[Federal Register Volume 90, Number 166 (Friday, August 29, 2025)]
[Notices]
[Pages 42274-42278]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-16585]


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NUCLEAR REGULATORY COMMISSION

[NRC-2025-0676]


 Enforcement Policy Materials Security Violation Examples

AGENCY: Nuclear Regulatory Commission.

ACTION: Proposed revision to policy statement; request for comment.

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SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) is proposing 
revisions to Section 6.12 of its Enforcement Policy (the Policy). The 
NRC is proposing to revise the examples provided in the Policy of 
violations of physical protection requirements for Category 1 and 
Category 2 quantities of radioactive material.

DATES: Submit comments by September 29, 2025. Comments received after 
this date will be considered if it is practical to do so, but the 
Commission is able to ensure consideration only for comments received 
before this date.

ADDRESSES: You may submit comments by any of the following methods; 
however, the NRC encourages electronic comment submission through the 
Federal rulemaking website:

[[Page 42275]]

     Federal Rulemaking website: Go to https://www.regulations.gov and search for Docket ID NRC-2025-0676. Address 
questions about NRC dockets to Helen Chang; telephone: 301-415-3228; 
email: [email protected]. For technical questions contact the 
individual listed in the FOR FURTHER INFORMATION CONTACT section of 
this document.
     Email comments to: [email protected]. If you do 
not receive an automatic email reply confirming receipt, then contact 
us at 301-415-1677.
     Fax comments to: Secretary, U.S. Nuclear Regulatory 
Commission at 301-415-1101.
     Mail comments to: Secretary, U.S. Nuclear Regulatory 
Commission, Washington, DC 20555-0001, ATTN: Rulemakings and 
Adjudications Staff.
     Hand deliver comments to: 11555 Rockville Pike, Rockville, 
Maryland 20852, between 7:30 a.m. and 4:15 p.m. eastern time, Federal 
workdays; telephone: 301-415-1677.
    For additional direction on obtaining information and submitting 
comments, see ``Obtaining Information and Submitting Comments'' in the 
SUPPLEMENTARY INFORMATION section of this document.

FOR FURTHER INFORMATION CONTACT: David Furst, Office of Enforcement, 
U.S. Nuclear Regulatory Commission, Washington, DC 20555-0001; 
telephone: 301-287-9087, email: [email protected].

SUPPLEMENTARY INFORMATION: 

I. Obtaining Information and Submitting Comments

A. Obtaining Information

    Please refer to Docket ID NRC-2025-0676 when contacting the NRC 
about the availability of information for this action. You may obtain 
publicly available information related to this action by any of the 
following methods:
     Federal Rulemaking website: Go to https://www.regulations.gov and search for Docket ID NRC-2025-0676.
     NRC's Agencywide Documents Access and Management System 
(ADAMS): You may obtain publicly available documents online in the 
ADAMS Public Documents collection at https://www.nrc.gov/reading-rm/adams.html. To begin the search, select ``Begin Web-based ADAMS 
Search.'' For problems with ADAMS, please contact the NRC's Public 
Document Room (PDR) reference staff at 1-800-397-4209, at 301-415-4737, 
or by email to [email protected]. The ADAMS accession number for 
each document referenced (if it is available in ADAMS) is provided the 
first time that it is mentioned in the SUPPLEMENTARY INFORMATION 
section.
     NRC's PDR: The PDR, where you may examine and order copies 
of publicly available documents, is open by appointment. To make an 
appointment to visit the PDR, please send an email to 
[email protected] or call 1-800-397-4209 or 301-415-4737, between 8 
a.m. and 4 p.m. eastern time, Monday through Friday, except Federal 
holidays.

