ML20091Q868

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Expresses Deep Regret for Delay in Responding to Re Nuclear Power Plant on Oyster Bay
ML20091Q868
Person / Time
Site: Oyster Creek
Issue date: 09/08/1969
From: Muskie E
SENATE
To: Harris W
KEENAN, CARROLL, HARRIS, CREARY & BECK
Shared Package
ML20091Q645 List:
References
FOIA-95-68, FOIA-95-A-10 NUDOCS 9509060137
Download: ML20091Q868 (2)


Text

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Xt. Waync X. Harris -

Kennan, Carroll,1:arris, Creary & Deck  ;

;                                                       220-233 powers Duilding                                                                                                          1 Rochester, New York 14614                                                                                                       l 4

Dear Xr. Harris:

                                                                                                                )
I I deeply regrot the delay in responding to your lottor

, of June 20 in regard to the nuclear power plant on Oyster Bay, Xo. roc County, New York. An unusual volume of mail has ' precluded an carlier reply. l l I have forwarded your letter to the Atomic 2ncrgy l Co.c.ission, requesting that they respond directly to you, and forwarding me a copy of their reply. Sincerely, l ETKJND S. ~JSKE, U.S.S Chairman, Subcore.ittee on Air and Water Pollution -

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nosCAT [aCacMmAm Timoveev .e Atomt. WILLIAM O. STAU CCN M AICR couneCs i June 20, 1969 1 Senator Edmund Muckie s United States Senate Senate Office Building. Washington, D. C. RE: Oyster Creek No. 1 . Dear Senator Muskie. I: is our understanding that the above said nuclear power plant has had a number of problems from supposedly bad welds and metal failure. It is our -

further understanding that tests were performed to seo l how the-repairs might be made, but the corrodents were- '

l never identified.  ; Would you kindly advise me if the corrodents have now been identified. If they haven't, it doesn't ., scam to'me that the plant should be operated. I am further concerned that this plant will release radio active r.aterial to the atmosphere and ' , liquid solids on a batch basis to Barnegut Bay. You may wish to check this matter. I would l appreciate any current information you may be able to - obtain.

                               -            With best regards, I am, Very truly " urs' R T C EIV E D av-         Ij'   f JUN 2.b 1969 P yr          x.'barr'is,c Air         nd Water Pollution Cor.ittee                                                                          .

Monroe County Conservation Ccuncil arrranc..o Iq . m W E W ge f ^

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j David DeKok [ l13 Conoy St. , Harrisburg, Pa.17104 Feb.8 I995 Director _ fRf4 DOM 0F INFORMAT10N

Division of Freedom of Informauon ACT REQUEST -
and Publication Services pox 4- 9 E- /J ,

. Office of Administration and Resources Management hd ;-/5-95 Nuclear Regulatory Commission [ Washington, D.C. 20555 Re: Freedom of Information request i

Dear Sir or Madam:

Pursuant to the Freedom of Information Act, I would like copies of all documents relating to an investigation conducted by the Atomic F

Energy Commission's Region I Division of Compliance in the late 1960s l of alleged irregularities connected with the construction of the primary loop for the Oyster Creek Nuclear Plant. i' This la"estigation, as 4 scribed in a Sept. 27.1973, leser (enci< ~ i from Richard J. Sullivan, Commissioner of the New Jersey Department of Environmental Protection, to Commissioner William O. Doub of the l !- AEC, was prompted by information provided to Dr. Roscoe Kandle, who

. then headed New Jersey Gov. Richard Hughes' Atomic Energy Council.

! Kandle passed the information to Robert Kirkman, then director of the

          ,          AEC's Region I Division of Compliance. Kirkman then investigated and
substantiated the allegations, according to the letter.

No documents pertaining to this investigation were in the Ov' ster Creek file in the NRC Public Document Room in Washington, D.C., when I visited there on Jan. 20 of this year. My 1991 F0I A request which - 7 sought Oyster Creek documents that were not in the PDR also did not , yield any records of this investigation. s Q  % ._

I p i o i I need these records for a book I am writing on the history of General Public Utilities Corp., which owns Oyster Creek through its . jersey . Central Power & Light Co. subsidiary. Pursuant to the Freedom of Information Act, I also request

             " Representative of the News Media" status, which entitles me to a       :

waiver of search charges and 100 pages of free copying. This status is  ; also available to established freelance writers. which I am. I am the l author of the book. UnnenDemer:A TruedyWAngole, Government sadthe Centes/isXiae/#4' published in 1986 by the University of j Pennsylvania Press, and have almost 20 years of experience as a j newspaper reporter. I have been working on my GPU book for the past ;!I years. Thank you for your attention to this request.

                                           ~" Sincerely, C,..-          oavid oero't I

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[ .] RESPONSE TO FREEDOM OF yW FINAL p MTE l l PARTIAL INFORMATION ACT (FOIA) REQUEST gg j g ign (e / eoe. DOCKET NUMBER (S)(t/appiscable/ REOUESTER na v{ af nmEnk PART 1.- AGENCY RECORD _S RELEASED OR NOT LOCATED (See checkedboxes/ y No agency records subject to the request have been located. * , No additional agency records subject to the request have been located. Requested records are available through another public distribution program. See Comments section. Agency records subject to the request that are identified in Appendix (es) are already available for public inspection and copying at the NRC Public Document Room,2120 L Street, N.W Washington, DC. Agency records subject to the request that are identified in Appendix (es) are being made available for public inspection anrt copying at the NRC Public Document noom,2120 L Street. N.W., Washington, DC,in a folder under this FOIA number. The nonproprietary version of the proposal (s) that you agreed to accept in a telephone conversation with a member of my staff is now being made available for public inspection and copying at the N RC Public Document Room. 2120 L Street, N.W., Washirigton, DC, in a f.noer under this FOIA number. Agency records subject to the request that are identified in Appendix {es) may be inspected and copied at the N RC Local Public Document I Room identified in the Comments section. Encioned is information on how you may obtain access to and the charges for copying records located at the NRC Public Document Room,2120 L Street, 3 N.W., Washington, DC. I Agency records subject to the request are enclosed. Records subject to the request have been referred to another Federal agency (ies) for r* iew and direct response to you. < Fees You will be billed by the NRC for fees totating $ l You will receive a refund from the NRC in the amount of $ In view of N RC's response to this request, no further action is being taken on appeal letter dated , No. PART ll. A-INFO _RMATION WITHHELD FROM PUBLIC DISCLOSURE Certain information in the requested r#. a is be.ng wi nne.: f f men "Wiie diw:6nurc .,..*** rnt to t. -.-.. Phons described in and for the reasons stated in Part 11. Ei, C, and D. Any e sowl P.rtions of tt v ducunw. v. n . . r ., ,u. .. .l.e .ao..o is o. ..;te. held are being made available for public

inspection and copying in the NRC Public Dos.ument Room,2 s.J L. Street, N..v., Washi.., so, LL in a folder usader this FOIA number.

COMMENTS

               *A search of pertinent files indicates that the NRC has no records subject to your FBIA request.

This determination may be appealed to the Executive Director for Operations, U. S. Nuclear Regulatory Commission. Washington D. C. 20555e and should clearly state on s the envelope and in the letter that it is an " Appeal from an initial FOIA decision." This completes NRC's action on your request.

                      /

S GN TU ECTOR.plVISION OF F REEDOM OF INFOf 9 mind &ca.L kMATION  : c.ANDPUBLICATIOASSERVICES A. e ~ L pSD.liUTION DFIPS Sul@ct. Author, Branch Odif, D. rector of Mmenestration. Other:

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                                                                  ' UNITED STATES
                          ;, y      ,-                  ATOMIC ENERGY COMMISSION -
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t k i D. J. Skovholt Assistant Director h t for. Reactor Operations

  • Division ,0f Reactor Licensing (3) {

JERSEY CENIRAL POWER AND LIGHT CGIPANY (0YSTER CREEE) k DOCKET NO. 50-219 8 The enclosed report of a special inspection to investigate allega-  !* tions made by Alan H. Galer, a radio station news. director, Asbury' Park, New Jersey, in connectio'n y uith the subject facility is for- I warded for information. These allegations were brought to the attention of Mr. L. D. Low by the Honorable William T. Cahill, l , Representative, Sixth Con 5ressional District, New Jersey.

                                                                                                                                                               }       ,

Our investigative efforts failed to develop neu information of safety significa'nce at Oyster Creek' or any information of regula- l tory interest not previously known to the regulatory staff. This' ' matter is considered to'be closed.

                                                                              .                      A                                                     .            :

J. P. O'Reilly i J. P. O'Reilly, Chief . Reactor Inspection and g Enforcement Branch - Division of Compliance  ! i

Enclosure:

Investigation Report . I 1 cc w/ enclosure
I E. G. Case; DRS -
                                                                                                                                                         ?

4 R. S. Boyd, DRL (2) S. Levine, DRL (6) '

                                                                                                                                                         '.l .
                               ~L. Kornblith, Jr., CO                                                                                                       '

l L T. Carlson, C0:1 w/o enci REG' Central File S

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!i . I DEPARTMENT OF ENVIRONMENTAL PROTECTION l vnewton esem l ) cmes oc vas come:.sammen September 27, 1973 , . l 5 Certified Mail 99836  ! 3 Comunissioner William O. Doub i United States Atomic Energy Commission 1717 H Street, Northwest !l Washington, D.LC. 20545 3' . . Dear Comunissioner Doubs ? Refer to: USAEC Docket 50-219 NJPUC Docket 60-652 i A number of years .ago the State Government of New Jersey was presented with' allegations concerning irregularities l connected with the construction of the primary loop for the Oyster Creek Nuclear Electric Generating Station Unit No. 1. j The allegations were transmitted to Dr. Roscoe Kandle, who then headed' Governor Hughes's Atomic Energy. Council. Dr. Kandle , elected to advise the then Division of Compliance of these I am happy to write that the AEC, specifically 1 allm t: ions. i Mr. rr,wt. Kirkman, then Directo:l of Region I, Division of

                                % 114nce, respcnded imme ::ntely and undertook an investig.' 1.u..

l which essentially substantiated the allegations. Appropriate i l corrective action was undertaken. We have been in receipt of a number of anonymous telephone allegations concerning irregularities at Oyster Creek during operation. Some of these allegations if substantiated may l l- have rather severe consequences with respect to the availability >

of a safety system of the reactor whe.n needed and the overall i health and safety of the general public. I am attaching to this .

letter allegations from a source with the request that an - immediate appropriate investigation be undertaken. The Commission is further requested to advise this State Government ! as to the findings and if indeed the allegations are confirmed,

what corrective action can and is being taken. Specifically, did a loss'of. total electric power take place resulting in ,
inability for any length or time to effect forced convection  !

cooling; and if so, did this result-in clad defects and thermal

                              . stresses resulting in core structural damage. Finally, is                                                                                  !

there any substance to the. allegation that an abnormal release also occurred.- m 094153 ) a,

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                                                                                     %september 27, 1973                      !

Commissioner Doub t c . . i , The allegations relating to an abnormal occurrence were i first called to the attention of this Department in an unusual l * ' manner. A reporter, John Allen of the Atlantic City Press, j called this Department's twenty-four hour line about 9 p.m.  : on Septe:aber 8 and was put in touch with our Nuclear Engineer, l

                     ' Charles Amato. Mr. Amato in furn contacted Mr. J. P. O'Reilly i

of your King of Prussia office and the New Jersey State Police (per standard procedures). Mr. O'Reilly responded inunediately ] and called the plant and the plant superintendent (at his home), l then advired Mr. Amato of his findings which did not suggest a core melt-down or near melt-#.own as the allegations implied. . l At a meeting on September 14, Mr. O'Reilly discussed the matter s with Mr. Amato, advised him a Reactor Inspector had visited - Oyster Creek on September 11, and gave Mr. Amato a copy of Oyster Creek Abnormal Occurrence Report No. 73-19, which is PDR material (this abnormal occurrence had been reported to the AEC  : on the morning of September 8). A copy of the just noted Abnormal i

             .        Occurrence Report is attached for the sake of completeness.

4 I would be remiss if I failed to commend Mr. O'Reilly for his cooperation and timely response. We have come to expect this of j l

                    .Mr. O'Reilly and his Staff, a

Yod may be interested in noting that two unusual or abnormal occurrences took place at Oyster Creek about a month apart. Each

took place on a Friday or Saturday preceding a Lacey Township Planning Board public meeting scheduled to determine if a Building

! Permit should be issued for the Forked River Station. i I am looking forward to receiving at the earliest possible

                   ~date your findings in this investigation.

i truly yours

            .                                                   n

! Richard J. livan ' Commissioner Encl. .i i' l i 1 l e

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phde af Nem 3rrarg DEPARTNENT OF ENVIRONMENTAL PROTECTION TmeMTose essas i eri,cs e,vna ca seionen i

' September 27, 1973 s j Certified Mail 69836 Cossaissioner William O. Doub United States Atomic Energy Commission l [' 1717 H Street,' Northwest s Washington, D. C. 20545 l

         ~

4

Dear Commissioner Doub:

Refer to
USAEC Docket 50-219 NJPU Docket 60-652 c A number of years.ago the State Government of New .fersey '

was presented with 'a'11egations concerning' irregularities ' connected with the construction of the primary loop for the l Oyster Creek Nuclear Electric Generating Station Unit No. 1. l The allegations were transmitted to Dr. Roscoe Kandle, who l } then headed Governor Hughes's Atomic Energy Council. Dr. Kandle elected to advise the then Division of Compliance of these - l allegations. I am happy to write that the AEC, specifically

Mr. kobert Kirkman, then Director of Region I, Division of Complianc< , rmar< led twiliately and underbok an investigat..cn I

which esseniially st acantiaced the allegaticas. Appropriata 1 corrective action was undertaken. t ) We have been in receipt of a number of anonymous telephone i allegations concerning irregularities at Oyster Creek during operation. Some of these allegations if substantiated may l have rather severe consequences with respect tc the availability j of a safety system of the reactor when needed and the overall  ! < health and safety of the general public. I am attaching to this ! letter allegations from a source with the request that an  ; immediate appropriate investigation be undertaken. The i Commission is further requested to advise this State Government as to the findings and if indeed the allegations are confirmed, what corrective action can and is being taken. Specifically, ' j did a loss of total electric power take place resulting in inability for any length or time to effect forced convection l cooling; and if so, did this result in clad defects and thermal i

stresses resulting in core structural damage. Finally, is
 !                           there any substance to the allegation that an abnormal release also occurred.

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5 . . . f) September 27, 1973 Commissioner Doub lt The allegations relating to an abnormal occurrence were i , first called to the attention of this Department in an unusual manner. A reporter, John Allen of the Atlantic City Press, called this Department's twenty-four hour line about 9 p.m. on September 8 and was put in touch with our Nuclear Engineer,

;              charles Amato. Mr. Amato in turn contacted Mr. J. P. O'Reilly j               of your King of Prussia officeMr. and    the New Jersey State Police O'Reilly responded immediately (per standard procedures).

and called the plant and the plant superintendent (at his home), , j then advised Mr. Amato of his findings which did not suggest a l core melt-down or near melt-down as the allegations implied. At a meeting on September 14, Mr. O'Reilly discussed the matter l with Mr. Amato, advised him a Reactor Inspector had visited Oyster Creek on September 11, and gave Mr. Amato a cc)py of l

  • Oyster Creek Abnormal Occurrence Report No. 73-19, which is PDR j material (this abnormal occurre'nce had been reported to the AEC on the morning of September 8). A copy of the just noted Abnormal 4 - Occurrence Report is attac.hed for the sake of completeness.

I would be remiss if I failed to commend Mr. O'Reilly for his l cooperation and timely response. We have come to expect 'his of I i l 1 Mr. O'Reilly and his Staff. 1 l You may be interested in noting that two unusual or abnormal ' l occurrences took place at Oyster Creek about a month apart. Each took place on a Fridiiy or Saturday preceding a Lacey Township Planning Board public meeting scheduled to determine if a Building i l l Permit should be issued for the Forked River Station. r I am looking forward to receiving at the earliest possible l < date your findings in this investigation. V truly yours g- , =w Richard J. ullivan f Commissioner 1

Encl.

A 4 l 4 n 1 4 I 4 d

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g UNITED STATES -

              /                          ,%                              FTOMIC ENERGY COMMISSION
   '         *
  • S OlVislON OF COMPT.f ANCE 201 645 3941 l
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                                                                            .                     REGION t
           . %,                       d[                                              970 BROAD STREET sing ,                                                      NEWARK. NEW JERSEY 07102 June 10, 1969
                                       .l. P. O'Reilly, Chief, Reactor inspection                                                           '*

nnd Enforcement Ilranch, Division of Compliance, llQ COMI't.1 ANCE INVESTICATION REPORT JERSIW CENTRAL POWER f,1.1011T COMPANY (0YST AR CREEK 1) DOCKhT No. 50 219.1.1 CENSE NO. DPR.16 Attached for your information and appropriate action are 5 copies (15 under neparate cover) of the final report of the investigation into allegations made concerning the procurement and installation of certain piping, fittings and valves at the subject facility. This report covers, with addit innat details, the results of CO's investigative activities het ween February 28, 1969 and April 29, 1969, previously summarized in the two Interim reports issued April 25, 1959 and May 6 1969, respectively. _

                                     *lhin investigation was aimed primarily at those allegations, made by Mr.

Colin, that pertain to Oyster Creek 1. Other allegations by Mr. Celia, both general and specific - including some pointing to Indian Point 2, I Dresden 2 nnd the Power !!urnt Facility - are discussed in the section of this report entitled " Interviews With Complainant." As you are aware, t hese lat ter allegations are being investigated separately by CO (and RDT), nome preliminary results of which are discussed in previously issued memo-randn.* Informat too f rom another nource intimstely involved in this case, which point a further to the possible applienb!!ity of thin general problem on a nnt lonal scale and which included reference to several specific reactor i f acillt les current ly under construction, has also been documented.**

                                    'th
  • prinetpal results of this investigation are reflected in the Summary of Fact s sect ion of the report. In brief, the allegations made relating t o piping and valves were determined to be substantivet whereas, no in-form 1t ton won developed to nubstantiate the allegations made relating to
  • Memorandum, Carlson to O'Reilly, " Allegations by A. A. Cella Relating to the l'ower Ibrat FacIIity, NRTS, Idaho", dated May 9, 1969. Memorandum, Moseley t o O'Re!!!y, " Invest igation into Piping Allegations as Related to
                                    ' Indian Point No. 2", dated April 28, 1969.
                           ** Memorandum, Carlson to O'Reilly, " Additional Information Pertaining to
                                       ~ Allegations relating to Pipe at Nuclear Facilities and Status of Investi-gnt ton at Oyster Creek 1", 'dsted Hsy 20, 1969.                                                                                      l l

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i i. . O O the quality of fittings. The recommendations of the investigating team regarding these issued have been communicated to you in the forwarding memoranda accompanying the previously referenced interim reports. During our interviews with Mr. Celin, he persistently condacted himself in a rambling manner, continuously jumping from one subject to another. In addition, inconsistencies and/or inaccuracies were often encountered in his statements. Some of the latter items appear in the report since an attempt has been made to present the facts as stated by him. Needless to any, these aspects of the interviews complicated the business of estab-lishing all the necessary specifics on each of the allegations made by Mr. Cella. A meeting was held with Dr. R. P. Mandle, New Jersey State Comsissioner of Henith, at his office in Trenton, New Jersey, on April 16, 1969, for the parpose of advising the State of New Jersey as to the status of developments reinting to Dr. Kandle's letter to Mr. Kirkman dated February 21, 1969. Thi s of fice was represented by Mr. Kirkman and the writer. Mr. C. G. Amato and Mr. W. Curnt, Esq., Deputy Attorney Genernt, Depertment of Public Ut ilities, New Jersey, were also present. Dr. Kandle stated that they, the interested representatives of the state, were not raising any doubts as to the competence of REG in these matters, that they had the fullest confidence in REG in this regard, but that they were generally interested I nod concerned. Dr. Kandle concluded by indicating his appreele. tion for being kept informed and made statements to the effect that the responsibility for resolution of the matters under discussion rightfully belonged to REG. l'or ihe purpose of continuity, i. e., to reflect the total picture in this memornndum, reference is made to the TWX dated April 8, 1969*, issued by t he writer to you and summarizing the results of the final prelicensing in-spectton of the subject facility, and to the forwarding memorandum from Mr. R. II . Engelken to Dr. P. A. Morris, dated April 8, 1969, both of which highlighted the safety significance of the areas under investigation and recommended the issuance of n limited Provisional Operating License pending snt isfnetory resolution of these arens of concern. Also, reference is made t o Provisional Operat ing License DPR- 16, issued to the subject utility on April 9 1969. which includes the limitation that the facility be operated at power levels up to 5 Mwt maximum and without the reactor head in place pending resolution of three outstanding issues, including the arens of allegat lon. Finally, reference is made to the letter from Dr. Morris to M r . .l . H. Logan, Vlec President, .lC, which speaks to these three outstand-ing issues, requests reports of specifics regarding their resolution, and states that a review of this information by DRL will be necessary before the full power operating license can be issued. Also, for the same purpose na stated in the previous paragraph, it is to be noted that this matter has been the subject of many meetings, telecons, and additional memoranda involving many interested organizations including the I

  • Also CD inspection Report No. 219/69 2, dated May 28, 1969. l 1

9 o i

    '                                               .                                      following:                        CO, Parameters, Inc. (CO Consultants). DRL, DRS, REG, RDT, INS.

ACRS, Commte. stoners, and JCAE. As you nre ownre, JC-CE BLR have underway a verification program relating to the arens of allegation. An interim report on the scope and results of their program was presented by them at a meeting with DRL-CO held for that purpose nt llendquarters on May 14, 1969. In a subsequent meeting between representntIves of JC-GE and DRL-CO, held at llendquarters on May 27, 1969, IC-CE were informally provided with a document prepared by CO and which outlined the items, in addition to those completed by JC-GE-B6R in their vert flention program, to be performed to meet Regulatory requirements, in view of the admission by IC-CE that the pedigrees of the subject piping and valves installed at 00-1 are seriously deficient, that a verification program is underway, and that the program is under review by REG, this offico does not plan any further investigation, per se, and considers t hi s aspect of the matter closed. A followup audit by CO to evaluate the of feet !ver. css of the JC-CE IER verification program will be performed at the appropriate time.

                                                                          .-g                  /i      ,

lC . l . ( '(1, i .. %. R. T. Carlson Senior Reactor inspector Kneinsure: 5 Cvs. of Comptinnee Investigation Rpt. (15 sont under separate cover)

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  • COMPL1 AleCE IWYF.STICAT10ef REPORT j '

31 VISION OF COMPL1 ANCE l

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i j \ . , + , . g . .Q-i. } Subjectt JERSET CDfrRAL POWER & LIGHT COMPANY Oyster Creek Unit No. t 14cey Township. New Jersey i License No. DPR.16 Docket IIo. 30 219 Type of Case: Suspected Violation . Allegation that riping. Fittings 1, and Velves installed at Oyster Creek Init No. I do not meet ASTM or ASME Codes, or A/E Specifications. l i Period of Inveettastient Febr9ery 28. 1969 to April 29. 1969 Inveettaatton Teest Robert 7. Carlson. Senior Reactor InePector. C0:1 ' ,' William J. Colline. Metallurgical Instneer. CD:HQ

John W. Flora. Senior Reactor Inspector. Cot 1V I i Roy M. Custafeen. h terials & htetturgy Branch DRS '

' Normen C. k eeley. Senter Reactor Inspector. Cost  ! Al.in F. Ryan. Investigation Specialtet. CO:1 I , Joseph M. Tillou. Reactor Inspector (Construction). C0 1 , John J. Ward. Investigetton Specialtet. CO:1v l  ;{ s, s( (.f ,- r . , O ,. : . __ ,,,,,, Oate

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$ REASON FOR INVESTICATION on February 28. 1969. C0:1 received a letter dated February 21. 1969 from Dr. Roscoe B. Kandle. Vice Chairman. New Jersey Atoste Energy Couwell, reporting that I on Thursday. February 13. 1969 Alesander A. Cella and Paul E. Klebler. President and Vice President, respectively, of Pipeto Steel Corporation. Dover. New Jersey (Pipeco). Informed Commissioners of the Public Utilitle Commission and a Deputy Attorney General for the Department of Public Utilities that pipe had 'aen installed I at Oyster Creek Unit No.1 (OC.1) that did not meet the specificatic .a of the j American Society for Testing Materials I ASTM). A telephone call to Cella on February 28.1*69 by Norman C. Moseley. Senior Reactor Inspector C0:1, elicited further general allegations to the effect that material was supplied by firms which, with the knowledge of subcontractors and f abricators, ignored purchase specifications and American Society of Mechanical Engineers I ASME) codes, that material was supplied by firms which wers not quali. fled to manufacture it and which were'not df stributors for any of the known qualified manufacturers, that in some cases material certifiestions which were ' provided were f alsified or improperly verified. and that prior to placing orders with fabricators inspections were not made of the fabricators

  • shops or quality l control programs. Cella further alleged in this telephone conversation that some pipe which was specified to be ASTM A 312 actually was welded with filter metal, that this particular pipe was thin. walled and the use of filter metal made ,

the pipe unsuitable for nuclear applications. I In a subsequent personal laterview conducted March 11. 1969 Cella. In addition to the allegations set out above, charged piping suppliers in general with gross i negligence on delivery of material for nuclear plants, that it is a common practice , of suppliers to falsify material reports to cover shipment of stock material in ' filling nuclear purchase orders, that Burns & Roe, incorpora ed (B6R) had bought used valves for DC.l. had then rebuilt by a Clif ton, New Jersey firm and then re. quested Colla who owns Universal Testing Company. Cedar Crove. New Jersey, to test and certify these valves to specifications. Celia further alleged that all 6". 8" and 10" piping at OC.! le suspect because although ordered to meet si,ecification ASTM A.376 the material supplied was ASTM A.312 with filter metal. Further. fittings for the 6". 8" and 10" pipe were weld. ed by nonquellfled weldere and that no final testing or quality control was con. ducted on the welding. The investigation of these allegations, which speak to three general areas - piping, i

<                 fittings and valves, was technically initiated on February 28. 1969 by CO:1 with       '

the tolephone call by reseley to Cella. However, it was not until March 11. 1969 when C0:1 was finally successful in arranging the above referenced interview with Cella that the investigation actually began. l l SUMARY OF FACTS j

  • By direct observation at the OC.I site, documentation reviewed, and interviews with key individuals. It has been established that piping that does not comply with the applicable specifications invoked originally by B&R has been installed in the facili.

ty, including some in important safety related systems. Specifically, the inforum. tion developed indicates that the subject piping does not conform to the required standards of ASTN A 312 (seamless or velded without filter metal) or ASTM A*376 ) iseamless). Further. insufficient evidence has been produced by CE of BD to support their subsequent clate that the piping conforms to the standards of ASTM A 358 (welded with filter metal). Additionally, ellegettone that unquellfled manufacturers l supplied pipe and that inadequate material certifications were provided, have also been found to hav6 substance. l l

  • l 5' ** a g l
                        .                      (                                                                  l
                                                              . 3 In a steller sanner to that outlined above, it has been established that contrary to the B&R opecifiestions, which cell for new materials and equipment, and for whichsome no valves of questionable origin and history (surplus or reconditioned),            It has also material certifications were provided, were supplied to this project.                      (

been established that code required certifications are it. eking for other valves suppiled. Some of the valves fitting these categories have been identified as being deelaneted for safety related systees. The investigative ef forts reflected herein have revealed no inforestion to su's. i stantiate the allegations made relating to the quality of fittings, Persons interviewed er Conteeted Alley Tube & Ptoe Corocration. Houston. Tense ( ATAPCO) Alesander W. Calbretth, President W. O. Strong, Jr., General Nnager Beraen Industrt'el Sueoly Company. Let Peterson. New Jersey ( Bernen)

  • N ry Hilla. 'stteator i and order Clerk Burne & Roe inentporated. Orodelt. New Jersey (B&R)

Culdo A. Larl, Project Engineer for OC.I Herbert Jung, Quality control Engineer Jack Brodsky. Quality Assurance Supervisor H, H. Minshall. Senter Site Representative at OC l Ceneral Electric Company (CD Donald K. Willett. Project Manager for DC.I Robert A.Huggine, Principal Project Engineer for DC.I leu M. Loeb. Nnager. Nterials and Quality Services. Domestic Turnkey Projects K. Vilitse Hess. Nnager, Site Operations at OC.1 d Neil M. Strand. Site Construction Nnager at 0C.1 i Jersey Central Power & Llaht Conceny (JC) Coorge H. Ritter Vice President and Project Manager for OC-1 (also Director. Nuclear Croup, General Public Utilities (CPtt?) Donald A. Rees. Assistant Project Manager for DC.I Buddy C. Avers, Manager, Quality Control. CPU Thomas J. McCluskey, Plant Superintendent far DC.1 Ray Zogree. W R Associates (Consultants to JC)

l t o C ]

                                                        .4.

leland City. New York (Met ropolit ant _ _Metropellten Pluebten Supply Corporation. l.ona

.iii rene, r,esid.nt Bob Kane. Secretary Ploeco Ete** Corporation. Dover. New Jersev (Pipeco)

Alesender A. Colla. President ! Faul E. Klebler. Vice Prealdent Sweeco Tube Corporation. Clif ton. New Jersev (Swereol James A. Seme. Technical Director and Quality control Manager Jas.a Michte. Sales Manager . Special Products Tubeco incorporated. Brooklyn. New York (Tubern) Arthur A. Creen. Vice Freeldent Anthony F. Lopes. Asalstant Manag*t. Engineering Department , and Manager. Quality Cont.at Eshlbite Pggg i Eshibit A . Copy of letter dated February 21. 1969 from Dr. R. B. Kandle 6 i ' to C0:f Eshibit B < Copy of Purchase Order dated October 25. 1966 from Albert to 13 ATAPCO l Eshibit C . Copy of sections froe CE Design Criteria dated July 13. 1964 16 l Eshibit D . Copy of letter f rom CE to BAR dated October 10. 1966 conc e rning 16 pipe specif teetions Eshtbit E . Copy of telegram dated March 27. 1969 f ree ATAPCO to Tubeco 18 4 agreeing to change pipe speelfleations Pshibit F . Copy of Af fidavit by Strong dated April 14 1969 20 Eshibit C . Copy of Af fidavit by Calbraith dated April 14. 1969 20 j Eshibit H . Copy of " Corrected *' Material Certifications f rom ATAPCO dated 20 April 13. 1969 Eshibit ! . Copy of' Corrected'Haterial Certifications f ree ATAPCD dated 20

  • Decembe r 12. 1966 to April 19. 1967 Eshibit J . Copy af Purchase Order f ree Albert to Swepco for fit tings. 21 dated October 23. 1966 Eshibit K . Copy of Certification f rom Swepco to tubeco dated March 27.1969 21 Eshtbit L Cortes of Purchase Orders 166. 177. 304 and 338 fot valves. 24 (1 thru 4) from B&lt to Sergen

0 . e o.

   ,                                      f 5-Investlantion Trise Covered sv This Report Fersons MeHna Trip Date(s)                 UE9 Ftpeco Steel Corp., Dover. MJ          Ryan Tillou N rch 11. 1969                                               Kirkman. Ryan Tillou N rch 17. 1969        Pipsco Steel Corp., Dover. MJ          (Celle not avellablel Flora. Ryan
  • N ech 18. 1969 Durne & Roe. Inc. Oradell MJ Carlson Gustaf son h ech 16 19. 1969 Oyster Creek Unit No. I Carlson Flers Costafson.

N eth 20 21. 1969 Oyster Creek Unit No. I Ryan Carlson, Ryan. Tillou N rch 25 26. 1969 Oyster Creek Unit Mo. I ^ Carlson. Ryan. Tillou k rch 26 27. 1969 Burne & Roe. Inc.. Oradell, NJ Carlson Ryan. Tillou b rch it. 1969 Tubeco. Brooklyn. NY Flora April 2 3. 1969 Alloy Tube & Pipe Corp., Houston. Tesse Ward April 2 5. 1969 Alloy Tube & Ftpe Corp.. Nouston. Tesee Ryan. Tillou April 2.1969 Swepco Tube Corp., Clif ton. MJ Kirkman. Ryan. Tillou  ! April 3. 1969 Fireco steel Corp., Dover MJ (Celle not evallable) Alloy Tube & Ftpe Corp.. Houston. Flora April S. 1969 Tesse Kirkman, Ryan. Tillou April 15. 1969 Ftpero Steel Corp., Dover MJ i horne & Roo. Inc., Oradell. MJ Ryan April 18. 1969 Colline. Ryan ' April 22. 1969 Bergen Industrial Supply Co. . Ea st Paterson MJ Colline. Ryan April 22. 1969 Ntropolitan Fluebing Supply Co.. lens Island City. MY Bergen Industrial Supply Co.. Esot Ryan April 29. 1969 Faterson. MJ Burne & Roe Inc., Oradelt. MJ Rya, April 29. 1969 t n 4 l l J l l n A t

    .         o 6

D FT All.S Introduction

1. In a letter dated February 21. 1969 addressed to the Director. Compliance Division.

Region 1. received at C0:1 on February 23. 1969 Dr. Aescoe B. Kand's. Vice Chair. man. New Jersey Ateetc Energy Council, informed C0:1 that on nursday. Febru:ry 13. 1969 Mosers. Alesander A. Cella and Paul E. Klebler set Commissioners R. 7. Dyrne and A.E. Croset of the Public Utilities Commission and W. Coral. Esq., Deputy Attorney General for the Department of littlities. Cells and Klebler wre identi, fled in the letter se of ficers of Pipeco 5tset Corporation. East Dickerson Soule. verd. Dover New Jersey. A copy of this letter is attached hereto as Eahibit A.

2. According to the letter. Colla and Klebiet informed Cural that Pipeco refused to supply pipe to JC for use in Dyster Creek Unit Ma. I since it did not meet the appropriate speelficattene. Celta and Etebter further stated they have learned that another fire (not identifiedi supplied the piping which meets the ASTM A.312 FM standard. Celta and Klebler, according to the letter, espressed the opinion that the use of the filter metal was objectionable and led to a reduction in quality not allowable for a nuclear powr station.
3. Af ter review of the letter from Kandle. Norman C. Moseley, Senior Reactor Inspector C0:1. telephoned to Cella on February 28. 1969 to obtain more specific Information concerning the allegations made in the letter. Celta refused to talk specifies tut made the following generalisations concerning OC.! and other nuclear plants:
a. Material was supplied try fitus which ignored purchase specifications and ASME codes. This was done with the knowledge of subcontractors and fabrica.

tors.

b. Material was supplied by fires which were nnt quellf f ed to manuf acture it and were not distributors of any of the known quattfled manufacturers.
c. In some cases esterial certificates which were provided were falsified or leproperly verified.
d. Prior to placing orders with f abricators, inspections were not made of the f abricators' shops for quality control programs.

4 Colla refused to be specific in connection with the information in the second peregraph of Kandle's letter (see Eahibit Al. Sie stated that Pipeco had not re. fused to supply pipe to JC but had refused to supply it to an unnamed subcontractor i for the reason given. Cella defined " appropriate specifications" to be ASME Code Section lit. In snower to the reference A5"m A.312 FM, Cella said some pipe which was specified to be ASTM A.312 was actually ASTM A.312 fH. He said this particular pipe is thin. walled and the use of filter metal made the pipe unsuitable for nuclear application. S. Although Cells was requested to be specific he declined to do so, but stated that he would meet with Moseley after Celle

  • letted the Oyster Creek site on March 4 or S. 1969
6. Centrary to the assurance given to Moseley by Celta on February 23. 1969. Cella did not again communicate with Moseley.

' Seekarovedi inf orest t on

7. The construction of OC.! for Jersey Central Power & Light company, which is a part of Ceneral Public Utilities is being performed as a turnkey project by General Electric Company. Architect. engineers for the construction of the plant are Burns
                  & Roe. Inc., Oradell New Jersey. PE'R Associates. Washington, D. C., have been retained by Jersey Central Power & Light Co. as consultants.

I l

7 4 L Interview with Ceepletnant. Aleyender A. Cells, president. pjpero Steel borooretlen

8. The following interviews and telecons were made with the complainant to establish as spec titcally as possible the ellegations e6ade by his in the letter f rom Dr. Kandle dated February 21. 1969, and in the telecon with Moseley on February 28. 1969.
9. Cella was interviewed at his office on March 11. 1969 by Tillou and Ryan. Cella identified biaself as President of Pipeto Steel Corporation. He stated he is .lso the owner of Universal Testing Company and that he also acts as an z ray consultant, supplise radiographic and testing services and consulting services on piping. fit.

Celta stated that he has an AEC byproduct material license tings and seterials.authertains the use of tr.192 and Co.60 as sealed sources in numbe r 29 08540 01 r radiography.

10. When Celta was informed of the purpose of the visit by Tillou and synn he remarked.
                       "this thing to still haunting me."

Celta was asked to give specific information concerning the statements he had made

11. He declined to to the representatives of the State of New Jersey and to Moseley.

do so. He stated that if he were identified as the source of the informat f on on which his ellegations were based or if he were asked to testify at a hearing or other proceding he would decline to do ao and deny that he had made the statemente attributed to him.

12. Colle was alven assurance that he would not be identified as the source of infor.

nation, that any infoimation he gave to the C0:1 representatives would be treated in confidence.

13. Cella stated that t he re is gross negligence by piping suppliers in general on delivary of material for nuclear plants. He stated that it is a cournon practice of suppliers to f alsif y material reports to cover the shipment of stock material in filling nuclear purchase orders.

14 Cella stated that B6R bought used valves to be used in OC.I. Cella stated that l these valves were rebuilt by a Clifton, New Jersey firm. According to Cella. B&R l then requested him as owner of Universal Testing Company to test and certify these j rebuilt valves to spectitcations. Cella stated he refused to do so and that the work was done by a New Turk testing firm. which he was t.nable to identify. l k..

15. Cella claimed that all 6". 8" and 10" piping at Oyster Creek Unit No.1 is suspect.

l l He stated that Albert Pipe Npply Company ( Albert). a distributor, supplied pipe , and fittings to Tubeco. Inc. t hbecol for f abrication into spools. According to Cells j l Albert bou.;ht domestic and foreign pipe particularly pipe manufactured by Sandvik Pipe and Tube Co poration (Sandvikt. l Cella stated that Albert (Tubeco7) received a purchase order f rom 1%R for 6", 8" 16. l and 10" pipe to specification ASTM A 376 which is the spectitcation for stainless l ' steel seamless pipe. According to Cella. Tubeco lacked the capability to manuf acture the pipe and requested Pipeto to furnish it and specifically to ASTM A 312 (stainless i steel, seamless t.r welded). Cella stated (bat the request to supply the pipe lacked any requirement for tests. Inspections. ultrasonte tests for wall thickness or l to meet any weight criterte. According to Cella, these were not required since i Tubeco informed him it would provide all the necesserv paperwork and material cer. j i tifications. According to Celle. he refused to supply the pipe. Celle stated that the pipe supplied to speelfication AS"m A 312 would be suspect because it would be underwetsht or if welded would tequire the use of f t!!er metal.

17. Cella stated that the 6". 8" and 10" fittings supplied by Tubeco would be suspect i because the welders who made the longitudinal seses at Tubeco were unqualif ted and that there had been no final testing of quality control on the welding. In sub.

stantistion of his charges Cella stated that radiographs of butt velds f requently j revealed flows in the longitudinal seems of the welded pipe.

