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SECY 99-081

March 18, 1999

Contact:  D. Lange, OEDO

ENCLOSURE A

Office of Nuclear Reactor Regulation
Items of Interest
Week Ending March 12, 1999

Meeting With Atomic Energy Control Board

On March 8, 1999, Robert Gallo, Chief of the Operator Licensing and Human Performance Branch, Frank Gillespie, Deputy Director, Division of Inspection Program Management, and members of their staff, met with their counterparts from the Canadian Atomic Energy Control Board. The meeting, which was held at the NRC's White Flint offices, included comparative discussions of the operator licensing organization and practices in the United States and Canada, with emphasis on licensed operator training program accreditation and evaluation, licensee involvement in the examination process, and the NRC examiner training and certification program.

Meeting with Nuclear Energy Institute (NEI) and Industry Representatives on Fuel Burnup Extension

On March 10, 1999, the staff of the Reactor Systems Branch in the Office of Nuclear Reactor Regulation and the NRC Office of Nuclear Regulatory Research (RES) met with representatives from the Nuclear Energy Institute (NEI ), Electric Power Research Institute, and utilities on the issue of licensing criteria related to fuel burnup extension. This meeting was a continuation of previous discussions on plans both at the NRC and in the industry to identify and address those technical issues that must be resolved in order to permit higher fuel burnup limits. NEI presented an approach to this issue which the staff will pursue with the industry in subsequent meetings. The RES staff also will conduct a facilitated meeting with experts on fuel design in the future to discuss this issue. Industry representatives were invited to participate in the RES meeting.

Wolf Creek

On October 27, 1998, a request was made under 10 CFR 50.80 to transfer control of Kansas City Gas & Electric's (KGE) and Kansas City Power & Light Company's (KCPL) possessory interests in the Wolf Creek Generating Station (WCGS) license to Westar Energy, a new company to be formed at the time of the merger. Currently, KGE and KCPL each own 47 percent of WCGS. Kansas Electric Power Cooperative (KEPCO) owns the remaining 6 percent. With the change, Westar would own 94 percent and KEPCO 6 percent.

On February 18, 1999, KEPCO filed a petition to intervene and requested a hearing regarding the anticompetitive consequences of the application. In response to the petition, on March 2, 1999, the Commission issued an Order to the applicants and petitioner involved in the Wolf Creek 50.80 merger request to file briefs by March 16, 1999, regarding the elimination of the NRC's practice of performing antitrust reviews. The Order was also published in the Federal Register, and copies were sent to DOJ, FERC, and NEI, for comment by March 31, 1999. The Commission will make its decision after review of the briefs/comments. The staff will continue with its review of the other areas (i.e., financial qualifications, decommissioning funding, technical qualifications, and foreign ownership) in parallel with the Commission's effort.

Diablo Canyon

On March 4, 1999, the NRC issued the draft SE for the Diablo Canyon ISTS. Diablo Canyon is one member of the Four Loop Owners Group (FLOG), along with Comanche Peak, Wolf Creek, and Callaway. The licensee will be submitting their comments in early April and the final SE is scheduled to be issued by April 30, 1999.

LaSalle Units 1 and 2

On March 8, 1999, Commonwealth Edison announced a revised restart schedule for LaSalle Unit 2 that moves the date for mode change up by approximately one month. The licensee had previously planned to enter startup mode on May 2, 1999, and be at full power by June 1, 1999. However, due to efficiencies gained during the completion of bulk maintenance and modifications, the licensee projects that it will change modes on April 7, 1999, and be at full power by April 19, 1999. Remaining activities consist of testing and core reload. The unit has been shut down since September 1996. The NRC will conduct an operational readiness assessment inspection and meet with the licensee prior to restart.

ENCLOSURE B

Office of Nuclear Material Safety and Safeguards
Items of Interest
Week Ending March 12, 1999

Comparability Exercise at Babcock and Wilcox Technologies

On March 1-5, 1999, the Division of Fuel Cycle Safety and Safeguards conducted a Comparability Performance Evaluation Review (CPER) of the 10 CFR Part 73 physical protection program at Babcock and Wilcox Technologies. The Office of Nuclear Reactor Regulation provided the team leader and expert support from their Operational Safeguards Response Evaluation program. The purpose of the CPER was to conduct performance testing of all detection, assessment, communications, and response programs. In addition, comparability with the Department of Energy programs for the protection of similar materials was examined. The preliminary results of the CPER provide insight into performance, technical, regulatory, legal, and comparability issues.

