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INFORMATION REPORT

SECY-00-0104

May 11, 2000

Contact:  J. Shea, OEDO

WEEKLY INFORMATION REPORT - WEEK ENDING MAY 5, 2000

The Weekly Information Report is compiled by the Office of the EDO and includes highlights of Headquarters and Regional Office activities.

Contact: J. Shea, OEDO by E-mail: jws1@nrc.gov.

ENCLOSURE A

Office of Nuclear Reactor Regulation
Items of Interest
Week Ending May 5, 2000

NEI 97-06, "Steam Generator Program Guidelines"

On February 4, 2000, the Nuclear Energy Institute (NEI) submitted a proposed generic licensing change package which would relocate much of the existing steam generator standard technical specification (TS) surveillance and limiting conditions for operation requirements to other licensee controlled documents. The generic licensing change package includes a revision to NEI 97-06, "Steam Generator Program Guidelines" (Rev. 1B), and a template for preparing plant-specific license amendments (including generic TS and a generic technical requirements manual (TRM) section). In the February 4, 2000, letter, NEI stated that NEI 97-06, Rev. 1B will not be approved by the industry until after the proposed generic TS are approved by the NRC.

During an NRC/NEI management meeting on April 26, 2000, NEI informed the staff that they are preparing a revision to NEI 97-06 which the industry could utilize now (since the staff has been delayed in its review of the generic licensing change package due to Indian Point 2 activities). The revision will be entitled NEI 97-06, Rev. 1 (once the document receives NRC endorsement, NEI would issue it as NEI 97-06, Rev. 2). NEI indicated that some of the detail in NEI 97-06, Rev. 1B will be taken out since it pertains to the proposed generic TS and TRM sections which have not been approved by the NRC staff. Once NEI 97-06, Rev. 1 has been approved by industry and is ready to be issued, NEI indicated that it will send a letter to the staff discussing the revision.

As the staff has previously indicated, since the original version of NEI 97-06 was issued in December 1997, the staff views NEI's effort to issue NEI 97-06, Rev. 1 as a positive enhancement to the existing industry steam generator program guidelines. It is expected that this revision will include a number of NRC recommendations which have been made over the last two years to improve the inspection and assessment of steam generator tubes.

Electric Power Research Institute (EPRI)

On May 2, 2000, the NRC met with EPRI to discuss the fee for the review of RETRAN-3D. NRC attendees included B. Sheron, S. Richards, J. Wermiel, and representatives from OCFO, RES and OGC. EPRI is asking that NRC waive the fee for review of RETRAN-3D because EPRI believes that RETRAN-3D meets the provision of 10 CFR 170.21 J, Item 3 of Footnote 4.

This provision states that:

"fees will not be assessed for requests/reports submitted to the NRC: ... 3. As a means of exchanging information between industry organizations and the NRC for the purpose of supporting generic regulatory improvements or efforts."

EPRI believes RETRAN-3D will be a primary source of best estimate analyses and insights for Option 3 to risk-informed 10 CFR Part 50, and therefore, the fee should be waived under the provision stated above. The NRC said that it did not have a basis for waiving the fee because there had been no specific application cited in which RETRAN-3D would be used for supporting generic regulatory improvements. The NRC said that an example of a specific application could be the use of RETRAN-3D by a pilot plant for Option 3 of risk-informed Part 50. EPRI requested additional time, until the end of May, to provide to the NRC a plan, and a schedule, for identifying a specific application of RETRAN-3D that could justify the fee waiver. NRC agreed to delay its decision on the fee waiver until that plan is reviewed by the NRC.

Risk-Informing Special Treatment Requirements (RIP50, Option 2) Workshop

On April 27, 2000, the Office of Nuclear Reactor Regulation (NRR) held a one-day public workshop to discuss approaches for risk-informing the special treatment requirements in 10 CFR Part 50. The objectives of the workshop were (1) to help foster better understanding of the regulatory and technical issues involved with developing the framework for risk-informing the special treatment requirements and (2) to assist the stakeholder participants in formulating focused comments in response to the advance notice of proposed rulemaking (ANPR) for the new regulations (RIP50, Option 2). The ANPR comment period closes May 17, 2000.

