[Federal Register Volume 76, Number 198 (Thursday, October 13, 2011)]
[Notices]
[Pages 63672-63676]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-26486]


-----------------------------------------------------------------------

NUCLEAR REGULATORY COMMISSION

[Docket No. 70-7022; NRC-2011-0236]


Notice of Acceptance of Application for Special Nuclear Materials 
License From Passport Systems, Inc., Opportunity To Request a Hearing, 
and Order Imposing Procedures for Access to Sensitive Unclassified Non-
Safeguards Information for Contention Preparation

AGENCY: Nuclear Regulatory Commission.

ACTION: Notice of license application, opportunity to request a 
hearing, and Order Imposing Procedures for Access to Sensitive 
Unclassified Non-Safeguards Information for Contention Preparation.

-----------------------------------------------------------------------

DATES: Requests for a hearing or Leave to Intervene must be filed by 
December 12, 2011. Any potential party as defined in Title 10 of the 
Code of Federal Regulations (10 CFR) 2.4 who believes access to 
Sensitive Unclassified Non-Safeguards Information (SUNSI) information 
is necessary to respond to this notice must request document access by 
October 24, 2011.

ADDRESSES: You can access publicly available documents related to this 
document using the following methods:
     NRC's Public Document Room (PDR): The public may examine 
and have copied, for a fee, publicly available documents at the NRC's 
PDR, O1-F21, One White Flint North, 11555 Rockville Pike, Rockville, 
Maryland 20852.

[[Page 63673]]

     NRC's Agencywide Documents Access and Management System 
(ADAMS): Publicly available documents created or received at the NRC 
are available online in the NRC Library at http://www.nrc.gov/reading-rm/adams.html. From this page, the public can gain entry into ADAMS, 
which provides text and image files of the NRC's public documents. If 
you do not have access to ADAMS or if there are problems in accessing 
the documents located in ADAMS, contact the NRC's PDR reference staff 
at 1-800-397-4209, 301-415-4737, or by e-mail to [email protected].
     Federal Rulemaking Web Site: Public comments and 
supporting materials related to this final rule can be found at http://www.regulations.gov by searching on Docket ID NRC-2011-0236. Address 
questions about NRC dockets to Carol Gallagher, telephone: 301-492-
3668; e-mail: [email protected].

FOR FURTHER INFORMATION CONTACT: Richard Thompson, Project Manager, 
Fuel Manufacturing Branch, Division of Fuel Cycle Safety and 
Safeguards, Office of Nuclear Material Safety and Safeguards, U.S. 
Nuclear Regulatory Commission, 11555 Rockville Pike, EBB2-C40M, 
Rockville, Maryland 20852; telephone: 301-492-3220; e-mail: 
[email protected].

SUPPLEMENTARY INFORMATION:

I. Introduction

    The U.S. Nuclear Regulatory Commission (NRC or the Commission) has 
accepted for detailed technical review an application for a new license 
for the possession and use of special nuclear material (SNM), submitted 
by Passport Systems, Inc. (Passport or the Applicant). The license 
would authorize performance testing of radiation detection systems for 
locating SNM, under a project sponsored by the Domestic Nuclear 
Detection Office (DNDO) of the U.S. Department of Homeland Security 
(DHS). The Applicant requested the new license for a period of 10 
years. This license application, if approved, would authorize Passport 
to possess and use special nuclear materials under 10 CFR Part 70, 
``Domestic Licensing of Special Nuclear Material.''

II. Discussion

    In its application, dated November 5, 2010, Passport requested a 
license to possess and use SNM to conduct tests of new technology for 
use in detection systems. The SNM would be used as test objects for 
concept demonstrations and characterization testing at the Passport 
facilities. Following an administrative review, the NRC requested the 
Applicant to revise its application to include elements essential to 
conducting a detailed technical review. The Applicant submitted a 
revised license application, dated February 8, 2011. By letter dated 
March 1, 2011, the NRC staff found the revised license application 
acceptable to begin a detailed technical review. The application has 
been docketed in Docket No. 70-7022.
    If the NRC approves the license application, the basis for approval 
will be documented in a Safety Evaluation Report (SER) supporting the 
issuance of a new NRC license. The SER would contain the findings 
required by the Atomic Energy Act of 1954, as amended (the Act), and 
the NRC's regulations, for issuing an SNM license. The SER would also 
include a determination of the need to complete an environmental 
assessment based on the proposed action.