Waste Management '99 Conference

During the week of February 28, 1999, staff from the Division of Waste Management attended the Waste Management '99 Conference in Tucson, Arizona. Staff presented the following papers: (1) Overview of the Nuclear Regulatory Commission's (NRC's) Efforts to Develop Guidance on Decommissioning; and (2) NRC Plans Rulemaking on Clearance of Materials and Equipment Having Residual Radioactivity. Staff also participated in a panel discussion entitled "How Clean is Clean" and attended a meeting of the Radioactive Waste Committee of the American Society of Mechanical Engineers. In addition, staff visited with several conference exhibitors to observe demonstrations of decommissioning and clearance cost estimating software, and to discuss survey procedures/techniques for clearing material and equipment.

The Minerals, Metals, and Materials Society Conference

On February 28 - March 4, 1999, staff from the Division of Waste Management attended the 128^th annual meeting of The Minerals, Metals, and Materials Society in San Diego, California. The conference consisted of international technical symposia committed to the advancement of metallurgy and materials science providing industry, science, and research with a venue from which to learn and share the latest comprehensive worldwide technological advancements. The staff's primary goal in participating in the conference was to gain insights into materials design, processing, fabrication, and material behavior of the proposed Department of Energy's (DOE ) waste package for long-term disposal of high-level waste in the proposed mined geologic repository at Yucca Mountain. The relevant topics included long-term stability and mechanical behavior of zircaloy cladding, nickel-base, titanium, and steel alloys, and advanced ceramic coatings on steel, titanium, and nickel-base alloys. Staff also participated in planning committees for future symposia on nuclear materials and corrosion, and environmental effects on materials applicable to the DOE waste package.

Interagency Steering Committee on Radiation Standards

On March 10, 1999, the Interagency Steering Committee on Radiation Standards (ISCORS) met. Representatives were present from the Division of Waste Management, Environmental Protection Agency (EPA ), Department of Energy (DOE), Department of Defense, Office of Science & Technology Policy, Occupational Safety & Health Administration, Food and Drug Administration, and other federal agencies. Two invited lecturers gave presentations. The first was a discussion of the Environmental Law Institute report on "Similarities and Differences in Chemical and Radiation Risk Management" by Paul Locke, John Hopkins School of Public Health; and the second was the "Government Accounting Office (GAO ) Study on Commercial Low-Level Waste Management and Disposal" by Dwayne Weigel, GAO. Other general topics discussed included an update on the Nuclear Regulatory Commission's (NRC's) plans for the clearance rule, the high-level waste proposed rule, the implementation of the NRC final rule on radiological criteria for license termination, EPA's Federal Guidance Report 13, Department of State's international source management proposal, and upcoming international meetings to be held in Rome, May 1999, and in Washington D.C., November 1999. Each subcommittee reported on its 1999 activities. ISCORS members reached consensus on the draft annual summary report which will be available prior to the next meeting. The next ISCORS meeting will be open to the public on June 10, 1999, at NRC Headquarters.

ENCLOSURE C

Office of Nuclear Regulatory Research
Items of Interest
Week Ending March 12, 1999

IPEEE Senior Review Board Meeting

The Senior Review Board (SRB) for the Individual Plant Examination of External Events (IPEEE) program met on March 9-10, 1999, to review licensees' responses to requests for additional information (RAIs) for the following seven plants: Beaver Valley 1 and 2, Fitzpatrick, Millstone 2, North Anna, Surry and Vogtle. In addition, the SRB reviewed the revised IPEEE fire analysis for Prairie Island. The SRB is comprised of RES and NRR staff and RES consultants (Sandia National Laboratories) with probabilistic risk assessment expertise in seismic, fire, and high winds, floods and other (HFO) external events. The overall purpose of the reviews is to determine if the IPEEE submittals meet the intent of Supplement 4 to Generic Letter 88-20. In the fire area, the SRB concluded that additional information is needed for each of the plants discussed except Beaver Valley 1 and 2. In the seismic and HFO areas, follow-up RAIs are not needed for any of the plants discussed. Final Technical Evaluation Reports (TERs) and Staff Evaluation Reports (SERs) will be completed for Beaver Valley 1 and 2. Final TERs and SERs for the remaining plants will completed following a review of the licensees' responses to the RAIs.

