SECRETARY 

UNITED STATES 

NUCLEAR REGULATORY COMMISSION 

WASHINGTON, D.C. 20555-0001 

July 9, 2013 

COMMISSION VOTING RECORD 

DECISION ITEM: SECY-13-0051 

TITLE: MANAGEMENT REVIEW BOARD RECOMMENDATION FOR 

PROBATION OF THE GEORGIA AGREEMENT STATE 

PROGRAM 

The Commission (with all Commissioners agreeing) approved the subject paper as recorded in 

the Staff Requirements Memorandum (SRM) of July 9, 2013. 

This Record contains a summary of voting on this matter together with the individual vote 

sheets, views and comments of the Commission. 

Attachments: 

1. Voting Summary 

2. Commissioner Vote Sheets 

cc: Chairman Macfarlane 

Commissioner Svinicki 

Commissioner Apostolakis 

Commissioner Magwood 

Commissioner Ostendorff 

OGC 

EDO 

PDR 

~Vuttt-~ Annette L. Vfetti-Cook 

Secretary of the Commission 

SECY Note: This SRM will be released to the public 5 working days after dispatch of the letter 

to the Governor. 
VOTING SUMMARY- SECY-13-0051 

RECORDED VOTES 

NOT 

APRVD DISAPRVD ABSTAIN PARTICIP COMMENTS DATE 

CHRM. MACFARLANE X X 6/13/13 

COMR. SVINICKI X X 6/18/13 

COMR. APOSTOLAKIS X X 6/18/13 

COMR. MAGWOOD X X 5/29/13 

COMR. OSTENDORFF X X 5/31/13 
TO: 

FROM: 

SUBJECT: 

Approved XX 

NOTATION VOTE 

RESPONSE SHEET 

Annette Vietti-Cook, Secretary 

Chairman Allison M. Macfarlane 

SECY -13-0051 -MANAGEMENT REVIEW BOARD 

RECOMMENDATION FOR PROBATION OF THE 

GEORGIA AGREEMENT STATE PROGRAM 

Disapproved __ Abstain --

Not Participating __ 

COMMENTS: Below XX Attached XX None 

I approve the staffs recommendation to place the Georgia Agreement State Program on 

Probation. I agree that the performance problems identified by the Integrated Materials 

Performance Evaluation Program review team necessitate this Commission action. I am 

looking forward to the staffs recommendations and implementation plan for whether a 

performance-based approach for determining compatibility should be developed as directed in 

SRM-SECY-12-0112. I also approve the staff's recommended letter to Governor Deal, the 

Federal Register Notice, and Press Release, subject to my edits. 

. ·~ 

li/13/13 

DATE 

Entered on "STARS" Yes No 
[7590-01-P] 

NUCLEAR REGULATORY COMMISSION 

[NRC-2012-XXXX] 

Placement of the Georgia Agreement State Program on Probation 

AGENCY: Nuclear Regulatory Commission. 

ACTION: Notice of the Georgia Agreement State Program Being Placed on Probation. 

SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) is announcing the placement of 

the Georgia Agreement State Program (Georgia Program) for the regulation of certain Atomic 

Energy Act materials on Probation and further increasing the NRC oversight of the Georgia 

Program, as well as overseeing implementation of a "Program Improvement Plan" developed by 

the staff of the Georgia Program. Once the Georgia Program has met the commitments made 

in the "Program Improvement Plan," and has demonstrated significant improvements in program 

performance, the probationary status will be lifted. There will be further announcements of that 

action. 

FOR FURTHER INFORMATION CONTACT: Lisa Dimmick, Office of Federal and State 

Materials and Environmental Management Programs, U.S. Nuclear Regulatory Commission, 

Washington, DC 20555, telephone 301-415-0694, e-mail: Lisa.Dimmick@nrc.gov. 

Enclosure 4 
SUPPLEMENTARY INFORMATION: 

Under Section 274 of the Atomic Energy Act, as amended, the Commission retains the 

authority and the responsibility to assure that Agreement State programs continue to provide 

adequate protection of public health and safety, and to be compatible with the NRC's program 

with respect to the regulation of the materials and uses authorized under the Agreement. 

Agreement States are States which have assumed regulatory authority from the NRC over the 

possession and use of certain radioactive materials. The Commission Policy Statement, 

"Statement of Principles and Policy for the Agreement State Program," established the option of 

placing an Agreement State radiation control program on Probation for program weaknesses 

that require increased NRC oversight. 

Section 27 4j. of the Atomic Energy Act of 1954, as amended, requires that the NRC 

periodically review each Agreement State to ensure Agreement States are adequate and 

compatible. It is the policy of the NRC to evaluate the NRC regional materials programs and 

Agreement State radiation control programs in an integrated manner, using common and noncommon performance indicators, to ensure that public health and safety is being adequately 

protected. The periodic review process for Agreement State and NRC regional radioactive 

materials programs is called the Integrated Materials Performance Evaluation Program 

(IMPEP). 

The Management Review Board (MRB), in a public meeting, makes the overall 

assessment of each NRC regional materials and Agreement State program. Information 

considered by the MRB includes the proposed final IMPEP report which presents suggested 

performance indicator ratings and recommendations prepared by the IMPEP review team, and 

information provided by the region or State at the MRB meeting. For most IMPEP reviews, rno 

action other than issuance of the final IMPEP report is needed. For those infrequent reviews 

2 
where additional action is needed, the MRB may consider Monitoring, Heightened Oversight, 

and recommendations for Probation, Suspension, or Termination. The most significant actions, 

Probation, Suspension, or Termination, require Commission approval. 