Staff from NRR, the Office of Nuclear Regulatory Research, and the Office of the General Counsel, and representatives of the Union of Concerned Scientists, Nuclear Energy Institute, American Society of Mechanical Engineers, reactor owners groups, a number of reactor licensees, consultants, and others attended and participated in the workshop.

The workshop was structured around 21 topical areas including the categorization process, the number of safety significance levels, PRA quality and scope, quantification of risk, treatment, monitoring, change control, selective implementation, and documentation. The staff provided an overview of each topical area and the range of alternatives for addressing each area. The internal and external stakeholders were provided opportunity, and discussed their views on each topical area. The meeting was in fact a "workshop" in that there was a free exchange of ideas. The staff encouraged the workshop participants to followup on the workshop by submitting written comments in response to the ANPR. The staff will issue a full summary of the workshop.

License Renewal Applications

On April 27, 2000, the staff held a public meeting with Entergy to discuss the technical review of the ANO-1 license renewal application, which was submitted to NRC on February 1, 2000. Much of the initial review is complete. The staff developed the initial drafts for most of the requests for additional information (RAIs) and initial drafts of portions of the safety evaluation. Approximately 15 percent of the RAIs have been sent to the applicant, and the remaining RAIs are currently being reviewed and finalized.

The staff has planned a similar meeting with Southern Company on May 8, 2000, to discuss comparable examples of missing details and inconsistencies we found in the review thus far of the Hatch application.

ENCLOSURE B

Office of Nuclear Material Safety and Safeguards
Items of Interest
Week Ending May 5, 2000

Department of Veterans Affairs National Radiation Safety Quarterly Meeting

On May 2, 2000, representatives from the Division of Industrial and Medical Nuclear Safety and Region III attended the Department of Veterans Affairs (DVA) Quarterly National Radiation Safety Committee meeting as observers. The DVA discussed its efforts in implementing a centrally controlled program to become a Nuclear Regulatory Commission (NRC) Master Materials License (MML) licensee. DVA believes that they have progressed to the point where NRC could resume review of DVA's readiness and DVA could meet with and brief the NRC within the next month.

Pacific Sierra Nuclear Associates VSC-24 Spent Fuel Dry Cask System Amended

On April 27, 2000, a final rule was published in the Federal Register (65 FR 24623) that amended the existing Pacific Sierra Nuclear Associates VSC-24 dry cask system included in the list of approved dry cask storage systems contained in 10 CFR 72.214. The amendment would permit the storage of burnable poison rod assemblies (BPRAs) in the VSC-24 cask system. The amended VSC-24 dry cask system may be used after the final rule effective date (May 30, 2000) to store spent fuel and BPRAs under the Part 72 general license provisions in 10 CFR 72.212. The VSC-24 dry cask system is a single purpose system intended only for the storage of spent fuel.

U.S. Enrichment Corporation Announces Third Quarter Earnings

On April 26, 2000, the U.S. Enrichment Corporation (USEC) announced third quarter fiscal year 2000 earnings of $22.6 million compared to $16.2 million for third quarter fiscal year 1999. Cumulative earnings for fiscal year 2000 were $71.3 million, compared to $56.9 million for the same nine-month period in fiscal year 1999. The increase for the nine-month period is primarily due to an increase in natural uranium sales to $44.9 million, compared to $19.4 million over the same period in fiscal year 1999. During the third quarter, USEC reduced its short term debt by $113 million. A quarterly dividend of $0.1375 per share was announced. USEC also announced that it would terminate, effective May 2003, its power contract with the Ohio Valley Electric Cooperative for the Portsmouth plant. By terminating this contract, USEC will no longer be responsible for the cost of the utility's environmental upgrades that are to occur between 2003 and 2005.

