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INFORMATION REPORT SECY-03-0174 October 10, 2003
Contact: L. Roche, OEDO Office of Nuclear Reactor Regulation Palo Verde - Issuance of License Amendment on Steam Generator Replacement and Power Uprate On September 29, 2003, the Office of Nuclear Reactor Regulation issued a power uprate amendment for the Palo Verde Nuclear Generating Station, Unit 2. The amendment supports replacement of the steam generators and subsequent operation at a maximum power level of 3990 MWt, a 2.94 percent increase from the current 3876 MWt. The amendment will be implemented prior to entry into Mode 4 during restart from the fall 2003 refueling outage. Course on Advanced Probabilistic Safety Assessment (PSA) Modeling Techniques at Argonne National Laboratory (ANL) During September 24-26, 2003, the Division of Systems Safety and Analysis (DSSA) gave presentations on "Probabilistic Safety Analysis in Regulatory and Plant-Operational Decision Making" and the "Maintenance Rule," and participated in an associated panel at ANL. Attendees at the course included representatives from Armenia, Bulgaria, China, the Czech Republic, Hungary, Indonesia, Lithuania, the Russian Federation, the Slovak Republic, Slovenia, the Ukraine, the International Atomic Energy Agency (IAEA), Pacific Northwest National Laboratory (PNNL), ANL, and the NRC. The IAEA representative presented their Agency's assessment of PSAs internationally and noted that the average technique is Level 2 PSA. Most plants in the world have a Level 2 PSA along with their associated Level 1 PSA and only a few plants have Level 3 PSAs. Exelon and Dominion Early Site Permits On September 25, 2003, Exelon Generating Company LLC and Dominion Nuclear North Anna LLC submitted to the NRC early site permit (ESP) applications for the Clinton and North Anna sites, respectively. The staff will perform an acceptance review of the applications. In accordance with the staff's resource and budgeting plans for FY 2004, the staff's technical review of the Dominion application will begin immediately after acceptance of the application for docketing, while the technical review of the Exelon application will begin at the end of November 2003. Denial of Petition for Rulemaking 52-2 A Federal Register Notice documenting denial of Petition for Rulemaking (PRM) 52-2 was published on September 29, 2003. In PRM 52-2, the petitioner, the Nuclear Energy Institute, requested that the NRC amend regulations in 10 CFR Part 51 to eliminate requirements that applicants and licensees analyze alternative sources of energy and need for power with respect to the siting and licensing of nuclear power plants. Browns Ferry License Renewal On September 29, 2003, staff from the Office of Nuclear Reactor Regulation met with the Tennessee Valley Authority (TVA) to continue pre-application discussions regarding TVA's planned submittal of the Browns Ferry Units 1, 2, and 3, license renewal application. The application is scheduled to be submitted in late December 2003. During that time, Unit 1 is expected to be undergoing restart. Extended power uprates will also be requested for all three units. Detailed discussions centered on how TVA will identify temporary differences for Unit 1 until restart is completed and how Unit 1 will be identical to Units 2 and 3. TVA will also address in its application the effects of more than 17 years of lay up on the Unit 1 structures and components that are not being replaced during restart activities. License Renewal Applications for Robinson and Ft. Calhoun On September 30 and October 1, 2003, the staff presented the results of its evaluations of the H. B. Robinson Unit 2 and Fort Calhoun Unit 1 license renewal applications, respectively, to the Advisory Committee for Reactor Safeguards (ACRS). The staff issued the safety evaluation report (SER) with open items for Robinson on August 25, 2003, and the final SER for Ft. Calhoun on September 5, 2003. The staff presented an overview of the SERs, the subsequent resolution of the open items, and the findings of the associated onsite audit and inspections. The ACRS members commented that the license renewal applications and the staff's SERs were of good quality. The final SER for Robinson is due to be completed by January 21, 2004. If approved, the staff plans to issue the renewed license for Ft. Calhoun by November 21, 2003. NRC Information Notice 2003-17: Reduced Service Life of Automatic Switch Company (ASCO) Solenoid Valves with Buna-N Material, Dated September 29, 2003 The NRC is issuing this information notice to alert addressees to potential problems caused by the hardening of Buna-N material used in fabricating solenoid valves manufactured by Automatic Switch Company (ASCO). The NRC expects recipients to review the information for applicability to their facilities and consider actions, as appropriate, to avoid similar problems. NRC Information Notice 2003-18: General Electric Type SBM Control Switches with Defective Cam Followers, Dated September 26, 2003 The NRC is issuing this information notice to let addressees know of recent and long-term operational experience with control switches and relays incorporating a polycarbonate plastic material manufactured by General Electric known as Lexan®. It is expected that recipients will review the information for applicability to their facilities and consider