Overall, the MRS found the Georgia Program adequate to protect public health and 

safety, but needs improvement, and compatible with the NRC's program. The MRS found the 

Georgia Program performance unsatisfactory for two performance indicators: Technical Quality 

of Inspections, and Technical Quality of Incident and Allegation Activities. The Georgia 

Program was found satisfactory, but needs improvement, for three performance indicators: 

Technical Staffing and Training, Status of Materials Inspection Program, and Technical Quality 

of Licensing Actions. The indicators, Compatibility Requirements and Sealed Source and 

Device Evaluation were found satisfactory. The MRS recommended that the Georgia Program 

be placed on Probation due to the significant performance issues identified. The Commission 

considered the performance of the Georgia Program and agreed that the Georgia Program 

should be placed on Probation. 

In cases where program weaknesses exist regarding the adequacy or compatibility of an 

Agreement State's program yet the weaknesses are not so serious as to find the program 

inadequate to protect public health and safety, one of the options available to ensure continued 

protection of public health and safety, is to place the Agreement State program on Probation. 

The probationary period is appro>Eimately one year. The Georgia Agreement State Program's 

progress in addressing the program weaknesses will be evaluated in January 2014 by an 

IMPEP review team. Once the MRB determines that the Agreement State has met the 

commitments in the "Program Improvement Plan" and has demonstrated significant 

improvements in program performance, a recommendation will be made to the Commission that 

the probationary status be lifted. 

3 
Upon Commission approval, the probationary status will be lifted. Notification of 

discontinuance of Probation will be made to the Governor of Georgia, the Georgia 

Congressional delegation, and all other Agreement and Non-Agreement States. The NRC will 

also publish a Federal Register Notice and a press release announcing the discontinuance of 

Probation for the Georgia Program. 

Dated at Rockville, Maryland, this XX day of xx, 2013. 

For the Nuclear Regulatory Commission. 

Brian J. McDermott, Director, 

Division of Materials Safety and State Agreements, 

Office of Federal and State Materials 

and Environmental Management Programs. 

4 
The Honorable Nathan Deal 

203 State Capitol 

Atlanta, GA 30334 

Dear Governor Deal: 

On behalf of the U.S. Nuclear Regulatory Commission (NRC), I am writing to bring to 

your attention significant concerns that were identified during a recent evaluation of the Georgia 

Agreement State Program. This is the program responsible for ensuring in overseeing the safe 

and secure use of radioactive material in Georgia. I am requesting your support for the 

program's efforts to address these concerns. 

On December 15, 1969, the State of Georgia entered into an Agreement with the NRC 

pursuant to section 274b. of the Atomic Energy Act, as amended. Under this agreement, the 

State of Georgia committed to establish a radiation control program that is adequate and 

compatible to protect the health and safety of Georgia citizens from the potential hazards 

associated with the use of radioactive materials. The NRC retains the authority and 

responsibility for ensuring that Agreement State programs continue to provide adequate 

protection of public health and safety, and that they are compatible with the NRC's program for 

regulating radioactive materials. 

The most recent review of the Georgia Agreement State Program found program 

weaknesses related to the adequacy of your Agreement State program. The identified 

weaknesses were of such safety significance that assurance of the Georgia Agreement State 

Program's ability to protect public health and safety was degraded.:,_ and increased 0\1

ersight by 

the NRC is required to confirm program improvements. The Commission has further 

determined that while making the necessary corrections, the Georgia program would benefit 

from increased NRC oversight. The Commission is, therefore, placing the Georgia Agreement 

State Program on Probation. The Staff from your Georgia radiation control program staff has 

been involved in the discussions leading to this decision. 

The weaknesses identified in Georgia Agreement State program do not immediately 

threaten public health and safety. Probation is appropriate because it allows the NRC to remain 

closely involved with the Georgia program managers as they implement improvements. 

Probation only involves the 274b. Agreement between the NRC and the State of Georgia 

involving the use of radioactive materials by medical, industrial, and academic facilities. It does 

fs-not involve expected that our decision for Probation would impact other State responsibilities 

pertaining to emergency preparedness at commercial nuclear power plants or the construction 

and operation of nuclear power plants. 

The Georgia Agreement State Program staff has already provided the NRC staff a 

"Program Improvement Plan" describing actions to be taken to address the identified 

weaknesses, including specific goals and timetables. The NRC staff will work with your staff 

throughout the probationary period. The State's progress in addressing the program 
2 

weaknesses will be evaluated in a formal review in January 2014. Once the Commission 

determines that the commitments in the "Program Improvement Plan" have been met and that 

the Georgia Agreement State Program has demonstrated significant improvements in program 

performance, the probationary status will be lifted. 

Let me assure you that the Commission is ready to assist Georgia in improving the Agreement 

State program. I will be happy to answer any questions you may have, or your staff may 

contact Mark A Satorius, Director, Office of Federal and State Materials and Environmental 

Management Programs, at 301-415-7197. 

3Q1 41 § 7197. 

