ML20210F534
| ML20210F534 | |
| Person / Time | |
|---|---|
| Issue date: | 01/16/1985 |
| From: | Connelly S NRC OFFICE OF INSPECTOR & AUDITOR (OIA) |
| To: | |
| Shared Package | |
| ML20209D524 | List:
|
| References | |
| FOIA-85-409, TASK-PINV, TASK-SE SECY-85-013, SECY-85-13, NUDOCS 8604020170 | |
| Download: ML20210F534 (41) | |
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January 16, 1985 i SECY-85-13 T0:
POUCY ISSUE mum 2 FROM:
The Cuiamslotation P
Vote)Sharon R(. Conne Office of Inspector and Auditor
SUBJECT:
OIA 1985 AUDIT PLAN PURPOSE: To infonn the Comission of the Office of Inspector and Auditor's (OIA) 1985 Audit Plan.
, DISCUSSION: Attached is 01A's 1985 Audit flan. The Plan was prepared in accordance with Office of Management and Budget (OMB) Circular A-73, which recuires each agency's audit organization to prepare an Audit Plan at least annually and specifies the Plan's contents.
In developing the audit plan we considorad tha followina:
- 1. audits required by law or 0MB;
- 2. audits suggested by individual Comissioners and the Executive Director for Operations in response to our September 24, 1984, request for audit recomenda-tions;
- 3. internal control reviews requested by NRC's Internal Control Comittea; 4 audits included in the 1984 Audit Plan approved by the Comission but not yet started (these include the Survey of the Office of Small and Disadvantaged Business Utilization and Civil Rights and the Revies of the Inplementation of the INP0/NRC Memorandum of Understanding), those audits specifically " deferred" i as a result of the Commission's request for other
, audits in their approval of that Plan, and other audits included in the 1984 Audit Plan but deferred by OIA in August 1984 based on a reevaluation of the Plan; CONTACT: George H. Messenger, DIA -
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- 5. follow-up audits reavired under the provisions of OMB Circular A-50 and NRC Bulletin 1201-3; and
- 6. audits we believe should be done, including, but not limited.to, areas susceptible to waste, fraud, and abuse, and areas identified in our Audit Universe which we have not yet audited. Our Audit Universe is included in Attachment II. Attachment III identifies potential fraud and waste areas covered by planned 1985 audits.
Based on all of this input we developed the Audit Plan shown in Attachment I. For each proposed audit Attachment I shows the estimated start and final report-dates. The appendiccs to Attachment I describe, for each audit, the reason for selecting the audit, the audit locations, the planned objective and scope, the anticipated resource requirements, and the anticipated benefits.
There has been a lot of Comission interest in 01A's 1985
. Audit Plan and we have developed the Plan to be as responsive to Commissioner recomendations as possible.
As a result, we believe the 1985 Audit Plan is optimistic.-
Any audits we do not complete this year will be given priority consideration in preparing our 1986 Audit Plan.
The attached Audit Plan presents our thinking at the current time as to what areas should be audited during the Y coming year. As NRC's programs and priorities change the OIA Audit Plan may also change. This is provided for in Circular A-73 which states "The plans should be adjusted as necessary to provide for audit coverage of unforeseen priorities." Accordingly, at the completion of each audit we will reevaluate the Audit Plan considering changes in priorities and other factors.
This Audit Plan represents a departure from prior years' Audit Plans in that it covers the' nine-month period from' i January through September 1985, rather than a full calendar year. This change will put our audit planning on a fiscal year basis. Our next audit plan will be prepared in September 1985 for fiscal year 1986.
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Sharon R. Conrelly, Director Office of Inspector and Auditor Attachments:
I OIA 1985 Audit Plan II Audit Universe i III Fraud and Waste areas to be l covered by OIA audits in 1985 l
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Commissioners' comments.or consent should be provided directly to the Office of the Secretary by c.o.b. Wednesday, January 30, 1985.
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ALDIT RJN January 1,1985 - Septduer 30,1985 EST. EST. FINAL STARTI?G REPORT / SURVEY DATE EPO DATE APP 90IX Review of the Materials Inspection Progran Ongoing _1/85 A Suney of the Office of the General Comsel Ongoing 2/85 B Intcmal Control Review of Paynents at tRC Ongoing 2/85 C Review of Regionalization Ongoing 3/85 D Review of the %nagment of Plant-Specific Ongoing 4/85 E Backfitting _
Review of E's Allegations Managsnent Systan Ongoing 4/85 F Review of Selected Aspects of E's Payroll Ongoing 2/85 G Operations .
