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SECY 99-047

February 11, 1999

Contact:  M. Evans, OEDO

ENCLOSURE A

Office of Nuclear Reactor Regulation
Items of Interest
Week Ending February 5, 1999

Arkansas Nuclear One Unit 2

During steam generator tube inservice inspections at Arkansas Nuclear One, Unit 2 (ANO-2), the licensee identified several candidate tubes for in-situ pressure testing. One tube with an axial stress corrosion crack at an eggcrate support intersection failed during testing at a pressure of 3920 psi (cold). This pressure is above that assumed for a main steam line break accident, but it fails to satisfy the margins for tube integrity specified in NRC Regulatory Guide (RG) 1.121 and implicit in the current licensing bases. Despite conducting mid-cycle outages to conduct steam generator tube examinations, the licensee has been unable to demonstrate with a high level of assurance that tube integrity margins consistent with RG 1.121 were met in three of the last seven inservice inspections.

The licensee has been justifying the length of recent operating cycles via operational assessments. These operational assessments have had the objective of demonstrating adequate tube integrity over the upcoming cycle based on probabilistic criteria. The licensee's failure to meet the deterministic margins for tube integrity at the end of recent operating cycles demonstrates that the probabilistic criteria used by the licensee to establish cycle length does not ensure licensing bases tube integrity margins will be maintained. The staff is discussing with the licensee how to address the apparent inconsistence between the success criteria for operational assessments and the plant licensing basis.

South Texas Units 1 and 2 - Incomplete Control Rod Insertion

NRR staff met with South Texas Project Nuclear Operating Company (STPNOC) staff on January 26, 1999, to discuss progress on and resolution of the incomplete control rod insertion (IRI) issue for South Texas Units 1 and 2. Presentations were made by Westinghouse, Anatech Corp., and STPNOC.

The fuel vendor, Westinghouse, discussed the South Texas fuel, the IRI experience, the post-irradiated examination (PIE) results, the mechanical analysis, the STP fuel analysis, and the IRI susceptibility thresholds. The Westinghouse presentation, which was mostly proprietary, focused on the data and analysis used to design the robust fuel assembly (RFA) and the modeling of previous fuel and the RFA in order to demonstrate that the IRI issue had been solved by using the RFA design.

Anatech Corp. presented the results of their independent review of the Westinghouse IRI analysis. The conclusions of the independent review were:

1) the evaluations and design changes proposed for the IRI mitigation are consistent with the findings of the EPRI/HP&L program; and

2) based on the experience with IRI modeling and considering the uncertainties, the Westinghouse approach is judged to be appropriate and conservative.

In response to the IRI events, STPNOC had limited the amount of burn-up allowed in assemblies under control rods and conducted an aggressive rod drop testing program. Based on the results of the Westinghouse analysis and testing at the South Texas Units, STPNOC proposed to remove the burn-up limitation on rodded assemblies and revise the testing program. In addition to the beginning of cycle tests required by Tech Specs, the following rod drop testing for robust fuel will be conducted until the licensee is satisfied they are no longer needed:

1) forced outage tests depending on previous rod drop test performance and rodded RFA burn-up achieved; and

2) end of cycle tests planned for U2 C7 and subsequent RFA-fueled cores until satisfactory performance at the assembly burn-up level corresponding to the approved burn-up level of 62GWD/MTU peak average rod.

Based on the material presented, the staff agrees that the analysis and testing program are adequate to resolve the IRI issue for the 14-foot fuel used in the South Texas Units to the current approved burn-up level of 62 GWD/MTU peak average rod.

North Anna Units 1 and 2

The IAEA OSART (Operational Safety Review Team) program assists member states by advising them on ways of enhancing the safe operation of nuclear facilities. An OSART visit, which is undertaken at the request of a member state, is not a regulatory type of inspection to determine compliance with national requirements. The OSART review is performance-based. It does not seek to impose one proven approach to safety in all plants reviewed. The teams are usually composed of 10 to 15 very experienced individuals, often managers from other nuclear plants, who travel to the plant site and perform a 3-week review of numerous operating practices. The review is aimed at objectively assessing the plant's safety practices against other successful international practices and to exchange ideas for the improvement of safety at the working level. Grand Gulf was reviewed by an OSART team in 1992.

