ML20206E877

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EDO Control of Rulemaking Package Re 10CFR110, Export & Import of Nuclear Equipment & Matl. Continuation of Rulemaking Approved
ML20206E877
Person / Time
Issue date: 10/08/1985
From: Dircks W
NRC OFFICE OF THE EXECUTIVE DIRECTOR FOR OPERATIONS (EDO)
To: James Shea
NRC OFFICE OF INTERNATIONAL PROGRAMS (OIP)
References
NUDOCS 8606240025
Download: ML20206E877 (22)


Text

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OCT 0 81985 MEMORANDUM FOR:

James R. Shea, Director Office of International Programs FROM:

William J. Dircks Executive Director for Operations

SUBJECT:

CONTROL OF NRC RULEMAKING i

By memorandum of February 13, 1984, " Control of NRC Rulemaking by Offices Reporting to the EDO," Offices were directed that effective April 1,1984, (1) all offices under ED0 purview must obtain my approval to begin and/or continue a specific rulemaking, (2) resources were not to be expended on rule-makings that have not been approved, and (3) RES would independently review rulemaking proposals fomarded for my approval and make recommendations to me concerning whether or not and how to proceed with the rulemakings.

In accordance with my directive, the following proposal concerning rulemaking has been forwarded for my approval.

(Sponsored by IP - Memorandum Minogue to the ED0 dated September 18,1985.)

Final version of revisions to 10 CFR Part 110 (Export and Import of Nuclear Equipment and Material) to:

1.

Add new items to the list, in ll10.8(c) of Part 110, of reprocessing plant components subject to NRC export licensing controls; 2.

Amend the notification requirement in 9110.50(b)(3)sothatitapplies not only to Australian origin material and equipment, but also to Canadian origin material and equipment; and 3.

Amend the list of countries in 5110.29 to delete those which have recently ratified the Nuclear Nonproliferation Treaty (NPT).

I approve continuation of this rulemaking. The NRC Regulatory Agenda (NUREG-0936) should be modified to reflect the status of this rulemaking.

(Signed) William J.Dircks C606240025 851oos EDO RM 110 PDR William J. Dircks Executive Director for Operations cc:

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SEP 181985 MEMORANDUM FOR:

William J. Dircks Executive Director for Operations FROM:

Robert B. Minogue, Director Office of Huclear Regulatory Research

SUBJECT:

CONTROL 0F HRC RULEMAKING: RES INDEPENDENT REVIEW OF ONG0ING RULEMAKING SPONSORED BY IP Based on our independent review of the proposed rulemaking, " Export and Import of Nuclear Equipment and Material" (10 CFR Part 110), RES agrees with the recommendation of the Director, IP that this rulemaking effort should continue.

f The basis for our recommendation is as follows:

The first part of the proposed rulemaking, an amendment to $110.8(c), has already been approved and published. The remainder of the proposed rulemaking involves the amendment of NRC's export regulations in the following areas:

1.

To amend the foreign-origin nuclear material or equipment export notification requirement for licensees in $110.50(b)(3) so that it applies not only to Australian-origin material and equipment but also to Canadian-origin material and equipment. This amendment was initiated by a request from Canada and requires the can'sent of the Canadian Government for a U.S. licensee to export Canadian-origin nuclear material or equipment, unless the license specifically authorizes its export.

2.

To amend the list of restricted destinations for exporting nuclear materials in $110.29 to delete those countries which have recently ratified the Nuclear Nonproliferation Treaty (NPT). This amendment remove: special restrictions on the export of nuclear material or equipment to countries which have not ratified the NPT.

3.

To amend the restrictions on export byproduct material in 5110.23(b) to allow export of americium-241 contained in industrial process control equipment. This amendment corrects an oversight in the current regulation which prohibits export of americium-241 exceeding one curie per shipment or 100 curies per year to countries listed in 5110.29, unless it is contained in petroleum exploration equipment.