Sincerely, 

Allison M. Macfarlane 
MEC 

G:\DPR\HQ Draft PRs\Georgia 6/11/2013 10:44 AM6/11/2013 9:52AM 

OPA 

DRAFT 

(Source:) 

NRC APPROVES PROBATION FOR 

GEORG~'SAGREEMffiNTSTATEREGULATORYPROGRAM 

The Commission has approved placing the .S.state of Georgia on robation for deficiencies 

in its Agreement State program- the first time the NRC has taken such action. This move does not 

affect oversight of nuclear reactors in Georgia, which remain under NRC authority. 

Georgia is one of37 .S.states that have entered into agreements with the NRC giving them 

authority to license and regulate certain nuclear materials users within their borders. The agency 

reviews these Agreement State programs regularly. Probation is an option for ensuring continued 

protection of public health and safety in cases where program weaknesses exist, but the weaknesses 

do not make the program inadequate to provide that protection. 

A review teain comprised of technical staff from the NRC, North Carolina and Florida 

evaluated the Georgia program in October 2012. The team identified significant deficiencies 

throughout the program that, if left uncorrected, have the potential to impact public health and safety. 

The team observed a basic misunderstanding of several important safety and security requirements, 
and it noted significant communication issues between staff and management that affected the 

program's safety culture and performance. Overall, the team identified a decline in performance 

since Georgia's last evaluation in 2008. 

The problems identified relate largely to prioritization of work, specifically responding to 

incidents promptly and prioritizing inspections of licensees using radioactive materials with the 

greatest potential for harm. The team found numerous examples where tasks were not appropriately 

prioritized. 

In spite of the need for improvement, the review found Georgia's program to be adequate and 

compatible with the NRC regulatory program. But the team recommended, and an NRC 

Mmanagement Rreview ooard agreed, that Georgia's performance be found unsatisfactory for 

several performance indicators. The team made 11 specific recommendations to Georgia for 

improving performance. The report on Georgia's agreement state program can be found here. 

Pending the commission's decision, the .S,state has been on "Heightened Oversight," a 

condition requiring increased interaction with NRC staff, preparation of a program improvement 

plan, bimonthly conference calls and periodic status reports. The NRC will continue to interact more 

frequently with the state program office during probation. The Georgia program will be evaluate·d 

again in January 2014. 

###### 
News releases are available through a free Listserv subscription or by clicking on the EMA1L UPDATES 

link on the NRC homepage (www.nrc.gov). E-mail notifications are sent to subscribers when news releases are 

posted to NRC's website. for the latest news, follow the NRC on www.twitter.com/NRCgov. 
TO: 

FROM: 

SUBJECT: 

Approved XX 

NOTATION VOTE 

RESPONSE SHEET 

Annette Vietti-Cook, Secretary 

COMMISSIONER SVINICKI 

SECY-13-0051 - MANAGEMENT REVIEW BOARD 

RECOMMENDATION FOR PROBATION OF THE 

GEORGIA AGREEMENT STATE PROGRAM 

Disapproved _ _ Abstain __ 

Not Participating __ 

COMMENTS: Below Attached XX None 

?ATE I 

Entered on "STARS" Yes _L'No ·-
Commissioner Svinicki's Comments on SECY-13-0051 

Management Review Board Recommendation for 

Probation of the Georgia Agreement State Program 

I approve the staff's recommendation to place the Georgia Agreement State Program on 

probation. I determine that the issues identified and the evaluation of those issues conducted 

through the Integrated Materials Performance Evaluation Program (IMPEP) warrant this action. 

I also propose edits to the draft Federal Register notice, the letter to the Governor of Georgia, 

and the draft public announcement, as attached. 

In deliberating on this matter, I have reviewed the responses by the Georgia Program, including 

the Georgia Program Improvement Plan, which has been reviewed and approved by the NRC 

staff. The response by the Georgia Program to the issues identified has been expansive and 

thorough, and I acknowledge Georgia's stated commitment to these corrective measures, some 

of which are already implemented and many of which are substantially underway. 

Our Agreement States are vital partners and co-regulators in achieving our mutual goal of 

protection of public health and safety with respect to the care and handling of radiological 

materials. This partnership is a direct reflection of Congress's design for the role of the States 

in these important matters. Consequently, the NRC will also take measures under its power, 

related to training and other technical assistance, in support of Georgia's efforts in improving its 

program. 

The NRC staff has and will continue to evaluate whether these events indicate that 

enhancements to the IMPEP are needed. Beginning with a programmatic evaluation by NRC's 

Office of Inspector General in 2009, followed by an assessment of the IMPEP led by agency 

rehired annuitants with significant expertise in this area in 2010, and continuing on to a report on 

strengthening the Agreement State Program (still under development), recent years have seen 

a period of substantial review and evaluation of our processes for monitoring Agreement State 

programs. Although the NRC staff has already addressed a number of the recommendations 

for program enhancements coming out of these reviews, a number of program enhancements 

and revisions are still being developed. These are substantial efforts by the staff. Prior to any 

wholesale, additional changes being directed by the Commission, the requisite time should be 

allowed for these staff actions to be implemented and their effectiveness to be evaluated. 

Rather than directing additional programmatic changes now, the Commission should direct the 

staff to report back one year after the issuance of the staff requirements memorandum arising 

from SE CY -13-0051 on the status of the staffs work in addressing the recommendations 

coming from the reviews already conducted and any further actions that are planned. 
[7590-0 1-P] 

NUCLEAR REGULATORY COMMISSION 

[NRC-2012-XXXX:] 

Placement of the Georgia Agreement State Program on Probation 

AGENCY: Nuclear Regulatory Commission. 