This year an OSART is reviewing the North Anna Power Plant. The pre-OSART meeting was held on February 3, 1999, at OWFN. The attendees were: two OSART members, representatives from NRR, OIP, and Region II. Later that day, the two OSART members went to the North Anna site to meet with the plant personnel. The plant management and IAEA staff agreed on a date for the OSART mission; it will be held January 24 - February 10, 2000. Prior to that time, the plant will have time to prepare for the team's arrival.

Three Mile Island Unit 1

On January 29, 1999, Framatome informed the staff that it had found a non-conservatism (i.e., error) in their ECCS analysis that potentially affects the seven B&W designed units. The issue relates to the use of the Bingham pump curves for plants that do not have Bingham RCS pumps and non-conservatism in the pump degradation curves. The most affected plants are Oconee and TMI-1. The approximate value of the error is 55-200°F. In no case does it appear that an affected plant will exceed 2200°F peak centerline temperature (PCT).

A conference call was held between Framatome, B&W licensees, the Reactor Systems Branch, and B&W plant Project Managers on February 1, 1999, to obtain more information concerning the problem. Framatome indicated that the problem was discovered while trying to build a Davis-Besse evaluation model and that Davis-Besse is not affected. The original modeling assumed Bingham pump curves were the most limiting but Framatome did not do a sensitivity analysis for pump type. Recently, Framatome discovered that Bingham pumps were not the most limiting.

The Oconee reanalysis was completed last week and Framatome is sending a letter to the NRC providing its findings. Preliminary results indicate that the Oconee PCT increases 186°F for the most limiting unit (Unit 1 has Westinghouse RCPs, and is the limiting unit, the other two units have Bingham RCPs). The analyses do not indicate a PCT greater than 2200°F for any of the Oconee units as a result of the ECCS analysis errors. The TMI-1 increase in PCT is expected to be about ½ that of Oconee's most limiting unit because of additional conservatism in the TMI-1 analysis (credit for low pressurizer inventory).

The reanalysis for TMI-1 is expected to be completed in about 1 month. The results could have an impact on the licensee's current request to change the TMI-1 Technical Specifications to allow 20 percent steam generator tubes to be plugged. The licensee has indicated that this amendment request has been made a condition of the sale and license transfer to AmerGen currently under review by the staff. The results of the reanalysis could complicate or possibly delay the completion of the plugging review thereby potentially delaying the sale and license transfer.

Management Changes

FirstEnergy announced on January 27 the appointment of Guy G. Campbell as Vice President - Nuclear, at Davis-Besse effective February 8, 1999. Campbell, 45, will oversee operations of the plant after a transition period with John K. Wood, currently Vice President of Davis-Besse.

Previously, Campbell held nuclear management positions at Commonwealth Edison, including station manager at Quad Cities Nuclear Power Station in Cordova, Illinois and site engineering manager at the LaSalle Nuclear Power Station in Marseilles, Illinois. Campbell was part of the initial effort to develop a performance improvement plan for the Quad Cities Nuclear Power Station. He also was part of the team responsible for the successful restart of the LaSalle Plant after a two-year shutdown.

Before joining Commonwealth Edison, Campbell was station manager at Tennessee Valley Authority's Browns Ferry Nuclear Station in Decatur, Alabama, and maintenance manager at Carolina Power and Light's Shearon Harris Nuclear Plant in New Hill, North Carolina. In addition, he worked as a nuclear management consultant with Ebasco Services and United Energy Services.

Campbell earned a Bachelor of Science degree in Nuclear Engineering and a Master of Mechanical Engineering from North Carolina State University in 1976 and 1977, respectively. He holds a senior reactor operator's license and is a licensed professional engineer.

Wood, who has served as Vice-President of Davis-Besse since 1996, will join the senior management team of Perry Nuclear Power Plant as Vice President - Nuclear. He will work directly with Lew W. Myers, Vice President of Perry.

