ML19211C221

Marked-up Transcript of 790920 Briefing in Washington,Dc on Nuclear Fuel Svc,Erwin,Tn Facility.Pp 1-28

ML19211C221
Person / Time
Issue date:	09/20/1979
From:	Gilinsky V NRC COMMISSION (OCM)
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ML19211C217	List: ML19211C216 ML19211C221
References
REF-10CFR9.7 NUDOCS 8001110075
Download: ML19211C221 (29)

Text

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NUCLE AR REGULATO RY COMMISSION i

r IN THE MATTER OF:

I BRIEFING ON NFS-ERWIN I

I t

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l CLOSED MEETING

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Place.

Washington, D.

C.

Octa -

Thursday, 20 Septerber 1979 Pages 1 - 28 4

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'(202)347 3700 ACE -FEDERAL REPORTERS,INC.

Of5cialReponers

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• Nenh Ccpitol Street

- Washington, D.C. 20001 s

NATIONWIDE COVERAGg-gl Y

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UNITED STATES OF AMERICA j

NUCLEAR REGULATORY COMMISSION I

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I BRIEFING ON NFS-ERWIN g

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n Il li Room 1130 ll 1717 H Street, N.W.

,1!

Washington, D.C.

[l Thursday, 20 September 1979 h

The Commission met, pursuant to notice, at 1:35, r

l' p.m.,

I BEFORE:

1-9 VICTORY GILINSKY, Acting Chairman PETER BRADFORD, Commissioner JOHN AHEARNE, Corr.issioner

I ALSO PRESENT:

D e

l W.

Dircks H. Malsch J.

Partlow B.

Snyder p

V.

Stello J. Cummings L.

Stello i740 076 S. Chilk l

E. May

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C.

Brown L. McKeown l

Mr. Fouchard i

G.

Cunningham i

A0E FEDIan REPcRTEFJ. f.'.;.

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P RQC((QIEQS COMMISSIONER GILINSKY:

We are going to cover at 0

i; least a couple of points.

a

[

One is:

What will we be doing that we aren't doing now if we get dow: the road and if it turned out that L

l!

this discrepancy wasn't resolved, which then raises the I:

E-j.:

question:

ought we to be doing that now.

O The second is:

Should be asking the FBI to ll lf take some greater interest in this case.

COMMISSIONER AHEARNE:

The two may not be un-related.

Il' COMf1ISSIONER GILINSKY :

That's right; ask then i

to involve themselves more than they have up until now.

t a

COMMISSIONER AHEARNE:

And what were the rela-l tionships.

COMIiISSIONER GILINKSY:

And we asked Marty in i

particular to tell us what he could of what we know.

I an not sure I know exactly how to phrase the auestion, but i

i what we ought to know about what happens if the FBI does or doesn't come in.

l COMMISSIONER AHEARNE:

We have a representative 1

l here?

I i

MR. DIRCKS:

No, we don't.

He have talked to ther j

i740 077

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COMMISSIONER GILINSKY:

Could you, Bill, bring l

us up to date, and then I think you will probably have some-0!! thing to say on the first two noints, and then we will hear I

Illj from Marty.

MR. DIRCKS: I will cover the first two coints, lllwhereweleftofftoday.

The question is:

What more would, or could,.we d

,!l be doing, that we aren't doing now if we come un acainst no l

change in the number situation and it is related directly --

a the only thing we could think of is getting the FBI involved I

now, rather than later.

i l

And then following that line, is if they do get j involved, how would the relationships be, and Marty is l

! doing that.

Ue.were discussing it with the FBI about 25 min-utes. We have their view.

And then Martv can give the legal l View.

I In pursuing that, we talked to Lee late this morning, who is sitting in for Satkowski of the Bureau.

COMMISSIONER AHEARNE:

To give us a sense of l

il what level in the Bureau, what are they?

What level are

.l they?

i t

l MR.

