COMSECY-04-0047

July 19, 2004

MEMORANDUM TO: Chairman Diaz

Commissioner McGaffigan

Commission Merrifield

FROM: Luis A. Reyes /RA Emerschoff Acting for/

Executive Director for Operations

SUBJECT: STATUS OF SECURITY-RELATED RULEMAKING

The purpose of this memorandum is to inform the Commission of the staff’s intent to close two

longstanding security-related action items based on the large number of associated activities

that the staff has completed since September 11, 2001. Additionally, the staff has received

further direction from the Commission to replace some of these longstanding action items with

new actions. The first of these action items originated in 1998 with a requirement to develop a

staff position paper on radiological sabotage, but subsequently evolved into 10 CFR Part 73

rulemaking [refer to Work Item Tracking System (WITS) 199800188]. In part because of

further Commission direction on this subject since 2001, this item will be replaced by a new

action requiring the staff to prepare a comprehensive rulemaking plan to modify physical

protection requirements for power reactors in 10 CFR 73.55 encompassing the current

mandates. The second action item stemmed from a 2002 requirement for the staff to seek

assistance from Nuclear Regulatory Commission’s (NRC’s) Operational Safeguards Response

Evaluation contractors and Department of Energy security force personnel to aid in the

development of new security training requirements [refer to WITS 200200086]. The staff

completed this action during the development of the security training Order issued in April 2003.

On June 4, 2001, the staff issued SECY-01-0101 which proposed rulemaking to enhance the

physical protection requirements for power reactors prescribed in 10 CFR 73.55. The rule

revision was designed to implement the recommendations of the Safeguards Performance

Assessment Task Force and would have factored risk insights and performance bases for

many of the physical protection requirements. The staff had originally planned to issue a final

rule by the end of March 2004.

The Commission was considering the proposed 10 CFR 73.55 revision when the terrorist

attacks occurred in September 2001. After the attacks, the staff initiated a comprehensive

review of all NRC security-related regulatory requirements to assess their adequacy given the

current threat environment. As the Commission is well aware, the NRC imposed several

additional security-related requirements on nuclear power plant licensees that improved guard

force numbers and capabilities, training, fitness-for-duty, and access authorization. By April

2003, the staff had imposed all of these new requirements by Orders, including revision of the

design basis threat (DBT) for radiological sabotage.
The Commissioners -2-

CONTACT: Scott Morris, NSIR/DNS

301-415-7083

Since September 2001, the Commission has directed the staff to take certain actions regarding

the regulation on physical protection. Specifically:

 A Staff Requirements Memorandum (SRM) dated March 31, 2003, stated that “the staff

should use the process of rulemaking for the completion, finalization, and revision, if

needed, of further security enhancements for operating power reactors.”

 An April 25, 2003, SRM described the Commission’s intention to pursue additional

changes to security enhancements through rulemaking, and directed the staff to

conduct rulemaking to remove the detailed DBT descriptions from Part 73.

 A December 16, 2003, SRM approved the staff’s recommendation to codify postSeptember 2001 power reactor security Order requirements in the regulations for future

power reactors.

The staff is currently planning the rulemaking activities needed to codify the requirements

contained in the Orders. This planning is being developed and coordinated in conjunction with

the ongoing FY2006 budget development process. The staff aims to develop and submit a

rulemaking plan to the Commission to address 10 CFR 73.55 and Part 73 Appendix B by April

2005. This date was selected to permit the reactor security staff to maintain their current focus

on reviewing the revised licensee security plans submitted in response to the April 2003 Orders.

cc: SECY

OCA

OGC

OPA

CFO
The Commissioners -2-

Since September 2001, the Commission has directed the staff to take certain actions regarding

the regulation on physical protection. Specifically:

 A Staff Requirements Memorandum (SRM) dated March 31, 2003, stated that “the staff

should use the process of rulemaking for the completion, finalization, and revision, if

needed, of further security enhancements for operating power reactors.”

 An April 25, 2003, SRM described the Commission’s intention to pursue additional

changes to security enhancements through rulemaking, and directed the staff to

conduct rulemaking to remove the detailed DBT descriptions from Part 73.

 A December 16, 2003, SRM approved the staff’s recommendation to codify postSeptember 2001 power reactor security Order requirements in the regulations for future

power reactors.

The staff is currently planning the rulemaking activities needed to codify the requirements

contained in the Orders. This planning is being developed and coordinated in conjunction with

the ongoing FY2006 budget development process. The staff aims to develop and submit a

rulemaking plan to the Commission to address 10 CFR 73.55 and Part 73 Appendix B by April

2005. This date was selected to permit the reactor security staff to maintain their current focus

on reviewing the revised licensee security plans submitted in response to the April 2003 Orders.

cc: SECY

OCA

OGC

OPA

CFO

Distribution: (WITS199800188 & WITS200200086)

RidsNsirDns r/f RidsNsirOd r/f NSIR Mailroom

RidsEdoMailCenter r/f SECY SMorris JShea

ML041180532 *See previous concurrence

OFFICE DNS/NSIR SC:DNS/NSIR SC:DNS/NSIR PD:DNS/NSIR PD:DNS/NSIR

NAME SStein:ml* BWestreich* SMorris RWay* JShea*

DATE 04/28/04 04/29/04 06/24/04 04/ 30/04 5/14/04

OFFICE D:DNS/NSIR NRR D:NSIR DEDH EDO

NAME GMTracy* CHaney* RPZimmerman WFKane LAReyes

DATE 6/14/04 7/1/04 7/6/04 7/15/04 7/19/04

OFFICIAL FILE COPY