[Federal Register Volume 62, Number 222 (Tuesday, November 18, 1997)]
[Notices]
[Pages 61553-61555]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-30207]


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NUCLEAR REGULATORY COMMISSION

[Docket No. 030-20586, License No. 49-21384-01 EA 97-457]


In the Matter of Frontier Production Logging, Inc. Cody, WY; 
Confirmatory Order Modifying License (Effective Immediately)

I

    Frontier Production Logging, Inc., (Licensee) is the holder of NRC 
License No. 49-21384-01 issued by the Nuclear Regulatory Commission 
(NRC or Commission) pursuant to 10 CFR Part 39. The license authorizes 
the Licensee to conduct well logging activities related to the use of 
licensed material. The license was first issued on July 14, 1983, was 
most recently amended on April 17, 1997, and was due to expire on June 
30, 1994, but remains in effect in a timely renewal status.

II

    During a routine inspection conducted on March 19-20, 1997, an 
investigation completed by the NRC's Office of Investigations on June 
13, 1997, and subsequent in-office reviews which were completed on July 
9, 1997, the NRC identified six apparent violations which were 
considered for escalated enforcement. NRC Inspection Report 030-20586/
97-01 dated July 22, 1997, documented the findings of the inspection. 
As a result, the NRC

[[Page 61554]]

conducted a predecisional enforcement conference on August 4, 1997, in 
which the licensee's president participated by telephone. Based on the 
information obtained during the inspection and the information that the 
licensee's president presented at the August 4 conference, the NRC 
concluded that violations of NRC requirements occurred. The violations 
are cited in the Notice of Violation and Proposed Imposition of Civil 
Penalty dated November 7, 1997. The violations involve failures to: (1) 
File the appropriate documentation to receive NRC approval prior to 
vacating an authorized radioactive material storage location, (2) 
conduct operations so that the dose in any unrestricted area from 
external sources does not exceed 2 millirem in any 1 hour, (3) make 
adequate surveys of radiation levels in unrestricted areas to 
demonstrate compliance with the dose limits for individual members of 
the public, (4) utilize authorized shipping containers while 
transporting radioactive material, (5) monitor, upon receipt, the 
external surfaces of Department of Transportation (DOT) labeled 
packages for radioactive contamination, and (6) properly post areas in 
which licensed materials are stored.
    The NRC concluded that the Licensee's failure to seek NRC approval 
prior to vacating an authorized radioactive material storage location 
demonstrated at least careless disregard for regulatory requirements. 
Specifically, the Licensee's president was aware of the requirements to 
obtain prior authorization and did not to comply with this requirement 
so as to delay payment of the applicable fees. As indicated in the 
November 7, 1997 Notice, a $2,750 civil penalty was proposed for this 
willful violation.
    The remaining five violations, which were not willful, were also 
discussed during the conference. Based on the information available, it 
appears that these violations resulted from a lack of understanding of 
the regulations by the company's radiation safety officer (who is also 
the company president). In fact, during the conference, the Licensee's 
radiation safety officer committed to attending appropriate radiation 
safety training as corrective action for the remainder of the 
violations. Subsequently, on August 8 and October 20, 1997, staff 
members from NRC Region IV discussed with the Licensee specific 
commitments that the NRC believed were necessary. Specifically, the NRC 
believed that, in addition to the training, two independent audits were 
warranted. The licensee agreed to the commitments during the August 8 
and October 20 telephone discussions, and to confirming the commitments 
through an Order.
    On October 20, 1997, the NRC sent the Licensee a letter listing the 
specific commitments and formally seeking the Licensee's consent to 
confirming the commitments through an Order, thereby waiving its right 
to a hearing. On October 29, 1997, the Licensee signed and returned its 
consent to this Order.

III

    I find that the Licensee's commitments as set forth in Section IV 
are acceptable and necessary, and conclude that with these commitments 
the public health and safety are reasonably assured. In view of the 
foregoing, I have determined that the public health and safety require 
that the Licensee's commitments be confirmed by this Order. Based on 
the above, and on the Licensee's consent, this Order is immediately 
effective upon issuance.

