ML20154A668
| ML20154A668 | |
| Person / Time | |
|---|---|
| Issue date: | 01/07/1986 |
| From: | NRC COMMISSION (OCM) |
| To: | |
| References | |
| REF-10CFR9.7 NUDOCS 8603040123 | |
| Download: ML20154A668 (12) | |
Text
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1 with regard to where we stand on EQ and tire protection and 2
the like.
3 Let me see it there are any other questions that the 4
Commissioners have?
6 i
COMMISSIONEW ZECH:
No.
e e
o COMMISSIONER ROBENTS:
No.
7 COMMISSIONER ASSELSTINE:
No.
I would just say, I 8
think this has been'a very useful session.
I think we've 9
started to scratch the surface on some of this, and I i
f.
I' 10 appreciate the Board asking for the opportunity to meet with 11 the Commission.
12
'MR.
DEAN:
We probably should have done it sooner, 13 but it'r,ta very profitable thing.
a
^
14 COMMISSIONER ZECH:
It's a good first step.
Let's
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1 15 roll
'u p our sleeves and go to work.
16 CHAIRMAN PALLADINO:
Well, thank you very much, 17 gentlemen.
As the other Commissioners have said, we very much, t-18 appreciate your being here, and we think it has been a very 19 truitful meeting.
20 So we will stand adjourned.
21
[Whereupon, at 11:38 o' clock, a.m.,
the meetin Nas t
22 adjourned.]
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CERTIFICATE OF OFFiCiHL REPORTER 2
- p-3 4
5 This is to certify that the attached proceedings 6
before the United-States NucIvar ReguIatory Commission in the
)
7 matter of-COMMISSION MEETING L
8 c
9 Name of Proceeding:
Briefing by TVA on Corporate Plan (Public Meeting) 10 e
11 Docket No.
12 Place: Washington, D.
C.
L' 13 Date: Thursday, January 9, 1985 1.
14 15 were held as herein appears and that this is the originaI 16 transcript thereof for the file of the United States Nuclear 17 Regulatory Commission.
13 l
(Signature) j i m,
~ pp 4
(Typed Name of Reporter) 20 21 22 23 Ann Riley & Associates. Ltd.
24 es l
1/9/86 SCHEDULING NOTES
'ITLE:
BRIEFING BY TVA ON CORPORATE FLAN SCHEDULED:
10:00 A.M., THURSDAY, JANUARY 9, 1986 (OPEN)
DUPATION:
APPROX 2 HRS SPEAKERS:
TVA BOARD OF DIRECTORS (APPROX 30 MIN)
- CHARLES H. DEAN, JR., CHAIRMAN
- RICHARD M. FREEMAN
- JOHN B. WATERS OUTLINE:
1.
OPENING STATEMENT AND REVIEW OF MANAGEMENT ISSUES FROM TVA BOARD'S PERSPECTIVE MR. CHARLES H. DEAN, JR., CHAIRMAN 11.
STATEMENT OF DIRECTOR FREEMAN MR. RICHARD M. FREEMAN Ill.
STATEMENT OF DIRECTOR WATERS MR. JOHN B. WATERS IV.
DISCUSSION PERIOD THE FOLLOWING TVA EMPLOYEES WILL BE SEATED AT THE COMMISSION TABLE WITH THE TVA BOARD OF DIRECTORS:
W.F. WILLIS TVA GENERAL MANAGER H.S. SANGER, JR.
GENERAL COUNSEL CHUCK MASON DEPUTY MANAGER OF POWER AND ENGINEERING (NUCLEAR)
TENNESSEE VALLEY AUTHORITY PRESENTATION TO NUCLEAR REGULATORY COMMISSION ON JANUARY 9,1986 J
..= -
b AGEt0A TVA FWlAGEEf6 ISSUES JAt0ARY9,1986 10 A.M. - 12 NOON 1717HSTREET, WASHINGTON,D.C.
