ML20203G305

Responds to ,Which Replies to from Collins to P Borchmann.Nrc Reviewed Subj Ltr & Found No New Info That Supports Treating Any Addl Concerns,Per 100CFR2.206 Petition

ML20203G305
Person / Time
Site:	San Onofre
Issue date:	02/17/1998
From:	Collins S NRC (Affiliation Not Assigned)
To:	Borchmann P AFFILIATION NOT ASSIGNED
Shared Package
ML20203G310	List: ML20203G305 ML20203G318
References
2.206, NUDOCS 9803020274
Download: ML20203G305 (14)

Text

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gt.s atc It UNITED STATES yoj

.fj NUCLEAR REGULATORY COMMISSION t

WASHINGTON. D.C. 90044 4 001 k'

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February 17, 1998 a...+

Hs. Patricia Borchmann 176 Walker Way Vista. CA 92083

Dear Ms. Borchmann:

Reference 1:

Letter from the U.S. Nuclear Regulatory Commission (NRC).

S. Collins, to P. Borchmann, dated September 22, 1997 This letter responds to your letter of October 21, 1997, which replies to Reference 1.

With respect to your assertion that additional information to support your petition must be submitted within 30 days to be included in your petition, this is not correct. Any additional information that you submit for consideration as part of your 2.206 petition will be reviewed and considered for inclusion.

In item 1 of your October 21 letter, you refer to a statement in Reference 1 that indicated there was no need for the NRC to grant your request for immediate action based on your concern that NRC fragments issues and does not address them in total.

You suggest that this issue should be included in of Reference 1 in order to define the full scope of the future work. As you noted, we informed you that we will review tais concern in our final evaluation aursuant to 10 CFR 2.206 and discuss whether the issues considered es a w1 ole reveal trends or systemic problems. Therefore, there is no,)ustif1:ation or need for revising Enclosure 1 of Reference 1.

I In item 2 of your letter. re i

the Unit I s)ent fuel pool (garding the function of the plastic membrane of 5/P). you refer to a Jt.ly 31. 1997, letter from the NRC to tie ban Diego Regional Water Quality Control Board, which states that "neither the licensee nor the NRC credits the plastic liner to prevent leakage " You also cite a February 28. 1995, letter from Southern California I)!g~ Ij[

Edison (SCE) to an individual that discusses the membrane's function and states that it controls leakage into and out of the concrete.

You indicate that these letters are contradictory and sup) ort your assertion that the NRC fragments issues and displays a careless lact of attention to detail.

As we noted in Reference 1. the issue concerning the function of the plastic membrane involves UnN 1 only (Units 2 and 3 do not have such a membrane) and, thereforo. is not relevant to your petition related to Units 2 and 3.

As a result, this issue will not be included in our final evaluation. With regard to your assertion that the referenced letters su) port ycur concern that the NRC fragments issues and dis) lays a careless lacc of attention to detail, the NRC was not a recipient of tie SCE letter.

The staff has conducted a search of licensing correspondence for SONGS and concluded that in its safety 9803020274 980217 gDR ADOCK 050003 1 "Q-,T3. y u,

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s' Patricia Borchmann February 17, 1998 evaluations, the NRC has made no licensing decisims agardir3 SONGS Unit I for which credit was given for the membrane. We O however, i nlude our handling of this issue in our review to determine W.cher issues considered as a whole reveal trends or systemic problems associated with the safe operation of the SONGS units, in item 3 of your letter, you refer to concerns related to " manipulated data, and adjusted modeling techniques."

In Reference 1, we informed had not provided any specific examples to support your concerns,you that you in your October 21 letter, you mentioned a concern of another individual about small-break loss-of-coolant accidents (SBLOCA) and also stated that since we did not provide the individual with the computer codes he requested (all computer codes used by the nuclear industry to obtain their clad temperature results),

we knowingly withheld pertinent data. The referenced concern of another individual about SBLOCA and assertion that the NRC withheld certain information from that individual does not set forth sufficient facts to sup3 ort addressing your concern about " manipulated data and adjusted modeling tec1niques" in an action concerning San Onofre Units 2 and 3 pursuant to 10 CFR 2.206.

In general, with regard to your SBLOCA concerns. the NRC uses the concept of a design basis accident ap3 roach to evaluate this accident. Analyses are l

performed on the design ) asis SBLOCA using certain assumptions and, as a i

result, the emergency core cooling systems must be capable of assurin with a high level of probability that fuel claoding temperature criteria wou d not be exceeded.

For the design basis SBLOCA, NRC considers (1) the most limiting break flow (2) limiting single failures, and (3) ini consequences of a coincident loss of offsite power.

The NRC is confident that if a SBLOCA of this nature occurred, fuel cladding temperature limits would not be exceeded.

If additional failures occur or those failures are more damaging than the

[

design basis event, as occurred at Three Mile Island (TMI) in 1979, unacceptable fuel temperatures may result.

Such an event is very unlikely, However, if fuel damage occurred, the reactor building containment would limit the release and thus the health consequences of the accident, as demonstrated at TMl during the 1979 accident.

Following the TMI accident, numerous actions, including design changes, were required of all licensees. We have documented these actions in NUREG 0660, "TMl-2 Action Plan," and l

NUREG-0737, " Clarification of TMI Action Plan Requirements." The NRC also continues, is part of an overall regulatory process, to investigate issues and concerns to determine whether any additional improvements are warranted.