GOSSICK:

The Atomic Enerav desk, 14, 15.

i 1740 078 i

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i-COMMISSIONER AHEARNE:

Thev are not your peers?

1 l

MR. DIRCKS:

I am not sure where my eauivalent

,r n!! comes in, but we have always dealt with the Atomic Energy --

above the Atomic Energy desk, you get into the investicatorv ;

i i arm of the Bureau.

Y I:

MR. CUMMINGS: The section chief.

k l.

MR. SNYDER:

Doesn't the memo of understanding sjj imply that we deal through this desk?

l!

I MR. DIRCKS:

Yes, and there is no reason to vary l'

[ off that, yet.

j COMMISSIONER AHEARNE:

I wasn't implying that.

l.

'l MR. DIRCKS:

We discussed these points with i

!! Latham this morning, and we asked him to think about it and he said he would think about.

l~

The first thing we asked -- we explained the i

il

'l situation.

If we come up with nothing more than we have

!now, after all of this digging, we still find ourselves fwiththesewideopennumbers.

I Then, on the other hand, we have no indication

'that anything has gone out the (inaudible).

Why wait for three or four weeks; why not come

{

in now and expand the scope of the investigation.

And if I

you did that, Mr. FBI, he 7 would the relationships be.

1740 079 ACEfEC(RAL REPORTERS. INO.

5 This morning Latham indicated that he would look j i

into it.

He would look into the sort of full scope coming f.

E in, which is the full panopoly of their activities, or sort l of the toe in the water approach, we weltalked about today.

ji And if it is che full scope, he said that you p

if'willgetthefullscope.

And if it is the toe in the water kind of thing, F!! he said he would have to talk it over with the necole above fl f' him and with t'ne Department of Justice.

l COMMISSIONER GILINSKY:

Is there nothing in a1: bewtween?

MR. DIRCKS:

Anything.

Get in with us, and

{

i Fll as we move with our investigation, you come in and do what

,i i'.O ever you what to do, interview, do everything short, I guess,

,i of picking up a definite indicator that the material is ti f;

,!;_ g o n e.

Interview management; interview the emoloyees, and li l'i sure, we start with the manacement and go through we say, i

i all 600 people, and then expand it outward.

i MR. STELLO: He left me with the impression that

they have really two modes

Go or not go.

We were trying

to find at least a halfway house --

g

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COMMISSIONER AHEARNE:

Get them involveA heavily but not in control.

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MR. STELLO:

Well, we d!.dn't want to be in the j

j i

position to say that we sat here for four or five weeks b and did nothing and not have pursued at least having them I

! get involved.

I P

1 h

1:

MR. DIRCKS: They have been answering press in-t

i quiries to the fact that they have been informed and are 4

[I being kept informed, and that they have not entered the

[ case.

[

MR. CUMMINGS:

They say that they are not act-t ively investigatiag, and that is what we have been telling the press.

c I tell you what he came back with:

After talking ll with Paul Nugent, who is two or three levels above this h

li lI desk, and the Department of Justice people, they don't have I.

or a knee in the water, or an arm in j a toe in the water, fthewaterapproach.

They don' t operat e that way.

'l

?

If they come in, they will give us the full i

ll treatment.

If they -- now, if we ask them to come in right I now today, they will come in, but they will come in if

' we tell them that we think there has been a diversion.

They come into it.

l 1

l COMMISSIONER BRADFORD:

They won't come in unless l

lwetellthem?

l 1740 001 I

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MR. DIRCKS:

They say:

If you want us to come t in in any other capacity; we don't have any indication of i:

h that.

That is something that they would like us to sit L

down with them, with the Department of Justice people and r talk about it.

f.

b d,

They would prefer that we have more information i;' than what we have now, but they would be willing to discuss i.

khowtheywouldcomein.

COMMISSIONER AHEARNE:

You are saying that there b

might be an intermediate mode; they just don't have it in established practice?

COMMISSIONER BRADFORD:

What do they do?

