ML23103A073
| ML23103A073 | |
| Person / Time | |
|---|---|
| Site: | 99990009 |
| Issue date: | 05/08/2023 |
| From: | Paul Krohn Decommissioning, ISFSI, and Reactor Health Physics Branch |
| To: | Matschner J JENDCO Corp |
| References | |
| EA-23-041 IR 2023001 | |
| Download: ML23103A073 (1) | |
Text
UNITED STATES NUCLEAR REGULATORY COMMISSION REGION I 475 ALLENDALE ROAD, SUITE 102 KING OF PRUSSIA, PA 19406-1415 May 8, 2023 EA-23-041 John R. Matschner, Jr.
President and Radiation Safety Officer JENDCO Corporation 368 Butler Street Pittsburgh, PA 15223
SUBJECT:
JENDCO CORPORATION - NRC INSPECTION REPORT 999-90009/2023001
Dear John Matschner:
This letter refers to the Nuclear Regulatory Commissions (NRC) review following an inspection conducted on January 25, 2023, at a new NRC licensee with a facility in West Virginia, a location of exclusive NRC jurisdiction, at which JENDCO Corporation (JENDCO) performed licensed activities. These licensed activities included gauge installation, source alignment, radiation surveys, and the collection and analysis of leak tests for new fixed gauges at the facility. The NRCs review was expanded to address other services rendered by JENDCO at locations within NRC jurisdiction. This inspection examined activities you performed in NRC jurisdiction as they relate to public health and safety, and to confirm compliance with the NRCs rules and regulations. Within these areas, the inspection consisted of an examination of selected representative records and interviews with personnel both at JENDCO and at the NRC licensees whose devices were serviced by JENDCO. The inspection included in-office reviews through April 11, 2023. A final telephonic exit briefing was conducted with you on May 2, 2023.
Based on the results of the inspection, an apparent violation was identified and is being considered for escalated enforcement action in accordance with the NRC Enforcement Policy.
The current Enforcement Policy is included on the NRCs website at http://www.nrc.gov/about-nrc/regulatory/enforcement/enforce-pol.html. The apparent violation, as described in the enclosed report, involved JENDCOs failure to either: (1) possess a specific license by the NRC under Title 10 of the Code of Federal Regulations (10 CFR) Part 30 to perform certain service provider activities in NRC jurisdiction; or (2) possess a general license by filing for reciprocity with its Commonwealth of Pennsylvania license. The NRC reviewed and determined that your activities in the instances described in the attached inspection report fell outside the general license granted under 10 CFR 31.6 General License to Install Devices Generally Licensed in
[10 CFR] 31.5.
The circumstances surrounding this apparent violation, the significance of the issue, and the need for lasting and effective corrective action were discussed with you during the initial identification of the issue, at the conclusion of the subsequent extent of condition review, and at the inspection exit meeting on May 2, 2023. Following initial identification, JENDCO determined that it would pursue applying for reciprocity, a general license issued by the NRC under the provisions of 10 CFR 150.20. JENDCO began applying for this license on March 14, 2023, completing the application process on March 24, 2023, which was finalized and issued by the NRC that same day.
J. Matschner 2
Since the NRC has not made a final determination in this matter, a Notice of Violation is not being issued for the apparent violation at this time.
Before the NRC makes its enforcement decision, we are providing you an opportunity to (1) respond to the apparent violation addressed in this inspection report within 30 days of the date of this letter, or (2) request a Pre-decisional Enforcement Conference (PEC). If a PEC is held, it will be open for public observation and the NRC will issue a press release to announce the time and date of the conference.
If you decide to participate in a PEC, please contact Christopher Cahill at (610) 337-5108 or via email at Christopher.Cahill@nrc.gov within 10 days of the date of this letter. A PEC should be held within 30 days of the date of this letter.
If you choose to provide a written response, it should be clearly marked as a Response to Apparent Violations in NRC Inspection Report (999-90009/2023-001); EA-23-041, and should include: (1) the reason for the apparent violations, or, if contested, the basis for disputing the apparent violations; (2) the corrective steps that have been taken and the results achieved; (3) the corrective steps that will be taken to avoid further violations; and (4) the date when full compliance was or will be achieved. Your response may reference or include previously docketed correspondence if the correspondence adequately addresses your response.
