98-30252. Advanced Medical Systems, Inc.; Issuance of Director's Decision Under 10 CFR 2.206  

  • [Federal Register Volume 63, Number 218 (Thursday, November 12, 1998)]
    [Notices]
    [Pages 63339-63342]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 98-30252]
    
    
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    NUCLEAR REGULATORY COMMISSION
    
    [Docket No. 030-16055]
    
    
    Advanced Medical Systems, Inc.; Issuance of Director's Decision 
    Under 10 CFR 2.206
    
        Notice is hereby given that the Director, Office of Nuclear 
    Material Safety and Safeguards, U.S. Nuclear Regulatory Commission 
    (NRC), has acted on a Petition for action under 10 CFR 2.206, dated 
    August 19, 1994, filed by William B. Schatz, Esq., on behalf of the 
    Northeast Ohio Regional Sewer District (District), with respect to an 
    NRC Licensee, Advanced Medical Systems, Inc. (AMS).
        The District requested, pursuant to 10 CFR 2.206, that NRC amend 
    AMS' License No. 34-19089-01 to require AMS to install, maintain, and 
    operate a radiation alarm system on all drains at 1020 London Road, 
    Cleveland, OH (AMS Facility) that lead to either sanitary or storm 
    sewers.
        The Petitioner's request to require a radiation alarm system on all 
    drains at the AMS Facility was based on the risk posed by the 
    contaminated AMS Facility, and on the basis that the original license 
    for the site, issued to Picker X-Ray Corporation (Picker) in 1959, 
    contained a requirement for an alarm system to detect unmonitored 
    discharges.
        For the reasons stated in the ``Director's Decision Under 10 CFR 
    2.206'' (DD-98-11), the Director of the Office of Nuclear Material 
    Safety and Safeguards has denied the request. The complete text of DD-
    98-11 follows this notice and is available for public inspection at the 
    Commission's Public Document Room, the Gelman Building, 2120 L Street, 
    NW., Washington, DC 20555, and at the Local Public Document Room, Perry 
    Public Library, 3735 Main Street, Perry, OH 44081.
        A copy of this Decision will be filed with the Secretary of the 
    Commission for the Commission's review in accordance with 10 CFR 
    2.206(c) of the Commission's regulations. As provided by this 
    regulation, this Decision will constitute the final action of the 
    Commission 25 days after the date of issuance unless the Commission, on 
    its own motion, institutes review of the decision within that time.
    
        Dated at Rockville, Maryland, this 4th day of November, 1998.
    
        For the Nuclear Regulatory Commission.
    Carl J. Paperiello,
    Director, Office of Nuclear Material Safety and Safeguards.
    
