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SECY 97-039

February 13, 1997

For: The Commissioners
From: James L. Blaha, Assistant for Operations, Office of the EDO
Subject: WEEKLY INFORMATION REPORT - WEEK ENDING FEBRUARY 7, 1997
Contents Enclosure
Nuclear Reactor Regulation A
Nuclear Material Safety and Safeguards B
Nuclear Regulatory Research C*
Analysis and Evaluation of Operational Data D
General Counsel E*
Administration F
Chief Information Officer G
Chief Financial Officer H*
Human Resources I*
Small Business & Civil Rights J*
Enforcement K*
State Programs L*
Public Affairs M
International Programs N
Office of the Secretary O*
Region I P
Region II P
Region III P
Region IV P*
Executive Director for Operations Q*
Congressional Affairs R
*No input this week
James L. Blaha
Assistant for Operations, OEDO

Contact:  W. Dean, OEDO


ENCLOSURE A

Office of Nuclear Reactor Regulation
Items of Interest
Week Ending February 7, 1997

Indian Point Nuclear Generating Unit No. 3 -- New Chief Nuclear Officer Named

On February 24, 1997, Mr. James Knubel will replace Mr. William Cahill as Senior Vice President and Chief Nuclear Officer for the New York Power Authority. Mr. Knubel will be in charge of NYPA's two nuclear generating stations as well as the nuclear generation headquarters staff; he will report to Mr. Robert G. Schoenberger, NYPA's President and CEO. Mr. Knubel is currently Vice President and Director of GPU's Three Mile Island nuclear plant.

Oconee Nuclear Station, Units 1, 2, 3

After being shut down since September 1996 due to a reheater drain system pipe rupture event, criticality on Unit 2 was established on February 1, 1997. Power was held at 15 percent while operation of the design modifications and automatic control for the reheater drain system level control valves and piping were tested. The turbine was then placed on the line on February 3, 1997. Preparations for startup of Units 1 and 3 are underway.

On February 1, 1997, while attempting to test a portion of the Unit 3 Low Pressure Injection (LPI) piping that had been modified during the refueling outage, approximately 4000 gallons of water were inadvertently pumped from the reactor coolant system (RCS) to the Borated Water Storage Tank (BWST). The problem was caused by mispositioning a manual valve in the LPI system. The system was being operated in the shutdown cooling mode at the time with flow to the RCS through both LPI headers. The valve is a new valve that had been installed in a "B" header branch line in order to provide two-valve isolation between the LPI system and the BWST. Subsequent investigation revealed that the valve supplied by the vendor was a left-handed, rather than a normal right-handed, valve. Therefore, turning the handwheel clockwise opened the valve rather than shutting it. This problem was discovered during valve operation because it is approximately 9 feet above the floor and is operated using a chain (thus the position indicator was not visible to the operator). Also, stem movement was not visible due to valve design. Control room operators quickly observed the decreasing pressurizer level and immediately secured flow through the "B" shutdown cooling header, which isolated the flow path. Shutdown cooling flow through the "A" header was maintained. RCS level did not decrease sufficiently to jeopardize shutdown cooling capability. The Resident Inspectors are following the licensee's actions to correct the valve problem and evaluate the event. This modification has not yet been installed on Units 1 or 2.

Zion, Units 1 and 2 -- Diesel Generator Problems and Issues

During the past several weeks, Zion has experienced a variety of problems with the emergency diesel generators (EDG). The problems identified included failure to conduct hot restart testing as described by the Technical Specifications (TS), failure to perform In Service Testing of EDG starting air discharge check valves, and inadequate surveillance testing of the EDG starting air system. While reperforming the hot restart testing, several EDG trips and failures occurred. The EDG test failures were caused by starting air system deficiencies, freezing of instrument sensing lines due to excessively cold EDG room temperatures caused by EDG HVAC deficiencies, blockage of a crankcase vent line due to icing caused by cold weather conditions, and a loss of lube oil caused by the failure of a piston. Inspection of the piston revealed holes and cracks in the piston head. The licensee's investigation into the cause of the piston failure is currently in progress. In addition, during testing the licensee identified recurring zebra mussel fouling of the service water side of several diesel generator heat exchangers.