Since it was never the intention to prohibit export of americium-241 for legitimate commercial use, the proposed amendment corrects this oversight.

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<O e e William J. Dircks 2

It is judged that this rulemaking will have no impact upon the general public and minimal impact on the industry and the NRC.

The scheduling for this rulemaking conforms with your June 12, 1985 directive on timeliness and is judged to be reasonable.

The Director of IP reconnends that this rulemaking continue.

The com lete RES independent review package has been sent to OED0 (Attn:

DEDR0GR and to the Director, IP.

ht b Robert B. Minogue, Director Office of Nuclear Regulatory Research

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MEMORANDUM FOR:

William J. Dircks Executive Director for Operations FROM:

Robert B. Minogue, Director Office of Nuclear Regulatory Research

SUBJECT:

CONTROL OF NRC RULEMAKING:

RES INDEPENDENT REVIEW OF ONG0ING RULEMAKING SPONSORED BY IP Based on our independent review of the proposed rulemaking, " Export and Import of Nuclear Equipment and Material" (10 CFR Part 110), RES agrees with the recommendation of the Director, IP that this rulemaking effort should continue.

The basis for our recommendation is as follows:

The first part of the proposed rulemaking, an amendment to $110.8(c), has already been approved and published. The remainder of the proposed rulemaking involves the amendment of NRC's export regulations in the following areas:

1.

To amend the foreign-origin nuclear material or equipment export notification requirement for licensees in 6110.50(b)(3) so that it applies not only to Australian-origin material and equipment but also to Canadian-origin material and equipment. This amendment was initiated by a request from Canada and requires the consent of the Canadian Government for a U.S. licensee to export Canadian-origin nuclear material or equipment, unless the license specifically authorizes its export.

2.

To amend the list of restricted destinations for exporting nuclear materials in 5110.29 to delete those countries which have recently ratified the Nuclear Nonproliferation Treaty (NPT). This amendment removes special restrictions on the export of nuclear material or equipment to countries which have not ratified the NPT.

3.

To amend the restrictions on export byproduct material in $110.23(b) to allow export of americium-241 contained in industrial process control equipment. This amendment corrects an oversight in the i

current regulation which prohibits export of americium-241 exceading one curie per shipment or 100 curies per year to countries listed in

$110.29, unless it is contained in petroleum exploration equipment.

Since it was never the intention to prohibit export of americium-241 for legitimate comercial use, the proposed amendment corrects this oversight.

William J. Dircks 2

It is judged that this rulemaking will have no impact upon the general public and minimal impact on the industry and the NRC.

The scheduling for this rulemaking confoms with your June 12, 1985 directive on timeliness and is judged to be reasonable.

The Director of IP recomends that this rulemaking continue.

The complete RES independent review package has been sent to OED0 (Attn:

DEDR0GR) and to the Director, IP.

1 Original signed by:

BDME AMUWER Robert B. Minogue, Director Office of Nuclear Regulatory Research DISTRIBUTION:

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F. P. GILLESPIE, CHAIRMAN, RIRB FROM:

W. M. Morrison, Member, RIRB TITLE OF RULEMAKING:

V cd MM E AGREE WITH DRAFT RES REQUEST RIRB INDEPENDENT RECOMMENDATIONS MEETING.

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INDEPENDENT RECOMMENDATIONS AS INDICATED BELOW.

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CW W. M. Morrison MEMBER, RIRB rfrArr DATE

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RES INDEPENDENT REVIEW BOARD VOTING 5HEET T0:

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INDEPENDENT RECOMMENDATIONS AS INDICATED BELOW.

