ML20196K259

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Matls Licensing Package for Amend 5 to License SNM-1996 for Tenet HealthSys.Control:126230
ML20196K259
Person / Time
Site: 07003077
Issue date: 11/10/1998
From: Michelle Beardsley
NRC OFFICE OF INSPECTION & ENFORCEMENT (IE REGION I)
To:
References
126230, NUDOCS 9907080223
Download: ML20196K259 (19)


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4 NRC FORM 374 u.s. NUCLEAR REGULATORY CoMMISSloN Ju a icate ==AreAgJ9Esk =

Amend ent No. 05

)U 3 Cate Pursuant to the Atomic Energy Act of 1954, as amended, the Energy Reorganization Act of 197 ,

cf Federal Regulations, Chapter 1 Parts 30,31,32,33,34,35,36,39,40, and 70, and in reliance o i

! heretofore made by the licensee, a license is hereby issued authorizing the licensee to recei source, and special nuclear material designated below; to use such material for the purpose (s) a deliver or transfer such material to pemons authorized to receive it in accordance with the regu .

shill be deemed to contain the conditions specified in Section 183 of the Atomic Energy Act o applicable rules, regulations, and orders of the Nuclear Regulatory Commission now or hereaft below.

Licensee in accordance with the letter dated October 28,1998, 1 Tenet HealthSystem MCP, L.L.C.

3. Ucense number SNM-1996 is amended in d.b.a. Medical Co!!ege of Pennsylvania Hr., i p gei to read as follows: l 4b l 2. 3300 Henry Avenue
4. Expiration dife Geptember 30,2002 Philadelphia, Pennsylvania 19(27 5. Docket No. 07'Og077 Reference No. p I

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6. Byproduct, source, and/or sMi i nuclear material q

.h 'caland/orphysicalfo g I 8. Maximum amount that licensee may l

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/P 9/g i, j 4 pojsess at any one time under this Iqpse A. Plutonium (principal A. khal soU radionuclide Pu-238) ' WD"fch f h . '

A. N2to exceed 250 milligrams per, source and 0.25 grams l

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9. Authorized use: * '

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! As a component of CoratomicModel C-101 nuclear-powered cardiac pacemakers for clinical evaluatio 1 accordance with manufacturer's' protocol dated Nolember 1,1975, tfils kt , s .h "

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10. Pennsylvania.

Licensed material may be used only at the licensee's facilities at 3300 Henry Avenue, Philadelph

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The physician responsible for follow-up, explantation, and return to the manufacturer for prop disposalis John Fontaine, M.D.

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Tne Radiation Safety Officer for this license is Theodore Villafana, Ph.D.

12. The specified possession limit includes all licensed material possessed by the licensee under this licen whether in storage, implanted in patients, or otherwise in use.
13. Thp licenseeg shall continue patient follow-ugd rep acemegtp'rocedures for the guclear pacemaker duGDg TjfebO@d@ent. Procedures fogeqddem by retum o the manufacturer shall be followed up an the p@pptorized disp death of the patient.

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NRC FORM 374A u.s. NUCLEAR REGULATORY Commission PAGE 2 cf 2 PAGEs Ucense Number Du a icate - Du a ice w'SSS - Juoi icate MATERIALS LICENSE oaAet r Reference Number SUPPLEMENTARY SHEET 070-03077 Amendment No. 05

14. Sealed sources or detector cells containing licensed material shall not be opened or sources removed from source holders or detector cells by the licensee.
15. The licensee may transport licensed material in accordance with the provisions of 10 CFR Part 71, "Paekog!ng and Transportation of Radioactive Material."
16. Except as specifically provided otherwise ir) ' ' li icensee shall conductits program in accordance with the statements, re s, s contained in the documents, including any enclosures, listed below, excep inor changes in the ical use radiation safety procedures as provided in 10 CFR 35.31. Thet . Nuclear Regulatory Commiisf%'sfegulations shall govem unless the statements, representatigand procedures in the licensee's applicja on and corresp more restrictive than the regulations.

A.

D A Letter dated March 197 h B. Application dated i10,ihq2's , ; M..e C. Two letters dated ril 16,19 Nt J, qgi vuff! O D. Letter dated July 1992 lid O E.

F. Application dated ebruary@5,1 Letter dated Januid)5,199 y%

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G. Letterdated October~d 28,h 4ihw[.y'@"ylyt gty H. Letter dated Noverg%r 10, fg ,

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i November 10,1998 l Docket Nos. 030-03036 - License Nos. 37-04172-01 030-34066 37-00467-36 l 070-01362 SNM-1369

  • I 070-03077 SNM-1996 030-03078 37-06855-01 030-14750 37-18263-01 1 030-31046 37-28359-01 030-03158. 37-12141-01 Control Nos. 126226 '

l 126227 126228  !

126230 l 126231  !