ENCLOSURE D

Incident Response Operations
Items of Interest
Week Ending March 12, 1999

PRELIMINARY NOTIFICATIONS:

1. PNO-I-99-013, GAI Consultants, STOLEN PORTABLE DENSITY GAUGE FROM LICENSEE'S TRUCK
   
   
2. PNO-III-99-011, St. John's Mercy Medical Center, MEDICAL MISADMINISTRATION

ENCLOSURE F

Office of Administration
Items of Interest
Week Ending March 12, 1999

Acquisition Training

On March 11, 1999, the Division of Contracts and Property Management conducted its Acquisition for Project Managers module, "Developing Proposal Evaluation Criteria." This module focuses on the importance of developing appropriate technical evaluation factors (e.g., technical approach, past performance, experience, key personnel) for a procurement action and the relationship of technical and cost evaluation.

Public Meetings on Proposed Licensing Criteria for the Disposal of High-Level Radioactive Wastes in a Proposed Geologic Repository at Yucca Mountain, Nevada

A document announcing public meetings in the State of Nevada to discuss issues related to the proposed rule that would establish licensing criteria for disposal of spent nuclear fuel and high-level radioactive wastes in the proposed geologic repository at Yucca Mountain, Nevada was published in the Federal register on March 4, 1999 (64 FR 10405). The criteria are intended to address the performance of the repository system at Yucca Mountain. The meetings will be held on March 23 and March 25, 1999.

Policy and Procedure for NRC Enforcement Actions; Interim Enforcement Policy for Generally Licensed Devices Containing Byproduct Material (10 CFR 31.5)

A document that amends the NRC's Enforcement Policy by establishing an interim enforcement policy for generally licensed devices containing byproduct material was published in the Federal Register on March 9, 1999 (64 FR 11508). The amendment describes the policy the NRC will follow to exercise enforcement discretion for certain violations of the requirements in 10 CFR 31.5. The amendment to the Enforcement Policy became effective March 9, 1999.

ENCLOSURE G

Chief Information Officer
Items of Interest
Week Ending March 12, 1999

Freedom of Information and Privacy Act Requests received during the 5-Day Period of March 5, 1999 through March 11, 1999:

ENCLOSURE I

Office of Human Resources
Items of Interest
Week Ending March 12, 1999

ENCLOSURE M

Office of Public Affairs
Items of Interest
Week Ending March 12, 1999

Media Interest

Gannett News is printing on a story on nuclear waste disposal and the anniversary of the TMI accident.

The Associated Press in Harrisburg is planning a story on the anniversary of TMI.

ENCLOSURE N

Office of International Programs
Items of Interest
Week Ending March 12, 1999

Radiological Incident in Peru

On March 8, OIP responded to a report of a radiological incident in Peru caused by an unshielded iridium source. OIP made a number of inquiries about the incident and facilitated a request by the Peruvian nuclear regulatory authority for assistance in providing a dose calculation estimate, which NMSS has performed.

Gore-Primakov Commission

In preparation for the March 23-25, 1999, meetings of the U.S.-Russia Joint Commission on Economic and Technological Cooperation (known as the Gore-Primakov Commission, or GPC), OIP staff has attended meetings of the GPC Points of Contact, of the Deliverables Committee, and of the Energy Policy Committee.

One of the most prominent activities in the nuclear area which is being carried out under the Commission's aegis is the conversion of the reactor cores of Russia's three plutonium production reactors to a design that does not produce weapons-grade plutonium. At the September 1997 meeting of the Gore-Chernomyrdin Commission (the predecessor of the GPC), NRC Chairman Jackson and Russian Gosatomnadzor Chairman Vishnevsky signed a "Joint Statement Concerning Enhancement of Regulatory Oversight of Core Conversion Activities," and noted that their agencies would enter into implementing agreements as appropriate to accomplish their objectives. At the GPC NRC and GAN will sign an "Arrangement for the Exchange of Information and Cooperation to Enhance Regulatory Oversight of Core Conversion Activities."

As a result of commitments made by Presidents Yeltsin and Clinton at their summit in Moscow in September 1998, new directions in the area of nuclear safety and security cooperation have been approved, including the establishment of a Nuclear Committee at the Gore-Primakov Commission. This committee will consider a number of broad issues related to nuclear economic, scientific, and technological cooperation; will find solutions to existing problems and develop new directions and mechanisms of cooperation aimed at improving U.S.-Russian cooperation, and will facilitate cooperation between Russian ministries and U.S. agencies in the nuclear area. Participants in the Committee will include senior U.S. and Russian officials having expertise in nuclear material and energy-related matters.

