ML093420068

University of Maryland, Request for Additional Information Regarding the License Renewal for the Maryland University Training and Research Reactor

ML093420068
Person / Time
Site:	University of Maryland
Issue date:	12/10/2009
From:	Traiforos S Research and Test Reactors Licensing Branch
To:	Al-Sheikhly M Univ of Maryland - College Park
Traiforos S, NRR/PRTA, 301-415-3965
References
TAC ME1592
Download: ML093420068 (6)

Text

December 10, 2009 Dr. Mohamad Al-Sheikhly, Professor and Director Radiation Facilities and Nuclear Reactor Chemical and Nuclear Engineering Building 090 University of Maryland College Park, MD 20742

SUBJECT:

UNIVERSITY OF MARYLAND - REQUEST FOR ADDITIONAL INFORMATION REGARDING THE LICENSE RENEWAL FOR THE MARYLAND UNIVERSITY TRAINING AND RESEARCH REACTOR (TAC NO. ME1592)

Dear Dr. Al-Sheikhly:

We are continuing our review of the Application for Renewal of Facility Operating License No.

R-70, Docket No. 50-166 for the University of Maryland. The application was submitted on May 12, 2000.

During our review of the Safety Analysis Report for the application, questions have arisen for which we require additional information and clarification. Please provide responses to the enclosed request for additional information no later than January 29, 2010.

In accordance with Title 10 of the Code of Federal Regulations Section 50.30(b), your response must be executed in a signed original under oath or affirmation. Following receipt of the requested information, we will continue our evaluation of your application. If you have any questions regarding this review, please contact me at 301-415-3965 or by electronic mail at Spyros.Traiforos@nrc.gov.

Sincerely,

/RA/

Spyros A. Traiforos, Project Manager Research and Test Reactors Branch A Division of Policy and Rulemaking Office of Nuclear Reactor Regulation Docket No. 50-166 License No. R-70

Enclosure:

As stated cc w/encl: See next page

ML093420068 NRR-088

University of Maryland Docket No. 50-166 cc:

Director, Dept. of Natural Resources Power Plant Siting Program Energy & Coastal Zone Administration Tawes State Office Building Annapolis, MD 21401 Mr. Roland Fletcher, Director Center for Radiological Health Maryland Department of Environment 201 West Preston Street 7th Floor Mail Room Baltimore, MD 21201 Mr. Vincent G. Adams Facility Coordinator Chemical and Nuclear Engineering Building 090 University of Maryland College Park, MD 20742 Tom OBrien Radiation Safety Officer Department of Environmental Safety 3115 Chesapeake Building 338 University of Maryland College Park, MD 20742 Test, Research, and Training Reactor Newsletter University of Florida 202 Nuclear Sciences Center Gainesville, FL 32611

ENCLOSURE OFFICE OF NUCLEAR REACTOR REGULATION REQUEST FOR ADDITIONAL INFORMATION REGARDING FINANCIAL QUALIFICATIONS FOR THE RENEWED LICENSE FOR THE MARYLAND UNIVERSITY TRAINING REACTOR LICENSE NO. R-70 DOCKET NO. 50-166 Pursuant to Title 10 of the Code of Federal Regulations (10 CFR) Section 50.33(f)(2),

Applicants to renew or extend the term of an operating license for a nonpower reactor shall include the financial information that is required in an application for an initial license. To comply with this requirement, please provide the following updated and supplemental information to the University of Maryland (the University, applicant) application for a renewed license for the Maryland University Training Reactor (MUTR).

1.

Under 10 CFR 50.33(d) certain information is required by the applicant, as applicable.

To comply with 10 CFR 50.33(d), the U. S. Nuclear Regulatory Commission (NRC) staff requests that the applicant state the organizational form of the University (e.g., agency of the State of Maryland institution, etc.) and supply any information that pertains to the University. Accordingly, please state whether the University is owned, controlled, or dominated by an alien, foreign corporation, or foreign government, and if so give details.

2.

The NRC staff will analyze the financial statements for the current year, which are required by 10 CFR 50.71(b), to determine if the applicant is financially qualified to operate the MUTR. Since the Universitys financial statements submitted in 2000 are now out of date, please provide a copy of the latest financial statements for the NRC staffs review.

3.