18. Cella stated that the request to Pipeco to supply the piping material to Tubeco had '

L been made about four years ago and he believed he still had the invitation to bid 6 in his retired files. Colla stated that he did not know for which system this pipe l l was required nor did he know which firm subsequently supp!Ied the piping. 'l 7 4 L f

 )           so
                                                                        . g.
]             19           Cella charges JC with negligence for not esercising it s duty to demand an audit of all j                          quality control prograne covering all material used in OC. I.           Cella st ated that it j                          was his opinion that JC did s.ot check on CE enough, that CE in turn did not check on it s people, and that the architect. engineer. N.R. did not check on anytine.

j 20. With regard to the allegation that f alet fled mat erial certificat ions wre supplied. j Colla stated that he had no specific data concerntng this matter. As an illustra-

tion he st ated that specifications called for mill test reporte. He stated that

, certifications are issued by warehouses and that these may not be accurate copies i of the allt test reports or they may not be based on the mill test report at all. 1 Cella stated that information copied from the allt test report may not he included a in a certiftrate subsequently tenued by the warehouse, j. j 21. Cella stated that there are three speelf tcetions for stainless steel piping. He i stated that ASTM A 312 may le supplied either as wided (wit hout filter metall or , se seamless. He stated that ASTN A. 3$8 le wided twith f iller met all. ASTM A.376 j to the spectiteetion f or seamless st ainless steel pipe. Howver , he point ed out that the manuf acture of stainless steel pipe to A 312 specification in escess of 5 % inch well thicknese requires the use of filler metal in t he welding per " . and the use of filler metal in the wlding Procese is not permitted unde. this specification, g 22. Additional allegations by Cella at the time of this interview wre that at Indian ' Point. Dravo piping material had been rejected by Consolidated hit son and that the j tejected materlet was replaced by pipe suppl! *d by Pipeco. Cella st ated that

j. his firm supplied the piping for Caroline rowr and Light Company's Robinson No. 2 j Reac tor and t hat he is supplying the pipe for the Fort Calhoun Reactor. He stated t hat he would sell pipe only to the speci ficat ione outet t t ed.

1 j 23. Paul Klebler. Vice President of Pipeco. Joined the dieeussion for ateut ten to fifteen l l einutes. During this time he made the observat ion t hat 90% of the problem wit h which j he and Cella are cone srned la in the dilution or interpretat ion of the speelfications. 26 Colla also stated that CE la toporting pipe free Japan at 4 0'. l e s s t han t he c o s t of

domestic pipe. He stated that CE could not get certifications of the material f roe j the Japanese producers. Cella also stated that N.R had bought everything possible frne SandvIek.
,,           2$. As an tilustration of his complatnt. Cella save the following two specific instances.                                                       l j

He stated that at Dresden 2. b dish got the cent ract for pipe and fittings. According to Cella. Udteh only makes fittings and therefore bought the pipe free the United

                           !.t at es dist ributor f or Sandvik. Colla stat ed the Sandvik material certtitcations
se e known t o be unrollable.

l f 2 ti . His second tilust rat ion concerned Ebasco who was the prios cont ractor ( A/E) on a j reactor project in Idaho which Cella later identified in a telecon with Robert T. Carlson on May 8 19 H . a s t he row r hu r st Fac i l i t y. According to Cella, the Ebasco ! subcont r ac tor. Howa rd S. Vr t aht . placed a piping order with National Stainless Corporation l INational) for pipe to Fbasco specif trat ions. According to Cella. Nat ional placed I en order wit h I'lesco f or A. 312 material. Subsequently Colle was nottfled that an in. spector representing Ebasco would to at Pipeco to inspect the piping. According to f Celle, the inspector rejected the order since A.312 did not meet the Fbasco spectft. l cations. Cella stated that neither he nor anyone connected with his firm had been

Info med at t he t ime the order was placed that it was for a nuclear tristallat ion, j Cella stated that the entire order was put back in stock and he then tunuf actured g the pipe to the Ebasco speelfications. including test s which had been cettted f ree the original purchase order. Cella stated that this resulted in a sik nonth delay j in completion of the project, i

I ella was reinterviewd April 15. 1969 by Robert W. Ettkaan. Director C0:1. Tillou nd Rwan. Two earlier attempt s to contact Colla at his of fice. on March 17 and April 3. ! 69, were unsucceer.ful. At this time Celle was informed that a license had been i ued to JC for operation of OCol at S Hvt masteum and with the reactor head removed. I l - 1 l l L

  • j
                                                                    . 9 s

28 Celta stated that he worked with Helmut Thielch who is a consultant to CE. He stated that he had been Informed by Thielch that about five months spo an elbow with a 14" dieseter and I" well thickness was supplied by Tubeco and was found to be made of two pieces, one alloy and the other carbon steel. 2

29. Klebler, who was also present, stated that it would be well to follow the Navy prac-tice of qualif ying me..uf acturere and esercising control over their operations other.

I, wise no control could be esercised Colla stated that Tubeco is getting a contract to f abricate pipe f or Consolidated Edloon at Indian Point. New York. He also gave se en esseple one Joe Zimmerman, who is head of Western Pipe who has been authertred , to have an N etaep but his plant has no qualifications which would justify authorisa.  ! tion for thle steep.

30. Colla was asked to identify the teactor referred to in the earlier interview in which his fire had been asked to supply pipe to National Stainless Corporation. He stated
  • he did not know the name of the reactor but believed it was located at Scoville.

Idaho. 4

31. In a further discueston of fittings Cella stated that swepcc. which manuf actured welded fittings, had no quellty control progree and that it did it s own radiography of the welds.
32. Colla stated that he would be willing to bet that no allt certifications are avall-4 able on at least 25% of the pipe or fittings at DC l. With regard to Albert. Cella stated that they had bought schedule so fittings f rom Ladish and used the test re port s received with these fittings to cover additional fittings made by Albert from esterials supplied by Pressed Steel Company, a forming company. Cella did not relate this state.

sent to DC.I.

33. Celta again charged that Tubeco had used unquallf ted welders in its plant clateing that althouah they had two to three welders qualtfled to ASME Section IX in their plant, they used up to 40 metal tradesmen welders, not quellfled to ASME Section IX.

He based his comment on his opinion that Tubeco could not physically have delivered - the piping order in the period of time they did using only the two to three qualif ted !_ welders. He elsles that they either steeped the welds using stamps of quallf ted i weldere or had used no identifying stamp at all. He alleged that through an arrange-I ment with the local union Tubeco had teen peraltted to use the unquellfled welders in f abricating pipe assemblies which Cella elatoed were intended f or the esport market. l He characterised Alloy Tube and Pipe Corp. I ATAPCO). which supplied pipe to Albert. for DC l. as incapable of producing nuclear qua.ity pipet that material they did q manufacture was primarily for use in paper allte. 1 . 34. Cella discussed the allegation concerning the procurement and installation of used , valves by h&R. He identified them as stainless steel in 6" and 8" stres. He stated

that the valves were bought by BAR at prices which would preclude the purchase of 1 new material. The ortstnal version of his story was thenged somewhat in that he now i stated the valves had been bought by B&R f rom a New York City supplier. He stated 4 that an acquaintance of his from Clifton, New Jersey was the person who contacted 4 his regarding testa of the valves and certification by Universal Testing Company.
            ,           Celia stated that he believed B6R had a f.=re price contract f rom CE which motivated h&R to cut all possible corners and to make material purchases with price as the I                        persoount consideration. Cella agreed that he would give Ryan additional information concerning the valves af ter he had checked with his informant on the specifle detalls of this setter.
35. On April 16. 1969 Ryan telephoned to Celle and was given the following information concerning the purchase of valves. Cetta stated that &&R had ordered about $60.000 worth of stainless steel valves f rom Bergen industrial Supply Co. ( Be rgen) . Ea s t Peterson. New Jersey. He stated these were in the stres f rom 182" to 2". Lolla stated that the price paid for the valves by B&R wee the catalog list price for brand new valves. - (Note this statement le contrary to that given by him on April 13, 1969.)

Colla stated that Bergen obtained valves from Metropolitan Pluebing Supply Corp. IMetropolitan). Long Island City. New York which he described as a firm that dealt only in surplus junk valves. Colla stated that it would be lepossible for Metro. politan to have any type of documentation to certif y the materials in the valves.

\* i 0

                                                              . 10 36    When questioned about his statement s concerning 6" and 8" valves. Cella stated he He had no speelfic information, that the information he had was only generalities.

was asked if he would provide the name of his informant in order that a direct interview could be cond1cted. Colla stated he would telephone Ryan on April 17 1969.

37. Cella did not 'elephone to Ryan on Apell 17. 1969 as agreed and af ter several attempts Ryse finally was able to speak with Cella by telephone late on that date.

Cella again tectined to identify his informant. Celta stated the 56R purchase orders were as follove, rurchase order BR.2299177 for valves to speelfication

                    $2299 55. Cella stated that Bergen bought reconditioned, used surplus vetves under this purchase order. He stated that purchase order BR 2299164 was also the medium through which reconditioned. used surplus valves were procured. Cella stated that items 303 and 389 on purchase order 164 f acluded valves up to 4" In aise. He st ated thsee were used in the following systems: Fuel Pool Cooling Condensate Transfer.

Isolation Condenser. Liquid Poison. Heating. Deelneraliser batsr. Reactne Head Cooling. Nit rogen. Fire Protectinn and Domest ic We' er. Colla stat ed that as far as he could ascertain there had been no recertification of the valves purchased through Bergen f rom Metropolit an. As an example of the prices paid by 8&R which according to Celle are the catalog prices. he stated that 3/4" valves were bought at $153.80 each. 4" valves at $239.25 each and 3" valves for $149.00. Analysis of Allenstions ( As of March 11. 1969 Interview) 3n. The statements. charges and allegat tans made by Cella as of the March II.1969 in. terview and pertaining to 0C.1 were analysed. As a result, four systems were chosen by C0 for the purpose of investigating the allegations relating to piping and fittings, The bases for the chotte of mystems included such considerations as: material composition. line sise, supplierf el of compon*nts, and safety signtlicence. The systems chosen wete! Core Spray. Isolation Condenser Shutdown Cooling, and Cleanup Domineraliser. , 39 Because of the general nature of the allegation relating to valves. se of the

                    " arch ll.1969 Interview. this area was given a lower priority at the outset of the investigation pending the development of enre specific information.
40. For the sake of clarity, the report hereaf ter is broken down into the three general areas of allegation. I. e. piping, fittings and valves, hvattination of Allemet tons con _c;ernhfirina 41, 14ve firm allegations concerning the piping at OC 1 were developed as follows:
a. Piping was supplied for use in 0C.1 that was designated ASTM A 312 FM.
b. All 6". 8" and 10" diameter A 312 (stainless steell pipe at DC 1 is rejectable because it is either underweight. or was made by the addition of filler metal.
c. The firms that supplied the pipe materist in question (presumably A 312 FM) were i rnither quellfled to manufacture it. nor distributors of any known qualified e Laufacturer.

j

d. Material certificates were provided that were inedequate, or were only sup-plist affidavits instead of true elli certtitcations, l

I

e. A.312 seamless or welded pipe for DC.1 was substituted for B&R specified A 376 pipe.
42. On March 17.1969 Carlson telephoned to George Ritter. Vice President and Project Manager for DC.I. JC. and Donald Rees. Assistant Project Manager for DC. I. JC. The purpose of the estl was to inform JC through these individuels that certain allegs.

tions had been made relating to OC l. and that an investigation by CD was underway. Further. that they would be contacted in this regsid to the near future by Flora.

a

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43. Ritter and Rees inf ormed Carlson that about a month prior to this call they had heard from a representative of the State of New Jersey that people from Pipeco had visited the of fice of the Public L'tilities Commleston and made allegations to the effect that pipe at OCel did not meet nuclear standards. They indicated that they had heard also that the State of New Jersey had written a letter on this matter to the Region !._

Division of Compliance. They eatd that they had communicated with the representatives of Pipeto in the e regard, both in telephone calls and during a visit of the istter to the JC of fices in late February.1969, but that the Pipeco people denied making ' the allegatione. 44 Rees Informed Carlson that it was his understanding that the que st kred piping was lietted to that 10" in diameter. He said that following the initial indication of any problem, about old. February,1969 he notified both David Kregg Project Manager for B&R, and Nell Strand. Site Const ruction Manager for GE. of the situation and requested that they review the matter. He stated that he was subsequently in. formed that there was some material p7esent in the Core Spray and Isolation Condenser Systems at OC l. that was stainless steel and seme welded.1. e.. with filler metal. He stated that he had been told by Kregg and Strand that the pipe was in accordance with applicable speelfications and that on this basis JC had not investigated the ' matter any f urt her.

45. On March 18. 1969, as prearranged. Flora telephoned to Ritter and Rees to discuss in more detatt the nature of the allegations. to outline in general terms the plans of 00 in that regard, and to request of JC their cooperation and assistance. When asked if there was any JC documentation that bears on the subject areas. Ritter informed Flora that Don Rees had talked with Cella and Klebter of Pipeco but he
did not believe there was anything in writing to docum nt this conversation. He retterated his previous statement to Carlson that JC was in the pecultar position of being unable to rebut the allegations because the p+rson reportedly making the alle.

2 gettone now dentes having made them. l

46. Flora informed Rees of the specift' ellegations and through him sought to have a re.

presentative of JC accompany the li vestigative team. Rees suggested that the Project Engineer at hLa.'Guido A. La r t , be the cont ac t f or any inf ormation. investlaation at horns & Roe. Ineceporated. Oradell, New Jersey , 1

47. On March 18. 1969 Tlors and Ryan interviewed Lart at his of fice in Oradell New Jersey. Prior to the meeting. Flora had suggested in a telephone conversation with Lart that he should check with CE to ascertain whether that company had any reserva.

tions about AEC personnel talking to h&R personnel on these matters without the specifle acknowledgement er approval or presence of CE representatives. Lart had informed Flora that he believed that the plant had been " written of f" and that GE would require a statement of this atency's inquiry in writing. Lart suggested that Lou Loeb. Manager. Materials and Quality Services - Domestic Turnkev Projects (CEh should be contacted by this agency. j

48. At the interview with Lart. Flora read off the allegations in order to acquaint Lart with the nature of the charges and to obtain his comments thereon. With regard to the first alteration, that piping suppil d for use at DC.I was designated ASTM A 312 PM. Lart asked whether the pipe was so steeped. He pointed out that the spectfles.

tion A.312 does not allow the use of filter metal and he would like to know whether j the piping was so stamped. )

49. At this point. Lart interrupted the interview to telephone to the site and to speak to H. H. Minshall. Senior Site Representative for B&R. He requested Minshall to go into the reactor factitty to read the material designations on the stainless steel piping if possible. Lart ramathed to Flora and Ryan that Minshell informed him that most of the piping had been insulated and it might be dif ficult to get this information.
50. Lart stated that B&R did not purchase any material designated A.312 FM. He stated that he d(d not know whether material so designated was suprised to the site. He asked Flora and Ryan whether material certifications would be acceptable to sub-stantiate the quality of the pipe that had been installed.

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                                                              . 12
.          51. Larl made the same response with regard to allegation number 2 that all 6", 8" and 10" diameter A.312 pipe le rejectable because it is underweight or had been made with the addition of filler metal. He then suggested that what CO was seeking were the cattulations to determine well thickness of the pipe. Another question he suggested CO was taleing was "is t he pipe that is installed equivalent to the specifications, or does B&R have the authorisation to install welded pipe 7" He inquired whether a copy of a letter authortning the use of welded pipe would satisf y CD's needs.
52. At t hle paint the interview was interrupted by a telephone call from Lou Loeb who talked with Flora and Larl.
53. In ble conversation with Flora. Loeb stated that he had been unaware of the situ-et ten into which this agency was inquiring until about one hour bef ore. Loeb stated he was very aroused, that he felt this matter had been handled very poorly.

Flora informed Loeb that t his agency had c leared wit h M'. t hat he had Inintmed La r t t hat CD would not dieeuss the matter with his unless he was certain that CE would not object to the interview, and that CO was agreeable that Cf. have a repre sentative present, l. neb stated he wnuld call Flora at Lati's of fice within the nest hour. 54, tatt then telephoned to Innn Villett. Project Manager (CEl. at t he alt e. Willett informed Lart that the CE people at t he s i t e we re a wa i t i ng wo rd f rom Loe b. La r i then read the list of questione given to him by Flora to Willett and requested that Willett Inform Carlson when the answere to these questions could be made available.

55. When the Interview was resumed. Lart stated categorically that piping designated ASTM A- )l 2 FM wa s not installed at DC.l. He stated t hat authorisation for A 358 pipe made frne A.240 plate, which is the same specification as the rectreulation system pipe. had been included in the CE design criteria. La r i stated that he personally had notified Tubeco, t he f abalcator, of the acceptability of A. 358 and A 240.

56, tari stated that in no case is the well thickness of piping below the specification including corrosion allowance. 57, With regard to the allegation that fi rms that supplied A 312 material were neither qualt fled to manuf acture it nor were they distributors of any known quellfled manu. f acturer. Lart stated he did not know how to satisfy CD's concerns in thle area. Sn. With regard to the alleention that Inadequate cert ifications had been provided. Larl st at ed that the certif tr ations had been sent to CE APED at San Jose. California. the h&R site office at Dyster Creek, the CE site office at Dyster Creek and the BLR office at Oradell, New Jersey. La ti stated these certifications had been reviewed by engineers employed by h&R. He further stated that B6R does not accept inadequate cart ifications but does accept facelelles of the certifications. Lart again telterated that for the 6". g" and 10" stainless steel pipe he had all of the material certification 6.

59. Concerning the last allegation regarding the piping. Lari stated that he knew of no application where ASTM A 376 (seamless stainless steel pipel was specified with out A 312 fatainless steel. seamless or welded) being equally acceptable. Larl again stated tl.at A 312 FM was not knowinely allowed by b6R.
60. The interview was again interrupted by a telephone call f rom Hinshall. Lart stated that Minshall informed him that there were no markings on the 9ecessible exposed piping or that s.here there had been markings they had been painted over. All the remaining pipe was either insulated or was inaccessible for lack of scaf folding.
61. Lart stated that he believed he could answer 95% of the questions at the time of this Interview. He stated he believed some of the statements on which the allege.

tions were based had been made in error. He stated that if he were in the place of JC or CE he would be asking who is making these statements. He stated that he is certain that CE and b6R have the material certifications and he cannot imagine that they do not have them.

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I

62. Lart stated that he had subeltted the calculations for the well thickness of the pipe, including correston allowances to CE. He stated that in no case were thesa cat.

culatione under the specifications for A.112 or A 376. He stated that because of strikes and other factors, delivery of the spectited pipe could not be made. When he communicated thle inforestion to CE he wee advised that the use of ASTM A.358 pipe using A.240 plate was authorised under the design c;1teria and he so notified Tubeco, f acticators of the pipe spools. Lart repeatedly questioned what was behind these allegations. He pointed out that bl.R had a man at ATAPCO. suppliers of the pipe to Tubeco, and that 100% redtography of the welds on the piping had been required.

63. It should be noted that if pipe were manuf actured to the requirements of the purchase o* der issued to ATAPCO which speelf ted A.312. the thickness requirements of A.312 would be applicable. A copy of the purchase order f rom Albert to AT APCO dated De t obe r 25, 1966 obtained f rom Tubeco is attached hereto as Eshibit B. The re.

aulting pipe could be underweight by the standards of A 35s. which in the diameters of interest requires thtcher walls than does A 112. (See table below.) Sch. 80 (USAS) Minimum Acceptable I Available 2 Ploe dientLet (B16.19) A 312 .A.3}q__, Certified Values 6" 432 .378 422 431 i 8" .500 437 490 .500 10" .594 .520 .584 .593 Notes: (1) Tolerances in thickness of the plate are as follows: For A.312

  • 12%"

For A.358

  • 10 nits ,

These tolerances have been f actored into the above table. ( 2) A f ew f as 5) certifications of thickness of plate used by ATAPCO have been seen by Regulatory representatives. No values were less than the minleue thicknese requirements of A.358. 64 Ageln discussing the quellfications of suppliers, Lart stated he did not know how else to deterutne the qualification of a supplier escept on the basis of the fire o reputation in the Industry or its possession of the ASME code stamp.

65. Larl stated that Loeb had made an audit of the various piping systems and that there was also en audit that had been performed by b6R personnel. In conclusion Lart stated that he knew of no place in which only ASTM A 376 had been spectiled and in which ASTM A 112 was not acceptable as a substitute. He retterated that very ,

definitely pipe deslanated as ASTM A 312 FM had not been installed in the f acility. ) Lart stated that all 6". 8" and 10" piping had been bought f rom ATAPCO through Albert and had been f abricated by Tubeco. Investimetlen at Site 66 On Match 18 21. 1969 Carlson and Roy Gustaf son. Division of Reactor Standards, were at DCol. Flora and Ryan were also present at DC.l on March 20 21. 1969.  ; i

67. Carlson and Custafson vleually examined the stainless steel piping and fittings (n.

stelled in the four systems chosen for review: Core Spray. Isolation Condenser. I Shutdown Cooling and Cleanup Deelnereltser. Approminately 90% of the selected cos- 1 ponents were found to be covered with insulation. The scaffolding had been removed and lighting conditions for e. amination of the components were marginal. The coe. ments in the following paragraphs speak to the observations made regarding the j accessible portions of the orposed components. , i

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68, Portions of the Core Spray System in Loop A inside the drywell were examined. Both welded and seamless sections of 8" pipe were noted. One piece of seamless bore the . following notatient "A 3121 RT 2000. A 376. Type 316. Sulf at e A 233." A piece appro Imately 5' long, locat ed in an unisolatable portion of the syst em between the reactor vessel nostle and the first valve, was observed to be clearly welded but its inaccessibility prevented positive confirmation that filler metal was used.

69. Portions of the Core Spray 11 stem f n loop B outside the dryvell were examined. Several sections of welded A" pipe and several welded 8" fittings were noted. The weld seams on the pipe had been ground smooth with no clear evidence of weld beads or ripples.

One piece, approutmately 2' long and located upstream of isolation valve V.20 41 tere the notations: "NZ3.2. 312 ALP. T.1195." Another piece, approntmately 4' long and located upstream of valve V.2018 was identif ted: "hE2.66. Alloy Tube iseudged words) code." In Core Spray System Loop B. Out side the drywell.14" length of 8" d pipe tupstream of isolation valve V.20 15) was observed to have been welded with l filler metal. A top layer of the weld deposit had been ground, but a lower layer a had not been machined and weld beads were in evidence. Several elbows of apparent welded construction but without clear identification were also noted in these portions of the A and B Loops in the Core Spray System.

70. 1wn lengths of pipe in the isolation Condenser System. out side the drywell, were ob-served to be esposed and are essible for examination. The first. A 10" diameter piece appronlaately 5' in length, located upstream of isolation valve V 14 34. showed clear evidence of being welded with filler metal. Weld beads and ripples were clearly in evidence as the veld surf ace had not been ground. The pipe had the notation ,

NE2.13 marked on it and the word " York" stenciled on it. The second piece of pipe esamined in this system was a 3' length of 8" line, located in the return leg on 1 the downst ream side of Condenser A. The designation NE2.14 was marked on it. Also, the following inforantion was stenciled on the line: " Welded A 312 A6P pipe. Tag Job

608800. Reg T1996. Alloy Tube Pipe Corp." This length of pipe also appeared to have i+en welded with filler metal. None of the fittings in this system were esposed for esamination.
71. Portions of the Shutdown Cooling System, located inside the drywell, were examined.

4 The lines.14" in diameter and deslaneted as NU l and NU.2. were observed to be weldcJ hut no stencil markings were in evidence to note the type of stainless steel. ] the specification or the source of manufacture No fittings were examined in this system. I l

72. In the Cleanup Domineraliser System. outside the drywell, a large amount of exposed  !

6" seamless stainless steel pipe was in evidence. Most of this pipe bore stencil l m.. kings as follows: "Sandvik Stainless Steel (seamless) 3R60 ASTM 312 Type 316 L  ; 5 hadute 80." Vertous heat numbers were in evidence. In addition, several lengths  ! of seamless pipe with the notation " ASTM 376" were noted. The manufacturer of this letter pipe was not identified. Several 6" fittings, welded with filler metal. were l also observed installed in this system.

73. The scrap pile was esamined by Carlson and Custaf son for stainless steel pipe but the nearch did not reveal any in the categories in which CD was interested. A 6" diameter piece of schedule 10 pipe was found. This cloc. menuf actured to ASTM A 312, was noted to have been welded without filler metal, the difference in appearance from 4

the welded pipe installed in the plant was quite noticeable. i. e. there were no weld beads and the weld surf ace had not been ground. The sections of esposed piping visually esamined by Carlson and Custaf son on March 18

21. 1969 discussed above. were esamined again by Carlson in the company of Avers. CPU.

on March 21. 1969. The specifte items of note discussed previously were singled out for the benefit of Avers. It was pointed out by Carlson that at least 50% of the piping observed by him (except that in the Cleanup Demineraliser Systemi was welded with filler metal. Further, that some of this piping (with filter metall was located in unisolatable portions of the reactor systems. Avers indicated agreement with ) these observations. ' i

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75. Portions of the pf ptng discussed in the previous paragrapt. were emantned again by Carlson with Pyon and Tillou during the March 25. 1969 vielt to have additional observance by CD of the conditions noted.

76 On Ma rc h 21. 1964 rarlson and Custafson, while at the site reviewed radiographs ' of selected field performed girth welds in the Core Spray System (B64 designation NZ). The purpose of this review was to look for indications of longitudinal seems made with filler motel. Radiographs of welde joining pipe and fittings, and/or valves, previously observed to contain actual or appetent deposits of filter metal were chosen. 1he speelf te redlegraphs reviewed and observations made are as follows: Weld Identifiestion Ob3 ggvations NZ 3 5922 Apparent evidence of filler metal in ' longitudinal seama NZ.3 5936 Evidence of filler metal in longl. tudinal seems Evidence of filter metal in tonst-4 NZ 3 5946 tudinal seems NZ 3.$948A Evidence of filler metal in longl. tudinal seems

77. On March 25. 1969. Carlson. Ryan and Tillou reviewed welder qualification records available at the site. Included were some pertaining to the Tubeco shop work. The records esamined were found to be acceptable. This area of review was enntinued at lutreco and is discussed under the section of this report entitled in"estigation at l Tub +co.
78. While et the site on March 25. 1969 Carlson and Tillou continued the examination of radiographs of selected field performed girth welds in the Core Spray System (NZ).

the leolation Condenser System (NE) and the Shutdown Cooling System (NU). The fedtographs reviewed and observatione made follow: Weld Identification Observations NZ 3 $931A No apparent evidence of filler metal NZ 3 5932A Evidence of filler metal in longl. tudinal seems NZ 3 5947 Evidence of filter metal in longl. tudinal sean ] NZ 3.$948 Evidence of filler metal in longt-tudinal seen Nf.2 557tA N* apparent evidence of filter metal NE.2.$573 No apparent evidence of filter metal N E. 2. $$77 Evidence of filler metal in longl. tudinal seen NE 2 5579 Evidence of filter metal in longt-tudinal seen NU 2 5703 Evidence of filler metal in longl. tudinal seen NU.3 5702 No apparent evidence of filter metal NU 4 5674 No apparent evideote of filler eetal i NU 4 5674A No apparesit evidence of filler metal

                                                                  . 16 The radiographic files discussed above were revtewed on a high intensity film viewer.

CE Model 8Y. Type 1.115 volts, 80 cycle. 4.0 seperes. Contreet and Specificettens

79. BAR #pecifications :- 7299 60A 608 and .60C are all entitled: Piping. Reactor Building . Phase I and 11 Main Mechanical Equipment Installation and Miscellaneous Equipment. Speciftration .60A to for pipe and fittings fabrication. the contract for which was everded to Tubeco. The contract for Spec:fication .605. for pipe supports, was everded to Bergen.Faterson. Inc. The contract for Spectiteetion .60C for field erection of piping was awarded to Alstrell.Doyle. Inc.
80. Fort I of Specification .60A to a copy of the contract between bkR and Tubeco which is signed and dated September 27. 1966. In Part II. Technical Spectitcations, on pese 1120. the pipe in the Core Spray System is specified as: " Material.sessless stainless steel ASTM A.312 or 376. TF 3161 Thickness. Schedule 80." The spectiteetions for piping are generally typical for all systems. On page 11 60. Section 2.4 60 Pipe Fabrication Detalle, corroston allowance is stated as:"2.4 mile for stainless steel." On page 1161, there is the f ollowing statement: "In addition to t he minimum pipe well thlehness require 4 by the code, the following corrosion allowance has been added in determining the pipe well thickness specified in the material listing:

mints is . 0.088 inches for carbon steelt einimus . 0.0024 inches for statntess steel and aluntnue." Authorisetton for Channe in Specifiestions 81 On March 21.1969, at the site. Lart. Loeb. Avers. Carlson. Flora. Gustaf son and Ryan participated in a discussion of the specifications involved in this investigation. Loeb stated that Lart had located a letter dated October 10. 1966 f rom CE to 86R ' which stated that pipe designated ASTM A.312, 376 or 358 could be used in the Class 1 Systene. Lart stated that the applicable CE design criteria authorised ASTM A 312. ASTM A.358 or ASTM A.376. However, according to Lart, when B&R prepared the spec'ficettnns they were written to authorise only ASTM A.312 seamless or ASTM A.376 toeamless). When deleve of delivery were encountered. Lart communicateJ with CF. a t San Jose California. He stated that he then received the letter dated October

10. 1966 Informing him that under the CE criteria the use of ASTM A-358 was author.

Ised. Lart retterated that under the B&R specifications only seamless pipe had been authorised. The letter referred to f rom CE to BAR t e. according to Lart the authnrity for the use of rolled welded pipe. 82, leeb stated in response to questioning that there is no ASTM A.312 in the plant i that has been welded with filter metal.

83. A copy of the pertinent sections from the CE design criteria entitled " Functional (

Specification and Design Criteria (Piping and Valves) for Jersey Central Dyster Creek Nuclear Power Plant". Revision 3 dated July 13. 1966 was obtained f rom Lart and is attached hereto as Eshibit C. It states under paragraph 5.0. Materials, sub. paragraph 5.3.1. that pipe shall be ASTM A.376. A.312 and A.358 Class 1. Type 304 or 316. A copy of the letter dated October 10.1966 f rom 3. A. HuLains. Principal Project Engineer. CE to D. H. Kroga. B&R. previously referred to by Larl, was ob-tatned from Lart and is attached hereto es Eahlbst D. This letter states that the CE critetta on piptog for the Emergency (Isolation) Condenser System ortatnally out. lined A.312 (seamless or welded pipe) or, as an alternate. A.376 (seamless pipe). The second paragraph of the letter states that the criterte mentions welded pipe as being acceptable for this application. Note that in the first paragraph, the dests. nation A.312 is circled and the comment "A.358 welded for our sites" added. When a copy of this letter was reviewed and the Information in the first paragraph regard. Ing the designation ASTM A.312 noted. Loeb stated that this letter was obviously in error, that the letter should have read Type ASTM A 358. Both Lart and Loeb then insisted that the pipe supplied by ATAPCO had been ASTM A 358. They both agreed that if the certifications for the matettal on file at B&R showed that this material l was ASTM A.358, the question of the identity of the pipe would be cleared up.

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l 84 Oneb was shown a number of shop plans prepared by Tubeco (obtained f ree site records) i which designated the piping used as ASTM A.312. TP 316, welded schedule 80. Lesb stated that these shop plans had been prepared with the material deatsnations in. printed thereon befste the actuel delivery of the pipe, and that they (Tubeco) s p. parently had elected to use thee rather than prepare new forms.

85. On March 26. 1969 Carlson, Ryan and Tillou met with Huggins at the site to discuss further the handling of the change in the B6R specifications. Lart was also present.

s 86. Lart stated that there had been no formal documented change in the spectitcations. He stated he had received the letter dated October 10. 1966 from iluggins authortsing i the use of welded piping. On the basis of this letter Lari stated he telephoned to Hutchinson, the Purchestng Agent at Tubeco and informed him that rolled and welded pipe designated ASTM A.358 was acceptable. Lari stated that this telephone call was not subsequently confirmed in writing.

87. Because there are additional requirements in connection with the use of ASTM A.358 piping, such as 100% radiographic inspection of longitudinal seems. Lart was asked by Tillou whether Tubeco had been advised of these additional requirements. La r t answered in the affirmative and stated there were records available to verify this.

Cet tson inf ormed the group that all the documents reviewed by CO to date identified the piping as welded ASTM A.312 (with filler metal).which by definition could not meet the spectitcation of ASTM A.312. Natther Huggins nor Lart could account for this situation. Further Investination at Bu rns & Roe . Incorootsted. Oradelt. New Jereev

88. On March 26. 1969 Carlson, Ryan and Tillou reviewed records avallable at the office of BAR. Oradell New Jersey. Representing B&R were Jack Brodsky Quality Assurance Supervisor and Herb Jung, Quality Control Engineer.

89 Jung explained that a copy of the specification to sent out to prospective bidders. The successful bidder then receives a letter of intent followed by a formal purchesa , order.

90. Jung stated that tle supplier of piping for the Cleanup Deelneraliser System erected by Atatralt.Doyle, was Hutco of Pasco. Washington. Jung stated that normally a change order in the specifications would be issued as an addendum to the specifications by letter to the contractor.
91. Jung did not have available purchase ordera leeued by Tubeco or by Hutco. He stated that these companies would have copies of the purchase orders they had issued.
92. Jung stated that Tubeco had obtained its pipe f rom Albert, which in turn obtained the pipe free ATAPCO.
93. Jung stated that he has the meteriel eertifications (test reportel for the piping spools supplied by Tubeco except for the el'uows from Tube Turns. He stated that all piping from Tubeco came from ATAPCO and is designated A.312. According to Jung.

ATAPCO supplied only stainless pipe to Tubeco. Jung stated that the material certi. fications from Hutco, although nailed by Hutco, had not yet been received at B&R. 94 Jung stated that he was attempting. through Tubeco, to get verification free ATAPC0 that the stainless steel piping supplied to Tubeco was actually made to the ASTM A.338 specifiestion and not ASTM A.312. Jung acknowledged that all the records available to his showed the pipe designation as A.312 not A.358.

95. Jung had evallable for review copies of the welder quattf tcetion ' records from Tubeco and from ATAPCO. These appeared to be in order and no questions were raised concern.

Ing thee. Jung acknowledged that his efforts to get the material certifications f rom Hulco and confirmation f rom ATAPCD that piping supplied to Tubeco meets the specifi. cation ASTM A 358 had begun only within the last two or three days prior to the date of thle review, that is March 26. 1969.

f*. , e ,e. f

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96 Jung stated af ter reviewing his recards that although Tubeco and Bergen Paterson. ' were successful bidders and actually supplied pipe and pipe supporte, no formal purchase order had been leeued by ER to either one of thee. The work wee performed solely on the bests of the contract olened between ER and Tubeco, and MR and '

'                              Bergen.Paterson.        Jung echtbited a copy of a letter dated September 27.1966 to Tubece f ree ER confirming the verbal casalteent made to Tubeco on September it, l                               1966. to which Tubeco was advloed of the acceptance by MR of Tubeco's proposal i

of Septeet=t 14.19% to furnleh f abricate and deliver piping in accordance with specification h 2299 60 and which concluded with the statement that thle let t er of 2 intent shell be considered se autherleetion to proceed with the piping pros.arement and fabrication in advance of receipt of the formal purchase neder

  • 1
97. - 14rl was asked on April 29. 1969 to clarify whether ER had done strees analyses on

' piping as suggested by lluggine in his letter to MR dated October 10. 1966, l.a r i etated that MA did not constder it necessary to rerun strees analyses at the time ] of the change in the specifications because ER had previously deterutned allowable j~ et rose levels were the some for either type of pipe manuf actured, t.a r l s t a t ed t ha t J this le what he intended to convey at the interview on March 26 1969. not that no strees analyses had been performed.

                               .IJL'!!M Afill!Lil.1 d *P
98. On' March 28. 1969 Carlaon. Ryan and Tillou vietted Tubeco at 123 Vartch Avenue.

Brooklyn New York. Also present were 14r1. Jung and Avere. t ! 99. Arthur A. Creen. Vice Pteeldent of Tubeco, eshibited a purchase order, nunher 36873D j dated October 25.19u. leeued in ATAFC0 by Albert ( fahl bit Bl. Creen Identified Albert se an affittato el Tubeco. According to the purchase order, delivery wee to he made in eight to ten weeks. The order wee for pipe a;eelaneted ASTN A.312. Ac. cording to Creen, when delivery of the pipe was made. AT ApCD did not indicate that lt had been welded with filter metal and therefore did not o*et the ASTN A 312 j specification. According to Creen. discueelone with Cit and MR centered on the delivery date and when he was informed that welded pipe would be acceptable. he was advised

j. that 8001 radiography would be required on the welded pipe, Green made evallable a copy of the purchase order ref erred to above. f y.shi bi t Bl.

!' 500 Green produced reples of invoices f rom ATApCO. which identified the piping supplied ! as ASTN A.312. Type 316 welded. Creen stated that ATApCO ehould have caught the

error in the order it received and should have corrected the esterial speelfication
to conform to ASTM A 3SA.

101. Green wee asked to esplein the designetton of the pipe on the various Tubero shop - plans as ASTM A.)l2 welded, lle stated that thle wee a repetition of a perstatent etter and that the forme should not have horne this destanation. i i 102. Also present was Anthony F.14 pes. Assistant Manager for Engineering for Tubeco. He stated that he believed that CE had sent a quality cont rol man. Don Tacket t. to 5 ATAPCO to inspect the radiographs of the seas welds, t 10). Creon eshtbited a telegree dated March 27. 1969, which he had received from A. W.

 !             .                 Colbraith, formerly Freeldent of ATAPCO. The telegree read. "Your letter received

' today. Will certify pipe manuf actured to A.358 specification, instead of A 312. l Papers will be nelled shortly." Creen stated this telegree wee in response to a ' i

 ^

letter he had sent to Calbraith on March 21. 1969 requesting that if in order, the certification for the estettet f ree ATAPCO be changed f ree A 312 to A 358. A copy of the telegree is attached hereto se Eshibit E. l l 104 The welding Procedure goaltftcetion and weldere qualtiteetion records were reviewed at Tubeco and were found to be estisfactory. 1 )

  • Copy of letter f ree 864 to Tubeco, dated September 27. 1966 avstlable in Region 1 fates.

