ML20080G655

Discusses Reorganization of Plant Const & QA Mgt.Mgt Analysis Corp Personnel Will Be Fused Into Key Mgt Positions & Util & S&W Will Be Actively Involved in Improved Performance of Itt Grinnell QA Program

ML20080G655
Person / Time
Site:	Nine Mile Point
Issue date:	01/27/1984
From:	Rhode G NIAGARA MOHAWK POWER CORP.
To:	Murley T NRC OFFICE OF INSPECTION & ENFORCEMENT (IE REGION I)
Shared Package
ML20080G656	List: ML20080G655
References
8002, NUDOCS 8402130553
Download: ML20080G655 (4)

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NIAGARA MOHAWK PowCR CORPORATION NIAGARA MOHAWK 300 ERIE BOULEVARD wtST STRACUSE,es y 13202 GERALD K. RHOOE SENIOR VICE PRESIDENT January 27, 1984 (8002)

Dr. Thomas E. Murley Regional Administrator United States Nuclear Regulatory Commission Region I 631 Park Avenue King of Prussia, Pennsylvania 19406

Dear Dr. Murley:

During our meeting with you and your staff on January 11, 1984, we indicated that we were evaluating some courses of action to enhance our ability to complete the construction and startup of Nine Mile Point Unit 2 with utmost attention to quality. More specifically, we initiated discussions with Management Analysis Corporation (MAC) early in November to assist in developing and implementing a plan for completion of the project that will provide for the earliest possible commercial operation date and full compliance with all quality and safety requirements. As you are undoubtedly aware, MAC is a San Diego-based firm consisting of over 300 professional consultants which provide management consulting services to the utility industry.

A large percentage of their work involves consulting services with utilities, engaged in the construction and operation of nuclear power plants.

For this purpose, MAC retains senior level management personnel with extensive commercial nuclear experience.

The firm's primary areas of consulting activity are project management, quality assurance management, decision and risk analysis, and organization development.

MAC began work on;the Nine Mile Point Unit 2 assignment on December 12, 1983.

g Coincidentally, the NRC Office of Inspection and Inforcement's Construction Appraisal Team (CAT) examination of the project and its Systematic Assessment of Licensee Performance (SALP) assessment were underway during this same period.

This letter to you is particularly timely in that the discussions and actions reported herein have a direct bearing on many.of NRC's findings.

More specifically, these decisions and actions should result in a prompt turnaround of deficiencies called to our attention in the above two NRC assessments, g

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%~,Dr. Thomas E. Murley Page 2 January 27, 1984 Foremost among the changes we are making is the infusion of a number of highly experienced professionals from MAC directly into key p mitions in the Niagara Mohawk project management organization.

A new NMPC P oject Director has been appointed, Mr William Morrison, who will be physically located at the site and will be the focal point for all management decisions and communications nn Nine Mile Point Unit 2.

Mr. Morrison will report to the undersigned as I will continae with my present organization accountabilities, incluuing communications with the NRC.

We see the role of the Project Director, in conjunction with the senior management of NMPC, as being the management driving torce for the overall construction completion and startup l

of Nine Mile Point Unit 2.

The NMPC Project Director will establish prior.ities and objectives, and provide direction to the Stone and Webster Project Manager so that Stone and Webster can fully implement their overall project responsibilities.

Among the key positions being filled by senior experienced personnel are six in NMPC's Quality Assurance Department, including a newly-designated Site Quality Assurance Manager.

These personnel will report to NMPC's Quality Assurance Vice President, Mr. Donald P. Dise, and be physically located at the site to have their activities closely. integrated with other elements of NMPC's site staff.

Other key positions being filled at this time from the MAC organization are Startup Manager, Field Engineering Manager, Engineering Manager, and Project Controls Manager. We are also requesting that Stone and Webster respond by having its Project Manager located at the Nine Mile Point Unit 2 site with full authority to represent Stone and Webster on all project i

matters. We would expect all Stone and Webster decisions and communications l

related to Nine Mile Point Unit 2 to be channeled through Stone and Webster's Project Manager. A summary organization chart depicting these changes is j

attached, l

l You should also be aware that Niagara Mohawk and SWEC have been actively involved in several programs aimed at improving the performance of ITT Grinnell.' These programs stem from several NRC findings, as well as our own, regarding Grinnell's compliance with their quality assurance program, and their performance in cost and schedule control.

ITT Grinnell has, within the last six months, increased their quality assurance staff from two to six with the addition of a Quality Director, QA Manager and two additional Staff Engineers. 'With this staff, ITT Grinnell will be in a better position to monitor their quality compliance and commitments.

ITT Grinnell Construction Management has also implemented an accountability program which stresses craft compliance with quality requirements.

The commitments are discussed weekly l

with craft foremen and the program is monitored by the ITT Grinnell QA staff.

SWEC has supplemented ITT Grinnell's staff and additional enhancements are l

being developed and reviewed with ITT Grinnell management for implementation, e.g. additional QC personnel to reduce the " bow wave", engineering walkdowns, pre-inspection, etc.

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Dr. Thoma's E. 'Murley Page 3 January 27, 1984 Moreover, with respect to the SALP findings transmitted to us by letter of December 29, 1983, and the preliminary CAT findings conveyed to us orally during the NRC team's December 9, 1983, Exit Interview, NMPC and SWEC have undertaken an aggressive program to identify all problem areas and develop appropriate corrective actions.

I would like to assure you that Niagara Mohawk remains committed to the goal of building and operating safe nuclear power facilitiet. As we move forward with these new changes, we will be continually assessing our performance so as to be alert to any additional steps which experience may suggest.

Very truly yours, NIAGARA M0 HAWK POWER CORPORATION w

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H. Denton R. DeYoung M. Haughey l

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NMPC IMP 2 PROJECT CGANIZATION L

PRESIDENT W. J. DONLON SR. VICE PRESIDENT G. K. RH00E VICE PRESIDENT

• NMP2 VICE PRESIDENT VICE PRESIDENT NUCLEAR PROJECT NUCLEAR ENGINEERING QUALITY GENERATION DIRECTOR

& LICENSING ASSURANCE T. E. LEMPGES W. MORRISON C. V. MANGAN D. P. DISE MANAGER -

pp2 LICENSING 4

SUPERINTENDENT MANAGER SWEC

• PROJECT

• PROJECT

• MANAGER MANAGER NMP2

• STARTUP SENIOR MANAGER CONTRACT PROJECT ENGINEERING CONTROLS MtP2 SITE NUCLEAR OPER%TIONS MANAGER CONSTRUCTION ADMINISTRATION MANAGER MANAGER MANAGER Q.A.

Q.A.

• FIELD

• MANAGER ENGINEERING Q.A.

MANAGER ENGINEERING I

• (4) LEAD Q.A. ENGINEERS

, net!LY FILLED POSITIONS s'

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