Does 1:

t[ anybocv know what they do in a kidnapping case when somebody 1

has distopeared and they don't know what it is across state i

i lines?

li MR. CUMMINGS:

They can (inaudible).

,)

It is a question, Commissioner, of who you are I

talking to and how far you want to go.

If Nugent wants to

,, go a little bit further, he has got to go over and talk i'

v, to his opposite number at Justice.

(

And there has got to be some (inaudible) back and I

forth between Justice and the Bureau as to how far they are

going to go in and then who is going to give the blessing i

1740 082 4

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1 for them to get in that far.

8 COMMISSIONER BRADFORD:

What is the relation-jl ship with state authorities in the case I just mentioned?

l.

if they do go in?

l MR. CUMMINGS:

I thin ~/. there is a presumption --

li COMMISSIONER GILINSKYY Could you --

y Y-MR. CUMMINGS:

I think there is a presumtion of hli 48 hours5.555556e-4 days <br />0.0133 hours <br />7.936508e-5 weeks <br />1.8264e-5 months <br />, because they ran into problems where there was fnoevidenceofinterstatetransportion, so it turr.ed out that I

and they said that this

!. we found a dead body in another state, is a bad way of doing it.

I COMMISSIONER BRADFORD:

They have concurrent jurisdiction?

MR. CUMMINGS: Yes.

There is basically some agree-ii ment in a case like that of who is going to run it.

The Bureau will generally insist on running that case.

I l

COMMISSIONER GILINSKY:

Suppose they are running i

li it, wouldn't we still be going through physical inventories and doing everything that we are doing?

i MR. DIRCKS:

Yon; we do everythina we are doing.

We asked them the question about whe-we operate in the

(

open and we keep the public informed and we keep the com'-

mittees informed and so on.

They raised that question with 1740 083 i

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II it their higher ups, and the Justice Department people and they

'i called our attention to a provision in the Memorandum of I

Understanding that said all of our press releases $roald be i,

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coordinated --

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COMMISSIONER AHEARNE:

With theirs.

C

[

MR. DIRCKS:

With theirs.

't

,l' Joe, you have talked to the press over there I

5 at the FBI. What did he have to say?

~

ii MR. FOUCHARD:

His concern with what anybody

[

says is not to jeopardize the future prosecution, and that I

i!

is the way they look upon a case.

So I think we would probably have to be~a lot

l more careful what we said and we would have to check with h.

l!

them (inaudible).

F':

O COfiMISSIONER AHEARNE:

What is the problem with 4

v you.snd Vic -- are you and Vic sitting down with Nugent and the Justice Department and working it out?

I MR. DIRCKS:

No problem, because I told them,

.i Ii I said -- I think we are leaning toward gettir.g you into 1

l this thing in sort of this broad-based effort.

3 COMMISSIONER AHEARNE:

I am already (inaudible).

i I

MR. DIRCKS:

And, of course, they said, came h

over with any more information than you have now. :

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P And they would like to sit down with the Justice I

and determine th e extent of -- not the extent, because if a

P they come in they come in with -- they don't go in half-f

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way.

They come in.

li MR. CUMMINGS:

It would be similar to a case, g

1:

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for instance, if you were in a bank, and you came up at F

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the end of the day and balanced your books and you were d

i, short x numbers of millions of dollars of something, and 0

you couldn't say there was no evidence that it has been stolen, and no evidence that it was a bookkeening mistake.

i p

You have a problem.

l Now, they don't have to have absolute proof.

f MR. DIRCKS:

You are right, but --

i i

The Atomic Energy thing, their remarks were:

I This is sort of the -- a large MUF, and the attitude is I

l you have had thtse MUFs before, haven't you?

And with a l

i banking system, you have a pretty good idea when you are missing S10,000 you are missing it.

Their attitude is in this thing the precise nature of the bookkeeping here, you may have lost it, you I

j may not have lost it and the probability is that you I

r have not lost it.

