ML20211K290
| ML20211K290 | |
| Person / Time | |
|---|---|
| Issue date: | 10/08/1996 |
| From: | Lesar M NRC OFFICE OF ADMINISTRATION (ADM) |
| To: | Nilsen C NRC OFFICE OF NUCLEAR REGULATORY RESEARCH (RES) |
| Shared Package | |
| ML20008B475 | List:
|
| References | |
| FRN-62FR6664, RULE-PR-2, RULE-PR-40, RULE-PR-70 AF56-2-023, AF56-2-23, NUDOCS 9710090197 | |
| Download: ML20211K290 (43) | |
Text
_ _ _ _ _ _ _
Sa re: 'PTHL y *, UNITED STATES OIIS'" 1
- j. }t NUCLEAR REGULATORY COMMISSION WASHINGTON, D.C. 30486 0001
'+,.....
E I O 8 1993 MEMORANDUM TO: Charles W. Nilsen offic of Nuclear Regulatory Research FROM: M[c f't."
l sA ly /,,/Chief esar, d w' Rules Review Section Rules Review and Directives Branch Division of Freedom of Information and Publications Services Office of Administration
SUBJECT:
REVIEW OF FEDERAL REGISTER NOTICE FOR DRAFT DIRECT ACT" FINAL RULE ENTITLED "USEC PRIVATIZATION The Rules Review section has reviewed the Federal Register notico for the draftindirect regulations 10 CFR final rule2, Parts that40, amends 70, and 76.
the Commission's a
comments. marked copy of the Federal Register notice thatWe have attached presents our When this document is forwarded for signature and publication, please have a member of your staff include a 3.5" diskette chat contains of a copy ofpackage.
the transmittal the document in Wordperfect 5.0 or 5.1 as part The diskette will be forwarded for usedocument.
the by the OFR and the Government Printing Office in typesetting If you have any questions concerning this matter, please have a member of your staff contact Michael Harrison at 415-6865.
Attachment:
As stated 9710090197 971003
[$2FR664 PDR J
~DRAFTw0CTOBER-4r1996v-FOR: The Commissioners LR_06: James M. Taylor, Executive Director for Operations
SUBJECT:
DIRECT FINAL RULEMAKING: USEC PRIVATIZATION ACT - CONFORMING CHANGES PURPOSE:
To obtain Commission approval of a direct final rule to amend 10 CFR Parts 2, 40, 70, and 76 to bring these regulations into conformance with the new statutory requirements of the USEC Privatization Act.
ISSUE:
The USEC Privatization Act changes the wa) uranium enrichment facilities are licensed / certified and adds different procodural requirements. The Commission's regulations must conform to these changes. A direct final rule providing the necessary amendments to the Commission's regulations should be published for public information and codified through the rulemaking process.
BACKGROUND:
On April 26, 1996, President Clinton signed into law H.R. 3019 (Public Law No.
104-134), legislation which provides FY 1996 appropriations to a number of Federal agencies. Included within the legislation is a subchapter entitled the "USEC Privatization Act," which ==;wther thinggdirects the Board of Directors of the United States Enrichment Corporation (USEC) to sell the assets of the USEC to a private sector entity. The private sector cor) oration that purchases the assets of the Corporation will be responsible for tie operation of the two gaseous diffusion plants and the development of the atomic vapor laser isotope separation (AVLIS) technology. In addition, this legislation amended the Atomic Energy Act of 1954 (the Act) with respect to the licensing of AVLIS and certification of Part 76 gaseous diffusion 31 ants (GDPs). To implement these amendments to the Act several conforming c1anges to 10 CFR Parts 2, 40, 70, and 76 are needed.
DISCUSSION:
The enclosed direct final rule, and associated proposed rule (Enclosure 1),
wS wodM amend 10 CFR Parts 2, 40,-70, and 76 as required to implement Section 3116 of Public Law 104-134, To conform with the changes in the legislation (Enclosure 2), several new and. revised licensing / certification requirements specific to the Corporation and its successor's operation of gaseous diffusion
-plants are required.
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f The legislation ) requires that AVLIS uranium enrichment facilities be l licensed subject to the provisions of the Act pertaining to source material and special nuclear material rather than under the provisions pertaining to a production facility; (2) provides for issuing civil penalties tn USEC or its successor for failure to comply with regulatory requirements governing the safety of the operation of gaseous diffusion plants; (3) prohibits issuance of a license / certificate to the Corporation or its successor if it is owned, controlled, or dominated by an alien, a foreign corporation, or a foreign government, or if issuance would be inimical to the common defense and security of the United States or to the maintenance of a reliable and economical domestic source of enrichment services; and (4) eliminates the requirement that the Commission certify that USEC or its successor is in compliance with NRC regulations each year.
e Concerning AVLIS, a principal effect of Pub. L. 104-134 is that the referenced AVLIS uranium enrichment facilities will be licensed under a single-step licensing process with the license issued pursuant to 10 CFR Parts 40 and 70, rather than a two-step licensing process under 10 CFR Part 50. The regulations previously were amended to provide a process for licensing uranium enrichment facilities using a single-step license as amended to conform with the " Solar, Wind, Waste, and Geothermal Power Production incentives Act of 1990," Pub. L. 101-575 (57 FR 18388, April 30, 1992). Part 70 was made the basic regulation for licensing an uranium enrichment facility. That legislation sPecifically excluded AVLIS uranium enrichment facilities, then under development by the Department of Energy, from the one-step licensing process. However Pub.
L. 104-134 makes the development of AVLIS a responsibility of USEC (which will become a private entity as a result of this legislation) and remove:, the exclusion of AVLIS from one-step licensing. /
licensing of AVLIS, as with other licensed uranium enrichment ThereforeAhe
/
facilities, will require an environmental review, adjudicatory hearing, inspection before operation, and third party liability insurance. it is also noted that in addition to the regulations of Part 70 the licensing process for Louisiana Enrichment Services (LES) was supplemented by Commission Notice and Order which established procedures and criteria for granting a license to LES. Proceedures and criteria included in the LES notice and order are: (1) Notice of receipt of application and availability of documents; (2) Notice of hearing; (3) Criteria for issuance of a license; (4) Applicable rules and regulations; and (5)
Notice of intent regarding classified information. A similar action may be required for the review and licensing of AVLIS.
e Section 3116 also modifies Section 234a of the Act to provide the Commission with the authority to issue civil penalties to the Corporation 1or violation of the provisions of the Act, regulations, orderjh.andAterms of the certificate and compliance _ plan. _ The " General Statenfent of ~ Policy and Procedures for NRC Enforcement Action," NUREG-1600, will be supplemented to provide examples of violations in each of the four severity levels as guidance in determining the appropriate severity level for violations in the area of gaseous diffusion plant operations.
e The legislation includes specific language restricting issuance of a
3 certificate or a license to the USEC or its successor if the issuance would be inimical to the maintenance of a reliable and economical domestic source of enrichment services. Heretofore, the Commission has not been asked in its regulatory decisions to evaluate whether a proposed action is inimical to the viability of the domestic industries subject to NRC's regulation. Information about the intent of the language is contained in a Senate Committee report on an earlier version of the legislation (S. Rpt. No. 104-173 on S.755, November 17,1995),
which states that the provision is to " guard against the possibility of a foreign uranium enrichment company acquiring the Corporation with the intent of operating it in such a manner inconsistent with its maintenance as an ongoing uranium enrichment concern." No certificate or license should be issued "if in the opinion of the NRC the issuance of such a license or certificate of compliance would be inimical to the common defense and security of the United States or would be inimical to the maintenance of a reliable and economical domestic source of enrichment services because of the nature and extent of the ownership, control, or_ domination of the Corporation by a foreign corporation or a foreign government or any other relevant factors or circumstances."