I. OPENING STATEMENT AND REVIEW OF CHAIRMAN CHARLES ll. DENJ, JR.
FhNAGEMENT ISSUES FROM TVA BOARD'SPERSPECTIVE 1
II. STATEMENT BY DIRECTOR FREEMAN DIRECTOR RICHARD M. FREEfW4 III. STATEMENT BY DIRECTOR WATERS DIRECTOR J0m B. WATERS IV. DISCUSSION PERIOD
PRESENTATION OF C. H. DEAN, JR.
CHAIRMAN, BOARD OF DIRECTORS TENNESSEE VALLEY AUTHORITY BEFORE THE NUCLEAR REGULATORY COMMISSION WASHINGTON, D.C.
JANUARY 9, 1986 GOOD MORNING.
MR. CHAIRMAN AND MEMBERS UF THE COMMISSION, WE APPRECIATE THIS TIME ON YOUR SCHEDULE TODAY TO DI3 CUSS TVA'S NUCLEAR PROGRAM.
I AM CHARLES H. DEAN, JR., CHAIRMAN OF THE BOARD OF DIRECTORS OF THE TENNESSEE VALLEY AUTHORITY.
WITH ME ARE MY COLLEAGUES ON THE BOARD, DIRECTOR RICHARD M. FREEMAN AND DIRECTOR JOHN B. WATERS.
ALSO AT THE TABLE ARE OUR GENERAL MANAGER, WILLIAM F. WILLIS: HERBERT S.
SANGER, JR., OUR GENERAL COUNSEL; AND CHARLES MASON, OUR DEPUTY MANAGER OF NUCLEAR POWER.
AS EACH BOARD MEMBER PERSONALLY KNOWS AND AS THE COMMISSION IS FULLY AWARE, THE TVA NUCLEAR POWER PROGRAM IS IN GREAT DIFFICULTY, TVA's PERFORMANCE HAS DETERIORATED FROM A POSITION OF LEADERSHIP IN THE NUCLEAR INDUSTRY.
EACH OF THE BOARD MEMBERS RECOGNIZES THE SERIOUSNESS OF THE SITUATION AND THE NECESSITY FOR VIGOROUS AND EFFECTIVE STEPS TO REMEDY IT.
EACH BOARD MEMBER IS PERSONALLY COMMITTED TO RESTORING THE CONFIDENCE OF NRC, THE TENNESSEE VALLEY REGION, AND THE NATION AS A WHOLE IN TVA'S ABILITY TO SAFELY AND EFFICIENTLY OPERATE ITS PLANTS.
WE HAVE TAKEN AGGRESSIVE STEPS TOWARD THIS G0AL, AND ARE GIVING FIRST PRIORITY IN l
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OUR DAILY ACTIVITIES TO THE NUCLEAR PROGRAM.
HOWEVER, AS ONE OF THE COMMISSIONERS REMARKED ON TUESDAY, TVA'S NUCLEAR POWER PROBLEMS DID NOT OCCUR OVERNIGHT AND THEY WILL NOT BE CORRECTED OVERNIGHT.
THE COMMON ROOT CAUSE OF TVA'S LITANY OF TECHNICAL DIFFICULTIES IS MANAGEMENT IN NATURE.
ONE OF THE MOST SERIOUS PROBLEMS IN OUR VIEW HAS BEEN lHE FAILURE OF TVA TO DEVELOP AND KEEP QUALIFIED MANAGERS.
WE HAVE LOST FINE TALENT; WE HAVE NOT DEVELOPED ADDITIONAL TALENT THAT WE NEED:
AND NOW WE FIND OURSELVES WITH LIMITED HIGH-LEVEL MANAGEMENT AND OPERATING EXPERIENCE.
ANOTHER PROBLEM HAS BEEN THE INADEQUATE AUTHORITY OF OUR MANAGERS.
CLEAR LINES OF RESPONSIBILITY AND ACCOUNTABILITY HAVE NOT EXISTED.
THE EFFECTS OF THIS DIFFUSE MANAGEMENT WAS COMPOUNDED BY AN OUTDATED ORGANIZATIONAL STRUCTURE.
AN OUTGROWTH OF OUR MANAGEMENT PROBLEM HAS BEEN A SERIOUS LACK 0F COMMUNICATION BETWEEN MANAGERS AND EMPLOYEES.