Review of #0P Activities Ongoing 4/85 H Survey of the Office of Strall and 1/85 5/85 I Disadvantaged Business Utilization andCivilRights(0S080/m) 4 Revias of the Relationship Bet >een NRC and 2/85 7/85 J the Departnent of Enertjy in Inplenenting the Nuclear Waste Policy Act-Review of the Effect of the CRGR on Staff's 3/85 7/85 K Searth for Safety Prthlers or Resolution of Knom Problets Survey /Peview of IE Technical Suport (btained 5/85 1/86 L- -
frun Outside Sourtes Review of Technical Specifications in the 4/85 10/85. M Operating License Review Process Review of E's Mamgsnent of 5/85 9/85 N Classified Data Review of E's Contract Operations 5/85 10/85 0 Revis of the Manacyrent of Generic 6/85 10/85 P Safety Issues A'TDONENT I
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EST. EST. FINM.
STARTING REPORT /SLRVEY DATE EPO DATE APPDOIX Peview of the Inplemntation of the PRC/ 7/85 11/85 Q Institute for Nuclear Power Operations Menorandun of testading Review of IE and Regional Office Use of 9/85 1/86 R Pbnagensit Infonmtion Systans Review of PRC's Intemal Contml System 1/85 12/85 S
~ Review of PRC's Inprest Funds Unannoun d T Other Assiments -
Inspection of the Office of. 1/85 3/85 U Investigations Activities In#ry Into Staff Action Regarding (hgoing 1/85 V Grand Gulf Nuclear Station Technical Specifications Civil Penalty -
In#ry Into Selected Aspects of PRC's 1/85 5/85 W Handling of Allegations Relating to Diablo Canyon Follow-ups 1/85 9/85 X Y
Review of PRC's Inventory Manaoemit
- Survey of the Office of iblicy Evaluation Review of PRC Frployee Perfonrence Appraisals for Non-SES Headquarters Enployees Peview of the Connission Guidan Pegarding Establishmnt of Eey2cy Response Facilities - -
- Peviev of PRR's Use of Technical Assistance Review of the Cannittee to Review Generic Requireerts Potential Savings on large Deposits Peview of IE's Pmgram Assessnent Function Review of PRC's Quality Assurance Inspection Program for Reactors Under Construction Interface of the Autamted Personnel and Paymil Data System
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J App:ndix A 1
Review of the Materials Inspection Procram
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Reason for Selection 4
This audit was included in OIA's 1984 Audit Plan and is ongoing.
.0IA was concerned about the effectiveness of NRC's inspection program ~ for-non-reactor licensees. It was our perception that there had been an increase in the number of.high severity level inspection results, especially. the number of civil penalties imposed on by-product materials licensees. These
- violations have a direct and adverse impact on the public health and safety.-
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Audit Locations NRC Headquarters Regions I and III -
Planned Objective and Scope The principle objective of this review was to ascertain whether inspections
} were being conducted when and as required, and if not, why not. In addition, i the audit examined the prior inspection history of selected civil penalty
. cases and attempted to ascertain whether gaps in NRC's regulatory process may
- have in any way permitted or contributed to these violations of NRC regulations. -
1 1 Estimated Resource Requirements j~
Audit work has been completed and a draft report issued to the ED0 for comment.
Minimal staff effort is required to process the final report.
! Anticipated Benefits j This audit report will provide an objective review of the status of an NRC program intended to directly assure the safe use of licensed nuclear material to protect workers and the public.
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Appendix B . .
Survey of the Office of the General Counsel Reason for Selection a This audit was included in 0IA's 1984 Audit Plan and is ongoing.
Audit Location
'NRC Headquarters Planned Objective and Scope The planned objective of this survey was to examine the Office of the General Counsel's (GC) mandate and to determine how it interfaces with the Office of the Executive Legal Director, the Commission and Commission staff offices. In addition, its organizational structure was surveyed to determine the resources devoted to assigned functions and whether GC is efficiently and effectively managing its resources.
Estimated Resource Requirements Audit work has been completed apd one senior auditor is required for about one month to prepare the report.
Anticipated Benefits This survey will provide the Commission an independent view of the' management and operation of GC.
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AppGndix C Internal Control Review of Payments at NRC Reason for Selection This review was initiated in 1984 as part of OIA's oversight of NRC's compliance with the Federal Managers' Financial Integrity Act of 1982 and is ongoing. This review was initiated as a result of an Office of-Management and Budget caution in July 1984 to all Federal agencies following reports in the newspapers that some Federal agencies (not NRC) had paid more than once for some contracted services.
Audit Location NRC Headquarters Planned Ob.iective and Scope The objective of our review was to determine whether internal controls over NRC's payment system were sufficient to detect and prevent duplicate payments and also were adequate to ensure prompt payment to vendors and contractors.
Our scope of audit included a review and assessment of policies and procedures in the Division of Accounting and Finance, and an examination of selected payment transactions.