4 h h n

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4 l i l i 19 l 4 3 Investliatione Conducted at Mouston. Texas of Alley Tube & Ploe Corooration 1 103. On April 2 5. 1969 John J. Ward. Investigation Specialist C0:1V. made en investi. gation into the financial status and manuf acturing capability of ATAPCO.* Vard estabilehad that ATAPCO was acquired by Tube Associates incorporated (Tube j j l Assnelates), a subsidiary of Armeo Steel Corporation. Another related company. i Associated Steel Ceepony. Inc.. of Houston, was in the midst of acquisition by l Areco Steel Corporation. l I 10%. Ward established, through appropriate inquiry that information concerning ATAPCO ' wee not available in Houston. Tenas. The inquiries were made through auch agencies as Cenatal Services Adannistration. Small Busintas Adelnistration. Securttles end. Eachange Commission. The Defense Contractors Admint etration Service Of fice of ] Defense Supply Agency, and the accounting fire of Frice Waterhouse and Company. I Another knowledgeable source contacted by Ward. the Market Research Manager of the l ! Gulf Publishing Company. Tracy T. Word, had no knowledge of ATAPC0 and was of the , opinion that no local company could produce large diameter stainless steel extruded l i pip *. l i 107. Verd also obtained copies of the welding procedure quellfication and welders qualt. fications f rom W. O. Strong. Jr., of Tube Associates and formerly General Manager i of AT ApCO. 108. Ward stated in ble memorandum that the only recorde available f rom ATAPCO in l connection with the order f rom Albert for pipe installed at OC.l are a list of purchase order numbers and accounting records pertaining to ATAPCO. d ! 1 09. On Aptt! 8.1969. John W. Flora. Senior Reactor Inspector. CO:lV. visited ATAPCO.** The purpose of the viatt was to determine by way of discussion and visual observa. l tion the pipe manufacturing capability ATAPCO possessed in early 1967 when the CO 1 ! pipe was manufactured. The second purpose was to detsruine from observation of the + equipment and shop practices whether ATAPCO could produce pipe of high quality. During the visit Flora obtained several procedures utilised by ATAPCO in the manu. > f acture of pipe, some of which he considered as being deficient. e 110. Acantding to Flors. Associated Staal Inroperated. described as a stater firm to l AT APCO. handled all purchase orders. procurement of pipe and mill test reports for

manuf acturing done by ATAFCO. Flora described the equipment in the plant as not modern, but appearing to be equipment disposed of by others. Flora stated in his  ;

report that ATAPCO is not fully equipped to do physical testing. Its finished pipe t is not protected by end caps. Flora stated he saw no evidence of supervision in the plant at the time of his visit, even though welding, foratng and heat treatment 3 operations were being conducted. He stated he observed pipe. 10" in diameter. ochedule 40 with a well thickness of 0.365 inches manuf actured with filler metal, j which was identified as A.312 pipe. Flora also reported that he had observed a that af ter pickling and passivating, the staintees steel pipe was rinsed with city 4 water f ree e shrden hose with no control over chloride content of the pickte. . passtwate bath or the rinse water, til. Flora stated that Strong Ceneral Manager for Tube Associates, which had purchased ATAPCO had stated that the plant to essentially unchanged f rom the condition it  ; was in in 1967 at the time the OC.1 order was manufactured. Strong espleined the relationship of Associated Steel to ATAPC0 and that all paperwork had been taken care of by Associated Steel with no documentation going to ATAPCO. ! 112. Flora ascertained by queettoning Strong that ATAPCO had only tietted qualtiteetion to accomplish phyeleal teste. no capability for doing cheatcal snel.wses and limited hydreetatic testing f acilities. According to Strong, radiography was done by use of an moray machine and the radiographic films. according to Strong, would be swatt. able through Galbretth, formerly Frostdent of ATAPCO. s

  • Copy of report of investigation, dated April 14. 1969 available in Region I files and at 00:NQ.
                              ** Copy of report of vielt, dated April 25. 1969, available in Region I files and C0:HQ.

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s 20 J 183. Flora ascertained free Strong that the plate free which the piping for DC 1 had j been manuf actured had been supplied by Eastern Stainlese Steel Corporation. Batti. more. Maryland and Jessop Steel Company in Washington. Fannsylvania. ytors also ascertained that ATAPCO, at the time it manufsetured the pipe. was certified to use j the "U" and "FF" code stamps. At the time the order was being manufactured. ATAPCO d was not certified to use the "M" code etsep. 114 Flora observed a pipe length, identified by Strong as eersp. marked " Alloy Tube and Pipe Corporation 6" S/40.F304 HT.31594 welded A 312. ALP pipe." Five other pipe lengths observed by Flora, identified as not being scrap by Strong, had markings on two of the lengths as follows: " Tube Associates 10"S/40 P 304L welded A 312 ALP HT 78463." According to Flora. Strong contended that 6" diseeter pipe had been welded

  • 4 without the use of filter metal. Strong acknowledged that filter metal had been used to manuf acture the 10" diameter pipe even though its well thickness. 0.365 i '

inches, la less than the masteue ATAPC0 could join without the use of filter metal. I that is. 0.375 inch. 1 ll5. Flora made the observation that the manuf acturing equipment at the ATAPCO plant appeared to predate the organisation of ATAPCO in 1961. Flora was infsi.+4d by Strong 4

  • that the hydrostatic pressure gauges were calibrated by Hildebrand Engineers and the controls and and recorders for the best treatment furnace, by Honeysell Instrument Company. Ward had obtained and subett'ed with his report an af fidavit by Strong.

l dated April 4.1969, stating that to the best of his knowledge and belief all re. quirements of A 350 had been complied with for the piping furnished to Albert under

purchase o+df/ F)68738. A copy of the af fidavit by Strong is attached hereto as l

Exhibit f se also subeltted a copy of an affidavit dated April 4 1969, signed by i Ca l bre t ti., alsting that although the referenced purchase order (P368738) called for A.312 welded pipe, the required well thicknesses were such that A.358 was applica- ' ble and was in f act provided that all requirements of A 358 had been'corplied with. A copy of the af fidavit by Calbraith is attached hereto as Eshibit C. In addition. ' Ward ottained and subettted sts copies of corrected test reporte dated April 3.1969 f roe A1 APCO. which identify the material as Type 3tb A 358 A copy of these letter t < docueerte la attached hereto es Exhibit H. I 116. By letter dated May I.1969. Lari subeltted to C0 eight copies of corrected test reports f rom ATAPC0 dated December 12. 1966 January 21. 1967. March 16, 21 and 28 1967. April 3.1967 and two dated April 19. 1967. These are marked " corrected copy", the correction according to Jung, being the added ref erence to the wire. May 2

1967 that all pipe material neste s. ray Code Case N 7 to ASAB 31 Section 1. The added information is in a type face dif ferent from the remainder of the information on the reports. Copies of these reporte are attached hereto as Exhibit 1.

117. Comparison of Eahlbite H and I discloses that pages I and 2 of Exhibit I ate for fittings and reducers and are not included in Exhibit H. The two sets of exhibits l have been prepared on dif ferent letter heads, they bear dif ferent dates they were typed on dif ferent typewriters, and the dates of the af fidavits are different. it ! has also been observed that the af fidavits on Eshibit H have been signed by A. W. Calbraith, those on Exhibit I by J. M. Spray. The notaries public who witnessed the signatures are also different. Eshtbit H identif t.s the material f rom which the pipe was made as Type 316 A.358. Exhibit I tdentifies the material f rom which the pipe was made as Type 316 A.312 and the meterial f rom which the fittings were made as type 316 A.403. Investtaation of Alleaations Concerntna Fittinas . i 118. Calla had stated on March 11.1969, that 6". g" and 10" diameter fittings at DC.I are suspect because nonqualified welders were used and no final testing or quality control on welding was done. t t a I e

   )

21 119. Cella had ateo stated on April 15. 1969 that he had been informed by Helmut Thielch. consultant to CE, that about five months ago an elbow with a 14" diameter and !" well thickness was supplied by Tubeco. it was found to be made of two pieces. ene alloy , and the other carbon steel. In a further discussion of fittings on that same date l (April 15. 1969) Cella stated that Swepco which manufactured welded fittings, had no quality control progree and that it did its own radiography of welds, it should be noted that these specific allegations regarding Tubeco and Swepco were made sub. sequent to the visite to those compantes (Tubeco on March 28. 1969, and Swepco en April 2. 1969. The results of the latter visit are discussed in subsequent pare. graphe). 120. Specification .60A is for pipe and fittings f abrication. In Part !!. Technical Specifications, on page 1121. the fittings for the Core Spray System are specified ast"2%" and Berger . seentess, material and thickness same as pipe."(Seamless stain. less steel ASTM A 312 or 376. TF 3161 thickness . Schedule 80). The specifications for fittings are generally typical for all stainless steel systems. However, it should be noted, that according to Lart, when B&A was informed by Tubece that A 312 seamless stainless steel pipe could not be suppiled verbal authorisation to change the specification for pipe fittings from seamless to A.403 welded Type 316 fittings. Lart had interpreted the authorisation contained in the letter dated October 10. 1966 from CE as a blanket authorisation covering all stainless steel pipe and fittings for all systees, not just the Emergency (Isolation) Condenser Systen as stated in the letter. 121. The results of observatione made regarding fittings during visual enseinstions of the installed equipment. made by representatives of CO and DRS during visits to the site on March 18 21 and 25 26.1969 are discussed in the previous section of this report that deals with piping. 122. On March 26. 1969 Jung stated that the contract for piping and fittings for DC l had been issued to Tubeco. Tubeco tenued a purchase order to Albert for the pipe and fittings. The piping was obtained free ATAPCO. ATAPCO also supplied 14" and 16" fittings. 123 Albert also f esued purchase orders to Alaskan Copper Works (for elbows and reducers). Swepco Tube Corporation (for elbows and reducers). Tube Turns flor elbows and tees) and Lenape Ferge (for wyes). 124 On March 26. 1969 Jung made available the material certifications free Alaskan Copper, the supplier of 8" elbows and reducers. These certifications contain affidavits that , the fittings meet ASTM A.403 requirements. Jung also had available as part of the I esterial certifications from Alaskan Copper the reports of inspection of radiography which was performed by Fittsburgh Testing Laboratory on all welds of these fittings. 123 Jung also exhibited material certifications from Ladish, which contained all the required quality control and inspection information to confirm conformance with the A.312 esseless specifications. These material certi!. cations were over a notartsed signature. Ladish manufactured piping for the Cleanup Deelneraliser System. i 126. Because of the relatively large number of fittings it supplied and its proximity.

          ,         Swepco. I Clif ton Boulevard. Clif ton, New Jersey, was selected for the purpose of deteretning whether fittings supplied by it were in accordance with the BAR spect.

i fications. Albert had issued purchase order number 836873D dated October 25. 1966 to Swereo for thlety.nine fittings, ten and twelve inches in disseter to be manu. factured to AFTM A.603 TF 316 including 1001 radiography. A copy of this purchase order is attached hereto as tahibit J. 127. At the time of the visit to Tubeco on March 20. 1969 Creen made available a copy of a certification free Swepco dated March 27. 1969 certifying that the isttings had been manufactured using welding procedures qualifted in accordance with Section IX of the ASME boiler and Pressure Vessel code and by welders quellfied under the same section. In addition, the welds were a. rayed ID01. A copy of this certifica. tion is attached as Eshibit K.

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  • j 128. On Aptil 2.1969. Ryan and Tillou visited Swepco in accordance with arrangements provinusly mede with Jung. Aware and Arthur Creen of Tubeco all of whoe were present en thle occasion. Swopes routesentatives participating In the discueston were James Sese. Technical Director and Quality Centrol Manager and James Michte. Special Freducts Sales Manager.

4 129. A review of the Swepco records concarning the manufacture and inspection of the ~ fittings supplied under purchase order V.36873.D indicated that the Swepco welding > procedure number 200w 16 dated May 31. 1963. set the ASME requiremente for welding group Pt f etainless steell base estal. Swepte welders are certified by the Swepco Metallurgical Leberatory and I. Ray Department af ter en evaluation of a test specimen in accordance with the requiremente of ASME code Section 1.".. The employee who did J the welding on thle order. M. Solowey, was identified f rom shop records as the sole welder en the fittings f abricated for thle purchase order. Records were produced verif ying Solowey's certificetion for welding stoup F8 materials by Tungsten inert get method and by the consumable electrode manuel arc method. Some and Michie were unable to find a record of Solowey's certification to the combination method of welding under procedure 20016. Solowey le no longer employed by Swepco and is not currently included on records of certified weldere. j 1 30. All fittings manuf actured by Swepco under this purchase order were made f rom allt. 1 cut segmente purchased by Swepco from C. O. Carlson. Incorporated of Thorndale, a Pennsylvents in thicknesses of it'16" noelnal for the 12" fittings and 19/32" noelmal for the 10" fittings. These segments were from the same heat of material and

  • were accompanied by an af fidavit covering the cheetcal and physical teste. which j vettfled it to be ASTM A.240 CF 316 stainless steel plate as required by ASTM A.403.

a ' 131, The radiography of the welding on the fittings was done by the Svepco X. Ray Depart. 1 ment, which wee certified September 26. 1963 as a qualtfled source for radiography by the Bureau of Ships. Inspector of Naval Materials to Military Star.ae.d 27tA and NAV Ships 2501500 speelfications. The chief redlegrapher. Witsian Contri.4 la quellfled to level 11 of American Society for Nondestructive Testing specifications for personnel qualifiestion. l 132. Heat treatment operattens, in accordance with requirements for ASTM A.403 fittings. q. are accomplished in two oest euffle batch type gas fired furnaces, each twenty four i feet long, four feet high and four feet wide. Each funnece has three mones individually l controlled by thermocouples attached to strip chart recorders for providing permanent temperature records for each furnace charge. Furnace instrumentation and controls are :alibrated seat. annually by Pyrameter Equipment Company of Kearney. New Jersey with equipment which is traceable directly to the National Sureau of Standards. 133. Forming of the mating halves of each fitting is accomplished by pressing the flat pipe segments between matched male and female dies. Af ter this forming a 100% wall thickness inspection is accomplished using standard and deep throat sterometers

to assure that the forming operation has not stretched any local areas below the einleve thickness tolerance allowed by ASA B16.9. that is 87\% of nostnal pipe j thickness. The eterometers used for this inspection are calibrated periodically by Blanchette Metrology Laboratories of Clif ton, New Jersey.

j 134 A revlev of randon radiographic file covering the welds on representative fittinge under this purchase order was made se follows: 12" 900L 5 files. 10" 900L - 4 5 files. ID" 45o short radius L 5 files,10" to 8" concentric reducer . 2 files. l These radiographs were all found to be better than average quality with good penetrometer leases indicating sonettivity of better than 2% density, well within acceptable range, and resolution of the subject material excellent. The welds were escoth, uniform and showed good control of heat. They were entirely free of any irregularity in the root undercutting. porosity or other objectionable defects. There were e f ew widely scattered, small f approstmately l'16") steg inclusions, though in all cased these were found to be considerably smaller than the sine of non. aligned incluetons which are considered acceptable by the ASME code. t

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  • 135. Swepco has been approved as a qualified source for components manuf actured to ASME 1 i

code and ASA nuclear piping. Swepco is steo on the quellfied vendors list for nuclear piping for the Naval Reactors Program and as a qualified vendor for Cryo. l gente Piping for NASA. A review of the formal Swepco Quality Control Manual in. ' dicates it to be in full compliance to Mil.19858 and to include in addition to

'                         the general section covering scope organisation, titles, job responsibilities and authesittee, detall shop procedures. Inspection methods and equipment acceptance criterie. togstber with inspection record forms for every shop operation.

1 i 136. On April 29. 1969 when questioned regarding the allegations pointing to Tubeco. Jung informed Ryan that Tubeco had not manuf actured fittings for DC.l but that It may have manufactured what Jung described as nossle tees. The nossie tee was

  '                       described by Jung and Lart as a length of pipe, one end of which la joined at a right angle by welding to an opening in another pipe.
,                          Investlastion of Alleastione Concernina Valves 137. On March 11. 1969 Celta had informed Ryan and Tillou that B&R had bought used valves for use at DC.I. had thee rebutit by a Clif ton, New Jersey firm and then had request.

ed Celta, who owne Universal Testing Laboratories Inc. at Cedar Grove New Jersey to test and certify the valves to spectiteetions. Colle stated he had refused to do ' so and that the tests were subsequently done by an unidentified New York City testing organisation. 138. On April 15. 1969 Cella was reinterviewed at his office in Dover. New Jersey by Robert W. Kirkman. Director Cor1, Ryan and Tillou. Concerning the allegation that used valves had been procured and installed by B&R. Cella stated that an individual he knew in Clif ton. New Jersey had approached him to have used valves bought by B&R froe a New York supplier tested and certified for use. He stated the J used valves were in the 6" and 8" sises made of stainless steel. He stated that the prices paid by B&R for the valves were such that they could not have bought new material. 839. On April 16. 1969 in a telephone conversation. Cella informed Ryan that he had been a informed that b&R had bought about $60.000 worth of stainless steel valves in stres 1/2" up to 2" f rom Bergen. East Paterson. New Jersey. Cella stated that according to his informant. Bergen had obtained the valves from Metropoliten. Long Island City. New York, characterised by Cella as a dealer in surplus junk valves. He stated that Metropolitan could not supply any certification for these valves. Cella was questioned about his previous statement concerning 6" and g" valves. He stated he had no specific information that the used valves were among these sises. 140. In another telephone conversation with Ryan on April 17. 1969 Cella stated that the valves in question were 1/2" to 4" in ca se and were of different materiale, that is, stainless steel, carbon eteel, brass and bronse. He also provided specifics as to the &&R purchase order numbers (to Bergent and specific iten numbers for the ident!. fication of the valves. Calla stated that the bkR specifications called for new materials whereas they received reconditioned, used surplus valves. He stated that the prices paid for the valves by hkR were the estalog list prices for new materials. 141. In the earlier intervieve with Larl, Jung and Loeb. In the period March 18 27 i 1969, the AEC representatives were informed that no used valves were installed in Class I systone at DC.I.

  • 162. The BAR specifications under which valves were procured for DC.1 include S.2299 55 and .61. both of which are dated February,1966. The former specifications speak to velves for the Turbine Building.the latter no valves for the Reactor Building. Spect.

fication 61. Section 111. General Requirements, paragraph 18. Materials. states "unless otherwise specified, all materials and equipment shall be new and the best of their several kinde in quality." This esse statement is included in spectitcation 55. i

     - .      - - . . .    .-- . . - - -_ ~            _- --               .-.-. -.              -n.--__                . ,,
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4 N 141. Under Section !!. paragraph 3. Materiale, the following to set out: " ASTM specif t. cations for esteriale appearing herein for each valve shall be considered einteue

requirseents." Under Section 11. paragraph 5. Testing and Quality control, the i following appears "All valves shall be shop hydrostatically tested in accordance I with applicable atendarde. The bidder shall detail inspection and testing proce.

dures need en each cleos of valves, where applicable, as follows: Magnetic particle

                            - Inspection dye penetrant inspection, redlegraphy, hydrostatic testing and air testing."

t 1 44 On April 18. 1969 en appointment was made through Avers to inspect records avail. - eble at B4R. Oradell. New forsey, portaining to the procurement of valves. Avers j could not be present and in his stead had Ray Logree, the representative of MPR 1 Asenciates. Washington. D. C.. consultants retelmed by JC. 1 ! 145. Jung stated that a purchase order BR.2299 968 had been issued to Charles F. Guyon. Incorporated, $22 Pif th Avenue New York City en August 25. 1966. BAR. according to Jung had procured valves for the Liquid Pelson System directly f rom Anchor

Valve Company. Willise Powell Company. Valen Valve Company and Pacific Valve Company.

4 Valves in the testation Condenser Systee were procured directly by B4R f roe Anchor. Velen and the Ohle Injector Company.

146. Certificatione made available to Ryan by Jung f rom Velen. Anchor. William Powell
'                              and Pacific Valve included the results of the cheetcal and physical analyses, the magnette particle liquid penetrant and hydrostatic teste. se applicable, or certi.

j fleat tene that the valves had been manuf actured f rom materiale that had been tested 4 in accordance with standard commercial practice and that inspection records. material j certificatione, phyalcal and cheetcal reports are on file and available for esselna. tion.

,                     147. Jung also produced certificatione dated August 19. 1968 from Dresser Industrial i                              Valve and Instrument Divielen. Aleaandria. f eutetana to Charles F. Guyon incorpor. -

j ated stating that valves futnished to Ouyon en en identified purchase order had

been inspected and tested and f ound to be in accordance with the specifications.

4 drawinge and requiremente of the order. The valves covered by the certifications { f rom Dresser appeared en B4R purchase order numbers 164, 177 and 304 These purchase orders, when shown to Ryan by Jung. were found to have been t esued to Bergen. 14 i Stef anic Avenue. East Peterson. New Jersey. On April 18.1969 Jung had produced four purchase ordare to Bergen. numbere BR.2299164,177. 304 and 338. Copies of these , purchase orders are attached herete se Eshibite L-l. 2. 3 and .4 Jung emplained i that Guyen had been a subvender to Bergen so well as being a vendor to B4R under purchase order BR.2299 968. 148. Jung and Zegree identified five stainless steel valves on the Bergen purchase orders.

se fellewet it se 308. 392. 395 and 396. lmei 30t appears on purchsee order number 164

{ and stees 392. 395 and 396 appear en purchase order number 177. Itone 418 and 419 en purchase order number 304 eevered to and 8 valves, respectively, in the toelation Condeneer Systee and the Recirculotten System. l 149. Emcept for the certifications free Dresser to Guyon, dated August 19. 1968. and a certificetten f ree Walworth, dated August 13. 1968 Jung was unable to produce car. i tificatione covering the reestnder of the valves obtained by Bergen under purchsee , order numbers 164. 177. 304 and 338. i ! 150. Jung espleined that the specifications for valves did not require certtiteetions 1 per had this requitoesnt been imeluded in the purchase orders. Jung etsted that , certificattens were requested in 1968 t*ter the orders had been filled. Jung

                                                                         ~
                            . etated that certificattene et certifica.es of conformance had been received from east of the volve vendere escept Bergen, wh;rh had subeltted certificates for only port of its order.

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l 25 151. Jung was requested to strange a visit to Bergen to inspect its records and to iden-tif y the sources of supply used by Bergen. This visit was scheduled for Tuesday. April 22. 1969. The contact at Bergen was Mrs. Mary T. Hilla. l$2. On April 22. 1969 Ryan and William J. Collins. Metallurgical Engineer. Technical Support granch, CO:HQ. set with Jung and Zogree at 14 Stef anic Avenue. East Faterson. How Jersey. Mary F. Hills identified herself as the estimator and order clerk for Be r gen. She stated that contrary to her espectations, when she first received the k&R putchese order, she learned that the delivery dates had been moved up and instead of having three to f our months procure ent time, it was reduced to a matter of weeks. Under these circumetences, according to Hilla, the valves had to be obtained from many dif f erent sources. Hilla stated that on purchase orders 166 and 177. Bergen had lesued a purchase order to Charles F. Cuyon, incorporated. She exhibited certift. catione f rom Dresser Industrial Valve and instrument Division. Alexandria. Louisiana, which were duplicates of those previously reviewed at E&R on April 18. 1969. She also had a copy of the certification f rom Walworth dated August 13. 1966 133. Hille stated that Bergen had been in business only 3) years. It had started by buying satorials f rom jobbers, but now sets as a distributor for recognised valve manufacturers. She stated that Bergen saintains an inventory on stainless steel valves. She stated that certifications are not obtained for stock valves but are obtained only if requested in the purchase order. Hille stated that valves manu-f actured by Jenkins. Valworth. Crane and Tatrbanks are, acrording to statements in these companies' catalogs, manufactured to confors to ASTM specifications. 154 Hilla stated the records for 1967 were not f amediately available because they had been retired to the basement for storage. She had copies of the purchase order numbe rs 164, 177. 304 and 338. She did not have available the purchase orders issued by Bergen to its vendors, but identified the suppliers from notes made on the B&R purchase orders. Hills identified the vendor and the valves it supplied by ites number as shown on the B&R purchase order. All diaphrage valves had been procured from the Crinnell Company. On purchase order 304. Hilla identified itees 276. 321 416. 418. 419 &?O. 421. 422 and 423 as having been procured f roe Metropoliten. ISS. Hilla stated that when Bergen had been requested by &&R to obtain certifications. she bad sched the various vendors to comply. She ebtained certificates free Cuyon and f ree Crinnett. but was unable to get certifications f rom the company identified se Aloyco or f rom Metropolitan. 156 Hilfe stated she did not have a copy nf the B&R valve spectiteation numbers 55 and 6l. She stated it was her understandir.g that all valves were to be new, that she had ordered valves with the understanding they were to be new valves and she further otsted that all valves delivered were new valves. Bergen, according to Hilla, did no teste on the valves because it has no facilities for doing any testing. She stated that only one valve in the order had to be replaced either because it was the wrong valve or because it had been dassged in transit. It was ites number 370 supplies by Guyen. Fhe also identified item 276 as valves that were reworked by Metropolitan to change the flenged ends to butt veld ends as ordered by Bergen. I 157 Hilla agreed to get all the purchase orders issued by Bergen to fill the B&R order together with the purchase order numbere, the names of the vendors and the identifi-cation of the valves they had supplied. An appointment was made for Tuesday. April 29 1969 for this purpose. 158. Af ter leaving Bergen. It was agreed among Jung. Eogram. Collins and Ryan that a visit then be made to Metropolitan located at 50 09 Second Street. Long Island City. New York. 159. Metropellten is located in a former power generating station which covers most of the block between 50th and Sist Avenues and Second and Fif th Streets in Long Island City. New York. What was formerly the esin entrance to the building is blocked off and vietters are directed to obtain entry through the yard, the entrance to which to en Slot Avenue. near Fifth Street. The yard. en open fenced area measuring 4 4 d

4 C l

  • l o

1 26 - I approstmately 75'. by 100'. to filled indiscristnately and haphasardly with vertous I pieces of piping. velves, reducers and sistler equipment, all of it appearing to have been used. Inside the building, valves of various sises and in various stages of eseeably were lying about. There were several pieces of machinery, grinders. 'I lathee and se forth and a number of bins for smaller sised valves.  ! 160. Two een met the vietters and identified theneelves se Bill Kane and Bob Kane. , principals of the Metropolitan Corporation. Bob Kane stated he was Secretary of the corporation and Bill Kane. he stated, is the President. 161. Bill Kane stated he recalled that valves were sold to Bergen "a couple of years age", but he would not be able to find the records without the purchase order numbe r s. Bill Kane was asked if the firm sold etsinless steel valves. He then showd a coopertment containing stainless steel valves in vertous sises. When asked if these were new valves, he replied that the firm buys new. surplus valves and resells thee. Wen asked if used valves wre sold, he stated that the valves are inspected, reconditioned if necessary, but no certificates are issued. Wen Kane wee sched to define surplus valves, he replied that he meant the some as the ques. tiener did, saying that " surplus is surplue." Bill Kane stated the vahves had been bought f ree various construction sites where they were surplus and he believed it wee poselble that he had bought valves f rom B&R. Consolidated Edloon and other con. struction sites. He stated that in many instances the surplus valves had been esposed to weather and needed painting. 162. Bob Kane stated that Metropolitan does not buy from manufacturers of valves. He stated that it purchases used and surplus, unused valves. If needed, the valves are reconditioqed. Bob Kane stated that the valves are hydrostatically tested for twice the pressure they are designed to hold. The only warranty given according to Bob rw. is that if the valve falle to meet the pressure stated, a replacement valve will be furnished. Bob Kane also stated that no certificates of quality as. eurance are leeued. 163. In appearance, the yard and shop of Metropolitan is. as described by Calla, a " junk shop." As stated previously, valves of vertous sises are piled about primarily separated according to body meterial, that is. brase, stainless steel, bronse or carbon steel. They are also separated as to eine and are either in bins, storage 1 compartments or out on the floor. Those observed appeared to be wathered and used. In many instances showing signs of surface rust. Bill Kane pointed out some 1 of these and described thee as new, surplus valves. Bob Kane challenged the visitors to distinguish between rebuilt or reconditioned valves and those designated as new. He pointed out that some of the rusted valves wre actually unused surplus and some i painted and in clean condition were actually reconditioned, used valves. ) 164 On April 29. 1969, in secordance with the appointment previously made with Hilla. Avers. Jung and Ryan ageln visited Bergen to obtain additional information concerning , procurosent of valves for DC.I. ' i 1 165. Hilla stated she had been unable to find all of the records pertaining to the B&R purchase orders and had only a copy of a purchase order number 26261 dated July 14 1967 tesued by Bergen to Metropoliten for sin 10". 300 pound check valves, butt veld. , eest and disc stellite.13% chroes trie, list price $1.096 each, discount 38120. ) Hilla erpleined the discount to 38% if the bill is peld within 20 days. She also , produced two invoices f rom Metropolitan to Bergent one, number M32060, dated July 28, i 1967 for one 10" Crana, serial 30 cast steel. butt veld end swing check valve. list 1

                    $1.096. discount 38/20. not $543.62: the other, number M32066, dated July 31. 1967 for two 10" Crane, serial 30, cast steel, butt weld end swing check valves, list            !
                    $1.096 ($2.192) discount 38/20. not $1.087.23. Both these orders wre received              I August 3. 1967.

166. Hilla also stated that Itee 399 on purchase order 172 for four 2" gate valves, socket wid ende group number Kl.D had been procured f ree Metropolitan. t I I

af o

                                                                  = 27
  • 167. Hilla stated that she believed the first inquiry about valves came from a Mr. E. J.

McCarthy of ER. on b y 25. 1967. (This date appears on purchase order 164). When page 3 of thle purchase order was shown to Hilla, she had no esplanetton for two dates thereon. Ny 24. 1967 and b y 26. 1967 which appear to be delivery dates which would indicate inquittee by ER prior to May 25. 1967. 163. Milla stated the first inquiries were by telephone to Cornelius Calandriello, iden. tified by her as the secretary of the Corporation (Bergen). Hilla stated she was given the order to fill and she telephoned various valve manufacturers. but found the delivery time ranged from four months to ten monthe. She stated she was then infereed that an eertler delivery date had to be met. She then ordered the valves through jobbers such as Cuyon. AAA Stainless and Ray Miller. Hilla stated that she f ound Metropoliten in the closelfled directory. Milla stated she did not know whether E4 had furnlehod the specifications to Bergen, but stated she had not seen them at any time. She stated that she obtained a copy of the quotation compiled by Guyon and detalle of the epocificatione f ree McCarthy of B&R. to stve to the vendere. She again stated that new esterial had been specified and as far as she was avere, new material had been ordered and delivered. 169. Hilla wee informed that Metropolitan of ficers had identitled the fire as a surplus ysed. She then stated that Metropolitan say have delivered new. surplus valves. but she was eure they were not used valves. She stated the prices paid were for new mate tal with the standard discount of 381 f or payment within 20 days. She ageln stated that certification had not been requested because none had been requested by BAR at the time they had placed the order with Bergen. Hilla stated she had first been requested to obtain certification some stee in October.1968 and had been successful in getting thee only free Ca4 yon and from Walworth, 170. Hille stated she had been unaware that the valvee were for use in a nuclear reactor. that the place of delivery 10yeter Creek) did not mean anything to her because she was not evere that a reactor was being built there. Meetina With CE personnel _ 171. On April 29. 1969 af ter leaving Bergen, Ryan went to ER at Oradell. New Jersey to get copies of the orlainel meterial certificatione supplied to B&R by ATAl'C0 and to ascertain whether ER had done strees analyses, se suggested in the letter f ree Huggine, CE. dated October to.1966. Avers and Jung. who had been at Bergen with Ryan, also returned to credell. Avers and Ryan traveled together. During l the trip Avers infereed Ryan that teeb was at Oradell but that Avete did not think they would see him. At ER, Jung was unable to find a conference roce avellable

and suggested that he. Avere and Ryan cou?d use the office of Lati, in 14rt'e office et the time were Lari. Hugstne and leeb. Lart then located a conference room and Huggine.14eb and tari joined Avere. Jung and Ryan.

t 172, Huggins asked what CD had found regarding the valves. Ryan informed him that through Bergen CO had confirmed the procurement of valves free Metropolitan including some j for use in the Cere Spray System that Metropolitan had informed Jung. Colline, Zogram and Ryan that it dealt in surplus and reconditioned valves and did not give esterial certifications. Huggine was also informed that the only test on the valves

           .          performed by Metropolitan was a hydro test. Ryan also informed Huggins that Hille
of Bergen had identified valves on purchase orders 177 and 304 as having been pro.

3 cured from Metropoliten. Huggine asked wherein ER had not set its specifications or the applicable codes. Both lari and Jung stated they believed ER had set the code requiremente and were not evere that the specifications had not been eet. Huggine

stated he did not think the use of used valves to in violation of the codes.

7j 173. Jung consulted e copy of the ASTM Code and stated that it required only markings on i the valve bodies of east steel valves of the name of the manufecturer, the heat number and the pressure of the valve. He stated that stainlese steel valves require i a certilted record of cheeleal analysts. When Ryan asked about the B&R specification , requiremient for new material. Huggine stated thle requirement to welvable. i l e

_ _ _ _ ___..__._._____..____._m . _ . _ _ _ _ . . '~ - _ _ . 0 g.

                           ,at-                            .

e

                                                                                     . 23 174,   tatt then called in an engineer and with the concurrence of Imb and Huggine requested his to identify all valves in the system. urt requested the engineer to report his findinge to his se soon se penalble.

173. Muggine then informed Ryan that CE planned to run tests for cheelstry and possibly l~ ultrasente testing on all questionable valves, that is, those for wSich there were no esterial certifications. Muggine stated the valves would be torn down, that the vender representative would be called in to asetet in establishing the reliability of the valves. Muggine stated the vender representative would not be from Cuyon or tersen but would be free the original annufacturer of the valve. HuggineAvere then stated sub.

  '                            he saw no problem with surplus valves if they had not been used before.

eequently told Ryan that he had tethod to Mussins af terward in t. ort's office. Avere stated he pointed out to Muggine that surplus, unused valves could be unacceptable if shop worn or if espeeed to heat from a fire. According to Avers. Huggine agreed

  '                                                                                                                                 j with these commente.

[ 176. latt wee queettoned about the procurement procedures in connection with OC.I. He stated that 98% of the procurement was done by the projects, the remainder by the i Purchasing Department. 14rt stated that the project people had selected manuf acturers l of valves such as Anchor. Walworth., Crane. Facific, and Valan. in some instances he stated the manufacturer require 4 BAR to deel with a supplier rather then directly through the manuf acturer, j 177. Larl stated that Sergen vee net sene 'ne suppliere selected by the project people. , Lart stated thle firm had been contacted by the people in purchasing. Lart was 1 j

unewere of any reason for shortening up the delivery'ttee in the spring of 1967. )

Me sold there was no famediacy at the ette at that time. He stated that this may ' have been a policy of the purchasing people to espedite delivery of equipment j and material to the site by indicating a short delivery period. Lart stated he did , 3 not know who at B&R had initially communicated with Bergen. L. J. Persbacker and 3 E. J. McCarthy who were in the Purchasing Department in 1967, are no longer with , bLR. J l 178. 14rt wee unable to confire that Bergen had received copies of S&R spectiteetions

35 and 61. tart stated he had not communicated with thle fire nor had he sent it the specifications.

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                                                                                                                                                                 ,"                                     4 M                                                    OFFICIAL USE'CNLY-                                                                                                                    i d

i JUN 101969 2 Roger S. Doyd, Assiscant Director for Reactor Pro,fects 4 Division of Reactor Licensing OYS'IER CREEK PIPDG PROBIR43 4

                              '1he enclosed memorandte from our Region I (Newark) office is fonrarded

! for infomation.' 'Ihis wausAtan provides supplementary information

to our interim nports dated May 2 and May 12,1969, of our investi-stion into the allegations ande relating to certain pipes, fittings, '

l and valves at the Oyster Creek facility. A couplete report of our investiption is in final preparation and will be forwarded shortly. , J I have enclosed a copy of the revised draft of our position on these 3 problems. 'Ihis position incorporates the substantive ccanents received from RI7f during the DRIeCO-RDF meeting at Gemantown on May 23, 1969 i ! Your particular attention is invited to the fact that the source of 1 i; the infomation, in the Region I neuwdem, related to Palisades,  ! Quad Cities, and Browns Perry should be maintained in strict confidence q and not be disclosed outside the a gulatory organization. O l 0s:P s ** d # t

n. H. Lael"

$ --8304070266 6906TO R. H. Ehgelken, Assistant Director 4-PDR ADOCK 05000219 for Inhpection and Enforcement

9 PDR Division of Ca@llance k

2

Enclosures:

1. Mmm , 5-20-69, CO:I to CO:HQ, 000 j 2. Draft,5-26-69,000, i

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          ..                       P. A. Ibrris, DRL
 ]        \;y ,                    L. D. Iow, 00 E. O. Case, IRS N'

F. Schmxler, IRL

                   .?'             S.. Invine, IRL i                        ...

j *( D. J. Skovholt, IRL . L. Kornblith, 00- BCC: 'R. T. Carlson, CO:I, w/o encls.  ! omet .

  • NM USE N ...C. O. . .:.
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0FFICIAL USE ONLY

                                                                                                                                                            /

Roger 8. Boyd, Assistaat Director for Reactor Projects Division of Reactor Licensing OYiffER CREEK PIPING PHOELDtB The enclosed memorandum from our Region I (Newark)/ ffice is forwarded for information. his memoraneus provides 12, supploeratary information to 1969, of our investigation our interim reports dated May 2 and May

'                             into the allegations made relating to certain 3ii pes, fittings, aan valvas at the Oyster Creek facility. A complete report of our investi-gation is in final preparation anA will be forwarded shortly.

2 I have enclosed a copy of the revised draft of our position on these i problems. his position incorporates the substantive consents received 23,1969 i from RIYP during the DHL-00-RDF meeting,kt Getaantova em May .

                                                                                                              ./                                                                                         i

' /

                                                                                                         /

I i / R. B. Eagelken, Assistaat Director

                                                                                               ,/

l for Inspection amt Enforcement l ,

                                                                                           '/           Division of Comp-fance                 S l
                                                                                       /                                   '

! Enclosure s: / ,

1. Menodated5/20/6') /

C0tI to CO:RQ, CGY

2. Draftof5/26/69, bc ,

cc v/encia: l M. M. Mann, DR / . k. A L S- ! ( P. A. Morris, l

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' D. J. Skovbolt, DHL .- L. Kornbli , Jr., CO \b f \y-S-\c'\ l

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i j hee: R. T./Carlson, Co:I, v/o s 4 / i l- /

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1 ATOMIC ENERGY COMMISSION I l ;e ((% wAsmNGTON, D.C. 20W June 6, 1969

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l Roger S. Boyd,' Assistant Director for Reactor Projects, DBL l OYSTER CREEK MEETING PIPING, VALVES AND FITTINGS - DOCKET NO. 50 219 l l '

                     ~

A meeting van held on May 114, 1969, with representatives of Jersey Central, - l

                           ' General Electric, Burns and Roe and MPR to discuss the status of the l

investigation of the Oynter Creek piping, valves and fittings. The meeting j j was in the nature of a progress report prior to submittal of a formal j' report in response to the letter from Dr. Morris to Jersey Central dated j April 29,1969 A list of attendees is attached. i ! At the ntart of the meeting, John Bernard stated that they were not asking l } for any approval action at this time, but invited comments that could be

  • l included in the forthcoming report.

l

                          ' John Omer (CE) structured the piping investigative program and has been

} responsible for all these activities. The investigation included study t

of existing records on piping, valves and fittinga supp1 mented by onsite j inspection.