THIS HAS LED TO A FEAR BY SOME TVA EMPLOYEES THAT INTIMIDATION AND HARASSMENT BY TVA MANAGERS WILL FOLLOW THEIR RAISING P0TENTIAL NUCLEAR SAFETY PROBLEMS.
THESE PERCEPTIONS EXISTED DESPITE THE BOARD'S EFFORTS TO MAKE IT CLEAR THAT IT WILL NOT TOLERATE THE INTIMIDATION OF EMPLOYEES EXPRESSING SUCH VIEWS.
IN THE LAST YEAR THE BOARD HAS SUPPORTED MAJOR EFFORTS TO REGAIN COMMUNICATION WITH AND THE TRUST AND CONFIDENCE OF OUR EMPLOYEES.
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THE BOARD HAS TAKEN AGGRESSIVE ACTION TO REMEDY ITS MANAGEMENT PROBLEMS BY BRINGING ON BOARD A NEW TOP MANAGER OF THE NUCLEAR PROGRAM AND INVESTING HIM WITH AUTHORITY TO MATCH HIS RESPONSIBILITY.
IN SEEKING A NUCLEAR ADVISOR TO THE BOARD, MY COLLEAGUES AND I HAD MET WITH STEVEN A. WHITE.
WE WERE S0 IMPRESSED WITH HIS REPUTATION AND CREDENTIALS, INSIGHT INTO OUR MANAGEMENT PROBLEMS, RELEVANT EXPERIENCE, AND LEADERSHIP THAT WE DETERMINED TO ADD HIM NOT AS ONLY AN ADVISOR TO THE BOARD BUT AS THE SINGLE EXECUTIVE WITH OVERALL RESPONSIBILITY AND FULL AUTHORITY FOR ALL ASPECTS OF THE TOTAL TVA NUCLEAR PROGRAM.
STEVE WHITE SERVED IN THE NAVY FOR 33 YEARS AND RETIRED AFTER SERVING AS A 4-STAR ADMIRAL IN CHARGE OF THE NAVY'S MATERIAL COMMAND.
THAT COMMAND CONSISTED OF 250,000 PEOPLE AND WAS RESPONSIBLE, AMONG OTHER THINGS, FOR PROCURING THE NAVY'S SHIPS, INCLUDING NUCLEAR SHIPS, AIRCRAFT, ELECTRONICS SYSTEMS, SH0RE FACILITIES, AND OTHER NAVY SUPPLIES.
HE IS A PRODUCT OF THE NUCLEAR NAVY, AND HIS EXPERIENCE THERE RANGED FROM SERVING AB0ARD THE NAVY'S FIRST NUCLEAR SUBMARINE TO SERVING AS AN ASSISTANT TO ADMIRAL RICK 0VER, AND FINALLY AS COMMANDER OF 90 NUCLEAR-POWERED SUBMARINES.
WE ARE VERY PLEASED TO HAVE STEVE WHITE AS TVA'S MANAGER OF NUCLEAR POWER.
3
STEVE WHITE COMES TO US FOR TWO YEARS ON AN EMPLOYEE LOAN THROUGH STONE &
WEBSTER ENGINEERING CORPORATION.
TO CLEARLY DEFINE HIS ROLE, WE ENTERED INTO A WRITTEN MEMORANDUM OF UNDERSTANDING BETWEEN STEVE WHITE AND THE TVA BOARD OF DIRECTORS.
IT ESTABLISHES OUR MUTUAL OBJECTIVES OF PROVIDING TVA WITH MANAGEMENT CAPABIL ITY S0 THAT AT THE END OF 2 YEARS THE TVA NUCLEAR PROGRAM WILL BE IMPROVED AND TVA WILL HAVE ENHANCED CAPABILITY TO MANAGE THE PROGRAM WITH PERMANENT TVA PERSONNEL.
THE ESSENCE OF OUR MEMORANDUM OF UNDERSTANDING IS THAT STEVE WHITE HAS RESPONSIBILITY AND AUTH 4ITY TO MANAGE OUR OVERALL NUCLEAR PROGRAM.
