IR 05000327/1992037

Forwards Enforcement Conference Summary Held on 930113 Re Insp Repts 50-327/92-37 & 50-328/92-37.Meeting Concerned Activities Authorized for Facility.Presentation Beneficial in Clarifying Reasons for Continuing Problems in Program

ML20128G699
Person / Time
Site:	Sequoyah
Issue date:	01/29/1993
From:	Stohr J NRC OFFICE OF INSPECTION & ENFORCEMENT (IE REGION II)
To:	Medford M TENNESSEE VALLEY AUTHORITY
References
EA-92-251, NUDOCS 9302160084
Download: ML20128G699 (24)

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. JAN 2 91993 Docket Nos. 50-327, 50-328 '

License Nos. DPR-77, DPR-79 EA 92 251 Tennessee Valley Authority AITN: Dr. Mark 0. Medford Vice President, Nuclear Assurance, Licensing & fuels 3B Lookout Place 1101 Market Street Chattanooga, TN 37402-2801 Gentlemen:

SUBJECT: ENTORCEMENT CONFERENCE SUMMARY (NRC INSPECTION REPORT NOS. 50 327/92-37 AND 50-328/92-37)

This letter refers to the Enforcement Conference held at our request on January 13, 1993. This meeting concerned activities authorized for your Sequoyah facility. Your presentation was beneficial in clarifying the reasons for the continuing problems in your Safeguards Information Program and giving-us an understanding of your commitments for corrective actions to preclude recurrence. A list of attendees, conference summary and a copy of your-handout are enclosed. We are continuing our review of these issues to determine the appropriate enforcement actio In accordance with Section 2.790 of the NRC's " Rule of Practice," Part 2, Title 10, Code of federal Regulations, a copy of this letter and its enclosures will be placed in the NRC Public Document Roo

Sincerely,

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J. Philip Stohr, Director Division of Radiation Safety and Safeguards Enclosures: List of Attendees Conference Summary Handout-cc w/encls:

J. B. Waters, Chairman Tennessee Valley Authority ET 12A-400 West Summit Hill Drive Knoxville, TN 37902-(cc w/encls cont'd - See page 2)

9302160004 930129 PDR ADOCK 05000327-O PDR ,-

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Tennessee Valley Authority

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2 JAN 2 91993 (ccw/enclscont'd)-

- J. R. Bynum, Vice President Nuclear Operations _

Tennessee Valley Authority 3B Lookout Place 1101 Maiket Street Chattanooga, TN 37402-2801 Mark J. Burzynski, Manager Nuclear Licensing and Regulatory Affairs Tennessee Valley Authority 5B Lookout Place 1101 Market Street Chattanooga, TN 37402-2801 J. Wilson, Site Vice President Sequoyah Nuclear Plant Tennessen Valley Authority P. O. Box 2000 Soddy-Daisy, TN 37379 Marci Cooper Site Licensing _ Manager Sequoyah Nuclear Plant P. O. Box 2000 Soddy-Daisy, TN 37379

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TVA Representative Rockville Office 11921 Rockville Pike Suite 402 Rockville. MD 20852 General Counsel Tennessee Valley Authority ET llH-400 West Summit Hill Drive Knoxville,'TN 37902 County Judge llamilton County _ Courthouse Chattanooga, TN 37402

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Enclosure 1 List of Attendees LS.- Nuclear Requlatory Commission Region 11 D. Collins, Chiaf, Nuc' storial Safety and Safeguards Branch C. Evans, Regional Cot . o G. Jenkins, Director, Enforcement and Investigat. ion Coordination Staff P. Kellogg, Chief, Division of Reactor Projects, Section 4A -

