the dose numbers at his fingertips, so --
         17              [Laughter.]
         18              MR. JOHNSON:  I'm name is Tim Johnson.  I'm the
         19    section chief of the Facilities Decommissioning Section. 
         20    This would be close to meeting the unrestricted use criteria
         21    under the new rule.  Our performance -- a performance
         22    assessment dose evaluation that we did for the site came out
         23    about 28 millirem per year as a dose to an intruder using
         24    the RESRAD modeling scenarios.  So it would be close to the
         25    new criteria for the unrestricted use.
                                                                       34
          1              COMMISSIONER McGAFFIGAN:  And did you make a
          2    determination in the process that this was also as low as
          3    reasonably achievable level, that there was --
          4              MR. JOHNSON:  Yes.
          5              CHAIRMAN JACKSON:  Okay.
          6              COMMISSIONER DICUS:  One real quick one to anyone.
          7              CHAIRMAN JACKSON:  He's trying to go sit down.
          8              [Laughter.]
          9              COMMISSIONER DICUS:  He can go sit down.  This is
         10    really to the staff here.
         11              One of the issues that we face in making some of
         12    the decisions on these sites was referred to as the public
         13    outrage factor, which you have alluded to.  For example,
         14    take this site where there is on-site burial and we are
         15    going to try to release it for unrestricted use, it applies
         16    to this site, but theoretically to sites in the future. 
         17    Could the public outrage factor come back to change this
         18    decision?  I mean, when can we say this is final, or can we?
         19              MR. PAPERIELLO:  If I'm correct, this site is an
         20    on-site disposal.
         21              COMMISSIONER DICUS:  That's right.
         22              MR. PAPERIELLO:  And the reason why we had all of
         23    the local officials involved and the Ohio EPA and the Ohio
         24    Health Department, is that besides depleted uranium, which
         25    is -- these were chemical catalysts, there was solid waste,
             
                                                          35
          1    okay, so everybody's rules had to be met, and so there was a
          2    lot of public interaction on this.  Any time we had a
          3    situation like this, you would be well informed of what's
          4    going on.
          5              But I think we're going to have a lot of public
          6    interaction on any site on which there is going to be an in
          7    situ disposal or a restricted release.  That's clearly my --
          8    what I'm seeing from my experiences in the last couple of
          9    years.  Obviously, when that happens, or when that potential
         10    exists, we're going to keep you well informed of what's
         11    going on.
         12              COMMISSIONER DICUS:  Okay.  Thank you.
         13              CHAIRMAN JACKSON:  Okay.  One more?
         14              MR. COSTANZA:  Just one more.
         15              CHAIRMAN JACKSON:  Sure.
         16              MR. COSTANZA:  The way this chart number 12 is set
         17    up, I would say about half should be released for
         18    unrestricted use under SDMP criteria presumably, and then
         19    about half may request restricted release, and as I
         20    understand, that would mean they would have to come under
         21    the new rule because the SDMP did not have restricted
         22    release.
         23              MR. GREEVES:  That's my belief.
         24              MR. COSTANZA:  Right.  But it looks a little -- of
         25    the half, the about half that are going to be released for
             
                                                          36
          1    unrestricted use, if you know know how many would be
          2    unrestricted under the new rule --
          3              MR. GREEVES:  Right.
          4              MR. COSTANZA:  -- it sort of looks like they -- if
          5    the old rule is advantageous to you --
          6              CHAIRMAN JACKSON:  You use that.
          7              MR. COSTANZA:  -- you use that.  If the new rule
          8    is advantageous, you use that, and that may be inherent. 
          9    But do we know if any of these sites are five, ten, 15, 20
         10    millirems?
         11              MR. HICKEY:  Are you talking about the
         12    unrestricted group?
         13              MR. COSTANZA:  The unrestricted group.
         14              MR. HICKEY:  I'm not sure I can answer that.
         15              One thing I should point out is it also depends on
         16    the model we develop --
         17              MR. COSTANZA:  I understand that.
         18              MR. HICKEY:  -- to apply the new rule.  It may not
         19    be as conservative as the models that we've used, for
         20    example, for the Chemetron case, so we may make a finding
         21    that it --
         22              CHAIRMAN JACKSON:  Why would the models change?
         23              MR. GREEVES:  Under the action plan, many of the
         24    sites used the 30 pica curie per gram criteria.  It's not a
         25    dose criteria; it's a concentration criteria.  So we don't
             