ENCLOSURE B

Office of Nuclear Material Safety and Safeguards
Items of Interest
Week Ending February 5, 1999

Nuclear Regulatory Commission Participation in Technical Review of the Department of Energy's Privatized Tank Waste Remediation Project

During the week of January 24, 1999, Nuclear Regulatory Commission staff participated in meetings in Richland, Washington, with the Department of Energy Regulatory Unit (DOE-RU) and BNFL, Inc., (the U.S. subsidiary of British Nuclear Fuels Limited) which is DOE's prime contractor for the privatized tank waste remediation project. In these meetings BNFL, Inc., presented information regarding design safety features related to a postulated pump drop accident as well as hydrogen explosive hazards. Issues concerning configuration management, commitment tracking, and closeout of open items identified in the review of an initial safety analysis were also addressed.

Gaseous Diffusion Plant Report to Congress and Recertifications are Issued

The agency has issued both the Report to Congress on the Gaseous Diffusion Plants (GDPs) located near Paducah, Kentucky, and Portsmouth, Ohio, and the recertifications for the two GDPs. The Chairman signed the Report to Congress on January 15, 1999. Copies were made available to Congress on January 19, 1999, and to the public on January 20, 1999. The staff provided a copy of the report to the Department of Energy, the Environmental Protection Agency, and the certificate holder, the U.S. Enrichment Corporation. The Nuclear Regulatory Commission issued the recertifications of the GDPs on January 29, 1999. The new certificates will be effective for a five-year period from the earlier certificate expiration date of December 31, 1998, to December 31, 2003. Future reports to Congress will be issued concurrently with the future recertifications.

Paducah Gaseous Diffusion Plant Extension Request for Completion of Seismic Modifications

By letter dated January 12, 1999, U.S. Enrichment Corporation (USEC) submitted a certificate amendment request (CAR) to extend the completion date of Paducah Compliance Plan Issue 36, "Seismic Capability of Buildings C-331 and C-335." The acknowledgment letter with request for additional information was signed by the Director, Division of Fuel Cycle Safety and Safeguards, on January 27, 1999. This CAR requests an extension for the completion of seismic modifications from June 30, 1999, to June 30, 2000. This is a request for a second extension; the staff had previously approved an amendment request extension from December 31, 1997, to June 30, 1999. Subsequently, USEC submitted a petition to the decision and specifically requested that the Commission extend the completion date to 18 months after the Nuclear Regulatory Commission completed the reviews and approved the final design of the seismic structural modifications. By Memorandum and Order, CLI-98-02, the Commission denied USEC's request and required USEC to complete the seismic modifications required by the Compliance Plan by June 30, 1999.

U.S./EURATOM Agreement for Peaceful Nuclear Cooperation

On February 1-2, 1999, U.S. Government officials met with representatives of EURATOM to discuss the implementation of the Agreement for Peaceful Nuclear Cooperation. The U.S. Government side was represented by officials from the Departments of State and Energy and the Nuclear Regulatory Commission, Office of Nuclear Material Safety and Safeguards. The parties noted the benefit of continuing these periodic meetings to discuss and clarify technical issues arising during the implementation of the Agreement.

Public Meeting on Shelwell Site

On February 2, 1999, the Nuclear Regulatory Commission (NRC) staff held a public meeting in Hebron, Ohio, regarding decommissioning of the nearby Shelwell site. There were 11 attendees: three Region III staff, one Headquarters staff, two State of Ohio staff, one licensee representative, one newspaper reporter, and three members of the public.

The staff briefly explained the history of the site and the results of recent inspections conducted to determine whether the site has been adequately decontaminated. The staff has determined that the site has been adequately decontaminated, and plans to authorize release of most of the site for unrestricted use. One building still contains some sealed sources and a small container of radioactive waste. This license cannot be terminated until that radioactive material is removed from the site. The staff answered the attendees' questions. The attendees seemed satisfied with NRC's proposed actions regarding the site.