ACTION: Notice of the Georgia Agreement State Program Being Placed on Probation. 

SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) is announcing the placement of 

the Georgia Agreement State Program (Georgia Program) for the regulation of certain Atomic 

Energy Act materials on Probation and 2._further increas~ffi§ m_the NRC oversight of the 

Georgia Program, as well as including overseeing implementation of a "Program Improvement 

Plan" developed by the staff of the Georgia Program. Once the Georgia Program has met the 

commitments made in the "Program Improvement Plan," and has demonstrated significant 

improvements in program performance, the probationary status will be lifted. There will be 

further announcements of that action. 

FOR FURTHER INFORMATION CONTACT: Lisa Dimmick, Office of Federal and State 

Materials and Environmental Management Programs, U.S. Nuclear Regulatory Commission,. 

Washington, DC 20555, telephone 301-415-0694, e-mail: Lisa.Dimmick@nrc.gov. 

Enclosure 4 
SUPPLEMENTARY INFORMATION: 

Under Section 27 4 of the Atomic Energy Act, as amended, the Commission retains the 

authority and the responsibility to assure that Agreement State programs continue to provide 

adequate protection of public health and safety, and to be compatible with the NRC's program 

with respect to the regulation of the materials and uses authorized under the Agreement. 

Agreement States are States wRiGR-that have assumed regulatory authority from the NRC over 

the possession and use of certain radioactive materials. The Commission Policy Statement, 

"Statement of Principles and Policy for the Agreement State Program," established the option of 

placing an Agreement State radiation control program on Probation for program weaknesses 

that require increased NRC oversight. 

Section 27 4j. of the Atomic Energy Act of 1954, as amended, requires that the NRC 

periodically review each Agreement State to ensure Agreement State s regulatory programs are 

adequate and compatible. It is the policy of the NRC to evaluate the NRC regional materials 

programs and Agreement State radiation control programs in an integrated manner, using· 

common and non common performance indicators, to ensure that public health and safety is 

being adequately protected. The periodic review process for Agreement State and NRC 

regional radioactive materials programs is called the Integrated Materials Performance 

Evaluation Program (IMPEP). 

The Management Review Board (MRB), in a public meeting, makes the overall 

assessment of each NRC regional materials and Agreement State program. Information 

considered by the MRB includes the proposed finaiiMPEP report~ which presents suggested 

performance indicator ratings and recommendations prepared by the IMPEP review team, and 

information provided by the region or State at the MRB meeting. For most IMPEP reviews, no 

action other than issuance of the finaiiMPEP report is needed. For those infrequent reviews 

2 
where additional action is needed, the MRB may consider Monitoring, Heightened Oversight, 

and recommendations for Probation, Suspension, or Termination. The most significant actions, 

Probation, Suspension, or Termination, require Commission approval. In 2008. the MRB placed 

the Georgia Program under a condition of Monitoring due to the results of the 2008 Georgia 

Program IMPEP. 

OveraiiAfter the most recent review, the MRB found the overall Georgia Program 

compatible with the NRC's program and adequate to protect public health and safety, but needs 

improvement, and compatible with the NRC's program . The MRB found the Georgia Program 

performance unsatisfactory for two performance indicators: Technical Quality of Inspections, 

and Technical Quality of Incident and Allegation Activities. The Georgia Program was found 

satisfactory, but needs improvement, for three performance indicators: Technical Staffing and 

Training, Status of Materials Inspection Program, and Technical Quality of Licensing Actions. 

The indicators, Compatibility Requirements and Sealed Source and Device Evaluation were 

found satisfactory. The MRB recommended that the Georgia Program be placed on Probation 

due to the significant performance issues identified. The Commission considered the 

performance of the Georgia Program and agreed that the Georgia Program should be placed on 

Probation. 

In cases where program weaknesses exist regarding the adequacy or compatibility of an 

Agreement State's program yet the weaknesses are not so serious as to find the program 

inadequate to protect public health and safety, one of the options available to ensure continued 

protection of public health and safety, is to place the Agreement State program on Probation. 

The probationary period. at a minimum. is expected to last approximately one year. The 

Georgia Agreement State Program's progress in addressing the program weaknesses will be 

evaluated in January 2014 by an IMPEP review team. Once the MRS determines that the 

3 
Agreement State has met the commitments in the "Program Improvement Plan" and has 

demonstrated significant improvements in program performance, a recommendation will be 

made to the Commission that the probationary status be lifted. 

Upon Commission approval, the probationary status will be lifted. Notification of 

discontinuance of Probation will be made to the Governor of Georgia, the Georgia 

Congressional delegation, and all other Agreement and Non-Agreement States. The NRC will 

also publish a Federal Register Notice and a press release announcing the discontinuance of 

Probation for the Georgia Program. 

Dated at Rockville, Maryland, this XX day of xx, 2013. 

For the Nuclear Regulatory Commission. 

Brian J. McDermott, Director, 

Division of Materials Safety and State Agreements, 

Office of Federal and State Materials 

and Environmental Management Programs. 