Ntk /
TheAstaff will evaluate this restriction on certification of the GDPs and licensing of AVLIS based in part, on the following:
Information required under il 70.22 and 76.33 "information known to the applicant concerning the control or ownership, if any, exercised over the applicant by any alien, foreign corporation, or foreign government."
Information required under il 70.25 and 76.35 concerning funding plans for decommissioning and waste removal.
Information obtained under a proposed rule (61 FR 40555) amending the provisions of 10 CFR Parts 25 and' 95 that deal with requirements for access to and protection of classified information. The amendments are required to conform the regulations with the National requirements for the protection of and access to classified National Security Information which have been revised through the issuance of the National Industrial Security Program Operating Manual (NISPOM), published January 1995; Executive Order 12958, " Classified National Security Inform < tion," dated April 17, 1995; and Executive Order 12968,
" Access to Classified Information," dated August 4, 1995.
Specifically, as related to foreign ownership, control, or domination, the NISPOM provides criteria for determining whether U.S. companies handling classified material are under foreign ownership, control, or influence (FOCI). FOCI requirements established in proposed revisions to 10 CFR Part 95 are more
' detailed and restrictive than the "0wned, Controlled, or Dominated" requirements of 10 CFR Part 50.38 that were previously used by the NRC.
NW In addition, theAstaff is preparing procedures for conducting the required annual report for Congress and guidance for recertification.
]
4 i
e Another amendment of Section 193 eliminates the requirement that the Commission certify that the Corporation is in compliance with NRC regulations each year. Instead, the Commission can determine how frequently the Corporation must submit a recertification application to the NRC, provided that the NRC recertifACorpor_ation_ compliance _xttitits [.
regulations not-less than every 5 years, it is theAstaff's intent that t ,
the initial certification will be for 2 years to permit most items of 0 the compliance plan to be completed. Subsequent. recertification will be based on a number of considerations, includin(g implementaGon status }7 of compliance plans and certification regulatory experience. The exact term will be specified in the certificate. Congress, however, did not eliminate the renuirement found in Section 1701 (a) of the Act that the NRC shall report at least annually to the Congress on the status of hecith, safety, and environmental conditions at the gaseous diffusion plants.
COORDINATION:
The Office of the General Counsel has reviewed this direct final rule and has no legal objection.
RECOMMENDATIONS:
That the Commission:
- 1. Approve the Notice of Direct Final Rule for publication, and associated Proposed Rule (Enclosure 1).
- 2. Certify that, if promulgated, this rulemaking will not have a significant economic impact on a substantial number of small entities in order to satisfy requirements of the Regulatory flexibility Act, 5 U.S.C. 605(b).
- 3. Note:
- a. This direct final rulo action is noncontroversial and routine; therefore, the NRC is not seeking public commentr and this action will become effective 60 days after publication la the Federal Register unless significant comments are received;
- b. Concurrently with publication of this Direct Final Rulemaking, a supplement to NUREG-1600 " General Statement of Policy and Procedures for NRC Enforcement Action" is also being published;
- c. This direct final rule does not contain a new or amended information collection requirement subject to the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) because it only affects a single operator, USEC or its successor;
- d. A public announcement will be issued (Enclosure 3);
L'
- e. The appropriate Congressional Committees will be informed (Enclosures 4);
- f. This rule is not a " Major rule" as defined by 5 U.S.A. 804(2)
(Enclosure 5).
C James M. Taylor Executive Director for Operations
Enclosures:
- 1) FRN - Direct final and Proposed Rule
- 2) Public t.aw 104-134
- 3) Public Announcement
- 4) Congressional Committee letters
- 5) Major Rule
l DRAFT,-0GTOBER-4,1996 7-
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NUCLEAR REGULATORY COMMISSION 10 rFR Parts 2, 40, 70, and 76 RIN 3150-AF56 USEC Privatization Act AGENCY: Nuclear Regulatory Commission.
ACTION: Direct final rule.
SUMMARY
- The Nuclear Regulatory Commission (NRC) is amending its regulations concerning the licensing of uranium enrichment facilities to conform to changes made to the Atomic Energy Act of 1954, as amended (the Act), by the USEC Privatization Act legislation. Although the principal effect of this legislation is to direct the Board of Directors of the United States Enrichment Corporation (USEC) to sell the assets of the USEC to a ;
private sector entity, this legislation also amended the Act with respect to NRC certification of gaseous diffusion plants leased by USEC and the licensing of atomic vapor laser isotope separation (AVLIS) technology. The Corporation is responsible for the operation of the two gaseous diffusion plants and the
development of the AVLIS technology.
The legislationL R quires that AVLIS uranium enrichment facilities be licensed subject to the provisions of the Act pertaining to source material and special nuclear material rather than under t se provisions pertaining to a gt.
production facility; (4) fprovides for issujhgMtLcivil C penalties to USEC or its successor for failure to comply with regulatory requirements governing the safety of the operation of gaseous diffusion plants; 43)/ prohibits issuance of a license / certificate to the Corporation or its successor if it is owned, controlled, or dominated by an alien, a foreign corporation, or a foreign governmengor ts issuance would be inimical to the common defense and security of the United States or to the maintenance of a reliable and economical domestic source of enrichment services; and -(476iminates the qug4[
requirement that the Cominission certify that USEC or its successor is in -
compliance with NRC regulation p d ice p The Commission can determine how frequently USEC or its successor must submit a recertification application to the NRC, provided that the NRC recertify USEC or its successor's compliance withitsregulationsno)lessJ. t; n ev ive-years. Th !
changes ;de g d t.e. gbring I M 4u, 20, anu 7C into conformance with these provisions.
DATE: The final rule is effective on (insert date 60 days after publication) unless significant adverse comments are received by (insert date 30 days after publication). If the effective date is delayed, timely notice will be published in the Federal Register.
A) DRESSES: Mail written comments to: The Secretary, U.S. Nuclear Regulatory 2
)
Commission, Washington, DC 20555-0001. ATIN: Docketing and Service Branch.
Hand deliver comments to: 11555 Rockville Pike, Rockville, MD, between 7:30 am and 4:15 pm on Federal workdays.
For-information on submitting comments electronically, see the discussion under Electronic Access in the Supplementary Information Section.
Copies of comments received may be examined or copied for a fee at the NRC Public Document Room, 2120 L Street NW. (Lower Level), Washington, DC.
FOR FURTHER INFORMATION CONTACT: Mr. C. W. Nilsen, Office of Nuclear Regulatory Research, U.S. Nuclear Regulatory Commission, Washington, DC 20555-0001, telephone (301) 415-6209.
SUPPLEMENTARY INFORMATION:
l
Background
J On 3:aril 26,1996, President Clinton signed o-1 fil.R.3019(Pub.L.
.104-134 egislation that provides for fiscal year (FY) 1996 appropriati ,
d er of federa ncluded within the legislation is Title TIT ~6Iipter p 1, entitled "llSEC-Privatization Act," which directs the Board of Directors of the United State. Enrichment Corporation-(USEC) to sell
- the. assets of the USEC to a private _ sector entity. _
The private sector ,
corporation that purchases the assets of Q USEC will-be responsible for the _ /
i
- operation of the two gaseous diffusion plants and the development of the atomic vapor laser isotope separation (AVLIS) technology, in addition, the legislation amended the Atomic Energy Act of 1954, as amended (the Act), with j
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l respect to the certification of gaseous diffusion plants and licensing of an AVLIS facility. The gaseous diffusion plants are regulated under 10 CFR Part 7
"CertificationofGaseousDiffusionPlant{,and. AVLIS facility will be licensedunder10CFRParts4pDomesticLicensingofSourcematerial"and 70 " Domestic Licensing of Special Nuclear Material."
g)
Ciscussion A principal effect of Pub. L. 104-134 onNRClicensingactiodisthat /
the referenced AVLIS uranium enrichment facilities will be licensed pursuant to the provisions of the Act pertaining to source material and special nuclear material rather than the provisions pertaining to a production facility.
