ML19115A272

Public NRC Summary of Meeting with Defense Security Service to Discuss Options to Mitigate the Foic for the Proposed Restructuring of Global Laser Enrichment

ML19115A272
Person / Time
Site:	07007016
Issue date:	05/30/2019
From:	Matt Bartlett NRC/NMSS/DFCSE/FLB
To:	Jacob Zimmerman NRC/NMSS/DFCSE/FLB
Bartlett M
Shared Package
ML18115A264	List: ML19115A272 ML19115A274
References
Download: ML19115A272 (3)

Text

UNITED STATES NUCLEAR REGULATORY COMMISSION WASHINGTON, D.C. 20555-0001 May 30, 2019 MEMORANDUM TO: Jacob I. Zimmerman, Chief Fuel Facility Licensing Branch Division of Fuel Cycle Safety, Safeguards, and Environmental Review Office of Nuclear Material Safety and Safeguards FROM: Matthew Bartlett, Project Manager /RA/

Fuel Facility Licensing Branch Division of Fuel Cycle Safety, Safeguards, and Environmental Review Office of Nuclear Material Safety and Safeguards

SUMMARY

OF MEETING WITH DEFENSE SECURITY SERVICE TO DISCUSS OPTIONS TO MITIGATE THE FOREIGN OWNERSHIP, CONTROL, OR INFLUENCE DUE TO THE PROPOSED 100 PERCENT FOREIGN OWNERSHIP OF GLOBAL LASER ENRICHMENT (DOCKET NUMBER: 07-7016)

On April 18, 2019, staff from the Office of Nuclear Security and Incident Response (NSIR), the Office of Nuclear Material Safety and Safeguards, and the Office of the General Council (OGC) met with representatives from Defense Security Services (DSS). The participants list is included as Enclosure 1. DSS is a branch of the Department of Defense that is responsible to oversee the protection of U.S. and foreign classified information and technologies in use by industry under the National Industrial Security Program. The U.S. Nuclear Regulatory Commission (NRC) staff requested the meeting with DSS to seek assistance developing a mitigation strategy for Foreign Ownership, Control, or Influence (FOCI) for Global Laser Enrichment (GLE).

The DSS staff provided a slide presentation on the role their agency has in protecting classified information and technologies, see slides in Enclosure 2. The agency is responsible for the FOCI mitigation at over 10,000 companies throughout the United States. DSS is also a key member of the Committee on Foreign Investment in the United States review board and, as such, will be part of the team that reviews the filing by GLE, if the restructuring moves forward.

The DSS staff described the standard FOCI methods that apply to the majority of companies they oversee. However, there process is risk based and the FOCI mitigations methods are adjusted for unique situations such as GLE.

CONTACT: Matthew Bartlett, NMSS/FCSE 301-415-7154

J. Zimmerman 2 The NRC staff asked if DSS would be willing to assist the NRCs future review of the FOCI mitigation plan for GLE, provided the company proceeds with the restructuring. The DSS staff agreed they could provide input for the review, but ultimately NRC would be the decision maker as the cognizant security agency. The DSS staff also requested the two agencies develop a Memorandum of Understanding (MOU) for work on GLE. This would ensure DSS staff has managements support to assist the NRCs review. OGC agreed to work with NSIR staff to develop an MOU focused on GLE. They agreed an MOU should be developed as quickly as possible to ensure it could be signed out by NSIR Office management in time to support the GLE submittal, expected to NRC in mid 2019.

Docket No. 07-7016

Enclosures:

1. Participant List

2. DSS Slides

J. Zimmerman 3

SUMMARY

OF MEETING WITH DEFENSE SECURITY SERVICE TO DISCUSS OPTIONS TO MITIGATE THE FOREIGN OWNERSHIP, CONTROL, OR INFLUENCE DUE TO THE PROPOSED 100 PERCENT FOREIGN OWNERSHIP OF GLOBAL LASER ENRICHMENT (DOCKET NUMBER: 07-7016)

DATED: May 30, 2019 DISTRIBUTION: FCSE r/f KEverly, NSIR K.R.Womack, RII LPitts, RII NSt.Amour, OGC ADAMS Accession Numbers: ML19115A264 (P), ML19115A272 (L) *via email OFFICE FCSE/FFLB FCSE/ERB NSIR/DSO FCSE/FFLB FCSE/FFLB NAME MBartlett *AWalker-Smith DParsons JZimmerman MBartlett DATE 05/15/2019 05/14/2019 05/22/2019 05/30/2019 05/30/2019 OFFICIAL RECORD