Estimated Resource Requirements The detailed audit work has been completed. One mid-level auditor is required for about one month.
Anticipated Benefits To ensure that internal controls over payments are sufficient to detect and prevent duplicate payments.
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l App:ndix 0 j Review of Regionalization Reason for Selection This audit was included in OIA's 1984 Audit Plan and is ongoing.
On September 12, 1983, 01A issued an audit report to the Commission documenting the results of an OIA survey of recent NRC regionalization efforts. On November 4, 1983, the Commission directed OIA to perform a nore detailed audit of the regionalization program. The Commission asked that this be included as a priority item in the 1984 OIA Audit Plan.
Audit Locations This audit was carried out at NRC Headquarters and in each of HRC's five regional offices.
Planned Obiective and Scope Our objective was to evaluate the efficiency and effectiveness of NRC's program to decentralize its operations. We specifically reviewed the manage-ment of NRC's regionalization ef. forts by the EDO, the Deputy.EDO for Regional Operations and Generic Requirements, and the Headquarters offices whose functions are being decentralized. In three areas -- materials licensing, operator licensing and operating reactors licensing actions -- we reviewed the adequacy cf guidance provided tn the regions, the assessments of regional operations by Headquarters offices, the allocation of resources to the regions, ways in which Headquarters assures consistency of regional operations, and generally how well the regions are carrying out their responsibilities in these areas.
Our audit concentrated on programs moved or planned to move from Headouarters to the regions as opposed to the inspection programs which have always been in the regions.
Estimated Resource Requirements This audit has been completed and a draft report is being prepared. One senior auditor is required for about three months.
Anticipated Benefits This review will result in an independent assessment of NRC's regionalization efforts for the Commission. As appropriate, we will also make recommendations to improve the transfer of functions to the regions and the management of regional operations.
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App ndix E Review of Management of Plant-Specific Backfitting Reason for Selection This audit was included in 0!A's 1984 Audit Plan and is ongoing. .
In the Comission's February 28, 1984, approval of the Executive Director for Operations' plan for managing plant-specific backfitting, OIA was directed to
" conduct a review of the operation of the backfit process and report to the Commission."
Audit Locations NRC Headquarters Selected Regional Offices Planned Objective and Scope .
The scope of this review will initially be broad but include only plant-specific backfitting. Our objectives will be to detemine how backfits are identified, what management review exists, whether the procedures approved by the Comission are being implemented, how effective they have been, and what changes are needed to improve the program.
Esti:aated Resource Requirements Two auditors for four months, t Anticipated Benefits This review will provide the Comission with an independent assessment of the backfit program for their use in considering proposed changes to 10 CFR 50.109.
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Appendix F .
Review of NRC's Allegations Management System Reason for Selection ,
This audit was included'in 01A's 1984 Audit Plan and is ongoing.
Regional offices receive numerous allegations associated with NRC licensees, contractors, vendors, etc. Disruption of the-routine inspection program schedules occurs because inspectors are ' diverted from their regular assign-ments to look into allegations regardless of.whether the allegations appear to merit priority attention. We understand that each regional office is estab-lishing their own policies and procedures for managing allegations instead of NRC establishing an agency wide policy and unifom detailed operating proce-dures. This audit is a priority recomendation by the EDO.
Audit Locations NRC Headquarters -
Regional Offices Other Government Agencies Planned Objective and Scope ,
During this review we perfomed a survey of NRC Headquarters policy statements and organizational responsibilities to obtain an overall general knowledge of how NRC manages and controls responses to allegations.
We assessed Headouarters and regional policies and procedures for uniformity F and consistency to determine whether' agency-wide policies should be instituted.
We also assessed NRC's efficiency and effectiveness in responding to alle-gations and the interaction between the various NP.C offices that handle allegations.
The scope of th~e original assignment was expanded as a result of a complaint received by the Comission in September 1984 to include consideration of policies and practices in regard to preserving the anonymity of allegers and following-up comunication with allegers. , ,
Visits to NRC regional offices were made to identify how allegations are administratively managed and controlled, what improvements are needed, and the
_ probable benefits of identified improvements.-
Estimated Resource Requirements Audit work has been completed. One senior auditor is required for about four months to draft and process the final report.
Anticipated Benefits The audit will provide an assessment of NRC's systen for managing allegations and will increase the efficiency of interactions between the various NRC offices that are involved with handling allegations.
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Appendix G Review of Selected Aspects of NRC's Payroll Operations Reason for Selection This audit was included in OIA's 1984 Audit Plan and is ongoing.
In a letter to Chairman Palladino dated September 28, 1982, GA0 suggested that DIA periodically review the operation of NRC's payroll system to assure that it is in accordance with the system GA0 approved.