Nuclear Waste Technical Review Board Meeting

On January 25-27, 1999, staff from the Division of Waste Management participated in the Nuclear Waste Technical Review Board (NWTRB) meeting in Las Vegas, Nevada. The first day of the meeting was conducted by the NWTRB Repository Panel with a limited purpose of discussing the Department of Energy's (DOE) progress in the study of repository design alternatives. DOE and its management and operating (M&O) contractor made presentations summarizing the results of a recent DOE workshop held to consider the advantages and disadvantages of numerous design alternatives, features and options from the point of view of performance and cost. Low temperature and high temperature alternatives along with different access arrangements and additional performance enhancement features were considered. Dr. Tor Brekke (Chair, Expert Panel) expressed the panel's reservations on the suitability of precast concrete as a support system for the emplacement drifts and stated the Panel report, which is currently under preparation, would recommend a combination of roof bolts and mesh as more appropriate. He also expressed his personal reservations on DOE's considerations of operational periods much longer than 100 years currently being contemplated in the viability assessment (VA).

The purpose of the full board meeting was to discuss: (1) design, science and regulatory criteria for the disposal of high-level waste; and (2) DOE's VA of the proposed repository at Yucca Mountain. NRC staff made a presentation on the technical criteria in the draft proposed 10 CFR Part 63 and informed the NWTRB that the Commission had approved publication of Part 63 for public comment. Staff also identified plans to hold two public meetings, in Las Vegas and Amargosa Valley, during the public comment period for Proposed Part 63. One NWTRB member expressed concern that the use of the mean dose, which is required for compliance calculations in the Proposed Part 63 technical criteria, unnecessarily limits information on the uncertainty in the dose estimate. During DOE's VA presentations, the NWTRB had questions regarding the treatment of uncertainty in performance calculations, DOE's plans for reducing uncertainty in key areas (waste package lifetime and characteristics of alluvium), and DOE's approach for providing defense in depth (multiple barriers). The NWTRB complimented the DOE on the high quality of the VA.

Draft Standard Review Plan for Reclamation of Uranium Mill Sites

On January 29, 1999, the Draft Standard Review Plan (SRP) for the Review of a Reclamation Plan for Mill Tailings Sites Under Title II of the Uranium Mill Tailings Radiation Control Act (NUREG-1620) was published. The SRP was prepared for staff reviewers in performing safety and environmental reviews of reclamation plans for uranium recovery sites covered by Title II of the Uranium Mill Tailings Radiation Control Act. It provides guidance for conducting reviews of new reclamation plans, renewals, and amendments to existing reclamation plans. The SRP was written to cover a variety of site conditions and reclamation designs. Each section of the SRP provides a description of the areas of review, review procedures, acceptance criteria, and evaluation of findings. A notice of availability was published in the Federal Register on February 3, 1999, soliciting public comments within ninety days from the date of publication.

Meeting with Department of Energy on the High-Level Waste Quality Assurance Program

On January 26, 1999, the Division of Waste Management staff met with staff of the Department of Energy's (DOE's ) Office of Civilian Radioactive Waste Management in Las Vegas, Nevada, to discuss Quality Assurance (QA) issues related to the Yucca Mountain Project. This Public Meeting was attended by representatives of DOE's management and operating (M&O) contractor; the State of Nevada; Clark County, Nevada; Nye County, Nevada; and the Nuclear Energy Institute. The meeting was requested by the Nuclear Regulatory Commission (NRC) to update the status of actions DOE and the M&O contractor are taking to address QA deficiencies discussed in the December 9, 1998, meeting between DOE and NRC held at NRC Headquarters.

DOE discussed the status of the actions being taken to correct QA deficiencies, particularly those related to data qualification, procurement, software, and computer model development and use. Many of the details presented by DOE at the meeting are also covered in DOE's January 25, 1999, letter to NRC. DOE stated that steps have been taken to preclude similar deficiencies while root causes and corrective actions are determined and implemented, and results will be reported in April 1999. The NRC stated that a Task Force has been formed to review the DOE and M&O contractor program and evaluate its effectiveness.

Nuclear Regulatory Commission Meeting with Department of Energy re: West Valley Shipment to Idaho

On February 4, 1999, Spent Fuel Project Office staff met with representatives from the Department of Energy (DOE) to discuss its plans to ship damaged fuel from the West Valley Demonstration Project, in West Valley, New York, to the Idaho National Engineering and Environmental Laboratory in Idaho Falls, Idaho. Shipment will be performed using the TN-BRP and TN-REG transport casks. DOE proposes to ship its damaged fuel by in-situ canning, placing top and bottom end caps over each damaged assembly in the basket. DOE plans to submit its application for canning in June 1999 and expects to begin fuel shipments in 2001.