Predecisional Enforcement Conference with U.S. Enrichment Corporation

On May 3, 2000, staff from the Office of Nuclear Material Safety and Safeguards, working with the Office of Enforcement, the Office of the General Counsel, and Region III, conducted a Predecisional Enforcement Conference with the U.S. Enrichment Corporation (USEC). This conference was held to discuss the apparent violations identified during the staff's review of USEC's 1999 Annual Update to Certificate Application for Paducah and Portsmouth Gaseous Diffusion Plants. The staff's review focused on whether USEC made plant changes in accordance with the requirements of 10 CFR 76.68, which allows changes to the plant or to the plant's operations as described in the safety analysis report without prior Commission approval. The staff identified four apparent violations at Paducah and three apparent violations at Portsmouth. Based on the information presented and previously available, the staff will determine the final outcome of the enforcement action.

Key Technical Issues with the Department of Energy on the High-Level Waste Repository Program

On April 25-26, 2000, staff from the Division of Waste Management met with Department of Energy (DOE) staff to discuss the status of, and path to resolution of Key Technical Issues (KTIs) related to a possible high-level waste repository at Yucca Mountain, Nevada. These KTIs are most important to post-closure performance, and the staff has made significant progress toward issue resolution. The meeting was held in Las Vegas, Nevada, and included observers from the state of Nevada, affected units of local government, and public interest groups. Staff summarized the current resolution status for each KTI, and provided a comprehensive list of the additional information still needed, together with the rationale supporting these needs. The staff discussed DOE plans and schedules for providing the information. The meeting gave early visibility to staff positions on topics that are significant from a performance or risk perspective. Pending DOE's response to NRC additional requests for information, the NRC staff goal is to complete resolution of all 9 KTI's (and 38 subordinate sub-issues) before DOE submits any license application for construction of a repository at the Yucca Mountain site.

Nuclear Regulatory Commission/Department of Energy Management Meeting Discussions on the High-Level Waste Repository Program

On April 27, 2000, the Division of Waste Management held a periodic (quarterly) meeting with the management of the Department of Energy (DOE), Office of Civilian Radioactive Waste Management, to discuss pending items of mutual interest related to their respective High-Level Waste (HLW) Repository Programs. The topics discussed were Quality Assurance, status of the HLW program, timely receipt of documents for the Nuclear Regulatory Commission staff, public outreach programs, and DOE's publication of the Site Recommendation Considerations Report in November or December 2000.

Department of Energy Siting Guidelines for Yucca Mountain

The Division of Waste Management staff received the Department of Energy's (DOE's) final proposed siting guidelines for a high-level radioactive waste repository at Yucca Mountain, Nevada. Consistent with the Nuclear Waste Policy Act of 1982, as amended, DOE will be seeking Nuclear Regulatory Commission concurrence on the guidelines within the next six months to allow DOE to utilize the final rule in the site recommendation process scheduled to begin this fall. In response to DOE's request, the staff has begun preparation of a Commission Paper to present the final concurrence package to the Commission for a decision. This Commission paper is expected to be completed within the next sixty days.

ENCLOSURE C

Office of Nuclear Regulatory Research
Items of Interest
Week Ending May 5, 2000

North American Electric Reliability Council Meeting

NRC representatives from RES and NRR met with the North American Electric Reliability Council (NERC) on April 14, 2000. The meeting was planned as a result of the Commissions' endorsement of the recommendations in SECY-99-129, "Effects of Electric Power Industry Deregulation on Electric Grid Reliability and Reactor Safety." One of the recommendations was to meet with NERC on the current status of grid issues and to obtain their assessment of the potential impact of electric grid reliability on the nuclear plants' offsite power systems.