4 
The Honorable Nathan Deal 

203 State Capitol 

Atlanta, GA 30334 

Dear Governor Deal: 

On behalf of the U.S. Nuclear Regulatory Commission (NRC), I am writing to bring to 

your attention significant concerns that were identified during a recent evaluation of the Georgia 

Agreement State Program in overseeing the safe and secure use of radioactive material in 

Georgia. I am requesting your support for the program's efforts to address these concerns. 

On December 15, 1969, the State of Georgia entered into an Agreement with the NRC 

pursuant to section 27 4b. of the Atomic Energy Act, as amended. Under this agreement, the 

State of Georgia committed to establish a radiation control program that is adequate and 

compatible to protect the health and safety of Georgia citizens from the potential hazards 

associated with the use of radioactive materials. The NRC retains the authority and 

responsibility for ensuring that Agreement State programs continue to provide adequate 

protection of public health and safety, and that they are compatible with the NRC's program for 

regulating radioactive materials. 

The most recent review of the Georgia Agreement State Program found program 

weaknesses related to the adequacy your Agreement State program. The identified 

weaknesses were of such safety significance that assurance of the Georgia Agreement State 

Program's ability to protect public health and safety was degraded and increased oversight by 

the NRC is required to confirm program improvements. The Commission has further 

determined that while making the necessary corrections, the Georgia ~.Erogram would benefit 

from increased NRC oversight. The Commission is, therefore, placing the Georgia Agreement 

State Program on Probation. Staff from ~the Georgia radiation oontroiRadioactive Materials 

~.Erogram within the Georgia Environmental Protection Division Ras-have been involved in the 

discussions leading to this decision. 

The weaknesses identified in Georgia Agreement State ~.E ogram do not immediately 

threaten public health and safety. Probation is appropriate because it allows the NRC to remain 

closely involved with Georgia ~.Erogram managers as they implement improvements. Probation 

only involves the 274b. Agreement between the NRC and the State of Georgia involving the use 

of radioactive materials by medical, industrial, and academic facilities. It is not expected that 

OOfThe decision for Probation would does not impact other State responsibilities pertaining to 

emergency preparedness at commercial nuclear power plants or the construction and operation 

of nuclear power plants. 

The Georgia Agreement State Program staff has already provided the NRC staff a 

"Program Improvement Plan" describing actions to be taken to address the identified 

weaknesses, including specific goals and timetables. The NRC staff will work with your staff 

throughout the probationary period. The State's progress in addressing the program 
2 

weaknesses will be evaluated in a formal review in January 2014. Once the Commission 

determines that the commitments in the "Program Improvement Plan" have been met and that 

the Georgia Agreement State Program has demonstrated significant improvements in program 

performance, the probationary status will be lifted. 

Let me assure you that the Commission is ready to assist Georgia in improving the 

Agreement State program. I will be happy to answer any questions you may have, or your staff 

may contact Mark A. Satorius, Director, Office of Federal and State Materials and 

Environmental Management Programs, at 301-415-7197. 

301 415 7197. 

Sincerely, 

Allison M. Macfarlane 
., 

MEC 

G:\DPR\HQ Draft PRs\Georgia 5/7/2013 2:11 PM 

OPA 

DRAFT 

(Source:) 

NRC APPROVES PROBATION FOR 

GEORGIA'S AGREEMENT STATE REGULATORY PROGRAM 

The Commission has approved placing the state of Georgia on probation for deficiencies in 

its Agreement State program-the first time the NRC has taken such action. 

Georgia is one of 37 states that have entered agreements with the NRC giving them authority 

to license and regulate certain nuclear materials users within their borders. The agency reviews these 

Agreement State programs regularly. Probation is an option for ensuring continued protection of 

public health and safety in cases where program weaknesses exist, but the weaknesses do not make 

the program inadequate to provide that protection. 

A review team comprised of technical staff from the NRC, North Carolina and Florida 

evaluated the Georgia program in October 2012. The team identified significant deficiencies 

throughout the program that, if left uncorrected, have the potential to impact public health and safety. 

The team observed a basic misunderstanding of several important safety and security requirements, 

and it noted significant communication issues between staff and management that affected the 
program's safety culture and performance. Overall, the team identified a decline in performance 

since Georgia's last evaluation in 2008. 

The problems identified relate largely to prioritization of work, specifically responding to 

incidents promptly and prioritizing inspections of licensees using radioactive materials with the 

greatest potential for harm. The team found numerous examples where tasks were not appropriately 

prioritized. 

In spite ofthe need for improvement, the review found Georgia's program to be adequate and 

compatible with the NRC regulatory program. But the team recommended, and an NRC management 

review board agreed, that Georgia's perfonnance be found unsatisfactory for several performance 

indicators. The team made II specific recommendations to Georgia for improving perfonnance. The 

report on Georgia's agreement state program can be found here. ~ Gt.o-rct f'ro,rc- ~4t"" ,t'; 

a.c t. ~».tfJI'tS S •'J ~ _t~l+-c)I.-..Q.•ct u,._CI'I\S". -rf.c.. G.-e.•-,.·<o. rrc,rQ- ~-~ 1 u~ ... ,JH-t/ ~ G-t..•~,:~ f,.b,r,.,..,. .l. ... f•b./t ... i-+ ~leu,. '11.i<~7 tl.a."" "'4s bee."' re:Yae.,.;t ~ 

"'- f f'"i>\Jt J \d t -¥k. tJLL . 

