ML12244A059

Issuance of Amendment No. 239, Revise Physical Protection License Condition Related to Milestone 6 of the Cyber Security Plan Implementation Schedule

ML12244A059
Person / Time
Site:	Waterford
Issue date:	12/20/2012
From:	Kalyanam N Plant Licensing Branch IV
To:	Entergy Operations
Kalyanam N
References
TAC ME8998
Download: ML12244A059 (12)

Text

UNITED NUCLEAR REGULATORY WASHINGTON, D.C. 20555-0001 December 20, 2012 Vice President, Operations Entergy Operations, Inc. Waterford Steam Electric Station, Unit 3 17265 River Road Ki"ona, LA 70057-3093 WATERFORD STEAM ELECTRIC STATION, UNIT 3 -ISSUANCE OF AMENDMENT RE: CYBER SECURITY PLAN IMPLEMENTATION SCHEDULE MILESTONE 6 (TAC NO. ME8998)

Dear Sir or Madam:

The Commission has issued the enclosed Amendment No. 239 to Facility Operating License No. NPF-38 for the Waterford Steam Electric Station, Unit 3 (Waterford 3). This amendment consists of changes to the facility operating license in response to your application dated ,June 28,2012. The amendment revises the scope of Cyber Security Plan (CSP) Implementation Schedule Milestone

1. 6 and paragraph 2.E of the facility operating license. The amendment modifies the scope of Milestone

1. 6 to apply to the technical cyber security controls only. The operational and management controls, as described in Nuclear Energy Institute (NEI) 08-09, Revision 6, would be implemented concurrent with the full implementation of the cyber security program (Milestone

1. 8). Thus, a" CSP activities would be fully implemented by the completion date, currently identified in Milestone

1. 8 of the licensee's CSP implementation schedule.

A copy of our related Safety Evaluation is also enclosed.

The Notice of Issuance wi" be included in the Commission's next biweekly Federal Register notice. Sincerely, N. Kalyanam, Project Manager Plant Licensing Branch IV Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation Docket No. 50-382

Enclosures:

1. Amendment No. 239 to NPF-38 2. Safety Evaluation cc w/encls: Distribution via Listserv UNITED NUCLEAR REGULATORY WASHINGTON, D.C. 20555-0001 ENTERGY OPERATIONS, INC. DOCKET NO. 50-382 WATERFORD STEAM ELECTRIC STATION. UNIT 3 AMENDMENT TO FACILITY OPERATING LICENSE Amendment No. 239 License No. NPF-38 The Nuclear Regulatory Commission (the Commission) has found that: The application for amendment by Entergy Operations, Inc. (EOI), dated June 28,2012, complies with the standards and requirements of the Atomic Energy Act of 1954, as amended (the Act), and the Commission's rules and regulations set forth in 10 CFR Chapter I; The facility will operate in conformity with the application, the provisions of the Act, and the rules and regulations of the Commission; There is reasonable assurance (i) that the activities authorized by this amendment can be conducted without endangering the health and safety of the public, and (ii) that such activities will be conducted in compliance with the Commission's regulations; The issuance of this amendment will not be inimical to the common defense and security or to the health and safety of the public; and The issuance of this amendment is in accordance with 10 CFR Part 51 of the Commission's regulations and all applicable requirements have been satisfied.

Enclosure 1

-2 Accordingly, the license is amended as indicated in the attachment to this license amendment and Paragraph 2.E of Facility Operating License No. NPF-38 is hereby amended to read as follows: EOI shall fully implement and maintain in effect all provisions of the Commission-approved physical security, training and qualification, and safeguards contingency plans including amendments made pursuant to provisions of the Miscellaneous Amendments and Search Requirements revisions to 10 CFR 73.55 (51 FR 27817 and 27822) and to the authority of 10 CFR 50.90 and 10 CFR 50.54(p).

The plan, which contains Safeguards Information protected under 10 CFR 73.21, is entitled: "Physical Security, Safeguards Contingency and Training & Qualification Plan," and was submitted on October 4,2004. EOI shall fully implement and maintain in effect all provisions of the Commission-approved cyber security plan (CSP), including changes made pursuant to the authority of 10 CFR 50.90 and 10 CFR 50.54(p).