In cases where records were not found we understand that the l results of the inspection would be used to identify (with reasoneble

confidence) the pedigree of the components in question. It became apparent
to me that' GE had made serious efforts to perform a reasonably comprehensive i

i investigation. The results of the investigative program are not complete; however, they do appear promising with regard to the identification of the piping reviewed. Altnough much investigative work by GE has been done on { pipes and fittings, additional inspections may be necessary. i The valve problem requires more investigative work. The certification of I many valves may never be accomplished due to purchase sources, and the j lack of records. Indirect methods vill have to be employed to obtain j rensonable assurance regarding valve certification. GE van aware that j additional work would be necessnry. } .Two pointa weretrought out at the meeting by Compliance regarding the '

                                                        ~

Lo4d problem. These are (1) evidence vill be necessary to support the extent i i 1 of the investigation considering that only three systems vem identified

            .5O A   -that       contain suspect piping; 1.e. (a) core spray, (b) emergency condenser                                                                p j

and (c) chutdown cooling; and, (2) we are bein'; naked to consider piping jy0 that does not meet any specific code. Additional inspections may be

                                      ~

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                                                                                                                                                             #           *{

m necessary^to satisfy 'these concerns. l 1 3 ] l K.' , Q T/ 'b

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      )

1f pmiQ; by %about-; '", ,Ceneral g , f Action bylDRL will;be-necessary mid4une. Electric about indicated thin time to permit power

                                                                '" DRL and CO vill need to meet on this matter soon.

it expects operation to sube p< .!'

    ;                                             g                 '

4 {

    ' S?h j Altirief discussil>n vas. held regarding air leakage from main steam line s
                                                    ~
    % lMitsointion':9 % > 3valvest8,." Don                                Willett'(08) indicated            that by further exercising                               hf
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j; . O O Hoger D. Boyd . 2- June 6, 1969

         .the valves, the measured leak rate had been reduced to a value within that stated in Amendment 11, i.e. ,15/ day of the total allovable where the total proposed by GE ves 5%/ day.*

Interpointion within the current technical specification limits suggest 5%/ day of the allovable leakage rather than the 30% total number. If this is so, it vould appear to be the same value as we are permitting for Nine Mile Point; however, suitable documentation and analyses are required before any conclusion may be made. D4 R. L. Tedesco, Chief Attachme nt: Beactor Project Branch 2 List of Attendees Division of Reactor Licensing Distribution: Doeket File DHL Beeding BPB-2 Heading P. A. Morris F. Schroeder S. Levine H. DeYoung Dranch Chiefs, DBL CO (2)

       ,   J. O'Heilly A. Dromerick V. Stello H. Steele Attendees, AEC
  • We asked GE if it was considering any other action to reduce valve leakage at this time. Messrs. Barnard and Willett stated that they believe that with valve exercising, the leakace had been reduced significantly and therefore further action is not presently considered necessary. We vill need to show thnt the measured lenkage at any time was always less than the 0.05x allweble (totel), If the stated leakage was obtained after repeated valve actuations and the leakage could be above the proposed, than we have a problem. Even though the total allovable leakage through testable valves and penetrations io stated to be 0 3Lgo(20) in the specs, it was not inferred that such leakage should bypens the secondary building and filter systems. In my opinion, GE's inter-pretation that it meets the spec vin leakage through the steam valves cannot be accepted. . Hodifications may be necessary to assure that leakage through valves is less than 0.05 Leo (20), before power operation. Action after power operaY1on vould be difficult, if not nently impossible. The foregoing are my personal
,            comments'on the Hein Steam Isolation Valves. We place heavy reliance on these
  ,         Evalves for low risk'to the hesith and safety of the general public. With the
,   1m      . advent of.many. BWR plants, prompt and direct DRL action is warranted.

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O O JERSEY CENTRAL POWER & LIGHT COMPANY

'j                                                      MEETING ATTENDANCE 1

i MAY 14, 1969 b l 1 i l AEC Jersey Central General Electric i M. M. Mann, DR G. H. Bitter D. K. Willett l ! J. C. McY,inley, ACRS D. R. Rees R. A. Huggins 3 j F. Schroeder, DBL G. F. Trowbridge J. Barnard i j H . S . Boyd , DRL B. G. Avers J. Omer i i S. Levine, DRL D. E. Pactitt i i V. Stello, DRL H. D. Pove11 i j R. L. Tedesco, DHL R. A. Dieterich i l J. H. Sears, DRL R. V. Poe t l A. W. Dromerick, DBL i i M. Wetterhahn i l l l AEC - CO AEC- DRS MPR Associates  ; I  ! L. D. Low R. M. Gustafson N. M. Cole  ! L. Kornblith A. B. Holt R. N. Zogran I H. H. Engelken I J. '. O' Heilly i J. Keppler A. F. Ryan Burns & Roe H. T. Carlson G. A. Lari l W. J. Collinn i G. W. Reinmuth l H. A. Lory (Parameter, Inc.) ' l 1

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i File i I t!Ril: J. I'. li'Reilly, Chief, Reactor Inspection nnd Enforcement Branch \ k* . Division of Compliance 8.-

                                                                                                                                                     . ,, s
                                                                                                                         .s REWiMI BY A. A. CS:LIA FOR MEETING h1Til REGlJLATORY B31.1 NUCIIAR
                                                   -I'lP1:K: CODE i                                                       Imrins a telephone conversation with Bob Carlson on May 9, 1909,
                                                   ~ Mr. A. A. Cella expressed a desire to meet with representatives of
                          ,                            tne rec,ulatory staff to discuss the requirements of the Nuclear Pipir.v. Code 1131.7. This request was transmitted to CO:HQ in Carlson's memo to O'Reilly dated May 9, 1969.

4 I j t'n f unc ? , l'Wl, I informed Carlson that Cella's request had been l l u,nu ida red by 8:0 and DRS and that it was decided that any contacts t between cella and the rey,ulatory staff at this time should not involve j' Compliance. cartt.on agreed with this position. I asked Carlson s to inforn Cell.a that reguintory did not have any interpretation of

the requirements of 1131.1, since we do not require B31.7 at this tine. It thia response was unsatisfactory to Cella, I suggested that Carlson tell Cella to feel f ree to contact Ed Case for additional
Information.

l ) .D Ly,yG~. , 'J. G. Keppler l Senior Reactor Inupection Speelnlist ! Division of Compliance cc: H. T. Carlson j JGK:ctm . a f 4 i , l o l - n, s'e j .h g -

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                                                                                         . nivmon or couruance
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gmy May 9, 1969

     % > @' h'c                      E .1[' 4 O' Reilly, Chie f,
  • Reactor Inspection & Enforcement Dr.,  ;~

[' [N ^- :Divislon.of

     ~

Compliance, licadquarters

                                    'REOUEST !!Y A. A. CELLA POR MEETING WITil APPROPRIATE REPRESENTATIVES
                                    .OP AEC'To DISCUSS REQUIREMENTS OF NUCLEAR PIPING CODE B31.7
                           ,; Du r itig ' a t.<ilecon w i th Alexander A. Colla, President, Pipeeo St eel
                        $ 1:orpdrallon,. Dover, 14 . 1 '. , on May 9, 1969, made for the purposo
                    ,              Joi pbt.n i n I re neltl t t.Lona l. npon i f ion per t.nining to cert ain allega-
                                    -t.1%nd mado provj ously by Mr. Coll.a relating to piping, fi t t.ings (and; valves.being supplied to the nuclear industry, Mr. Cella indi-
                                    .cated a ' desire to have a meeting with appropriate representativos of the' AEC to discuss the requirements of the Nuclear Piping Codo
  • j
    ""                                 1131.7. Speci fically, he would like to determino just what is tho                                                                                         ;

AEC'n .interprutation of the subject code. With this information, he could then advinc prospectivo purchasers accordingly. He was a- advised that his request would be given consideration and that he would receive an answer in the near future. 1 As i <io f re.n t.he po::n i bi ) i1.y t ha t Mr. Cel1a may be primari Ly

                                                                   ~

i n t.o r en: t.oel in obtaining an APC cndornement of his product., such

                                        , r ef o t. ing n, t elh t. ho quit.c productivo and informativo, judging from
                                    . I,r.w toun contac t.a with him.                                It would be interesting to nay the leant.                        I would suggest that we have such a mooting, that it be Lhold-at pipeco, and that the AEC representation be limited to a

^ lfew key representativos from REG, i.e., a knowledgeabic spokesman (from DRSiand'oneLor two from CO (llcadquarters and Region I) .

                                                                                   ~

l -

                                 ;.(Cottl01chouldLdecide whether the General Manager should be j

p -

                                    ; represented:.however, it would seem that to do so at this point t mightibciprem:stu re.

With regard to the endorsement aspect, our l , juicy ir,btnin oroa could be mado clear to him at the outset of l my followup contact.. Ilis reaction would provide guidance on

                                      .duit.i te1 u t, L ho shool. i n'l .

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R. T. Carlson W' hip ! + f  :: x Senior Reactor Inspector b Mg N i M , g'l , h? t

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o b a RE: JERflEY CErtRAL PDDQ ALLEGATIONS

  • R. F. Fraley Executive Secretary, ACRS Enclosed for your use are 18 copies of a letter 10$ H Street .from the State of Bev Jersey to our Region I i

(Newark) Compliance Office ecoceraits the sub-jeet allegations. These copies are requested

                                                        . by M. Gaska of your staff on May 21, 1969 Emelesure:

Ltr dtd 2/21/69. (18) bec: F.Nolan,v/enci ,

G.Reinmuth,v/enci j.68 ,!
           +

l

     .R. H. Engelken, CO                                .

l l 4 1 , 5/22/69 i

NOTE: THE FOLLOWING WAS HANDWRITTEN BY RHE ON THE ORIGINAL AND IS TYPED FOR INFO PURPOSES 4

ON ALL COPIES Btf? THE GREEN:

                                                                                 " Ray, Please note that this letter (2/21/69 enclosure) has not been given to the Public Document Room.                                  It is being kept confi-dential within the Commission. RHE"                                                                                          ,

1 j c.)  ; a304070334-690610

  • PDR ADOCK 05000219 o PDR ,

J

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Mj!j!U i Blatt of Nem 3rrorg D E P A R T M E N T O F H E A LT H JOHN TITCH PLAZA, P.O. 0 0 X 1540 TR ENTON, 08625

                               .                                       February 21, 1969 Robert Kirkman, Esq.

Division of Complianco, Region I United States Atomic Energy Commission 960 Broad Stroot, Room 806 Newark, Now Jersey

Dear Mr. Kirkman:

Refer to: (1) USAEC Docket 50-219; (2) NJPUC Docket 652-60. On Thursday, February 13, 1969, Mossrs. A. A. Colla and P. E. Kichler met Commissioners R. T. Dyrne and A. J. Grossi of the Public Utilitics Commission and W. Gural, Esq., Deputy Attorney General for the Department of Public Utilitics. Theso gentiomen are officers of PIPECO Stool Corporation, East Dickerson Doulevard, Dover, New Jersey. They stated an allegation which I now transmit to the AEC via your office for consideration and action in keeping with the public interest. I am doing thi'a in my capacity as Vice Chairman of the New Jersey Atomic Energy Council. The officials of PIPECO advised Mr. Gural their corporation refused to nupply pipo to Jersey Contral Power and Light Company for uno in the Oyster Crock Station Number One since it did not moet appropriato specifications. They further stated, they have Icarned another firm (not identified) supplied the piping which moct ASTM-A-312 F.M. standard. Mr. Colla and Mr. Kiebler opinioned the use of filler was objectionable and led to a re-duction in quality not allowable for a nuclear power station. I trust you will advisc New Jersey as to your actions and findings in this matter. Sincerely, 4

                                                                                      ~

0304070284-690MO-- ' Roscoo P. Kand10, M.D. PDR ADOCK 03000219 PDR G Vice Chairman

                                            ,        New Jersey Atomic Energy Council         .

EXHIBI A je e

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                                                                                        ?""             '

w 4.12 Cons!Jeration should tr ;'1ved to 3.c?sice aa.J a;plicatien of fittings such as . elteas, tees, anJ 1aterals, alsdrifices.' Ynen high velocity i.ater is intre-e ced into pipe lines in a directien' parallel te, the ain floa, a wye cone e-t!cn shall oc used to reduce erosten. ;S;ecial considerat!cn should be given prticularly to the extsactisn lines fro the. turbine. 4.13 r.e r.u:laar stean syste= snoald not in any nay be connected to the buildin; heating system.

                                                                                                                                                                         's w tS
!       e'            4.14 "tainless steel piping should be sleeved thrnugh concrete and otherwise
ren;ed to prevent contamination due;to chlorides. {*[e
                                                                                                                                                                               ~,

4.11. *$:ral' sleeves . hall be eeployed at intersections ahere te=perature difference exists Letaeen tao ficas. 4.16. Snnections for cbtaining steam sa .ples must be carefully located so as to obtain a true steam sample, free of.carrled over or precondensed water.

                                                                                                    +

S.O . . _- . - . . . ..g . , s,g p ,.e.e.., . ~ ~y .- 1 . Any ves:o! or equ!;r.ent nortles to'nhich piping 1s to be welded should have a ' ty.

,                                 shop installed safe enJ of the ~ same material as the piping. 1;o dissim_11ar                                                               '"y" r:atal     '

All stal_niess steel to carboi steili_olnt ointsfield

                                    .__ ~ _should         be._ welds shop shouldw.eIde.d.be,pe.rpitted.
                                                                                    ~~

t a L.? :n general, in the transition'from the primary coolant loop to one of the l nu c ! c t.: stean supply auxillaries where the piping raterial changes fron strin-less steel to carbon steal, the1 transition joint should be made donnstream f:om the fir s,* shut-off va,1yelon the,~1Tne'sT1'eTd!'ng from"t I

nruntzer.n fr,om tne last shutoff valve on !!nes leadin_h{stKinless system I

, gyst es." Ik aaver~,~1n'tl.('ca'se's~of~primar*/~ist'ea6' arid' p:14.g to the stainlessai{ ]  : .e materlat change occun at the' vessel nozzle. It _is recomen.1ed,_; hat gf; for all pt, ping cranectinns to the rgactor. vessel

  • for system that are not in ,

y

                                 'r.sr.ti contTnuf U. "uic7th731ii1E_t.up.to i                  ,and incit. ding the"first' . top valye                         L,1
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                                                                                                                                               ~

I 6" to casi.on steelT~EJi7a le;casilyjaccessible. for inspeetion. , [*d ,

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M **:3 N -.

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                                                                             -          -7                                                                       oge S. 3.1.1 : EmergencyCoddenser.                                o      4                                                V'
                                                                                                                                                                                    ./

3.3.1.2 f Control'iiod! Drive ~ H'ydrau11N(mhere specified) r* S ! _Mi Mh ist'^

                              *S.3.1.3             JTienetor* Clear & Q5 N b.3.1.4;!.1guld Poisen. ,E .y d E P.; ,..c.<

Mi n.u-a . 5.3.1.5 heactor Re'e treulatlnglSystem '

                                                           ~                                                                  .
                                                                                                                                      *=
                             . L.3.1.6 Condensate Deatneralizer9- :
                                                                                                                                                                         ' 91
                .                                                  t Z                                                         M S.3.1.7 Instrumentation andLContholkall reactor main steca systems (where
                                                ; spec 1Elod)Mi%MWW%

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r a ( J FU.'ETIONAL SPECIFICATION Ato DESIGN CRITERIA FOR JERSEY CEtlTRAL '

                                                                                             ;, y               .

OYSTER CREEK htCLEAR POWER PLANT

      ,                                 a 4

Author: GB LLOYD

. Datet July 13,1964 il Revision
3
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i. GEtiERAL .

ELECTRIC COMPAhY ATOMIC POWER EQUIPEhT DEPARTJ.Et.T i - 4 i ) < 4 e i 9 6

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o . FUN ~rIO,',At SPECIF!CI,Tt0N AND DES!G?! _ CRITERIA e FCA i 1 P;PMG AND VAtNES J I l 1.0 FPE . 1.1 Porreo This cr!teria establishes _specif.1.c_r.q.quirements for an ping s,ystem connected to the re t g systems fljh71T1 or mayecome b,ac_contaminated tor _pr.es.spr.e by radioactive yeueLa.ndil ds. f.o.tr_al.Lp_1 1.2 Fvt ant .- l Syctems covered by this criteria'are listed below: ty3 w& q'9 %w.*lsstr~ & & a (; 1.2.1 Control Rod Drive Hydraulic System A 1.2.2 heactor ?!ater Recirculating System 4 A 1.2.3 Reactor Cleanup System  !

  • c,,1.2.4 Emorgency Condenser System I
c 1.2.5 Reactor Shutdown System i l

e.1.2.6 Core Spray System , i

c. 1.2.7 Post Incident Cooling System .

A1.2.8 Liquid Poisen System i  ?

5 v n e a " c. e- >1.2.9 f.'ain Steam System -

1.2.10 Condensate Systen > , 1.2.11 Condensate Dominera11 er System k +

                                                                                                                                                                                        ;                                              y
                                                                                      %1.2.12 Diraction and Heater Drain Systems                                               ~~

i

                                                                               ,,             1.2.13 Feedwater Sysiem                                                                     i
  • l 1.2.14 Condensate Surge System q e

. 1.2.15 hefueling Tank Water Storage System ' f

                                                                                          &1.2.!6 Fuel Pool Cooling and Filtering System                                                                                                         i A1.2.17 heacsor Building Closed Cooling System                                                              '
                                                                                                                                                                                                                                       .ij 4                                                                                          A1.2.1n D:ywell and Suppression Pool V.ent Systems                                                                                                    j     )

1.2.In Condenser Off-Gas System - i 1.2.10 Instrumentation and Control \  ! 4 1.2.>1 Turbine Building Closed Cooling Water System i

                                                   ~~ ~ ) 1.2.22 hadlocctive Waste Disposal System                                                                                                                                             !

__. 1.2.23 hesin Transfer System 1.2.24 Steam to Air Ejectors 6 S.H "N'd fed'i wit! rmK# 1.2.2b Turbino Gland Steam and Drains 6 M.fo ,wre d, 3,,g g,,p y,y l/ft'n 1.2.26 By-Pass Steam System g g, n *p,;atets 54'I NI' [! 1.2.27 hoheater Supply Systems ' 2.0 O*GE ff 0tlinE!'3]gS, f1 2.1 A4 C* -

                                                                                            'With the exception of the piping specifically defined in Paragraph 2.2
                                                                                                                                                                                                                                        ~*

below, a,11 p1 2 Lng,(yalve,s.and fittings shall be designed, fabricated, j er_e.uc_ted, supp,o.rted pod tested in accordance with Sections l' and 6. ASA ,y , , B3L1, B16.11, B36.10 and B36.19, Codes for Pressure Piping together f m m ) with uEXHIBlIsG(Q%$eje the latest supplements,. adden 1 wpaww . 1

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~                                                                                                                 l 17s cus:ste ava.. sas Jose, catir. , stas ., .                4 ara coor son. tit. 277 200o             }       4:ouic rowse noviratur otr4aratst TWK No. 4o4 247 6444 a                                                                            .
                       ' October 10, 1966 ,                                                                                PM 398 p,           .

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~

Jers;cy Central Project: ?.cq. 303-91700 I

                                                                                                                                             ~ .h

Subject:

' Emergency Condenser Piping! "//

                                                                                                                                     .0.04--WW
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                                                                                                                                    .I Ni< 7 b                    I 760 7indcrka ack ik*.                                                            -                                                 .    !

N; [ #h4 Oradell, New Jersey, 07960 . I.Y % . . . .

                               ~ T.c f : Telecon J. Larrew and C. Larl, October 10, 1966                                                                                               -

Xocting R. A. iiuggins and C. Lari, October 7,1966

Dear Dave:

               ,,          ,,j,g        foe. ov.2. Giz.ta Cur criteria,[on pipir.g for :he Emergency Condenser system originally c :.;ined [~2)) (s.c.'.:.;1cas or velded pipo) or, as an alternate, A 376 (seamiens pipe). Your specifient. ion requires scamicss pipe for this                                                            "

sys.t em. I un tort.tand that procurci.dnt problems have arisen based on obtaining sca:.1cas pipe as outlined in your specification. As mentioned in our .

e. cr!:cria, welded pipe is acceptabic for this application. We under- , ,,

stand that you will perform stress analysis based on the use of wclded stainicas steci pipe and specify the necencary piping schedule.

                                                             .                               Sincercly yours,,                                                                .
                                                                                                        -                                    \

d-e 1 N . R. A. IIuggins Cs ., S.-.\).w (g ..

                                                                                         , Principal Project Engineer                                            -                .

L

+-                                                                                           Jersey Central Project                                                     ,

JCL/RA}I/ac

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ATTN AAT GREENi: VICE PRES A2%VA.TICK AVE 3ROOMLYN NY .

                              .c.EYOU3 LETTER RECEIVED 700AY. WILL' C*:*.RTIFY                                                                                                                                     :                                              PIPE $NUF ACTURZO
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                                          ... . .... ...n..                  ...o...           .o.........             ... mo . nov.vo~.tu .n.n ouit slin ME.v!To.             1513                          DATTSIliMo 3-10-67                                                                                 I)AT4: 4-3-69 i-                                                                                                       YOUlt olint::t No.

Albert Pipe & Supply ' p 3(,;t73 p 101 Varick Avenue CORRECTED COPY; ggg ggi,3.gg Brooklyn, N. Y. 11237 - 1

          ,, A,t t n :     A. B. Wesler                                                                                                                                                    _

rn M nEscluPT!os SPECIFICAT:0NS

2. 16" h .843" Wall Wolded A&P Pipo x R/L S.S. Typo 316 .A-358 '-
3. 14" OD x .750" Wall ditto i .
                                                                                                        .-                   -            i                              Type 316 A-358                        .

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             ,L f. '.qre. 5,-2-67__on- n11 pipe matl. meets X-ray Code Cnac N / to A:iA It31 S$ 'ct.

rn.M CoEMICAL ANAL,YSIS llEAT NO. CAltllCN MANC. PilOS. SUL S!f. Cl!!!OME . NICK!!!. MOI.Y _.Ctl. (X).

2. 32059 .047 1.60 .024 .024 .63 17.55 12.53 2.20 The above heat number is correct. In the event heat 32069 in marlwil on tho- '

material, pleono reviso if you feel it necessary. .

3. 11547 .052 1.74 .024 .018 .54 17.75 12.57 2.62 e,

4 FG:M MCCil ANICAL TESTS YIELD PSI TENSIL15 El.ONCATION. ILEDUCrlON  !!ARONE

2. 34,500 '80,000 62 70 149-156
3. 36,500 80,000 66 72.5 156-163  !

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WE Cf:llTIFY TilAT Till? Cl!EMICAL ANALYSIS AND ll!YSidA!/ TEST llPSUI.T8 AI,'l' YINUt g  ! ON : !E AHOVE 01ti)Mit NUMllErt AltE ColtnECT ANI)NnTittlHg *16 1.1:1)CE AND llE!.!!:P. . '* [./ TilEI Allo Tub. 'o & Pl.pe Cor Swans Aso sunscalnEo To nErone Ma 4-3.59-si,  :,.

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d6;0.;i;;'M;xr'N'o. 6ATTSIsht: o 3-17-67 DAW 4-3-69 YOUit Ol.Dr.!! NO. Alhert Pipe & Supply Co. , P 36!'73 D i' ivl Varick Avenue CORRECTED COPY Id:FEld'NUM

     ?.roo':1ya, N. Y.                     11237                                                     -I J_:p. :              A. 3. Wo.)fr                                                                      /                                                                                       -.- -
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rci.r .: DEsclueTioN 4 12 " x . 687" , Wa ll Wold , P'ipo A &P S . S . x 14 ' n/L . Type 316 A-358

5. 10" x .593" Ditto ,

Type 316 A-358 , c.. . . . s

,d. 'Jire 5-2-67 on all pipe matl. moots X-ray Codo Cnna N-7 t:0 AliA 1131 Sect. 1 ii..M Clis:M: CAL ANALYSIS l Ili AT NO.

CAltCON MANC. Pi!OS. SUL S!f. CllitOMH NICKl:1. MOl.Y 4:11 CO. - l 4 76687 .072 1.41 .026 .021 .72- 17.38 12.65 2.15

5. X56682 .043. 1.49 .020 .022 .41 17.57 12.75 2.27 1
.~.T.M           MECil ANICAL TESTS                       YlELD PSI                                TENSILE                              ELONCATION                        llEDUCrlON                    !! AllDN!'.SS 4                                             46,300/45,300                                 83,500/83,100                               54/50                                              DN-14 8-153
5. '

39,500 -

                                                                                        .            76,400                    -

56 BN-135

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   .          WC CEitTli'Y TilAT Tile CllEMICAL ANALYSIS AND PilYSICA!.* TEST llRSUI.TS \PPl.ylN : J ON Tile AllOVH Oil DER NUMilER AltH CollRMC'i' AND TituH TO Tills llHST Ol' )tl Li'Dci: A N D llM LIC F.                                                                                                                              ,

( Q/ 0, ' . '(.d k * *' N r Al op be & Pipo Co'p, swoaN ANO sunscRIRED To anFonn'Mn""" 4-3-69 .

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ABcre ?ipe & Supply . s' ,i'il' / 8 l,' 10 . vc.rie.< A ve . CORRECTED COP'l ' Ital 1 diW Bra: clya, N. Y. 11237 . A c : r. : A. B. Wocler Nv.C.;.r. 4cATM)SS

 =
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4 12" x .'687" Wall Wold. Pipo S.S. X n/L A&? All Material Type 316 A-353

5. 10" x .593" Ditt o .

5" x .500"

6. Ditto .

Re2. Wire 5-2-67 on all pipo matl. moots X-ray Codo Caco N-7 to A:iA H31 Sect. ..

 ;Ta:M              C;;i:MIC.h. ANALYSIS iiza7 NO.         cannon          MANC. PilOS.                             SUL             SIL/         CllROMH NICKMf.                        MO!.Y CU.                   CO.

4 76687 072 1.41 .026 .021 .72 17.38 12.65 2 .1.5

5. 56682 .043 1.49 .020 .022 .41 17.57 12.75 2.27
6. 56619
                                       .080             1.52              .025                    .023              .61         17.21                13.51         ,2.10 r

6 r;:M xEc:tANICAL TESTS YIELD PSI TENSIL3 ELONCATION REDUcrig_1;AnDNEss 4 46,300/45,300 83,500/03,100 54/50 tin 140/155

5. 39,500 -

76,400 56 aN 135

6. ,43,800 .' 81,100 . 55 BN 142
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WE C.".itT;FY TilAT TitC CilEMICAL ANALYSIS AND l'l!YSICAt/ TEST Ri?SUUE.U, 12i$Il ON 711R AitOVH OilDER NUMilER Altis CORRE(TP AND TRUti TO T!!H 11RST 01.*

                 !.MDCC AND 188!.11?l*.
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b' oc% SWonN AND SUBSCn!!!ED -.'cUfM.TM{ij ?) fTO IIETORE ME;,. )dfppfb"L *g

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ALLOY Tunb AIG PI?2 C017.'

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WC CEaTiFY TilAT Tl!E Cl!EMICAL ANALYS:S AND P!;YSICAL TEST RESULTS ASL9i.'IC . ON *illC All0VE 0 IDER NUM3ER AltE CORRECT AND TAUE TO Tlic r.EST OF OUa -(Nov/.  ;

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                                     - M.*0nN /.ND CUDSCri 320,70 DEFORE ME 3*""#-' 3 7
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                                                                                                                                                                                                                                                                                                        *il il IICAT NO.                      CANNON *MANC. Pi!OS.                                                           SUr,                    S!!.                    ClinOME NICKEL 5'OLY                                                    CU.          CO.                      -
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                                                                                                                                       .. ..                                          . ALLOY TUBE & PIPE COR.PORATION                                                                                         .

AN 99,.1%1 SW0llN AND SUDSCRIDED 'IO DETORE MB

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ffE .1 ClltallCAL ANALYSIS

                             ~'lIr.AT NO.              CANNON MANC. FilOS.                                   SUL             SIL $ CIIROME N!CKEL MOLY CU.                                           00.                                          .i  I ll
1. 30)75 .o43 1 72 .023 .011 .00 17,.75 12.M 2.0 .

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                                                        .                  37,000 -                       22,000                                 .               56                   72                         167 170'.:

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f 3.. .. WC CI'.nTirY TilAT TIlc OlF.MICAL ANALYSIS AND FilYSICALTEST RESULTS A?FL.*:NC j' . . ON Tile ADOYE ORDER NUMBER ARE CORRCCT AND TRUE TO Tile DESTOF OUR KNOW. , troca AND DELlry. - ALLOY TUDE & PIPE CORPdRATION i ~ ' '~ SWORN AND SUBSCRIBED 10 BEFORE ME A..aA-* 19. INT '

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PURCHASE ORDER '. . _Sucp,co_ Tubo Corp. 4-I 1 Clifton Divcf'. H i Tubeco, Ino. 123 Varick Ave. .i PO Bo:( 328 -

l. Brooklyn,N.Y.11237 r,.. . - CILCton- h.J. .

1 Att: 1tr.. Obergfo11 j , 10/25/66 "d'efl.vered. " I/10/30 V36873 D j. y in.n.wrn.<,..ocrm, oua wu.uo RUSil- ,;.,,, .y,g.,o,,. .g f.g., yt beat way 14 wks. or,anr.  ;;;.gfffg;af,m.cos > [_j rAcn rori utr ont snerutur Urant:4L snerMENT ALLOWrD

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4

  • CONFIMIATION h- *0 # .. '

REF: F-23390 - 10/3/66

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                                                     .p' (12" Se i. 80 (.687) unil L.R. 90 deg. wold Elis g/' 13
b. -
                                                                                                                                                                                                                                                                                                  ~

J J)vff ASTM A403 TP 316 (includon 1007. radiography) ' U. . /,y cods bev for velding otd. ASA Levels

          . . )Mr10*              12NNDD"         ' -1J"-Sch.-80-(-593   Sch. 80 (.593 vaal) ditto                                                                                                                                                                     -

i y . vnll) IT. 78 acg. - 35' ETI' dfEtgL ~ G ! .y,; k,J

  • l/i> 9Ig g 10"-Schr80-(.593 wEll) L.R. 46 deg. - STE1DTetoIba.f i h

910"-Seh. 80-(;593%11)~LM-- 30 deg. E11~ ditto " (1. 9[

  ~

4 10" Sch. 80 (.593 vall) S.R. 90 deg. Ell-ditto ' (3N S"I'"12" Sch. 80 (.687 wall) LR 60 deg. Ell ditto' yli? 7 j./,/ 7 5'} g*P 12" Sch. 80.(.687 wall) L.R. 45 dog. Ells ditto *-

 ;ff
                                                   '. 10" Sch. 80 (.593 wall) ditto
 .                   1 c4{[F$n 10" sch. 80 (.593 wall) x 8" sch.'80 (.500 wall).

conc. weld reducero ditto' All - ' -

l] .- ,. .'*

r . ' ::*. ;-. : . i . ' . .' . $gfp$L , h -

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imott es einfcf tatPvtxts 70 ope CV$toasta PLEAtt Fo*wAto trS tutterne catt awo not: Tine, o .. ..:. f .' r. :.: :. .... sn.s  ::; ~ . .. s . :.. ..... f.*.g.g.  :

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O , SWEPCO TUBE OORPOR.A. TION ONE CLiPTON souLEVAMD e CLIPTON. NEW JEReEY UAf

                                                 ,                                               pnEsCOTTe.3OOO e

TWX N O. PA$ = 313 March 27, 1969 Tubeco, Inc. l'23 Varick Avenue Brooklyn, New York References Jobs 609-600, Requisition T-1998, Swepco J-9391-F 4 Attention s Mr. A. Green Genticmon: This letter is to certify that the fittings manufactured on the above order were velded using welding procedures quali-fled under the provisions of Section IX of the ASME Boiler and Pressure Vessel Code, made by welders qualifi'ed under i the same section. In addition the welds were x-rayed 100% in accordance with Para IM-51, Section VIII of the ASME Boiler and Pressure Vessel Code. 4 Very truly yours, 4 SWEPCO TUDE CORPO T bhi

                                                'l
                                                                          - g            st >                 '

Alf ed FriedlanMoi.',' ' .[ ., i Manager, Order Department i APado e I . l l 4 NOTARY PUBLIC OF NDy ;tgsty 1 e n~- w. y .

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               '""."                                  i)UR dASE ORDER                                   .O'-
                                                                                                        ..                           im..,........,_<.,_,-
                                                                                                                                                 - ~ I~ . -

BURNS AND ROE. UT/,'" *".241"J.'"in".*.',:ff' :

  /                            .

oRADEU., NCW JERSEY 07649 [a"acNI4iY.I.'.^#" s 5/25/G7 voavu 1 6 2299-4!; PAGr* oF" PAGES ,,, ,,,,, g , ,,,,g Truck , I ~l ,*

                                                                                                      -                                            ....,v....                 i East Patorson, N.
               .BERGEN INDUSTRIAf. COMPANY                                                                                                             ,,,,,,,

To 14 Sto Canic Avenue f* , Sco.Dolow i East Patterson, Now Jorsey ,

                                                                                                                                                 .........c.

A t. ton tion: Mrs. M. !! illa . 2% 10 days tiot 2 ! L To lophono :,. 201-79G-2600 _J . , StilP TO BUDNS AND R,OL INC. , C/O JERSEY CENTRAL POWER & LIGitT CO. Forked Rivor- Oysto,r g Cgg!cw.Jorsey A.tt- Mr C E._ni n y. ton. , Mait ir4 voice na hr Q U A D ft U PL1 C A T C TO [C[g7,,{/(ig,*].QfJj f OG( d,*I;CQM C CU(M*TD*/jC([U@*LY)G'D7/$$( i QUAN,iry DCSCR1PTION UNIT u Aecot p AMOUNT, g ,, g C_ON PIRf4ING VERDAL ORDER-DO N6f DUPLIthTE ~

       ,                                     STA!)DARD VAT,VES-SPECIFICATION NO. _ S-5                    299-Q 3 i .. -                     1            1/2" Globo Valvo,~150l) ASA Standard,                          ca       $38.87               ,           38 37
   ,.,.       4                              riocket wold onds as por Group IV                      .

ew rag No. V-JJ-35 - * - - . System Desig: 3150-2 305 2 4" Gato Valvo, ~150') ASA Standard, en 239.25 478 50 nutt Wold onds as por Group IV,

                                           ' rag tio. V-J0-43                                                                             .

V-18-44 j System Desig: 160-3 307 V 1 3" Diaphragm Val.vo, 175f) Design Prost uro nutt wold onds as por Group IXa on 149.94 149 34  : rag No: V-ll-44 300'!/ 2 L" Diaphragm Valvo, 175ff Design Prost uro 36.80 73 70 nocket wold ends as por l Group IXa i rag No: V-ll-45 V-11-40 .

'310                          1           2" Diaphragm Valvo, 1751) Design Prosouro, acckot wold onds as per Group IXa t

on 99 . 7;! 99 72 rag No. V-ll-G3 '

;301 /                        1            L" Gato Valvo, 150!) ASA sta, sockot                             oa         59.00                         59 30 g                                                                      j
                     ,,  4                wold ondu as por Group XId                                                                                                              ,
 'g/*]                                    Tag No. V-19-28                    .,

l

               .                         System Denig:                 S-8552-12
                                                                                  . orr 4 0 1

7 gy AA[jpgyrpNTPM N!!XT PAG ' Hips s L O l , 73 . ., . .

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             ....  .              ,.              P.URGSASE ORDER                                O     -
                                           .          DURNS AND ROE                                                       l
                                                                                                                          ',&a'#!L'"a,","";!,15,
                                        ,.          ORADEU NEW .iERSEY 07049 b              7 ",/ *'k"u'a o$ 's"
                                                                                                                                                 "' ** "a'NI*[e !

t r To 2 6 5/25/67 l PAG 8' oFm PAGEs DERGEN INDUSTRIAL COMPANY ,, M99-45 j

                                                                                           -                              ............,           .s- .. .. . . i UNif
  • C
                                                                                                                                       . AMOUNT e"                cuaMisty                        DEsCRIPTI0N                             UNIT        c'"c c                                               U
  - es n.-.-                                                                           ,      ,

315 2 1/2" Gato Valvo, 1501) ASA std, socke : ca 40.95 81 90 wcld ends as por Group IV g g ,.of.  :, ,, g g,yb t ..' - Tag No: V-19-31 7 '~ V-19 -3 2 ,.  ; System Desig:,,S-8552-12 - i 319 1 2" Check Valve, 175f) Design Pressure , ca 224.25 224 25 socket wcld ends as por Group IXa tag No: V-12-13 System Desig: S-3182-12 320 1 1-1/2" Diaphragm Valvo 1751) Design ' ca 76.38 76 38 Pressure, socket wold ends as per Group IXa Tag No: V-12-56  % 322 5 2" Diaphragm Valvo, 1751) Design ca 99.72 498 60 Pressure, cocket wold ends as por . Group I,Xa ,

b. Tag No: V-12-67, V-12-53, V-12-54 V-12-69, V-12-70 327 2 4" Gato Valvo, 125f) ASA std, flat ca 6"r.10 134 20 face flanged connection 'as por Gro,up V

Tag No. V-6-24 V-G-25

   -329                         3            1" Globo Valvo, 1501) ASA Standard,                   ca      26.72                             80 16 socket wcld ends as por Group IV Tag No: V-6-35, V-G-3G, V-6-37 Syatem Desig:       3662-2
   .J31'j                       1            1" Globo Valvo, 150l) ASA std, socket                 ca      26.72                              26 72 wcld ends as por Group IV Tag No. V-G-64                        ,

System Desig: 3662-2 / 3 333/ 4 1/2" Globe Valvo, 125ft ASA std, ca 7.48 29 92 screwed ends as per Group V Y ~ ' Tag No: V-6-74, V-G-75, V-G-76, ,- ,e T , V-G-77 '.", 332 V l 1/2" Globo Valvo,.1254 ASA std,scrowad

  • cnds as por Group V ca 7.48 7 48 Tag No: V-6-173 3 3 / 1 1-1/2" Globo Valvo, 125ff ASA std, ca 22.77 22 77 screwed ends as por Group V '

Tag No: V-6-lGG ,

                             -f (f-@. ,                                INUED    EXT PAGB I f.
                                                          ~}ggl~l              A e (9 (219 e $
        -            -               -                                                                                  unaavu ,.ua O

PUROIASE ORDER

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                                .                    DURNS. ANO ROE f        '.,".,.'o"e    o,.f,Z',',",'_' ,,'U g

onnocu., Ntw .icnsEY 07049

                                                                                            .'                                        0.J.