Additionally, your response should be sent to U.S. Nuclear Regulatory Commission, ATTN:
Document Control Desk, Washington, DC 20555-0001, with a copy mailed to Paul G. Krohn, Director, Division of Radiological Safety & Security, U.S. Nuclear Regulatory Commission Region I, 475 Allendale Road, Suite 102, King of Prussia, PA, 19406, and emailed to R1Enforcement@nrc.gov within 30 days of the date of this letter. If an adequate response is not received within the time specified or an extension of time has not been granted by the NRC, the NRC will proceed with its enforcement decision.
In lieu of providing this written response, you may choose to provide your perspective on this matter, including the significance, cause, and corrective actions, as well as any other information that you believe the NRC should take into consideration by requesting a PEC to meet with the NRC. If you choose to request a PEC, the conference will afford you the opportunity to provide your perspective on these matters and any other information that you believe the NRC should take into consideration before making an enforcement decision. The decision to hold a PEC does not mean that the NRC has determined that a violation has occurred or that enforcement action will be taken. This conference would be conducted to obtain information to assist the NRC in making an enforcement decision. The topics discussed during the conference may include information to determine whether a violation occurred, information to determine the significance of a violation, information related to the identification of a violation, and information related to any corrective actions taken or planned.
In addition, please be advised that the number and characterization of apparent violations described in the enclosed inspection report may change as a result of further NRC review. You will be advised by separate correspondence of the results of our deliberations on this matter.
In accordance with 10 CFR 2.390 of the NRCs Agency Rules of Practice and Procedure, a copy of this letter, its enclosure, and your response, if you choose to provide one, will be made available electronically for public inspection in the NRC Public Document Room and from the NRCs Agencywide Document Access and Management System (ADAMS), accessible from the NRC website at http://www.nrc.gov/reading-rm/adams.html. To the extent possible, your response should not include any personal privacy or proprietary information so that it can be made available to the public without redaction.
J. Matschner 3
If you have any questions concerning this matter, please contact Jason vonEhr of my staff at (610) 337-5256.
Sincerely, Paul G. Krohn, Director Division of Radiological Safety and Security Docket No. 999-90009 License No. PA-1246
Enclosure:
NRC Inspection Report 999-90009/2023-001 cc (w/Enclosure):
State of West Virginia Commonwealth of Pennsylvania Paul G. Krohn Digitally signed by Paul G.
Krohn Date: 2023.05.08 08:58:50 -04'00'
J. Matschner 4
SUBJECT:
JENDCO CORPORATION - NRC INSPECTION REPORT 999 90009/2023001 DATED MAY 8, 2023 Distribution:
OEMAIL D Pelton, OE RIDSOEMAILCENTER J Peralta, OE N Hasan, OE L Sreenivas, OE K Williams, NMSS RIDSNMSSOD RESOURCE M Burgess, NMSS Enforcement Coordinators RII, RIII, RIV (M Kowal; D Betancourt-Roldan; R Kumana)
H Harrington, OPA RIDSOPAMAILCENTER R Feitel, OIG RIDSOIGMAILCENTER D DAbate, OCFO RIDSOCFOMAILCENTER P Krohn, DRSS, RI R1DRSSMAILRESOURCE M Ralph, DRSS, RI C Cahill, DRSS, RI J vonEhr, RI D Screnci, PAO-RI N Sheehan, PAO-RI F Gaskins, SAO-RI M Ford, SAO-RI B Klukan, ORA, RI J Nick, ORA, RI R1Enforcement.Resource https://usnrc.sharepoint.com/teams/Region-I-CIRDA/Inspection Documentation/Inspection Documentation -
Final/JENDCO Corp - Draft Choice Letter 2023-04-12.docx ADAMS ACCESSION NUMBER: ML23103A073 SUNSI Review:
Non-Publicly Available Non-Sensitive Keyword:
By: JEV Yes No Publicly Available Sensitive OFFICE RI:DRSS RI:DRSS RI:ORA OE OGC RI:DRSS NAME JvonEhr CGCahill MMcLaughlin LSreenivias RAgustus/NLO PKrohn DATE 4/27/23 5/2/23 4/17/23 4/27/23 4/27/23 5/8/23 OFFICAL RECORD COPY
Enclosure U.S. NUCLEAR REGULATORY COMMISSION REGION I Docket:
999-90009 License:
PA-1246 Report:
2023-001 EA No.:
EA-23-041 Licensee:
JENDCO Corporation Locations Inspected: N/A - Remote Review of Temporary Job Sites in NRC Jurisdiction Inspection Dates:
February 24, 2023 - April 11, 2023 Inspector:
Jason vonEhr, Sr. Health Physicist Medical and Licensing Assistance Branch Division of Radiological Safety and Security Approved By:
Christopher G. Cahill, Chief Commercial, Industrial, R&D and Academic Branch Division of Radiological Safety and Security
Attachment:
Supplemental Inspection Information
2 EXECUTIVE
SUMMARY
