ML20126H684

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Handwritten Memo Re Preparation for Public Hearing for Facility
ML20126H684
Person / Time
Site: 05000000, South Texas
Issue date: 12/19/1980
From:
NRC
To: Seyfrit K
NRC
Shared Package
ML17198A238 List: ... further results
References
FOIA-84-393 NUDOCS 8506100384
Download: ML20126H684 (3)


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  • _.7d^^2 Charles Bechhoefer, Esq., Chairman Dr. Emeth A. Luebke Atomic Safety and Licensing Board Atomic Safety and Licensing Coard U.S. Nuclear Regulatory Comission U.S. !!uclear Regulatory Ccmission Washington, DC 2055S i'ashington, DC 20555 Dr. Jame' C. Larb III s

313 Noodhaven Road Chapel Hill,.9C 27514 In the !!atter of Houston Lighting and Po:er Cor:pany, et al.

(South Texas Project, Units 1 and 27 Docket tios. 50-4?,8_,53-499 Gentlemen:

The fiRC Staff is in receipt of the letter dated' October 22, 1980, to Chairman Bechhoefer from Applicant's counsel.

This letter was written in response to Staff's letter of October 15, 1980, regarding further steps to be taken in this proceeding.

See the Board's Memorandum and Order of'Se~ptember 24, 1980, inviting comments from the parties with respect to what further steps should be taken in this proceeding to implement the instructions of the Corcission as-set forth in its Mamorandum and Order dated September 22, 1980 (CLI-80-32, pp. 16-19).

As anticipated by Applicant at page 5 of its letter, the Staff "[has] differing views as to precisely how the issues should be clarified...." Because of this disagreement, the Staff agrees with Applicant in urging that the Board -

schedule an early prehearing conference at which the Board could finalize both the statement of the issues and a schedule.

l Sincerely.

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Bernard M. Bordenick Counsel for tiRC Staff cc: Melbert Schwarz, Jr., Esq.

t Mr. Lanny Alan Sinkin A

Mrs. Peggy Buchorn j

Richard W. Le.verre Esq.

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Jack R. ?!ewman, Esq.

d Atomic Safety and Licensing Board Panel Atomic Safety and Licensing Appeal Board Docketing and Service Section

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E.O October 22, 1980

"".gg ;dppf ~,tg Charles Bechhoefer, Esquire Chairman Atomic Safety and Licensing Board r

United States Nuclear

. Regulatory Commission

' Washington, D. C.

20555 Re:

In the Matter of Houston Lighting & Power Company (South Texas Project, Units 1 and 2)

Docket Nos. STN-4980L and STN-4990L)

Dear Mr. Chairman:

Applicants are in receipt of the NRC Staff's letter of October 15, 1980, regarding further steps to be taken in this proceeding, and we agree with the Staff's proposed order of presentation.

As indicated in our letter of October 6, 1980, Appli-cants intend to present comprehensive testimony on the l

concerns regarding the technical competence and character of Applicant, Houston Lighting & Power Company (HL&P), as reflected in the Board's Memorandum and Order of September 24, 1980.

Applicants are in the process of developing their presentation so that they can be prepared to go to hearing at an early date, as the Board has suggested.

In preparing our presentation we have reviewed the factual issues that have been raised in this case, and relevant decisions of Appeal Boards and Lic,ensing Boards.

Our review suggests that further clarification of the issues suggested in the Staff's October'l5, 1980, letter is necessary.

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Charles Bechhoefer, Esquire

' October 22, 1980 Page Two We have re-drafted the issues to reflect our under-standing of the allegations in this proceeding.

By way of example, the only allegations of which we are aware and which go to the question of " character" or " material false statements" concern two FSAR statements referred to in the Order to Show Cause.

These are appropriately cited below.

similarly, the only allegations of which we are aware with respect to whether "the South Texas facility is constructed to an acceptable level of quality and safety" are subsumed within-the concerns referred to in Sections V.A.(2) and (3) of the Order to Show Cause and these, too, are identified below.

I In several instances the issues, as framed by the Staff, do not identify the applicable standards for decision-making (e.g., "Is EL&P's QA/QC program for operation of South Texas sufficient?").

Thus, in.our clarification of the issues we have also attempted to incorporate the appropri-l ate standards for decisionnaking as reflected in applicable NRC regulations or case law.

