[Federal Register Volume 62, Number 19 (Wednesday, January 29, 1997)]
[Notices]
[Pages 4269-4271]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-2205]
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DEFENSE NUCLEAR FACILITIES SAFETY BOARD
Resolution of Potential Conflict of Interest
The Defense Nuclear Facilities Safety Board (Board) has identified
and resolved potential conflicts of interest situations related to its
proposed
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contractor, Mr. Lary M. McGrew. This Notice, which is a summary of the
facts related to this decision, satisfies the requirements of 10 CFR
1706.8(e) with respect to publication in the Federal Register. Under
the Board's Organizational and Consultant Conflicts of Interests
Regulation, 10 CFR part 1706 (OCI Regulations), an organizational or
consultant conflict of interest (OCI) means that because of other past,
present or future planned activities or relationships, a contractor or
consultant is unable, or potentially unable, to render impartial
assistance or advice to the Board, or the objectivity of such offeror
or contractor in performing work for the Board is or might be otherwise
impaired, or such offeror or contractor has or would have an unfair
competitive advantage. While the OCI Regulations provide that contracts
shall generally not be awarded to an organization where the Board has
determined that an actual or potential OCI exists and cannot be
avoided, the Board may waive this requirement in certain circumstances.
The Board's mission is to provide advice and recommendations to the
Department of Energy (DOE) regarding public health and safety matters
related to DOE's defense nuclear facilities. This includes the review
and evaluation of the content and implementation of health and safety
standards including DOE orders, rules, and other safety requirements,
relating to the design, construction, operation, and decommissioning of
DOE defense nuclear facilities. In late 1991, Congress amended the
Board's enabling Act, broadening the Board's jurisdiction over defense
nuclear facilities to include the assembly, disassembly, and testing of
nuclear weapons. With this increase in responsibility, the Board
revised its priorities to include reviews of additional facilities,
including, principally, the Pantex Plant (Pantex), Nevada Test Site
(NTS), and additional facilities at Oak Ridge Y-12 Plant. Further, the
Board recognized the need to direct its attention to the activities of
the weapons' design laboratories such as Los Alamos National Laboratory
(LANL), Lawrence Livermore National Laboratory (LLNL), and Sandia
National Laboratory (Sandia) as they are actively involved in
developing procedures and processes for the weapons assembly and
disassembly operations at DOE facilities.
Two matters of primary concern to the Board were, and continue to
be, the safety of weapons disassembly operations and maintenance of the
capability to safely conduct nuclear testing operations. While the DOE
had been engaged in these activities for decades, significant and
abrupt changes in the national security posture required dramatic
shifts in emphasis within DOE. Unprecedented numbers of simultaneous
nuclear weapons retirements required DOE to immediately develop and
implement safe and well-engineered dismantlement procedures. Further, a
nuclear testing moratorium, which is still in effect, removed the
primary mechanism (i.e., an active, ongoing testing program) by which
the capability to execute tests safely was exercised and ensured.
Additionally, the weapons programs at the DOE Laboratories have
lost, and continue to lose, skilled and experienced personnel due to
retirement, downsizing, and reassignments. Consequently, the Board
implemented a number of initiatives to meet its oversight
responsibilities including the identification and selection of staff
and outside experts with experience in conventional and nuclear
explosive technology and safety, nuclear materials handling and
storage, criticality safety, and nuclear weapons assembly, storage and
testing.
Since 1992, the Board has been actively involved in these
activities, especially at Pantex. It remains convinced that effective
oversight of weapons disassembly operations and related efforts,
requires a comprehensive understanding of weapons design and technical
features. However, while the Board has acquired staff with basic
knowledge in these areas, and technical support from various outside
experts with direct experience with LLNL designed weapons, it requires
an individual with knowledge and experience of the weapons designed and
developed at LLNL. Based on a search for potential candidates, the
Board has identified Mr. Lary McGrew as an individual with this unique
experience. Mr. McGrew retired from LLNL in 1996 after 37 years of
continuous service in nuclear weapons development programs in the
Weapons Engineering Division. Additionally, during his final two years
at LLNL, he developed and participated in numerous weapons
dismantlement procedures and processes for these activities at Pantex.
Further, Mr. McGrew has provided extensive technical briefings to LLNL
staff on the older weapons systems as they are being retired.
