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[Federal Register Volume 65, Number 197 (Wednesday, October 11, 2000)]
[Notices]
[Pages 60472-60475]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-26010]

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NUCLEAR REGULATORY COMMISSION

Consideration of License Amendment Request for the Nuclear Fuels 
Services, Inc., and Opportunity for Hearing

AGENCY: Nuclear Regulatory Commission.

ACTION: Notice of availability of Environmental Assessment and Finding 
of No Significant Impact and Opportunity to Request a Hearing on 
Amendment of Materials License SNM-124, Nuclear Fuel Services, Inc.

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SUMMARY: The U.S. Nuclear Regulatory Commission is considering the 
amendment of Special Nuclear Material License SNM-124 at the Nuclear 
Fuel Services, Inc. facility located in Erwin, TN.

Environmental Assessment

1.0  Introduction

1.1  Background

    The Nuclear Regulatory Commission (NRC) staff has evaluated the 
environmental impacts of the amendment request from Nuclear Fuel 
Services, Inc. (NFS) to change liquid effluent action levels and 
reporting commitments in Materials License SNM-124 in accordance with 
10 CFR 20.1302. This Environmental Assessment (EA) has been prepared 
pursuant to the Council on Environmental Quality (CEQ) regulations (40 
CFR Parts 1500-1508) and NRC regulations (10 CFR Part 51) which 
implement the requirements of the National Environmental Policy Act 
(NEPA) of 1969. The purpose of this document is to assess the 
environmental consequences of the proposed license amendment.
    The NFS facility in Erwin, TN is authorized under SNM-124 to 
possess nuclear materials for the fabrication and assembly of nuclear 
fuel components. The facility produces nuclear fuel for the U.S. Naval 
Reactor Program. The principle operations include: (1) the processing 
of highly enriched uranium [greater than 90 weight percent \235\U] into 
a classified fuel product; and (2) the processing of scrap materials 
containing highly enriched uranium (HEU) to recover uranium.

1.2  Review Scope

    In accordance with 10 CFR Part 51, this EA serves to (1) present 
information and analysis for determining whether to issue a Finding of 
No Significant Impact (FONSI) or to prepare an Environmental Impact 
Statement (EIS); (2) fulfill the NRC's compliance with the National 
Environmental Policy Act (NEPA) when no EIS is necessary; and (3) 
facilitate preparation of an EIS if one is necessary. Should the NRC 
issue a FONSI, no EIS would be prepared and the license amendment would 
be granted.

1.3  Proposed Action

    The proposed action is to amend NRC Materials License SNM-124 to 
change liquid effluent action levels and reporting commitments in 
accordance with 10 CFR 20.1302. Currently, NFS uses 20.1302(b)(2) to 
demonstrate compliance. NFS proposes to use 20.1302(b)(1) to 
demonstrate compliance.

1.4  Need for Proposed Action

    Licensees are required to comply with the annual dose limits in 10 
CFR 20.1301. The applicable dose limit in 20.1301(a)(1) states that the 
licensee shall conduct operations so that the total effective dose 
equivalent (TEDE) to individual members of the public from the license 
operation does not exceed 100 mrem in a year, exclusive of dose 
contribution from background radiation, from medical procedures, or 
from the licensee's disposal of radioactive material into sanitary 
sewerage. In accordance with 10 CFR 20.1302, compliance can be 
demonstrated by either of two ways: (1) the licensee can demonstrate, 
by measurement or calculation, that the TEDE to the individual likely 
to receive the highest dose from the licensed operation does not exceed 
the annual dose limit; or (2) the licensee may show that the annual 
average concentrations of radioactive material released in the gaseous 
and liquid effluents at the boundary of the restricted area do not 
exceed values specified in Table 2, ``Effluent Concentrations,'' of 
Appendix B to 10 CFR Part 20 in conjunction with other measurements.
    Amending the NFS license to allow effluent discharge compliance to 
be reported as dose provides the licensee with the flexibility to 
continue operating the Waste Water Treatment Facility (WWTF) in case a 
sample is suspect and needs to be re-analyzed. NFS has previously 
demonstrated compliance with the annual dose limit in 10 CFR 20.1301 
for releases to the Nolichucky River from the WWTF by

[[Page 60473]]

meeting the concentration values in 10 CFR Part 20, Appendix B, Table 
2. If a sample was suspected of exceeding the values in 10 CFR Part 20, 
the WWTF shut down until the sample was re-analyzed. NFS proposes to 
ensure compliance by demonstrating, through calculation, that the 
annual TEDE from liquid effluents will remain below 10 mrem to the 
maximally exposed off-site receptor.

