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NUREG-1065, Rev. 3, Acceptable Standard Format and Content for the Material Control and Accounting Plan Required for Special Nuclear Material of Low Strategic Significance - Final Draft Redline
	ML18233A374
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Issue date:	08/12/2018
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NUREG-1065, Rev. 3 Acceptable Standard Format and Content for the Material Control and Accounting Plan Required for Special Nuclear Material of Low Strategic Significance Final Draft R e p o r t f o r C o mm e n tGuidance Manuscript Completed:

August 201 9 Date Published:

Month 201 9 Office of Nuclear Material Safety and Safeguards

NUREG-1065, Revision 3 ii ABSTRAC T T h i s d o cu m e n t pr o vi des a r e vised s tr uctur e for NUREG-1065, Revi s io n 2 , da t ed 1 9 95, w h ich con t a i ns informati on that t he licensee or app licant shou l d p r o v i de i n it s mat e rial con trol and accountin g (MC&A) p lan, formerl y t he f unda m ental nuc lear m aterial con trol (FNMC) p l an. It app li es t o U.S. N uc l ear R e g u l ator y C o mmi ss i on (NRC) licensees (o t h e r t han p r odu c t i on or u t ili z a t io nnuclear reactor f acilitie s license d i n acc ordance wit h 10 CFR P a r t 5 0 , "D o m esti c L icens i ng of Pr oduc ti on and Utiliz atio n Faciliti es ," or 10 C FR P a r t 5 2 , "L icense s , C ertifi ca tions, and A pp r o v a l s fo r N uc l e a r Pow er Pl an t s ,";" storage installations licensed under 10 CFR Part 72, "Licensing Requirements for the Independent Storage of Spent Nuclear Fuel, High

-level Radioactive Waste, and Reactor Related Greater Than Class C Waste;" and w as t e disposal f acilities) a ut horiz ed t o possess and use m o r e than 350 g r a m s o f unencapsu l a t ed sp e c ial nuc l ear material (SNM) of lo w s tr ategic s ig nificanc e or unencapsulated SNM in a quantity of greater than 350 grams of contained uranium

-235, uranium

-233, or plutonium, or any combination thereof. T he r e vi s io n has been str u ct u r ed t o se rv e as a d irect outli ne f or licensees t o u se i n p reparin g t he i r MC&A p l a n s. T h i s d o cu m e n t pr o vi des a r e vised s tr uctur e a n d inf o rm a ti on t o f ac ilit a t e c om p liance wit h 10 C FR 74.3 , "G ene ral p erformance o bj ectiv es ," and 10 CFR 7 4.3 1 , "N uc l ear M a t e r ial C on tr olmaterial control and Accou n t i n gaccounting fo r Spec ial N uc lear M a t e r i alspecial nuclear material o f L o w S tr a t e g i c S i g n i f icancelow strategic significance

," re ga r d in g the licensee or app licant p re pa r a ti on and im p l e m entati on o f MC&A p l ans and co rrespond in g N RC r evie w and inspec tion. Presen t ed he r e i n i s t he a ccep t ab l e format and co ntent for those MC&A p lans, add re ss i ng (1) t he pe rf o rmance o bj ectiv es that m u st be m e t , (2) t he MC&A p r ogram capabiliti es that m u st be ach i e v ed t o m e e t those ob j ectives, (3) t he inco rp o r a ti on o f check s and ba lances t o de t e c t f a l sifi ca ti on o f d at a and r eport s t h a t c o u l d conceal t he t h ef t or , d iv e r s i on, or misuse o f SNM , and (4) b a s i c commitm e nt s t h a t s h ou l d be m ade. T h i s d o cu m e n t i nc l udes g u idance for im plem en ti ng new r e q u ir e m e nt s pert a i n i ng t o t a m p er--safin g procedures, and t he d es ig na ti on o f mat e rial ba lance a reas and item control areas. Al l other m odifi ca ti ons i n v o lv e format and editorial change s des igned t o c l arif y and f ac ilit a t e pr eparati on or r e vi s i on of t he req uire d MC&A p lan.

5 NU RE G-1065, R e v i s i on 3 C O NT E NTS A B S T R A C T ...............................

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.i ii C O N T E N T S ...............................

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. v A BBREV I A T IO N S ...............................

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..ix 1. I N T R O DUC T IO N...............................

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. 1 2. GENE R A L PER F O R M A NC E O B J EC T I VES , RE L A T E D RE Q U I RE M EN TS, CO M M I T M EN T S , A N D A CC E PT A N C E CR I T E R I A...............................

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. 3 3. M A N A G E M E N T S T R UC T UR E ...............................

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...... 7 3.0 R e g u l a t o r y I n t ent ...............................

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. 7 3.1 C o r po r a t e O r g an i z a t i on ...............................

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. 7 3.2 Pl ant o r Si t e O r g an i z a t i on ...............................

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......... 7 3.3 M C&A Or g a n i z a t i on ...............................

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. 7 3.3.1 Respons i b ili t i es a n d A u t ho r i t y ...............................

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. 8 3.3.2 M C&A P rocedu r es ...............................

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. 9 3.4 T r a i n i ng and Q ua l i f i c a t i on R e q u i r e m e n t s ...............................

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..........10 3.5 M C&A P r o g r a m D e s c r i p t i o n...............................

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.....10 3.6 M a t e r ial C on trol B o u nda r i es ...............................

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....11 3.7 C o m m it m en t s and Accep tance C r i t e r i a...............................

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.11 4. M E A S U RE M E N T S...............................

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.13 4.0 R e g u l a t o r y I n t ent ...............................

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.13 4.1 Measu r e ment P o i n t s...............................

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13 4.2 Measu r e ment S y s t e m s ...............................

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13 4.2.1 B u l k Measu r e m e n t S y s t e m s...............................

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.14 4.2.2 A na l y t ical Measu r e ment S y s t e m s ...............................

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.14 4.2.3 ND A Measu r e m e n t S y s t e m s ...............................

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.15 4.2.4 Ot h e r Measu r e m e nt S y s t e m s...............................

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.15 4.3 M eas u r e ment Unce r t a i n t i es ...............................

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.....15 4.4 Measu r e ment P r oc e du r es ...............................

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.......15 4.5 C o m m it m en t s and Accep tance C r i t e r i a...............................

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.16 5. M E A S U RE M E N T C O N T R O L SY S T E M ...............................

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.19 5.0 R e g u l a t o r y I n t ent ...............................

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.19 5.1 O r g an i z a t i on and M ana g e m en t...............................

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.19 5.1.1 Fun c t ional R e l a t ionsh i ps ...............................

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...19 5.1.2 P rocedu r es...............................

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.19 5.1.3 C o n tr a c tor P r o g r a m A ud i t s and R e v i e w s...............................

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....20 5.2 C a li b r a t i ons ...............................

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.20 5.3 C on tr ol S t and a r d s..............................

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.22 5.4 R ep li ca t e S a m p li n g...............................

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23 5.5 C on tr ol L i m i t s ...........................

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.24 5.5.1 Measu r e m e n t C o n trol D a t a A na l y s i s ...............................

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..........24 5.5.2 Response A c t i ons .............................

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25 5.6 C o m m it m en t s and Accep tance C r i t e r i a...............................

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.26 NURE G-1065, R e v i s i on 3 vi 6. S T A T I S T I C S ...............................

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.29 6.0 R e g u l a t o r y I n t ent ...............................

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.29 6.1 D e t e r m i na t i on o f Measu r e m e n t U nc e rt a i n t i es ...............................

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...29 6.2 D e t e r m i na t i on o f S t a nda r d E r ror o f t h e I n v en t o r y Di ff e r enc e...............................

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.30 6.3 Bi as C o r r ec t i ons ...............................

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.31 7. PHYS IC A L INVE N T O R I E S ...............................

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33 7.0 R e g u l a t o r y I n t ent ...............................

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.33 7.1 G en e ral D es c r i p t i on ...............................

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33 7.2 O r g an i z a t i on, P r oc e du res, and Schedu l e s..............................................................

........33 7.3 T y p ical I n v en t o r y C o m pos i t i on ...............................

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.34 7.4 Desc r i p t i on o f T y p ical It e m S tr a t a ...............................

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.34 7.5 C onduc t i n g P h y s ical I n v en t o r i es ...............................

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.34 7.6 I n v en t o r y D i ff e rence L i m i t s and Response A c t i ons ...............................

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.37 7.7 C o m m it m en t s and Accep tance C r i t e r i a...............................

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.38 8. I T E M C O N T R O L...............................

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.41 8.0 R e g u l a t o r y I n t ent ...............................

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.41 8.1 O r g an i z a t i on ...............................

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.41 8.2 G en e ral D es c r i p t i on ...............................

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41 8.3 I tem I de n t i t y C on t r o l s...............................

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42 8.4 S t o r a g e C on t r o l s...............................

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.42 8.5 I tem M on i t o r i ng M e t hodo l o g y and P r o c edu r e s...............................

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..42 8.6 I n v es t i g a t i on and R e so l u t i on o f I tem Di sc r ep a nc i es ...............................

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.43 8.7 C o m m it m en t s and Accep tance C r i t e r i a...............................

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.4 3 9. SH IPPER-RECE I VE R C OM P A R I S O N S ...............................

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.45 9.0 R e g u l a t o r y I n t ent ...............................

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.45 9.1 Rece i v i ng P roced u r e s...............................

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45 9.2 D e t e r m i na t i on o f R e ce i v e r's V a l ues ...............................

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.46 9.3 E v a l ua t i on o f S h i pp e r-Rece i v er D i f f e rence s...............................

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......46 9.4 Reso l u t i on o f S i g n i f icant S h i pper-Rece i v er Di ff e rences ...............................

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.47 9.5 C o m m it m en t s and Accep tance C r i t e r i a...............................

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.47 10. A SSESS M E N T A N D REV I E W O F T H E M A T ER I A L C O N T R O L A N D A CC O U N T ING PRO GR A M...............................

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........49 10.0 R e g u l a t o r y I n t ent ...............................

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49 10.1 G en e ral D es c r i p t i on ...............................

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49 10.2 R epo r t o f F i nd ings and Reco m m enda t ions ...............................

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.....50 10.3 M ana g e m e n t R e v i ew and Response t o R e po r t F i nd i n g s and R ec o mm end a t i ons .........51 10.4 C o m m it m en t s and Accep tance C r i t e r i a...............................

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51 11. T A M PER-S A F I N G ...............................

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.55 11.0 R e g u l a t o r y I n t ent ...............................

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55 11.1 C ha r a c t e r i s t i cs of Ta m pe r-s a f i n g De v i ce s...............................

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.......55 11.2 U se o f T a m pe r-s a f i ng D e v i ce s...............................

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.56 11.3 Desc r i p t i on o f T a m pe r-s a f i n g Reco r d s...............................

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56 11.4 C o m m it m en t s and Accep tance C r i t e r i a...............................

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57 7 NURE G-1065, R e v i s i on 3 12. DES IGN A T IO N O F M A T ER I A L B A L A N C E A R E A S , I T E M C O N T R O L A R E A S , A N D CU S T O D I A N S ...............................

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59 12.0 R e g u l a t o r y I n t ent ...............................

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59 12.1 M a t e r ial C on trol B o unda r i es ...............................

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..59 12.2 C us t od i ans ...............................

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.59 12.3 C o m m it m en t s and Accep tance C r i t e r i a...............................

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59 13. RES O L V I N G I ND I C A T IO N S O F L O SS , T HE F T , D IVERS IO N , O R MISUS E O F SPEC I A L N U C L E A R M A T E R I A L...............................

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.61 13.0 R e g u l a t o r y I n t ent ...............................

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61 13.1 M e t hods and P r o c edu r es for I de n t i f y i ng I n d i ca t o r s ...............................

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.61 13.2 S y s tem and P r o c e du r es for I n v es t i g a t i n g a nd Reso l v i ng Loss I nd i c a t o r s.....................

.61 13.3 Response A c t ions f or U n reso l v ed I nd i c a t o r s ...............................

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..62 13.4 Docu m e n t a t i on R e q u i r e m en t s ...............................

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.62 13.5 C o m m it m en t s and A cc ep tance C r i t e r i a...............................

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63 14. I N F O R M A T ION A L A I D F O R A SS I S T I N G I N T H E INVES T I G A T IO N A N D REC OVER Y O F M ISSIN G SPEC I A L NUC L E A R M A T E R I A L ...............................

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.65 14.0 R e g u l a t o r y I n t ent ...............................

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65 14.1 T y pes o f I n f o r m a t i o n ...............................

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65 14.2 I n f o r m a t i on I nd i ca t i ng Poss i b l e Losses o f S N M ...............................

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.65 14.3 I n f o r m a t i on on R e s o l v i ng I nd i ca t i ons o f M i ss i ng SN M...............................

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.66 14.4 C o m m it m en t s and Accep tance C r i t e r i a...............................

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67 15. REC ORDKEEP I N G ...............................

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.69 15.0 R e g u l a t o r y I n t ent ...............................

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69 15.1 Desc r i p t i on o f R e c o r ds ...............................

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..........69 15.2 P r o g r am and C o n t r o l s for Ensu r i n g a n A cc u r a t e and R e li ab l e Reco r d S y s t em ............

.70 15.3 C o m m it m en t s and Accep tance C r i t e r i a...............................

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71 16. G L O S S A R Y ...............................

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.73 17. RE FERENCE S ...............................

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.79 NUREG-1065, Revision 3 viii ABSTRACT ................................................................................................

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ii CONTENTS ................................

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5 ABBREVIATIONS

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xi 1. INTRODUCTION................................

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1 2. GENERAL PERFORMANCE OBJECTIVES, RELATED REQUIREMENTS, COMMITMENTS, AND ACCEPTANCE CRITERIA

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3 3. MANAGEMENT STRUCTURE

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7 3.0 Regulatory Intent

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7 3.1 Corporate Organization

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... 7 3.2 Plant or Site Organization

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7 3.3 MC&A Organization

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......... 7 3.3.1 Responsibilities and Authority

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8 3.3.2 MC&A Procedures

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.... 9 3.4 Training and Qualification Requirements

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10 3.6 Material Control Boundaries

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11 3.7 Commitments and Acceptance Criteria

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11 4. MEASUREMEN TS ................................................................................................

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14 4.0 Regulatory Intent

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14 4.1 Measurement Points

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.......14 4.2 Measurement Systems

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...14 4.2.1 Bulk Measurement Systems

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15 4.2.2 Analytical Measurement Systems

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15 4.2.3 NDA Measurement Systems

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16 4.2.4 Other Measurement Systems

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16 4.3 Measurement Uncertainties

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16 4.4 Measurement Procedures

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16 4.5 Commitments and Acceptance Criteria

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17 5. MEASUREMENT CONTROL PROGRAM ................................

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19 5.0 Regulatory Intent

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19 5.1 Organization and Management

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19 5.1.1 Functional Relationships

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19 5.1.2 Procedures

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19 5.1.3 Contractor Program Audits and Reviews

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..20 5.2 Calibrations

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20 5.3 Control Standards

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22 5.4 Replicate Sampling

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.........23 5.5 Control Limits

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24 5.5.1 Measurement Control Data Analysis

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....25 5.6 Commitments and Acceptance Criteria

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26 6. STATISTICS

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29 ix NURE G-1065, R e v i s i on 3 ix NUREG-1065, Revision 3

6.0 Regulatory

Intent

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29 6.1 Determination of Measurement Uncertainties

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.29 6.2 Determination of Standard Error of the Inventory Difference

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30 6.3 Bias Corrections

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31 7. PHYSICAL INVENTORIES

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..34 7.0 Regulatory Intent

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34 7.1 General Description

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........34 7.2 Organization, Procedures, and Schedules

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......................................34 7.3 Typical Inventory Composition

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35 7.4 Description of Typical Item Strata

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35 7.5 Conducting Physical Inventories

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36 7.6 Inventory Difference Limits and Response Actions

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38 7.7 Commitments and Acceptance Criteria

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39 8. ITEM CONTROL

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43 8.0 Regulatory Intent

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43 8.1 Organization

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43 8.2 General Description

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........43 8.3 Item Identity Controls

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......44 8.4 Storage Controls

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44 8.5 Item Monitoring Methodology and Procedures

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45 8.6 Investigation and Resolution of Item Discrepancies

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45 8.7 Commitments and Acceptance Criteria

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45 9. SHIPPER

-RECEIVER COMPARISONS

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48 9.0 Regulatory Intent

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48 9.1 Receiving Procedures

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.....48 9.2 Determination of Receiver's Values

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49 9.3 Evaluation of Shipper

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....................................49 9.4 Resolution of Significant Shipper

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50 9.5 Commitments and Acceptance Criteria

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50 10. ASSESSMENT AND REVIEW OF THE MATERIAL CONTROL AND ACCOUNTING PROGRAM ................................

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52 10.0 Regulatory Intent

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52 10.1 General Description

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......52 10.2 Report of Findings and Recommendations

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...53 10.3 Management Review and Response to Report Findings and Recommendations

.........54 10.4 Commitments and Acceptance Criteria

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.........................................54 11. TAMPER

-SAFING ................................................................................................

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57 11.0 Regulatory Intent

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57 11.1 Characteristics of Tamper

-safing Devices

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.....................................57 11.2 Use of Tamper

-safing Devices

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58 11.3 Description of Tamper

-safing Records

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58 11.4 Commitments and Acceptance Criteria

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.........................................59 12. DESIGNATION OF MATERIAL BALANCE AREAS, ITEM CONTROL AREAS, AND CUSTODIANS

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60 NUREG-1065, Revision 3 x 12.0 Regulatory Intent

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60 12.1 Material Control Boundaries

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60 12.2 Custodians

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61 12.3 Commitments and Acceptance Criteria

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.........................................61 13. RESOLVING INDICATIONS OF LOSS, THEFT, DIVERSION, OR MISUSE OF SPECIAL NUCLEAR MATERIAL

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63 13.0 Regulatory Intent

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63 13.1 Methods and Procedures for Identifying Indicators

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63 13.2 System and Procedures for Investigating and Resolving Loss Indicators

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63 13.3 Response Actions for Unresolved Indicator s ................................................................

64 13.4 Documentation Requirements

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64 13.5 Commitments and Acceptance Criteria

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.........................................65 14. INFORMATIONAL AID FOR ASSISTING IN THE INVESTIGATION AND RECOVERY OF MISSING SPECIAL NUCLEAR MATERIAL

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66 14.0 Regulatory Intent

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66 14.1 Types of Information

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.....66 14.2 Information Indicating Possible Losses of SNM

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66 14.3 Information on Resolving Indications of Missing SNM

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67 14.4 Commitments and Acceptance Criteria

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.........................................68 15. RECORDKEEPING

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69 15.0 Regulatory Intent

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69 15.1 Description of Records

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.69 15.2 Program and Controls for Ensuring an Accurate and Reliable Record System

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70 15.3 Commitments and Acceptance Criteria

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.........................................71 16. GLOSSARY

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73 17. REFERENCES

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79 ix NURE G-1065, R e v i s i on 3 xi NUREG-1065, Revision 3 ABBR EVIATI O NS CFR Code of Federal Regulations DOE U.S. Department of Energy DQ detection quantity DT detection threshold HEU high-enriched uranium IAEA International Atomic Energy Agency ICA item control area ID inventory difference LEU low-enriched uranium MBA material balance area MC&A material control and accounting NDA nondestructive assay NMMSS nuclear materials management and safeguards system NRC U.S. Nuclear Regulatory Commission SEID standard error of the inventory difference SNM special nuclear material SRD shipper-receiver difference TID tamper-indicating device U uranium 23 3 U U-233 uranium-233 23 4 U-U-234 uranium-234 23 5 U U-235 uranium-235 23 8 U U-238 uranium-238 U 3 O 8 Urano-uranic oxide UF 6 Uranium hexafluoride wt % weight percent

1 NUREG-1065, Revision 3

1. INTR ODUCTIO N T he Atomi c E ne rg y Ac t o f 195 4 , as amended, dire c t ed t he U.S. Atomi c En e rg y C o mmi ss i on (AEC) t o reg u l a t e t he r e c e i p t , m an uf a cture, p r od u c tion, tr ansfer, possess io n, us e , im po rt, and e x po r t o f spec ial nuc l ear m aterial (SNM) t o pr otec t t he pub li c hea lt h and s af e ty , and t o p r o vi de for t he co mm on d efense and security. T he E ne r gy R eo rg an iz a ti on Act of 1974 tr ansferr ed a l l t he li ce ns i ng and r e l a t ed f unc ti ons o f t he AE C t o t he U.S. N uc l ear Reg u l a t o r y C o mmi ss i on (NRC). T he p ri nc ipal req uirem e nt s f or SN M licens i ng a r e f ound i n Titl e 10 o f t he C ode of Fede ral R egu l a ti ons (10 C F R) P a r t 7 0 , "Dom es ti c L icens i ng o f S pec ial N uc l ear M a t e ri al ," and 10 C FR P a r t 7 4 , "M a t e rial C on trol and Accounti ng [MC&A] o f S pec ial N u cl ear M a t e ri a l." R e g u l a ti ons i n 10 C FR 7 0.22 (b) spec if y t h a t a license app li ca ti on must c o n t a i n a c om p l e t e desc ri p ti on o f t he app li c a n t's p ro g ra m for t he con trol and a ccountin g of su c h SN M t o show how co m p liance wit h t he g r a d ed MC&A r e q uirem en t s o f 10 C FR P a r t 7 4 , sub p a rt s C-E , will be acco m p lished. T h i s d oc u ment descri bes t he sta nda r d f o rmat and con t e n t s u g g e st ed by t he NR C fo r u se i n pr eparin g MC&A p l ans fo r f aciliti es au t h or iz ed t o ho l d SN M o f l ow strategi c s ig nificanc e. or SNM in a quantity greater than 350 grams of contained uranium

-235, uranium

-233, or plutonium, or any combination thereof, and are thus subject to the requirements in Subpart C of 10 CFR Part 74. T h i s i n t r odu c t i onChapter 2 of this document descri b e s t he bas i s f or t he fiv e gene ral pe rf o rmance ob je ctiv es o f 10 C FR 7 4.3 and t he MC&A p r ogra m f ea t u r es and c apabiliti es needed t o m e e t t he ob je ctives. C ha pt e r s 1-10 3-12 add ress t he program ca pa biliti es needed t o m a i n t a i n accurate, cu rr en t , a n d r e li ab l e inf o rm a ti on on t he licensee's SN M a nd t o confir m it s quantitie s and l ocations. C hapter s 11 1 3 and 12 1 4 ad dress t he progra m capabiliti es needed t o prom p tl y i n v estigat e and re so lv e ano m a li es i nd i ca ti ng a poss i b l e l os s o f SNM , and p r o vi d e inf o rm a ti on t o a i d i n t he i n v estig a ti on a nd reco v e r y o f mi ss in g SNM. C hap te r 13 1 5 add resses recordk eep in g requir e m en ts. These 13 1 5 ch a p t e r s p r o vi de an outli ne for an accep t ab l e MC&A p l an f or f aciliti es au t horiz ed t o ho l d SN M o f l ow strategi c s ig nificanc e. T he accep t a n ce crit e ri a a r e for t he use o f a pp lican t s (or licensees) and NR C licens in g r eview e rs. A n app li ca ti on or p roposed r e vi s i ons t hat meet t h e se crit e ri a s hou l d be acce pt ab l e t o t he NR C staff. H o w e v e r , compr ehens iv e criteri a a r e i nc l uded as e x a m p les, and each app licant or licensee shou l d de v e l op a n MC&A p r og r am a n d p l an t h a t cons i de r s t he un iq ue f e at u re s o f it s parti cu lar operati on. Wh e r e additi onal g u idance i s a v a il ab l e on parti cu lar t op i cs, an app r opri a t e reference i s i nc l uded i n t he accep t a n ce crit e ri a s e c tion. R ecomm endati ons i n t h i s doc ument p r o vi de g u idance t o app lican t s and licensees. L icensees m ay use t h i s g u idance w hen making chan g es t o t he i r e xi s ti ng app r o v ed M C&A p lans. I n pr eparin g MC&A p lans, app lican t s sh ou l d co n s i der t he capabiliti es sp e cifi ed i n 10 C FR 7 4.3 1 , "N uc l ear M a t e r ial C on tr olmaterial control and Accou n t i n gaccounting for Spec ial N uc l ear M a t e r i alspecial nuclear material o f L ow S tr a t e g i c Si g n i f icancelow strategic significance

," and t he ge ne ral pe rf o rmance ob j ectiv es specifi ed i n 10 C FR 74.3. After acceptin g an MC&A p l an and im p o s i ng i t a s a co n diti on o f licens e , t he NR C wil l eval ua t e the ade quacy o f a license e's MC&A perform a n ce by inspectin g for pe rf o rm an c e wit h commitm e nt s and practices described in the plan. and p r a c t ices de s c r i bed i n t he p l an.

NUREG-1065, Revision 3 2 Because 10 C FR 7 4.3 an d 10 CFR 7 4.31 ar e perf o rmance-ori en t ed reg u l a ti o n s , t hey do n o t con t a i n a d et a il ed s e t o f techn ical specifi ca tions. Wit h t h i s fl e xi bility , app lic an t s and licensees ha v e m any a lt e r n ativ es o n how t he i r o v e r a l l MC&A progra m i s des ig ned, m an aged, and ope r a t e d , w h i ch w ou l d p e rmi t a risk-inform ed perf o rm anc e-based app r oa c h t h a t focuses on and, i n t u rn, concen tr a te s licensee resou rces on MC&A activiti es most im po rt a n t t o safeg ua rds. A cco r d i ngly , t h i s docume nt does not attempt t o c ov er a ll poss i b l e m e t hodo l o gi es that a licensee migh t u se t o meet t he MC&A req u ir e m ents. I n st ead, i t p r o vi des e x a m p l es o f acce pt ab l e MC&A app roaches. The doc um ent i s int ended for use b y app lican t s, licensee s , a n d t he NRC safeg ua r ds lic ens i ng r e vi e w e rs. A cce ptance criteri a a r e not t o be reg a r d e d as rigid , fix ed s t anda r d s. T h a t is, a l o w er eff ectiveness o f one c apab ilit y r e l ativ e t o a parti cu l ar aspect can be t o l e r a t ed i f t he r e i s a c ompensatin g s y s t em f eature, or co m b i nati on o f f e at u res, t h a t pr o vi des an o v e r a l l e ff ectiv e safeg u ar ds s y s t e m. I n t he fi nal a na ly s i s, an NR C r eviewe r must mak e a j udgm e n t on w he ther t he app lican t's or license e's MC&A p l an p r o vi des ade q u at e ass urance t h a t reg u l a t o r y req u ir e m e nt s wil l b e m e t. T he con t e nt s o f an MC&A p l an a r e d iscussed i n C hap t e r s 3- through 1 5. below. T he bo d y of an ap pr o v ed MC&A p l an will be m ade a conditi on o f license i n acco rdance wit h 10 C FR 70.3 2(c), and c o m p liance wit h t he MC&A p l an commitm en t s a n d perti nent pr oced ur es will be inspec t ab le. Ex p l ana ti ons and d iscuss i ons i n t he p l an shou l d be suffi c i en tl y de t a il ed a nd p r ec i se so that NR C licens i ng r e vi e w e r s, NR C inspec t o rs, and licen s ee pe rsonnel respons i b l e fo r de v e l op i ng and im p l e m entin g t he MC&A p l an h a v e a c l ea r and co mm on underst and i ng o f w hat t he M C&A p l an req u ir es. T he annex (or append ix) o f an MC&A p l an shou l d p r o vi de supp l e m entar y and g ene ral i nformati on abo u t t he f acilit y and t he MC&A p r o gr am (e.g., cop i es o f b l a n k r ec or d f orms , s it e map, p r oc e ss diagrams, an e x a m p l e s t and ar d err or o f t he i n v en t o r y difference (SEID) ca l cu l a ti o n). T he a n nex will not be inco r p or a t ed a s a conditi on o f license a nd will not be the bas i s fo r inspecti on. T herefor e, descripti ons that t he app licant o r licensee p resent t o satisf y reg u l a t o r y i n t e n t must be i n t he p l an it se lf , rather t han t he anne x , and m u s t p r o vi de ade q u at e de t a il so that i t i s not l a r ge l y dependent on e x ampl es or supp l e m entar y inf ormati on i n t he annex for p r op e r under s t and ing. A s a resu lt , p roced ur es de t a il ed i n t he annex m ay be changed wit hout NRC ap pr o val or notifi cati o n , pr o vi ded t h a t p l an commitm en t s and capabiliti es a r e n o t deg raded. B y us i ng t h i s s ta nda r d forma t for p r epari ng an MC&A p l an, a licensee or appl icant wil l minimiz e ad mi n i strativ e p r ob l e m s assoc i a t ed wit h t he submitt a l , r eview , and approval of t he p lan. Pr epa r a ti on o f an MC&A p l an wit h t h i s s t and ar d forma t will ass i st t he NR C i n e v a l ua ti ng t he p l an a n d i n s t an d a r dizi ng t he licens i ng and r e vi ew p rocess. H o w e v e r , t he NR C does not req u ir e co nf o rm an ce wit h t he sta nda r d f o rm a t. A n app licant m ay use a differ ent f o rma t i f i t p r o vi des an e qual l e vel o f c om p l e t e ness and d et a il.

