2003

U.S. NUCLEAR REGULATORY COMMISSION

INSPECTOR

GENERAL

THE NRC

THE IG AT

OFFICE OF THE
Web site: www.nrc.gov/insp-gen.htm

FOREW

This fourth edition of “The IG at the 

alone reference of the policies, proced

U.S. Nuclear Regulatory Commission 

(OIG). In addition to excerpts from th

provides information about the OIG 

policy and procedures.

Since my appointment as Inspector G

have made education a priority. Main

source of information is an importan

agency and for our other stakeholders

document so as to be better informed 

questions and comments so that we m

ways to combat and prevent fraud, wa
En

THE IG AT

THE NRC

OFFICE OF TE

INSPECTOR

GENERAL

2003

U.S. NUCLEAR REGULATORY COMMISSION
The IG at the NRC The IG at the NRC

Hotline Number: 1.800.233.3497 Web site: www.nrc.gov/insp-gen.html

CONTENTS

1 OIG MISSION AND ORGANIZATION .................... 1

1.1 Mission........................................................ 1

1.2 Oversight...................................................... 2

1.3 Organization .................................................. 3

2 OIG INVESTIGATIONS ...................................... 5

2.1 What is an OIG Investigation? ................................ 5

2.2 What Does the OIG Investigate? .............................. 5

2.3 How is an OIG Investigation Initiated? ........................ 6

2.4 The Investigative Process ...................................... 7

2.5 Clearance Letter .............................................. 8

2.6 OIG Access to Documents .................................... 8

2.7 OIG Access to Individuals .................................... 9

2.8 Law Enforcement Authority .................................. 9

2.9 Employee Rights and Warnings................................ 9

2.10 Reporting Allegations ........................................ 11

2.11 Investigative Products ........................................ 13

3 OIG AUDITS .................................................. 15

3.1 What is an OIG Audit? ...................................... 15

3.2 How are Audits Conducted? .................................. 15

3.3 What is the Priority for Conducting an OIG Audit? .......... 15

3.4 What are the Audit Steps? .................................... 16

3.5 What are Entrance and Exit Conferences? .................... 16

3.6 What is Audit Resolution and Closure? ...................... 17

3.7 What Happens if OIG and NRC Management Disagree on a 

Course of Action Recommended in the Audit Report? ........ 17

3.8 Who Gets Copies of OIG Audit Reports? .................... 17

4 REGULATORY REVIEW .................................... 18

4.1 What is a Regulatory Review? ................................ 18

4.2 What Process is Used to Perform a Regulatory Review? ...... 18

4.3 Regulatory Review Distribution .............................. 18

5 THE SEMIANNUAL REPORT TO CONGRESS .......... 19

5.1 What is the Semiannual Report?.............................. 19

5.2 Semiannual Report Distribution.............................. 20

6 FREEDOM OF INFORMATION ACT AND 

PRIVACY ACT ................................................ 21

6.1 Freedom of Information Act and Privacy Act ................ 21

6.2 Document Dissemination .................................... 21

APPENDIX ...................................................... 22

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1

1 OIG MISSION AND ORGANIZATION

1.1 Mission

Statutory Basis

The U.S. Nuclear Regulatory Commission (NRC), Office of the Inspector

General OIG), was established in 1989 under the 1988 amendments to the Inspector General Act of 1978, 5 U.S.C. App. 3, as an independent and

objective entity within the agency.

The statutory language of the IG Act describes the mission of the NRC Inspector General as: to conduct and supervise audits and investigations

relating to NRC programs and operations; to provide leadership and

coordination and recommend policies for activities designed to prevent

and detect fraud, waste, and abuse, and to promote economy, efficiency

and effectiveness in the administration of NRC programs and operations;

and to keep the Chairman and Congress fully and currently informed

about problems and deficiencies in NRC programs and operations, as 

well as the need for progress in implementing corrective action.

Other specific obligations under the Act require the IG to: review and

provide comments on existing and proposed policies and legislation;

coordinate with the NRC, other Federal agencies, and other entities relating

to promoting economy and efficiency and prevention and detection of fraud

and abuse in agency administered or financed programs or prosecution of

participants in such abuse in NRC programs and operations; comply with

Comptroller General audit standards; report expeditiously to the Attorney

General whenever the IG has reasonable grounds to believe that there has

been a violation of Federal criminal law; and, prepare and submit semiannual

reports to Congress summarizing OIG activities not later than April 30

and October 31 of each year. Further, the law also provides that after the

receipt of a complaint or information from any employee, the IG shall not

disclose the identity of an employee without their consent unless the IG

determines it is unavoidable during the course of an investigation.

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1.3 Organization

The Inspector General

The IG Act created in certain Departments and Agencies designated by

Congress an Office of Inspector General, the head of which shall be an

Inspector General appointed by the President, by and with the advice and

consent of the Senate. IGs are selected without regard to political affiliation,

and solely on the basis of integrity and demonstrated ability in accounting,

auditing, financial analysis, law, management analysis, public administration,

or investigations.

To ensure the independence of the office, the IG reports to and is under

the general supervision of the agency head. At the NRC, this is the Chairman.

The NRC IG may be removed only by the President, who must

communicate the reasons for any such removal to both Houses of

Congress.

By statute, the NRC IG oversees and is responsible to:

◆ conduct and supervise audits and investigations relating to NRC

programs and operations;

◆ review existing and proposed legislation and regulations relating to

programs or operations administered or financed by the agency, and to

make recommendations concerning their impact on the economy and

efficiency in the administration of programs and operations or the

prevention and detection of fraud and abuse;

◆ to recommend policies for and (establish and implement policies) to

conduct, supervise, and coordinate activities that promote economy and

efficiency and that prevent or detect fraud, waste, and abuse within the

agency; and

◆ appoint an Assistant Inspector General for Audits and an Assistant

Inspector General for Investigations.

Authority

The IG Act gives the IG the authority to: have access to all agency

documents and records; subpoena documents; administer oaths; have

direct and prompt access to the Chairman; select, appoint and employ

OIG employees; and enter into contracts and consultant agreements. The

IG also has the authority to report immediately particularly serious or

flagrant matters to the head of the agency, who must transmit this report

to Congress within seven calendar days along with any responsive comments.

1.2 Oversight

PCIE

Under Executive Order 12625 (January 27, 1988), the President’s Council

on Integrity and Efficiency (PCIE) was established as an interagency council

chaired by the Deputy Director for Management of the Office of

Management and Budget (OMB). The chair appoints a vice-chair to assist

in carrying out its functions of promoting integrity and effectiveness in

Federal programs. The PCIE is composed of presidentially-appointed and

Senate-confirmed IGs, and officials from OMB, the Federal Bureau of

Investigation, the Office of Government Ethics, the Office of Personnel

Management, and the Office of Special Counsel. PCIE oversight responsibility

includes development of policies to support professionalism in Federal

OIGs. As part of that oversight, PCIE also addresses allegations against

IGs and certain staff members.

Allegations Against Inspectors General/OIG Staff

Consistent with Executive Order 12993 (March 21, 1996), certain

administrative allegations against Inspectors General, and staff members

of the OIGs, will be received by the Integrity Committee of the PCIE for its

review and disposition. Allegations made against OIG staff will likewise be

reviewed by the PCIE’s Integrity Committee if, among other reasons, the

staff member is alleged to have acted with the knowledge of the IG; or the

allegation against the staff person is related to an allegation against the IG.