C.. .. a.m. _l P A G,. 3 og 6 p3cc3 5/25/67 i DMRGHil ItIDUSTRIAL COMPANY ,

60. f E ,

2299-4c: sacow,sitions n ewaauanotan u f accot

          ' 's' "           ouaufsty                     o C S C' R 1 P T 1 o N                        UNIT      p ,, ,             AMOUNT             NUMo-C9PJ _'                                                                           .                                                                  ,

)330 1 1-1/2" check Valvo, 125f) ASA std ca 12.32 12 32 [ screwed endn as por Group V > Tag tio: V-G-167 340 F 1 2" Gato Valvo, 125f) ASA std, screwed ca 18.15 18 15

                                       , cnds as por Group V                                                         -

Tag No: V-G-474 '

.34l                            1        3/4" Globo Valvo, 125G ASA std, screved                                                                               ,

cnds as por Group V ca 10.23 10 23 342 1 1-1/2" Gato Valvo, 125f) ASA std, ca 12.54 12 54

                     ,                   screwed ends as por Group V i 3 4'3 #                       4          1" Globo Valvo, 150ff ASA std, socket ca                              26.72                ,106 30 wc]d ends as por Group IV rag Nos:       V-G-176, V-G-177, V-6-178 V-6-179 Syntom Desig: 3G62-2
34 1 1" Globe Valvo, 150') ASA s td, socket ca .26.72 2G 72
v. wold ends an por Group IV  ; ,

rag No: V-6-101 i SynLem Desig: 3662-2 l346- 1 3/4" Globo Valvo, 150ff ASA sto, sockc trba 22.10 22 10 weld ends as per Group IV Pag No: V-G-182 , j syntem Donig: 36G2-2 I 352'V 2 3/4" Gato Valvo, 000ff ASAi s td, socket ca 71.30 142 30 t wcld ends as por Group I I rag No: V-31-3 V-31-4

                 ,y                      System Desig: 31552-7                                                                                                 ,

354 V 2 2" check valvo 150!f ASA std, socket ca 67.93 135 3G . wcld ends as por Group IV tag No: V-7-7 V-7-36 .

   .                                    System Dosig:           3G82-2 3                         .2        2" Gato Valvo, 1501) ASA std, socket                           ca      35.42                    70 34               .

] 55 4 wold ends an per Grcup' IV . Pag NO: V-7-8 V-7-37 . System Desig: 596-2 - O -I v Noon nox PAGis EA Ng L-l 3 C 9 o e c es)

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                                                                                                                               "" '"~ '4 1:< ..., ,. ' . .                   . ,l P.UR$-I ASEJ ORDER '                               O                                  ,~ . ...     ..e,.. ,,           ,!

DURNS' AND. ROE. '!On't."!L.'!"a"l'""J,",."" l

                                     -               onADCt.l., NEW JERSEY 070A0                                      b         I."./."c."whE*,7.'.",UE,'*
                                                                                                                                        . n an .                      lNE
      ;7g7                                         .

4 6 5/25/G7

                 . BERGEN IllDll!1TRI AI," COMPANY
                                                                                          -PAGF      or           PAOCS                      -.

- 2299-45 essoviesteow t,- sweas osso,e #, J. UNsy ACCOS ,

        ,t v M .

es eu A Ntif f D E'S C.R I P T I O N UNIT ,,,,,, . AMOUNT Nunc j

. _ CPL 1l                  -- nn                                                            ',
h. /

j35G th 2. 1-1/2" Gato Vlavo,: 300lf ASA std, ca 29.25 58 50 ' c

          '-                               :ocket wcld ends as por Group III                                                                                              !

rag No: V-7-29  ! 4 V-7-35  ; 3 synt.cm Denig: 59G-2 - - ,!3 20 1 1" Spring I,onded . Check Valvo, 150ff ' en- 9156 :19 1 SG - a' , ASA std.Dutt.wcld ends as per GroupVI b l rdg No: [ V-9-3 l en 26 72 [361V 1 1" Globo Valvo, 150 ASA std, sockot' 26.72

  ;                                        said ends as pcr Group IV                                                                                                      j l                                           Pag NO: V-9-11                                                                                  '

i

/.

lyntem Denig: 3662-2 !362 .1 1" Spring I,oaded Chock Valvo, 150ff ca 79.38 79 38 ,

                                           \SA s td, Butt Wcld ends as por Group-                     VIb rag tio:      V-9-19                                                                                                            1 4

3G3 , 1 1" Gat.c Valvo, 150lf ASA std, Dutt wel d 1 +

 .       b                                 ando as por Group IV Pag No:. V-9-20
                                                                                                      ,e a         l'32.75 j

132 75 I j

3yntem Dcolg
150-3 WE - t 2-1/2" check Valvo, 150(f'ASA std, Butt ca 107.25
364 / 1 107- 23 aald endo as par Group IV rag No
V-10-17 3yntem Denign: 1803-WE 365 1 2-1/2" Gato Valvo, 150lt ASA sta, Butt ea .122.25 '

122 P.5 acid ends as per Group IV rag No: V-10-34

 -                                         Syntom Desig: 150-3-WE 366 d                          4        1" Globo Valvo, 150ft ASA sta, socket                      .ca             26.72                  10G         88 acid ends as pcr Group IV.

rag No: V-10-3G,.V-10-37 V-10-30, v-10-39 3ys tem. Desig: 3GG2-2 3G7 - 3 1" Gato Valvo, 150lt ASA sta, socket ca 115E 52 65

                              . ..         acid-cnds as por Group IV                                                                                                   ,

Tag Nos: .V-10-40,.V-10-41 V-10 .g/ System Desig: 596-2 -

 '3 G8*                        .2          2" Gato VaIvo11501) ASA std, socket                            ea           35.4%                       70 84 acid ends as por Group-IV rag Nos: V:r10- 42, ' V-10-43                              ,                                                            3';

System Desig: '596-2 ig _

u 4.a.. a'dd a c --p8- 4 F J h , 7. . . .;,. .. . . . an22w-Ig , n . ... ,. _ _ . ia ... [ - P.UR%ASE O'RDER: ~

                                                                                                                                        .                              .y..,    .        .

_, '",0!n!'L'.";?.,"7J:'".,".".*4 : BURNS ' AND- ROE ionAoEt.t Ncw Jcnscy 07042 -

                                                                                                                                                               !"". 4' * .'.",.7.

7*U.** l%Un

                                                                                                                         5     . .- 6                               5/25/07'                    ~!

+ "*"" E "^*E' - DEttGEN LINDUSTRIM, COMPANY - 2299-45 ,

                                                                                                                                                              -.................ee

!

  • Accove;
  - - - -                                                                                                                          UNIT             ,",7,               ' AMOUNT           ,,que ;

2 "e'."  : ovawnty D C'S c n i P T I o N  :

2. c uo s._.. ._

i 1 L" . Glolio Valvo, 150ft ASA std, sockot. on 26.72 26 72  ;

G9 V 1 '
             '       ~

acid ends as por' Group IV rag No: V-10-45 , F>ystem Desig: 36G2-2 ' 7 0 & 1, l-1/2",Gato Valvo, 150ft , ASA s ta, sockot , , ea. 29.25 29 25 sold ends as por Group IV '

  • i rag No: V;10-46 ,- ,

iyatem'Desig:- 596-2 - - - - - - 371

                               -1                  1" Gato Valvo, 1251) ASA std, scrowed ea                                                           7.15                     7    L5 ands-as por Group V Pag No:            V-10-48 1/2" Globo vaIvo, 150ft ASA std, sockot;4a                                                     18.53                     111 10 l

375 - 6- ' wold' cnds as per Group IV , Tag Nos: V-1Q-61, V-10-62, V-10-67 v310-GB, V :10-G9, V-10-70 l lystem Desig: 3GG2-2 . TO'rAI. ORDER PRICE. .... ... ... . .$3,GG4 23 i C.e . . -. ,.- . .. - _ _.. .._. . .. . . . . . _ Foll: Wareho ino,. East Patterson, Now Jersey ' j ! Sill PI'I NG cl'AltGR;: Prepay truck chargos to job sito a ad ad I to yo urinvoicy/oa 1 a  ! separato item or invoico separatol f. l< indly a ttach cop f f . Freight Dill to your invoico. ,

              .._                                                                               =

DJ,:1.1 'I):ltY, . II.cm 320, Item 322. . . . . . May 26, 1967 l

                                                                                           . . At job sito, items shippe l por your                                                                   l nalan< :n .                . .. . . . ..
  "                                                                                                  Mr. Joo Cal F                 iv 24        ,      1967_                                         l El!A),lt MGM               ,

Kind Ly furnish within two(2l wocks fivo ( 3) copics I of drawings fo r ou: mu it b approval , Draw,ing must show item number and tag num >cr of each valvo and for t.hc ize and valvo rating of tho item only , refaronco to other niz as l 7alvo s Aftor our approva1, eigh tbon(18.) copios nhaL1 b aint. r.:1.i 19 inun t bo blocked out.

  ,furninhc . for                          our' distribution. ' Drawings should bo' addre ssed to the attoution o our MR'. ...W.                             R DDINGTON.-                                    ,j i                                                                                                 i I NSTitOCT 'ON MANi lALS:

[ Kindly furnish thirty-f,ivo (35) . copi as of Operations and 1 Maintonaco Instructions for each val ia fu cnishod . f . 1 N . l' 9 Efll0I[ONTINUE(D L-l NEXT PAG 8s e p 9page.s) . . j

                                                                                                                                 "a222 . m PUR$1ASE ORDER                                      O                                 ..........,
                                                                                                                                         . " . .'.".':."."."".,.'",f".*J DuftNS AND ROE                                                           %.

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                           ..                                                                                                                                           ~
                                                                                                                                                                             -l ORADt1L, NEW JCnSCY 07649                                               ~  * ~ * * * ' '* * * ' ' ' ' ~ ~ ~

70 6 5/25/67 i j PAG t- ~ Or_6 t'AGCS ,,,,,, IlliRGH!! IIIDUSTRIAf, COMPANY

                                                                                                                              ._.               _.,._ . . . 22.99:4.5 UNif       [,"e#,                AMOUNT                    -

Nun o DESCRfPTION

      "                    o., a n e e, y
 . C .< '."r. . .

tg oni(1) yc ir of opor.at.onal; IPAR1? PA1TS: Kindly furnish your quotation coveri on t.' tis ord :r . l spara parts for the valvos furnished l j, . l

                                              ..                               .                                                                                                1 1

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                                             .C ACCtPT AteCE OF 19ett ORDER 89 999 JtCf TO Tset Trete3. Co.orOtt.00MS. AMO lNSTSUCfpOWS                                         1 PostMite 90s TDet F ACE AseO SEVFASC OF 19e b Oe OfA.

DtJRNG Af4D ROE , It4PORTANT_ '

                                                                                                            .'                                    /

ACl*tlOWLIOGC RECCIPT OF ORDER. / er

                                                                                                            ~
                                                                                                                        .   . /AMMY /                                   / *1
          !!OilrY 1." U'!ClE TO f.MKE $1'E' 1

VIY.YrAC.KPICfRED. m #1( r r- (r p n .7 . . m ~ *.~,

l. . . . ,, . .

Weldon/pb

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CHANGE ORDER 0:u'.. nt.0"It'!.::um',".:* .:tc';11.':'. ":r.'z; t. 'y5I["l.f${if$;iI] DURNS AND ROE _.e - o . . " ~ " 700 Kinderk amack Road Oc tobe r 9u ,9_6_7, l __

                                                                                                                                               ..u..

Oradoll, Now Jersey 2299-45

                                                                                    --l                                                      .. .. ....

r- DERGEtt It1DJSTRIM, COMPANY worice

             .                                                                                   rnis CMANot otStt 14 Stefanic Avenuo 4
                                                                              .                 unnoeins enanors                               ., . e TO           East. Patterson, Now Jersey                                               os ruecast omons s 9~10                        .* - 'a* *"s.
         .           At.t :      Mrs. M. Hilla                                                                                                                '

Tc1: {01-796-2600

                                         .               ..                                               ,t-
                                                                                                                                        .,...........a.

d L -

   , shin To.Durns dnd Rge,_J,nc. ,_c[o_ Jersey Central Power & Light Co.
                    .ror.ksd_flizc_r.,__ Oyster Creek. New Jersey                               Atte          Mr. Clayton

? M All INVOICE IN QU At..RUf*LIC ATC To D ArL_1sbove ( UNIT "" AMOUNT Accouw*

           "I."        o uamvity                      DESCRIPTION                       ,                              PascE                                    NUMorm Copt This change order is issued to cove:

[ the following: (' - Dolotc the following items from original purchase order: 319 2" check valve . ca. 224.2' 224 25 320 Diaphragm Valve ea. 76.3 76 38 331, 1-f"bovalve 1" Glo . ca. 26.7 q ! 26 72 l 333 1/2" Globo valvo ea. 22 77 341 3/4" Globo valve en. 22.7{6 10.2. 10 23_ Total deduct. ion this chango ordor 360 35 l

   .                                  Also change description and unit prico of Item 315 on original order as follows:                                                                                                                , jf Description- " Gate Valves SW Group IV Unit prico from $40,95 to $53.25 c.ach                                                         ,

an addition of $12.30 each or $24, 60 PREVIOUS TOTAL 3,664 23 Deduction this change order 360 35 Addition this change order 24 60 Revised total 3,328 48

                                 ** * * * * ' OJ,*lo*EJTJs*,"f!! I'nIYci N s'c* o " 'ai,'s'o"c *iv*siUC U I d "!.'o"c'.'." " ** "
  • IMPORTANT BURNS AND ROE -

l ACKNOWLEDGE REC [lPT OF CHANGE ORDEP. a E

                                                                                                                           /*        -* d t            *2_/,/[-  N NOTIFY IF UNACLE TO MAKE $s iqW'*M lSICIFIED.

ev- __

                                                                    / ./              h7         4 0          , 3 . ..     '*"'**""h                                      j
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CHANGE RDER

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,                                                                              DURNS ANO ROE                                              a  ac."'.-i           ._ __

700 V.inderkamack Road [ I^ ocpohoc_16,_1907.-- j,1I oradell, New Jersey . . . . . .

                                                                                                                                                         .__22.9.9.M___

l,i $. ,"(,, 17p/!. 6, [f ' .

                                                                                                                                         ~ ~ ~ - - - "
                                                  . /4,5                                  .

F / N GE I INDUSTRI AI, COMPAtTY I . ~l Ho 8ct

                                                                                                                                                       .. .m;
             *
  • THl1 rMANGt Ot,Dt3 14 Stcfanic Avenuo Avinoeins cpAnon ., ,s. ~

i TO Paterson, Now Jersey ,

;                                                                                                         __BR-2299-164                -

Att: Mrs. M. Ililla . . _ _ _ _ , _ _ _ L , Tel: 201-796-2600 j ,

                                                                                                                                              ....                     ....~...          ,
; m nP T o, i:o rn nJ.o.10.Jtoe, _J nct..,_.clo_J.cIscy__CeJLtii_nJ_f_o_wgr__t.y                        a                    _r,ich t co.
                     . F o rk ed._ Rive r., ..Oys.tc e__ Crc.cka_ Hey __JEs.c_y__b_ti t :_.. . M r . clav t.o. n u An. n4voic e u4
 ) ?"^""."N9.^..'.c_.lo

__  : .^3:ebove - g_ (

         ".':'              o u.     ... r                               DESCRIPTION                                 UNIT      "# " 
                                                                                                                              ,,g,               AMOUNT                        #C pUus un

,... eaor._._ _ . _ - . _ _ . . This change order is issued to cover . l.he following:

      - ( ,,                                    De lete change order one in its entir sty.
                                       .        The following change's will also appl r.

31 r> - Doloto from original order 224 25 320 Delet.c from original order . 76- 38 s 315, Deloto from original order *

                                                                                                                                                   .+. 81 90' i       315                       ,

2 1 " Globo Valve SW Group IV 2 ea. 53.25 IT 66 Total' addition this, change order 106 50 Previous Purchase Order Total 3,664 Total deduction this change order 382 23 53 l Revised Total - 3,388 20 af 're, All other terms and. conditions remai l the'same. .

   ~ ~ ~ ~ ~ " ~ ' ~ ~ ~                                                                                                                                                   I vnt accey,ca,o swi,s,o,nocy ;sgu,esg,vo gege,ams                 g ,cgagog. g    =,ogas,rmuctions IMPORTANT                                             BURNS hND ROC.

ACKNOWLEDGE RECEIPT OF .CHAN'GE ORDER. /'

                                                                                                        *        #~                                                                     '

I U lf 0' -

                                                                                                                                                                                           ~
                                                                                         ,' ilBJJsec-/fs.cn-,,,,~sy"#./

floilFY IF UNABLE TO . n MAKE SHIPMENT AS SPECIFIEE

O 3 O CH ' ANGE ORDER ,gy,yp,y,w, . -

                                                                                                                                           ,:,=,y,:

l L

".t.n.~nt.n": 't.::n; w.'t:::::t."; .'::::::t't; DURNS AND ROE-h _E.E'IMIE.'.'"._""i e.e.=." ::::, :::

l Nov. 8, 1967 / 700 KINDEREAMACK ROAD ORADEI.L, NEW JERSEY 07649 2,?..:.9.9 _U.... ,, Lr .

                                                                                               .1                      NONCE Bergen Industrial Co.                                                 ms enaNot onote                          .e  es
  • AnnM0eitel CMANotS s
                                           '14 Stefanic Avenue eN ev,cuan oaota #

l To Patorson, N. J. BR-2299-164 ,,,,,,,,,,,,,,,, l '

                                                                                                                                                  ,,..6....

Att: Mrs. M. Hilla _)

L.
                                         ,                                 ,.                                                                                         e.....

Durns and Roo, Inc. c/o Jersey Central Power & Light Co. . SHil' T O _. . u._ Forked River, Oyster Creek, New Jersey Atts Mr. Clayton (

  'h o0Io'n"u"IscN to .__As Above __

UNIT ((,, AMOUNT ACC*","y

  ~ i.'."   '                  av...,,                                  o a s c n a P'T i o N                                                                                            '

_ _ .u o.s + This Change Order issued to cover - the Following changes: 1 Check valve - Delete ea $91.56 $91.56

             .150                                                                                                                                                                        ;

i . c%; 362 . 1 Check Valve Delete sa 79.30 79.18 l s TMAL Deletiori this Change $ 1'70 , 94 i b 81 ,90 j 315 Add this item again as it was *

  • j previously deleted on C. O. #2.

3, Original P. O. item 315 remains as 1 1. , i

  1. T M AL Deduction this Chang <r 89 .04 i
  • PREVIOUS TMAL $3,388 20
;'                                                                                                                                                  $3,299, 16                           '

REVISED T MAL -

!.                                            All other terms and conditions                                                      -

l remain the same. - J 1 ' f , i

                                            "" ***$ Inia'Is'oE*,.IeYa*EE EdYsNsY e"r *aEeEv*sUev*ecEIo$"e'eEs'e'.""'

IMPORTANT_ BURNS AND ROE j-

                                                                                                                                                                                /

ACKNOWLEDGE RECEIPT CF CHANGE ORDER. g er' ' - bt It, 0 d4 < l NOTIFY IF UNASLE TO MAKE SHIPMENT . iL.-l(9 o49 ASpijGff SP'EAdiB l t_____________

                                       ~
                                                                                                                                       ^*d+          m " L ' ""'               '2P"
       ,. a ..,,,,,,                                                                                                                 ,

BR=2299-177', p '. PUR I-ISSE ORDER  : Buf OrtfA*dts tues wwware esser

                      -                           BURNS AND ROE                                                                          f,[Ilde,*";'[ da'6"o,"'*;"[,ay*J) amo co va..g.:
  • ORADELt NEW JERSEY 07649 **

6/8/67 Guatst 2299-45 3 PAG 8' 1 OP' PAGEs .a s eve.....n e. Truck f- . 7 - E. Paterson, N.J.

           .        DERGEN INDUSTRI AI, COMPANY                                                  ,

7g 14 Stefanic Ave. - Shippineftt. mplete Eant Paterson, New Jcracy , Ju,nc,,-3.,,,},96J__. Attention: Mr. M. Hilla L Telephogo: ,201-796-2600 ._j . 2'/.10 days Not 30 e e =-u SHIP TO..UUfl)S._.Al{D_EQE4_ItiC JO2rsry Cent ral Power & L{ cht Co. . ' Forknel Ml ver , t Oycter Crcok, New Jcracy Attentlon: Mr. K. E. Clayton M AIL INVOICC sta As aboVO h eUADriur*t. C A1C To gy.Qf,(y,fg4, AJAJQggOgg4g-ggggogg <

       "a[e"            oua Nfst?                     DESCMIPTION                                           UNIT                ""               AMOUNT                   ACCCU'
- JP.P.E                                                                                                                       Patcc                                       nuws:

CONFIRMING VERBAL ORDER 5/29/67 DO N(fI' DUPLICATE . Misec11ancous

  • Valves per Specificatiin No.

S-2299-61, a copy of which is in yo - posscqqlon 4l 13 2" G.sto Valves, sockot wald ends, Group IV ~ _ .. TAG NO. SYSTEM DESIG~"~ e5~ $109.00 .$1417 OC

      ,,.                            V-22-147, V-22-149                    .      NV-27                                                  .

V-22-153 NV-5 V-22-167, V-22-169 NV-8

  • V-22-285, V-22-286 V-22-172, V-22-174, SD-1 .'

V-22-176, V-22-178

  • V-22-180, V-22-182 392 1 1-1/2" Gato Valve, socket wcld ends, ea 220.00 220 OC Group X,Id TAG NO. SYSTD1 DESIG V-22-218 NV-2 393 ,

4 3/4" Gate Valves, sockot wold' e:.ds, ca 44.00 170 OC Grcup No. III TAG NO. EYSTEM DESIG ~ V-20-5G V-20-57, NZ-2 V-20-58, V-20-59 ' j

-394                      6          2" Globu Valves, sockot weld ends, Jea                                                 490.00                   2940          OC-
      ,,                            Group IV with provision for "I,ock closed"                          -

TAG NO. SYSTEM DESIG_ - V-6-133, V-6-134, SA-2(NQ-2) V-6-133, V-G-137, v-6-138 EXHIRii/ - ? M."F"?L'E.'M" -

1 BR22M -177 l s

  • PUFHASE ORDER O ~

DURNS AND ROE -

                                                                                                                               ',",l,*7.^.;',%'t.;'
                                                                                                                               ' "7,'. 0 ' ',' ' ',',' ' ,'"U;',',',t,
                -                          onAoct.t., Ncw JcasiY 07s4s                               -
                                                                                                    ',                  [

To - - .

                                                                             ' . . pac* .e-2 of 3          -

PAGES , 6/8/67 DERGEtt It*DUSTRIAL COMPANY 2299-45 [

   "k",            eva nrr                       ocsCRlPTIbN                                              UNIT           Mh            AMOUNT                 gg 395                 2            1" Globo Valves, socket wolds, ea        $322.5C               645          00 Group XId                                                ,

TAG NO. _ SYSTEM DESIG ,  ;

   .                               V-22-215, V-22-216                            NV-1                                                                                   '

396 1 1/2" Globo. Valve, socket wcld ends, ea , 107.80 107 80 _ TAG NO. SYSTEM DESIG Uf0' E -

                               ,,  v-22-209                                     NV-13                                                                              ,    ;

397 14 2" Check Valves, socket wold., ends, ea 210.00 2940 00

                         .         Group IV                            ,
                                       ._ TAG NO.               SYSTEM DESIG V-22-141, V-22-144                           SD-1 V-22-171, V-22-177                                                                                                                   I V-22-173, V-22-175                                 N                                                                                 i V-22-177, V-22-179                                                                                                                   l V-22-181 V-22-146, V-22-148                         NV-27

( V-22-1GG, V-22-168 NV l V-22-170, V-22-189 . .  ! 390 1 1-1/2" Check Valve, socket weld ends ca 284.00 '284. 00 TAG UO. SYSTEM DESIG Group XId V-22-217

  • NV-2  :

399 4 2" Gato Valvo, socket wold ends, ea 374.80 1499 20 . Group No. XId *

                                                                                                                                                               /

TAG NO. SYSTEM DESIG

  • V-22-3, V-22-4 Drywell Eq. Dra Ln Li tes V-22-11, V-22-12 400 4 1/2" bla,ph-Gate Valve, socket weld en 73.60 294 40 ends, Group IXa

__ TAG NO. SYSTEM DESIG. . V-12-36, V-12-37 WD-2* V-12-42. V-12-43 E03 3 2" Diaphragm Valves, screwod ends,

  • ca 151.00 453 00 Group IX: .

TAG: Sarvice Box-Demin Water

  • SYSTEM DESIG: WD-3 LO4 8 3/4" Dlaphragm Valves, screwed ends, ea -62.10 496 80 Group IXc .

TAG: Service Box-Dedin Water SYSTEM DESIG: MD-3

  • ts . ;Jfimri!57 NF4CT PAGE ,

g

              ',                    PU         'HASE ORDER               -                                             "~      ""
         *l
  • RNS ANo ROE O- 5#
                                                                                                                         -           fl-
                                                                                                                 'f?S'!!!h'e'O.".U.'.*.."Nc!

j

                ,                        oRADELL. NEW JERSEY o7649                                               e'.{,}"[a,of,f. r'N' Ea N .
< To                                   .

I b/0/b7 DERGEN INDUSTRIAL COMPANY PAGE10F.1._PAGES  !!

-( ,

2299-45

                                                                                                                 .... ... .. .. .. ... ..... .. i
      '."                                                                                UNIT            u f                                 #"

ou. rir, oesCRIPTIoN , , AMOUNT ,, q , ss.P r 405 20 3/4" Gato Valves, scrowed ends, ea. 44.00 880 00 Group IV , I , TAG: Servico Box-Servico Air SYSTEM DESIO: SA-2 )406 2 50 3/4" Globo Valves, Socket wold ends, ea. 166.40 8,320 00 3 TAG:NO. SA-2 Group *IV *

 .                              SYSTEM DESIG:          SA-2 6 , ', 3" Diaphragm Valves, screwod enda, 407                                                                                 ea.          548.30               3,289 80                      ;

Group IXc j TAG: Sorvico Box CH-7 l SYSTEM DESIG: CH-7 !' 408 3 1-1/2" Diaphragm Valves, screwed encl s ca. 112.10 336 30  ; TAG: Service Box CH-7 , SYSTEM DESIG: CH-7 -- N

  • 409 8 3/4" Diaphragm Valves, screwed ends ea. 62410 496 80 l Group IXc j TAG: Service Box CH-7 j( SYSTEM DESIG: CH-7 TOTAL ORDER PRICE. . . . .. .... .$24,796 10
! y,OJ11        darchot so,         East Patterson, New'Jorsey                                        *

, Sil!PPING CitA!! GPS: Prepay truck chargos to job sit o and add tc your invalco i ' as a separato item or invoice a opare holy. Kindly at :ach copy of Freight Bill to your ir voicc . . D_nAwng: xindly furnish within two (2) wooks fis a (s) copios of drawligs l . for otfr apprc val. Drawing must show item number and te g numbc r of each vapo and rnu at bo f or the valvo size and valvo rating of the item or ly, refer 2nce to

other si:cs And ratirg must be blocked out.

,copico shall be furnished for our distribution. AftefI our approva 1, eightean (18) rawir gs shot Id be addcessod

t o thN attent Lon of our Mr. J. W. RIDDINGTON.
; INSTR [CTION FANUAfde                     Kindly furnish thirty-fivo I 35)                  c opies c f Opcarati. ans and Maintenance Instructiono for each va,1ve fitrni she d.
SPARE PARTS
Kindly furnish your quotation coverjng or e(1) hear of:
;                              operational spara parts for the valves ft rairhed on this arder.
l I
                          .. .cc....
c. ., = g.g.g. g g ,,;.,, = .. g.=...m_,,,

IMPORTANT ' Ft(JRNS AND ROC LCKNOWLEDGE RECEIPT OF OADER. g VOTIFY IF UNABLE TO MAKE SHIPMENT AS SPECHED. e1r-- _ M82-W(M% _ EuilBliL . 2 (3 e f 8a=e7 - l

                                                                                                                                                               -                 -       Mccarthy/pb
            .~

O CHANGE ORDER O .2

                                                                                                                                                                                                  < > ~ ~ - -
                                                         . . . . . ......u
                                                                     . ~ . . .... .......
                                                                                     . . . .. .., .. .. ., .. .. ... .. , . ~. .. ,. ,. ,. .. .. .. .. .. .. ..             [                                ......'u..
                                                                                                                                                                                      '. #. . ,.. .", '.^ " '.k. .'."n. ..'.".7 BURNS AND ROE.                                                                                         I" c*4'?." O l'

700 Kinderkamack R5ad f mt) y__17,, __1917 Lp. Q , Oradoll, New Jersey 22

                                                                                                                                                                                                               . . 9. 9.._.4
                                                                                                                                                                                                                           .. ei5 V

I'~ . .

                                                                                                                       ~l                                                                            ..   .,vi..

NOTICE

  • Dergen Industrial Co. TH1$ CHANGt Onott AUTHott!!$ CHANOt$ ......e TO 14 Stcfanic Avenue - -

oH PuncHAst otort # Eant Paterson, Now Jorsoy BR-2293-177 ,,,,,,,,,,,,,,,, Att Mr. M. Ilills ev.v . . . . ... , s

                                                                                                   --..--_..J.......

L_ 4

                            -         >         .                       f.                                             _

]sinP To_ _ M Af t k.oum. fNVOICC INo n u t u,c a r c v o.___ = (

       ".'."             ou. ,ery                                    orsCRfPTIoN                                                                           UNIT              ""'
                                                                                                                                                                            ,, c .             AMOUNT                  #C
                                                                                                                                                                                                                        ,ue ."re" This chango order is issued t5 cover
the following on Page 2 of 3 pages
                                 ,         of tho original purchase ordor.
' C.    -

Item #397 14 2" check~~Valves Socket

                                                                                                      ~ ~~                                 ~~            ~~~

Wold Ends, Group IV Caneci (1) tag #V-22-177 no noney involved, sinco the number appeared  ; twice on original ordor. j Chango the remaining tag #V-22-177 - to tag #V-22-117, again no value involved. All other conditions remain the samo , FOR RECORD PURPOSES ONLY. HAS AI.REAE BEEN SIIIPPED, t

                                                                 .                                 a                                                 _

e v c acce...=c.e.e.,,e

                                                  ... .              .       .A. .es..
                                                                           ...               .m ewe s.c.e.t.o.t.==.m.                  .         .            . . . . . . . . . . e.s.s c.o om.o a=. ...r ven. .                                          .

IMPOrtTANT BURNS AND ROE CKNOWl[DGE RIC[lPT OF CHANGE ORDER. / invirv er ti.. . ei r m s. .er ete'eser.~ .e eace.e. a

                          .                                                                                                                                 W        /       h      /           / 

1,7 ,i. ,s., sccartav/nd r PURh-IASE ORDER O _nn-22yge;4 i

                                             . BURNS AND ROE                                                 .       .. . U*S "a'Neh'E0
                                                                                                                                                      ~ffAUS?E oHADEt.t., NEW JERSEY 07049               ,.
                                                                                                                                   u,,s,o,  ff, aY' ,'aE/te

_.JM V U.,. 1967

                                                           .                                                                                   .. m .

2299-45

                                               -                                                                             ........L,,           ..........,,

q Page 1 of 2 Own Truck [- e 5, Map V.Al Dorgen Induntrial Supply Co., Inc. E"DCf8 ",,',,,,N.J. l TO 14 Stefanic Avenuo _.png__,o w ok l

                                                                                                      -                                   W.~,

Ennt Paternon,-New Jersey . . m . l l [' Atti Jpc Cal . 2%/10 Nc_t_30 days

                       .                                                                                                                     n...,.

Chip TO Durnn and Rpc, Inc.,_c/o Jerse Central Power & Light Co. forhed River, Oya_,ter Creek, New Jersey Att: Mr. Clayton M Alt. INVOICC IN > CUADHUPUCATC TO 700DDinIL*.IMOU3hCESDGDSLfDRM3CSLSMUJELC38DSILSDSBS AS ABOVE <:

     "e's"         oUAHilty                         DE5CRIPTI0N                                       tJNif         "' 'T enter             AMOUNT                 Accout,

_cy o_a NuMar This purchaso ordar is issued t'o , to cover the following: - ( Fo rmel r i ca t, ion _ S-2 299-5 5. , 161 4 1" Gate valvo SW ends Group V

                                                         ~

en. 13.00 52 00 162 2 h Sw-3 V-3-147, -148 Globe end con-ncetions S Group V .g ea. 52.00 104 00 Ep_ccIfIcation S-2299-61 M ci {

                                                                    /

-419 8 1" Globo valves SW cnds Group XI a ca. 115.60 924 80 418 10 ( 1" ditto' L g.,,am . cs>4 M, if '745 ' ca. 115.60 1,156 00 321 1 4" butterfly valveYF ea. 58.00 58 00 416 1 2" Globo valvo SW ends Group .IV ca. 294.00 294 00 420 2 3/4 MS V-1-135,136 Globo valve SW Group # 1 ,, ,,

                                                                                               ;    ca.           62.20                    124 40 421                 2               Globo valves SW Group #10                         S                  .                                                        .

Mark V 24 28 ~ ca. 52.00 104 00 422 1 2h" DO V 36 1 Gate'valviMM ' ends Group IV ea. 176.10 176 10 423 1 2 DO v.36 2 Check valve BW ends Group IV -ca. 183.75 183 75 T"' ^***"*"* * *'e'.'1*rN".*,7s'ac'N5?n'o*a'tv'a " n*"* / Ci""$'Ea".*; ^"" '"""*T'*"* IMPORTANT EXHIBliL9 M .3 , na

  • I ACKNOWLtDGE RECEIPT OF ORDER. J Mu -
                                                                        ~

NSTIFY IF UNABLE TO MAKE SHIPMENT - AS SPECIFIED -

                                                                                                 ,//,,*. [.'.M
                ,, ,,                         PUR$1ASE ORDER '

DURNS AND ROE

                                                                                                                          ..O                                            *..m.
                                                                                                                                                                                  ".e?.2g,3e.03    ,

IMPGMT Anis tuit u-e tes scu t t !

                                                                                                                                                                             * ,e a ,a .aa m. ..c.a.a
                                                                                                                                                                                                                 . n.. ..a. a.c..c OMADE1.t NEW JERSEY 07649                                                                     .                        '*
                                                                                                                                                                                   *W^
                                                                                                                                                                                 ,,,,,8,', O ',carse
                                                                                                                                                                                                                      ,aca. ace
                                                                                                                                                                        ._ Ju ly__17 , 1967 40 180 sareves,riow te swoes onora f.

2299-45

                                                         ~

I .

                                                                                                           ~'l                                       '

e

                'Dorgen-Industrial Supply Co., Ip .                                                                           .
                                                                                                                                                                                                  .r  .. .I TO                                                                            .g 9+             5         .                                                                                . .. m e ..n.

7

                                                                 *                    #/

f* ~ L J

                                    )                  Y l#           +f v m ~ e.

CillP TO_ N - M AIL INVOICC IN b>

,        oVADHUPLICATE TO _700 Kit DERKAMACK ROAD. ORADEL f NEW JERSEY 07649                                                                                                     .                                              4
         'e's",

c u a N t rT T DESCRIP7 ION UNIT ,",$#, AMOUNT ACC0uii

                                                                                                                                                                                                                         ,   ,,g r

276 6 ( 10" Check valvos tag Group II'I ) ea. 1096.00 6,576 00

 ,426                   10              3/4" V-22-24, 25, 26, 27, 28, 29, g
       .                                30, 31, 32, 33 Globe SW Group X                                                        j            ca. 115.60                       _1,156                  00                         l Total                   ........e                                                                                                         10,909_ 05                                         j l                *
                                                                                                                                                                                      %                                             I
                                                                  ,      C W. b **                                                                                    ,                                                             l
                                                                                                                .                                                                                                                   l
                                                                                                                                                                                                                                    }

l l l

                                                                                            '                                                                                                                                       l
                                                                                                         .                                                                                                                          1 THE ACCtPTA NCC OF TNis ORDER IS SueJfCT TO THE TERMS. CONOl?tOPtS. AND INSTRUCTIONS                                                                                                               i PRINTED ON THE F ACE A ND ALVERSE OF TNtB ORDER.
                            ~

IMPORTANT_

                                                                                                      ~

2o [a g C.5 ACKNOWLEDGE RECEIPT OF ORDER. Ii ' i NOTIFY IF UNABLE TO MAKE SHIPMENT AS SPECIFIED er Md t-

                                                                               .               j                           ,r g,q;y eyvac a.m. ... r.
     ,w . a .. .                   -                                                                                     .

_sccerthv/r>b  ! c,. . ,

   .                                                                                                      ,       4   .- .                                                           l K/                        i                               L/                                             1                          I
  ,                                                  CHANGE ORDER                                                                              - ~" - -                              1
                                          =u'.. n .; . tt't.::::n",'.": :.t"' tit!":: :::'lI;                              L-       'ysl'^"y{h"$~R@$1i'l BURNS AND ROE                                                           a~ ace"-"

700 Kindcrka' mack Road AtlcLu_s t_1_5.,__116.~L_ { ' Oradcll, New Jeracy i=> n a

                                                .                                                                                  ........r.,,             ..2_29._9. ora
                                                                                                                                                                  .          - 4.5re Parcol Post F-                                                                                 -1                                                         .. .,....

DERGEtt It1DUSTRIAL SUPPLY CO. HOW o runs esas : osota Paterson, N. J. 14 Stefonic Avenue Aurxonert. cuanoes .,...... To East Paterson, New Jersey 29 August 17, _1967

                                                                                                         ,                                     . . ,, ,,, e , . n ,

Att: Mrn. M. Hilla .

                                                                                                   *                                         (TO W. OU.r A f t0N f.

L_ ' . .. J 2%/10 set 30.dayx

                                                                                                                                         ...n,                      an . . . .

, gg,7a nurns and, Roc, Inc. c/o Jersey Cedtral Power & Li_ght Company ForkedRiver,OysterCrcok,Newhersey,Att: Mr. Clayton M AIL WVofCC IN > QU ADRUPLICATE TO (

     "'"                                                                                                                    U                                          #C

_C1DE

        .         ovaMrity                         DE8CR1PTION                                                 UNIT        ,,$7  ,            AMOUNT                    NUMs

_ CONFIRMING ORDEA , p0 NOT DUPLICATR

       /

This amendment is issued to include the following . I 427 2 1" Globo Valves ' ' ca $25.16 $50 32 System design CA Mark Number V-6-16-17

                                                                                      -~

End Connection S Group V Specification S-2299 ~ TOTAL TH3S CHINGE $50 32 _ s ~ ~~_ . _ x

                                                                    ,'~~-                PREVIOUS TOTAI,                                   $10,909 05
                                                                                    . REVISED 'J OTAL                                   $10,959 37 e

THE ACCtpTANCE OF THIS OmOCR IS SUSJECT TO TME TERMS. CONORTIONS AND fMSTRUCTIONS FmlNTE D D4 THE F ACE AfeO R EVE R S E CL { }1 C Cl; UPr CH A S (OR D E R. , IMPORTANT_ bA D E ACKNOWLEDGE RECEIPT OF CHANJE ORDER.

                                                                                                                             ) o F 3 pa g e.s
                                                                                                                                           /                j NOTIFY IF UNABLE TO MAKE SHIPMENT AS SPECIFIED.                                              ev-t           ,,              /d4#~f7_(_#A4 _
                                                                                                                                             .             Pa L b <a I L i af / J 4.)                &

l .' . 1, 9AcaAsu ononn ' " G _ _ " " . .-22;'yi.",._ lM.O f f f,.fi ts t wo. NW,".t A p,Ua l BURNS ANo ROE [', ,',*,'t,a tafl;'/.n'/4",t'f;,2 OstADELt., NEW JCRSEY 07649 , ". c*,",,*,g} ',* * ' ' ' , * * * *

  • i ,

Au g_u s t 29, 196 ID.Tf8 i .

                                                                                                                                                       ............=.,,.22_92.,_.4 n                                               -

1 Mo_t,o_.r _Freich t Bergen Industrial Company Paterson, N. J. I TO 14 Stefanic Avenue East Paterson, New Jersey See Below 4 l._ ,

                                                            ,                                d 2%/10 ti.e.t.30 da m.