Inspection by the resident staff identified that the licensee has implemented TS Interpretations to prevent operation outside the design basis and to compensate for nonconservative TS requirements without submitting TS amendment requests. These issues and inspector follow-up activities will be the subject of a special inspection.

DPV on the Oconee Emergency Electrical Bus Loading

A Differing Professional View (DPV) was submitted to NRR in October 1996, regarding the review of the Oconee emergency electrical bus loading and the need for the licensee to perform an integrated test of the emergency power system during the then current three unit extended outage. In November 1996, Duke Power Company submitted a letter to the NRC in which they stated their intention to run a series of integrated tests of the emergency power system. As a result, the DPV was withdrawn by the submitter. Although the DPV was withdrawn, the ad hoc DPV review panel remained in existence until the testing was completed.

In early January 1997, NRR staff visited the Oconee nuclear power plant for the purpose of observing a series of tests of the emergency electrical systems. The staff noted that no significant problems were identified during the testing. Initial test results indicate that the licensee for Oconee has confirmed that they continue to meet the stated licensing design basis for the emergency electrical systems. However, the licensee is currently evaluating the test results and plans to submit their evaluation to the staff for review. Upon receipt of the licensee's evaluation, NRR staff will complete the review of the licensee's test results to further assure that the design will continue to perform as intended. The staff will issue a final report documenting the results of its review. Based on the initial test results, the staff's pending review of the licensee's committed submittal, and the agreement with the staff member raising the DPV that his concerns have been resolved, the DPV has been closed out.

Waterford Common Mode Failure of Shutdown Cooling

On January 30, 1997, Waterford reported (EN 31697) that there was the potential for common cause failure of both trains of shutdown cooling due to nitrogen accumulation in the low pressure safety injection piping. As a result of check valve leakage, nitrogen is accumulating in the low pressure safety injection system. The licensee has postulated that the pressure transient due to the gas in the system could cause the shutdown cooling heat exchanger isolation valves to be pressure bound. The licensee has installed pressure relieving devices to alleviate the problem. The staff is currently addressing the adverse effects of gas accumulation in reactor coolant system and emergency core cooling system piping by preparing a draft bulletin entitled, "Poor Outage Management, Inadequate Procedural Guidance During Shutdown and Site Specific Vulnerabilities Due to Gas Accumulation." The gas accumulation event at Haddam Neck prompted the staff to prepare this bulletin.

Update on Incomplete RCCA Insertion Issue

Rod drop testing will be performed at South Texas Unit 2 when the reactor is shut down the weekend of February 8-9 for refueling. Based on the fuel type, burnup and resident times of the rodded assemblies, it is expected that some (5-10) RCCAs will stick at 6-12 steps. The licensee has redesigned the core for the upcoming cycle such that the 57 rodded fuel assemblies will consist of 36 fresh fuel assemblies and 21 once burned assemblies from the spent fuel pool. These 21 assemblies are a different design from the designs which have exhibited the bowing problem. During spent fuel pool shuffle of these assemblies, binding was discovered between the fuel assemblies and old Hafnium rods that were stored in these assemblies. To verify the condition of the fuel assemblies, all 21 assemblies will be drag tested in the spent fuel pool before being loaded into the core. Results of the EOC rod drop tests and the drag tests will be available next week.

Proposal for Direct Tube Repair of Steam Generator Tubing

On February 5, 1997, industry representatives from Westinghouse and the licensee for Farley Units 1 and 2 presented material to the staff outlining a newly developed steam generator tube repair method called direct tube repair. The process, developed by Westinghouse, utilizes a laser weld overlay rather than an inserted sleeve for repairing defective steam generator tubes. The overlay is applied to the inside of the tube over the degraded area. The process allows repairs to be made in previously sleeved tubes where the tube sleeve would preclude access for installation of another tube sleeve.