III. Opportunity To Request a Hearing; Petitions for Leave To Intervene

    Requirements for submitting hearing requests and petitions for 
Leave to Intervene are found in 10 CFR 2.309, ``Hearing Requests, 
Petitions to Intervene, Requirements for Standing, and Contentions.'' 
Interested persons should consult 10 CFR 2.309, which is available at 
the NRC's PDR, located at One White Flint North, 11555 Rockville Pike, 
Room O1-F21, Rockville, MD 20852. You may also call the PDR at 1-800-
397-4209 or 301-415-4737. The NRC regulations are also accessible 
electronically from the NRC's Web site at http://www.nrc.gov.
    Any person whose interest may be affected by this proceeding, and 
who desires to participate as a party in the proceeding must file a 
written petition for Leave to Intervene. As required by 10 CFR 2.309, a 
petition for leave to intervene shall set forth with particularity the 
interest of the petitioner in the proceeding and how that interest may 
be affected by the results of the proceeding. The petition must provide 
the name, address, and telephone number of the petitioner; and 
specifically explain the reasons why intervention should be permitted 
with particular reference to the following factors: (1) The nature of 
the petitioner's right under the Act to be made a party to the 
proceeding; (2) the nature and extent of the petitioner's property, 
financial, or other interest in the proceeding; and (3) the possible 
effect of any order that may be entered in the proceeding on the 
petitioner's interest.
    A petition for Leave to Intervene must also include a specification 
of the contentions that the petitioner seeks to have litigated in the 
hearing. For each contention, the petitioner must provide a specific 
statement of the issue of law or fact to be raised or controverted, as 
well as a brief explanation of the basis for the contention. 
Additionally, the petitioner must demonstrate that the issue raised by 
each contention is within the scope of the proceeding, and is material 
to the findings that NRC must make to support the granting of a license 
in response to the application. The petition must also include a 
concise statement of the alleged facts or expert opinions which support 
the position of the petitioner, and on which the petitioner intends to 
rely at the hearing--together with references to the specific sources 
and documents on which the petitioner intends to rely. Finally, the 
petition must provide sufficient information to show that a genuine 
dispute exists with the applicant on a material issue of law or fact, 
including references to specific portions of the license application 
that the petitioner disputes and the supporting reasons for each 
dispute, or, if the petitioner believes that the license application 
fails to contain information on a relevant matter as required by law, 
the identification of each failure, and the supporting reasons for the 
petitioner's belief. Each contention must be one that, if proven, would 
entitle the petitioner to relief.
    Those permitted to intervene become parties to the proceeding, 
subject to any limitations in the order granting Leave to Intervene, 
and have the opportunity to participate fully in the conduct of the 
hearing with respect to resolution of that person's admitted 
contentions, including the opportunity to present evidence and to 
submit a cross-examination plan for cross-examination of witnesses, 
consistent with NRC's regulations, policies, and procedures. The Atomic 
Safety and Licensing Board (the Licensing Board) will set the time and 
place for any pre-hearing conferences and evidentiary hearings, and the 
appropriate notices will be provided.
    Petitions for leave to intervene must be submitted no later than 60 
days from October 13, 2011. Non-timely petitions for Leave to Intervene 
and contentions, amended petitions, and supplemental petitions will not 
be entertained, absent a determination by the Commission, the Licensing 
Board or a Presiding Officer that the petition should be granted and/or 
the contentions should be admitted based upon a balancing of the 
factors specified in 10 CFR 2.309(c)(1)(i)-(viii).

