ML20127K527

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Responds to on Behalf of DG Powell Re Unfair Billing of Company for Svcs Not Rendered
ML20127K527
Person / Time
Issue date: 12/03/1992
From: Taylor J
NRC OFFICE OF THE EXECUTIVE DIRECTOR FOR OPERATIONS (EDO)
To: Craig L
SENATE
References
FRN-57FR18095, RULE-PR-170, RULE-PR-171 CCS, NUDOCS 9301260148
Download: ML20127K527 (1)


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[#a a'%*o UNITED STATES

! ",,, ',j NUCLEAR REGULATORY COMMISSION

.g WASHINGTON, D. C. 20555 t

December 3, 1992 The Honorable Larry E.

Craig United States Senator 304 N.

8th Street, Room 149 Boise, Idaho 83702

Dear Senator Craig:

I am responding to your letter dated November 5, 1992, written on behalf of your constituent, David G.

Powell, Toothman-Otton Engineering Company.

Mr. Powell feels that the NRC has unfairly billed his company for services not rendered.

The Omnibus Budget Reconciliation Act of 1990 (OBRA-90), requires that the Commission recover 100 percent of its budget authority, less appropriations from the Department of Energy (DOE) administered Nuclear Waste Fund, for Fiscal Years 1991 through 1995 by assessing license and annual fees.

For FY 1991, the commission was required to collect approximately $445 million and approximately $493 million for FY 1992 through these fees.

In order to comply with the law, the Commission published FY 1991 fees in July 1991 and FY 1992 fees in July 1992 based on careful evaluation of public comments.

The fee referenced in Mr.

Powell's letter is an annual fee that was established to implement OBRA-90.

I have reviewed the information provided to me in your constituent's letter of October 30, 1992, and have granted an extension to August 29, 1991, for filing a request for termination of License No. 11-27352-01 for purposes of avoiding the FY 1991 annual fee.

Enclosed is my response to Mr. Powell of Toothman-Orton Engineering Company.

If you need any additional information, please let me know.

Sincerely,

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ylor xecutiv Director for Operations

Enclosure:

As stated i

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WASHINGTON, D. C. 20656 December 2, 1992 Toothman-Orton Engineering Co.

ATTN:

David G.

Powell Radiation Safety Officer 2

1802 North 33rd Street Boise, Idaho 83703-5897 Gentlemen:

l I am considering your October 30, 1992, letter to Payco-General American Credits (NRC's debt collection contractor) and your letter of October 15, 1991, to our Region IV office, as a request 4

for exemption-from the FY 1991 annual. fee for License No. 11-l 27352-01, Invoice No. AM08239-91.

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I The bases for your request are:

1) you received reams of NRC regulations, which included material stating that the deadline for terminating your license to avoid the FY 1991 fee'was j

August 9,-1991, at the busiest time of the construction season;-

.2) you were.very busy managing construction projects in and 4

around the Boise area and-spent minimal time in the office reviewing NRC regulatiors; 3) you had made your decision to terminate prior to the deadline date of August 9, 1991; 4) upon receipt of the first notice you contacted NRC and were-told failure to pay the fee could result in cancellation of the

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license, which is exactly what you wanted; 5) you'had not i

received any written reply to any of your correspondence l

regarding this issue; and 6) in a July 1991 telephone j

conversation with Region IV you were led to believe.you had until j

September 30, 1991, to terminate.

l The final rule revising 10 CFR-Part 170 and 10 CFR Part 171 i

provided an opportunity for licensees who wished to relinquish their licenses and who were capable of permanently ceasing l

licensed operaticns by September 20, 1991, to avoid the FY 1991 l

annual fee if the licensee notified the commission in writing within the 30-day period prior.to the effective date of.the' rule (56 FR 31475 and 31485; July 10, 1991).. As stated in the Federal Register notice,.and the notice which was mailed with the l

invoice, the effective date of the rule was August 9, 1991.

i Based on'the information provided in your letters of October 15, 1991, and-October 30, 1992,-the Commission:

1) grants an extension.to the time to file for termination to August 29, 1991; l

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l 2)' acknowledges that-you transferred your Troxler Moisture j

Density Gauge on August 29,-1991; 3) considers your actions timely for purposes of avoiding the FY 1991 annual fee; and 4) j acknowledges that your license was terminated on May 11, 1992.

Invoice No. AM08239-91 will be canceled, i

sincerely, i

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ylor Xecutive Director for-Operations-f-

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December 3, 1992 DISTRIBUTION:

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WASHINGTON, DC 20510-1203 November 5, 1992 C

Respectfully referred ton Dennis K. Rathbun, Director Office of Congressional Affairs-Nuclear Regulatory Commission Washington, D.C.

20555 I have been contacted by:

David G. Powell Toothman-Orton Engineering 1802 N.

33rd St.