Under this legislation, licensing of AVLIS will be a single-step licensing process with one license issued pursuant to 10 CFR Parts 40 and 70, rather than a two-step licensing process under 10 CFR Part 50. The regulations previously were amended to provide a process for licensing uranium enrichment facilities using as a single-step license, as published in a final rule act4ce-Q.-
on April 30, 1992 (57 FR 18388) to conform with the " Solar, Wind, Waste, and Geothermal Power Production Incentives Act of 1990," (Pub. L.101-575) icaisktgn whirdLamended'the-Actyl0 APart 70 was (8kmade the basic regulation for licensing a uranium enrichment facility. That legislation specifically excluded AVLIS uranium enrichment facilities, then under development by the Department of Energy, from the one-step licensing process. However Pub. L.
104-134 makes the development of AVLIS a responsibility of USEC (which will
- ome a private entity as a result of this legislation) and removes the exclusion of AVLIS from one-step licensing. ThereforegicensingofAVLIS,as
)
4 J
with other licensed uranium enrichment facilities, will require an environmental review, adjudicatory hearing, inspection before operation, and third party liability insurance. However, all uranium enrichment facilities remain production facilities for other purposes of the Act, such as controlling the-export of specially designed or prepared uranium enrichment equipment and preservation of federd authority in Agreement States. Specific t
- ii implemngn~amendmentsareasfolloh-SecG on,J0.1 Purposg s revised to indicate that all uranium enrichment facilities are li ensed under 10 CFR Part 70jDomestic Licensing of Special Nuclear Material, h NL In tm. 40.4 and 70.4 jDeffnftfons,$etermCorporationisaddedto th facilitate the licensing of the Corporation or its successor for operation of an AVLIS facility, in 76. Deffnftfon the term Corporation is amended to 11clude reference to a successor to the Corporation.
h addition,Iprovision is made to allow the NRC to impose civil penalties on-the USEC or its successor for failure to comply with regulatory requirmyntsgoverningthesafetyoftheoperationofgaseousdiffusionplants b '\ lhFd, unde % art 76. Civil penalty authority for Part g 70 licensing of an AVLIS type facility already exists. The " General Statement of Policy and Procedures for NRC Enforcement Action" NUREG-1600, is being supplemented to provide examples of_ violations in each of the four severity levels as guidance in determining the appropriate severity level for violations in the area of gaseous diffusion 5
plant operations. Specific implementin amendmentsareasfollog
-In action 2.2^0 S:;; a a t sub h .200(a) concerning the scope of Subpart B of Part_2, a new sentenc "However, with regard to the 5
wM4W4bu
holder of a Part 76 Certificate of Cnmpliance or Compliance P)an, the applicable procedures are set forth in 576.70." r bi ;akig, k dclarify i that the provisionsgoverningtheissuanceofanorderornoticeofviolationtothe Wh/ /(iA h,O *))
holder of a Nt-70kcertificate of compliance or compliance planAare he4(pd (0*i 4',t /d in - 76.70. gg in sutJon-MM r!uf f nan =24Hfs9b'svetion 2.205(a) ==:rair+ civil-ral+yneed"-MhecauselheCommissionnodaLauthogytoissuecivij)
(penaltiestotheCorporatio,3 12.20.ppyeg,areferenceto h r l0tFS f76.70(d)noticeofviolationandareferencetotheprovisionsofaAPart76 g _ _ . .
certificateofcomplianceorcmp}gceplanareadded.
In 4est ton _m10-seHbe6Te misconduct suFsTetion s 76.10(b), the last phrase, "Gexcept, that the Corporation is not subject to the authority of Section 234 of the Act", is eliminated because the Corporation is now subject to Section 234 of the Act.
$ 76.60 Regtt :terymuirementc Aish-sppy th; cur,vdn 1
provirions-of-perei; ropy (c)(lp and (d)(lg are remove hese paragraph designations are reserved and the last phrase of f% %
(i),"provided, v
however, that civil penalties shall not be imposed on the Corporation pursuant to i 95.61 of this chapter except for violations of Section 206 of the Energy Reorganization Act" is eliminated to permit he im osition of civil penalties, in see+ 4nn 76 '? .4f;celIsrieous prceedural mafir: '
wheth 76.72(dk) .
a reference to the new Section 234 civil penalty authority is added.
4tt 76.13 P!:!:!!ess - the refereace-- to-the-Energy-Policy-ActMh 4992 4--
wheticr a)(3 is eliminated n =- ::ssergbecause this act's applicable provisions were amendments to the Atomic Energy Act of 1954.
Reference to Section 206 of the Energy Reorganization Act has been relocated 6
from( %Q(
Wh/fA pers(Paph.(b) to M (b)(2). References to violations under Section 234 of the Atomic Energy Act of 1954, as amended, and specific references to sections of tie Act are added as wbsections (b)(1), (b)(3), and (b)(4) to describe the new civil e alty authority.
.,__ p 3 Arequirementisalsoadde{ prohibit /hq,issuanceofa . _ -
]
license certificate to the Corporation or its successor if the Commission finds that the Corporation is owned, controlled, or dominated by an alien, a foreign corporation, or a foreign governmenj,,Jr that issuance would be /
inimical to the common defense and security of the United States or to the maintenance of a reliable and economical domestic source of enrichment 1
services. Thelegislationincludesspecificlanguage[(Ne#y strichinuance of a certificate or a license to the USEC or its successor if the issuance would be inimical to the maintenance of a reliabic and economical domestic source of enrichment services. ;k, defer e C mmission has not been asked '- it; rgdatmfdectriangto evaluate Artba proposed action is inimical to the viability of the domestic industries subject to NRC's regulation. Information about the intent of the language is contained in a Senate Committee report on an earlier version of the legislation (S. Rpt. No. 104-173 on S.755, November 17,1995), which states that the provision is to " guard against the possibility of a foreign uranium enrichment company acquiring the Corporation with the intent of operating it in such a manner inconsistent with its maintenance as an ongoing uranium enrichment concern." No certificate or license should be issued "if in the opinion of the NRC the issuance of such a license or certificate of compliance would be inimical to the common defense and security of the United States or would be inimical to the maintenance of a reliable and economical domestic source of enrichment services because of the 7
m
nature and extent of the ownership, control, or domination of the Corporation by a foreign corporation or a foreign government or any other relevant factors or circumstances."
NtN TheAstaff will evaluate this restriction on certification of the GDPs nd licensing of AVLIS based in part, on the following:
Information required under il 70.22 and 76.33 "information known
'-~~~to th7 applicant concerning the control or ownership, if any,
- (_ _
exercised over the applicant by any alien, foreign corporation, or Y .
foreign government."
\ s
'@7j f information required under il 70.25 and 76.35 concerning funding
'Q \ E. .- ans for decommissioning and waste removal, w l
-2 ,
- ,h information obtained under a proposed rule (61 FR 40555) amending
~ -
q 1
the provisions of 10 CFR Parts 25 and 95 that deal with
)p requirements for access to and protection of classified information. The amendments are required to conform the o
regulations with the National requirements for the protection of l and access to classified National Security information which have l
l been revised through the issuance of the National Industrial Security Program Operating Manual (NISP0M), published January 1995; Executive Order 12958, " Classified National Security Information," dated April 17, 1995; and Executive Order 12968,
/ " Access to Classified Information," dated August 4, 1995.