1999 ALARA Conference

On February 1, 1999, senior management of the Division of Industrial and Medical Nuclear Safety attended the 1999 International ALARA Conference in Orlando, Florida. The meeting was cosponsored by the Nuclear Energy Agency and the North American Technical Center for the International System on Occupational Exposure. Approximately 130 representatives from nuclear utilities in the U.S. and a number of foreign countries were in attendance. A presentation on the Challenge of Risk Informed Regulation was made, and a number of questions were answered on topics related to inspection program changes, decommissioning and clearance criteria, and high level waste disposal.

ENCLOSURE D

Incident Response Operations
Items of Interest
Week Ending February 5, 1999

PRELIMINARY NOTIFICATIONS:

1. PNO-I-99-007, Acutus Gladwin Mold, GAUGE SHIPPED TO LICENSED SERVICE COMPANY

2. PNO-I-008, Public Service Electric & Gas Co. (Salem Unit 2), LOSS OF OVERHEAD ANNUNCIATORS AT SALEM UNIT 2-MEDIA INTEREST

3. PNO-II-99-003, Saint Mary's Hospital, MEDICAL MISADMINISTRATION

4. PNO-II-99-004, American Ordnance, LICENSED MATERIAL FOUND IN SCRAPYARD

5. PNO-II-99-005, Union Camp Corporation, GAUGE LOST DURING SHIPMENT

6. PNO-II-99-005A, Union Camp Corporation, UPDATE TO LOST GAUGE DURING SHIPMENT

7. PNO-III-99-004, Detroit Macomb Hospital, MEDICAL EVENT

8. PNO-III-99-005, Siemens Power Corporation, TRUCK WITH EMPTY UF6 CYLINDERS INVOLVED IN TRAFFIC ACCIDENT

ENCLOSURE F

Office of Administration
Items of Interest
Week Ending February 5, 1999

Garage Repair Project

The garage repair project is on schedule for substantial completion February 16, 1999, two weeks ahead of the original schedule. All punch list work is expected to be completed by February 22, 1999.

Restack Update

The current floor (8th floor) of the Restack project is scheduled to be completed the end of February, with employees moving to the floor beginning the first week in March. The next Restack floor is the 14th floor.

Hammer Award

The Vice President's National Partnership for Reinventing Government notified the Director, Division of Contracts and Policy Management (DCPM), on February 4, 1999, that the Division's Acquisition Reform Team has been awarded the prestigious Hammer Award for its pioneering work in the use of oral presentations in lieu of detailed written proposals. When used, oral presentations virtually eliminate time and effort expended by businesses in preparing detailed written proposals, and greatly reduce time expended by the NRC staff in evaluating written proposals. Details for presentation of the award are being worked out.

Electronic Commerce

On January 29, 1999, the Administrator of OFPP informed Congress of NRC's proposed innovative test process, Focused Source Selection ("electronic streamlining"). This notification is required by the Federal Acquisition Streamlining Act (FASA), which authorizes the Administrator for Federal Procurement Policy to conduct a program of tests of alternative and innovative procurement procedures and waive certain requirements otherwise required by current law. NRC is the first agency to receive such authorization. OFPP expects to publish NRC's test plan in the Federal Register for comments this month. NRC will begin the pilot test following resolution of all comments received during the 270 day waiting period prescribed by FASA.

ENCLOSURE G

Chief Information Officer
Items of Interest
Week Ending February 5, 1999

Freedom of Information and Privacy Act Requests received during the 5-Day Period of January  29, 1999 through February 4, 1999:

ENCLOSURE I

Office of Human Resources
Items of Interest
Week Ending February 5, 1999

Public Service Recognition Week Career Fair Planning Meeting Attended

On February 3, 1999, Henry Rubin attended the first planning meeting for the Public Service Recognition Week Career Fair. The fair is scheduled for May 6-8, 1999, in Washington, D.C. on the Mall. Government employees in more than 1,400 cities across the United States and around the world will take part in the 15^th annual celebration of Public Service Recognition Week. This is a time both to honor the men and women who have devoted their careers to serving our nation and a time for government agencies to reach out to the public they serve. This year's theme is "Public Employees: Working for America."