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0. Masnyk, Safeguards Specialist D. McGuire, Chief, Safeguards Fection L. Reyes, Deputy Regional Administrator J. Stohr, Director, Division of Radiation Safety and Safeguards L. Stratton, Physical Security Specialist D. Thompson, Physical Security Inspector W. Tobin, Senior Safeguards Inspector B. Uryc, Senior Enforcement Specialist B. Wilson, Chief, Division of Reactor Projects, Branch 4 Office of Enforcement R. Rosano, Senior Enforcement Specialist Tennessee Valley Authority J. Bynum, Vice President, Nuclear Operations M. Burzynski, Corporate Licensing Manager R. Fenech, Site Vice President, Sequoyah T. Flippo, Site Quality Manager C. Kelley, Corporate Security Manager M. Medford, Vi'.e President, Nuclear Assurance J. Setliffe, site Security Manager R. Thompson, Compliance Licensing Manager

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Enclosure 2 Enforcement Conference Summary An Enforcement Conference was held on January 13, 1992, at the Region 11 office to discuss the recurring problems relating to the protection of Safeguards Information at the Sequoyah Nuclear Plant, and the licensee's failure to log all of these events in the Safeguards Quarterly lo The Deputy Regional Administrator expressed concern with the continuing -

problems in the Safeguards Information Program and with the licensee's failure to recognize the problems and their significance. The Director of the Enforcement and Investigation Coordination Staff explained the enforcement process and those portions of the policy pertinent to this conference. The Director for the Civision of Radiation Safety and Safeguards recapped the NRC's understanding of the apparent violations and the regulatory requirement Licensee officials provided a briefing outlining the causes for the apparent violations and the implemented and proposed corrective measure This briefing is contained in Enclosure 3 to this report.

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ENCLOSURE 3 TVA/NRC ENFORCEMENT CONFERENCE -

SGI CONTROL EVENTS IR 327, 328/92-37 JANUARY 13,1993

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TENNESSEE VALLEY AUTHORITY SEQUOYAH NUCLEAR PLANT ENFORCEl\ENT CONFERENCE PRESENTATION = .

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SGI CONTROL EVENTS:-

JANUARY 13,.1993 f

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AGENDA INTRODUCTION R. FENECII (Site V.P.)

I DISCUSSION OF SAFEGUARDS EVENTS C.KELLEY (Corp. Sec. Mgr.)

• SUMMARY OF EVENTS

• REPORTABILITY

• TRENDING & SELF-ASSESSMENT g

• ROOT CAUSES

• CORRECTIVE ACTIONS

• DISCUSSION OF SPECIFIC EVENTS III. QA INVOLVENENT T. FLIPPO (QA Mgr.)

IV. REGULATORY PERSPECTIVE M. BURZYNSKI (Corp. Lic. Mgr.) CLOSING REMARKS / CONCLUSIONS R. FENECII

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DISCUSSION OF SAFEGUARDS EVENTS SUhBIARY OF EVENTS TIME FRAME

• 8 EVENTS IN 1991 e 10 EVENTS IN 1992 g

18 EVENTS FALL INTO 6 CATEGORIES

• 6 UNSECURED CABINETS

• 2 FAULTY STORAGE EQUIPMENT

• 1 FAILURE TO PROPERLY MARK

• 7 FAILURE TO ADEQUATELY PROTECT

• 1 FAILURE TO UPDATE SGI ACCESS LIST

• 1 LATE ' LOG ENTRIES 3 I

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DISCUSSION OF SAFEGUARDS EVENTS REPORTABILITY DEVELOPMENT OF TVA REPORTING STANDARDS

• PARTICIPATION IN SOUTII EAST NUCLEAR SECURITY ASSOCIATION (SENSA)