Further, any administrative allegation against a senior staff member will,

on a case-by-case basis, be referred by the IG to the PCIE Integrity

Committee when (1) review of the substance of the allegation cannot be

assigned to an agency of the Executive Branch with appropriate jurisdiction

over the matter and (2) the IG determines that an objective internal

investigation of the allegation, or the appearance thereof, is not feasible.

2
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2 OIG INVESTIGATIONS

The Office of the Inspector General supports integrity and efficiency in NRC

programs by providing timely, objective, and independent investigative reports.

2.1 What is an OIG Investigation?

An OIG investigation is a planned, systematic search for relevant, objective

evidence derived from individuals, documents, tangible objects, and data.

In addition to documentation of evidence discovered, an investigation

typically includes identifying the basis for the original complaint, the issues

involved, and citation of relevant statutes.

2.2 What Does the OIG Investigate?

The jurisdiction of the OIG extends to all matters relating to fraud, waste,

and abuse by NRC employees, contractors, and other recipients of funds

under or relating to NRC programs and operations. OIG investigations focus

on violations of law or misconduct by NRC employees and contractors as

well as allegations of irregularities or abuse in NRC programs and operations.

These investigations may involve one or more of the following violations

of laws or regulations:

◆ theft, conversion, misappropriation, embezzlement, or misuse of

Government funds or property;

◆ false claims or statements;

◆ forgery, falsification, or unauthorized destruction of Government records;

◆ bribery, extortion, or blackmail or attempted bribery or blackmail of,

or by, an NRC employee;

◆ violation of employee standards of conduct, conflict of interest; and

◆ mismanagement, fraud, waste of Government funds, or abuse of

authority relating to NRC’s programs and operations.

The Deputy Inspector General

◆ Oversees the conduct and supervision of audits and investigations

relating to agency programs and operations; and

◆ Manages all administrative and planning activities necessary to support

the programmatic mission of the OIG.

The Assistant Inspector General for Audits

◆ Supervises the performance of auditing activities relating to NRC

programs and operations; and

◆ Advises and assists the IG on all audits and evaluations conducted 

by the OIG.

The Assistant Inspector General for Investigations

◆ Supervises the performance of investigative activities and inquiries

relating to NRC programs and operations; and

◆ Advises and assists the IG on all investigations and inquiries 

conducted by the OIG.

Director, Resource Management and Operations Support 

◆ Provides overall management of administrative and operational

support for OIG programs, including formulating and executing the

OIG budget, operating an independent personnel program, administering

the information technology program, coordinating strategic planning

activities, training, and procurement support.

◆ Prepares the OIG Semiannual Report to Congress.

The General Counsel to the Inspector General

◆ Provides independent legal counsel and representation for the IG 

and OIG;

◆ Advises and assists the IG on all legal issues and serves as legal advisor

to the OIG staff; and

◆ Coordinates and drafts commentary in regard to reviews of existing

and proposed regulations, legislation, and implementing agency directives.
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◆ the level of the position of individuals against whom the allegations are

made (allegations of wrongdoing by high-ranking agency officials are

of heightened concern); and

◆ the deterrent effect knowledge of the investigation may have on others

who may consider committing similar illegal or improper acts.

If an OIG investigation is not initiated in response to a complaint but

does require additional action, the matter is referred to NRC management.

Referral to NRC management occurs in cases where an allegation reflects

issues or facts indicating a performance matter or that a technical inquiry

is warranted. Often a referral of this nature is made in response to a

telephonic contact from an NRC manager who is reporting suspected

wrongdoing or relaying an allegation received from an employee, licensee

or contractor. When a matter is referred back to management, OIG continues

to track the action taken. It is expected that the cognizant management

official will examine the facts of the matter and take appropriate action.

This action is reported to the OIG, as is the discovery of facts evidencing a

more serious allegation.

Referral to another law enforcement agency occurs when the matter is

outside the NRC OIG’s jurisdiction. In addition, allegations not susceptible

to or warranting immediate action may be retained for use as the basis for

programmatic inquiries or audits.

2.4 The Investigative Process

Because the goal of an investigation is to determine the truth or the falsity

of matters alleged, the procedures employed in the investigative process

focus on obtaining relevant facts so as to address all aspects of a complaint.

Investigative activities include examination of documents, for example,

files, contracts, vouchers, reports, and memoranda. Investigators also

obtain information by interviewing witnesses, technical experts, and the

subjects of investigations.

Information obtained is documented in records of interviews, by

affidavits sworn under oath and in depositions, that is, questions and

answers given under oath, and transcribed by a court reporter.

After all relevant information is gathered, an investigative report is

prepared. When there is evidence of Federal criminal wrongdoing, the

2.3 How is an OIG Investigation Initiated?

The first step in the course of an investigation is receipt of a complaint of

wrongdoing or an allegation. Allegations are received from NRC employees,

other Government employees, licensee utility employees, contractors,

Congress, citizens, and public interest groups.

Hotline Program

A conduit for anonymous complaints is the Hotline Program, which is a

confidential means of reporting suspicious activity to the OIG concerning

agency programs and operations. Suspicious activity may include instances

of fraud, waste, and abuse, mismanagement, or danger to public health

and safety.

We do not attempt to identify persons contacting the Hotline. Persons may

contact the OIG by telephone, through an on-line form, via the NRC

public Web site www.nrc.gov or by mail. There is no caller identification

feature associated with the Hotline. No identifying information is captured

when you submit an on-line form. You may provide your name, address,

or phone number, if you wish.

Guidelines for Investigation

Once an allegation is received, an analysis is conducted to determine whether

further action is warranted and, if so, what type of action is needed.

The OIG considers the following factors in evaluating a complaint for

investigation:

◆ plausibility that a violation of a statute or regulation under OIG

jurisdiction has been committed;

◆ the presence of indicators that the matter may significantly affect

public health and safety;

◆ the effect of the alleged illegal or improper activity on NRC programs;

◆ whether the matter is of interest to senior NRC managers, one or more

Congressional committees, the nuclear industry, or a public interest

group;
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2.7 OIG Access to Individuals

Government employees, including NRC personnel, mainly participate in

OIG investigations by providing information to investigators in interviews.

The majority of employees voluntarily consent to interviews and fully

cooperate by supplying information and documents within their control.

Employees who do not may be ordered by a supervisor to appear for an

interview with OIG investigator. Employees who fail to comply with such an

order are subject to disciplinary action. False statements made in the course

of an investigation are subject to criminal and administrative penalties.

2.8 Law Enforcement Authority

Under amendments to the IG Act effected by the Homeland Security Act

of 2002, NRC OIG investigative agents in the 1811 series have statutory

law enforcement authority. This part of the IG Act, §6(e), authorizes

agents to carry firearms, to make an arrest without a warrant, and seek

and execute warrants for arrest, search of a premise or seizure of evidence.

2.9 Employee Rights and Warnings

OIG interviews are conducted in compliance with applicable law,

regulation and policy. Before beginning an interview, OIG investigators

identify themselves, present their credentials, and state the nature and

purpose of the interview.