B. Submitting Comments

    The NRC encourages electronic comment submission through the 
Federal rulemaking website (https://www.regulations.gov). Please 
include Docket ID NRC-2025-0676 in your comment submission.
    The NRC cautions you not to include identifying or contact 
information that you do not want to be publicly disclosed in your 
comment submission. The NRC will post all comment submissions at 
https://www.regulations.gov as well as enter the comment submissions 
into ADAMS. The NRC does not routinely edit comment submissions to 
remove identifying or contact information.
    If you are requesting or aggregating comments from other persons 
for submission to the NRC, then you should inform those persons not to 
include identifying or contact information that they do not want to be 
publicly disclosed in their comment submission. Your request should 
state that the NRC does not routinely edit comment submissions to 
remove such information before making the comment submissions available 
to the public or entering the comment into ADAMS.

II. Background

    On November 14, 2005, and December 22, 2005, the NRC issued Orders 
entitled: ``Increased Controls for Licensees that Possess Sources 
Containing Radioactive Material Quantities of Concern,'' also referred 
to as the IC Orders, to radioactive materials licensees who held 
licenses issued by the NRC authorizing possession of such material at 
or above threshold limits. The Orders supplemented existing regulatory 
requirements in title 10 of the Code of Federal Regulations (10 CFR) 
20.1801 and 10 CFR 20.1802 in order to ensure adequate protection of, 
and minimize danger to, the public health and safety.
    On September 28, 2006, NRC issued Enforcement Guidance Memorandum 
(EGM) 06-003, ``Guidance for Dispositioning Enforcement Issues 
Associated with Orders Imposing Increased Controls for Licensees 
Authorized to Possess Radioactive Material Quantities of Concern'' 
which provided interim severity level examples for disposition of 
violations of the IC Orders (ADAMS Accession No. ML062710365). The NRC 
later incorporated those examples into the July 12, 2011, revision to 
the NRC Enforcement Policy (the Policy) by adding Section 6.12 
``Materials Security'' (ADAMS Accession No. ML093480037) which 
superseded EGM-06-003.
    On March 19, 2013 (78 FR 16922), the NRC issued a final rule 
establishing 10 CFR part 37. The rule establishes physical protection 
requirements for licensees in possession of aggregated quantities of 
category 1 or category 2 radioactive material listed in Appendix A, 
``Category 1 and Category 2 Radioactive Materials,'' to 10 CFR part 37. 
Similar requirements had previously been imposed by the IC Orders.
    Section 6.12 ``Materials Security,'' of the Policy contains 
examples of severity levels for violations associated with the physical 
protection requirements of 10 CFR part 37. These examples were 
originally written based on the IC Orders to serve as guidance for 
dispositioning violations of part 37. An update is being proposed to 
reflect the current language in part 37 and to include examples for 
requirements that are new in part 37. The latest revision to the 
Enforcement Policy was on November 1, 2016, when Section 6.12 was 
edited to remove one SL III and one SL IV violation example for 
limiting access to physical protection information.

III. Discussion

    On March 25, 2024, the Office of the Inspector General (OIG) issued 
audit report OIG-24-A-06--Audit of the U.S. Nuclear Regulatory 
Commission's Security Oversight of Category 1 and Category 2 Quantities 
of Radioactive Material (ADAMS Accession No. ML24085A694). The audit 
report identified opportunities ``to strengthen the assessment of 
enforcement activities,'' and recommended, among other things, that the 
NRC staff ``Update the Enforcement Policy and Enforcement Manual to 
specifically reference 10 CFR part 37 requirements.'' In response to 
the OIG recommendations, the staff is proposing to update Section 6.12 
``Material Security,'' of the Enforcement Policy to incorporate 
severity level examples specific to 10 CFR part 37 violations.
    The proposed revision is based on data analysis of previously 
issued enforcement actions and leveraging lessons learned from 
approximately 10

[[Page 42276]]

years of implementation and inspections of part 37 requirements. The 
revision examples were developed by an NRC working group formed from 
various program office and regional staff with knowledge of part 37 
requirements. The violation examples in this section are intentionally 
broad in scope so as to serve as a set of guiding examples that are 
neither exhaustive nor controlling for making severity level (SL) 
determinations. The examples are not intended to address every possible 
material security violation, nor do they capture every possible 
circumstance. SL determinations reflect nuclear safety and security 
risks associated with the specific facts of a material security 
violation.