3 NUREG-1065, Revision 3

2. GENERAL PERFORMANCE OBJECTIVES, RELATED REQUIREMENTS, COMMITMENTS, AN D ACC EPTANC E CRIT E RI A G ener a l P e rf o rmance O b j ectiv es T he fiv e g en er al m aterial con trol and accountin g (MC&A) perform an c e o bj ectiv es app licab l e t o a l l U.S. N uc lear Reg u l a t o r y C o mmi ss i on (NRC) licensees under Titl e 10 o f t he Code o f Fede r al R egu l a ti ons (10 C F R) P a r t 7 0 , "D o m es ti c L icens in g o f S pec ia l N uc l e ar M a t e ri a l," li ce nsees a r e s e t f o rt h i n subpa r t A o f 10 CFR P a r t 7 4 , "M a t e rial C on trol a n d Accountin g o f S pec ial N uc l ear M a t e ri a l" (10 CFR 7 4.3). T he b a s i s o f t he s e g en eral pe rf o rmance o bj ectiv e s , and th e r e l a t ed requirements in subpart C of 10 CFR Part 74 (applicable to NRC licensees authorized to hold special nuclear material (SNM) of low strategic significance) are discussed below.

1. Maintain accurate, current, and reliable information on, and confirm the quantities and locations of SNM in the licens ee's possession.

T he pu rpose o f t h i s performance o bj ectiv e (10 CFR 74.3(a)) i s t o v erif y t he p resence o f a l l SNM he l d by t he licensee, and t o de t e c t t he occu rrence o f any s ig nifi ca n t loss , in c l ud i ng poss i b l e t heft or d iv e r s i o n. T o m a i n t a i n cu rrent inf o rmati on on a ll such SNM , licensees shou l d ha v e i n p lace a progra m that p r o vi des tim e ly , accurate, and r e li ab l e i nform a ti on abo u t t he q uantit y and loca ti on o f SN M i n t he i r po ssess i on. A ccurat e inf o rm a ti on m eans t h a t it em q uantiti es fo r b ot h the e l e m ent ur an ium (U) and t he i so t ope 235 Uuranium-235 (U-235) a r e ba s ed on measu r ed v a l ues or on r e li ab l e i nformati on. R e li ab l e inf ormati on m eans that t he q uantit y o f SN M i n an it em and t he loca ti on o f a l l it e m s ar e kno w n (e xcept for it e m s exempted from the item control requirements as indicated i n s o l u t ions wi t h a conce n tr a t i on o f l e ss t han 5 g r a m s of 23 5 U per li t e r , and i t e m s o f w as t e de s t ined for bu r ial or i nc i ne r a t i o n).10 CFR 74.31(c)(6

). T he loca ti on des ig na tions mustshould be specifi c eno ug h t o pr o vi de fo r t he ret ri e val o f t he it e m s i n a prompt mann er. Relia b le information also means that the quantities and locations of all nonexempt SNM material , and items listed in the accounting records

, are correct and verifiable

. The licensee or applicant should accurately account for all SNM that is received and shipped by maintaining reliable records based on accurate measurements.

When a shipment is received, the licensee should begin monitoring movement and location of the material within the facility using item control procedures (1

) to monitor the location and integrity of items until they are process ed and (2) to ensure all SNM quantities of record associated with receipts, shipments, discards, and ending inventory are based on measurements.

Chapter 8 of this document contains recommendations on the item control system, and recommendations on measurements and measurement control programs are in Chapters 4 and 5, respectively.

Monitoring the material in process may involve the use of process or material control data.

A detailed and accurate recordkeeping system for the generated data that provides knowledge of the material

's location on a timely basis should be maintained to support this function.

T he licensee mu st cond uct t o tal p l a n t ph y s ical inven t o ri es a t i n t e r vals not t o e xceed 370 ca l endar da y sleast every 12 months in accordance with 10 CFR 74.31(c)(5). Each physical inventory must be conducted in a way that provides at least a 90 percent power of detecting any NUREG-1065, Revision 3 4 actual loss or theft of a detection quantity (DQ) that may have occurred since the last yearly inventory.

A DQ is a site

-specific quantity of 235 U U-235, the magnitude of which is discussed in Chapter 6. T he licensee shou l d v erif y t he p rese n ce o f a l l SN M t hat t he fa c ilit y cu rr en tl y possesse s , as s t a t ed i n it s accounti ng reco rds. T h i s v erifi ca ti on i s no rm a ll y acco m p li sh e d thr o ug h a shu t do w n and c leanout o f p roce s s i ng eq u i p m en t , measurement o f c leanout mat erial s and measurement of any m a t e ri a l s n o t pr e vi ous l y measu r ed i n t he i r e xi s ti ng form , visual v erific a t i on (on a 100 percent basis) of the presence of all possessed SNM items (through unique item identities), and confirming the SNM quantities associated with unencapsulated and unsealed items on ending inventory.

However, a dynamic (i.e

., non-shutdown) inventory of some or all processing equipment may be used if the measurement uncertainty associated with the total material balance (for the inventory period) is within the 0.

25 percent of active inventory constraint specified in 10 CFR 74.31(c)(4).

Recommendations pertaining to physical inventories are detailed in Chapter 7. In summary, a total plant physical inventory involves:

verifying the presence, on a 100 percent basis, of all uniquely identified SNM items listed in the accounting records measuring (by direct measurement or, if direct measurement is not feasible, by indirect measurement) all bulk SNM quantities on hand (i.e., all SNM not in item form) measuring any items not previously measured verifying the identity and integrity of all encapsulated items and items affixed with tampe r-indicating devices measuring a n SNM-related parameter for a sample of randomly selected unencapsulated and unsealed items, based on a statistical sampling plan, to verify the previously measured quantities of SNM contained in such items The physical inventory program should be managed and maintained independent of the production or operations organization

, but it should not be excluded from using process monitoring and production control data.

2. Detect, respond to, and resolve any an anomaly indicating a possible loss

, theft , diversion, or misuse of SNM.

3. Perm it rap i d de t e r m i nati on of w h ether an actual loss , t heft , divers ion, or m isuse of SNM has occurred.

The purpose of these performance objectives in 10 CFR 74.3(b)

-(c) is to ensure that licensees can adequately detect and respond to indications of possible loss, theft, diversion, or misuse of SNM and rapidly determine whether or not a loss, theft, diversion, or misuse of SNM occurred.

A s furt h e r d iscussed i n C hap ter 1 3 , t he licensee o r app licant shou l d ha v e a form a liz ed progra m t o d et ec t , respond to , a n d reso lv e any an ano m a l y that may i nd i ca t e a poss i b l e 5 NUREG-1065, Revision 3 loss o f SNM. Reso l u ti on o f such an om a li es means t hat t he li c ensee has m ade a r ap i d d e t ermi na ti on w he ther an ac t ual loss o f a s i g n i f icant q ua n t i t y o f SN M has occurr e d , i nc l ud i n g po s s i b l e t h ef t o r diversion. An anomaly detected during a material balance closure needs to be investigated and resolved in accordance with 10 CFR 74.31(c)(5).

Reso l u ti on o f an an om a l y depend s on t he ty pe o f i nd i ca t o r. V a ri ous ty pes o f a no m a li es a t p l an t s cou l d o ccur fr om a wi de r an g e o f poss i b l e underlyi ng scena ri os (e.g., from un identifi ed o r inade q ua t e l y m onitor ed loss mechan i s ms , s im p l e t heft , c om p l ex d iv e r s i ons). T he i n v estigation and reso l u ti on p roce s s shou l d be gi n wit h a t horo u g h r e vi ew of t he MC&A reco r ds t o loca t e b l a tant error s. These err o r s migh t i nc l ude o mi ss i ons o f entir e items , inco rrect entri es t o computer programs or records, transcription errors, incorrect estimates of the amount of holdup in equipment, or calculation errors. A detailed examination of the MC&A records for each material type should identify gross errors.

The next stage in the resolution process would be to isolate the process or storage area that appears to be causing the anomaly.

Once this is accomplished, all of the information that contributed to the SNM quantities for that location should be verified.

If resolution still is not accomplished, the licensee should remeasure and sample material in the process or storage areas to verify quantities.

If the investigation of an indicator results in a determination that an actual loss or theft has occurred, the loss or theft must be reported t o the U.S. Nu c lear R e g u la t o r y Co mm i ss i o n (NRC) in accordance with 10 C FR 74.11, "Reports of loss or theft or attempted theft or unauthorized production of special nuclear material

." 10 CFR 74.1 1 , "R epo r t s o f Loss or T h e ft or At t e m p t ed T h e ft or U nau t h o r ized P r odu c t i on o f S pec ial N uc lear M a t e r i a l." 4. Provide information to aid in the investigation and recovery of missing SNM in the event of an actual loss, theft, diversion, or misuse. T he p u rpose o f t h i s performance o bj ectiv e i n 10 CFR 74.3 (d) i s t o ensu r e t hat licensees pr o vi de ade q u at e a s s i s tance i n a ny i n v estig a ti ons t h a t a go v e r n m ent ag e n cy con d uc t s o f a n a ctual loss, t heft , d iv e r s i on, or misuse o f SNM. I f t he NR C o r o ther G o v ernment ag en ci es deem i t necessary to conduct an investigation relating to actual (or highly suspected) events pertaining to missing material, the licensee is to provide any information it considers relevant to the recovery of material involved in a loss, theft, or diversion

. The burden shall be on the licensee to provide all information that it recognizes as relevant, as opposed to providing only information that the investigators request.

Additional information and recommendations pertaining to providing information to aid in investigations are provided in Chapter 1 4. 5. Control access to MC&A information t h a t m i g ht as s ist ad versar i es to carry ou t ac t s o f preclude loss, theft , diversion, or misuse, or rad i o l og i c a l sab o t age i n v o l v i ng of SNM. The purpose of this performance objective in 10 CFR 74.3(e) is to implement the practices and procedures needed to provide effective material control and material accounting for deterrence and detection of loss, theft, diversion, or misuse, o r r ad i o l o g ical sab o t a g e i n v o l v i n g of SNM. Components of control access to MC&A information may include access control, material containment, material surveillance, etc. Effective control systems should be multi

-layered , and redundant systems should be used to eliminate the consequence of a single

-point failure.

The licensee should implement an effective quality assurance program that minimizes the NUREG-1065, Revision 3 6 possibility of potential failures for the MC&A program. Th e se control measures can provide necessary checks and balances that contribute to deterrence of material loss, theft, diversion, or misuse. Access control involving all movements of people and materials into and out of th e material access areas should be carefully monitored and controlled. Adequate containment and surveillance measures should provide assurance that the integrity of nuclear material values is maintained.

Primary attention should be paid to preventing errors or mistakes by MC&A personnel

, and to prevent violations of procedures or compromise s of MC&A information and data. A system of checks and balances should be established to ensure data accuracy

this system should detect any instances of unauthorized access to data. Mistakes because of inadequate training, accidents, improper equipment operation or maintenance, or any other unintentional actions

, can cause the MC&A program to lose its effectiveness.

Comm it me nt s and A c c ep t ance Crite r i a P ertai n i ng t o G e ner a l P e rf o rmance O b j ectiv es The applicant or licensee MC&A plan should provide definitive commitments that adhere to the regulatory requirements and meet the acceptance criteria for these general performance objectives and corresponding program capabilities. These commitments should be stated in the MC&A plan.

The commitments and acceptance criteria are listed in Chapters 3-5 and 7-1 5. The following chapters of this document incorporate and expand on the performance objectives and the MC&A program and p l an capabilities specified in 10 CFR 74.3 and 74.31(c). The chapters are arranged in a format and sequence to provide applicants and licensees an outline for the ir required MC&A plan

s.

7 NUREG-1065, Revision 3

3. MANAGEMENT STRUCTURE

3.0 Regulatory

Intent The purpose of 10 CFR 74.31(c)(1) is to require licensees to implement a management structure that permits effective functioning of the material control and accounting (MC&A) program. The regulations ensure that the plant management structure will not adversely affect MC&A program performance.

Documentation, review and approval of critical procedures

, and the assignment of key functions to specific positions

, eliminates ambiguities

. The management structure is meant to separate key MC&A functions and provide overchecks that increase MC&A program reliability and make deceit and falsification less likely. It is also meant to free MC&A management personnel from conflicts of interest with other major functions

, such as production.

3.1 Corporate

Organization The corporate structure should be described and all corporate organization positions that have responsibilities related to MC&A at the licensee

's site should be identified.

A description of the corporate-level functions, responsibilities, and authorities for MC&A program oversight and assessments should be provided.

At least one corporate official should be responsible for the control and accounting of all special nuclear material (SNM) that the licensee possesses. 3.2 Plant or Site Organization A desc ri p ti on o f t he s it e's m anagement str u ct u r e emphasizi ng MC&A shou l d be pr o vi ded. The s it e m an ag e m e n t stru ctur e shou l d be descri bed t o t he e xt ent t h a t it can b e c l ea rl y sho w n t hat the MC&A organization is independent of potentially conflicting responsibilities.

This description also should state how responsibilities are assigned for the following functions:

overall MC&A program SNM custodianship receiving and shipping of SNM analytical laboratories bulk and nondestructive assay (NDA) measurements sampling operations measurement control s y s t emprogram physical inventories onsite SNM handling operations A brief description should be provided for each site

-level position, outside of the MC&A organization, which has responsibilities relating to MC&A activities (e.g

., sampling, mass measurements, analytical measurements, and measurement control).

For each position, the functions, responsibilities, and authorities should be clearly described.

3.3 MC&A Organization An organizational chart and position

-by-position description of the entire MC&A organization should be provided.

An individual should be designated as the overall manager of the MC&A NUREG-1065, Revision 3 8 program and the MC&A plan must demonstrate the assurance of independence of action and objectivity of decision for the MC&A manager. Two options for meeting the organizational independence are (1

) report directly to the plant or site manager or (2

) report to an individual who reports directly to the plant or site manager and who has no production responsibilities.

3.3.1 Responsibilities

and Authority A desc ri p ti on t h a t c l earl y i nd i ca t es t he respons i biliti es and a ut horit y o f ea c h sup ervisor and m an ager shou l d be p r o vi ded fo r t he v a ri ous func ti ons wit h i n t he MC&A o rgan iz a tion. The desc ri p ti on shou l d i nd i ca t e how t he activiti es o f o ne f unctional un i t o r i ndividual se rv e as a con trol o v e r , o r che c ks on, t he activiti es o f other u n it s or i ndivi dua ls. T he MC&A p l an shou l d e x plai n how coo r d i na ti on i s ach i e v ed and m a i n t a ined be tw een t he MC&A o rg an iz a ti on and o t h e r p lant o rg an iz a tional g r o u ps t h a t perfor m MC&A-r e l a t ed activities. A defi nitiv e s t atement shou l d be m ade specifyi ng h ow t he MC&A m ana g er e n su r es ap pr opriat e r e vi ew and app r o val fo r a l l written procedures pertaining to MC&A

-related activities, and to any future revisions that are issued both within and outside of the MC&A organization.

In addition to the MC&A manager function, a t a minimum , the functions listed below should be addressed: f unc t ion, a t a m i n i m u m , t he f un c t i ons li s t ed be low shou l d be a dd resse d: nuclear material accounting measurement control s y s t emprogram item control system statistical applications The discussion of statistics should identify those individuals responsible for such activities as calculation of the SEID, determination of active inventory, evaluation of shipper-receiver differences (SRDs), and determination of control limits.

Whenever more than one key MC&A function is assigned to the same person, the MC&A plan should clearly describe the checks and balances that preclude the following:

performance of accounting or record control functions by individuals who also generate source data assignment of sole authority to any individual to overcheck, evaluate, or audit information for which he or she is responsible Ex a m p l es o f ap pr op ri a t e che ck s and ba lances are: R evie w measu r e ment d at a and ca l cu l a ti ons by a n o ther i ndivi du al. Maint a i n a dup li ca t e co p y of a ll sou r ce d at a and tr ansfe r f o rm s under con tr o l s sepa r a t e fro m t he a ccountin g f uncti o n. P e rf o r m i ndependent a u dits. S epa r a t e co m p uter p ro g ram m a i n tenance from th e p ro g ram user f u n c ti on.

9 NUREG-1065, Revision 3 T he m anagement str uctur e shou l d a ss ig n respon si b ilit y fo r SN M unde rg o i ng p roce s s i ng and i n s t orag e t o a s i n gl e i ndividual or g r oup. T he dutie s o f t he i ndivi dua l(s) shou l d i nc l ude but ar e n o t limit ed to: Mai n t a i n i ng app r opri a t e i n v en t o r y con trol o v er SN M i n t he i r ass ig ned ar ea A u t horizi ng and r ec or d i ng a l l m o v e m en t s o f SN M i n t o and out o f t he i r a s s ig ned a r ea Mai n t a i n i ng app r opri a t e local MC&A reco r ds or ensu ri ng t h a t ot h e r reco rd s, s u ch as p r oduc ti on r ec ords, co nt a i n necessa r y MC&A i n f ormati on P arti c i patin g i n ph y s ical i n v en t o ri es as req u ir ed A ss i s ti ng i n i nternal or e xt e rnal a l a r m reso l u ti on a ctiviti es as req u ir ed Ensu ri ng t h at , w hen SN M i s p rocessed i n bu l k form , on l y au t horiz ed pe rs ons ha v e hands-on a ccess t o t he m ateri al N otifyi ng p r op e r a ut horiti es o f irreg ulariti es i n m a t e rial and MC&A da t a h a nd li n g. For s om e i ndivi dua l s i n m an ag e m e n t o r supervi so r y positions, so m e m odifi cati ons t o procedures, such as restricted access without escort to some areas, may be necessary to provide sufficient assurance that the system cannot be compromised.

3.3.2 MC&A Procedures Critical MC&A p rocedu r es a r e those writt en p r oc e du r es w h ich, i f not pe rf o rm ed corr ectly , cou l d resu l t i n a f a il u r e t o achiev e one or m o r e o f t he perf o rmance o bj ectiv es o f 10 C FR 74.3 and the progra m capabiliti es o f 1 0 C FR 74.3 1(c). T he b o dy of t he MC&A p l an shou l d identif y a l l critical MC&A p rocedu r e s. A license e's de v e l op ment o f it s critical MC&A p rocedu res, and any cha nges l a ter made t o t h em, sho ul d i n v o lv e techn ical r evie w by co g n iz ant licensee pe rsonne l , be app r o v ed by li ne manage ment d ir ectl y a ff e cted, and a l s o be app r o v ed by a l e vel o f management above the level responsible for executing the procedures.

The MC&A plan should contain a definitive statement that the procedures will be followed.

Th e set of critical MC&A procedures should, at a minimum, adequately address the following topics, regardless of which facility organizational group is responsible for the particular topic:

accountability record system sampling and measurements measurement control s y s t emprogram item con trol s y s t em ph y s ical inv en t o ri es NUREG-1065, Revision 3 10 i n v estig a ti on a n d reso l u ti on o f sh i ppe r-rece iv er diff e rences and loss i nd i ca t o r s determination of standard error of the inventory difference (SEID), active inventory, and inventory difference (ID) providing information to aid in investigations MC&A recordkeeping independent assessment of the effectiveness of the MC&A program tamper-safing designation of material balance areas (MBA s), item control areas (ICA s), and custodia l responsibilities

3.4 Training

and Qualification Requirements This section of the MC&A plan should describe the training programs that will be established and maintained to provide qualified personnel and the continuing level of qualification for the personnel assigned to MC&A responsibilities.

Training procedures and qualification criteria should be discussed in definitive statements.

Minimum qualification requirements should be stated for each key MC&A positio

n. 3.5 MC&A Program Description T he l eng t h o f t h i s s e c ti on and it s l e vel of d et a i l wil l depend on t he inf ormati on p r o vi ded i n the p r e vi ous sec tions o f t h i s chap t e r. T he o v e r a l l MC&A o rg an iz a ti on shou l d b e desc ri bed i n a wa y that e x p l a i ns how t he ge ne ral pe rf o rmance ob j ectiv es of 10 C FR 7 4.3 and t he capabiliti es o f 10 CFR 74.31(c) will be effectively achieved.

The individual who has responsibility for each of the following MC&A

-related functions should be specified by title

overall MC&A program management (Note:

This individual should have no major non-MC&A-related responsibilities) measurements (Note: Responsibility may be divided on the basis of type of measurements , e.g., analytical laboratory measurements, NDA measurements, bul k measurements, and sampling) measurement control statistics accountability records 11 NUREG-1065, Revision 3 item control physical inventories custodial responsibilities (e.g., SNM storage and movement controls) investigation and resolution of indicators that suggest possible loss of SNM receiving and shipping of SNM analytical laboratories MC&A recordkeeping system and controls The MC&A program description should include the policies, instructions, procedures, duties, responsibilities, and delegation of authority in sufficient detail to demonstrate the separation of duties or overchecks built into the MC&A program. 3.6 Material Control Boundaries This section of the MC&A plan should describe how the facility establishes various material control boundaries to minimize the occurrence of

, and facilitate resolution of

, MC&A anomalies, such as IDs, missing SNM items, and potential SNM theft or diversion

. The MC&A plan should describe the establishment of MBAs and ICAs because they are the basis for the control and accounting for all nuclear material in the facility.

An MBA or ICA should correlate to physical or administrative boundaries and monitored locations.

The MBA or ICA should be designed to limit losses to a specific area (i.e., the MBA should not be so large that it cannot localize inventory or process differences to a manageable level

). Materials transferred into and out of an MBA or ICA must have quantitative measurements as specified in the MBA and ICA definitions in 10 CFR 74.4, "Definitions

." The MC&A plan should describe roles and responsibilities of nuclear material custodians for MBAs and ICAs.

The material custodian should have direct interaction with the MC&A organization and should be located within the physical operations area. Custodian s who are responsible for more than one MBA or ICA should not be able to make material transfers between MBAs or ICAs under their direct control.

MBAs, ICAs, and custodians are discussed further in Chapter 12.

3.7 Commitments

and Acceptance Criteria In its MC&A plan, the applicant or licensee should provide definitive commitments that adhere to the regulatory requirements and meet acceptance criteria applicable to management structure

. A finding that the licensee

's MC&A plan for management structure is acceptable and in accordance with 10 CFR 74.31 (c)(1) will be based on, but not limited to, the following acceptance criteria:

A f i nd i ng t h a t t he licens ee's M C&A p l an for m an a g e ment s t r u c t u r e i s acc e p t ab l e and i n acco rdance w i t h t he i n t e rnal con tr ol r e q u i r e m en t s o f 7 4.3 1 (c)(1), w i ll be b ased on, but not li m i t ed t o , t he f o ll o w i ng accep tance c r i t e r i a:

NUREG-1065, Revision 3 12

T he au t h or sh ip, app r o val au t horiz a tions, and effe ctiv e da t es o f MC&A po li c i es and p rocedu r es will be docu m en t e d , and wil l inv o lv e app r op ri a t e m anagem e n t and techn ical staff. All critical MC&A procedures, and any revisions thereto, are reviewed and approved before their implementation.

T he respons i biliti es and au t horiti es fo r each positi on ass ig ned a f uncti on h a vi ng a s ig nificant im pa c t on SN M con trol and acco u ntin g (i nc l ud i ng a ll positi ons au t horiz ed t o con trol SN M m o v e m en t , g en er a t e sou r ce d ata, defi ne or im p l e m e n t m eas ur e m e n t con tr ol req uirem en ts , a n d conduct d at a ana ly s is) a r e defi ned c le a rl y i n a writt en positi on desc ri p ti on that defi nes t he respons i biliti es fo r t h a t positi o n. T he q ualifi cati ons and e x pe rience req u ir ed for ea c h positi on ass ig ned an SN M con trol and accountin g f uncti on will be su ffi c ient t o permi t ad eq u at e perform a n ce o f t he duties req u ir ed o f that positi on. T he descripti ons o f t he m an ag e m e n t s tr uctur e a nd ass ig n m e n t o f duti es and au t horities show that those respons i b l e for each MC&A f unc ti on will ha v e suffi c i ent a ut horit y t o perfor m t he f uncti on i n th e i n t ended m anne r. T he MC&A o rg an iz a ti on i s separat e fro m t he p r o d uc ti on o rg an iz a ti on and i s a lso sepa r a t e from o rg an i z a ti ons t h a t g en er a t e so ur ce da ta , i f p ra c ti ca l; o t herwise, independence o f t he f u n c ti ons i s att a i ned thr o ug h su it ab l e contr o l s and o v e rchecks. T he MC&A p r ogra m m a n agement respo n sibilit y i s des ig n at ed t o an i ndividual at an o rg an iz a tional l e vel su ffi c i ent t o e n s ur e i ndepen dence o f acti on and o bj ectiveness of dec i s ions. N o tw o k ey MC&A f uncti ons a r e ass ig ned t o t he sa m e p erson un less suffi c i ent che c ks and ba lances ar e pr ovided. A s a cons equence o f t h i s crit e ri on: o I ndivi dua l s w ho g enerat e sou r ce da ta, suc h a s perf ormin g m eas ur e m ents, or perform sh i pp i ng and r e c e i v i ng activities, do n o t p erform any accountin g or reco r d con tr ol f unc ti ons un less su it ab l e o v e rche ck s a r e p r o vi ded t o p r e vent f a l sifi ca ti on o f b ot h sourc e da t a and a ccountin g re co r ds, and o N o i nd i v idual has t he so l e au t horit y t o o v e rche ck , e v a l ua t e pe rf o rmance, o r aud i t i nformati on for w h i ch he or she i s respons i b l e. The responsibility for each MC&A function is assigned to a specific position in the organization, and the organization is structured so that key functions are separated or overcheck one another.

The position descriptions are available in writing to the personnel affected.

All cu rrent critical MC&A p rocedu r es a r e m ade e a s il y access i b l e t o a l l affe c t ed i ndivi dua l s, and a r e m aint a i ned t o show for each p rocedu r e (1) t he r e vi s io n nu m b er , (2) da t e issued, (3) w ho p r epa r ed t he p roced ur e, a n d (4) w ho app r o v ed th e p roced ur e (as i nd i ca t ed by s ig n at u r e and d at e s ig ne d).

13 NUREG-1065, Revision 3 M ana g e m ent po li c i es ar e es t ab lished, doc um en t e d , and m a i n t a i ned t o e n su r e t hat a l l critical MC&A p rocedu re s a r e adhe r ed to , i nc l ud i ng m easurement p roce d u r es used fo r accoun t ab ilit y pu rposes.

NUREG-1065, Revision 3 14 4. MEA S UR E M E NT S 4.0 Regulatory Intent The intent of 10 CFR 74.31(c)(2) is for licensees to maintain a system of measurements to ensure that all quantities of special nuclear material (SNM) (both element and fissile isotope) in the accounting records are based on reliable measurements.

The measurement uncertainty associated with the values entered into the accounting records must be sufficiently small to ensure that the limit specified in 10 CFR 74.31(c)(4), for the total material control and accounting (MC&A) measurement uncertainty (associated with a physical inventory material balance), is not exceeded.

Except for sealed sources, all SNM receipts are to be measured for the purpose of performing shipper

-receiver evaluations.

In the absence of any significant shipper-receiver difference s (SRDs), a licensee may book either its measured values or the shipper's measured values.

When recording shipper's values (for SNM receipts), the measurement uncertainty associated with the shipper

's values needs to be known and used in the determination of standard error of the inventory difference (SEID). It is also intended that a licensee's measurement program provide bias estimates to be used in correcting inventory difference (ID) values and SRDs for significant measurement biases.

