[Federal Register Volume 60, Number 181 (Tuesday, September 19, 1995)]
[Proposed Rules]
[Pages 48427-48428]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-23178]
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Proposed Rules
Federal Register
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This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
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Federal Register / Vol. 60, No. 181 / Tuesday, September 19, 1995 /
Proposed Rules
[[Page 48427]]
NUCLEAR REGULATORY COMMISSION
10 CFR Part 50
RIN 3150-AD10
Acceptance of Products Purchased for Use in Nuclear Power Plant
Structures, Systems, and Components; Withdrawal
AGENCY: Nuclear Regulatory Commission.
ACTION: Advance notice of proposed rulemaking: Withdrawal.
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SUMMARY: The Nuclear Regulatory Commission is withdrawing an advance
notice of proposed rulemaking (ANPR) concerning the procurement and
dedication of commercial grade items. The ANPR sought comment on the
need for additional regulatory requirements and for obtaining an
improved understanding of alternatives to regulatory requirements. On
the basis of its findings, the NRC staff recommended to the Commission
that this ANPR be withdrawn. The Commission has approved the withdrawal
of this rulemaking.
FOR FURTHER INFORMATION CONTACT: Gregory Cwalina, Office of Nuclear
Reactor Regulation, Division of Technical Support, Special Inspection
Branch, U.S. Nuclear Regulatory Commission, Washington, DC 20555-0001,
telephone (301) 415-2983.
SUPPLEMENTARY INFORMATION: On March 6, 1989 (54 FR 9229), the NRC staff
published in the Federal Register an ANPR, on the need for regulatory
actions to effect improvements for procurement, receipt inspection and
testing, and dedication programs, in response to the findings of 13
inspections performed on licensees from 1986 through 1989. In the ANPR,
the NRC staff explained that the NRC was considering the need for
additional regulatory requirements and needed to obtain an improved
understanding of alternatives to regulatory requirements.
The inspections on commercial grade dedication programs identified
major programmatic deficiencies. On February 21, 1990, the NRC staff
submitted to the Commission SECY-90-057, ``Acceptance of Products
Purchased for Use in Nuclear Power Plant Structures, Systems, and
Components,'' to summarize the NRC's analysis of the public comments on
the ANPR and its actions regarding the proposed rulemaking. The NRC
staff concluded that (1) More regulatory guidance and direction may be
necessary to ensure that the basic requirements for procurement and
dedication are clearly stated and understood, (2) the NRC may not need
to perform the rulemaking if the industry properly implemented the
initiatives it had begun, and (3) the NRC staff would monitor the
industry's efforts to determine if the progress made warranted
deferring the rulemaking.
On March 7, 1990, the NRC staff forwarded to the Commission SECY-
90-076, ``Inspection and Enforcement Initiatives for Commercial-Grade
Procurement and Dedication Programs,'' in which the NRC staff described
its actions to defer programmatic inspections of licensees' procurement
and dedication programs for about 1 year while monitoring the
industry's developments, improvements, and initiatives in this area.
On August 24, 1990, the NRC staff forwarded to the Commission SECY-
90-304, ``Nuclear Management and Resources Council (NUMARC) Initiatives
on Procurement,'' in which the NRC staff reported the status of
NUMARC's initiatives on general procurement practices. The NRC staff
stated it would conduct assessments at selected sites to review the
licensees' implementation of improved procurement and commercial grade
dedication programs and to assess improvements made in the areas
covered by the NUMARC initiatives. The NRC staff began the first of
eight planned assessments on February 4, 1991.
On April 9, 1991, the NRC staff issued Generic Letter 91-05,
``Licensee Commercial-Grade Procurement and Dedication Programs,'' in
which the NRC staff expressed NRC positions regarding certain aspects
of licensee procurement and dedication programs and discussed a number
of deficiencies in licensees' commercial grade dedication programs
noted during previous team inspections.