Consequently, based on this experience, Mr. McGrew will be useful to
the Board due to his direct knowledge of the design features of the
LLNL weapons and those features generic to all weapons which must be
considered during disassembly, reassembly, surveillance testing and
dismantlement. His knowledge of weapons testing and the data from those
test will be useful in the ongoing surveillance program and in the
planning and conduct of non-nuclear testing at NTS. Most importantly,
Mr. McGrew can provide invaluable assistance to the Board to help
ensure that Laboratory design criteria are properly incorporated into
every aspect of ongoing operations and facility readiness at both
Pantex and Nevada Device Assembly Facility. Therefore, the Board
believes that this comprehensive and unique knowledge of the LLNL
weapons will significantly enhance its technical capabilities with
respect to health and safety oversight matters associated with weapons
dismantlement and testing issues.
During a routine preaward review, Mr. McGrew informed the Board of
a potential conflict of interest situation arising from his current and
past association with DOE and its weapons program. As a condition of
his retirement, he has agreed to hold no paid position or assignment at
LLNL for a period of one year from August 16, 1996. However, Mr. McGrew
has a continuing relationship as a non-paid consultant and has been
provided a ``Q'' Clearance site access badge as a ``Participating
Guest.'' He is currently assisting the Weapons Division with archival
work to retain historical information on the warhead systems he helped
develop during his career at LLNL. The goal of this project is to
develop an index of the numerous classified and unclassified documents
for each weapons system. He is also providing assistance to the
Laboratory Archive in the cataloging of historical documents involving
the engineering portions of the nuclear weapons developments at LLNL.
The support he provides is limited to these areas and will not include
any work involving the stockpiling, surveillance or dismantlement of
warheads. Further, he will not be involved with any work at DOE
facilities or related activities such as document preparation, review,
or conduct of any of the work associated with the weapons programs. The
other concern relates to this most recent work prior to retirement.
During the past two years at LLNL, he was directly involved in the
development of weapons dismantlement procedures and related activities
at Pantex.
Consequently, the Board had concerns regarding actual or potential
conflicts of interest based primarily on two issues. First, would Mr.
McGrew's continuing relationship with LLNL affect his ability to
provide impartial assistance or advice to the Board. Second, would Mr.
McGrew be placed in a situation as a
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consultant to the Board where he would be reviewing his own work on the
process of weapons dismantlement which occurred within the last few
years prior to his retirement.
The Board reviewed this situation and concluded that, even if the
circumstances could give rise to a potential conflict of interest
situation, it is nonetheless in the best interests of the Government to
have Mr. McGrew provide this support for the reasons described below.
Mr. McGrew's comprehensive knowledge of weapons assembly and
disassembly procedures of nuclear weapons gained through 37 years of
direct experience, is invaluable to the Board in its health and safety
reviews of weapons disassembly and related activities and thus is vital
to the Board's oversight program. Although past reviews have been
conducted by various Board staff, Mr. McGrew's technical expertise will
enhance the Board's ability to perform these reviews more effectively.
Furthermore, the Board recognized that it is unlikely that the work to
be performed by Mr. McGrew could be satisfactorily performed by anyone
whose experience and affiliations would not give rise to a conflict of
interest question. That is because the individuals who have the
requisite expertise in this area could only have obtained such
expertise through previous or current employment or consulting
relationship with one or more of the weapons design laboratories. The
pertinent experience of other qualified individuals would therefore
likely raise similar conflicts questions.
Finally, as the Board is required under its OCI Regulations, where
reasonably possible, to initiate measures which attempt to mitigate an
OCI, Mr. McGrew and the Board have agreed to the following restrictions
during contract performance. The Board will not have Mr. McGrew review
the adequacy or effectiveness of the dismantlement procedures he
developed or critique any other activity he was directly involved with.
Rather, the Board will use his expertise to understand the unique
aspects of the LLNL weapons' development process and how well Pantex is
following these procedures during dismantlement. Also, technical staff
will oversee the work of Mr. McGrew to ensure that all of his resultant
work products are impartial and contain full support for any findings
and conclusions issued thereunder. Further, in accordance with the
Board's OCI Regulations, Mr. McGrew is required to promptly inform the
Board of any new consulting or other contractual arrangements which
could give rise to an OCI. This includes new work, or his acceptance of
a paid position with LLNL.
Accordingly, on the basis of the determination described above and
pursuant to the applicable provisions of 10 CFR part 1706, the Chairman
of the Board granted a Waiver of any conflicts of interests (and the
pertinent provisions of the OCI Regulations) with the effort to be
performed by Mr. McGrew under contract to the Board that might arise
out of his current and past association with LLNL.
Dated: January 23, 1997.
Kenneth M. Pusateri,
General Manager.
[FR Doc. 97-2205 Filed 1-29-97; 8:45 am]
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