Presently, the welding and heat treating processes, the assessment of the mechanical properties, and Code design issues are complete. Accelerated corrosion test studies are nearly complete. However, many inspection-related issues remain outstanding. The licensee for Farley Units 1 and 2 anticipates submitting an amendment to the Technical Specifications in March 1997 with proposed implementation, if approved, in March 1998. The licensee indicated that the proposed amendment would apply only to ODSCC located at tube support plate intersections. However, Westinghouse stated that the proposed repair technique could be extended to repair tubes with other modes of tube degradation.

The staff indicated that no obvious "deficiencies" were apparent with respect to the metallurgical issues. However, there are numerous unresolved NDE issues that require additional development effort.

Kewaunee -- Status of Steam Generator Tube Repairs

The licensee for the Kewaunee Nuclear Plant has recently completed laser weld repairs of approximately 1900 degraded HEJ sleeves in the steam generator tubes. Following the repair campaign, a hydrostatic head was applied to the secondary side of SG-B, and four repaired sleeves in the hot leg were detected with leakage ("dripping"). A video examination indicated that these leaks were from the top edge of the sleeve. Grab samples of the leakage confirmed that it was secondary fluid. The licensee identified approximately 40 leaking tubes during hydrostatic testing of SG-A. A 100 psi overpressure was then applied to the secondary side of each steam generator, and an additional 44 leaking tubes were detected in SG-A and four were detected in B.

The licensee reassessed the post-repair ultrasonic test and eddy current data, and the analysis results were the same as the original calls (that is, acceptable welds). Eddy current exams were repeated for all the leaking tubes, and no anomalies were detected. The original ultrasonic exams were conducted before the post-weld heat treatment (PWHT) process. Ultrasonic exams repeated after PWHT on approximately half the leaking tubes detected a large number of weld deficiencies. The licensee then repeated ultrasonic exams on a sample of 16 non-leaking tubes which contained laser weld repairs. Approximately 1/3 of the welds contained weld deficiencies.

The licensee is conducting additional ultrasonic and eddy current examinations, and will be re-baselining all welds. Tubes will be pulled, and a formal root cause evaluation will be completed. NRC personnel are onsite monitoring the licensee's progress. Future conference calls with regional and NRR personnel will be scheduled as appropriate.

OSHA Assigned Responsibility for Investigating Discrimination Complaints

On February 3, 1997, the Department of Labor transferred the responsibility for investigating complaints of discrimination, as a result of raising nuclear safety concerns, from Wage & Hour to the Occupational Safety & Health Administration (OSHA). Wage & Hour will complete investigations of complaints received prior to February 3, 1997. OSHA will investigate complaints received after that date. The staff is preparing an Administrative Letter that informs NRC licensees of the transfer and provides them with a revised NRC Form 3 that includes instructions on how to file a complaint with OSHA. In addition, the NRC staff will include instructions in acknowledgment letters on how allegers who desire a personal remedy for discriminatory acts can file a complaint with OSHA.


ENCLOSURE B

Office of Nuclear Material Safety and Safeguards
Items of Interest
Week Ending February 7, 1997

Observation of the Department of Energy Audit of the West Valley Demonstration Project

On January 27-30, 1997, Division of Fuel Cycle Safety and Safeguards (FCSS) quality assurance (QA) staff observed a Department of Energy, Office of Technical Services, QA audit of the West Valley Demonstration Project (WVDP) in West Valley, New York. The purpose of the audit was to evaluate the effectiveness of the WVDP QA program as applied to waste acceptance activities associated with high-level waste form production at the WVDP. Based on their observation of the audit, the FCSS staff concluded that the audit was effective and that the QA program for high-level waste form production is being implemented effectively at the WVDP.

Citizen Task Force on West Valley Closure

On January 29, 1997, NRC staff attended the kick-off meeting of the Citizen Task Force on West Valley Closure (Task Force), which is sponsored by the New York State Energy and Development Authority (NYSERDA) and the Department of Energy, to obtain advice on the process for decommissioning the West Valley site and completing the demonstration project. Approximately 50 people attended the meeting, including 19 members of the Task Force. The Task Force plans to meet every week until July 1997. The Task Force is facilitated by Clean Sites, Inc., under a contract with NYSERDA. The NRC and the New York State Department of Environmental Conservation (NYSDEC) are identified as "technical resources" to the Citizen Task Force.