Boise, Id 83703 208-342-5511 I would appreciate your assistance with the constituent problema referred to, and any appropriate information and comuments.

Specific questions and casements:

Mr. Powell feels that the Nuclear Regulatory Commission has unfairly billed his company for services not rendered.

Please see attached letter for a more detailed-explanation.

Please respond to se at my Boise District Office, attention of av-Staff Assistant. Groo Rice, 304 N. 8th Street, Roosa 149, Boise, Idaho 83702.

Telephone (208) 342-7985.

Facshsile number'(208) 343-2458.

Thank you for your assistance in this matter.

Larry E. Craig United States Senator r

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l-Att-ntion:

Greg 1

CONSTITUENT SERVICE FORM

(" Privacy Release Form")

i Name (please print) Toothman-Orton Engineering., Company i

j Address 1802 North 33rd Street, Bois'e, ID 83703

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i REGARDING (Examples:

Social Securitg' retirement, disabili.ty, et'c. / Internal: Revenue Service refund, tax collection problem, etc./ Veterans Administration disability compensation,' educationar Ioan problem, etc,/ Farmers Home' Administration loan grobles, etc.

l U.S. Nuclear Regulartory Comission 3

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Due to the Privacy'Act of ~1978- '(Rublic Law 93-579),- Federal and State government agencias are. prohibited' from releasing any i

information or from discussingt anything regarding. another individual without that individual.'s wri.tten permission.

Your

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signature on this'page authorizes me, as your Senator, to contact i-the proper officials on your= behalf, to discuss the matter and to j

receive any information pertinent to the case.

l DATE SIGNATURE-i' l

Please return this form along with our Questionnaire to o

l Hon. Larry E. Craig l

United States Senator 304 N.

8th, Room 149 l-

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-- Boise, Idaho 83702 l

- or bring these two forms into our Boise. district office at:

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304_N. 8th St.,

Room-149 Boise,-Idaho 83702

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.(at 8th and Bannock Streets, across' Jefferson St. from the-Capitol building, in the- "old Borah. Post Office Building")

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_ ATTN:

GREG 4

CASEWORK QUESTIONNAIRE Senator-Lar:7 E. Craig 304 Nu hth St.,

Room'149 q

Boise, Idaho 83702 Name Toothman Orton Engineering C mpany' i

Address _

'1802 North 33rd Street, Boise, ID-83703 Daytime Tel. No. 208-342-5511 i

Please complete the information below which applies to your caea, alwa'.

listine the Social Security number:-

j' Social Security' Number IRS Tax ID Number (businesses only/begins with 82-)

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Veterans Administration ID No. (begins with C)

INS (Immigration) Nc.- (begins with A)

Other ID number (s.)

j If you are moving soon, is there a forwarding address?

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N/A I

Daytime Tel.-No.

Please list below.important dates'that concern your case.

(Examples:

s.

the problem began /when you filed a. claim or appeal /when you-must file a l

claim or appeal (deadline) /when you : stopped receiving checks /how much j

the checks were for/how much the' agency owes you/how-much the agency say l

you owe the agency, in round figures -if you don't know the exact amounts l

1.

NRC Provided New License On

'06-05 2.

Date Toothman-Orton Received 1st Invoice 07-16-91 l

3.

NRC Published Dealine For Notification Of Intent to Terminate License 06-09-91 4,

2nd Invoice VW'W-*

5.

Demand For Payment 02-92 6.

3rd Invoice 10-08-91 i

7.

Letter to NRC Billing Dept.

11-15-91 8.

Telephone Conversation Regarding Billing 11-18.~

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l IF YOU NEED MORE SPACE TO ANSWER ANY OF THE ' ABOVE QUESTIO THE _ INFORMATION YOU WISH TO PROVIDE, PLEASE' WRITE "OVER" AT THE APPROPRIAT PLACE ~ AND FINISH ON - THE OTHER SIDE OF THIS FORM.

IF YOU PREFER TO WRITE A; L

LETTER INSTEAD, PLEASE BE SURE TO ANSWER ALL OF THE ABOVE QUESTIONS AS APPLY ' TO YOUR CASE AND INCLUDE THEM IN ~ YOUR LET*ER. BE SURE:TO ENCLOSE

-i YOUR LETTER WITH THE PRIVACY RELEASE FORM.

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L THANE YOU FOR ' ?ROVIDT!!C - THIS -!?!?OPRAT!OM.

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TOOTIIMAN-ORTON ENGINEERING COMPANY oav tootwuas.Ptits CONSULTING ENGINEERS, SURVEYORS AND PLANNERS TM OTMT A.BURGE$1 Pt atNNK stNN M,LS RCMORO F ORTON.JRydla 18s2 NORTH 33rd STRiti P* **"8 BOISE. IDAHO 63703-5897 sannys sguate,pt cH ES P $UNDSV. Pt 206 D2 5511 FAX 206 M2-5514 DAwo o PowtLL Pt October 30, 1992 Payco - General American Credits P.O.