Estimation of, and correction for, measurement bias is discussed further in Chapter s 5 and 6. 4.1 Measurement Points T he MC&A p l an shou l d identif y and descri be ea c h m easurement used f or accountin g p urpose s. Measu r e m en t s (1) es t ab li sh t he q uantiti es i n each cus t od ial area, mat e ri al ba lance a r ea (MBA), or item con trol a r ea (ICA), and i n t he f ac ilit y as a w h ol e, and (2) contri bu t e t o t he des ired capab ilit y t o localiz e l os s es and t o g en er a t e and t o assess a l a rms. Measu r e m e n t po i n t s or sa m p li ng stati ons shou l d be se l e ct ed t o pr o vi de quantit ativ e inf o rm a ti on about m ateri al fl o ws and i n v en t o ri es t h a t will permit de te c ti on and l o c a liz a ti on o f any loss or d iv e r s i on, or t o confir m that no d iv e r s i on has oc c u rr e d. Ty p i ca lly , t h r ee fu nc tional ty pes o f MBA s and ICA s ar e prese nt: (1) p rocess in g, (2) storage , and (3) receivi ng and sh i pp ing. T he identifi cati on and defi niti on o f measu re m e n t po i n t s f or p rocess in g MBA s a r e n ecessa r y because o f t he p h y s ical or che mical chan g es o f t he nuc l ear m ateri a l s t h a t o ccur i n these MBAs. T he storag e and t he receivi ng and sh i pp i ng ar eas ar e ty p i ca ll y ICA s. Ty p ical p roce s s i ng MBA s i nc l ude (1) p rocess i ng a r ea s , (2) decontamination and recovery areas, (3

) laboratory areas, and (4) feed and product sampling and transfer areas.

The identification and definition of measurement points for processing MBAs are necessary because of the physical or chemical changes of the nuclear materials that occur in these MBAs. The storage and the receiving and shipping areas are typically ICAs.

4.2 Measurement

Systems T he MC&A p l an shou l d desc ri be i n d et a il each measu r e m e n t s y s tem used for nuc lear mat e rial accountin g p u rpose s. The p ri nc ipal e l e m e nt s a n d operations i n v o lv ed i n t he m easurement s y s t e m s for MC&A enco mpass mass (or w e ig h t) or v o l u m e d et ermi na tion; sa m pling; chemical ana lyses fo r element a n d i so tope; and nondestru ctiv e assay (NDA). Each m eas ur e ment s y s t em sh ou l d a l so be defi ned or i dentifi ed by it s un iq ue s e t o f t he f o ll owin g param eter s: (1) meas ur e m e nt de vi ce or eq u i p m e n t used, (2) standa r ds used for ca li b r a ti on, and (3) s t and ar ds used for c o n tr o l.

15 NUREG-1065, Revision 3 A dditiona lly , for a n alytical l abo r a t o r y m eas ur e m e nts, t he f ollow i ng shou l d a l so be i dentified: (1) sa m p lin g techn iq ue and eq u i p m e nt used, (2) s am p l e a liq uotin g techn iq u e, and (3) s am p l e pr e tr ea tment methodo l o gy. Elem e nt s o f t he m e a surement con trol progra m (e.g., standa r ds traceab l e t o a n a tional s y s t e m) used fo r v a li da ti ng and determining control limits, precision, and accuracy levels for each measurement system used for accountability are described in Chapter 5. The MC&A plan should provide descriptions for each measurement system associated with bulk, analytical, and NDA measurements, and should identify, where applicable, any other measurement systems used for accounting purposes that do not fall within these categories.

These descriptions should provide sufficient information to demonstrate how the systems are implemented to ensure the capability to meet the precision and accuracy limits.

The following sections provide examples of the types of information necessary for selected measurement systems. 4.2.1 Bulk Measurement Systems For each w e ig h i ng s y s t e m , t he app licant o r licen s ee shou l d spec if y t he ty pe o f w e ig h i ng de vice, t he ty pe o f con t a i ne r(s) weighed, mat e rial wit h i n t he co nt a i ne r s be i ng w e ig he d , capac it y of the weig h i ng de vi ce (e.g., c a pac it y not t o e xceed X kil og r ams), r a ng e t o be u s ed, sensitivit y of t he de vi ce (e.g., se n sitivit y i s +/- Y grams), and t he cali b r a ti on freq uenc y. For each volume measurement system, the MC&A plan should identify the vessel (e.g

., tank, column), capacity of the vessel to which the measurement applies (e.g

., capacity not to exceed X liters), the material being measured, the volume measuring device and instrumentation, the sensitivity of each device and system (e.g

., sensitivity is +/

- Y milliliters), the range of operation or calibration, and the calibration frequency.

4.2.2 Analytical

Measurement Systems For each analytical measurement system, the MC&A plan should specify the following: type of material or chemical compound (e.g., UF 6, uranium alloy, UO 2, uranyl nitrate solution) being sampled and measured sampling technique(s) sample handling (i.e., pre

-analysis sample storage and treatment) analytical method used characteristics measured (e.g., grams of uranium per gram sample, U-235 isotopic concentration) measurement interferences expected measurement uncertainty NUREG-1065, Revision 3 16 types of calibration standard(s) and calibration frequency 4.2.3 NDA Measurement Systems For each NDA measurement system, the MC&A plan should identify the following:

the NDA equipment package (i.e., type and size of detector, and type of associated electronics and computer interface, as appropriate) the type of container measured SNM material type within container attribute measured measurement configuration (including source to detector distance) calculational method expected measurement uncertainties

4.2.4 Other

Measurement Systems If applicable, the MC&A plan also should identify any other measurement systems used for accounting purposes that do not fall within the three categories covered by Subsections 4.2.1, 4.2.2, and 4.2.3. 4.2.2 , and 4.2.3. Measurement Uncertainties The expected measurement uncertainties of the described measurement systems should be provided.

Variance components for calibration, sampling, random, and systematic error for each measurement system should be stated.

The units in which the errors are expresse d should be clearly identified.

4.4 Measurement

Procedures The licensee or applicant should define how assurance is demonstrated that measurement procedures (i.e

., methods) are established, approved, and maintained.

This can be accomplished by (1

) making a definitive statement that an approved measurement procedures (i.e., methods) manual, or set of approved manuals, are established and maintained, (2

) stating which organizational units are responsible for the preparation, revision, and approval of measurement procedures, and (3

) defining the requirements for periodic review of the 17 NUREG-1065, Revision 3 procedures.

A clear statement should be made defining how the facility ensures that a measurement procedure cannot be used for accountability purposes without documented approval.

Each procedure should be approved by the overall MC&A manager and the manager of the organizational unit responsible for performing the measurement.

The measurement control program manager should also approve measurement procedures

. The MC&A plan should provide a definitive statement that all SNM quantities in the material accounting records are based on measured values

, and that measurement systems are maintained for the measurement of SNM associated with the following:

additions to inventory (e.g., receipts) removals from inventory (e.g., shipments and measured discards) material on ending inventory For r ec e i pt o f mat e ri a l , th e licensee m ay use sh ip pe r's m e a su r ed v a l ues r a ther than it s o w n measurem e nts, p r o vi ded t h a t (1) a sh i pp er-re ce iver c om pa ri so n , based on attri bu t es or confirmat o r y m eas ur e me n ts, sho w s no s ig nificant SR D (as defined by 10 C FR 74.31 (c)(7)); (2) in the case of a significant difference between shipper and receiver, no significant difference exists between shipper

's value and the umpire value used to resolve the difference; or (3

) the material in question is exempted from shipper

-receiver comparison requirements (e.g

., sealed sources and samples).

However, when booking shi pper's values, the shipper

's measurement uncertainty should be used when determining SEID.

4.5 Commitments

and Acceptance Criteria I n it s MC&A p l an, t he a p p licant or licensee shou l d p r o vi de defi nitiv e commitm e nt s t h a t adh er e t o t he reg u l a t o r y req u ir e me n t s and m e e t t he acce ptance crit e ri a app licab l e t o m easurem en ts. A finding that the licensee

's MC&A plan for assuring that all quantities of SNM are based on reliable measurements is acceptable and in accordance with 10 CFR 74.31(c)(2), will be based on, but not limited to, the following acceptance criteria:

on, b u t n o t li m i t ed t o , t he f o ll o w i ng accep tance c r i t e r i a: A program of measurement procedures and methods is maintained for all SNM receipts, removals and inventory items, and all quantities of SNM in the material accounting records are based on measured values.

Measurement systems that are the key contributors to the total measurement standard error will be identified.

The list will be reviewed annually and updated as necessary.

The measurement control program will monitor and control key measurement systems and their standard deviations.

A basic description or summary of each key measurement system that is used to generate SNM quantities for accountability purposes is provided.

A measurement system being defined as any instrument or device, or combination of devices, used to derive (1) an element concentration, (2

) an isotope quantity, (3

) a 235 U U-235 enrichment NUREG-1065, Revision 3 18 or isotopic distribution, (4

) a bulk material mass (weight), or (5

) a bulk material volume, and which can be characterized by its random and systematic error components.

The set of key measurement systems, based on recent (or anticipated) measurement control data and modes of process operations, is expected to account for at least 90 percent of the total measurement uncertainty contribution to the SEID. 90 pe r ce n t o f t he t o tal measu r e m e n t u n ce r t a i n t y con tr i bu t i on t o t he SE I D. The recalibration frequency for each measurement system is compatible with its expected stability.

Recalibrations for all measurement systems should be performed at frequencies compatible with widely established, or licensee demonstrated, stability for each particular system.

All calibrations are made with the use of primary standards or primary reference materials (certified and issued by the National Institute of Standards and Technology

, the New Brunswick Laboratory

, or NB L, or an equivalent organization) or with reference standards traceable to primary standards.

The standards used for calibrations need not be representative of the unknowns to be measured by the system unless it is to be regarded as a bias

-free system calibrated during each time of use, in which case the calibrations standards must be representative.

When determining an SNM quantity by weighing, sampling, and analyses, the net weight of material in each item within a uniform material batch (or lot), such as blended UO 2 powder or sintered UO 2 pellets, should be determined by direct mass measurement.

However, the element or isotope concentrations for the batch do not have to be determined for each container

instead, they may be derived by sampling procedures, including

- Analysis of composite samples or measurements of representative items, objects , or samples selected by statistical sampling

- Use of concentration or enrichment factors determined from historical averages, controlled input specifications values, or empirical relationships in which such values or relationships are tested periodically, their uncertainties or bounds have been determined to be within 2.

00 percent of the factor value, and where diversions with material substitution are improbable.

However, heterogeneous materials, such as ammonium diuranate, may not be assigned common factors unless the quantities are small, such as less than 500 grams of contained 235 U U-235 (per material type, per inventory period).

Justification for any materials assigned common factors without batch

-by-batch verification analyses should be presented in the MC&A plan.

19 NURE G-1065, R e v i s i on 3 5. MEA S UR E M E N T C O NTROL SYS T E MPROGRAM 5.0 Regulatory Intent T he i n tent o f t he measu r e ment con tr ol req u ir e me n t s i n 10 CFR 7 4.31(c)(3) and (4) i s that measurem e n t s y stem s (desc ri bed i n C ha pt er 4) used t o e st ab li sh spec ial nuc lear mat e rial (SNM) accoun t ab ilit y qu antiti es be con tr o ll ed by a form al m eas ur e m e n t c on trol s y s t e mprogram t h a t resu lt s i n a 235 U U-235 t o t al measu r e m e n t s tand ar d erro r that i s wit h i n 4 ,500 gram s 235 U U-235 or 0.125 p ercent o f th e 235 U U-235 activ e i n v en t o r y q uantit y (w h iche v er i s g r eater). T h a t is, i n t e rm s o f a 95 pe r cent confidence level, twice the standard error associated with a material balance total material control and accounting (MC&A) measurement uncertainty (for 235 U U-235) must be less than the greater of 9, 000 grams 235 U U-235 or 0.25 percent of the 235 U U-235 active inventory.

It is also intended that t he measurement control program also provide s bias estimates for adjusting inventory difference (ID) results and correcting shipper-receiver measurements for significant measurement biases

. 5.1 Organization and Management The organization and management of the measurement control s y s t e mprogram should be described in sufficient detail to show how the measurement quality assurance function is assigned and how independence from the analytical laboratory and other units performing either sample taking or measurements is maintained.

The measurement control s y s t emprogram manager should be at a management level that is sufficiently high to ensure objectivity and independence of action. Thus, the measurement control s y s t emprogram manager could either report directly to the overall MC&A manager or, if in a different organizational unit, be on the same level as the MC&A manager. The licensee

's measurement control s y s t e mprogram should be properly managed to ensure adequate calibration frequencies, sufficient control of biases, and sufficient measurement precision to achieve the capabilities required by 10 CFR 74.31(c)(3) and (4).

5.1.1 Functional

Relationships The relationship and coordination between the measurement control s y s t emprogram manager, the analytical laboratory, and other measurement performing groups needs to be clearly defined.

Adequate assurance should be provided so that the measurement control s y s t emprogram manager has the authority to enforce all applicable measurement control requirements.

5.1.2 Procedures

The measurement control s y s t emprogram procedures should be established and maintained in a manual that is kept current and readily available.

This manual should contain all the currently applicable written procedures pertaining to measurement control and measurement quality assurance.

Responsibility for preparation, revision, and approval of manual procedures should be specified.

Individual measurement control procedures should have documented approval by the measurement control s y s t emprogram manager. The procedures should address the following:

calibration frequencies and methods standards used for calibration (i.e., description and storage controls)

NURE G-1065, R e v i s i on 3 20 standards used for control (i.e., method of obtaining or preparation, and traceability) control standard measurements replicate sampling and replicate measurements verification of process control instrumentation through comparison with other process instruments control limits and control responses generation and collection of control data recordkeeping controls and requirements

5.1.3 Contractor

Program Audits and Reviews If an outside contractor or offsite laboratory provides measurement services, the review program used to monitor the offsite measurements should be described.

Such reviews are to ensure that the contractor or offsite laboratory has an acceptable measurement control program to the extent that use of the contractor

's measurements will not compromise the licensee

's ability to meet any measurement or measurement control requirement contained in either 10 CFR 74.31(c) or in its MC&A plan. An initial review of the contractor

's measurement control program should be conducted before licensee use of measurements performed by the contractor or offsite laboratory.

All contractor or offsite laboratory assessment findings and recommendations should be documented and submitted to both the measurement control s y s t emprogram manager and the overall MC&A manager within 30 calendar days of review completion.

The two managers should arrive at an agreement on corrective actions that should be taken, based on their evaluation of the report, and should transmit these findings to the contractor or offsite laboratory in writing.

The licensee should not use measurements performed by such contractors or offsite laboratories until they have verified that the corrective actions have been instituted.

The persons who conduct a contractor review need not be employed by the licensee; but they should not be employed by, or in any way associated with, the contractor or offsite laboratory so that the independence of the conclusions may be maintained.

5.2 Calibrations

The MC&A plan should summarize the licensee

's calibration program and confirm that the licensee has written procedures covering the following topics:

calibration frequency for each measurement device or system identification of the standards used for calibration of each measurement device or system protection and control of standards used to calibrate measurement systems to maintain the validity of their certified or assigned values the range of calibration for each measurement device or system and the minimum number of calibration runs (observations) needed to establish a calibration

21 NURE G-1065, R e v i s i on 3 Unlike control standards, standards used for calibrating measurement systems need not be representative of the process material or items to be measured by the calibrated device or system.

If practical, the standard used during the calibration process should be subjected to all the steps involved in the measurement process that the process unknowns are subjected to (e.g., sample pretreatment), but this need not always be the case.

It is the primary measurement device, not necessarily the entire measurement system that needs to be calibrated, especially when the primary measurement device is common to two or more measurement systems. For example, the Davies & Gray titrimetric method often is used to analyze samples for uranium concentration of two or more different material types (e.g

., UF 6, UO 2 , UN Huranyl nitrate solutions).

In this case, more than one measurement system is involved because different sampling and sample pretreatment methods and different control standards are used. The potassium dichromate (K 2 Cr 2 O 7) titrant, however, is common to the systems; thus, the titrant is what is calibrated (or standardized) with a primary reference material such as certified K 2 Cr 2 O 7 , certified U 3 O 8 , or certified uranium metal.

In the case of nonconsumable standards used to calibrate measurement systems (e.g

., weight standards), the frequency of recertification of assigned values should be specified.

The recertification frequency should depend on how often the standards are handled, the standard

's stability, and the adequacy of the controls used to maintain the integrity of the standards.

Biennial recertification of such standards is usually acceptable.

The MC&A plan should contain a definitive statement that no SNM accountability value is based on a measurement that falls outside the range of calibration.

The MC&A plan also should identify those measurement systems that are point

-calibrated.

A point-calibrated measurement system is one in which the following are true:

The entire measurement system is calibrated with a standard or set of standards that is representative of the process unknowns that the system measures. That is, the representative calibration standard(s) undergoes all the measurement steps, and in the same manner, that the unknowns do.

One or more calibration standards are processed and measured along with each unknown or set of unknowns measured.

That is, both the standard(s) and unknown(s) are measured during the same general time interval, with the same individual measuring both the standard(s) and unknown(s).

The measurement values assigned to the process unknowns are derived from the measurement response observed for the standard(s) that was measured along with the unknown(s).

T he m easurement resp o n s e fo r each u nk no w n s h ou l d f a l l wit h i n p l u s or mi nus 10 percent of the response for a standard measured at the same time as the unknown, or as in the case of a low concentration unknown, the difference between the unknown

's response and the standard

's response should be less than four times the standard deviation associated with the standard

's response.

response and t he s t and a rd's resp onse shou l d be less t han four t i m e s t he s t anda r d de v i a t i on assoc i a t ed w i t h t he s t and a rd's respons e.

NUREG-1065, Revision 3 22 5.3 Control Standard s For measurement systems that are not poi nt-calibrated, a defined method for the periodic measurement of control standards should be established and followed.

Control standard measurements serve the dual purpose of (1) monitoring the stability of a previously determined calibration factor, and (2) estimating the average system bias over a period of time (e.g

., an inventory period).

The minimum total number of control standard measurements during the time period, as well as the typical frequency, needs to be specified for each measurement system.

Generally speaking, for each key measurement system, a minimum of two control standard measurements should be made during each week that the system is in use.

For those key systems that are used less than 8 weeks during a given material balance period, more than two control standard measurements per week of system use may be necessary to provide:

(1) A minimum of 12 control standard measurements for those systems used during the material balance period to measure material totaling less than 100 kilograms of 235 U U-235 (2) A minimum of 24 control standard measurements for those systems used to measure a total of 100 or more kilograms of 235 U U-235 K ey measurement s y stem s for t he curr e n t i n v en t o r y pe ri od a r e any set of des ig na t ed measurem e n t s y stem s (o f t he licens e e's cho o s i n g) w h ich, based on t he most recent p r e vious pe ri od, a ccount fo r a t l e a st 90 pe r ce n t o f t he tot al measurem e n t v a riance c ontri bu ti on t o t he s tanda r d e rror o f t he i n v en t o r y difference (SEID). I nc luded wit h i n t he s e t o f k ey measurement s y s t e m s sho u l d be any sy s t em used t o measu r e an SN M q uantit y (duri ng an i n v en t o r y pe riod) gr ea te r t han 25 pe r ce n t o f t he activ e i n v en t o ry , r egar d less o f it s contri bu ti on t o SEID. The mi n imum nu m b e r of con trol s t and ar d m eas ur e me n t s for s it uati ons (1) and (2), abo v e, can be reduced t o 8 and 1 6 , r e s pectiv e ly , for no n-key measu r e m e n t s y s t e m s t h a t measu r e fro m 1 0 t o 25 pe r ce n t o f t he a ctiv e i n v en t o ry , and t he mi n im um n umber o f control standa r d measurem e nt s for s it ua tions (1) and (2) can be f u rther r ed uced t o 4 and 8, resp e ctiv e ly , for those no n-k ey systems used to measure less than 10 percent of the active inventory quantity.

C on trol standa r ds shou l d be r ep rese nt ativ e o f t he p rocess mat e rial o r item s be i ng measu r e d. T o be r ep rese nt ative, t he s tand ar ds n e ed n o t a lw a y s be i den tical t o t he p rocess u nk no wns; b ut any constituent o f t he process m ateri al or any f a ctor assoc i a t ed wit h a p rocess item , t h a t p roduces a b i as effect o n t he m easurement sho ul d be p rese n t t o t he sa m e degr ee i n t he control s tanda r d s. For sca l es used t o w e ig h v e r y l a rg e it e ms, such as U F 6 cyli n d e rs, t he control s tanda r d w e ig h t s shou l d be artifact standa r ds (e.g., bo t h empt y and f u l l U F 6 cyli nde r s) o f certified mass to avoid a bias effect caused by buoyancy or point loading.

For each measurement system that is not point

-calibrated, the control standards to be used for control standard measurements should be identified or described.

Along with material composition and matrix factors, biases also can be induced by changes in (among other things) temperature, humidity, line voltage, and background radiation.

Biases also can be operator or analyst induced.

Therefore, the scheduling of control standard measurements should be based on the following considerations:

23 NURE G-1065, R e v i s i on 3 Does the variation between analysts or operators need to be considered and therefore monitored?

Can environmental variables contribute to measurement bias?

Is bias likely to vary with respect to the time of day?

Is a particular bias likely to be long term, short term, or cyclic in nature?

I s b i as a func ti on o f t he process m eas ur e ment v a l ues o v er t he rang e o f ca li b r a ti on (i.e., is the relative percent bias nonuniform over the range of calibration)?

What controls or procedures are needed to ensure that sampling or aliquoting of the control standard is representative of the sampling or aliquoting of the process material?

To estimate the bias for each measurement system, how alike

-in terms of chemical composition, uranium concentration, density, homogeneity, and impurity content

-should the control standards be relative to the process unknowns?

5.4 Replicate

Sampling For systems involving sampling, duplicate measurements performed on single samples or measurements of replicate samples are necessary to estimate the combined analytical plus sampling random error.

For nonsampling measurement systems such as nondestructive assay (NDA) and weight measurement systems, the random measurement variance component can be derived from (1

) replicate measurements performed on process items, (2

) the data generated from the measurement of control standards, (3) calibration data, or (4) engineering evaluations

. The licensee should ensure that replicate samples are independent of one another.

The number of replicate samples measured for each analytical measurement system that is designated as a key measurement system, during an inventory period should be equal to one of the following:

(1) 100 percent of the accountability batches sampled (when less than 15 batches)

(2) the greater of 15 samples or 15 percent of the accountability batches sampled (3) 50 samples (when 15 percent of the batches is greater than 50)

For non-key analytical measurement systems, the minimum number of replicate samples to be measured during an inventory period should be equal to one of the following:

(4) 100 percent of the accountability batches sampled (when less than eight batches) (5) the greater of eight samples or 10 percent of the accountability batches sampled (6) 25 samples (when 10 percent of the batches is greater than 25)

NUREG-1065, Revision 3 24 For each m e a surement sy s t em i n v o l v i ng s am p li ng and ana ly s i s, t he MC&A p l an shou l d i nd i ca t e (1) how many sa m p l es ar e tak en and measu r ed f or each accou nt ab ilit y ba t ch m eas ur e m e nt, and (2) how m any ana lyses a r e pe rf o rm ed on e a ch accou nt ab ilit y sa m p l e. I f tw o or m o r e sa m p l es ar e used an d o ne or mor e ana lyses per sa m p l e a r e perform ed fo r each accou nt ab ilit y ba t ch meas ur e m e nt , r ep li ca t e req u ir e m e nt s ar e a u t omati ca ll y m e t. If , ho w e v e r , one s am p l e p er ba t ch i s no rm a ll y used fo r accou nt ab ilit y pu rpose s , t he r ep li ca t e progra m shou l d i nc lude a pe ri od i c takin g o f a sec o nd (i.e., r ep li ca te) s am p l e. For NDA and mass (weig h t) measurem e n t systems, replicate d a t a can be obtained either from the repeat measurements on production items or by using the data generated from the control standard program.

That is, each consecutive pair of control standard measurements (for a given NDA or mass system) can be considered a replicate pair.

The minimum number of replicate measurements performed during an inventory period for a given key NDA or mass system should be as given in items (1), (2), or (3), above, except that the numbers or percentages are in terms of items measured, rather than batches sampled.

Likewise, for non

-key NDA and mass measurement systems, the minimum number of replicate measurements should be as given in items (4), (5), or (6) above.

The scatter in the repeat measurements i scan be used to estimate the random error variance using a statistical technique known as the one

-way analysis of variance.

(The U.S. Nuclear Regulatory Commission (N R C) recommends the statistical methods described in NUREG/CR-4604, "Statistical Methods for Nuclear Material Management," issued December 1988, for satisfying the statistical requirements of 10 CFR 74.31; see also Chapter 6 of this document.)

Replication not only improves the precision of results obtained from the statistical analysis of the measurement data, it also can detect gross errors in the data.

5.5 Control

Limits B o t h w a r n i ng and o ut-of-con trol limit s ar e t o be e st ab lished and used fo r c on trol s tanda r d measurem e nt s for t ho s e measurem e n t s y stem s used fo r nuc l e a r m ateri al accoun t ability. O u t-of-con trol limit s a r e a l so t o be used fo r r ep li ca t e measurem e nt s and measurem e n t o f r ep li ca t e s am p les. H o w e v e r , w a r n i ng limit s a r e o p ti onal for t he r ep li ca t e program. For po i n t-ca li b r a t ed s y s t e ms, t he ass ig ned v a l ue o f th e s tand ar d (s) m eas ur ed a l ong wit h the un k no w n (s) i s ass um ed t o be v a lid. I f t he standa r d's tr ue v a l ue cou l d cha ng e because o f f actor s such as e v apo r a tion, m o i stur e pick u p , o r oxi da ti on, t he v a l ue o f t he s tanda rd shou l d be che ck ed peri od i ca lly. Th erefore, con trol limit s fo r t he v erifi ca ti on m easurem en t s associat ed wit h such standa r ds shou l d b e es t ab lished. T h i s i s e s pec i a ll y tr ue for t h o se po i n t-ca li b r a t ed s y stem s that use a single standard, or aliquots from a single standard, over any extended period of time.

T he licensee no rm a ll y se t s t he w a r n i ng and o ut-of-con trol limit s based on a trade of f betw een (1) t he cost o f i n v estigati ng and resolvi ng i nc i den t s i n w h i ch limit s a r e e xceeded and (2) t he co s t o f acceptin g measu r e me n t s o f po o r q uality. Warni ng limit s s e t a t t he 0.05 l e vel of s ig nificance and ou t-of-con trol limit s set a t t he 0.001 l e vel of sig nificance ar e usua ll y suffi c i en t. Whe n a s y s tem g en er a t es a con trol measurement t h a t f a ll s be y ond an o ut-of-control limit , t he s y s tem shou l d not b e used fo r accountin g p urposes un ti l i t has been b r o ught ba c k i n t o contr ol (i.e., within the upper and lower warning limit).

Control limits should be recalculated at a predetermined frequency and modified if required.

25 NURE G-1065, R e v i s i on 3 The MC&A plan should clearly explain how control limits are established and the frequency for redetermining them.

5.5.1 Measurement

Control Data Analysis Measu r e ment control d at a such a s contr ol s tand ar d measurem e n t resu lt s and t he diffe rences be tw een measurement v a l ues o f r ep li ca t e p a ir s shou l d be p l o tt ed f or g en er a ti on o f control charts. All con trol chart s shou l d be r e vi e w ed at least once e v e r y 2 w ee k s un less a measurement system was not used during that period.

The review should assess the frequency of control data exceeding either the warning or the out

-of-control limits and also provide an evaluation for any significant trends. For an established measurement system, a less frequent review period may be warranted.

e v a l ua t i on f o r any s i g n i f icant trend s. 5.5.2 Response Actions Either the analyst or the operator performing a control measurement or their supervisor should be responsible for promptly reporting any control measurement that exceeds an out

-of-control limit. Such reporting should be made to the measurement control s y s t emprogram manager (or his or her designee), who should have the responsibility and authority to carry out or direct the necessary response and corrective actions.

Minimum response and minimum corrective action requirements should be clearly defined.

In addition, the measurement control program manager (or his or her designee) should be responsible for, and have the authority for, determining and executing additional response and corrective actions as deemed appropriate.