JENDCO Corporation NRC Inspection Report 999-90009/2023-001 Program Overview JENDCO Corporation was a Commonwealth of Pennsylvania licensed service provider authorized to service fixed nuclear gauges and their associated sealed sources. These services included the performance of initial surveys and installation, leak test collection and analysis, relocation, dismantlement and removal, source replacement, and other forms of nonroutine maintenance across a wide range of manufacturers and models. JENDCO Corporation had not possessed an NRC specific license under Title 10 of the Code of Federal Regulations (10 CFR)
Part 30, nor applied for reciprocity with the NRC prior to the NRCs inspection. JENDCO Corporation appeared to operate, partially, under the general license associated with the provisions of 10 CFR 31.6 General License to Install Devices Generally Licensed in [10 CFR]
31.5. (Section 1 below)
Inspection Findings An apparent violation was identified through a nonroutine and unplanned inspection of the activities performed by JENDCO Corporation and its performance of licensed service provider activities within NRC jurisdiction. This review was initiated upon the NRCs routine inspection of a new NRC licensee in West Virginia in January 2023, for whom JENDCO Corporation had provided gauge installation services. The NRC reviewed JENDCO Corporations activities at locations within NRC jurisdiction since calendar year 2022. During the extent of condition review, the NRC identified five further NRC-licensed facilities for whom JENDCO Corporations services fell outside the scope of 10 CFR 31.6, and therefore required either a specific NRC license under 10 CFR Part 30 or a general license for reciprocity under 10 CFR 150.20.
Specifically, JENDCO Corporation performed licensed service provider activities within NRC jurisdiction without either: (1) applying for and possessing a specific license by the NRC under 10 CFR Part 30; (2) applying for and possessing a general license for reciprocity with its Commonwealth of Pennsylvania license; or (3) limiting the licensed activities performed in NRC jurisdiction to devices that were generally distributed and therefore under the authority of a general license through 10 CFR 31.6. (Section 2)
Corrective Actions Following initial identification, JENDCO Corporation determined that it would pursue applying for reciprocity under 10 CFR 150.20. JENDCO Corporation began applying for reciprocity on March 14, 2023, completing the application process on March 24, 2023, which was finalized and issued by the NRC that same day. (Section 3)
3 REPORT DETAILS
- 1.
Program Overview (Inspection Procedure 87142) 1.1.
Program Scope JENDCO Corporation (JENDCO) was a Commonwealth of Pennsylvania licensed service provider authorized to service fixed nuclear gauges and their associated sealed sources. These services included the performance of initial surveys and installation, leak test collection and analysis, relocation, dismantlement and removal, source replacement, and other forms of nonroutine maintenance across a wide range of manufacturers and models. The license was verified by the Commonwealth of Pennsylvania on January 30, 2023.
JENDCO had not possessed an NRC specific license under Title 10 of the Code of Federal Regulations (10 CFR) Part 30 since March 2008, when the Commonwealth of Pennsylvania entered into an agreement with the NRC to transition oversight of the safe use of certain radioactive materials from the NRC to the Commonwealth. JENDCO did not apply for reciprocity with the NRC following the termination of its NRC license prior to the NRCs 2023 inspection. JENDCO appeared to operate, partially, under the general license associated with the provisions of 10 CFR 31.6 General License to Install Devices Generally Licensed in [10 CFR] 31.5.
1.2.
Inspection Scope The unplanned, nonroutine inspection was an examination of JENDCOs licensed service provider activities conducted within the jurisdiction of the NRC. Within this area, the inspection consisted of a selected examination of representative records and interviews with personnel at JENDCO and at its clients in NRC jurisdiction. As a result of the proximity of the general license granted in 10 CFR 31.6, the examination was primarily aimed at determining: (1) whether the clients JENDCO provided service provider activities to were generally licensed by the NRC under 10 CFR Part 31 or specifically-licensed by the NRC under 10 CFR Part 30; (2) within those clients that possessed a specific license: whether the devices that were serviced by JENDCO were possessed under the authority of that specific license or under the authority of a parallel general license; and (3) whether JENDCOs services were within the authorizations and limitations of its Commonwealth of Pennsylvania license.