Box 7169 Dublin, Ohio 43017 RE: Nuclear Regulatory Commission Acct. No. BPA 006 AM08239-91 11-27352-01 Gentlemen:

Toothman-Orton Engineering Company is protcoting the billing of the 1991 license fee assessed by the NRC.

Until this protest is cleared up to our satisfaction we will continue to decline payment as itemized in your October 2, 1992 Demand for Payment Statement.

The NRC took over the regulatory authority over activities involving the possession and use of byproduct source and special nuclear materials from the State of Idaho on April 26, 1991.

At that time, Toothman-Orton Engineering Company was operating under an Idaho License which was valid for an additional 16 months, to terminate in August of 1992.

We feel that we should have been allowed to continue to operate under this license, but controlled by the NRC.

This would probably have saved a great amount of time in processing the new NRC license.

The NRC did not provide us with any service during 1991 other than to re-write our license and mail us reams of regulations which literally scared us into terminating our license.

In our opinion is not justification for a $1,500.00 license fee.

Included in the reams of federal regulations was a letter from the NRC which informed us of our deadline of August 9,

1991 for notification of intent to terminate our license.

This letter was mailed at the busiest time of the construction season.

I was very-busy managing construction projects in and around the Boise area and spent minimal time in the office reviewing NRC regulations.

Keeping up with this paper would have been a full time job.

The NRC took their sweat time setting their regulations and making

'1 their decisions on how to implement the regulation of the State of Idaho, and then they turned around like the thoughtless bureaucracy i

they are and applied irrevocable deadlines on'the people they were to serve.

We had made our decision to terminate our license prior to this deadline date of August 9, 1991.

Had wo known about the deadline BOISE

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' TOOTHMAN ORTON ENGINEERING COMPANY 1

Payco Page 2 of 2 date, we certainly would have met this notification date.

t As soon'as I. reviewed the first invoice for payment of the 1991-license, I got on the phone to Marnella Rodriguez of the NRC.

Marnella was in charge of license fees and. collection.

.Marnella-told me in that phone conversation that the NRC by. policy ~could not retract the billing for 1991 license fees due to' accounting reasons.

She said that failure to pay the fee could result in the cancellation of our license.

I informed her that this was exactly.

what we wanted.

She went on to say that additional action could be taken:

1. The NRC could issue to us a Show'Cause notification.
2. The'NRC could file a Credit Report for failure to pay.
3. The NRC could turn over the account to a collection agency.

She said that the show cause notification would be the first action taken if any, but that it.was her opinion that if our license _was already terminated, the NRC would simply file.this_ case away and forget it.

In fact, the NRC did not issue us a show cause notice.

and they did not forget it.

1 Recently, I looked over.the timing of this. billing _and.found that the date on the initial billing is' August 9, 1991.

This date is the same as the deadline for the previously discussed notification deadline.

Marnella told me that the-NRC could not retract the billing, however,- the hilling was sent!out _ prior to that deadline.

This is a major discrepancy in her explanation.and makes me think that:the NRC certainly_ can reverse' their billings, but are._ not.

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willing to take the time to aid small businesses as:ours who have

.a legitimate request -for reconsideration and reversal of the Li billing.

-As you can see from our earlier correspondence,- we have attempted to plead our case-with.the ~ NRC.

We have not,-to my. knowledge, received a written reply : to any-of our correspondence regarding=

this issue.

We do not intend-to respond.to this demand until we are satisfied.that our case has' been properly considered 'and acknowledged.

l Sincerely, i

David G.'.Powell-Radiation Safety Officer-b Honorable Senator Larry Craig

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cc:

cc: William Fisher,' Chief, NRC,_ Nuclear Materials Licensing Section L

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DOCUMENT PREPARATION CEECKI.ZST i

This chacalist is

- be submitted with each desument (or group of l

qs/As) seat for.

ing into the CCS.

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BRIEF DESCRIPTION OF DOCUMENT (5) -

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DOCUMENT contact.

sameitive (NRC -Caly) 4.

CowanEssIONAL COMMITTEE and SUBCOMMITTEES (if applicable) l Congressional Cassittee subcommittes l

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SUBJECT CODES 1

(a) t l

(b)

(c) 4.

SOURCE OF DOCUMENTS (a) 5828 (docuneat asas (b)

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(e)

At'Eachments (4)

Retey (e)

Other 7.

SYSTEM 146 B&TES

/!/ M Date OCE seat desument to CCS (a)

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(D)

Date CCS.reesiTeendesument Date returned to 001 for additional infessation j

(e) i

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(d)

Date reenheitted by-CCA to CCS Data entered into CCS by_

(e) i Date OC1 actified that document is in CCS (f) 8.

COMMENTS 132 67 j

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