1.5  Alternatives

    The alternatives available to the NRC are:
    Alternative 1--Deny the amendment request (no action alternative); 
or Alternative 2--Approve the license amendment request as submitted.

2.0  Affected Environment

    The affected environment for Alternative 1 and Alternative 2 would 
be the NFS site, the Nolichucky River, and the near downstream area of 
the river. A full description of the affected area and its 
characteristics is given in the 1999 Environmental Assessment for the 
Renewal of the NRC license for NFS.

3.0  Effluent Releases and Monitoring

    Effluents from the NFS facility include discharges of sanitary 
wastes to the City of Erwin sanitary sewer, effluents to air, and 
liquid effluents to Banner Spring Branch, Martin Creek, and the 
Nolichucky River. A full description of the NFS Environmental 
Monitoring Program is given in the 1999 Environmental Assessment for 
Renewal.
Alternative 1
    The WWTF treats liquid effluents generated by the various site 
operations, including fuel production, low-enriched and high-enriched 
uranium recovery, mixed-waste treatment, laboratory operations, 
laundry, building decommissioning, and site remediation. These liquid 
waste streams are pH adjusted and ammonia is removed by a stripping 
tower or by breakpoint chlorination, as appropriate. Waste water is 
treated by lime precipitation to remove fluoride, uranium, and other 
metals. After the lime is precipitated, the waste water is filtered, 
neutralized, and discharged into the Nolichucky River through outfall 
001, under the National Pollutant Discharge Elimination System (NPDES) 
permit. The precipitate is dewatered in a filter press, and the filter 
press cake is packaged for off-site disposal at a low-level waste 
disposal facility.
    During operation of the WWTF, each batch is analyzed for gross 
alpha and gross beta radioactivity prior to discharge. Also, a monthly 
composite sample is analyzed for isotopes of uranium. The monthly 
composite is analyzed for other radionuclides if materials, in addition 
to uranium, are suspected to be present in process waste water at 
levels exceeding 10% of the concentration values in Appendix B, Table 
2, Column 2, 10 CFR Part 20. The chemical parameters prescribed in the 
State of Tennessee NPDES permit are also analyzed at the frequency 
specified in the permit. Samples of the treated waste water are 
collected from the final neutralization or storage tank prior to 
discharge.
    If an action level is exceeded, the following actions occur: (1) 
The Environmental Protection Function Manager and the responsible 
process engineering control personnel are notified, (2) an 
investigation is undertaken to identify the cause of the exceedance, 
and (3) appropriate corrective actions are initiated to reduce observed 
levels that are above the action levels, and to minimize the likelihood 
of a recurrence. No discharge is authorized by the NFS Environmental 
Protection Function Manager that would result in a 12 month average 
concentration exceeding the applicable level specified in 10 CFR Part 
20, Appendix B, Table 2, Column 2. Corrective actions are documented. 
If necessary, the Environmental Protection Function manager may order 
processing activities in an area to be halted until appropriate 
corrective actions are implemented.
Alternative 2
    Each calender quarter, WWTF liquid effluent data will be compiled 
and used to calculate the maximum concentration of radioactive 
materials at the location of the maximally exposed off-site receptor 
and the dose (TEDE) to the maximally exposed off-site receptor due to 
discharge of WWTF liquid effluents. This quarterly assessment will 
typically be completed within 60 days of receiving all sample results 
necessary to perform the assessment. If any sample results are pending, 
a preliminary assessment may be performed if necessary to meet the 
semi-annual reporting condition.
    If the resulting TEDE to the maximally exposed off-site receptor 
exceeds 2.5 mrem/quarter, appropriate corrective action will be 
identified and implemented to reduce future dose levels. Each calender 
quarter, the dose for the four previous (consecutive) quarters will be 
calculated. If the calculated TEDE to any member of the public for this 
four quarter period exceeds the 10 mrem per year action level, NFS will 
implement corrective actions and the NRC will be notified of the event, 
in writing, within 30 days.
    Assessment of the maximum concentration and TEDE to the maximally 
exposed off-site receptor will be performed using: (1) National Council 
on Radiation Protection and Measurements (NCRP) Report No. 123, 
``Screening Models for Releases of Radionuclides to Atmosphere, Surface 
Water, and Ground,'' or (2) pathway analysis models that consider all 
exposure pathways and accurately reflect site conditions and simulate 
exposure to members of the public. Site-specific characteristics of the 
surface waters receiving liquid effluents will be accurately assessed. 
NFS will follow written procedures to perform these calculations. 
Parameter values will be based on information contained in NCRP Report 
No. 123, data collected during the assessment period, publicly 
available information (e.g., stream flow data compiled by the U.S. 
Geological Survey), previous monitoring history, or the professional 
judgement of the NFS Environmental Protection Function Manager.
    In accordance with 10 CFR 70.59, NFS is required to submit a semi-
annual effluent report. If the semi-annual average activity 
concentration for WWTF effluents exceed concentrations listed in 10 CFR 
Part 20, Appendix B, Table 2, Column 2, results of an assessment of the 
TEDE to the maximally exposed off-site receptor from these effluents 
will be included in the semi-annual effluent report to the NRC.