- 2.
Observations and Findings 2.1.
Initial Identification by the NRC The inspection began as a result of concerns identified during an initial inspection performed on January 25, 2023, of Century Mining LLC, doing business as Allegheny Metallurgical (NRC License No. 47-35666-01), a new NRC specific licensee located in West Virginia, a non-Agreement State. The inspector noted at that time that the installation of six Ronan Engineering SA-Series fixed nuclear gauges had been accomplished in December 2022 by JENDCO. JENDCO had not filed for reciprocity, nor did it possess an active specific license from the NRC to perform these activities.
4 The inspector verified with the Commonwealth of Pennsylvania that JENDCO possessed an active license which authorized: Installation, initial radiation surveys, relocation, removal from service, dismantling, alignment, replacement, disposal of the sealed source and non-routine maintenance or repair components related to the radiological safety of Ronan Engineering devices. This description was consistent with the activities performed at Century Mining, LLC.
JENDCOs activities at this first facility included the following: (1) leak testing; (2) installation; (3) source alignment; and (4) initial radiation surveys. These activities were performed in order for Century Mining to demonstrate compliance with its NRC license, specifically: License Conditions (LC):
13, which describes the requirements for leak testing sealed sources; 17, which prohibits certain nonroutine activities such as installation, initial radiation surveys, and source alignment; 18, which permits some initial mounting activities but prohibits final installation and initial operation; and 20, which requires initial radiation surveys to be performed following source alignment or gauge installation by persons specifically authorized to do so.
2.2.
Extent of Condition Review by the NRC In evaluating the extent of JENDCOs licensed activities in NRC jurisdiction, JENDCO provided a description of their work in NRC jurisdiction, which was limited to West Virginia, and provided a list of twelve clients in the State. Six of these clients were identified by the NRC to have current and active specific licenses (including the aforementioned Century Mining, LLC). The inspector reached out to each of these to understand the type, nature, and frequency of JENDCOs services at their facilities to determine: (1) whether the activities were limited to generally distributed devices or if the activities included devices possessed under the authority of the specific license; (2) whether the devices in question could have been distributed under a general license, whether or not they were; and (3) whether the licensed activities themselves were within the authorizations and limitations of JENDCOs Commonwealth of Pennsylvania license.
The clients all described the services rendered since calendar year 2022 as limited to leak test collection and analysis, and in each case on a rolling six-month basis. Two of the clients possessed devices, which were serviced by JENDCO, that were required to be possessed under a specific license. These included the Scan Technologies Model 9000 (Sealed Source and Device Registry (SSDR): NR-0716-D-804-S) and Thermo Gamma Metrics Model 2000 (SSDR: CA-0305-D-101-S). All the remaining devices identified as serviced by JENDCO were either distributed as generally licensed devices, and therefore could be serviced in a compliant manner under the general license described in 10 CFR 31.6 or could have been distributed under a general license but were possessed, by decision of the host facility, under the authority of a specific license.
These collective observations were identified as a single apparent violation of 10 CFR 30.3, which describes the activities for which it is necessary to receive a specific license by the NRC, and 10 CFR 150.20, which provides a general license in recognition of an entitys Agreement State license; either of which JENDCO could have used to achieve compliance.
5 A second concern was identified regarding the authorizations and limitations of JENDCOs Commonwealth of Pennsylvania license. The two device manufacturers and models identified above contained, in part, californium-252. JENDCOs Commonwealth of Pennsylvania license authorized leak test collection for californium-252 under License Condition 9.J (License No. PA-1246, Amendment No. 2, dated March 5, 2018), however the license did not authorize leak test analysis, which was limited in License Condition 9.L through 9.N to cobalt-60, cesium-137, and americium-241. The licensee performed both collection and analysis of leak tests for these devices containing californium-252 on behalf of two NRC specific licenses, who in turn used these leak test results to demonstrate compliance to the NRC. The NRC staff did not identify an additional violation associated with this concern.
2.3.
