IR 05000395/1997003

Discusses Insp Rept 50-395/97-03 on 970602.NRC Exercising Enforcement Discretion for Lack of Safety Significance of Need for Exemption During Licensing Process

ML20197E624
Person / Time
Site:	Summer
Issue date:	12/19/1997
From:	Reyes L NRC OFFICE OF INSPECTION & ENFORCEMENT (IE REGION II)
To:	Gabe Taylor SOUTH CAROLINA ELECTRIC & GAS CO.
References
EA-97-543, NUDOCS 9712300045
Download: ML20197E624 (3)

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l December 19, 1997 EA 97 543 South Carolina Electric & Gas Company ATTN: Mr. Gary Vice President. Nuclear Operations Virgil C. Summer Nuclear Station P. O. Box 88 Jenkinsville. SC 29065 SUBJECT: EXERCISE OF ENFORCEMENT DISCRETION (NRC INTEGRATED INSPECTION REPORT NO. 50-395/97-03)

Dear Mr. Taylor:

This refers to the inspection at your V. C. Sumer reactor facility described in the subject inspection Report issued on June 2. 1997. During this inspection. the NRC identified that the requirements of 10 CFR 70.24.

Criticality Accident Requirements, were not met. Since the NRC was generically reviewing industry's compliance with 10 CFR 70.24 requirements, this issue was dispositioned as an Unresolved item (URI 50-395/97003-06). The URI involved the failure to have in place either an adequate criticality monitoring system for storage and handling of new (non irradiated) fuel or an NRC approved exemption to the requirement.

10 CFR 70.24 requires that each licensee authorized to possess more than a small amount of s)ecial nuclear material (SNM) maintain in each area in which such material is landled, used, or stored a criticality monitoring system which will energize clearly audible alarm signals if accidental criticality occurs. The purpose of 10 CFR 70.24 is to ensure that, if a criticality were to occur during the handling of SNM. personnel would be alerted to that fact and would take appropriate action.

Most nuclear power plant licensees were granted exem)tions from 10 CFR 70.24 during the construction of their plants as part of tie Part 70 license issued to permit the receipt of the initial core. Generally, these exemptions were not explicitly renewed when the Part 50 operating license was issued, which contained the combined Part 50 and Part 70 authority, in August 1981, the Tennessee Valley Authority (TVA), in the course of reviewing the operating licenses for its Browns Ferry facilities, noted that the exemption to 10 CFR 70.24 that had been granted during the construction phase had not been explicitly granted in the operating license. By letters dated August 11, 1931, and August 31, 1987 TVA requested an exemption from 10 CFR 70.24. On May 11. 1988. NRC informed TVA that "the previously issued exemptions are still in effect even though the specific provitions of the Part 70 licenses were not incorporated into the Part 50 license " Notwithstanding the correspondence with TVA the NRC has determined that in cases where a licensee received the exemption as part of the Part 70 license issued during the construction phase, both the Part 70 and Part 50 licenses should be examined to determine the status of the exemption. The NRC view now is that unless a licensee's licensing basis specifies otherwise, an exemption expires gn s t OFFICIAt C0"Y I

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SCE&G 2 with the expiration of the Part 70 license. The NRC intends to amend 10 CFR 70.24 to provide for administrative controls in lieu of criticality monitors.

The NRC has concluded that your facility was in violation of 10 CFR 70.24.

Numerous other facilities have similar circumstances. The NRC has reconsidered this violation and concluded based on the information discussed above that, although a violation did exist, it is appropriate to exercise ,

enforcement discretion for Violations involving Special Circumstances in accordance with Section Vil B.6 of the " General Statement of Policy and Procedures for NRC Enforcement Actions" (Enforcement Policy). NUREG-1600. The bases for exercising this discretion are the lack of safety significance of

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the failure to meet 10 CFR 70.24: the failure of the NRC staff to recognize the need for an exemption during the licensing process: the. prior NRC position on this matter documented in its letter of May 11, 1988. to TVA concerning the lack of a need for an exemption for the Browns Ferry plant: and finally, the NRC's intention to amend 10 CFR 70.24 through rulemaking to provide for administrative controls in lieu of criticality monitors.

Therefore, I have been authorized after consultation with the Director. Office-of Enforcement to exercise enforcement discretion and not issue a violation for this matter.

No response to this letter is required. in accordance with 10 CFR 2.790 of the NRC's " Rules of Practice," a copy of this letter will be placed in the NRC Public Document Room.

Sincerely

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Orig signed by Luis A. Reyes Luis A. Reyes

. Regional Administrator Docket Nos.: 50 395 s License Nos.: NPF-12 cc: R. J. White Nuclear Coordinator Mail Code 802 S.C. Public Service Authority Virgil C. Summer Nuclear Station P. O, Box 88 Jenkinsville, SC 29065 J. B. Knotts, Jr., Esq._

Winston and Strawn 1400 L Street, NW Washington D. C. 20005-3502 Chairman Fairfield County Council P. O. Box 60 Winnsboro. SC 29180

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SCE&G 3 Virgil R. Autry. Director I Radioactive Waste Mana9ement i Bureau of Solid and Hazardous .

Waste Management S. C. Department of Health and Environmental Control 2600 Bull Street Columbia. SC 29201 R. M. Fowlkas. Manager Operations (Mail Code 303)

South Carolina Electric & Gas Company Virgil C.. Summer Nuclear Station P. O. Box 88 .

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Jenkinsville. SC 29065 April Rice. Manager Nuclear Licensing Experience (Mail&CodeOperating)

830 Virgil C. Summer Nuclear Station P. O. Box 88 Jenkinsville. SC 29065

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Distribution:

J. Lieberman. OE OE: EA File (B. Summers. OE) (2 Letterhead)

L. Garner Rll A. Johnson. NRR R. Gibbs. RII P. Fillion. Ril D. Jones. Ril W. Stansberry. RIl R. Aiello. Ril PUBLIC NRC Resident inspector U.S. Nuclear Regulatory Commission

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