[Federal Register Volume 74, Number 142 (Monday, July 27, 2009)]
[Notices]
[Pages 37064-37066]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-17790]


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NUCLEAR REGULATORY COMMISSION

[NRC-2009-0316; Docket Nos. STN 50-528, STN 50-529, and STN 50-530]


Arizona Public Service Company, et al.; Palo Verde Nuclear 
Generating Station, Units 1, 2, and 3; Exemption

1.0 Background

    The Arizona Public Service Company (APS, the facility licensee) is 
the holder of Facility Operating License Nos. NPF-41, NPF-51, and NPF-
74, which authorize operation of the Palo Verde Nuclear Generating 
Station (PVNGS, the facility), Units 1, 2, and 3, respectively. The 
licenses provide, among other things, that the PVNGS is subject to all 
rules, regulations, and orders of the Nuclear Regulatory Commission 
(NRC, or the Commission) now or hereafter in effect.
    The facility consists of three pressurized-water reactors located 
55 miles west of Phoenix, in Maricopa County, Arizona.

2.0 Request/Action

    Title 10 of the Code of Federal Regulations (10 CFR), Part 55, 
``Operators' Licenses,'' specifies the requirements and procedures 
governing the issuance of licenses to operators and senior operators of 
utilization facilities licensed under the Atomic Energy Act of 1954, as 
amended, or Section 202 of the Energy Reorganization Act of 1974, as 
amended, and 10 CFR part 50, part 52, or part 54 of the Commission's 
regulations. Section 55.11, ``Specific exemptions,'' of 10 CFR states 
that the Commission may, upon application by an interested person, or 
upon its own initiative, grant such exemptions from the requirements of 
the regulations in this part as it determines are authorized by law and 
will not endanger life or property and are otherwise in the public 
interest.
    The specific requirements for written examinations and operating 
tests for senior operator candidates are described in 10 CFR 55.43, 
``Written examination: Senior operators,'' and 10 CFR 55.45, 
``Operating tests,'' respectively. 10 CFR 55.47, ``Waiver of 
examination and test requirements,'' provides the criteria under which 
the Commission may waive any or all of the test requirements, upon 
application by a facility licensee.
    By letter dated February 6, 2009, APS requested a one-time 
exemption, in accordance with 10 CFR 55.11, ``Specific exemptions,'' 
from the reactor operator licensing examination waiver requirements of 
10 CFR 55.47(a)(1). Specifically, the facility licensee requested that 
Mr. Mark A. Sharp be exempted from the requirement to have extensive 
actual operating experience at PVNGS (or a comparable facility) within 
2 years before the date of application (i.e., December 10, 2008), so 
that he would not have to take and pass an NRC-administered written 
examination and operating test as a requirement for re-licensing as a 
senior reactor operator at PVNGS.
    Mr. Sharp (Docket No. 55-31662) was the holder of Senior Reactor 
Operator License No. SOP-43795 from December 6, 1996, until December 
11, 2006. The license authorized Mr. Sharp to manipulate the controls 
of the PVNGS facility and to direct the licensed activities of licensed 
operators at the facility. Mr. Sharp's license was terminated at the 
request of facility management when he resigned his employment with 
APS.
    By letter dated December 10, 2008, and in accordance with 10 CFR 
55.31, APS submitted a new license application (NRC Form 398, 
``Personal Qualification Statement--Licensee'') on behalf of Mr. Sharp. 
In that letter, APS requested, pursuant to 10 CFR 55.47(a), that the 
NRC waive the requirement for Mr. Sharp to take and pass an NRC-
administered licensing examination (including both the written 
examination and operating test) normally required by 10 CFR 55.33(a)(2) 
to approve an operator license application. In support of the request, 
APS stated that Mr. Sharp had previously been licensed at PVNGS for 
approximately 10 years, had extensive actual operating experience at 
the facility, had re-enrolled in the licensed operator requalification 
training program and made up the training that he had missed during his 
absence, and had passed the recently administered written 
requalification examination and operating test. As holder of the PVNGS 
facility operating license by which Mr. Sharp was previously employed 
and where his services would again be utilized, APS also provided the 
certifications of past performance and current qualifications required 
by 10 CFR 55.47(b) and (c).
    By letter dated January 29, 2009, the NRC notified Mr. Sharp that 
his request for a waiver of the written examination and operating test 
had been denied because he did not satisfy the