    I. Introduction
    
        By letter dated August 19, 1994, addressed to Mr. James M. Taylor, 
    former Executive Director for Operations, U.S. Nuclear Regulatory 
    Commission (NRC), William B. Schatz, Esq., on behalf of the Northeast 
    Ohio Regional Sewer District (District), requested that the NRC take 
    action with respect to Advanced Medical Systems, Inc. (AMS), of 
    Cleveland, OH, an NRC licensee.1 The District requested, 
    pursuant to 10 CFR 2.206, that the NRC amend License No. 34-19089-01, 
    to require AMS to install, maintain, and operate a radiation alarm 
    system on all drains at 1020 London Road, Cleveland, OH (AMS Facility), 
    that lead to either sanitary or storm sewers.
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        \1\ Northeast Ohio Regional Sewer District submitted two 
    previous Petitions for action against AMS under 10 CFR 2.206. In a 
    Petition dated March 3, 1993, and supplemented by letters dated 
    September 13, 1994, October 13, 1994, and April 29, 1996, the 
    Petitioner requested that NRC: (1) modify AMS' License No. 34-19089-
    01 to require that AMS assume all costs resulting from the off-site 
    release of cobalt-60 that has been deposited at the Petitioner's 
    Southerly Wastewater Treatment Center; (2) order AMS to 
    decontaminate the sewer connecting its facility with the public 
    sewer at London Road, and continue down stream with such 
    decontamination to the extent that sampling indicates is necessary; 
    (3) commence enforcement action against AMS for violation of 10 CFR 
    303(a), 401(c)(3) and 20.2003; and (4) take action on the AMS 
    license to safely, immediately, and reasonably decontaminate the 
    London Road interceptor (the sewer). The second request had been 
    partially granted when the NRC amended the AMS license to require 
    remediation of the sewer line connecting AMS Facility with the 
    public sewer, and the Petition was denied in all other respects. 
    Advanced Medical Systems, Inc. (DD-97-13), 45 NRC 460 (1997). In a 
    second Petition dated August 3, 1993, the Petitioner requested that 
    the NRC take action to require AMS to provide adequate financial 
    assurance to cover public liability pursuant to section 170 of the 
    Atomic Energy Act of 1954, as amended. The second petition was 
    denied. Advanced Medical Systems, Inc. (DD-94-6), 39 NRC 373 (1994).
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        The District asserts two major reasons as the bases for the 
    request. First, it views the quantity of cobalt-60 waste in the AMS 
    Facility's basement as a major threat based on the following: (a) The 
    NRC has admitted that the existing contamination at the AMS Facility 
    continues to pose a risk; (b) the contamination that exists at the AMS 
    Facility is estimated to include 393 curies, as of 1988, of loose, 
    ``talcum-like'' cobalt-60 scattered on the floor of the basement waste 
    hold-up room; (c) cobalt-60 contamination was found in the sewer line 
    connecting the AMS Facility to the public sewer, and was found directly 
    under the AMS discharge; (d) the District has already incurred costs of 
    nearly $2 million to address loose cobalt-60 contamination at the 
    Easterly and Southerly Wastewater Treatment Plants; (e) the NRC has 
    been unable or unwilling to explain the source of the cobalt-60 on the 
    District's property, and unable to identify any likely sources for the 
    cobalt-60 other than the AMS Facility; and (f) the quantity of cobalt-
    60 at the Southerly Plant exceeds that which the AMS records show was 
    released by AMS into the sewer system. Secondly, the original license 
    for this site, issued to Picker in 1959, contained a requirement for an 
    alarm system to detect unmonitored discharges. The District states that 
    such an alarm system was not a condition of the subsequent AMS license, 
    despite a recommendation from Oak Ridge Associated Universities that 
    such an alarm system be installed, along with control valves, to shut 
    off flow to the sewer if the alarm sounds.
        By letter dated September 7, 1994, the NRC formally acknowledged 
    receipt of the District's letter, and informed the District that its 
    request was being treated pursuant to 10 CFR 2.206 of the Commission's 
    regulations. A notice of the receipt of the Petition was published in 
    the Federal Register on September 19, 1994 (59 FR 47959). The NRC Staff 
    sent a copy of its acknowledgment letter, with a copy of the Petition, 
    to AMS. By letter dated November 9, 1995, the NRC informed the District 
    that further action on its request was being deferred until completion 
    of an ongoing proceeding on AMS' November 29, 1994, application to 
    renew its license. While that proceeding has not been terminated, the 
    NRC staff has decided to deny the renewal application. See letter
    
    [[Page 63340]]
    
    from C. Paperiello, NRC to S. Stein, AMS, dated September 28, 1998. 
    Accordingly, it is now appropriate for the staff to consider the action 
    requested by the District.
        I have completed my evaluation of the matter raised by the District 
    and have determined that, for the reasons stated below, the Petition 
    should be denied.
    
