[Federal Register Volume 65, Number 206 (Tuesday, October 24, 2000)]
[Notices]
[Pages 63629-63630]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-27286]
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NUCLEAR REGULATORY COMMISSION
[IA-00-006]
In the Matter of Rodney Lillard; Order Prohibiting Involvement in
NRC Licensed Activities (Effective Immediately)
I
Mr. Rodney Lillard served as Radiation Safety Officer (RSO) and
President of NDT Services, Inc. (NDTS) in 1995. At the time, NDTS
(Licensee) was the holder of Materials License No. 52-19438-01 issued
by the Nuclear Regulatory Commission (NRC) pursuant to 10 CFR part 30.
The License authorized possession and use of up to 100 curies of
iridium-192 and 20 curies of cobalt-60 in sealed radiography sources.
The License was originally issued on August 21, 1980, and was due to
expire on January 31, 2002. However, the License was suspended pursuant
to an Order Suspending License (Effective Immediately) that was issued
on March 27, 1998, pending the results of an NRC Office of
Investigations (OI) investigation (see Section II). A subsequent Order
Modifying License (Effective Immediately) issued on January 15, 1999,
required NDTS to dispose of licensed material in its possession. The
License was terminated on October 16, 2000.
II
The NRC Office of Investigations (OI) initiated an investigation on
August 26, 1997, to determine whether NDTS, Inc., retaliated against
several radiographers for raising concerns regarding safety and
training issues. The investigation also addressed numerous other issues
including: personnel training; dosimetry usage; conduct of surveys;
completion of survey records; the alleged performance of radiography by
assistant radiographers without direct observation; an alleged 1995
event involving NDTS' inability to retract a radiography source
assembly to its fully shielded position (``a source disconnect
event''); and the alleged failure to report the 1995 event. The
investigation did not substantiate that discrimination occurred, but
identified numerous examples of the willful failure to comply with NRC
regulations, including the deliberate failure to report a source
disconnect event.
The OI investigation determined that in early 1995, NDTS
experienced a source disconnect event at the Phillips Puerto Rico Core
Site. The source disconnect occurred when a 75 curie iridium-192
radiography source assembly failed to retract to its fully shielded
position due to improper handling by the assistant radiographer. Mr.
Lillard stated in his testimony to OI that he created a record of the
event; however, no such record was produced during the investigation.
The NRC has no record or other indication that the former RSO or any
other NDTS employee reported the event to the NRC prior to the time its
occurrence was alleged in August 1997.
In 1995, 10 CFR 34.30 required that the Licensee provide a written
report to the NRC within 30 days of the occurrence of: (1) An
unintentional disconnection of the source assembly from the control
cable; (2) an inability to retract the source assembly to its fully
shielded position and secure it in this position; or (3) the failure of
any component (critical to safe operation of the device) to properly
perform its intended function. The OI investigation determined that in
1995, Mr. Lillard, as the RSO, deliberately failed to report the source
disconnect event involving the inability to retract a 75 curie iridium-
192 radiography source assembly to its fully shielded position or
ensure that a report was made to the NRC.
In addition, 10 CFR 30.9(a) requires, in part, that information
provided to the Commission by a licensee, or information required by
the Commission's regulations to be maintained by the Licensee, shall be
complete and accurate in all material respects. During a June 1995
inspection, Mr. Lillard was asked by the NRC inspector whether any
reportable events had occurred since the previous inspection. In
response, Mr. Lillard indicated that the Licensee had not had any
reportable events since the previous inspection when, in fact, the
Licensee had experienced the source disconnect event which Mr. Lillard
knew was reportable. This deliberate failure to inform the NRC of the
event was material to the NRC because it prevented the NRC from
exercising its regulatory responsibility to evaluate the event, which
could have had safety implications. In addition, licensee officials are
expected to provide complete and accurate information to the NRC, in
order that the NRC may have the requisite assurance that activities are
being conducted safely and in accordance with regulatory and license
requirements.
Mr. Lillard was aware, as evidenced by his testimony to OI, that:
(1) The source disconnect event had occurred; (2) the event was
reportable to the NRC; (3) as the RSO at the time of the event, it was
his responsibility to report it to the NRC; and (4) that the NRC was,
at the time, investigating a similar source disconnect event involving
NDTS that occurred in 1993. Based on these facts, the NRC determined
that Mr Lillard's failures to comply with 10 CFR 34.30 and 30.9(a)
appeared to be deliberate; and thus, constituted violations of 10 CFR
30.10, ``Deliberate Misconduct.'' 10 CFR 30.10 prohibits any employee
of a licensee from deliberately engaging in activities which cause a
licensee to be in violation of any rule, regulation, or order; or any
term, condition or limitation of any license. This regulation also
prohibits any employee of a licensee from deliberately submitting to
the NRC or a licensee, information that the person submitting the
information knows to be incomplete or inaccurate in some respect
material to the NRC.
By letter dated March 6, 2000, Mr. Lillard was advised that his
actions appeared to be in violation of 10 CFR 30.10 and was offered the
opportunity to either attend a predecisional enforcement conference or
respond to the two violations in writing. Subsequently, on April 19,
2000, Mr. Lillard requested a copy of his transcribed interview with OI
in order to support his possible participation at a predecisional
enforcement conference. On May 3, 2000, Mr. Lillard was provided his
transcript via certified mail. The certified mail return receipt
indicated that Mr. Lillard received his transcript on May 10, 2000. To
date, no response has been received from Mr. Lillard.