Also, the Division of Accounting has been operating under a new automated payroll system for a little more than a year. As part of our charter to review internal controls within NRC, this area requires a comprehensive review because of its susceptability to fraud.
Audit Location NRC Headquarters Planned Objective and Scope The planned objective of this audit was to review selected payroll operations within the Division of Accounting to determine whether they are being carried out in an efficient and effective manner. Our scope of audit coverage included a review of internal controls, payroll source data, accuracy of relevant payroll data (leave, service computation data, bond programs, etc.), and reporting of payroll information to other cognizant Federal agencies.
Particular attention was given to reported problems in the area of life insurance and health benefits.
Estimated Resource Requirements The detailed audit work has been completed. One mid-level auditor is reouired for two months to draft the audit report.
Anticipated Benefits Improved payroll system.
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Appendix H - -
Review of ADP Activities Peason for Selection This audit was added to 0IA's 1984 Audit Plan in August 1984 and is ongoing.
This review was selected because of the effect that ADP has on the Agency's ability to perform its mission and because of increased resources expended for ADP related activities. Also, in the past both Chairman Palladino and Commissioner Gilinsky expressed interest in 01A reviewing the Integrated Financial Management Information System.
Audit Location NRC Headquarters Planned Objective and Scope We are focusing our effort on determining the. cffectiveness of the methods used to develop recent ADP systems, the effectiveness of the ADP organization, and the effectiveness of the controls exercised over the use of ADP resources.
As part of this audit we are reviewing the development of the Integrated financial Management Informatiun System.
Estimated Resource Reouirements One senior auditor for four months.
Anticipated Benefits To assure that the ADP function is operating in a business-like fashion.
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Survey of the Office of Small and Disadvantaged Business Utilization and Civil Richts (OSDBU/CR)
Reason for Selection This audit was included in 01A's 1984 Audit Plan and is ongoing.
This is a. major NRC area that has not been previously audited. Also, Commissioner Asselstine recommended audits relating to NRC's Equal Employment Opportunity Program and Small Business Set Aside Program which are included in this area.
Audit Location NRC Headquarters Planned Objective and Scope -
The planned objective is to evaluate the efficiency and effectiveness of the office and whether the operations are in consonance with Federal laws and regulations. In particular, we will survey the small and disadvantaged business program.to assure that appropriate consideration is given to Labor Surplus Area firms and Women Business Enterprises. Also, attention will be given to NRC's policies and practices for providing ecual employment oppor-tunities and training opportunities for women and minorities which provide for advancement in the agency.
Estimated Resource Reouirements Two mid-level auditors are needed for a four month period.
Anticipated Benefits Improved operations in OSDBU/CR.
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App;ndix J ' -
.Rcview of the Relationship Between NRC'and the Department of Enerqv in Implementing the Nuclear Waste Policy Act Reason for Selection Recomended by the Chainnan.
Audit Location NRC Headquarters Planned Objective and Scope The review will examine how NRC is accomplishing the provisions of the Nuclear Waste Policy Act requiring interactions between the Department of Energy and NRC while still maintaining the proper amount of independence from the Depart-ment of Energy in the regulator / applicant relationship.. Our objective will be to assure that implementation of the Act is carried out without compromising NRC's independence.
Estimated Resource Requirements Two mid-level auditors for five months.
Anticipated Benefits Assure the independence of NRC in carrying out the Nuclear Waste Policy Act.
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Appendix K -
Review of the Effect of the CRGR on Staff's Search for Safety Problems or Resolution of Known Problems d
Reason for Selection This audit was reconinended by Commissioner Asselstine.
Audit !.ocation NRC Headquarters Planned Objectives and Scope This audit will look at the function of the Comittee to Review Generic ,
Requirements (CRGR). Our objectives will be to determine if the CRbR has a <
"chilline effect" on the technical staff's search for safety problems or resolution of known problems.
Estimated Resource Requirements One senior auditor for four months.
Anticipated Benefits We will provide the Commission with an assessment of the impact the CRGR is having on the staff's identification and resolution of generic safety issues.
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o - Appendix L - -
Survey / Review of IE Technical Support Obtained from Outside Sources Reason for Selection Active contracts for Technical Support for the Office of Inspection and Enforcement's (IE) programs amount to approximately $15.1 million. IE is increasing its use of technical support for IE programs as evidenced by the fact that program support funds, which are used principally for technical support, are budgeted for $19 million in 1985 and $27 million in 1986. OIA has never reviewed this aspect of the IE program.
Audit Locations NRC Headquarters Three Regional Offices Planned Objective and Scope To survey the amount and types of technical support rendered to IE programs and to determine whether a detailed OIA review would be appropriate. Emphasis will be placed on end-use of services to regional office and/or IE Head-quarters to ensure that the technical support provides the types of service's and information needed ar.d that it is used to enable IE to carry out its programmatic responsibilities.
