[Federal Register Volume 60, Number 173 (Thursday, September 7, 1995)]
[Notices]
[Pages 46630-46633]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-22186]



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NUCLEAR REGULATORY COMMISSION
[Docket 70-27]


Finding of No Significant Impact and Notice of Opportunity for a 
Hearing, Renewal of Special Nuclear Material License SNM-42, Babcock & 
Wilcox Company, Naval Nuclear Fuel Division, Lynchburg, VA

    The U.S. Nuclear Regulatory Commission is considering the renewal 
of Special Nuclear Material License SNM-42 for the continued operation 
of the Babcock & Wilcox (B&W) Naval Nuclear Fuel Division (NNFD) and 
Lynchburg Technology Center (LTC) in Lynchburg, Virginia.

Summary of the Environmental Assessment

Identification of the Proposed Action:

    B&W has requested the renewal of Special Nuclear Material License 
SNM-42 for the NNFD and LTC for a period of 10 years. In 1994, the NRC 
approved the consolidation of all activities authorized under LTC's 
License SNM-778 into NNFD's License SNM-42.
    The B&W facility is located on a 212-hectare (525-acre) site in the 
northeastern corner of Campbell County, approximately 8 km (5 miles) 
east of Lynchburg, Virginia. This site is located in a generally rural 
area, consisting primarily of rolling hills with gentle slopes, 
farmland, and woodlands. The NNFD/LTC coexists on the site with the B&W 
Fuel Company plant which is separately licensed by the NRC. The 
combined NNFD/LTC facility is centrally located on the site with the 
main manufacturing complex contained in a 7.7-hectare (19-acre) fenced 
area and the LTC complex contained in a 5.5-hectare (13.6-acre) area 
for a combined total of 13.2 hectares (32.6 acres).
    With this renewal, the combined NNFD/LTC activities will continue. 
The licensed activities include:
     The fabrication of unirradiated, highly enriched uranium 
into complete core assemblies for nuclear reactor fuel components for 
the U.S. Navy propulsion program and other government agencies, as well 
as university and other research reactors.
     The recovery of process uranium from scrap material.
     The continuation of existing research and development 
operations and non-nuclear process control research.
     The availability of analytical services for commercial 
power plants.
     The decontamination of reactor related hardware for 
inspection and evaluation.

The Need for The Proposed Action

    The NNFD operation primarily supports the U.S. Navy propulsion 
program including fuel loading and subsequent refueling of ship 
reactors. The demand for this operation will continue in order to 
maintain at least the present fleet operation. If the operation of the 
NNFD is discontinued, another facility will have to be used in order to 
meet the national security needs of the U.S. Navy. In addition, this 
facility provides nuclear fuel modules to U.S. Department of Energy 
contractors and other research institutions. The LTC performs research 
and development necessary to create new products and processes, along 
with examining and improving those of the present generation.
    Denial of license renewal for the NNFD/LTC facility would require 
that similar activities be undertaken at another site.

Environmental Impacts of the Proposed Action

    Renewal of the combined NNFD/LTC license, involves a balance of 
positive and negative impacts. The positive impacts include 
contribution to national security, lessening of dependence on fossil 
fuels, and lessening of the negative environmental impacts related to 
production and utilization of fossil fuels. The negative impacts 
include releases of radioactive materials in the various environmental 
media associated with facility operation.
    For the proposed action, renewal of the combined NNFD/LTC license, 
the continued handling of materials and conduct of operations at the 
facility poses a potential impact to the environment and public health 
and safety. For normal operations, the impact is related to the release 
of low levels of toxic or radioactive materials to the environment over 
extended periods of time. For accident conditions, the 