                                                          37
          1    have in a number of these cases what the dose, for example,
          2    of that particular site was.  They have, under the new rule,
          3    the option of using the action plan criteria, one of which
          4    is 30 pica curies per gram.  So we do have the number, as
          5    just stated, on Chemetron because Chem went through the EA
          6    analysis and did some calculations.
          7              MR. FAUVER:  That wasn't 30; that was I think
          8    about 70 pica curies per gram on average.
          9              Is that correct?
         10              CHAIRMAN JACKSON:  Seven-zero?
         11              MR. FAUVER:  Seven-zero, the concentration at
         12    Chemetron?
         13              MR. JOHNSON:  The average I think was 83 pica
         14    curies.
         15              MR. FAUVER:  So it was above that.
         16              A couple of times, it has been mentioned that the
         17    licensees have an option under the new rule.  I'm not sure
         18    if it's clear that that's only until August of '98 that they
         19    have that option.
         20              CHAIRMAN JACKSON:  I see.
         21              MR. HICKEY:  Commissioner, I don't have the
         22    estimate of which ones might fall above the 25.
         23              CHAIRMAN JACKSON:  Why don't you try to dig that
         24    up.
         25              COMMISSIONER DICUS:  I think we would need that.
             
                                                          38
          1              CHAIRMAN JACKSON:  Because it puts us in a
          2    potentially untenable position from a public outrage
          3    perspective.
          4              Did you have another question?
          5              COMMISSIONER DICUS:  It's okay.  That's all right.
          6              MR. HICKEY:  May I have slide 14, please.
          7              [Slide.]
          8              Now, with respect to the strategic initiative,
          9    strategic assessment and direction-setting issue, number
         10    nine, which is materials decommissioning, you asked us to
         11    look at innovative ways to improve the decommissioning
         12    process, and one of the focuses would be to demonstrate some
         13    flexibility and simplification in tailoring the process to
         14    the hazard of the site, and we are pursuing that.
         15              We feel that we are -- we like to think that we
         16    are flexible; however, we don't think we have adequately
         17    communicated that and explored the options.  So with respect
         18    to decommissioning plans, we find that licensees are
         19    providing more detailed decommissioning plans than they
         20    need.
         21              In some cases, they don't even need to submit a
         22    decommissioning plan because they could perform some
         23    straightforward decommissioning under their existing license
         24    without specific approval from us.
         25              So one of the things we're pursuing is improving
             
                                                          39
          1    both our internal guidance and guidance to the licensees to
          2    make it clear and provide them with more clear options to
          3    tailor what they submit to us to the actual hazard at the
          4    site.
          5              Another area that we're looking at is the
          6    transition from operation to decommissioning.  In many
          7    cases, the licensees are keeping license conditions and
          8    commitments in place that are not needed for decommissioning
          9    because they're not doing anything at the site, and yet they
         10    have to maintain their infrastructure to hold to those
         11    commitments and we do some inspections of those commitments. 
         12    So we want to go back and clean up the licenses to they only
         13    keep in place the commitments they need to for
         14    decommissioning, and then that will free up their resources
         15    and our resources to use more efficiently to point toward
         16    decommissioning.
         17              We also are streamlining our inspection effort by
         18    looking more at the items that relate to clean-up of the
         19    site and making sure the licensee does a good job in
         20    cleaning up the site, and that will reduce our need to spend
         21    resources doing our own final surveys or using a contractor
         22    to do our final surveys.
         23              One of the ways that we need to implement that is
         24    through a master inspection plan because it requires
         25    coordination between our project managers and the inspectors
             