actions, as appropriate, to avoid similar problems. NRC Meeting with Westinghouse and Exelon on Flowmeter Power Measurements On September 26, 2003, the staff met with Westinghouse representatives to discuss their root cause analysis related to the Byron Unit 1 assumed overpower condition regarding crossflow ultrasonic flowmeter (UFM) signal contamination. A portion of the meeting was closed when proprietary information was presented. Special tests indicated frequency contamination that affected the operation of the UFM. The signal contamination was traced to acoustic resonant frequencies in the piping. However, the source of the resonant frequencies is still unknown. Possible sources included feedwater and pumps or other nearby equipment. Westinghouse is still evaluating UFM performance at other plants and plans to respond to the staff questions by the end of October. The staff advised Westinghouse: (1) to verify the integrity of the information contained in previously-approved topical reports for generic applications of the crossflow UFM; (2) to establish and publish guidelines instructing users how to operate their system; and (3) that future UFM applications for Appendix K power uprates will receive greater scrutiny with respect to signal contamination and assurance that signal contamination is not present. Byron has indicated that they will gather information using UFMs, but will not use the correction factor until the root cause analysis is complete. Office of Nuclear Material Safety and Safeguards Staff Accompanies Representatives of China National Nuclear Corporation on Tour of Uranium Recovery Facilities On September 23-24, 2003, the Division of Fuel Cycle Safety and Safeguards staff accompanied four representatives of the China National Nuclear Corporation (CNNC) on a tour of three uranium recovery facilities in Wyoming. A representative of the International Institute for Applied System Analysis, Austria, escorted the CNNC staff. On September 23, the group visited the Power Resources, Inc. (PRI) in-situ leach (ISL) uranium extraction facility at the Smith Ranch-Highland Uranium Project. PRI site staff delivered a slide show presentation that included a site overview and a step-by-step description of the ISL process. Although the Chinese use acid leaching, they have little experience with alkaline leaching. After the briefing, PRI provided a detailed site tour. On September 24, the group visited the UMETCO Gas Hills facility and the Pathfinder-Lucky Mc facility. Both facilities are undergoing reclamation. Staff at both facilities provided information on the history of the site and also provided an extensive site tour. Because of the nearly complete status of reclamation at both facilities, little actual reclamation activity was observed. However, the CNNC representatives were able to gain a thorough understanding of the nature and scope of the reclamation activities. Questions focused on the technical and cost areas. Other than the overall role of NRC and the States, no regulatory topics were discussed. The CNNC representatives expressed great appreciation for the site tours and information. Integrated Safety Analysis and Criticality Safety Workshops On September 23-25, 2003, the Division of Fuel Cycle Safety and Safeguards (FCSS) staff, in conjunction with the Nuclear Energy Institute (NEI), conducted a 2-day Integrated Safety Analysis (ISA) Workshop, followed by a 1-day Criticality Safety (CS) Workshop. Both workshops were held in Washington, DC. The presenters for the ISA Workshop were from NEI, fuel cycle licensees/applicants, and FCSS staff. The presenters for the CS Workshop were the same plus staff from the Spent Fuel Project Office. Approximately 60 people attended all 3 days of the workshops. Attendees included representatives from NRC, NEI, fuel cycle licensees/applicants, the Department of Energy, National laboratories, Electric Power Research Institute, FCSS contractors, and other consultants/contractors. Both workshops were Category 2 open public meetings. Issues of mutual interest, related to the implementation of the ISA Summary and CS requirements of Subpart H, in 10 CFR Part 70, were discussed. As a result of the information and views exchanged at the ISA and CS Workshops, the staff is confident that it can continue to make progress in the implementation of the new regulatory framework established by Subpart H. The staff intends to develop interim staff guidance to clarify the portions of the fuel cycle facility standard review plan (NUREG-1520) and will evaluate a potential minor rule change to the criticality monitoring requirements in 10 CFR 70.24. Sealed Source and Device Workshop On September 22-26, 2003, the Division of Industrial and Medical Nuclear Safety conducted a workshop for Agreement State personnel on the review process for the safety evaluation and registration of sealed sources and devices. Based on the safety evaluations, the registration certificates issued are used as the basis for licensing the products. Twenty-two Agreement State representatives and five NRC Headquarters staff attended as students for the five-day workshop held in Los Angeles, California. Eight additional representatives from the State of California and NRC made presentations during the workshop. The workshop was held in Los Angeles to allow the State of California to "co-host" the workshop, and to