IV. Proposed Revision

    The NRC Enforcement Policy contains violation examples used to 
assess and disposition apparent violations of NRC requirements.
    This notice provides the public with an opportunity to review and 
provide comments on the draft revision to the Policy found in ADAMS 
under Accession No. ML25127A219. Comments received during this 30-day 
comment period will be considered for the final version of the policy.

V. Paperwork Reduction Act

    This policy statement does not contain any new or amended 
collection of information subject to the Paperwork Reduction Act of 
1995 (44 U.S.C. 3501 et seq.). Existing collections of information were 
approved by the Office of Management and Budget (OMB), approval number 
3150-0136.

Public Protection Notification

    The NRC may not conduct or sponsor, and a person is not required to 
respond to, a collection of information unless the document requesting 
or requiring the collection displays a currently valid OMB control 
number.

VI. Regulatory Planning and Review

Executive Order (E.O.) 12866

    The Office of Information and Regulatory Affairs (OIRA) has 
determined that this enforcement policy is not a significant regulatory 
action under E.O. 12866. Accordingly, the NRC submitted this 
enforcement policy to OIRA for review. The NRC is required to conduct 
an economic analysis in accordance with section 6(a)(3)(B) of E.O. 
12866.
    The text of the Enforcement Policy is attached.

    Dated: August 26, 2025.

    For the Nuclear Regulatory Commission.
Bo Pham,
Acting Director, Office of Enforcement.

6.12 Materials Security for 10 CFR Part 37--Physical Protection of 
Category 1 and Category 2 Quantities of Radioactive Material

    This section applies to the requirements of 10 CFR part 37--
Physical Protection of Category 1 and Category 2 Quantities of 
Radioactive Material. These examples were developed using a risk-
informed approach considering actual or potential loss, theft, or 
diversion of material.
    Additionally, when determining the significance of the violations, 
factors that could be considered include the specific circumstances of 
the failure, including the time and equipment needed to result in an 
actual loss, theft, or diversion.
    This section should be the primary reference for violations related 
to the protection of information under 10 CFR part 37. If a violation 
is not adequately addressed by the examples provided in Section 6.12, 
Section 6.13 may be applied as appropriate.
    a. SL I violations involve, for example:
    1. An actual theft, diversion, or loss of a category 1 quantity of 
radioactive material that results from failure to establish or 
implement one or more requirements of 10 CFR part 37; or
    2. A licensee fails to verify prior to transfer that a recipient is 
authorized to possess the type, form, and quantity of category 1 
radioactive material at the location where the material is being 
transferred, where the transfer was made to a recipient that was not 
authorized to possess either the type, form, or quantity of category 1 
radioactive material at the location where the material was 
transferred.
    b. SL II violations involve, for example:
    1. An actual theft, diversion, or loss of a category 2 quantity of 
radioactive material that results from failure to establish or 
implement one or more requirements of 10 CFR part 37; or
    2. A licensee fails to verify prior to transfer that a recipient is 
authorized to possess the type, form, and quantity of category 2 
radioactive material being transferred, where the transfer was made to 
a recipient that was not authorized to possess either the type, form, 
or quantity of category 2 radioactive material.
    c. SL III violations involve, for example:
    1. Failures occur involving access authorization requirements, such 
as the following:
    (a) An individual who has not been determined trustworthy and 
reliable (T&R) has the ability to access, without an escort, security 
zones containing category 1 or category 2 quantities of radioactive 
material;
    (b) A failure to establish, implement and maintain an access 
authorization program that is specific to the licensee's operations; or
    (c) An individual who was not determined T&R has determined that 
other individuals were T&R.
    2. A failure to complete elements of the initial background 
requirements for granting unescorted access.
    3. Failures occur involving general security program requirements, 
such as the following:
    (a) A failure to develop, implement, and maintain a security plan 
specific to the licensee's facilities and operations; or failure to 
address the required elements of the subpart;
    (b) A failure to develop, implement, and maintain procedures 
specific to the licensee's facilities and operations; or failure to 
address how the requirements of 10 CFR part 37 Subpart C and the 
security plan will be met;
    (c) A failure to conduct formal training in accordance with 
37.43(c) or to complete the training at the required frequency, where 
the individuals did not demonstrate knowledge of how to implement the 
licensee's security program commensurate with their role(s); or
    (d) A failure to limit access to, or unauthorized disclosure of, 
the security plan or implementing procedures.
    4. Failures occur involving Local Law Enforcement Agency (LLEA) 
coordination, such as the following:
    (a) A licensee fails to initially coordinate with LLEA, as required 
by 10 CFR 37.45(a) or fails to notify NRC, as required by 10 CFR 
37.45(b); or
    (b) A licensee fails to perform coordination every 12 months and 
there were changes to the facility design or operation that adversely 
affected the potential vulnerability of the licensee's material to 
theft, sabotage, or diversion.
    5. Failures occur involving security zones, monitoring, detection, 
and assessment, such as the following:
    (a) A failure to continuously monitor and immediately detect, 
assess, and respond to unauthorized entry to a security zone with a 
category 1 or category 2 quantity of radioactive material;
    (b) A failure to maintain the capability to immediately detect any 
attempted unauthorized removal of a category 1 quantity of radioactive 
material from a security zone; or