The EOI CSP was approved by License Amendment No. 234 and supplemented by a change approved by Amendment No. 239. This license amendment is effective as of its date of issuance and shall be implemented by December 31, 2012. FOR THE NUCLEAR REGULATORY COMMISSION Michael T. Markley, Chief Plant Licensing Branch IV Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation

Attachment:

Changes to the Facility Operating License No. NPF-38 Date of Issuance:

December 20 t 2012 ATTACHMENT TO LICENSE AMENDMENT NO. TO FACILITY OPERATING LICENSE NO. DOCKET NO. Replace the following pages of the Facility Operating License with the attached revised page. The revised page is identified by amendment number and contains marginal lines indicating the areas of change. Facility Operating License REMOVE INSERT

-The first performance of SR 6.5.17, in accordance with Specification 6.5. 17.c.(i), shall be within the specified Frequency of 6 years, plus the 18-month allowance of SR 4.0.2, as measured from April 17, 2004, the date of the most recent successful tracer gas test, as stated in the October 8, 2004 letter response to Generic Letter 2003-01, or within the next 18 months if the time period since the most recent successful tracer gas test is greater than 6 years. The first performance of the periodic assessment of CRE habitability, Specification 6.5.17.c.(ii), shall be within 3 years, plus the 9-month allowance of SR 4.0.2, as measured from April 17, 2004, the date of the most recent successful tracer gas test, as stated in the October 8, 2004 letter response to Generic Letter 2003-01, or within the next 9 months if the time period since the most recent successful tracer gas test is greater than 3 years. The first performance of the periodic measurement of CRE pressure, Specification 6.5.17 .d, shall be within 18 months, plus the 138 days allowed by SR 4.0.2, as measured from August 13, 2008, the date of the most recent successful pressure measurement test, or within 138 days if not performed previously. The facility requires an exemption from certain requirements of Appendices E and J to 10 CFR Part 50. These exemptions are described in the Office of Nuclear Reactor Regulation's Safety Evaluation Report, Supplement No. 10 (Section 6.1.2) and Supplement NO.8 (Section 6.2.6), respectively.

These exemptions are authorized by law and will not endanger life or property or the common defense and security and are otherwise in the public interest.

These exemptions are, therefore, hereby granted pursuant to 10 CFR 50.12. With the granting of these exemptions, the facility will operate, to the extent authorized herein, in conformity with the application, as amended, the provisions of the Act, and the rules and regulations of the Commission. EOI shall fully implement and maintain in effect all provisions of the approved physical security, training and qualification, and safeguards contingency plans including amendments made pursuant to provisions of the Miscellaneous Amendments and Search Requirements revisions to 10 CFR 73.55 (51 FR 27817 and 27822) and to the authority of 10 CFR 50.90 and 10 CFR 50.54(p).

The plan, which contains Safeguards Information protected under 10 CFR 73.21, is entitled: "Physical Security, Safeguards Contingency and Training & Qualification Plan," and was submitted on October 4, 2004. EOI shall fully implement and maintain in effect all provisions of the approved cyber security plan (CSP), including changes made pursuant to the authority of 10 CFR 50.90 and 10 CFR 50.54(p).

The EOI CSP was approved by License Amendment No. 234 and supplemented by a change approved by Amendment No. 239. AMENDMENT NO. 171,218,234,239 Revised by letter dated July 26, 2007 UNITED NUCLEAR REGULATORY WASHINGTON, D.C. 20555-0001 SAFETY EVALUATION BY THE OFFICE OF NUCLEAR REACTOR REGULATION RELATED TO AMENDMENT NO. 239 TO FACILITY OPERATING LICENSE NO. NPF-38 ENTERGY OPERATIONS, INC. WATERFORD STEAM ELECTRIC STATION, UNIT 3 DOCKET NO. 50-382 INTRODUCTION By application dated June 28, 2012 (Agencywide Documents Access and Management System (ADAMS) Accession No. ML12181A348), Entergy Operations, Inc. (Entergy, the licensee), requested changes to the Facility Operating License for Waterford Steam Electric Station, Unit 3 (Waterford 3). The proposed change would revise the scope of Cyber Security Plan (CSP) Implementation Schedule Milestone

1. 6 and the existing license condition in the facility operating license. Milestone

1. 6 of the CSP implementation schedule concerns the identification, documentation, and implementation of cyber security controls (technical, operational, and management) for critical digital assets (CDAs) related to target set equipment.