Associate Director for Training and Development Student Data

ENCLOSURE M

Office of Public Affairs
Items of Interest
Week Ending February 5, 1999

Media Interest

One reporter attended the meeting on the license termination for Shelwell Services, Inc., in Ohio.

Several news stories were published about the Unusual Event regarding an interruption of power to the cooling pumps at San Onofre.

Three media representatives attended the annual budget briefing at headquarters.

ENCLOSURE N

Office of International Programs
Items of Interest
Week Ending February 5, 1999

TOHOKU Electric Power Company Technical Visit

On Wednesday, February 3, a team from the Tohoku Electric Power Company (TOHOKU), headed by Tohoku New York Office General Manager Minoru Sato, visited NRC and met with Kevin Burke, OIP, and representatives from NRR. They were briefed on NRC's inspection requirements, plant life extension, and the regulatory implications of license transfers. The visitors were accompanied by Mr. William Martin, Chairman of Washington Policy and Analysis (WPA), and Jennifer Sklarew of WPA. TOHOKU currently operates two BWRs, has one unit under construction, and four more units are planned.

License Application for Authority to Export Heavy Water to Switzerland

OIP has received an application (XMAT0396) from Transport Logistics International, on behalf of Argonne National Laboratory (ANL), for authorization to export to Switzerland 2,635 kilograms of deuterium. The deuterium will be used by CU Chemie Uetikon for production of deuterated solvents and compounds for resale to universities, pharmaceutical, petroleum, and perfume companies for use as control standards in nuclear magnetic resonance spectrometers. A decision paper will be prepared for Commission consideration after the staff receives the views of the Executive Branch and completes its own review. Copies of the application have been sent to the Public Document Room.

Subgroup on Nuclear Export Coordination

The Subgroup on Nuclear Export Coordination (SNEC), an interagency committee chaired by the Department of State which primarily reviews applications involving items controlled for nuclear non-proliferation reasons, met on February 5, 1999, to discuss twenty-two Department of Commerce dual-use cases involving exports to India, China, and Israel. Following the SNEC meeting, the Departments of State and Energy and NRC staff met briefly with Carl B. Hartill, First Secretary, Energy Division of the Canadian Embassy. The subjects discussed at this meeting included: cooperation between Argonne National Laboratory and Canadian parties to develop LEU targets and processes for the production of molybdenum-99; and the status of a pending HEU-to-Canada NRC export license application.

ENCLOSURE O

Office of the Secretary
Items of Interest
Week Ending February 5, 1999

Commission Correspondence

1. Letter to Mr. Yii-Der Chuang, Taipei Economic and Cultural Representative Office, dated January 26, 1999, expresses regret that the Chairman will not be able to visit Taipei (incoming dated December 8, 1998 also released).

2. Letter to Dr. Mario Bonaca, dated January 26, 1999, offers an appointment to the Advisory Committee on Reactor Safeguards.

3. Letter to Representative Jim Gibbons, dated January 29, 1999, concerns the proposed rule amending 10 CFR Part 63, disposal of high level waste at Yucca Mountain (incoming of November 2, 1998 also released).

4. Letter to Representative Ron Packard and Senator Pete Domenici, dated January 28, 1999, concerns license renewal for operating power reactors.

5. Letter to Senator Christopher Bond, dated January 28, 1999, concerns the proposed revisions of 10 CFR Part 35 (incoming of December 14, 1998 also released).

6. Letter to Congress, dated January 29, 1999, provides NRC's report on the nondisclosure of Safeguards Information for the calendar year quarter beginning October 1 and extending through December 31, 1998.

7. Letter to Senators Pete Domenici and James Inhofe and Representatives Joe Barton and Ron Packard, dated January 29, 1999, provides the second monthly report on the status of licensing activities.

8. Letter to Carol Browner, EPA, dated January 29, 1999, concerns the proposed rule amending 10 CFR Part 63, disposal of high level waste at Yucca Mountain (incoming of October 23, 1998 also released).