[[Page 42277]]

    (c) A licensee has no means for continuous capability for personnel 
communication and electronic data transmission and processing among 
site security systems.
    6. A licensee fails to implement, or fails to implement at the 
required frequency, a maintenance and testing program to ensure that 
intrusion alarms, associated communications systems, and other physical 
components of the systems used to secure or detect unauthorized access 
to radioactive material are maintained in operable condition and are 
capable of performing their intended function when needed, where the 
equipment was not operable.
    7. Failures occur involving requirements for mobile devices, such 
as the following:
    (a) A licensee fails to secure a mobile device containing a 
category 1 or category 2 quantity of radioactive material as required 
by 10 CFR 37.53(a), when the mobile device is not under direct control 
and constant surveillance by the licensee; or
    (b) A licensee fails to disable a vehicle or trailer containing a 
category 1 or category 2 quantity of radioactive material, when not 
under direct control and constant surveillance by the licensee.
    8. A licensee fails to make verbal (telephonic) notification, or 
makes a late verbal (telephonic) notification, as required by 10 CFR 
37.
    d. SL IV Violations involve, for example:
    1. Failures occur involving access authorization requirements, such 
as the following:
    (a) An individual who has not been determined T&R has the ability 
for unescorted access to security zones containing category 1 or 
category 2 quantities of radioactive material, however:
    1. the individual did not gain access, or
    2. gained access, yet the individual had been previously vetted 
under a comparable review by the licensee that mitigates the security 
risk posed by the individual (e.g., federal security clearance, a 
licensee's hiring process), or
    3. gained access, yet the scope/duration of unescorted access 
mitigated the ability to exploit the failure.
    (b) A failure to establish, implement and maintain written 
procedures for implementing the access authorization program;
    (c) An individual who was determined T&R but was not formally 
appointed a reviewing official under oath or affirmation has determined 
that other individuals were T&R;
    (d) A failure to create or maintain a list of persons approved for 
unescorted access; or
    (e) A failure to document the basis for the determination of T&R 
for the purpose of granting unescorted access to category 1 and 
category 2 quantities of radioactive material.
    2. Failures occur involving background investigation requirements, 
such as the following:
    (a) An isolated/limited failure to complete elements of 10 CFR 
37.25(a)(3)-(6) of the initial background requirements for granting 
unescorted access to category 1 or category 2 quantities of radioactive 
material; or
    (b) A failure to complete fingerprinting and an FBI identification 
and criminal history records check during reinvestigation.
    3. Failures occur involving general security program requirements, 
such as the following:
    (a) A licensee has developed a security plan and implementing 
procedures specific to its facilities and operations; however, the 
written security plan or implementing procedures did not describe the 
required elements of 10 CFR part 37 Subpart C;
    (b) A licensee did not conduct formal training in accordance with 
37.43(c) or did not complete the training at the required frequency, 
where the individuals demonstrated knowledge of how to implement the 
licensee's security program commensurate with their role(s);
    (c) A failure to document required training for an individual 
granted unescorted access;
    (d) A failure to limit access to, or unauthorized disclosure of, 
the security plan or implementing procedures; however, access to 
