[Federal Register Volume 67, Number 126 (Monday, July 1, 2002)]
[Notices]
[Pages 44244-44245]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-16453]


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NUCLEAR REGULATORY COMMISSION

[Docket No. 070-7002, Certificates of Compliance, Portsmouth--GDP-2, 
EA-02-108]


Order Modifying Certificate of Compliance (Effective Immediately)

    In the Matter of United States Enrichment Corp., Portsmouth 
Gaseous Diffusion Plant, Portsmouth Ohio.

I

    United States Enrichment Corporation (USEC) holds Certificate of 
Compliance GDP-2, issued by the U.S. Nuclear Regulatory Commission (NRC 
or Commission) authorizing USEC to receive, possess and transfer 
byproduct, source material, and special nuclear material in accordance 
with the Atomic Energy Act of 1954, as amended, and 10 CFR part 76.

II

    On September 11, 2001, terrorists simultaneously attacked targets 
in New York, N.Y., and Washington, DC, utilizing large commercial 
aircraft as weapons. In response to the attacks and intelligence 
information subsequently obtained, the Commission issued a number of 
Safeguards and Threat Advisories to its certificate and license holders 
in order to strengthen certificate and license holders' capabilities 
and readiness to respond to a potential attack on a nuclear facility. 
The Commission has also communicated with other Federal, State and 
local government agencies and industry representatives to discuss and 
evaluate the current threat environment in order to assess the adequacy 
of security measures at regulated facilities. In addition, the 
Commission has commenced a comprehensive review of its safeguards and 
security programs and requirements.
    As a result of its consideration of current safeguards and security 
plan requirements, as well as a review of information provided by the 
intelligence community, the Commission has determined that certain 
compensatory measures are required to be implemented by USEC as 
prudent, interim measures to address the current threat environment. 
Therefore, the Commission is imposing interim requirements, set forth 
in Attachment 1 \1\ of this Order, which supplement existing regulatory 
requirements, to provide the Commission with reasonable assurance that 
the public health and safety and common defense and security continue 
to be adequately protected in the current threat environment. These 
requirements will remain in effect pending notification from the 
Commission that a significant change in the threat environment has 
occurred, or until the Commission determines that other changes are 
needed following a comprehensive re-evaluation of current safeguards 
and security programs.
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    \1\ Attachment 1 contains classified information and will not be 
released to the public.
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    The Commission recognizes that some of the requirements set forth 
in Attachment 1\2\ to this Order may already have been initiated by 
USEC in response to previously issued advisories, or on its own. It is 
also recognized that some measures may need to be tailored to 
specifically accommodate the specific circumstances and characteristics 
existing at USEC's facilities to achieve the intended objectives and 
avoid any unforeseen effect on safe operation.
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    \2\ To the extent that specific measures identified in 
Attachment 1 to this Order require actions pertaining to the USEC's 
possession and use of chemicals, such actions are being directed on 
the basis of the potential impact of such chemicals on radioactive 
materials and activities subject to NRC regulation.
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    Although USEC's response to the Safeguards and Threat Advisories 
has been adequate to provide reasonable assurance of adequate 
protection of public health and safety, the Commission believes that 
the response must be supplemented because of the current threat 
environment. As a result, it is appropriate to require certain security 
measures so that they are maintained within the established regulatory 
framework. In order to provide assurance that USEC is implementing 
prudent measures to achieve an adequate level of protection to address 
the current threat environment, Certificates of Compliance GDP-2 shall 
be modified to include the requirements identified in Attachment 1 to 
this Order. In addition, pursuant to 10 CFR 2.202 and 76.70, I find 
that, in the circumstances described above, the public health, safety 
and interest and the common defense and security require that this 
Order be immediately effective.

III

    Accordingly, pursuant to sections 63, 81, 161b, 161i, 161o, 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 part 76, it is hereby ordered, 
effective immediately, that Certificate of Compliance GDP 2 is modified 
as follows:
    A. USEC shall, notwithstanding the provisions of any Commission 
regulation or certificate to the contrary, comply with the requirements 
described in Attachment 1 to this Order. USEC shall immediately start 
implementation of the requirements in Attachment 1 to the Order and 
shall complete implementation, no later than November 29, 2002.
    B. 1. USEC shall, within twenty (20) days of the date of this 
Order, notify the Commission, (1) if it is unable to comply with any of 
the requirements described in Attachment 1, (2) if compliance with any 
of the requirements is unnecessary in its specific circumstances, or 
(3) if implementation of any of the requirements would cause USEC to be 
in violation of the provisions of any Commission regulation or its 
facility certificates. The notification shall provide USEC's 
justification for seeking

[[Page 44245]]

relief from or variation of any specific requirement.
    2. If USEC considers that implementation of any of the requirements 
described in Attachment 1 to this Order would adversely impact safe 
operation of its facilities, USEC must notify the Commission, within 
twenty (20) days of this Order, of the adverse safety impact, the basis 
for its determination that the requirement has an adverse safety 
impact, and either a proposal for achieving the same objectives 
specified in the Attachment 1 requirement in question, or a schedule 
for modifying the facilities to address the adverse safety condition. 
If neither approach is appropriate, USEC must supplement its response 
to Condition B1 of this Order to identify the condition as a 
requirement with which it cannot comply, with attendant justifications 
as required in Condition B1.
    C. 1. USEC shall, within twenty (20) days of the date of this 
Order, submit to the Commission, a schedule for achieving compliance 
with each requirement described in Attachment 1.
    2. USEC shall report to the Commission when it has achieved full 
compliance with the requirements described in Attachment 1.
    D. Notwithstanding any provision of the Commission's regulations to 
the contrary, all measures implemented or actions taken in response to 
this Order shall be maintained pending notification from the Commission 
that a significant change in the threat environment has occurred, or 
until the Commission determines that other changes are needed following 
a comprehensive re-evaluation of current safeguards and security 
programs.
    USEC's responses to Conditions B.1, B.2, C.1, and C.2, above shall 
be submitted in accordance with 10 CFR 76.5. In addition, USEC's 
submittals that contain classified information shall be properly marked 
and handled in accordance with 10 CFR 95.39.
    The Director, Office of Nuclear Material Safety and Safeguards, 
may, in writing, modify, relax or rescind any of the above conditions 
upon demonstration by USEC of good cause.

IV

    In accordance with 10 CFR 2.202 and 76.70, USEC 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 in which to submit an answer or request a hearing 
must be made in writing to the Director, Office of Nuclear Material 
Safety and Safeguards, U.S. Nuclear Regulatory Commission, Washington, 
DC 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 set forth the matters of fact and law on which USEC 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: Rulemakings and Adjudications Staff, Washington, DC 
20555. Copies also shall be sent to the Director, Office of Nuclear 
Material Safety and Safeguards, and the Director, Office of 
Enforcement, U.S. Nuclear Regulatory Commission, Washington, DC 20555, 
to the Assistant General Counsel for Materials Litigation and 
Enforcement, at the same address, to the Regional Administrator, NRC 
Region III, 801 Warrenville Road, Lisle, Illinois 60532, and to USEC if 
the answer or hearing request is by a person other than USEC. If a 
person other than USEC 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 USEC 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) and 76.70(c)(3), USEC, may, in 
addition to demanding a hearing, at the time the answer is filed or 
sooner, move 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 III 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 III 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.

    For the Nuclear Regulatory Commission.

    Dated this 17th day of June, 2002.
Martin J. Virgilio,
Director, Office of Nuclear Material Safety and Safeguards.
[FR Doc. 02-16453 Filed 6-28-02; 8:45 am]
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