I k - /
8 j
s
N Specifically, as related to foreign ownership, control, or
,/
t -
~
', domination, the NISPOM piovides criteria for determining whether L U.S. companies handling classified material are under foreign ownership, control, or influence (f0Cl). f0Cl requirements
]4 established in proposed revisions to 10 CfR Part 95 are more p'3 c fm x, detailed and restrictivo th m the " Owned. Controlled, or
,q Dominated" requirements,d10CfRPart50.38thatwerepreviously N +
? used by the NRC, M
(/ b'x g g
( 3> In addition, the/htaff is preparing procedures for conducting the f(
\
. TFijuNd annual report for Congress and guidance for recertification, f
] Specific 1,mp enting amendments are as follow:
New sectionsA40.38 and 70.40 entitled neligibflity of certain applicant.)p'rIhb I t NRCfromlicensinganAVLISfacilityundertheseparts[t(,
(1)44]tisowned, controlled,ordominatedbyanalien,aforeign 91 b corporation, or a foreign governmeny tig(2) ifs issuanc would be inimical to the common defense and security of the United States'or )3frn its issuance J would be inimical to the maintenance of a reliable and economical domestic source of enrichment services, h new Y 76.22 entitied ineligibility of certain applicants 1h Oft prohibits the NRC Jrom issuing a certificate of compliance to the Corporation under these part I t is owned, controlled or dominated by an alien, a foreign corporation, or a foreign government'et j (7) dj {ts issuance w uld be inimical to the common defense and security of the United Statesj or (3) ts issuance would be inimical to the maintenance of a reliable and economical domestic source of enrichment services. 9 m e ~
M Another change requ4eedy the legislation eliminates the requirement MIL A that theACommb tion tify that USEC or it successor's operation of the Ud it s diffusion plants is in compliance with NRC regulations m yearjly n ]~ e%:.'L tead, the Commission can determine how f requently the USE' . or bl (ts 4/g $ s W h)U% QU MN (IU
. ate o it submit a recertification application to the NR Lu
, ' ' di w denH3 etran every five years. The initial certification isffo{r
? ef g */(
Lwo years i c p ns most items of the corrpliance plan to be completed g Ahe compliance p $ Q%_ rt of the certification procesTf)_ details how the plants will achieve uvpliance with NRC regulations in transition from their operation under the m partment of Energy. Subsequent recertification will be based on a number of ( y, considerations, including implementation status of compliance plans and
,, certification regulatory experience, lhe exact term of each certification 9
will be specified in the certificate. This recertification process is consistent with the intent of the legislation as noted in a Senate Committee report (S. Rpt. No. 104-173 on S.755, November 17,1995, page 31) which statesind; "With periodic certification, the NRC would have the flexibility to determine the appropriate length of certification, not to exceed five years." pecific implementin amendments are as folio :
// (L
&setan. 76.31 -Annue! ogglieefha req *mntQs revised to provide for periodic application for recertification of compliance on or before April 15 of the year specifiqd in an 9xisting e ificate of compliance as determined M bik M tattW.~ g '.lh W t by the Commissi n, )0 Wets-4reqwnoj th every five years.
$ (fd in-sett%ns 76.3pfWh ef- !a444ef-epp4c4 Mang 76.3panuals--
tenswa lay 76. 4 Sf nnuaH ste-for-dechimg 76. 4) .4pp ' M Mon-femandw&~- mt4Heatq16.5k,J4dy r:n:% and 76.66 Eqtratiew andnvrmtnsNovefy-
.certificats eferences to annual recertification are removed to implement the 10
longer c rtification time period. 76.68 F M t e;: (is revised to provide that the Corporation 1 or its successor will continue to submit revised change pages to their approved application and safety analysis report annually, n ;; =pr4at (to ensure current plant documentation, even though the raquirement for an annual appilcation has been removed. The Commission is proceeding with this rulemakinge w Meh-4Maafenirgw
'- a9 % to amend 10 CFR Parts 2, 40, 70, and 76 as required to implement ,
section 3116 of Pub L. 104-134. To conform with these changes to the Act, the I amendments in this rule contain several new and revised AVLIS licensing and gaseous diffusion plant certification requirements specific to the Corporation and its successor's operation of uranium enrichment facilities. In summar the amendments to 10 CFR Chapter I necessary to implement these requirements include: a) A revision providing that uranium enrichment facilities will be ^ licensed under 10 CFR Part 70--Domestic Licensing of Special Nuclear Material (See i 70.1); b) A revised and added definition of " Corporation" to include the USEC privatized entity (See il 40.4, 70.4 and 76.4); c) The requirement prohibiting issuance of a license / certificate if the Commission finds that USEC or its suc.essor is under foreign ownership or control (See il 40.38, 70.40 and 76.22); i l d) The provision concerning periodic recertification for operation (See < ll 76.31, 76.35(n),-76.36(a), 76.43, 76.45(a), 76.55, 76.66(c) and 76.68(b)); ! and i
- e) The authority to issue civil penalties to USEC or its successor-for 11 u - , . - _ _ . _ _ - , . , _ . _ _ _ _ . - . . . . _ _ . . ~ _ _ . _ . _ - _ _ _ _ , , _ . _ . _ - , _ . . .
i i regulatory violations (See il 2.200(a), 2.205(a), 76.10(b), 76.60, 76.72(d) { and76.131). The NRC is also amending the regulations in 10 CFR-Part 76 to correct ! several miscellaneous errors in the regulatory text. These errors in the Code f of Federal Regulations text occurred in the process of preparing and printing 94 the final rule pub 11shedfSeptember 23, 1994.(59 FR 48944). In i 76.21(b) the ; reference to i 40.41 should be to i 40.51. In il 76.111 and 76.113(c) i
" uncontrolled classified" should be " Unclassified Controlled" Nuclear Information. Also, in i 76.76(a)(2) the "(c)" should be "(b)." In addition the definition of " Uranium enrichment plant" is removed from i 76.4 for N Ah clarity +tfice.ltthe term is not used in Part 76 which is specific to gaseous diffusion plants.
Electronic Access Comments may be submitted electronically, in either ASCII text or
- Wordperfect format-(version 5.1 or later), by calling the NHC Electronic Bulletin Board (BBS) on fedWorld. The bulletin board may be accessed using a personal computer, a modem, and one of the commonly available communications software packages, or directly via Internet. Background documents on-the rulemaking are also available, as practical, for downloading and viewing on the bulletin board.
if using a personal computer and modem, the NRC ruleinaking subsystem on FedWorld can be accessed directly by dialing the toll free number _(800) 303-9672. Communication software parameters should be set as follows: parity to none, data bits to 8, and stop bits to 1-(N,8,1). Using ANSI or VT-100 12 _m...---.- .m. .__.,,.,,_...-..,,.,,__..,_,,,._,,,_,,...-,=,.,.,_._._,,.-_,_,=.._,.-,_,_m,,,...,, . . , . _ . . . _ . .
terminal emulation, the NRC rulemaking subsystem can then be accessed by selecting the " Rules Menu" option from the "NRC Main Menu." Users will find the "FedWorld Online User's Guides" particularly helpful. Many NRC subsystems and data bases also have a " Help /Information Center" option that is tailored to the particular subsystem. The NRC subsystem on FedWorld can also be accessed by a direct dial phone number for the main FedWorld BBS, (703) 321-3339, or by using Telnet via Internet: fedworld. gov. If using (703) 321-3339 to contact FedWorld, the NRC subsystem will be accessed from the main FedWorld menu by selecting the
" Regulatory, Government Administration and State Systems," then selecting
" Regulatory information Mall ." At that point, a menu will be displayed that has an option "U.S. Nuclear Regulatory Commission" that will take you to the NRC Online main menu. The NRC Online area also can be accessed directly by typing "/go nrc" at a FedWorld command line, if you access NRC from FedWorld's main menu, y4 ma) return to FedWorld by selecting the " Return to FedWorld" option from the NRC Online Main Menu. However, if you access NRC at 1 FedWorld by using NRC's toll-free number, you will have full access to all NRC systems, but you will not have access to the main FedWorld system.
