[Federal Register Volume 59, Number 174 (Friday, September 9, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-22247]


[[Page Unknown]]

[Federal Register: September 9, 1994]


-----------------------------------------------------------------------

NUCLEAR REGULATORY COMMISSION
[IA 94-017]

 

In the Matter of: Daniel J. McCool; Order Prohibiting Involvement 
in NRC-Licensed Activities (Effective Immediately)

I

    Daniel J. McCool has been employed as a radiographer in the field 
of industrial radiography since approximately 1968. On approximately 
January 1, 1987, Mr. McCool initiated licensed activities at the 
American Inspection Company, Inc., (AMSPEC), in his capacity as 
President. AMSPEC held Materials License No. 12-24801-01 issued by the 
Nuclear Regulatory Commission (NRC or Commission) pursuant to 10 CFR 
Parts 30 and 34. The license authorized the conduct of industrial 
radiography activities in accordance with specified conditions. On 
April 30, 1992, the license was suspended as a result of significant 
safety violations and related safety concerns. Mr. McCool was President 
of AMSPEC at the time of license suspension.

II

    Between August 22, 1991 and November 12, 1992, the NRC Office of 
Investigations conducted an investigation of licensed activities at 
AMSPEC. During the course of this investigation, the AMSPEC license was 
suspended when a significant number of safety violations were 
identified. In addition, the investigation revealed that Mr. McCool, in 
his capacity as President of AMSPEC, conspired with other AMSPEC 
officials to deceive the Commission regarding training of employees 
and, in addition, deliberately provided false sworn testimony to NRC 
officials.
    AMSPEC submitted a Radiation Safety Manual as a part of its license 
application dated September 20, 1986. A part of this manual refers to 
employee training to satisfy the requirements of Appendix A of 10 CFR 
Part 34. This manual was incorporated as a part of License Condition 17 
of the AMSPEC license. In addition, 10 CFR 30.9(a) requires, in part, 
that information provided to the Commission by a licensee, and 
information required by the Commission's regulations to be maintained 
by the licensee, shall be complete and accurate in all material 
respects. 10 CFR 30.10(a) requires, in part, that any licensee or any 
employee of a licensee may not:
    (1) Engage in deliberate misconduct that causes a licensee to be in 
violation of any rule, regulation, or limitation of any license, issued 
by the Commission, or
    (2) Deliberately submit to the NRC information that the person 
submitting the information knows to be incomplete or inaccurate in some 
respect material to the NRC.
    From 1990 through April 1992, Mr. McCool deliberately violated 
License Condition 17 by failing to train new Radiation Protection 
Officers (RPOs), and by allowing others to administer the RPO 
qualification process, including exams and certification, although this 
was contrary to the Radiation Safety Program established in the 
Radiation Safety Manual. For over two years, from late fall 1989 
through April 1992, Mr. McCool failed to perform the radiation safety 
audit function required by the Radiation Safety Program. In addition to 
the above, Mr. McCool deliberately provided false information under 
oath to an investigator and an inspector on May 4, 1992, regarding 
training of an individual in order to qualify that individual for work 
as an RPO.
    On September 22, 1993, Mr. McCool pled guilty to two felony 
violations of the Atomic Energy Act based on his violations of these 
requirements. The violations to which Mr. McCool pled were: (1) 
conspiracy to violate the Atomic Energy Act, and (2) providing false 
information to the NRC.

III

    Based on the above, Mr. McCool engaged in deliberate misconduct 
which caused the licensee to be in violation of the training 
requirements of License Condition 17 and 10 CFR 30.9. The NRC must be 
able to rely on licensees and their employees to comply with NRC 
requirements, including the requirements to train and certify employees 
in radiation safety and procedures and the requirement to provide 
information that is complete and accurate in all material respects. Mr. 
McCool's actions in deliberately causing AMSPEC to be in violation of 
NRC requirements regarding training and completeness and accuracy of 
information and his deliberate false statements to NRC officials in 
violation of 10 CFR 30.10 have raised serious doubt as to whether he 
can be relied on to comply with NRC requirements, including the 
requirement to provide complete and accurate information to the NRC. 
Mr. McCool's deliberate misconduct, including his false statement to 
Commission officials, cannot and will not be tolerated.
    Consequently, I lack the requisite reasonable assurance that 
licensed activities can be conducted in compliance with the 
Commission's requirements and that the health and safety of the public 
will be protected if Mr. McCool were permitted at this time to 
supervise or perform licensed activities in any area where the NRC 
maintains jurisdiction. Therefore, the public health, safety and 
interest require that Mr. McCool be prohibited from engaging in NRC-
licensed activities (including any supervising, training or auditing) 
for either an NRC licensee or an Agreement State licensee performing 
licensed activities in areas of NRC jurisdiction in accordance with 10 
CFR 150.20 for a period of five years commencing after completion of 
the five year period of prohibition, Mr. McCool is required to notify 
the NRC of his employment by any person or entity engaged in NRC-
licensed activities to ensure that the NRC can monitor the status of 
Mr. McCool's compliance with the Commission's requirements and his 
understanding of his commitment to compliance. Furthermore, pursuant to 
10 CFR 2.202, I find that the significance of the conduct described 
above is such that the public health, safety and interest require that 
this order be effective immediately.