The minimum response to a reported incident of a control measurement exceeding an out-of-control limit should consist of the following: verifying that the measurement system in question has been taken out of service for accountability measurements documenting the occurrence of the event performing at least two additional control measurements performing additional control measurements, if results of item (3) do not show the system to be back in control, using a different control standard or different replicate sample (as appropriate) or recalibrating the measurement system, or making any necessary system repairs reviewing measurements performed on the system in question since the last in

-control run to determine if there is a need to remeasure any items For those measurement systems that make a significant contribution to the SEID, the response to an out-of-control condition also should include the remeasurement of any samples (or items) that were measured before the out

-of-control condition but after the last within

-control measurement.

The validity of the previous measurements can be established without a complete remeasurement of all the samples (or items) involved if remeasurement on a last in, NUREG-1065, Revision 3 26 first out" basis is used.

That is, the last sample (or item) measured before the out

-of-control measurement, should be the first to be remeasured, and continuing in reverse order until two consecutive remeasurements are found to be in agreement with their initial measurement at the 95 percent confidence level.

95 pe r ce n t c on f idence l e v e l. 5.6 Commitments and Acceptance Criteria In its MC&A plan, the applicant or licensee should provide definitive commitments that adhere to the regulatory requirements and meet the acceptance criteria applicable to the measurement control s y s t e mprogram. A finding that the licensee

's MC&A plan for maintaining measurement quality and estimating measurement uncertainty values is acceptable and in accordance with 10 CFR 74.31(c)(3) and (4), will be based on, but not limited to, the following acceptance criteria: 10 CFR 74.3 1 (c)(3) and (4), w ill be based on, but not li m i t ed to, t he f o ll o w i ng accep t a nce c r i t e r ia: The description of the measurement control s y s t emprogram shows that the measurement systems that are the key contributors to the total measurement standard error will be routinely and adequately monitored for both bias and random error.

The standard deviations of measurement systems are estimated from replicate data from measurements made in the same manner as made routinely on typical process samples and items.

If standard deviations are based on replicated measurements of standards (for NDA or mass measurement systems), data are collected demonstrating that the standard deviation estimates do not differ significantly from those based on replicated process item measurements.

(Note: For analytical chemistry measurements, the combined analytical plus sampling random error must be derived from the measurement of replicate process samples rather than based on multi ple measurements of a standard.) All reasonable and probable sources of measurement error, such as the effects of sampling, instruments, environmental factors, and variability between operator and analysts are included in the estimates for standard deviations, either directly as experimental variables in an analysis of variance or by being included in the sample of measurement control data from which the standard deviations are determined.

It must be shown that it is reasonable to expect that the measurement systems that could significantly affect the ID will be in control (when used for accounting purposes) so that twice the total measurement standard error will be within the limits stated in 10 CFR 74.31(c)(4) when calculated at the time of a physical inventory. 10 CFR 74.3 1 (c)(4) when ca l cu l a t ed a t t he t i m e o f a ph y s ical i n v en t o r y. Bias tests are made by measurements of representative control standards whose assigned values are traceable to national measurement systems.

As reasonably achievable, the control standards should closely resemble the unknowns to which the measurement is applied, and the measurement procedures and conditions of measurement must closely resemble those of typical measurements made on process unknowns. A r ec or d o f b i as estimate s fo r each k ey measurement s y s tem (n o t defi n e d as a b i as-fr e e , point-i n-tim e c a li b r a t ed s y stem), as deriv ed from con trol standa r d 27 NURE G-1065, R e v i s i on 3 measurem e nts, i s m a i n t a ined. T he bas i s for de t ermi n i ng t he tim e fram e assoc i a t ed with each s ig nificant b i as ne e ds t o be pr o vi d ed (so t h a t t he q uantit y o f m e a su re d SN M t o whi ch that b i as app li es c an be d et ermined). Bi as co rr ec ti ons (e x p ressed as bo t h gram s e l e m ent and gram s i so tope) ar e deriv ed fo r each s ig nificant b i as (based o n t he quantit y o f measu r ed SN M t o w h i ch t he b i as app li es). Th e MC&A p l an must confir m that each s ig nificant b i as i s e it her app li ed as co rr ecti ons t o it e m s li s t ed i n t he a c co u n ti ng r ec or ds (if the correction for an individual item is greater than the rounding error for that item), or included in the net bia s correction to ID (on line 7 of NRC Form 327).

Schedules and frequencies of replicate and control standard measurements are designed so that the estimates of standard deviations and measurement biases will be based on measurement control data collected under the same measurement circumstances and over the same time span corresponding to that of the SNM accounting measurements to which the standard deviations and bias estimates will be applied. The standard deviation and bias of each key measurement system should be evaluated periodically.

The frequency of such evaluations should typically be at least every 4 months. When determining the average bias and standard deviation of a particular measurement system for an inventory period, pooling of data from previous determinations may be used only if statistical tests show that the standard deviations and biases from prior determinations do not differ significantly from that of the current period, and further provided the pooled data do not include any data generated more than 24 months before the current determination of such bias or standard deviation.

The effort that the licensee expended in monitoring and controlling the bias and standard deviations of each measurement system is shown to be consistent with its impact on ID and the total measurement standard error.

The number of degrees of freedom for estimating the measurement standard deviation may be graded according to its contribution to the total measurement standard error.

Warning limits for a change in bias (for those systems that are not point

-in-time calibrated, bias free) will be set at the 0.05 level of significance (or tighter), unless adequate justification for less stringent limits is provided.

Warning limits are optional, however, for the monitoring of replicate data (for standard deviations).

If a control datum exceeds this limit, the individual responsible for the measurement control program will be notified (this normally should occur within 72 hours8.333333e-4 days 0.02 hours 1.190476e-4 weeks 2.7396e-5 months ) and a data review will be initiated to find the cause, and corrective action will be taken when appropriate.

Such reviews and corrective actions are completed and documented within 2 weeks. U n less ade q u at e j ustifi cati on fo r less stringent limit s i s p r o vi ded, o ut-of-control limit s for bo t h standa r d de vi a ti on and b i as a r e s e t a t t he 0.001 l e vel of s ig nifi ca n ce for a l l key measurem e n t s y stem s, e xcept t h a t no b i as control limit s a r e needed fo r bi a s-fr e e, point-in-time calibrated systems.

If a control datum exceeds this limit, the system in question shall not be used for MC&A purposes until corrective action and resolution is completed, and the system is back in control within the upper and lower boundaries of the warning limit.

Likewise, any measurement values generated between the last within control datum and the out

-of-control datum shall not be used for MC&A purposes until their validity has been confirmed.

Such confirmation can be accomplished by remeasurement of the involved items or samples on a "last in, NUREG-1065, Revision 3 28 first out" basis until two consecutive remeasurements are found to be in agreement with their initial measurement at the 95 percent confidence level.

It should be noted that other criteria for initiating corrective action relative to potentially out

-of-control measurement systems may be accepted where it can be demonstrated that the licensee's capability to meet the 0.

25 percent of active inventory limit for total MC&A measurement uncertainty (as specified in 10 CFR 74.3 1(c)(4)) will not be jeopardized.

m ay be acce p t ed w he r e i t can be d e m on s tr a t ed t hat the license e's capabilit y t o m e e t t he 0.25 p e rcent o f a c t i v e inven t o r y li m i t for t o tal M C&A m eas u r e m e n t u n ce r t a i n t y (as spec i f i ed i n 10 C FR 74.3 1 (c)(4)) w ill not be jeopa r d i z ed. The approach used for bounding the total measurement standard error for a typical material balance period meets the following criteria:

- All reasonable and probable sources of measurement error affecting ID are included.

- Any assumed measurement standard deviations are shown to be reasonable.

They may be shown to be reasonable by comparison to either records of the licensee

's past performance data or to published measurement performance in similar applications.

The calculation of the total measurement standard error is performed in accordance with a recognized error propagation method.

Such methods have been published in the recommended NUREG/CR

-4604 (1988), as well as in TID

-26298 (1973), and the International Atomic Energy Agency (IAEA) statistics handbook (1 9 8 9 19 98). The licensee will confirm that the accountability measurements that a contractor provides are controlled by a measurement control program, and that the licensee will confirm that the contractor

's measurement control program is adequate by conducting audit and assessment reviews of the contractor

's program at intervals not to exceed 24 months. T he m easurement s y stem s ha v e ad eq u at e ca li b r a ti on freq uenc ies, suffi c i ent control o f b iases, and suffi c i en tl y s m a l l s t and ar d de vi a ti ons t o ach i e v e t he req uireme n t s o f 10 C FR 74.3 1(c). A m e a su r e m e nt con trol s y s t emprogram i s use d-by b ot h i n-ho u se activities and any con tr ac to r that p erform s MC&A measurement services for t he license e-t o ensure that the quality of the measurements is maintained on a level consistent with the NRC requirements.

e n su r e that t he q ua li t y o f t he m eas u r e m en t s i s m a i n t a i ned on a l e vel cons i s t ent w i t h t he NR C r e q u i r e m e n t s.

29 NURE G-1065, R e v i s i on 3 6. STATISTICS

6.0 Regulatory

Intent Pr oper u se o f st atisti cs i s im po rtant t o ensuri ng that t he reg u l a t o r y req uirem en t s i n 10 C FR 74.3 1 , "N uc lear M a t e r ial C on tr ol material control and A c coun t i ng accounting fo r S pec ial N uc l e ar M a t e r i al special nuclear material o f low strategic significance

," are met. An effective statistical program will ensure measurement systems perform within control limits, measurement uncertainties are calculated and propagated, the inventory difference (ID) and standard error of the inventory difference (SEID) are properly determined, and significant shipper-receiver differences (SRDs) are identified. For example, 10 CFR 74.31(c)(5) requires licensees to calculate the ID and SEID for the material balance period terminated by each physical inventory. Proper use of statistics is important to correctly propagate the uncertainties from all measurements into an accurate SEID value.

6.1 Determination

of Measurement Uncertainties To achieve the general performance objectives of 10 CFR 74.3

, and meet the 10 CFR 74.31 requirements, each licensee or applicant should institute a statistical program that evaluates the material control and accounting (MC&A) data to ensure that (1) the measurement data are analyzed in a rigorous manner and (2

) statistical tests and inferences concerning the status of the nuclear material possessed are appropriately tested. The U.S. Nuclear Regulatory Commission (NRC) sponsored the development of a comprehensive reference that specifically addresses the statistical treatment of measurement control and accounting data.

The NRC recommends the statistical methods described in NUREG/CR

-4604, "Statistical Methods for Nuclear Material Management" (1988), as well as in TID

-26298 (1973) and the International Atomic Energy Agency (IAEA) statistics handbook (198 9 19 98), for satisfying the statistical requirements of 10 CFR 74.31.

The MC&A plan should:

contain a detailed discussion of the procedures and methodologies for estimating measurement variance components discuss how biases are determined and how bias corrections are applied, including:

o how often biases are estimated o how the bias

' effect on the measured quantity of material in an item is determined o when and how bias corrections to items are made o how their effect on ID is determined o when and how bias corrections are applied to the ID describe the procedure and means for determining active inventory provide all relevant information regarding the determination of the SEID

NUREG-1065, Revision 3 30 specify the nominal (typical) detection quantity (DQ), and the method for determining the actual DQ for a given material balance period.

Also confirm that DQ will not exceed

1.3 percent

of the larger of annual additions to or removals from process, except when

1.3 percent

of additions to or removals from process is less tha n 25 kilograms of U-235 , in which case the DQ need not be less than 25 kilograms of U-235. (Note: For those facilities that do not use any chemical processing, DQ should be limited to 0.

90 percent of annual additions to or removals from process, but need not be less than 25 kilograms of U-235.) 1.30 p e rcent o f t he l a r g e r o f annual add i t i ons t o o r r e m o v a l s from p r o cess, e xcept w hen 1.30 p e rcen t o f add i t i ons t o or r e m o v a l s f r o m p r o cess i s less t h a t 25 k il og r a m s o f 235 U , in w h i ch case t he D Q need not be less t han 25 k il o g r a m s o f 235 U. (N o te: F o r those f ac ili t i es t h a t do not use any che m ical p roce s s ing, D Q shou l d be l i m i t ed t o 0.90 pe r ce n t o f annual add i t i ons t o or r e m o v a l s from p r o cess, but need not be less t h a n 25 k il o g r a m s o f 235 U.) spec if y t he m e thodo l o g y for determi n in g I D thr es h o l d v a l ues t o be used t o p r o vi de a 90 percent power of detecting a loss of a DQ, as required by 10 CFR 74.31 (c)(5). (See Chapter 7 for additional information on ID limits and response actions.)

6.2 Determination

of Standard Error of the Inventory Difference A s defi ned i n 10 CFR 7 4.4, t he SEI D means t he standa r d de vi a ti on o f an I D that takes into account a l l meas ur e m e n t erro r contri bu ti ons t o th e I D co mponents. For s tr ategi c SN M f acilities, non measurem e n t contrib u t o r s t o t he I D a r e not t o be i nc luded i n t he SEI D ca l cu l a ti on. H owev e r , f or fa cilitie s possess i ng on l y SN M of lo w s tr ategi c s ig nificanc e , t he NR C allow s licensees t o tak e limit ed c r ed i t for no nmeasureme nt contri butors. I t i s not r ea ll y poss i b l e t o q uantif y t he non m easurement con tribu ti on t o t he unce rt a i n t y ass o c i a t ed wit h a giv en ID , b u t 10 CFR 74.31 licensees are permitted to assume that the total nonmeasurement contribution to SEID equals the total measurement error contribution.

When including only measurement uncertainty, SEID (for either U or 235 U U-235, as applicable) can be expressed as follows:

k SEID = [ i)2 i)s 2 i)r 2/n} ]1/2

i=1 where k = number of measurement systems G i = total grams uranium (or 235 U U-235) measured during inventory

-period by measurement system i i)s = systematic error standard deviation for measurement system i i)r = random error standard deviation for measurement system i n = number of batches (items) measured by measurement system i When taking the maximum allowable credit for nonmeasurement contribution (which assumes a 1:1 ratio of measurement to nonmeasurement contributions), 1: 1 r a t i o o f meas u r e m e n t t o non m eas u r e ment co n tr i bu t i ons), SE I D =

31 NURE G-1065, R e v i s i on 3 k SEID = [ i)2 { i)s 2 i)r 2/n} ]1/2 i=1 In theory, SEID provides the uncertainty, at the 67 percent confidence level, of the ID estimate. The MC&A plan should provide all relevant information regarding the determination of SEID.

There should also be a commitment that at least two individuals independently verify the correctness of the SEID calculation for each total plant material balance.

If the SEID value is calculated byusing a computer program, the verification by two or more persons involves checking for correctness of the input data that t he c o m pu t e r used to calculate the SEID. T he met hod t o be used f or estimati ng t he SEI D fo r t he ty p ical m a t e rial ba lance, as sho w n in the A nn ex , shou l d be consist e nt wit h t he f o ll o wi ng crit e ri a: Al l reasonab l e and pr ob a b l e sou rces o f m e a surement e rr or fo r t he key measu r e m e n t s y s t e m s affe ctin g ID s ar e i nc l uded. T he se l ec ti on o f t he key measurem e nt s whose v a riances a r e t o be i nc l uded in ca l cu l a ti ng t he s t and ar d e rr o r i s j ustifi ed by an a n a ly s i s of t he r e l ativ e ma gn it udes o f t he v a riance co m ponen t s o f a ty p ical ID and t he i r c om parativ e eff e c t on t he SEID. A ny measurement e rr or s t anda r d de vi a ti ons not ac t ua ll y de t e rmi ned by th e measurem e n t control program a r e sho w n t o be reasonab l e e ither by co mp a rison wit h pub lished s t a te-of-t h e-a r t m eas ur e ment pe rf ormance i n similar app li ca ti ons (see such sou rces as R o g e r sNUREG/CR-2078 (19 8 3), and R e ill y and Ev ans (197 7)) or wit h r ec or ds o f pa st performance da t a fro m t he license e's f acility. Re co r ds sho wi ng these da t a shou l d be a v a il ab l e t o t he NRC. T he ca l cu l a ti on o f t he SEI D i s perform ed i n acc ordance wit h a r ec o gn iz ed e rror p r op ag a ti on m e t h o d. Su ch met hods ha v e been p ub lished by JaechinTID-26298 (197 3) and t he IAE A (1 9 7 7 (19 98). 6.3 Bias Corrections From a statistical perspective, biases that are not statistically significant (at the 95 percent confidence level) should never be applied as adjustments (corrections) to the accounting records. If one wishes to obtain the best estimate of the true ID value, it can be argued that such insignificant biases should be applied as a non

-accounting adjustments to the initially calculated ID (as obtained from the ID equation:

ID = BI + A - R - El). Such practice is not deemed necessary, however, for material balances pertaining to SNM of low strategic significance, and thus is optional.

For statistically significant biases (at the 95 percent confidence level), it is common practice to adjust the accounting values for individual items if the bias effect (as grams element and grams isotope) on the item is more than the rounding error for that item, and if less than the rounding error, to apply the bias as a non

-accounting adjustment to the ID.

Under a well-designed and well managed measurement control program, bias corrections to the accounting records should seldom, if ever, be necessary under the above mentioned approach.

Although the effect on an individual item from a statistically significant bias should be negligible, the effect of that bias NUREG-1065, Revision 3 32 across hundreds or thousands of items (whose SNM values were derived from the biased measurement system) could have a very significant impact on the ID value.

Nevertheless, in view of the very large quantity of SNM (of low strategic significance) that is of a safeguards significance, NRC acceptance criteria does not normally call for applying bias corrections to either the accounting records or as an adjustment to ID unless the effect of a single significant bias or the net sum of all significant biases is unusually large.

As a minimum, to meet NRC acceptance criteria, a bias correction for a single key measurement system should be considered "significant,"

and thus applied either as corrections to the accounting records or as an adjustment to th e ID, if (1) such bias is statistically significant at the 95 percent confidence level, and (2

) either or both of the following are also true: (1) Applying the correction would cause the ID to exceed its detection threshold (DT) value (2) The bias is greater than 0.0100 percent relative and also affects the ID value by more than 1,000 grams 235 U U-235. A dditiona lly , t he n e t alge b r a i c s u m (e x p ressed as gram s 235 U U-235) o f a l l stati s ti ca ll y s ig nificant (95 p ercent confidence l e v e l) b iases, fro m k ey measu r e m e n t s y s t e m s not defined as b i a s-fr e e , that ha v e not be e n app li ed as a co rr ecti on or a dj us tm e n t und e r Cond i t i on condition I and/o r II , abo ve, i s cons i de r ed t o be s ig nificant and i s t o be app li ed as a n e t a dj ustm e n t t o th e I D i f e it h e r o r b ot h of the following are true: Applying such correction would cause the ID to exceed its DT value The net correction impacts the ID value by more than 5.00 percent of the licensee

's DQ, or 10, 000 grams 235 U U-235, whichever is larger All measurement systems affecting a n ID estimate or shipper

-receiver comparison should be monitored for bias except as noted below.

The intensity of the monitoring program is proportional to the significance of the measurement system for the test involved.

The key measurement systems (i.e., those that contribute at least 10 percent of the estimated measurement standard deviation of an SRD or an ID estimator) should be tested for bias at least monthly except where:

t he measurem e n t s y s te m has been d e m onstrate d t o be q u it e st ab l e and t he resu lt s p r ed i c t ab l e t he measurement s y s te m i s defi ned a s b i a s-fr ee Where the above conditions exist, the bias tests can be extended to 3 months or exempted altogether if the system qualifies as bias

-free. The bias tests should be made using the mean of at least eight control standard measurements.

Bias corrections should be made to individual items if the bias exceeds twice the standard deviation of its estimator and also exceeds the rounding error of affected items.

33 NURE G-1065, R e v i s i on 3 Measu r e m ent s y stem s ar e st atisti ca ll y "b i as-fr e e" i f a r ep rese nt ativ e st an d a r d i s r un for each un k no w n or set o f u nk n ow ns measu r ed a t t he s am e time , o r r ep rese nt ativ e s t and ar ds ar e measu r ed befor e o r after a g r oup o f process s am p l es and t he st andard(s) measurem e n t response and ass ig ned v a l ue, rather t h an any previ ous ca li b r a ti on i nform a ti on, a r e used i n de t ermi n i ng t he v a l ue o f t he u nk no w n (s).

NUREG-1065, Revision 3 34 7. PHYSICAL INVENTORIES

7.0 Regulatory

Intent The intent of the physical inventory requirements in 10 CFR 74.31(c)(5) is to require licensees to perform annual physical inventories to confirm that a loss or diversion of a safeguards significant quantity (i.e

., a detection quantity (DQ)) of low strategic special nuclear material (SNM) has not occurred. Licensees are required by 10 CFR 74.31(c)(5) to conduct physical inventories at i n t e r v a l s not t o e xceed 370 ca l en d ar da y s.least every 12 months. The principal method of confirming the presence of SNM is to perform a physical inventory and compare it to the book (record) inventory.

If all SNM is included, the expected difference between the book inventory and the physical inventory is zero plus or minus the measurement uncertainty associated with both the physical and book inventories.

In any actual case, the size of the estimated inventory difference (ID) depends on measurement errors, as well as various nonmeasurement contributors

, such as recording errors, unmeasured losses, and unmeasured residual holdup as discussed further in Section 7.5 (see Glossary for the definition of "residual holdup"). 7.1 General Description The applicant or licensee should provide a general description of how physical inventories of the plant will be planned, conducted, assessed, and reported.

The material control and accounting (MC&A) plan should contain a definitive statement that physical inventory functions and responsibilities are reviewed comprehensively with the involved individuals before the start of each physical inventory.

A book inventory listing, derived from the MC&A record system, should be generated just before the actual start of each physical inventory; such listing shall include all SNM that the records indicate the licensee should possess at the inventory cutoff time.

T he I D and r elat ed inform a ti on assoc i a t ed wit h each ph y s ical i n v en t o r y of l o w-en riched u r an ium (L EU) (i.e., U.S. Department o f E nergy/U.S. N u cl ear Regu l a t o r y C ommis s i on (DOE/NRC) m aterial code 2 0-E 1 and 2 0-E2) a r e t o be r eporte d t o t he NRC , p ursuant t o 10 CFR 7 4.17(a), on an NRC Form 327 as the results of a physical inventory.

In addition, if the licensee possesses any material associated with material codes 20

-E3 and 20-E4 (i.e., high-enriched uranium (HEU)), 70 (233 UUranium-23 3), 50 (Plutonium), or, 83 (Plutonium

-238), such material also must be subject to the physical inventory, and each material code ID and associated information must be reported on separate NRC 327 Forms.

7.2 Organization, Procedures, and Schedules The MC&A plan should explain the makeup and duties of the typical physical inventory organization.

The individual that ha s responsibility for the coordination of the physical inventory effort should be identified by position title.

The MC&A plan also should indicate how the preparation and modification of inventory procedures is controlled.

The MC&A plan should contain a definitive statement that specific inventory instructions are prepared and issued for each physical inventory.

35 NURE G-1065, R e v i s i on 3 7.3 Typical Inventory Composition T he ty p ical e x pec t ed i n-process i n v en t o r y wit h i n t he eq u i p ment for bo t h u r an i um and 235 U U-235 at t he tim e o f t he ph y s ical i n ve n t o r y shou l d be specifi e d. A ty p ical co mpositi on o f SN M as stor ed items at the time of a physical inventory also should be presented.

Plants may be (but are not required to be) divided into a number of material balance areas (MBAs) and item control areas (ICAs) to reflect the functional activities as follows:

Processing-a n MB A i n whi ch occu r s (1) r ou ti ne tr an sf e r s o f nuc lear materi al fro m o ne con t a iner t o a no t h er , (2) chan g es i n chemical as s a y , or (3) cha ng es i n chemical or ph y s ical f o rm. V a ri ous measurem e nt s ar e req u ir ed t o defi ne m ateri a l s fl o w s t h r o ug h the p rocess and t o perfor m p h y s ical inv en t o ri es so th at peri od i c mat e rial ba lances can be co m p l e t ed fo r t he MBA. Because t he s e measurem en t s ha v e assoc i a t ed unce rt a i n ti e s , a p rocess in g MB A will no rm a ll y ha v e a non z e r o I D for each i n v en t o ry. O f th e total p lant MBA s and ICAs, a r e l ativ e l y s m a ll nu mber might b e p roce s s i ng MBAs. Ex a m p l es a r e the decontamination and recovery operations; analytical laboratory; and material rebatching, blending, and sampling operations.

Physical inventories for the decontamination and recovery operations are the most complex and involve the most coordination and careful timing. Storage-ICAs in which all materials are within containers with measured values and are being stored for future processing or shipment.

Some minor sampling of containers can occur in a storage ICA.

Because nuclear materials in a storage ICA primarily are accounted for on an item basis, a true storage ICA typically will have a zero ID for each inventory period when all items are accounted for and their integrity and previously documented measured values are confirmed.

Receiving and shipping

-an ICA from which materials are shipped or into which materials are received from off site. This ICA type normally will serve as an interim storage area and will see more activity (i.e., changes in current inventory) than the typical storage ICA.

At some facilities, sampling and rebatching of items may occur in this type of ICA.

7.4 Description

of Typical Item Strata The MC&A plan should describe the expected item population in terms of the following:

type of item (i.e., stratum) expected range of the number of items within each stratum the average uranium and 235 U U-235 content of the items within each stratum the expected rate of item generation and consumption for each stratum

NUREG-1065, Revision 3 36 7.5 Conducting Physical Inventories T he MC&A p l an shou l d con t a i n a de s c ri p ti on o f th e i n v en t o r y m e thodology , i nc l ud i ng cutof f and i n v en t o r y minimiz atio n p rocedu res, and shou l d id entif y a l l m eas ur e m e nt s (i nc l ud i ng s am p ling) suffi c ient t o m e e t t he re qu ir e m en t s o f 10 CFR 74.31 (c)(5). T he MC&A p l an a l so shou l d co nt a i n sufficient information to show how the total in

-process inventory for both uranium and 235 U U-235 is obtained. T he means fo r m easuri ng or estim atin g r es idual ho l dup shou l d be ad dr e ssed i n de t a il , and the chan g e or v a ri a ti on i n s u ch h o l dup fro m one ph y s ical i n v en t o r y t o t he ne x t a l so shou l d be d iscussed. T h i s inform a ti on i s im po rtant t o ens ur e no SN M he l d under license (e xcept fo r w as t e m ateri a l s ass ig ned t o ho l d i ng a ccoun t s i n acc or d ance wit h t he e xcep ti ons p r o vi ded i n 10 CFR 74.31(c)(6) and DOE/NRC Form 741 instructions) will be omitted, and no quantity will be counted more than once

. The MC&A plan also should contain adequate commitments to ensure that each physical inventory will be organized and coordinated so that all involved persons are instructed in the use of uniform procedures of checking SNM quantity and recording observations.

The means for conducting the inventory must ensure that any SNM held under license (except for waste materials as noted above) is properly inventoried.

A detailed inventory notice should be prepared for each physical inventory.

The notice should be issued to all involved parties and should contain instructions that define the timing and performance of various inventory steps and conditions under which the inventory will be taken.

Specific sampling points throughout the process and instructions on data submission to the accountability organization should be identified.

The instructions should highlight any required deviation from normal inventory procedures contained in the plant's operating procedures.

A description of the procedures and methodologies associated with performing physical inventories should be provided in sufficient detail to demonstrate that valid physical inventories are conducted.

Such description should include a general outline of the following:

organization and separation of functions assignment of inventory teams and their training in the use of uniform practices obtaining, verifying, and recording of source data control of inventory forms assurance that item counts verify the presence of each item while preventing any item from being counted more than once implementation of cutoff and material handling procedures Decontamination and recovery is a complex operation involving the disassembly and decontamination of failed pieces of process equipment, and recovery of uranium from various types of scrap materials.

The basic inventory procedure should involve establishing a cutoff of 37 NURE G-1065, R e v i s i on 3 movement of materials into the area and processing all materials to a measurable form, such as containers of solution or oxide.

Except for the decontamination enclosure in which in

-process solutions are mixed, sampled, and measured volumetrically, the inventory process should involve emptying and flushing of process systems and piping, which then could be measured using nondestructive assay (NDA) techniques to establish levels of residual holdup, if such holdup is significant.

S pec ial it em st orag e and h a nd li ng o r tam per-i nd i ca ti ng method s , w h i ch a r e used t o e n su r e t h a t t he pr e vious l y measu r ed and reco r ded SN M con tent v a lues can be used f or i n v en t o r y pu rposes without r e m easurem en ts , a l so shou l d be d e sc ri b ed. I n addition, t he MC&A p l an shou l d pr o vi de a description of how item identities are verified and how tampering with the contents of items will be detected or prevented.