Pending the commission's decision, the state has been on "Heightened Oversight," a 

condition requiring increased interaction with NRC staff, preparation of a program improvement 

plan, bimonthly conference calls and periodic status reports. The NRC will continue to interact more 

frequently with the state program office during probation. The Georgia program will be evaluated 

again in January 2014. 

###### 

News releases are available through a free Lisrserv subscription or by clicking on the EMAIL UPDATES 

link on the NRC homepage (www.nrc.gov). E-mail notifications are sent to subscribers when news releases are 

posted to NRC's website. For the latest news, follow the NRC on www.twitter.com!NRCgov. 
TO: 

FROM: 

SUBJECT: 

Approved X 

NOTATION VOTE 

RESPONSE SHEET 

Annette Vietti-Cook, Secretary 

Commissioner Apostolakis 

SECY-13-0051 - MANAGEMENT REVIEW BOARD 

RECOMMENDATION FOR PROBATION OF THE 

GEORGIA AGREEMENT STATE PROGRAM 

Disapproved __ Abstain _ _ 

Not Participating _ _ 

COMMENTS: Below _x_ Attached X None 

I approve the staff's recommendation to place the Georgia Agreement State Program 

on probation subject to the attached edits. Staff should quickly report to the 

Commission if at any time during this probation period the State is not making progress 

to improve and sustain its program. 

SIG::u~ 

DATE ~ 1 

Entered on "STARS" Yes / No 
Commissioner Apostolakis' edits SECY-13-0051 

[7590-01-P] 

NUCLEAR REGULATORY COMMISSION 

[NRC-2012-XXXX] 

Placement of the Georgia Agreement State Program on Probation 

AGENCY: Nuclear Regulatory Commission. 

ACTION: Notice of the Georgia Agreement State Program Being Placed on Probation. 

SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) is announcing the placement of 

the Georgia Agreement State Program (Georgia Program) for the regulation of certain Atomic 

Energy Act materials on Probation and further increasing the NRC oversight of the Georgia 

Program, as well as overseeing implementation of a "Program Improvement Plan" developed by 

the staff of the Georgia Program. Once the Georgia Program has met the commitments made 

in the "Program Improvement Plan," and has demonstrated significant and sustained 

improvements in program performance, the probationary status wi4-cou1o be lifted. There will 

be further announcements of #!at-such action. 

FOR FURTHER INFORMATION CONTACT: Lisa Dimmick, Office of Federal and State 

Materials and Environmental Management Programs, U.S. Nuclear Regulatory Commission, 

Washington, DC 20555, telephone 301-415-0694, e-mail: Lisa.Dimmick@nrc.gov. 
Enclosure 4 

SUPPLEMENTARY INFORMATION: 

Under Section 274 of the Atomic Energy Act, as amended, the Commission retains the 

authority and the responsibility to assure that Agreement State programs continue to provide 

adequate protection of public health and safety, and to be compatible with the NRC's program 

with respect to the regulation of the materials and uses authorized under the Agreement. 

Agreement States are States which have assumed regulatory authority from the NRC over the 

possession and use of certain radioactive materials. The Commission Policy Statement. 

"Statement of Principles· and Policy for the Agreement State Program." established the option of 

placing an Agreement State radiation control program on Probation for program weaknesses 

tMt-reqUire increased ll>JRC o11ersight. 

Section 274j. of the Atomic Energy Act of 1954, as amended, requires that the NRC 

periodically review each Agreement State to ensure Agreement States are adequate and 

compatible. +t-i-s the polioy-~NRC to evaluates the NRC regional materials programs and 

Agreement State radiation control prog·rams in an integrated manner, using common and non 

performance indicators, to ensure that public health and safety is being adequately 

protected. The periodic review process for Agreement State and NRC regional radioactive 

materials programs is called the Integrated Materials Performance Evaluation Program 

{IMPEP). 

The Management Review Board (MRB), in a public meeting, makes the overall 

assessment of eaei=I--NRC regional materials andthe Agreement State program. Information 

considered by the MRB includes the proposed final IMPEP report which presents suggested 

performance indicator ratings and recommendations prepared by the IMPEP review team, and 

2 
information provided by the region or State at the MRB meeting. For most IMPEP reviews, no 

action other than issuance of the finaiiMPEP report is needed. For those infrequent reviews 

where additional action is needed, the MRB may consider Monitoring, Heightened Oversight, 

and recommendations for Probation, Suspension, or Termination. The most significant actions, 

Probation, Suspension, or Termination, require Commission approvaL 

Overall, the MRB found the Georgia Program adequate to protect public health and 

safety, but needs improvement, and compatible with the NRC's program. The MRB found the 

Georgia Program performance unsatisfactory for two performance indicators: Technical Quality 

of Inspections, and Technical Quality of Incident and Allegation Activities. The Georgia 

Program was .found satisfactory~ but needs improvement, for three performance indicators: 

Technical Staffing and Training, Status of Materials Inspection Program, and Technical Quality 

of Licensing Actions. The indicators, Compatibility Requirements and Sealed Source and 

Device Evaluation were found satisfactory. The MRB recommended that the Georgia Program 

be placed on Probation due to the significant performance issues identified. The Commission 

wnsidered the performance of the Georgia Program and agreed that the Georgia Program 

should be placed on Probation. 