IV

    Accordingly, pursuant to sections 81, 161b, 161i, 161o, 182 and 186 
of the Atomic Energy Act of 1954, as amended, and the Commission's 
regulations in 10 CFR 2.202 and 10 CFR Part 110, It Is Hereby Ordered, 
effective immediately, that License No. 49-21384-01 is modified as 
follows:
    A. The Licensee's Radiation Safety Officer shall attend a Radiation 
Safety training course designed to meet the requirements necessary to 
serve as a radiation safety officer and to implement and manage a 
radiation safety program specifically designed for well logging and 
tracer study operations.
    B. The Licensee shall retain the services of an independent 
individual or organization (consultant) to perform two audits of the 
Licensee's radiation safety program. The consultant is to be 
independent of the Licensee's organization and is to be experienced in, 
or be capable of, evaluating the effectiveness of the management and 
implementation of a radiation safety program for well logging and 
tracer study operations. At a minimum, each audit will: (1) Evaluate 
the effectiveness of the Licensee's radiation safety program and 
compliance with all NRC requirements; (2) evaluate the understanding of 
the Licensee's radiation safety officer of radiation safety and NRC 
requirements; (3) evaluate the adequacy of the Licensee's corrective 
actions for any violations or audit findings previously identified by 
the NRC or consultant; (4) make recommendations as necessary for 
improvements in management oversight of licensed activities; and (5) 
physically observe well logging and/or tracer study operations in the 
field.
    C. Within 30 days of the date of this Order, the Licensee shall 
submit to the Regional Administrator, NRC Region IV, for NRC review and 
approval, the following:
    i. The name, location, dates and syllabus of the course the 
Licensee proposes to use in meeting the requirements of this Order.
    ii. The name and qualifications of the consultant the Licensee 
proposes to use in conducting the audits.
    D. Within 60 days of the date of the NRC's approval of the 
consultant, the first audit shall be completed and the Licensee shall 
ensure that the consultant submit to NRC Region IV the results of the 
audit and the review, including the deficiencies identified, at the 
same time the consultant provides the results to the Licensee.
    E. Within 6 months of the date of completion of the first audit, 
the second audit shall be completed and the Licensee shall ensure that 
the consultant submit to NRC Region IV the results of the audit and the 
review, including the deficiencies identified, at the same time the 
consultant provides the results to the Licensee.
    F. Within 30 days of the date of completion of each audit, the 
Licensee shall submit to NRC Region IV its corrective actions for any 
identified deficiencies in the audit reports. Alternatively, if the 
Licensee does not believe that corrective actions should be taken, the 
Licensee shall provide justification for its position to the NRC.
    G. For the purpose of the Order, the Licensee shall send the 
qualifications of the consultant and the results of the audits to the 
Director, Division of Nuclear Material Safety, NRC Region IV, 611 Ryan 
Plaza Drive, Suite 400, Arlington, Texas 76011.
    The Regional Administrator, Region IV, may relax or rescind, in 
writing, any of the above conditions upon a showing by the Licensee of 
good cause.
    Any person adversely affected by this Confirmatory Order, other 
than the Licensee may request a hearing within 20 days of its issuance. 
Where good cause is shown, consideration will be given to extending the 
time to request a hearing. A request for extension of time must be made 
in writing to the Director, Office of Enforcement, U.S. Nuclear 
Regulatory Commission Washington, D.C. 20555, and include a statement 
of good cause for the extension. Any request for a hearing shall be 
submitted to the Secretary, U.S. Nuclear Regulatory Commission, ATTN: 
Chief, Docketing and Service Section, Washington, D.C. 20555. Copies 
also

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shall be sent to the Director, Office of Enforcement, U.S. Nuclear 
Regulatory Commission, Washington, D.C. 20555, to the Assistant General 
Counsel for Hearings and Enforcement at the same address, to the 
Regional Administrator, NRC Region IV, 611 Ryan Plaza Drive, Suite 400, 
Arlington, Texas 76011, and to Frontier Production Logging, Inc. If 
such a person requests a hearing, that person shall set forth with 
particularity the manner in which his interest is adversely affected by 
this Order and shall address the criteria set forth in 10 CFR 2.714(d).
    If a hearing is requested by a person whose interest is adversely 
affected, the Commission will issue an Order designating the time and 
place of any hearing. If a hearing is held, the issue to be considered 
at such hearing shall be whether this Confirmatory Order should be 
sustained.
    In the absence of any request for hearing, or written approval of 
an extension of time in which to request a hearing, the provisions 
specified in Section IV above shall be final 20 days from the date of 
this Order without further order or proceedings. If an extension of 
time for requesting a hearing has been approved, the provisions 
specified in Section IV shall be final when the extension expires if a 
hearing request has not been received. An Answer Or a Request for 
Hearing Shall Not Stay the Immediate Effectiveness of This Order.

    For the Nuclear Regulatory Commission.

    Dated at Rockville, Maryland, this 7th day of November 1997.
James Lieberman,
Director, Office of Enforcement.
[FR Doc. 97-30207 Filed 11-17-97; 8:45 am]
BILLING CODE 7590-01-P