    II. Background
    
        In 1959, the Atomic Energy Commission (AEC) (predecessor to the 
    NRC) issued License No. 34-07225-09 to Picker X-Ray Corporation 
    (Picker), for operation of a sealed-source manufacturing facility 
    located at 1020 London Road. The license authorized Picker to receive, 
    store, and encapsulate cobalt-60 for the purpose of installing these 
    encapsulated sources in approved devices and distributing the sources 
    to customers having valid licenses. The facility at 1020 London Road 
    had been built specifically for the intended purpose of handling and 
    encapsulating large quantities of cobalt-60 (in the kilocurie range); 
    the building included a hot cell for encapsulating the cobalt-60, and 
    various support areas, including a heavily shielded room that contained 
    two stainless steel tanks to collect liquid radioactive waste [waste 
    hold-up tanks (WHUT)]. During the manufacturing of encapsulated 
    sources, it was not uncommon that the hot cell would become 
    contaminated with oxidized cobalt-60. To maintain control of 
    contamination and radiation levels, the cell would be cleaned 
    periodically, with the liquid waste generated by the cleanup diverted 
    to the WHUT room, which had a combined holding capacity of 600 gallons. 
    The stored liquid radioactive waste was then discharged to the sanitary 
    sewer at irregular intervals, depending on the volume of liquid waste 
    generated during normal operations. In a manual entitled ``Radiation 
    Safety Procedures for the Picker X-Ray Corporation, Waite Manufacturing 
    Division, Inc.,'' dated December 1959, a procedure outlined the 
    equipment and steps followed to discharge the liquid waste to the 
    sewer. The liquid radioactive waste was pumped directly from the WHUT 
    into the sanitary sewer system through a drain in the basement floor. 
    The hose from the WHUT to the sewer drain was continuously monitored 
    during discharge, with the liquid passing through a solenoid valve, an 
    in-line monitor consisting of a G-M tube with a rate meter and a strip 
    chart recorder, and a water meter. The solenoid valve opened only 
    during intentional discharge from the WHUT, and only when the 
    monitoring system detected count rates below a preset level, ensuring 
    that only authorized concentration levels were being discharged. A 
    record of the total discharge would be indicated by the total volume of 
    liquid discharged and the count rate information from the monitor, 
    calculating the average concentration and the total activity. The 
    description of the monitoring process did not have the detection system 
    operating continuously, but only while discharging from the hold-up 
    tanks to the sanitary sewer drain.
        In a letter submitted to the AEC dated January 25, 1974, Picker 
    submitted a manual entitled ``Radiation Safety Procedures for the 
    Picker Corporation, Isotope Operations,'' requesting it supersede the 
    then effective manual, ``Radiation Safety Procedures for the Picker X-
    Ray Corporation, Waite Manufacturing Division, Inc.,'' mentioned above. 
    This new manual modified the facility's liquid waste disposal method 
    and system, and was later revised in September 1976. See Inspection 
    Report No. 030-16055/93003(DRSS) at 13. The AEC, and later the NRC, did 
    not incorporate the January 1974 letter, the manual, and the subsequent 
    September 1976 revision, into Picker's license. In February 1974 (OR 
    Inspection Report No. 74-01 for License No. 34-07225-09 at 6), Picker 
    modified its liquid radioactive waste discharge procedure from the in-
    line continuous monitor, to a batch disposal method. This batch 
    disposal system consisted of a 55-gallon drum located outside the room 
    housing the WHUT, atop a stand pipe connected to a floor drain leading 
    to the sanitary sewer line. Waste water was pumped from the WHUT to the 
    55-gallon drum, the drum liquid was then agitated by an electrically 
    driven trolling motor, and, after agitation, the liquid was sampled to 
    determine its radioactive concentration. After determining 
    radioactivity concentration and the volume in the 55-gallon drum, for 
    recording concentration and total quantity of radioactive material, the 
    plug at the bottom of the drum was removed to discharge the contents to 
    the sanitary sewer. This batch method of disposal was continued until 
    Picker terminated this license in November 1979.
        In 1979, Picker sold the facility and operation at 1020 London Road 
    to AMS. The provisions of the AMS license application were similar to 
    the previous Picker license, with many of the procedures carried 
    forward to the AMS license, including the batch method for liquid 
    radioactive waste release described above. AMS used the same batch 
    method for disposal of liquid radioactive waste as Picker, from the 
    time that AMS' initial license (License No. 34-19089-01) was issued on 
    November 2, 1979, until April 1986. In 1986, AMS installed a 200-gallon 
    plastic tank to collect waste from the drain leading from 
    decontamination showers, the laundry, and sinks, and discontinued use 
    of the 55-gallon drum for discharge. One of the two tanks in the WHUT 
    room, a 500-gallon tank, was no longer receiving liquid waste when the 
    200-gallon tank was installed in 1986, and the use of the other tank in 
    the WHUT room (100-gallon capacity) was discontinued in 1988, when the 
    WHUT room was isolated. The batch method of determining concentration 
    and total volume of the liquid discharge from the 200-gallon tank, to 
    show compliance, continued until May 1989, when discharge to the 
    sanitary sewer (via floor drains) was discontinued completely.
    