If you contact FedWorld using Telnet, you will see the NRC area and 7 menus, including the Rules. Menu. Although you will be able to download documents and leave messages, you will not be able to write comments or upload files (comments). If you contact FedWorld using FTP, all files can be accessed and downloaded but uploads are not allowed; all you will see is a list of files without descriptions (normal Gopher look). An index file listing all files within a subdirectory, with descriptions, is available. There is a 15-minute time limit for FTP access. 13
Although FedWorld also can be accessed through the World Wide Web, like FTP, that mode only provides access for downloading files and does not display the NRC Rules Menu. For more information on NRC bulletin boards call Mr. Arthur Davis, Systems Integration and Development Branch, NRC, Washington, DC 20555-0001, telephone (301) 415-5780; e-mail AXD30nrc. gov. Procedural Background The NRC considers this action noncontroversial and routine because it imple.nents specific statutory requirements (Pub. L. 104-134). Therefore, we are approving it without seeking public comments on proposed amendments. This action will become effective on (60 days af ter publication in the Federal Register]. However, if the NRC receives significant adverse comments by (30 days after publication in the Federal Register), the NRC will withdraw this action and address the significant adverse comments received in response to the revisior,s pybli$.hed in We-ffe cred-Relet sect 4Qthis Federal Register b/Il4 6 Eh1Al (WII IWdl4 N notic,e[. Any significant =dver(so/(b enmments K 4 , -- : -;ubsequa,1 will ha 2ddrest*A Final ru1 e- th h prepose $ The NRC will not initiate a second comment period on this action. Revision to NUf<EG-1600
" General Statement of Policy and Procedures for NRC Enforcement Actions" Concurrently with this Direct Final Rulghgthe Commission is 9
14 AD/
/ c v vi. e n f e /re u 4 m so Nw /un W
& fe/w/ hj/> few /Av/ <rdk a /w publishing aAsupplement to NUREG-160pGeneral Statement of Policy and Procedures for NRC Enforcement Action 5 to provide examples of violations in - >
each of the four severity levels as guidance in determining the appropriate severity level for violations in the area of gaseous diffusion plant operations. A new supplement, Supplement IX,& fuel Cycle and Gaseous 'ffusion Plant Operations provides examples of violations that should be categorized at Severity Levels 1. II, Ill, and IV. The suppicment recognizes that violations have differing degrees of safety significance. As reflected in the severity levels, safety significance includes actual safety consequence, potential safety consequence, and regulatory significance. Environmental Impact: Categorical Exclusion The NRC has determined that this regulation is the type of action described as a categorical exclusion in 10 CFR 51.22(c)(1) and (3). Therefore, neither an environmental impact statement nor an environmental assessment has been prepared for this direct final rule. Paperwork Reduction Act Statement for Direct final Rule This direct final rule does not contain a new or amended information collection requirement subject to the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.). Existing requirements were approved.by the Office of Management and Budget, approval numbers 3150-0020, -0021 -0009, -0039. 15
Public Protection Notification The NRC may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a currently valid OMB control number. Regulatory Analysis Changes to 10 CFR Parts 2, 40, 70, and 76 must be made to bring these regulations-into conformance with the Act as amended by the "USEC Privatization Act" (Public t.aw 104-134). The chief benefit to the public, industry, and NRC will be derived from codification of NRC regulations to conform to the changes to the Act. Codification will facilitate the process for review of a license application for a uranium enrichment facility and provide the regulatory basis for health and safety review of the application.
-The principal cost will be the expenditure of NRC staff resources in codifying the requirements. Codification of the requirements should also result in a better understanding of the procedures and requirements for licensing and/or certification of enrichment facilities, and reduce the litigation burden that might result-from not having the provisions of the Act codified by regulation.
This constitutes the regulatory analysis for the direct final rule. Rrgulatory flexibility Certification lie accordance with the Regulatory Flexibility Act, 5 U.S.C. 605(b), the 16
i Commission certifies that this rulemaking will not have a significant economic
'CW4k /
l impact on a substantial number of small entities .s4fite_it only addresses the l Corporation or its successor's operation of two existing uranium enrichment 1 plarcs. The rule would also affect the Corporation's building or operation of l enrichment facilities using the AVLIS proces- The Corporation does not fall 1 . l within the sco e gf the definition of "small entities" set forth in tigy- - 62 L - M19 Reguhto lex 'ititp Ac t or the Small Business Size Standards set out in regulations issued by the Small Business Administration at 13 CFR Part 121. Small Business Regulatory Enforcement Act in accordance with the Small Business Regulatory Enforcement Fairness Act of 1996, the NRC has determined that this action is not a major rule and has verified this determination with the Office of Information and Regulatory Affairs of OMB. Backfit Analysis The NRC has determined that the backfit rules.10 CFR 50.109 and 76.76, do not apply to this rule. Thus, a backfit analysis is not required for these amendments because they do not involve any provisions that would impose backfits as defined in il 50.109(a)(1) and 76.76(a)(1). List of Subjects 10 CFR Part 2 17 I
)
Administrative practice and procedure, Antitrust,' Byproduct material. Classified information, Environmental protection, Nuclear materials, Nuclear power plants 'and reactors, Penalg\t1 , Sex discrimination, Source m&terial, # Special nuclear material, Waste treatment and disposal, 10 CFR Part-40 l Cr_iminal penalties, Government contracts, Hazardous materials transportation, Nuclear materials, Reporting and recordkeeping requirements, 1 Source material, Uranium. l l 10 CFR Part 70 Criminal penalties, Hazardous materials transportation, Material control and accounting, Nuclear materials. Packaging and containers, Radiation protection, Reporting and recordkeeping requirements, Scientific equipment, Security measures, Special nuclear material.
'10 CFR Part 76 Certificatien, Criminal _ penalties, Radiation protection, Reporting and recordkeeping requiraments, Security measures, Special nuclear material, Uranium-enrichment by gaseous diffusion .
For the rea:,ons set forth in the preambla and under the authority of the Atomic Energy Act of_1954, as amanded; the Energy Reorganization Act of 1974, as amended; and 5 U.S.C. 552-and 553; the Commission is adopting the following I amendments to 10 CFR Parts 2, 40, 70, and 76. 18
- PART 2 -- ROLES OF PRACTICE FOR DOMESTIC LICENSING PROCEEDINGS AND ISSUANCE OF ORDERS
- 1. The authority citation for Part 2 is revised to read as follows:
AUTHORITY: Secs. 161,.181, 68-Stat. 948, 953, as amended (42 U.S.C. 2201, 2231); sec. 191, as amended, Pub. L. 87-615, 76 Stat. 409 (42 U.S.C. 2241); sec. 201, 88 Stat. 1242, as amended (42 U.S.C. 5841); 5 U.S.C. 552. Section 2.101 also issued under secs. 53, 62, 63, 81, 103, 104, 105, 68 Stat. 930, 937., 933, 935, 936, 937, 938, as amended (42 U.S.C. 2073, 2092, 2093, 2111, 2133, 2134, 2135); sec. Il4(f), Pub. L. 97-425, 96 Stat. 2213, as amended (42 U.S.C. 10134(t)); sec. 102, Pub. L. 91-190, 83 Stat. 853, as amended (42 U.S.C. 4332); sec. 301, 88 Stat. 1248 (42 U.S.C. 5871). Sections 2.102, 2.103, 2,104, 2.105, 2.721 also issued under secs. 102, 103, 104, 105, 183, 189, 68 Stat. 936, 937, 938, 954, 955, as amended (42 U.t..C. 2132, 2133,- 2134,2135,2233,2239). Section 2.105 also issued under Pub. L. 97-415, 96
-Stat. 2073 (42 U.S.C. 2239). Sections 2.200-2.206 also issued under secs.