126232 126233 I 126234 Lee Domanico L

Senior Vice President  ;

. Tenet HealthSystem Philadelphia, Inc. l

! clo MCP- Hahnemann School of Medicine l Mail Stop 400 l Broad and Vine Streets '

19th floor- New College Building Philadelphia, PA 19102 i

Dear Mr. Domanico:

1 This refers to your license amendment requests. Enciosed with this letter are the amended '

licenses. Please note that a new license number has been assigned Please review the enclosed documents carefully and be sure that you understand and fully implement all the conditions incorporated into the amended licenses, if there are any errors or questes, please notify the U.S. Nuclear Regulatory Commission, Region 1 Office, Licensing Assistance Team, (610) 337-5093 or 5239, so that we can provide appropriate corrections and answers.

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L Domanico 2 Tenet HealthSystem Philadelphia, Inc.

Thank you for your cooperation.

Sincerely, originalsignedby Tara L. Weidner Michelle Beardsley Health ohysicist Nuclear Materials Safety Branch 1 Division of Nuclear Materials Safety

Enclosures:

1. Amendment No. 58 to Ucense No. 37-04172-01
2. Amendment No. 03 to Ucense No. 37-00467-36
3. Amendment No.18 to Ucense No. SNM-1369
4. Amendment No. 05 to Ucense No. SNM-199'3
5. Amendment No. 46 to Ucense No. 37-06855 41
6. Amendment No.19 to Ucense No. 37-18263-01 1
7. Amendment No. 09 to Ucense No. 37-28359-01 l
8. Amendment No. 59 to Ucense No. 37-12141-01 I cc: .

i Marc Krakowitz, M.D., Radiation Safety Officer i Joan Mack, M.D., Radiation Safety Officer John Matthews, M.D., Radiation Safety Officer Jerome Jacobstein, M.D., Radiation Safety Officer Stephen Fudell, D.O., Radiation Safety Officer Theodore Villafana, Ph.D., Radiation Safety Officer

.)

I '

U. S. Nuclear Regulatory Commission Date:11 98 Telephone or Verbal Conversation Record Time:1:30 p.m.

Incoming Call x Outgoing Call . Visit Person Calling: r Office: USNRC Region i Phone #:(610) 337-6942 Michelle Beardsley (

Person Called: Office: Phone #: -

Ann Johnson, Esquire Conversation

Subject:

Change of ownership of Allegheny Univ. Hospitals to Tenet HealthSystem, Inc. and Philadelphia Health and Education Corp.

License Nos.

Docket Nos. 030- Control Nos. /2 520 I

/ ?_s 23 &

/7-.47.77

/2.472-7

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t' Summary: I explained to Ms. Johnson that the following additional infonnation is needed to complete the amendments: i l

1. Their commitment to transfer all financial assurance documents by 11/30/98 and ,
2. Delineation of licensed activities between Tenet and PHEC at the 3300 Henry Avenue and Center City, Broad and Vine St. locations since they will be shared for medical and R/D activities.
3. Signature on this response document and the letlter dated 10/28/98 by an {

administrative officilal of PHEC. - 1 l

l Follow-up conversatiori on 11110/98 regarding their response letter dated 11/10/98 signed by Frank Bachich of PHEC, I explained to Ms. Johnson that we wanted to make clear that all financial instruments regarding their licenses had to be transferred and ,

, submitted by 11/30/98, the language in their letter was not completely clear. l 1

1 Referred to:

Action Requested: Submit additional info.

Action Taken:

1 l

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!!0V.10.199810:19AM STRADLEY RON0N Lt.P NO.I170 P. 2

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PHILADELPHIA HEALTTl & EDUCATION CORPORATION c/o Drexel University 3141 Chestnut Street Philadelphia,PA 19104 November 10,1998 Ms. Michelle Beardsley U.S. Nuclear Regulatory Commission <

RegionI 475 AllendaleRoad King of Prussia, PA 1,9406 Re: AUHS (Center City Campus) 00467-34 ControlNo.126-235 AUHS (Center City Campus) 00467-35 ControlNo.126-236 AUHS (East Falls Campus)- 37-07438-15 Control No.126-237

Dear Ms. Beardsley:

Reference is hereby made to that certain letter to the U.S. Nuclear Regulatory Commission ("NRC") dated October 28,1998, requesting the NRC's written consent to transfer certain NRC licenses from Allegheny University of the Health Sciences ("AUHS") to subsidiaries of Teact HealthSystem Philadelphia, Inc. (collectively, "fenet") and certain other NRC licenses from AUHS to Philadelphia Health & Education Corporation ("PHEC"), all as more fully described therein, a copy of which letter is attached hereto as Exhibit A, in connection with the proposed sale of certain assets of AUHS and certain ofits affiliates pursuant to that certain Asset Purchase Agreement dated as of September 29,1998, as amended, between Tenet HealthSystem Philadelphia, Inc. and PHEC (the " Asset Purchase Agreement").

This letter responds to your request for additional information in order to transfer the licenses referenced above to PHEC (the "PHEC Licenses"). In accordance with your telephone conversation with Ann M. Johnson, Esquire of Stradley, Ronon, Stevens & Young, LLP yesterday, we understand that the PHEC Licenses will be amended to reflect the transfer, effective as of today's date, subject to satisfaction of the following conditions: (1) a commitment that PHEC will obtain certain financial assurances in connection with the foregoing licenses, and (2) a description of the division of responsibilities and liabilities between Tenet and PHEC with respect to the activities conducted under the PHEC Licenses.