allow the attendees to visit two local source fabricators (Isotope Products Laboratory and North American Scientific) to see where the sources are constructed, tested, and certified. At the end, the participants conducted casework exercises to develop a better understanding of how to apply the information contained in the workshop lectures. These workshops, held every 2-3 years, are designed to provide in-depth training on the process for evaluating sealed sources and devices. Staff Visit to the Rocky Flats Facility in Colorado, and the Waste Isolation Pilot Plant in Carlsbad, New Mexico On September 16, 2003, staff from the Spent Fuel Project Office visited the Rocky Flats facility in Colorado. The main purpose of the visit was to observe preparation and shipment of transuranic waste in TRUPACT-II casks. The Department of Energy (DOE) operating contractor took the staff on a tour of the facility for preparation of the waste for shipment. The preparation includes real-time radiography, non-destructive isotopic assay, head space gas analysis, determination of hydrogen gas generation rate, and visual examination. The staff also observed preparation of TRUPACT-II cask loading, including O-ring replacement, waste loading, and leak-testing of the cask. The following week, on September 25, 2003, the staff observed receipt of the loaded TRUPACT-II casks, unloading of the waste, and its emplacement underground at the Waste Isolation Pilot Plant (WIPP) in Carlsbad, New Mexico. DOE's contractor took the staff on a tour of the surface facility, which included receipt and preparation of contact-handled and remote-handled transuranic waste for disposal. The staff observed the activities at the transportation operation center and satellite tracking of the shipments, using the TRANSCOM system. The staff then went on a tour of the WIPP underground and observed operations associated with excavation, handling, and emplacement of the waste. Staff Participates in International Conference on Environmental Remediation and Radioactive Waste Management, Oxford, England On September 21-25, 2003, staff from the Office of Nuclear Material Safety and Safeguards participated in the 9th International Conference on Environmental Remediation and Radioactive Waste Management (ICEM). The conference had over 600 attendees from 40 countries and focused on current research results, national and international remediation regulations, implementation of new methods and equipment for remediation, and initiating and managing environmental projects. There were discussions on low-level waste management, high-level waste and spent-fuel management; environmental remediation, decontamination, and decommissioning; and major institutional issues in environmental management and public involvement. The staff presented two papers ("Status of NRC's Decommissioning Program," and "Status of the West Valley Demonstration Project"), co-chaired four sessions, and participated on the conference-organizing committee. The next ICEM will be held in 2005. Office of Nuclear Regulatory Research Public Meeting of the Interagency Steering Committee on Multimedia Environmental Modeling On September 24, 2003, the Office of Regulatory Research (RES) hosted the annual public meeting of the Interagency Steering Committee (ISCMEM) established under the Memorandum of Understanding (MOU) on research and development of multimedia (i.e., air, surface and ground-water systems) environmental modeling. The MOU provides a mechanism for Federal Agencies to pursue a common technology in multimedia environmental modeling with a shared technical basis. Other Federal agencies represented on ISCMEM include EPA, DOE, U.S. Geological Survey (USGS), U.S. Army Corps of Engineers, Agricultural Research Service (ARS), Natural Resources Conservation Service and the National Oceanic and Atmospheric Agency. Information from the public meeting will be posted on the MOU public website: http://www.ISCMEM.org. Meeting of ACRS Subcommittee on Reactor Fuels The ACRS Subcommittee on Reactor Fuels met with staff from RES, the Electric Power Research Institute (EPRI), and Arizona Public Service on September 29-30, 2003, to discuss research that is being conducted by NRC and EPRI and related topics. The scope of NRC's research was described in an August 21, 2003, memorandum to the Commission. This research is issue-oriented, and it is being performed in cooperation with EPRI and several international organizations. The staff presentations were focused on analytical and experimental work that is being done to reach near-term resolution on two issues: one related to reactivity-initiated accidents (RIAs) and one related to loss-of-coolant accidents (LOCAs). Presentations by EPRI staff described in detail the elements of their Robust Fuel Program that address economic aspects of fuel performance during normal operation. Brief comments were also made about an element of EPRI's program on fuel response to transients, which are important in safety assessments. Although EPRI and NRC cooperate in data collection in experimental programs, interpretations and applications are done independently. In this regard, it became clear that EPRI and RES are pursuing somewhat different courses in resolving RIA and LOCA issues. The RES staff also gave a brief summary of fuel damage from a crud-cleaning operation that occurred at the Paks nuclear