[Federal Register Volume 68, Number 38 (Wednesday, February 26, 2003)]
[Notices]
[Pages 8935-8936]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-4535]


=======================================================================
-----------------------------------------------------------------------

NUCLEAR REGULATORY COMMISSION

[Docket No. 70-27; License No. SNM-42]


BWX Technologies, Inc., Lynchburg, VA; Order Modifying License 
(Effective Immediately)

I

    BWX Technologies, Inc. (BWXT) is the holder of Special Nuclear 
Material License No. SNM-42 issued by the U.S. Nuclear Regulatory 
Commission (NRC or Commission) pursuant to 10 CFR Part 70. BWXT is 
authorized by their license 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 70. The 
BWXT license, originally issued on August 22, 1956, was renewed on 
October 1, 1995. The license is due to expire on September 30, 2005.

 II

    On September 11, 2001, terrorists simultaneously attacked targets 
in New York, NY, 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 licensees in order to 
strengthen licensees' 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 
licensed facilities. In addition, the Commission has been conducting 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 BWXT 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 until the Commission determines 
otherwise.
---------------------------------------------------------------------------

    \1\ Attachment 1 contains safeguards information and will not be 
released to the public.
---------------------------------------------------------------------------

    The Commission recognizes that some of the requirements set forth 
in Attachment 1 \2\ to this Order may already have been initiated by 
BWXT 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 BWXT's facility to achieve the intended objectives and 
avoid any unforeseen effect on safe operation.
---------------------------------------------------------------------------

    \2\ To the extent that specific measures identified in 
Attachment 1 to this Order require actions pertaining to BWXT'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.
---------------------------------------------------------------------------

    Although BWXT's response to the Safeguards and Threat Advisories 
has been adequate to provide reasonable assurance of adequate 
protection of public health and safety, in light of the current threat 
environment, the Commission concludes that the security measures must 
be embodied in an Order, consistent with the established regulatory 
framework. In order to provide assurance that BWXT is implementing 
prudent measures to achieve an adequate level of protection to address 
the current threat environment, Materials License SNM-42 shall be 
modified to include the requirements identified in Attachment 1 to this 
Order. In addition, pursuant to 10 CFR 2.202 and 70.81, 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 53, 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 70, it is 
hereby ordered, effective immediately, that material license SNM-42 is 
modified as follows:
    A. BWXT shall, notwithstanding the provisions of any Commission 
regulation to the contrary, comply with the requirements described in 
Attachment 1 to this Order. BWXT shall immediately start implementation 
of the requirements in Attachment 1 to the Order and shall complete 
implementation, unless otherwise specified in Attachment 1 to this 
order, no later than August 15, 2003.
    B. 1. BWXT 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 BWXT to be 
in violation of the provisions of any Commission regulation or its 
license. The notification shall provide BWXT's justification for 
seeking relief from or variation of any specific requirement.

[[Page 8936]]

    2. If BWXT considers that implementation of any of the requirements 
described in Attachment 1 to this Order would adversely impact safe 
operation of its facility, BWXT 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, BWXT 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. BWXT 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. BWXT 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 until the Commission determines 
otherwise.
    BWXT's responses to Conditions B.1, B.2, C.1, and C.2, above shall 
be submitted in accordance with 10 CFR 70.5. In addition, BWXT's 
submittals that contain safeguards information shall be properly marked 
and handled in accordance with 10 CFR 73.21.
    The Director, Office of Nuclear Material Safety and Safeguards, 
may, in writing, relax or rescind any of the above conditions upon 
demonstration by BWXT of good cause.

IV

    In accordance with 10 CFR 2.202, the licensee 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 twenty (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 the 
licensee 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, Office of the Secretary 
of the Commission, 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, 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 II, Sam Nunn Atlanta Federal Center , Suite 23 T85, 61 Forsyth 
Street, SW. Atlanta, GA 30303-3415, and to BWXT if the answer or 
hearing request is by a person other than the licensee. Because of 
possible disruptions in delivery of mail to United States Government 
offices, it is requested that answers and requests for hearing be 
transmitted to the Secretary of the Commission either by means of 
facsimile transmission to 301-415-1101 or by e-mail to 
[email protected] and also to the Office of the General Counsel 
either by means of facsimile transmission to 301-415-3725 or by e-mail 
to [email protected]. If a person other than the licensee 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).\3\
---------------------------------------------------------------------------

    \3\ The most recent version of Title 10 of the Code of Federal 
Regulations, published January 1, 2002, inadvertently omitted the 
last sentence of 10 CFR 2.714(d) and subparagraphs (d)(1) and (2), 
regarding petitions to intervene and contentions. For the complete, 
corrected text of 10 CFR 2.714(d), please see 67 FR 20884; April 29, 
2002.
---------------------------------------------------------------------------

    If a hearing is requested by the licensee 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), the licensee 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 III above shall be final twenty (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 6th day of February 2003.

Martin J. Virgilio,
Director, Office of Nuclear Material Safety and Safeguards.
[FR Doc. 03-4535 Filed 2-25-03; 8:45 am]
BILLING CODE 7590-01-P