[Federal Register: March 11, 2005 (Volume 70, Number 47)]
[Notices]
[Page 12245-12246]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr11mr05-108]
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NUCLEAR REGULATORY COMMISSION
[Docket Nos. 71-9010 and 71-9270; EA-05-045]
In the Matter of NAC International, Inc., and All Other Persons
Who Obtain Safeguards Information Described Herein
AGENCY: Nuclear Regulatory Commission.
ACTION: Issuance of Order imposing requirements for the protection of
certain safeguards information.
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FOR FURTHER INFORMATION CONTACT: Cynthia Barr, Project Manager,
Licensing and Inspection Directorate, Spent Fuel Project Office, Office
of Nuclear Material Safety and Safeguards, U.S. Nuclear Regulatory
Commission, Rockville, MD 20852. Telephone: (301) 415-4015; fax number:
(301) 415-8555; e-mail CSB2@nrc.gov.
SUPPLEMENTARY INFORMATION:
I
In accordance with the Atomic Energy Act of 1954 and 10 CFR Part
71, NAC International, Inc., (NAC) holds Certificate of Compliance Nos.
9010 for the Model No. NLI 1/2 and 9270 for the Model No. NAC-UMS
transportation packages. In a phone call on January 27, 2005, NAC
agreed to meet with the U.S. Nuclear Regulatory Commission (NRC) staff
with Safeguards Information security measures in place. The purpose of
the meeting(s) is to discuss the NRC's engineering evaluations
performed to evaluate the safety and security of a single NLI 1/2 and
an array of NAC-UMS transportation packages. The meeting(s) will be
closed to the public.
Following the September 11, 2001, simultaneous terrorist events at
the World Trade Center (WTC) in New York City and at the Pentagon in
Virginia, the U.S. Government issued a nationwide alert for the
potential of additional terrorist acts within the United States. The
NRC initiated a comprehensive review of all NRC-licensed activities to
evaluate those activities against threats. As part of that review, U.S.
Nuclear Regulatory Commission initiated an engineering study to assess
the consequences of a terrorist event, similar in magnitude to the WTC
and Pentagon, on spent nuclear fuel transportation packages. The NRC
staff intends to discuss specific information on the engineering
evaluations performed for the NLI 1/2 and NAC-UMS transportation
packages with NAC. However, the Commission has determined that the
material to be discussed at the meeting(s) is Safeguards Information,
will not be released to the public, and must be protected from
unauthorized disclosure. Therefore, the Commission is imposing the
requirements, as set forth in 10 CFR 73.21, so that NAC can receive
this information for review and comment at the closed meeting. This
Order also imposes requirements for the protection of Safeguards
Information in the hands of any person,\1\ whether or not a Licensee of
the Commission, who produces, receives, or acquires Safeguards
Information.
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\1\ Person means (1) any individual, corporation, partnership,
firm, association, trust, estate, public or private institution,
group, government agency other than the Commission or the
Department, except that the Department shall be considered a person
with respect to those facilities of the Department specified in
section 202 of the Energy Reorganization Act of 1974 (88 Stat.
1244), any State or any political subdivision of, or any political
entity within a State, any foreign government or nation or any
political subdivision of any such government or nation, or other
entity; and (2) any legal successor, representative, agent, or
agency of the foregoing.
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II
The Commission has broad statutory authority to protect and
prohibit the unauthorized disclosure of Safeguards Information. Section
147 of the Atomic Energy Act of 1954, as amended, grants the Commission
explicit authority to ``issue such orders, as necessary to prohibit the
unauthorized disclosure of safeguards information * * *''. This
authority extends to information concerning special nuclear material,
source material, and byproduct material, as well as production and
utilization facilities. Licensees and all persons who produce, receive,
or acquire Safeguards Information must ensure proper handling and
protection of Safeguards Information to avoid unauthorized disclosure
in accordance with the specific requirements for the protection of
Safeguards Information as contained in 10 CFR 73.21. The Commission
hereby provides notice that it intends to
[[Page 12246]]
treat all violations of the requirements contained in 10 CFR 73.21,
applicable to the handling and unauthorized disclosure of Safeguards
Information, as serious breaches of adequate protection of the public
health and safety and the common defense and security of the United
States. Access to Safeguards Information is limited to those persons
who have established the need-to-know the information, and are
considered to be trustworthy and reliable. A need-to-know means a
determination by a person having responsibility for protecting
Safeguards Information that a proposed recipient's access to Safeguards
Information is necessary in the performance of official, contractual,
or duties of employment. Licensees and all other persons who obtain
Safeguards Information must ensure that they develop, maintain and
implement strict policies and procedures for the proper handling of
Safeguards Information to prevent unauthorized disclosure, in
accordance with the requirements in 10 CFR 73.21. NAC must ensure that
all contractors whose employees may have access to Safeguards
Information either adhere to the licensee's policies and procedures on
Safeguards Information or develop, maintain and implement their own
acceptable policies and procedures. NAC remains responsible for the
conduct of their contractors. The policies and procedures necessary to
ensure compliance with applicable requirements contained in 10 CFR
73.21 must address, at a minimum, the following: the general
performance requirement that each person who produces, receives, or
acquires Safeguards Information shall ensure that Safeguards
Information is protected against unauthorized disclosure; protection of
Safeguards Information at fixed sites, in use and in storage, and while
in transit; correspondence containing Safeguards Information; access to
Safeguards Information; preparation, marking, reproduction and
destruction of documents; external transmission of documents; use of
automatic data processing systems; and removal of the Safeguards
Information category.