When applicable, a statement of the individual’s alternatives with regard to

remaining silent and obtaining legal counsel are provided directly and

personally to each employee. Statements of rights are referred to as “warnings.”

There are three types of warnings commonly referred to as: Miranda,

Garrity, and Kalkines. The basic substance of each is summarized as follows:

1. Miranda: Given when an individual is being interviewed concerning

his or her own potentially criminal misconduct and is taken into

custody or deprived of freedom in a significant way. This warning

advises, in accordance with the Fifth and Sixth Amendments to the

Constitution, that the individual is entitled to remain silent or

otherwise not incriminate himself or herself and to the assistance of an

attorney.

report is presented to the Department of Justice (DOJ) for use in prosecution

in Federal Court. Violations of other statutes are coordinated with State

and local officials and prosecutors. If the investigation shows evidence of

an administrative offense, the report will be sent to NRC managers for

action. NRC managers are required to advise OIG of action taken or

provide status within 90 days of receipt of the IG investigation.

2.5 Clearance Letter 

A Clearance Letter is a document provided to an NRC employee in cases

where an investigation is initiated in response to an allegation of employee

misconduct, and the misconduct is not substantiated. Specifically, “not

substantiated” is defined as a case in which an investigation is opened, the

DOJ declines prosecution, and/or insufficient evidence is found to

warrant referral to the agency for management action.

A clearance letter provides closure for the subject employee, but it is not

an indication that immunity has been granted for any future investigation

of the allegation. The issuance of a clearance letter is at the discretion of

the IG and is not a right.

A clearance is a letter sent to the employee with a concurrent copy to the

Executive Director for Operations (EDO) or Chief Financial Officer (CFO).

It will contain a brief summary of the allegations and a statement to the

effect that the allegations were investigated and were not substantiated.

2.6 OIG Access to Documents

Within NRC

Section 6 of the IG Act provides specific authority for the OIG to have

access to and obtain all records, reports, audits, reviews, recommendations

and other materials that relate to NRC programs and operations.

Subpoena Authority

This section of the statute also authorizes the OIG to issue subpoenas to

obtain documents from outside the Federal Government. Access to financial

records is authorized under the provision of the Right to Financial Privacy Act.
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2.10 Reporting Allegations

All NRC employees are expected to support and cooperate in OIG

investigative efforts.

Responsible Reporting

Government employees are required to report wrongdoing.

WHY REPORT WRONGDOING? — First, NRC employees are in the

best position to observe wrongdoing and have the technical expertise to

assess wrongful actions and their consequences. Second, under Federal

Law and Executive Order, all Government employees are required to

report violations.

HOW TO REPORT WRONGDOING — You should report any indications

of fraud, waste, abuse of authority, mismanagement, or other wrongdoing

directly to the OIG or through your supervisor.

Agency managers and supervisors are responsible for ensuring that

allegations of wrongdoing they receive are promptly reported to the OIG.

Report wrongdoing by — 

◆ contacting the OIG directly by telephone at 301-415-5930

◆ calling the OIG-HOTLINE at 1-800-233-3497

◆ Submitting On-Line Form

Access by: logging onto www.nrc.gov

Click on Inspector General

Click on OIG Hotline phone symbol

◆ or by writing to: U.S. Nuclear Regulatory Commission

Office of the Inspector General

Mail Stop T5-D28

11545 Rockville Pike

Rockville, MD 20852

2. Garrity: Informs Federal employees who are subjects of investigations,

that although they would normally be expected to answer questions

regarding their official duties, refusal to answer on the ground that the

answers may tend to incriminate them will not subject them to

disciplinary action.

3. Kalkines: Advises that the possibility of criminal prosecution has been

removed, usually by a declination to prosecute by the Department of

Justice, and that the employee is required to answer questions relating

to the performance of their official duties or be subject to disciplinary

action, including removal.

Legal Representation

OIG policy is to allow an interviewed employee who requests legal

representation to have an attorney present.

Employees who make such a request are allowed a reasonable amount of

time to arrange this representation. Legal representation is at the expense

of the individual employee.

Bargaining Unit Employees — Union Representation

The OIG is not obligated to advise an employee of their right to union

representation during an interview. Bargaining unit employees have the

right to union representation during OIG interviews if the employee

reasonably believes that the examination may result in disciplinary action

against them and the employee requests representation. Even an employee

who is not considered a “subject” of an investigation has the right to union

representation if the employee reasonably believes there is a possibility of

discipline. It is the individual employee’s responsibility to obtain

representation. Employees are given a reasonable amount of time to

arrange for union representation.

Union Representative Role

The union representative’s role during an OIG interview includes

conferring with the employee, clarifying matters and advising on union

issues. The OIG investigator is responsible for conducting and controlling

the interview. In the event of a dispute, the OIG investigator may give the

employee the choice of proceeding without union representation or

terminating the interview.

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Employees who report suspected misconduct should not engage in any

independent inquiry or investigation and should not discuss the matter

with the persons suspected of wrongdoing. After the initial contact with

OIG, employees should provide the OIG with any new or additional

information of which they become aware.

HOW ARE YOU PROTECTED — You may make an allegation

anonymously, or request that your identity be kept confidential. If you

choose to identify yourself, under the IG Act, your name will not be revealed

unless the IG determines that the disclosure is unavoidable. Reprisal and

retaliation for reporting wrongdoing is prohibited by Federal law and

regulations, and no action may be taken against you for having complained

or disclosed information to the OIG. However, individuals may be subject

to disciplinary or criminal action for knowingly making a false complaint

or providing false information.

2.11 Investigative Products

Reports of Investigation

A Report of Investigation relates facts and describes available evidence to

address relevant aspects of an allegation against individuals, including

aspects of an allegation not substantiated. Investigative reports do not

contain recommendations as to disciplinary action.

Investigative reports are given only to individuals who have a “need to

know” in order to properly determine whether agency action is warranted.

If administrative or disciplinary action is deemed appropriate, agency

managers consult with the Office of Human Resources and the Office of

the General Counsel for guidance in initiating discipline. The agency is

expected to advise the OIG within 90 days of receiving the investigative

report as to what disciplinary or other action has been taken in response

to investigative report findings.

Cover Letter

A cover letter is used with some investigative reports as more than a mere

transmittal vehicle. When the OIG observes that an issue identified in the

transmitted report is a recurring or systemic problem, or one reported in

other OIG products, the cover letter is used to identify the problem to

managers in this broader context.

WHAT TO REPORT — The information you provide to the OIG should

be sufficient to allow evaluation of your complaint to determine if action

by the NRC/OIG is warranted or referral should be made to another agency,

to NRC management, or to some other office for their information 

and action.

What should be reported?

◆ Contract and procurement irregularities 

◆ Conflicts of interest

◆ Theft and misuse of property

◆ Travel fraud 

◆ Misconduct

◆ Time and attendance abuse

◆ Misuse of Government credit card

◆ Abuse of authority

◆ Program mismanagement

◆ Misuse of information technology resources

The following information should be provided:

◆ a brief, accurate statement of facts believed to provide evidence of

wrongdoing;

◆ names, addresses, and office locations of pertinent individuals and

organizations;

◆ dates when the suspected wrongdoing took place or is expected to occur;

◆ how you became aware of the information;

◆ memoranda, contracts, invoices, or other related documents; and

◆ names, addresses, office locations, and telephone numbers of others

(including licensees) who may have information about the suspected

wrongdoing.
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3 OIG AUDITS

The Office of the Inspector General helps improve NRC programs and

activities by providing managers with timely, balanced, and independent audits.