Furthermore, with regard to the requested computer codes, such codes are not within the possession of the NRC. These codes are proprietary documents. As a result, if they were in our possession they would be exempt from public disclosure pursuant to 10 CFR 2.790. However, when a report is submitted to the NRC for generic review and approval, a nonaroprietary version of the report and the NRC safety evaluation are availa)le in the NRC Public Document Room. The evaluation related to the SBLOCA methodology used for SONGS can be m

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Patricia Borchmann-3 February 17, 1998 found under accession number 9601030140. Accordingly, pertinent data that is in our possession and is available for public disclosure has not been withheld.

In item 4 of your letter, you raise a r ;neral concern about the production of tritiumfromnuclearpowerplantoperation.

in accordance with U.S. NRC Management Directive (MD) 8.11, a petition will be reviewed under the requirements of 10 CFR 2.206 if it meets f.ertain criteria. A copy of this MD is enclosed for your information.

One criteria is that the request is not simply a general assertion without supporting facts.

The petitioner must provide some support beyond the bare allegation.

Your discussion related to tritium does not provide the necessary supporting informatio,. to be considered under 10 CFR 2.206 and will not be included in our final decision.

In item 5 of your letter, you raise concerns regarding low-level radiation e@osu[ebasedonarecentstudybytheUniversityofC611fornia,LosAngeles (UCLA) and assert that NRC standards for airborne and waterborn effluent (10 CFR 50.36a and.10 CFR Part 20) dismiss the cumulative effects of low level radioactive wastes.

This matter is not within the scope of 10 CFR 2.206.

Rather, such an issue must be raised with tha NRC by petition for rulemaking pursuant to 10 CFR Part 2, subpart H, which governs the issuance, amendment and repeal of NRC regulations (copy enclosed).

In item 6 of your letter, you refer to concerns regarding SCE's taking a greater interest in p$600,000rofits than in the public's health and safety.

You state that an outage costs a day in revenue and, as a result, SCE strives to keep outages to a minimum.

You suggest that because the NRC has access to the costs of outages, the staff should review factors used in the decision to return Units 2 and 3 to service. We have responded to these concerns in Reference 1.

In that you have provided no new relevant information, we plan on taking no additional action pursuant to 10 CFR 2.206 to address these concerns.

In the last paragraph of your October 21 letter, you refer to deregulation of the electrical industry as noted in your letter of July 11, 1997.

You state that this issue was omitted by the NRC by oversight or by deliberate design, and you oppose the absence of any response on this issue. A careful review of your letters of June 23 June 28, and July 11, 1997, revealed no discussion related to deregulation of P t electrical industry.

However. the NRC has discussed deregulation in NRC Technical Issue Paper (TIP) 38, " Effects of Industry Deregulation," which is enclosed for your review.

1 Morgenstern, Hal, et al., "Epidemiolooy Study to Determine Possible Adverse Effects to Rocketdyne/ Atomics International Workers From Exposure to Ionizing Radiation," unpublished report to the Public Health Institute.

Berkeley, CA, June 1997.

)

Patricia Bc.chmann February 17, 1998 In conclusion, we have reviewed your letter Jf October 21, 1997, ar.d found no new information that supports treating a:'y additional concerns pursuant to 10 CFR 2.206.

We will continue to review the issues as indicated in Reference 1 and will respond to you in a reasonable amount of time.

Sincerely.

Original n tr.nni t y Ifr<wk J. P ll'aglic (Y'g/SamuelJ. Collins, Director Office of Nuclear Reactor Regulation Docket Nos. 50-361 and 50-362

Enclosures:

1.

Management Directive 8.11 2.

10 CFR Part 2. Subpart H 3.

Technical Issue Paper 38 cc w/encls:

See roxt page

• For previous concurrence see attached ORC DOCUMENT NAME:

BORRESP.206 0FC JD E 2/PM PDIV-2/LA PDIV-2/PM*

PDIV-2/D*

TECH EDi*

NAME fBWhNhbich:ye EP M MFields WBateman BCalure DATE 2/9 /98 2/4 /98 1/5/98 1/15/98 1/9/98 0FC NRR:DRPM*

NRR:PERP*

NRR:PDND*

NRR:SO 3*

OGC NAME JLee CMiller SWeiss TCollins My,5,'l.h~ _'

I DATE 1/5/98 12/29/97 12/30/97 1/6/98 2/ s/98 0FC DRPW:D(A)*

ADP (A)*

'NRR:% a NAME EAdensam RZimmerman LSdh DATE 1/22/98 1/28/98 J'2/M98 0FF

[L RAsto COPY

t' Patricia Borchmann 5-February 17, 1998 cc w/enCls:

Mr. R. W. Krieger, Vice President Resident Inspector / San Onofre NPS l

Southern California Edison Company c/o U.S. Nuclear Regulatory Commission l

San Onofre Nuclear Generating Station Post Office Box 4329 P, O. Box 128 San Clemente. California 92674 San Clemente, California 92674 0128 Mayor Cnairman, Board of Supervisors City of San Clemente County of San Diego 100 Avenida Presidio 1600 Pacific Highway, Room 335 San Clemente, California 92672 San Diego, California 92101 Mr. Dwight E. Nunn Vice President Alan R. Watts, Esq.

Southerr. California Edison Company Woodruff. Spradlin & Smart San Onofre Nuclear Generating Station 701 S. Parker St. No. 7000 P.O. Box 128 Orange, California 92668 4702 San Clemente, California 92674-0128 Mr. Sherwin Harris Mr. Harold B. Ray Resource Project Manager Executive Vice PreU dent Public Utilities Department Southern California Edison Company City of Riverside San Onofre Nuclear Generating Station 3900 Main Street P.O. Box 128 Riverside, California 92522 San Clemente, California 92674-0128 Dr. Harvey Collins, Chief Division of Drinking Water and Environmental Management California Department of Health Services P. O. Box 942732 Sacramento, California 94234-7320 Regional Administrator, Region IV U.S.NuclearRegulatoryCommission Harris Tower & vavilion 611 Ryan Plaza Drive, Suite 400 Arlington, Texas 76011-8064 Mr. Terry Winter Manager, Power 0)erations San Diego Gas & Electric Company P.O. Box 1831 San Diego, Calliornia 92112-4150 Mr. Steve Hsu Radiologic Health Branch State Department of Health Services Post Office Box 942732 Sacramento, California 94234

14 Patricia Borchmann February 17, 1998

)lSTRIBJT: 0hh=(w/o enclosure 1)

Jocket :1'e 50 361 and 50 362 (w/ incoming)-

PUBLIC (w/ incoming).