• NRC GUIDANCE - GENERIC LETTER 91-03 IIOW REPORTABILITY STANDARDS OPERATE

• SIGNIFICANT SGI (LOST /COh1 PROMISED) = 1 IIr CALL

• SIGNIFICANT SGI (NOT LOST /NOT COMPROMISED) = LOGGED l

• NON-SIGNIFICANT SGI (LOST / COMPROMISED) = LOGGED

• NON-SIGNIFICANT SGI (NOT LOST /NOT COMPROMISED) = NON-EVENT REPORTABILITY OF EVENTS

• BASED ON ABOVE, ORIGINAL DETERMINATION - 5 EVENTS LOGGABLE

• REPORTABLE & NON-REPORTABLE EVENTS RECORDED IN INTERNAL SECURITY LOG

• TVA's REPORTABILITY DETERMINATIONS WERE DIRECTLY RELATED TO OVERALL SIGNIFICANCE

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DISCUSSION OF SAFEGUARDS EVENTS REPORTABILITY (CONTINUED)

SOME TYPICAL FACTORS USED IN SIGNIFICANCE DETERMINATION

• COMPROMISE O'R LOST SGI '

• IMPORTANCE OF INFORMATION I

• DURATION

• LOCATION

• COULD INFORMATION.BE DECLASSIFIED e ACCESSIBILITY BY UNAUTHORIZED PERSONS

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DISCUSSION OF SAFEGUARDS EVENTS I

REPORTABILITY ,

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5 LOGGED EVENTS DURATION LOCATION DECLASSIFIED ACCESSIBILITY DATE DESCRIITION COhfPROa1ISE IntPORTANCE l

l N N 01/16/91 UNSECURED N N s 4 Ifrs SECURED LOCATION l CABINET 2: 24 IIrs SECURED N N STORED IN N N 04/21/91 l LOCATION UNAPPROVED l CABINET s 16 Ifrs SECURED 'N N 10/23/91 UNSECURED N Y LOCATION CABINET 2 Yrs N/A N UNK 04/10/92 LOST SGI N N N IEIDID IUIENIlu, -

N Y 7 Afos OIITSIDE PA 09/18/92 FAILURE TO CONTROL SGI

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P DISCUSSION OF SAFEGUARDS EVENTS TRENDING /SELF-ASSESSNENT MONTHLY REPORTS

• SELF-AUDIT REDUCED THE NUMBER OF SGI CONTAINERS

• ERCW BADGING PROCESS CHANGED e PHYSICAL SECURITY UPGRADE PROJECT INITIATED g

ROOT CAUSE ANALYSIS COMMITTEE

• CHANGED PA BADGE ISSUE PROCESS OUALITY IMPROVEMENT TEAM (OIT)

• REDUCED VOLUME OF SGI

• REDUCED NUMBER OF SGI CONTAINERS

• REDUCED NUMBER OF SGI CUSTODIANS 7 l

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ROOT CAUSES

-* TVA REPORTING STANDARD RESULTED IN NON--

LOGGED EVENTS e INATTENTION TO - DETAIL RESULTED IN FAILURE-TO ADEQUATELY CONTROL SGI- _

e- 'NOT INCLUDING " EXTENT OF . CONDITION" AND/OR-:" PRIOR SIMILAR EVENTS" IN REVIEWL l OF ROUTINE INCIDENTS LED- TO LACKi OF RECOGNITION FPOTENTIAL ADVERSETREND d PRINCIPAL CONTRIBUTING FACTORS: 4

• TOO MUCH SGI

• TOO:MANY PEOPLE-

• TOO MANY LOCATIONS

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DISCUSSION OF SAFEGUARDS EVENTS

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• QIT EFFORT REPORTING-STANDARD q- * FOUR EVENTS LOGGED.ON NRC 24'Hr. LOG TO' BE INCLUDE ON QUARTERLY SAFEGUARDS EVENT

-* SAFEGUARDS EVENTS . NOT.- REPORTED 1 IN -PREVIOUS QUARTERS BACK-TO 3/6/91;WERE LOGGED:INTO THE:24 Hr:

LOG AS A SINGLE ENTR :

• LETTER ISSdED TO ' SITE SECURITY SUPERVISORS REQUIRING i ,

ALL~ SGI EVENTS TO BE LOGGED ON THE 24 Hr EVENT LOG' -

-* THRESHOLD FOR REPORTING-OF ' SAFEGUARDS EVENTS. HAS ?