But thev said if we want them in, let's sit on 4

i l

1740 085 i

m.m.mmm.s. m I

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1

-- on the basis of:

Come on into the water with us, this t

l type of approach.

They will come in, but they would like i

t i

to talk about 0

I I

COMMISSIONER AHEARNE:

I think you have to do l

that.

l L

i ll MR. DIRCKS:

I indicated that probably we will r

ii f

run out of any interesting leads by tomorrow, which will ll!

leave us Monday.

Now, that is the point --

COMMISSIONER AHEARNE:

I would prefer you to sit down and talk with them tomorrow.

COMMISSIONER GILINSKY:

That wodld be the next l

step.

l MR. DIRCKS:

Unless I am dissatisfied with the 1

Atomic Energy desk, I don't want to --

l

j COMMISSIONER GILINSKY

I thought they were l i suggesting --

i MR. DIRCKS:

Yes,the desk, Nugent, Justice I

l Department; they would be in on the meeting.

COMMISSIONER AHEARNE: I think that is what ought to be done.

i on"M'SSIONER GILINSKY:

They are proposing a i

I meetina for you, if you were so interested.

I i

1740 086 A0!1C:ER AL REP 02TERS. INO.

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MR. DIRCKS:

If we were so interested.

I i

And, of course, they are saying that they pre-q l:

p fer not to get involved in one of these things at this l'

h point, bt if we want them to and we push them to it, they t

I will sit down and talk to us.

l COMMISSIONER GILINKSY:

What would you sav to c

1

[

then.

e MR. DIRCKS:

We are saying we would feel more L

i 3

1 comfortable --

COICIISSIONER AHEARNE:

I would hooe you would L

say that the Commission has -- if necessary by vote --

!i i;

ask him or ask them to meet with Justice and the FBI to i

i 4

i' l

h bring them in and to work out a method by which that can j

+

I most effectively be done.

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They have to explain what each of their guys i

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are doing, so that it is clear that there isn't -- that il i

they don' t stop or interfere.

They have to explain to f

i f

what extent we have any information.

And I recognize it i

is very slim, or nonexistence, other than the fact that i

i l

there is this large discrepancy.

k But I think thev have to co from the standnoint f

that it is our belief that the FBI ought to be brought t

in.

i

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l 1740 087 ACE-FIDERAL RtPORTERS. INC.

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MR. GOSSICK:

On the basis that we don't think we are likelv to find it at all, or some portion of it?

COMMISSIONER AHEARNE:

On the basis that it is a I

l.

very significant amount.

The type of material is extremely significant.

And that we won't most likely h~ve an answer a

i N

for a month or more, and that it just seems to us that E

h given -- even there is no probability, the risk asso-ciated is sufficiently high that prudence behooves us to i

have them in now.

MR. GOSSICK:

At least explore --

l 1

COMMISSIONER GILINSKY:

I think as John says, l

l j

you are protecting against the possibility, which is hard E

l i to judge at this point, and maybe less than a likelihood i

i:

that the question will not be resolved, and that it will j

[;

look as if material is missing, and given that this poses 1:

very serious dangers, we are not to lose a month or how r;

ever long it would be.

i t!

ri And if it turns out that the effort was unneces-h ll sary, it is just a prudent approach.

Fil I;

Nevertheless, I will ask Peter what he thinks.

COMMISSIONER BRADFORD:

You guys are doing fine, i

(Laughter.)

MR. STELLO:

Another point that has been raised l

here; it has been an unusual operating period down there, and i

l 1740 088 ACE FIDER4 RIMRIERS.1.NC.

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it is a very unusual nunber, compared to previous recent I

~-

history down there.

g ti f

COMMISSIONER GILINSKY:

Which cuts two ways.

6 MR. SNYDER:

I am not trying to draw conclusions l

from that, but it is not a normal node of operation.

l J

4 i

y Nor, is the number near the number we have seen I

p recently.

i l

is Il MR. DIRCKS:

Somebody has been telling them i

t i

about this.