PDIV 2 Reading (w/ incoming)

.EDD-Reading EDO 970494 J. Callan H. Thompson l

P. Norry l

J. Blaha S. Burns K. Cyr. OGC J. Goldberg, OGC E. Herschoff Region IV J. Lieberman, OE S. Collins /F. Miraglia R. Zimmerman W. Travers E. Adensam (EGA1)

W. Bateman B. Westreich M. Fields E. Peyton J. Kennedy OPA OCA SECY i

NRR Mail Room (EDO 970494 w/ incoming)

T. Harris M,-Boyle (MLB4)

'T. Gwynn. Region IV K.-Perkins, Region IV/WCF0 4

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2.790(c) 180h PART 2 o RULES OF PRACTICE FOR DOMESTIC UCENSING PROCEEDINGS -

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That information submitted in a rule 9 2.302 Petition for rulemasing.

(c) Each petition filea under this sec.

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making proceeding which subsequent.

ly forms the basis for the final rule

$(a) Anyinterested erson may tion shall:

petition the Commiss on to issue.

(1) Set forth a general solution to l'

slli not be withheld from public dL closure by the Commission and wtll { petition should be addressed to the smend or rescind any reguistion. The the problem or the substance or text 4

I denial of any application for withhold. E Secretary U.S. Nuclear Regulatory not be returned to the applicant after of any proposed regulation or amend.

ment, or specify the regulation which C mmission Washington DC is to be revoked or amended-info a lon If a requ tfor hol i

$8 ing pursuant to paragraph (b) of this tons e

n section is granted, the Commission (3) Include a staternent in support of will notify the applicant of its determl.

the petition which shall set forth the

=

nation to withhold the information (b) A prospective petitioner may speelfic lasues involved, the petition.

from public disclosure' consult with the NRC before filing a er's views or arfruments with respect to petition for rulemaking by writing the those Mas, relevant technical, scien.

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(d) The fellowing information shall Director. Freedom ofIgformation and oryth

• gigvolvjd wjich ti be deemed to be commercial or finan, Publications Serv ces, ice clal information within the meaning Administration. U.S. Nuc at 3 and such other pertinent information of 6 9.tha)(4) of this chapter and sha41 Regulatory Commission. Washington' u IM plom dums wwy to be subject to disclosure only in accord.

Chief. Rules support the setton sought. In support ance with the provisions of 6 9.19 of g DC20$$5. Attention:

"eview and Directive: Branch. A of its petition, petitioner should note this chapter.

.ospective petitioner may also any specific cases of which petitioner I r(1) Correspondence and reports to or telephone the Rules Review and is aware where the current rule is unduly burdensome, deficient, or

. f om the NRC which contain informs.

Directives Branch on (301) 4154158 needs to be strengthened.

' tion or records concerning a licensee's E or applicant e physical protection or.or toll free on (800) 368 5642.

(d) The petitioner may request the 2 material control and accounting pro, CommiS* ion to suspend mil or any part gram for soecial nuclear material not of any licensing proceeding to which the petitioner is a party pending dispo.

Otherwise,

'sted as Safeguards In, sition of the petition fr*r rulemaking.

%rmation G... Iled as National Se.

b' enty Informau.. or Restricted Data.

- (1)In any consultation prior to the (e) If it is detennined that the peti.

t2) Information submitted in confl.

tlor includes the information required dence to the Commission by a foreign filing of a petition for rulemaking. the by paragraph (c) of this section and la source' assistance that may be provided by the complete, the Director. Division of

=

NRC staff is hmlied to Freedom of Information and Pubilca.

F te) The presiding officer. If any, or (t) Describing the procedure and tions Services, or designee, will assign the Commission may, with reference process for filing and respondmg to a a docket number to the petttion, will I to the NRC records and documents peittien for ruj,mektng.

cause the petition to be formally dock, made available pursuant to this sec.

(ii) Clarifying an exis' ting NRC eted, and will deposit a copy of the f tion, lasue orders consistent with the re8ulation and the basis for the docketed petition in the Commiss'on's E provisions of this section and d

Public Document Room, Public com.

"{,j1f[,y,*tfng the prospective ment may be requested by publication I

g pekoner to clartly a potential petition E of a notice of the docketing of the pe.

e,g so that the Commission is a e to g' tition in the PEDERAL RscisTER, or. In R understand the nature of the issues of appropriate cases, may be invited for Subps Ing a concern to the petitioner.

the first time upon publication in the g (2)In any consultation prior to the PsnsnAL Rsorsna of a proposed rule developed in response to the petition.

I 2.000 Scope of rulemaking.

l filing of a petition for rulemaking. in Publication will be limited by the re.

providing the assistance permitted in h amendment and repeal of regulations This subpart governs the lasuance, paragraph (b)(1) of this section. the NRC quirements of section 181 c! the E in which participation by interested staff will not draft or develop text or Atomic Energy Act of 1954, as amend.

g persons la prescribed under section 563 alternative opproaches to address ed. and may be limited by order of the Commission.

l of Title 5 of the U.S. Code.

matters in the prospective petition for m

ruler *4ing.