3.1 What is an OIG Audit?

An audit examines NRC programs and activities, and recommends

constructive solutions if warranted. Audits also evaluate the

reasonableness of agency financial statements.

3.2 How are Audits Conducted?

Auditors typically

◆ examine the methods employed by NRC and its contractors in carrying

out programs and activities;

◆ evaluate whether established goals and objectives are achieved;

◆ evaluate whether resources are used economically and efficiently;

◆ assess whether results are consistent with laws, regulations, and good

business practice; and

◆ test financial accountability and financial statement reliability.

3.3 What is the Priority for Conducting an OIG Audit?

Audit priority is based on

◆ mandatory legislative requirements;

◆ emphasis by the President, Congress, NRC Chairman or other

Commissioners, and stakeholders;

◆ issues that pose a threat to public health and safety;

◆ a program’s susceptibility to fraud, manipulation, or other

irregularities;

◆ newness, changed conditions, or sensitivity of program activities;

◆ dollar magnitude or personnel resources involved in the audit area;

Because OIG investigative reports do not contain recommendations, a

cover letter is also used if significant findings indicate that a specific response

to systemic problems is needed. The agency is expected to report managerial

actions taken in response to the problems identified within 90 days.

Event Inquiry

The Event Inquiry is an investigative product documenting examination

of events or agency regulatory actions that do not specifically involve

individual misconduct. These reports identify staff actions that may have

contributed to the occurrence of an event. The agency is requested to

advise the OIG of managerial initiatives taken to cure any institutional

weaknesses identified in these reports.

Management Implications Report (MIR)

The Management Implications Report (MIR) was developed at the request

of senior NRC officials to provide managers with a “Root-Cause” analysis

as to how a particular problem developed. The objective of an MIR is to

give managers sufficient information to facilitate correction of the problem

and to avoid similar issues in the future.

Investigative Document Distribution and Dissemination 

Reports of Investigation are sensitive documents. Their distribution is

restricted by the Privacy Act and is subject to Freedom of Information Act

exemptions as law enforcement documents.

In accordance with the Protocol agreement with the agency, when an

investigation is completed, a copy of the investigative report and associated

exhibits are forwarded, as appropriate, to the Executive Director for

Operations (EDO), the Chief Financial Officer (CFO) and, in appropriate

circumstances, to the Chairman. These officials provide copies of the report

to those whose official duties present a “need to know” in connection with

a particular case.

As appropriate, copies of reports may be provided to Congressional

Committees.

Event Inquiries which do not contain classified or sensitive information

are generally released to the public.

MIRs are intended for the use of agency managers and are published for

official use only.
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3.6 What is Audit Resolution and Closure?

Audit resolution is the process by which 

◆ OIG and NRC management agree on the corrective actions needed; and

◆ NRC management takes action to improve operations or correct

deficiencies identified in the audit report.

The resolution process tracks management’s corrective actions until they

are completed and the recommendation is closed.

3.7 What Happens if the OIG and NRC Management Disagree

on a Course of Action Recommended in the Audit Report?

When the OIG determines that an agency response is unsatisfactory,

intervention by the Executive Director for Operations or the Chairman is

requested. If it is a significant issue, the Inspector General can also seek

Congressional intervention.

3.8 Who Gets Copies of OIG Audit Reports?

OIG audit reports, unless classified or otherwise restricted, are distributed

to the NRC, the Congress, the General Accounting Office, the media, and

the general public. These reports are available both on the Internet and in

ADAMS. Classified and restricted reports receive a limited distribution, based

on need to know, and are not available on either the Internet or in ADAMS.

◆ prior audit coverage and experience; and

◆ adequacy of internal controls.

Each September, the OIG issues an Annual Plan that summarizes the

audits planned for the coming year. However, unanticipated high priority

issues may arise that generate audits not listed in the Annual Plan.

3.4 What are the Audit Steps?

An audit involves several steps, ranging from notification that an audit is

about to begin, holding of entrance and exit conference, to closure of an

audit report after management has completed the actions necessary to

correct deficiencies. The underlying goals of the audit process are to:

◆ maintain an open channel of communication between auditors and

NRC managers,

◆ ensure that findings are accurately and fairly presented in the audit

report, and

◆ achieve agreement on proposed corrective actions.

3.5 What are Entrance and Exit Conferences?

The entrance conference serves as the formal start of an audit. During this

meeting, the OIG advises NRC officials of the purpose, objectives, and

scope of the audit. During the course of an audit, auditors meet periodically

with NRC officials to provide audit updates.

The exit conference is conducted at the end of audit fieldwork. The OIG

gives a draft copy of the audit report to NRC officials before the exit

conference to facilitate a full and open discussion on the findings and

recommendations. This meeting provides NRC managers with an opportunity

to confirm information, ask questions, and provide clarifying data.
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5 THE SEMIANNUAL REPORT TO

CONGRESS

5.1 What is the Semiannual Report?

In accordance with requirements of the IG Act, the semiannual report is a

document prepared by each Inspector General that summarizes the activities

of that OIG during the six-month periods ending March 31 and September

30. The report is submitted to the head of the agency, the Chairman in the

case of the NRC, no later than April 30 and October 31 of each year. The

agency may comment on the report, but may not change it. Within 30

days of receipt, the Chairman may submit any agency remarks together

with the IG’s report to Congress.

Reporting Requirements for the Semiannual Report

The reporting requirements for the IG’s Semiannual Report are contained

in Section 5 of the IG Act. Additional guidance on the content of the

report has been provided by the President’s Council on Integrity and

Efficiency and the OMB. Items normally included in the report are:

1. Description of significant problems, abuses, and deficiencies relating to

the administration of the NRC’s programs and operation;

2. Description of audit recommendations for corrective action;

3. Identification of each significant audit recommendation described in

previous reports for which the agency has not completed corrective

action;

4. Summary of matters referred to prosecutive authorities and the results

of those prosecutions;

5. Selected Regulatory Commentary summaries and agency response;

6. Statistical tables demonstrating the dollar results of the OIG’s internal

program audits and contract audits performed during the reporting

period;

The report may also include special feature articles concerning relevant topics.

4 REGULATORY REVIEW

4.1 What is a Regulatory Review?

Regulatory Review is the examination of existing and proposed

legislation, regulations, and policies so as to assist the agency in preventing

and detecting fraud, waste, and abuse in its programs and operations.

Regulatory comments are provided to document OIG’s objective analysis of

vulnerabilities created within agency programs and operations by proposed

or existing statutes, regulations, or policies. Comments cite the IG Act as

authority for the review, state the specific law, regulation, management

directive or policy examined, the pertinent background information

considered, and identifies OIG concerns, observations, and suggestions.

4.2 What Process is Used to Perform a Regulatory Review?

All proposed revisions to legislation, regulations, directives, policy initiatives

and other significant matters that affect NRC’s programs and functions

are forwarded in draft by the originating office. OIG reviews the draft

documents and if applicable, responds with comments identifying concerns

and providing suggestions. The agency consideration of these concerns is

documented in a formal reply. Either responsive action or status of the

revision is requested within 90 days. Significant observations regarding

action or inaction by the agency are reported in the OIG Semiannual

Report to Congress.