I suppose that they have a good idea where we i

stand now.

I!'

They know all about the strike.

They know about i

the various allegations.

So we are not -- I don't think el we have to -- as I said, their attitude is they will come l

1 i

in right away if we tell them we want them, if we suspect I

{

there are problems.

They will come in if we ack them to i

come in on this broad base cooperative (inaudible) if we sit down with them.

And they very definitely want the Justice Department people there.

6 When they come in, they cone in with their

-- either one of these things; they come in fully.

Once I

f they are in, they don't want to i

COMMISSIONER GILINSKY:

You just press the I

l button and that is it.

1740 08F ACE-FEDERAL REPORTERS. INC.

I i

15 II (Laughter.)

MR. DIRCKS:

It is their rules.

MR. STELLO:

I get the clecr impression we could i

[

work something out, that sounded to me like we could still l

do our thing and still have a way to keep the public fully li ll informed so we wouldn't literally wind up with an (inaudi-l:

ble).

3 MR. DIRCKS:

That is a cuestion they asked l

l Justice and Nugent.

l' MR. STELLO:

That has r

a COliMISSIONER GILINSKY:

There-h'as -- that has f

got to be a subsidiary consideration.

The first responsi-l; bility is to try to resolve this cuestion.

And we will i

I I!

try to work out the public affairs aspects of it as well i!

as we can.

l MR. STELLO:

There is still clear indication we a

i can do our thing without their interfering.

I have j

reasonable assurance that~it will go that way.

l 4

If it didn't, then I am not so sure I wouldn't want to involve then.

COMMISSIONER AHEARNE:

That is one reason to sit down and talk to them.

)

l' I

COMMISSIONER GILINSKY:

We are agreed that you ld i

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If I

are going to talk to then, and if you are going to talk to them it;.seems to me that you should talk to them as soon as 1

you could.

COMMISSIONER AHEARNE:

Tomorrow.

i 1

)

COMMISSIONER GILINSKY:

So then --

i COMMISSIONER AHEARNE:

I think Bill and Vic ought' I

ll to go.

i!

[;'

COMMISSIONER GILINSKY:

Does that take care of l

your contribution?

MR. DIRCKS:

Yes.

I:

ll COMMISSIONER GILINSKY:

Did you have any thoughts j

about what you might be doing, other than calling in the

h FBI if it turns out a month or so later that the_ouestion l'

is sti31 unresolved?

c!

l MR. STELLO: Let me report two things, since l

'l the last time we talked.

I Our resident inspector:

Did he have any idea that the MUF was going to be this large.

Answer:

No.

t l

The information that we had was a few kilograms l

Friday.

And based on some calculations other peoplehad done, possibly (I 3 and it was a surprise to him.

l He wasn't aware that it could be.

We asked our people down there:

Is there anything more that they I

I i740 09i A E.FEC(RAL REPORTERS. Ih:.

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1 could theoretically come up with that'we could do now that I

we are not now doing.

And the answer is no.

As they think l

of something we could do, they are doing it.

They are trying to do everything that they can think of.

And I have got the action plan laid out for what they are going to do with the understanding that if there is something h

h that comes up, that looks like we ought to do it, then 1:

Fj let's think about it real quick and decide.

a

'i COWIISSIONER GILINKSY:

Can we have a copy of I

that; what they are doing?

I think we ought to.

(Distributing documents. )

e b

el, I think the Commissionerscought to have-that.

s-I l

And I think the next step for-you guys is to get

-- to have a meeting with Justice.

[

Marty? can you tell us something about what this I

sl means for us, if we head down this road?

I i

I MR. MALSCH:

I looked into the basis for our I

authority to conduct investigations and so forth, and it is t

about as broad as you can imagine.

It is 161(c), that says the Commission can l

make such studies and investigations as it may deem neces-I sary or proper to assist in exercising any authority provided in this act, which is as broad as you can imagine.