[[Page 63674]]

    A State, county, municipality, Federally recognized Indian Tribe, 
or agencies thereof, may submit a petition to the Commission to 
participate as a party under 10 CFR 2.309(d)(2). The petition should 
state the nature and extent of the petitioner's interest in the 
proceeding. The petition should be submitted to the Commission by 
December 12, 2011. The petition must be filed in accordance with the 
filing instructions in Section IV of this document, and should meet the 
requirements for petitions for Leave to Intervene set forth in this 
section, except that State and Federally recognized Indian tribes do 
not need to address the standing requirements in 10 CFR 2.309(d)(1) if 
the facility is located within its boundaries. The entities listed 
above could also seek to participate in a hearing as a non-party, 
pursuant to 10 CFR 2.315(c).
    Any person who does not wish, or is not qualified, to become a 
party to this proceeding may request permission to make a limited 
appearance pursuant to the provisions of 10 CFR 2.315(a). A person 
making a limited appearance may make an oral or written statement of 
position on the issues, but may not otherwise participate in the 
proceeding. A limited appearance may be made at any session of the 
hearing or at any pre-hearing conference, subject to such limits and 
conditions as may be imposed by the Licensing Board. Persons desiring 
to make a limited appearance are requested to inform the Secretary of 
the Commission by December 12, 2011.

IV. Electronic Submissions (E-Filing)

    All documents filed in NRC's adjudicatory proceedings, including a 
request for hearing, a petition for Leave to Intervene, any motion or 
other document filed in the proceeding prior to the submission of a 
request for hearing or petition to intervene, and any document filed by 
interested governmental entities participating under 10 CFR 2.315(c), 
must be filed in accordance with the NRC E-Filing rule (72 FR 49139, 
August 28, 2007). The E-Filing process requires participants to submit 
and serve all adjudicatory documents over the Internet, or in some 
cases, to mail copies on electronic storage media. Participants may not 
submit paper copies of their filings unless they seek an exemption in 
accordance with the procedures described below.
    To comply with the procedural requirements of E-Filing, at least 
ten (10) days prior to the filing deadline, the participant should 
contact the Office of the Secretary by e-mail at 
[email protected], or by telephone at 301-415-1677, to request (1) 
a digital ID certificate, which allows the participant (or its counsel 
or representative) to digitally sign documents and access the E-
Submittal server for any proceeding in which it is participating; and 
(2) advise the Secretary that the participant will be submitting a 
request or petition for hearing (even in instances in which the 
participant, or its counsel or representative, already holds an NRC-
issued digital ID certificate). Based upon this information, the 
Secretary will establish an electronic docket for the hearing in this 
proceeding if the Secretary has not already established an electronic 
docket.
    Information about applying for a digital ID certificate is 
available on NRC's public Web site at http://www.nrc.gov/site-help/e-submittals/apply-certificates.html. System requirements for accessing 
the E-Submittal server are detailed in NRC's, ``Guidance for Electronic 
Submission,'' which is available on the agency's public Web site at 
http://www.nrc.gov/site-help/e-submittals.html. Participants may 
attempt to use other software not listed on the Web site, but should 
note that the NRC's E-Filing system does not support unlisted software; 
and the NRC's Meta System Help Desk will not be able to offer 
assistance in using unlisted software.
    If a participant is electronically submitting a document to the NRC 
in accordance with the E-Filing rule, the participant must file the 
document using the NRC's online, Web-based submission form. In order to 
serve documents through EIE, users will be required to install a Web 
browser plug-in from the NRC Web site. Further information on the Web-
based submission form, including the installation of the Web browser 
plug-in, is available on the NRC's public Web site at http://www.nrc.gov/site-help/e-submittals.html.
    Once a participant has obtained a digital ID certificate and a 
docket has been created, the participant can then submit a request for 
hearing or petition for leave to intervene. Submissions should be in 
Portable Document Format (PDF) in accordance with NRC guidance 
available on the NRC public Web site at http://www.nrc.gov/site-help/e-submittals.html. A filing is considered complete at the time the 
documents are submitted through the NRC's E-Filing system. To be 
timely, an electronic filing must be submitted to the E-Filing system 
no later than 11:59 p.m. Eastern Time on the due date. Upon receipt of 
a transmission, the E-Filing system time-stamps the document and sends 
the submitter an e-mail notice confirming receipt of the document. The 
E-Filing system also distributes an e-mail notice that provides access 
to the document to the NRC Office of the General Counsel and any others 
who have advised the Office of the Secretary that they wish to 
participate in the proceeding, so that the filer need not serve the 
documents on those participants separately. Therefore, applicants and 
other participants (or their counsel or representative) must apply for 
and receive a digital ID certificate before a hearing request/petition 
to intervene is filed so that they can obtain access to the document 
via the E-Filing system.
    A person filing electronically using the agency's adjudicatory E-
Filing system may seek assistance by contacting the NRC Meta System 
Help Desk through the ``Contact Us'' link located on the NRC Web site 
at http://www.nrc.gov/site-help/e-submittals.html, by e-mail at 
[email protected], or by a toll-free call at (866) 672-7640. The 
NRC Meta System Help Desk is available between 8 a.m. and 8 p.m., 
Eastern Time, Monday through Friday, excluding government holidays.
    Participants who believe that they have a good cause for not 
submitting documents electronically must file an exemption request, in 
accordance with 10 CFR 2.302(g), with their initial paper filing 
requesting authorization to continue to submit documents in paper 
format. Such filings must be submitted by: (1) First class mail 
addressed to the Office of the Secretary of the Commission, U.S. 
Nuclear Regulatory Commission, Washington, DC 20555-0001, Attention: 
Rulemaking and Adjudications Staff; or (2) courier, express mail, or 
expedited delivery service to the Office of the Secretary, Sixteenth 
Floor, One White Flint North, 11555 Rockville Pike, Rockville, 
Maryland, 20852, Attention: Rulemaking and Adjudications Staff. 
Participants filing a document in this manner are responsible for 
serving the document on all other participants. Filing is considered 
complete by first-class mail as of the time of deposit in the mail, or 
by courier, express mail, or expedited delivery service upon depositing 
the document with the provider of the service. A presiding officer, 
having granted an exemption request from using E-Filing, may require a 
participant or party to use E-Filing if the presiding officer 
subsequently determines that the reason for granting the exemption from 
use of E-Filing no longer exists.
    Documents submitted in adjudicatory proceedings will appear in 
NRC's