SillP TO .Durns and Roc, Inc., c/o Jersey Central Power & Light Co. Forked River, Oyster Creek, New Jersey Att: Mr. Clayton  ! i >' $uIo'r {ErL.'fcAN To Mc0X10EmitX)ir/MO!XMCXMXXDINTDEDDCEcQQCH5)DtX00:02E AS ADOVE ou nti,r ocsCRIPTIoN UNIT ,"[t AMOUNT #C NUM CONFIRMING ORDER - DO NOT DUP'LICATE . l l Standard Valves Specification S-2299-61 v This purchase order is issued to - cover the following: ' t 429 4 Crano Fig. 33 Xh *

  • en. 513.4C 2,053 60
                               't                                                                        .-                                      .

1430 2 Cranc Fig. 3605XU .A . . One (1) wock delivory *

                                                                                                                 . ca.               18.9C                           37          80 Total                                                                                                                   2,091             40 i

1 LOCATI,0N Fire Tic To Core Spray 1 System. .

                                                                   -++= . ___                                                 .

esp.s.maa m *ec.. . cc org. ., gory,3.gg7;o,,vge;eg.g,;ogigg,. i,.. i,.muevio,.. ( iMPORTANT EXHIBIT L- , ACKNOWLEDGE RECEIPT OF ORDER. I INOTIFY IF UNABLE TO MAKE SHIPMENT erAS SPECIF.IED / /~d' M

                                                                                         , , ,                     f               . ~   . . . . . .  . .  . ....

l l I f

     .,     ,                                                                                                                                                      *~..         :

f MAY 141969 0FFICIAL USE DELY i Milton Shaw, Director Division of Reactor Development and Tec91**y ' IMPOR4ATICE C05CERNING COMPLIAFCE PIPING INVESTIGATION AT l CE3fTRAL POWER AND LIGHT COMPANY REAC'EUR FACILITY f The enclosed memorandum from our Region I (Newark) Office is forwarded for your information in accordance with our previous conversation. his supplenests the inferention provided to Merson Booth by Jim O'Reilly  ! on Friday, May 9 - A copy of the enclosure was provided E117 son Outtes, INS, at his request

on May 12, 1969 onsul s'tand agi
s. D, Low
 '                                                                          Lawrence D. Lov, Director D'ivision of Compliance 1

Eoclosure: i Memoeta5/9/69 ' CO:I to CO:HQ, OUD i ) ccw/ancit R. H. Engelken, CO 1 M. Doeth, RUf

- J. P. O'Reilly, CO 4
  • bec: P. A. Morris, DRL E. G. Case, DRS R. Carlson, CO:I g,h** b
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                             ,,,*g              hATOMIC ENERGY COMMISSION UNITED STATES
          ,4               ,     'e                        OfVISION OF COMPLI ANCC                           201 645 3944 j          i  'l        g          l* I                               REGION I j                                                            970 BROAD STREEY
                     ,                                  NEWARK. NEW JERSEY o7102

] i OCT 0 1969 , J. p. O'Reilly, Chief Reactor inspection

and Enforcement Branch, Division of Compliance, llQ l

JERSEY CENTRAL p0WER AND LIGIT COMPANY (0YSTER CREEK 1) DOCKET NO. 50-219 Trannmitted herewith for your information and appropriate action is the , report of the investigation of statements by Alan li. Caler, Radio News Director, Station WJLK, Asbury Park, New Jersey. Mr. Caler had first  ! communicated his information to the lionorable William T. Cahill, Represent-i ative, Sixth Congressional District. New Jersey who in turn, passed it on to Mr. L. D. Low for verification. Interviews with Messrs. William Major and James Smith who were reportedly cognizant of the alleged piping problem at OC-1. did not develop any in-formation of safety significance or any information not previously known to CO through previous inspections or investigations. Regarding the niatter of the " transferred CE inspector", the one person identified, Charles Smith, is known by the writer as having been both con-scientious and competent while at OC-1 and to have been transferred to the , Millstone 1 project at a point when his area of assignment at OC-1 was essentially complete. One additional allegation, not treated in the re9 ort, was given by Mr. James Brown, Assistant Editor and Feature Writer Asbury Park Press, in a telecon to CO:I on July 31, 1969. This allegation related to a condition in the main condenser; specifically, the condenser tubes were said to have not been properly connected to the tube sheets. This matter was resolved to the natisfaction of CO in telecons between representatives of CO:1 and Messrs. Low and Engelken. ~~ This of fice has been informed by Mr. Low that subsequent to this investigatio - and to the discussions on the allegation relating to the main condenser, he had informed both Messrs. Cahill and Brown that our investigation into these matters failed to reveal anything of safety significance not previously known to CO. Further, that our concerns in these areas had been resolved by the Ifcensee. 19!9/aw.y/. .

                         'S/Nu                                      7,T,b -

R. T. Carlson j Senior Reactor Inspector

Enclosure:

                                                                                            ,3 Comp 1tance Investigation Rpt.                                         "    7 /-

g-- 830'4070003 6V11og PDR ADOCK 05000219 P PDR

9 9 U. S. ATOMIC ENERGY COMMISSION Division of Compliance Region I Cornp11ance Investigation Report 1 Licensec: JERSEY CENTRAL POWER 6 LIQlT COMPANY Oyster Crcok Unit No. 1 Lacey Township, New Jersey License No.: DPR-16 Docket No. 50-219 Type of Case: Suspected Violation Allegations that 1 caking pipes were installed at Oyster Creek, that construction costs were l falsified, that racketecting is prevalent and that construction materials were stolen from site. d Period of Investigation: July 30 and 31, 1969 i Investigator: > u. f A- /d!c 6C/ Alvin F. Ryan, Investigat bn Specialist $atd Investigatorr / 6 '/ 4 - M/.1/[7

                                                                                                     ' Date Robert T. Carlson, Senic[Rea'ctor Inspector Revicued By:                                    c.       fr. ,                       /p/,2k Robert T. Carlson, Senio                cactor Inspector                 'Da(e
             -C304070090-691-104

, PDR ADOCK 05000219 - P PDR

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t. July 30, 1969 , Jersey Central Power & Light Co. Nuclear Generating Station Lacey Township, N.J. SAFETX A~. source advises that an inst'ector who checked the nlant discovered defective piping and filed a report on this. Subsequently, he.was either transferred, or fired from his job. The following reports of defects in the plant were documented

      .by' examination of files of news stories written during construction:

Nov. 11,1967 Nucleonjes Week magazine officials cha*ge that welding flaws were detected in 108 of the .137 fuel - rod control assemblies. Leonard Koke, resident manager for Ger:cral Electric, commented: "We don't th!nk it's a Ferious matter." }!inimiz:ng the problem, he declared "all of the cracks are expect ed to be fu]1y rround out by the middle of next week." (See clippjng). Nov. 21,1967 Raymond Dickeman, in charge of GE's turnkey pro-jects, declared: "The d elay will only amount to a few weeks instead of months. The trcuble is minimal, poses no hazard, won't cost much money and is renerally common in the industry." (S<re clipping) . Aus o 2)c e . 2. , , 9 6 7. Feb. 13,196$f A company spokesman said yesterday workmen can b oCi n fueling the nuclear reactor about Aug. 15 if repairs to faulty velds can be completed by June 1. The spokesman said yesterday General Elec ric Co., which is build;ng the ,lant, has ordered all joints at the base of the reactor vessel rewelded. When this is done, the welds will e clad in stainless steel as a precautionary mearure. (See clipping). May.10, 1968 The Jersey Cent ral Power and 1.ight Co. in continuing thastudy itr study to determine the caure of " leaks" which developed in piping at its nuclear generating station'be ng built at Oyster Creek in-Lacey Township. George Ritter, JCP&L vice president, blamed the leaks on some form of " stress corrosion," but said the cause wasn't known. (See clipping). ElBIT R

h. m o O J Completion of theplant is about two years behir.d schedule and much of the delay was caused by the reactor defects, despite GE claims that they were "m'nimal." Feb. 4,1968 A spokesman for GE attributes the delay primarily to W repair work. " Weld ing repair wcrk,now under way will t ake a b ut 1hree weeks." (This was esrentially what GE said usu in November 1967.). (See clipping). COSTS The Jersey Central Power & Light Co. is presently necking a 13% rate increase but deries that the increared costs of Oyster Creek plant are related. However, William G. Kuhns, president of General Public Utilities Corp.--which owns JCPtL--recently revealed that failure to have Oyster Creek in operation is costing company $60,000 a day to buy power from other utilities. l In ntory of Feb. 4,1968, a GE spokesman was quoted un saying thtt - GE nasumen full cost responsibility for plant. "We have agreed to design and construct a fully operable nuclear rower station for a fixed price." 4 This price van about $68 million. However this much money had apparently been exnended by the end of 1967 and there are now reports that the cont has exceeded $100 million. The state Board of l'ublic Utility Co missioners says it has no copy of the contract between GE and JCP&L, although a copy was shown ecnfidentially to the crmmissioners. PUC also says that the same arranenment was made-with the Atomic Energ Commission. This appears confirmed by following stories: Dec. 8,1965 Leo Goodman, representing RE AFL-CIO, chnrFed at a PUC hearing that contract be nr kept secret, barring deter-61 nation of whether elect ricity cost s will be competitive. Feb. 20,1965 The Atomic Safety and Licensing Board directed the cocpany provide "for confidential review" a copy of its construction cc.ntr et with General Electric. (See clippings) Neither GE nor JCP&L officials will provide figures on the cost of the plant. There are widespread rumors about thefts of materials from the plant; that material from the site and labor have been used in the construction of several private homes in the area. On May 9, 1969, Lacey Township Police Chief Patrick J. Geraghty told an Asbury Park Press reporter that in 1967 he and Lacey Township Commit teeman John C. Parker established K-C Constructors Inc. on the advice of North Jersey" labor workers and organizers." This company then got a subcontract from GE, Geraghty said.

.)      -

According to another scurce, Chief Geraghty made statements at township meetings that he received gif ts worth thousands or dollars from contractors at the power plant because "thev were cood frienris." Gi rts the chief alloEH1y admt' t ed Betting incN..ed form plywood and framing fmm the dhite Construction Co. Sourco .ays chief also said ho"had permission to take all scrap steel lef t on job for John phrker, and this included 60 to 90-foot H beams, T beams, e,tec1 sheet piling, and piping. Thef t of materials plus ten strikes between 1 cb. 13,1965 and  ! Jan. 24,1968 certainly added to the cost of the project. The strikes op rat ng engineers, boiler-

             -involved  electrical workers,   carpenters makers, pipofitters, and irtnworkors.        $tikos nlleCodly cost up to
             $40,000 a day.

Thern should bn full public disclosure of the costs of the projnct, the lorses from thievery and from labor trouble. (GE has discontinued turnkey projects since this one, but denlos

              !L la becau e of heavy loss at Oyster Crook).

jab

     # Lacey Plant May WIM                                                                                                                 1 J

i [ i JEB 131968 lOpen l Next Winter " " .

          !       1. '.vt ;Y 7tm .*Gi t!!' - 112 will le clad in a #dainlesi stect i s u y 1. a st winter TxWi"Jer.'as . precautionary incasure.                                                                                                 .*                                                                                                                                                                  ,,

P.wcr .t Jga me crads of anare inchmr twenty. ' i*v. ,, .

  • n' e al fifth thick. 'Dicy a
          ;tgyr!.*arl*mered grierrat. vere dixmcred during pres-                                                                                                             #

i ;; rt.c'.*rn in cnmarssilah. sure tents last fall, when the ' (L, .,,,*r..t en **" vrsvl was filled with water un. *

  • A r.. i.;uny spi.kc9 nan said , der preuure.
           'sc,1 :.t..v useimen can legtni 1( fle new wrlds pus lle                                                                                                    *                                                                                                                                                                             '
           . t u r 1. a :t II.c seurle.ir reartnr' required tests, the company                                                                                    a            *s
               ..t .. e      .%.:.        15 if repairm lojwill seek a Federal Atomic                                                                                  **

4

  • 8
           ' t..ahr weids raa le completrd e F.ncrgy Commtulon permit to
  • g* ,
            .bv . lime 1. Orna.tructinit of the trgia loading 121 tr.as of tira.                                                                           ..*                                                                                                                        g
              ' U0 milbnn plant has been de- nitim dinside pellets into the                                                                                                                                  .                                                           ,                                   .-
            ! !a'.i d insth by strikes and core of the reactor.                                                                                                                      .           .,
  • Viis operatum is expected- ** *- .

j j enmerting e rr. b in wclds tle on 108 pipesreactor vessel lIn et $17 million. The fuel ,* .

                                                                                                                                                                                                                                                                                                     .g
  • lauf a dry wr!1. shan tren t.tnckpiled at the site .

When run trinfiri be'gan in .edrut Decomim*r. = -

0. ' uter IMI. the company had Itaned on this schedule. we .

g .

                                                                                                                                                                                                                                                                                              .          *[

etterttd to Ic oper:iting the can le in operation by the end .

              .C:nsoi kil.m att generator by of siext year. the JCP&!. spokes. *                                                                                  ..*              *                               *
  • i test \ tab Company olheials inan said. . .
              ;l >l 4.n'i d a.n tic 's.cw plant I:arlier this month, con. s                                                                                .                                                                                                  .
  • i si:t.: !cmi t.t c ... ting gearrat. s.truction ofheials said tie plant * '
  • l s:::t .:a'.on.s in meetsng peak was D6 per cert completed and
                                                                                                                                                                                                                                                                                               *
  • i
              .lmer demarkin expected next may be operating within sir                                                                                         ., .                                   .                     ... i months.                                                                                                                                                    *
  • l 9.,..n Tic rt.,=.6.esm.m s.dd yester. The rompany plans to bul!d .

6 g u y Gen.r.d 1;lectre Co., uluch a second nuelcar powered gen. . , is bc.l.Mg the plant. has or.ierating 6tatmn here by 1973. . dered all y.ints at the twe of ThiS will cod 8'n c>titnated 81;10

        .       the when   ret.rturthis     vest.el is done. rewelded. Il+e            weldsoflmilhon,                                and fiave h generating * *
  • capaesty  ! 1,000 kilowatts. .

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                                                                                                                  . i bury Park Press repcrter who I #fTV TDttM11TP - Ray.                                                                          .              siserd the pbnt.                                                                            f meno a         irtiernan, General                         -
                                                                                                          .           l AM -ho issued the cr:!cr.
  • Electric Corp. Turnkey Projects * .Mr. Clatten sa:4. "Those or.
  • mana tr. last nir.ht told the As- dets carce . . 4 bury Park Press -We are aware
                                                                                                            *         '   DickemanT.(.,regtly,J . .(rt.h., Mr.                                                                         -

e " of as cracks is the reactor . .  ! Mr. Clapen did comment

  • useel at - the *ersev Ces'ral ., Ihomever, on a short lived two.
  • Pen,- sc 13 cst C . 's  : car- -

e hour strike at the plant last Fri.

  • ae'asrassac m56 l day by mernbers of the elec. .

arre. . . .Itrical unian and part of the pipe -

  • Spenlung by sele bis See . lese. Cahf. phone J fitters union. Ile sabt the strike .

Mr. from eftice, ,

                                                                                                                          .was the result of a dispute over            ~                                                      *
  • piene. man abe vigorously ,

the scheduling of work hoors. -* * , . . . d,nad reports that repairs to ,,

                                                                                                          ,                *lt didn t amcunt to much. The                                                                                                                               .           .                                     ,

issue was pickly reselsed to -- - - .* . jeg leaky pepes is the 610.995-  ;. . kalsmatt nuclear genesating e. the satisfact:en of everyene cos- . ' plant son'd delay constructico 4 concernd.** Mr. Cia.ston said. 3 Dcnied Initial Reports . , . . *

                                                           .-                                                                   Officials of the cr.r;eratiort -                                                                                                                            4 ofI the        fac&/}be              at f least                    nine               --                                                                                                                                                                                                                                                   .

ynnnsM. g. ,t , , , don't Loww bow a re- .

                                                                              ~

denici reports Nov.11 ei seri- . . came into being." Mr. . lous flaws m the reacter reml%at the Jersey Central Power & p , . , -

                                                                                                                                                                                                                                                                                                                                                             ==

i heman sax!. *Every rept. . ( we hase indicates the present. . . .. ;Lis;ht Co. s station. , repair wnrt schedule will only .

                                                            "        .                           -                               Lennard Knke. GE resident-                                    .g . ,             .

cause a dehy d g . manager, said a leaking weld , ..  : . , 7 3

                                                                                                     .                       can be repaird with                                                     -                          -

tecks at mest. . delay m construct, ion.ja he saidsli;51

                                                                                                                                                                                                                                                                                                       .e                                                           .
          *Since launching our epair                     .
                                                                        -                                                  jthe $68 million plant is still
  • tork schedule.** Mr. Dickeman - expected to be completed late is -

contirmed. -We have had a se- .,- ' December or early in danuary. . . rics of meetic;;s concertung,the , . De flaws were revealed by 3 . repair prect5s with , various - officials of Nuclecnics WecY - - stomic energy agencies. We Magazine at the recent Ameri.

                                                                                                                                                                                                                                    ~
  • tre c dng forward with an in. ,

can Nuc! car Society's Atomic

                                                                                                                                                    ~
                                                                                                                                                                                                                                                      ?                 -                                                                         -

se ts; pure pro ram of these re- Industrial Forum in Chicago. * . .. pairs which trrn't inordinately g. The ma;;arine said flaws had * . compheated. , been detected in 108 of the 137 . ,

  • Repair Erk Proceeding l fuel rod control assemblies. .
          "The repair wort is proceed-                                                 **
                                                                                                       ..'                   I Mr. Dickeman two weeks                                                                 *                                                           -

e Ir.::.t the cc.nver.ience of the en. !ago told the Asbury Park Press , tire project. These repairs * (that " reports of such fla vs *

                                                                                                                                                                                                                       .           5 r.cedn't n.a.rwr:1v be com-
                                                                                                                             ?at the Forked River nuclear                                                                                                                                         .

ple-red by the er.d rit December. plant hase been bbwn out cf - bit t>.e ' work will thrme us off ' proportion. I.ast night he said

  • c r predicted ccmpletion date- ;GE had built about ?O scch ,, . . , ,,

I*i the intr <ti; ati.e process . 'nlants throu;;hout the w or'-4 * . e w*.:e h mi!! Ic. l to a short de- {fialf of them hfor commere11 12 6 f a. ~ Ear!v b-t e ene.e. Keith .luse and the ot ers or govern.

  • ments. .

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              , 18.epgvocT,New Yon.g                                                                                                                                     Yssetras. Hew Yea.t 10700 (914) YO S4100 aas a""*                        Congrcsd Of (IJC EinitCD OfAfts                                                                                   c mm          .r .ev o r.=

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4 Acomic Energy Commission Washington, D. C. 20545 Re: Oyster Crock No. 1 Nuclear Power Plant Gentlemen: It has como to my attention that the above nuclear power plant han had a number of problems fro.n suppocedly bad wolds and metal failure. I also under::tand that tests were performed to see now the rep: firs might be made, but the corrodents were never identified. I would appreciate receiving from the

;                                         Commiscion a completo report on the nattro of the

)

                                            -2 d an metal p+.51cm3 at thic plant and wha t autempts have be n macc to identify the corroden h i                              and to solve the problems. There in also concern that thic plant will rolcano radioactive material into the atmosphere and liquid colido on a batch bacic into IMrnce;ut Bay.                                                   Information as tc, the probability of thic occurrence will alcc be grea tly b//               ,      appreciated.

[jf i Sinccroly,

                       ;~j'p Ck'                                                       An                             e                           . chard L. Ottin6e                                          ,

Member of Congress '

                                                                         ,.. . .                                    A RLO/ca                        e ,' ik 2                                      /
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R. F. Fraley RE: EXTERIOR PB0f00 RAPES OF SEE METROPOLITAN Executive Secretary, ACR8 PLGGENG SUPPLY COMPANY, IANG ISLAND CITY, 1034 H 8treet NEW YORK In sew h o with your recent request, enclosed are solored prints of five photogtsphs taken of the exterior of the Metropolitan Pltzabing Bupply Company, Long Island City, New York--one of the suppliers of valves for the Oyster Creek reactor. Enclosures 5 prints Delginal Qned by. ai. H. Cns:ciben R. H. En6elken, C0 e/1/69 e

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Jersey Central Power and IJght Company (Oyster Creek) - An inspec-tion was conducted on Jujy f/..and 10 to observe testing techniqueis an1 to review the test results relating to the additional inspections I, pl'rforr.ed on ATAPCO pipe and fittings within the drywell. '1he test procedures for the required ITT and Ff jnspections were found to be in accordance with upplicable standards. '1he test results rnet ap- - plicable requir eents. In: pectic:;3 .:ere :Jd e at GE-;',..n Jcce red at X-:"Ity Engineerir.g in

                                                     .Can Lhtec , Calircr .1.1, en July 10-15 to review the results of radi-ognphy Leing cc:ti.;:tvi cr. P '"Irety valves supp'iesi by : rescer Indu:: trier. .Cixt' / - " '. 5 * ' ; "a l te xl'1 t.* celected f: P tse at rfjsts.r tree %. .L.r.aegupy a u. ; ! xel cores i.ct tvara ir. the base                   .

castir;cs which w:.uhi ehrsify the en:Lir.cc nc ifTA 1.~/1 Clnsa 4 ihch valve is being evaluated individually (by GE .ed to the naticraction of the regulatory staff) as to its acceptability for nuclear service. An inspection was r:ade at the site on July 23 to review the results of recent leak rate tests of the min ' steam isolation valves and the A reactor building. Ihch of the four main steam valves meets the leak N rate limit of 5 per cent of the allcmable containment leakage of 20 , psig. Disassembly and machining were required on three of the four ' valves. 'Ihe reactor building has been icak tested both with the y inner and outer railroad airlock doors closed and with the inner W door open. 'lhe tests were perfonned with the doors held closed by  : means of makeshift equipment. A permanent sealing arrange:Ent is

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being installed. Additional leak rate testing is required and is .. . scheduled to be conducted before power operations are initiated. . J7 s .?. ', 7

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l DIVISION OF COMPLTRICE M0h"ntLY REPORT JULY 1969 i Dresser Industrial Valve and Instrument Capany, Alexandria, la. - 1he Dresser Valve Shop was visited on July,17 to obtain specific in-fonration on specifications, nonde'structive testing, and acceptance standards for reactor primary system safety valves. It was found , that the body castings used in the valves supplied fot Oyster Creek, Millstone, and Dresden 2 will not meet Class II radiographic staBdards. 4 0 4

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7/30/69 - RE: JERSEY CENTRAL AND RYAN IYTERVIEWS Essence of a telephone conversation on 7/30/69,12:00 noon, between J. Carlson (CO:I) at Headquarters, and J. Ryan (Co:I investigator) calling from Asbury Park press in New Jersey. RYAN: These are the names of the five people with whom we had interviews this morning: Jim Brown - Assistant Editorial and Feature Writer John Ladvig - Reporter Imrry Cmvley - Reporter Den Less - Assistant Managing Editor Alan H. Galer - Radio News Director These men are all connected with the Asbury Park press. They again re-pested the infortsation given yesterday by Galer to Lov, to the effect that about a year ago an inspection was made at Oyster Creek by a GE inspector who had X rays taken and the pipes were found to be defective. CAESON: Did they talk about vbat motivated the visit? RYAN: Yes. They mentioned that a foreman, James Smith, member of Local 331 Steamfitters Union, Neptune, New Jersey had called for the X ray test of ther pipe. When the GE inspector is supposed to have submitted his b repon, he was transferred, fired, etc.; we don't kr.vv vhat happe.md.. v CAESON: Don't we know the name of the inspector 7 RYAN: No. 'Ihey gave me the names of Smith and a William Major, head of the Major Construction Company, 536 Skylark Drive, Toms River, New Jersey, telephone: 201-349-7591. Major was present when X rays were made. CAESON: In what capacity? RYAN : I don't know. He saw and heard the examiner state that the material was l inferior. l CARLEON: Do they know about the system?

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l RYAN: They know nothing about the system or piping. Recently JCPL made appli-cation for an increase in rate, originally about a 2% average. Last veck it had become a 13$ increase. JCPL says this has nothing to do with I J

e 9 the Oyster Creek reactor but people here are making allegations of all kinds of arrangements have been made with regard to materials going to different people other than those authorized; kick backs, etc., all of Wich go into the cost of the reactor. They want us to look into it. EARL 80N: These five gentlemen got all the infor1mation from Smith and Majort RYAN: Not all five. Crowley is the one t o made the statement about the in-spection being made by the GE inspector. Galer identified Major as the individual do was present. Jim Smith, according to Omler, had been employed as a foreman at the site. He doesn't know

  • ether / he is still there. He is the man t o was supposed to have requested that the examination be done.

CA E80N: When did Galer and Crowley get vind of thist RYAN: They have a dole series of things going back to November 1967, be-ginning with the Nucleonics Weekly, a story on stub tube problems. I also have here a 34 page suranary of various nove articles and background inforination . It adds up to about this:

1. November 1967, Nucieonics Week article on stub _ tube. problems (u/21)
2. December 12,1967 - an a:ticle quot.:g daymond Dikeman and appearing in the Asbury Press.

CAE80N: Did Asbury Press make any reference to the Nucleonics articlet RYAN: Let Me check. The November 21, 1967 quote relates to the Nucleonics Week story and quotes Dikeman and the JCPL people. Mr. E m wn gave me the following compilation and he put it together:

1. November 1967 Nucleonics Week article on stub tube problems
2. November 21, 1967 and December 12, 1967 articles from the Press quoting Dikeman re the delay being only a matter of a few weeks in-stead of months.
                      ,p 3      February 13, 1968 - a quote to the effect that abo ut August 15 the reactor would be ready for refueling.
h. May 10, 1968 - JCPL is continuing to study to determine the cause
                   '[           of leaks dich developed in the piping at the generating station at Oyster Creek. Ritter blames leaks on stress corrosion but the cause is not known. Also stated is that the completion of the plant is about two years behind schedule.

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e 9 f l 5 February 4,1968 - a spokesman for OE says that the delay is l i primarily due to repair work having to be made which vin take

                 /[,             about three weeks
6. July 30, 1969 - quoting from the summary - a copy of the contract was confidentiany seen by the Commission.
                          . 7    December 8,1965 - Leo ooodman, AFL CIO charged that the contract was being kept secret.
8. February 20,1965-// ATELB confidentiany reviewed a copy of the construction contract with GE.

9 Also in sumnary are the tonoving rumors of thefts from plants i (sumanry is of articles published in the Asbury~ Park Press). CAEDON: Did M / they give you any more details on the defective piping? RYAN: No, other than the story in the article. CA E00N: Hov was everything left? RYAN: They asked we if we W.iid be c.miucting an is.ves*.14ativa. I said that under our groundrales this would est be done, vhat a number of ane-gations pointed out toward criminal matters and that these vould be a

natter for the Bureau to handle, and not for us. It was again noentioned that these were rumore and that there was no concrete evidence of theft or that the police force passed on every security guard, or that of the $3 an hour spent for pay, the man got only $2 and $1 vent to some-one else; or that the Maifia was involved.

CAEDON: You indicated that under our groundrules we vould not be getting back to theaf RYAN: I told them that investigations and results of investigations are ex-cluded from the PDR. They wanted to know vbat the jurisdiction of the AEC was. I said that we had licensing authority for construction. They wanted to know if we didn't have standards to fonov. I said that these are written in the contract and how they are enforced I didn't know but thatwe(Compliance)didnotgetinvolvedinareaswehadnojurisdiction of. CAE80N: Were they happyt

/. e O , -b RYAN: n ey were glad to know that we were involved more in the matter than ', they originally thought. Chiefly, wbst is to be considered are: { 1. D e n te increase.

2. The unfounded rsseors of theft.

3 Allegations of kick boek.

4. Allegations of defective material.

CAESON: What are the main areas of concern, for exasrple, this Ikaith and Majorf RYAN: How the defective pipe got in and if it is, t y vos it not repisced. Boarone was lax in supervision. CAESON: Did the d,iscussion have any extra emphasis on this or on all alle-gations equally? RIAN: The emphasis we on Chief Carrity's (spelling) actions and his present mode of living (luxurious). Where do I go from heref c.WK f Fa vill get to that 1 ster. Did they speak at all about the article ! '6 s u s going to 5 publishadt RYAN: No. We did not discuss est they were goirig to publish. I made it clear to them that I had no official authority to make any statements in behalf of the Commission or anyone else and we mutually agreed not to publish any statements made to one another. I said that we have a problem of determintrw who has jurisdiction over dat and that if I could establish anything that related to the reactor and that was within our " charter", that we would look into it. '1 hey agreed that this was a reasonable approach. CAE805: Did you indicate a possible interest of getting with Daith or Majorf RYAX: I said that this would be detemined by Headquarters and that I had been sent down only to interview. CAEDON: You might want to pull all of this together for a trip report but not in final form yet. conversation enied.

           .        T h                                        h July 31,1969 Telephone conversation with Carlson and Ryan, CO:I.                                      Present: Iow, IDn6elken, O'Beilly, and Clara Miles RCarlson - I'll back up to Ryan's interview yesterday with the Asbury Park peopic. I have reviewed same additional inforTation that Ryan had fmn that interview. This infomation consists of a sumary cheet of sane items that included the allegat$cns rep;ard-ing defective piping plus a corrpilation of articles relating to the plant that have been published in their own paper. All this information comes under the heading of SAFE 7Y. She second is en-titled COSTS-costs for building the plant,-starting off with reference to the 15% increase. This sunnar.' sheet appanntly was pulled to6 ether by the press people specifically to present to                 . July 30, 1969 Attached thereto are a number of articles from their paper (the coes they make reference to).

For the most part the section talking about safety just has one or two sentences like - htr source advised that an insector checked the pinnt, discovered defective pipe, and filed a report. Sub-

                                                                           - qu<d ' he was either transferred or fired frcrn his #ss job.
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l l 1.au bem on, under the safety section, there are brief items. Uhese articles for the most part speak to the stub tube pmblem.

                                                                           'lhe first cne references an article of November 11,1967, fmn the Nuclecnics magazine - we don't think it a serious m tter.

, Another they got from Dic) cran (spelling) - delay will only annunt to a few weeks instead of renths. Another article, Pcbmary 13, ifotifex 1968 re fuel. May 10, 1968 article which says JCPL con-tinuing to atta$y to determine . . . . Ritter blamed leaks on stress corrosion. Plant about two years behini schedule. krT, Febmary 4,1968, article - spokesan for GE contributes delay

                 . ,c g                                                      primarily to repair work. All of these articles speak to stubt tube pmblems and field welds.

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4x c'58 Uhe section entitled COSTS - JCPL presently seeking 15% inemase r.o f

               @<                                                          but denies cost of Jersey Central related. Mn, President . . .                                                                      ,

b$ cost $60 Maugh thousand a day to buy power. This Boes on speak-c' a. a ing of costs. It talks about original cost of $68 million

O O 2-and reports that it now costs $100 million. 'Ihe Doani of Public Utilities says it has no copy of the contract althoughtf a copy was slan contjdenthily to the Camission. The Board also says the same arran6cment was made with the Atcmic Ehergy Cecmission. Dectsrber 8,1965 - Leo Goodnnn representing the AlbCIO clerged that the contract was being kept secret. February 20, 1965 - ASIB asked the conpany provide for " confidential review" a copy of its contract. Neither OE or JC officials will pmvide costs of the pinnt. Paterial used for private hcznes in the area. Iacy Township Police Gherity told an AP reporter in 1%7 he arri Iacy Township Parker established X-C Const -tors, Inc.

                  . . . .New Jersey laborers and Organizers. 7his cocpany goc a cub-contract from GE.
                 'Dere is a statenent that there should be full disclosure of the costs.

Inw - Is this the sunmary c" '.h: art hie they are getting n ady to -- print? yg C - Al says not that te is awam of. Mr/was given to him as a sununri-zation of the articles that appeared in their paper. L - So we do not know what their plans are? C - 7 hat is right. One of these articles speaks to this business recently of Atapco pipin6 The biggest pmbicm that is sunmarized , is the one with the stub tubes. In ray own mind their real interest is to ccme up with sorm story trnt will tie in the coat of build-ing Oyster Creek with this request for rate inem asa. 7his alle-gation tint we have been pursuing is only one of unny that ccrue into this. 1, - I uncierstand. C - 7bday we talked with two people-supposedly tre source of infonna-tion for the Asbury Park people. Mr. William Major (they both denied any contact with the Asbury Park people). 8 8 T <' %, . 1 ; ,q $ l

o O _7-At this point Iow nentioned that he had asked Galer to open the doors for us to talk with the people that they had talked with aM Cariscn said that it did not work out that way, etc. C - It turns out them are two W1114= Majors--father aM son. 'Ihe one w spoke to is the father. lie was a boilenraker at the plant.

                                                                                    'Ihe son is the owner of the 'Ibms River construction 3 m. ('Ibe Asbury Park people identified tle owner of tim constmetion fim as being the person who stvo tlxnn tle infonrntion.)

L - Why did w not talk to the cmner? C - Carlson then explained about ftyan's telephone call. 'Ibe hdy who answend the phcne asked which William Itajor. She said her hus-hand was the one who warmd at the plant. C 'Jhis cinp Major (W1111m Hajor, Sr.) was enployed at the site first with the steam fitters and then with the boilerrakers frcrn June 66 to about iknember 1968. Worked'both in the buibiin6 and in the zwactor tuilding. His work has been solely with carbon steel, definitely not stainless steel. lie worked on

                                                                                                       , penetrations for the sn ency u condenser system,
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clucfeical pr..r'...:..ica sd L.W. :.*;; .v.m cf stub tube aM in-stallation of the drive. Worked for Ibyle and then Inter for J. A. Jones Ccnstruction Capony. Jones replaced Doyle. In our discussions with him the only deredts of note that he could - speak to were those of stub tube pmblems and then problene ex-perienced by the craftsmen in welding Piping in the sw3*cy condenser system. lie did not work direct .... lie made reference that this was rolled and welded pip. He rede reference to tic fact that this came from 'Ibbeco. lie made wonis to the effect that pmviously be ind worked in a lot of conventional plants aM they always used seamless piping and this was such an p icportant phnt. Since it was such an important plant should it l not also be seamless pipe. lie went on to nlate a specific prob-I L lem experienced by the welders-still talking about seamless pipe-- when you have miled aM welded pipe it ccznes out scrneWhat egg simped and welding this together in the field you mn into prob-l, lems of highs and lows. He was satisfied that whatever pmblems ,

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                                                          .n-they experienced did not go undetected. Shis was all X-rayed and all detected but that it was a real prt>blem. When asked if                                                       .

he had any knowledge of this specific information, the case of the forunn calling a UE inspector in . . . . and then concluding that it was inferior pipe and the inspector was fired, he said be had no specific knowledge of anything in the reactor building but did recall a case where a litrns and Boe inspector by the name f kid tiike scmething or other (he could not remenber his last name) wtn left but he does not know why he Icft or any circumstances surrounding it. He knows of no other inspector wN was let go for any reason. 'nnt is the basically the gin of our interview with Major. James Snith - James fhith was employed at the site also on and off fzxxn Decent >er 1966 to June 1968. Initially for a couple of months was a welder for Doyle . . . . and back in thrch of 1968 first as a steam fitter and then as a foreman until Decerrber 1967. At that time all the welders in the enploy of Doyle ware let go. He could g not give any good reason other than they were told they were going-to be let go. Ib came '.e ak in again in January of 1968 and workec

               *<1th Honeywell on instrunxmtation again as a foreman until June 1968 when he left. During this time as a foreman he worked on the emegency condenser system. He, without prrnpting frczn us,at                                                       i the start of 1)u our interview started talking about the 15% rate                                                      l Increase sought by JC. Had questions about when this plant would get on line and implied that cost of building had scrne tio-in with rate increase. When we questioned him about the specific problem he said the cr?y thing that he was aware of was again the km stub tube problem and the situaticn with the condenser piping. When asked if he had any reumberance of a situation involving a forcrnn arx1 a OE inspector looking at a section of pipe and then being fired, he said no as far as the reactor side of the plant. He said there was one GE guy win left--Charlie Snith (we talked about this yestertiay). When asked about any
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e 9 specific situation involving Charlie Snith he could not Iveall it. Men asked about leaking pipe he said be did not see how any of that could be leakin6, that it was all X-rayed and repairod. !!e was there during 11ydro testing ani said he was involved in this and the only leak was connected with the stub tube pmblem. When presoed further for any defective pipine, any Immors, etc., he said one I instance of a saddle tee 8" x 10 or 12" , one where Der weld crap and so on was on the indieinside where they had not cleaned it out in the shop. lie said it was cleaned out in the field but it was a hell of a job. lie had one interesting thin 6-he said just out of curiousity he had one of the radio 6raptwrs shoot some longitudinal seams. lie and Charlie Snith looked at it and it was all right. Ile put a 99% confidence on that. 7his goes back to December 1967. lie played the part of a disgruntled worknun. lie said the articles were unfair when talking about the stub tube problems-the articles said this work was done by steam fitters viFit wart W.lermakers. ("3 was a steam fitter.) lie iniicatco thic *m not thz en1.y z: i reference made to that. 7 hit basically is the essence of our interview with Smith. Low - iow then said a6ain that the thing that bothers him is that we had told Calcr that we wanted to talk with these two guys and , wanted him to make arrangements. E Carlson - The situation as far as lining them up is as I described it. It was a breakdown in my ccxmunicating with A1. i At this point O'Reilly gave Carlson the gist of a teleplene call he ind just received frcra Kirknnn. Kirkman had received a call from Brown (Anbury Park press) with additional infennation. Brown gave Kirkman the name of Charles Smith, identified as a welder. Said the original X-ray c:mpany at the site was let go and then they l L i . *, .

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_c_ . brought in another. Ghis second cocpany has a reputation for X-rays disappearing. lie identified a probim area. The problem area was the condenser. 40,000 tubes in the main dx condenser ani they have not been been prcperly tied in and also buckling and contaminated water. Carlson - One of these guys did work breerly in the rain condenser. , I The Euy that worked over there was Major. He started on that side of the house as a steam fitter back in June, July 1966. Worked first for Allsteel and then Worthington. l O'R - Infomaticn on sabannt main condenser was obtained from a man named Crowley. Brown gave three other names - Gibson, fran Incal 331; tenlane; David anith, foreman on the condenser job. Brown just got this infonnktion today. Ile also brought up Major. lie has more dope cn the electrical penetration. At this point Carlscn and Ityan were told to Call Kirkman and then stay at the phone until we called them back. 7blephone at the booth - Code PC1 892-95?0 1 9

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  • nn e } July 29, 1969 J' .

Docket flo. 50-219 -

                        .lcruey Central power f Light Company 6A Hadison Avenue at punch Bowl Rond Morristown,llew Jersey 07960.