COMMENTS AND SUGGESTIONS:

K. R. Goller MEMBER, RIRB 2// 8 f DATE 1

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RES INDEPENDENT REVIEW BOARD VOTING SHEET TO:

F. P. GILLESPIE, CHAIRMAN, RIRB FROM:

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COMMENTS AND SUGGESTIONS:

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W. M. Morrison, Member, RIRB 3,

K. R. Goller, Member, RIRB g,

G. A. Arlotto, tiember, RIRB 4,

F. P. Gillespie, Chaiman, RIRB S.

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will assist in RES' making independen,t recomendations to the EDO in a timely manner.

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SUMMARY

SHEET

1) Review of the completeness of the Rulemaking Review Package.

4 a.

The NRC Regulatory Agenda entries for the first three amendments have been updated to reflect their most current status. No Regulatory Agenda entry for the fourth amendment was included in the Rulemaking Review Package, b.

The rulemaking package as it is currently proposed for publication in the Federal Register was not included in the review package, c.

The office director's recommendations to the EDO concerning whether and how to continue with the rulemaking were included, except for the fourth amendment.

d.

The results of the sponsoring office review were complete, except for the fourth amendment.

e.

A copy of the preliminary regulatory analysis was not enclosed.

No Comission paper or CRGR package was included.

i f.

No sumary sheets, forms, or other documentation were requested by '

OEDO or "others" to assist in their review of the rulemaking; therefore, no such items were included in the review package.

2) Results of Review by the RES Task Leader, a.

The rulemaking evaluation addressed the issues of the intended.

rulemaking. However, all of the issues were not addressed in an

" Evaluation of Rulemaking" package but were scattered throughout the rulemaking package.

b.

The necessity and urgency of the rulemaking are reasonable as presented in the package.

c.

The alternative to rulemaking discussed in the package is that there are no acceptable alternatives to the rulemaking actions proposed.

i d.

The issue will be addressed through the rulemaking by the amendment of 10 CFR Part 110 as follows:

(1) By amending $110.8(c) to add new items to the li;c of reprocessing plant components subject to NRC export licensing controls. This amendment has already been approvedandpublished(Enclosure 3).

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2 (2) By amending the notification requirement in 5110.50(b)(3) so that it applies not only to Australian origin material and equipment, but also to Canadian origin material and equipment. This amendment was initiated by a request from Canada, to allow them a greater degree of control over their nuclear material and equipment. The 4

amendment requires the consent of the Canadian Government for a U.S. licensee to export Canadian-origin nuclear material or equipment, unless the license specifically authorizes its export. To date, only Australia and Canada have requested this additional control.

(3) By amending the list of countries in 5110.29 to delete those which have recently ratified the Nuclear Nonpro-liferation Treaty (NPT). This amendment removes special restrictions on the export of nuclear material or equipment to countries which have not ratified the NPT.

(4) Byamending$110.23(b)toallowexportofamericium-241 in industrial process control equipment. This amendment corrects an oversight in the most recent (1/2/85) e amendment to Part 110. The current regulation prohibits-export of americium-241 exceeding one curie per shipment or 100 curies per year to countries listed in 5110.29 unless it is contained in petroleum exploration equipment. Since it was never the intention to prohibit export of americium-241 for legitimate connercial use, the proposed amendment corrects this oversight.

This approach seems sound.

e.

Since the proposed amendments are routine in nature and will have i

minimal impact, no detailed evaluation of their impact on the public, the industry or the NRC was made. This approach seems reasonable.

f.

The NRC resources needed for this rulemaking appear to be minimal.

The scheduling is judged to be reasonable.

3) General Coments and Reconnendation e

a.

The rulemaking package consists of several parts..

Memorandum from Shea to Dircks (5/5/85) with a cover note from Peterson (6/4/85).

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Memorandum from Peterson to Turel (6/18/85)..

Memorandum from Dircks to Minogue (6/18/85).

l.

Proposed amendment to 9110.23(undated). This amendment was received by RES on July 8, 1985.

3 discusses the first three amendments. Enclosure 2 presents additional background on the proposed amendments, including a letter from Kay-Ray Inc. concerning the fourth amendment. Enclosure 3 notes that the first amendment has already been adopted by The Commission, and approves termination of the independent review for this amendment.

b.