4.3 Regulatory Review Distribution

Regulatory commentaries are normally sent to the cognizant agency office

and are intended only for internal use.
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6 FREEDOM OF INFORMATION ACT

AND PRIVACY ACT

6.1 Freedom of Information Act and Privacy Act

FOIA requests may be made by mail, fax or email to the following:

FOIA/PA Officer

U.S. Nuclear Regulatory Commission

Mail Stop T-6D8

Washington, DC 20555-0001

Fax: 301-415-5130

Email: foia@nrc.gov

Requests for OIG documents must adequately describe the records sought.

Requests for information protected by the Privacy Act must include a

written release.

In accordance with 10 CFR Part 9, the Office of the Inspector General at

the NRC exercises independent authority to release or withhold documents

requested under the Freedom of Information Act 5 U.S.C. § 552 and

Privacy Act 5 U.S.C. § 552a.

5 U.S.C. § 552 and 5 U.S.C. § 552a provide the OIG with broad denial

authority under exemptions that protect criminal investigative and privacy

interests. Disclosure of investigative documents is normally very limited.

The AIGI acts as the initial denial authority for OIG documents, and the

only administrative appeal is to the IG.

6.2 Documentation Dissemination

Unlike the agency, OIG documents released under FOIA are not

concurrently placed in the ADAMS system.

5.2 Semiannual Report Distribution

The Semiannual Report is published on www.nrc.gov/insp-gen/pubs.html

and widely distributed throughout government and to the public.
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§ 3. Appointment of Inspector General; supervision; removal;

political activities; appointment of Assistant Inspector

General for Auditing and Assistant Inspector General for

Investigations

(a) There shall be at the head of each Office an Inspector General who

shall be appointed by the President, by and with the advice and consent

of the Senate, without regard to political affiliation and solely on the

basis of integrity and demonstrated ability in accounting, auditing,

financial analysis, law, management analysis, public administration, or

investigations. Each Inspector General shall report to and be under the

general supervision of the head of the establishment involved or, to the

extend such authority is delegated, the officer next in rank below such

head, but shall not report to, or be subject to supervision by, any other

officer of such establishment. Neither the head of the establishment

nor the officer next in rank below such head shall prevent or prohibit

the Inspector General from initiating, carrying out, or completing any

audit or investigation, or from issuing any subpoena during the course

of any audit or investigation.

(b) An Inspector General may be removed from office by the President.

The President shall communicate the reasons for any such removal to

both Houses of Congress.

(c) For the purposes of section 7324 of Title 5, United States Code, no

Inspector General shall be considered to be an employee who

determines policies to be pursued by the United States in the

nationwide administration of Federal laws.

(d) Each Inspector General shall, in accordance with applicable laws

and regulations governing the civil service —

(1) appoint an Assistant Inspector General for Auditing who shall

have the responsibility for supervising the performance of auditing

activities relating to programs and operations of the establishment,

and

(2) appoint an Assistant Inspector General for Investigations who

shall have the responsibility for supervising the performance of

investigative activities relating to such programs and operations.

APPENDIX

Excerpts from the 

INSPECTOR GENERAL ACT OF 1978

(Public Law 95-452, October 12, 1978)

As amended by the 

INSPECTOR GENERAL ACT AMENDMENTS OF 1988

(Public Law 100-504, October 18, 1988)

§ 2. Purpose and establishment of Offices of Inspector

General; departments and agencies involved

In order to create independent and objectives units —

(1) to conduct and supervise audits and investigations relating to

the programs and operations of the establishments listed in section

11(2);

(2) to provide leadership and coordination and recommend policies

for activities designed (A) to promote economy, efficiency, and

effectiveness in the administration of, and (B) to prevent and detect

fraud and abuse in, such programs and operations; and

(3) to provide a means for keeping the head of the establishment

and the Congress fully and currently informed about problems and

deficiencies relating to the administration of such programs and

operations and the necessity for and progress of corrective action;

there is hereby established in each of such establishments an Office

of Inspector General.
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(a)(1), each Inspector General shall —

(A) comply with standards established by the Comptroller

General of the United States for audits of Federal establishments,

organizations, programs, activities, and functions;

(B) establish guidelines for determining when it shall be

appropriate to use non-Federal auditors; and

(C) take appropriate steps to assure that any work performed by

non-Federal auditors complies with the standards established by

the Comptroller General as described in paragraph (1).

(2) For purposes of determining compliance with paragraph (1)(A)

with respect to whether internal quality controls are in place and

operating and whether established audit standards, policies, and

procedures are being followed by Offices of Inspector General of

establishments defined under section 11(2), Offices of Inspector

General of designated Federal entities defined under section

8F(a)(2), and any audit office established within a Federal entity

defined under section 8F(a)(1), reviews shall be performed

exclusively by an audit entity in the Federal Government, including

the General Accounting Office or the Office of Inspector General of

each establishment defined under section 11(2), or the Office of

Inspector General of each designated Federal entity defined under

section 8F(a)(2).

(c) In carrying out the duties and responsibilities established under this

Act, each Inspector General shall give particular regard to the activities

of the Comptroller General of the United States with a view toward

avoiding duplication and insuring effective coordination and cooperat

ion.

(d) In carrying out the duties and responsibilities established under

this Act, each Inspector General shall report expeditiously to the

Attorney General whenever the Inspector General has reasonable

grounds to believe there has been a violation of Federal criminal law.

(As amended Pub.L. 100-504, Title I § 109, Oct. 18, 1988, 102 Stat. 2529)

§ 4. Duties and responsibilities; report of criminal violations

to Attorney General

(a) It shall be the duty and responsibility of each Inspector General,

with respect to the establishment within which his Office is established —

(1) to provide policy direction for and to conduct, supervise, and

coordinate audits and investigations relating to the programs and

operations of such establishment;

(2) to review existing and proposed legislation and regulations

relating to programs and operations of such establishment and to

make recommendations in the semiannual reports required by

section 5(a) concerning the impact of such legislation or regulations

on the economy and efficiency in the administration of programs

and operations administered or financed by such establishment or

the prevention and detection of fraud and abuse in such programs

and operations;

(3) to recommend policies for, and to conduct, supervise, or

coordinate other activities carried out or financed by such

establishment for the purpose of promoting economy and efficiency

in the administration of, or preventing and detecting fraud and

abuse in, its programs and operations;

(4) to recommend policies for, and to conduct, supervise, or

coordinate relationships between such establishment and other

Federal agencies, State and local governmental agencies, and

nongovernmental entities with respect to (A) all matters relating to

the promotion of economy and efficiency in the administration of,

or the prevention and detection of fraud and abuse in, programs

and operations administered or financed by such establishment, or

(B) the identification and prosecution of participants in such fraud

or abuse; and 

(5) to keep the head of such establishment and the Congress fully

and currently informed, by means of the reports required by section

5 and otherwise, concerning fraud and other serious problems,

abuses, and deficiencies relating to the administration of programs

and operations administered or financed by such establishment, to

recommend corrective action concerning such problems, abuses,

and deficiencies, and to report on the progress made in

implementing such corrective action.

