September 14, 2006

Mr. Gary N. Wright, Assistant Director

Illinois Emergency Management Agency

Division of Nuclear Safety

1035 Outer Park Drive

Springfield, IL 62704

Dear Mr. Wright:

On August 15, 2006, the Management Review Board (MRB) met to consider the proposed

follow-up final Integrated Materials Performance Evaluation Program (IMPEP) report on the

Illinois Agreement State Program. The MRB found the Illinois program adequate to protect

public health and safety and compatible with the U. S. Nuclear Regulatory Commission’s

program. In addition, due to the program improvement shown since the 2005 IMPEP review,

the period of heightened oversight of the Illinois program will be discontinued. Based on these

results, the next full IMPEP review of the Illinois Agreement State Program will take place in

approximately three years.

I appreciate the courtesy and cooperation extended to the IMPEP team during the review. 

I also wish to acknowledge your continued support for the Radiation Control Program and the

excellence in program administration demonstrated by your staff, as reflected in the team’s

findings. I look forward to our agencies continuing to work cooperatively in the future.

Sincerely,

/RA J Strosnider Acting for/

Martin J. Virgilio

Deputy Executive Director for Materials, Research, 

 State and Compliance Programs

Office of the Executive Director for Operations

Enclosure: 

As stated

cc: William C. Burke, Director

Illinois Emergency Management Agency

Paul Eastvold

Bureau of Radiation Safety

Illinois Emergency Management Agency

Edgar Bailey, TX

Organization of Agreement States

Liaison to the MRB
Mr. Gary N. Wright, Assistant Director September 14, 2006

Illinois Emergency Management Agency

Division of Nuclear Safety

1035 Outer Park Drive

Springfield, IL 62704

Dear Mr. Wright:

On August 15, 2006, the Management Review Board (MRB) met to consider the proposed

follow-up final Integrated Materials Performance Evaluation Program (IMPEP) report on the

Illinois Agreement State Program. The MRB found the Illinois program adequate to protect

public health and safety and compatible with the U. S. Nuclear Regulatory Commission’s

program. In addition, due to the program improvement shown since the 2005 IMPEP review,

the period of heightened oversight of the Illinois program will be discontinued. Based on these

results, the next full IMPEP review of the Illinois Agreement State Program will take place in

approximately three years.

I appreciate the courtesy and cooperation extended to the IMPEP team during the review. 

I also wish to acknowledge your continued support for the Radiation Control Program and the

excellence in program administration demonstrated by your staff, as reflected in the team’s

findings. I look forward to our agencies continuing to work cooperatively in the future.

Sincerely,

 /RA J Strosnider Acting for/

Martin J. Virgilio

Deputy Executive Director for Materials, Research, 

 State and Compliance Programs

Office of the Executive Director for Operations

Enclosure: 

As stated

cc: William C. Burke, Director

Illinois Emergency Management Agency

Paul Eastvold

Bureau of Radiation Safety

Illinois Emergency Management Agency

Edgar Bailey, TX

Organization of Agreement States

Liaison to the MRB

Distribution: See next page.

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DKRathbun JRSchlueter MJVirgilio

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DATE 09/06/06 09/06/06 09/06/06 09/14/06

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CMiller, NMSS/IMNS Chairman Klein

RStruckmeyer, NMSS/IMNS Commissioner McGaffigan

STreby, OGC Commissioner Merrifield

FCameron, OGC Commissioner Jaczko

TCombs, OCA (2) Commissioner Lyons
INTEGRATED MATERIALS PERFORMANCE EVALUATION PROGRAM

FOLLOW-UP REVIEW OF ILLINOIS AGREEMENT STATE PROGRAM

June 6-7, 2006

FINAL REPORT

U.S. Nuclear Regulatory Commission
Illinois Final Follow-Up Report Page 1

1.0 INTRODUCTION

This report presents the results of the follow-up review of the Illinois Agreement State Program,

conducted June 6-7, 2006. This follow-up review was directed by the Management Review

Board (MRB) based on the results of the April 4-8, 2005, Integrated Materials Performance

Evaluation Program (IMPEP) review. The MRB directed that a follow-up review of the noncommon performance indicator, Compatibility Requirements, be conducted in approximately

one year from the MRB meeting based on the finding of unsatisfactory for the performance

indicator. The follow-up review included an evaluation of the actions taken by the Illinois

program to address the one recommendation made during the 2005 IMPEP review.

