Implementing the Revised Systematic Assessment of Licencee Performance (SALP) Program

                                 UNITED STATES
                         NUCLEAR REGULATORY COMMISSION
                     OFFICE OF NUCLEAR REACTOR REGULATION
                            WASHINGTON, D.C.  20555

                                 August 30, 1993


NRC ADMINISTRATIVE LETTER 93-02:  IMPLEMENTING THE REVISED SYSTEMATIC
                                  ASSESSMENT OF LICENSEE PERFORMANCE (SALP)    
                                  PROGRAM


Addressees

All holders of operating licenses or construction permits for nuclear power
reactors.

Purpose

The U.S. Nuclear Regulatory Commission (NRC) is issuing this administrative
letter to inform addressees of the NRC implementation of revisions to the SALP
program.  This administrative letter does not transmit or imply any new or
changed requirements or staff positions.  No specific action or written
response is required.

Background

The NRC staff has been considering revising the SALP program for two years. 
At a public meeting in September 1992 the staff received comments from the
public and industry on the proposed changes to the SALP process as published
in NRC Generic Letter 92-05, "NRC Workshop on the Systematic Assessment of
Licensee Performance (SALP) Program."  The staff submitted its final
recommendations for changing the SALP program in SECY-93-090 on April 6, 1993. 
On May 19, 1993, the Commission approved the revised SALP program as described
in Management Directive 8.6, "Systematic Assessment of Licensee Performance,"
of July 14, 1993, for assessment periods ending after July 19, 1993.

Discussion

The administrative revisions to the SALP program follow:

*  The SALP process will assess performance in four functional areas instead
of the previous seven.  The four areas are Operations, Maintenance,
Engineering, and Plant Support.

*  Safety Assessment/Quality Verification will be considered for each of the
four functional areas rather than as a separate functional area.

*  The Plant Support functional area will assess radiological controls,
emergency preparedness, security, chemistry, and fire protection.


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                                                             August 30, 1993
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*  The SALP Board will be comprised of four NRC Senior Executive Service
managers, typically three from the NRC regional office and one from the NRC
headquarters office.

*  Three category ratings (1, 2, and 3) will continue to be used in the
assessment of licensee performance in each functional area; however, the
ratings will emphasize the performance during the last six months of the
assessment period.  Performance trends, improving or declining, have been
eliminated as a part of the ratings.

*  The length of the SALP report will be reduced to about 2 pages per
functional area.  A cover letter will be used to transmit the report from the
regional administrator.

*  The NRC will no longer issue an "Initial" and "Final" SALP report.  Only
one report will be issued approximately 45 days following the end of the
assessment period.  The public SALP meeting with the licensee will be held
within 60 days of the end of the assessment period.

Attached to this administrative letter is a copy of the NRC's Management
Directive 8.6, "Systematic Assessment of Licensee Performance," dated 
July 14, 1993.

This administrative letter requires no specific action or written response. 
If you have any questions about this letter, please call the contact listed
below or the appropriate Office of Nuclear Reactor Regulation (NRR) project
manager.

                                  /s/'d by BKGrimes


                                  Brian K. Grimes, Director
                                  Division of Operating Reactor Support
                                  Office of Nuclear Reactor Regulation

Contact:  Cornelius Holden, NRR
          (301) 504-1037

Attachments:
1.  Management Directive 8.6, "Systematic Assessment of Licensee Performance," 
    dated July 14, 1993
2.  List of Recently Issued NRC Administrative Letters