(b)(1) In carrying out the responsibilities specified in subsection
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(C) for which a management decision was made during the

reporting period, including —

(i) the dollar value of disallowed costs; and

(ii) the dollar value of costs not disallowed; and

(D) for which no management decision has been made by the

end of the reporting period;

(9) statistical tables showing the total number of audit reports and

the dollar value of recommendations that funds be put to better use

by management, for audit reports —

(A) for which no management decision had been made by the

commencement of the reporting period;

(B) which were issued during the reporting period;

(C) for which a management decision was made during the

reporting period, including —

(i) the dollar value of recommendations that were agreed to by

management; and

(ii) the dollar value of recommendations that were not agreed

to by management; and 

(D) for which no management decision has been made by the

end of the reporting period;

(10) a summary of each audit report issued before the

commencement of the reporting period for which no management

decision has been made by the end of the reporting period

(including the date and title of each such report), an explanation of

the reasons such management decision has not been made, and a

statement concerning the desired timetable for achieving a

management decision on each such report;

(11) a description and explanation of the reasons for any significant

revised management decision made during the reporting period;

and

(12) information concerning any significant management decision

with which the Inspector General is in disagreement.

(b) Semiannual reports of each Inspector General shall be furnished to

the head of the establishment involved not later than April 30 and

October 31 of each year and shall be transmitted by such head to the

appropriate committees or subcommittees of the Congress within

§ 5. Semiannual reports; transmittal to Congress; availability

to public; immediate report on serious or flagrant problems;

disclosure of information; definitions.

(a) Each Inspector General shall, not later than April 30 and October

31 of each year, prepare semiannual reports summarizing the activities

of the Office during the immediately preceding six-month periods

ending March 31 and September 30. Such reports shall include, but

need not be limited to —

(1) a description of significant problems, abuses, and deficiencies

relating to the administration of programs and operations of such

establishment disclosed by such activities during the reporting

period;

(2) a description of the recommendations for corrective action

made by the Office during the reporting period with respect to

significant problems, abuses, or deficiencies identified pursuant to

paragraph (1);

(3) an identification of each significant recommendation described

in previous semiannual reports on which corrective action has not

been completed;

(4) a summary of matters referred to prosecutive authorities and the

prosecutions and convictions which have resulted;

(5) a summary of each report made to the head of the establishment

under section 6(b)(2) during the reporting period;

(6) a listing, subdivided according to subject matter, of each audit

report issued by the Office during the reporting period and for each

audit report, where applicable, the total dollar value of questioned

costs (including a separate category for the dollar value of

unsupported costs) and the dollar value of recommendations that

funds be put to better use;

(7) a summary of each particularly significant report;

(8) statistical tables showing the total number of audit reports and

the total dollar value of questioned costs (including a separate

category for the dollar value of unsupported costs), for audit reports —

(A) for which no management decision had been made by the

commencement of the reporting period;

(B) which were issued during the reporting period;
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(4) a statement with respect to audit reports on which management

decisions have been made but final action has not been taken, other

than audit reports on which a management decision was made

within the preceding year, containing —

(A) a list of such audit reports and the date each such report was

issued;

(B) the dollar value of disallowed costs for each report;

(C) the dollar value of recommendations that funds be put to

better use agreed to by management for each report; and

(D) an explanation of the reasons final action has not been taken

with respect to each such audit report, except that such statement

may exclude such audit reports that are under formal

administrative or judicial appeal or upon which management of

an establishment has agreed to pursue a legislative solution, but

shall identify the number of reports in each category so excluded.

(c) Within 60 days of the transmission of the semiannual reports of

each Inspector General to the Congress, the head of each establishment

shall make copies of such report available to the public upon request

and at a reasonable cost. Within 60 days after the transmission of the

semiannual reports of each establishment head to the Congress, the

head of each establishment shall make copies of such report available

to the public upon request and at a reasonable cost.

(d) Each Inspector General shall report immediately to the head of the

establishment involved whenever the Inspector General becomes aware

of particularly serious or flagrant problems, abuses, or deficiencies

relating to the administration of programs and operations of such

establishment. The head of the establishment shall transmit any such

report to the appropriate committees or subcommittees of Congress

within seven calendar days, together with a report by the head of the

establishment containing any comments such head deems appropriate.

(e)(1) Nothing in this section shall be construed to authorize the

public disclosure of information which is —

(A) specifically prohibited from disclosure by any other provision

of law;

(B) specifically required by Executive order to be protected from

disclosure in the interest of national defense of national security

or in the conduct of foreign affairs; or 

(C) a part of an ongoing criminal investigation.

thirty days after receipt of the report, together with a report by the

head of the establishment containing —

(1) any comments such head determines appropriate;

(2) statistical tables showing the total number of audit reports and

the dollar value of disallowed costs, for audit reports —

(A) for which final action had not been taken by the

commencement of the reporting period;

(B) on which management decisions were made during the

reporting period;

(C) for which final action was taken during the reporting period,

including —

(i) the dollar value of disallowed costs that were recovered by

management through collection, offset, property in lieu of

cash, or otherwise; and

(ii) the dollar value of disallowed costs that were written off by

management; and

(D) for which no final action has been taken by the end of the

reporting period;

(3) statistical tables showing the total number of audit reports and

the dollar value of recommendations that funds be put to better use

by management agreed to in a management decision, for audit

reports —

(A) for which final action had not been taken by the

commencement of the reporting period;

(B) on which management decisions were made during the

reporting period;

(C) for which final action was taken during the reporting period,

including —

(i) the dollar value of recommendations that were actually

completed; and

(ii) the dollar value of recommendations that management has

subsequently concluded should not or could not be

implemented or completed; and

(D) for which no final action has been taken by the end of the

reporting period; and
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(E) avoidance of unnecessary expenditures noted in preward

reviews of contract or grant agreements; or

(F) any other savings which are specifically identified.

(5) the term “management decision” means the evaluation by the

management of an establishment of the findings and recommendations

included in an audit report and the issuance of a final decision by

management concerning its response to such findings and

recommendations, including actions concluded to be necessary; and

(6) the term “final action” means —

(A) the completion of all actions that the management of an

establishment has concluded, in its management decision, are

necessary with respect to the findings and recommendations

included in an audit report; and

(B) in the event that the management of an establishment

concludes no action is necessary, final action occurs when a

management decision has been made.

§ 6. Authority of Inspector General; information and

assistance from Federal agencies; unreasonable

refusal; office space and equipment

(a) In addition to the authority otherwise provided by this Act, each

Inspector General, in carrying out the provisions of this Act, is

authorized —

(1) to have access to all records, reports, audits, reviews, documents,

papers, recommendations, or other material available to the

applicable establishment which relate to programs and operations

with respect to which that Inspector General has responsibilities

under this Act;

(2) to make such investigations and reports relating to the

administration of the programs and operations of the applicable

establishment as are, in the judgment of the Inspector General,

necessary or desirable;

(3) to request such information or assistance as may be necessary for

carrying out the duties and responsibilities provided by this Act

from many Federal, State, or local governmental agency or unit

thereof;

(2) Notwithstanding paragraph (1)(C), any report under this section

may be disclosed to the public in a form which includes information

with respect to a part of an ongoing criminal investigation if such

information has been included in a public record.