power plant in Hungary. Arizona Public Service described their experience with crud on fuel in the Palo Verde plants. One of EPRI's major presentations was on their development and implementation of an ultrasonic technique for removing crud from the fuel during outages. Panel Discussion on Mitigating Systems Performance Index (MSPI) Pilot Program In a September 30, 2003, Nuclear Energy Institute Forum on Risk Informed Regulation, RES staff participated in a panel discussion on the status of the MSPI Pilot Program. The meeting was open to the public and attended by approximately sixty participants primarily from NRC, national laboratories, and industry. The purpose of the MSPI is to monitor the performance of six systems based on their ability to perform risk-significant functions. The index, which approximates the change in core damage frequency, is comprised of two elements - system unavailability and system reliability. Plant-specific PRA models will be used to calculate the contribution of component failures and maintenance unavailability to the index. In the panel discussion, RES staff provided an overview of the results of the verification effort on the Pilot Program, the lessons learned from the program, and the status of the resolution of key technical issues. A Question and Answer session followed the presentation by the three panel members. American Concrete Institute (ACI) Meetings, Boston, MA Two staff members from the Division of Engineering Technology (DET) attended the ACI Fall meetings from September 27 through 29 in Boston, MA. One staff member served as the NRC representative on ACI committee 349, "Safety Related Concrete Nuclear Structures," and ACI committee 355, "Anchorage to Concrete." The other staff member attended as a guest participant to ACI committee 359, "Code for Concrete Reactor Vessels and Containments." The purpose of attending this meeting was to provide input on tests of anchors and to describe regulatory activities related to seismic category I concrete structures, as well as initiating any followup actions. Advisory Committee on Reactor Safeguards (ACRS) Briefing On October 4, 2003, staff from the Division of Engineering Technology (DET) briefed the Advisory Committee on Reactor Safeguards (ACRS) on the final draft of Regulatory Guide (RG) 1.168, Revision 1, "Verification, Validation, Reviews, and Audits for Digital Computer Software Used in Safety Systems for Nuclear Power Plants," and sought ACRS concurrence on issuance of the final guide. This regulatory guide endorses current IEEE standards for software verification, validation, review and audits. It describes methods acceptable to the NRC staff for complying with NRC regulations on ensuring high functional reliability and design quality in software and for carrying out software reviews, inspections, walkthroughs, and audits. Panel Discussion on DG-1122 In a September 29, 2003, Nuclear Energy Institute Forum on Risk Informed Regulation, staff from RES and NRR participated in a panel discussion on PRA Standards and Regulatory Guide; specifically on DG-1122, "An Approach for Determining the Technical Adequacy of Probabilistic Risk Assessment Results for Risk-Informed Activities," and ASME's "Standard for Probabilistic Risk Assessment for Nuclear Power plant Applications." The meeting was open to the public and attended by approximately sixty participants primarily from NRC, national laboratories, and industry. In the panel discussion, NEI's presentation indicated (1) the need to move forward and publish the Draft Guide for trial use, (2) a range of pilots are needed (and identified additional pilots beyond South Texas who has formally submitted a request for a pilot), (3) applicability of non-pilots should be deferred while pilots are tested, and (4) results of pilots should be communicated through industry workshops prior to using regulatory guide at all plants. RES and NRR staff presentations focused on the trial use and the purpose of the pilots. The staff noted that the purpose is to determine if implementation of the regulatory guide obviates the need for an in-depth staff review of the PRA, i.e., providing a more focused and consistent staff review and staff confidence in the PRA results. The staff also presented a schedule which showed the guide and draft pilot guidance being published for trial use in December 2003, initiating the pilot(s) in early 2004, and issuance of the guide as Revision 0 in late 2004. The Chairman of the ASME Committee on Nuclear Risk Management (CNRM, committee responsible for the ASME PRA standard), was also on the panel. His presentation focused on current and future ASME risk-informed activities. In the near term, these include publishing Addendum 1 (October 2003) which resolves the majority of the staff objections and Addendum 2 (2004) which will address lessons-learned for trial uses of the standard. Office of Administration Financial Assurance for Materials Licensees (Parts 30, 40, and 70 - AG85) A final rule that amends the regulations to bring the amount of financial assurance required for certain materials licensees more in line with current decommissioning costs was published in the Federal Register on October 3, 2003 (68 FR 57327). The action is intended to ensure that licensees maintain adequate financial assurance so that timely decommissioning can be accomplished following shutdown