Pursuant to 10 CFR 50.33(f)(2), The applicant shall submit estimates for total annual operating costs for each of the first five years of operation of the facility. Since the information included in the applicants April 27, 2000, and May 12, 2000, submittals (the application) is outdated, please provide the estimated operating costs for each of the fiscal years (FY) 2011 through FY2015 (the first five-year period after the projected license renewal date). Also, please state the Universitys primary source(s) of funding to cover the operating costs for the above FYs.

4.

The application states that In 1980 the MUTR staff prepared a decommissioning plan and cost estimate. The application states that the decommissioning cost was

$2,165,272 in 2000, with the cost being adjusted using the Implicit Price Deflator from the U.S. Department of Commerce. Since the NRC staff needs additional information to complete its review of the MUTR application, please update the application by providing the following information:

(a)

A current cost estimate (2010 dollars) for the MUTR to meet the NRCs radiological release criteria for decommissioning the facility for unrestricted use to comply with 10 CFR 50.75(d)(2)(i). Accordingly, describe the basis on how the cost estimate was developed (e.g., confirming the basis for the 1980 cost estimate), show costs specifically broken down into the categories of labor, waste disposal, other items (such as energy, equipment, and supplies), and a contingency factor of at least 25 percent.

The 25 percent contingency factor provides reasonable assurance for unforeseen circumstances that could increase decommissioning costs (see NUREG/CR-6477, NUREG/CR-1756, NUREG-1757, and NUREG-1713). The staff notes that the contingency factor (Unexpected Expenses) in the applicants 2000 cost estimate is about 13 percent. If the applicant proposes to use a contingency factor less than 25 percent, then it must provide justification that the chosen factor will provide reasonable assurance for unforeseen circumstances that could increase decommissioning costs.

(b)

A description of the means of adjusting the cost estimate and associated funding level periodically over the life of the facility. Since the application identified that the decommissioning cost would be adjusted using the Implicit Price Deflator, please confirm whether this will be the means of adjusting the MUTRs cost estimate and associated funding level periodically over the life of the facility.

Also, please provide a detailed numerical example using the 2010 cost estimate.

(c)

Provide a detailed breakout of the total and annual MUTR SAFSTOR and DECON costs. The costs identified in the Decommissioning Cost Summary Table need to be updated to current dollars to reflect changes other than inflation (e.g., waste disposal, security costs, etc.) for the cost associated with the SAFSTOR option.

5.

The application indicates that the University plans to use a statement of intent (SOI) as the method to provide decommissioning funding assurance, as provided for by 10 CFR 50.75(e)(1)(iv) (Letter of Intent from the University to the NRC dated April 27, 2000). Where the applicant intends to use a SOI, the NRC staff must find that the applicant is a Federal, State, or local government licensee. To make this finding, the applicant must state that it is a State government organization and that the decommissioning funding obligations of the applicant are backed by the State government and also provide corroborating documentation. Further, the applicant must provide documentation verifying that the signator of the statement of intent is authorized to execute said document that binds the University. This document may be a governing body resolution, management directives, or other form that provides an equivalent level of assurance. As the application does not include all of the above information, please submit the following:

(a)

An updated SOI which includes: the date of the submittal of the SOI; the current (2010 dollars) cost estimate for decommissioning; a statement that funds for decommissioning will be obtained when necessary; typed name and title of the signator, and the signature of the signator; and the signators oath or affirmation attesting to the information.

(b)

Documentation that corroborates the statement in the application that the University is a State agency and State of Maryland government licensee under 10 CFR 50.75(e)(2)(iv).

(c)

A statement as to whether the decommissioning funding obligations for the MUTR are backed by the State of Maryland government. The application must also present information that corroborates this statement. For example, the documentation may be a copy of or complete citation to a state statute that expressly provides that the obligations, or at least the decommissioning funding obligations, of the applicant are obligations backed or supported by the full faith and credit of the State of Maryland. Or the documentation may be an opinion of the applicants General Counsel with citations to statutes, regulations, and/or case law that the obligations, or at least with respect to the decommissioning funding obligations, of the applicant are obligations backed or supported by the full faith and credit of the State of Maryland.

(d)

Documentation verifying that the signator of the SOI is authorized to execute such a document that binds the applicant financially. For example, provide a copy of the Universitys governing board or equivalent resolution that shows that the signator of the SOI has been authorized by the University to bind the University financially, at least with respect to funding the decommissioning of the MUTR, or provide a copy of an official University delegation of authority showing that the signator of the SOI is authorized to bind the University financially, at least with respect to funding the decommissioning of the MUTR.