The follow-up review was conducted by a review team comprised of technical staff members

from the U.S. Nuclear Regulatory Commission (NRC). Review team members are identified in

Appendix A. The follow-up review was conducted in accordance with the February 26, 2004,

NRC Management Directive 5.6, "Integrated Materials Performance Evaluation Program

(IMPEP)." Preliminary results of the follow-up review, which covered the period of April 8, 2005

to June 7, 2006, were discussed with Illinois management on the last day of the review.

A draft of this report was issued to Illinois for factual comment on June 26, 2006. Illinois

responded to the findings and conclusions of the review by letter dated June 30, 2006, from 

Mr. Gary N. Wright, Assistant Director, Illinois Emergency Management Agency (the Agency). 

The MRB met on August 15, 2006 to consider the proposed final report. The MRB found the

Illinois Agreement State Program adequate to protect public health and safety and compatible

with NRC's program. In addition, the period of heightened oversight status of the Illinois

program will be discontinued.

The Illinois Agreement State Program is administered by the Bureau of Radiation Safety (the

Bureau) located in the Agency. The Agency’s Assistant Director is responsible for the five

technical bureaus in the Agency: the Bureau, the Bureau of Operations, the Bureau of Disaster

Assistance and Preparedness, the Bureau of Nuclear Facility Safety, and the Bureau of

Environmental Safety. The Bureau is supported by the other bureaus in the Agency. The

Bureau has one field office located in West Chicago, Illinois.

No changes to the organization of the Agency or the Bureau have occurred since the 2005

IMPEP review. A copy of the organization charts can be found on NRC’s Agencywide

Document Access and Management System (ADAMS) using the Accession Number

ML051230486. The Illinois Agreement program regulates approximately 743 specific licenses

authorizing Agreement materials. The review focused on the program as it is carried out under

the Section 274b. (of the Atomic Energy Act of 1954, as amended) Agreement between the

NRC and the State of Illinois.

In 2005, the MRB found the Illinois Agreement State Program adequate to protect public health

and safety and not compatible with the NRC's program. Due to the not compatible with NRC’s

program finding, the MRB placed the Illinois program on heightened oversight. The MRB

directed that a follow-up review take place approximately one year after the 2005 MRB meeting.

Prior to the follow-up review, the NRC conducted a period of heightened oversight of the Illinois

program, which included Illinois’ developing and submitting a Program Improvement Plan (the

Plan) in response to the 2005 IMPEP review and bimonthly conference calls with the NRC to
Illinois Final Follow-Up Report Page 2

discuss Illinois’ progress in implementing the Plan. The Plan was submitted on August 10,

2005. Conference calls were held September 29, 2005, December 1, 2005, February 2, 2006,

and April 6, 2006. A listing of correspondence and summaries from the bimonthly calls is

included in Appendix B. Illinois’ actions and their status, as documented in the Plan and

subsequent status updates, were reviewed in preparation for this follow-up review.

The follow-up review focused on the State’s performance in regard to the non-common

performance indicator, Compatibility Requirements. Other aspects of the program not fully

evaluated as part of the follow-up review, were discussed at a periodic meeting held in

conjunction with the review. The periodic meeting summary is included as Appendix C.

Due to the ongoing correspondence and information on regulation reviews during the

heightened oversight period, the review team determined that a questionnaire addressing the

one applicable non-common performance indicator was unnecessary.

The review team's general approach for conduct of this follow-up review consisted of: 

(1) review of the heightened oversight information including status reports; (2) review of

applicable Illinois’ statutes and regulations; and, (3) interviews with staff and management to

answer questions or clarify issues. The review team evaluated the information gathered

against the IMPEP performance criteria for the non-common performance indicator and made a

preliminary assessment of the Agreement State program’s performance.

Section 2, below, discusses the results of the follow-up review of the Illinois program for the

non-common performance indicator, Compatibility Requirements. Section 3 summarizes the

follow-up review team's findings.

2.0 NON-COMMON PERFORMANCE INDICATORS

The follow-up review addressed one of the non-common performance indicators used in

reviewing Agreement State programs, Compatibility Requirements.

2.1 Compatibility Requirements

Illinois became an Agreement State on June 1, 1987. The State regulations for control of

radiation are located in Title 32 of the Illinois Administrative Code and apply to all ionizing

radiation, whether emitted from radionuclides or devices. Illinois requires a license for

possession and use of radioactive materials, including naturally occurring and

accelerator-produced radionuclides.

The review team’s evaluation of the State’s response to Recommendation 1 from the 2005

IMPEP review is presented below.