In furtherance of the foregoing, PHEC and Tenet hereby represent as follows:

1. PHEC covenants and agrees, . at, on or prior to November 30,1998, it will obtain an assignment from AUHS to PHEC of(r .c Irrevocable Standby Letter of Credit No. A-304002, dated May 15,1992, as amended by an Amendment No. I dated November 8,1996, in the total available amount of 5900,000 icsued by PNC Bank and (ii) th CReimbursement Agreement for Irrevocable Standby Letter of Credit dated November 8,1996 by AUHS made for the benefit of PNC Bank. In addition, on or prior to November 30,1998, PHEC will notify Doc. #144798 v.01 i ~" lkh$

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NOV i 01998 J

FitINOV.16.1998110:20AM9t31 STRADLEY RON0N LLP35- FAX:2156653080 NO.I170 P33

. v.o, ouc4 ear stegulatory Cimmissirn Ntvember 10,1993 Page 2 Chee Manhattan Trust Company of the assignment from AUNS to PHEC of AU

! duties and obligations under the Standby Trust Agreement dated as of October 1 .

Allegheny General Hospital and Pittsburgh National Bank. as amended.

2.

liabilities PHEC Licenses.

between Tenet and PHEC with respect to the activitie Of course. the trtasfer of the PHEC Licensos from AUHS to PREC is conditione the closing of the transa.dions contemplated by the Asset Purchase Agrooment, w expected to occur today. We will notify you immediately upon the consumrnation l Ifyou have any qumtions, or need any additional information, please contact Laura Stamboly, Director, Research Support at (215) M2-8337 or Ann M. Johnson, Esquire 564 5028. l We look forward to receiving the amendments to the PHEC Licenses, indicating tha the name of the licensee thorsunderis Philadelphia Health & PAucation Corporation.

Very truly yours,  !

l

Philadelphia Health & Eduostion Corporati,on B. A 7

sme: FrarM.'Bechich

Title:

Vice President ,

ACKNOWLEDGED AND AGREED TO:

Tenet Hea:thSystem Philadelphia, Inc.

By:. l YW fj61VGe Domanico UTitle: Sr. Vice President Enclosures Don, e144798 v,01 1

RECEIVED TIMEN0V,10. 9:32Ay PRlHT TIMEN0V.10. 9:34AM

cc UOL 10.1998: 10:20AMme=STRADLEY RON0N 1,l? io. 2:snama N0. I170 P. 4scs is 2s EXHIBIT A stoa: & vine ded PA 191021192 ALLEGHENY 2= w~

2DNd' "'**

UNIVERSITY OF TIIE HEALTII SCILWCIS Keith Brown, Ph.D.

U.S. Nuclear Regulatory Commission i

Re5onI

- 475 Allendale Road King of Prussia. PA,19406

Dear Dr. Brown:

Pursuant to 10 CFR 30.34(b) which requires U.S. Nudear Regulatory Commission (NRC) approval prior to the transfer of byproduct materiallicenses, AHegheny Health Education and Research Foundation - Delaware Valley ('AHERF-Delawarc Valley") requests written consent to transfer i ownership and control of the NRC-licensed hospital activities to the subsidiaries of Tenet HealthSystem Philaddphia, Inc. identified in the table below (the " Hospital Transferees'). which Hospital Transferees will own the related hospitals. In turn, the Hospital Transferees accept responsibility and liability for all NRC-licensed activities occumng from and after the date of the Hospital Transferees' acquisition of the related hospitals. We will notify you of the effective date of the acquisition and transfer. The following licenses are affected by this change in ownership and license transfer; ADeghenyUnrversityHosphals ElkinsPark 37-04172 4 1 Allegheny Untversey Hospaals Center City 37 00467-36. SNM-1369 Allegheny Unrversity Hospnals Eau Fans 37 02562-01,SNM-1996 Aller,henyUnivershyHospitals-City Av:nue 374685541 A11c5 h enyUruvershyHospaals-BtzksCounty 37-18263 01 ADegheny University Hospitals - Graduate 37-2835941 Allegheny Univetssty Hospitals - Parkview 37 12141 01 AAAMonally, Allegheny Universiiy of the Heahh Sciences-Delaware Valley requests written consent to transfer ownership and control of the NRC-liemed University activities to Philadelphia Health &

Education Corporation (PHEC). PHEC is a non-profit entity which will assume the assets of the University and its academic and research pro 6 rams. The Board of Ttustees of PIEC will consist of

- members nominated by Tenet and Drexel University (the managing entity). In turn, PHEC accepts rsixt#vility and hability for all NRC-licensed actmties occurring from and after the date of PIGC's acquisition of the University. The following Ilcenses are affected by this change in ownersfrp and license transfer:

y m .s m se n a.e, ~

A4@e'v comr34 McW.al e A5egheer Mtegrated New crovo e # reghem Uwersdy O' the N.ortm Sce<ce Ai*egnes, un.versfr POSxacs e Meec ir Uneversetv Meo& Cea ers e k Lntgave s reosm.1 fu cw. sea