In order to provide assurance that NAC is implementing prudent
measures to achieve a consistent level of protection, to prohibit the
unauthorized disclosure of Safeguards Information, NAC shall implement
the requirements identified in 10 CFR 73.21. The Commission recognizes
that NAC may have already initiated many of the measures set forth in
10 CFR 73.21 to this Order for handling of Safeguards Information in
conjunction with a previous NRC Order. In addition, pursuant to 10 CFR
2.202, I find that in light of the common defense and security matters
identified above, which warrant the issuance of this Order, the public
health, safety and interest require that this Order be effective
immediately.
III
Accordingly, pursuant to Sections 53, 57, 62, 63, 81, 161b, 161i,
161o, 182 and 186 of the Atomic Energy Act of 1954, as amended, and the
Commission's regulations in 10 CFR 2.202, and 10 CFR Part 71, it is
hereby ordered, effective immediately, that NAC international, Inc.,
and all other persons who produce, receive, or acquire the safeguards
information described above, and any related safeguards information,
shall comply with the requirements of 10 CFR 73.21.
The Director, Office of Nuclear Materials Safety and Safeguards,
may in writing, relax or rescind any of the above conditions upon
demonstration by the licensee.
IV
In accordance with 10 CFR 2.202, NAC must, and any other person
adversely affected by this Order may, submit an answer to this Order,
and may request a hearing on this Order, within twenty (20) days of the
date of this Order. Where good cause is shown, consideration will be
given to extending the time to request a hearing. A request for
extension of time in which to request a hearing must be made in writing
to the Director, Office of Nuclear Material Safety and Safeguards, U.S.
Nuclear Regulatory Commission, Washington, DC 20555, and include a
statement of good cause for the extension. Any request for a hearing
shall be submitted to the Secretary, Office of the Secretary of the
Commission, U.S. Nuclear Regulatory Commission, ATTN: Rulemakings and
Adjudications Staff, Washington, DC 20555. Copies also shall be sent to
the Director, Office of Nuclear Material Safety and Safeguards, U.S.
Nuclear Regulatory Commission, Washington, DC 20555, to the Assistant
General Counsel for Materials Litigation and Enforcement at the same
address, and to NAC if the hearing request is by a person other than
NAC. Because of possible disruptions in delivery of mail to United
States Government offices, it is requested that requests for hearing be
transmitted to the Secretary of the Commission either by means of
facsimile transmission to 301-415-1101 or by e-mail to
hearingdocket@nrc.gov and also to the Office of the General Counsel
either by means of facsimile transmission to 301-415-3725 or by e-mail
to OGCMailCenter@nrc.gov. If a person other than NAC requests a
hearing, that person shall set forth with particularity the manner in
which his interest is adversely affected by this Order and shall
address the criteria set forth in 10 CFR 2.714(d).
If a hearing is requested by NAC or a person whose interest is
adversely affected, the Commission will issue an Order designating the
time and place of any hearing. If a hearing is held, the issue to be
considered at such hearing shall be whether this Order should be
sustained.
Pursuant to 10 CFR 2.202(c)(2)(i), NAC may, in addition to
demanding a hearing, at the time the answer is filed or sooner, move
the presiding officer to set aside the immediate effectiveness of the
Order on the ground that the Order, including the need for immediate
effectiveness, is not based on adequate evidence but on mere suspicion,
unfounded allegations, or error. In the absence of any request for
hearing, or written approval of an extension of time in which to
request a hearing, the provisions specified in Section III above shall
be final twenty (20) days from the date of this Order without further
order or proceedings. If an extension of time for requesting a hearing
has been approved, the provisions specified in Section III shall be
final when the extension expires if a hearing request has not been
received. A request for hearing shall not stay the immediate
effectiveness of this Order.
Dated this 3rd day of March, 2005.
For the Nuclear Regulatory Commission.
Margaret V. Federline,
Deputy Director, Office of Nuclear Material Safety and Safeguards.
[FR Doc. 05-4795 Filed 3-10-05; 8:45 am]
BILLING CODE 7590-01-P