Members of the Task Force requested that NRC and NYSDEC participate actively in their meetings to avoid the situation where, after effort has been invested by the community leaders who comprise the Task Force, the regulatory agencies determine that preferred solutions are illegal or otherwise unacceptable. The NRC committed to participating to the extent that resources allow, and to promptly identifying any solutions that may not be acceptable under current law. The NRC will present an overview of its involvement with the West Valley Demonstration Project at the next meeting of the Citizen Task Force, to be held February 8, 1997.

Meeting with Babcock & Wilcox Naval Nuclear Fuel Division

On January 23, 1997, Spent Fuel Project Office staff met with Babcock & Wilcox Naval Nuclear Fuel Division (B&W) on transporting waste material from uranium processing that is mixed with beryllium. These wastes contain small quantities of high-enriched uranium. Because of the special moderating qualities of beryllium, this waste material is not authorized for transport under the fissile exemptions or under the general licenses for shipment of fissile material in 10 CFR Part 71. The waste materials are currently stored in 55-gallon drums, which can be supercompacted so that multiple drums can then be placed into a smaller number of 70-gallon drums for shipment.

Meeting attendees discussed the performance standards for packages that would be used to transport the waste materials. B&W expects to submit an application within the next few months for approval of a drum-type package to be used for this purpose.

Training on Response Technical Manual 96 Supplement

On February 4-5, 1997, staff members from the Office of Nuclear Material Safety and Safeguards and the Office for Analysis and Evaluation of Operational Data, who are responsible for response to events/emergencies at regulated facilities, received training concerning the use of the Response Technical Manual 96 (RTM 96) Supplement for gaseous diffusion plants (GDPs). The RTM 96 Supplement provides risk insights to be used in the NRC's independent assessment of regulatees' event/emergency actions to protect workers, the public and the environment. Later this month, RTM 96 Supplement training will be provided to Region III management and staff responsible for response to GDP events. The operating GDPs will be transferred from the Department of Energy to NRC jurisdiction on March 3, 1997.

Nuclear Waste Technical Review Board Winter Meeting

On January 28-29, 1997, the Nuclear Waste Technical Review Board held its Winter Meeting in Pahrump, Nevada. The subject areas addressed two public concerns associated within the potential repository at Yucca Mountain, Nevada: (a) how to make performance assessments more understandable and credible, and (b) transportation safety. During the second day of the meeting, the Department of Energy (DOE) described the status of various program activities, including hydrology investigations and Phase 1 development of an interim storage facility. DOE announced that it has reprogrammed an additional $13 million into laboratory and field investigations to reduce hydrologic uncertainties. The primary areas of increased activity are: percolation flux, fast pathways for infiltration and migration, dilution in the saturated zone, and hydrochemistry.

Materials Licensing Business Process Redesign

During the week of January 27-31, 1997, the Office of Nuclear Material Safety and Safeguards (NMSS) Business Process Redesign Team conducted a regional pilot test of the new electronic license application preparation and review system in the Region II office in Atlanta, Georgia. Participants in the test included four applicants for new portable gauge licenses; four portable gauge manufacturers; representatives from NMSS, Regions II, III, and IV; as well as representatives from the Georgia, Illinois, and Texas Agreement State programs. The Team performed parallel computer-assisted and paper-based reviews of the four actual license applications. New licenses were issued within one working day of the start of the review. The team also reviewed mock applications submitted by the gauge manufacturers. The overall reaction to the new software and to the underlying guidance in draft NUREG-1556, Volume 1, was positive. The comments and suggestions from all of the test participants will be important in further development of the new licensing process.