4.0  Environmental Impacts of Proposed Action and Alternatives

4.1  Public Health

Alternative 1
    The impacts of normal operation are provided in the 1999 
Environmental Assessment for the Renewal of the NRC license for NFS. 
The analysis assumes that an individual along the Nolichucky River and 
the surrounding population out to a distance of 50 miles uses this 
potentially contaminated water. Liquid-release exposure pathways 
include ingestion of drinking water, fish, and irrigated crops and 
external exposure during recreational activities. The total effective 
dose estimate (TEDE) for the maximally exposed individual was estimated 
as 0.10 mrem/yr from liquid releases.
Alternative 2
    NFS is proposing a maximum TEDE of 10 mrem/yr for liquid releases. 
This is 10% of the 10 CFR Part 20 limit of 100 mrem/yr from all 
pathways. NFS'

[[Page 60474]]

commitment to a 10 mrem action level will provide reasonable assurance 
that the facility will continue to operate within the regulatory 
limits.

4.2  Occupational Health

Alternative 1 and Alternative 2
    The dose to the workers at the NFS site has been analyzed in the 
Safety Evaluation Report for the Renewal, dated July 2, 1999. This dose 
will not increase as a result of Alternative 2 because there will be no 
changes to the treatment process. NFS is committed to keeping doses as 
low as reasonable achievable (ALARA) by maintaining a radiation 
protection program that minimizes radiation exposures and releases of 
radioactive material to the environment.

4.3  Water Resources and Biota

Alternative 1 and Alternative 2
    Liquid effluents are released directly or indirectly into the 
Nolichucky River. Small creeks receiving portions of the liquid 
discharge, Banner Spring Branch and Martin Creek, are not used as a 
drinking water supply for area residents. The nearest drinking water 
intake on the Nolichucky River is 8 miles downstream from the NFS 
outfall (NFS, 1996). Since the amount of radioactivity entering Banner 
Spring Branch, Martin Creek and the Nolichucky River does not exceed 
the allowable limits in 10 CFR Part 20 for either alternative, there 
will be no significant impact on water quality or biota. NFS will 
continue to meet the requirements for effluent discharge in their NPDES 
permit.

4.4  Geology, Soils, Air Quality, Demography, Cultural and Historic 
Resources

Alternative 1 and Alternative 2
    The NRC staff has determined that the neither alternative will 
impact geology, soils, air quality, demography, or cultural or historic 
resources at or near the NFS site. A full description of these 
parameters is given in the 1999 Environmental Assessment for Renewal.

4.5  Alternatives

    The action that the NRC is considering is approval of an amendment 
request to a Materials license issued pursuant to 10 CFR Part 70. The 
proposed action is to amend NRC Materials License SNM-124 to change 
liquid effluent action levels and reporting commitments in accordance 
with 10 CFR 20.1302. The alternatives available to the NRC are:
    1. Deny the amendment request; or
    2. Approve the license amendment request as submitted.
    Based on its review, the NRC staff has concluded that the 
environmental impacts associated with the proposed action are minimal. 
Although the TEDE might increase from 0.010 mrem to 10 mrem for the 
liquid release pathway, there is reasonable assurance that the 10 CFR 
20.1301 dose limit of 100 mrem/yr from all pathways will not be 
exceeded. The staff considers that Alternative 2 is the appropriate 
alternative for selection and recommends approval of the license 
amendment.

5.0  Agencies and Persons Contacted

    The NRC contacted a representative from the State of Tennessee, 
Department of Health in correspondence dated August 10, 2000. The State 
had no comments.