[[Page 37065]]

experience requirements stated in 10 CFR 55.47(a)(1). Although there 
was no question that Mr. Sharp had extensive operating experience at 
PVNGS, he had no actual operating experience at PVNGS (or any 
comparable facility) within the 2-year period immediately prior to the 
date of his application. The NRC letter informed Mr. Sharp that PVNGS 
could request an exemption from the requirements of 10 CFR 55.47(a)(1) 
in accordance with 10 CFR 55.11. The NRC letter did not specifically 
address the requirements of 10 CFR 55.47(a)(2) and (3); however, the 
NRC staff found no reason to reject APS's certification that Mr. Sharp 
would continue to competently and safely discharge his responsibilities 
and that he had learned the procedures for and was qualified to operate 
the PVNGS facility.
    Following receipt of the NRC letter of January 29, 2009, APS 
submitted the February 6, 2009, exemption request, which further 
explained the facility licensee's need for the requested action. NRC 
Inspection Report 2008-002, dated May 9, 2008, had identified a 
violation involving the excessive use of operator overtime that 
resulted from a failure of APS to maintain a sufficient number of 
licensed operators at PVNGS. In order to increase its staff of licensed 
reactor operators as part of its corrective action for that violation, 
APS has been seeking to re-license individuals who had been previously 
licensed at PVNGS, and has increased the number of students in its 
licensed reactor operator training classes.