The grid issues are legislative and technical. NERC discussed Congressional electric utility restructuring legislation being considered that creates an electric reliability organization (ERO), under the Federal Energy Regulatory Commission (FERC), to ensure the reliability of the interstate and international high voltage transmission grids. NERC, who is likely to be the ERO, has developed and reached stakeholder consensus agreement on reliability standards, but there is debate as to whether these will be implemented as good practices or enforceable standards. NERC also discussed operating events to illustrate that the present challenge is maintaining operating and post-disturbance voltage and frequency within limits on each of the three major grids in the United States under changing power market conditions that were created by deregulation of the electric power industry.

NERC provided their overall assessment of grid reliability for the summer of 2000. This assessment indicates that new capacity has been installed following 1998-1999 shortages and that there are improved means of managing grid congestion. However, there are reliability concerns in the Northeast because of weaknesses in New England and New York. The reliability concerns in New England are due to major equipment being out of service; the reliability concerns in New York are due to Indian Point 2 being out of service, impacts on power transfer limits internally and from Quebec, and administrative problems with power market rules. NERC's concerns for the future were the need for the legislation to give FERC the authority to create an ERO to set and enforce reliability standards; wider area analysis, monitoring, and coordination of power system operation to ensure the security of the transmission system; and the adequacy of the generation supply.

Draft Report on Risk Significance at D.C. Cook

RES has issued for comment a draft report, "Assessment of Risk Significance Associated with Issues Identified at D.C. Cook Nuclear Power Plant." Because of a large number of issues and increased regulatory activities related to Donald C. Cook Units 1 and 2 since August 1997, the Operating Experience Risk Analysis Branch of RES initiated an analysis to evaluate the risk significance of all identified issues at Cook. The RES staff conducted this assessment as part of the agency's Accident Sequence Precursor (ASP) Program. In performing this assessment, the staff applied the ASP methodology to estimate the risk significance associated with each issue as well as the integrated risk significance associated with the combined issues.

Out of 141 issues analyzed, five were identified as potential accident sequence precursors. The preliminary estimate of the total change in core damage frequency (CDF) resulting from all issues identified at Cook was approximately 4.7×10^-4/year for each of the Cook units. The risk significance of the combined impact of all containment-related issues was determined to be small. RES will publish the report as a NUREG after addressing comments from NRR and other external stake holders (e.g., licensees, Union of Concerned Scientists, Nuclear Energy Institute).

The dominant contributors to the core damage frequency (CDF) increase were several issues related to high-energy line breaks (HELBs), degraded seismic capacities, and potential pressure locking conditions in two motor-operated valves. The postulated HELB scenarios contributed a CDF of 3.9×10^-4/year. The CDF increase attributed to the degraded seismic capacity of block walls and the degraded seismic capacity of the emergency service water pump backwash system contributed a CDF greater than 4.2×10^-5/year. The medium and large loss of coolant-accident sequences associated with potential pressure locking conditions in the motor-operated valves located in the suction path to the residual heat removal pumps from the containment recirculation sump contributed a CDF of 3.6×10^-5/year.

Draft Regulatory Guide on 10 CFR 50.59

Draft Regulatory Guide DG-1095, "Guidance for Implementation of 10 CFR 50.59, 'Changes, Tests, and Experiments,'" was issued recently. DG-1095 is being developed to describe methods acceptable to the NRC staff for complying with the NRC's regulations with regard to the process for evaluating changes, tests, and experiments that a licensee wishes to make without prior NRC approval. This draft guide proposes to endorse a Nuclear Energy Institute document, Revision 1 of NEI 96-07, "Guidelines for 10 CFR 50.59 Evaluations," which is dated February 2000.

ENCLOSURE D

Incident Response Operations
Items of Interest
Week Ending May 5, 2000

State Outreach in Lansing, Michigan

On May 2, 2000, a member of IRO and 2 representatives from Region III conducted a State Outreach session in Lansing, Michigan for the States of Ohio, Indiana, and Michigan. Members of DOE, FEMA, HHS/FDA, EPA, and USDA also participated. The States were represented by their emergency management and radiological health organizations. Staff from the Palisades Nuclear Plant were also in attendance.