SOME OF THE HIGHLIGHTS ARE:
STEVE WHITE WILL HAVE DIRECT AUTHORITY AND RESPONSIBILITY FOR THE MANAGEMENT, CONTROL AND SUPERVISION OF TVA'S ENTIRE NUCLEAR POWER PROGRAM, INCLUDING, BUT NOT LIMITED T0, THE DESIGN, CONSTRUCTION, MAINTENANCE, AND OPERATION OF ALL EXISTING OR PLANNED TVA NUCLEAR POWER PLANTS.
THIS INCLUDES AUTHORITY TO ESTABLISH MANAGEMENT AND OPERATING POLICIES AND PROCEDURES RELATED TO TVA'S NUCLEAR POWER PROGRAM, INCLUDING ANY ASPECT OF PERSONNEL MANAGEMENT, DEVELOPMENT, AND COMMUNICATION.
4
3 HE HAS DIRECT ACCESS TO THE TVA BOARD OF DIRECTORS AND REPORTS DIRECTLY TO THE GENERAL MANAGER AND THE BOARD OF DIRECTORS.
HE MAY BE REMOVED ONLY BY THE BOARD.
SUBJECT TO RESERVATIONS OF AUTHORITY TO THE TVA BOARD AND GENERAL MANAGER, HE IS AUTHORIZED TO HIRE, REMOVE AND ASSIGN BOTH TVA AND CONTRACTOR PERSONNEL, AND TO REDIRECT AND/0R RESTRUCTURE THE ACTIVITIES AND FUNCTIONS OF TVA 0FFICES INSOFAR AS NUCLEAR POWER ACTIVITIES ARE INVOLVED.
HE HAS DIRECT RESPONSIBILITY FOR PROVIDING NUCLEAR POWER PROGRAM BUDGET AND FINANCIAL INFORMATION TO THE GENERAL MANAGER AND BOARD AND FOR DEVELOPING AND RECOMMENDING NUCLEAR POWER PROGRAM BUDGETS FOR BOARD APPROVAL.
THE INTERNAL TVA ACTIVITIES AND FUNCTIONS NECESSARY TO THE SUCCESSFUL OPERATION OF THE TVA NUCLEAR POWER PROGRAM, INCLUDING THE NUCLEAR SAFETY REVIEW STAFF, SHALL REPORT TO STEVE WHITE.
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HE IS AUTHORIZED AND DIRECTED BY THE BOARD TO COOPERATE FULLY WITH THE UNITED STATES NUCLEAR REGULATORY COMMISSION AND ANY OTHER AGENCY OR ENTITY, GOVERNMENTAL OR OTHERWISE, WITH JURISDICTION OVER OR INTEREST IN TVA'S NUCLEAR POWER PROGRAM TO ASSURE THE SAFE, RELIABLE AND: EFFICIENT DESIGN, CONSTRUCTION, OPERATION, AND MAINTENANCE OF TVA'S NUCLEAR FACILITIES.
HE WILL BE RESPONSIBLE FOR ALL ASPECTS OF TVA'S RELATIONS WITH NRC AND OTHER AGENCIES AND ENTITIES.
THIS SHOULD MEASURABLY IMPROVE TVA'S COMMUNICATIONS WITH THE COMMISSION.
STEVE WHITE'S FIRST EFFORT WILL BE ANALYZING OVER THE NEXT 30 DAYS DETAILS OF OUR MOST SERIOUS TECHNICAL, MANAGEMENT, AND COMMUNICATION PROBLEMS.
AT THE END OF THAT TIME, HE WILL REPORT HIS EVALUATION OF THE SITUATION AND PLANS FOR CORRECTIVE ACTION TO THE BOARD AND TO THE COMMISSION.
THE BOARD IS CONFIDENT THAT ITS ACTIONS WHICH I HAVE OUTLINED WILL ENABLE THE TVA NUCLEAR POWER PROGRAM TO MEET THE HIGH EXPECTATIONS OF BOTH THE TVA BOARD AND THE NRC.
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