[[Page 63675]]

electronic hearing docket, which is available to the public at http://ehd1.nrc.gov/EHD/, unless excluded pursuant to an order of the 
Commission or the presiding officer. Participants are requested not to 
include personal privacy information, such as social security numbers, 
home addresses, or home telephone numbers in their filings, unless an 
NRC regulation or other law requires submission of such information. 
With respect to copyrighted works, except for limited excerpts that 
serve the purpose of the adjudicatory filings and would constitute a 
Fair Use application, participants are requested not to include 
copyrighted materials in their submission.

Order Imposing Procedures for Access to Sensitive Unclassified Non-
Safeguards Information (SUNSI) for Contention Preparation

    A. This Order contains instructions regarding how potential parties 
to this proceeding may request access to documents containing SUNSI.
    B. Within 10 days after publication of this Notice of Acceptance 
and Opportunity to Request a Hearing, any potential party who believes 
access to SUNSI is necessary to respond to this notice may request such 
access. A ``potential party'' is any person who intends to participate 
as a party by demonstrating standing and filing an admissible 
contention under 10 CFR 2.309. Requests for access to SUNSI submitted 
later than 10 days after publication will not be considered, absent a 
showing of good cause for the late filing addressing why the request 
could not have been filed earlier.
    C. The requester shall submit a letter requesting permission to 
access SUNSI to the Office of the Secretary, U.S. Nuclear Regulatory 
Commission, Washington, DC 20555-0001, Attention: Rulemakings and 
Adjudications Staff; and provide a copy to the Associate General 
Counsel for Hearings, Enforcement and Administration, Office of the 
General Counsel, Washington, DC 20555-0001. The expedited delivery or 
courier mail address for both offices is: U.S. Nuclear Regulatory 
Commission, 11555 Rockville Pike, Rockville, Maryland 20852. The e-mail 
address for the Office of the Secretary and the Office of the General 
Counsel are [email protected] and [email protected], 
respectively.\1\ The request must include the following information:
---------------------------------------------------------------------------

    \1\ While a request for Hearing or Petition to Intervene in this 
proceeding must comply with the filing requirements of the NRC's 
``E-Filing Rule,'' the initial request to access SUNSI under these 
procedures should be submitted as described in this paragraph.
---------------------------------------------------------------------------