The Outreach sessions are part of the IRO program to educate state representatives in the use of available Federal resources in case of a nuclear power plant and/or radiological emergency in their state. This Outreach session was conducted, in part, as training for Federal participa-tion in the upcoming Palisades plume and post-plume exercises scheduled for June 6 and 7, 2000. (Contact: Eric Weinstein, 415-7559)

Preliminary Notifications

1. PNO-I-00-013, Geotech Environmental Incorporated, STOLEN PORTABLE GAUGE.
   
   
2. PNO-II-00-020, Veterans Affairs Medical Center, CONTAMINATED PACKAGE EXCEEDING REGULATORY LIMITS.
   
   
3. PNO-III-00-013A, Mallinckrodt, Inc., POTENTIAL FOR EXTREMITY EXPOSURE IN EXCESS OF 2.5 GRAY (250 RADS).
   
   
4. PNO-III-00-13B, Mallinckrodt, Inc., DISPATCH OF AIT FOR EXTREMITY EXPOSURES IN EXCESS OF 2.5 GRAY (250 RADS).

ENCLOSURE F

Office of Administration
Items of Interest
Week Ending May 5, 2000

List of Approved Spent Fuel Storage Casks: (TN-68) Addition (Part 72)

A final rule that adds the Transnuclear TN-68 cask system to list of approved spent fuel storage casks was published in the Federal Register on April 28, 2000 (65 FR 24855). This amendment allows holders of power reactor operating licenses to store spent fuel in the Transnuclear TN-68 cask system under a general license. The final rule becomes effective May 30, 2000.

List of Approved Spent Fuel Storage Casks: (Holtec HI-STORM 100) Addition (Part 72)

A final rule that adds the Holtec HI-STORM 100 cask system to list of approved spent fuel storage casks was published in the Federal Register on May 1, 2000 (65 FR 25421). This amendment allows holders of power reactor operating licenses to store spent fuel in the Holtec HI-STORM 100 cask system under a general license. The final rule becomes effective May 31, 2000.

Revision of the NRC Enforcement Policy (NUREG_1600)

A complete revision of the NRC Enforcement Policy was published in the Federal Register on May 1, 2000 (65 FR 25368). This revision furthers the NRC's intent to move the policy toward a more risk-informed and performance-based approach. The revised policy statement became effective May 1, 2000.

ENCLOSURE G

Chief Information Officer
Items of Interest
Week Ending May 5, 2000

Freedom of Information and Privacy Act Requests received during the 5-Day Period of April 28, 2000 through May 4, 2000:

ENCLOSURE I

Office of Human Resources
Items of Interest
Week Ending May 5, 2000

ENCLOSURE M

Office of Public Affairs
Items of Interest
Week Ending May 5, 2000

Media Interest

There was media interest in the meeting between NRC and Consolidated Edison Co. officials at headquarters May 3. The pre-decisional enforcement conference held at Headquarters May 3 with U.S. Enrichment Corp. also attracted media interest.

ENCLOSURE O

Office of the Secretary
Items of Interest
Week Ending May 5, 2000

Commission Correspondence

1. Letter to M. J. "Mike" Foster, Jr., Governor of Louisiana, dated April 26, 2000, concerns termination of the State of Louisiana's inspection Agreement with the NRC.

Federal Register Notices Issued

1. ACRS Subcommittee Meeting on Reliability and Probabilistic Risk Assessment; Notice of Meeting.
   
   
2. ACRS Subcommittee Meeting on Severe Accident Management; Notice of Meeting.
   
   
3. 10 CFR Part 76; Docket No. PRM-76-1; United Plant Guard Workers of America; Receipt of Petition for Rulemaking.