Estimated Resource Reouirements s Two auditors for approximately two months for the survey and fivt additional months if a full review is conducted.
Anticipated Benefits Advise the Commission as to whether it appears technical support obtained from outside sources is justified, properly managed, obtained at reasonable prices, received when needed, and appropriately used to support IE programs.
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'AppGndix M Review of Technical Specifications in the Operating License Review Process-Reason for Selection During 1984 the Office'of Nuclear Reactor Regulation _(NRR) experienced a major problem relating to the development and implementation of technical specifica-tions for the Grand Gulf Nuclear Plant. Also, during our 1984 review of the Operating License review process several division managers in NRR expressed the opinion that technical specifications are developed too late in the licensing process.
Audit Locations NRC Headquarters Selected Regions ,
Selected Licensees .
planned Objective and Scope We plan to _ generally review the process by which technical specifications are reviewed and approved with special emphasis on improvements to the process after the problem with the Grand Gulf technical specifications.
Estimated Resource Requirements One auditor for six months.
I Anticipated Benefits Assure that improvements have been made in the licensing process to prevent future problems in reviewing and approving technical specifications.
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App:ndix N - -
Review of NRC's Manaaement of Classified Data Reason for Selection This is a major NRC area that has not been previously audited. Also, both Commissioners Roberts and Zech requested an audit in this area.
Audit Location NRC Headquarters Planned Objective and Scope Our overall objective is to determins whether NRC's management of classified data is being carried out in an efficient and effective manner. We plan to focus our attention on policies and procedures for classifying, declassifying, storing and tracking the current classification status of classified docu-ments.
Estimated Resource Requirements
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Two mid-level auditors are required for a four month period.
Anticipated Benefits Improved management of classified materials.
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Appendix 0 Review of NRC's Contract Operations Reason for Selection This area was selected based on a recommendation from Commissioner Bernthal and because of the large amount of money ($55 nillion in FY 1984) associated with the contract function in NRC. OIA has never performed a comprehensive review of the contract function.
Audit Location
'NRC Headquarters Planne'd Ob.iective and Scope Ot!r overall objective is to determine whether NRC's contract function is operating in accordance with Federal and NRC procurement regulations. We plan to focus our attention on small purchase procurements, the total contracting process (inception to close out), and the adequacy of procurement procedures at year end.
Estimated Resource Requirements.
One senior level, one mid-level, and one junior auditor for five months.
Anticipated Benefits Assurance that the contracting process is operating efficiently and effectively.
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Appendix P - .
Review of the Management of Generic Safety Issues Reason for Selection 2 Recommended by Comissioner Zech.
Audit Location NRC Headquarters Planned Objective and Scope On September 19, 1984, the General Accounting Office (GAO), issued a report entitled " Management Weaknesses Affect Nuclear Regulatory Commission Efforts to Address Safety Issues Common -to Nuclear Power Plants." Our review will evaluate the extent to which GAO's recommendations have been implemented, the adequacy of GA0's recommendations in resolving the problems identified, and what other actions are necessary to further improve NRC's management of this program. Our objective will be to assure that satisfactory corrective actions have been taken to. improve management of generic safety-issues.
Estimated-Resource Requirements, One senior and one junior auditor for four months.
Anticipated Benefits Improve the management of NRC's generic issues program.
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Appendix Q Review of the Im)lementation of the NRC/ Institute for Nuclear )ower Operations Memorandum of Understanding Reason for Selection This audit was included in 01A's calendar year 1984 audit plan based on Commission direction in their approval of the 1983 audit plan. Staff was not available to initiate the audit in 1984 Audit Locations NRC Headquarters Institute for Nuclear Power Operations (INP0) in Atl ~ ta, Georgia Planned taiective and Scope The audit will review the implementation of the existing NRC/INP0 memorandum of understanding (M00) by both NRC and INPO, assess the costs / benefits of the MOU, and determine any plans for future additions to the MOU.
Estimated Resource Reouirements One nid-level auditor for four months.
Anticipated Benefits a This audit will provide the Commission with an independent status report on implementation aof the NRC/INP0 MOU and future plans for expanding the M00.
Recommendations, as appropriate, will be made to improve the management of the M00 or reduce the costs / increase the benefits associated with the MOU.
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Appendix R * -
Review of IE and Regional Office Use of Management Information Systems Reason for Selection The EDO suggested an agency-wide review of NRC's use of management informa-tion. He has concerns that the increasing information system capabilities resulting from the Regulatory Information Tracking System (RITS) data base and additional computers at Headquarters, regions and resident inspector sites has the potential for creating an "information overload" condition. He believes this condition could reduce efficiency if information systems are not used effectively.