of a licensed facility. The final rule becomes effective December 2, 2003. Nuclear Energy Institute; Denial of Petition for Rulemaking (PRM-52-1) A document that denies a petition for rulemaking submitted by the Nuclear Energy Institute (PRM-52-1) was published in the Federal Register on October 3, 2003 (66 FR 57383). The petitioner requested that the NRC amend the regulations to allow applicants seeking an early site permit and a combined license to use existing information from prior licensing actions as resolved information that has been approved by the NRC and has been subject to a hearing. The NRC is denying the petition because most of the efficiencies, regulatory stability, and predictability which the petitioner sought can be achieved under existing regulations and guidance. Contract Awards Competitive Blanket Purchase Agreements (BPA) for "Information Technology Support Services for Writing Requirements Documents and Performing Configuration Management Activities," were awarded to the following four companies on September 22, 2003: Access Systems, Inc., Aquas, Inc., Solutron, Inc., and Telesis Corporation. All four contractors are woman-owned 8(a) certified small-businesses on the General Services Administration's (GSA's) Federal Supply Schedule. These BPAs establish a pool of contractors to compete for Information Technology (IT) services necessary to support application of NRC's System Development Life Cycle Methodology (SDLCM). As the needs arise, NRC will compete the requirements among these firms. The period of performance is five years. The total estimated ceiling amount is $2,995,000. Delivery Order No. NRC-33-03-344-001, entitled, "Configuration Management" was competitively awarded to Telesis Corporation on September 30, 2003. This Delivery Order is for performance of configuration management functions on NRC-owned software. The period of performance is one year. The total estimated ceiling of this order is $157,766. Delivery Order No. NRC-33-03-344-002, entitled, "Portfolio Database" was competitively awarded to Solutron, Inc. on September 30, 2003. This Delivery Order is to analyze and document the requirements for the Portfolio Database and write the business case for the development and implementation of the Portfolio Database, in accordance with Management Directive 2.2, "Capital Planning and Investment Control." The period of performance of this order is four months. The total estimated ceiling of this order is $158,253.00. Delivery Order No. NRC-33-01-193-004, was competitively awarded to Integrated Management Services, Inc. of Arlington, Virginia on September 30, 2003. This Delivery Order is for security engineering technical support to allow NRC to appropriately assess the overall IT security posture of the IT applications, systems, and processes that support the High Level Waste project. The period of performance is one year. The total estimated value, inclusive of an optional task, is $324,942.24. Delivery Order No. NRC-33-03-342, was competitively awarded to OAO Corporation on September 26, 2003, under the Comprehensive Information Systems Support Consolidation (CISSCO II) program, using the GSA Federal Supply Schedule. This Delivery Order requires the contractor to provide program management, maintenance and operational support for all current automated computer systems, and all future systems developed and placed into production at the NRC. The period of performance is two years with two one-year options. The total estimated amount of the order is $22,811,855.04, inclusive of options. Delivery Order No. DR-03-03-044 was competitively awarded to Information Systems Laboratories Inc. on September 30, 2003. This Delivery Order is for technical assistance to the Division of Regulatory Improvement Programs, Office of Nuclear Reactor Regulations, for "Site Audit of License Renewal Aging Management Programs and Safety Evaluation Report Preparation." The period of performance is 15 months. The total estimated cost, inclusive of three optional sites, is $715,840.12. A competitive firm-fixed price contract, No. NRC-38-03-375, entitled, "Motorized Operated Valve Training" was awarded to Idaho State University, on September 30, 2003. This contract will provide training to NRC inspection staff on the theory of operation of operated valves used at nuclear power plants. The period of performance is one year with four one-year options. The total contract amount is $488,695, inclusive of options. Procurement streamlining methods implemented were: combined synopsis/solicitation and reduced proposal preparation time. Recruitment Activities On October 1, 2003, Division of Contracts staff participated in On-Campus Recruitment Programs at Howard University and the University of Maryland. Over 30 resumes were obtained from business majors, 15 of which were interested in acquisition management intern positions at NRC. Chief Information Officer Freedom of Information and Privacy Act Requests received during the period of September 26 through October 2, 2003:
Office of Human Resources
Office of Public Affairs Media Interest NRC's criticism of FirstEnergy Corp. for inadequate emphasis on safety as the company prepares to resume operations at its troubled Davis-Besse plant. Continued coverage and editorials regarding the General Accounting Office report criticizing NRC's oversight of security at nuclear plants.