1740 092 ACE #!:EAA'. REPORTERS. Ih0.

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e s

t r

e The only limitations I can see are first, the l

obvious limitations that we can't conduct unreasonable t

searches and seizures.

The Constitution still aoplies, l

obviously.

l t

But beyond that, there is a provision in the f

k I

act, in 221(b) that says that the FBI shall investigate

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i, I'

all alleged or suspected criminal violations of this act.

.!i And that can be read as a limitation on our authority in li..

l!

the sense that the FBI has the resoonsibility to investi-b f

gate > criminal violations, but that we still have the re-E

[

sponsibility to make whatever investigations are necessary I

in support of administrative action.

COMMISSIONER GILINSKY:

But what happens if the i-b ii FBI comes and " takes over?"

What is our role then?

Is it 1:

11 Ii limited basically?

I f,.

MR. MALSCH:

As I read the MOU, there is a lot of I

leeway reading it.

Once the FBI moves in we play a support-i ing role to the FBI and not the other way around.

l MR. CUNNINGHAM:

In Quad Cities, we had viola-i tions of the act.

The FBI moved in and they wanted us to i

i refrain from civil penalties and any other administrative e

action until they were through.

i l

i The Commission didn't concede they had the t.

I740 093 j

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f..

authority, but the Commission did back off and just wait t

I patiently.

I COMMISSIONER GILINSKY:

I am more concerned about things like continuing the physical inventory.

MR. MALSCH:

No problem with that.

l!

MR. STELLO:

Where we have a problem is conductinc our own investigation and interviews of people.

t h

We haven't started that'and obviously wouldn't I'i i

want to start that until the issue of the FBI is cleared

away, If they are going to do the investigating, then i

i i!

we clearly wouldn't want to, and I would assume that would be an infringement of both the Memorandum of Understanding b

and --

l l

COMMISSIONER GILINSKY:

We can continue our li j

normal regulatory functions.

MR. MALSCH:

Yes, and as long as we can justify our activities in support of the normal kind of enforcement i

efforts we would undertake, then there is no problem in i

l our statutory authority.

i I

There may be problems of working out arrangements, liaison, but no problem with our authority.

I CO1MISSIONER GILINSKY:

At any rate, the FBI I

l l

1740 094 i

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'l would vant us to continue those activities, since we are f

more expert at that than they are.

C

i h,

HR. STELLO:

In fact, we asked them if they I

a j!

viewed under the act -- don't have the responsibility to

'i

[

make a judgment whether they should come in on their own ii initiative.

And they kind of waffled a little bit, and the I:

lj answer as I recall it, was:

Yes, but we would really rely 0

on you to tell us.

l l

And I can understand why. They know they can come in alone, but if they do and if someone comes over 1

and asked the Commission:

Should we have done it, and we i

said:

Hell, no; we knew it was an arithmetic mistake three 1

i weeks ago, they look bad.

il ll And that is be kind of problem they are worried 5

i l

about.

COMMISSIONER GILINSKY:

You ought to go back and contact them and meet with them again.

l MR. STELLO:

I want to make sure there is no mis-2 1

take. Based on what I understand, I have got no reason, from i

what I have heard, to believe that there is a diversion, and we are not starting this investigation believing that

(

to be the case.

However, it is prudent

~~

1740 095 A0E#IDE A AL REPORTERS. IN:.

l f

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COmiISSIONER GILINSKY:

Wait.

It seems to me that there is the inventory i.

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discrepancy itself.

b MR. STELLO:

We have had discrepancies almost l

that large before.

t'.

E COMMISSIONER GILINSKY:

Right, but it seems to

'l f.

I me a discrepancy is a suggestion that the stuff isn't n

I there.

Otherwise, what is that system about?

E i:

MR. STELLO:

That is what I am trying to say.

d To be --

J l

i COMMISSIONER GILINSKY:

It is quite another

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thing to say that there is no indication other than that.