ENCLOSURE D

Office for Analysis and Evaluation of Operational Data
Items of Interest
Week Ending February 7, 1997

Millstone Loss of Spent Fuel Cooling Study

On February 5, 1997, Jose Ibarra and Hal Ornstein of AEOD made a public presentation at Waterford, Connecticut on the results of AEOD's assessment of the likelihood and consequences of loss of spent fuel cooling (AEOD/S96-02 soon to be issued as NUREG 1275, Vol. 12). AEOD's independent assessment, based on operating experience, found that the likelihood of fuel damage associated with the loss of spent fuel cooling is very small, however plant specific vulnerabilities in the areas of configuration control and potential inventory loss pathways may need to be addressed. The study found that improvements in instrumentation, procedures and training provide opportunities for further risk reduction. The presentation was followed by a question and answer session with the public. AEOD's interaction with the public fulfilled a commitment that the NRC made at a public meeting last March. One of the issues raised by a member of the public in the past and at the February 5, 1997, meeting was the need for analyses of the consequences of losses of spent fuel cooling. AEOD highlighted the fact that the AEOD study focussed upon actions which could be done towards prevention and mitigation of spent fuel cooling events which would be effective to minimize risk from spent fuel events, thereby precluding the need for consequence analyses beyond those that have already been performed by NRC and the National Laboratories. On February 7, 1997, ACRS was briefed on the same topic.

Prior to the public meeting, AEOD staff visited the Millstone site. In addition to observing the spent fuel facilities, they had numerous discussions with engineering, maintenance, operations and licensing personnel affiliated with all three Millstone units.

NRC/Industry Meeting on the Evaluation of SSPI Data

On Thursday, January 30, NRC staff and industry representatives met to discuss NRC's evaluation of sample data from INPO's Safety System Performance Indicator (SSPI) System as a source of data to support PRA applications and risk and reliability assessments. This evaluation is to determine whether the industry proposed voluntary approach for providing reliability and availability data for risk significant systems and equipment is sufficient to eliminate the need for a rule. At the meeting, NRC staff presented the basic data requirements for PRAs, their findings and problems in using SSPI data, and potential resolutions. Mr. Pietrangelo of NEI indicated that industry understood the problems and he believed that the problems could be fixed. INPO also briefed NRC on the status of the Equipment Performance and Information Exchange (EPIX) System, the replacement for NPRDS. The meeting discussed whether EPIX might provide the component failure and demand data for computing demand unreliability. NRC and industry agreed to working level discussions in early February to clarify data issues that may have resulted from a misunderstanding or improper implementation of SSPI guidance. NEI and INPO will consider approaches to correct current limitations in SSPI data that could make it more suitable for performing reliability and risk analysis. A recommendation from the NRC staff to the Commission on whether the rule for obtaining reliability and availability data is necessary is due in April.

Dose Projection Meeting

IRD staff attended the North Carolina/South Carolina Annual Dose Projection meeting held February 4-5, 1997 at the Brunswick Nuclear Plant Emergency Operations Facility. NRC computer response tools, including the Emergency Response Data System (ERDS) and the Geographic Information System (GIS) were discussed. Operational demonstrations of both systems were provided. The use of Internet, based technologies including ER Link, was also discussed.

Emergency Response Training

On February 3, 1997, AEOD staff members provided training to State and utility personnel at Emmitsburg, Maryland, on "Radiological Accident Assessment - Plume Phase." This was the first part of a two-part series of courses and will be followed by a course on the "Advanced Accident Assessment-Intermediate Phase" scheduled for April. These courses, which are offered twice a year, are sponsored by FEMA and supported by the NRC.

Preliminary Notifications (PNs)

a. PNO-II-97-006A, Georgia Power Co. (Hatch 1), PLANT SHUTDOWN DUE TO PRIMARY PRESSURE BOUNDARY LEAKAGE - UPDATE.
b. PNO-II-97-007, Florida Power Corp., (Crystal River 3), NEWS MEDIA INTEREST IN FOSSIL PLANT TRANSFORMER EXPLOSION NEAR CRYSTAL RIVER 3.
c. PNO-II-97-008, Duke Power Co. (Oconee 2), OCONEE UNIT 2 RESTART.
d. PNO-III-97-006, U. S. Army, TRITIUM SIGHTING DEVICES MISSING.
e. PNO-III_97-007, Department of the Army, Rock Island II, MISSING DEVICES AND CONTAMINATION EVENT AT ARMY FACILITIES.
f. PNO-IV-97-007, Nuclear Pharmacy, Boise, ID, TRANSPORTATION INCIDENT.

