NRC PROPOSES FINE FOR PUERTO RICO FIRM

OVER IMPROPER POSSESSION OF NUCLEAR GAUGE

 The Nuclear Regulatory Commission is proposing a $14,000 civil penalty for a San Juan, 

Puerto Rico, firm for failing to properly transfer a nuclear gauge to an authorized possessor once 

its license to use the device was no longer valid. In addition, the NRC is considering fines of 

$100 daily for the firm, S&R Engineering, S.E., if the gauge is not transferred within 30 days.

 S&R was issued an NRC license on June 21, 2004, allowing it to possess, use and store 

radioactive material contained in portable moisture density gauges. The gauges are used for such 

purposes as measuring the amount of moisture in soil at construction sites. S&R possesses a 

single gauge.

 In response to the company’s failure to pay its licensing fee for fiscal year 2009, the 

NRC issued an order to S&R on Oct. 29, 2009. According to the order, if a payment was not 

received within 30 days, the firm’s license would be revoked and the gauge would have to be 

transferred to an authorized recipient within 60 days. Also, the agency would have to be notified 

in writing regarding its disposition.

However, S&R has not yet paid the required fees or transferred the gauge. Several NRC 

inspections and investigations, including an inspection conducted on Oct. 3, 2011, verified that 

the company still possessed the device.

 Four violations of NRC requirements by S&R have been identified by the agency. The 

violations are: a failure to comply with the Oct. 29, 2009, order revoking the license; a failure to 

provide complete and accurate information regarding continued possession of the gauge on Aug. 

3, 2010; a continued failure, since Aug, 3, 2010, to respond to NRC communications, thereby 

preventing the agency from fully inspecting S&R’s activities and the status of the gauge; and a 

failure to use two independent physical controls to secure the gauge from unauthorized removal, 

as identified by an NRC inspector on Oct. 3, 2010.

“The NRC’s primary interest in this matter is to ensure that the gauge is immediately and 

appropriately transferred to an authorized recipient since S&R is no longer authorized to possess 

NRC NEWS

U.S. NUCLEAR REGULATORY COMMISSION

Office of Public Affairs, Region I 

475 Allendale Road, King of Prussia, Pa. 19406

E-mail: opa1@nrc.gov 

Site: www.nrc.gov

Blog: http://public-blog.nrc-gateway.gov

No. I-12-001

Contact: Diane Screnci, (610) 337-5330

 Neil Sheehan, (610) 337-5331

Jan. 13, 2012

Email: OPA1.RESOURCE@nrc.gov
this licensed material,” NRC Region I Administrator William Dean wrote to S&R regarding the 

enforcement action.

The NRC will grant S&R a grace period of 30 days to transfer the gauge and comply with 

other requirements. Should the company fail to do so within 30 days, the NRC intends to 

consider additional civil penalties of $100 per day. If assessed, the daily civil penalty will 

continue until the gauge is properly transferred.

S&R is required to respond in writing to the NRC enforcement action within 30 days.

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