E c<-NOV.10.199810:20AhiauSTRADLEY RON0N LLP o.tatsv222722 N0.1170 P. Ses :re/as Allegheny University of tbc Heahh Sciences . Center City Campus 370047-34 Allegheny Univeralty of the lhahh Sciences . Center City Campus 37-o04735 Allegheny University of the Heahh Sciena:s - East Falls Campus 37 07438-15 No changes are currently planned in the management and operation of the radiadon safety offices affecting these licenses. The attached document provides additional responses in accordance with the guidance provided in NRC Information Notice No. 89-25: Unauthoited'irstsfer of Ownership 1

or ControlofIJcensed Activities.

Ifyou have any questions reguding this reques, or need any addnional information, please contact l Laura Stamboly, Director, Research Support at 215-762-8337 or Karen Rothberg, Senior Counsel i ofTenet, at 805-563-7077.

l l

Sincerely,

'.< / .c/

1 4

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Dan Stickier ChiefOperating Officer AHERF- Delaware Valley l

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/Al&0 om'anic'o

! enior Vice President Tenet HealthSystem Philadelphia, Inc. ,

as Sole Member of each of the Hospital Transferees

! Attachments ec: Katie Farrell Chris Nezu, PhD.

Linda Dunne, M.D.

Ernest Perilli Theodore Vdlafana, Ph.D. j Leonard Ross, Ph.D. l Laura Stamboly  !

- Eric Cottington, Ph.D. - I Susan Gilbert Almeta Cooper Karen Rothberg(Tenet) l 9

_-2

os 5V.10.1998.10:21hm6TEADLEY RONON LLP s o. t a istaansa NO.1170 P. P E aves Responses to NRC Inforniados Notice 89-25:

1. .3. The namies of the new licensaas, contact names and telephone numbers:

Upon approval of the NRC, and e-P of the sais of the hospaals and the University, the NRC 1==

that win bc us.L i to the Tenet HeahhSystem Philadelphia, jaC. SulAsuharles ("the Hospital Transferees*)

(with respect to the Seputals) and to PHBC (with aspect to the Umwrsny) as idamfied in the table bcks Curttruly31s =*i: " that the rahanan safety ottians ,. ly responsble for the lizasgi actmues will not chage. The talsphone emsnbers of each contact also wiB not change.

Ucanse No. Type New boensac Ra&adon SafetyOmoer/

cunentIiunwe Nane Insatanona10maal Medical Tenet Health $ymem Marc Krakowitt., M.D.

1. AlleghenUniversh 37 0417241 Hospitals-Eudns Par: ElkinsPark. LLC., en (215) 663 6044/

EEdnsPadtHoonal Lee Do===Im

2. AlleghenvUninasity 37-00467-36 Medum! . Taast' W ys Theodore Vdiafhna, Ph.D.

Hospuals-Center City SNM-1369 Hahnamaan, LLC., es G15)763 4050/

HalemmannUniveauy 1.aeDomanion Hommst Mothcal TenstHealth5ymma Theodore Vittaf=na, Pts.D.

' 3. Alleghany Uniwasty 37-02562 4 1 Hospitals.EastFalls SNM.1996 MQ', LLC, en (215) 842 6588/

(laciales St. Onistopher's Medios1Cousseof LeeDomanico -

Hospitalfor ChGdien) Pennsrivania 6'

4. AHaghenyUniwraty 37-068554 1 Metal TeamsHoekh5ystemCity Joan Mack. M.D.

Avenue, LLC., ma City GIS)8712600/

Hosystals-City Avenos Avesse HA8 I.me Domanico TenstHeskhSysten John Manhees, M.D.

5. AlleghenyUnivernty 37 18263 41 Medical Hosnitals-Buis County Bais Coomy, LLC., G15)4414617/

&a WaradasserM91 Lee Domanico 37-18359-01 Medical TestHealthS- Aem Jerotse Jacotmsm.M.D.

6. AlleghenyUniversity Graduate, LLC., dba (215 s93-2041/

Hospitals - Graduase Gradaste Hospital teeDomamco 37-12141-01 1*d=1 Tenst Health 5ysisen dry tephen Fodell, M.D.

7. AlleghenyUn versuy Hospitals -Padmew  : Aveuse. LLC..dba Q15) 537-7501/

ParicviewHo" ' Lae Damasco Broad PhdadelphiaHoekh& ' theodore Vmne'an, Ph.D.

8.~ ADeshenyUniversur 37 00467-34 27 4 0467 35 1hagan Corporanon (21 8 163-4050/

of the Heakh Scamoons- Erici stington.Ph.D.

t%=- Cirre- ---s Philadatphin Henkh & Theodore Vi1Infinna, PILD.

9. AIleghenyUntvesary 37 4 7438-15 Broad of the Henkh Saanass.

FAnentian Ct ;_ d, Q1$)342 6583/

Eau Falls (" -_

Eric CWam Ph.D.

""= " ',"= Henkh & Theodore Villafana,PtLD.