(3) Except to the extent and in the manner provided under section

6103(f) of the Internal Revenue Code of 1986 [26 U.S.C.A. §

6103(f)], nothing in this section or in any other provision of this

Act shall be construed to authorize or permit the withholding of

information from the Congress, or from any committee or

subcommittee thereof.

(f) As used in this section —

(1) the term “questioned cost” means a cost that is questioned by the

Office because of —

(A) an alleged violation of a provision of a law, regulation,

contract, grant, cooperative agreement, or other agreement or

document governing the expenditure of funds;

(B) a finding that, at the time of the audit, such cost is not

supported by adequate documentation; or

(C) a finding that the expenditure of funds for the intended

purpose is unnecessary or unreasonable;

(2) the term “unsupported cost” means a cost that is questioned by

the Office because the Office found that, at the time of the audit,

such cost is not supported by adequate documentation;

(3) the term “disallowed cost” means a questioned cost that

management, in a management decision, has sustained or agreed

should not be charged to the Government;

(4) the term “recommendation that funds be put to better use”

means a recommendation by the Office that funds could be used

more efficiently if management of an establishment took actions to

implement and complete the recommendation, including —

(A) reductions in outlays;

(B) deobligation of funds from programs or operations;

(C) withdrawal of interest subsidy costs on loans or loan

guarantees, insurance, or bonds;

(D) costs not incurred by implementing recommended

improvements related to the operations of the establishment, a

contractor or grantee;
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or to an authorized designee, such information or assistance.

(2) Whenever information or assistance requested under subsection 

(a)(1) or (a)(3) is, in the judgment of an Inspector General,

unreasonably refused or not provided, the Inspector General shall

report the circumstances to the head of the establishment involved

without delay.

(c) Each head of an establishment shall provide the Office within such

establishment with appropriate and adequate office space at central

and field office locations of such establishment, together with such

equipment, office supplies, and communications facilities and services

as may be necessary for the operation of such offices, and shall provide

necessary maintenance services for such offices and the equipment and

facilities located therein.

(d) For purposes of the provisions of Title 5, United States Code,

governing the Senior Executive Service, any reference in such

provisions to the “appointing authority” for a member of the

Senior Executive Service or for a Senior Executive Service

position shall, if such member or position is or would be within

the Office of an Inspector General, be deemed to be a reference to

such Inspector General.

(e)(1) In addition to the authority otherwise provided by this Act,

each Inspector General appointed under section 3, any Assistant

Inspector General for Investigations under such an Inspector

General, and any special agent supervised by such an Assistant

Inspector General may be authorized by the Attorney General to —

(A) carry a firearm while engaged in official duties as authorized

under this Act or other statute, or as expressly authorized by the

Attorney General;

(B) make an arrest without a warrant while engaged in official

duties as authorized under this Act or other statute, or as

expressly authorized by the Attorney General, for any offense

against the United States committed in the presence of such

Inspector General, Assistant Inspector General, or agent, or for

any felony cognizable under the laws of the United States if such

Inspector General, Assistant Inspector General, or agent has

reasonable grounds to believe that the person to be arrested has

committed or is committing such felony; and

(C) seek and execute warrants for arrest, search of a premises, or

(4) to require by subpoena the production of all information,

documents, reports, answers, records, accounts, papers, and other

data and documentary evidence necessary in the performance of the

functions assigned by this Act, which subpoena, in the case of

contumacy or refusal to obey, shall be enforceable by order of any

appropriate United States district court: Provided, That procedures

other than subpoenas shall be used by the Inspector General to

obtain documents and information from Federal agencies;

(5) to administer to or take from any person an oath, affirmation, or

affidavit, whenever necessary in the performance of the functions

assigned by this Act, which oath, affirmation, or affidavit when

administered or taken by or before an employee of an Office of

Inspector General designated by the Inspector General shall have the

same force and effect as if administered or taken by or before an

officer having a seal;

(6) to have direct and prompt access to the head of the

establishment involved when necessary for any purpose pertaining

to the performance of functions and responsibilities under this Act.

(7) to select, appoint, and employ such officers and employees as

may be necessary for carrying out the functions, powers, and duties

of the Office subject to the provisions of Title 5, United States Code,

governing appointments in the competitive service, and the

provisions of chapter 51 and subchapter III of chapter 53 of such

title relating to classification and General Schedule pay rates;

(8) to obtain services as authorized by section 3109 of Title 5,

United States Code, at daily rates not to exceed the equivalent rate

prescribed for grade GS-18 of the General Schedule by section 5332

of Title 5, United States Code; and

(9) to the extent and in such amounts as may be provided in

advance by appropriations Acts, to enter into contracts and other

arrangements for audits, studies, analyses, and other services with

public agencies and with private persons, and to make such

payments as may be necessary to carry out the provisions of this

Act.

(b)(1) Upon request of an Inspector General for information or

assistance under subsection (a)(3), the head of any Federal agency

involved shall, insofar as is practicable and not in contravention of any

existing statutory restriction or regulation of the Federal agency from

which the information is requested, furnish to such Inspector General,
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(B) Powers authorized to be exercised by any individual under

paragraph (1) may be rescinded or suspended with respect to that

individual upon a determination by the Attorney General that such

individual has not complied with guidelines promulgated by the

Attorney General under paragraph (4).

(6) A determination by the Attorney General under paragraph (2)

or (5) shall not be reviewable in or by any court.

(7) To ensure the proper exercise of the law enforcement powers

authorized by this subsection, the Offices of Inspector General

described under paragraph (3) shall, not later than 180 days after

the date of enactment of this subsection, collectively enter into a

memorandum of understanding to establish an external review

process for ensuring that adequate internal safeguards and

management procedures continue to exist within each Office and

within any Office that later receives an authorization under

paragraph (2). The review process shall be established in

consultation with the Attorney General, who shall be provided with

a copy of the memorandum of understanding that establishes the

review process. Under the review process, the exercise of the law

enforcement powers by each Office of Inspector General shall be

reviewed periodically by another Office of Inspector General or by a

committee of Inspectors General. The results of each review shall be

communicated in writing to the applicable Inspector General and to

the Attorney General.

(8) No provision of this subsection shall limit the exercise of law

enforcement powers established under any other statutory authority,

including United States Marshals Service special deputation.

(b) PROMULGATION OF INITIAL GUIDELINES-

(1) DEFINITION- In this subsection, the term `memoranda of

understanding’ means the agreements between the Department of

Justice and the Inspector General offices described under section

6(e)(3) of the Inspector General Act of 1978 (5 U.S.C. App.) (as

added by subsection (a) of this section) that —

(A) are in effect on the date of enactment of this Act; and

(B) authorize such offices to exercise authority that is the same or

similar to the authority under section 6(e)(1) of such Act.

(2) IN GENERAL- Not later than 180 days after the date of

enactment of this Act, the Attorney General shall promulgate

seizure of evidence issued under the authority of the United

States upon probable cause to believe that a violation has been

committed.

(2) The Attorney General may authorize exercise of the powers

under this subsection only upon an initial determination that—

(A) the affected Office of Inspector General is significantly

hampered in the performance of responsibilities established by

this Act as a result of the lack of such powers;

(B) available assistance from other law enforcement agencies is

insufficient to meet the need for such powers; and

(C) adequate internal safeguards and management procedures

exist to ensure proper exercise of such powers.