Items that are not encapsulated, affixed with tamper-indicating device (TIDs), or otherwise protected to ensure the validity of prior measurements need special attention.

The basis for determining which items are to be measured at physical inventory time and the justification of any proposed alternatives to measurement of any SNM included in the inventory should be presented.

If statistical sampling is proposed as an alternative method to 100 percent verification, the MC&A plan should describe the sampling plan.

Such description should include: the method of segregating the types of items to be sampled (i.e., selected for remeasurement) the procedure for calculating the sample size (i.e

., the number of items) for each stratum the parameter to be measured (e.g., gross weight or total 235 U U-235 conten t) the quality of the measurement methods used to verify original measurement values (fo r the parameter being measured) the procedure for reconciling discrepancies between original and remeasurement values, and for scheduling additional tests and remeasurements the basis for discarding an original SNM value and replacing it with a remeasurement value One acceptable way for establishing the number of items (to be randomly selected for remeasurement) from a give n stratum to give the required 90 percent power of detecting a loss of a DQ is given by the following equation:

n = N [1 - (0.10)x/g] where n = number of items to be remeasured N = total number of items in the stratum x = maximum 235 U U-235 content per item (kilograms) g = DQ = detection quantity (kilograms 235 U U-235)

NUREG-1065, Revision 3 38 When using such a statistical sampling plan to confirm the validity of prior measurements, the remeasurement value obtained for each item (among the n items remeasured) must be compared to its original value.

If the difference for a given item exceeds some pre

-determined limit (usually three times the standard deviation of the measurement, or, 3 sigma), that item is designated as a "defect." To achieve the 90 percent power of detection capability for detecting a loss of a DQ, there must be at least a 90 percent probability that one or more "defects" will be encountered among the items remeasured across all involved s t a t a st rata if an actual loss of a DQ has occurred.

If, across all strata, one or more defects are encountered, a second set of n randomly selected items (or all remaining items if n 0.5 N) from each stratum should be remeasured.

If one or more defects are encountered (across all item stata) while performing any second round of remeasurements, all unsealed and unencapsulated items not yet remeasured are to be remeasured. Any item, regardless of whether there are any defects, whose remeasured value differs from its original measurement by more than two sigma (2) should have its accounting value revised to reflect its remeasured quantity.

The MC&A plan also should contain a definitive statement that all items on ending inventory that have not been previously measured are measured for inventory purposes.

The rationale for determining when the element and isotope factors for items, objects, or containers are measured directly for inventory and when they may be based on other measurements should be presented in the MC&A plan. For example, if the 235 U U-235 contained in liquid waste batches is derived by applying an average enrichment factor to the measured uranium element content, the rationale for such practice (as opposed to measuring each batch for both uranium and 23 5 U U-235 content) should be discussed, and the method for establishing the average enrichment factor should be described.

If the content of items is established through prior measurements and those items are sealed with TIDs or access to them is controlled, the SNM quantity in those items may be based on those measured values.

Otherwise, verification of SNM content can be achieved by reweighing either (1) all items within a given stratum or (2

) randomly selected items from the stratum based on a statistical sampling plan.

A statistical sampling plan will not be acceptable if there is any likelihood of any significant change in the uranium concentration (or weight fraction) or in the uranium isotopic distribution because of such factors as oxidation, change in moisture content, commingling with materials of different enrichments, or different compositions.

7.6 Inventory

Difference Limits and Response Actions Each licens ee shou l d h av e a w e l l-de fi ned s y s t em fo r e v a l ua ti ng total p lant ID s and taki ng actions when IDs exceed certain predetermined thresholds.

As a minimum, there should be two response levels, and three levels are recommended, for excessive IDs.

The following would be an acceptable approach for three increasing levels of response actions with respect to physical inventories:

War ning-level I D 23 5 U U-235 I D 1.7 (s tanda r d e r ror o f t he i n v en t o r y d i ff e rence (SEID) + 500 g r a m s or (SEID) + 10 kg U Sig nificant ID U or 235 U U-235 3 (SEID) problem M a j or I D pr ob l em 23 5 U U-235 DQ - 1.3 (SEID) 39 NURE G-1065, R e v i s i on 3 All of t he abo v e limit s ar e e x p ressed i n t e rm s o f abso l u t e v a l ues o f I D without reg a r d fo r a lg eb r a i c sign. T he mi n imum resp onse for a w a r n i n g-l e vel ID shou l d be a docu m e nt ed licensee investigation conducted by the MC&A organization.

Such an investigation should provide a conclusion for the probable cause of the excessive ID and give recommendations for avoiding recurrences.

When a warning

-level ID is positive, it should be regarded as being equivalent to an indicator of a possible loss that requires investigation and resolution.

For a significant ID problem, an extensive investigation by the licensee should be conducted.

If a significant ID problem cannot be satisfactorily explained, a reinventory may be needed.

For any unresolved ID determination that remains a major ID problem (without regard to algebraic sign), the licensee should conduct a plant

-wide reinventory and investigation.

The NRC considers a positive ID large enough to be a major ID problem as a very serious condition.

The MC&A plan should fully describe in definitive statements the minimum response actions for each ID action level.

7.7 Commitments

and Acceptance Criteria In its MC&A plan, the applicant or licensee should provide definitive commitments that adhere to the regulatory requirements and meet the acceptance criteria applicable to the physical inventories.

A finding that the licensee

's MC&A plan for conducting physical inventories is acceptable and in accordance with 10 CFR 74.31(c)(5), will be based on, but not limited to, the following acceptance criteria:

An MC&A program will be maintained that is capable of confirming, at i n t e rv a l s not t o e xceed 370 ca l endar d a y sleast every 12 months , the presence of all SNM expected to be present (at a given time) based on accurate, current, and reliable information.

The inventory must ensure that no SNM held under license will be omitted, and no quantity will be counted more than once.

U n less o t herwi se req uire d by Fac ilit y Attach m e nt s t h a t satisf y 10 C FR P a r t 75, "Safeg ua rd s on N uc lear M a t e ri al-Im p l e m entati on o f US/IAE A [Inter national A t o mi c E ne rg y Ag enc y] A g r ee m en t," ph y s ical i n v en t o ri es will be performe d a t l ea s t e v e r y 370 ca l endar da y s 12 months and will be used as the basis for reconciling and adjusting the book inventory that is done within 60 calendar days after the start of each physical inventory.

For each physical inventory, inventory procedures are clearly written and are reviewed and approved by the individual responsible for conducting the physical inventory.

The individual responsible for conducting the physical inventory is either free from potential conflicts of interest or is overchecked sufficiently to prevent compromising the validity of the physical inventory.

Each physical inventory listing will include all SNM possessed on the inventory date, except for waste materials assigned to holding accounts (in accordance with the exception provided in 10 CFR 74.31(c)(6) and DOE/NRC Form 741 instructions). A ll such listed SNM quantities are to be based on measurements, and no quantity will be NUREG-1065, Revision 3 40 counted more than once.

Wit h i n 60 ca lendar da y s afte r t he st a r t of each p hy s ical inv en t o ry , t he i n v en t o r y d i ff e rence (ID) will be de t ermined. A ny ID , w h i ch i s rej e ct ed by a stati s tical t e s t that has a 90 p ercent po w er o f d et ectin g a d i sc r epa n cy o f a q uantit y o f 235 U U-235 that t he NRC established on a site-specific basis, will be reported to the appropriate NRC safeguards organizational units.

Di sc r epanc i es i n t he i d e ntity , q uantit y or l ocati on o f items , o bj ec t s o r contai ne r s o f SN M that are detected during a physical inventory will be corrected. ID values will be corrected for (1

) accounting adjustments resulting from prior period activity, and (2

) significant biases that have not been previously taken into account.

(Note: See the definition of significant bias in Chapter 4.) Adjustments made to reconcile the book inventory to the physical inventory are in accordance with standard accounting practices and are traceable and auditable in the MC&A records.

Whenever a finalized 23 5 U U-235 ID (after applying any appropriate bias corrections and prior period adjustments) is greater than the 235 U U-235 detection threshold (DT) and is not resolved within the 60 calendar day reconciliation period, all SNM processing should be halted and a reinventory conducted. (Note: This applies to both positive and negative ID values.)

The results of all physical inventories and of investigations and resolution actions following any excessive 2 35 U U-235 ID are recorded and auditable.

A n e xcess i v e I D i s one (r e g a r d less o f t he a l g eb r a i c s i g n) that e xceeds b o t h 3.00 t i m es SE ID and 9 , 000 g r a m s 23 5 U. The MC&A plan contains adequate commitments to ensure that each physical inventory will be organized and coordinated so that all involved persons are instructed in the use of uniform procedures of checking SNM quantity and recording observations.

The inventory procedures provide for confirming the presence of all items by direct observation and the presence of all quantities of SNM, that are neither encapsulated nor tamper-safed, by direct measurement or an acceptable alternative. The proposed alternatives to remeasurement should satisfy one of the following criteria:

The SNM content is verified by statistical sampling and measurement of representative items, objects

, or samples of the material.

The total overall sampling plan should support the capability for detecting any loss in excess of the current DQ with 90 percent (or better) probability.

90 pe r ce n t (or be t t e r) p r o bab ili t y. The previous measurement results are accepted because the items are stored in a controlled access enclosure that provides protection equivalent to tamper

-safing. Residual holdup in significant amounts which remains after cleanout or draindown may be estimated if the estimate is based on previously measured values, and it is periodically verified or validated.

41 NURE G-1065, R e v i s i on 3 For material whose SNM content has been previously measured, and there is no likelihood of any significant change in the uranium concentration (or weight fraction) or in the uranium enrichment because of such factors as oxidation, change in moisture content, commingling with materials of different enrichment or different composition, etc., the previously determined uranium and 235 U U-235 content may be accepted without verification of SNM content

, provided the gross weight or net weight of all items within the population is confirmed by (1) a 100 percent reweighing of all such items, or (2) reweighing an adequate number of randomly selected items (based on a statistical sampling plan) to provide a 90 percent (or better) probability of detecting a loss equal to or greater than the current DQ t o o r g r ea t e r t han t he cu r rent D Q As an additional alter native to remeasurement (of unsealed SNM) at physical inventory time, a program of routine process monitoring will be acceptable when the combination of the process monitoring program and the inventory procedures will achieve the same level of loss detection capability as that provided by a physical inventory in which all unencapsulated items are either tamper

-safed or remeasured.

Any previously measured, but unsealed (or unencapsulated) SNM that is on hand at the time of the physical inventory, and which is to be introduced into subsequent processing steps before inventory reconciliation should be remeasured or have its prior measurement value confirmed (by an acceptable alternative) before the subsequent processing is initiated.

T he D Q (i n kilogram s 23 5 U U-235) fo r any giv en i n v en t o r y pe ri od will be no gr eate r t han 1.3 percent of that period

's throughput for facilities involved in chemical processing (such as UF 6 conversion, scrap recovery, oxidation or reduction processes, etc.), and no greater than 0.

90 percent of throughput for facilities where material only undergoes physical changes (such as pressing UO2 powder into pellets or loading pellets into fuel rods), unless the 0.90 or 1.

30 3 percent of throughput (as appropriate) is less than 25 kilograms U-235, in which case the DQ need not be less than 25 kilograms. The U-235 throughput is defined as the greater of "addition s to process

" or "removals from proces s" duri ng a 12-month inventory period.

The MC&A plan should state that the DT for an excessive ID will result in a 90 percent (or better) probability of detecting a discrepancy (i.e., an apparent gain or loss) equal to or larger than the 235 U U-235 DQ for the inventory period in question.

In general, a licensee may assume the ID distribution approximates a normal distribution, and therefore:

DT = DQ - 1.3(SEID) I n g en er a l , a licensee m ay assu m e t he I D distrib u ti on app r oxim a t es a no rm al distribution. Acceptable methodology for calculating the measurement error contribution to the SEID by error propagation is found in NUREG

-4604 (1988), TID

-26298 (1973), and the IAEA statistics handbook (19 98). Special attention is given to inclusion of all measurable sources of error to avoid underestimating the SEID.

and t he I AE A s t a t i s t i cs h andbook (198 9). S pec i al a t t en t i on i s g i v en t o i nc l us i on o f a l l measu r ab l e sou r c e s o f e rror t o a v o i d unde r e s t i m a t i ng t he SE I D. In addition to the DT ID alarm limit, there is at least one excessive ID warning level limit NUREG-1065, Revision 3 42 that when exceeded will require an investigative response action.

The resources and level of effort to be committed to the investigation of an excessive ID will be proportional to the magnitude of the ID, but will be sufficient to reassess the results of the physical inventory, the accounting records, and the measurement control program data; to confirm the relevant calculations and data analysis; and when necessary, to carry out searches for unmeasured inventory such a s residual holdup and measured discards.

Investigations are to be completed within 60 days after initiating the inventory (except when the NRC grants additional time for extenuating circumstances).

43 NURE G-1065, R e v i s i on 3 8. ITEM CONTROL

8.0 Regulatory

Intent T he i n tent o f 10 C FR 74.31 (c)(6) i s t o req u ir e li c ensees t o e st ab lish, doc um en t , and m aint a i n an item con trol s y s tem t o p r o tect ag a inst unau t horiz ed and u nreco r ded removal of it e ms , o r o f m ateri al fro m it e ms, and t o enab l e tim e l y loca ti on o f items. I t e m sAn item , as defin ed i n 10 C FR 74.4 , "Definitio ns ," m eanmean s any di sc r e t e q uantit y or co nt a i ner o f spec ial nuc l e a r m a t e rial (SNM) or sou r ce mat e ri a l , n o t u n d e rg o i ng p r oc e ss i ng, ha vi ng a un iq ue i dentit y and a l so ha vi ng an ass ig ned e l e ment and i so t ope q uantity. Ex a m p l es o f item s ar e kn o w n q u a ntiti es o f SN M i n well-defi ned and un iq ue l y i dentifi ed co nt a i n m e nt such as cans, d r u ms , a n d can i sters, or fix ed un it s such as fuel a s se m b lies. U n-c on t a i neriz ed so li d SNM , such as u r an ium m e t al i ngot s or bu tt on s , ar e a l so item s if t h ey a r e un iq ue l y i dentifi ed. T o pr omptl y loca t e a giv en it e m , suffi c ient cu rr e n t inform a ti on m u st be r ec orded. 8.1 Organization T he mat e rial control and accountin g (MC&A) p l an shou l d i dentif y t he i ndividual respons i b l e fo r o v e rsee i ng t he item con tr ol s y s t em by positi on title. P ositi ons o f those i ndivi du al s w ho ha v e s ig nificant ite m contr ol sy s t em respons i biliti es a l so shou l d be i dentifi ed. 8.2 General Description T he app licant o r licensee shou l d st a t e t h a t t he o v e r a l l MC&A p r og ra m m a i n t a i ns a r ec or d o f a l l SN M it e ms, regar d less o f q uantit y or durati on o f exi s tence. I n addition, t he item control s y s te m shou l d p r o vide cu rr e n t k no wl ed g e o f t he l ocation, i dentity , and q uantit y o f a l l SN M con t a i ned i n a l l it e m s that a r e n o t e xcep t ed, and should enable the detection of unauthorized removals of individual items or 500 grams or more of uranium

-235 from one or more items. The regulations allow certain types of items to be ex e mpted fro m t he item con tr ol req u ir e m ents. A s stat ed i n 10 CFR 74.31(c)(6), the following i te m s are ex e mpted from its requirements

10 CFR 74.3 1 (c)(6), t he f o ll o w i ng i t e m s a r e e xcep t ed fr o m it s r e q u i r e m e n t s: Solutions with a concentration of less than 5 grams per liter of plutonium or uranium

-233 or uranium

-235 or a combination thereof of less than 5 grams per liter Laboratory samples and reference standards maintained in the laboratory material management system and containing uranium enriched to less than 10 percent in the uranium-235 isotope Items existing less than 3 calendar days and containing less than 100 grams of uranium

-235 Items of waste destined for burial or incineration Al l o t her item s shou l d be stor ed and hand l ed i n a manner t h a t enab l es de t ec ti on of, and p r o vi des p r o t ecti on ag a i ns t, unau t horiz ed or unre co r ded r e m o v a l s o f SN M. Al l it e ms , w he ther or n o t t hey a r e sub j e c t t o item control s y s te m co v erage, shou l d ha v e a un iq ue i dentity. For it e m s sub ject t o t he item con tr ol s y s t e m , t he f o ll o wi ng a r e acce pt ab l e ways t o p r o vi de un ique i dentity: a un iq ue a l ph a-n um e ri c i dentifi ca ti on on a tam pe r-i nd i ca ti ng de vi ce (TID) a pp li ed NUREG-1065, Revision 3 44 t o a n SNM container a unique alpha

-numeric identification permanently inscribed, embossed, or stamped on the container or item itsel f a uniquely prenumbered (or bar

-coded) label applied to each item that has good adhesive qualities such that its removal from an item would preclude reuse of the label Loca ti on des ig na ti ons that t he MC&A reco r ds s h ow need not be un iq u e, but loca tion des ig na ti ons shou l d be s pecifi c eno ug h so that a n y item m ay be loca t ed wit h i n 1 h o ur. Longer tim es m ay be accep t ab l e but shou l d be furt h e r j ustifi ed i n t he MC&A p l an. T he MC&A reco r d s y s t em shou l d be contr o ll ed i n such a wa y t hat th e r ec or d o f an item's e xi s tence cann ot be des tr o y ed or f a l sifi ed wit hout a h ig h p r obab ilit y o f de t ecti on. Each none x e mpt ite m shou l d be s t o r ed and hand l ed i n a manner t h a t enab l es de t ec ti on of, and pr o vi des p r o t ecti on ag a i ns t , unau t horiz ed or u nr ec or ded rem o v a l s o f SNM. 8.3 Item Identity Controls Desc ri p ti ons shou l d be pr o vi ded of t he ite m r ec or ds sho wi ng how it e m s a r e i dentifi ed for each m aterial ty pe and e a ch ty pe of co nt a i ne r. I f t he u n iq ue n umber on a T I D i s t he bas i s for p r o vi d i ng t he un iq ue ite m i dentity , t he MC&A p la n shou l d: describe the type of TID used describe how the TIDs are obtained and what measures are carried out to ensure that duplicate (counterfeit) TIDs are not manufactured describe how the TIDs are stored, controlled, issued, and accounted for describe how TID usage and disposal records are maintained and controlled Similar information should be provided for other methods of unique item identity (e.g

., labels). 8.4 Storage Controls Ite m st orag e a re as and c on tr o l s shou l d be f u ll y desc ri bed i n t he MC&A p lan. I n parti cu l a r , con tr o l s t h a t ar e used as t he bas i s for ensurin g th e v a l ue s o f prior m eas ur e m en ts , a s opposed t o r e m easurin g t he ite m at i n v en t o r y time, shou l d be d iscussed i n de t a i l a n d t he rati ona l e fo r acceptin g prior m easurem en t s e x p l a ined. A nyIf tamper-safe seals or TIDs are to be used, procedures should be established and maintained in accordance with 10 CFR 74.31(c)(9). Tamper-safing is discussed further in Chapter 11. Any other c on tr o l s used t o ens ur e th e v a li d it y of prio r measurem e nt s shou l d b e eq u iv a l ent t o t he pr o te c ti on p r o vi ded by tamper-safing , w h i ch is defi ned b y 10 CFR 7 4.4 as t he use o f de vices on con t a i ne r s or v au lt s i n a manner and a t a tim e that ensu r es a c l ear i ndi c a ti on o f any vi o l a ti on of t he i ntegrit y o f pr e vi ous l y m ade m eas ur e m e nt s o f t he SN M i n t he co nt a i ner o r v au lt. B o t h admi n i strativ e con tr o l s (e.g., cu st od i an ass i gn m en t s and limiti ng au th oriz ed access t o s t orag e a r ea s) and ph y s ical con tr o l s (e.g., l oc ke d or a l a rm ed doors) shou l d be i dentifi e d.

45 NURE G-1065, R e v i s i on 3 8.5 Item Monitoring Methodology and Procedures A s pa r t o f t he item con trol s y s t e m , a licensee s h ou l d m a i n t a i n a s y s tem o f ite m m onitori ng t h at: verifies that items shown in the MC&A records are actually stored and identified in the manner indicated in the records v erifi es that g enerat ed it e m s and cha ng es i n ite m loca tions ar e prope rl y re co r ded i n t he MC&A record system in a timely manner can detect, with high probability, any real loss of items, or 500 grams or more of uranium-235 from one or more items T he it em m on it orin g s y s t em shou l d conduct t he f ollowi ng activiti es at l ea s t m on t h ly: for each item inventory stratum, compare the actual storage status to the recorded status of a sufficient sample of randomly selected items from the item control system records for each item inventory stratum, check the accuracy of the MC&A records for a sufficient sample of randomly selected items from each storage area check the accuracy of a sufficient sample of randomly selected production records of created and consumed items T he ac t ual frequency o f t he abo v e activities, and t he s iz e o f t he random s am p le, shou l d be a f unc ti on o f t he e x pec t ed d i sc repancy r a t e based on p rior obse rv a tions. The MC&A p l an shou l d spec if y (1) mi nimu m mo n it o ri ng freq uenc i es a ss o c i a t ed wit h each st orag e a rea, (2) d i s crepancy r a t es t h a t tri g g er m o r e fr e q ue n t m on it orin g freq u e nc ies, and (3) commitment s for resolving d i sc r epanc ies. 8.6 Investigation and Resolution of Item Discrepancies T he app licant o r licensee shou l d p r o vi de defi nitiv e stat e m e nt s o f t he p ro c e du r es and contr o l s that will ensu r e that a l l i nc i den t s i n v o l v i ng mi ss i ng or compr o mised item s o r f a l sifi ed ite m reco r ds will be inv estig a ted. A c om promised ite m i s (1) one d i sp l a ying e vidence o f tam peri ng or (2) an unencapsulat ed a nd unsea l ed ite m a ssign ed t o a contr o lled, limit e d-access storag e ar ea that i s fo und e l se w he re. I f any unencapsu l a t ed a nd unsea l ed ite m i s loca t ed after ha vi ng been de t e rmi ned t o be mi ss ing, or i f an ite m i s fo und t o b e compr o mi se d , it s conte n t s shou l d be r ees t ab li s h ed by m eas ur e m e n t (e.g., by NDA or by w e ig h i n g , s am p li n g, and ana ly s i s). R ecomm en d a ti o n s on reso l u ti on o f i nd i ca t o r s (C hap te r 1 1 13) o f t h i s doc ument shou l d b e used t o reso lv e item d i sc r epanc i e s. 8.7 Commitments and Acceptance Criteria I n it s MC&A p l an, t he licensee shou l d pr o vi de defi nitiv e commitm en t s that adhe r e t o the reg u l a t o r y req u ir e m e nt s an d m e e t t he accep t an c e criteri a app licab l e t o m a i n t a i n i ng curr e n t k no wl ed g e o f item s and de t ectin g u n au t horiz ed r e m o v a ls. A fi nd i ng that t he license e's MC&A NUREG-1065, Revision 3 46 p l an for t he ite m contr ol s y s t em i s accep t ab l e a n d i n acc ordance wit h 10 C FR 74.3 1 (c)(6), will be based o n , b ut not limit ed to, t he f o ll o wi ng acc e p tance criteri a: The licensee

's item record system uniquely identifies items.

The records include information on the chemical form, quantity of material (element and isotope), physical description, identification label or number, and location.

The system provides reasonable assurance of detecting falsification or destruction of records of an item

's existence.

Groups of items that are produced, stored, processed, or otherwise handled together as a unit, such as a batch or sublot of material, may be uniquely identified and stored as a separate group under conditions such that group identity, composition

, and quantity will be maintained constant.

The record of the status of an item can be completed or updated in sufficient time to allow the licensee to meet the requirements for promptly locating an item.

For items that will not be remeasured at inventory time, the item control procedures provide reasonable assurance that the SNM contents stated in the records are valid and that unauthorized removal of SNM from the item has not occurred.

Remeasurement is not necessary if the SNM content of the item was measured previously and reasonable assurance is provided that the SNM content has not subsequently changed.

Items that are e xcep t ed ex e mpted from the 10 CFR 74.31(c)(6) item control requirements fall into one of the following categories:

W a s t e des t i ned f o r b u r ial or i nc i ne r a t i on; - S o l u ti ons ha v i ng less t h a n with a 5.00 g r a m s 235 U per l i t er co ncen tr a ti on of less than 5 grams per liter of plutonium or uranium

-233 or uranium

-235 or a combination thereof of less than 5 grams per liter

A cu r rent accou n t i ng i s m a i n t a i ned o f t he t o t al quan t i t y o f SN M con t a i ned i n i t e m s that a r e e x e m p t ed fr o m i t em con tr o l. T he accou n t s iden t i f y t he q uan t i t i es by m a t e r ial t y pe ca t e g o r y f o r b o t h con t r o ll ed and e x e m p t ed i t e m s. - *Laboratory samples and reference standards maintained in the laboratory material management system and containing uranium enriched to less than 10 percent in the uranium-235 isotope

- Items existing less than 3 calendar days and containing less than 100 grams of uranium-235 - Items of waste destined for burial or incineration For items that are subject to the 10 CFR 74.31(c)(6) item control requirements, a record system will be maintained to provide knowledge of the current status of such items

' identity, uranium and 23 5 U U-235 content, and stored location. For items subject to this commitment, the item control and records system provides the capability to promptly locate and confirm the existence of any specific item or group of items upon demand.

The item record system is secured so that the record of an item

's existence cannot be 47 NURE G-1065, R e v i s i on 3 destroyed or falsified by a single individual without a very high probability of detection

. Each item subject to the 10 CFR 74.31(c)(6) item control requirements will be stored and handled in a manner that enables detection of or provides protection against unauthorized or unrecorded removals of SNMkno wl ed g e consistent with the criteria in that paragraph. Knowledge of the SNM content is otherwise ensured by tamper-safing or maintaining the item as a sealed source (i.e

., as encapsulated material).

All incidents involving missing or compromised items or falsified item records will be investigated. A compromised item is one for which there is evidence of tampering or one that is found outside its assigned controlled access area.

The contents of a compromised item or an unsealed, unencapsulated item located after it has been missing will be predetermined by measurements (e.g

., by nondestructive assay (NDA) or by weighing, sampling

, and analysis).

NUREG-1065, Revision 3 48 9. S HI PPE R-R E C E IVER COMPARI SO NS 9.0 Regulatory Intent T he i n tent o f 10 C FR 74.31 (c)(7) i s t o req u ir e t he licensee t o condu c t and docu ment sh i ppe r-rece iv er c om parisons fo r a l l sp e c ial nuc lear m aterial (SNM) receipts, on a tot al shipment basis, and on an individual batch basis when required by 10 CFR Part 75, and ensure that any shipper

-receiver difference (SRD) that is statistically significant and exceeds twice the estimated standard deviation of the difference estimator and 500 grams of 235 U U-235, is investigated and resolved.

9.1 Receiving

Procedures On receipt of SNM, the first action should be to verify the number of items, the item identities, and the integrity of individual items and of tamper-indicating devices (TIDs). All SNM shipments received from an external supplier are to be subject to shipper-receiver comparisons.

Such comparisons involve measurement of received material by the receiver, or by the receiver

's contractor (who is independent of the shipper), and comparing receiver

's total receipt measurement for element and isotope to that of the shipper's. Previously, in approving material control and accounting (MC&A) plans, the U.S. Nuclear Regulatory Commission (NRC) staff has recognized situations in which the cost of conducting and documenting shipper

-receiver comparisons outweighs the safety benefit of doing so, and has accordingly granted relief in the form of exemptions notwithstanding the 10 CFR 74.31(c)(7) provision that the requirement applies to "all SNM receipts." Examples of situations in which such relief has been granted are:

sh i p m en t s con t a i n in g l e s s t han 500 gram s o f 235 U U-235 i ndividual it e m s co nt a i n i ng less t han 50 gram s 23 5 U U-235 encapsu l a t ed items , whose encapsu l a ti on integrit y has not been c om promised, and whi ch t he licensee i s t o r e t a i n as e ncapsu l a t ed item s fuel ass em b li es and f uel r ods that t he licensee pr e vi ous l y sh i pped and t h a t ar e be in g r eturned, p r o vi de d t h a t t he original encapsu l a ti on has n o t been c om promised UF 6 cyli nde r s t h a t ar e em p t y e xcept for a heel quantit y o f U F 6 H e t erog eneous sc r ap that must be sub ject t o d i sso l u ti on befor e a m ean in g ful accoun t ab ilit y measurem ent can be o bt a ined. Bot h sh i pper and re ce iv er s hou l d ag r ee t o accept t he "afte r d i sso l u ti on p l us re s idue" m eas ur e m en t s fo r accountin g p u rposes. In the future, should licensees seek similar relief from the 10 CFR 74.31(c)(7) requirements, specific exemption requests will need to be submitted in accordance with 10 CFR 74.7, "Specific Exemptions

." Whether granting such exemption requests are authorized by law and will not endanger life or property or the common defense and security, and are otherwise in the public interest, will be determined on a case

-by-case basis.