161b,i,o,182,.186,234,68-Stat.948-951,955,83-Stat.444,as74mendedby
-110:(Stat;!132U3492asamended(42U.S.C.2201(b),(i),(o),2236,2282); gg sec.-206, 88 Stat 1246 (42 U.S.C, 5846). Sections 2.600-2,606 also issued /0V .ff t/
under sec. 102, Pub. L. 91-190, 83 Stat. 853, as amended (42 U.S.C. 4332). Sections 2.700a,--2.719 also issued unuer 5 U.S.C. 554. Sections 2.754, 2.760, 2.770, 2.780 also issued under 5 U.S.C. 557. Section 2.764 and Table 1A of Appendix C also issued.under secs. 135, 141, Pub. L. 97-425, 96 Stat. 2232, 2241 (42 U.S.C. 10155, 10161). Section 2.790 also issued under sec.103, 68
, Stat. 936, as amended-(42 U.S.C. 2133) and 5 U.S.C. 552. Sections 2.800 and 2.808 also issued under 5 U.S.C. 553. Section 1.809 also issued under 5 l 19
U.S.C. 553 and sec. 29 Pub. L. 85-256, 71 Stat.-579, as amended (42 U.S.C. 2039). ~ Subpart K also issued under sec. 189, 68 Stat.-955 (42 U.S.C.-2239); sec. 134, Pub. L. 97-425, 96 Stat. 2230 (42 U.S.C. 10154). Subpart L also issued under sec. 189, 68 Stat. 955 (42 ll.S.C. 2239). Appendix A also issued under sec. 6.-Pub. L. 91-560,-84 Stat. 1473 (42 U.S.C. 2135). Appendix b also issued under sec.- 10, Pub.-L. 99-240, 99 Stat. 1842 (42 U.S.C. 2021b et seq.). l l 2. In 5 2.200, paragraph (a) is revised to read as follows: l 5 2.200 Scope of subpart. (a) This subpart prescribes the procedures in cases initiated by the staff, or upon-a request by any person, to impose requirements by order, or to modify, suspend, or revoke a license, or to-take other action as may be proper, against any irson subject to the jurisdiction of the Commission. However Jwl.th f regard ; tot thei hol der"o fJ ai PartV 76 (Certi fi ca te f oficompli ance {or Compl_iankP1a4ith'eapplicable(procedures"aresetiforth(infl76.70;"
- 3. In i 2.205, paragraph (a)-is revised to read as follows:
5 2.205 Civil penalties. (a) Before instituting any proceeding to impose a civil penalty under i section 234 of the Act, the Deputy Executive Director for Nuclear Materials Safety, Safeguards, and Operations Support, or the Director's designee, as appropriate,-shall serve a-written notice of violation upon the person 20 l
charged. -This notice may be included in a notice issued pursuant to 52.201 or 57_6' 70(d) .
, The notice of violation shall specify the date or dates, facts, and'the nature of the-alleged act or omission with which the person is charged, and shall-identify specifically the particular provision or
-provisions.of the law, rule, regulation, license, permit,lPartt76= certificate of compliance ordcompliance plan, or cease and desist order involved in the -
alleged violation and must state-the amount of each proposed penalty. The notice of. violation shall also advise the person charged that the civil penalty may be paid in the amount specified therein, or the proposed l ! imposition of the civil penalty may be protested in its entirety or in part, by a written answer, either denying the violation or showing extenuating circumstances. The notice of violation shall advise the person charged that upon failure to pay a civil penalty subsequently determined by the Commission, if any, unless compromised, remitted, or mitigated, be collected by civil action, pursuant to section 234c of the Act. PART 40 -- DOMESTIC LICENSING OF-SOURCE MATERIAL
- 4. The authority citation for Part 40 is revised to read as follows:
AUTHORITY: Secs. 62, 63, 64,- 65, 81, 161, 182, 183,--186, 68 Stat. 932, 933, 935,.948, 953, 954,-955, as amended, secs, lle(2), 83, 84, Pub. L. 95-604,-92-Stat. 3033, as amended, 3039, sec. 234,-83 Stat. 444, as amended (42 U.S.C. 2014(e)(2), 2092, 2093, 2094, 2095, 2111, 2113, 2114, 2201, 2232, 2233,-
-2236,12282); sec; 274,--Pub. L. 86-373, 73 Stat. 688 (42 U.S.C. 2021); secs.
21 J
201, as amended, 202, 206, 88 Stat. 1242, as amended, 1244, 1246 (42 U.S.C. 5841, 5842, 5846); sec. 275, 92 Stat. 3021, as amended by Pub. L. 97-415, 96 Stat. 2067 (42 U.S.C. 2022); sec. 193, 104 Stat. 2835, as ~ amended by Pub. L. 104-134, 110 Stat. 11321-349 (42 U.S.C. 2243). Section 40.7 also issued under Pub. L. 95-601, sec. 10, 92 Stat. 2951 (42 U.S.C. 5851). Section 40.31(g) also issued under sec. 122, 68 Stat. 939 (42 U.S.C. 2152). Section 40.46 also issued under sec. 184, 68 Stat. 954, as amended (42 U.S.C. 2234). Secticn 40.71 also issued under sec. 187, 68 Stat. 955 (42 U.S.C. 2237).
- 5. In 5 40.4, the term " Corporation" is added to read as follows:
i r 5 40.4 Definitions. I * * * *
- Corporation means the United States EnrichmentL Corporationf (USEC), or its success'or, a Corporation thatLis? authorized byjstatute to lease the gaseous-diffusion enrichment plants 'in Paducah, Kentucky, and Piketon', Ohio, from the Department'of Energy, or any person authorized to operate one or.both of the gaseous l diffusion plants,.or other facilities, pursuant to a plan for the privatization of USEC i that is approved by the President.in accordance with Sections 1501 and.1502;of the Atomic Energy Act of 1954,Las' amended. _
22
- 6. A new i 40.38 is added to read as follows:
i "40. 38 (I nel i g i bi_ l i ty [ o fJce rta i n l appl i c ant s ? A licenseLmay not be issued; tot:the' Corporationtif _the Commission determin'es thatit (a)iTheCorporation11s; owned llcontrolled,c.rdominatedby?.anfallen,a o foreignfcorporation;Eorfaiforeign; government (or (b) TheLissuan'ceinf.'such7alli_ cense;wouldLbe ifnim_ical/ toy (1)3helcommonidefens'elandts'ecurityrof1theUnitedLStates;Topj (2):TheimaintenancefofEaTreliable?andi: economical-domesticsourcefof enrichme~ntTservices.1 PART 70 -- DOMESTIC LICENSING 0F SPECIAL NUCLEAR MATERIAL l- 7. The authority citation for Part 70 is revised to read as follows: AUTHORITY: Secs. 51, 53, 161, 182, 183, 68 Stat. 929, 930, 948, 953, 954, as amended, sec. 234, 83 Stat. 444, as amended (42 U.S.C. 2071, 2073, 2201, 2232, 2233, 2282, 2297f); secs. 201, as amended, 202, 204, 206, 88 Stat. 1242, as amended, 1244, 1245, 1246 (42 U.S.C. 5841, 5842, 5845, 5846); sec. 193, 104 Stat. 2835 af amended by Pub,[L'.fl04-134[ 110 Statyll321349 (42 U.S.C. 2243). Sections 70.l(c) and '70.20a(b) also issued under secs. -135,141, Pub. L. 97-425, 96 Stat. 2232, 2241_(42 U.S.C. 10155, 10161)'. _ Section 70.7 also issued under Pub. L. 95-601, sec. 10, 92 Stat. 2951 (42 U.S.C. 5851). Section 70.21(g) also issued under sec. 122, 68 Stat. 939 (42 U.S.C. 2152). Section 70.31 also issued under : ec. 57d, Pub. L. 93-377, 88 Stat. 475 (42 U.S.C. 23 i
2077). Sections 70.36 and 70.44 also issued under sec. 184, 68 Stat. 954, as amended (42 U.S.C. 2234). Section 70.61 also issued under secs. 186, 187, 68 Stat. 955 (42 U.S.C. 2236, 2237). Section 70.62 also issued under sec. 108, 68 Stat. 939, as amended (42 U.S.C. 2138).