BEEN CHANGED AT OTHER TVA NUCLEAR SITES . ~

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DISCUSSION OF SAFEGUARDS EVENTS CORRECTIVE ACTIONS INATTENTION TO DETAIL

• ISSUED LETTER TO SQN SAFEGUARDS CUSTODIANS REQUIRING USE OF SIGNS AND ACCOUNTABILITY LOGS

• PROVIDED UPGRADED TRAINING TO CUSTODIANS ON SGI CONTROL

• VEIUFIED USE OF CONTAINER SIGNS AND ACCOUNTABILITY

• REVISED PROCEDURE REQUIRING USE OF JGNS AND ACCOUNTABILITY LOGS NARROWLY FOCUSED INCIDENT REVIEWS

• REVISED PROCEDURE TO ENSURE SFCURITY EVENT INVESTIGATIONS INCLUDE: (I) EXTENT OF CONDITION; (2) SEARCII FOR PRIOR SIMILAR EVENTS; (3) DETERMINATION OF "REAL" ROOT CAUSE; AND (4) FORMAL TRACKING OF EVENT ACTIONS

• PERFORMED TREND ANALYSIS OF OTIIER SECURITY EVENTS AND INITIATED APPROPRIATE ACTIONS, WIIGE NEEDED-

• REVISED PROCEDURE TO ENSURE AT LEAST ONEMEMBER OF SECURITT EVENT INVESTIGATION TEAM IS TRAINED IN ROOT CAUSE ANALYSIS METIIODS

• REVISED PROCEDURE TO REQUIRE INCLUSION OF SECURITY EVENTS IDENTIFIED AS ADVERSE TRENDS INTO NER PROGILGI

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DISCUSSION OF SAFEGUARDS EVENTS j u

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' SALE OF SGI CONTAINER' i

r OVERVIEW OF EVENT  ;

• UNAUTHOKIZED CONTAINER - ISOLATED OCCURRENCEr

+ * OLD EVENT - SIGNIFICANT. PROGRAM ENHANCEMENTS: HAVE OCCURRED SINCE THE *- IN DEITH INVESTIGATION SHOWED LIMITED.PO ENTIAL"FOR COMPROMISE -

REPORTABILITY '

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• NO COMPROMISE, ALTHOUGH ' INFORMATION CONSIDEREDj SIGNTICANT

• - INCIDENT DISCUSSED WITH NRC STAFF ' l ROOT CAUSE

• UNAUTHORIZED.CONTAINERLNOT ON APPROVED SAFEGUARDSL CONTAINER LIST t

CORRECTIVE ACTIONS

-* NOW ONLY UECURITY CAN ESTABLISH CONTAINERS =-

- EXTRA S&G LOCKS NOW UNDER SECURITY CONTRO * RETRAINED CORP. ENG. SGI HANDLERS

~e- l INTERVIEWED - CORP._ -ENG.. ' CUSTODIANS? LTO. eASSURE 5NOl ADDITIONAL _ UNAUTHORIZED CONTAINERS

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• - - PERSONNEL SENSITIZED THAT LOCKED CONTAINERS ARE NOT TO;  ;

BE MOVED UNTII1 SECURITY-INVENTORIES CONTEN'I'S : }

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DISCUSSION OF SAFEGUARDS EVENTS IMPROPER MARKING OF CHANGE NOTICE OVERVIEW OF EVENT

• INVOLVED PARTIAL WIRING DIAGRAh!