    III. Discussion
    
        The District's petition requests the NRC to require AMS to install, 
    maintain, and operate a radiation alarm system on all drains at the AMS 
    Facility that lead to either sanitary or storm sewers. The request to 
    modify the license by having alarms installed appears to be an effort 
    to put in place a mechanism that would indicate when cobalt-60 is 
    entering the District's sanitary sewer system, and, in turn, to stop 
    the entry of the cobalt-60 into the sanitary sewer system on positive 
    indication of material.
        Most of the bases for the Petition are restatements of facts, or 
    existing information in previously published documents, that are 
    associated with the facility at 1020 London Road. Since 1989, when AMS 
    changed its decontamination process to a dry method, AMS' records 
    indicate that AMS has not disposed of any radioactive waste into the 
    sanitary sewer drain.
        The District has incurred costs of nearly $2 million addressing the 
    cobalt-60 contamination at its Easterly and Southerly wastewater 
    treatment plants. The District's apparent concern in this Petition is 
    the threat that the London Road facility poses to the District's 
    treatment facilities, primarily pertaining to the imposition of 
    additional costs through release of cobalt-60 from the AMS facility 
    into the District's system. As described below, however, neither the 
    nature or activity of the contamination in the WHUT room, in light of 
    the condition of the WHUT room, nor the requirements formally 
    applicable to Picker, establish any basis
    
    [[Page 63341]]
    
    to take the requested action. This cobalt-60 contamination is in a dry 
    state, and the WHUT room is completely isolated from the sewer system 
    and from accidental access. There are no floor drains in the WHUT room, 
    and there is no water supply into or out of the room. Accordingly, the 
    existence of contamination of 393 curies (14.5 terabecquerels) of 
    loose, ``talcum-like'' cobalt-60 in the WHUT room in the basement does 
    not warrant granting of the District's request.
        The District indicated there had been an alarm and control system 
    that had once been in place when Picker operated the facility, up to 
    November of 1979. In connection with this type of system, the District 
    states that the system had not been a required condition of the license 
    after Picker terminated work at the facility, and operations continued 
    under the AMS license. In its original license application to show 
    compliance with the regulations at that time, Picker included 
    conditions requiring a water-monitoring system that detected 
    concentration levels in a drainpipe. The system that Picker described 
    in the Informational Memorandum No. 6, ``Calibration and Evaluation of 
    Water Monitor System,'' submitted by Picker to the NRC on December 2, 
    1959, was used as both a control system, to prevent discharge above a 
    preset limiting concentration, and as a method of showing compliance 
    with then-applicable regulations. However, this documentation does not 
    indicate that there had been any alarm as part of the system--nor is it 
    documented, from that time, why the in-line system was discontinued, 
    and a batch method used in its stead, in 1974. See OR Inspection Report 
    74-01, License No. 34-07225-09, transmittal dated May 3, 1974. Two 
    interviewees questioned during a 1993 inspection indicated that the in-
    line system was discontinued because the in-line G-M detector needed to 
    be replaced, but was no longer manufactured or available. See Report 
    No. 030-16055/93003 (DRSS) at 11. Both procedures, the in-line 
    monitoring method and the batch method, at the time they were being 
    used, satisfied the requirement to show compliance independently, and, 
    therefore, either procedure was considered acceptable at the time of 
    the request.
        The Oak Ridge Associated Universities report that recommended 
    monitoring the discharge to the sanitary sewer and placing a servo-
    valve mechanism on the drains was part of a larger report. See 
    ``Evaluation of the Operational Radiation Safety and Fire Protection 
    Programs of the Advanced Medical Systems, Inc., London Road Facility, 
    Cleveland, Ohio,'' December 1985. This method was given as an 
    alternative for developing a contingency plan for controlling release 
    to the sanitary sewer system in case of a major spill into the 
    basement. The other alternative offered in this report was to seal the 
    drains in the basement floor, so that any release could be monitored 
    before releasing to the sewer system. AMS chose this latter alternative 
    as a means of preventing an unmonitored release. The method of sealing 
    the drains was determined to be appropriate to ensure compliance with 
    10 CFR 20.303 (1985). A continuous monitor could be used for the 
    purpose of detecting a major unintended release, but might be 
    relatively insensitive for normal operations.