The need for this rulemaking has been established. The rulemaking is consistent with applicable policies and planning guidance and is a matter of moderate urgency relative to accomplishing the NRC's mandate.

c.

It is recommended that the rulemaking involving the second, third and fourth amendments should proceed.

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ENCLOSURE 1

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5-m I found the memo to the EDO and am enclosing a copy (the reason it was lost was because~of its originalclassification).

In' view of the delay in processing, I propose a new final action'date of 9/1/85. Let me know.

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.I what additional background.information you. require.

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APR 051%5 DISTRIBUT10N IP r/f IPEI r/f MEMORANDUM FOR: William J. Dircks Executive Director for Operations FROM:

James R. Shea, Director Office of International Programs

SUBJECT:

EDO APPROVAL OF PROPOSED AMENDMENTS TO PART 110 This memorandum seeks EDO approval, in accordance with your memorandun of May 20, 1984, for the staff to proceed with several proposed amendments to Part 110.

The amendments, all proposed by the Executive Branch, request the amendment of NRC's export regulations in the following areas:

1.

To add new items to the list, in E110.8(c)of Part 110, of reprocessing plant components subject to NRC export licensing controls.

(Note:

This action is classified confidential at the Executive Branch's request until the proposed change is finalized.)

2.

To amend the notification requirement in 5110.50(b)(3) so that it applies not only to Australian origin material and equipment, but also to Canadian origin material and equipment.

3.

To amend the list of countries in 5110.29 to delete those which have recently ratified the Nuclear Nonproliferation Treaty (NPT).

The proposed amendments are routine in nature and will have a minimal impact on those persons subject to Part 110. There are no acceptable alternatives to the rulemaking actions proposed.

In view of the foreign affairs functions involved.

l all the amendments would be published as final rules.

l The staff proposes to process the reprocessing plant component amendment on a i

priority basis since the State Department has requested that it be finalized by May 21. The remaining amendments are not urgent and will be consolidated into a separate rule making action. A copy of two draft regulatory agenda entries are enclosed.

In view of their straightforward nature, a detailed analysis of the proposed amendments has not been made.

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In accordance with your memorandum of May 30,1984, your approval is requested to proceed with staff processing of the proposed amendments.

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James R. Shea, Director Office of International Programs

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TITLE:

Export / Import of Nuclear Equipment and Material CFR CITATION:

10 CFR 110 ABSTRACT:

This final rule amends Part 110 in the followinq areas:

1.

Update of the list of countries in 110.29 to delete recent adherents to the Nuclear Nonproliferation Treaty (NPT).

2.

Amendment to 110.50(b)(3) to impose notification requirements with respe".t to certain exports of Canadian-origin nuclear material or equipment.

TIMETABLE:

9//MI Final Action: 07/01/6E LEGAL AUTHORITY:

42 USC 2073; 42 USC 2074; 42 USC 2077; 42 USC 2092; 42 USC 2094; 42 USC 2111; 42 USC 2112; 42 USC 2139; 42 USC 5841; 42 USC 5842 EFFECTS ON SMALL BUSINESS AND OTHER ENTITIES: No AGENCY CONTACT:

Marvin R. Peterson Office of International Programs Washington, DC 20555 301-492-4599 i

ENCLOSURE 2 1 "U8%

UNITED STATES 8

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NUCLEAR REGULATORY COMMISslON WASHINGTON, D. C. 20655 JUN 181985 MEMORANDUM FOR:

Stanley Turel Human Factors and Safeguards Research Branch Division of Facility Operations FROM:

Marvin R. Peterson Export / Import and International Safeguards Office of International Programs l

SUBJECT:

PROPOSED AMENDMENTS TO PART 110 Enclosed is additional background regarding the proposed miscellaneous amendments to Part 110. The request from Kay-Ray, Inc. was not covered in the original approval package because we were not certain it was necessary. We have now concluded that it should be pursued as a minor amendment which would correct an oversight in the most ncent (January 2,1985) amendment to Part 110 (Kay-Ray was inadvertently unaware of the proposed rule published last e

year concerning Americium-241 which preceded the January 2,1985 amendments, and thus the general license for americium-241 was drafted more conservatively than necessary).