10. AUeghenyUnivasty 37 00467-35 laatator

, EducannonCorporadon GIS)763-4050/

of the Sakh Sciences - '

c City e---_: Ede Cdamaa Ph.D.

C-.

4.: Transferor wtB not condane in aca Jimead basiness:

Egoodve onthedaaeof*=nederof thelicenses, hospitals andUniversitytotheU- 0 mAHERF-Delaware Vansy win act caname is the non4icensed besmess w' shout a license with aspect to the facilencs liste foregoing tabic.

I

oe-NOV.10.199810:21APa^uGTRADLEY RONON LLP to iaisvsa22:2 N0.I170 P. 73E 22/23

5. Description of transaction:

On Spok 29,1998. ABcshnay Health, Educatusi and Research Fondation (AHERP), its Eastern Region Boards of Trusines and the Official C-~ of Unsecured Cmhters reased an ap-.st and approved a proposal byTcact HealthSysten ~ E'-V' Inc. (Tena)to purdase AHERFs N=W- 2-area hn=le The agrcement was approved by the Unned Stams Bankruptcy Court for the Western District of Pennsylvama.

It is anticipared that the cornpletion of the sa!e to Tenet will occur on or about November 9,1998. We will inform you of the transfer date prior to the transfer.

The agreement pnwides for ther d a by Tenet ofeight of the AHERF hospitals in the Eanern Regioo,

, Allegheny Universay ofthe Heakh Sciences and AllesLeny Uniwrsity Medica 1 Practices in the East. The purchase pnce is $345 million, of which 560 rm11 ion is designated to be used to fund the University.

Allegheny Umversity of the Health Sciences' assets will be acquimd by Philadelphia Heahh and Education Corporation ("PHEC"), a new non profit cq-.- =1= It is - : ; =4 that the Board of Trsstees for the University win include seven individuals appointed by Tenet and seven ir.dMJuls appointed by Drexel University, the Umversitv's maa*S*'"#'" Partner.

7-8. Changes in the organization, personnel, location, facilities, eqttipment or procedures:

There will be no changss in personnel related to the Radiance Safety and Physics ,".w.s. Tbc Radianon Safiny Officer at each t~ adaa win continue to be the individual nanied in the table above Adde == ny, the Radiation Safety Cornminees will counnus to provide oversight of the radiation safety programs 'at each limn =1 aite. There will be a change in the lasututional Official fmm the indrvidual named in eacd ha=v Forthe 3-= to be transfimd to the hospital samas thd- d a:- ut Official will be I.ee D=n= aim Senior Vice President, Tenet HealthSystem PWalawa, h~. For the hemw to be transferred to PHEC, the Insonational Official willbe Eric Ceaiar=. Ph.D., Associate Provost for Rascarch.

There u no planned chsoges in the orgamzanon, locanon, hwas equq=narr, procedures, or pss .s! that would stquae a Lccrue =menderient even wahant the change of ownestep. Tenet and PHEC will make changre to =*a- m** pa==aal witlun the hospaals and the Unrversay, as appropnate, but wnhout impact to the R2darion Safety and Physics Program.

9. Surveinance Iteins and Records:

AB survedlance itcras and records relanag to radioacave matenal Luciy and ==*4ility two-..ms wiH be currus at the time of transfer, winch isrMy anticipated to occur on or about November F 1998.

AHERF advises the NRC that thee are no unresolved NRC inspection items or enfortement actions regiiring corrective acnon and no unresolved NRC citanons.

10. Confirmation that au Records concerning Decommissioning will be transferred:

All records concenung the safe and effacave d= --- =:oaing of the hospital facilnies will be tn. ' to

_ the Hospital Transferces. All records mnemma the safe and effccuve b.mssioning of the Universny freRain willbetransferred to PHEC.

11. Status of Facility:

AHERF-Lelaw.ae Valley has maatamed a program of surwellaner to assure that facdmes remam free of contaminanon. 'Ibeabsenorof-maar= is dar=====dalinthe facahtics'survedlance logs. The Hospital Transferees each agric to assume fult habday for the Aaear=====nna of tbo hospnal facdnics they will be acquirmg. PHEC likewise agrees to ===== full habdtty for dararammarina of the Umversny facilities for whichit willbeitsponsable.

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co-NOV.10.199810:22AM"'*STRADLEY RON0N LLP IDet2tS7C23722 22a Na1170 P. 8 "

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13. Ccamitment by Trans(ene:

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t De Hospital Transferecs and PIRC will abide by att constrants,"=e, requirements, representauons, and cc.nmitmcais idenafied in the liosases The Hospital Transferees and PHEC will funy comply with all NRC eM== and to protect henkh and safety. The Radiation Safuty and Physics Prostams at the hospital facalmas and the IJarversav will rernain in effect with no changes to control the possession and use officensed matenal

14. No Opca Inspection items:

AIERF Delaware Vaney advises NRC, die Hospaal Transfirecs, and PHEC that there are no,open inspectico items with respect to any of the NRC licenses to be transferred to the Hospen! Trs faw or PHEC