[[Page 46631]]
hazard may involve release of higher concentrations of materials over 
relatively short periods of time.
    The nonradioactive gaseous emissions from the combined NNFD/LTC are 
nitrogen oxides and fluoride compounds released from the process 
buildings and combustion products released from the steam plant. The 
state-issued air quality permit for the facility calls for the NOX 
concentration at the site boundary to meet National Ambient Air Quality 
Standards (NAAQS). It has been determined that a maximum sector annual 
average NOX concentration is approximately 0.8 percent of the 
NAAQS limit for NOX. Consequently, it is concluded that NOX 
emissions produce an insignificant environmental impact (NRC, 1991). 
The maximum hydrogen fluoride (HF) site boundary concentration is 
estimated as 0.04 g/m \3\ . This concentration is 
approximately 1 percent of the time weighted average threshold limit 
value (TLV) proposed for workers by the American Conference of 
Governmental Industrial Hygienists (ACGIH) (ACGIH, 1986). Consequently, 
no significant impacts are expected.
    Potential surface water impacts associated with operation of the 
combined NNFD/LTC include disruption of flow of the James River due to 
withdrawals and degradation of water quality of the river due to 
contaminant releases. The design capacity for withdrawal by the B&W 
facility is 0.02 m \3\/s (0.67 ft \3\/s). To date, this use of the 
James River by the B&W facility has had no adverse impact on the James 
River flow rate. The flow rates associated with future operations are 
expected to be similar or less than the historical flows; no additional 
impact is expected.
    Degradation of surface water quality is prevented by enforcement of 
release limits and monitoring programs mandated under the facility 
National Pollution Discharge Elimination Systems (NPDES) permit. LTC 
liquid discharges are a small part of the combined discharges, which 
are monitored under this permit. NPDES permit conditions were exceeded 
twice during the 1989 through 1993 period. In the first instance, the 
discharge load for fluoride was exceeded during September 1993. In the 
second instance, the permit level for fecal coliform was exceeded at an 
internal monitoring point during July 1994 but was within limits at the 
final release monitoring point. This infrequent exceedance of NPDES 
levels does not indicate occurrence of a significant environmental 
impact.
    Potential groundwater impacts include drawdown of the water table 
in the vicinity of facility wells and degradation of groundwater 
quality due to uncontrolled leakage to the subsurface soils. The B&W 
withdrawals of groundwater in the area of the James River are small in 
comparison to the capacity of the wells and the groundwater system.
    There are no discharges of waste waters to ponds that could result 
in groundwater contamination from proposed operations except for those 
ponds that are used to manage the flow rate of discharges into the 
James River. The groundwater does have high levels of trichloroethylene 
(TCE) contamination from previous leaks which have been identified and 
eliminated.
    On September 27, 1991, the Environmental Protection Agency (EPA) 
Region III issued a Final Order of Consent (Docket RCRA-III-050-CA) 
under Section 3008(h) of the Resource Conservation Reauthorization Act 
(RCRA), as amended. The Consent Order specified that B&W perform 
interim measures to prevent or relieve immediate threats to human 
health or the environment, perform a RCRA field investigation (RFI) to 
delineate the nature and extent of any releases of past raw products or 
wastes, and to perform a corrective measures study (CMS) to identify 
and evaluate alternatives for corrective action (B&W, 1995b).
    On April 17, 1995, the draft RFI report was completed and submitted 
to EPA Region III. The RFI report identified three groundwater plumes 
which were contaminated with TCE, tetrachloroethylene (PCE), and 
related degradation constituents above the drinking water limit of 
0.005 parts per million (ppm). The largest plume (Plume A) is located 
beneath the NNFD plant, extending 884 m (2,900 feet) from the upper 
road on the southwest portion of the site northeast to the James River. 
Plume A has a maximum width 365 m (1,200 feet), an approximate area of 
28 hectares (70 acres), and an average concentration of 0.1 ppm TCE. 
The TCE source areas for plume A are the former TCE storage tank 
location where the maximum groundwater contamination is 145 ppm TCE, 
and a former zirconium chip burning area near the James River where the 
maximum groundwater contamination is 44.3 ppm TCE (B&W, 1995b).
    The second largest plume (Plume C) is located beneath the 
Commercial Nuclear Fuel Plant (CNFP), extending 503 m (1,650 feet) from 
the upper side of the CNFP plant north towards the James River. Plume C 
has a maximum width of 190 m (625 feet), an approximate area of 10 
hectare (24 acres) and an average concentration of 0.01 ppm TCE. The 
TCE source area for plume C is the former TCE storage tank location, 
and the maximum groundwater contamination is 0.397 ppm TCE (B&W, 
1995b).
    The third largest plume (Plume B) is located on the western portion 
of the site where the former uranium recovery building was buried. 
Plume B has a maximum length of 229 m (750 feet), a maximum width of 90 
meters (300 feet), an approximate area of 2 hectares (5 acres), and an 
average concentration of 0.1 ppm TCE and 0.1 ppm PCE. The exact TCE and 
PCE source areas for plume B are unknown, but are most likely due to 
past waste disposal practices in the building disposal area. The 
maximum groundwater contamination is 3.4 ppm TCE and 58.6 ppm PCE. Upon 
EPA Region III approval of the RFI report, B&W will proceed with the 
CMS, where alternatives for corrective action will be evaluated (B&W, 
1995b).
    All but two of the underground tanks installed at the site have 
been removed and so the potential for accidental contamination of the 
groundwater is reduced. Remediation plans are being prepared for the 
cleanup of the TCE plume. The continued operation of the combined NNFD/
LTC is not expected to result in any additional negative impact on the 
local groundwater.
    Operation of the NNFD and LTC may pose risks to public health and 
safety due to release of radioactive material under normal operational 
or accident conditions. Radioactive materials released from the NNFD 
and LTC may reach the public through a variety of transport pathways 
contributing to both internal and external exposures. For atmospheric 
releases; internal exposures may occur through inhalation of 
radioactive material dispersed in the air or ingestion of crops and 
animal products which come in contact with radioactive material 
deposited from the air. External exposures may occur through direct 
radiation from an airborne plume or from particulates deposited onto 
the ground from the plume. For liquid releases, internal exposures from 
ingestion of water or irrigated crops may occur. External exposures 
from recreational activities, including swimming and boating may occur. 
For atmospheric releases, potentially exposed members of the public 
considered in the analysis include a maximally exposed individual 
located at the site boundary and the population out to a distance of 80 
kilometers (50 miles). In order to 

