ML20209B440
| ML20209B440 | |
| Person / Time | |
|---|---|
| Site: | Nine Mile Point  |
| Issue date: | 01/21/1987 |
| From: | Donlon W NIAGARA MOHAWK POWER CORP. |
| To: | Murley T NRC OFFICE OF INSPECTION & ENFORCEMENT (IE REGION I) |
| References | |
| EA-86-135, NUDOCS 8702040043 | |
| Download: ML20209B440 (6) | |
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-e NIAGARA MOHAWK POWER CORPORATION NBAGARA MOHAWK 300 ERIE SOULEVARD WEST SYRACUSE. N.Y.13202 wlLU AM J. OCMLON
,ResioeNT January 21, 1987 Dr. Thomas E. Murley, Regional Administrator l
U. S. Nuclear Regulatory Commission Region I 631 Park Avenue King of Prussia, Pennsylvania 19406 Re: Nine Mile Point Nuclear Station, Unit 2 Docket No. 50-410 License No. NPF-54 EA86-135
Dear Dr. Murley:
Your letter of December 23, 1986, transmitted a Notice of Violation alleging a single violation of the provisions of 10 CFR 50.7 resulting from i
the temporary suspension of the lead auditor status of two Quality Assurance i..
auditors. This Notice of Violation resulted from an investigation by the Office of Investigations of numerous complaints of discriminatory acts filed by several Niagara Mohawk auditors involved in an audit of the Quality l
Assurance Department and followed an enforcement conference. Several of the auditors also alleged that an internal Niagara Mohawk audit was improperly 4
rewritten and condensed to eliminate and cover up certain adverse findings.
In addition to the investigation by the Commission, these and similar allegations have been addressed in seven Department of Labor (DOL) investigations and six administrative hearings before D0L Administrative Law Judges.
In each hearing and investigation, the Department of Labor concluded that no discrimination under the provisions of the statute had occurred. The allegations of an improper cover-up of the audit findings were the subject of
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a separate review by the Commission staff, which found that Niagara Mohawk had not engaged in a cover-up of audit findings.
(See NRC Inspection Report i
410/84-09.)
l The Commission staff, after reviewing the extensive record it had developed, alleged only a single violation of 10 CFR 50.7.
We believe that a full evidentiary hearing would reveal that, under all the circumstances, the incident in question did not constitute a violation by Niagara Mohawk of Commission regulations.
However, the time and expense of litigation or i
8702040043 870121 PDR ADOCK 05000410 e
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Dr. Thomas. E. Murley Page Two January 21, 1987 additional proceedings concerning this matter would not be in the best interests of either Niagara Mohawk or the NRC, particularly because of the many subsequent events including changes in personnel, organizations and programs which have taken place in the nearly three years since the events in question occurred.
Notwithstanding this position, the Company's response to this incident as described in the Attachment would have been substantially the i
same even had it concluded that discrimination had occurred.
- Moreover, Niagara Mohawk has recognized that the perception of discrimination by its employees is a matter which must be effectively addressed.
Accordingly, in the attached response to the Notice of Violation we address the positive and constructive actions already taken by Niagara Mohawk to assure full compliance with the applicable NRC regulations.
Very tr ly yours, W
- n md-i William. Donlon Pr dent Attachment I
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RESPONSE TO THE NOTICE OF-VIOLATION Reason-for-Alleged Violation As noted by the staff in its letter of transmittal, the incident described in the Notice of Violation had roots in management problems identified by the Construction Appraisal Team during the 1983 CAT Audit.
Indeed, in retrospect, Niagara Mohawk's actions taken to correct deficiencies may have inadvertently added to the tension and problems which existed within the Quality Assurance Department during that period.
An initial phase of the corrective action in response to the CAT Audit involved the introduction of consultant personnel into the QA Department as advisors, supervisors and quality engineers. The introduction of new personnel, methods, and ideas into the Department had an initial unsettling effect on Departmental personnel. This was compounded by preexisting personality problems, poor communication, and internal strife.
It was under these conditions and in this environment that Messrs. Norman and Laratta perceived their loss of lead auditor status in April 1984 to be discriminatory.