(3) The Inspector General offices of the Department of Commerce,

Department of Education, Department of Energy, Department of

Health and Human Services, Department of Homeland Security,

Department of Housing and Urban Development, Department of

the Interior, Department of Justice, Department of Labor,

Department of State, Department of Transportation, Department of

the Treasury, Department of Veterans Affairs, Agency for

International Development, Environmental Protection Agency,

Federal Deposit Insurance Corporation, Federal Emergency

Management Agency, General Services Administration, National

Aeronautics and Space Administration, Nuclear Regulatory

Commission, Office of Personnel Management, Railroad Retirement

Board, Small Business Administration, Social Security

Administration, and the Tennessee Valley Authority are exempt from

the requirement of paragraph (2) of an initial determination of

eligibility by the Attorney General.

(4) The Attorney General shall promulgate, and revise as

appropriate, guidelines which shall govern the exercise of the law

enforcement powers established under paragraph (1).

(5)(A) Powers authorized for an Office of Inspector General under

paragraph (1) may be rescinded or suspended upon a determination

by the Attorney General that any of the requirements under

paragraph (2) is no longer satisfied or that the exercise of authorized

powers by that Office of Inspector General has not complied with

the guidelines promulgated by the Attorney General under

paragraph (4).
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§ 8 B. Special provisions concerning the Nuclear Regulatory

Commission

(a) The Chairman of the Commission may delegate the authority

specified in the second sentence of section 3(a) to another member of

the Nuclear Regulatory Commission, but shall not delegate such

authority to any other officer or employee of the Commission.

(b) Notwithstanding sections 6(a)(7) and (8), the Inspector General of

the Nuclear Regulatory Commission is authorized to select, appoint,

and employ such officers and employees as may be necessary for

carrying out the functions, powers and duties of the Office of Inspector

General and to obtain the temporary or intermittent services of experts

or consultants or an organization thereof, subject to the applicable laws

and regulations that govern such selections, appointments and

employment, and the obtaining of such services, within the Nuclear

Regulatory Commission.

(Added Pub.L. 100-504, Title I, § 102(f), Oct. 18, 1988, 102 Stat. 2517.)

§ 9. Transfer of functions 

(a) There shall be transferred —

(1) to the Office of Inspector General — ...

(Q) of the Nuclear Regulatory Commission, the office of that

commission referred to as the “Office of Inspector and Auditor”; ...

and

(2) such other offices or agencies, or functions, powers, or duties

thereof, as the head of the establishment involved may determine are

properly related to the functions of the Office and would, if so

transferred, further the purposes of the Act, except that there shall

not be transferred to an Inspector General under paragraph (2)

program operating responsibilities.

(b) The personnel, assets, liabilities, contracts, property, records, and

unexpended balances of appropriations, authorizations, allocations,

and other funds employed, held, used, arising from, available or to be

made available, of any office or agency the functions, powers, and

duties of which are transferred under subsection (a) are hereby

transferred to the applicable Office of Inspector General.

(c) Personnel transferred pursuant to subsection (b) shall be

transferred in accordance with applicable laws and regulations relating

guidelines under section 6(e)(4) of the Inspector General Act of

1978 (5 U.S.C. App.) (as added by subsection (a) of this section)

applicable to the Inspector General offices described under section

6(e)(3) of that Act.

(3) MINIMUM REQUIREMENTS- The guidelines promulgated

under this subsection shall include, at a minimum, the operational

and training requirements in the memoranda of understanding.

(4) NO LAPSE OF AUTHORITY- The memoranda of

understanding in effect on the date of enactment of this Act shall

remain in effect until the guidelines promulgated under this

subsection take effect.

(c) EFFECTIVE DATES-

(1) IN GENERAL- Subsection (a) shall take effect 180 days after the

date of enactment of this Act.

(2) INITIAL GUIDELINES- Subsection (b) shall take effect on the

date of enactment of this Act.

§ 7. Complaints by employees, disclosure of identity; reprisals

(a) The Inspector General may receive and investigate complaints or

information from an employee of the establishment concerning the

possible existence of an activity constituting a violation of law, rules, or

regulations, or mismanagement, gross waste of funds, abuse of

authority or a substantial and specific danger to the public health and

safety.

(b) The Inspector General shall not, after receipt of a complaint or

information from an employee, disclose the identity of the employee

without the consent of the employee, unless the Inspector General

determines such disclosure is unavoidable during the course of the

investigation.

(c) Any employee who has authority to take, direct others to take,

recommend, or approve any personnel action, shall not, with respect to

such authority, take or threaten to take any action against any employee

as a reprisal for making a complaint or disclosing information to an

Inspector General, unless the complaint was made or the information

disclosed with the knowledge that it was false or with willful disregard

for its truth or falsity.
The IG at the NRC The IG at the NRC

38 Hotline Number: 1.800.233.3497 Web site: www.nrc.gov/insp-gen.html 39

The NRC OIG Hotline

The Office of the Inspector General at NRC established the Hotline

Program to provide the NRC employees, other Government

employees, licensee/utility employees, contractor employees and

the public with a confidential means of reporting suspicious

activity to the OIG concerning fraud, waste, abuse, employee or

management misconduct. Mismanagement of agency programs

or danger to public health and safety may also be reported

through the Hotline.

We do not attempt to identify persons contacting the Hotline. Persons

may contact the OIG by telephone, through an on-line form, via

the NRC public Web site www.nrc.gov or by mail. There is no

caller identification feature associated with the Hotline or any

other telephone line in the Inspector General’s office. No

identifying information is captured when you submit an on-line

form. You may provide your name, address, or phone number, if

you wish.

What should be reported:

Contract and Procurement Irregularities 

Abuse of Authority

Conflicts of Interest

Misuse of Government Credit Card

Theft and Misuse of Property

Time and Attendance Abuse

Travel Fraud 

Misuse of Information Technology Resources

Misconduct

Program Mismanagement

to the transfer of functions except that the classification and

compensation of such personnel shall not be reduced for one year after

such transfer.

(d) In any case where all the functions, powers, and duties of any office

or agency are transferred pursuant to this subsection, such office or

agency shall lapse. Any person who, on the effective date of this Act

[Oct. 1, 1978], held a position compensated in accordance with the

General Schedule, and who, without a break in service, is appointed in

an Office of Inspector General to a position having duties comparable

to those performed immediately preceding such appointment shall

continue to be compensated in the new position at not less than the

rate provided for the previous position, for the duration of service in

the new position.

OIG APPROPRIATIONS

31 U.S.C. § 1105 - Budget Contents and Submission to Congress

(a) ... the President shall submit a budget of the United States

Government for the following fiscal year... .The President shall include

in each budget the following: ... (25) a separate appropriation account

for appropriations for each Office of Inspector General ... 
40 

Call:

OIG Hotline 

1-800-233-3497

9:00 a.m. - 4:00 p.m. (EST)

After hours, please leave a message

Submit:

On-Line Form

Access by: logging onto www.nrc.g

Click on Inspector General

Click on OIG Hotline phone symb

or 

Write:

U.S. Nuclear Regulatory Commissi

Office of the Inspector General

Hotline Program

Mail Stop T-5 D28

11545 Rockville Pike

Rockville, MD 20852-2738