ML20126H898
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July 29,1980 MEMORANDUM FOR:
G. W. Reinmuth, Assistant Director, RCI THRU:
K. V. Seyfrit. Dirwetor, RIV FROM:
W. C. Seidle, Chief, RCES Branch
SUBJECT:
GENERIC RESPONSE LETTER TO REQUEST 3 REGARDING SOUTH TEXA5 PROJECT As requested by your Action Item H06000650, dated July 11,1980, the appended draft response letter is forwarded. This draft was previously transmitted to you by facsimile on July 25,1980.
%ginal s:g 3 67' W. C. Seidle W. C. Seedle, Chief Reactor Construction and Engineering Support Branch
Contact:
R. E. Hall 334 2411 Enclousre:
Draft Response, dated 7/25/80 1
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Third Draf 7/25/80 bb e-Dockac No. 50-498 50-499
==Dear
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Tour letter to President Carter has been referred to as for reply. The concerns you expressed regarding the safety of nuclear power in general and the South Texas Project (STP) in particular are valid, and form the very basis for the federal regulation of nuclear energy. During construction and operation of all nuclear power facilities, such as STP, the licenses, in this case Houston Lighting and Power Company (E&P), is required by federal law to establish a gus11ty assurance program to assure that the plant is constructed and operated in accordance with federally established criteria. The licensee is further required to impose these same requirements on all tiers of his contractors and subcontractors, and to establish audit programs to assure that these contractors are complytag with the same criteria. These requirements do not guarantee that defects will not be produced during the construction process, but do provide a high degree of assurance that defects will be found and corrected if the quality assursace program is properly designed and implemented.
Con-struction at STP, according to the recent investigation report, had not i
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resulted in significant deficiencies that were not being properly corrected;
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however, failure to follow all of the procedures and to fulfill all of the requirements of the quality assurance program was found' o be such that, unless strong asasures were taken to effect better adherence to procedures, unaccept-able construction may evennually have resulted.
The Nuclear Regulatory Commission (NRC), through its regional offices and
. resident inspectors at selected construction sites (including the South Texas Project) and all operating facilities, inspects for compliance with federal r'egulations and cosmiitments previously made to the NRC by the licenses.
It was an outgrowth of this inspection program, together with allegations from workers and fosmer employees, that led to a special investigation at STP.
This special investigation resulted in a number of identified failures of the licenses to assure that his contractors were complying with applicable federal regulations and licensee 'comitments.
As a result, the licensee was cited for these items of' noncompliance and fined $100,000. The NRC also imposed sa Order to Show Cause why the construction of South Texas should not be stopped.
The licensee has responded to the cited items of nascompliance and paid the $100,000 fine. Eis response to the topics described in the Show Cause Order is espected by July 28, 1980. Following review of this response, a public meeting between the NRC sad IZAF is planned La Bay City, Texas, to review the adequacy of the proposed corrective actions and to permit the public to question and voice epistems regarding the respense.
Corrective actions necessary to resolve the identified problems at STP will be the subject of subsequest inspections by the NRC to assure full compliance by both IIAF and their contracters.
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One of.he pr:ne:. pal allegations vnich led to the ST? investigation related to harassment, intimidation and physical abuse of inspectors.
As a part of the NRC 1980 Supplemental Authoriranion, Congress made it a federal offense to murder, assault, intimidate, oppose, resist, or otherwise interfere with
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any construction or quality assurance inspector on a project licensed by the NRC.
It is the position of the federal government, as mandated by Congress and the
- Administration, that compliance with federal regulations regarding quality
', assurance, as enforced by the NRC, vill provide adequate assurance that the nuclear power facilities are constructed and operated in a manner sufficient to assure the health and safety of the public. When a facility such as STP receives estraordinary enforcement action, it neccessarily receives a degree of notoriety and publicity that reflects on other facilities.
In fact, this enforcement action is evidence of the intended functioning of the federally i
mandated controls over the peaceful use'of nuclear energy, and is assurance of the proper construction of facilities without similar enforcement sanctions.
l It further is intended that corrective actions taken will remedy identified problams and assure proper completion of the STP facility.
e K. 7. Seyfrit Directer t
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