9. Letter to Nevada Governor Kenny Guinn, dated January 29, 1999, concerns the proposed rule amending 10 CFR Part 63, disposal of high level waste at Yucca Mountain (incoming of October 29, 1998 also released).

10. Letter to Yakub Ali, Embassy of the People's Republic of Bangladesh, dated January  29, 1999, concerns a request for waiver of a license fee (incoming of December 29, 1998 also released).

Federal Register Notices Issued

1. 10 CFR Part 50; Shutdown and Low-Power Operations for Nuclear Power Reactors; Proposed Rule: Withdrawal.

2. NUREG-1600, Rev. 1; Policy and Procedure for NRC Enforcement Actions; Revised Treatment of Severity Level IV Violations at Power Reactors; Policy Statement: Amendment.

ENCLOSURE P

Region I
Items of Interest
Week Ending February 5, 1999

Region I Town Meeting

Regional Administrator, Hub Miller and members of the Region I Change Management Team conducted a town meeting with the Regional staff, including the Resident Inspectors, to discuss changes occurring in the Agency. In particular, the meeting covered the proposed reactor oversight program.

Pre-decisional Enforcement Conference with Hartford Hospital

Region I held a Pre-decisional Enforcement Conference with representatives of Hartford Hospital on January 26, 1999. The conference was held to discuss five apparent violations identified during a special inspection conducted on December 14, 1998. The special inspection was performed in response to the Connecticut Department of Environmental Protection's notification on December 10, 1998, that the licensee sent a significant amount of iodine-131 in the form of hospital waste to an incinerator that was not licensed to receive radioactive waste. The licensee's representatives provided extensive corrective and preventive actions designed to preclude the inadvertent disposal of licensed radioactive material. Enforcement options are under consideration.

Safety Light Corporation Site Visit

On January 26, 1999 Region I staff met with licensee representatives at the Safety Light site in Bloomsburg, PA to discuss license renewal and the site Decontamination and Decommissioning (D&D) Plan. The discussions focused on the fact that the current licenses at the site expire on December 31, 1999 and renewal will require an exemption to the financial assurance requirements of the Commission's regulations. Additional D&D plan information, such as site specific work plans that would be necessary before remediation work could begin, also were discussed. The Bloomsburg facility was previously utilized for the manufacture of various types of radioactive products such as watch dials and deck markers, and currently produces products containing tritium, such as exit signs. The meeting concluded with a limited tour of the facility, including those buildings the licensee proposes to remediate first. Region I staff will be working closely with NMSS on this case throughout 1999.

Risk Review in Region I

On January 27-28 Region I staff supported NMSS by reviewing several sections of the Working Draft NUREG/CR-XXXX "Risk Analysis and Evaluation of Regulatory Options for Nuclear Byproduct Material Systems". This review assisted the Nuclear Material Risk Review Group, tasked in 1997 to identify and document a technical basis for a risk-informed approach to regulation of byproduct materials.

ENCLOSURE P

Region II
Items of Interest
Week Ending February 5, 1999

Southeast Nuclear Plant Manager's Meeting

On February 4, the Regional Administrator addressed the Southeastern Nuclear Plant Manager's Meeting in Crystal River, Florida. Discussions focused on NRC initiatives, and changes implemented and planned in our licensing, inspection, enforcement and assessment processes.

Florida Power Corporation - Commissioner Diaz's Visit to Crystal River

On February 5, the Regional Administrator accompanied Commissioner Diaz on a visit to the Crystal River facility. During a plant tour, the Commissioner took the opportunity to also hold discussions with plant workers.

ENCLOSURE P

Region III
Items of Interest
Week Ending February 5, 1999

Augmented Inspection Team Public Exit - Portsmouth Plant

On February 5, 1999, the public exit meeting for the Portsmouth Gaseous Diffusion Plant Augmented Inspection Team was held in Piketon, Ohio. The meeting focused on the preliminary findings of the team's review of a December 9, 1998, fire at the Portsmouth plant. The fire occurred in a gaseous purge system cell which is used to remove extraneous gases from the processing system. It appeared to result from a mechanical failure in a compressor which lead to overheating through friction. The heated metal led to a metal-gas reaction between the aluminum components and the uranium hexafluoride being processed.