• SIIORT DURATION REPORTABILITY

• NO COh1PROh1ISE g

• ALTIIOUGII APPROPRIATELY h!ARKED AS SAFEGUARDS, BY ITSELF, NOT AN IMPORTANT DOCUh1 FAT

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ROOT CAUSE

• ISOLATED - PERSONNEL ERROR C_ORRECTIVE ACTIONS

• COUNSELED INDIVIDUAL

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DISCUSbiun OF SAFEGUARDS EVENTS INCIDENT CONCERNING UPDATE OF SGI ACCESS LIST OVERVIEW OF EVENT

• INVOLVED INPO CONTRACTOR e ISOLATED OCCUlUENCE REPORTABILITY t,

• HAD NO ACCESS TO SGI ROOT CAUSE e FAILURE TO PERIODICALLY UPDATE ACCESS LIST CORRECTIVE ACTION

• ADDITIONAL MANAGEMENT R2 VIEW REQUIRED

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QA OVERSIGHT EFFORTS DURING-1991-921

• - - TWO ANNUAL NUCLEAR POWER WIDE PERFORMANCE; BASED AUDITS

- AUDITS ADDRESSED SGI CONTROLS'

- SECURITY EVENT LOGS WERE EVALUATED

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NO ADVERSE TRENDS IDENTIFIED

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e -PERFORMANCE BASED ASSESSMENTS ,

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'(5/91) : INITIATED FIR ADDRESSING INADEQUATE : TREND ANALYSIS FOR SGERs ,

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(4/92) QA IDENTIFIED SGI CONTROL EVENT

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(10/92) QA IDENTIFIw SGI CONTROL EVENT

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• QUARTERLY TREND REPORTSL <

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- NO SIGNIFICANT ADVERSE TRENDS WERE IDENTIFIm

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. -CONCLUSION: SIGNIFICANT - ADVERSEL TRENDSL ?WERE H NOT" APPARENT BASED ON QA's OVERSIGIIT EFFORTS

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FUTURE - ACTIONS: L-(1) LOOK A SECURITY LEVENTSHOVER L A:

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EVALUATE NON-REPORTABLE SAFEGUARDS EVENTS e

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REGULATORY PERSPECTIVE

• BASED ON REVISED -ENFORCEMENT- POLICY (2/92)

INCREASES THRESHOLD FOR SIGNIFICANT SECURITY VIOLATIONS  ;

• RELEVANT ENFORCEMENT PRECEDENT SUPPORTS-NON-ESCALATED ACTION

• INDIVIDUALLY,- EVENTS OF MINIMAL SAFEGUARDS :

SIGNIFICANCE

• AS A WHOLE. EVENTS DO NOT REPRESENT i A '

BREAKDOWN IN- OVERALL- SECURITY -PROGRAM ~

EFFECTIVENESS

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• PROMPT & EFFECTIVE CORRECTIVE TACTIONSlFOR ^

NRC's CURRENT CONCERNS IRVE BEEN-TAKE t t

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REGULATORY PERSPECTIVE (CONTINUED)

• SALP 1 FOR 'ITVO PERIODS - SHOWS SECURITY

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PROGRAM REMAINS EFFECTIVE e- NRC REVIEW OF SECURITY PROGRAM EFFORTS--

AUGUST 1992-INSPECTION REPORT!No, 92-23'

"The licensee has instituted a Root Cause Analysis committee to investigate self identified failures of personnel and equipment . . . . Safeguards Event less-(10 CFR 73.71) are

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reviewed and analyzed as part of this self audit /self-corrected effort."

OCTOBER 1992 SALP REPORT No.- 92-26

"Self assessments were superior . . . . Additional compliance audits from Corporatd Nuclear '

Security.and site security organintions provided extensive self assessment. -- Ront Caune-analysis' and human performance evaluations assure.' corrective actions were effective.-

Trending of Safeguards Event Logs by security management resulted in pro active measures 7

• GOOD FAITH EFFORT ON REPORTING CRITERIA- MADE THROUGH SENSA-PARTICIPATION ~ y OVERALL - CONC'LUSION: ESCALATED :ENFORCEMENTjISL NOT WARRANTED

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i FINAL REMARKS

• SUMMARY OF TVA POSITION-

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• CONCLUSIONS  :

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