Audit Locations NRC Headquarters Regional Offices .
Planned Obiective and Scope To ascertain the extent to which IE Program Managers and NRC Regional Offices use management information systems stored on and retrievable from computer data bases, and the extent to which such systems satisfy IE and regional management needs. Special attention will be oiven to the use of RITS informa-tion.
Estimated Resource Recuirements One mid-level auditor and one junior auditor for approximately five months.
Anticipated Benefit An independent overview of the use and usefulness of management information in the management of NRC inspection and enforcement programs at Headquarters and in the field.
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Appendix S Review of NRC's Internal Control Systems Reason for Selection Each year the Chairman is' required to prepare a statement to the President and the Congress to the effect that NRC has complied with PL 97-255, the Federal Managers' Financial Integrity Act of 1982. OIA believes the Chairman should have assurance from .0IA that NRC's Internal Control Comittee is fulfilling its responsibilities within the established guidelines. Also, OMB Circular A-123 requires that "The Inspector General, or the senior audit official where there is no Inspector General, will, in conjunction with internal audits, review internal control documentation, systems, and compliance to determine whether the policies and standards established by this Circular are being implemented properly. . ."
Audit Location NRC Headquarters Planned Ob.iective and Scope Our objective will be'to assure that the Internal Control Comittee (ICC) carries out its functions in a reasonable and prudent manner. Soecifically, we will monitor the comittees actions to assure they are consistent with the law, and OMB and GA0 guidelines. We will also follow up on prior OIA recom-mendations to improve the process to assure their . satisfactory implementation.
Estimated Resource Reauirements t
One mid-level auditor will monitor the activities of the ICC and follow-up en prior ICC comitments and 0IA recomendations as necessary throughout the year.
Anticipated Benefits Improved internal control procedures and practices a'd n assurance to the Chairman that NRC has complied with PL 97-255 before he signs the reouired statements to the President and the Congress. ' '
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Appendix T . .
Review of NRC's Imprest Funds Reason for Selection '
This review is being performed in accordance with NRC Manual Appendix 1101, Part IV, Section A, which requires that " unannounced audits of each imprest fund be made by the Office of Inspector and Auditor as frequently as deemed necessary, but at least annually." Also, this audit is one of the projects targeted by the President's Council on Integrity and Efficiency.to prevent fraud, waste and mismanagement.
Audit Location NRC Headquarters All Regional Offices Planned Objective and Scope The planned objective is to count imprest funds at all NRC locations and review past reimbursement documents to ascertain the use of the funds and the level at which they are maintained. We will pay specific attention to the internal controls exercised over the funds and the timeliness in which losses are reported.
Estimated Resource Reouirements About 40 staff days spread throughout the year.
e Anticipated Benefits Ensure the proper use and accountability of NRC's imprest funds.
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Appendix U Inspection of the Office of Investigations Activities Reason for Selection The Commission has directed that OIA conduct inspections of the Office of Investigations.
Audit Locations NRC Headquarters Regional Offices Planned Objective and Scope Determine if the Office of Investigations (01) is performing and accomplishing their mission in accordance with their charter. As part of this review, we will evaluate the adequacy of OI's resources to handle their. heavy caseload.
Estimated Resource Recuirements
- Two auditors and two investigators for two and one-half months.
Anticipated Benefits The audit will provide the Commission an independent assessment of OI's need for additional resources. Recommendations will be made, as appropriate, to improve the efficiency ~and effectiveness of existing resources.
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Appendix. V .
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Inquiry Into Staff Action Regarding Grand Gulf Nuclear Station Technical Specifications Civil Penalty Reason for Selection The Chairman received an anonymous allegation regarding this issue which he forwarded to 01A to inquire into.
Audit Location NRC Headquarters Planned Objective and Scope
~
The allegation stated that the NRC staff was proposing a civil penalty aoainst the licensee to cover up NRC staff negligence in issuing the Grand Gulf technical specifications. The objective of this inquiry will be to determine if there was a cover-up.
Estimated Resource Requirements One auditor and one investigator for one month.
Anticipated Benefits This inquiry will help assure the integrity of NRC operations. It will also provide a basis for our planned audit of the Review of Technical Specifica-r -tions in'the Operating License Review Process (See Appendix H).