III
Based on the above, the NRC has concluded that Mr. Lillard engaged
in deliberate misconduct when he: (1) Failed to report or ensure that a
report was made to the NRC within 30 days of the occurrence of a 1995
source disconnect event; and (2) failed to provide complete and
accurate information to the NRC when he advised an NRC inspector during
a June 1995 inspection that no reportable events had occurred. Mr.
Lillard's deliberate actions in both instances caused the Licensee to
be in violation of 10 CFR 34.30 and 10 CFR 30.9, respectively, and are,
therefore, violations of 10 CFR 30.10. The NRC must be able to rely on
licensees and their employees to fully comply with NRC requirements,
including reporting requirements for events involving licensed
material, and to communicate with accuracy and completeness on
regulatory matters.
In view of the foregoing, I lack the requisite reasonable assurance
that licensed activities can be conducted in
[[Page 63630]]
compliance with NRC requirements and that the health and safety of the
public will be protected if Mr. Lillard were permitted to be involved
in NRC-licensed activities at this time. Therefore, the public health,
safety and interest require that Mr. Lillard be prohibited from any
involvement in NRC-licensed activities for a period of five years from
the date of this Order. Additionally, Mr. Lillard is required to notify
the NRC of his first employment and all subsequent employment in NRC-
licensed activities for a period of five years following the
prohibition period. Furthermore, pursuant to 10 CFR 2.202, I find that
the significance of Mr. Lillard's conduct is such that the public
health, safety and interest require that this Order be immediately
effective.
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, 10 CFR 30.9, 10 CFR 30.10 and 10 CFR
34.30, it is hereby ordered, effective immediately, that:
1. Mr. Rodney Lillard is prohibited for five years from the date of
this Order from engaging in NRC-licensed activities. NRC-licensed
activities are those activities that are conducted pursuant to a
specific or general license issued by the NRC, including, but not
limited to, those activities of Agreement State licensees conducted
pursuant to the authority granted by 10 CFR 150.20.
2. If Mr. Lillard is currently performing licensed activities for
another licensee in an area of NRC jurisdiction, he must immediately
cease those activities, and inform the NRC of the name, address and
telephone number of the employer, and provide a copy of this Order to
the employer.
3. For a period of five years after the five year prohibition has
expired, Mr. Rodney Lillard shall, within 20 days of the date of his
acceptance of subsequent employment offers involving his performance of
NRC-licensed activities or his becoming involved in NRC-licensed
activities, as defined in Paragraph IV.1 above, provide notice of his
employment to the Director, Office of Enforcement, U.S. Nuclear
Regulatory Commission, Washington, DC 20555, including the name,
address, and telephone number of the employer or the entity where he
is, or will be, involved in the NRC-licensed activities. In the first
notification, Mr. Rodney Lillard shall include a statement of his
commitment to compliance with regulatory requirements and a statement
regarding why the Commission should have confidence that he will now
comply with applicable NRC requirements.
The Director, Office of Enforcement, U.S. Nuclear Regulatory
Commission may relax or rescind, in writing, any of the above
conditions upon a showing by Mr. Rodney Lillard of good cause.
V
In accordance with 10 CFR 2.202, Mr. Lillard must, and any person
adversely affected by this Order may, submit an answer to this Order,
and may request a hearing on this Order, 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, DC 20555, and include a
statement of good cause for the extension. The answer may consent to
this Order. Unless the answer consents to this Order, the answer shall,
in writing and under oath or affirmation, specifically admit or deny
each allegation or charge made in this Order and shall set forth the
matters of fact and law on which Mr. Lillard or other persons adversely
affected relies and the reasons as to why the Order should not have
been issued. Any answer or request for a hearing shall be submitted to
the Secretary, U.S. Nuclear Regulatory Commission, ATTN: Chief,
Rulemakings and Adjudications Staff, Washington, DC 20555. Copies also
shall be sent to the Director, Office of Enforcement, U.S. Nuclear
Regulatory Commission, Washington, DC 20555, to the Deputy Assistant
General Counsel for Materials Litigation and Enforcement, at the same
address, and to the Regional Administrator, NRC Region II, Atlanta
Federal Center, 61 Forsyth Street, S.W., Suite 23T85, Atlanta, Georgia
30303-3415 and to Mr. Lillard if the answer or hearing request is by a
person other than Mr. Lillard. If a person other than Mr. Lillard
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 Mr. Lillard or 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 Order should be
sustained.
Pursuant to 10 CFR 2.202(c)(2)(i), Mr. Lillard, may, in addition to
demanding a hearing, at the time the answer is filed or sooner, move
the presiding officer to set aside the immediately effectiveness of the
Order on the ground that the Order, including the need for immediately
effectiveness, is not based on adequate evidence but on mere suspicion,
unfounded allegations, or error.
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 this 17th day of October 2000.
Carl J. Paperiello,
Deputy Executive Director for Materials, Research, and State Programs.
[FR Doc. 00-27286 Filed 10-23-00; 8:45 am]
BILLING CODE 7590-01-P