                                                          40
          1    to coordinate what inspections need to be done when and what
          2    the emphasis will be.  So we'll be reporting back to you
          3    next year on the results of this in connection with the DSI.
          4              CHAIRMAN JACKSON:  Okay.
          5              MR. HICKEY:  Slide 15, please.
          6              [Slide.]
          7              If I could say a word about resources, we are in a
          8    position where the resources, as with many programs, are
          9    projected to decline, and this is a dynamic program, it's
         10    not a program that's just on automatic pilot.
         11              As we have discussed, we have some front-end work
         12    to do to implement the new rule and to implement some other
         13    improvements, and in addition to that, the case work is
         14    still there.  So we have some concern that we need to keep
         15    an eye on the backlog and what impact our resource situation
         16    might have on not being able to do reviews in a timely
         17    manner where we're on the critical path and the licensee
         18    needs to move forward.
         19              CHAIRMAN JACKSON:  I understand that, but I also
         20    believe that your slide 8, your slide 10, and your slide 11
         21    hold a lot of the keys -- namely, you need to standardize
         22    how you're going to review things, what your inspection
         23    procedures are, et cetera, guidance development to the
         24    maximum extent you can, and the, with that, the specific reg
         25    guide in the areas you've listed to the maximum extent you
                                                                       41
          1    can, because there are two aspects.  One is the number of
          2    people you throw at it; the other is, you know, the
          3    processes that you use.
          4              Carl -- Dr. Paperiello should never have done the
          5    business process reengineering, and out of that came, you
          6    know, the result of -- that was in a different arena.  It
          7    had to do with reviewing license applications, but it shows
          8    the value of having things codified in one place, et cetera. 
          9    So I urge you on that, even as we hear you, in terms of the
         10    resources.
         11              MR. HICKEY:  Yes.  And I think some of this
         12    front-end work will pay off in the form of having --
         13              CHAIRMAN JACKSON:  But you're saying you will be
         14    able to get it done?
         15              MR. HICKEY:  It will pay off to us and to the
         16    licensees because they will know what is expected in a
         17    standardized manner.
         18              CHAIRMAN JACKSON:  Right.  Exactly.
         19              Commissioner?
         20              COMMISSIONER McGAFFIGAN:  Could I ask about sites
         21    that aren't on the decommissioning management plan?  This is
         22    the resources for SDMP.
         23              MR. HICKEY:  That's right.
         24              COMMISSIONER McGAFFIGAN:  We clearly -- I hope
         25    we're budgeting resources for the Maine Yankee, Haddam
             
                                                          42
          1    Necks, et cetera, that are coming along and are going to --
          2    you know, Carl mentioned earlier in terms of curies or
          3    whatever, that Fort St. Vrein was the biggest thing we have
          4    decommissioned.  We have a few others coming along now that
          5    presumably have a few curies in them, too.
          6              CHAIRMAN JACKSON:  Let's let Carl speak to this.
          7              COMMISSIONER McGAFFIGAN:  Yes.
          8              MR. PAPERIELLO:  We do, but I'm not sure what the
          9    numbers are.  They are not -- I don't think there are as
         10    many as 14 in this thing, but I would have to go back and
         11    check what the budget is.  They're all in John's -- for the
         12    most part -- in John's branch.
         13              MR. HICKEY:  If I could just use round numbers,
         14    for reactors, we have about three FTE a year, but keep in
         15    mind that NRR also has a role in reactor decommissioning. 
         16    We get the cases when the fuel is removed, but a lot of
         17    decommissioning activity goes on under the new rule before
         18    we get the case.  And we also have I'm going to say on the
         19    order of six to eight FTE for other types of materials cases
         20    that are not on the SDMP.
         21              The purpose of this slide is not to try to capture
         22    all the resources, but just to illustrate that there is a
         23    decline in the resources.
         24              MR. CALLAN:  Let me just say something about
         25    resources on this question of predicting -- projecting
             
                                                          43
          1    reactor decommissioning.  The dilemma we faced, of course,
          2    was in the budget assumptions, we didn't want to speculate,
          3    we didn't want to speculate in a public document what the
          4    staff believed to be the number of decommissioning that we
          5    would expect, but rather we limited ourselves to those known
          6    cases.  So that did necessarily restrict our ability to
          7    resource load this.
          8              It is a dilemma.
          9              CHAIRMAN JACKSON:  Okay.
         10              Yes.
         11              MR. PAPERIELLO:  Could I add, on that same line,
         12    we don't know about the cases we're going to get from the
         13    regions also.  We had a recent call -- by the way, all four
         14    of the regions are on the line listening; we set up a tie
         15    line.  We had a call from Region IV, and they went through
         16    four cases with us that came in talking about clean-up. 
         17    They described them, and it ended up that we said, well,
         18    they are all four complicated enough that you have to send
         19    them to headquarters, and the way we find out about that is
         20    when a licensee out in a region contacts the region and
         21    says, I want to terminate, and the region reviews the file
         22    and says, hey, soil contamination, et cetera.
         23              So it's just a small example of some of the
         24    unknown resource budgeting actions that are out there and,
         25    you know, Region IV did the right thing, got on the phone
             