There is no additional background infonnation concerning the change in the non-NPT adherent country list since this amendment is a simple technical update with no practical impact on the public or NRC's workload.

In view of their minor impact, we propose to adopt all three of the proposed amendments as final rules without opportunity for public coment.

Marvin R{. Peterson, Acting Assistant W

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v Director Export / Import and International Safeguards Office of International Programs

Enclosures:

As stated i

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Department of Energy AUG 31 1984 Washington, D.C. 20585 1

Marvin R. Peterson Export / Import and International Safeguards Office of International Programs U.S. Nuclear Regulatory Commission Washington, D.C.

20555

Dear Mr. Peterson:

Reference is made to your correspondence dated July 18, 1984, in reply to our letter of April 9, 1984 in which we requested that all NRC license holders or applicants notify NRC at least 40 days prior to actual export of foreign origin nuclear material or equipment.

As you are aware, most of our Agreements for Cooperation con-6 tain reciprocal clauses requiring prior consent for retransfer of nuclear material subject to the agreements.

As a practical matter, however, our imports and subsequent exports of nuclear materials involve chiefly Australian or Canadian origin material.

Part 110 presently requires 40 days notice prior to the export of Australian origin material.

'At the present time, Canadian authorities give their consent for retransfer (export from the U.S.) at the time they approve the export of the material from Canada to the US. Accordingly, it will only be necessary for the U S to secure prior approval from Canada in those instances where the re-export was not fore-seen at the time the export from Canada to the U S was approved.

We therefore request that NRC amend Part 110 to provide for 40 days notification of any re-export of Canadian origin material in those cases where the re-export was not foreseen by Canadian authoritier at the time export to the U S was approved.

Please let us know if further information is desired.

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February 18, 1985 Mr. Marvin Peterson Assistant Director for Export / Import and International Safeguards U.S. Nuclear Regulatory Commission Washington, D.C. 20555

Dear Mr. Peterson:

I respectfully request that you consider revising Part 110 to enable Kay-Ray to ship, under a general export license, source housings that contain AmBe.

In our particular case the AmBe is purchased as a sealed source, as described in NRC Catalog NR-412-S-135-S.

Kay-Ray inserts the capsule into our Model 7100B Neutron Level Sensor, which is itself used for level and interface detection, primarily in the petrochemical industry.

Since our 7100B is used for non-nuclear purposes, and since the AmBe is difficult to remove from the sealed capsule, I feel that the restrictions imposed by the recent revision to Part 110 should be relaxed for Kay-Ray.

I'm enclosing copies of company literature that describes the 7100B and its use in our 4160 systems.

I'm also enclosing copies of NRC Catalogs NR-412-S-135-S and NR-412-D-133-S, which describe our source and sensor, recpectively.

l Best regards, KAY-RAY INCo Leslie R. Axelrod Vice President - Research & Engineering LRA/dk ga

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WORLDWIDE SALES AND SERVICE OFFICES:

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  • Canada
  • Chile
  • Colombes
  • France Germany
  • Indonesia e staty
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ENCLOSURE 4 5110.23 Export of byproduct material.

(a1 A general license is issued to any person to export americium-241 (b

to any country not listed in 5110.28, except that exports of americium-241 exceeding one curie per shipment or 100 curies per year to any country -- ^ '-- listed in $110.29 -

(1) Must be contained in industrial process control or petroleum exploration equipment in quantities not exceeding 20 curies per device; and (2) May not exceed 200 curies per year to any one country.

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