Office of the Secretary
Commission Correspondence
Federal Register Notices Issued
Region I PSEG Organizational Changes Several changes recently were implemented in the organization of the Public Service Electric and Gas Company, licensee for the Salem and Hope Creek plants. Chris Bakken reported to the Salem and Hope Creek site as the Site Operations Vice President, while Greg Halnon reported as Salem Operations Manager. Jim Hutton reported several weeks ago as the Hope Creek Plant Manager. These changes are part of an ongoing reorganization instituted by Roy A. Anderson, Chief Nuclear Officer, since his arrival in April 2003. Haddam Neck Site Activities During the week of September 29, 2003, a Region I Division of Nuclear Materials Safety inspector led a team from the Oak Ridge Institute for Science and Education (ORISE) to the Connecticut Yankee Haddam Neck facility to perform confirmatory surveys of the licensee's completed final status survey areas outside the industrial area of the plant. Activities included sampling and surveying areas around the Independent Spent Fuel Storage Installation site, the peninsula, former nature and logging trails, and unimpacted land areas near the transmission towers. ORISE scanned portions of 380 acres and collected 70 soil samples, which were split with the licensee. Analyses of the soil samples will be used to evaluate the licensee's analytical capability. Region I Management Retreat The Region I senior management team conducted its annual program planning retreat on September 30-October 1, 2003. A representative of the Office of the Executive Director for Operations attended the retreat. Region II Recruitment Workshop at the University of Puerto Rico-Mayaquez On October 1-3, 2003, the Regional Administrator, the Deputy Director of the Office of Human Resources, and other NRC staff participated in a recruitment workshop at the University of Puerto Rico-Mayaguez in San Juan, Puerto Rico. The workshop utilized the NRC's recruitment booth and other aides to introduce students and University officials to employment needs at the NRC. General Electric (G.E.) Inspection Services, Inc - Closed Predecisional Enforcement Conferences On September 30, 2003, Region II held two closed Predecisional Enforcement Conferences with an individual, employed at G.E. Inspection Services, and with officials from G. E. Inspection Services, Inc. The purpose of these Predecisional Enforcement Conferences were to discuss an apparent willful violation involving the improper transfer of licensed material. Region III Meeting on Davis-Besse Safety Culture On October 1, 2003, members of the Region III staff and the NRC Oversight Panel met in the regional office with representatives of First Energy Nuclear Operating Company to discuss the utility's activities to evaluate and improve the safety culture of the plant staff and management at Davis-Besse and its plans for future monitoring of the safety culture. The meeting was also available through videoconference in NRC Headquarters and through a dial-in teleconference for interested members of the public. Special Inspection of Fuel Handling Incident at Byron 1 On October 2, 2003, Region III initiated a special inspection at the Byron Nuclear Power Station to review the circumstances surrounding a September 26 fuel handling incident at Unit 1 which is shut down for refueling. In the incident, a fuel assembly being moved under water from the reactor vessel to the spent fuel storage pool struck equipment in the refueling area. The fuel assembly showed no evidence of damage. Because of an obstruction in the fuel transfer area, the refueling staff had disabled a safety system in the overhead crane that limits the path for fuel movements to avoid possible contact with objects that might damage the fuel. Office of Congressional Affairs
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