        In October 1994, the District issued an Executive Director's Order 
    to AMS terminating all sewer service effective October 24, 1994. In 
    November 1994, the District placed a compression plug in the AMS 
    lateral sewer line that connects the AMS Facility to the District's 
    sewer system under London Road. Thus, in effect, the District isolated 
    the AMS Facility's sanitary and storm drain lines from the sanitary 
    sewerage treatment system. In mid-1995, AMS grouted shut the entire 
    lateral line, to immobilize any residual cobalt-60 that remained in the 
    lateral. AMS' grouting of the lateral line blocked release, through the 
    lateral, from the AMS Facility to the District's sewer system. At some 
    point following the grouting operation, the District removed the 
    compression plug on AMS' lateral sewer line. Currently, there are 
    drains at the AMS Facility that lead from the rooftop (for rainwater) 
    to the main sewer system in London Road, but there are no other drains 
    from the facility that are connected to the sewer system. The lateral 
    connector, which connects all drains originating from within the AMS 
    Facility to the District's sewer line, remains grouted. Also, in a 
    settlement agreement between the District and AMS, executed on December 
    20, 1996, the District indicated that it would allow re-connection of 
    the AMS Facility to its London Road Interceptor pursuant to procedures 
    set forth in the agreement, provided that several conditions were first 
    satisfied. As of the date of this Director's Decision, AMS has not 
    executed all the conditions in the agreement. The December 1996 
    settlement agreement states that re-connection shall be in full 
    accordance with several criteria and requirements, with one of the 
    requirements being that AMS must agree not to discharge any cobalt-60 
    into the sanitary sewer system, directly or indirectly. See Settlement 
    Agreement dated December 20, 1996, at 10, forwarded by a letter from 
    Dwight Miller, Stavole & Miller, Attorneys and Counsellors at Law, to 
    John Madera, Chief, Materials Inspection Branch 1, Region III, dated 
    January 6, 1997. With this agreement for re-connection in place, and 
    with the only connection between the interior of the AMS Facility and 
    the District's sewer system grouted, until AMS satisfies the condition 
    of the settlement agreement, the requested requirement for an alarm 
    system is not necessary at this time.
        The existence of unsealed cobalt-60 at the AMS Facility does 
    represent a potential risk. As the NRC staff has previously stated, the 
    possibility remains that the contamination existing on site might be 
    spread to areas offsite or that future operations could result in 
    offsite contamination. Such offsite contamination would not necessarily 
    spread to the District's system, however. In addition, the likelihood 
    of accidental release of cobalt-60 from the licensee's facility has 
    diminished and continues to do so. Advanced Medical Systems (DD-94-6) 
    39 NRC 373, 379 (1994). Since 1994, the amount of cobalt-60 that could 
    be released in an accident at the licensee's facility has been greatly 
    diminished because of disposals to a licensed disposal site. See NRC 
    Inspection Report No. 030-16055/97001(DNMS) (March 7, 1997). Moreover, 
    NRC inspection and review of records have not revealed any 
    documentation at AMS or other evidence that would indicate discharges 
    into the sanitary sewer system have been in excess of authorized 
    limits. Advanced Medical Systems, Inc. (DD-97-13) 45 NRC 460, 465 
    (1997). As the situation exists today, the NRC staff concludes that 
    neither the contamination at the facility nor the licensee's drainage 
    system present an immediate health and safety hazard to the public, and 
    that the requested action is not warranted.
    
    IV. Conclusion
    
        The staff has carefully considered the request of the Petitioner. 
    In addition, the staff has evaluated the bases for the Petitioner's 
    request. For the reasons discussed above, the District's request for 
    action pursuant to section 2.206 is denied, and no action pursuant to 
    section 2.206 is being taken in this matter.
        As provided by 10 CFR 2.206, a copy of this Decision will be filed 
    with the Secretary of the Commission for the Commission's review. The 
    Decision will
    
    [[Page 63342]]
    
    become the final action of the Commission 25 days after issuance, 
    unless the Commission, on its own motion, institutes review of the 
    Decision within that time.
    
        Dated at Rockville, Maryland, November 4, 1998.
    
        For the Nuclear Regulatory Commission.
    Carl J. Paperiello,
    Director, Office of Nuclear Material Safety and Safeguards.
    [FR Doc. 98-30252 Filed 11-10-98; 8:45 am]
    BILLING CODE 7590-01-P
    
    
    

Document Information

Published:
11/12/1998
Department:
Nuclear Regulatory Commission
Entry Type:
Notice
Document Number:
98-30252
Pages:
63339-63342 (4 pages)
Docket Numbers:
Docket No. 030-16055
PDF File:
98-30252.pdf