In cases 'A'hore program 'Neaknesses exist regarding the adequacy or compatibi•ity-Gf.-.a.R 

~reement £tate's program yet t1e weaknesses are not so ser:ous as to find the program 

inadequate to protect public health and safety. one of the options available to ensure continued 

protection of public health and safety. is to place the Agreement State program on Probation. 

The probationary period is approximately one year. The Georgia Agreement State Program's 

progress in addressing the program weaknesses will be evaluated in January 2014 by an 

IMPEP review team. Once the MRB determines that the Agreement State has met the 

commitments in the "Program Improvement Plan" and has demonstrated significant and 

3 
sustained improvements in program petiormance, a recommendation will be made to the 

Commission that the probationary status be lifted. 

~Commission approval. the probationary status will be lifted. Notification of 

discontinuance of Probation wouldill be made to the Governor of Georgia, the Georgia 

Congressional delegation, and all other Agreement and Non-Agreement States. The NRC wH-1 

would also publish a Federal Register Notice and a press release announcing the 

discontinuance of Probation for the Georgia Program. if approved by the Commissiono 

Dated at Rockville, Maryland, this XX day of xx, 2013. 

For the Nuclear Regulatory Commission. 

Brian J. McDermott, Director, 

Division of Materials Safety and State Agreements, 

Offic~ of Federal and State Materials 

and Environmental Management Programs. 

4 
The Honorable Nathan Deal 

203 State Capitol 

Atlanta, GA 30334 

Dear Governor Deal: 

Commissioner Apostolakis' edits .SECY-13-0051 

On behalf of the U.S. Nuclear Regulatory Commission (NRC), I am wmif-1!} to bring to 

your attention significant concerns that were identified during a recent evaluation of the Georgia 

Agreement State Program i<l ova~ the safe~ use el radioactive materia' ir 

Georgia. I am requesting your support for the program's efforts to address these concerns. 

On December 15, 1969, the State of Georgia entered into an Agreement with the NRC 

pursuant to section 274b. of the Atomic Energy Act, as amended. Under this agreement, the 

State of Georgia committed to establish a radiation control program that is adequate and 

compatible to protect the health and safety of Georgia citizens from the potential hazards 

associated with the use of certain radioactive materials. The NRC retains the authority and 

responsibility for ensuring that Agreement State programs continue to provide adequate 

protection of public health and safety, and that they are compatible with the NRC's program for 

regulating radioactive materials. 

The most recent review of the Georgia Agreement State Program found program 

weaknesses related to the adequacy of your Agreement State program. The identified 

weaknesses were of such safety significance that assurance of the Georgia Agreement State 

Program's ability to protect public health and safety was degraded-aoo increased o>,•crs1ght oy 

!he NRC is required tc-GeAfi•m program Ul'1provcmen\s. The Commission has further 

determined that while making the necessary corrections, the Georgia program would benefit 

from increased NRC oversight. The Commission is, therefore, placing the Georgia Agreement 

State Program on Probation. Sfa#.irom ycurThe Georgia radiation control program staff has 

been involved in the discussions leading to this decision. 

The weaknesses identified in Georgia Agreement State program do not immediately 

threaten public health and safety. Probation is appropriate becai.Jse it allows the NRC to remain 

closely involved with the Georgia program managers as they implement improvements. 

Probation only involves the 274b. Agreement between the NRC and the State of Georgia 

involving the use of radioactive materials by medical, industrial, and academic facilities. 4-~ 

e~d ~043ur decision for Probation wcoes not 9ti!G ~involve other State 

responsibilities pertaining to emergency preparedness at commercial nuclear power plants or 

the construction and operation of nuclear power plants. 

The Georgia Agreement State Program staff has provided the NRC staff a 

"Program Improvement Plan" describing actions to be taken to address the identified 

weaknesses~i g spec'fic goa's and tiPletab'cs. The NRC staff will work with your staff 

throughout the probationary period. The State's progress in addressing the program 

weaknesses will be evaluated in a formal review in January 2014. Once the Commission 

determines that the commitments in the 'Program Improvement Plan" have been met and that 

the Georgia Agreement State Program has demonstrated significant and susta1ned 

improvements in program performance, the probationary status wikould be lifted. 

Comment (GAl]: Include m~ar text in the 

press retease. 
2 

Let me assure you that the Commission is ready to assist Georgia in improving the 

Agreement State program. I will be happy to answer any questions you may have, or your staff 

may contact Mark A. Satorius, Director, Office of Federal and State Materials and 

Environmental Management Programs, at 3~J_:S1~1~..Z. 

391 ~ 1 s 7197. 

Sincerely, 

Allison M. Macfarlane 
TO: 

FROM: 

SUBJECT: 

Approved X 

NOTATION VOTE 

RESPONSE SHEET 

Annette Vietti-Cook, Secretary 

COMMISSIONER MAGWOOD 

SECY-13-0051 - MANAGEMENT REVIEW BOARD 

RECOMMENDATION FOR PROBATION OF THE 

GEORGIA AGREEMENT STATE PROGRAM 

Disapproved __ Abstain _ _ 

Not Participating __ 

COMMENTS: Below Attached X None 

SIGNATURE 

~'I lt1a y 2C t~ 

DATE 

Entered on "STARS" Yes _K No_ 
Commissioner Magwood's Comments on SECY-13-0051, 

"Management Review Board Recommendation For 

Probation of the Georgia Agreement State Program" 

I approve staff's recommendation to place the Georgia Agreement State Program on probation 

as described in the NRC Management Directive 5.6, "Integrated Materials Performance 

Evaluation Program (IMPEP)". From the history related by the staff in the subject SECY paper, 

it is clear that this step is appropriate. That said, it is also important to recognize that Georgia 

State personnel are aware of the areas of concern cited by the staff and are taking positive 

actions to remediate their program. 