Applicants' suggested restatement of the issu'es is as follows:

i Issue A.

Does Applicant KL&P's performance in the construction of the South Texas Project l

(STP) as reflected, in part, in the Notice of Violation and Order to Show Cause, dated April 30, 1980,.and EL&P's responses thereto (filings of May 23, 1980, and July 28, 1980), and actions taken pursuant thereto, provide substantial support for i

an adverse finding with regard to EL&P's technical qualifications to operate STP? 1,/

1/- This statement of the issue properly focuses upon the potential significance of the problems discussed in the aforementioned documents for purposes of the Partial Initial Decision.

Although the agency will ultimately have to make affirmative findings pursuant to 10 CFR 5 50.57(a) (4) concerning HL&P's technical qualifications prior to issuance of an operating license, consideration of such findings would be premature at this' stage.

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Charles Bechhoefer, Esquire October 22, 1980 Page Three Specifically, (1)

Do the asserted deficiencies in the QA/QC program for the construction of the STP, as reflected in the aforementioned documents, require an adverse finding en the issue of HL&P's technical qualifications to operate the STP? 2/

(2)

Do tt.e HL&P and Brown & Root (B&R) construction quality assurance organizations and practices, including the changes therein as reflected in the aforementioned documents, constitute substantial evidence of HL&P's capability and commitment to safe operation of the STP7 3,/

(3)

Do EL&P's organization and procedures for monitoring the. construction of STP, including the activities of its architect-engineer-constructor, provide reasonable assurance thac HL&P can fulfill its responsi-bility under its license and NRC regulations 2/ See virginia Electric and Power Co. (North Anna Nuclear E er Station, Units E and 2), LBP-77-68, 6 NRC 1127, 1150 (1977), affirmed ALAB-491, 8 NRC 245 (1978); Duke Power Co. (William B. McGuire Nuclear Station, Units 1 and 2) ALAB-143, 6 AEC 623, 626 (1973); Southern California Edison Co. (San Onofre Nuclear Generating Statien, Units 2 and 3), LBP-73-36, 6 AEC 929, 938 (1973), affirmed in pertinent part ALAB-248, 8 AEC 957, 974 n. 24 (1974); Duquesne Light Co. (Beaver Valley Power Station, Unit 1) ALAB-408, 5 NRC 1383, 1387 (1977).

3/ See Beaver Vallev, su ra; Cormtonwealth Edison Co. (Zion Station, Units 1 an ALAB-226, 8 AEC 381, 400-401 (1974); North Anna, supra.

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Charles Bechhoefer, Esquire October 22, 1980 Page Four

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for safe construction and~ operation of the STP? y Issue B.- Do the statements in the FSAR referred to in Section V. A. (10) of the Order to Show I

Cause (p. 17) constitute " material false statements" that reflect a lack of commit-

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ment to safety on the part of E&P? 5/

k Issue C.

Is there reasonable assurance that the structures now in place at the STP (referred to in Sections V.A. (2) and (3) of the Order to Show Cause) are in conformity l

with the construction permit and the pro-visions of Commission regulations?

If not, j

has E&P taken steps to assure that such structures are repaired or replaced as necessary to meet such requirements? 6/

Issue D.

Will EEP's Quality Assurance Program for operation of the STP meet the requirements of 10 CFR Part 50, Appendix B7 Applicants suggest the foregoing in lieu of the issues l

as formulated by the Staff and propose to make an evidentiary presentation thereon. 7/ To the extent not encompassed within the foregoing, esp will present separate evidence with respect to Intervenors' contentions 1 and 2, as framed

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by the Board.

y See 10 CFR S 2.104 (i:) (1).

y See North Anna, 6 NRC at 1144.

y See 10 CFR S 50.57(a) (1); 10 CFR S 2.104 (c) (1).

4 7/ The issues formulated by the NRC Staff's letter cf October 15, 1980, are all subsumed within the issues listed above.

The NRC Staff proposed issues A, A(1) and A(2) are subsumed within E&P proposed issues A, A(1), A(2) and A(3); NRC Staff proposed issue A(3) is subsumed within E&P proposed issue B; NRC Staff proposed'issus B is subsumed within E&P proposed issue D; and NRC Staff preposed issue C is subsumed dithin E&P proposed issue C.