6.0  References

    Nuclear Fuel Services, Inc., December, 1999, ``Environmental 
Report for Renewal of Special Nuclear Material License No. SNM-
124.''
    U.S. Nuclear Regulatory Commission (NRC), January, 1999, 
``Environmental Assessment for Renewal of Special Nuclear Material 
License SNM-124.''
    U.S. Nuclear Regulatory Commission (NRC), July 2, 1999, ``Safety 
Evaluation Report for the Renewal of Special Nuclear Material 
License SNM-124 for Nuclear Fuel Services, Inc.''

7.0  Conclusions

    Based on an evaluation of the environmental impacts of the 
amendment request, the NRC has determined that the proper action is to 
issue a FONSI in the Federal Register. The NRC staff considered the 
environmental consequences of amending NRC Materials License SNM-124 to 
change liquid effluent action levels and reporting commitments in 
accordance with 10 CFR 20.1302, and have determined that the approval 
of this request will have no significant effect on public health and 
safety or the environment.

Finding of No Significant Impact

    The Commission has prepared an Environmental Assessment related to 
the amendment of Special Nuclear Material License SNM-124. On the basis 
of the assessment, the Commission has concluded that environmental 
impacts associated with the proposed action would not be significant 
and do not warrant the preparation of an Environmental Impact 
Statement. Accordingly, the Commission is making a Finding of No 
Significant Impact.
    The Environmental Assessment and the documents related to this 
proposed action are available for public inspection and copying at the 
Commission's Public Document Room at 11555 Rockville Pike, Rockville, 
Maryland between 7:30 a.m. and 4:15 p.m. on federal workdays.

Opportunity for a Hearing

    Based on the Environmental Assessment and Finding of No Significant 
Impact, and a staff safety evaluation to be completed, NRC is preparing 
to amend License SNM-124. The NRC hereby provides that this is a 
proceeding on an application for amendment of a license falling within 
the scope of Subpart L, ``Informal Hearing Procedures for Adjudication 
in Materials Licensing Proceedings,'' of NRC's rules and practice for 
domestic licensing proceedings in 10 CFR Part 2. Pursuant to Section 
2.1205(a), any person whose interest may be affected by this proceeding 
may file a request for a hearing in accordance with Section 2.1205(d). 
A request for a hearing must be filed within thirty (30) days of the 
date of publication of this Federal Register notice.
    A request for hearing or petition for leave to intervene must be 
filed with the Secretary of the Commission, U.S. Nuclear Regulatory 
Commission either:
    1. By delivery to the Rulemakings and Adjudications Staff of the 
Secretary at One White Flint North, 11555 Rockville Pike, Rockville, MD 
20852-2738; or
    2. By mail or telegram addressed to the Secretary, U.S. Nuclear 
Regulatory Commission, Washington, DC 20555-0001. Attention: 
Rulemakings and Adjudications Staff.
    In addition to meeting other applicable requirements of 10 CFR Part 
2 of the NRC's regulations, a request for a hearing filed by a person 
other than an applicant must describe in detail:
    1. The interest of the requester in the proceeding;
    2. How that interest may be affected by the results of the 
proceeding, including the reasons why the requestor should be permitted 
a hearing, with particular reference to the factors set out in Section 
2.1205(h).
    3. The requester's areas of concern about the licensing activity 
that is the subject matter of the proceeding; and
    4. The circumstances establishing that the request for a hearing is 
timely in accordance with Section 2.1205(d).
    In accordance with 10 CFR Section 2.1205(f), each request for a 
hearing must also be served, by delivering it personally or by mail to:
    1. The applicant, Nuclear Fuel Services ; and
    2. The NRC staff, by delivering it to the Executive Director for 
Operations, One White Flint North, 11555 Rockville Pike, Rockville, MD 
20852, or by mail,

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addressed to the Executive Director for Operations, U.S. Nuclear 
Regulatory Commission, Washington, DC 20555.
    The NRC contact for this licensing action is Mary Adams. Ms. Adams 
may be contacted at (301) 415-7249 or by e-mail at [email protected] for more 
information about this licensing action.

    Dated at Rockville, Maryland, this 4th day of October, 2000.

    For the Nuclear Regulatory Commission.
Philip Ting,
Chief, Fuel Cycle Licensing Branch, Division of Fuel Cycle Safety and 
Safeguards, Office of Nuclear Material Safety and Safeguards.
[FR Doc. 00-26010 Filed 10-10-00; 8:45 am]
BILLING CODE 7590-01-P
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