ENCLOSURE P

Region I
Items of Interest
Week Ending May 5, 2000

Maine Yankee Terminates Decommissioning Contract with Stone & Webster

On Thursday, May 4, 2000, Maine Yankee gave formal notice to Stone & Webster Engineering Corporation (Stone & Webster) that the utility was terminating the existing contract for the decommissioning of the Maine Yankee site. Earlier this week, Maine Yankee became aware of Stone & Webster's latest financial difficulties that have arisen from contracts other than Maine Yankee. In September 1998, Maine Yankee awarded Stone & Webster a $250 million fixed price contract to decommission the site and build a dry cask storage facility for the spent nuclear fuel currently located in the spent fuel pool. This legal action is intended to allow Maine Yankee to continue decommissioning work at the site without delays if Stone & Webster enters Chapter 11 bankruptcy proceedings. Maine Yankee is exploring different avenues for completion of the decommissioning, including a new arrangement with Stone & Webster. The project is currently about 25 percent complete and is scheduled for completion in 2004.

ENCLOSURE P

Region II
Items of Interest
Week Ending May 5, 2000

Carolina Power and Light Company - Harris Nuclear Plant

On May 5, the Deputy Regional Administrator met with the inspection team and attended an exit meeting as part of regional oversight during implementation of the Revised Reactor Oversight Program. The exit meeting was for inspection of the licensee's program in permanent plant modifications and 50.59 reviews.

Duke Energy Corporation -- McGuire Nuclear Station

On May 2, representatives from the Duke Energy Corporation were in the Region II office to attend a management meeting. The purpose of the meeting was to discuss plant performance at the McGuire Nuclear Station. The licensee discussed plant performance, engineering issues, and current initiatives.

Duke Energy Corporation -- Oconee Nuclear Station - License Renewal

On May 2, the Deputy Director of Division of Reactor Projects and the Technical Assistant of the Division of Reactor Safety of Region II participated in a Commission briefing on the staff's recommendation to proceed with the renewal of the Oconee operating licenses for an additional 20 years.

South Carolina Electric and Gas - Summer Nuclear Plant

On May 2, the Director of the Division of Reactor Safety visited the Summer plant to meet with the inspection team and attend the exit meeting for the Region's first performance of the Safety System Design Inspection since the start of full implementation of the Revised Reactor Oversight Program.

ENCLOSURE P

Region III
Items of Interest
Week Ending May 5, 2000

Performance Review for ABB Combustion Engineering Missouri Plant

NRC staff members met with ABB Combustion Engineering Nuclear Power, Inc., officials May 2 to discuss its recent Licensee Performance Review of the company's fuel processing facility at Hematite, Missouri. Regional Administrator Jim Dyer attended the meeting which was held at the Hematite, Missouri, facility. A press release was issued but there was no press interest.

Later in the week, on May 5, ABB's parent company, Westinghouse Electric Company, informed its employees at the ABB-CE Hematite, Missouri, facility that it would close the plant over the next 18 months and consolidate most of its U.S. fuel operations at the existing Westinghouse facility in Columbia, S.C. Westinghouse issued a press release and Region III issued a preliminary notification (PN) on the announcement.

Regional Administrator visits Missouri Sites

Regional Administrator Jim Dyer visited the Mallinckrodt, Inc. facility in Maryland Heights, Missouri, and Washington University in St. Louis, Missouri, May 3, on site visits.

Portable Gauge Informational Seminar Held

Region III sponsored the first of four informational seminars for portable gauge licensees on May 4 in Flint, Michigan. About 50 people attended the seminar. Additional seminars are scheduled May 9 in Columbia, Missouri, May 11 at the Region III office in Lisle, Illinois, and on May 16 in La Crosse, Wisconsin.

Region III Dispatches an AIT to Mallinckrodt, Inc. Facility in Maryland Heights, Missouri

Region III on May 5 dispatched an Augmented Inspection Team to review the circumstances surrounding possible radiation exposures above NRC limits to several workers at the Mallinckrodt, Inc. facility in Maryland Heights, Missouri. A press release was issued and there has been some press interest. The team expects to be at the facility for about a week. A public exit will be scheduled later this month and Region III will issue a press release announcing that public exit.

ENCLOSURE R

Office of Congressional Affairs
Items of Interest
Week Ending May 5, 2000