For any SN M rece iv ed, t he licensee must p r o vi de a ll app r opriat e informati on on t he 49 NURE G-1065, R e v i s i on 3 U.S. D epartment o f E ne rg y (DOE)/NR C Fo r m 7 4 1 t h a t a c co mpan i es t he s h i p m en t , i n accordance with 10 CFR 74.15, "Nuclear Material Transaction Reports." (Note: See NUREG/BR-0006, "Instructions for Completing Nuclear Material Transfer Reports (DOE/NRC Forms 741 and 740M),"

for instructions and requirements for completing DOE/NRC Form 741.)

9.2 Determination

of Receiver

's Values For UF 6, the licensee may establish receiver

's values by (1

) measuring t he 235 Uthe U-235 isotopic concentration by nondestructive assay (NDA), (2) weighing each cylinder to determine net weight UF 6 (gross weight minus certified cylinder tare weight), and (3

) applying a n historical established percent uranium factor (that is periodically confirmed or updated by measurement).

This practice avoids the need to sample UF 6 cylinders and analyze the samples (except when obtaining data to establish or update the historical percent U factor).

However, it is more desirable and common practice to derive UF 6 receipt values based on the measurement of UF 6 samples. Arrangements usually can be made with the UF 6 supplier to provide samples of the shipped UF

6. The receiving facility should have an agent (who is independent of the shipper) witness the sampling (that represents the UF 6 contained in the cylinder(s) to be shipped), apply a tamper-indicating seal to the sample, and verify the unique identi ty of the filled cylinder.

SNM receipts not in the form of UF 6 should be measured for total quantity (mass), element concentration, and isotope abundance, as opposed to using a historical factor for deriving element content.

T he v a li d it y of th e sh i pp er's da t a shou l d be substa n ti a t ed wit h app r opri a t e and tim e l y rece iver che ck s and m e a sureme n t s, i nc l ud i ng g ross w e ig h t, ad eq ua t e s am p li ng techn iq ue s , ND A measurem e nt s (i f ap pr opri a t e), and des tr uctiv e measu r e m e nt s (s cr ap e xc ep t ed). (S ee Chapter 4 on measurements.) Shipper

's values may be accepted and booked without receiver element or isotope measurements for encapsulated items, such as fuel elements or rods, if NDA measurement is not feasible.

measu r e m e n t i s n o t f ea s i b l e. 9.3 Evaluation of Shipper

-Receiver Differences When shipper

's measurement uncertainty (or standard error) information is available, the following should define the estimated standard deviation of the difference estimator or combine d standard error:

combined standard error =

[ S)2 R)2]1/2 where S = shipp er's measurement standard error R = receiv er's measurement standard error If the shipper

's measurement uncertainty values are not available, the receiver can assume that the shipper

's measurement uncertainty is equal to (but no greater than) its own uncertainty.

In this situation (i.e., both shipper and receiver have the same measurement uncertainty), the following becomes the combined measurement standard error:

NUREG-1065, Revision 3 50 combined standard error

= R)2]1/2 = 1.414 R The difference between the shipper

's value and the receiver

's value (i.e., the SRD), in terms of the total shipment, must be considered significant whenever the SRD exceeds both 500 grams of 235 U U-235 and twice the combined standard error.

If subject to 10 CFR Part 75 (international safeguards), a SRD in excess of both 500 grams 235 U U-235 and twice the combined standard error in a single batch within the shipment also must be regarded as significant.

9.4 Resolution

of Significant Shipper

-Receiver Differences The MC&A plan should describe the steps involved in investigating a significant SRD and discuss how such difference is resolved.

The criteria for defining a resolved SRD also should be presented.

Generally, resolution of a significant SRD involves a referee (or umpire) measurement of a retainer sample(s) but not of the material weight.

The resolution process should specify whose weight value is used in the resolution process if the shipper's and receiver's weights differ by more than one

-half of the total combined standard error.

9.5 Commitments

and Acceptance Criteria In its MC&A plan, the licensee should provide definitive commitments that adhere to the regulatory requirements and meet the acceptance criteria applicable to shipper

-receiver comparisons. A finding that the licensee

's MC&A plan for conducting SRD evaluations and resolving significant SRDs is acceptable and in accordance with 10 CFR 74.31(c)(7), will be based on, but not limited to, the following acceptance criteria:

Each shipping container is inspected within 5 3 working days after receipt for loss or damage to the container or TIDs to determine if SNM could have been removed. If the integrity of a container is questionable, the presence of all items that were packaged in the shipping container will be confirmed within 24 hours2.777778e-4 days 0.00667 hours 3.968254e-5 weeks 9.132e-6 months of discovering the questionable integrity. Only acceptable tamper

-safing methods will be used as described in Section 11.1 of this document and as agreed to with the receiver.

S ec t i on 1 1.1 o f t h i s doc u ment and as a g r eed t o w i t h t he rece i v e r. The receiver performs confirmatory measurements of scrap shipments to determine the amount of element and isotope within a time period consistent with the accountability needs of the shipper.

The test for significance of a n SRD is based on statistical tests. The investigation procedure for significant SRDs is sufficiently comprehensive to ensure that the difference will be resolved.

Comprehensiveness is sufficient if the licensee shows the capability to verify records, resample, perform remeasurements, establish liaison with the shipper, provide samples to a referee laboratory, and perform the statistical analysis needed to evaluate the measurements.

Investigation and resolution should be completed within 90 days of material receipt.

51 NURE G-1065, R e v i s i on 3 Measurements of the quantity of SNM received in each shipment will be performed and the SRF will be tested for statistical significance.

The element and isotope content of SNM shipped or received by the licensee are based on measurement systems subject to measurement control.

Occurrences of significant SRDs in excess of 500 grams 235 U U-235 and missing items will be reported promptly to the shipper.

Measurement results for shipments and receipts will be corrected for biases that are significant at the 0.05 level (i.e., for any bias that exceeds two times the standard error associated with a mean), and which affect individual items by more than their rounding error in terms of 235 U U-235 or uranium content.

For SNM received, SRDs that are statistically significant and also greater than 500 gram s U-235, on a t o tal sh i p ment bas i s (and a l so on a ba t ch bas i s w h e n sub ject t o 10 CFR Part 75), will be detected within 30 calendar days of receipt.

The documentation of shipments and receipts should be completed and transmitted within the timeframe specified in NUREG/BR

-0006.

NUREG-1065, Revision 3 52 10. A SSESS M E N T AN D R EV IEW O F TH E MAT ERIA L C O NTROL AN D ACC OUNTIN G P R OG RA M 10.0 Regulatory Intent The intent of 10 CFR 74.31(c)(8) is to require independent assessments of the MC&A program.

Licensee management must periodicall y (at least every 24 months) review and assess the performance of the material control and accounting (MC&A) program, evaluate its effectiveness, and document management

's action on prior assessment recommendations and any identified deficiencies. It is intended that the review will be performed by knowledgeable, technically competent individuals free from conflicts of interest. Further, the deficiencies will be brought to the attention of plant management so that the deficiencies will be corrected.

It should be emphasized that this review process is intended to be much more than a routine audit for compliance with existing procedures and commitments.

Conclusions and recommendations relative to overall program effectiveness and to the adequacy of the program-including that of any contractor that performs MC&A measurements on the licensee

's behalf-must be made

. 10.1 General Description The capabilities, performance, and overall effectiveness of the licensee

's MC&A program should be independently reviewed and assessed at least every 24 months.

The MC&A plan should describe the assessment and review program in terms of:

m axim um i nterval be tw een asses sm en t s se l ec ti on p roced ur es fo r t he ass e ss m e n t t e a m nu mber o f t e a m mem be r s t o be s e l ec t ed q ualifi ca ti on and e x pertis e o f t e a m mem be r s independence o f i ndivi d ual t eam m e m b er s fro m th e MC&A respons i biliti es and activities t hey a r e r eviewi ng and assess i ng m axim um e lapsed tim e a nd mi nimu m a ctual effor t t o be used for co m p l etio n o f the assess m e n t and issuan c e o f a fi nal t e a m r epo r t T he entir e MC&A p r ogra m g en er a ll y shou l d be review ed and e v a l ua t ed du ri ng each assess m e nt. Wh en t h i s occu rs , i nterv a l s be tw een asses sm en t s can be a s mu ch as 24 ca l end a r m on t h s. H o w e v e r , i f i ndivi du al assess m e nt s on l y co v er pa r t o f t he MC&A program , in divid u a l subs y s t e m s shou l d be assessed a t i nterv a l s no g r ea te r than 12 ca lendar m on t h s. T he schedu l e should ensure the entire program is reviewed over the course of 24 calendar months.

Thus, the type of assessment (partial or total) and the maximum interval between assessments should be specified in the MC&A plan. "Interval" means the elapsed time between either the start of or termination of successive assessments.

T he respons i b ilit y and a ut horit y fo r t he assessme nt progra m shou l d li e at least one l e vel h igher i n t he license e's org an iz a tional s tr uctur e than t h a t o f t he MC&A m an ag e r. Such 53 NURE G-1065, R e v i s i on 3 respons i b ility shou l d i nc l u de se l ectin g t he ass e ss m e n t t e a m l e a der and i niti a ti ng co rr ectiv e ac tions. T e am m e m b er s m ay be se l ec t ed from t he fa c il it y staf f o r fro m o ut s ide, but an i n di v idual m e mber shou l d not p arti c i pa t e i n t he asses sment o f t he part s o f t he MC&A p r og r am fo r w h i ch t hat pe rson has d ir e c t respo n s i bility. H enc e , t he MC&A m anage r m ay not be a t e a m mem be r. Also, a giv en i ndividual shou l d not assess t he pa rt s o f t he p ro g r am t h a t ar e t he respons i b ilit y of another team member if the other team member is assessing the given individual

's area. The leader of the assessment team should have no responsibilities for managing any of the MC&A elements being assessed.

The minimum number of individuals on any given assessment should depend on the knowledge and expertise of the team relative to MC&A activities and their experience in conducting assessments.

Personnel assigned to the assessment team should have a demonstrated understanding of the regulatory objectives and requirements of the MC&A program and should have sufficient knowledge and experience to be able to judge the adequacy of the parts of the program they review.

The team should have authority to investigate all aspects of the MC&A program and should be given access to all necessary informati on. To provide a meaningful and timely assessment, the review and evaluation process should not be protracted.

The actual review and investigation activities should be completed in 30 calendar days, with an additional 15 calendar days allowed for completing and issuing a final team report.

10.2 Report of Findings and Recommendations The areas to be reviewed should encompass the entire MC&A program, and the level of detail of the reviews should be sufficient to ensure that the assessment team has adequate information to make reasoned judgments of the program's effectiveness.

The team report, as a minimum, should state findings pertaining to:

organizational effectiveness to manage and execute MC&A activities management responsiveness to indications of possible losses of uranium staff training and competency to carry out MC&A functions reliability and accuracy of accountability measurements made on special nuclear material (SNM) effectiveness of the measurement control s y s t emprogram in monitoring measurement systems and its sufficiency to meet the requirements for controlling and estimating both bias and the standard error of the inventory difference (SEID) soundness of the material accounting records effectiveness of the item control system to track and provide current knowledge of items capability to promptly locate items and effectiveness in doing so timeliness and effectiveness of SRD evaluations and resolution of excessive SRDs soundness and effectiveness of the inventory

-taking procedures

NUREG-1065, Revision 3 54 capability to confirm the presence of SNM capability to detect and resolve indications of missing uranium On completion of each assessment, the findings and recommendations for corrective action, if any, should be documented.

The written report should be distributed to the plant manager, the MC&A manager, and other managers that the assessment affects. 10.3 Management Review and Response to Report Findings and Recommendations M ana g e ment shou l d r e vi ew t he asses sment r ep ort and tak e t he n ecessa r y ac ti ons t o co rr e c t MC&A p r og r am defi c i en cies. T he m an ag e m e n t revie w shou l d be docu m e nt ed wit h i n 30 calendar days following the submittal of the assessment team

's report, and it should include a schedule for the correction of deficiencies.

Corrective actions, if any, that pertain to daily or weekly activities should be initiated promptly after the submittal of the final assessment report. The MC&A plan should address resolution and followup actions associated with concerns identified in the assessment report.

The individuals responsible for resolving identified concerns, and the timeliness of such resolution, should be specified.

10.4 Commitments and Acceptance Criteria In its MC&A plan, the licensee should provide definitive commitments that adhere to the regulatory requirements and meet the acceptance criteria applicable to independent assessments of the MC&A program. A finding that the licensee

's MC&A plan for such assessments is acceptable and in accordance with 10 CFR 74.

31 (c)(8), will be based on, but not limited to, the following acceptance criteria:

The capabilities and performance of the MC&A program will be reviewed and its effectiveness will be independently assessed at least every 24 months.

That is, the nominal elapsed time from the completion of one review or assessment to the completion of the next will not exceed 24 calendar months.

The periodic assessments will be comprehensive and sufficiently detailed to enable the assessment team to rate the MC&A program effectiveness, capability, and performance by comparison with the expected and required performance.

The overall assessment objectives are to determine that the MC&A program, as designed and implemented, is continuing to meet the overall safeguards goals, and to identify weaknesses or deficiencies in the program design or performance that may need correcting.

The areas to be reviewed encompass the entire MC&A program and the level of detail of the reviews is sufficient to ensure that the assessment team has adequate information to make reasoned judgments of the MC&A program effectiveness

, which includes:

o Organizational effectiveness and management responsiveness to indicators of possible SNM losses o Staff training and competency to carry out MC&A functions

55 NURE G-1065, R e v i s i on 3 o Soundness of the material accounting records o Capability to promptly locate items o Tim e liness and eff ectiveness o f SR D e v a l ua ti ons and reso l u ti on o f s ig nific ant SRDs o Soundness of physical inventory procedures and practices o Effectiveness of the measurement control s y s t emprogram to monitor key measurement systems, establish bias estimates and measurement uncertainties, and meet the requirements for controlling the total MC&A measurement uncertainty associated with ID o Capability to confirm the presence of SNM o Capability to resolve indications of missing SNM and aid in any government

-led investigation pertaining to missing SNM, and provide information that would aid in the recovery of missing SNM Generally accepted auditing principles are used to check each type of record in which a representative sample (of a sufficient number) of randomly selected records is examined Qualified individuals from outside or qualified individuals from inside the facility organization whose work assignments and positions within the organization will not impair their ability to make objective judgments of the MC&A program capabilities and performance perform the reviews and assessments. Personnel assigned to the assessment team will have an adequate understanding of the regulatory objectives and requirements of the MC&A program and will have sufficient knowledge and experience to be able to judge the adequacy of the parts of the program they are asked to review.

The team will have authority to investigate any aspect of the MC&A program and will have access to all relevant information.

An individual team member will not participate in the assessment of any part of the MC&A program for which he or she has direct responsibility. Also, an individual "A" will not assess any part of the program that is the responsibility of person "B" if "B" is assessing an area under the responsibility of "

A." The entire MC&A program will be reviewed and evaluated during each single assessment (to be completed within an elapsed time that is short relative to the time between changes in the MC&A program and is demonstrated to be able to include any such changes made during the review or assessment).

Conducting two or more assessments during a 24

-month interval, in which only part of the MC&A program is covered in each, is not deemed acceptable.

That is, reviewing a single component of the MC&A program at 24

-month intervals is not very meaningful unless knowledge is obtained of how well the other components currently interact.

Piecemeal review and evaluation is permissible, however, if each subsystem is covered at 12-month (or less) intervals.

The leader of the assessment team will have no responsibilities for performing or managing the functions being assessed.

The assessment team leader will have no NUREG-1065, Revision 3 56 responsibility for managing or performing any of the MC&A functions.

T he respons i b ilit y and a ut horit y fo r t he assessme nt progra m and fo r i niti a ti ng co rr ectiv e actions will lie:

(1) at least one level higher in the organization than the MC&A Manager, or (2) at a level equal to that of the onsite plant manager.

Each overall review and assessment will be conducted and completed in a time frame that is short (e.g., a week) with respect to the time for changes that have occurred in the MC&A program, and will include any such changes made during the time the review or assessment is being conducted.

The completion date for any review or assessment is defined as the date when the team submits its final written report (of findings and recommendations) to plant management.

The start date is the first day in which one or more team members actually inspect records or interview MC&A personnel, and such start date will be documented.

The results of the assessment and recommendations for corrective action, if any, will be documented and reported to the plant manager and other managers that the assessment affect s. Management will review the assessment report and take the necessary actions to correct MC&A program deficiencies.

Such c o rr e c t i v e ac t i onsSuch corrective actions (if any) that pertain to daily or weekly activities be initiated within 40 calendar days after the submittal of the review or assessment final report.

(i f an y) that pe r t a i n t o da i l y or w ee k l y ac t i v i t i es w i l l be i n i t i a t ed w i t h i n 40 ca l endar da y s a f t e r t he su b m it tal o f t he r e v i e w or asses s m e n t f i nal r epo r t. Management

's response to recommendations from the review and assessment, including any corrective actions that management ordered, and the expected time frame for completing such actions, will be documented within 30 calendar days following the submittal of the team

's report.

57 NUREG-1065, Revision 3

11. TAMPER-SAFING 11.0 Regulatory Intent T he i n tent o f 10 C FR 74.31 (c)(9) i s t o req u ir e li c ensees t o m a i n t a i n and f ollo w p rocedu r es fo r spec ial n uc lear m a t e r ial (SN M) con t a i ne r s and v au l t s,tamper-safing (as defined in 10 CFR 74.4) i nc l ud i ng contr o lli ng access to, and distri butio n of , unused sea l s and reco r d s. T he pu rpose o f such p rocedu r es i s t o docu ment t he d i stri butio n, a pp li ca tion, and d e s tr uc ti on o f t a m p er-safin g d e vices, as w e ll as r ou ti ne i n v en t o r y o f unu s ed tam pe r-safin g de vices. Reco r ds a r e t o be ret a i ned for at least 3 y ea r s (o r l onge r i f specifi ca ll y r e q u ir ed by reg ulations e xt e r nal t o 10 C FR 74.31) t h ereby p r o vi d i ng a w ay t o asse s s t he pe rf o rmance o f t he t a m p er-safin g progra m an d inspect for compliance with regulatory requirements.

co m p liance w i t h r e g u l a t o r y r e q u i r e m e n t s. 11.1 Characteristics of Tamper

-safing Devices Tam pe r-safin g de vices o n con t a i ne r s o r v au lt s ar e used t o secu r e t he i ntegrit y o f SN M e ither w hen i t i s i n tr ans i t o r stor ed on s it e. T he o bj ectiv e o f tam pe r-i nd i ca ti ng devices (T ID s) i s to ensu r e that no tam perin g or en tr y has occurr ed w h il e t he TI D i s on t he co nt a i ne r. T herefor e, for MC&A pu r poses, t he degr ee o f confidence i n t he se l ec ti on o f a TI D sea li ng s y s tem wil l v a r y depend i ng on it s un iq ue cha r acteri s ti cs and i n t e n ded use. Whe n se l ecti ng tam pe r-safi ng de vices, licensees shou l d cons ider t he f o ll o wi n g:

I n t ended use-t he d et e rmi na ti on t hat t he T I D i s a p p r op ri a t e fo r t a m p er-safi ng the con t a i ner and wit hs t and i ng t he w orkin g envir on m en t , (i.e., tem p er ature, m o i s t u re, r epea t ed hand li n g).

A pp li ca ti o n-t he r e l ativ e ease or diffi cu lt y o f ph y s i ca ll y applyi ng t he T ID.

S ubstit u ti o n-t he ab ilit y o f a T I D t o be des tr uctiv e l y rem o v ed and r ep laced b y a new TID wit hout d et ec ti o n.

R e m o val and r eapp li ca ti o n-t he ab ilit y o f a TI D t o be rem o v ed and re app li ed without de t ec ti on.

Alt e r a ti on o f label d at a-t he ab ilit y t o a lter re co r d e d da t a on t he T I D without t he alter a tion be i ng app ar en t.

I n te grit y v erifi catio n-t he deg r ee o f effor t req u ir ed t o v erif y t he TI D i s i n t a ct or i nd i ca tes t a m peri ng. T he licensee shou l d confir m m anufa ctur e r c l a im s that t he rem o val o f a TI D i s not poss i b l e wit hout d et ec ti on by t es ti n g po t ential T ID s t o see i f t hey can be rem o v ed from t he co nt a i ne r s on whi ch t hey a r e t o be us e d. T he licensee shou l d c onfir m t he re su lt s u s i ng t he m an uf actur e r's docu m en t ed p rocedu r es and t he sa m p l es use d. T he e x perim en t s shou l d be docu m e nt e d , b ot h wit h reg a r d t o what t ec h n iq ues w e r e used t o attempt t o d ef e a t t he TI D a n d obse rv a ti ons as t o t he d e g r ee o f s uccess i n d ef eatin g t he T ID. I n lie u o f licensee te sting , simila r t e st s that an i ndependent t h ir d part y c on d uc t ed m ay be co n s i de r ed acce pt ab l e.

11.2 Use of Tamper

-safing Devices T he MC&A p l an m ay a llo w t he use o f t a m p er-safi ng de vices t o: Ensu r e t he l o ng-t e r m v a li d it y of measurement d at a-t he app li ca ti on o f a T I D t o an item con t a i n i ng m eas ur ed qu antiti es o f nuc l ear m ateri a l s m ay a ll ow t he licensee t o m a i n t a i n t he v a li d it y of t he original m eas ur ed v a lue, t hus elimi na ti ng o r de cr eas in g t he frequency o f t he need t o rem eas ur e t he it e m s t o v erif y it s n uc l ear material con t e nt. Reduce t he eff o r t t o co nduct ph y s ical i n v en t o ri es or item control activiti e s-t he a pp li ca ti on o f a TI D t o a con t a i ner ho u s i ng m ulti p l e it e m s m ay a llo w t he licensee t o m a i n t a i n t he v a li d it y of c on t a i ne r's co nt en ts , t hus mi nimizi ng t he nu m b e r o f item s req u ir ed t o be v erifi ed duri ng a ph y s ical inven t o r y or item con trol activity. Pr o vi de ass u rance o f int egrit y o f in-tr ans i t mat e ri a l-t he app li ca ti on o f a T I D t o a sh i pp i ng co nt a iner m ay allo w t he licensee t o m a i n t a i n t he v a li d it y of a sh ip p ing con t a i ne r's co nt en t s and ensu r e that t he i n te grit y o f t he shipment has n o t been vi o l a ted. T o ach i e v e t h i s g oa l , t he sh i pper shou l d app l y t he T ID (s) t o t he sh i pp in g c o n t a i ne r , v erif y t he i n te grit y o f t he TID (s) shortl y b ef o r e depa rt u r e o f t he sh i p m e nt, and provi de t he app r op ri a t e inf ormati on (i.e., sh i pp in g co nt a iner serial nu m be r s, TID (s) ty pe (s), and se r ial nu m ber(s)) t o t he rece iv e r. U pon rece ipt o f t he shipm en t , t he rece iv er shou l d v erif y t he sh i pp i ng con t a i ner serial nu m b er s, TID (s) ty pe (s), serial nu m ber(s), and t he T ID (s) i n te grity. A ny d i sc r epanc i es shou l d be c o ns i de r ed a n MC&A ano m a l y and be add ressed by t he f acility's MC&A reso l u ti on progr a m. 11.3 Description of Tamper

-safing Records T he tam pe r-safin g s y s te m shou l d i dentif y a l l r ec ords, forms, r eports , and st anda r d operati ng p rocedu r es used thr oughout t he s y stem. Such re co r ds shou l d i nc l ude, b u t a r e not limit ed to, t he f o ll o wi n g: receipt of purchased TIDs issuance of TIDs identification of the person applying the TIDs identification of the person who verifi ed the application of the TID identification of the container to which the TID was applied, including the TIDs serial identification (if applicable) removal and destruction of TIDs routine inventory of unused and unissued TIDs identification of roles and responsibilities, including

des ig na ti on o f t he TI D control offi cer(s) pe rsonnel app r o v ed t o a pp ly , v erify , and des tr oy TIDs 59 NUREG-1065, Revision 3 training of personnel in the application, verification and destruction of TIDs 11.4 Commitments and Acceptance Criteria T he accep t ab ilit y o f a T I D i s based on an e v a l ua ti on o f t he attri bu t es o f th e de vi ce i n r e l a t i on t o tim e t o d ef e a t t he t a m p er-i nd i ca ti ng f e at u r e s. T ID s t h a t t he U.S. N uc l ear R e g u l ator y Commi ss io n (NRC) a lr e a dy dee m s acce pt ab l e i n clude: Ty pe E , p re ssu re-sensitiv e, tam pe r-e vi dent wir e sea ls, fi ber op ti c sea l s and steel pa dl oc ks. Ot her t a m p er-safi ng de vices m ay be e q ua ll y accep t ab le. L i c ensees p r op o s i ng t o use T ID s n o t curr entl y approv ed by t he NR C m u s t p r o vi de t he app r opri a t e inf o rm a tion, i nc l ud i ng ref e rences, t o enab l e licen si ng r eview e r s t o assess t he ad eq u a cy o f t he p roposed TI D ty p e. I n it s MC&A p l an, t he licensee shou l d pr o vi de defi nitiv e commitm en t s that adhe r e t o the reg u l a t o r y req u ir e m e nt s and m e e t t he accep t an c e criteri a app licab l e t o th e use o f tam pe r-safing de vices. A fi nd in g t h a t t he license e's MC&A p l an fo r t a m p er-safin g i s a c c ep t ab l e and i n acco rdance wit h 10 CFR 74.3 1(c)(9), will be based on, but not limit ed to , t he f o ll o wing accep tance criteri a: Only TIDs that are controlled and accounted for will be used to maintain the validity of previously established SNM quantities associated with items.

Writt en procedu re s wil l b e m a i n t a ined t o ensu r e t hat i ndivi dua l s au t horize d t o hand l e TIDs are properly trained.

Preferably a single individual, but no more than three individuals, none of whom have any responsibility for seal application or destruction, is (are) designated as the TID control officer(s).

Only individuals authorized for that purpose will apply and remove TIDs. Unused TIDs will be controlled and inventoried.

Unissued TIDs are stored in a locked container within a room that is locked when unoccupied or in an approved repository.

Blocks of TIDs issued to designated individuals are stored in a locked container within a room that is locked when unoccupied or in an approved repository

. Whe n T ID s ar e n o t i n storag e they a r e i n t he po s sess i on o f a ut horiz ed i ndivi du al s (i.e., the TID control officer or person responsible for applying the TID). As a rule, the number of available TIDs issued to these individuals should be limited to a single day

's use. The licensee has in his possession a commitment from the seal manufacturer that plates and/or dies and production residuals are controlled and protected, and Upon removal, TIDs are destroyed (i.e., crimped, flattened, or otherwise rendered unusable) and properly disposed.

Records of TID application, verification, removal, and destruction will be documented, and control measures will be implemented to prevent alteration of records for containers protected by TIDs.

NUREG-1065, Revision 3 60 12. D E SI GNATION OF MAT ERIA L BALANC E AREAS , ITEM C O NTR OL AREA S , AN D CU S T ODIAN S 1 2.0 Regulatory Intent T he i n tent o f 10 C FR 74.3 1 (c)(10) i s t o ens u r e t hat t he m a t e r ial ba lance a r eas (M BA s) and i tem con trol a r eas (I CAs) t hat licensees des i g n a t e w ill enab l e them t o i den t i f y i n v en t o r y d i ff e rences (I Ds) and i tem loca t i ons on a sca l e s m a ller than t hat o f t he e n t i r e p l a n t. R e g u l a t i ons i n The intent of 10 CFR 74.31(c)(1 0) is to ensure that licensees establish various material control boundaries to minimize the occurrence of, and facilitate resolution of, MC&A anomalies, such as excessive IDs, missing items or nuclear material, and potential theft or diversion of nuclear materials.