9 3.401 laltlation of rulemaking.

_ g.

Rulemaking may be initiated by the M Commission at its own instance, on E the recommendation of another g agency of the United States, or on the petition of any other interested person.

2 43 May 30,1997 4

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2.3320) 2.80$(a)

RUlf 2 e RULES OF PRACTICE FOR DOMESTIC LICENSIN3 PROCEEDINGS -

i

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(f) !! It le determined by the Execu.

3 3.300 Determination of petitlen.

idl The notiu er.d r.omment tive Director for Operatiotu that the No hearing will be held on the peti, provielens contained in par.graphe (e).

petitton does not includc the informa-tion unless the Coeurdesion deems it (b). and (t.) of this section will not be j

5 tibst required by patograph (c) of thle acetion and le tricomplete, the petition. t adyteable. If the Commisalon detor.

required to be opphed-

• • mines that sufficient reason talete, it er will De notified of inat determina. E will publish a notles of proposed rule.

(1po inkrpmkun mln. gennel tion and the respects in which the pe. g making. In any other case, it will deny etelmets dpolley,w ruin of agency tition is defielent and will be accorded the petluon and will notify the peu-

1. rganisation. procedure, or practice, or

> an opportunity to subenit addluonal tiener with a almple statement of the (2) When the Commission for good I data. Ordinarily thle determination grounds of denial,

' ' will be made within 30 days froen the seuse finde that notice and pubhc E date of receipt of the peution by the comment are impracticable.

3 Offire of the Secretary of the Com-unnecessary, or contrary to the pubhc minaion. If the petitioner does not g 3,ges y,g,,g,,,,,g 88*

interest, and are not required by etetute.

submit additional data to correct the tal Except as provided by paragraph This finding. and the reasons therefor.

deficiency within 90 days from the (d) of this section, when the Coenmis-will be incorporatellato any rule issued date of s.otification to the petitioner 3 slon proposes to adopt, amend, or without notice and comment for good that the petition la incomplete. the pe B repeal a regulation, it will cause to be uuon may be returned to the peution, published in the FunenAt Racistga g le) The Commisalon abell provide for er without prejudice to the right of notice of proposed rulemaking, unless e 10 day post promulgetion comment the petitioner to fue a new petition.

all persons subject to the nouce are period for-named and either are personally served or otherwise have actual notice (1) Any rule adopted without notice in accordance with law, and comment under the good cause l

(3)'Ihe Director. Division of Freedom afInformation and Publicadone h",

,"h t

ii no e Services. Oftee of Adelaloustion, will rb) The nottee willinclude:

(d,$"y*g',"lhe pu k

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3 prepare on a semiennualbeste a (1) Elther the terms or substance of eu*

{ before the Commleolon,lacluding b the proposed rule, or a specification of E (83 ^"F '""" 'ule, or general summary of peudens for rulemaking the subjects and leeues involved; I tatue of each petition. A copy of the (1) The manner and time within g statement of policy adopted without nouce and comunent under paragraph toport will be evallable for public which interested members of the (d)(1) of this section except for those inspection and ce for a fee in the pubue may comment, and a statant cases for which the Commiselon findt Commiselon's publ e ont Room.

NN b ic "

that such procedures would serve no 3130 L Street. ICV., Weehington, DC.

t IL Public interest. or would be so (3) The authority under wtj.h the burdensome se to outweigh any agulation is proposed; forveeeable gain.

Is (4) The time, place, and nature of the (f) For any post promulgation E puhuc hearing,if any; comunente received under paragraph (e) 2

($) If a hearing is to be held, designe-of this section. the Commission shell tion of the presiding officer and any pubheh a statement in the Federal special directions for the conduct of the Reg er coatelning en palueuon d h alanificant commente and any revisions hearing; and (6) Such explanatory statement as the.-

M the rule w policy skkment made u e Commission may sonsider appropriate, result of the cofamente and their palueuen.

(c) The publication or servlee of no-l3,333 pereelpemenby enemeted tice wSI be made not less then fifteen

pomene, (15) days prior to the time flued for (elin alt rulemaking proceedings heartas, !? say, unless the Commisalon for conducted under the provisions of good sense stated in the adice provides i 3.30g(e), the Commission will efford otherwies, interested persons en opportunity to participate through the submission of statements, infonnetion. spinions, and argumente la the manner stated in the mottoe.The Commissica may grant additional receemable opportunity for the submiselon of commente.

s.m.t t n==

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2 805(b) 2.810t, PART 2 o RULES OF PRACTCE FOR DOMESTC LCENSING PROCEEDINOS...

{

(b) The Commissicn may h:Id in-g g.aos part6elpation by the Adykery

$ 2.e10 NEC sine aten6erde.

t-formal hearings at which interested per.

C*mmmee en Reector Sefegueres.

The NRC shall use the sise standards sons may be heard, adopting procedures (a)In its advloory capacity to the contained in this section to determine

{

which in its judgment will best serve the Commiselon, the ACRS may recommend whether a licensee qualifies as a small purpose of the hearing.

that the Commission initiate rulemaking entity in its regulatory programs.

{ 2.g06 Commission action.

In a particular area The Commission (a) A small business is a for. profit willrespond to such rulemaking concern and is e-The Commission will incorporate it, recommendation in writing within 90 (1) Concern that provides e urvice or the notice of adoption of a regulation a days, noting its latent to implement, a concern not engaged in manufacturing i

concise general statement of its basis and study, or defer action on the with everage gross receipts of SS million l

purpose, and will cause the notice and recommendation. In the event the or less over its last 3 completed fiscal t regulation to be published in the FED-Commission decides not to accept or years; or R

decides to defer action on the (2) Manufacturing concem with an E ERAL REclSTER oe served upon af E recommendation,it willgiveits reasons everage number of 500 or fewer g, fected persons.