However, it is also true that the agency has had significant concerns about Georgia's program 

since at least 2008. During the five years that have passed, it is likely that performance issues 

in Georgia have resulted in increased safety and security risks to the public. In SECY-13-0051 , 

staff describes an example in which a conscientious member of the public inadvertently came 

into possession of a device containing an americium-241 sealed source. This person acted 

appropriately and contacted the Georgia Program. The responsible inspector made an 

unsuccessful attempt to locate the original owner and took no further action. Only when NRC, 

acting on a complaint from the person in possession of the source, discussed the matter with 

Georgia was appropriate action taken to recover the source. Obviously, such an example is 

emblematic of a serious programmatic failure by the Georgia Program. But the fact that such a 

degraded level of performance has been observed for five years also raises concerns about the 

IMPEP and the agency's application of it. 

The Agreement States are an integral part of the Nation's radiological safety regulatory regime. 

Agreement States assure that the approximately 19,000 industrial, medical, and other licensees 

operate in a manner that protects the health, safety, and security of the public and the workers 

involved. As a general matter, the state programs perform in exemplary fashion, working with 

limited staff and resources to carry out a wide range of essential regulatory functions. However, 

the state organizations with these responsibilities are very often buried in bureaucracies that do 

not appreciate the unique and important nature of their work. 

As I have visited many states over the years, I find reoccurring stories of staff shortages despite 

the availability of funds {often from fees on licensees) to pay for new hires; restrictions on travel 

to essential meetings and training because of broad state government rules; growing worries 

about loss of capability as staff move on or retire; and moribund efforts to establish updated 

regulations. Given these challenges, it is more likely than not that programs that are performing 

well today will become the "Georgias" of a few years from now. 

It is apparent that our IMPEP review and the process for determining Agreement State 

adequacy and compatibility are ripe for an extensive review. The position in which Georgia 

finds itself is a perfect example of why I have noted in previous votes that staff should engage 

the Agreement States to develop a recommendation for a performance-based approach for 
determining compatibility of State radiation control programs. Such an approach should revisit 

how we assess "adequacy" and "compatibility" and develop clear metrics which could replace, 

supplement, or expand upon the IMPEP program. 

Even if the current IMPEP, with its traditional metrics and ratings such as "Monitoring," are 

supportive entirely of the NRC's internal processes (which can be debated), they do little to 

adequately and clearly inform the public of the performance of state programs. The Reactor 

Oversight Program (ROP) is also designed to support internal NRC processes, but it has 

become an effective and valuable public communication tool-as staff trumpeted when it 

proposed the creation of the Construction ROP. In contrast, the current IMPEP does not 

provide sufficient information to the public or to senior state officials about degrading 

performance. Nor does it satisfactorily encourage states to strive for excellence-until, like 

Georgia, a program suffers years of degraded performance and the NRC is forced to place it on 

probation. 

I recognize that staff believes the current approach is adequate. Many states, in their official 

comments, also support broadly the status quo. Nevertheless, based on the many discussions I 

have had with the state program staffs responsible for protecting public health and safety, I 

conclude that the time has come for a new approach and that the Commission is best placed to 

move this effort forward. 

It is best to dispatch the current matter quickly in order to address the specific concerns 

associated with the Georgia Program. However, we have a responsibility to improve the 

process by which we carry out NRC's responsibilities under the Atomic Energy Act and we 

should consider our next steps. I believe that the best path is to begin working with our 

Agreement State partners to design an approach that provides them increased flexibility while 

establish performance metrics that properly assess and communicate the job they are doing to 

protect public health and safety. Clearly, this will take some time, but the benefits to radiological 

safety in this country make it worthy of the effort. I look forward to discussing this important 

policy matter with my Commission colleagues and encourage that we make this challenge a 

priority in the coming months. 

(A)UJ. f¢:2-... S\~\1} William D. Magwood, IV Date 
TO: 

FROM: 

SUBJECT: 

NOTATION VOTE 

RESPONSE SHEET 

Annette Vietti-Cook, Secretary 

COMMISSIONER OSTENDORFF 

SECY -13-0051 -MANAGEMENT REVIEW BOARD 

RECOMMENDATION FOR PROBATION OF THE 

GEORGIA AGREEMENT STATE PROGRAM 

Approved .....;X;...;;...__ Disapproved __ Abstain __ 

Not Participating __ 

COMMENTS: Below X Attached None 

I approve the staff's recommendation to place the Georgia Agreement State Program on 

probation. I believe the significance of the issues identified by the Integrated Materials 

Performance Evaluation Program (IMPEP) team warrant this action. I commend the staff's 

efforts to appropriately reflect on whether these significant performance issues indicate that 

enhancements to the IMPEP program are needed. I encourage the staff to continue to enhance 

the program as necessary, but I do not think that wholesale changes are warranted. The staff 

should continue to keep the Commission informed of its assessment of the IMPEP and any 

changes the staff determines are necessary to ensure appropriate oversight of Agreement State 

programs. 

SIG!f::f&H 

DATE 

Entered on "STARS" Yes x No