22 l
Appendix W Inquiry into Selected Aspects of NRC's Handling of Allegations Relatina to Diablo Canyon 3
Reason for Selection During our Review of the Management of Allegations, a number of concerns c.ame to our attention too late to be addressed in our audit report. These concerns relate to how the NRC technical staff handled allegations provided to.NRC by the Government Accountability Project, Thomas Devine, and clients of the Diablo Canyon Joint Intervenors. The concerns were provided in a 2.206 petition from Thomas Devine, and relate to the appropriateness and propriety of the performance and conduct of individual NRC employees, whether the Diablo Canyon Allegation Management Program was adequately implemented, whether Region V adhered to its regional procedures, whether the technical staff adequately reviewed the licensees responses to allegations referred to them for resolution, and the adequacy of the disposition of certain al, legations as portrayed in Diablo Canyon Safety Evaluation Report Supplements. The concerns appeared to have potentially serious implications warranting audit and/or investigative attention.
Audit Locations NRC Headquarters Region V Planned Objective and Scope The planned objectives of the inquiry are to (1) acquire an understanding of selected issues, and (2) determine whether NRC actions in question have been appropriate, correct and reasonable. The scope of the inquiry will be developed and defined as the inquiry progresses. The 01A investigative staff will be conducting related. parallel investigative work concerning potential wrongdoing cr misconduct by NRC employees.
It is anticipated that the inquiry effort will be directed .to examining pertinent records, compiling information and data, employing audit sampling techniques, obtaining pertinent information from NRC personnel and, where appropriate and feasible, non-NRC individuals, such as allegers. '
Estimated Resource Requirements Two senior auditors and one senior investigator for a period of up to four -
months depending on the definition of the scope of work to be completed.
23
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' Anticipated Benefit Assure the integrity of NRC operations by providing an objective report to the Comission concerning the results of- the OIA inquiry. Provide appropriate recommendations designed to improve the handling of allegations, b
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24 L
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Appendix X Follow-ups Reason for Selection DMB Circular A-50 and NRC Bulletin 1201-3 require OIA to follow up on audit recommendations in a timely manner. Follow-up is reeded on the following reports: Review of NRC's Inventory Management (November 1982, 6 recommenda-tions); Survey of the Office of Policy Evaluation (July 1983, 11 recommenda- ,
tions); Review of NRC Employee Performance Appraisals for Non-SES Headquarters Employees (December 1983, 5 recommendations); Review of the Commission Guidance Regarding Establishment of Emergency Response Facilities (December 1983, 6 recommendations); Review of NRR's Use of Technical ~ Assistance (December 1983, 30 recommendations); Review of the Committee to Review Generic Requirements (March 1984, 7 recommendations); Potential Savings on large Deposits (March 1984, 5 recommendations); Interface of the Automated Personnel and Payroll Data Systems (July 1984, 7 recommendations); Review of IE's Program Assessment Function (August 1984, 2 recommendations); Review of NRC's Quality l Assurance Inspection Program for Reactors Under Construction (August 1984, 4 recommendations).
Audit Location NRC Headquarters -
Planned Objective and Scope Our objective will be to determine what action has been taken on each of the recommendations contained in these reports.
t Estimated Resource Requirements These follow-up audits will be performed by the audit staff as time is avail-able during the fiscal year.
Anticipated Benefits To assure that corrective action is or has been taken on program deficiencies identified by prior 01A audit reports. . .
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AUDIT UNIVERSE NUCLEAR REACTOR REGULATION Operating Reactors
-- Non-power reactors Amendments
- Systematic Evaluation Program Power reactors Operator, Licensing *
-- Reactor Operators / Senior Reactor Operators *
--- Requalification Programs *
-- Certification of Students in Reactor Operator Training Programs
-- Audits of Training Facilities Casework *
-- Safety Reviews CP/0L*
Environmental Reviews CP/0L Antitrust Reviews CP/0L Topical Report Reviews Advanced Reactor Reviews -
Standard Plant Reviews
- Safety Technology
-- Unresolved Safety Issues Designated Generic-Issues Generic Studies
' -- Operating Experience' Evaluations Research Coordination Regulatory Requirements
- THI' Cleanup & Recovery NUCLEAR HATERIAL SAFETY AND SAFEGUARDS Fuel Cycle Licensing - -
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- Environmental Transportation Certification
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-Radioisotopes Licensing *-
Material Control & Accounting
--- Domestic programs a
-- International programs Physical Security
- Power reactors
- Non-power reactors
-- Fuel Cyc1e.
Domestic
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--- Safety & Environmental reviews low Level Waste
- Uranium Recovery Licensing
- Licensing reviews--safety and environmental
-- . Technical Assistance to Agreeme'nt States INSPECTION AND ENFORCEMENT Reactor Construction Inspection Programs .
Pre construction pemit units Early stage construction units
- Mid stage construction units
- Late stage construction units
. Construction Appraisal Team inspections Reactor Operation Inspection Programs Reactors in operation *
. Reactors in start-up testing
- Reactors in preoperational testing * '
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Non Power Test reactors Perfomance Appraisal Team inspections Vendor and Quality Assurance Inspection Programs Routine inspections
- Reactive inspections Vendor. inspections
- component manufacturers equipment and service suppliers Policy development Enforcement, Technical Support and Incident Response Programs Emergency Preparedness
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- Enforcement Operations Center.