ENCLOSURE F

Office of Administration
Items of Interest
Week Ending February 7, 1997

Acquisition Reform Training Focus Group

On January 30, 1997, Don King, Contract Specialist, attended a focus group meeting held by the Assistant Deputy Under Secretary of Defense, Acquisition Process and Policies. The purpose of this meeting was to identify critical acquisition reform training areas from individuals currently working in frontline acquisition positions. The focus group was comprised of personnel representing the military services, civilian agencies, and industry. Results of the focus group recommendations will be disseminated to each participating agency after an internal review by the Defense Department.

Contract Award

On January 31, 1997, the Small Business Administration approved NRC's award of an 8(a) contract to Sylvest Management Systems Corporation. The work is entitled, "Acquisition of Microcomputer Hardware and Software, Laser Printers, and Microcomputer Support Services (PC REFRESH)." The contractor shall furnish microcomputers, laser printers, microcomputer software, maintenance and support services for all NRC microcomputers. The period of performance is one year with four one-year option periods. The total estimated cost for the one-year base period is $4,922,261.52. Should all four one-year option periods be exercised, the total estimated cost of this contract will be $19,981,970.44.

Security Lighting Project

As part of the security enhancement project, work will be continuing through early March 1997 to increase the lighting at the NRC complex. The increased lighting will provide a safer environment for our employees and will enhance the effectiveness of our exterior security cameras.

NRC Rebadging

Rebadging of NRC employees and contractors is continuing. Headquarters rebadging should be completed early in March. Regional badging is nearly completed with only minor exceptions. Badging for IRM, AEOD and RES is scheduled for the week of February 10, 1997.

Rules Activity

The following documents have been forwarded to the Office of the Secretary for signature and publication:


ENCLOSURE G

Chief Information Officer
Items of Interest
Week Ending February 7, 1997

Energy Science and Technology Software Center

The Office of Information Resources Management transferred responsibility for the Energy Science and Technology Software Center at Oak Ridge, Tennessee to the Office of Nuclear Regulatory Research. The program, which is operated under an interagency agreement with the U.S. Department of Energy, is used to disseminate scientific and technical computer codes developed by the Nuclear Regulatory Commission.

Windows 95

More than 15 laptop computers have been issued with Microsoft Windows 95 since January 1 and upgrade requests are anticipated for 14 laptops issued with Windows 3.1 to staff members who have requested Windows 95. At least 20 individuals have used the Office of Personnel Individualized Learning Center for the Windows 95 training and there is now a waiting list for this program.

FOIA Requests Received During the Week Ending February 6, 1997

On-line maintenance program at the Seabrook Nuclear Power Plant. (FOIA/PA-97-0029)
Experiments conducted on humans in the mid 1940s to early 1950s. (FOIA/PA-97-0030)
L-Bar site in New Mexico; Kennecott Copper Corp. (FOIA/PA-97-0031)
OI report 3-95-008. (FOIA/PA-97-0032)
Listing of audit and evaluation responsibility persons. (FOIA/PA-97-0033)
Southwest Experimental Fast Oxide Reactor; Fayetteville, AR; Docket No. 50-231. (FOIA/PA-97-0034)
Proposed rulemaking timetable, legal authority and contact for 16 proposed rules. (FOIA/PA-97-0035)

ENCLOSURE M

Office of Public Affairs
Items of Interest
Week Ending February 7, 1997

Media Interest

Both headquarters and Region I public affairs officers fielded calls regarding the Maine Yankee Commission briefing.

Local media attended a Northeast Utilities public meeting at Millstone.

Region III continues to field calls from the financial and news media regarding Commonwealth Edison and their placement on the watch list.