Apparent Violation An apparent violation of NRC requirements was identified. The apparent violation involved JENDCOs apparent failure to either: (1) possess a specific license by the NRC under 10 CFR Part 30 to perform certain service provider activities in NRC jurisdiction; or (2) possess a general license by filing for reciprocity with its Commonwealth of Pennsylvania license. The NRC considered the proximity of the general license described in 10 CFR 31.6 and determine that the licensed activities described above were outside the authorization of this regulation. The apparent violation is described below (999-90009/2023-001-01):
10 CFR 30.3 requires, in part, that no person shall manufacture, produce, transfer, receive, acquire, own, possess, or use byproduct material except as authorized in a specific license issued in accordance with the regulations in Chapter I.
10 CFR 150.20(a)(1) states, in part, that any person who holds a specific license from an Agreement State is granted a general license to conduct the same activity in non-Agreement States subject to the provisions of 10 CFR 150.20(b).
10 CFR 150.20(b) requires, in part, that any person engaging in activities in non-Agreement States, at least 3 days before engaging in each activity for the first time in a calendar year, file a submittal containing an NRC Form 241 Report of Proposed Activities in Non-Agreement States, a copy of its Agreement State specific license, and the appropriate fee with the Regional Administrator of the appropriate U.S. Nuclear Regulatory Commission Regional Office.
Contrary to the above, on multiple occasions from at least March 10, 2022, to December 22, 2022, JENDCO Corporation, which was authorized for possession and use of radioactive material under a specific license issued by the Commonwealth of Pennsylvania, performed service provider activities without either (1) filing for reciprocity with its Agreement State specific license or (2) applying for and receiving a commensurate specific license. Specifically, JENDCO Corporation performed installation, source alignment, initial radiation survey, and leak test collection and analysis on fixed nuclear gauges possessed under six third-partys specific NRC licenses at locations within non-Agreement states and did not submit an NRC Form 241 (or equivalent) or obtain an NRC license for these activities. In addition, the NRC evaluated whether the general license granted under 10 CFR 31.6 applied and determined that the fixed gauges in question were distributed to and
6 possessed under the authority of a specific NRC license, and therefore the general license granted under 10 CFR 31.6 did not apply.
2.4.
Conclusions The NRC inspection identified an apparent violation concerning the performance of licensed service provider activities in NRC jurisdiction without a commensurate authorization for those activities, either through the possession of a specific NRC license or the possession of a general license through reciprocity. These activities were closely related, in most cases, to devices that could have been distributed as generally licensed devices, and therefore it was necessary to evaluate these activities against 10 CFR 31.6. Finally, in the case of two device models, it was identified that JENDCO had not limited itself, had it possessed a general license for reciprocity or possessed a commensurate NRC specific license, to the authorizations and limitations concerning the isotopes it was permitted to perform leak test analysis with.
- 3.
Corrective Actions Following initial identification, JENDCO determined that it would pursue applying for reciprocity under 10 CFR 150.20. JENDCO Corporation began applying for this license on March 14, 2023, completing the application process on March 24, 2023, which was finalized and issued by the NRC that same day. As of the date of this report, no further corrective actions were communicated by JENDCO concerning the californium-252 gauges and the matter of JENDCOs performance of leak test analysis beyond the scope of its Commonwealth of Pennsylvania license.
- 4.
Exit Meeting Summary Following the NRCs in-office review, which concluded on April 11, 2023, the NRC conducted an exit briefing via teleconference on May 2, 2023, with John Matschner, President and Radiation Safety Officer. Mr. Matschner acknowledged the inspection findings and did not dispute any of the details presented during the call.
Attachment SUPPLEMENTAL INSPECTION INFORMATION LIST OF PERSONS CONTACTED John Matschner, JENDCO Corporation, President and Radiation Safety Officer, INSPECTION PROCEDURES USED 87142 - Sealed Sources and Devices (Other) Used in Measuring Systems, Analytical Instruments, Calibration and Checking of Instruments, and Similar Purposes ITEMS OPENED, CLOSED, AND DISCUSSED Opened 999-90009/2023-001-01 AV Failure to either apply for and receive an NRC specific license (10 CFR 30.3); apply for and receive approval for reciprocity (10 CFR 150.20(b)).
Closed None Discussed None LIST OF ACRONYMS ADAMS Agencywide Documents Access and Management System AV Apparent Violation CFR Code of Federal Regulations JENDCO JENDCO Corporation LC License Condition NRC Nuclear Regulatory Commission PEC Pre-decisional Enforcement Conference SSDR Sealed Source and Device Registry