ML18064A091
| ML18064A091 | |
| Person / Time | |
|---|---|
| Site: | 07003103 |
| Issue date: | 03/02/2018 |
| From: | Lesser M NRC/RGN-II/DFFI |
| To: | Cowne S Louisiana Energy Services |
| References | |
| IR 2018001 | |
| Download: ML18064A091 (5) | |
Text
OFFICIAL USE ONLY - SECURITY- RELATED INFORMATION UNITED STATES NUCLEAR REGULATORY COMMISSION REGION II 245 PEACHTREE CENTER AVENUE NE, SUITE 1200 ATLANTA, GEORGIA 30303-1257 March 2, 2018 Stephen Cowne, Chief Nuclear Officer and Compliance Manager Louisiana Energy Services, L.L.C.
P.O. Box 1789 Eunice, NM 88231
SUBJECT:
LOUISIANA ENERGY SERVICES, L.L.C., URENCO USA FACILITY-LICENSEE PERFORMANCE REVIEW OF LICENSED ACTIVITIES (NRC INSPECTION REPORT 70-3103/2018-001, SAFEGUARDS PORTION)
Dear Mr. Cowne:
The U.S. Nuclear Regulatory Commission (NRC) staff in our Region II Office, the Office of Nuclear Material Safety and Safeguards and the Office of Nuclear Security and Incident Response completed a periodic review of Louisiana Energy Services, L.L.C., URENCO USAs (UUSA) inspection results and facility performance in conducting NRC-licensed activities. The review covered the period from January 1, 2016, through December 31, 2017. The performance of UUSA was evaluated in the performance area of Safeguards. The enclosure to this letter provides the results of our review and constitutes the basis for establishing the NRC oversight program for your facility.
The staff determined that UUSA has continued to conduct its activities safely and securely, and in a manner that protects public health and the environment. Based on our review of activities, no area needing improvement was identified in the performance area of Safeguards. Therefore, the NRC plans to conduct the core inspection program for a gas centrifuge fuel facility as described in NRC Inspection Manual Chapter (IMC) 2600, Fuel Cycle Facility Operational Safety and Safeguards Inspection Program, for the review period of January 1, 2018, to December 31, 2019. Additionally, a meeting will not be scheduled to discuss your Safeguards performance during the assessment period.
Throughout the implementation of the inspection program and the review of plant events in this performance review period, the inspectors identified examples of repetitive compliance issues consisting of failure to request NRC approval for changes to the licensing basis and failure to implement administrative safety controls. While these issues did not result in escalated enforcement actions and did not raise to the level of an area needing improvement as defined in NRC IMC 2604, Licensee Performance Review, the NRC staff determined that these issues could be indicative of weaknesses in the correction action program (CAP). Moreover, the The enclosure contains Sensitive Unclassified Non Safeguards Information (Security-Related Information.) Upon separation, this cover letter is DECONTROLLED.
OFFICIAL USE ONLY - SECURITY-RELATED INFORMATION
OFFICIAL USE ONLY - SECURITY- RELATED INFORMATION S. Cowne 2 inspection staff identified issues with the implementation of CAP procedures in the Safeguards area. These issues involved screening, evaluation, and effectiveness reviews related to Information Security.
IMC 2600, lists As Needed, procedures used in support of implementation of the inspection program and these procedures are to be performed as necessary, or at the frequency designated in that inspection procedure. Inspection Procedure (IP) 88161, Corrective Action Program Implementation at Fuel Facilities, was used to certify the UUSA Corrective Action Program and is one of the procedures recognized by IMC 2600. Once the CAP has been determined to be effective, IP 88161 requires that an inspection of that program be performed on a biennial basis.
In light of the examples identified during inspections, the NRC will maintain the current core program adjustment in the area of Safeguards for the upcoming performance review period.
This will consist of the current level of increased inspection effort. The increased effort will not consist of an additional Information Security Inspection, as it has in previous assessment periods, but will instead consist of an inspection of your CAP in accordance with IMC-2600, Appendix B, Table 2, Inspection Procedure 88161, Corrective Action Program Implementation at Fuel Cycle Facilities. The CAP inspection scope will focus on the safeguards issues as well as consider all performance areas covered under the NRC core inspection program. The purpose of this inspection is to verify that the program is implemented in accordance with the program elements described in your Quality Assurance Program Description, as incorporated by reference in materials license SNM-2010. The inspection will validate that the program is effectively implemented to identify, prioritize, evaluate, and correct safety issues. The inspection results will also inform future NRC decisions for the disposition of violations of regulatory requirements.
In accordance with Title 10 of the Code of Federal Regulations Section 2.390 of the NRC's "Rules of Practice and Procedure," a copy of this letter will be made available for public inspection at the NRC Public Document Room and accessible electronically through the ADAMS in the NRC Library at http://www.nrc.gov/reading-rm/adams.html.
Please refer questions and comments regarding your performance review to Mr. Omar López-Santiago, Chief, Projects Branch 1, who can be reached by telephone at 404-997-4703.
Sincerely,
/RA/
Mark S. Lesser, Director Division of Fuel Facility Inspection Docket No. 70-3103 License No. SNM-2010
Enclosure:
Licensee Performance Review cc: (See page 3)
OFFICIAL USE ONLY - SECURITY-RELATED INFORMATION
S. Cowne 3 cc:
David Sexton, President and Chief Executive Officer Louisiana Energy Services, L.L.C.
URENCO USA P.O. Box 1749 Eunice, NM 88231 Lisa Hardison, Manager Communications & Public Relations Louisiana Energy Services, LLC URENCO USA P.O. Box 1789 Eunice, NM 88231 lisa.hardison@urenco.com Butch Tongate, Cabinet Secretary New Mexico Department of Environment Office of the Secretary 1190 St. Francis Drive P.O. Box 26110 Santa Fe, NM 87502-0157 Matt White, Mayor City of Eunice P.O. Box 147/1106 Ave J Eunice, NM 88231 The Honorable Sam D. Cobb, Mayor City of Hobbs 200 E. Broadway Hobbs, NM 88240 Cheryl Chance, Mayor City of Jal P.O. Drawer 340 Jal, NM 88252 Chair Ron R. Black Lea County Board of County Commissioners Lea County Courthouse 100 North Main Avenue, Suite 4 Lovington, NM 88260 Daniel F. Stenger, Counsel Hogan and Hartson 555 13th Street, NW Washington, DC 20004 OFFICIAL USE ONLY - SECURITY-RELATED INFORMATION
S. Cowne 4 cc: (contd)
Santiago Rodriguez, Chief Radiation Controls Bureau NM Environment Department PO Box 5469 Santa Fe, NM 87502-5469 Perry Robinson, Outside General Counsel URENCO USA P.O. Box 1789 Eunice, NM 88231 Richard A. Ratliff, PE, LMP Radiation Program Officer Bureau of Radiation Control Department of State Health Services Division for Regulatory Services 1100 West 49th Street Austin, TX 78756-3189 OFFICIAL USE ONLY - SECURITY-RELATED INFORMATION
ML18064A091 SUNSI REVIEW COMPLETE FORM 665 ATTACHED OFFICE RII:DFFI RII:DFFI NMSS NMSS NMSS NMSS SIGNATURE /RA/ /RA/ /RA/ /via email/ /RA for JM/ /RA/
NAME KKirchbaum OLopez-Santiago JRubenstone CErlanger MKotzalas JZimmerman DATE 2/27/2018 2/27/2018 2/28/2018 2/28/2018 2/28/2018 2/28/2018 E-MAIL COPY YES NO YES NO YES NO YES NO YES NO YES NO