NRC Has Implemented Many Actions to Prepare Its Workforce for New Reactor Licensing Reviews, but Several Key Elements Are Still Under Way

In preparing for COL application reviews in the time frame since our  January 2007 report, NRC has continued its hiring and training efforts and  made substantial progress in implementing reviewer and management  tools. However, NRC has not yet fully  developed criteria for allocating resources across COL applications, and it  has not applied separate decision-making criteria for allocating funding for  licensing activities and for support activities, such as developing  computer-based review tools. NRC Has Taken Steps to Increase Staffing, Training, and Reviewer Tools to Support Its New Reactor Efforts, but Several Actions Are Not Complete

In response to the electric power industry’s growing commitment to  building new reactors following the enactment of the Energy Policy Act of  2005, NRC has significantly increased its hiring and funding for its new  reactor licensing program. To support its review of new reactor COL applications, NRC initially  reorganized the Office of Nuclear Reactor Regulation to create a division  solely responsible for new reactor licensing work and substantially  increased its size to more than 750 employees by hiring of entry- and  midlevel employees. In addition, NRC is increasing staff to five other offices with  new reactor responsibilities. As a result, staff reviews may not be as  timely and consistent until these computer-based tools are available, and  NRC may not benefit from intended productivity efficiencies. NRC has developed plans for allocating resources for a design  certification application and an early site permit it is currently  reviewing, 20 COL applications, 2 additional design certification  applications, and a design certification amendment application—all of  which NRC expects to have in its review process over the next 18  months. NRO plans to use  contracts to support at least one-third of the COL application review  process—for fiscal year 2008, NRO’s budget request is about the same  for contractor support as it is for staff salaries and benefits. Clarifying the Resource Management Board’s role. NRC Has Significantly Revised Its Overall Regulatory Framework and Review Process, but Several Activities Are Still in Progress

In redesigning its regulatory framework to better resolve issues early and  promote standardization and predictability in the licensing process, NRC  reached out to stakeholders, particularly those who would be seeking  certification for designs or applying for licenses. In June 2007, 3  months before it expected to receive the first COL applications, NRC  announced it would expand its acceptance review process to include not  only an evaluation of the application’s completeness but also its technical  sufficiency. The intent of the new process is to enable NRC  to identify areas of potential concern early in the process and discuss them  with the applicant. By the end of September 2007, NRC  plans to publicly release associated internal guidance that its staff will use  for deciding whether to accept, delay, or reject docketing. NRC is still developing its  process for tracking requests for additional information from applicants. NRC managers plan to clarify the board’s responsibilities. Scope and Methodology

To examine the steps NRC has taken to prepare its workforce to review  new reactor license applications and manage its workload, we obtained  information about its workforce preparation by reviewing NRC  documents, conducting semi-structured interviews with several managers  directly responsible for the planning and implementation of new reactor  licensing activities, and observing internal NRC meetings. In April 1989, NRC promulgated 10 CFR Part 52 to reform its  licensing process for new nuclear power plants. Draft Revision 1 revises one or more sections of nearly all  chapters.
Why GAO Did This Study

Nearly three decades after the last order for a new nuclear power reactor in the United States, electric power companies plan to submit 20 applications in the next 18 months to the Nuclear Regulatory Commission (NRC) for licenses to build and operate new reactors. Since 1989, NRC has developed a new license review process that allows a power company to obtain a construction permit and an operating license through a single combined license (COL) based on one of a number of standard reactor designs. NRC expects its new process to enhance the efficiency and predictability of its reviews. GAO reviewed NRC's readiness to evaluate these applications by examining the steps NRC has taken to (1) prepare its workforce and manage its workload and (2) develop its regulatory framework and review process for new reactor activities. GAO reviewed NRC documents for new reactor workforce staffing and training, examined NRC's guidance for the review of license applications, interviewed NRC managers and representatives of nearly all of the COL applicants, and observed NRC's public meetings.

What GAO Found

NRC has taken many steps to prepare its workforce for new reactor licensing reviews, but several key elements of its preparations are still underway. As a result, uncertainties remain about NRC's ability to manage its workload associated with the surge of applications. Specifically, NRC has increased its funding for new reactor activities, created the Office of New Reactors and reorganized several other offices, and hired a significant number of entry-level and midlevel professionals. To assist its staff in reviewing the applications, NRC also plans to contract out about one-third of its fiscal year 2008 workload. However, several elements of NRC's preparatory activities are still in progress, including hiring for some critical positions; developing key training courses; and developing computer-based tools intended to enhance consistency and coordination in reviewing like sections of COL applications. In addition, NRC has not fully developed criteria for setting priorities if the workload exceeds available staff and contractor resources. Finally, while the Office of New Reactors established a cross-divisional resource management board early in 2007 for coordinating certain office review activities, it has not clearly defined the extent of the board's responsibilities. NRC has significantly revised its regulatory framework and review process to prepare for licensing new reactors, but until NRC completes certain additional actions, it may not fully realize the anticipated benefits of the new process. NRC has revised, augmented, and clarified most rules, guidance, and inspection oversight criteria to provide for early resolution of issues, standardization, and predictability in the license review process. However, NRC has not yet completed several actions to implement this process. For example, NRC only recently modified its acceptance review process to include an evaluation of the application's technical sufficiency in addition to its completeness. NRC plans to complete new acceptance review guidance and tools reflecting this change by the end of September 2007. NRC also is refining its process for tracking requests to each applicant for more information but has not developed a coordinating mechanism to avoid unnecessarily requesting information from multiple applicants.