IV

    Accordingly, pursuant to sections 81, 161b, 161i, 182 and 186 of 
the Atomic Energy Act of 1954, as amended, and the Commission's 
regulations in 10 CFR 2.202, 10 CFR 30.10, and 10 CFR 150.20, it is 
hereby ordered, effective immediately, that:
    1. Daniel J. McCool is prohibited for five years from the date of 
this Order from engaging in NRC-licensed activities. NRC-licensed 
activities are those activities that are conducted pursuant to a 
specific or general license issued by the NRC, including, but not 
limited to, those activities of Agreement State licensees conducted 
pursuant to the authority granted by 10 CFR 150.20. During this time 
period, Mr. McCool must also provide a copy of this Order to 
prospective employers who engage in NRC-licensed activities, at the 
time he accepts employment.
    2. For a period of five years after the five-year period of 
prohibition has expired, Daniel J. McCool shall, within 20 days of his 
acceptance of each employment offer involving NRC-licensed activities 
or his becoming involved in NRC-licensed activities, as defined in 
Paragraph IV.1 above, provide notice to the Director, Office of 
Enforcement, U.S. Nuclear Regulatory Commission, Washington, D.C. 
20555, of the name, address, and telephone number of the employer or 
the entity where he is, or will be, involved in the NRC-licensed 
activities. In the first notification Mr. McCool shall include a 
statement of his commitment to compliance with regulatory requirements 
and the basis why the Commission should have confidence that he will 
now comply with applicable NRC requirements.
    The Director, Office of Enforcement, may in writing, relax or 
rescind any of the above conditions upon demonstration by Mr. McCool of 
good cause.

V

    In accordance with 10 CFR 2.202, Daniel J. McCool must, and any 
other person adversely affected by this Order may, submit an answer to 
this Order, and may request a hearing on this Order, within 20 days of 
the date of this Order.
    The answer may consent to this Order. Unless the answer consents to 
this Order, the answer shall, in writing and under oath or affirmation, 
specifically admit or deny each allegation or charge made in this Order 
and shall set forth the matters of fact and law on which Daniel J. 
McCool or any other person adversely affected relies and the reasons as 
to why the Order should not have been issued. Any answer or request for 
a hearing shall be submitted to the Secretary, U.S. Nuclear Regulatory 
Commission, Attn: Chief, Docketing and Service Section, Washington, DC 
20555. Copies also shall be sent to the Director, Office of 
Enforcement, U.S. Nuclear Regulatory Commission, Washington, DC 20555, 
to the Assistant General Counsel for Hearings and Enforcement at the 
same address, to the Regional Administrator, NRC Region II, 101 
Marietta Street, NW., Suite 2900, Atlanta, Georgia 30323, and to Daniel 
J. McCool if the answer or hearing request is by a person other than 
Daniel J. McCool. If a person other than Daniel J. McCool requests a 
hearing, that person shall set forth with particularity the manner in 
which his or her interest is adversely affected by this Order and shall 
address the criteria set forth in 10 CFR 2.714(d).
    If a hearing is requested by Daniel J. McCool or another person 
whose interest is adversely affected, the Commission will issue an 
Order designating the time and place of any hearing. If a hearing is 
held, the issue to be considered at the hearing shall be whether this 
Order should be sustained.
    Pursuant to 10 CFR 2.202(c)(2)(i), Daniel J. McCool or any other 
person adversely affected by this Order, may, in addition to demanding 
a hearing, at the time the answer is filed or sooner, move the 
presiding officer to set aside the immediate effectiveness of the Order 
on the ground that the Order, including the need for immediate 
effectiveness, is not based on adequate evidence but on mere suspicion, 
unfounded allegations, or error.
    In the absence of any request for hearing, the provisions specified 
in Section IV above shall be final 20 days from the date of this Order 
without further order or processing. An answer or a request for hearing 
shall not stay the immediate effectiveness of this order.

    Dated at Rockville, Maryland this 26th day of August 1994.

    For the Nuclear Regulatory Commission.
James Lieberman,
Director, Office of Enforcement.
[FR Doc. 94-22247 Filed 9-8-94; 8:45 am]
BILLING CODE 7590-01-M