% for doing so. Both the ACRS employees besed upon employment l 2.807 Effective date, recommendation and the Commluton's,, during each pay period for the The notice of adoption of a regulation response will be placed in the NRC g preceding 12 calendar months.

will specify the effective date, Publication Public Document Room following (b) A small organization is a not for-transmittal of the Commission's E profit organlaation which is or service of the notice and reguladon, to ase to the ACRS.

i 3 ndependently owned and operated and other than one granting or recogr.izing

) When a rule involving nuclear has annual gross receipts of $$ million exemptions or relieving from restrictions, sa ety matters within the purview of the or lesL will be made not less than thirty (30)

ACRS le under development by the NRC (c) A small governmental jurisd.ction days prior to the effective date unlass the Staff, the Sta!! will ensure that the is a government of a city, county, town, Commission directs otherwise on good ACRS is given an opportunity to provide township, village, school d htrict, or cause found and published in the notice advice at appropriate stages and to s ocial district with a popuistion oflus identify issues to be considered during t an 50.000.

of rule maldng.

rulemaking hearings.

(d) A small educational institution is one that is-i 2.80s Authority of the Secretary to (1) Supported by a qualifying small Rule on Procedural Matters.

governmental jurisdiction; or (2) Not state or publicly supported When briefs, motions or other papers and has 500 or fewer em loyees.

Ested herein are submitted to the Com-(e) For the purposes o this uction, mission itself, as opposed to officers who the NRC shall use the Small Business have been delegated authority to act for Administration definition of receipts (13 CFR 121.402(b)(2)). A licensee who is a the Commission, the fecretary or the subsidiary of a large entity does not Assistant Secretary 49 authorized to:

qualify as a small entity for purposes of (a) Prescribe schedules for the filing this section.

p of statements, information, briefs mo.

U tions, responses or other pleadings, where

" such schedules may differ from those

~

R elsewhere prescribed in these rules or en'* 8PPr priate in the where these rules do not prescribe a internt of administering statutes and

schedule, regalations within its jurisdiction,it is (b) Rule on motions for extensions of the practice of the NRC to answer s

2 inquiries from small entities concerning time; E information on and advice about (c) Reject motions, briefs, pleadings, g compliance with the statutes and and other documents filed with the Com-mission later than the time prescribed by g regulations that affect them. To help s nall entitles obtain information the Secretary or the Assistant ",ecretary ek), the NRC has established a toll-or established by an order, rule, or te ephone number at 1-800-368-regulation of the Commission unless good g'

cause is shown for the late filing;and (d) Prescribe all procedural arrange-ments relating to any oral argument to be held before the Commission.

2-45 May 30,1997

2 900 2 903 PART 2 o RULES OP PRACTICE POR DOMESTC UCENSING PROCEEDINGS.-

f f

Subpart I-Special Precedures Applicable

{ 2.992 Definitions.

to A4mdinatory Proceedings levolving As used in this subpart:

i Restricted Data and/or Natiemal (a) " Government agency" means any Seeurity leformaties executive department, commission,inde.

$ S.900 Purpees.

peadent establishment, corporation, i

This abpart h issued pursuant to wholly or partly owned by the United i

i section ill of the Atomic Energy Act of States of America, which is an instrumen-1954, as amended, and section 301 of the tality of the United States, or any board, Energy Reorganlaation Act of 1974, as bureau, division, service, office, officer, l amended, to provide such procedures in authority, administration, or other estab-

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R proceedings suWect to this part as wil lishment in the esecutive branch of the E effectively safeguard and prevent disclo 3 Gownment.

E este of Restricted Data and National M (b) "laterested party" means a party i

Security Information to unauthorised g having an interest in the issue or laues to l

permas, with minimum impairment of g which particular Restricted Data or Na-procedural rights, tbnal Security Information is role.1at.

g g,,,, g hormally the interest of a party in an This subpart applies to allproceeding" lasue may be determined b) examination subject to subpart G.

of the notice of hearing, the answers and

,,pg (c) The phrase " introduced into a proceeding" refers to the introduction or incorporation of testimony or documen-i tary matter into any part of the official record of a proceeding mbject to this part.

1 (4 'Wesonal Security infonassen-I menas information that ha been g elassiSed pursuant to Enseutive Onlee i

E saem aL

~

(e) " Party,"in the case of proemdings subject to this subpart includes a person admitted as a party pursuant to I 2.714 or in interested State admitted pursuant 4

l to i 2.715(c).

+

R { 2.903 Protestnee of restricted data and i

E nationes seeerity informassen.

4 5 Nothing in this subpart shall relieve j

any person from safeguarding Restricted Data or National Security Information in a

accordance with the applicable provisions of lowe of the United States and rules, 4

i i

A e

OE I 40

2.903 2.907(d)

PART 2 o RULES OF PRACTICE FOR DOMESTK) LICENSING PROCEEDINGS...

lations or orders of any Government strict data r tio curi y inform q

ap ria cle ne l 2.964 Classification amistance.

in reasonable numbers pursuant to tils tion. (1)The Commission will not grant On request of any party to a proceed.

secuen. A reasonable chup di be made access to restricted data or national secur.

ing or of the presiding officer, the Com-by the Comahalon for costs of escurit) ley information unless it determines that olearance pursuant to this sectiott

&e granting of ecome wul not be inimical mission will designate a representative to advise and assist the presiding officer med (d) The presiding officar may artify to the common deler.se and escurity, the parties with respect to escurity clean.