    (1) A description of the licensing action with a citation to this 
Federal Register notice;
    (2) The name and address of the potential party and a description 
of the potential party's particularized interest that could be harmed 
by the action identified in C.(1);
    (3) The identity of the individual or entity requesting access to 
SUNSI and the requester's basis for the need for the information in 
order to meaningfully participate in this adjudicatory proceeding. In 
particular, the request must explain why publicly-available versions of 
the information requested would not be sufficient to provide the basis 
and specificity for a proffered contention;
    D. Based on an evaluation of the information submitted under 
paragraph C.(3), the NRC staff will determine within 10 days of receipt 
of the request whether:
    (1) There is a reasonable basis to believe the petitioner is likely 
to establish standing to participate in this NRC proceeding; and
    (2) The requestor has established a legitimate need for access to 
SUNSI.
    E. If the NRC staff determines that the requestor satisfies both 
D.(1) and D.(2) above, the NRC staff will notify the requestor in 
writing that access to SUNSI has been granted. The written notification 
will contain instructions on how the requestor may obtain copies of the 
requested documents, and any other conditions that may apply to access 
to those documents. These conditions may include, but are not limited 
to, the signing of a Non-Disclosure Agreement or Affidavit, or 
Protective Order \2\ setting forth terms and conditions to prevent the 
unauthorized or inadvertent disclosure of SUNSI by each individual who 
will be granted access to SUNSI.
---------------------------------------------------------------------------

    \2\ Any motion for Protective Order or draft Non-Disclosure 
Affidavit or Agreement for SUNSI must be filed with the presiding 
officer or the Chief Administrative Judge, if the presiding officer 
has not yet been designated, within 30 days of the deadline for the 
receipt of the written access request.
---------------------------------------------------------------------------

    F. Filing of Contentions. Any contentions in these proceedings that 
are based upon the information received as a result of the request made 
for SUNSI must be filed by the requestor no later than 25 days after 
the requestor is granted access to that information. However, if more 
than 25 days remain between the date the petitioner is granted access 
to the information and the deadline for filing all other contentions 
(as established in the Notice of Hearing or Opportunity for Hearing), 
the petitioner may file its SUNSI contentions by that later deadline.
    G. Review of Denials of Access.
    (1) If the request for access to SUNSI is denied by the NRC's 
staff, either after a determination on standing and need for access or 
after a determination on trustworthiness and reliability, the NRC's 
staff shall immediately notify the requestor in writing, briefly 
stating the reason(s) for the denial.
    (2) The requester may challenge the NRC staff's adverse 
determination by filing a challenge within 5 days of receipt of that 
determination with: (a) The presiding officer designated in this 
proceeding; (b) if no presiding officer has been appointed, the Chief 
Administrative Judge, or if he or she is unavailable, another 
administrative judge, or an administrative law judge with jurisdiction 
pursuant to 10 CFR 2.318(a); or (c) if another officer has been 
designated to rule on information access issues, with that officer.
    H. Review of Grants of Access. A party other than the requester may 
challenge an NRC staff's determination granting access to SUNSI whose 
release would harm that party's interest independent of the proceeding. 
Such a challenge must be filed with the Chief Administrative Judge 
within 5 days of the notification by the NRC staff of its grant of 
access.
    If challenges to the NRC staff's determinations are filed, these 
procedures give way to the normal process for litigating disputes 
concerning access to information. The availability of interlocutory 
review by the Commission of orders ruling on such NRC staff's 
determinations (whether granting or denying access) is governed by 10 
CFR 2.311.\3\
---------------------------------------------------------------------------

    \3\ Requesters should note that the filing requirements of the 
NRC's E-Filing Rule (72 FR 49139; August 28, 2007) apply to appeals 
of NRC staff's determinations (because they must be served on a 
presiding officer or the Commission, as applicable), but not to the 
initial SUNSI request submitted to the NRC staff under these 
procedures.
---------------------------------------------------------------------------

    I. The Commission expects that the NRC staff and presiding officers 
(and any other reviewing officers) will consider and resolve requests 
for access to SUNSI, and motions for protective orders, in a timely 
fashion in order to minimize unnecessary delays in identifying those 
petitioners who have standing and who have propounded contentions 
meeting the specificity and basis requirements in 10 CFR Part 2. 
Attachment 1 to this Order summarizes the general target schedule for 
processing and resolving requests under these procedures.
    It is so ordered:


[[Page 63676]]


    Dated at Rockville, Maryland, this 6th day of October, 2011.

