[Federal Register Volume 61, Number 65 (Wednesday, April 3, 1996)]
[Notices]
[Pages 14834-14835]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-8101]



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NUCLEAR REGULATORY COMMISSION
[IA 96-018]


Donald J. McDonald, Jr.; Order Prohibiting Involvement in NRC-
Licensed Activities (Effective Immediately)

I

    Mr. Donald J. McDonald, Jr., was employed as an Authorized Nuclear 
In-service Inspector for Factory Mutual Engineering, which is owned by 
Arkwright Mutual Insurance Company, Inc., a contractor of the Illinois 
Power Company (Licensee). Licensee is the holder of License No. NPF-62 
issued by the Nuclear Regulatory Commission (NRC or Commission) 
pursuant to 10 CFR Part 50 on April 17, 1987. The license authorizes 
the operation of Clinton Power Station (facility) in accordance with 
the conditions specified therein. The facility is located on the 
Licensee's site in Clinton, Illinois.

II

    Mr. McDonald first applied for unescorted access to the Clinton 
Power Station by completing a background screening questionnaire on 
March 22, 1994. In response to a question on the questionnaire as to 
whether he had ever been convicted of a felony or misdemeanor, he 
listed one driving while under the influence conviction (DWI). However, 
unescorted access was not pursued further at the time. Mr. McDonald 
completed a second background screening questionnaire on November 3, 
1994, in which he listed no criminal history in response to the same 
question. Subsequently, the Licensee submitted fingerprint cards to the 
Federal Bureau of Investigations (FBI) and was informed that Mr. 
McDonald had a record of three convictions. Illinois Power Company 
denied Mr. McDonald unescorted access to the Clinton Power Station. The 
investigation also determined that Mr. McDonald had falsified his 
educational record.
    The NRC Office of Investigations conducted a transcribed interview 
of Mr. McDonald on November 30, 1995. When asked by the NRC 
Investigator about the failure to list the convictions on the 
background screening questionnaires, Mr. McDonald admitted that he 
knowingly provided inaccurate and incomplete information.

III

    Based on the above, Mr. McDonald engaged in deliberate misconduct 
on March 22, 1994, and November 3, 1994, in that he deliberately 
provided incomplete and inaccurate information on two different access 
authorization applications. The Commission's regulations in 10 CFR 
50.5, in part, prohibit any employee of a contractor of a licensee from 
deliberately submitting to the licensee information that the employee 
knows to be incomplete or inaccurate in some respect material to the 
NRC. Information concerning criminal history and educational history is 
material to the determination the licensee must make in granting or 
denying unescorted access to its facility pursuant to 10 CFR 
73.56(b)(2). Mr. McDonald's actions constituted a violation of 10 CFR 
50.5(a).
    The NRC must be able to rely on the Licensee, its contractors, and 
contractor employees to comply with NRC requirements, including the 
requirement to provide information that is complete and accurate in all 
material respects. Mr. McDonald's actions in deliberately providing 
incomplete and inaccurate information to the Licensee constituted 
deliberate violations of Commission regulations and raised serious 
doubt as to whether he can be relied upon to comply with NRC 
requirements and to provide complete and accurate information to the 
NRC in the future.
    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. McDonald were permitted at this time to be 
involved in NRC-licensed activities or were permitted unescorted access 
to protected or vital areas of NRC-licensed facilities. Therefore, the 
public health, safety and interest require that Mr. McDonald be 
prohibited from any involvement in NRC-licensed activities and be 
prohibited from obtaining unescorted access for a period of three years 
from the date of this Order and, if Mr. McDonald is currently involved 
with an employer in NRC-licensed activities, he must immediately cease 
such activities, inform the NRC of the name, address and telephone 
number of the employer, and provide a copy of this Order to the 
employer. Additionally, for his first acceptance of an employment offer 
involving NRC-licensed activities or the assumption of duties in an 
existing job involving NRC-licensed activities following the three

[[Page 14835]]
year period of prohibition, Mr. McDonald shall provide notice to the 
NRC within 20 days of the acceptance 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, and certify that he will 
comply with NRC regulatory requirements in such employment. 
Furthermore, pursuant to 10 CFR 2.202, I find that the significance of 
Mr. McDonald's conduct described above is such that the public health, 
safety and interest require that this Order be immediately effective.

IV

    Accordingly, pursuant to sections 103, 161b, 161i, 182 and 186 of 
the Atomic Energy Act of 1954, as amended, and the Commission's 
regulations in 10 CFR 2.202, and 10 CFR 50.5, it is hereby ordered, 
effective immediately, that:
    1. (a) Mr. Donald J. McDonald, Jr., is prohibited from engaging in 
NRC-licensed activities and from obtaining unescorted access to 
protected and vital areas of facilities licensed by the NRC for a 
period of three years from the date of this Order. For the purposes of 
this Order, licensed activities include the activities licensed or 
regulated by: (1) NRC; (2) an Agreement State, limited to the 
licensee's conduct of activities within NRC jurisdiction pursuant to 10 
CFR 150.20; and (3) an Agreement State where the licensee is involved 
in the distribution of products that are subject to NRC jurisdiction.
    (b) If Mr. McDonald is currently involved in NRC-licensed 
activities with an employer, he shall immediately cease such 
activities, inform the NRC of the name, address and telephone number of 
the employer, and provide a copy of this Order to the employer.
    2. Following the three year period of prohibition, at the time of 
his first acceptance of an employment offer involving NRC licensed 
activities as defined in Paragraph IV.1 above, or the first assumption 
of duties in an existing job that involve licensed activities, Mr. 
McDonald shall provide notice to the NRC within 20 days of the 
acceptance or assumption of duties 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. This notice (a) shall be provided to 
the Director, Office of Enforcement, U. S. Nuclear Regulatory 
Commission, Washington, D.C. 20555, and (b) shall certify Mr. 
McDonald's commitment to compliance with regulatory requirements and 
provide the basis as to why the Commission should have confidence that 
Mr. McDonald will now comply with applicable NRC requirements.
    The Director, OE, may, in writing, relax or rescind any of the 
above conditions upon demonstration by Mr. McDonald of good cause.

V

    In accordance with 10 CFR 2.202, Mr. McDonald 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. Where good cause is shown, consideration will be 
given to extending the time to request a hearing. A request for 
extension of time must be made in writing to the Director, Office of 
Enforcement, U.S. Nuclear Regulatory Commission Washington, D.C. 20555, 
and include a statement of good cause for the extension. 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 Mr. McDonald or 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 III, 801 Warrenville Road, 
Lisle, IL 60532-4351, and to Mr. McDonald if the answer or hearing 
request is by a person other than Mr. McDonald. If a person other than 
Mr. McDonald requests a hearing, that person shall set forth with 
particularity the manner in which his 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 Mr. McDonald or a 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 such hearing shall be whether this Order 
should be sustained.
    Pursuant to 10 CFR 2.202(c)(2)(i), Mr. McDonald, 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, or written approval of 
an extension of time in which to request a hearing, the provisions 
specified in Section IV above shall be final 20 days from the date of 
this Order without further order or proceedings. If an extension of 
time for requesting a hearing has been approved, the provisions 
specified in Section IV shall be final when the extension expires if a 
hearing request has not been received. An answer or a request for 
hearing shall not stay the immediate effectiveness of this order.

    Dated at Rockville, Maryland this 27th day of March 1996.

    For the Nuclear Regulatory Commission.
James L. Milhoan,
Deputy Executive Director for Nuclear Reactor Regulation, Regional 
Operations, and Research.
[FR Doc. 96-8101 Filed 4-3-96; 8:45 am]
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