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fp f

MR. STELLO:

That what I mean.

j

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COM?IISSIONER GILINSKY:

If we say it that way --

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l MR. STELLO:

It is not unusually large, or the a

i'

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largest MUF that we have had in the past.

I:

I' COMMISSIONER GILINSKY:

It is larger than recent discrepancies.

1 I

h MR. STELLO:

There were 60; 70, kilograms in l

the past?

I

.I i

MR. PARTLOW:

Twelve.

(Simultaneous discussion.)

COMMISSIONER GILINSKY:

If you look at the I

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174C' 096 ACE-FEDE A AL #fPORTE AS. IM.

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(E inventory numbers, it is {

] and presumably it is i

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an improved system.

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So, therefore, it ought to be more capable of -- f f

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COMMISSIONER AHEARNE:

Since I am pushing'it, E

1

[

I am not trying to imply that, yes, there was a diversion i

1

)

but I am saying, as a regulator involved in it, I feel

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obligated to assume the worst.

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li COMMISSIONER GILINSKY:

Let me raise a point 9,

i that I raised some time in the past.

L; P

If one doesn't regard a difference as being an I.:

1 j

indication that the stuff isn't chcre, there is no reason f:

f to regard a zero difference as indication that the stuff il h

is there.

i Either we take this system seriously or we i

do not.

I tj HR. STELLO:

Agreed.

But nevertheless, I feel that we are departing from past practice or policy.

We i

l have had other MUFs.

We haven't done anything.

?

This time we have a MUF with at leant -- the impression I have is that they expect it will come down some.

(

I We believe that it is still prudent -- we are I

no; certain it is going to go away and therefore, want to l

l 1740 097 i

i AOIJECERAL REPORTERS. th0.

i be able to deal with that other question, which is a "what if."

We feel it is prudent to do that.

I!

I So that, I think, and we might be wise, so that we write this down and we both say it the same way.

And I think that I want to do that so that they will know why O

we are turning them onaadd have it in writing.

And when we sey it, wewill have it in writing as to why we have turned them on, because I think this is s,!

h going to be a major issue.

i f

COMliISSIONER GILINSKY:

Maybe we better circulate, a paragraph.

MR. STELLO:

I propose we do that.

COMMISSIONER AHEARNE:

But still set up he meeting for tomorrow.

MR. STELLO:

We will set up the meeting for l

tomorrow, circulate a paragraph, and if possible, to have i

comments back and the paragraph resolved, we will bring l

it with us, and if not, we will tell them:

Don't say it i

l until we do.

MR. CUMMINGS:

I think they would be hard pressed if you sent them a letter today and said that l

we completed the entire inventory and we can't account for the difference; we don't know, they would be hard i740 098 i

ACI f(CERR 2EPORTERS, thC 1

4 24 I;

I.

pressed not to get into that case.

IEl. DIRCKS:

At what point does this hold?

You

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have got this [

] MUF.

Now, let'ssaywefind(

l f

_)

We still have a difference.

We drop it dcNn'to r.

[

5, we still have a difference.

Do we press th'em in if we il si 4

still have 5 kilograms?

f MR. CUMMINGS:

I think it is a judgment.

5 f

COMMISSIONER AHEARNED:

When you get to five, you

.I

[4 are getting close to your limit of error, three.

O h

MR. PARTLOW:

Some people don't like our way of h

evaluation, but if we were down to five, it would be within lI the measurement of uncertainty for the whole period, for l

II what ever that is worth.

COMMISSIONER AEEARNE:

But realistic, ally, I was le ji at the stage of having you guys put them on notice that

.i d

even for five, or three, to shape up.

COMMISSIONER GILINSKY:

That is one possibility.

And it may go in the other direction.

i i

So we are just trying to do the prudent action.

l MR. STELLO:

I am pleased that we can write i

I j

this paragraph and get everyone to agree that this is what i

we will say, because I think this will be a major problem I

for them.