Attention: Mr. John E. l.ogan Vice President s Centlemen: t/c have reviewed the information on the Oynter Creek reactor pro-vided in Amenilment No. 's'l to your application, dated . lune 12, 1969. On the basis of our review of thin information and af ter discunnions at several meetinnn held willi the representatives of your Company, tlic General Elcetric Company and Iturns and Hoe, we have concluded that further action is required. This letter confirms our conclu-sf ons stat.ed orally to you and your representatives at a meeting hold on .luly 10, 1969, and at earlier mootings. i

1. The stainless steel insert inlet nozz!c, the forged metal disc, and the valve body castinn from the hinh pressurc e 4 inne (nee to the elevnt hin at the center line of the

) ....wh.icho nornir twith the excep lon of tiie outlet nozzle 5 and outlet flange) of each of the 16 six-inch safety ! valves nhould be sub.jected to a radionraphie (ItT) or ultranonic (UT) examination and to a liquid penetrant (PT) examinatlon. Hannetle parttele (MT) examinntton ! procedures riny he subst ituted for the PT examination. The examination tecliniques and acceptance standards should he documented. The program deserthed above

should be completed and the results documented before full power operat hin may be authorized. This documen-l tatton should be uvattable for inspection by AEC tepresentatives. (The above description of partn of '

valves to he examined npplies to the valven which, according to information furnished us by representatives of the General Electric Company, are currently pinnned to be installed in the plant. 'Ihc description of parts l does not necessarily apply to other makes and models of valves.) 1., -l l 3' . L.

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                                                                           .luly 29, 1969 Jersey Central                                  2 i
2. Additional inspection is required of the piping described in Amendment No. 53 for which adequato nondestructive testing records are not availabic. Eis piping was installed in (a) the emergency condenser, (b) the core spray, and (c) the shutdown cooling systems as described in Amendment No. 53.

(a) 1007. RT or tff examination of the remainder of 1 unexamined and accessible longitudinal welds of the pipe within the reactor coolant pressure bound.iry out to the second isolation valve nhould be performed. (b) for the piping examined in accordance with (a) above, and which has not been previously examined by PT,100% PT of the longitudinni and girth velds out to the second isolation valve should he per fo nned. (c) Additional tests on the approximately nine feet of - 12-inch piping that was removed from the emergency condenser system should be performed as follows: (1) PT of inside and outside surfaces, and (2) determination of the metallographic condi-tion of the base metal and weld material. ~ f f' h.s pron...., denerihed above nhould he completed and the resultn. Includinr, examination technl<1uen and acceptance utand.irds, documented before full power operation may be authorized. This documentation should be availabic for inspectton by AEC representatives.

3. The inspection program conducted on the two 18-inch feed-water valves and the carbon steel fittings in the reactor coolant pressure boundary which you indicated were magnetic particle tested should be confirmed. A description of the examination methods and acceptance standardn followed should be documented before full power operation may be authorized. This documentation should be availabic for inspection by AEC representatives.

4  % c procedures and results of the Icakage tests conducted at a pressure of 20 pain en the inboard main steam line isolation valves should be documented. 'Ihc leakage limit

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e e . . 6  : Jersey Central July 29, 1969 for any onc valve at a test pressure of 20 psig nhould not exceed 11.5 rubic feet per hour (cfh). This limit

                                     .ipplien to both inhonrd and outboard valves and corre-spondu t.o 57. of the allowahle operationni lenk rate at 2D pulg described in Sect ton 4.5 of the Technical Speciftentions. 'this information should be documented hernre full power operation may be authorized and should be nvnilable for inspection by Al:C representatives.
5. To assist un in our future inspections of the plant opern-tion, n report describing tlin nondestructive inspection methods used and neceptance standards npecified and applied for pipes, fittings, valves and pumps of systems outside the renetor coolant pressure boundary should be provided to the AEC within one year. Itcsults of the inspection and documentation of the inspection methods and acceptance stand,rds should be available for inspection by AEC rcpresenintIves.

The provinions descrlhed in items 4 nnd 5 nhove will be reficcted in the Terknical Specifications for full pnwer operation. Sincerely,

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Pc'"r A. Mor in. Director l Division of itenctor I.icensing cr: Georne l'. rrowbridge, I;squi re i Shaw. Pittman. Potts, Trowbridge 6 Madden i 4 l i 4 i 6 4 Y

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h. fb' RESPONSES TO INQUIRY ON OYSTER CREEK
1. O. Jorsey contral has issued a statoment saying that its ,

oystor Creek plant will be hold up from full power

  ,                 oporation in order to meet AEC's requirements for further inspection of pipes and valvos.                                             Is this corroct?

A. We'have informod Jersey Contral orally, and we will con-I firm in writing, that before we can authorize op, oration of tho Oyster Crook plant beyond the presently-approved fivo thermal megawatt level additional non-destructivo

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   ,                 testing will be required on some piping in the engineered safoty foaturos insido the reactor coolant pressuro I

o boundary. This is within the dry well which onolosoa tho ronotor prosauro vessoir it is part of the contain-ment system. We also will require additional non-destruc-iv- N ting c f s.:'. '; vr.119s in the reactor coolant system'. s . Results of this non-destructive tosting tted . tho AEC Regulatory Staff Jo&roview-and--evaluation-- boforo further considoration can bo. given to the applica-tion for a full-power operating license.

2. Q. Why are those requiroments being imposed?

A. So that we can confirri that all piping and valvos are adequato for operation of the plant at full power. We havo' boon discussing the adequacy of. piping and valves, h // g3o40fo  % $f)$kC . D PDR A O P < PDR , g f, , ,

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_2_ i particularly those within the primary coolant pressure l f l boundary with Jercoy Contral and General Electric for j l l On June 12 the company submitted

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amonomont 53 to its application which stated the company's After $ ovaluation of piping and some of the valves. l l 3 careful consideration of that amendment and further' . I ' discussions with the applicant, it was our judgment that ' additional non-dostructive tosting is necessary to assure tho adoquacy of the piping and valves. .

3. O.

Doos the same sort of situation apply to other plants? A. We are looking further into the situation of piping and j l , valves at other plants, but it is premature to comment at this timo. .

4. O. Why has it taken so long to determine that additional testing is necessarys
                                        ,A . .                        This matter has been under discussion for some months.                                                                               ,

The amendment 53 on adequacy of piping and valvos wat , filed on June 12 and we have been evaluating it sinoa '

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July 15, 1969 Ilarold L. Prico, Director of Rogulation TELEPl:0NE CALL-FROM JAMES LIDERMAN, COUNSEL FOR GENERAL PUDLIC UTILITIES Jim Liborman, Counsol for Gonoral Public Utilitios, callod l i this morning to lot the Commission knnv that GPU plans to I incuo a press rolonso probably tomorrow morning concorning tho dolays at Oyster Crook. Mr. Liborman falt this action , was necessary in ordor to fulfill obligations to the now York stock oxchango and others. Tho notico will rofor to the AEC's roquiromont for furthor inspoction of pipes and vaivco prior to authorization for full power operation. Tho notico niso will list GE's ostimato of the potontial dolays to inspect and/or rapinco valvos as nocessary.

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          = DIVISION OF CO@MANCE                                                                                  JULY 14,1969 BEDE3DA, MARTMND USAEC, RWERT W. KIRKMAN, DIVISION OF COMPMANCE NDIARK, IEW JERSEY

' USAEC, JGO{ 0. DAVIS, DIVISION W C09LIANCE, ATLAlfrA, OBORGIA USAEC, D0YCE H. GRIM, DIVISIG4 & CQfLIANCE, WUX, OAK BROOK, ILUNDIS USAEC, DONAID I. WAIJS, DIVISION & COMPLIANCE, IENVm, C0!IRADO USAEC, RICHARD.W. SKrDI, DIVISION & 00MPMAN2, BDU22EY, CALIFmNIA UGS IS TO CONPIRM DE 'IE200NS BEIWEN KDDIT H. ENGEMEN, ASSISTANT Duwadi POR INSPECTION AND D(PORCBGff, AND REGIQ(AL DIRECIm3 OR SENIm l t  ; IFMIM INS?EC125 PROM EAm REGIONAL OFFICE ON JULY 14,'1969, CONCERNING

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Co,emD uPm m m DIScuSSm Wrm OnER uCaSes, memS OF nm m3S, m ana Hm-AEC PDdOWEL. IN PARTICULAR, 95 IMPLICATIONS & DIIS IeCISIm Pm one macimS, Ernen Orswrna m exsE NEARan OmerzrIm ,

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                                      .                                 10395 WEF.T cot. FAX ROOM 200 DENVEH,COLOnADO 80215 July 10,1969 James G. Keppler, Senior Reactor Inspection Specialist, Reactor inspection and Enforcement ilranch, Division of Compliance, ficadquarters                                         ,t A LLOY tulle AND PIPE CORPORATION, HOUSTON, TEXAS Concerning the subject and our telephone conversation yesterday, this will confirm that my notes on and recollections of Mr. W. O. Strong's statements reflect the following:
                                    'There were six or seven certified welders employed by Alloy Tube and Pipe Corporation during the time that d e Oyster Creek pipe was heir.g fabricated. *lhese welders were not formally certified - diere was no documentation of their certification - but they all had passed exami-nations by experienced wolders.
  • Die two certified welders who Strong believed had donc most of the wel ding on the pipe in question were P. CeMa and M. Sandlin. Strong stated that all of the welding had been tione with the automatic welding machines, and the fact that they were certified weliters was academic. Strong indicated to me that certification of welders was important only in the case of welding being donc manually.
p.i.I n - i. , gt.e.1 a reference to the requirement for a certificatio -

of welt. trs .vho une automatic welding machines in paragraph Q-21('-) af , Section IX of the ASMB D&PV Code which states:

                                                  ". . . Alternatively, each welding oper.2 tor who welds on vessels constructed under the rules of this Code shall bc                              l examined as follows for each welding procedure under                                   l which he does welding with machine welding equipment in                                i which both the rate of travel and the position of the welding                          i head with respect to the work are controlled mechanically, except for minor adjustments for such factors as plate unevenness, out-of-roundness and lead-angle."

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                                ~ Peter A. Morris, Director                                                                                                                  .

4 Division of Reactor Licensing i OYSTER CREEK ULTRA 8ONIC INSPECTIONS ' l The enclosed nport covering the results of ultrasonic inspections of Oyster Creek piping in March 1968 is forwarded for infor- i

mation. Amendment No. $3 (Page 22) references this nport j to support GE's position. This report has not changed our position that little credit should be given to this work to support the scoeptability of the ATAFC0 piping. ,
original slaned by R. H. Ensemen

.i R. R. Engelken, Assistant Director

                                    ....,                                  for Inspection and Enforcement
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Enclosure:

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C.I.K. Beck, DR , R. L. Doan, DR;. M. M. Marn, DR j E. O. Case, DRS R. 8. Boyd, DE

8. Levine, DE R. C. DsYoung, DRL R. L. Tedesco, DE A. W. Dromerick, DE J. P. O'Reilly, CO ,

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                                                              \                                                                                                                     wasmuoton. u c raw, "S,                                 I JUN 2 81953 NOTE T011.1,. PRICE OYSTER CRT.EK Ar. agreed with you and Dr. Beck, I called .lohn Barnard (I also talked to Jim Graham) on Wednesday night, June 25, to describe our current thinking with respect to requirements we believe should be fulfilled at Oyster Creek before the plant is brought to power operation.                                                                                                    I pointed out that our position had not changed appreciably since we had talked to Jersey Central and C.E. some 3-1/2 weeks ago, but that we did not yet have' a final.
                                                        >fficial position.                                                                                                   The purpose of my call was to notify the companies as soon as possible of progress in development of the Comission posf tion.

I said that for suspect pipe (atapco) fittings and valves in critical wystems, we were not satisf[ed with the amount of radio-graphy that had been donc and still feel that that work defined by the nucicar code cases should be done. Within the ma".c: . alant **masur: t:oundary, up co the second isolation c ' ra tot r. :4. :ur tii:^*ng, is that 100% radiography of accessibic suds is desired for all pipe, fittings and valves larger than a minimum size in all critical systems. I said we could spell this out in some detail immediately. For systems outside the recctor coolant pressure boundary, vc would require additional work, but could not yet define this in detail. 1 indicated we thought we could define our information requircrents on these systems by the close of business on Friday (6/27) and that we would suggest a meeting the week of 6/30 to receive detailed and complete information from C.E. if C.E. were ready. Based on this information and reporta from the Division of Compliance on.their currynt_1,,,n,spection activities, we would develop our final requirements. John expressed the opinion that C.E. would do no further work unless the company were sure of the scope necessary to satisfy the Commission  ! finally, and perhaps they would elect to try to convince the bM7!/f 6 -8304070209 691i04

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i . 2 Commission that no work was required. In any event, he foresaw

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tio both acknowledged that what was required at nyster Creek could af fect what would be required at other C.E. turnkey plants. (* ll L/ Peter A. Morris cc: C. K. licek R. I.. Doan H. M. Mann F.. C. Case

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neuthselo h /21/69 To: J. P. O'Reilly (U FROH: C. W. Reframuth StTBJECT: TELEPHONE CALL FRCH ALSACER - RE: OYSTER CREEK L. Alsager called (1:00FM) me to indicate Shaw is having their field representatives investigate the piping situation at the PBF rather than Booth and Alsaggr. I do not know why he thought We had an interest in this report. He was ist erested in what course sur program would take with regard to Oyster Creek. I indicated it was still under discussion at upper Regulatory lev 21s and that no coansunication had been made with the lic-ensee at this time. 1 indicated our tentative program probably would include 1007. RT. more FT. complete documentation, and metallurgical sampling but not completely through the pipe. He expressed the opinion that this sounded like a soliJ progr e ...d wee justified. lt'(6 .)) 2 7 H e.. i L e. -N C 6.. g u t. , AL

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JUN ?n196g  ; Peter A. Morris, Director, Division of Rosator Licensing 1-j -( JERSEY CErfRAL POWER AND L1DET COMPANY (0YBTER CREEK)-D De enclosed final report of ont investigation into allagstions made re-4 1ating to certain pipias, _ fittings, and valves at the subject' facility l

                         .is forwrded for information. h is report supplements the informattor.                                                                                   i provided in the two interia reports transmitted to you in sly memoressa
                         ' dated May 2 ame 12,1969            Additional comments and recommendations relat-ing to this problem will be transmitted separately.

i. Oririnat n'aned trA j R.Y'kebs,AssistantDirector i for Inspection sa4 Enforcement i Division of C m li e I l Enclosures Dpecial Investigation Report )n.., j , ,

                                                                                                                        /

i dated 6/9/69 j ecw/eael: , - H. M. Hama, Da 3 E. a. Case, DRS R. 8. Boyd, DRL (2) l. D.J.Skovholt,(DRL l

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    *n #                                                                                            June 19, 1969 The Files NOTIFICATION OF JCAE CONCERNING DEViLOPMENTS IN OYSTER CREEK PIPING PROILIN During a discussion this morning with Mr. Harold L. Price and his princi-pal staff on th- 'avelopmente in the Oyster Creek piping problem, Mr. Low reminded Mr. Pr                                                      a that we had not updated the JCAE staff on this matter for quite some tume. Mr. Price at first expressed surprise that we had failed to do so but was reminded that Lov and I on at least two or three occasions during the past couple of months had urged him to inform the JCAE and that for one reason or another, he had declined to do so. Mr.

Price then called Captain Bauser and gave him a capsule version of the current status of the problem. In brief the following is the substance of Mr. Price's conversation with Deuser. Our investigation of the piping allegations revealed that GE hnd not applied certain requirements (e.g., radiography and dye penetrant testing) to certain pipes and valves in critical systems of the Oyster Creek reactor. As a result of our in-vestigation, OE had done a considerable amount of radiography and testing but that in all probability we would be requiring th t., to do more. He emphasized that a final decision on this

                    . t.cr had not been made an yet and that.we were still revie.t.                                                                                           _
                   .14 Amendment 53 which describco the extent of the GE cffort to establish the quality of their piping. Mr. Price also pointed out that thin could develop into a pretty big problem and that the JCAE might very well be hearing from GE on this matter in the near future since Jersey Central vill be ready to begin higher power operation this coming voekend (June 22, 1969).

1 l- 3 t$ % R. H. Engelken, Assistant Director for Inspection and Enforcement Division of Compliance cc: L. D. Low, CO J. P. O'Reilly, CO HHE:cj

      -e904070227-691.104 PDR ADOCK 0500021 F P                                                                      PDR

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June 18, 1969 M. M. Mann, Assistant Dinctor of Regulation for Resetors THE APPLICABILITY Or NtK1 EAR CODE CASES - OYSTER CREEK 4'tEACTOR As discussed with you this afternoon, please find enclosed a copy of an excerpt from the General Electric Functional Specificatico and Design Criteria for the Oyster Crofsk Nuclear Power plant. Contrary to current exhortations by npresentatives of the General Eieetric Courpany, this document makes it quite clear that GE considered the B31.1 Nuclear Code Cases applicable to the Oyster Creek project as of July 13, 1964, when the GE design criteria were issued. This enclosure is included as Exhibit C in our formal investigation report of the Oyster Creek piping investigation. The report is cur-rently under review and will be distributed abortly. Orft:Inal signed bg R. fl. Engelkers R. H. Engelken, Assistant Director for Inspection and Enfonement Division of Compliance n

                        ...c M ure.

Excerpt trom: GE Atomic Power Equipment Dept.'s Functional Specification and Design Criteria for Jersey Central Oyster i Creek Nuclear Power Plant, dated 7/13/66 ccw/ enc 1: C. K. Beck, DR , P. A. Morris, DRL I E. O. Case, DRS L. D. Lov, CO R. 8. Boyd, DRL

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                                    .                                      Datu                           Jsly 23, '964 Revision:                               3 1
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FCA PTPir; AC VALVES 1.0 . SCOPE . l.1 Pureou ,.... This criteria establis.hss..specif.ic r.ep,airenents for any_p,,1 ping system c'c3nect'eTto tfii~feactor prenJr.e vessel and for__a.l.[.pipine systems Es3.~EiT1 or may 'bTeose_ccr.tsminated by radioactive fluids _. 3 - 1.2 En ent <. Syctems covered by this criteria are listed belows i 41 e s S pp ',. 9,.. *! W f c- W h a-J l r: 1.2.1 Control Rod Drivo Hydrculic System ,, , A 1.2.2 heactor Water T.ccirculating System *4 i A 1.2.3 Rescior Cicanup System ( c 1.2.4 Emergency Condenser Syste

c.1.2.5 Reactor Shutdown System j -
 .                                               A1.2.6 Core Spray System
c. 1.2.7 Past Incident Cooling System  !

F 1.2.6 Liquid Poisen Syste n  ! s v rse "6 e a>1.2.9 f.'ain Steam System - i . 1.2.10 Condensato Sy-+.em , .e l 1.2.11 cc.H n .te or3 crc 11:ct f.yntem ( , i %1.2.12 Extmtlen a...i ricae. Tirbin Systems e .' 1.2.13 Feedwater Sysics'~~~"' "

                                                                                                                      ~ ~ ~                                            -
                                             ..                                                                                     i 1.2.14 Condensate Surge System                                                  '.

1.2.1S Lefueling Tank Water Storcge System N., t\1.2.16 Ft.cl Pool Cocling and Filtering System ' A 1. 2.17 hoactor Bulic.inr; C;osed Cooling System - A 1.2. 3 Dryv. ell snd Supp. .'.lon Pool V.cnt Systems i 1.2.;o Co.. denser Off-Gas S% ten ' l 1.2.20 Instrun.cntction end Control l 1.?.21 TurbineBa11 ding 01csodCoo11r.gWaterSystem\ l l ~ ) 1.2.22 hadlocctive '.laste Disposc1 System ( 1.2.23 hesin Trnnsfer Systett. A M 0 K. y ..N ot pn g.4 wiu rii iR<.f l .. 1.2.24 Stenm to Air Ejectors 1.2.2d Turbino Ginnd Steam and Drains 6 ',s . lo a w re,d* Pul M.'th e,, f* F 1.2.26 By-Pass Steam System 3 g ,g . g a m $tte/ plc # ! 1.2.27 Roheater Supply Systems j 2.0 CODE REOU!RF?.7.NTS_ . l 2.1, Pts Cod <. g hvith the exception of the piping specifically defined in Paragraph 2.2 b e'. os. , a v  ! er_ecled,,11 pip _i_ng, suproJted and tpit.ed (vci,ves and fittings in accordance with shall Sections be designed, 1 and 6, ASA f,abricated, B3 , B16.11, B36.10 and B36.19, Codes for Pressure Piping together [ w th the latest supplements, cddenda and applicable, nuclear code casos. l L

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1 l f RE: PIPING, VALVES AND FITTING. INVESTIGATION AT OYSTER CREEK Please find- enclosed an advance, copy of  ! the investigation report. If you have any j

,                                                                      comments or suggestions, please let me knov                                                    ,

at your earliest opportunity. Thanks. I l l 4 } J. W. Flore, CO:IV X

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.I R . l-RE:. JERSKY CElfIRAL POWER AND LIGitT CQ9ANY - OYSTER CREEK UNIT 1 j 5 Enclosed for your inferination is a copy of a A 4' DAL memorandum dated June 11, 1909 concerning 'j i ' pgL commaants on leak rate testing of the main steam laulation valves. Inclosure: , f Memo dtd June 11,1969 e .// 'ML j'. 4 9 bcct F. J. Molan, w/ enc 1 R. T. Carlson, CO:I X 1 l l l m'

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t ls- e o - June n,1969 Harold L. Price, Director of Regulation CODES AND ITfANDARDS PR01EJMS AT '11[R JERSEY CENTRAL POWER AND LIGIff COMPANY , REACTORFACILITY(ANDOFHERREACTORFACILITIES) It is apparent that a major confrontation is developing between the General Electric Company (GE) and the AEC (Regulatory) on certain problems that This confrontation, accoding to a CE exist at the Oy(ster Creek facility.Mr. John Barnard) is necessitated by the costs and de representative Wich would result from repairs and investigations that the Regulatory staff has suggested to OE and Wieb we consider necessary to prove the quality of uncertified piping, fittings and valves alnady installed in the Oyster Creek reector. According to Barnard, the major problem relates to the ap-  ! plication of the AEC suggestions to other GE plants already in advanced stages of construction. l The major issue, the only one discussed in this memorandum, is the question l of the applicability of Nuclear Code Cases to the Code for Pressure Piping (D 31.1). You will recan that the application of Nuclear Code Case re- , quirements to critical valves was one of the essential ingredients of the certification criteria for suspect piping and valves in the Oyster Creek plant Wich were developed by Compliance with assistance from the Divisions of Reactor Licensing and Reactor Standards. As you know, before being in-formally presented to OE and Jeraer Ce'stnt.. then <t71terta were reviewed . by Hilt Shev's staff and incorporate tLair suggestions. Regulatory's i position is that an applicant do states that be vin conforia to the Code ! for Pressure Piping must meet the requirements of the Nuclear Code Cases applicable to this Code. These requirements, dich are ven known to i nuclear designers, ara considered to be minimal standards for assuring ac-ceptable quality of piping in nuclear systems. General Electric contends that Nuclear Code Cases to the Code for Pressure Piping are not legal re-quirements and, therefore, are not mandatory. They state that they in-formally poned a significant ntamber of Code committee members and that these members agree with their contention. It is Compliance's position that the failure of applicants to conduet the tests and examinations specified in the Nuclear Code Cases would result in

.                                  a significant loss of assurance that valves in important piping systems had been fabricated to acceptable st=Mawds of quality. If acceptable quality were not achieved in these valves, the pressure of these piping systems might be compared to a chain made from a conection of both strong
 ;                                 and weak links. In addition to resulting in a significant deeresse in plant quality, failure to invoke the Code Cares would significantly impair
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IIsrold L. Pries -2 June 11, 1969 various Regulatory Divisions in their understanding and interpretation of submitted applications and in the enforcement of existing codes. If these cases cannot be enforced, the " requirements" of other codes are truly questionable. For further infomation, I have attached two enclosures. Enclosure 1 pro-vides excerpts from Nuclear Code Cases, the High Pressure Piping Code, and a quotation from a BWR application. Enclosure 2 provides examples of cases currently being handled by Compliance and which relate directly to Nuclear Co6e Cases. I would like to discuss this problem with you at your earliest convenience. on.n : .w.,s en L o. tow Lawrence D. Lov, Director Division of Compliance

Enclosures:

1. Excerpts
2. Case Examples CCw/enels:

M. M. Hann, DR C. K. Beck, DR -

11. K , fheper, OC $

P. A. Morris, DRL E. O. Case, DRS ] l l nmca > 00 . M, JPdReil,:ch I ( l "' ~ - u,..., ElIEnge W., ,

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6 0 Znolosure 1 EXCERPT 8 FRCH NtKLEAR CODE CABE81 CODE Fws PRESSURE FIPIN01 AND QtKYrATION FROM A BWR APPLICATION A. NIK1 EAR CODE CASES Although out of sentext and devoid of technical detail, the following exeerpts from the Nuclear Code Cases of the Code for Pressure Piping an provided as a refonnee to judge the implications and intent of the language of the Code. Underscoring has been added to languese of particular interest.

                               " Case N-1 (Reopened) General Requirements for Nualear Power Plant Inquiry: Under what sections of the ASA Code for Pressure Piping should piping in nuclear power plaats be designed and construstedt What special navirements must be est?                                                  ..........................

Reply: It is the opinion of the Comunittee .....................

                               ............. 3      That specifie exclusions and special requin-ments will be covered in nuclear esses as they are denloped. These will be issued and numbered with the prefix 'N'."

h "Cys,e N-2 Eetuirements for hives in Nuclear Pipird # stems Inquiry: What are ths requirements for valves used under the rules of ABA B 31.1 in nuclear piping systenst Reply: It is the opinion of the eommittee that vains used to puoleer pipina systems must meat the following requirements ......

                              " Case _N-10 Cast Austenitic Butt Welding Fittings for Nealear Service Inquiry: thder what conditions may east austenitie steel butt weld-ing fittings be used withis the scope of Sectico 1 of the Code for Pressure Piping for auslear servleef Reply: It is the opialon of the Committee that ASIM Specifisation A-351 and ASA B 16 9 an not sufficiently definitive for aseeptanee for Nuclear service as currently written. It la the opiaica of the meer >                                                                                                                                i                                           ..

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Enclosure 1 i Committee that the intent of the Code vill be satisfied provided the following conditions are mett .............................

                                                   . . . . . . . . . . . . . . . . . . . (e s tabli she s re quirements for surface in-spection,fluidpenetrantandforradiography).................

B. B 31 1.0 CODE FOR PRESSURE FIFIM

                                 " Introduction. The Code for Pressure Piping sets forth engineerin6 requirements deemed necessary for safe design and construction of piping systems."
                                " Scope. ' Ibis Code prescribes ministas rwquirements for design materials fabrication, erection, testing and inspection of power piping systems for steam, electrie generating stations; industrial plants; ..........

C. QtXffATION FROM A BWR APPLICATION In Coannonwealth Edison's application dated August 19, 194 , it is stated that the primary piping and valves as well as primary stema and auxiliary piping "will be designed, built and constructed to meet, as

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a minirnum, the requirements of ASA-B 31.1 Code for Pressure'Pipi.g aW any applicable State regJ1stions." l l amn> .

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6 e l Enclosure 2 l 1 NUCIZAR CODE CASES CURREFfLY BEING HAMELED BY THE DIVISION OF COMPLIANCE l A. CONNECTICUP LIGiff AND POWER COMPANY (MILIM0_NE,),,V,ALVE PROBLIMS During a visual inspection of the recirculation system by a Compliance inspector, a machined flange of a 28-inch valve bonnet was observed to have surfsee defects. Liquid penetrant tests of the observed areas, conducted at the request of Compliance, disclosed macroebrinkage, in-clusions and numerous linear indications. 'Ihe indications extended across the flange thickness and at some locations, across the flange face for measund distanaes up to one ineh. These indications are rejectable according to recognised dye penetrant acceptance standards (ADME Eection III, N-627 3 or ASA B 31.1.0, Code Case N-10). Radiog-rephy was perfonned on the valve but because of poor technique, the defects were not detected. We do not consider that the GE radiography requirsments were met (ASME Section III, 3-624). The vain in question is one of two similar valves located below the reactor core. Catastrophic failure would result in the maxistse credible accident. Upon identification of the problem by Compliance on the first valve, OE Mfused to conduct dye penetrant testing 'of the other recirculation valve. They stated that they met Code re-gettementu. While the CK purebase requirements specified radiography, no support-ing test procedures such as dye penetrant testing were imposed. Imposition of the ABA Piping Code, Nuclear Code Case N-10, would have clearly identified and resolved the obsernd condition prior to de-livery or installation. It must be noted that the only requirement for radiography and dye penetrant testing of this vital component is con-tained in the Nuclear Code Cases. No other requirement exists unless the purchaser invokes it. References Special Compliance Report dated 6/3/69 B. JERSEY CEFFRAL POWER AND LIGFF COMPANY ANCHOR VALVE PDrmtsx Cracks were visually detected by Compliance on an installed core spray system stainless steel isolation valve. The valn was presured from the Anchor Equipment Company. Innstigations by GE showed the defects, later identified as fabrication defects, to be sufficiently serious that a decision was made by CE to rep 1see the valve rather than attempt mwe >  ! l . ..

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repairs.  !

Subsequent summtnation of other Anebor-supplied stainless l
. steel valves resulted in the replacasent, or major repairs, to five U

of 21 valves which serve as isolation valves for the primary system. , The applicant's purchase specifications for these valves required 100 percent radiography and dys penetrant ex.taination. Compliance find-ings indicate that the rndiography was not properly reviewed. In addition, the types and numbers of defects visually observed raise serious doubts as to whether the liquid penetrant summtr=ticos were perfomed. liquid penetrant eraminations to specific acceptance standard

References:

ComplianceReportsNos.219/@l0;-1and-2 l .;

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y. A tiny .1 gggg D. J. Skovholt, Assistant Director for Reactor Operations Division of Reactor Licensing (3) i JERSEY CElfrRAL POWER'AND LIGHT CONFANY (OfSTEA CREAK) i Dock 2T No. 50-219 The enclosed report of'a special inspection to investigate allega-tions made by Alan R. Galer, a radio station news director. - Asbury 1 Park, New Jersey, in connection with the subject facility is for-warded for information. Thece allegations were brought to the attention of Mr. L. D. law by the Honorable William T. Cahill, Representative, Sixth Congressional District, New Jersey.

Our investigative efforts failed to develop new informatio, of i safety significance at Oyster Creek or any information of regula-

- tory . interest not previously known to the regulatory staf f. This
matter is considered to be closed.  ;

orW S'tdW l j.. , g. P. 0 8 my 1 J. P. O'Reilly, Chief l Reactor Inspectina and i Enforcement Branch t Division of Compliance a Enclosurat ! . Investigation Report i ec w/snelosuret I. G. Case, DRS

R. S. Boyd, DRL (2) .

S. Levine, DEL (6) i- L. -Kornblith, Jr. , CO ' R. T. Carlson, CO:1 w/o enci REC Central File .

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I 2- l l REASON FOR INVESTICATION j Dn July 29, 1969 the Honorable William T. Cahill, Representative Sixth Congressional District, New Jersey informed the Director Division of Compliance, by telephone that he had received a telephone call from representatives of the Asbury Park Press. Asbury Park, New Jersey indicating they had definite evidence that a serious con-dition in the nature of leaking pipes existed at Oyster Creek Unit ft (DC 1), that increased construction costs had been covered up and that racketeering was pre-valent. In a telephone conversation the same date with Alan H. Caler, Radio News Director for Radio station WJLK, Asbury Park (Cahill's informant), Low was in-formed that the questioned piping at the site had been examined by General Electria Company (CE) inspector who had confirmed that it was of inferior quality and then he was transferred. Low directed 00:1 to conduct an investigatinn into the information presented by Cater, concentrating primarily on allegations with safety significance.

                                            $UMMARY OF FACTS The only information developed relating to allegations with any safety significance was that the two witnesses, killiam Major and James Smith, Identified as being the j           principal sources of the allegations, disclosed that they hed first hand knowledge only of the installation of rolled and welded stainless steel pipe in the emergency i           condenser system which, in their opinion, was less satisfactory than seamless            !

l stainless steel pipe. Both witnesses confirmed that all welds had been radiographed and that all defects had been cut out and revelded satisfsetority. The condition l of the piping in the emergency condenser system is a matter of which the Reguls-tory had prior cognisance (ATAFOO pipe case) and has seen to a satisfactory

rasolution.

With regard to the matter of a CE inspector finding that certain piping at the facility was of infartor quality and then being transferred or fired (presumably for disclosure of this observation), it was determined tlist the identified source 5 of this information (James Smith) was avere of the transfer of a CE welding in-spector (Charles Smith) to a new job, but no specific reason was given for the ' transfer, I l The allegations relating to matters other than those with any safety significance were not pursued as being outside the jurisdiction of the Regulatory. Persons Interviewed James Brown Assistant Editor and Feature Writer, Asbury Park Press Lawrence Crowley, Reporter, Asbury Park Press 4 Alan H. Caler, Radio News Director, Radio Station WJLK, Asbury Park, New Jersey I John Ladwig, Reporter, Asbury Park Press Daniel Lass Assistent Managing Editor Asbury Park Press William Major, Bollermaker Welder. Toms River, New Jersey Janea $nith, Steamfitter-Welder, Point Pleasant, New Jersey Exhibits A Summary dated July 30, 1969 of news reports and generst allegations prepared by James Brown. Asbury Fark Press.

 . - ~ . + ~ -~ ~ .                . - .        . . . - - ~ . .. - - _ - . _ _ _ - ~ ~ _- - _ __ _ _ . - _                         ..

6 9 3 DETAlt.S Introduction

1. On July 29, 1969 L. D. lew, Director, Division of Corellence, was informed in a telephone conversation with Honorable William T. Cahllt. Representative of the sixth Congressional District, New Jersey, that one of the leading newspapers in the state of New Jersey had telephoned to him that they had definite evidence that a really serious condition in the nature of leaking pipes existed at the OC-1 plant being constructed in lacey Township, New Jersey. According to Cahill they seemed to be fire in their statements that they could support this information.

The newspaper was ready to publish a story which Cahill thought they should check before pubtlehing. Cahill also indicated some other matters outside the juri sd ic t ion cf this agency such as covering up costs and rocketeering. Cahill also stated the licensee, JCpl., had recently announced it was going to request an increase in rates. Cahill identified the newspaper representative as an individual named Caler and " that he would have Caler call lew.

2. Mr. low reported this telephone call to the l>irector of Regulat ion who requested that Caler be interviewed.
3. Cater telephoned to Low en July 29, 1969 and identified himself as the Radio News Director for Radio Station WJLg, which is owned by the Asbury park press. Caler informed law that about a year ago a foreman asked for inspection of pipes, that the pipes were of inferior quality, that the inspector confirmed that they were of inferior quality and then was subsequently transferred. Caler asked if the subject pipes were replaced and why they were there in the first place. Caler stated in response to questioning by few that the inspector he was talking about was employed by CE. purther, that he had the names of two men who could confit,s this story.

Low informed Caler he would have a representative of this agency comunicate with Caler to arrange for an interview. 4 On the evening of July 29, 1965, Alvin F. Ryan, Inve stigation Specialist. C0:1 at the request of the Director, Division of Comptince communicated by t elephone with Caler and arrensed to interview Caler at the o ce of the Asbury park press on July 30, 1969. Caler ageln repeated essentiall> the telephone conversation he had had earlier with 1.ow. Bachtround Informat ion

5. In February 1969 allegations were made that certain piping, fittings and valves in-stalled at CC 1 were in violation of the specifications and codes of the American Society for Testing Materials, the American Society of Mechanical Engineers and/or the architect-engineer. De results of the Co investigation into these allegations are documented in the C0 Investigation Report dated June 9,1969. Of particular interest to this current case are the findings regarding the earlier allegations relating to piping. Specifically that certain piping installed in the facility did -

not in fact conform to the required standards of ASTM A 312 (seamless or welded without filter metal) or ASTM A-376 (seamless), the choice of materials specified by the A.E. Included in the subject piping was that employed in the emergency con-denser system. As a result of this finding, the licensee and his contractors were required to demonstrate to the satisf action of the Regulatory the serviceability of the subject equipment prior to the issuance of the full power operating license. This was accomplished and is well documented in this docket file. T

6. INring the field hydrestetic test run on the reactor pressure vessel, conducted in September,1967, a lesh was detected emanating from one of the control rod drive penetrations. Subsequent investigation revealed the source to be a faulty field weld joining the stub tube to the subject control sud drive housing. Additionally, cracks were detected in the surfaces of most stub tubes. These problems were also the subject of extensive review by the Regulatory. Corrective measures taken in-cluded cladding all the stub tubes and replacement of the stub tube to housing field welds. Dese matters are also well documented in this docket file, an

i I t a 4 Interviews 1 Alan N. Cater , 7.. On July 30, 1969 Caler was interviewed by Ryan at the office of the Asbury Park Press, Mattison Avenue, Asbury Park, New Jersey. Also present at the interview were the following employees of Asbury Park Press: Daniel Lass. Assistant Managing

         . gdttor, James Brown, Assistant Editor and Feature Writer John Ladwig. Reporter -

and 1,avrence Crowley, Reporter.

    ~ B. Caler identified himself to Ryan as the Radio News Director of station WJLK. owned and operated by tt.a Asbury Park Press. Caler stated that Brown was doing a series of articles on the reactor at Oyster Creek. Caler then requested Brown to cover the background of the newspaper's interest in this problem. Brown presented a document dated July 30, 1969 whict, he identified as a sumary he had prepared to             -

which were attached copies of news articles previously published by the Asbury Park Press in the period from February 20.19f,5 to July 18. 1969. A copy of this l sumary and the accompanying news articles is attached hereto as Exhibit A. The suussary and the supporting documents cite as sources for the information published. Nucleonics Week and officials of CE and JCFL. The sumary states that JCPL is j presently seeking a 13% rate increase but denies that the increased costs of OC-1 are related to the increase. De sununary also reports widespread rumors of thef ts 1 of material from the plant, that a company organteed by the Lacey Township Pcitee Chief obtained a subcontract from CE, that the Police Chief had made statements that he had received gifts worth thousande of -dollars from contractors at the plant, including scrap materials, and that the theft of asterials and strikes in the period between February 1965 and January,1968 had added to the cost of the 2 project. Brown, at Caler's request, stated that an inspector who had checked the plant discovered defective piping. He reported it as defective and subsequently was either transferred or fired from his job. Neither Galer nor Brown could identify the inspector. They stated their information came f rom two individus1s. one, William Major who resides at 536 skylark Drive, Toms River. New Jersey. telephone number 201-349 7591. According tn Brown and Laler, Major was present when the piping was inspected by a ray and he reportedly heard the examiner state the material was inferior. The other man was identified as James Smith, a foreman on ' the job identified as a seaber of the stesmf ttters union in Neptune. New Jersey (subsequently identified by Ryan as the Plumbers and Pipefitters tinion of America l 14 cal 331 located at 122 Drumond Avenue, Neptune New Jersey). According to I Cater and Brown. Smith was reportedly the foreman who had requested inspection of the piping and the disclosure of the results indicating inferior piping had been installed probably resulted in the transfer or dismissal of the inspector.

9. Lass, Brown and Caler had unverified undocumented information concerning Police i O ter Patrick J. Ceraghty of Lacey Township. New Jersey. They stated they had obtained this information from Leslie Byrd, former business executive for the Carpenters Union local at Perth Amboy, New Jersey. This information included the
following statements
"Ceraghty got a secretarial job at the plant for a woman.