    For the Commission.
Annette L. Vietti-Cook,
Secretary of the Commission.

   Attachment 1--General Target Schedule for Processing and Resolving
Requests for Access to Sensitive Unclassified Non-Safeguards Information
                           in This Proceeding
------------------------------------------------------------------------
                Day                            Event/Activity
------------------------------------------------------------------------
0.................................  Publication of Federal Register
                                     notice of hearing and opportunity
                                     to petition for leave to intervene,
                                     including order with instructions
                                     for access requests.
10................................  Deadline for submitting requests for
                                     access to Sensitive Unclassified
                                     Non-Safeguards Information (SUNSI)
                                     with information: supporting the
                                     standing of a potential party
                                     identified by name and address;
                                     describing the need for the
                                     information in order for the
                                     potential party to participate
                                     meaningfully in an adjudicatory
                                     proceeding.
60................................  Deadline for submitting petition for
                                     intervention containing: (i)
                                     Demonstration of standing; (ii) all
                                     contentions whose formulation does
                                     not require access to SUNSI (+25
                                     Answers to petition for
                                     intervention; +7 petitioner/
                                     requestor reply).
20................................  Nuclear Regulatory Commission (NRC)
                                     staff informs the requester of the
                                     staff's determination whether the
                                     request for access provides a
                                     reasonable basis to believe
                                     standing can be established and
                                     shows need for SUNSI. (NRC staff
                                     also informs any party to the
                                     proceeding whose interest
                                     independent of the proceeding would
                                     be harmed by the release of the
                                     information.) If NRC staff makes
                                     the finding of need for SUNSI and
                                     likelihood of standing, NRC staff
                                     begins document processing
                                     (preparation of redactions or
                                     review of redacted documents).
25................................  If NRC staff finds no ``need'' or no
                                     likelihood of standing, the
                                     deadline for petitioner/requester
                                     to file a motion seeking a ruling
                                     to reverse the NRC staff's denial
                                     of access; NRC staff files copy of
                                     access determination with the
                                     presiding officer (or Chief
                                     Administrative Judge or other
                                     designated officer, as
                                     appropriate). If NRC staff finds
                                     ``need'' for SUNSI, the deadline
                                     for any party to the proceeding
                                     whose interest independent of the
                                     proceeding would be harmed by the
                                     release of the information to file
                                     a motion seeking a ruling to
                                     reverse the NRC staff's grant of
                                     access.
30................................  Deadline for NRC staff reply to
                                     motions to reverse NRC staff
                                     determination(s).
40................................  (Receipt +30) If NRC staff finds
                                     standing and need for SUNSI,
                                     deadline for NRC staff to complete
                                     information processing and file
                                     motion for Protective Order and
                                     draft Non-Disclosure Affidavit.
                                     Deadline for applicant/licensee to
                                     file Non-Disclosure Agreement for
                                     SUNSI.
A.................................  If access granted: Issuance of
                                     presiding officer or other
                                     designated officer decision on
                                     motion for protective order for
                                     access to sensitive information
                                     (including schedule for providing
                                     access and submission of
                                     contentions) or decision reversing
                                     a final adverse determination by
                                     the NRC staff.
A + 3.............................  Deadline for filing executed Non-
                                     Disclosure Affidavits. Access
                                     provided to SUNSI consistent with
                                     decision issuing the protective
                                     order.
A + 28............................  Deadline for submission of
                                     contentions whose development
                                     depends upon access to SUNSI.
                                     However, if more than 25 days
                                     remain between the petitioner's
                                     receipt of (or access to) the
                                     information and the deadline for
                                     filing all other contentions (as
                                     established in the notice of
                                     hearing or opportunity for
                                     hearing), the petitioner may file
                                     its SUNSI contentions by that later
                                     deadline.
A + 53............................  (Contention receipt +25) Answers to
                                     contentions whose development
                                     depends upon access to SUNSI.
A + 60............................  (Answer receipt +7) Petitioner/
                                     Intervenor reply to answers.
>A + 60...........................  Decision on contention admission.
------------------------------------------------------------------------

[FR Doc. 2011-26486 Filed 10-12-11; 8:45 am]
BILLING CODE 7590-01-P