ML18338A416

OIG-18-A-09-Status of Recommendation: Audit of Nrc'S Decommissioning Financial Assurance Instrument Inventory Dated December 4, 2018

ML18338A416
Person / Time
Issue date:	12/04/2018
From:	Baker B NRC/OIG/AIGA
To:	Margaret Doane NRC/EDO
References
OIG-18-A-09
Download: ML18338A416 (3)

Text

UNITED STATES NUCLEAR REGULATORY COMMISSION WASHINGTON, D.C. 20555-0001 OFFICE OF THE INSPECTOR GENERAL December 4, 2018 MEMORANDUM TO: Margaret M. Doane Executive Director for Operations FROM: Dr. Brett M. Baker /RA/

Assistant Inspector General for Audits

SUBJECT:

STATUS OF RECOMMENDATION: AUDIT OF NRCS DECOMMISSIONING FINANCIAL ASSURANCE INSTRUMENT INVENTORY (OIG-18-A-09)

REFERENCE:

DIRECTOR, OFFICE OF NUCLEAR MATERIAL SAFETY AND SAFEGUARDS MEMORANDUM DATED NOVEMBER 12, 2018 Attached is the Office of the Inspector Generals (OIG) analysis and status of the recommendation as discussed in the agencys response dated November 12, 2018.

Based on this response, recommendation 1 is resolved. Please provide a status update on the resolved recommendation by August 15, 2019.

If you have questions or concerns, please call me at (301) 415-5915, or Eric Rivera, Team Leader, at (301) 415-7032.

Attachment:

As stated cc: R. Lewis, OEDO H. Rasouli, OEDO J. Jolicoeur, OEDO J. Bowen, OEDO EDO_ACS_Distribution

Audit Report AUDIT OF NRCS DECOMMISSIONING FINANCIAL ASSURANCE INSTRUMENT INVENTORY OIG-18-A-09 Status of Recommendation Recommendation 1: Update guidance to reflect current practices, including, but not limited to:

A. Define what is to be kept in the files and/or safe and implement the guidance.

B. Define the filing methodology for the safe (e.g., by licensee, site, license, or instrument).

C. Require supporting documentation of completion of every step in the NMSS and NRR evaluations.

D. Describe procedural steps for NRR to complete the evaluations or state expectations for NRR to complete the same steps as NMSS.

E. Require written follow-up from the NMSS and NRR evaluations by the auditee to the evaluator, to ensure any identified discrepancies are corrected.

F. Require NMSS and NRR evaluation reports and the Inventory List to be marked OUO, as appropriate.

G. Require segregation of duties between the person in NMSS who maintains the Inventory List and the person who completes the annual evaluation.

Agency Response Dated November 12, 2018: The staff agrees with this recommendation.

Management Directive (MD) 8.12, Decommissioning Financial Assurance Instrument Security Program, provides the guidance on maintaining and auditing the NRCs financial instrument inventory by headquarters and the Regions.

Planned Actions: MD 8.12 will be updated to address the OIG recommendation. To allow for a functional test of the revised approach and directions, a draft revision of MD 8.12 will be developed and utilized for the fiscal year (FY) 2018 internal and external audits. Based on the results of the functional test, a revised draft will be completed by December 31, 2018. The updated MD will be finalized by June 30, 2019, to allow for use in the FY 2019 internal audit.

Audit Report AUDIT OF NRCS DECOMMISSIONING FINANCIAL ASSURANCE INSTRUMENT INVENTORY OIG-18-A-09 Status of Recommendation Recommendation 1 (cont.):

Current Status: MD 8.12 has been updated to address the OIG recommendation. It is currently in a draft-for-use status and is being used for the FY 2018 internal and external audits by NMSS and NRR, respectively.

The target date for completion is June 30, 2019. If you have any questions, please contact me, at (301) 415-1705 or John Tappert, at (301) 415-7319.

OIG Analysis: The proposed corrective action addresses the intent of OIGs recommendation. OIG will close this recommendation after reviewing the updated guidance and determining that it reflects current practices as outlined in recommendation 1.

Status: Resolved.