[[Page 46632]]
provide a conservative evaluation of potential liquid pathway impacts, 
the analysis assumes that a maximally exposed individual downstream of 
the facility and the surrounding population obtain drinking water and 
irrigation water from the James River.
    The NNFD releases radioactive material to the atmosphere from 
approximately 27 stacks while the LTC releases radioactive material 
from 2 stacks. The NNFD releases are primarily uranium while the LTC 
releases are mixed fission products, including H-3 and Kr-85. For 
internal exposures, uranium is the dominant radionuclide; inhalation 
exposures are greater than ingestion exposures, and the lung is the 
controlling organ.
    Low-level liquid radioactive waste from the NNFD and the LTC are 
processed through the Waste Treatment Facility. The system effluent is 
monitored and released to the James River. Releases attributable to the 
NNFD are primarily uranium while those from the LTC are primarily 
tritium.
    NRC regulations (10 CFR 20.1301) require that total effective dose 
equivalent (TEDE) for members of the public not exceed 1.0x10-\3\ Sv 
(100 mrem) per year. In addition, EPA regulations (40 CFR Part 190) 
require that for routine releases to the general environment, the 
annual dose equivalent not exceed 2.5x10-\4\ Sv (25 mrem) to the whole 
body, 7.5x10-\4\ Sv (75 mrem) to the thyroid, and 2.5x10-\4\ Sv (25 
mrem) to any other organ (EPA, 1977). For releases to the atmosphere, 
EPA regulations (40 CFR Part 61) require that the annual effective dose 
equivalent not exceed 1.0x10-\4\ Sv (10 mrem) (EPA, 1991). Doses 
associated with NNFD and LTC operations are dominated by releases to 
the atmosphere. For the maximally exposed individual, TEDE is estimated 
as 2.4x10-\7\ Sv (0.024 mrem) while the largest dose to a tissue is 
estimated as 2.0x10-\6\ Sv (0.2 mrem) to the lung. The doses are small 
fractions of the limits established by the NRC and EPA and indicate 
that facility operations will have insignificant impact on public 
health and safety. Because conservative assumptions were used in the 
analysis, actual doses are expected to be lower.
    The NNFD and LTC handle materials which could pose a risk to public 
health and safety if released during accidents. Prior NRC analysis of 
operation of the NNFD considered accidents including criticality, fire, 
and flood (NRC, 1978). This prior analysis is supplemented by 
consideration of the research and development, analytical, and 
decontamination operations conducted at the LTC. The initial step in 
the accident analysis is auditing of hazardous materials and 
potentially hazardous activities present or conducted at the facility. 
Other than radioactive materials, the LTC does not contain significant 
inventories of potentially hazardous materials. In addition, the 
facility does not fabricate or convert materials in any continuous 
process. Thus, the handling and examination of fuel assemblies and the 
management of effluents associated with these operations are the 
activities which may pose a risk to the public health and safety.
    The NNFD conducts an environmental monitoring program which 
includes sediment, soil, vegetation, surface water, air, and 
groundwater media at 20 locations on or near the facility. The program 
is intended to identify trends in concentrations or accumulation of 
uranium or other contaminants in the environment. Action levels have 
been established for each media to provide a basis for response to 
potential problems. Actions triggered by exceedance of an action level 
may include resampling of the area, performance of isotopic analysis, 
investigation of the source of contamination, elimination of the source 
of contamination, or termination of operations pending identification 
of a method for reduction of contaminant levels. Environmental 
monitoring results are reviewed as part of the ALARA program.
    The NRC staff has reviewed the location of the environmental 
monitoring program sampling points, the frequency of sample collection, 
and the trends of the sampling program results in conjunction with 
environmental pathway and exposure analysis and concluded that the 
monitoring program provides adequate protection of public health and 
safety.

