NUREG-0268, Responds to 790129 Inquiry Re Ltr by M Mullikin.Forwards NUREG-0268.States NRC Fees Are Designed to Cover Cost of Reviewing License Applications or Performing Radiography Program Insp.Believes Charges Are Fair.W/O Encl
| ML19282C663 | |
| Person / Time | |
|---|---|
| Issue date: | 03/21/1979 |
| From: | Gossick L NRC OFFICE OF THE EXECUTIVE DIRECTOR FOR OPERATIONS (EDO) |
| To: | Marriott D HOUSE OF REP. |
| References | |
| RTR-NUREG-0268, RTR-NUREG-268 NUDOCS 7903300512 | |
| Download: ML19282C663 (3) | |
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NUCLEAR REGULATORY COMMisslON h
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The Honorable Dan Marriott United States House of Representatives 2311 Federal Building Salt Lake City, Utah 84138
Dear Congressman Marriott:
I am pleased to rescond to your inquiry of January 29, 1979, concerning a letter from Mr. Melvin S. Mullikin, Universal Testing, Inc., Salt Lake City, Utah, regarding the assessment of fees by the U.S. Nuclear Regulatory Commission.
The Commission assesses fees for applications, licenses, and inspections, pursuant to Title V of the Independent Offices Appropriations Act of 1952 (I0AA). Title V provides in pertinent part:
It is the sense of Congress that any work, service, publication, report, document, benefit, privilege, authority, use, franchise, license, permit, certificate, registration, or similar thing of value or utility performed, furnished, provided, granted, or issued by any Federal agency to or for any person shall be self-sustaining to the full extent possible and...each Federal agency is authorized by regulation...to prescribe therefor such fee, charge, or price, if any, as he shall determine...
to be fair and equitable taking into consideratior, direr' and indirect cost to the Government, value to the recipie,.
public policy or interest served, and other pertinent facts....
The Commission's schedule of fees (copy enclosed) includes costs for special benefits rendered to identifiable recipients measured by the "value to the recipient" of the agency service. The Courts in previous decisions have said that "value to the recipient" is to be measured by the cost to the agency of providing the benefit.
Special benefits include services rendered at the request of a recipient and all services necessary to assist a recipient in complying with statutory obligations or obligations under the Commission's regulations.
The charging of fees for review of applications for licenses and license amencments, and for routine inspections performed of licensed NRC activities, comes under the Commission's guidelines for assessing fees to persons who are identifiable recipients of services which assist licensees in complying with statutory obligations and the Commission's regulations.
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y Honorable Dan Marriott assessed.
The only charge during the five-year period, other than for inspections, would be to amend or change the licensed program, in which case an amendment fee of $110 would be required.
We believe that the charges assessed by the Commission under its schedule of fees in order to cover this cost are fair and equitable and are in accord with the guidance provided by Congress and judicial interpre-tations of the 10AA.
If we can be of further assistance, please let me know.
Sincerely,
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Enclosures:
- 1. Revised Rule
- 2. NUREG-0268
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v Honorable Dan Marriott In developing the March 23, 1978 schedule of fees, the Commission determined that where the identification of the ultimate beneficiary of an NRC activity is obscure, the cost of the activity would not be included in the cost basis for the fees.
In developing the schedule, approximately 80 percent of the Commission's activities and their associated costs were excluded frcm fee computation.
Enclosed is a copy of NUREG-0268 which shows how the fee for each category of Commission license was developed.
The fees are designed to cover the Commission's cost for reviewing license applications or performing a routine inspection of the licensee's radiography program which uses radioisotopes.
The Commission's inspec-tion program is based on the precept that nuclear quality requirements are mandatory and enforceable under Federal law.
Univeral Testing, Inc., is one of more than 8,000 Commission licensed programs that are inspected on a periodic basis. The purpose of the inspection is to provide reasonable assurance that licensees conduct programs involving the use of radioactive materials in a manner that adequately protects the health, safety, and security of the public.
The routine inspection program is structured so that certain elements of the licensee's authorized activities (involving personnel, procedures, operations, facilities, materials and equipment) are inspected at a prescribed frequency. The scheduling and frequency for inspection against the various requirements for each licensee depend upon the scope and complexity of the licensed program.
Mr. Mullikin's letter referred to the $980 inspection fee which the Commission assesses for licenses authorizing the use of radioisotopes in industrial radiography programs at temporary job sites of licensees anywhere in the United States where the Commission maintains regulatory authority for the use of byproduct material.
Radiography programs are normally inspected at a frequency of once per year.
If the licensee is nct inspected during this period, no fee is assessed.
On the other hand, if it becomes desirable or necessary to inspect a licensed program more than once per year, the licensee would be required to pay for one inspection only ($980).
In determining the cost of performing an inspection, the Commission took into account the manpower expended, on the average, to conduct the on-site inspection, the inspector's time for review of the license and supporting data to prepare for the inspection, and the time to prepara the inspection report.
Fees for byproduct material licenses and license amendments are similarly based on average costs.
Radiography licenses are normally issued for a period of five years, for which a one-time application fee of $460 is
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