Press Releases
Headquarters:
97-016 Note to Editors -- Maine Yankee Commission Briefing
97-017 NRC Names New Chief Information Officer
97-018 Note To Editors: Budget Briefing
97-019 Note to Editors: ACRS meeting
97-020 NRC Extends License Term for Most Nuclear Materials Licensees
Regions:
I-97-12 NRC Staff Issues Notice of Violation to New Jersey Medical Facility
II-97-16 NRC Schedules Meeting With Florida Power Corporation to Discuss Crystal River Plant Restart
II-97-17 NRC Schedules Meeting With Florida Power & Light to Discuss Recent St. Lucie Plant Performance and Employee Concerns Program
IV-97-09 NRC Schedules Design Inspection Meeting For Washington Nuclear Project-2

ENCLOSURE N

Office of International Programs
Items of Interest
Week Ending February 7, 1997

Foreign Visitors

On February 3-4, B.D. Liaw, Executive Board Member of the Taiwan Power Company (Taipowers), and advisor to the Ministry of Economic Affairs, met with the Chairman, Commissioners and EDO. He briefed them on the status of the Lungmen (GE-ABWR) project now under construction, Taipower's plans to ship low level waste to North Korea, and the status of the contaminated re-bar situation in Taiwan. On January 28, Mr. Liaw, accompanied by several technical experts from Taipower, met with technical staff from NRR and discussed: the ABWR design certification process, control room design, seismic design issues and regulatory aspects of digital I&C systems.


ENCLOSURE P

Region I
Items of Interest
Week Ending February 7, 1997

Receipt of Decommissioning Plan for the Holding Basin at Nuclear Metals, Concord, MA

On January 31, 1997, Region I received a submittal from Nuclear Metals Inc., Concord, MA, entitled "USNRC letter dated 2 February 1996, regarding HB Decommissioning Plan". This submittal is in response to a February 2, 1996, deficiency letter identifying the need for the final details of the removal and disposition of the Holding Basin contents, and sub-basin gravel and soil. The NMI response was delayed pending selection of contractors, excavation technique, and remediation objectives.

The holding basin is an onsite area of approximately 13,000 square feet that was used until 1985 for the discharge of neutralized nitric acid from manufacturing operations. The basin contains 400,000 pounds of depleted uranium and 800,000 pounds of copper, and has been covered since 1986 with Hypalon fabric to prevent water infiltration and particulates from becoming airborne. The decommissioning timeline for restoration so that the area satisfies the criteria for unrestricted use is 24 months.


ENCLOSURE P

Region II
Items of Interest
Week Ending February 7, 1997

Duke Power Company - Catawba

Representatives from Duke Power Company were in the Region II Office on February 4, 1997, to provide the Regional Administrator with an update of Catawba plant performance for the period of June 1995 to January 1997. The briefing included issues on organizational changes, operating focus, problem identification, improved self-assessments, and the steam generator replacement outage. In addition to the steam generator replacement, Catawba has made other significant plant enhancements including replacement of the Operator Aide's computer and raising the Standby Nuclear Service Water pond level to provide additional design margin.

Nuclear Fuel Services, Inc.

The Regional Administrator and the Director, Division of Nuclear Materials Safety, visited the licensee's facilities near Erwin, Tennessee, on February 5, 1997. The visit included a tour of the facilities to observe use of high enriched uranium (HEU) and obtain status of licensed activities in general terms.

The licensee has been processing the HEU in material from the Department of Energy facility near Rocky Flats, Colorado, since January 23, 1997, with no problems in the areas of criticality, chemical or radiological safety. The licensee is also developing the safety analyses for a project to reclaim the HEU residual material from uranium hexafluoride cylinders currently at the Portsmouth, Ohio, gaseous diffusion plant. The analyses are required to be submitted to the NRC for review prior to the licensee initiating the reclamation project.

Region II Workshop

The Region hosted an In-service Testing (IST) Workshop on February 6, 1997. The workshop covered the IST inspection procedure, revisions to the ASME Operation and Maintenance Code, the use of analysis to evaluate pumps, GL 96-05 as it relates to IST issues, and recent IST issues. The presentations were conducted by NRR, Brookhaven National Laboratory, RES, and Region II.