Recommendation 1:

The review team recommends that the State adopt the regulations, or other legally binding

requirements, which are overdue for adoption and send them to the NRC for review. (Section

4.1 of the 2005 IMPEP report)

Current Status:
Illinois Final Follow-Up Report Page 3

As noted in the 2005 IMPEP report, Illinois’ rulemaking process takes approximately six months

after preparation of a draft rule which includes an additional review of regulations by the

Governor’s office. Proposed rules are published in the Illinois Register with a minimum 45-day

comment period, and may include a public hearing. At that point, the proposed rules are sent

to the NRC for review. After resolution of comments, the Bureau provides the comments and

responses to the Joint Committee on Administrative Rules (JCAR), a bipartisan committee

consisting of legislators from the Illinois House of Representatives and Senate. After resolution

of JCAR comments, the rule must be re-published for comment if substantial changes were

made or scheduled for a vote at the next available monthly JCAR meeting. Approved rules are

published as final in the Illinois Register. Final rules are sent to the NRC for a final review and

compatibility determination and updated on the Bureau’s web site. The Bureau has the

authority to issue legally binding requirements (e.g., license conditions) in lieu of regulations

until compatible regulations become effective.

The review team evaluated the status of regulations required to be adopted by the State under

the Commission’s adequacy and compatibility policy, and verified the adoption of regulations

with data obtained from the State Regulation Status (SRS) sheet as maintained by the NRC’s

Office of State and Tribal Programs.

During the 2005 IMPEP review, the State had ten rule amendments overdue. Seven of the

overdue rule amendments were in draft form at various stages in the Bureau’s legal review

process. The remaining three overdue amendments would be superceded when the State

adopted the amendment “Medical Use of Byproduct Material.” In addition to the ten

amendments that were identified as overdue during the 2005 IMPEP review, the State had

adopted 14 amendments late (i.e., past the three-year window for Agreement State adoption)

during the review period. Those 14 amendments had not been submitted to NRC for a final

compatibility determination.

During the heightened oversight period, the Bureau completed all work on the previously

identified regulations. The review team found that the Program had adopted, and sent in for

NRC’s review, all of the regulations that were overdue for Agreement State adoption. The list

of the regulation submissions and review correspondences can be found in Appendix B. The

Bureau exerted a significant effort to complete this work prior to the follow-up review. Bureau

staff stated that they will continue to utilize the Plan as a tool for tracking schedules for

upcoming rulemakings.

The team identified the following regulation changes and adoptions that will be needed in the

future, and the State related that the regulations would be addressed in upcoming rulemaking

or by adopting alternate legally binding requirements:

• "Medical Use of Byproduct Materials - Recognition of Specialty Boards - Part 35," 

10 CFR Part 35 amendment (70 FR 16336 and 71 FR 1926) that became effective on

April 29, 2005. This amendment is due for Agreement State implementation on April 29,

2008.

• "Security Requirements for Portable Gauges Containing Byproduct Material," 10 CFR

Part 30 amendment (70 CFR 2001) that became effective on July 11, 2005. This

amendment is due for Agreement State implementation on July 11, 2008.
Illinois Final Follow-Up Report Page 4

The review team recommends that Recommendation 1 be closed.

Based on the IMPEP evaluation criteria, the review team recommended and the MRB agreed

that Illinois’ performance with respect to the indicator, Compatibility Requirements, be found

satisfactory.

3.0 SUMMARY

The follow-up review team found Illinois’ performance to be satisfactory for the indicator,

Compatibility Requirements. Accordingly, the review team recommended and the MRB agreed

that the Illinois Agreement State Program is adequate to protect public health and safety and

compatible with NRC's program. The review team recommended and the MRB agreed that the

period of heightened oversight be discontinued. Based on the results of the follow-up IMPEP

review, the review team recommended and the MRB agreed that the next full IMPEP review

should take place in approximately three years.

Based on the results of this review, there are no new recommendations and the

recommendation from the 2005 IMPEP report is closed.
LIST OF APPENDICES AND ATTACHMENT

Appendix A IMPEP Review Team Members

Appendix B Heightened Oversight Program Correspondence

Appendix C Periodic Meeting Summary

Attachment June 30, 2006 Letter from Gary N. Wright

Illinois’ Response to Draft IMPEP Report
APPENDIX A

IMPEP REVIEW TEAM MEMBERS

Name Area of Responsibility

Kathleen Schneider, STP Team Leader

Compatibility Requirements

Periodic Meeting

James Lynch, RIII Periodic Meeting
APPENDIX B

HEIGHTENED OVERSIGHT PROGRAM CORRESPONDENCE

Minutes of Bimonthly Conference Calls:

1. September 29, 2005 Minutes (ML052800445)

2. December 1, 2005 Minutes (ML060340622)

3. February 2, 2006 Minutes (ML061670173)

4. April 6, 2006 Minutes (ML061660195)

Letters from/to Illinois:

1. July 21, 2005 Letter to Gary Wright from M. J. Virgilio, Illinois Final IMPEP Report

(ML052010282)

2. August 10, 2005 Letter to Paul Lohaus from Gary Wright, Response to the Illinois Final 

Report and Program Improvement Plan (ML052360047)

3. September 21, 2005 Letter to Gary Wright from Paul Lohaus, Acceptance of the Illinois

Program Improvement Plan (ML052640312)

Regulations Review Correspondence from/to Illinois:

1. April 29, 2005 Letter to Paul Lohaus from Joe Klinger Submitting Final Illinois

Regulations (ML051220064)

2. May 2, 2005 E-mail to John Zabko Submitting Proposed Illinois Regulations

(ML051240343)

3. June 30, 2005 Letter to Gary Wright from Dennis Rathbun, Regulations Review Results

(ML051870423)

4. August 23, 2005 Letter to Gary Wright from Dennis Rathbun, Regulations Review

Results (First Letter) (ML052370399)

5. August 23, 2005 Letter to Gary Wright from Dennis Rathbun, Regulations Review

Results (Second Letter) (ML052360596)

6. September 27, 2005 Letter to Dennis Rathbun from Gary Wright, Reconsideration of

Comments from August 23, 2005 Letter on GL Regulations (ML052770457)

7. September 27, 2005 Letter from Gibb Vinson to Kathleen Schneider, Final Regulations

(ML0527101170)

8. October 18, 2005 Letter to Gary Wright from Dennis Rathbun, Regulations Review

Results (ML052940176)

9. October 26, 2005 E-mail to Andrew Mauer from Gibb Vinson, Proposed License

Condition (ML052990499)

10. October 31, 2005 Letter to Gary Wright from Dennis Rathbun, Regulations Review

Results (ML053050005)

11. November 17, 2005 Letter to Gary Wright from Dennis Rathbun, Regulations Review

Results (ML053210292)

12. January 31, 2006 Letter to Dennis Rathbun from Gary Wright, Submitting Final Illinois

Regulations (ML060250219)

13. March 7, 2006 Letter to Gary Wright from Dennis Rathbun, Regulations Review Results

(ML060660001)
Illinois Final Follow-up Report Page B.2

Heightened Oversight Program Correspondence

14. April 4, 2006 E-mail to Dennis Rathbun from Gibb Vinson, Submitting Final Illinois

Regulations (ML060970127)

15. May 30, 2006 Letter to Gary Wright from Dennis Rathbun, Regulations Review Results

(ML061510035)

16. June 14, 2006 E-mail to Dennis Rathbun from Gibb Vinson, Submitting Final Illinois

Regulations (ML061660148)

17. July 18, 2006 Letter to Gary Wright from Dennis Rathbun, Regulations Review Results

(ML061990338)
APPENDIX C

PERIODIC MEETING SUMMARY

A periodic meeting was held with the Illinois Emergency Management Agency (IEMA) staff by

Kathleen Schneider, Team Leader, and James Lynch, Region III Regional State Agreements

Officer (RSAO), during the follow-up review pursuant to the Office of State and Tribal Programs

(STP) Procedure SA-116, “Periodic Meetings with Agreement States Between IMPEP

Reviews.” Those topics normally documented during the periodic meeting that were reviewed

and documented as part of the follow-up review will not be discussed in this Appendix. The

following topics were discussed.

Organization

In July 2003, the Illinois Department of Nuclear Safety became a division of the Illinois

Emergency Management Agency (IEMA). Although changes were made to the organizational

structure, the basic radiation control program remained intact. Mr. Gary Wright, Assistant IEMA

Director, remains our main contact and is responsible for the radiation control program.

The reorganization under IEMA resulted in most of the radioactive materials program functions 

residing in the Bureau of Radiation Safety. Some programs, such as decommissioning and

financial surety are located in the Bureau of Environmental Safety. Discussions with personnel

from both Bureaus indicated that they work cooperatively together. An internal policy

memorandum describes the relationship between the Bureaus.

Radiation Control Program Staffing

A well-trained, experienced staff, of approximately 15 FTE, remains a strength of the Illinois

radiation control program. The licensing and inspection staffs are identical to that seen during

the last IMPEP review. Five of the six materials inspectors are located in the West Chicago

office, as the bulk of the inspection load is in the Chicago area.