to the Commission for its consideration (2) Accom to Restricted Date or National ification of information and the safe-and determination any questions statie4 Security leformation which has been guards to be observed to access to Restricted Data or Nunal roosived by the Commission from another i 2 M5 Aseems to restricted data and Security laformation arising under this mamat agency ut k granud section. Amy party affected by a deter.

by the Commission if the originating actional security infeemation for per.

mination or order of the presiding officer agency determines in writing that access time; suu*y cleareases.

under this section may appeal forthwith

"*"I# "'

8'*""

' '""H*"

(a) Access to restricted data and no.

to the Commission from the determine-wS1 consult the originating agency pnot tional security information latroduced tion or order. The filing by the staff of an

" 8'*"'" 8 **** " " '"'A **** " I"I'#'

into proceedings Eacept es provided in appeal from an order of a presiding

**Id I "

• "h*'

0 '*'

paragraph (h) of this section, restricted officer granting access to Restricted Data ment agency.

data or national security information or National Security laformation shall I

N " 'I E introduced into a proceeding subject to stay the order pending determination of

"*U" 'I this part will be made available to any the appeal by the Commission.

U***I '""#I I"I'* **I'"*

interested party having the required secu.

(e) ApPhostion granting access to re-It is the obligatirn of all parties in a rity clearance; to counsel for an inter-stricted data or astional security informs.

proceeding subject to this part to avoid, ested party provided the counsel has the tion. (1) An application under this sec.

where practicable, the introduction of requirsd escurity clearance; and to such tion for orders granting accom to Restricted Data or National Security In-additional persons haWng the required metricted data or national security infor-formation into the proceeding. This obli-security cleararce as the Commbsion or motion not roosived from sec.ther f'ov.

sation rests on each party whether or act l

the presiding officer determined are ernment agency wSI normauy bq : 9d all other parties have the requirst secur, needed by such party for adequate pro-upon by the presiding officer, or J e ity clearsace, ficer, by the Commission.(2) An applice-le-paration or presentation of his case.

Pronwding is not before a presiding of*

l 2.997 Notice of latent to introduce Where the laterest of such party wSi not restricted data er actional security

[be prejudiced, the Commission or presid Etion under thh section for orders granting E information.

p ing officer may postpone action upon ang access to restricted data or cational socor G (a) If, at the time of publication of a application for accom under this subpare, ity information where the information notice of hearing, it appears to the staff graph until after a notice of hearing, has been roosi ed by the Commission that it will be impracticable for it to answers, and replies have been fund.

from another Government age scy will be avoid the introduction of Restricted Data (b) Access to Restricted Data or No.

acted upon by the Comminion.

or National Security Information into the tional Security Information mot intro.

(f) To the entent practicabis, an appli-proceeding, it wR1 file a notice of intent duced into proceedings. (1)On appuce-stion for an order greating a:eess under to introduce Restricted Data or National tion showing that access to Restricted this section shall describe the subjects of g

,ggy 3,go,,,ggon, Date or National Security Information Restricted Data or National Security In-may be required for the preparation on a formation to which access ls desired and (b) If, at the time of filing of an party's case, and except as provided in the level of cleasification (confidential

• answer to the notice of hearingit appears paragraph (h) of this section, the Com.

secret or other) of the information; the to the party filing that it wB) be impracti-cable fer the party to avoid the introduc-mission or the proelding officer wSIissue reasons why access to the information is tion of Restricted Data or National Secur.

an order panting access to each Re.

requested; the names of individuals for stricted Data or National Security Infor.

whom clearances am requested; and the try leformation into the proceeding, the party shall state in the answer a notice of mation to the party upon his obtaining reasons why secumy clearanen am being intent to introduce Restricted Data or the required security clearance, to coun-requested for those ladividuals.

National Security information into the sol for the party upon their obtaining the (g) On the coaciusion of a proceeding, y,,,,, g required security clearanos, and to such the Comminion wAl terminate an orders other individuals ac may be needed t*y the issued la the proceeding for access to (c) If, at any later stage of a proceed-lag, it appears to any party that li wSI be party for the preparation sad presents.

Restricted Data or National Security In-hapracticable to avoid the intuduction tion of his case upon their obtaining the formation and all security sisarances required clearance, granted pursuant to them; sad may issue of Restricted Data or National Security laformation into the proceeding, the (2) Wlwre the interest of the party such orders requiring the disposal of applylag for access wSI not be prejudiced, classified matter received pursuant to party shall give to the other parties prompt written notice of intent to intro.

the Comminion or the proelding officer them or requiring the observance of other may postpone action on an appucation Procedures to safeguard such classified duce Restricted Data of National Security Information into the proceeding.

pursuant to this paragraph untS after a matter as it deems necette y to protect (d) Restricted Date or Nations! Secut-g motice of hearing, answers and replies Restricted Dets or National Security in-ity Information shall not be introduced have been filed.

formation.

lato a proceeding after publication of a 2 47 Septernber 29,1995 l

..e PART 2 e RUL.ES OF PRACTICE POR DOMEmc UCENSING 0 ROCEEDINGS ".

notice of hearing uales a notice ofistent

$ 2310 Umsteadfled 6tt,mmente W (a) The plevance and materiality of has been fuod la accordamos witt

gedred, the Rastricted Date or other National

)

{ 2.90s, except as permitted in the die (a) Whenever Restricted Date or otherj Security, laformation,to the.insues in_the 1

aretion of the predelag officer whea lt la National Security laforestion is latro clear that so party or the public interest, duced into a proceeding, the pe.-ty offers;.paceeding, sad its competence, are i

islearly established;and will be prejudiced.

lag it abaD submit to the proeiding offleer' (b) he excludon of the Restricted 3 2.994 Contents of motise afinesat &

and to all partise to the proceeding sa

, Data or other National Secunty laforma-hatrodese restricted data er other as- 'unciandfled statement setting forth the

' tion would prejudica the intonate of a 1

alonel soeurky informaties.

