ML19331B222

Pleading Re Order to Show Cause on Implementation of QA Program.Compliance W/Regulations Does Not Require Absence of Deficiencies But Rather Adequate Measures to Identify & Correct Such Matters.Testimony Demonstrates Compliance

ML19331B222
Person / Time
Site:	Midland
Issue date:	07/08/1974
From:	Brown P, Molloy B, Scoville L BECHTEL GROUP, INC., CLARK, KLEIN, WINTER, PARSONS & PREWITT, EECBECHA
To:
References
ISSUANCES-CP, NUDOCS 8007280815
Download: ML19331B222 (6)

Text

. .

O E ,6r 4

N' UNITED STATES OF AMERICA h ATOMIC ENERGY COletISSION of In the Matter of )

)

CONSUMERS-POWER COMPANY ) Construction Permit

) Nos. 81 and 82 (Midland Plant, Units 1 and 2) )

TRIAL BRIEF OF THIS DOCUMENT CONTAINS BECHTEL POWER CORPORATION AND BECHTEL POOR QUAL.ITY PAGES 4SSOCIATES PROFESSIONAL CORPORATION ("BECHTEL")

In CONNECTION WITH HEARING ON ORDER TO SHOW CAUSE The Order to Show Cause sets forth two extremely broad issdes relating to the implementation of the approved quality assurance program at the Midland Plant. As stated in the Order to Show Cause, they are: "(1) whether the licensee is implementing its quality assurance program in compliance with Cor:: mission regulations, and (2) whether there is reasonable assurance that such implementation will continue throughout the construction process."

There has been no further identification or delineation of the issues in this proceeding. Although the Order to Show Cause was issued subsequent to certain alleged incidents involving cadwelding, the Atomic Energy Co:=nission, in its Memorandum and Order denying Saginaw-Sierra's " Emergency Petition to the Atomic Energy Co= mission to Void Illegal Action of the Director of Regulation",

said that the statement of issues in the Order to Show Cause " ... plainly includes, but is not limited to cadwelding. The ultimate quality assurance issues'are cach broader." (RAI-73-12 at p.1083).

The AEC Regulatory Staff has not defined any issues for this proceeding.

Furthermore, the Regulatory Staff has indicated, both at the prehearing conference and in written testimony filed with this Licensing Board, that the quality 8007280 f b 1

assurance / quality control difficulties identified in its inspection of November 6-8,1973(R0 Report 329and330/73-10) have been corrected and that there is reasonable assurance that the Midland quality assurance program will be implemented in compliance with Commission regulations throughout the construction process (see, for example, Pre-hearing Conference Transcript

p. 65, and pp.16-17 of Written Testimony of Walter E. Vetter, filed on June 28, 1974).

Although the Licensing Board's ":!otice and Order for Pre-learing Conference" stated that the pre-hearing conference would include considera-

~

tion of, ". . . the si=plification, clarification and specification of the issues in this proceeding . . ."(" Notice and Order for Pre-hearing Conference",

Mar. 4, 1974), specific contentions relating to alleged deficiencies in the implementation of the quality assurance program for Midland have never been delineated by any party to this proceeding except for the allegations of the Order to Show Cause.

Inasmuch as there has been no proper specification of particular issues, Bechtel has filed testimony with this Board which generally describes the evolution of Bechtel's overall quality assurance program and details Bechtel's extensive implementation of the quality requirements for the Midland project.

This testimony will demonstrate that the overall Midland quality assurance program has been i=plemented in compliance with Co= mission regulations notwithstanding the events preceding the issuance of the Order to Show Cause.

N Additionally, this testimony will confirm that there is reasonable assurance that the Midland quality assurance program will be implemented in compliance with Commission regulations throughout the construction of the Midland Plant.

The term, " compliance with Commission Regulations", recognizes that deficiencies will occur in the design and construction of a nuclear power plant. For example, Co= mission Regulations specifically acknowledge that, " ... conditions adverse to quality, such as failures, =alfunctions, deficiencies, deviations, defective material and equipment, and nonconformances

... " may occur, (10 CFR 550, Appendix B, Criterion XVI). Similarly, Criteria XVII-XVIII of 10 CFR $50, Appendix B, as well as 10 CFR $50 55(e) which discuss auditing, record keeping and reportability of " deficiencies" and "s).gnificant deficiencies" provide further evidence that such =atters are within the contemplatior. of the regulations.