Training

A training matrix was developed for all employees to track their training history. Formalized

training requirements were developed for license reviewers and inspectors, and will be utilized if

a new reviewer or inspector is hired. IEMA management was strongly encouraged to support

the IMPEP program by providing technical staff for IMPEP reviews of NRC and other

Agreement State programs to share Illinois’ expertise and to strengthen staff skills and

perspectives.

Several staff members have attended the security training course. Program management

hopes to get one additional staff member to the training so that Illinois will have adequate

resources to perform required security inspections.

Illinois has a significant number of pool irradiators containing large quantities of radioactive

material. It was noted that only the Inspection Chief and one license reviewer have attended

the Pool Irradiator training course. The value of additional training, as offered by this training

course, was identified as a potential benefit to the program.
Illinois Final Follow-up Report Page C.2

Periodic Meeting Summary

Inspections

Illinois inspection frequencies are at least as frequent as those of the NRC. No inspections are

currently overdue. Approximately 33 inspections are completed per month. New licensees are

inspected within 12 months of license issuance, regardless of whether the licensee has

received radioactive material.

Licensing

No significant licensing backlogs exist. Currently, one renewal is pending for more than one

year and all other actions have been pending for less than 9 months. Financial assurance

obligations are reevaluated every two years for the 76 licensees requiring such plans. Financial

assurance evaluations are completed by Bureau of Environmental Safety staff.

Security

Increased Control (IC) inspections were started in May 2006. Two IC inspections are

completed to date and four others are in process. Communications are made to local law

enforcement agencies during all IC inspections. Coordination of the IC process is well

coordinated with STP and Region III.

Inspections of the recently issued radioactive materials quantities of concern orders will be

conducted, in the near future, by the State under the 274i Agreement with the NRC. Mr. Joe

Klinger is the Safeguards information manager for the Bureau and has implemented adequate

controls over Safeguards information.

Incidents

IEMA staff communicates reportable incidents promptly to the NRC Operations Center and

Region III. Messrs. Daren Perrero or Joe Klinger input incident information directly into the

Nuclear Material Events Database (NMED) as incidents occur. A review of NMED identified

timely and quality input of incidents into the system.

Allegations

One allegation was received by the IEMA since the last IMPEP review. IEMA staff investigated

the allegation and took prompt, appropriate action. No allegations were transferred to Illinois

from NRC during the review period.

Kerr-McGee Decommissioning Project

On September 15, 2005, Kerr-McGee Chemical LLC reorganized and changed its name to

Tronox LLC, a wholly owned subsidiary of Tronox Incorporated. The Rare Earths Facility

management remained unchanged under the direction of Kerr-McGee Environmental

Management Corporation (KMEMC). KMEMC is now a subsidiary of Tronox Incorporated.

The Rare Earths Facility remediation is approximately 97% complete. Contaminated soil

remains under the footprints of the Rail Car Loading Facility and associated rail spur, the
Illinois Final Follow-up Report Page C.3

Periodic Meeting Summary

Stabilized Material Storage Building, and the operational area between these buildings. These

facilities were retained to support the Kress Creek remediation. Licensed activities include

dumping of contaminated material from the Creek, accumulation and storage of this material,

and the loading and shipping of rail cars to Envirocare of Utah. All health physics and license

support activities continue, including: work area monitoring, dosimetry reporting, environmental

monitoring, onsite laboratory services, storm water monitoring, access control, and

contamination surveys. These remaining facilities will likely be demolished and the area

remediated during the construction season after the Creek is completed. This is currently

projected to be 2010. The ongoing groundwater protection program continues to operate and

will likely continue to do so for a number of years after remediation has been completed.

The Residential Area remediation is complete with the exception of one property on which the

owner has refused to grant access. The U. S. Environmental Protection Agency has not forced

the issue.

The Reed Keppler Park remediation is complete. Tronox's contractor is continuing to run a

groundwater monitoring program at the park. The Sewage Treatment Plant remediation was

completed as a preliminary phase of the ongoing Kress Creek remediation which is expected to

continue through 2009.

Sealed Sources and Devices (SS&D)

The SS&D workload in Illinois has decreased significantly, as two major manufacturers moved

operations to different States. Approximately eight SS&D amendments are issued annually.
ATTACHMENT

June 30, 2006 Letter from Gary N. Wright

Illinois’ Response to Draft IMPEP Report

ADAMS Accession No.: ML061990250