1740 099 mmm.mm.m l

f 25 I:

5 1

i COMMISSIONER GILINSKY:

I hope it is going to work out, t

i MR. PARTLOW:

At the point that we had this I,

[

inventory difference --

I;

[

COMMISSIONER GILINSKY:

Let's not write it at I!

[

the table.

As far as I can see, we have pretty well i

concluded what we have to do.

li a

COMMISSIONER AHEARNE:

Who writes the paragr ph?

a h

COMMISSIONER GILINSKY:

Why don't Bill and Vic get together?

E

[

MR. GOSSICK:

There is one part -- one point, N

one argument, as we try to negotiate this paragraph that you just made, as well as,I think, Vic, is that this b 17 1

i, if you assume that starting here from zero you have no d

[

more confidence of -- in the accuracy at that starting I

(

point, than you did up here, the accumulative MUF, the b

) is not very [

_] nor

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_)

it D

<i the MR. PARTLON:

Those are swings between inventories l

MR. JTELLO:

That is what this is.

i MR. PARTLOW:

If the next inventory results in 1{)

f a gain of f 3 then that represents a[

j] swing in the t

~

differences, but that is not meaningful.

1740.100 AC[*flDER b REPCRI[RS.INO l

s'

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k- ))

This C ] is almost [.

] as any

[

er result we have had.

b t

COmiISSIONER BRADFORD:

How meaningful is it; l

h after it has been closed down and looked through, to the j

li

[

extent it is going to be in the next -- over a period l

[

if it is then permitted to start up, how likely is it that L

P you would see a swing back the other way.

It is one thing 0

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to have those swings go on without a complete close down.

r COMMISSIONER AHEARNE:

Some of those --

l MR. PARTLOW:

If something doesn't get fixed,

?

[

there is a chance for another swing.

What I & E is going i.

b to do after we get through with this; we will know they have a good starting point.

When they come up again with a new measurement start, there is a chance that something f

isn't fixed to start that again.

b.

MR. GOSSICK: Another point on another natter.

h i

Bill, I think we ought to cover what the people i

l are doing down there, and also an attempted break-in of some sort, that I think you better tall the Commission i

about.

1 I

MR. PARTLOW:

I don't know too much about this, r

1 but some time last night at the home of the manager of safeguards at the plant, a middle level manager, at the

/

1740 101 ACEfECERAL kEPCRTERS, l'.C.

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i II 11 1

plant, there was an apparent attempt to break into his i

I home.

I guess the family woke up, turned on the lights, pl l

1 and the intruder ran and left in a car.

He sped away in i

a car.

That is the message that we have.

That is all I h

know about that incident.

.l A possible scenario is that someone is out to i

embarass the company by taking material, if they have

i material and planting it in the backyard of the very guy I

[1 who is responsible for the material.

4 "They are going to use this NEST equipment, mobile NEST equipment to go and look aroundhis home.

And i

that is ibout all we know about that right now.

[

CO.'iMISSIO:iER GILINSKY:

Is there anything else?

4 l

MR. DIRCKS:

They are flying aircraft.

The I!

il sensitivity of the equipment requires them to do a lot of

[

flying at an altitude of 150 feet.

And it will take about li four days.

They have got some mobile equipment on the l

l 4;

ground that they are using.

I i

i l

That is about the extent of it.

1 l

COMMISSIONER GILINSKY:

Why don't you go off and !

arrange for your other meeting and try and get a sentence l

l or two sentences before us, and we will wait to hear a report I

i at a subsequent meeting.

l 1740 102 i

i i

i A:t#EDran sucattts. IN:.

i l

l'

i 28 r

s Thank you.

8 i

(Whereupon, at 2:08 p.m.,

the hearing in the l'

above-entitled matter was adjourned.)

8 il 1:

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1740 103 r

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i A0141DERA'. AfPORTERS. IMO.

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