- 8. In 5 70.1, A new paragraph (e) is added to read as follows:
5 70.1 Purpose i (e) As provided in't_h_e' Atomic' Energy- Act of-1954,!as amendeds f the regulations in:.this ' pl art 'est'ablish"requiren.ints.: proceduresi _ and L criteria" for the(issuance of Iftensss to' uranium' enrichment facilitiss.
- 9. In 5 70.4, the term " Corporation" is added to read as follows:
5 70.4 Definitions. CorporationEmeans' the" United 1StatesiEnrichment1 Corp 6rationf(USEC), or itssuccessor,:aCorporationsthat.:[isfauthorizedbyfstatutelt'o) lease"the gaseous ~ diffusion; enrichment'plantsMiniPadscah, Ke'ntucky? and Piketon,;0hio, fromth~efDepartmentoftlEnergyJor?anypersonlauthorized.toPoperateioneTorlboth of the[: gaseous diffusionfplantsJor otherffacilities; pursuant [to a plan? for 24 J
, . - . - - - - - , - - . - . - - - - - - - - - - - - - ----v- - - - - - - - , - - - - - -
theiprivatization'of;USEClthat is? approved by;the Presidentlinlaccordance with Sections 15017 and':<1502 of!the Atomic; Energy Act off1954",-lasEamended. - I
- 10. A new I 70.40 is added to read as follows:
I~70.401 LIneligibility(ofcertai6iapplicants. Aj license 'mayLnot Lbe?Lissued Tto thelCorporationiif; thef Commiss_ ion determinefthatU i (a)jThe Corporation?istow'ned,;; controlled,70r! dominated by an} alien.-a foreign corporatio.n','or a"; foreign gnvernment;;or l (b)?Theissuancefof.!:suchlalicense-would5beiinimical"to.: (1): The' common' defense and security lof:the' United States ~;iorT (2)(The;miintenance' of a reliableTand economicaljdolmestic source of enrichment services; PART 76 -- CERTIFICATION OF GASE0US DIFFUSION PLANTS
- 11. The authority citation for Part 76 is revised to read as follows:
AUTHORITY: Secs. 161, 68 Stat. 948, as amended, secs. 1312, 1701, as amended,106 Stat.2932,2951,2952,2953,~110St'atT1321-3.49E(42U.S.C. 2201, 2297b-ll, 2297f); secs. 201, as amended, 204, 206, 88 Stat. 1244, 1245, 1246(42U.S.C.5841,5842,5845,5846);/sec.:234(a);[83 Stat %444?asiamended byf Putf( L. L104-134,f l10TStati ;;Lil321-349.L(42 U.S.C. :'2243(a))_. Sec. 76.7 also issued under Pub. L. 95-601, sec.10, 92 Stat. 2951 (42 25
U.S.C. 5851). Sec.f]6.2211s also* issued undertsec! ..-193(f),;as- 3 amended,~'104 Stat ( 2835;lastamended byjPub.?L.~ 104-134,7110 Stat. 11321-349 (42_U.S.C; 2243(f)) Sec. 76.35(j) also issued under sec. 122, 68 Stat. 939 (42 U.S.C. 2152).
- 12. In 5 76.4, the term " Corporation" is amended to reaa as follows and the term " Uranium enrichment plant" is removed:
5 76.4 Definitions. Corporation means the United States Enrichment Corporation (USEC), Lor l its1 successor; a Corporation that is authorized by statute to lease the gaseous diffusion enrichment plants in Paducah, Kentucky, and Piketon, Ohio, from the Department of Energy, or any person authorized to operate one or both of the gaseous diffusion plants, or other facilities, pursuant to a plan for the privatization of USEC that is approved by the President in accordance with Sections 1501 and 1502 of the Atomic Energy Act of 1954, as amended. Uran!um cr-! hment p?:nt means: (1) ^ny plant used for separating the 1:0tepet of uranium or er-iching uranium i= the isotope 235, using gatecut di# fur ien technology; er (2) ^ny equipment er device, er important component part especia'ly 26
deM9ned-fer such equipecnt er dev4ce, cap:ble of sep: rating the isctepes of uranium-cr erriching uraniue ir the-4setcpc 2%r-urAng g:secus d&fferAen technelegy,
- 13.- In 5 76.10, paragraph (b) is revised to read as follows:
5 76.10 Deliberate misconduct. u (b) A person who violates paragraph (a)(1) or (a)(2) of this section may be subject to enforcement action in accordance with the procedures in 10 CFR part 2, subpart B; except, that the Corporation is not subject te the authority Of- Section 231 Of the Act. l=
- 14. In 5 76.21, paragraph (b) is revised to read as follows:
5 76.21 Certificate required.
'i
,3; z (b) For the purposes of 55 30,41, 40.,L51, and'70.42 of this chapter, 27
the Corporation =shall be authorized to receive, and licensees shall be authorized- to transfer to the Corporation,- byproduct material, source material, or special nuclear material to the extent permitted under the certificate of compliance issued, and/or the compliance plan approved, pursuant to this part. 15.- A new 5 76.22 is added to read as follows: l li?6.22: 'L.i nel i g i bi l i tyl:..o ffc ert a i nlappl i cant si l A certificate of compliance:may not1be issued to; the Corporation if tthe
~
Commission 7 determines 2thati-(a)fThe1 Corporation 71sfowned[ controlledL;or dominated by anialien, a foreigncorporation,:Lorfa';foreigngovernment; Lor (b) The issuancec of'such:a;certificateTof:compl'ianceiwould;bej inimical to? (1)i;The" comon defense?and. security lof f the: United: Statesilorf (2):The maintenance 1offa; reliable"and' econ'omical: domestic ' source (of enrichment"servicesk _;
- 16. - Section 76.31 is revised to read as follows:
5 76.31 f m nlPeriodic application requirement. The^ Corpofation/shallJp.eriodicallyjapplyf to ^the Commission ~:forJa .. certificate oficompliancedinfaccordance!with:5l:76:36J6nior:befor.esAprilT15 of) theTye aMs peci f i ed ]ni.laniexist i ng? ce rti fi c ate l o ff c ompl i anc ela s ide t e rmi ned bil the : Commission,;butinotf.less a frequently;;ihan. everyj fivejyears.
'6 < ' ~ _ . , ,
28
\
The Cerperat4cn th:M file :n inM4al- certificate :pplicatien in 1996', and--ther+after, the Corporat4cn shall apply te the Cc=4ssion cash-ye:r en ce before Apr!' 15, for :- c+r-t4f444tc cf-ccepliance ! accordance with 5 76.36.
- 17. In i 76.35, paragraph (n) is revised to read as follows: ,
5 76.35 Contents of initial application. l l (n) A description of tiie funding program to be established to ensure that funds will be set aside and available for those aspects of the ultimate disposal of waste and depleted uranium, decontamination and decommissioning, relating to the gaseous diffusion plants leased to the Corporation by the Department of Energy, which are the financial responsibility of the Corporation. The Corporation shall- establish financial surety arrangements to ensure that sufficient funds will be available for the ultimate disposal of waste and depleted uranium, and decontamination and decommissioning activities which are the financial responsibility of the Corporation. The funding mechanism, such as prepayment, surety, insurance, or external sinking fund, must ensure availability of funds for any activities which are required to be completed both before or after the return of the gaseous diffusion facilities to the Department of Energy-in accordance with the lease between the 2
-The initial fi'i g fer certi'icate of ccepliance must be tendered ne later than 6 month: after the effective date of this rule cr by Apr l 15,1995, 9tchever is later.
i 29
Department and the Corporation. The funding program must contain a basis for cost estimates used to establish funding levels and must contain.means of adjusting cost estimates and associated funding levels over the duration of the lease. The funding program need not iddress funding for those aspects of decontamination and decommissioning of the gaseous diffusion plants assigned to the Department of Energy under the Atomic Energy Act of 1954, as amended. The-Corporation should address the adequacy of the financing mechanism selected in its :nne:1 application for certification. ht fu/P1 8 k' by 4 A b
- 18. In i 76.36,[aragraph (a) A revised to read as follows:
wl
- i 76.36 A m al Renewals.