Accordingly, " compliance with Commission Regulations" does not require a total absence of " deficiencies" or "significant deficiencies", but rather that measures shall be established to identify and correct such matters.

10 CFR 550.55(e) and Criterion XVI of 10 CFR 550, Appendix B confirm this conclusion. Thus, Criterion XVI of 10 CFR 550 Appendix B, which is entitled

" Corrective Action", states:

" Measures shall be establiahed to assure that conditions adverse to quality, such as failures, malfunctions, deficiencies, deviations, defective material and equipment, and nonconformances are promptly identified and corrected.

In the case of significant conditions adverse to quality, the measures shall assure that the cause of the condition is deterd.ned and corrective action taken to preclude repetitien. The identification of the significant condition adverse to quality, the cause of the condition,

'and the corrective action taken shall be documented and reported to appropriate levels of management."

/

Bechtel's testimony will delineate the i=plencntation of detailed

' auditing, monitoring, surveillance and inspection activities which have promptly identified and provided for the correction of deficiencies and nonconformances and, where appropriate, provided for corrective action to preclude repetition.

These activities thus assure that the plant will be designed and constructed in accordance with the approved predetermined requirements.

The testimony which Bechtel will introduce identifies the different functional groups involved in the design and construction of the Midland Plant and describes their management directed duties and responsibilities in the implementation, coordination and administration of the overall quality assurance program in accordance with Commission regulations.

Engineering, Procurement, and Construction with assistance from Materials, Fabrication and Quality Control Services are the groups responsible for the design, procurement of naterials and equipment, and construction of the Midland Plant. The Quality' Control and Procurement Inspection groups The Quality inspect materials and construction activities to verify quality.

Assurance group performs surveillance, monitoring and auditing of the activities of the functional groups to assure that the activities of those groups are proceeding according to established quality assurance program requirements and provides reporting to management of the overall effectiveness of the program.

The quality program is so structured that various levels of Bechtel management are continually reviewing its operation to determine its effectiveness and make improvements where appropriate or necessary.

4

,, o' .

Each functional' group has extensive quality related duties and responsibilities. Eechtel's written testi=cny describes these require =ents and their imple=entation in detail. The coordination and i=ple=entation of the quality responsibilities of the different groups provides the requisite assurance of quality. In order to illustrate this coordinated imple=entation of the quality assurance program, written testi=cny will be introduced describing exa=ples of the quality activities of the different groups for the Unit #2 base mat concrete pour and the erection of liner plate.

Bechtel's testi=cny will a.so show that in virtually every instance, Bechtel had identified, evaluated and initiated appropriate corrective action for the problems subsequently identified by DRO Inspection Reports; thu'~,

~

s de=onstrating that the quality assurance progra= vas being i=ple=ented in compliance with Co==ission Regulations.

In order to provide further assurance of the i=ple=entation of the approved qunHty assurance progra: in co=pliance with Cc==ission Regulations throughout the construction process, evidence will be introduced describing tne evolutation of Bechtel's quality assurance progra= in response to AEC Regulations and the interpretations thereof, as well as accepted codes and standards. Further evidence will de=cnstrate Eechtel's responsiveness to proble=s identified and suggestions =ade by Bechtel auditors, Consu=ers Power Co=pany, and the AEC.

Bechtel's overall quality assurance progra: insures that the Midland Plant will be designed and constructed according to the require =ents of

_5

.s A-10 CFR 550, Appendix B with approvwd criteria. The inspection and quality assurance discrepancy reports do not derogate from compliance with these criteria, but enhance it, as they provide for identification and correction of errors as well as an identification of possible areas of overall quality assurance program improvement. Inasmuch as the safe operation of the Midland Plant is the ultimate objective of the quality assurance program, it is of great significance that neither the number nor the substance of such reports, including corrective action where necessary, indicate a detrimental effect on the safe operation of the P. ant.

Bechtel sub dts that its testimony fully demonstrates that the Midland quality assurance program has been implemented in accordance with Commission regulations and that there is reasonable assurance that it will continue to do so in the future.

Respectfully submitted, CLARK, KLEIN, WINTER, PARSONS & PREWITT Pzw - - f G aurence M. Scov lle, Jr. O

~

By' f)

?. Rob'ert Brown, Jr. (/

By Bartholomew P. Molloy

/

Individually, and for the firm 1600 First Federal Building Detroit, Michigan 48226 Tel: (313) 962-6492 Attorneys for Bechtel Power Corporation and Bechtel Associates Professional Corporation Dated: July 8, 1974