15. Fees The following NRC licenses are issued to Alleghenv IJaiversuy Hospitals and will be transferred to the HospitalTransferees:

Hospital.name NRC Rag # NBC fss Allegheny University Hospitals. MCP 374256241 5450 SNM-1996 $450 Allegheny Universny Hospitals. Backs 37-18153 4 1 5450 A2echeny University Hospitals, Elkms Park 37-04172-01 5450 Alleghany Universuy Hospitals, Fahnemann 37 00467-36 5450 SNM-1369 5450 St. Christopher's Hospital for Children

_ (reginered under MCP's NRC and PA license) 37-28359-01 5450 ,

Allegheny University Hospitals, Graduate 37-12141 4 1 5450 l Allegheny University Hospitals, Parkview Allegheny University Hospitals. City Avenue 37 068554 1 $diq Subtotal 54,050 The following NRC licenses are issued to Allegheny Univenity of the Health Sciences and will be transferred to PHEC:  !

37-07438-15. Sna Allegheny University of the Health Sciences

- East Frlls C=Pr 37 00467-34 Sna Allegheny University of the Health Sciences 37-00467-35 Saa l

- Center City C-ras TotalNRClicense fees $4,050 ,

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  • NOV.10.199810:22AM StRADLEY E0H0H LLP N0.1170 P. 9 l PXHIBIT B Re: 37-00467-34 Control # 126-235 37-00467-35 Control # 126-236 1 37-07438-15 Control # 126-237 In reference to our application to tiansfer ownership for various licenses, the following is submitted concerning responsibilities and liabilities for University (PHEC) sponsored research activities as related to the NRC licenses listed above.

Basic laboratory and animal research using radioactive materials is conducted in specifically designated laboratories as approved by the institutional radiation safety committee.

These research activines are also coordinated by the office of research administration of the University (PHEC). Consequently, PHEC will be responsible for all costs related to cleanup of radioactive contamination incidents, which are dircotly caused by any orders of the management of PHEC. Through the radiation safety office staff and the Radiation Safety Officer, all laboratory procedums will be monitored and assured to be operating under conditions of the University Broad NRC license. In addition, a list oflaboratories with designated authorized users is maintained by the radiation safety office.

In those cases whom research activities at any campus overlap onto hospital premises or functions, then PHEC will assume responsibility for radioactive contamination incidents, which are directly caused by any orders of the management of PHEC.

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.G2-NOV-93 10: 32 FF.OM AUHS RESEARCH ID=12357623722 PAGE 2/6

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Uw Broad 8. Vee Phdadelptua, PA 19102-1192 215-762-7000 ALLEGHENY 24*?g h s UN1VERSITY OF 215ssm*

THE HEALTH SCIENCES (

October 28,1998 1

1 Keith Brown, Ph.D. I U.S. Nuclear Regulatory Comoussion Region 1 475 AllendaleRoad King ofPrussia, PA,19406 i

Dear Dr. Brown:

Pursuant to 10 CFR 30.34(b) which requires U.S. Nuclear Regulatory Commission (NRC) approval prior to the transfer of byproduct material licenses, Allegheny Health Education and Research Foundation - Delaware Valley ("AHERF-Delaware Valley") requests written consent to transfer ownership and control of the NRC-licensed hospital activities to the subsidiaries of Tenet HealthSystem Philadelphia, Inc. identified in the table below (the " Hospital Transferees"), which Hospital Transferees will own the related hospitals. In turn, the Hospital Transferees accept responsibility and liability for all NRC-licensed activities occurring from and after the date of the Hospital Transferees' acquisition of the related hospitals. We will notify you of the effective date of the acquisition and transfer. The following licenses are affected by this change in ownership and license transfer:

Allegheny University Hospitals F1hne Park 37-04172-01 Allegheny University Hospitals - Center City 37-00467-36, SNM-1369 Allegheny University Hospitals - East Falls 37-02562 01, SNM-1996 Allegheny University Hospitals - City Amtue 37-06855-01 Allegheny University Hospitals - Bucks County 37-18263-01 Allegheny University Hospitals - Graduate 37-28359 01 Allegheny University Hospitals - Parkview 37-12141-01 Additionally, Allegheny University of the Health Sciences-Delaware Valley requests written consent to transfer ownership and control of the NRC-licensed University activities to Philadelphia Health &

! Education Corporation (PHEC). PHEC is a non-profit entity which will assume the assets of the University and its academic and research programs. The Board ofTrustees of PHEC will consist of members nominated by Tenet and Drexel University (the managing entity). In turn, PHEC accepts responsibility and liability for all NRC-licensed activities occurring from and after the date of PHEC's acquisition of the University. The following licenses are affected by this change in ownership and license transfer-ON]REIE! "0![Idd !hUd kg" p g  ; ggg  ; 126230 uw.eny necth. Education and n .,tm roona.t;on Megreny GerwW Hoe,ena!- Mepheny Integrated Hetth croup + Me# eny UNve'stty of the Hes;th Sce'we5 D -2 @

ewm i1*-,*,eN Here4Me . M*'#.ew Uniwaesey Me6ct Comees * $t. CheerWS H~toda' f or CMd'ee