ENCLOSURE O

Office of the Secretary
Items of Interest
Week Ending March 12, 1999

Commission Correspondence

1. Letter to Deborah Katz, Citizens Awareness Network, Inc., and James Perkins, New England Coalition on Nuclear Pollution, dated March 3, 1999, concerns petitions to intervene and request for hearing on the License Termination Plan for Yankee Nuclear Power Station (incoming dated February 26, 1999 and February 24, 1999 also released).
   
   
2. Letter to Representative John Boehner, dated March 3, 1999, concerns the use of Project Labor Agreements (incoming dated February 2, 1999 also released).
   
   
3. Letter to Saulius Kutas, Republic of Lithuania, dated March 1, 1999, concerns an upcoming conference on "Nuclear Safety of Ignalina NPP" (incoming dated January 13, 1999 also released).
   
   
4. Letter to Dr. Juan Manuel Kindelan, Consejo de Seguridad Nuclear, dated March 1, 1999, expresses appreciation for the book Marie Curie and Radioactivity (incoming dated December 1998 also released).
   
   
5. Letter to W. George Hairston III, Southern Nuclear Operating Co., Inc., dated March 1, 1999, concerns the application of the recently developed "streamlined hearing process" to other licensing actions, such as license renewal (incoming dated January 25, 1999 also released).
   
   
6. Letter to Kenneth LaValle, Fred Thiele, Jr., and Patricia Acampora, New York legislature, responds to concerns about the operating history of the Millstone facility (incoming dated February 2, 1999 also released).
   
   
7. Letter to Representatives Stephen Horn, Dennis Kucinich, and Donald Manzullo, dated February 25, 1999, concerns the potential Year 2000 problem at nuclear power plants (incoming dated December 17, 1998 also released).
   
   
8. Letter to the President of the U.S., dated December 31, 1998, provides the Annual Report for 1997of the U.S. Nuclear Regulatory Commission.

Federal Register Notices Issued

1. Designation of Presiding Officer in the hearing of Atlas Corporation, ASLBP No. 99-763-05-MLA.
   
   
2. Memorandum and Order, CLI-99-06, In the Matter of North Atlantic Energy Service Corp., et al.
   
   
3. Notice of a Proposed Agreement with the State of Ohio.
   
   
4. Proposed rule; Use of alternative source terms at operating reactors.

ENCLOSURE P

Region I
Items of Interest
Week Ending March 12, 1999

Susquehanna Unit 1: Failure of RHR Injection Valve Stem

This updates previously provided information about RHR injection control valves.

On Susquehanna Unit 1, PP&L discovered that the valve disk of the "B" residual heat removal (RHR) injection control valve had separated from the valve stem. The stem was found severed at the top thread where the stem would thread into the valve disk. The valve disk had failed in the closed position, which would have prevented injection into the vessel from the "B" loop of RHR. On Susquehanna Unit 2, PP&L discovered a crack in the valve stem of the "A" RHR injection control valve that effected 75% of the cross section of the valve stem at the valve stem/disk connection. The internals for both the effected Unit 1 "B" and Unit 2 "A" RHR injection control valves have been replaced. The Unit 1 "A" and the Unit 2 "B" RHR injection control valves were ultrasonically inspected and determined to be acceptable. Both the Unit 1 and 2 RHR systems are currently considered to be operable.

PP&L preliminarily has concluded that the cracking failure on the Unit 1 valve was intergranular in nature and the propagating mechanism may be hydrogen-assisted, with an influence of stress corrosion cracking. PP&L preliminarily concluded that the initiating site for the crack was related to the high level of mechanical stress associated with the 2200 ft-lb of torque used to assemble the stem into the disk. The Unit 2 valve is still undergoing analysis.

PP&L has formed several teams to investigate the root causes of the valve stem failures as well as to assess the PP&L response to these failures. PP&L has kept the Region I and NRC Headquarters staffs informed of the status of the valves and the PP&L investigation via conference calls on March 1 and March 10, 1999. PP&L expects to complete its investigations of this event by about March 20, 1999. NRC Regional and Headquarters staff have performed limited inspections and are closely monitoring PP&L activities for potential generic implications. Additional NRC inspection is planned following completion of the PP&L investigation.

Meeting with Radiation Safety Officers from Broad Scope Research and Development Programs to Discuss 10 CFR 32.72(a)(2)

On March 8, 1999, Region I staff met with Radiation Safety Officers (RSOs) from six broad scope licensees who manufacture radioactive drugs for human use research studies. The RSOs requested the meeting to discuss their concerns regarding the requirements of 10 CFR 32.72(a)(2), which requires that an applicant for authorization to manufacture radioactive drugs for human use submit evidence to the NRC that they are registered or licensed with the U.S. Food and Drug Administration (FDA) as a drug manufacturer. According to the RSOs, the FDA will not license them as drug manufacturers if they are solely manufacturing radioactive drugs for human use research purposes, and that alternatives provided in the regulation are not practical.