Information la the desd6ed matter as party or the public interest.

(a) A party who latends to latroduos

~ accurately and cosapletely as poselble.

.$ 1.912 Weight to be attached to stand-Restricted Dets or other National Seou-(b) la socordance with such proco-the evidence.

rity lafortantion shan fue a noties of; dures as may be agreed upon by the latent with the Secretary. The motice, parties or prescribed by the presiding g,,,,gg,

.a the weight and effect of cau be unclasified and, to the extent officer, and after motice to all parties and any Restricted Data or other National ocasistent with classification requiroq opportualty to be heard thereos, the.

Security Laformation received la evidence monts, shallinclude the foDowing:

prealding offloor shall determine whether to which an laterested party has not had (1) The wbject matter of the Re ; the unclasedled statement or any portion' opportunity to receive access, the presid-

' lag officer and the Commission shad give stricted Data or other National Security, of it, togettar with any appropriate modi-jto mch evidence such weight as is appro-laformation which it is anticipated wg!

fications suspected by any party, may be be involved-substituted for the classified matter or priate under the circumstances, taking (2) The highnt level of classification, any portion of it without prejudice to tho' t t to r pe ch d ac of the formation (confidential, secret, interen of any party or to the public ll 2.94 Review of Restricted data or (3) T$e stage of the proceeding at (c) If the presidias officer determines Aer Nadomal SwarW lafensation thich he anticipates a need to introduce that the unclassified statement, together nedved la widence, the information; and with such unclassified modifications se he At the eloos of the aception of (4) The relevance and materiality of flade are necessary or appropriate to

'widence, the pnsiding officer shau re

' the taformation to the tusues on the protect the laterest of other parties and

'flew the record and shat! direct that any proor' dang, the public laterest, adequately sets forth Restricted Data or other National Secu-(bf 'a the discretion of the pasidlag 'information la the classified matter which rity Information be expunged from the

' officer, such notice, whaa required by,is relevant and material to the lesuas la record where such expunction would not i2 I reco.907(c), may be given orally on thogthe proceedlag, he shau direct that the prWudice the latereste of a party or the rd, dessified matter be escluded from the public interest. Such directsons by the

-j 3 l 2.999 Rearrangement or suspensies of record of the proceedlag. His determian,

prealding officer wiB be considered by the 1

tion wiu be considered by the Commis.

Commission la the event of twiew of the la any proceeding subject to this part 8iot a a pan of he dechion in to mat MhhOW@h where e party giver < aotice of latent to of review.

2.914 (Deleted 40 FR 44124.)

ttroduce Restricteo Date or other NaJ Id) II O' h"IAA"8 #0**' d"""I"" I J M:

ed natomat does not &m ruer:N Apptoabletc tional Security Information, and the pre i ed an Wie leeuence of dding officer determines that any other edequately presen? the taformation con IJeonese for Wie ReceDt of Higfdevel interested party does not have required tanned in ne clasaned mana which is h h ata W mcurky cinreces, me pneiding dflow relevant and material to the issues in the (Repeeltory may in his disendon.

proceedias, he shall faciude his r. '

a

63. tens geese er see, art.

(a) Rearrange the normal order of the hh dewalaados. Dh deanadoa

' The man la this subpart govern the i

procW in a maman which givu uch shad be lacluded as part of the record and procedure for applications for a liceo int **Wd penim an opponvaW to ob wSt h conddered by the Comaludon in to noelve and possese high. level tala saluimd neurW olarsaem with the event of review of the determination. radioactive waste at a geologic repeeltory operations one noticed (e) Th pese6 dias dnow may pom E p***** ** l 2 2'ilf)(*) or i 2.20s(a)(s) minimum delay la the acaduct of the aB or pen d h prmdums amb.

proceedias.

p (b) Suspend the proceeding or any hhed la ek wha untG es tempha 3of this part.The procedures la this portion of it untG au laterested parties of eB oeer widow has bwa compiced.,hubpart take precedence over the to have had opportualty to obtain required Savios of the unclassined statement f*-

,CFR part L aubpart G tulee of general applicability, except for the following security clearances. No proceeding shau W la pungraph (a) of his secha. prwielam il 2Jos. 2.R 22 2307, be suspended for such roasons for more shah not be postponed if any party dce

.2J00.1711. L713,2J18. 2315e. 2317, t' an 100 days'except'with the consent of ' mot kwe amoess to Restricted Date or.

2518.4330,1321.2522. 1731 2533.

h au parties or on a determination by the' ch WM Se@ Idodt 1734,2J42. 2343,2380,2351,2583, I 'L784, 2556, 2333, 2557, 2.754, 2.759.

presiding officer that further suspension' ( 2.911 Adakalbtity of restricted data. 2300. L% 2363, 2370.1771. 2J72, of the proceeding would not be contrary er och w actional security inforeneties.

2380,2131,2Ja8,2J98, and 2.790.

12 the public internet.

A preid' 2 officer shau not receive (c) Take such other action as he deter-any Rosal

• J Data or other National j

seines to be la the best laterest of au Security it.stmation la evidence salees:~

I parties and the public.

f)

Septerrtiber'29,1996 2 44 1

• rlP:38 tEffects of Electric Industry Deregulation http://www.nrc gov /OPAlgmo'tip'tip9738 htn.