Public Meeting to Discuss License Termination Request - Shelwell Services, Inc.

On February 2, 1999, an evening public meeting was held in Hebron, Ohio, on the request by Shelwell Services, Inc., to terminate its NRC license. The NRC staff discussed the license termination process, presented an update on its reviews and inspections of the company, and received comments from members of the public, and responded to questions. Shelwell is licensed by the NRC to use radioactive material in well-logging and tracer studies of oil and gas wells. In January of last year, the company asked the NRC to terminate its license, as it will no longer be using radioactive material in its business. NRC inspectors in November conducted radiological surveys at Shelwell along with an NRC contractor, Oak Ridge Institute for Science and Education. The special inspection was observed by a representative from the Ohio Department of Health.

Management Meeting with Illinois Power Company - Clinton

On February 5, 1999, a management meeting was conducted in the Region III Office, Lisle, Illinois, between management representatives from Illinois Power Company and members of the NRC staff. The meeting discussion focused on the performance improvement initiatives for the Clinton Nuclear Power Station undertaken by Illinois Power Company. Regional Administrator Jim Dyer participated in the meeting.

First Energy Management Changes Announced - Davis-Besse

On January 27, 1999, FirstEnergy announced that Guy G. Campbell will become Vice President - Nuclear effective February 8, 1999. Campbell will oversee operations at the Davis-Besse Nuclear Power Plant. He succeeds John Wood, currently Vice President of Davis-Besse. Previously, Campbell held nuclear management positions at Commonwealth Edison Company.

ENCLOSURE P

Region IV
Items of Interest
Week Ending February 5, 1999

Loss of Shutdown Cooling at San Onofre

On February 1, 1999, a loss of shutdown cooling occurred at San Onofre, Unit 2. The unit was in Mode 6, with refueling in progress. At the time of the event, the licensee was in the process of conducting maintenance on one of the feeds to the vital electrical bus supplying the operating shutdown cooling pump. Difficulties with the maintenance operation, combined with personnel errors, resulted in the vital bus becoming de-energized. Because of interlocks which were in effect, the emergency diesel generator, which started as designed, did not tie onto the vital bus and shutdown cooling was lost. As required, the licensee evacuated containment and declared an Unusual Event. Corrective actions resulted in the re-establishment of shutdown cooling within 30 minutes. Coolant temperature increased 2-3 degrees. No off-site releases were discovered.

In response, the region chartered a special inspection, utilizing resources from the regional office and another reactor site. The inspection has continued over the weekend and should complete its on-site activities by February 10th. Media interest has been evident, both locally and nationally (AP release).

Inadvertent Entry Into Reduced Inventory Operations at Arkansas Nuclear One, Unit 2

On February 2, 1999, while draining the Arkansas Nuclear One, Unit 2 refueling canal to the refueling water tank, reactor operators noted that, upon reaching 105 inches, water level started to lower rapidly. Within approximately 1.5 minutes, reactor vessel level dropped to 56 inches. At the lowest water level, 93 inches of water remained above the top of active fuel. Operators started a high head safety injection pump and refilled the vessel to approximately 90 inches. The reactor coolant system was in reduced inventory for 7 minutes. Level remained well above the point where pump cavitation would be expected. The licensee stopped all reactor vessel drain activities while an event investigation was initiated.

In response, the region chartered a special inspection to review the events leading to and in response to the event, utilizing the on-site resident staff. The inspection is focusing on the breadth of contributing factors and is expected to complete its on-site activities by February 10.

Region IV Regional Administrator Visit to the Fort Calhoun Station

On February 4, 1999, the Regional Administrator traveled to the Fort Calhoun Station on a routine visit to meet with the resident inspectors and tour the facility. In addition, the Regional Administrator visited with the Omaha Public Power District Chief Executive Officer, the Vice President, and members of the Fort Calhoun Station site senior management, to discuss a number of general topics.

ENCLOSURE R

Office of Congressional Affairs
Items of Interest
Week Ending February 5, 1999