The licensees proposed to submit a request for exemption from this requirement and the staff agreed to give the request careful consideration.

NRC Staff Meeting with Connecticut Yankee Atomic Power Company

On March 10, 1999, Don Davis, Chairman, President and Chief Executive Officer of Connecticut Yankee Atomic Power Company (CY), Russ Mellor, Vice-President, Operations and Decommissioning and members of his staff met with James Wiggins, Deputy Regional Administrator, George Pangburn, Director, Division of Nuclear Materials Safety, and members of his staff. Tom Fredrichs, Project Manager, represented the Office of Nuclear Reactor Regulation. The licensee had requested the meeting to discuss the status of the Haddam Neck facility and CY's transition plans for a Decommissioning Operations Contractor. The licensee expects to award a decommissioning contract by early April 1999 and complete the transition within the next several months. Readiness self-assessments for each department and mid-course self-assessments were outlined as some of the tools that CY expects to use during the transition period. Regional inspection of the decommissioning and the transition to using a Decommissioning Operations Contractor continues.

March Meeting of the Maine Yankee Community Advisory Panel

On the evening of March 11, 1999, a representative from the Division of Nuclear Materials Safety attended a public meeting of the Community Advisory Panel (CAP) on Decommissioning Maine Yankee. Invited guests at this meeting were four members of the Connecticut Yankee Community Decommissioning Advisory Committee (CDAC). In addition to the twelve CAP members and guests, the meeting was attended by over forty members of the public, local media, and Maine Yankee employees and contractors. Primary discussions at this meeting involved donation of an approximate 200-acre parcel of the site to a non-profit organization, decommissioning and regulatory updates, and an update on a planned ISFSI (Independent Spent Fuel Storage Installation) for the site. Significant public comments were received on the land donation issue. The CAP Chairman requested that, at the next meeting on April 29, 1999, the NRC provide a discussion of fuel storage security issues and that representatives from NRC and EPA discuss the NRC license termination annual dose limit of 25 millirem versus the EPA standard of 15 millirem.

ENCLOSURE P

Region II
Items of Interest
Week Ending March 12, 1999

Florida Power and Light Company - St. Lucie Nuclear Power Plant

On March 8, 1999 at 1:00 p.m., a management meeting was conducted in the Region II Office with representatives of FP&L's St. Lucie Nuclear Power Plant. The purpose of the meeting was to discuss recent operator licensing training issues. The licensee presented the results of their operator training program self-assessment.

Region II Information Session on the Agency's Affirmative Employment Plan

On March 8 and 9, 1999, Ms. B. Williams, Affirmative Program Employment Manager, SBCR, visited the Region II Office. Ms. Williams met with Region II senior management and the Regional EEO Committee to discuss the Agency's Affirmative Employment Plan and its relationship to the Regional Operating Plan. She also conducted an informational session on the Mentoring Program.

ENCLOSURE P

Region III
Items of Interest
Week Ending March 12, 1999

Management Meeting with Commonwealth Edison Company - Dresden

On March 10, 1999, a management meeting was conducted in Morris, Illinois, between management representatives from Commonwealth Edison Company and members of the NRC staff. The meeting discussion focused on the current status of plant operations at the Dresden Nuclear Power Plant. NRC Region III Regional Administrator Jim Dyer participated in the meeting.

FEMA Y2K Steering Committee Workshop

On March 10, 1999, NRC Region III participated in a Federal Emergency Management Agency Region 5 Y2K Steering Committee workshop in Rosemont, Illinois. The purpose of the workshop was to review and discuss issues related to regional preparation and response to the possible consequences arising from Y2K computer conversion problems. Workshop participants included state, local and federal government representatives.

ENCLOSURE P

Region IV
Items of Interest
Week Ending March 12, 1999

Commissioner Merrifield's Visit to Comanche Peak

On March 9, 1999, Commissioner Jeffrey S. Merrifield visited Comanche Peak Steam Electric Station in Glen Rose, Texas, and met with the resident inspector staff and members of the licensee's organization. Mr. Ellis Merschoff, Regional Administrator, accompanied Commissioner Merrifield on his visit. The Commissioner also visited the Region IV office in Arlington, Texas, on March 10.

ENCLOSURE R

Office of Congressional Affairs
Items of Interest
Week Ending March 12, 1999