TIP:38 - Effects of Electric Industry Deregulation Technical issues Index l News and Information l NRC Home l Eenil Contact Backcround The electric industry's move away from traditional rate based regulation towards increased competition in a deregulated marketplace could have adverse impacts on the long-term ability of utilities to adequately finance safe operation and decommissionmg of their nuclear power plants. Traditionally, the electric utility industry has functioned as a regulated monopolyly regulate providing essential electrical sersices under an exclusive franchise in exchange for 1aving rates close

)

Commissions (PUCs) and the Federal Energy Regulatory Commission (FERC). This relationship has

+}

be un to change as PUCs and FERC have initiated actions leading to the dere ulation of the electric uti ity industry, as allowed under the Public Utility Regulatory Policies Act o 1978 and the Energy Policy Act of 1992.

Although the Nuclear Regulatory Commission is not normally involved in economic or rate regulation, the agency has recognized over the years a possible relationship between adequate financing and safe operations. Licensees' efforts to reduce spending could result in smaller, less experienced workforces, reductions in maintenance and ca pital budgets, shorter refueling outages during which cenain i

L maintenance is performed and a d ecline in morale. The NRC must ensure that economic pressures do not result in reduced safety margins at operating nuclear plants and do not impair a licensee's ability to fully fmance decommissiomng of a nuclear plar.t aftet it is shut down.

Discussion The NRC needs to ensure that licensees are able to provide adequate assurance of decommissioning funding for their nuclear plants, whether a plant is operated to the end ofits licensed term or is shut down prematurely, in adc.ition, licensees in a deregulated marketplace will likely lose the virtual Juarantee of revenue that is provided under traditional rate regulation. To remain competitive, many

. icensees will also need to find ways to repay the initial costs of building their nuclear plants without causing undue financial stress. Conseguently, the NRC is evaluating whether it should increase its monitoring oflicensees' financial quahfications to operate their plants. The NRC requires that it be informed in a timely manner of any planned changes to ownership or control oflicensed facilities that could affect safety or NRC safety oversight, and whether significant changes in the organizational and/or financial support for each plant are contemplated.

Primarily due to the established economic regulatory process, the NRC has exercised limited financial oversight of electric utility licensees. The NRC allows electric utility licensees, unlike most other licensees, to accumulate funds for decommissioning over the 40-year terms of their operating licenses without providing additional assurance for any unfunded balance. However, with the advent of deregu' tion, the NRC's assumptions regarding assurance of access to funds for decommissioning must be re-e*, Juated. Some policies may need to change as a result of this reassessment.

In fall 1995, the NRC initiated a re-evaluation of NRC policy regarding decommissioning funding. The staff was directed to develop a comprehensive action plan for this re-evaluation. One element of the action plan was to issue, in April 1996, an advance notice of proposed rulemaking that sought additional information on electric utility restructuring and comments on additional measures to ensure adequate decommissioning funding.

The NRC also isse;;d a draft policy statement on September 23,1996, and draft Standard Review Plans (SRPs) on December 27,1996 for public comment. These issuances included: (1) a discussion of safety 1of2 02/04/98 07:34:3-l

,Tinar. Effects of Electric industry Deregulation http://www.nrc gov /OPA'gmo'tip'tip9738.htm concerns with respect to electric utility deregulation; (2) a discussion of the current regulatory framework with respect to the conduct of financial qualifications, antitmst, and decommissioning funding assurance reviews for the mergers, holding companies, and other restructurings seen so far; and (3) a discussion of the planned approach to future reviews as rate deregulation accelerates. This will include possible rule changes to NRC regulations covering evaluation of tram,fers of control, which may include asset transfers and restructurings.

In the draft policy statement, the NRC also addressed its responsibilities vis a-vis State and Federal rate regulators and the NRC view of the responsibilities of co-owners of nuclear plants. The NRC recognizes the role of PUCs and FERC in rate matters, but also recognizes its own statutory mandate to protect public health and safety. The NRC is pursuing increased contacts with the PUCs, through the National Association of Regulatory Utility Commissioners, with FERC and with the Securities and Exchange Commission (SEC) to enhance cooperation in areas in which interests and t esponsibilities overlap.

Because of the complexity of new business arrangements that have been proposed or discussed, and because of NRC concern about when a licensee may plan to sell or transfer its assets in relation to rate deregulation, the NR C will be taking a more proactive role in informing licensees of their obligation to report new ownership arrangements. Where appropriate, the NRC will seek additional information to determine whether licensees remain electric utihties as the NRC defines that term. Alternatively, the NRC requires that licensees that no longer meet the NRC's definition of an electric utility to provide additional assurance that decommissioning funds will be available when needed and must meet additional financial qualifications standards.

HIGHLIGHTS Economic deregulation and restructuring in the electric utility industry could have profound impacts on the long-term ability of power reactor licensees to obtain adequate funds to operate and to decommission their plants safely.

The NRC needs to ensure that adequate decommissioning funding is available whether nuclear plants operate to the end of their license terms, or they shut down prematurely. Also some increase in financial qualifications monitoring is appropriate as electric utilities are deregulated, in April 1996 the NRC issued an advance notice of proposed rulemaking, seeking additional information on restructuring and comments on additional measures to ensure adequate decommissioning funding.

There may be rule changes to NRC regulations covering evaluation of transfers of control, which include asset transfers and restructurings.

The NRC issued a draft policy statement and Standard Review Plans for public comment.

The NRC has increased its contacts with state PUCs through the National Association of Regulatory Utility Commissioners, and with FERC and SEC to enhance cooperation in areas in which interests and responsibilities overlap.

NRC will be taking a more proactive role in informing licensees of their obligation to report new ownership arrangements 2 of 2 02/04/98 07340'

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