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Charles Bechhoefer, Esquire October 22, 1980 Page Five Applicants believe that the clarifications cuggested above are essential in order that they be able to proceed promptly to prepare and present their ca If,the issues are,se first as sug-gested by the' Staff.

clarified in the manner suggested above, Applicants are prepared to proceed without further discovery.

If the issues are not so clari-fied, Applicants could require further discovery.

For

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example, if the alleged " false statements" are other than

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those identified in issue B, above, additional discovery may be necessary in order to assure that the scope of Applicants' j

direct testimony is adequate.

Since it is possible that either the NRC Staff or the intervenors may have differing views as to precisely how the issues should'ba clarified, Applirants urge the Board to schedule an early prehearing conference at which the Board i

could finalize both the statement of the issues and the schedule.

In the interim, we can assure the Beard that we are generally proceeding with preparation of our presentation so that we will be able to go to hearing at the earliest possible date.

Finally, we wish to inform the Board that, depending on how the issues are framed, Applicants may wish to file motions for summary disposition with respect to certain of the issues. Accordingly, we respectfully request that in establishing the schedule for.this proceeding the Board include specific provisions for the filing of such motions i

and responses thereto.

Respectfully, YW Jack R. Newshan Robert H. Culp David B. Raskin 1025 Connecticut Ave.,liw h*ashington; D. C.

Finis Cowan Thomas Hudson Malbert D. Schwarz 3000 One Shell Plaza Houston, Texas 77002 0

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Charles Bechhoefer, Esquire October 22, 1980 Page Six

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Attorneys for HOUSTON LIGHTING

& POWER COMPANY, Project

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Manager of the South Texas Project acting herein on I

behalf of itself and the other Applicants, THE CITY OF SAN 1

I' ANTONIO, TEXAS, acting by and through the City Public Service Board of the City of San Antonio, CENTRAL POWER AND LIGHT and THE CITY OF AUSTIN, TEXAS O

'UNSEL:

STEIN, NEWMAN, REIS, w.

AXELRAD & TOLL 1025 Connecticut Ave., NW Washington, DC 20036 BAKER & BOTTS 3000 One Shell Plaza Houston, Texas 77002 4

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a-UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION BEFORE THE ATOMIC SAFETY AND LICENSING BOARD IN TE MATTER OF S

HOUSTON LIGHTING & POWER S

DOCKET NOS. STN-4980L COMPANY, ET AL.

S STN-4990L S

(South Texas Project S

Units 1 and 2)

S CERTIFICATE OF SERVICE I hereby certify that copies.of the attached letter 1

from Jack R. Newman to Charles Bechhoefer in the above-captioned proceeding, were cerved on the following by deposit in the United States mail, postage prepaid, or by hand delivery this 22nd of October, 1980:

Dr. James C. Lamb, III 313 Woodhaven Road Chapel Hill, North Carolina 27514 Dr. E= math A. Luebke Atomic Safety and Licensing Board U. S. Nuclear Regulatory Co:nmission Washington, D. C.

20555 Bernard M. Bordanick,-Esquire Hearing Attorney

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Office of the Executive Legal Director U. S. Nuclear Regulatory Commission Washington, D. C.

20555 Edwin J. Reis, Esquire Counsel for NRC Staff Office of the Executive Legal Director U. S. Nuclear Regulatory Commission Washington, D. C.

20555 Richard W. Lowerre, Esq': ire Assistant Attorney General-for the State of Texas Post Office Box 12546, Capitol Station Austin, Texas 78711 O

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Mrs. Peggy Buchorn Executive Director Citizens for Equitable Utilities, Inc.

Route 1, Box 432 Brazoria, Texas 77422 Honorable Burt O'Connell County Judge, Matagorda County Matagorda County Court House Baf, Cit'y, Texas 77414 Steven A. Sinkin, Esquire 116 Villita San Antonio, Texas 78205 Mr. Lanny Sinkin Citizens Concerned About Nuclear Power, Inc.

116 Villita San, Antonio, Texas 78205 Atomic Safety and Licensing Board Panel U. S. Nuclear Regulatory Commission l

Washington, D. C.

20555 Atomic Safety and Licensing Appeal Board Panel 4

U. S. Nuclear Regulatory Commission Washington, D. C.

20555 i

Mr. Chase R. Stephens Docketing and Service Section Office of the Secretary of the Commission-U. S. Nuclear Regulatory Commission Washington, D. C.

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