Ne got a painting job at the plant for a man. Security personnel could not be employed unless approved by Ceragh*y." According to Lass. Brown and Caler. Cersghty is reportedly a member of Local 325 of the operating Engineers Ltnion. He is described as a friend of Pete Weber, Vice President of the Operating Engineern Union who, according to Caler, w:s recently convicted of extortion. Caler, Crowley. Brown and Lass stated that Ceraghty is an associate of known Mafia figures including John DeCillo, John Ives and Carlo Zinate. Geraghty reportedly made a trip to Bermuda with martes Brudner. Identified by Caler as the Nafie boss of Nassau,

3. W. 1. Ceraghty was supposed to be with a person named Celso and another named Bombacht. Calor and his associates had no specific detsits ava!!abic other than Celso is the individual whose property in Jackson 1ownship, New Jersey, was dug up recently by the FBI in a search for the bodies of surdered persons.
10. According to Brown, John Parker, coussitteeman in Lacey Teenship, is a pr.rtner with ,

Ceraghty la the K.C Constructors Inc. Brown stated he had heard, but only as a i tvmor, that K.C Constructors Inc. was a front for Pete Weber. In 1967, according l

           - to Brown, Parker's home was raided by the New Jersey State Felice. At thtt $ 1=              l Carlo !! nata was present at Parker's home. Brown stated that there were allega.

tions that tinate had been arrested for conducting a bookmaking operation at the OC4 alte.

                \

f 5-lig According to Brown, concrete supplied to the site was delivered with a levy of ' $1.00 to $2.00 per cubic yard, making for a total kickback of $100,000. grown acknowledged that all of the information he had was based on rumor and hearsay. Re stated that this inferisation had been obtained from vertous law enforcement sources. Brown declined to identify these sources specifically and further j ' acknowledged that he could not verify that his informants had first hand knowledge of the f acts.

12. 14ss stated that he was concerned that JcpL is planning to f!!e an application for sa increase la rates. According to Lass, the initial announcement by JCpL stated the increase would be about n. However, within the last few days Lass stated be leersed the increase would be in. '

13, 1. ass stated that in the course of constructing the reactor in t.acey Township there i have been ten strikes of various duration, the settlement of which undoubtedly 4 intressed the cost of the plant. the alleged thef ts of material from the site and the alleged kickbacks have, according to Lass, added to the cost and it is his ' epintos that the application for an increase in rates was necessitated by the increased cost of construction of the reactor.

16. Cater and his associates were interested in the responsibility AEC had in connection 4 with the construction of the reactor. Ryan informed them that AEC is the agency which, on the basis of an application submitted and satisfactority reviewed, would authorise construction of the reactor to be constructed in accordance with AEC regulations and with applicable codes and specifications. they were also informed that AEC toepectors were assigned to check on conformance of the construction to these requirements. Brown and Lass were interested in any enforcement exercised

_by this esency with construction standards particularly with regard to the piping. ' Ryan explained that the standards of ASME and ASTM were usually prescribed by the architect engineer as the standards to be followed but that the enforcement au erarcised by these two ormanfe=H aa= === w knavn,. I < 15. Caler and Lass wanted to know what action would be taken in connection with the information provided at the interview. It was explained to them that much of the information given concerned matters outside the jurisdiction of this agency and were probably within the jurisdiction of the local or state police or possibly of the F31. they were informed that the results of the interview would be reported to C0:RQ before further action would be taken. William Mejor

16. On July 31, 1969 William Major was interviewed at his home 536 skylark Drive,
Tome River, New Jersey. He is the f ather of William Major who is head of the i Major Construction Co. identified as the individust who had information concern-

} ink inferior piping installed at OC-1. On July 30, 1969 when a telephone es11 was made by Ryan to strange en appointment with William Major, he learned that i there were two individuals by the same name, the head of the Major Construction Ceepany, a contracting firu, engaged in excavating work for residentist butidings la the Toms River area and William Major, his f ather. who is a boilermaker by

  • trade and who had been employed in the construction of OC-1. Villiam Major, head et Major Construction Company was not interviewed because he had not been employed at CC-1 at any time and any information he might have would be heersey.
17. On Jely 31, 1969 v1111am Major informed Ryan and R. T. Carlson, Sr. Reactor Inspector, C0:1 that he had been employed at DC-1 from June 1966 to November 1968. From June, 1966 to September 1966 he had been employed by All Steel, assembling the main condensors, i.e. putting the shells together and welding them. From September 1966 to June 1967 he worked as a betternaker for the Worthington Pump Corporation, still assembling the condensors. In June 1967 he started with Alatrall Doyle in the reactor bo11 ding repairing defective welds that had been found by z ray. He stated ha had worked on electrical and piping penetrations, including those for the emer.

gency condenser system. He stated that the welding teams went as far as the first joint of the reacter contairment. Mojor stated that the steauf ttters took this ever from them. Major stated that he worked only on carbon steel piping not on stataleet steel piping. Be stated that be had found f aminations in welds that

 '                had been done. Be stated be had to repair the welds by cutting back the laminations
                     .,        w ,

i, 1 6 and then dolas a gooJ weld. Ne stated he also found tvidence of chill rings in 4 the welds that had been done at the f actory. Major stated he would be given the l radiographic or m.rsy films showing the defects and he would then make the required repairs. 1

18. Major stated that the radiography inspectors were very strict. He stated that the redlegraphy (11es would also be inspected by CE representatives.

I 19. Major stated that he esv stataless steel piping insts11ed He stated in thethe that from emergency markings condenser on the system that been pipes it had was rolled and by fut31shed welded pipe. Major stated that he believed seamless Tubeco. statalese steel pipe should have been used. Me stated that two pieces of rolled j

 '         and welded pipe sever butt properly for a good fitup and it is necessary to build op er grind down te set a good weld.

$ 20. When he was questioned about the reported incident of the transfer of an inspector Major said that there was an inspector of welding, a polish fellow named Mike (dose last name he did not recall) who was employed by turns & Roe, and who was let 30 la the latter part of 1967 or early 1968. Major stated that he did not know why Mike was let go and he did not know of any other f ospector who was let 4 30

21. N jor stated that all throu5h the job there were couemente by fitters that the pipe was bad, that they could not do a good job of joining the pipe. Major stated

' that the men would complain to Diarles $atth. a CE supervisor. Smith explained to mjor that he could do nothing about it. 4 4 22, Majar stated that Alstrell-Doyle finished up its work in July or August 1968 and he thes went with J. A. Jones as a bottermaker entti November.1968 when he left the site. We stated la the period from August to November.1968 he worked on the i reacter pressure vessel stub tubes doing cladding and welding the control rod drive houstage to the stub tubes e en the forwer were reinstated. I 1

23. Major was asked whether any information reflecting on the quality of construction

' at DC.1 had appeared in toest newspapers and whether he, because of his employ. mest at the ette, may have been interviewe# by newspaper people. Major stated that he recalled seeing some news articles in local newspapers but these were reisted primertly to explanation for the delay in completing the project. Major stated that he had not been interviewed by any newspaper representatives at any time. When he was asked if his son may have had some information concerning the site, Major stated that his son, William Major, had never been ectoyed at the site and he did act know how he could obtsta any information other then that dich the older V1111aa Major may have discussed. ! James smith j 24 James smith was interviewed July 31. 1969 at his home 1416 Juniper Drive, point I pleasant, New Jersey. so won located by Ryan through inquiry at the plud ers and pipefitters tieten of America Local 331 which had been incorrectly identified j as the steenfittars pnies.

23. Smith taformed Ryse and L T. Carlson. Sr. Reactor Inspector CD:!. that he had been employed at CC 1 by Alstrall Doyle from December 1966 to January 1967 as a welder. Ne thee took se entended vacation untti March 12, 1967 at e tch time he returned to work for Alstrs11.Doyle as a pipetitter and continued untti December 17, 1967. Des storttag to Jamnary 1968 he worked for the Moneywe11 Instrument Carperetton wat11 June 1, 1964.

^

26. Smith stated that dettag the time be was employed by Alatrall Doyle he was a foremen
=

af steaufttters. Ec stated that la the emergency condenser systen he had observed statalees steel rolled and welded pipe. We said that some of this pipe was egg, l skased. The butt ends had to be bettt up or ground down ta order to tit. He stated that since the system wee as "emergemey" system, he bettered the pipe should have been seantess becesse the longitudtaal welds might have a flew.

  . _.  . .- .                            .. .   - .                              . . . . . _ ~

e 0 l 1 l 7

27. Smith stated he knew of no transfer of any inspector from the job. He stated there l was a Charles Smith.a welding inspector for CE, who transferred to Conneccleut to a new job.

I

28. James Smith stated that he did not know of any leaking pipes" in the installation.

Re stated that he assisted in the hydrostatic testing of the piping. He stated j that he handled the valves putting in water or shuttips of f the valve as ordered. He stated that he did not know the results of the hydrostatic tests.

29. Smith cited an instance where he had observed some welding that had been done at He stated that he had a man 1

the fabricators which had to be reworked at the site. spend four hours cleaning out the inside of a saddle tee that had come from Tubeco. j ' She weld bed parts of electrodes in it._ J 1 30. Smith stated that z rays or radiography of all welds were routinely done to determine that they were satisfactory and that those that did not pass inspection were repaired j by the welder and again redtographed. He stated that it was the practice to have the fitter who did the welding make the repairs if the weld was defective. I

j. 31. Smith, in answer to questions, stated that at the time cracks were found in the stub tubes they were repaired. He stated that a local newspaper, the Asbury Park 3 Press, had blamed the steamfitters for this. However, Smith stated the work had l mot been done by steaufttters, but by bolletwakers. He stated that he does not i

know anyone from the Asbury Park Press and that he had not been interviewed by j I anyone from any newspaper. Smith stated that when he was first hired he was told that the plant was extremely important and because of this he could not understand ? why seamless pipe was not used instead of rolled welded pipe. l l 4 I t

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                                                                                                                                                        ,t -

849 ae., esas

               .#         e Nuclear Power Due
  • M

(,1JYe In Late Summer % e p, Ifl1t%4 CR4f 5 ready but we east de re> d . resL*adLBr'er aug usul w ACEV Wa%%Pb De ' m- ..._  ; _,,,,,,- ., , c ,,e g, get,paes,,e seam fres

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j p'edurmg elwsmtry for k p j y, esed Peen m.nm~

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  • i pi,w ese,pt for smal dealt da. 8J7&LB > ased 4 4 t .
                                                                                                                                    .}g panes The piam b 98 pr eut eenpirte, aree dag to
                                                                *                                                                          ,,                 ( sort se tras                               I **                   ,

carironism einensh. L . s : *- .** '.,,4'-i k,,,,, *.. t- , s".! searter ad omre balangs wef j r - - .

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 .                             a se nommg a pe eut                -
                            .= tertsd.sg ourt elect to.                                                                           -l1                                              pen h Die emm               '

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  • 8* i, s e e,., 6 8"""* " ' ' " " 8 j generaisq sutom eC be am a sect and D' e meste processtrg vi Md*( hem at ten sea.

f, , 4 pourig 33 menom tahme siin ac% dele rper. fed k she ein. . **' . ". . N ' * ' '# * , g PI'*d'

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                                                                                                                                                         *% N EI 88E'"*" 8 8* l kart est Caseral Doctric.                                                                                 ,

j l' Westbee, We etSur plass i. iI. - ' l t.0Ib

  • gredhg and povtg of the eur'! . -

e bwW e enne ased Isrp, tam was e4 begin mest

. j i amensar reacte withis she / e.

snent A *rlser<Wt contree , ;, erst $*e pears at Die same 8# " I A J"'8 I88* 38 8** 'i - , alle. and a 9tled eartant ' piant sney be asutruried a "_ 4 as se elle elsh We esters , ejnes eig An d e, We 1 a 136 arm wwt tn Unim

Dearti,

pushly by 884

                                                               ,,,,,g,,gg,,,,,,,,,,,,,,,,,,,,,,,,,,,,,g,                                                          plant, plet up #w plsres. de

. e8Ree bondeig essens diet eenmeis ese we fwnscioneL einasap eart, and plast used. g y,g , g, ,,,,g gy, seammt Dh h a anual pre . j amas plast ou started as ply 6sre em sene h tels. afur teses afined le sab edun." he W

'                           Onste lui.                        ,,, g, ,,udurusa.                                 , be     truts      k   me      oeW   at   ce                      ***                  *
                               *R one evypesed to bees           De said that *mme af to base af Se snarlear vuont                                                                                               .

bese finehed last May . . . best propie h se e mWy are The f.ses eare dermrod sa, EW ADDIT 10N. Dere are # mee. men than he# of Jesry ' Ese there b se prejstise 6sre" Mest af se laher ines er estre Isated earbs a asu. deer ter aumpleein a taa* b Iran pee Jersey, en hydruststes that A andy Centrars operstmg san et ever," sees JCP&L Proedsas ser een begun to Gnd ed ated fl. at the age trols. Wer he ban er, feaney kg ivr ce f.s.a' LAresar. Tre Wl.ase M. SecDwetL mid *ntauwty les anm n, .wiist causseeee me cracha. aperstne snanager has nees eee gana,,= he ents. Oms mas em atOymr Omktura par. TWE RACE 8 am m*4em-A Sp0EF2% TAM fr Ceaurel besten ad bespliaaned dr. ty afm af as hech, the CE Under se kriin d se aus. .

  • E;erete ett'mune he enley hg a sua dupwie led A,rt *
  • De4 CE #9 sperm De

" presarpy to rgaar vert. Wampver b ase at hat af 8e try a est 5 As 1 bdpsd - rma= ,e n u. s,,e,e .re h ,a ,.,, power ul yet , ed ,e om ,et.re,af ,, te ,,e ,,,,we.,,,,,e,,,,,,, , tabh4 puspananinny eim se jgygg,

                                                                                                                                                                                 ,e           e.ur ,e

, event partseruanaf dhputes

8""he d n'y **t's " reemer esandacterw. Coe>
  • arnertg We mary unos tap MM 9 bustlen Engesering af Qab *!L m2 he Wed and fe-

' resentag ourters as to jet,,

  • 888" hosed a prm to Jmry b sie latut ereurring en Ja. else,a'ga. Tom. er ear en tral that m're produrJrig what ,

i Se and lasung tra dava. A Cseeral 31setrie earn we um entrerted to da,* De mese amu sandwted ', ps., w 3 an, hag,,, esid. *0er-tirne tu not see m>*==am we er as aware m ear een ====m tese e- dip GE *emuussaid. r.,, i tracting an se paw j Bure188 m Sahh ble gee IB Bute deshut =d Far d esashenen ,,, ,. . a, s.e 1,4,to,ab.g I,n, Ques.assgA*,,,,,,,.,%,,,,,, '~ 4' s'y (meal es=h me pass pen.iint er amm at6e

                             ,, 344t ,,

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                                                  .,,e,,,,
                                                        ,      = == =.ir mis ise .un.: umme --< * * - m e w "'e um =" -i-                                                                                                               ,

st Istre as any esutag nee. M %e ourt helag done here sired be bse er st"'$ , 4

                                                                                   , , ,                                            of renov an                                                                                                    .

bg eewt rumtsr. eens ,, ,,g ,,,i,,d,,*lhe mune sa8d.

  • Pet byaft 6
 .                                                                  GE AssUhtys fun east re.                       gg,,, s,in                              ,,                                                                                      '

f R b M W Ont se p.,i g g, ,,,,,,4 , g. wasad h knpesethal and tirer stausa and h designed e.gg es,,,g g, ,,,,,,,7 g

                                                               ,,, open,,shility m,g, ,,                  tar,,,sik
                                                                                                        ,,,,, pie.gt, he

, g,, T A** IP" C"" #s'ea4"

  • as grnerste 6e.see 60seatta, ber* ewivecL % W salsassn's m"aerest in ce pd.

and Ow Bret esperted to pro, * ,

                    '        en paw at ee==miral*.y ,,'*,",d, h*7.g"N tre *e emesa ese a en                                                                            8'",*,,an,d ngtonmaeand  nu em.

almady

                          ' compeu!>e petres. De amo, ,,,,,,,,,,g,,g,,g reacters.* ee CE aruhasmen 8"' rum manaew tw on me.

said, it has esised es Asc J outnorte sahm ase. p. to aske a sensed lask, sonst. md au&w maum Weding. pa-Ity at $slast 60seems, Tim it es pas!*y spe**'d he h a deta;ed hast,gatsme here Nrte C=w em bei sud t ogseted to anst 54,3 We bothe gnanter and Sabs picpag set t the eastreet ler lad. gg gg,g,,, g,,,,,,,g, en h sen9tets out by De sert sad Waleen og pr,nde , ,

                                "The a1Ight steppese                                                                  The ABC teeps elsee take                     y, p,,,,,,4 ,,, ,,,, s*

g,e,,,g ,e g.,,, ,,,,,g,,, g, . W8d'eday (Jak M) eut u 3, 3, gage,, ,,, p ,g,,g a sert here and alessuch a q yyg,,g e *hele day . . 6 ase mas" outmlesim senterbesth Dunn and Rae b serkhig , Deurs d praderthe eflert at,,,,g,,q,,,,,,,,

                                                                    'af JCP61. but ta.re h sun,                    sentesnre,               ripresentag,es
  • l breweve M sed GI an haw," *are emmesmoudy web a se petmanary engheerlag hat damage,. a seaf sht CE afristaL " Ira an
                                                                                                              *     . . . et oss e npunnes,e                        seems b.paperousa hr op "D'M'3' 04 **'ut he at immt one a week.* ABC                                                    plymd           Se AEC for e                       ,

emprunne popumasL* . . ' 1- bimed a Geral gingts," enters ese at es este h8'me, must hel/ ta Apri q Me add ad EI'm 8e W Idr. lass an Aatal sentru . rt. are ten ,,,

                                                                                                                                                                                                    ,e e r,n                           -
                                   < -.se - e t
                                                                . -                      .tL.,.'.7t.em.,56 a                  b gum Ja a une.handsy.

ee sus .a, e ommi .>.r te . st .r,e - .usm. m. .m. .e ,e,u,s

                                                                                                 .t e

y u temenend re e mo et,,ri trem JC ,e

                                                                                                                                                                                                                              .                    f emeR h - -lit th .spelast hm R.

are est seenshtL' ger S hius t had &

                                                                                                                                                                    - et,.ee.P&l,                    0y ,        .
                                                                                                                                                                              ,, ,, **. te:
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                                                                                                                                ,~s  ,e.e.s,.     .          a.     =c;a*';,

a,, . .

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e i,

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e

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                                ,          m e, .e e                    s e .                s           e. .h.e.                                         d , 8muut SMSuse = to a6                                 e r.
08. CE. A fou$ pear supply a be.

momedy at es des b teing t- . W eure8st

                              - ,.SeGEspdes.

e - .e,.6 9deigsepa e s, e k .e.ast, e h ser a.e and ns, =- a se aho emu 6 tuum masthe h' e- ,.e e.,,, ,,, ,,,,,,,,,my,

                        . . , - -                              - e h . e                                      4                                                       sh                                                       .
                   .                                       vi-                               .

dCRPP_. ant , tilSLICl10H .L ,

                                           .(eview Set WASil!NGTON - The Atnmle                                                                                                                                                                                                          -

Energy Commission has agreed e . lto review one of the restrictions *

  • l
                                       ' set en the Jsrefy_fentral.fcy. .                                                                                                                         .'.

eLa,nd _ J,1;;hLCompa:uds atemic

                                                                                                                                      **                                                          *l                             -

power plant on Qvster Cre{).

  • L s !
  • Ocean County. N.J.

The utility company reeclved

                                                                                                                             *                    *                        . 4-g
                                                                                                                ...                  .
  • g' t a provisional ennstruction per. C
  • l' .

m;t for the $r,3 million nuclear , . . .

  • C M ..* -

e

  • fueled generating s'.ation last - *- ,' I.*

e ,' * . *. ;[' December and has already . .':: J *: . '" - started constnietion on a site in'. ** .- ** * ' A.

  • Lacey Townehio. ,, ,. .. -' ,ir ,, ; -

The Atomic Safety and Ll' . ' - t.

                                                                                                                                                                                                       *                                                                                     *8                                            (

eent. int s finard which granted the provisional permit after

                                                                                             ,,
  • i*i.~..
  • g t. ,
                                                                                                                                                                                               .j*,
                                                                                                                                                                                                                                                                                                                               *            ^

October pubtle hearings in Toms g** Itiver, following gave aplroval condit ons: Mth the

                                                                                                                                            .*= .*

CcnfP.lons Listed a .

                                         .1. That the power level of
                                                                                                                /
  • the plant won't be dete' mined " ' '
                                                                                                                                    *                         .             .                                  .                         ... I                                                   ;                                  ,.                                     .

until more technical data is . .' - a vailah'e. .. .  ! , 3 Th1t JCPAL furnish to the *' - 1

                                                                                                                                                                                                                                                                                                                                                          -                    \

bord within 180 days mn e in- . fermation on safety features and . - - , . .- des:gn data FEB 2 0 tm *% J

3. That the company i
  • for confidential review,a enpy provide. *' g

. , nf its contf ruction contract with' . . , e**

                     .                'Cer.cral Electric.                       '
                                                                                                        .                                     9* ,.s/
  • I.i i The licensing board consisted *
                                                                                                              ~*                                  *                             ~                              . '-
                                     'of Samuel W. Jensch, chief                            *       '
                                     . hear.!ng examiner for the AEC.                                                  ' '- '                                                                        t
  • and two non-government ex-
  • perts. Dr. Lawrence A. Quarles. ., ...,

8 -

                                                                                                                                                                                          ,n e                       .

dean of the school of entineer. ..d h,. *.', '" . s

                                    , ing at the University of Vir.            .                  .                          ...                   ,
                                                                                                                                                                                                                                             ,,                                                                                   s
                                     . gin a and Dr. Charles D Win-
p. .  ; */ .
                                                                                                                                                                                        ..            i                                           .-                                           -                     '

8 ters of IJnion Cartide Corpora-i

                                                                                                                                                                                                                                                                                                                                                                                  +

tien. '.., .*

  • The AEC regulatory staff . . .
                                                                                                                                                                                                                        ,                         e'                                                                     .

petitirned for a review of the

                                                                                                                                                                                                                                                                    * ~.-

a permit, enntending the lleensing

                                                                                         ~
                                                                                                                        .                  ,,                               ,~,,..[..

board creceded its authority in

                                                                                                             -        .a-                                  - . '                     s e.,                  -                    -                     -

Imposmg the ennditions, and in - - .

                              .         re:aming jurl< diction of the case                 '                                                     -
                                     ,until the additional data was                                        ,        *
                                     ! submitted. JCP&L joined in the                      ,                                                                                                                                                                                   .
                                     ; petition.                                                                                                                      *                      *
3. In a dee)sinn made Thursday *
 .                                      the AEC agreed to review the                                                  -                                                                              *
  • right nf the licensing board to * .

keep jun5 diction of the tratter ,. but upheld the boards right to *' set limitations and conditions on - - '*

            .*                       the permit. No date was not                             ..                 't             'i                        '
                                                                                                                                                                                                *                                     .                                                        s                              .
                .e                     fer the review.                                         .

l lias Authority *

          *,.                                                                                                                                                        ,.                           -i-                           ', '
                                            * !! Is our view that the 61 R                                  -
                                                                                                                    }..
                                    'eensinal board has authority to                                                                                  -                                               5         -

I impose the limitations and con- ., .r .. ** ~' ' ,- s

                                                                                                                                                                                                                                                                                                              ^                                   .
 .              -*                8 ditions prescribed by its deel.               , . e d.T ' .- '

T' . 1 sinn." the AEC ruled. "We ae. .% u. ' e

                                                                                                                                     '4/0*

c lt' * * - t cordingly deny the staff's pett. I r . . g. ' - 4 tion Int review to the extent 3J! f. t e'n .. .

  • f.S I that h wou'd seek in open the g? * -
    . .t j. .
  • author.

dane.e,C b% l /g/p . . ' ' ),.A , *

                                                                                                                                                                                                                   * ' a * .
                                                                                                                                                                                                                       , .. N ; ,                                                c                            . ,.                          v.'..                    ; . ,: k
   *F                                 question lty to do what   of theit board's.

has in * %,yy ' Y/ hum, i 9att. <? * .

                                                                                  ).
  • this case. C!arlfleation or modt- l' .
                                                                                                                                                                                                                                                                                                                                                                            * '(* '*

b[PIIdP fication...is a rnatter utleh p g,j.,':. *

                                                                                                                                                                  /h"'                                              ..

we will take under considera. ,

l

                                                                                ~

k 110 COElrne aca ca

                                                                                                                                                    ~
                                                                                                                                                          ,      ..J? wa" ,?!N e t 7 derm.                   .e ue e.-

m. biSC[OSure bOUdE u Press State lisose Pereau 'to !ct Str. Gydman crntince.

                           -                                  -                                                                                              p'ied. *tarticubr'y tre fuel                                          -

TRENTON - Secrecy 5.:r ' Atr. II:.!and si.4 PLC r2 es

                                                         .                    .                                      *       .            '                  centract . . h's a ca'e .e!                                                                          rou-d:,3 the construct.on and ='p. e repre cr.ta acn by a 122-
                           -                                                                                                                                 >tacy s doe
  • n't te:1 Gerbel s.
                                                                          ,s'                                                                                                                                                                                     riuc:e w '"*! s q p. L ea E af 9- and at h.s renuest.1!r.
                                                                                                                                            .              ' and she steu'd G;mtr i s tell e                                                                                                         11acy s?                                            .                                              thg.1hster Crees generatinj slagGood.- :ra gate ig tis seat at Its said the con *ract was ny,                                                                  (p dt rtMfTGlor a lawyers tao:e.
                                                                                                                                         ,I                   rottated "very, very h"
                                                                                                                                                                                                                          +                                -

repre<entative yesterday. The contract in question is 5 tere was one o e comp?tf.d. cr' The labor man. Leo Goodman, beta een the Jerser Cc-tral g .- -

  • for the contract. 'Ite West;ng- , tried without success to have j Power A f ** W unica wul bou?e Ecetrie Corp- , , the contract made part of the can and operate the gecerating Before he bowed ou'. Str. . pubbe record of the state Board:statien, and the General Ece.

Goodman produced a letter ., cf Pubhe Utihty Commissioners. tric Co . the prime coctractor.

                                                                                                                                                                                                                                                                        .\l t. Goodman sud he w as                         Str. Godman describad the
                                                                                                                                                            . dated Dec. 6 from Sen Ihrtsnn1                                                         *
                      .                      i                        .                                             .

A. Williams Jr.. D-N J., to Jahn' secretary of the .Uomic Ener:y contract as the missteg bit of technical Cor mittee of the In. evidence

  • in proceedings before
i. ., ' Proto. administrath e vice trest-
                                                                                                                                                             ; dent of the New Jersey Indus-
  • dustrial t* i.on Depar: ment of .the PCC and the U.S. Atomic
          *
  • the AF1410. Washing' ort. iSafety Licensing Board. i
                                                  *                                                                                                          { trial Union Council.                               .      -             .-             J                  At a PCC hear:n en the! lie said pubbe knowledge of i l sea.Disclasare DemandedWilliam                                                                                      wrote           thatbeinghe i
                                                                                                                                                                                                                                                     .              generating                eation             built!the contract was pertinent to
                                                -                                  .                            e had written to the A'omic Ener-                                                                      sa Lacey Town
  • hip. he said be JCP1L s statement that the ,
                                                                                .                                     ,                                       ;p Commission autng to hase
                                                                                                                                                                                                                                                     .              represented the New Jersey In- a*om:c plant will produce eleca tricity at a competitive price.I
                                                                                                                                                              # the contract included in the ree-                                       -
                                                                                                                                                                                                                                             #            ,         dastrial Union Council.

le-d of the Atomic Safety L:cens- Laher Staa Ousted A!r. Ifviand asked him tf he But after a preliminary ex .bes of'- anyth:ng in the c%-

                                                                                                                               . .                            '132 Boird.                    M 1053
  • chan;e. Witha n F. Ilyland. to safety and.

Str. M hter %d n?*s- , . he,PUC. refused hcaitit.[ wnich tract waspertmitir: p si&q c t! e stibjec' ra a s rr 1aaenciegcf t5 . t

                                                                                                                                                                                                                                                                                                            .,              cf sesterday s hearic;.

blure of regula' tory Council Disputes Claim

                                                                                                                      .                                         to bring out the Idt1 facts of                                       ,
                                                                                                                                                                                                                                                                                                                    -
  • Str. Goadman rephed that he P .
                                                                                                                                                                                                                                                                                            -      *                .       had heard "rumo s in Washing-
                                                                                                                                                    ,            crie getift. Ilytand s position
                                                                                                                                    '                              #                                                                                                                                                               Ifred A. Rochester.                al Mhhasa e ee                                                                                       ,

testi-

                                                                   '                                                                                                                                                                                                                                e            .          counsel for JCPAL. cit
                                                                                                                    .                                            attitude which obviously came                             .'.                   .

tnony in earlier proceedinzs be-

                                                                                                                          .           .                          W" consultatio.n with the com-fore the PLC deabg with the
                                ~                                                                                   '
  • company s abihte to operate the
                                                                                                 .                                                               E'he'n h                 ited Str. Goodman                                                            ,

plant economical.y. leo give u his seat to a Iaxyer. . .

                                                                                                                                                                                                                                                                                                                               "I see no purpose whatsoever
                                                                                                                                                                 )tr. Ilyland to'.d him he shou:d -                                                      .
                                                                                                                                                                                                                                                               . .                                                                                       contract to
                  ~
  • have eng ged a la2yer and .
                                                                                                                                                                                                                                                             *                                                              [n thissubmittgg board. bethe sa:,d.

Ife added that tBe U S. licens-I - hone rder1r manner." abaut the matter *~in an - s

                                                                                                                                                                                                                                                                                                                          .tng beard d.d rot recuire the
                                          .~ .                                                                                  .                                       Sir 'li> land said he was satis-                           .
                                                                                                                                                                                                                                                                            '                                               contract, and he sa:d f.e knew
                                                                                                                                                >                 fled 'no Ir.Mc interest would
  • of no case where a ptant con-be served by prolanT.ng the dis- . .

s'ruction co . ract had to be pro-cussion. . , daced.

                                                                                                                                                                                                                                                                                 ~~

Str. Goodman d!saz ced. lie said this was the f:rst case in

                                                                                                                                                                                                                                                                       .'w          .
                                                                                                                                                                                                                                                                                                 -                           which a contract was kept se-cret.

Str. Ihland aded ifr. Rxhes.

                                                                                                                                                                                                                                                             ~,                  '.                                          ter if the e aas any reison why the cor. tract shoc!d be kept I
                                                                                                                                                                                                                                                                                                                      .      s ecret.                         ..,

f .

                                                                                                                                                                                                                                                                                                                                       - . x tig.. -

s . .

OD 1)C11106 e

                                                                                                                                                                ,;                   .-                                           -                                                                                                                            ~

i . . ' l Plant Fnp! L Flaws)! J'y +N. 5

                                                             ,g q 'Q. -      f      m.

y .pr~, ' ArcOcj'tous"'t~ TOMS filVEf1 [ als of *

                                                                                                                                                                     's
  • iGeneral Electric Corp. yester. .

Iday denied reports of serious

  • e .
                                                           .'lthe     flaws         in the
                                                                             . Jersey      re ureactnr
                                                                                                   % rm vessel at r:m gener.ugp            '

I!JghiTnJs . . LI.itign.cing ui 1%rc. ..

                                                                                                                                                                      ..*',i Trnnard Koke. CE resident
  • i manager, said a leaking weld * . g
                                                               .can be repaired with a " mint-                                             .

A. . I mal" delay in construction. Ile b . said the $r.8 millinn plant is. I,v,l ' *?. # '

                                                              . still expected 10 be, completed.                       .
                                                                                                                             *9%.,a.                                                       .

j' .

                                                              , late in December of early in ' g January A N c y 7%                                  ',
                                                                                                                                    .,4;;,-                         *
                                                                                                                                                                                                                                                                                                                                    *g .

The weld flaws were reveal 4'

                                                            , by offielats of Nucicontes Week ' .,'
                                                                                                                                                                    .* f. i.         '. ' ;.                             *
                                                                                                                                                                                                                                                              .                               .     ,                                       f
 .                                        '. . rnaga:Inc at the Amerlean Nui
                                                                                                                                                                                                                                                                                                                               '         ^
                                                                                                                                   -            - Ib                                                 . .                                -                                                                 .

s atomic indus- * * * . .. . clear trial forumSociety'in Chicago *. The - * . f .' ' magatine said flaws had been' 9 . , . *?' .' . *

                                                                                                                                                '                                             't               .                       .-                                   .

detected in tot of the 137 fuel.) ' I ' , rod control assemblics. . t, *

  • JCI'&l. officials refused to be i. .

drawn into the controversy. *

                                                                                                                                                             '.           -                           l-                                 .a*        '                                                                               ..
                                                                                                                                                                                                                                                                                                                                                                                      'p I               GE's l'rnblem                           '

i

                                                                   ' "It's a General Electric prob '                                              a g                                              \
                                                                  'lem." said Edwin J. Sherratt, '
  • JCP&t. public relations director.'
                                                                    . GE is building the plant for                                ..-
                                                                                                                                                             .."         '                             l't'                                 '

t .

                                                                    .the utility company as a turn.                    ,4                     l, , ' .(,                 -                              I
                                                         -            key operation. The electric com.                                                                                        '                        .                                                                           ,
                                   '.                                 pany won't take possession until . , -                                                                                *           .                       .

all construction work is com. ' pleted and approved by com-

                                                                                                                                         ..r  aq')                          . f..                    .:

I {9

                                              -                       pany inspectors.                                                             *
                                                                                                                                                                                                                                                                                                                       *               *                 ..'                                  l Another    GM        spokesman. *                                                             **

meanwhile, said reports ema4

                                                                                                                      '.                                    .                                             i,                                       *
                                                                                                                                                                                                                                                                                                                                                              '                               l nating from the Chicago con-                                                                                                       L*                                                                                -                                                              .       .                          I
                                                                                                   ~

ventinn'were 't grossly exagger.* *e 1'#' f' ' - ated." p;i. ,:7 , l.g' j ,', '

                                                                                                                                                                                                 ,', , l . .
                                                                                                                                                                                                                                                '-                                                                                              e
                                                                          We don't thi k It's a serious                        i,
  • g.

matter." Mr. Enke said. "We r *

                                                                                                                                                          *                     ..l6                        .
                                                        ., Icel confident, based on our                                                                                   '
                                                             .' present investigation, that they                                                              .'
  • l
                                       *.                             (the flaws) can be repaired."                       ,
                                                                                                                                                                                                           }                  ,                             '
  • GC said the only leak found during a pressure test was "In . , ,
  • r , je .

a field weld on a thimble which

                                                                                                                .       . - -                             .-M
e. H. - ' *
      *
  • is interested in the pressure ves.
                                                 '.                  ac!."
                                                                                !.ess Than a Day             ,,
                                                                                                                                                                                                                         ~'5"
                                                                                                                                                                                                                                  '..d.                             -
                                                                           No leaks occurred at any                                                                   *
  • time in any part of the vesse! .

itself," the spokesman said. - d "The field weld leak can be [' *. '- . repaired in less than a day."

                                                                     . "A number of surface cracks                         * *
                                                                                                                                                                                                                                                                                                                                                  /                       
                  ~=                               ,             ' have been found on welds on                                                                          .

the stub tubes leading into the p 1, *i .' '* ' s .

                                                    .                                                                      i                                   .* I . .-

reactnr vessel." the spokesman * '4 added. "More than half of these cracks have been ground out al.

                                                                                                                                                                . . . .c*  '"'

k

                                                                                                                                                                                                                                ^ 'c- +!- '
s. .-

l ready. The deepest of them was ' 4l

                                                                                                                                  . .' p -                                       ',               i- .                  -
                                                                                                                                                                                                                                                                                                                        ';                                                                  'l 7/33nds of an inch.
                                                                                                                         . *1                                                     *                                   .v                                                                                                                              .
                                                                            "All of the cracks are ex-                                              '
                                                                                                                                                                  . . a.                                             .N" .* " *
                                                                                                                                                                                                                                                          -                         s..                                                          ,,

pected to ho fully ground out by t .. - the middle of next week. Tests

                                                                                                                  *;* ? . . . * * *;                                                                 s                             ..

are being made and measure.

  • C %:, . ' * . + f -
                                                                                                                                                                                                                                                                                                                                                                                      'Jj 8'         F 2 .' ' .'
  • p. '
                                                                                                                                                                                                                                     *g.'

ments of the ground welds tak. 6~ f Y. . ..; M *

                                                                                                                                                                                                                                                                                                                                                                           *-f l

en, if the measurements show i' s*. . l . ..

                                                                                                                                                                                                                                                                                                                        'a
                                                                  . vced for any furthet weld me'
                                                                    . al, !! will be added. It not, tH                                                                '~gd*#)ffj.1         n ': J S d*,                                             d'-                                .

j :.

                                                                                                                                                                                                                                                                                                                      ~r *                      .>

Q. . ..

                                                                    - entire repalt job should b.                   )-                                                                           ...
                                                                                                                                                                                              . V'4, t     $*c c"                  -
                                                                                                                                                                                                                                                                                                                                      ' *~                             -

(*. *

                                                                                               ~

comnleted bi the

  • middle el i

l .

                     /                                                                                      -

UF Z  : . . IGE Denies#7 j!

                                                                                                                                                                                     .                                        ~                                                                                                                                                 .
                                                           ! Pl a n.t e , F
                                                             'Are Scyious
                                                                                       .. m J st                        .                 .s I                                                                             -
                                                                                                                                                                                                                                                                                   ~

T0.\t.9 IllVEft f[*als of

  • l General Electric Corp. yester. .
                                                           ' day denied reports of serlom                                                                                                                         *                                                "
                                                                                                                                                       -                 p
                                                        .l the flaws       in the
                                                                     , lersey  ('e+reactor f N-      vessel L                       at  .

II.icht Cn y criar gener.iiig ,. Ef'Ilion femg budt here. . Trfard Koke. CE resident ..

                                                                                                                                                                                              i                                                         -
                                                                                                                           't *,,**A..!

manager, said a leaking weld *. ,

                                                           .can be repaired with a " mini.                         .

8 mal" delay in construction. Ile * * ' . *'

                                                                                                                                                                                                                    %                                                                                                        t I.9/a said the $f,8 millinn plant is.                                                                                                   I?.                                                    -

g '

                                                         . still expected to be, completed.                          , ' #' N . ' .

I late in December or early in ' g .i., j

                                                         , January.4 N c y 7w                                      *.

The weld flaws were reveald[* .. * -

                                                                                                                                                                                                                                                                                                                       'g .                             -
                                    '.                ' by officials of Nucleonics Week * .                                                                 J..                                            '.                                    .
                                                                                                                                                                                                                                                                                   .,                                                   e *                                           ,

rnagazine at the American Nui

                                                                                                                                             .'                                                                                                                                                                                 f
                             .                                clear Society's atomic indus.                                                        *
  • trial forum in Chicago *. The - '
                                                 .            rnngazine said flaws had been' detected in 108 of the ITT fuel 9..                       .

rod enntrol awmblics. ' JCI'&f. officials refused to be 3 .

                                                            !drawn into the controversy.
                                                                                                              *            *                                                                                               .a*
  • CE's l'rch!cm . . i. . . . .
                                                                  It's a General Electric prob '                                                                                            '                 '

13

  • g
                                                  .         'lem." said Edwin J. Sherratt.
  • g JC1'&I, public relations director.' .
                                                           . GE is building the plant for                                   ..,}}