Event Notification Report for March 20, 2003

INOPERABLE SECONDARY CONTAINMENT

"On 3/20/03 at 0015 hours during performance of Secondary Containment drawdown testing, it was determined that the Technical Specification maximum allowed combined flowrate of 2885 SCFM for Zone 1 and Zone 3 was exceeded. The average flow for the two zones was approximately 3000 SCFM. The condition required the Station to declare both zones inoperable, and placed Unit 1 in a 4 hour LCO to restore Secondary Containment. Unit 2 is already in Mode 5, however the condition would have prevented all additional fuel moves. The Standby Gas Treatment System was capable of maintaining the DP requirement of 0.25 " vac. water gauge during the test. By 0330 investigation had reduced flow from the two zones to approximately 2600 SCFM, and the LCO was exited. The inoperability of Secondary Containment is a loss of an entire Safety Function that is needed to control the release of radioactive material, and is reportable under 10CFR50.72(b)(3)(v)(c)."

The licensee notified the NRC Resident Inspector.

***RETRACTION by Grant J. Fernsler on 04/10/03 at 1303 ET taken by MacKinnon ***

"A subsequent evaluation performed by Station Engineering determined that although inleakage had exceeded the required Technical Specification limit, secondary containment and the supporting equipment would have been fully capable of performing its designed safety function. Specifically, engineering calculations for secondary inleakage greater than what was experienced on 03/20/03 demonstrated that the dose consequences of a postulated event would not exceeded 50% of the 10CFR100 limits. Based on the fact that the safety function of the Secondary Containment to adequately contain the release of radioactive materials was still maintained, this ENS notification is being retracted."
NRC Region 1 Duty Officer (James Trapp) notified.

The NRC Resident Inspector was notified of this retraction by the licensee.

MEDIA COVERAGE OF TERRORIST TARGET

"The following event description is based on information currently available. If through subsequent reviews of this event, additional information is identified that is pertinent to this event or alters the information being provided at this time, a follow-up notification will be made via the ENS or under the reporting requirements of 10CFR50.73.

"This ENS notification is to inform the agency of an issue within the NRC's purview that may affect or raise a concern about the public health and safety.

"It has been reported in two news articles that the Palo Verde Nuclear Generating Station has been identified as a terrorist target. These two articles have been copied from the internet [www.cnn.com/2003/US/Southwest/03/20/nuclear.plant.threat/index.html and www.washtimes.com/national/20030320-43174000.htm] and attached to this notification. We have also been informed of television coverage on the same subject on CNN and local networks.

"The Palo Verde Nuclear Generating Station is prepared to respond to media questions, but has no plans to issue a press release.

"The NRC Resident Inspector has been notified of this ENS call."

MISSING RADIOGRAPHY CAMERA CONTAINING AN IRIDIUM-192 RADIOACTIVE SOURCE

"A Department inspector in the W. Chicago Regional Office, took a call ago from the RSO of Conam Inspection Inc. (lL-01225-22) in Glendale Heights, IL. The RSO reported that a radiography camera [Model 660-B, S/N B2872] containing 86 Ci [Curies] of Ir-192 [Iridium-192], as of March 20, 2003, destined for the Sequoyah Power Plant in Soddy Daisy, Tennessee had failed to arrive as of the expected delivery date 3/17/2003. He further stated that the carrier has been contacted daily since 3/18/03 for information as to the package's whereabouts with no success. As of 1515 hrs. on 3/20/03, the carrier indicated to him that the package may have been misrouted and can only confirm the package leaving a sorting facility in Lisle, Illinois with potential stops in South Bend, Indiana and the carrier's hazmat center in Wilmington, Ohio. The RSO was advised that a thorough search was being conducted by the carrier's personnel.

"The RSO is sensitive to the current security issues and wanted to ensure the situation was promptly reported and to indicate some extent of frustration with the carrier although he hoped that the carrier would indeed locate the package. The package is in a black AEA Technology [Model 424-9, Sealed Source] overpack box marked with S/N 853 and labeled as a 'Yellow II.' The RSO provided a copy of the shipping paper that included the specific information concerning the radiography camera, the package tracking number, and a contact number at the carrier. The department used this information and made direct contact with the carrier. Carrier confirmed the above information and is continuing their search. In fact, the carrier reported this event to the NRC Operations Center as did NRC Region II."


* * * UPDATE ON 3/21/03 AT 1544 EST VIA EMAIL FROM JOE KLINGER TO ARLON COSTA * * *

"A Department inspector in the W. Chicago Regional Office, took a call ago from the RSO of Conam Inspection Inc. (IL-01225-22) in Glendale Heights, IL. The RSO reported that a radiography camera containing 86 Ci of Ir-192, as of March 20, 2003, destined for the Sequoya Power Plant in Soddy Daisy, Tennessee, had failed to arrive as of the expected delivery date 3/17/2003. He further stated that the carrier has been contacted daily since 3/18/03 for information as to the package's whereabouts with no success. As of 1515 hrs. on 3/20/03, the carrier indicated to him that the package may have been misrouted and can only confirm the package leaving a sorting facility in Lisle, Illinois with potential stops in South Bend, Indiana and the carrier's hazmat center in Wilmington, Ohio. The RSO was advised that a thorough search was being conducted by the carrier's personnel.

"The RSO is sensitive to the current security issues and wanted to ensure the situation was promptly reported and to indicate some extent of frustration with the carrier although he hoped that the carrier would indeed locate the package. The package is in a black AEA Technology overpack box marked with S/N 853 and labeled as a 'Yellow II'. The RSO has been asked for a copy of the shipping paper that includes the specific information of the radiography camera, the package tracking number, and a contact number at the carrier so that the Department may make direct inquiries with the company.

"On 21 March departmental inspectors proceeded to the Lisle, Illinois Airborne Express distribution facility to survey the area to try and locate the device. At approximately 0930 on 21 March [DELETED], Conam, notified the department that the camera was located by Airborne Express at one of their facilities in Springdale, South Carolina. The camera will be transported to its original destination at Soddy Daisy, TN. Upon learning this information, the departmental inspectors immediately terminated their survey of the Lisle Airborne Express facility. The problem appeared to be a failure to follow the appropriate procedure by Airborne Express for their hazmat packages. The Airborne Express procedures are adequate and are routinely used effectively but for this package they made an error that resulted in the hazmat package being sent to their standard package processing facility in Atlanta and subsequently inadvertently sent to Springdale, SC. Airborne Express is reviewing possible actions to prevent recurrence. NRC was notified by phone and email that the camera had been located. The event was assigned event number 39684."

Notified NMSS EO (Camper), R3DO (Creed), R2DO (Julian) and via fax DOE, EPA, USDA, HHS, FEMA and DHS.