! (a) After issuance by the Commission of the initial certificate of compliance and/or an approved compliance plan, the Corporation shall file periodic- an :nnue applications for renewal, as required by 5 76.31.
- 19. Section 76.43 is revised to read as follows:
1 76.43- ^ u;1 Date for decision. The Director will render a decision on an application within 6 months of the receipt-of the application unless the Director alters the date for decisiua and publishes notice of the new date in the Federal Register.
- 20. In 5 76-45,/aragraph-(a) is revised to read as follows:
30
6 76.45 Application-for amendment of certificate. (a) Contents of amendment application, in addition to the :nne:1
' application for certification submitted pursuant to l 76.31, the Corporation may at any time apply for amendment of the certificate to cover proposed new
.or modified activities. The amendment application should contain sufficient information for the Director to make findings of compliance or acceptability for the proposed activities as required for the original certificate.
l 21.. Section 76.55 is revised to read as follows: 476.55 Timely renewal . In any case in which the Corporation has timely filed a sufficient anne:1 application for a certificate of compliance, the existing certificate of compliance or approved compliance plan does not expire until the application for a certificate of compliance has-been finally determined by the NRC. For purposes of this rule, a sufficient application is one that addressesiall elements of.5 76.36,
- 22. In i 76.60, paragraphs (c)(1), and (d)(1), are removed and reserved and paragraph (i) is revised to read as follows:
5 76.60. Regulatory requirements which apply. 31
(c) f f 'i (1) [Arseget0 y p , y- v-h-){4t44441 pen:ltid: :y net-be-4mpe ed en the Corperation purteent te 4-49730-of this-chapter except fer viel: tion: ef Section 206 cf-the Energy Recrg:niaatien ^.ct, (c!) y >t - V (1) L'JC ?sen y Ah (4)(1) Civ41 penaltie; m:y net be impeted en the Ccrporat4en-pur+uant-te
$ 20.2401 of-th4+-chapter cuept-4er-44 elation: cf ;cction -206-of the Energy Reorgan42+t4cn Act.
4 l s * * *
- 1 f
(i) The Corporation shall comply with the applicable provisions of 10 CFR part 95, " Security Facility Approval and' Safeguarding of National Security Information and Restricted Data," as specified in subpart E to this part previded, however, that civil penaltic: 0h:11 net be impe cd-en the Ccrper:tien pursu:nt to 5 95.51 cf th4: chapter except fer viclation; cf Section 206 cf 4hc Energy Recrganizction Act.
- 23. In i 76.66, paragraph (c) is revised to read as follows:
5 76.66 Expiration and termination of certificates. (c) If the Corporation does not submit an annual renewal application
. under 5 76.36, the Corporation shall, on or before the expiration date 32
speci.-ied in the existing certif t: ate, terminate operation of the gaseous diffusion plants.
- 24. In 'l 76.68, paragraph (b) is revised to read as follows:
l 76.68 Plant changes.
* * * *
- l (b) To ensure that the approved application reraains current with respect
-to the actual site description and that the plant's programs, plans, policies, and operations are in place,-the Corporation shall submit revised pages to the approved application and safety analysis report, marked and dated to indicate each change. The Corporation shall evaluate any as-found conditions that do not agree with the plant's programs, plans, policies, and operations in
- accordance with_ paragraph-(a) of this section. These revisions must be submitted anne:lly :: pecified i- 5 75,35 ef this p;rt . b"'before: Aprilfl5 "
.g offeach7 calendar) yea ~r',1 or at a shorter interval as may be specified in the certificate. If;a}enewalf:applicationicertificateiisifiled iniaccordan~ce!With 1l76;36;ofithisfpartJthef revisionsishallibelin.corporatedEinto the applicatifoni
-25. In i 76.72, paragraph (d) is revised to read as follows:
33
t 76.72 Miscellaneous procedural matters. l (d) The procedures set forth in 10 CFR 2.205, and in 10 CFR part 2, 1 subpart G, will be applied in connection with NRC action to impose a civil penalty pursuant to Section 234 ~of the Atomic EnergyLAct of 1954; ~asL amended, or;Section 206 of the Energy Reorganization Act of 1974 and the implementing regulations in 10 CFR part 21 (Reporting of Defects and Noncompliance), as authorized by Section 1312(e) of the Atomic Energy Act of 1954, as amended;
- 26. In 5 76.76, paragraph (a)(2) is revised to read as follows:
6 76.76 Backfittin / (a) (2) Except as provided in paragraph (a)(4) ;f this section, the Commission shall require a systematic and documented analysis pursuant to paragraph (eb) of this section for backfits which it seeks to impose.
- 27. Section 76.111 is revised to read as follows:
34
i 76.111 Physical security, material control and accounting, and protection of certain information, Nuclear Regulatory Commission regulations that will be used for certification of the Corporation
- for physical security and material control and accounting are contained in Title 10 of the Code of Federal Regulations as described in this subpart. The regulations referenced in this subpart contain rtquirements for physical security and material control and accounting for formula quantities of strategic special nuclear material (Category 1), special nuclear material of moderate strategic significance (Category 11), and special nuclear material of low strategic significance (Category 111), and for 1
protection of Restricted Data, National Security Information, Safeguards Information, and information designated by the U.S. Department of Energy as unsont+clied classif4edunclassified Controlled Nuclear Information.
- 28. In i 76.113, paragraph (c) is revised to read as follows:
I 76.113 Formula quantities of strategic special nuclear material
- Category 1.
(c) The requirements for the protection of Safeguards Information For the purpose of this subpart, the terms " licensee" or " license" used in parts 70, 73, and 74 of this chapter, mean, respectively, the Corporation, or the certificate of compliance or approved compliance plan. 35 __j
pertaining to formula quantity of strategic special nuclear material (Category I) are contained in i 73.21. Information designated by the U.S. Department of Energy as uncentroMe4 4 m 444edunclassified Controlled Nuclear Information must be protected at a level equivalent to that accorded
-Safeguards Information.
- 29. Section 76.131 is revised to read as follows:
6 76.131 Violations.
-(a) The Commission may obtain an injunction or other court order to prevent a violation of the provisions of:
(1) The Atomic Energy Act of 1954, as amended; (2) Title 11 of the Energy Reorganization Act of 1974, as amended; (3) Title XI cf the Energy Pelicy ^ct of 1992, :: : ended; f4} A regulation or order issued pursuant to those Acts.
'(b) The Commission may obtain a court order for the payment of a civil penalty imposed under Section"234Tof the[ Atomic Energy Act;ofil954,jas amendedpoKunderLSection1312(e)oftheAtomicEnergyActof1954,as amended, and Section-206 of the Energy Reorganization Act of 1974,.as amended;
- forf violations' off; :nd fer : viel: tier cf Sectier 205 of the Energy Recrg:nizatica ^ct of 1974, : :: ended.
(1).) iSection's 53;j57;[62; 63K 81,?101,f103,J104,fl07,L109; lob 1701Lof theLAtomic EnergyfAct70fj1954f hTamended; 36
(2)l ;Section.206;of_the. Energy ReorganizationLActi (3){ 1_ny A rule, regulation,_; oriorder issued pursuantitoltheisections specified in p'aragraph:-(b)(1)(i)lof thisjsectiont
~
(4); E-Any term,Tcondition;- or limitation'of.anyfcertificate of compliance orf approved compliance plan issued under the sections specified: inl paragraph -;(b)(1)(1). ofl this 'section. Dated at Rockville, Maryland, this day of , 1996. For the Nuclear Regulatory Commission. John C. Hoyle, Secretary of the Commission. 37 o}}