Differing Professional View

On January 6, 1997, a Differing Professional View was submitted to Region II concerning the accuracy of an inspection report and the Regional process which resulted in the issuance of an inspection report without resolving an inspector's comments.

An Ad Hoc Review panel reviewed these issues in accordance with Management Directive 10.159 and concluded the report was correct as written. However, written Regional policy was not followed relative to addressing the concerned individual's comments prior to issuance of the report. The Region will, among other actions, conduct refresher training for the managers and staff on the relevant provisions of the Agency policy. The results of the Ad Hoc Panel were endorsed by the Regional Administrator and provided to the concerned individual on February 7, 1997.


ENCLOSURE P

Region III
Items of Interest
Week Ending February 7, 1997

Predecisional Enforcement Conference with Illinois Power Company

On February 4, 1997, a predecisional enforcement conference was conducted in the Region III Office, Lisle, Illinois, between management representatives from Illinois Power and members of the NRC staff. Discussion focused on the events associated with the September 5, 1996, reactor recirculation pump "B" seal leak.

Palisades Nuclear Power Station

A public meeting between the NRC staff and Consumers Power Company managers was held onsite on February 7, 1997, to discuss the Systematic Assessment of Licensee Performance report. The NRC was represented by the Region III Deputy Regional Administrator, Region III Director of the Division of Reactor Safety and Office of Nuclear Reactor Regulation Director of Project Directorate III-1. Representatives from the utility included the Vice President of Nuclear Operations and General Manager.

Management Change Announced for Big Rock Point Nuclear Plant

Consumers Energy announced that Kenneth Powers has been named Plant General Manager. He will be responsible for all site activities including decommissioning planning. Patrick Donnelly will remain Plant Manager and will continue to be responsible for the day-to-day operation of the plant.

Management Changes Announced for Northern States Power Company

Northern States Power Company announced several management changes: Douglas Antony, President of Northern States Power Company has retired. Edward Watzl, currently Vice President of Nuclear Generation, will become President of Northern States Power Company. Michael Wadley, currently Plant Manager at Prairie Island Nuclear Station, will become Vice President of Nuclear Generation. Joel Sorensen, currently General Superintendent of Plant Operations at Prairie Island Nuclear Power Station, will succeed Wadley as Plant Manager.


ENCLOSURE R

Office of Congressional Affairs
Items of Interest
Week Ending February 7, 1997

Office of Congressional Affairs
Items of Interest, No. 4
OCA
CONTACT
DATE
&
PLACE
TIME WITNESS SUBJECT COMMITTEE
Madden 02/11/97
2123 RHOB
9:30 DOE DOE's FY98 Budget Reps. Schaefer/Hall
Energy & Power
Commerce
Combs/Madden 02/12/97
366 DSOB
9:30 Markup/Vote S. 104, amend Nuclear Waste Policy Act; Vote on Nomination of Federico Pena as DOE Secretary Senators Murkowski/Bumpers
Energy & Natural Resources
Keeling 02/12/97
342 DSOB
9:30 DOD, Atlantic Council, American Enterprise Institute Nuclear Deterrence Policy Senators Cochran/Lieberman
Intl Security, Proliferation & Federal Services
Governmental Affairs
Gerke 02/12/97
2154 RHOB
10:00 TBA Government Performance & Results Act Reps. Burton/Waxman
Government Reform & Oversight
Gerke 03/04/97
366 DSOB
TBA TBA Electricity Deregulation: Issues of Competition Senators Murkowski/Bumpers
Energy & Natural Resources
Gerke 03/11/97
366 DSOB
TBA TBA Role of Public Power in a Competitive Market Senators Murkowski/Bumpers
Energy & Natural Resources
Madden 03/12/97
2362 RHOB
10:00 DOE Nuclear Waste Mgmnt & Disposal Reps. McDade/Fazio
Energy & Water Development
Appropriations
Gerke 03/18/97
366 DSOB
TBA TBA Electricity Deregulation: Is Federal Legislation Necessary? Senators Murkowski/Bumpers
Energy & Natural Resources