Alternatives to the Proposed Action

    Implementation of the license renewal alternative involves 
continued operation of the facility at levels consistent with past 
practice for both the NNFD and LTC. Data and analysis presented in this 
Environmental Assessment updates and supplements the data and analysis 
presented in an Environmental Assessment (NRC, 1991) prepared earlier 
in the license renewal process. No new major construction or 
introduction of new processes is contemplated. The nature of the 
manufacturing, research, and waste management operations is summarized 
in this section. The system description presented in this section is 
adapted from material contained in the prior B&W Environmental 
Assessment (NRC, 1991) and license renewal application (B&W, 1995a).
    The alternative of denial of license renewal for the B&W combined 
NNFD/LTC facility at the Lynchburg, Virginia site implies cessation of 
manufacturing and commencement of decontamination and decommissioning 
(D&D) of the facility. Decontamination and decommissioning activities 
would be substantially the same as those described for the license 
renewal alternative in Section 2.1 of this environmental assessment. 
However, since the fuel utilization requirements of the naval 
propulsion program and the university training and research programs 
would remain unchanged, selection of this alternative implies transfer 
of fuel production activities to a new site.

Agencies and Persons Consulted

     Virginia State Health Department, Bureau of Radiological 
Health.
     Virginia Department of Environmental Quality.

--Mixed Waste Issues Enforcement Branch
--Water Control
--Air Quality
--West Central Regional Office
--Enforcement

