ML23305A199
| ML23305A199 | |
| Person / Time | |
|---|---|
| Site: | 15000017 |
| Issue date: | 12/01/2023 |
| From: | Tamara Bloomer NRC/RGN-IV/DRSS |
| To: | Aaron A Empire Wireline |
| References | |
| IR 2023006 | |
| Download: ML23305A199 (9) | |
See also: IR 015000042/2023006
Text
Aldru Todd Aaron
General Counsel
Empire Wireline, LLC
P.O. Box 967
Manvel, TX 77578
SUBJECT:
EMPIRE WIRELINE, LLC - NRC INSPECTION REPORT 150-00042/2023-006
Dear Aldru Todd Aaron:
This letter refers to the limited scope inspection conducted remotely from August 15 through
November 7, 2023, of licensed activities performed at the U.S. Department of Energy Strategic
Petroleum Reserves located in Bryan Mound and Big Hill, Texas, and West Hackberry,
Louisiana. The inspection examined activities conducted by Empire Wireline, LLC in areas of
exclusive Federal jurisdiction as they relate to compliance with the U.S. Nuclear Regulatory
Commission (NRC) rules and regulations. Within these areas, the inspection consisted of an
examination of representative records, and interviews with personnel. The enclosed inspection
report presents the results of this inspection. A final exit meeting was conducted with Matthew
Chitwood, Radiation Safety Officer, on November 7, 2023.
Based on the results of this inspection, one 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 involves the failure to file an
NRC Form 241 and receive approval for reciprocity prior to working in exclusive Federal
jurisdiction in calendar years 2019 and 2020. The circumstances surrounding this apparent
violation, the significance of the issue, and the need for lasting and effective corrective action
were discussed with Matthew Chitwood during the final exit meeting on November 7, 2023.
Before the NRC makes its enforcement decision, we are providing you an opportunity to:
(1) respond in writing to the apparent violation addressed in the inspection report within 30 days
of the date of this letter; (2) request a predecisional enforcement conference (PEC); or
(3) request alternative dispute resolution (ADR) mediation. If a PEC is held, it will be open for
public observation and the NRC may issue a press release to announce the time and date of
the conference. Please contact Dr. Lizette Roldán-Otero, Chief, Materials Inspection Branch,
at 817-200-1455 or Lizette.Roldan-Otero@nrc.gov within 10 days of the date of this letter to
notify the NRC of your intended response to either provide a written response, participate in a
PEC, or pursue ADR. A PEC should be held within 30 days and an ADR session within 45 days
of the date of this letter.
December 1, 2023
A. Aaron
2
If you choose to provide a written response, it should be clearly marked as a Response to an
Apparent Violation in NRC Inspection Report 150-00042/2023-006; EA-23-113 and should
include: (1) the reason for the apparent violation or, if contested, the basis for disputing the
apparent violation; (2) the corrective steps that have been taken and the results achieved;
(3) the corrective steps that will be taken; and (4) the date when full compliance will be (or has
been) achieved. Your response may reference or include previously docketed correspondence if
the correspondence adequately addresses the required response. 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.
Your written response, should you choose to provide one, should be emailed to
R4Enforcement@nrc.gov and Lizette.Roldan-Otero@nrc.gov within 30 days of the date of this
letter, and hard copies may be sent to: U.S. Nuclear Regulatory Commission, ATTN: Document
Control Desk, Washington, DC 20555-0001, and to Director, Division of Radiological Safety &
Security, Region IV, 1600 East Lamar Boulevard, Arlington, Texas 76011. 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 or schedule a PEC.
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 presenting your corrective actions, you should be aware that the promptness and
comprehensiveness of your actions will be considered in assessing any civil penalty for the
apparent violations. The guidance in NRC Information Notice 96-28, Suggested Guidance
Relating to Development and Implementation of Corrective Action, may be helpful in preparing
your response (Agencywide Documents Access and Management System (ADAMS) Accession
No. ML061240509).
In lieu of a written response or PEC, you may request ADR with the NRC in an attempt to
resolve these issues. Alternative dispute resolution is a general term encompassing various
techniques for resolving conflicts using a neutral third party. The technique that the NRC has
decided to employ is mediation. Mediation is a voluntary, informal process in which a trained
neutral mediator works with parties to help them reach resolution. If the parties agree to use
ADR, they select a mutually agreeable neutral mediator who has no stake in the outcome and
no power to make decisions. Mediation gives parties an opportunity to discuss issues, clear up
misunderstandings, be creative, find areas of agreement, and reach a final resolution of the
issues.
