ML20207N403

Forwards Notice of Violation from Investigation Rept 1-84-014.Investigation Conducted in Response to Allegations That Util QA Auditors Harassed & Intimidated as Result of Findings of QA Audit 84-4 Conducted in Jan & Feb 1984

ML20207N403
Person / Time
Site:	Nine Mile Point
Issue date:	12/23/1986
From:	Murley T NRC OFFICE OF INSPECTION & ENFORCEMENT (IE REGION I)
To:	Donlon W NIAGARA MOHAWK POWER CORP.
Shared Package
ML20207N405	List: ML20207N403 ML20207N413
References
EA-86-135, NUDOCS 8701140192
Download: ML20207N403 (3)

Text

,

DCI DEC 2 31986 Docket No. 50-410 License No. CPPR-112 EA 86-135 Niagara Mo'awk n Power Corporation ATTN: Mr. William Donlon President 300 Erie Boulevard, West Syracuse, New York 13202 Gentlemen:

Subject:

NOTICE OF VIOLATION (NRC 0FFICE OF INVESTIGATIONS (01) REPORT NO. 1-84-014)

This refers to the investigation conducted by the NRC Office of Investigations (01) in response to allegations that Niagara Mohawk Power Corporation (NMPC)

Quality Assurance (QA) auditors were harassed and intimidated as a result of the findings of QA Audit No. 84-4 conducted in January and February 1984. The audit findings were critical of aspects of the QA program, including certain actions by the then Vice President of QA. The investigation disclosed an apparent violation of NRC regulations. A redacted version of the OI Report was provided to your attorney, Mr. Gary Wilson, on June 13, 1986 and on July 25, 1986, an enforcement conference was conducted with you and members of your staff to discuss the OI findings.

The violation in the enclosed Notice of Violation describes an incident of discrimination in violation of 10 CFR 50.7 against two QA auditors assigned to the NMPC QA Department. 10 CFR 50.7 prohibits discrimination by a Commission licensee or permittee against an employee for engaging in certain protected activities. Discrimination includes demotions and other actions that relate to compensation, terms, conditions and privileges of employs. ant. The cctivitics protected include, but are not limited to, reporting safety concerns to the NRC or to the employee's management.

Based upon the findings of the OI investigation, the NRC staff has determined that two NMPC QA auditors were the subject of discrimination in that their lead auditor status was rescinded on April 5, 1984 by the former QA Vice President because they made adverse QA findings concerning the NMPC QA Group at Nine Mile Point Unit 2. The lead auditor status of these individuals was subsequently restored on June 1, 1984. The root cause of this discrimination appears to have been an underlying deficiency in effective management control of the QA program. The OI findings demonstrate the importance of having licensee management that creates and maintains an environment in which all employees feel free to raise safety concerns without fear of reprisal. Without such an environment, personnel may be hindered from effectively performing their duties \

which can have an adverse impact on plant safety.

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8701140192 861223 PDR ADOCK 05000410 0FFICIAL RECORD COPY CP PKG NINE MILE REV 1 - 0001.0.0 PDR -

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Niagara Mohawk Power Corporation In accordance with the " General Statement of Policy and Procedure for NRC Enforcement Actions," 10 CFR Part 2, Appendix C (1986), the violation described in the enclosed Notice has been classified at a Severity Level III. Normally, a civil penalty is considered for a Severity Level III violation. However, after consultation with the Director, Office of Inspection and Enforcement, I have decided that a civil penalty will not be proposed in this case because:

(1) the individual responsible for the alleged discrimination, the Vice President of QA, was replaced in May'1984, (2) lead auditor status was restored to the two auditors discriminated against with no loss of compensation or other privileges of employment through self-initiated action on the part of new QA management, (3) significant QA management changes and program improvements were in process at the time of the alleged discrimination (these changes and improvements included increased QA staffing with experienced personnel, the development of a Quality First Program to provide a vehicle for employees to raise concerns confidentially within the company, and the development of a Quality Performance Management Program to monitor and assess construction quality trends), and (4) the alleged discrimination appears to be an additional example of the underlying deficiency in effective management control of the QA program which was identified during an NRC Construction Appraisal Team (CAT)

Inspection in November and December 1983 and which resulted in issuance of a Notice of Violation and Proposed Imposition of Civil Penalty ($100,000) and Order on March 20, 1984.

You are required to respond to this letter and should follow the instructions specified in the enclosed Notice when preparing your response. In your response, you should document the specific actions taken and any additional actions you plan to prevent recurrence. You should also include a detailed description of the actions taken by you to ensure that all employees of your organization feel free to bring safety concerns to their management or to the NRC without fear of reprisal. After reviewing your response to this Notice, including your proposed corrective actions, the NRC will determine whether further NRC enforcement action is necessary to ensure compliance with NRC regulatory requirements.

In accordance with Section 2.790 of the NRC's " Rules of Practice," Part 2, Title 10, Code of Federal Regulations, a copy of this letter and its enclosure will be placed in the NRC Public Document Room.

The responses directed by this letter and the enclosed Notice are not subject to the clearance procedures of the Office of Management and Budget as required by the Paperwork Reduction Act of 1980, PL 96-511.

Sincerely, Originni signed by Thom E. varicy Thomas E. Murley Regional Administrator

Enclosure:

Notice of Violation 1

1 0FFICIAL RECORD COPY CP PKG NINE MILE REV 1 - 0002.0.0 12/23/86

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Niagara Mohawk Power Corporation cc:

Connor & Wetterhahn John W. Keib, Esquire J. A. Perry, Vice President, Quality Assurance W. Hansen, Manager of Quality Assurance D. Quamme, NMP-2 Project Director C. Beckham, NMPC QA Manager T. J. Perkins, General Superintendent R. B. Abbott, Station Superintendent Department of Public Service, State of New York Public Document Room (PDR)

Local Public Document Room (LPOR)

Nuclear Safety Information Center (NSIC)

NRC Resident Inspector State of New York bec:

Region I Docket Room (w/ concurrences)

SECY CA J. M. Taylor, IE R. W. Starostecki, IE J. Axelrad, IE T. E. Murley, RI J. Lieberman, OGC V. Stello, EDO J. Sniezek, DED/ROGR Enforcement Coordinators RI, RII, RIII, RIV, RV F. Ingram, PA J. Crooks, AE00 B. Hayes, 01 S. Connelly. DIA -

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