sensitive information was to an individual who had been previously 
vetted under a comparable review completed or initiated by the licensee 
that mitigates the security risk posed by the individual (e.g. federal 
security clearance, a licensee's hiring process); or
    (e) A failure to limit access to, or unauthorized disclosure of, 
the list of individuals approved for unescorted access.
    4. Failures occur involving LLEA coordination, such as the 
following:
    (a) A licensee initially coordinates with LLEA, but fails to meet 
all the requirements set forth in 10 CFR 37.45(a);
    (b) A licensee fails to perform coordination every 12 months and 
there were no changes to the facility design or operation that 
adversely affected the potential vulnerability of the licensee's 
material to theft, sabotage, or diversion; or
    (c) For initial or subsequent LLEA coordination, a failure to 
notify, or late notification to NRC, as required by 10 CFR 37.45(b);
    5. Failures occur involving security zones, monitoring, detection, 
and assessment, such as the following:
    (a) An isolated failure to continuously monitor and immediately 
detect, assess, and respond to unauthorized entry to a security zone 
with a category 1 quantity of radioactive material, where the 
unauthorized entry is of limited duration and where there is a 
capability to detect removal of category 1 material;
    (b) An isolated failure to maintain the capability to immediately 
detect any attempted unauthorized removal of a category 1 quantity of 
radioactive material from the security zone, where there is the 
capability to detect intrusion into the security zone and there is some 
other function or feature in place that mitigates the ability to 
exploit the failure;
    (c) An isolated failure to continuously monitor and immediately 
detect, assess, and respond to unauthorized entry to a security zone 
with a category 2 quantity of radioactive material, where there is a 
function or feature in place, separate from the means to detect removal 
of category 2 material, that mitigates the ability to exploit the 
failure;
    (d) A licensee has one means for continuous capability for 
personnel communication and electronic data transmission and processing 
among site security systems; or
    (e) A failure to conduct weekly verification checks for category 2 
material.
    6. A licensee fails to implement, or fails to implement at the 
required frequency, a maintenance and testing program to ensure that 
intrusion alarms, associated communications systems, and other physical 
components of the systems used to secure or detect unauthorized access 
to radioactive material are maintained in operable condition and are 
capable of performing their intended function when needed, where the 
equipment was operable.
    7. Failures occur involving requirements for mobile devices, such 
as the following:
    (a) A licensee fails to secure material as required by 10 CFR 
37.53(a), when the material is not under direct control and constant 
surveillance by the licensee; however, one tangible barrier exists, 
there is no actual loss of material, and the failure is isolated; or
    (b) A licensee fails to disable a vehicle or trailer containing a 
category 1 or category 2 quantity of radioactive

[[Page 42278]]

material, when not under direct control and constant surveillance by 
the licensee, where there is a function or feature in place that 
mitigates the ability to exploit the failure.
    8. A licensee fails to make written reports, or makes a late 
written report, required by 10 CFR part 37.
    9. A licensee fails to maintain records as required by 10 CFR part 
37 requirements.
    10. A licensee fails to conduct an annual review of the access 
authorization program or the security program.

[FR Doc. 2025-16585 Filed 8-28-25; 8:45 am]
BILLING CODE 7590-01-P