Additional information concerning the NRCs ADR program can be obtained at
http://www.nrc.gov/about-nrc/regulatory/enforcement/adr.html. The Institute on Conflict
Resolution at Cornell University has agreed to facilitate the NRCs program as a neutral third
party. Please contact the Institute on Conflict Resolution at 877-733-9415 within 10 days of the
date of this letter if you are interested in pursuing resolution of these issues through ADR.
A. Aaron
3
Alternative dispute resolution sessions are not conducted with public observation though the
outcome of the ADR agreement is made public.
In addition, please be advised that the number and characterization of the apparent violation
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 Title 10 of the Code of Federal Regulations 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 or in the NRCs 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.
If you have any questions concerning this matter, please contact Dr. Lizette Roldán-Otero of my
staff at 817-200-1455.
Sincerely,
Tamara Bloomer, Director
Division of Radiological Safety & Security
Docket No. 150-00042
License No. TX-L06997
Enclosure:
Inspection Report 150-00042/2023-006
cc w/Enclosure:
Jerry Lang, Administrator
Emergency & Radiological Services Division
602 N. 5th Street Baton Rouge, LA 70802
Jerry.Lang@la.gov
Lisa Bruedigan, Director
Radiation Section
Consumer Protection Division
Texas Department of State Health Services (DSHS)
Mail Code 1986, P. O. Box 149347
Lisa.Bruedigan@dshs.texas.gov
Signed by Bloomer, Tamara
on 12/01/23
SUNSI Review:
ADAMS:
Non-Publicly Available Non-Sensitive
Keyword:
By: JGK Yes No
Publicly Available
Sensitive
OFFICE
RIV:MIB
C:MIB
TL:ACES
RC
OE/EB
NAME
LWardrobe
LRoldan-Otero
JGroom
DCylkowski
PSnyder
SIGNATURE
/RA/ E
/RA/ E
/RA/ E
/RA/ E
/RA/ E
DATE
11/07/2023
11/21/23
11/03/23
11/06/23
11/30/23
OFFICE
D: DRSS
NAME
TBloomer
SIGNATURE
/RA/ E
DATE
12/01/23
Enclosure
U.S. NUCLEAR REGULATORY COMMISSION
REGION IV
Docket No.:
150-00042
License No.:
TX-L06997
Inspection Report No.:
150-00042/2023-006
EA No.:
Licensee:
Empire Wireline, LLC
Location Inspected:
Remote inspection
Inspection Dates:
August 15 through November 7, 2023
Exit Meeting Date:
November 7, 2023
Inspectors:
Health Physicist
Materials Inspection Branch
Approved by:
Lizette Roldán-Otero, PhD
Chief, Materials Inspection Branch
Division of Radiological Safety & Security
Attachment:
Supplemental Inspection Information
2
EXECUTIVE SUMMARY
Empire Wireline, LLC
NRC Inspection Report 150-00042/2023-006
On August 15, 2023, the U.S. Nuclear Regulatory Commission (NRC) began a limited scope
remote inspection of Empire Wireline, LLC, (Empire) an agreement state licensee authorized to
perform well-logging activities in the States of Louisiana and Texas, excluding in areas of
exclusive Federal jurisdiction. The corporate office is in Texas. The inspector continued the
inspection through November 7, 2023, and examined activities conducted by Empire in areas of
exclusive Federal jurisdiction through review of records and interviews with licensee personnel.
This report presents the results of the inspection.
Program Overview
Empire is an agreement state licensee authorized to perform well-logging activities using
byproduct material in Louisiana and Texas, excluding in areas of exclusive Federal jurisdiction.
Inspection Findings
One apparent violation was identified and is being considered for escalated enforcement. The
apparent violation involved the failure to file for reciprocity, for calendar years 2019 and 2020,
with the NRC prior to working in exclusive Federal jurisdiction at the U.S. Department of Energy,
Strategic Petroleum Reserves located at the Bryan Mound and Big Hill, Texas, facilities and at
the West Hackberry, Louisiana, facility.
Corrective Actions
The licensee committed to scrutinizing federal contracts to ensure that they understand if the
location of proposed licensed activities is located in exclusive Federal jurisdiction and, if so,
to apply for reciprocity as required by Title 10 of the Code of Federal Regulations
(10 CFR) 150.20.
3
REPORT DETAILS
1
Program Overview (Inspection Procedure (IP) 87123)
Empire Wireline, LLC, (Empire or licensee) is a licensee of the State of Texas and the
State of Louisiana, authorized to perform well-logging operations using byproduct
material in those states, excluding in areas of exclusive Federal jurisdiction.