                                                          44
          1    with us, but now that's on our plate to try and work off.
          2              CHAIRMAN JACKSON:  Right.  But I think what we
          3    need is just to keep the sensitivity meter high coupled with
          4    your pushing as hard and as fast as you can on getting as
          5    much consolidation and guidance development as soon as you
          6    can so that that part is not a burden.
          7              Okay.  Commissioner?
          8              COMMISSIONER McGAFFIGAN:  One small resource
          9    issue, and it's treated in the paper and it's mentioned in
         10    the SRM.  How many resources are going to go toward the
         11    pilot program for the non-complicated sites?  I've got the
         12    SRM in front of us.  The technically capable, adequately
         13    funded licensee's -- licensee site should be minimally
         14    contaminated, non-complex, et cetera.
         15              I'm asking the question, how much resource is
         16    going in there, and given that we're going through a
         17    budget-cutting drill here in light of the Congressional
         18    action on our budget, is this an area we should be looking
         19    at for whether the payoff is worth the cost?
         20              CHAIRMAN JACKSON:  If I may rephrase it so you
         21    don't strictly put him on the spot, why don't we say that in
         22    looking at how we apportion the budget cut, we can have you
         23    fold that into the considerations as to whether there is any
         24    opportunity there.
         25              COMMISSIONER McGAFFIGAN:  But what is the resource
                                                                       45
          1    going into it?
          2              MR. HICKEY:  I don't have the exact number, but it
          3    is included in this 22 in '97.  But I just don't have --
          4              COMMISSIONER McGAFFIGAN:  Okay.
          5              MR. HICKEY:  It's a small fraction of the total. 
          6    It's not 20 percent of the total or anything like that.
          7              CHAIRMAN JACKSON:  So it's not going to cut that
          8    much ice.
          9              MR. HICKEY:  It's not that big a number.  But I
         10    would point out that there's some serendipity.  These
         11    workshops we're doing on the guidance process, we're going
         12    to bump into a lot of the licensees there.
         13              CHAIRMAN JACKSON:  Okay.  Got your point.
         14              [Slide.]
         15              MR. HICKEY:  On the final slide, if I could
         16    present our forward view and where we go from here, we do
         17    feel that we have accomplished what we set out to accomplish
         18    in developing the regulatory framework culminating in
         19    issuing the license termination rule.  We do want to make a
         20    transition from focusing on the SDMP to a broader
         21    decommissioning program, and you have told us that you want
         22    to hear more from us as to exactly how we would do that.
         23              We will continue improvements under the
         24    direction-setting issue number nine of the strategic
         25    assessment, and we are focusing a lot of effort on
             
                                                          46
          1    developing the guidance for the license termination rule and
          2    we still have the case work challenges to address those --
          3    those cases have not gone away.
          4              So I would believe with the publication of the
          5    license termination rule, we should declare at least a
          6    substantial victory in developing the regulatory framework
          7    for carrying out our decommissioning program.
          8              CHAIRMAN JACKSON:  Okay.
          9              Commissioner Dicus.
         10              COMMISSIONER DICUS:  Has the consolidation of the
         11    radiological laboratories occurred yet?  Can someone tell me
         12    where that is?
         13              MR. HICKEY:  Yes.  The consolidation has occurred
         14    in the sense that the mobile labs have been taken out of
         15    service in Regions II and IV.  The laboratory capabilities
         16    have been reduced in Regions II and IV and lead
         17    responsibility has been transferred to Regions I and III.
         18              There is a tendency for Region IV to work with
         19    Region III and Region II to work with Region I just for
         20    geographical reasons, but there's no statement that it has
         21    to always be that way; it's just whatever is appropriate for
         22    Regions I and III to provide support.
         23              COMMISSIONER DICUS:  Okay.  What kind of resource
         24    savings did we get?  Do you know offhand?
         25              MR. HICKEY:  I just don't know that offhand, I'm
                                                                       47
          1    sorry.  We could check on that.
          2              COMMISSIONER DICUS:  Okay.
          3              CHAIRMAN JACKSON:  Anything else?
          4              Commissioner Diaz?
          5              COMMISSIONER DIAZ:  No, no questions.
          6              CHAIRMAN JACKSON:  Commissioner McGaffigan?
          7              Let me hurry up so we'll make it in the hour.
          8              The Commission would like to thank the staff for
          9    an informative briefing on the status of the SDMP program. 
         10    It is clear from our discussion today that changes have been
         11    and are being made to the program to improve its overall
         12    efficiency.
         13              Now, we do recognize, as we've discussed, that the
         14    program is in a transitional state, and that you expect
         15    modifications and improvements over the next few years, but
         16    obviously we're very interested in the development of -- and
         17    the merging of the programs and the application of the new
         18    rule.
         19              You have described a number of successes over the
         20    last year that we have been discussing, and they are
         21    significant improvements, and so I compliment you on your
         22    diligent efforts.
         23              We're going to continue to monitor the program,
         24    look for this comprehensive but concise statement of
         25    transition and where you are in putting the various
             
                                                          48
          1    additional foundational pieces together.
          2              So without further ado, we're adjourned and it's
          3    three o'clock.
          4              [Whereupon, at 3:00 p.m., the meeting was
          5    concluded.]
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