     Virginia Labor Market Area Office, Virginia Employment 
Commission.
     City of Lynchburg, Economic Development Office.
     Environmental Protection Agency, RCRA Enforcement Branch, 
Region 3.
     Appomatax County Administrator.
    Other sources used in the preparation of the EA include the 
following:
    Babcock & Wilcox, 1995a, License Renewal Application, SNM-42, Naval 
Nuclear Fuel Division, Lynchburg, VA, February 1995.
    Babcock & Wilcox, 1995b, Supplemental Information to NRC, April 
1995.
    Babcock & Wilcox, 1991, Environmental Report, Naval Nuclear Fuel 
Division, Lynchburg, VA, August 1991.
    Babcock & Wilcox, 1989, National Pollution Discharge Permit 
Application, VA0003697, September 27, 1989.
    Biological Monitoring, Inc., 1989, Final Year End Report for On-
Site Effluent Toxicity Studies and Biological Studies of the James 
River Performed in August and September 1989, Prepared for Babcock & 
Wilcox.
    U.S. Nuclear Regulatory Commission, 1991, Environmental Assessment 
for Renewal of Special Nuclear Material License No. SNM-42, Docket No. 
70-27 Naval Nuclear Fuel Division, Lynchburg, VA, August 1991. 

[[Page 46633]]

    U.S. Nuclear Regulatory Commission, 1986, Environmental Assessment 
for Renewal of Material License No. SNM-778, Docket No. 70-824, 
Lynchburg Research Center, Lynchburg, VA, December 1986.
    U.S. Nuclear Regulatory Commission, 1984, Environmental Impact 
Appraisal for Babcock & Wilcox Company, Naval Nuclear Fuel Division, 
Docket No.70-27. Renewal of Special Nuclear Material License No. SNM-
42, Lynchburg, VA, March 1984.
Conclusion

    The NRC staff concludes that the environmental impacts associated 
with the proposed license renewal for continued operation of B&W's 
NNFD/LTC facility are expected to be insignificant.

Finding of No Significant Impact

    The Commission has prepared an Environmental Assessment related to 
the renewal of Special Nuclear Material License SNM-42. On the basis of 
the assessment, the Commission has concluded that environmental impacts 
that would be created by the proposed licensing action would not be 
significant and do not warrant the preparation of an Environmental 
Impact Statement. Accordingly, it has been determined that a Finding of 
No Significant Impact is appropriate.
    The Environmental Assessment and the above documents related to 
this proposed action are available for public inspection and copying at 
the Commission's Public Document Room at the Gelman Building, 2120 L 
Street NW, Washington, DC.

Opportunity for a Hearing

    Any person whose interest may be affected by the issuance of this 
renewal may file a request for a hearing. Any request for hearing must 
be filed with the Office of the Secretary, U.S. Nuclear Regulatory 
Commission, Washington, DC 20555, within 30 days of the publication of 
this notice in the Federal Register; be served on the NRC staff 
(Executive Director for Operations, One White Flint North, 11555 
Rockville Pike, Rockville, MD 20852); and on the licensee (Babcock & 
Wilcox Company, Naval Nuclear Fuel Division, Lynchburg, Virginia); and 
must comply with the requirements for requesting a hearing set forth in 
the Commission's regulation, 10 CFR Part 2, Subpart L, ``Informal 
Hearing Procedures for Adjudications in Materials Licensing 
Proceedings.''
    These requirements, which the requestor must address in detail, 
are:
    1. The interest of the requestor in the proceeding;
    2. How that interest may be affected by the results of the 
proceeding, including the reasons why the requestor should be permitted 
a hearing;
    3. The requestor's areas of concern about the licensing activity 
that is the subject matter of the proceeding; and
    4. The circumstances establishing that the request for hearing is 
timely, that is, filed within 30 days of the date of this notice.
    In addressing how the requestor's interest may be affected by the 
proceeding, the request should describe the nature of the requestor's 
right under the Atomic Energy Act of 1954, as amended, to be made a 
party to the proceeding; the nature and extent of the requestor's 
property, financial, or other (i.e.,health, safety) interest in the 
proceeding; and the possible effect of any order that may be entered in 
the proceeding upon the requestor's interest.

    Dated at Rockville, Maryland, this 30th day of August 1995.

    For the Nuclear Regulatory Commission.
Robert C. Pierson,
Chief, Licensing Branch, Division of Fuel Cycle Safety and Safeguards, 
NMSS.
[FR Doc. 95-22186 Filed 9-6-95; 8:45 am]
BILLING CODE 7590-01-P