2
Inspection Overview (IP 87123)
2.1
Inspection Scope
On August 15, 2023, the NRC began a limited scope remote inspection of Empire with
continued review through November 7, 2023. The inspection examined licensed
activities and compliance with the NRC regulations, interviews with licensee personnel
and examination of representative records.
2.2
Background
During an inspection of a different NRC licensee at a U.S. Department of Energy
Strategic Petroleum Reserve (SPR) facility located in Bryan Mound, Texas, the inspector
identified that Empire had previously performed well-logging operations using radioactive
byproduct material at the Bryan Mound, Texas, SPR facility. Identification of these
activities led the inspector to conduct a remote inspection of Empire where, upon further
review of Empire records, the inspector identified that Empire performed well-logging
activities using radioactive byproduct material at the Bryan Mound, Texas, facility on
June 4, 2019, July 16, 2019, and February 26, 2020; at the Big Hill, Texas, facility on
August 29, 2019; and at the West Hackberry, Louisiana, facility on December 3, 2019.
During calendar years 2019 and 2020, Empire failed to file for reciprocity with the NRC.
3
Observations and Findings (IP 87123)
3.1
Observations
One apparent violation of NRC requirements was identified. The apparent violation
involves the failure to file an NRC Form 241 Report of Proposed Activities in Non-
Agreement States, Areas of Exclusive Federal Jurisdiction, or Offshore Waters and
receive approval for reciprocity prior to working in exclusive Federal jurisdiction in
calendar years 2019 and 2020.
3.2
Findings
During the inspection of Empire, the inspector identified that the licensee performed
well-logging activities using radioactive byproduct material at the SPR Bryan Mound,
Texas, facility on June 4, 2019, July 16, 2019, and February 26, 2020; at the SPR Big
Hill, Texas, facility on August 29, 2019; and at the SPR West Hackberry, Louisiana,
facility on December 3, 2019, and failed to file reciprocity to work in those facilities,
which were areas of exclusive Federal jurisdiction.
4
3.3
Apparent Violation of 10 CFR 150.20(b)(1)
Title 10 CFR 150.20(a)(1) requires, in part, that any person who holds a specific license
from an Agreement State is granted a general NRC license to conduct the same activity
in areas of exclusive Federal jurisdiction within Agreement States subject to the
provisions of 10 CFR 150.20(b).
Title 10 CFR 150.20(b)(1) requires, in part, that any person engaging in activities in
areas of exclusive Federal jurisdiction within Agreement States shall, 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 NRC regional office.
Contrary to the above, on June 4, July 16, August 29, and December 3, 2019, and on
February 26, 2020, Empire Wireline, LLC, a licensee of the State of Texas and the State
of Louisiana, engaged in activities in areas of exclusive Federal jurisdiction within
Agreement States and failed to 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 NRC Regional
Office at least 3 days before engaging in each activity for the first time in a calendar
year. Specifically, for calendar years 2019 and 2020, the licensee performed activities at
the U.S. Department of Energy, Strategic Petroleum Reserves facilities located in Bryan
Mound and Big Hill, Texas, and West Hackberry, Louisiana and failed to submit an NRC
Form 241, a copy of its Agreement State specific license, and the appropriate fee with
the Regional Administrator of the NRC Region IV office.
The licensees failure to file for reciprocity was identified as an apparent violation
of 10 CFR 150.20(b)(1). (150-00042/2023-006-01)
4
Corrective Actions
The licensee stated that they would further scrutinize federal contracts to ensure the
jurisdiction of the facility is known for jurisdiction determinations and if needed to contact
the NRC for assistance in determining jurisdiction.
5
Exit Meeting Summary
On November 7, 2023, a telephonic exit meeting was conducted with the Radiation
Safety Officer of Empire Wireline, LLC. The licensee acknowledged the apparent
violation and did not dispute the details presented during the exit meeting.
Attachment
Supplemental Inspection Information
PARTIAL LIST OF PERSONS CONTACTED
Matthew Chitwood, Radiation Safety Officer
INSPECTION PROCEDURE USED
IP 87123 - Well Logging and Tracer Study Programs
ITEMS OPENED, CLOSED, AND DISCUSSED
Opened
150-00042/2023-006-01
Failure to file for reciprocity for activities in NRC
jurisdiction. (10 CFR 150.20(b)(1))
Closed
None
Discussed
None
LIST OF ACRONYMS USED
10 CFR
Title 10 of the Code of Federal Regulations
Agencywide Documents Access and Management System
Alternate Dispute Resolution
Apparent Violation
U.S. Department of Energy
IP
Inspection Procedure
NRC
U.S. Nuclear Regulatory Commission
PEC
Predecisional Enforcement Conference
SPR
Strategic Petroleum Reserve