Up & Atom

KEY TRENDS IN LAW AND POLICY REGARDING
NUCLEAR ENERGY AND MATERIALS
In response to reports from the NRC’s Office of Inspector General (OIG) and a tasking order from the NRC's executive director of operations (EDO) directing a review of NRC oversight of “counterfeit, fraudulent, and suspect items” (CFSI) in all regulated activities, the directors of the NRC's Offices of Nuclear Reactor Regulation (NRR) and Nuclear Material Safety and Safeguards (NMSS) jointly issued a memorandum on March 4 concluding that “there is no evidence that CFSIs have adversely challenged the safety of reactor facilities” or any licensed activities. However, the NRC Staff's activities evaluating whether program improvements are necessary to address the risks posed by CFSI remain ongoing, with a final report expected in mid-April.
The NRC recently revised its Enforcement Manual (Manual) to consolidate and expand its guidance on the process for resolving licensee challenges to certain enforcement actions. The biggest change to the Manual is the creation of a new Section 2.8 on “Disputed Violations” that merges into one section the disputed violation resolution process for all enforcement actions other than those associated with NRC orders.
The NRC held a public meeting on March 4 to discuss the issuance for public comment of draft regulatory guide (DG) DG-5061, Revision 1, Cyber Security Programs for Nuclear Power Reactors. DG-5061, Revision 1 would revise Regulatory Guide (RG) 5.71, which provides NRC licensees with guidance on meeting the cybersecurity requirements described in Section 73.54 of Title 10 of the Code of Federal Regulations, “Protection of digital computer and communication systems and networks.”
The NRC’s Office of Investigations (OI) recently published its Office of Investigations Annual Report FY 2021 summarizing its activities during the past fiscal year. Overall, OI saw a drop in caseload, likely due—at least in part—to the COVID-19 pandemic and more workers working from home. Even so, the trend of increasing investigations of materials licensees continued, and this is likely to be a continuing area of focus for the NRC.
The Commission recently issued SRM-SECY-19-0100, in which it disapproved, by a 2-to-1 vote, a request made by the NRC staff that sought approval to discontinue the Independent Spent Fuel Storage Installation (ISFSI) Security Requirements rulemaking and deny a related petition for rulemaking filed by C-10 Research and Education Foundation Inc.
The NRC is taking an important step toward an inclusive licensing regime for a new generation of reactors. On January 3, the NRC staff submitted for commission approval a recommended final rule on “Emergency Preparedness for Small Modular Reactors and Other New Technologies.”

The US Nuclear Regulatory Commission (NRC) issued a final rule in the Federal Register on January 14 updating the maximum amounts of civil monetary penalties it can impose. Reflecting the price challenges in the larger US economy, the maximum civil monetary penalty amounts dramatically increased over the prior year as a result of the rise of inflation.

The NRC staff recently issued findings from their review of the 2021 decommissioning funding status (DFS) reports submitted by power reactor licensees and licensees of power reactors in decommissioning. These reports are required by NRC regulations to ensure that adequate funds are available for the complete decommissioning of licensed facilities. The NRC staff’s review found that all currently operating power reactors and reactors in decommissioning demonstrated that they have adequate funds for decommissioning.
On December 17, the NRC published a report to Congress on the continuing need for and any potential modifications to the Price-Anderson Act (PAA). The NRC was required to submit the report, “Public Liability Insurance and Indemnity Requirements for an Evolving Commercial Nuclear Industry,” by the end of 2021.

In a recent Memorandum and Order (Order), an NRC Atomic Safety and Licensing Board (Board) unanimously granted summary disposition to the Tennessee Valley Authority (TVA), dismissing three alleged violations and partially dismissing a fourth issued by the NRC. The violations arose from an investigation conducted by the NRC’s Office of Investigations (OI) into allegations of retaliation against a former TVA employee and former contractor. In its Order, the Board clarified the scope of Section 211 of the Energy Reorganization Act (ERA) (42 USC 5851) and the NRC’s implementing regulation in 10 CFR 50.7 (Section 50.7). The Order is favorable to employers covered by Sections 211 and 50.7.