Technical assistance investigations problem facility inspections allegations Fuel-Cycle and Materials Inspection Programs Radiological Safety and Safeguards Inspections Fuel Facilities
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- Specialized Technical Training Program Courses tailored to specific needs of NRC technical staff design codes-technology operation of pressurized water reactor operation of boiling water reactor reactor construction nealth physics' quality assurance
-- probalistic risk assessment operator licensing examiner Management Direction and Support-Planning and budget evaluations Contract Administration IE ADP services Response to Freedom of Information Act requests Headquarters administrative support NUCLEAR REGULATORY RESEARCH Loss of Coolant Accidents and Transients Semiscale*
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- Power Burst Facility 20/30 Program
- Code Assessment and Application Fuel Damage Loss of Fluid Test Facility Operation and Safegu,rds*
< .-- Human Factors Engineering
- Plant System Gehavior*
Instrumentation and Control *
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-- Mechanical, Structural and Material Behavior *
-- Seismic Efforts
- Design Verification
-- Primary System Integrity Fracture Mechanics Accident Evaluation & Mitigation *
-- Core Melting *
-- Radiological Source Containment
-- Mitigation Systems
-- Safety Analysis Codes--Gas Cooled Reactors Advanced Reactors Fast Breeder Reactors
-- Gas-Cooled Reactors Siting and Environmental ,
Geology .
Seismology
-- Meteorology Waste Management High Level Waste -
Low level Waste
-- Mill Tailings Safeguards & Fuel Cycle Safety System Performance Safeguards Systems and Reliability Analysis Licensee Safety Assurance Practices
-- Regulatory Structure and Safety Evaluation Practices
-- Alternative Techniques of Systen Safety Assurance Risk Assessment Standards Development
- Reactor Engineering Standards ' '
Fuel Cycle & Material Engineering Standards Siting Standards Waste Management Standards
-- Safeguards Standards Radiation Protection Standards Management Direction & Support Standards Management Direction and Support
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. Development and Advancement of Regulatory Engloyees (DARE)
. Training
, License Fee Management
- Organization and Personnel *
-- Policy and Program Development *
. Labor Relations *
. Evaluation
- Staffing *
-- Personnel Resources and Employment
- Security *
-- Personnel Security Security Policy _ .
-- Information Security *
-- Facil' ties and Systens Security
- Facilities and Operations *
-- -Transportation * .
-- Rental of Space
' Telecmanunications*
-- Equipment Rental
- Other Services
- Supplies and Materials
- Equipment Purchase *-
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--- Central Regulatory Electronic Steno System (CRESS)
Document Management
- Printing and Graphics
- Policy and Publications *
-- Library
- Records Service * . .
Rules and Records Contracts Contract Policy
- Technical Assistance
- Administrative
- Research*
Travel * -
STATE PROGRAMS Agreement States
- Liaison (State, local)*
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ANALYSIS AND EVALUATIOM OF OPERATIONAL DATA
- INTERNATIONAL PROGRAMS International Information Exchange
- Import / Export
- ADVISORY C0194ITTEE ON REACTOR SAFEGUARDS ATOMIC SAFETY AND LICENSING BOARD PANEL
' ATOMIC SAFETY AND LICENSING APPEAL PANEL OFFICE OF INVESTIGATIONS' SECRETARY I
Comission Meetings NRC Paper Comission Support Public Document Room *. .
Comission Correspondence and Records Facility Official Dockets Federal Advisory Comittee W
Privacy Act and FOIA Reproduction and Distribution
- Historical Program
, Classified Document Control System POLICY EVALUATION
- GENERAL COUNSEL
- PUBLIC AFFAIRS CONGRESSIONAL AFFAIRS EXECUTIVE DIRECTOR FOR OPERATIONS n
DEPUTY' EXECUTIVE DIRECTOR FOR REGIONAL OPERATIONS AND GENERIC REQUIREMENTS Comittee- for Review of Generic Requirements
- Regionalization*
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7 0FFICE OF RESOURCE MANAGEMENT Financial System and Procedures Financial Operations
- Payroll
- Financial Statements
- Travel
- Imprest Funds *
-- Inventory Records
- Resources Analysis Budget Operations System Development Operating Programs Automated Data Processing
- Management Program Analysis l SMALL AND DISADVANTAGED BUSINESS UTILIZATION AND CIVIL RIGHTS
( POLICY AND PLANNING GUIDANCE AND OTHER AREAS NOT LISTED AB0VE Spent Fuel Storage Decomissioning Fire Protection Safety Goal Long Range Research Plan
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