C2-NOV-s3 toe 33 FROM AUHS RESEARCH IDi12157623722 PACE 3/6 Allegheny University of the Heshh Scieaces - Center City Campus 37-00467-34 Allegheny University of the Health Sciences - Center City Campus 37-00467-35 Allegheny Univenity of the Heahh Sciences - East Falls Campus 37-07438-15 No changes are currently planned in the management and operation of the radiation safety offices affecting these licenses. The attached document provides additional responses in accordance wth the guidance provided in NRC Information Notice No. 89-25: Unauthorized Transfer ofOwnershij or ControlofLicensedActivities. '

Ifyou have any questions regarding this request, or need any additional information, please contact Laura Stamboly, Director, Research Support at 215-762-8337 or Karen Rothberg, Senior Counsel ofTenet, at 805-563-7077.

Sincer y,  ;

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Dan StIcid'er ChiefOperating Officer AHERF- Delaware Valley

/fdf omamco enior Vice President Tenet HealthSystem Philadelphia, Inc.

as Sole Member of each of the Hospital Transferees Attachments cc: Katie Farrell l Chris Nezu, Ph.D. '

Linda Dunne, M.D.

Ernest Perilli Theodore Villafana, Ph.D.

Leonard Ross, Ph.D.

Laura Stamboly Eric Cottington, Ph.D.

. Susan Gilbert Almeta Cooper Karen Rothberg (Tenet)

r7 .,Ga-NOV-EQ t@s33 FROM AUHS RESEARCH. '

ID 12157623722 PAGE 4/6 Responses to NRC Infonnation Notice 89-25:

1. - 3. The names of the new licensees, contact names and telephone numbers:

Upon approval of the NRC, and completion ofthe sale of the hospitals and the University, the NRC licenses that will be uansferred to the Tenet HeahhSystem Phi 1=%M=, Inc subsidiaries ("the Hospital Transferees")

(with respect to the hospitals) and to PHEC (with respect to the University) as identified in the table below.

Currently, it is d@==4 that the r L--> safety oflicers presently responsible for the licensed activities will not change. The telephone Itumbers ofeach contact also will not change Current Licensee Name License No. Type hw Licensec Radiation Safety Officer /

i InstitutionalOfficial l 1. AlleghenyUmvessity 37 04172-01 Medical Tenet HealthSystem Marc Krakowitz, M.D.

Hospitals - Elkans Park Elkins Park, LLC., dba (215) 663-6044/

Elkins ParkHeital lee Dommmen i 2. AlleghenyUniversity 37-00467-36 Medical Tenet HealthSystem Theodore Villafana, Ph.D.

Hospitals -Center City SNM-1369 Hahnemann, L.L.C., dba (215) 763-4050/

Fah=== University Lee Domanico H@='

3. AlleghenyUmversity 37-02562-01 Medical Tenet HeahhSystem Theodore Vmsfans, Ph.D.

! Hospitals-East Falls SNM-1996 MCP, L.L.C., dbe (215) 842-6588/

(includes St. Christopher's Medical College of Lee Domanico

! Hospitalfor Children) Pennsylvania Hospital

4. AlleghenyUnimy 37 06855-01 Medical Tenet HeahhSystem City Joan Mack, M.D.

Hospitals - City Avenue Avenue, L.LC., dba City (215) 871-2600/

Avenue Hosprtal Lee Domanico l 5. Allegheny University 37-18263 01 Medical Tenet HealthSystem John Matthews, M.D.

Hospitals - Bucks County Bucks County, L.L.C., (215) 441-6617/

dba Warnunster Hospital Lee Domanico

6. Allegheny University 37-28359-01 Medical Tenet HeahhSystem Jerome Jacobstein, M.D.

Hospitals - Graduate Graduate, L.LC., dba (215 893-2041/

Graduate Hospitd Lee Domanico

7. Allegheny University 37-12141-01 Medical Tenet HealthSystem City Stephen Fudell, M.D.

Hospitals -Parkview Avence, L.L.C., dba (215) 537-7501/

Parkview Hospital Lee Domanico

8. AlleghenyUmversity 37-00467-34 Broad Philadelphia Health & Theodore YJ!;.fana, Ph.D.

of the Heahh Sciences - 37 00467-35 Education Corporation (215) 763-4050/

Center City Campus Eric CoMnaton, Ph.D.

9. AlleghenyUniversity 37-07438-15 Broad Philadelphia Health & 7heodore Vdlafana, Ph.D.

of the HeaPh Sciences - Education Corporation (215) 842-6588/

East Falls Campus Eric Coma ton, Ph.D.

10. AlleghenyUniversity 37 00467-35 Irradiator Phdadelphia Heahh & 11eodore Villafana, Ph.D.

of the Health Sciences- Education Corporation (215) 763-4050/

Center City Campus Eric Cottmeton. Ph.D.

4. Transferor will not continue in non-licensed business:

Effective en the dare of transfer ofthe licenses, hospitals and University to the transferecs, AHERF-Delaware t

Valley will not contmue in the non-licensed busmess without a license with respect to the facilities listed in the

, foregoing table.