Corrective Actions Which Have Been Taken In response to these recognized problems, Niagara Mohawk senior management took positive action.
In early May 1984, the Vice President of Quality Assurance was replaced by Mr. James Perry, a Management Analysis Corporation employee, who was placed in charge of the Quality Assurance Department in the position of Director, Quality Assurance. He was charged by the President of the Corporation with investigating the allegations of discrimination that had been brought to the President's attention by members of the Quality Assurance Department.
Included in these identified concerns was the suspension of lead auditor status.
Mr. Perry conducted a thorough investigation of a number of matters.
including the suspension of lead auditor status. He completed his investigation in late May. He concluded that the concerns identified by the auditors were related to poor communication, personality problems, and valid management prerogatives.
In spite of his conclusion that the matter did not constitute discrimination, Mr. Perry recognized that even the perception of discrimination was undesirable and would interfere with his plans for improvement in the effectiveness of the Quality Assurance Department. He, accordingly, reevaluated the performance of recent audits by all lead auditors and concluded that, although there may have been occasional problems with individual audits, in his judgment, most of the suspended lead auditors demonstrated sufficient proficiency to warrant reinstatement. He, accordingly, reinstated the lead auditor status of 19 of the 21 affected lead auditors including Messrs. Norman and Laratta.
Thus, as recognized by the staff,
_2 within 30 days of the assumption of his duties, Mr. Perry had restored the lead auditor status of Mr. Norman and Mr. Laratta. The involved individuals lost no compensation or other privileges of employment as a result of the temporary suspension of lead auditor status.
To address the more general concerns identified in the review of the Quality Assurance Department, a number of actions were taken. The Department was extensively reorganized in 1984 with particular attention given to organizational needs and personalities.
In January,1986, Mr. Perry became a permanent Niagara Mohawk employee and assumed the position of Vice President -
Quality Assurance. The Company has recruited highly qualified and experienced personnel to fill a nunt>er of managerial, supervisory, and quality engineer positions within the Quality Assurance Department.
In addition, the permanent staff has been augmented as necessary with contract personnel to strengthen the permanent staff and assure a high level of competence within the Department. Furthermore, the Quality Assurance staff has conducted a review of substantially all of the procedures within the Department and has revised procedures, including those related to audits, to improve their e ffectiveness.
Personnel have received training to the requirements of these revised procedures.
In the fall of 1984, the Company implemented a Quality First Program, designed to provide contractor and Niagara Mohawk employees with an additional opportunity to present complaints and concerns to management in a non-intimidating, confidential environment.
The incident in question occurred nearly three years ago in an environment charged with tension and acrimony.
It is clear that the environment that existed at that time hae. been substantially improved. The management and organization of the Quality Assurance Department are now completely different and operating effectively. The actions discussed above effectively address concerns related to the perception of harassment in the Quality Assurance Department.
While Niagara Mohawk may disagree as to the existence of discrimination in this case, we are strongly committed to the goal of providing an environment in which employees feel free to bring quality and safety concerns to management.
To that end we have recently completed a series of meetings between management and members of the Nuclear and Quality Assurance staffs to emphasize the importance of promptly reporting quality and safety concerns to management and to assure employees that such reports will be positively received.
In conjunction with these meetings, a survey of employee attitudes relating to their willingness to report safety and quality concerns to management was conducted.
This survey, which was conducted by the Corporate Performance Services Department using techniques validated by recognized t
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. survey experts, concluded that the vast majority of this Corporation's employees involved in nuclear activities feel comfortable bringing safety and quality concerns to the attention of management.
As a result of the above actions, we are confident that an environment now exists within the Quality Assurance Department, and throughout the Corporation, where individuals feel free to bring quality and safety concerns to the attention of management without fear of retaliation.
I Corrective Action -Which-Will Be-Taken Given the actions taken over the past three years, no specific further actions in response to the alleged incident are planned. We will, of course, continue to monitor the effectiveness of the ongoing programs.
Da te When - Full ' Compl iance -Will - Be Achieved Niagara Mohawk is in full compliance with the provisions of 10 CFR 50.7.
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