The intent is also to ensure that there is a designated individual who is responsible for having knowledge of the placement and movement of SNM within a specified area and transfers into and out of the area.

Such an individual should be vested with the authority to obtain the information necessary to accomplish his or her task and to ensure that activities are carried out in accordance with approved policies and procedures.

Regulations in 10 C FR 74.3 1(c)(1 0) re qu ir e licensees t o des ig n at e one or more MBA s or a combination of MBA(s) and one or more ICA s and a ss ig n cus t od ial respons i biliti es for in a manner that ensures that such responsibility can be effectively executed for all SNM possessed under license.

This regulatory provision provides flexibility for licensees to determine the appropriate MBA or ICA structures and design t h e se a r eas , and t o p r o v i de i n t e rnal con t r o l s as needed, thus enhances the licensee's capability t o d eter or de tect any d i v e r s i onunauthorized movement or m isuseremoval o f sp e c ial nuc lear m a t e r ial (SNM) at th e license e's f acility. 1 2.1 Material Control Boundaries For accounting and control purposes, a facility may be divided into a number of MBAs or ICAs in order to simplify the administrative controls and localization of material or item losses. The main purpose of an MBA or ICA is to know how much material or items should be in that area and to verify and monitor the material or items in that area. If the facility is small enough, or the number of material or item movements is small, one MBA or ICA may be sufficient. When there is a need to establish more than one MBA or ICA, the subdivision should be done according to the following practices:

Each MBA or ICA should be defined by a physical or administrative boundary Any location in the facility should belong to one and only one MBA or ICA Custodial responsibility within one MBA or ICA should be clearly assigned (i.e., to a single individual)

MBA or ICA subdivision should be implemented taking into account the material movements carried out in the areas and the administrative responsibilities involved.

T he MC&A p l an shou l d desc ri be how t he licensee es t ab lishes v a ri ous mat e rial con t rol bounda ri es t o mi nimiz e t he occu rrence of , and fa c ilit a t e resoluti on of , MC&A ano m a lies. Ex a m p l es o f such an om a li es a r e excessive i n v en t o r y differences (ID s), mi ss in g SN M it e m s, and 61 NUREG-1065, Revision 3 po t ential t h ef t o r d iv e r s i on o f SNM. Regardless of the number and size of MBAs and ICAs used for control and accounting purposes, the structure should be clearly described and properly documented, including boundaries for each area and categories of material in each area. A type of MBA or ICA is exemplified by a storage area or a receiving and shipping area where items are received, stored, and released. Another type of MBA or ICA is one in which items or material batches are received and modified by a process (e.g., mixing, blending, or physical and chemical transformations). Because MBA s and ICA s a r e im po rt a n t f oundatio ns fo r contr o lli ng and ac c oun ti ng fo r a l l SN M i n a f acility , t he MC&A p l an shou l d descri be th e process for how t he i r locatio ns a r e chose n. An MBA or IC A shou l d correl a t e t o ph y s ical or admi n i strativ e boun da ri es and m on it o r ed loca ti on s. T he An MBA or ICA shou l d be des ig ned t o limi t l os s es t o a s pecifi c ar ea (i.e., t he MBA shou l d not be so l a rg e that t he licensee cannot loca liz e i n ve n t o r y or p r oc e ss diff erences t o a m an ag eab l e l evel). In addition, an MBA or ICA should be designed such that the quantity of material or items in each movement into or out of each area can be determined, and the quantification of the physical inventory of material or items in each area can be determined, when necessary. For increased capability, smaller areas make control of material easier and reduce the size of the area to which an unauthorized removal or loss can be attributed. Each item or material batch at the facility should be assigned to an MBA or ICA and not to more tha n one MBA or ICA. M a t e ri a l s tr an sf e rr ed i n t o and o u t of an MBA or IC A must be sub ject t o q uantitativ e measurem e nts, as specifi ed i n t he defi niti ons o f MBA s and ICA s i n 10 C FR 74.4 , "Definitio ns." 1 2.2 Custodians The MC&A plan should describe the roles and responsibilities of the custodians for MBAs and ICAs. Each custodian should have direct interaction with the MC&A organization, and such individuals should be located within the physical operations area.

When material is moved from one MBA or ICA to another, custody of the material and responsibility for its movement should be transferred from one custodian to another. Custodians who are responsible for more than one MBA or ICA should not have the authority to make material transfers between MBAs or ICAs that are both under their direct control.

1 2.3 Commitments and Acceptance Criteria In its MC&A plan, the licensee should provide definitive commitments that adhere to the regulatory requirements and meet the acceptance criteria applicable to the designation of MBAs, ICAs, and custodians. A finding that the licensee

's MC&A plan for designating MBAs, ICAs , and custodians is acceptable and in accordance with 10 CFR 74.31(c)(1 0), will be based on, but not limited to the following acceptance criteria:

MBA s and ICA s shou l d h a v e defi ned ph y s ical and ad mi n i s tr ativ e l y con tr o ll ed a r eas t hat a llo w fo r t he ph y s ical a n d ad mi n i s tr ativ e con trol o f nuc l ear m ateri a l s such that t he q uantit y o f nuc lear mat e ri a l s be i ng m o v ed i n t o or out o f t he MB A i s a measurement

-based assigned value for element and isotope contents.

measu r e m e n t-based as s i g ned v a l ue f o r e l e m e n t and i so t ope con t e n t s. M BA s and ICA s a r e es ta b lished i n such a w ay as t o mi nimiz e t he occurr e n ce of , and f ac ilit a t e t he reso l u ti on of , MC&A ano m a lies.

NUREG-1065, Revision 3 62 MB A and IC A stru ctur es a r e pr ope rl y docu m e nt ed and c l ea rl y descri bed, in c l ud ing ph y s ical bounda ri es and categ o ri es o f mat e rial i n t he i ndivi dual MBA or ICA. Clear directions should be provided on transferring material between MBAs or ICAs to help deter and detect unauthorized removal or substitution of material during movement. Material transfers should be recorded in a timely manner.

Control measures should be appropriate for material relocations within an MBA or ICA and update s to the records system should be made to reflect material relocations.

C us t od ial respo n s i biliti es a r e ass ig ned for each d es ig na t ed MBA and ICA. C us t od i ans respons i b l e for m o r e t han one MBA or IC A a r e not au t horiz ed t o tr an sfer m aterial be tw een MBA s and ICA s un der t he ir contr o l.

63 NUREG-1065, Revision 3 1 3. R ESOLVIN G INDICATI O N S OF L OSS, TH E FT, DIV E R S I ON, OR MI S U SE OF S PECIA L NUCLEA R M AT ERIA L 1 3.0 Regulatory Intent T he i n tent o f t he 10 CFR 74.3(b) and (c) g ene r al performance o bj ectiv es i s fo r licensees t o be ab l e t o pr omptl y i n v estig a t e and reso lv e an y an i nd i ca ti ons o f a poss i b l e loss, t heft , d iv e r s i on or misuse o f sp e c ial nuc lear m aterial (SNM), w he t her a ri s in g fro m e rr o r s or d e li be r a t e acti ons. 1 3.1 Methods and Procedures for Identifying Indicators T he mat e rial control and accountin g (MC&A) p l an s hou l d d iscuss t he w ay t hat t he licensee wil l reso lv e i nd i ca t o r s o f a p o ss i b l e loss, t heft , d iv e r s i on or misuse o f SNM. Th e license e's reso l u ti on progra m shou l d add ress t he poss i b l e in d i ca t o r s o f mi ss in g ur an i u m. T he MC&A p l an shou l d enumer a t e a l l t he po t ential i nd i ca t o r s t h at can be po st u l a t ed and d e v e l op reso l u ti on p rocedu r es fo r e ach. An ano m a l y cou l d po t entiall y be an i nd i ca to r o f l os s , t heft , d iv e r s i on, or misuse o f SNM. A n an om a l y i s an unusual observ a bl e conditi on (such as e xcess iv e d i sc r epanc ies, mi ss in g it e ms, b roken t a m p er-i nd i ca ti ng de vices (T ID s), o r o ther poss i b l e i nd i ca t o rs) t h a t might r e s u l t from t heft , d iv e r s i o n , or other misuse o f SNM. T he t e rm s "i nd i ca t o r" and "an om a ly" m ay be used i n t e rcha ng eab l y t o desc ri be a conditi on t hat m ay req u ir e furt h e r i n v estig a ti on t o d et ermi ne i f an a ctual loss, t heft , d iv e r s i on, or misuse o f SN M occu rr e d. The following are examples of possible indicators of missing SNM: lack of agreement between a physical inventory and its associated book inventory in which the 235 U U-235 inventory difference (ID) is positive and exceeds 1.

7 times the standard error of the inventory difference (SEID) by more than 500 grams determination through the item control system that one or more items are not in their designated locations and the actual locations are not immediately known discovery that an item

's integrity or its TID was compromised information from the process control system indicating potential loss of material from the process system an allegation of theft or diversion 1 3.2 System and Procedures for Investigating and Resolving Loss Indicators O ne o r m o r e MC&A p rocedu r es shou l d add ress t he s y s tem and pr actices for i n v estig atin g a n d resolvi ng loss i nd i cator s. T he licensee shou l d h av e wel l-defi ned procedu r es fo r pr omptl y i n v estig a ti ng and resolvi ng i nd i ca ti ons o f poss i b l e mi ss in g SNM , and procedu r es for r ap i d l y de t ermi n i ng w he t her an ac tual loss o f SN M has o ccu rr e d. These p roced ur es shou l d i nc l ude crit e ri a for d et ermi n i ng w hen an i n v estigati on o f lo ss i nd i ca t o r s ca n be c o n c l ude d. Reso l v i ng a loss i nd i ca to r m eans t hat t he licens e e has m ade a d et ermi na ti on that loss, i nc l ud i ng poss i b l e d iv e r s i on or t heft, has n o t o ccu rr ed and i s not occurring. F o r e ac h ty pe o f i nd i ca t o r , the licensee shou l d de v e l op de t a il ed reso l u ti on pr oc e du r es and shou l d de s c ri be or outli ne them i n t he MC&A p lan.

NUREG-1065, Revision 3 64 A ny inv estig a ti on of an in d i ca ti on o f a loss or t h ef t shou l d p r o vi de, w hene ve r poss i b le, (1) an estimat e o f t he q uantit y o f SN M i nvolv ed, (2) t he m aterial ty pe or ph y s ical f o r m o f t he mat e ri a l , (3) t he ty pe o f una ut horiz ed activit y or e v ent d et e cted, (4) t he tim e fr a m e wit h i n w h i ch t he loss or activit y cou l d ha v e occu rr e d , (5) t he most p r o b ab l e cause(s), and (6) re co mm en d a ti ons for p r ec l ud i ng reoccurr e nce. For i nd i ca ti ons that a loss o r t h ef t m ay ha v e occu rr e d , t he reso l u ti on pr oc e ss shou l d i nc l ude (1) t h or o ug h l y checkin g t he accoun ta b ilit y reco r ds and so ur ce inf o rm a ti o n , (2) l ocatin g t he sou r ce o f t he p r ob l e m , (3) i so l atin g t he e xact r ea s on fo r t he pr ob lem wit h i n t he a r ea or p rocess in g un it , (4) d et ermi n i ng t he a m ou nt s o f SN M i nvolv ed, and (5) makin g a determi na ti on that t he i nd i ca ti on i s o r i s not reso lved. T he reso l u ti on p roced ur es shou l d be p r ep ar ed i n s u ch a wa y t hat no i ndivi du a l th at cou l d ha v e been r es p ons i b l e for t he po t ential loss a l so w ou l d be respons i b l e fo r it s reso l u tion. I f an i n v estig a ti on of an i nd i ca to r resu lt s i n a conc l us i on t hat t he i nd i ca ti on i s true, such c onc l us i on m u s t be r eport ed t o t he U.S. Nu c lear Reg ulator y Commi ss io n (NRC) wit h i n 1 hour1.157407e-5 days 2.777778e-4 hours 1.653439e-6 weeks 3.805e-7 months o f it s determi nati on i n acc ordance wit h 10 CFR 74.1 1 , "R epo rt s o f loss o r T h e f ttheft or At t e m p t ed T h e f tattempted theft or Unau t h o r i z ed P r oduc t i onunauthorized production o f S pec ial N uc l ear M a t e r i al."special nuclear material

." T he MC&A p l an shou l d spec if y t he tim e a ll o w ed fo r reso l u ti o n. I n g ene r a l , a tim e not exceed i ng 72 ho urs shou l d be ad eq u at e. 1 3.3 Response Actions for Unresolved Indicators Response ac ti ons t o un reso lv ed i nd i ca t o r s shou l d be c l ea rl y defi ned and on a g r aded s ca l e app r op ri a t e t o t he l e vel of p ot en tial s afeg ua r ds s i gnificanc e. T he responsibilit y and au t horit y fo r i niti a ti ng and e xecu ti ng such esca l atin g l e v e l s o f response acti ons a l so s h ou l d be defi ne d. For indicators of missing SNM, the level of safeguards concern is related to such factors as:

the potential quantity of 235 U U-235 involved the material attractiveness of the potential missing uranium (in terms of fabricating a nuclear explosive device) relative to its enrichment and composition or form (e.g., U metal, U 3 O 8, uranyl nitrate solution, UF 6 , scrap, or waste)

(e.g., U m e t a l , U 3 O 8 , u r a n y l n i tr a t e so lu t io n , U F 6 , sc rap, or w as t e) 1 3.4 Documentation Requirements T he MC&A p l an shou l d i dentif y a ll docu m e nt a ti on req uirem en t s ass o c i a te d wit h t he license e's progra m for t he r eportin g, i n v estigation, an d reso l u ti on o f mi ss in g SN M i n di ca t o rs. R evie w and app r o val r e q u ir e m e nt s a nd docu m e nt cus t od i al respons i b ilit y a l so shou l d be defined. A s a mi n im u m , doc um e nt atio n o f t h e f o ll o wi ng shou l d be i nc l uded: investigation procedures resolution procedures reporting of the indicator to MC&A management

, including date and time the indicator was reported, name of individual who discovered the indicator, and description of indication

65 NUREG-1065, Revision 3 investigation findings and conclusion, including resolution status, date issued, name and signature of principal investigator, and approval signature of MC&A manager reports made to the NRC for unresolved indicators and for indicators determined to be real, including date and time the report was made, method of communication, and name of the NRC individual contacted

. A dditional ty pes o f inf o rm a ti on t hat m ay be nec e ssa r y a r e desc ri bed i n S ec ti on 1 4.3 o f t h i s docu m en t. 1 3.5 Commitments and Acceptance Criteria I n it s MC&A p l an, t he licensee shou l d pr o vi de defi nitiv e commitm en t s that adh e r e t o reg u l ator y req u ir e m e nt s and m eet t he accep t a n ce crit e ri a a pp licab l e t o i n v estig atin g and resolving ano m a li es i nd i ca ti ng po s s i b l e SN M mi suse. A fin d i ng that t he license e's MC&A p l an fo r resolvi ng i nd i ca ti ons o f loss, t heft , d iv e r s i o n , o r misuse o f S N M i s accep t ab l e and i n acc or d ance wit h 10 C FR 7 4.3 (b) and (c), will be based o n , b ut not limit ed t o t he f o ll o wi ng accep t a nce criteria: Adequate commitments are provided to ensure a high probability that any an indicator of missing SNM will be (1) recognized as an indicator, (2) investigated, and (3) resolved.

The licensee will conduct a prompt investigation for a l l indications of possible loss, theft, diversion, or misuse of SNM.

A cause or probable cause that is based on objective evidence will be assigned to each indication of possible loss that the licensee investigate

s. Investigation and resolution procedures will provide for adequate overchecks to ensure that no individual who could have been responsible for a possible loss or theft of SNM would be the sole or primary individual responsible for resolving the indicator.

No investigation relative to an indication of an SNM loss or theft exceeding the current detection quantity (DQ) sh oul d be declared as completed but unresolved without first conducting a shutdown, cleanout inventory in which all unsealed SNM is remeasured for element and isotope.

The licensee will report the results of all investigations of alleged thefts, and any indications of a loss of SNM that remains unresolved after 30 calendar days , to the appropriate NRC MC&A licensing authority.

NUREG-1065, Revision 3 66 1 4. INF ORMATI O NA L AI D F OR AS S I STIN G I N THE IN VESTIGATION AN D R E C OVE R Y OF MI SS IN G SPECIA L NUCLEA R MAT ERIA L 1 4.0 Regulatory Intent T he i n tent o f 10 C FR 74.3 (d) g ene ral perform a nc e ob j ectiv e i s fo r licens e es t o ha v e r eady and p r o vi de t o i n v estigat o r s a ny i n f ormati on dee m ed r e l e v ant t o t he reco v e r y of spec ial nuc l e a r (SNM) i nvolv ed i n a loss or t heft. T he bu r den i s o n t he licensee t o p r o vi de (wit hout be i ng as k e d) a l l inform a ti on th at i t r ec og n iz es as be i ng r e l e v an t , as opposed t o on l y p r oviding i nformati on that t he i n v estigat o r s ar e k no wl ed g e a b l e enou g h t o req u e s t. Th i s ob j ectiv e pe rt a ins t o i n v estigati ons and r e c o v e r y ope r a tions, r e l atin g t o ac t ual (or h ig h l y suspec ted) e v en t s pertaining to missing SNM, which would be conducted by the U.S. Nuclear Regulatory Commission (NRC) or other government agencies, such as the Federal Bureau of Investigations.

pe rt a i n i ng t o m i ss i ng SN M , w h i ch w o u l d be con d uc t ed by t he U.S. Nu c le a r R e g u la t o r y Co mm i ss io n (NRC) o r o ther g o v e r n m e n t agenc ies, s u ch as t he Fede r al B u r eau o f I n v es t i g a t ions. T he 10 CFR 7 4.3 (d) perf o rmance o bj ectiv e stat es t h a t t he licensee m u s t b e ab l e t o p r o vi de, i n a tim e l y m anne r , inf o rm a ti on t o a i d i n t he i n v estigati on and reco v e r y o f mi ss i ng SN M i n t he e vent o f an ac t ual loss, t heft , d iv e r s i on or misuse. 1 4.1 Types of Information T he ki nds o f informati on that m ay a i d t he i n v es ti ga ti on and reco v e r y effor t a r e: da t a o r observ a ti ons t h a t l ed t he licensee t o d et ermi ne t h a t a loss or t h ef t o f u r an ium m ay ha v e occu rr ed da ta, obse rv a tions, and assess m e nt s assoc i a t ed wit h attem p t s t o reso lv e t he i nd i ca ti on o f mi ss in g m ateria l t he tim e peri od duri ng w h i ch t he mat e ri al m ay ha v e l e f t th e f ac ilit y t he p at h and m ea n s by whi ch t he m aterial m ay h a v e l e f t t he f ac ilit y 1 4.2 Information Indicating Possible Losses of SNM Informati on i nd i catin g th at a loss o f ur an ium m ay ha v e occu rr ed can c om e from p r oc e ss o r p r oduc ti on yi e l d da ta , p hy s ical inv en t o r y resu lts, it em contr ol activities, o r s h i ppe r-rece iver co m pa rison s. T h i s inform a ti on cou l d i nc l ude: m aterial accoun t ab ilit y d a t a reco r ds and r eport s i n v en t o r y reco r ds i n v en t o r y difference (ID) and p r opagati on o f e rr or ca l cu l a ti ons 67 NUREG-1065, Revision 3 i n v en t o r y reconc ili a ti on r epo rt s i nd i ca ti ons o f u nr ec or d e d or unau t horiz ed r e m o v a l s o f SN M fro m storag e or process loca ti ons r epo rt s o f app arent destr uc ti on or f a l sifi cati on o f reco r ds pert a i n in g t o SN M reco r ds o f b roken t a m p er-i nd i catin g de vices (T ID s) o r c om promised item i ntegrit y i nd i ca ti ons o f una ut horized en tr y i n t o SN M s t o ra ge a r eas r e p o rt s fro m m o nt h l y it em st a tu s inspecti ons m aterial rece ipt and lo g reco r ds resu lt s from sh i ppe r-r eceiv er diff e rence (SRD) e v a l ua ti ons p rocess q ua lit y assu r an c e or p r oducti on contr ol re co r ds docu m entati on r e l a ti ng t o an a ll e g ed or confirme d t h ef t 1 4.3 Information on Resolving Indications of Missing SNM Informati on associat ed wit h resolvi ng i nd i ca ti ons o f mi ss i ng SN M i s p r ovid ed i n C hap te r 1 3. T h i s inf o rm a ti on and informati on t h a t m ay a i d i n t he reco v e r y o f mi ss in g m a t e rial w ou l d i nc l ude: t he ty pe o f una ut horiz ed activit y de t ec t ed t he i nterval du ri ng w h i ch t he loss m ay ha v e occurr ed t he amount o f m aterial and for m o f t he m aterial i n v o lv ed i n t he loss resu lt s o f m eas ur es t o v a li da t e i nd i ca t o r s resu lt s o f e xt ended m e a su r es t o reso lv e i nd i ca t o r s resu lt s from spec ial i n v en t o ri es (or re-i n v en t o ries) and t e st s pe rf o rm ed aud i t resu lt s o f t he SN M accoun t ab ilit y sou r ce d at a assess m e nt s o f m easurement da t a and m easurement con tr o l s resu lt s from r e vi e w s of th e mat e rial control and a c c oun ti ng (MC&A) p ro g ra m and status o f corr ectiv e ac ti ons h i s t o r y o f i nd i ca tor i n v estig a ti on and re so l u ti on acti viti es ano m a l y i n v estig a ti on a n d reso l u ti on p roced ur es and conc l us i ons NUREG-1065, Revision 3 68 p r obab l e cause o f t he loss any abno rmal e v en t s t h a t m ay ha v e contri b ut e d t o or caused t he lo ss t he n am es o f i ndivi dua l s w ho cou l d ha v e been r e s pons i b l e for t he loss Much of t he ba ck up inf o rm a ti on n ecessa r y t o a s s i st i n an i n v estigati on w ou l d be r ec ords m a i n t a i ned i n t he f ac ilit y reco r ds s y s te m descri b e d i n C hap te r 1 5. 1 4.4 Commitments and Acceptance Criteria In its MC&A plan, the licensee should provide definitive commitments that adhere to regulatory requirements and meet the acceptance criteria applicable to providing information to assist in the investigations and recovery of missing uranium o r una u t ho r i z ed p r od u c t i on.. A finding that the licensee

's MC&A plan for providing informational aid is acceptable and in accordance with 10 CFR 74.3(d), will be based on, but not limited to the following acceptance criteria:

10 C FR 74.3 (d), w ill be based on, but not li m i t ed t o t he f o ll o w i ng accep t a n ce c r i t e r i a: Procedures are in place for the efficient and timely gathering of relevant information to be provided to government investigators to aid them in the investigation and recovery activities associated with missing SNM.

Information will be provided to appropriate government authorities to aid them in their investigation of indications or allegations of missing material and in the recovery of SNM in the event of a loss that could include theft or diversion.

69 NUREG-1065, Revision 3 1 5. RECORDKEEPING 1 5.0 Regulatory Intent T he i n tent o f 10 C FR 74.31 (d) i s t o req u ir e t he licensee t o e st ab li sh and m a i n t a i n r ec or ds that de m ons tr a t e that t he g e n e ral pe rf o rmance ob j ectiv es of 10 CFR 74.3 and t he 10 CFR 74.31(a)-(c) requirements have been met.

R ec or ds shou l d i nc l ude those doc um entin g t h e: 10 CFR 74.3 1 (a)-(c) r e qu i r e m en t s ha v e been m e t. R ec or ds shou l d i nc l ude those doc um entin g t h e: receipt, shipment, disposal, and current inventory of special nuclear material (SNM) held under license quantities of SNM added to and removed from process shipper-receiver evaluations associated with SNM receipts Reco r ds m u s t be ret a i ned fo r a t l ea s t 3 y ea r s (o r l on ge r i f specifi ca ll y req u ir ed by reg u l a tions e xt e rnal t o 10 CFR 74.3 1), t h er eby p r o vi d i ng a w ay fo r a ssess in g t he MC&A progra m performance and inspecti ng for c om p liance wit h r e g u l ator y req uirem en ts. H owev e r , i n acco rdance wit h 10 C FR 74.1 9(b), m aterial con trol and accounti ng (MC&A) p rocedu r es (as docu m en t ed i n li censee reco rds) must be r e t a i ned un ti l t he C ommi ss i on t ermi na t es t he license. 1 5.1 Description of Records T he MC&A p l an shou l d i dentif y a l l reco rd s, forms , r epo rts, and s t and ar d o pe r atin g procedu re s that show co m p liance wit h t he req uirem en t s o f 10 CFR P a r t 74. Such r ec or ds shou l d i nc lude, but ar e n o t limit ed to , t he f ollowing: documents that define changes in the MC&A management structure or changes in responsibilities relating to MC&A positions procedures pertaining to any accountability

-related measurement or sampling operation forms used to record or to report measurement data and measurement results, including source data forms and notebooks used to record calibration data associated with any accountability measurement system forms and notebooks used to record quantities, volumes, and other data associated with the preparation of standards, both calibration and control, used in connection with accountability measurement systems forms and official memos used to record or report measurement control s y s t emprogram data, control limit calculations, and out-of-control investigations forms listing and providing instructions associated with physical inventories forms and formal worksheets used in the calculation of standard error of the inventory difference (SEID), inventory difference (I D), and active inventory values

ledgers, journals, and computer printout sheets associated with the accountability system ledgers, journals, and computer printout sheets associated with the item control system, including seal usage and "attesting to

" records U.S. Department of Energy/U.S. Nuclear Regulatory Commission (DOE/NRC) Forms 741 and 742 and NRC Form 327 forms, memos, and reports associated with identification of, investigation of, and resolution of significant shipper-receiver differences (SRDs) loss indication and alleged theft investigation reports investigation reports pertaining to excessive IDs official reports containing the findings and recommendations of MC&A program assessments and any letters or memos pertaining to response actions to assessment team recommendations forms used for recording data associated with the item monitoring program monitoring program status or summary repor ts records of training sessions

, including date given, topics covered, name of instruct i on(s), and names and signatures of those attending training, qualification, and requalification reports and records Examples of the more important MC&A forms should be provided in the MC&A plan annex or appendix.

The retained records and reports should contain sufficient detail to enable NRC inspectors to determine that the licensee has met the requirements of 10 CFR 74.3 1 (a)-(c), and has met the general performance objectives of 10 CFR 74.3.

1 5.2 Program and Controls for Ensuring an Accurate and Reliable Record System The MC&A plan should describe the controls used to ensure that records are highly accurate and reliable. The record system also should provide a capability for easy traceability of all SNM transactions from source data to final accounting records.

The following topics should be addressed:

the auditing system or program to verify the correctness and completeness of records the overchecks for preventing or detecting missing or falsified data and records the plan for reconstructing lost or destroyed SNM records the access controls used to ensure that only authorized persons can update and correct recor ds the protection and redundancy of the record system such that any act of record 71 NUREG-1065, Revision 3 alteration or destruction will not eliminate the ability to provide a complete and correct set of SNM control and accounting information needed to achieve the performance objectives of 10 CFR 74.3.