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5. Description of trausaction:

On Sep'anber 29,1998, Allegheny Health, Education and Research Foundation (AHERF), its Eastem R i

Boards of Trustees and the Official Committee of Unsecured Creditors reached an agreement and app a proposal by Tenet HeahhSystem Philadelphia, Inc. (Tenet) to purchase AHERFs Philadelphia-area h '

The agreement was approved by the Umted States Bankruptcy Court for the Westem Disuict of Pennsylv It is anticipated that the completion of the sale to Tenet will occur on or about November 9,1998. We will l inform you of the transfer date prior to the transfer. '

The agreement provides for the purchase by Tenet of eight of the AHERF hospitals in the Eastern Reg Allegheny University of the Health Sciences and Allegheny University Medical Practices in the East. He l

purchase price is $345 million, of which $60 million is designated to be used to fund the University.

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Allegheny University of the Health Sciences' assets will be acquired by Philadelphia Health and Education Corporation ('PHEC"), a new non-profit corporation. It is anticipated that the Board of Trustees for the University will include seven individuals appomted by Tenet and seven individuals appointed by Drexel University, the University's management partner.

?-8.

Changes in the organization, personnel, location, facilities, equipment or procedures:

There will be no changes in personnel related to the Radiation Safety and Physics Programs. De Radiation Safety Officer at each location will continue to be the individual named in the table above. AM%11y, the Radiation Safety Cnmm% will contmue to provide oversight of the radiation safety programs at each licensed site. There will be a change in the Instrtutional OfEcial fmm the indhidual named in each license.

Forthe licenses to be transferred to the hospital entzties, the Instrtutional OfEcial will be Lee Domanico, Senior Vice President, Tenet HealthSystem Philadelphia, Inc. For the licenses to be transferred to PHEC, the Institutional Official will be Eric Cottington, Ph.D., Associate Provost for Research.

I Here are no planned changes in the orgamzation, location, facihties, equipment, procedures, or personnel that would require a license amendmerit even without the change ofownershrp Tenet and PHEC will make changes j to management personnel within the hospitals and the University, as appropriate, but without impact to the l Radiation Safety and Physics Program. I

9. Sulveillance Items and Records:

All surveillance items and records relating to radioactive material im entory and accountability requirements will be current at the time of transfer, which is presently anticipated to occur on or about November 9,1998.

AHERF adsises the NRC that there are no unresolved NRC inspection items or enforcement actions requiring corrective action and no unresolved NRC citations.

10. ConUnnation that all Records concerning Decommissioning will be transferred:

All records conceming the safe and effective decommissioning of the hospital facilities will be transferred to the Hospital Transferees. All records concemmg the safe and effective deconunissioning of the Unhersity facilities will be transferred to PHEC.

11. Status of Facility:

AHERF-Delaware Valley has maintained a program of surveillance to assure that facilities remam free of em6mbation. He absence of cantammation is documented in the facilities' surveillance logs. He Hospital Transferees each agree to assume full liability for the decontammation of the hospnal facilities they will be acquiring. PHEC likewise agrees to assume full liability for decontanunation of the University facilities for whichit will be responsible.

utr-ww/*EA.:rYUril9fbudAls AUHS RESFARCH ID:12157623722 1

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13. Ccmmitment by Transferee:

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The Hospital Transferees and PHEC will abide by all constraints, conditions, requireme and commmnents identified in the licenses. The Hospital Transferees and PHEC will fully comp  !

NRC regolations and toprotect health and safety. The Radiation Safety and Physics Prog i facilities and the Unnersity will remam in effect with no changes to control the possession and use material.

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14. No Open Inspection Items:

l AHERF-Delaware Valley advises NRC, the Hospital Transferees, and PHEC that there are no1 items with respect to any ofthe NRC licenses to be transferred to the Hospital Transferees or PHEC.

15. Fees i

The following NRC licenses are issued to Allegheny Ummsy Hospitals and will be transferred to the HospitalTransferees:

Hospitainamg NRC Rez# NRC fee Allegheny University Hospitals, MCP 37-02562-01 S450 SNM-1996 $450 Allegheny University Hospitals, Bucks 37-18263-01 $450 Allegheny University Hospitals, Elkins Park 37-04172-01 5450 AIIegheny University Hospitals, Hahnemann 37-00467-36 S450 SNM-1369 S450  !

St. Christopher's Hospital for Children i

(registered under MCP's NRC and PA license)

Allegheny University Hospitals, Graduate 37-28359-01 $450  :

Allegheny University Hospitals, Parkview 37-12141-01 S450 {

Allegheny University Hospitals, City Avenue 37-06855-01 $450 Subtotal $4,050 The following NRC licenses are is.eued to Allegheny University of the Health Sciences and will be transferred to PHEC:

Allegheny University of the Health Sciences 37-07438-15 Sna I

- East Falls Campus i

Allegheny University of the Health Sciences 37-00467-34 Sna

- Center City Campus 37-00467-35 i Ina Total NRC license fees 54,050 1

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126230