3.0 Discussion

    Pursuant to 10 CFR 55.11, the Commission may, upon application by 
an interested person, or upon its own initiative, grant such exemptions 
from the requirements of the regulations in this part as it determines 
are authorized by law and will not endanger life or property and are 
otherwise in the public interest. The requested action would exempt Mr. 
Sharp from meeting the waiver requirement in 10 CFR 55.47(a)(1) for an 
applicant to have had extensive actual operating experience within 2 
years of the date of an operator license application. Mr. Sharp's last 
actual operating experience at PVNGS (or a comparable facility) 
occurred on November 7, 2006, which was more than 2 years before the 
date on which APS submitted his current license application (December 
10, 2008); therefore, the exemption would effectively extend the waiver 
criterion specified in 10 CFR 55.47(a)(1), by approximately 1 month.
    As described in the December 10, 2008, license application and in 
APS's February 6, 2009, exemption request, Mr. Sharp was away from the 
PVNGS and the licensed operator requalification training program for a 
period of 19 months, from November 2006 to June 2008. Since returning 
to PVNGS, Mr. Sharp has completed the following training and experience 
activities:
    <bullet> Through a process involving self-study and one-on-one 
instruction, Mr. Sharp made up all of the licensed operator 
requalification training that he had missed during his absence. Since 
completing that training, Mr. Sharp has rejoined and remains current in 
the PVNGS licensed operator requalification training program.
    <bullet> Mr. Sharp spent a total of 104 hours on shift as an 
operator under instruction, including 20 hours as a non-licensed 
operator performing plant walk-downs and tours, 36 hours as a Reactor 
Operator, and 48 hours as a Control Room Supervisor.
    <bullet> In September and October 2008, Mr. Sharp took and passed 
the regularly scheduled licensed operator written requalification 
examination, simulator operating test, and walk-through (job 
performance measure) operating test.
    <bullet> Since returning to the site in June 2008, Mr. Sharp has 
been working as a Senior Reactor Operator certified classroom and 
simulator instructor at the PVNGS. This position requires detailed 
knowledge of the facility and its operating procedures at a level 
comparable to that required of a licensed senior reactor operator, and 
involves routine interaction with the facility's operating staff.
    The NRC staff accepts the facility licensee's certification that 
Mr. Sharp discharged his responsibilities competently and safely in the 
past and is capable of continuing to do so. Similarly, the NRC staff 
accepts the facility licensee's certification that Mr. Sharp has 
learned the operating procedures for and is qualified to competently 
and safely operate the PVNGS facility. Therefore, based on these 
certifications and the additional information provided by APS in 
support of Mr. Sharp's experience and qualifications, the NRC staff has 
concluded, pursuant to 10 CFR 55.11, that granting this exemption from 
the waiver criterion of 10 CFR 55.47(a)(1), will have a negligible 
effect on plant safety and will not endanger life or property.
    The NRC staff has also concluded, pursuant to 10 CFR 55.11, that 
granting this exemption to the waiver criterion of 10 CFR 55.47(a)(1), 
is authorized by law and is otherwise in the public interest. Section 
55.11 of 10 CFR allows the NRC to grant exemptions to the regulations 
in 10 CFR part 55, and the NRC has determined that the granting of the 
proposed exemption will not result in a violation of the Atomic Energy 
Act of 1954, as amended, or the Commission's regulations. Therefore, 
the exemption is authorized by law. As noted in the exemption request, 
Mr. Sharp only exceeded the waiver criterion of 10 CFR 55.47(a)(1), for 
extensive actual operating experience within the previous 2 years, by 
33 days; thus, the granting of the exemption in this instance would 
effectively extend that criterion by only a brief time. APS has had a 
shortage of licensed operators for PVNGS that resulted in an excessive 
use of operator overtime, which in turn led to the issuance of an NRC 
notice of violation and the establishment of an on-going activity in 
the corrective action program. Worker fatigue, at PVNGS and in the 
nuclear industry, in general, is of serious concern to the NRC and 
prompted the Commission to amend 10 CFR part 26 in March 2008 to 
include new requirements for facility licensees to establish written 
policies for the management of fatigue for all individuals who are 
subject to the licensee's fitness-for-duty program, including licensed 
reactor operators. The new regulations, which are scheduled to go into 
effect in the fall of 2009, are expected to increase the number of 
licensed operators that facility licensees will need in order to 
maintain minimum shift staffing requirements without exceeding work-
hour limits.
    The next NRC licensing examination at PVNGS is currently scheduled 
for November 2009. Delaying Mr. Sharp's opportunity to be re-licensed 
until that time would not serve the best interests of APS or the 
surrounding public, and the cost of preparing, approving, and 
administering a special licensing examination for Mr. Sharp would be 
substantial for both APS and the NRC, without a commensurate benefit to 
either party or the public. Therefore, the NRC has determined that the 
granting of this exemption is in the public interest.

4.0 Conclusion

    Accordingly, the Commission has determined that, pursuant to 10 CFR 
55.11, granting an exemption from the requirements of 10 CFR 
55.47(a)(1) to allow Mr. Sharp to be eligible for a waiver from the NRC 
licensing examination requirements, is authorized by law and will not 
endanger life or property and is otherwise in the public interest.

[[Page 37066]]

    Therefore, the Commission hereby grants APS an exemption from the 
requirements of 10 CFR 55.47(a)(1) for Mr. Mark A. Sharp, an applicant 
for a senior reactor operator license at the PVNGS.
    Pursuant to 10 CFR 51.32, the Commission has determined that the 
granting of this exemption will not have a significant effect on the 
quality of the human environment (74 FR 34803; dated July 17, 2009).
    This exemption is effective upon issuance.

    Dated at Rockville, Maryland, this 20th day of July 2009.

    For The Nuclear Regulatory Commission.
Joseph G. Giitter,
Director, Division of Operating Reactor Licensing, Office of Nuclear 
Reactor Regulation.
[FR Doc. E9-17790 Filed 7-24-09; 8:45 am]
BILLING CODE 7590-01-P