1 5.3 Commitments and Acceptance Criteria I n it s MC&A p l an, t he licensee shou l d pr o vi de de fi nitiv e commitm en t s that adhe r e t o t he reg u l a t o r y req u ir e m e nt s and m e e t t he accep t an c e criteri a app licab l e t o re cordkeeping. A finding that the licensee

's MC&A plan for the recordkeeping system is acceptable and in accordance with 10 CFR 74.31(d) will be based on, but not limited to , the following acceptance criteria: Access t o MC&A i n f ormati on will be con tr o ll ed t o p r o vi de de t e rr e n ce and d e t ec ti on o f loss, t heft , div e r s ion, or misuse, or r ad i o l o g ical sab o t a g e i n v o l v i ng of SNM. A r ec or d r e t enti on s y s te m i s m a i n t a i n ed fo r t ho s e r ec or ds n ecessa r y t o s how that t he MC&A s y s t em req u ir e me n t s o f 10 CFR 7 4.3 1 (c) h a v e been m e t. Such r e c o r ds ar e r e t a i ned for at least 3 y ea r s, un less a l on ge r rete n ti on tim e i s specifi ed by 10 C FR 74.1 5(b), 10 CF R P a r t 7 5 , "Safeg ua r ds o n N uc l e ar M a t e ri al-Im p l e m entati on o f US/IAE A Agr e em en t," or by a specifi c license co n diti o n. T he re co r ds ref e rr ed t o i n 10 CFR 75.2 2 , "Accounti ng Reco r d s," and 10 CF R 75.2 3 , "O p er atin g R e c o r ds ," and g en er a t ed durin g any peri od t h a t t he f ac ilit y i s u nder I nter na t ional Atomi c E ne rg y Agency (IAEA) safeguards will be retained for at least 5 years. Records of the following will be maintained current and will be retained for at least 3 years: (I AEA) s a f e g u a r ds w i ll be r e t a i ned f o r a t l ea s t 5 y ea rs. R ec o r ds o f t he f o l l o wi ng w ill be m a i n t a i ned c u rr e n t and will be r e t a i n e d for at least 3 y ea r s: o Management structure, MC&A job descriptions, and MC&A policies and procedures o Accounting source data records (accounting source data normally consist of shipping and receiving forms, physical inventory forms, and the forms used for initially recording measurement and measurement control data

) o Records of shipments and receipts and investigations of significant SRDs plus the information used to resolve them o Measurement data for receipts, shipments, discards, and inventory o Calibration of measurement systems, measurement control data, bias estimates, and the statistical analyses of the measurement control data o Data used to demonstrate that the measurement system performance achieves the SEID limits that 10 CFR 74.

31(c)(4) requires o Physical inventory listings and inventory work sheets o Calculations of detection thresholds for excessive IDs of a safeguards significance (i.e

., ID alarm point for detecting a loss equal to or greater than the detection quantity (DQ))

o Calculations of the SEID and information used to reconcile an excessive ID (i.e., an I D t h a t i s g r e a ter than or e qual t o 3.00 t i m es t he SE I D) o Reports of investigations and resolution of indications of loss of SNM o The results of independent assessments and management action taken to correct any deficiencies identified S u ffi c i ent pr o te c ti on and redundancy o f t he r ec or d s y s tem i s pr o vi ded so th at an act o f reco r d a lt erati on o r destr uc ti on will not elimi na t e t he capab ilit y t o p r o vi de a co m plet e and co rr e ct set o f SN M con trol and accounti ng inform a ti on t h at cou l d be us e d t o confir m t he p resence o f SNM , reso lv e i nd i ca ti ons o f mi ss i ng m ateri a l , or a i d i n t he i n v estigati on and reco v e r y o f mi ss i ng m ateri a l. Al l SN M transac ti on s fro m so ur ce da t a t o final a ccoun ting re co r ds will be r ead il y traceab l e. T he sou r ce da t a will be r e t a i ned i n it s origi nal for m unti l t he ph y s ical i n ve n t o r y and any subse q ue n t I D i n v estig a ti ons ha v e been c om p l e ted. After t h i s time , any re adab l e facsimil e i s a ccep t ab l e fo r t he r e m a inder o f t he req u ir ed ret en ti on peri od. Al l o ther reco r ds m ay be ret a i ned as ha r d cop y , mi crofi ch e, pe rmanent c om pu te r re adab l e f orms , or other pe rm anen tl y r e a dab l e f orms. T he r ec or ds will be r etri e v ab l e, suffi c i en tl y co m plet e and de t a il ed t o permi t auditi ng a l l pa rt s o f t he MC&A s y s t e m, and traceab l e ba c k t o original sou r ce da ta. T he r ec or ds o f t he da t a t hat ar e t he bas i s o f t he c a l cu l a t ed SEI D will pe rmi t traceab ilit y t o t he so urces o f t he v a riances because o f ca li brations, b i as ad ju s tm en ts , and r and o m eff e ct s i n t he m e a surem en t s. T h e se reco r ds ma y be su mm a ri es o f ca li b r a tions, b ias t es ts , a n d v a riance m on it o ri ng da t a or control chart s. T he r ec or d s y s te m will ha v e su ffi c ient r edundan c y t o enab l e recons tr ucti on o f lost or mi s s i ng r ec or ds so t hat kno wl ed g e o f t he SN M inven t o r y i s a lw a y s avail ab l e. T he prim a r y re co r d s , as contr as t ed wit h dup li ca t e o r b ac k up re co r d s , will be p r o vi ded securit y ag a inst co m pute r f a il u re, fir e or w a t er damage, v anda li s m , and a ccess by unau t horiz ed p e rson s. Al l r e t a i ned MC&A reco r ds a r e t o be r ead il y access i b l e t o meet tim e r es tr a i n t s r elativ e t o t he i r us e. I n g en er a l , t he r ec or d r e t enti on s y s te m shou l d possess t he cap a b ilit y t o r etri e v e r e c o r ds used f or measurem e n t control or accoun t ab ilit y wit h i n 24 h ou r s i f the reco r d w as g en er a t ed wit h i n t he pa s t 12 m o nt h s, and wit h i n 7 ca l endar d ay s i f g enerat ed m o r e t han 12 m o nt hs ago. P h y s ical i n v en t o r y li sti n g s ar e t o be a v a il ab l e wit h i n 24 hou r s for t he l a t e s t tw o ph y s i c a l i n v en t o ries. Item con trol reco r ds ar e t o be retri e v ab l e i n tim e to satisfy the criteria in Section 8.7. Ov e rche ck s or o t h e r contr o ls , i nc l ud i ng access c o n tr o l s for updatin g and c o rr ecti ng reco r d s , ar e pr o vi ded t o p r e v ent or de tect e rr o r s i n t he r ec or ds t h a t w ou l d aff e c t I D and it em l ocati on.

73 NUREG-1065, Revision 3

16. G L OSSAR Y T he f o ll o wi ng t e rm s a r e defi ned i n th e co nt e x t o f (1) t heir us ag e i n t h i s d o cu ment or (2) how they shou l d be used i f con t a in ed i n t he mat e rial c o n trol and accountin g (MC&A) p l ans su bmitt ed i n acco rdance wit h 10 CFR 74.3 1 , "N uc l ear M a t e r ial C on tr olmaterial control and Accou n t i n gaccounting for S pec ial N uc lear M a t e r i alspecial nuclear material of Low S tr a t e g i c Si g n i f icanc elow strategic significance

." ACTIV E INVEN T OR Y (AI)-T he sum o f begi nn i ng i n v en t o r y (BI), additi ons t o i n v en t o r y (A), r e m o v a l s from i n v en t o r y (R), and end in g i n v en t o r y (EI), afte r a l l comm on t e rm s ha v e been t o t a ll y e x c luded. A comm on t e r m i s any spec i al nuc l ear m aterial (SNM) va l ue (or item) t h a t appea r s i n b ot h B I and EI, or bo t h BI and R , o r b ot h A a n d R, or bo t h A a n d EI , wit h bo t h v a lues deriv ed fro m t he s am e measu r e m e n t (and t hus d o es not contri bu t e t o the unce rt a i n t y assoc i a t ed wit h t he curre n t-peri od i n v en t o r y diff e rence (ID)). T he activ e i n v en t o r y i s used as an i nd i ca t or o f process in g thr o ughput or m easureme nt activity. ADDI T ION S TO INVEN TORY-Q uantiti es o f SNM , o f a giv en mat e ri al ty pe code, added t o a p l ant i n v en t o r y and w h ic h, b ef o r e such addition, w e r e not pa r t o f t he p l ant's t o t al possessed q uantit y f or t he m aterial t y pe code i n q ues ti o n. ARTI F AC T STANDARD-A con t a iner or ite m o f c ertifi ed m as s , ha vi ng a s iz e, shape; and mass that i s r e prese nt ativ e o f a parti cu lar ty pe o f pr oc e ss r elat ed ite m or con t a iner (e.g., a UF 6 cyli nde r). W e ig h in g e rro r that buo yancy causes i s elimi na t ed t h r o ug h t he use o f artif a c t s t anda r ds for sca l e ca li b r a tions. ASSIGNE D VA L UE-A v a l ue for mass, v o l u m e, SN M concentration, SN M q uantity , et c., ass ig ned t o a st anda r d w e ig h t , st anda r d m ateri a l , e t c.; us e d for ca li b r atin g or contr o lli ng a measurem e n t de vi ce or s y s t e m. A n ass ig ned v a l ue m ay not nece s saril y be a certifi ed v a lue, but i f no t , i t shou l d be traceab l e t o a certifi ed s t a n da r d. I n any e v en t , i t i s t he best estim a t e o f t he st anda r d's tr ue v a l ue. BEGINNIN G INVEN T OR Y (BI)-T he t o t al it emiz ed q uantit y o f S N M of a giv en mat e ri al ty pe code possessed by a "p l an t" a t t he st a r t o f a m aterial b a lance pe ri od (i n v en t o r y pe ri od). T he B I q uantit y for any giv en m a t e rial ba lance peri od i s (by defi niti on) e x ac tl y equal t o t he end in g i n v en t o r y q uantit y f or t he imm ediat e l y p r e vi ous pe ri od. BIA S (MEASUREMEN T BIAS)-A un i d ir ec tional c o mponent o f e rror t h a t aff ec t s (t o t he sa m e deg ree) a l l mem be r s o f a m eas ur e ment da t a se t. A b i as can t hus be estim a t ed fro m t he de vi a ti on of t he m ean of se v e ral measurem e nt s o f a r e presentativ e s t and ar d fro m t he reference v a l ue (or ass ig ned v a l u e) o f such st anda rd. I f a bi as i s l a rg e eno ug h t o h av e an effect on t he reco r ded v a l ue o f SN M it e ms, t he accou nt ab ilit y va l ues o f such it e m s sho ul d be app r opri a t e l y ad j us t e d. I f a b i as i s t oo s m a l l t o affect i ndividual it e ms , it s effect ac r o s s a l l m eas ur ed it e m s (o r m aterial quantiti e s) shou l d be d et ermi ned as an abso l u t e q uantit y (e.g., as gram s U and g r a m s 23 5 U). U-235). T he n e t s u m o f a l l b iases (as absolut e q u a ntities) not app li ed as corr ec ti ons t o i ndivi du a l it e m s i s t hen app li ed as a b i as corr ecti on t o ID. CA LIBRATION-T he process o f d et ermi n i ng t he nu m e rical r e l a tionsh i p betw een t he observ ed ou tput o f a m eas ur e m e n t s y s tem and t he a c tual v a l ue o f t he cha r a ct eristi c be i ng m eas ured, as based on primar y or reference st anda rd s.

CERTIFIE D STANDARD-A s t and ar d w e ig h t , m a t e ri a l , de vice, or i ns tr u me nt ha vi ng an ass igned v a l ue t hat i s g u ar an t eed t o be wit h i n specifi ed limit s by a n a ti ona ll y or i n t e r na ti ona ll y reco g n iz ed o rg an iz a ti on (e.g., bu r e a u, l aborat o ry , etc.) t h a t issues or certifi es s t and ards. CHEC K STANDAR D (BENC H STANDARD , WORKIN G STANDARD)-A s t anda rd , n o t necessaril y traceab l e t o a primar y s t and ard, whic h i s used r outi ne l y (e.g., da il y or w eekly) t o che c k (or v erify) t he r e li ab ilit y of a m e a surem ent de vice, i nstrum en t , etc. (i nc l ud i ng those o f accoun t ab ilit y measurem ent s y stem s). Such s t a n da r ds ar e n ot, ho w e v e r , used fo r t he a c tual ca li b r a ti on or con trol o f a cco un t ab ilit y measureme nt s y stem s. COMBINE D STANDAR D ERROR-A n e rror ba n d deriv ed fro m t he resp e ctiv e s t anda r d e rror v a l ues assoc i a t ed wit h e a ch o f tw o m ea s urem en t s (usua ll y i ndependent of each ot he r) perform ed on a giv en mat e ri al q uantity. F o r b ot h measurem e n t v a l ues (o f t he pa ir) t o be reg a r ded as be in g i n agr ee m en t , t hey m u s t n o t diffe r fro m each other by m o r e t han the ca l cu l a t ed c om b i ned s ta nda r d error , w h i ch i s no rm a ll y ca l cu l a t ed by taki ng t he sq ua r e r o o t o f t he s u m o f sq ua r ed i ndividual s t anda r d e rr o r s. Tha t i s: co m b i ned S.E. = [( 1)2 + ( 2)2]1/2 CONFIRMATORY MEASUREMENT

-A measurement that confirms (within measurement uncertainty at the 95 percent confidence level) a previously established parameter, such as net weight, enrichment, etc., associated with an SNM item (or SNM quantity), but which does not thoroughly verify the previously established element or isotope quantity assigned to such item.

Confirmatory measurements are sometimes used as the basis for concluding that previous measurement values for uranium and 235 U U-235 (or element and isotope) quantities are still valid. CONTROL STANDARD

-A standard that (1) is representative of the process material being measured and (2

) is itself measured periodically to monitor for and to estimate any bias associated with the measurements of the process material in question.

A control standard must be traceable to a primary standard or to a primary reference material.

DEPLETED URANIUM

-Any uranium

-bearing material whose combined 2 3 3 U U-233 plus 235 U U-235 isotopic content is less than 0.70 weight percent (wt %) (relative to total uranium elemental content). DETEC T IO N QUAN T IT Y (DQ)-A s it e-sp e cifi c 235 U U-235 q uantit y fo r licensees sub j e c t t o 10 C FR 74.3 1 , "N uc lear M a t e r ial C on tr olmaterial control and A c c oun t i ngaccounting fo r S pec ial N uc l e ar M a t e r i alspecial nuclear material o f Low S tr a t e g i c Si g n i f icanc elow strategic significance

," o r 10 CFR 74.3 3 , "N uc l ear M a t e r ial C on tr olmaterial control and A ccoun t i ngaccounting fo r U r an i um E n r i ch ment Fac ili t i es A u t ho r i z eduranium enrichment facilities authorized t o P roduce S pe c ial N uc l ear M a t e r i alproduce special nuclear material of L o w S tr a t e g i c Si g n i f icance."low strategic significance

." The DQ is normally a function of annual throughput, but for low throughput low-en riched u r an iu m (LEU) f acilities, t he D Q n e ed not be less t han 25 kil og r a m s o f 235 U.U-235. T he D Q a l so can be desc ri b e d as a g oal q uantity , t he loss or t h ef t o f w h i ch m u s t be de t e ct ed wit h a 90 pe r ce n t (or be tt e r) p ow er of de te c ti on whenever a ph y s ical i n v en t o r y i s tak e n. DETECTION THRESHOLD (DT)

-An ID limit that will be exceeded (with 90 percent or higher 75 NUREG-1065, Revision 3 probability) by an ID resulting from the taking of a physical inventory whenever there has been an actual loss of a DQ. The DT is a function of both the DQ and the standard error of the inventory difference (SEID), as shown by the following equatio n: DT = DQ - 1.3(SEID) ENDIN G INVEN T OR Y (EI)-T he tot a l-it emiz ed quantit y o f SN M of a giv en mat e ri al ty pe code possessed by a "p l an t" a t t he end o f a mat e rial b alance pe riod, as d et ermi ned by a ph y s ical i n v en t o ry. T he E I q uantit y fo r any giv en mat e ri al ba lance pe ri od i s (by defi niti on) e x ac tl y e qual t o t he B I q uantit y fo r t he ne x t pe ri od. ENRICHE D URANIUM-A ny u r an i u m-bearin g mat e rial t h a t do e s n o t q ualif y as na t u r al or no rmal u r an i u m, and whose c om b i ned 233 U U-23 3 p lu s 235 U U-235 i s ot op i c co ntent i s 0.725 p ercent or h ig h e r by weig h t , r e l ativ e t o t o tal ur an i um e l e m e n t co nt e nt. INVENTORY RECONCILIATION

-The adjustment of the book record quantity of both element and fissile isotopes to reflect the results of a physical inventory.

In the broad sense, inventory reconciliation also includes the activities of calculating (1

) the ID for the material balance period in question, (2

) the uncertainty (i.e

., SEID) value associated with the ID, (3

) the active inventory for the period, and (4

) any bias adjustment or prior period adjustment associated with the ID value. MATERIAL BALANCE PERIOD

-The time span to which a material balance or physical inventory pertains.

MATERIAL TYPE CODES

-Number codes for identifying basic material types with respect to SM, SNM , and byproduct materials.

These codes are used by the nuclear materials management and safeguards system (NMMSS) for tracking U.S.-owned and U.S.-possessed materials worldwide.

For SNM, seven material type codes hav e been assigned as follows:

CODE MATERIAL TYPE 10 depleted uranium 20 enriched uranium

(*) 50 plutonium 70 uranium-233 (**) 83 plutonium-238 (***) 88 thorium 89 uranium in cascades (*) For U.S. Department of Energy/U.S. Nuclear Regulatory Commission (DOE/NRC) Form 742 purposes, material code 20 has four subcodes (E1, E2, E3, and E4) to denote enrichment range.

For NRC Form 327 purposes, code 20 has two subcodes, namely LEU and high-enriched uranium (HEU). (**) Uranium materials should be regarded as material code 70 if the 233 U U-233 isotopic distribution is greater than (1) 10.00 wt % relative to total uranium element content, or (2) both the 235 U U-235 isotopic concentration and 5.00 percent by weight of the total uranium; otherwise report as material code 10, 20, or 81, as appropriate.

(***) Plutonium materials should be regarded as material code 83 if the 238 P u Pu-238 isotopic distribution is greater than 10.00 wt % relative to total plutonium element content.

Otherwise, report as material code

50.

MEASURE D DISCAR D (MD)-A m eas ur ed q uantit y of gaseou s , liq u i d, o r s o li d w as t e that a f ac ilit y no l on ge r poss es se s , o r w h i ch has been tr an sf e rr ed (accounti n g-wise) t o a w as t e holding-account through a DOE/NRC Form 741 transaction.

(Reference 10 CFR 7 4.1 3 for reporting of waste holding account

.) MEASUREMENT CONTROL SY S T E MPROGRAM-A managed s y s t emprogram for monitoring and controlling both accuracy and precision of SNM accountability measurements.

NATURAL URANIUM

-Any uranium

-bearing material whose uranium isotopic distribution has not been altered from its naturally occurring state.

Natural uranium is nominally 99.

283 w t % wt % U-23 8, 0.711 wt

% U-235, and 0.006 wt %

U-234. 23 8 U , 0.711 w t % 235 U, and 0.006 w t % 234 U. NORMAL URANIUM

-Any uranium

-bearing material having a uranium isotopic distribution that can be characterized as being (1) 0.700 wt % to 0.724 wt % in combined 233 U U-23 3 plus 235 U U-235 and (2) at least 99.200 wt % in 238 U U-23 8. (Note: All natural uranium having a 235 U U-235 isotopic abundance in the range of 0.700 wt % to 0.724 wt % is normal uranium, but not all normal uranium is natural uranium.)

POINT-CALIBRATED MEASUREMENT SYSTEM

-A measurement system in which the measurement value assigned to an unknown measured by the system is derived from the response obtained from the measurement of a representative calibration standard(s) that was measured along with (i.e

., at the same time as) the unknown.

The standard(s) must undergo all the measurement steps (e.g

., aliquoting, sample pretreatment), and in the same manner, as the unknown. Point-calibrated measurement systems can be regarded as bias free, provided that adequate controls are in place to ensure the validity of the standard

's assigned value.

PRIMAR Y STANDARD-A ny dev i ce or m aterial h a v i ng a ch ar acteri s ti c or pa r ameter (s u ch as m as s , ur an ium concen tr a tion, ur an ium i so t op i c d i stri bu ti o n , et c.) whose v a l ue i s certifi ed (wit h i n a specified uncertainty) by a nationally or internationally recognized bureau, laboratory, etc., that issues or certifies standards.

PRIO R PERIO D AD JUSTMENT-A ny co rre c ti on (i.e., ad ju s tm en t) t o an I D v a l ue because o f a co rr ecti on app li ed t o a c o mponent o f B I after t he i n v en t o r y pe ri od s t a rt e d. Such corr ecti ons may be because o f t he resoluti on o f a n SRD on m aterial rece iv ed du ri ng a prior i n v en t o r y pe riod, co rr ecti on o f a r ec or d i ng e rr o r , e tc. Because t he s e ty pes o f corr ecti ons h av e no t h i ng t o do with cu rr e n t peri od losses or e rr o rs, and beca u se t he offi c ial B I v a l ue i s not a dj us ted, an a dj ustm e n t to the ID value (derived from the ID equation) is necessary to obtain an ID that reflects only current period activity.

PROCESS MONITORING

-A system of monitoring production data (e.g., flow rates, yields, densities) and of production control or quality control measurements (as opposed to accountability measurements) that could provide early (i.e., timely) detection of an anomaly that may indicate a significant loss or theft of SNM or indicate unauthorized enrichment activities.

RESIDUA L HO L DUP-A ny SN M that r e m a i ns wit h i n p rocess in g eq uipm e n t (i nc l ud i ng v entil a ti on filter s and ductw o r k) afte r s y s te m dr a i ndo w n or c l eanou t. If , a t t he tim e o f p h y s ical inv en t o ry , t he t o t al q uantit y o f re s idual ho l dup i s s ig nifican t, such ho l dup must be measu r ed (or estim a ted 77 NUREG-1065, Revision 3 on t he bas i s o f p ar ti al measu r e m e nt s and engi n e e ri ng ca l cu l a tions) and in c l uded i n t he ph y s ical i n v en t o r y li s ti n g. T he u n ce rt a i n t y ass o c i a t ed wit h a t o t al m eas ur ed o r estim a t ed r es idual ho l dup q uantit y m u s t be i nc l uded i n t he ca l cu l a ti on o f t he SEID. RESOLUTION OF AN INDICATOR-A definitive determination (with auditable evidence) by the licensee that an indicated possible theft or loss of uranium was a false indicator.

SHI PPER-RECEIVER DIFFERENCE (SRD)

-The difference between what a sending facility (i.e., shipper) claims was contained in a shipment (of SNM) and what the receiving facility claims was received, where both shipper and receiver values are based on measurement.

STANDARD-See definitions for CERTIFIED STANDARD, CHECK STANDARD, CONTROL STANDARD, PRIMARY STANDARD, and STANDARD REFERENCE MATERIAL

. STANDARD DEVIATION

-The random error (at the 67 percent confidence level) associated with a single value of a data set, which in turn is also a measure (or indication) of the precision relating to a set of measurements (or set of data) pertaining to the same item or sample of material.

Standard deviation is calculated as follows:

n standard deviation =

S = { [ (x i - x- )2] / (n-1) }1/2 i=1 where n = number of measurements performed x i = the value obtained for the i th measurement for i

= 1, 2, 3 , ..., n x- = the average value for all n measurements STANDAR D ERROR-Th e rand o m erro r (at t he 67 pe r ce n t confidence l e v e l) ass o c i a t ed wit h t he a v e r a ge, or m ea n , v a l ue o f a da t a set deriv ed fro m repetitiv e determi nations on t he sa m e ite m or sample.

Mathematically, standard error is the standard deviation divided by the square root of the number of individual measurements used to derive the mean value.

STANDARD REFERENCE MATERIAL

-A material or substance that qualifies as a primary standard and whose concentration with respect to a nuclide or isotope, a chemical element, or chemical compound is certified within a specified uncertainty.

SYSTEMATIC ERROR

-A unidirectional error that affects all members of a data set.

The terms "bias" and "systematic error

" are often interchanged.

However, any determined bias (i.e

., a bias estimated from control standard measurements) has an uncertainty value associated with it.

Thus, after correcting for any estimated bias, the uncertainty of that bias can be regarded as a systematic error.

If an estimated bias is not applied as a correction, the combination of the bias plus its uncertainty should be regarded as the systematic error.

VERI FICA T IO N MEASUREMENT

-(1) A nondestr uctiv e assay (NDA) m e a su r e m e n t o f an item conduc t ed t o v erif y t hat a p r e vi ous ND A meas ur e ment v a l ue for i so tope con tent o f t h a t item i s stil l v a lid. (2) T he r e-w e ig h in g and re-s am p li ng of an item , b atch, l o t, or s u b l ot and perform ing che mical assa y s o f t he r e-sa m p l e fo r e l e m e n t a n d i so tope concen tr a tions so as t o v erif y a p r e vi ous l y measu r ed v a l ue fo r e l e m e nt and i so to pe con t e n t o f t he item (b a tch, l o t , o r sub l o t). V erifi ca ti on i s a ch i e v ed i f t he original and v erifi ca ti on measurement v a l ues (for e l e m e n t and i so tope q uantities) agr ee wit h i n t he r a ng e o f m e a su r e m e n t u n ce rt a i n t y (a t t h e 95 pe r ce nt confidence l e v e l).

79 NUREG-1065, Revision 3

17. R E F E R E NC ES I nter na tional Atomi c E nerg y Agency (IAEA), IAE A S a fegua rd s St a ti s tical Concep t s and Techniques , 4 t h 5 th revised edition, 198 9 19 98, Vienna, Austria.

NUREG/BR-0006, "Instructions for Completing Nuclear Material Transfer Reports (DOE/NRC Forms 741 and 740M)," Revision 7, June 200 8 8 , U.S. Nuclear Regulatory Commission

, May 2018. NUREG/BR-0007, "I ns tr uc ti ons for t he Pr ep ar a ti on and Di stri bu ti on o f M a t e rial Stat us R eport s (DOE/NRC Forms 742 and 742C)," Revision 6, Dece mber 2008 7 , U.S. Nuclear Regulatory Commission, May 2018. NUREG/BR-0096, "I ns tr uc ti ons and G u idance fo r C o m p l etin g P h y s ical I n v en t o r y S u mm a r y Reports (NRC Form 327)," U.S. Nuclear Regulatory Commission, October 1992.

NUREG/CR-0602, "Active Nondestructive Assay of Nuclear Materials," U.S. Nuclear Regulatory Commission, January 1981.

NUREG/CR-2078, "Handbook of Nuclear Safeguards Measurement Methods," U.S. Nuclear Regulatory Commission, September 1983. S ep t e m b e r 198 3. NUREG/CR-4604, "Statistical Methods for Nuclear Material Management," U.S. Nuclear Regulatory Commission, December 1988.

NUREG/CR-5550, "Passive Nondestructive Assay of Nuclear Materials," U.S. Nuclear Regulatory Commission, March 1991.

Reilly, T.D. and M.L. Evans, "Measurement Reliability for Nuclear Material Assay," LA 6574, Los Alamos Scientific Laboratory, Los Alamos, NM, 1977 TID-26298, "Statistical Methods in Nuclear Material Control," U.S. Atomic Energy Commission, 1973. T i t l e 10 o f t he U.S. Code of Federal Regulations (10 C F R), Title 10, "Energy," Part 74, "Material Control and Accounting of Special Nuclear Material

," S ubpa r t C , "S pec ial N uc l ear M a t e r ial o f Low S tr a t e g i c Si g n i f icance."

ML18233A374

Contents

Text

6.0 Regulatory

3.0 Regulatory

3.1 Corporate

3.3.1 Responsibilities

3.4 Training

3.7 Commitments

4.2 Measurement

4.2.2 Analytical

4.2.4 Other

4.4 Measurement

4.5 Commitments

5.1.1 Functional

5.1.2 Procedures

5.1.3 Contractor

5.2 Calibrations

5.4 Replicate

5.5 Control

5.5.1 Measurement

6.0 Regulatory

6.1 Determination

1.3 percent

1.3 percent

6.2 Determination

7.0 Regulatory

7.4 Description

7.6 Inventory

7.7 Commitments

8.0 Regulatory

9.1 Receiving

9.2 Determination

9.4 Resolution

9.5 Commitments

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ML18233A374

Text

6.0 Regulatory

3.0 Regulatory

3.1 Corporate

3.3.1 Responsibilities

3.4 Training

3.7 Commitments

4.2 Measurement

4.2.2 Analytical

4.2.4 Other

4.4 Measurement

4.5 Commitments

5.1.1 Functional

5.1.2 Procedures

5.1.3 Contractor

5.2 Calibrations

5.4 Replicate

5.5 Control

5.5.1 Measurement

6.0 Regulatory

6.1 Determination

1.3 percent

1.3 percent

6.2 Determination

7.0 Regulatory

7.4 Description

7.6 Inventory

7.7 Commitments

8.0 Regulatory

9.1 Receiving

9.2 Determination

9.4 Resolution

9.5 Commitments

Navigation menu

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