On September 16, 1991, the NRC staff forwarded to the Commission
SECY-91-291, ``Status of NRC's Procurement Assessments and Resumption
of Programmatic Inspection Activity,'' in which the NRC staff reported
on the findings of its assessments from February 1991 through July
1991. The NRC staff concluded that although improvements had been made
in licensees' procurement and dedication programs, weaknesses in
implementation still existed. The NRC staff began developing an
inspection procedure (IP) and conducted five pilot inspections between
December 1991 and June 1992. The NRC staff continued to identify
weaknesses in the implementation of licensees' dedication programs.
Because of the findings of these inspections, the NRC staff held
numerous meetings with NUMARC, industry, and licensees from November
1992 to March 1993. After the pilot inspections were completed, the IP
was revised and in March 1993, the NRC staff submitted the draft IP for
public comment.
Weaknesses identified during the procurement assessments and pilot
inspections were related to implementation of the programs (i.e.,
dedication of specific items), and not to the programs themselves.
Adoption of the industry guidance has, for the most part, resulted in
licensees having acceptable programs for the dedication of commercial
grade items. These programs also adequately assure that counterfeit,
substandard or fraudulently marketed materials will not be accepted for
use. The NRC staff's assessment and inspection activities did not
identify any instances of counterfeit or fraudulent material being
accepted for use by any of the plants examined.
In April 1993, the NRC staff held a public workshop, at which the
draft IP and various dedication issues were discussed. The public
comment period closed in May 1993. The comment analysis and the
revisions to the IP and dedication guidance were finished in June 1993.
On November 8, 1993, the NRC staff issued the IP. Recent experience
with the new IP demonstrated that the current inspection approach
provides an effective means for assuring that licensee procurement and
dedication
[[Page 48428]]
activities will prevent the acceptance of counterfeit and fraudulent
materials.
Based on the findings of the original inspections, assessments, and
pilot inspections, the NRC staff believes that problems identified with
respect to the quality of items dedicated for use in safety-related
applications are adequately addressed by the requirements of Appendix B
of Part 50 and are problems of compliance, rather than of inadequate
rules. The NRC staff and industry worked closely together to improve
industry efforts in procurement and commercial grade dedication.
Therefore, there appears to be no need for new regulations addressed to
the quality of items dedicated for use in safety-related applications.
Part of the NRC staff's reason for originally proposing rulemaking
was to reduce the likelihood of counterfeit or fraudulently marketed
products from being accepted for use. The NRC staff has issued numerous
information notices regarding specific cases of fraudulent parts being
found in nuclear facilities and guidance on how to detect them. The NRC
staff has also issued two generic letters presenting information
regarding procurement program improvements to help prevent the
acceptance and use of counterfeit or fraudulently marketed products.
This issue is also addressed as part of the NUMARC Comprehensive
Procurement Initiative.
Finally, the Commission issued a rule change to 10 CFR Part 50
(Sec. 50.5, Deliberate misconduct) that gives the NRC staff an
additional regulatory tool to pursue cases in which a licensee
contractor or subcontractor has deliberately provided material, goods,
or services that causes or may cause the licensee to be in violation of
a rule. A supplier providing counterfeit and/or substandard materials
to be used in safety-related applications is subject to that rule.
Therefore, additional rulemaking to specifically address fraudulent
parts appears unnecessary.
For these reasons, the Commission has concluded that the nuclear
industry has made significant progress toward improving its procurement
and commercial grade dedication programs and believes that problems
identified with respect to the quality of items dedicated for use in
safety-related applications are adequately addressed by the
requirements of 10 CFR Part 50, Appendix B. Therefore, there appears to
be no need for new regulations addressed to the quality of items
dedicated for use in safety-related applications. Accordingly, the
Commission is withdrawing the ANPR.
Dated at Rockville, Maryland, this 8th day of September, 1995.
For the Nuclear Regulatory Commission.
James M. Taylor,
Executive Director for Operations.
[FR Doc. 95-23178 Filed 9-18-95; 8:45 am]
BILLING CODE 7590-01-P