Entergy is requesting to modify the scope of Milestone

1. 6 to apply to the technical cyber security controls only. The operational and management controls, as described in Nuclear Energy Institute (NEI) 08-09, Revision 6, would be implemented concurrent with the full implementation of the cyber security program (Milestone

1. 8). Thus, all CSP activities would be fully implemented by the completion date, identified in Milestone

1. 8 of the licensee's CSP implementation schedule.

Portions of the letter dated June 28, 2012, contain sensitive unclassified non-safeguards information and, accordingly, those portions are withheld from public disclosure. REGULATORY EVALUATION The U.S. Nuclear Regulatory Commission (NRC) staff reviewed and approved the licensee's existing CSP implementation schedule by License Amendment No. 234 dated July 20, 2011 (ADAMS Accession No. ML111800021), concurrent with the incorporation of the CSP into the facility current licensing basis. The NRC staff considered the following regulatory requirements and guidance in its review of the current license amendment request to modify the existing CSP implementation schedule: Title 10 of the Code of Federal Regulations (10 CFR) 73.54 states: "Each [CSP] submittal must include a proposed Implementation schedule.

Implementation of Enclosure 2

-2 the licensee's cyber security program must be consistent with the approved schedule." The licensee's renewed facility operating license includes a license condition that requires the licensee to fully implement and maintain in effect all provisions of the ,Commission-approved CSP. Amendment No. 234, dated July 20, 2011, which approved the licensee's CSP and implementation schedule, included the following statement: "The implementation of the cyber security plan (CSP), including the key intermediate milestone dates and the full implementation date, shall be in accordance with the implementation schedule submitted by the licensee on April 4, 2011, and approved by the NRC staff with this license amendment.

All subsequent changes to the NRC-approved CSP implementation schedule will require prior NRC approval pursuant to 10 CFR 50.90." In a letter to the Nuclear Energy Institute (NEI) dated March 1, 2011 (ADAMS Accession No. ML110070348), the NRC staff acknowledged that the cyber security implementation schedule template was "written generically and licensees that use the template to develop their proposed implementation schedules may need to make changes to ensure the submitted schedule accurately accounts for site-specific activities." TECHNICAL EVALUATION Background Amendment No. 234 to Facility Operating License No. NPF-38 for Waterford 3, was issued on July 20, 2011. The NRC staff also approved the licensee's CSP implementation schedule, as discussed in the safety evaluation issued with the amendment.

The implementation schedule had been submitted by the licensee based on a template prepared by NEI, which the NRC staff found acceptable for licensees to use to develop their CSP implementation schedules (ADAMS Accession No. ML110600218).

The licensee's proposed implementation schedule for the cyber security program identified completion dates and bases for the following eight milestones: Establish the Cyber Security Assessment Team (CSAT); Identify Critical Systems and CDAs; Install a deterministic one-way device between lower level devices and higher level devices; Implement the security control "Access Control For Portable And Mobile Devices"; Implement observation and identification of obvious cyber related tampering to existing insider mitigation rounds by incorporating the appropriate elements;

-3 Identify, document, and implement cyber security controls as per "Mitigation of Vulnerabilities and Application of Cyber Security Controls" for CDAs that could adversely impact the design function of physical security target set equipment; Commence ongoing monitoring and assessment activities for those target set CDAs whose security controls have been implemented; and Fully implement the CSP. Licensee's Proposed Change Currently, Milestone

1. 6 of Waterford 3's CSP requires Entergy to identify, document, and implement cyber security controls for CDAs that could adversely impact the design function of physical security target set equipment by December 31, 2012. These cyber security controls consist of technical, operational and management security controls.

In its application dated June 28, 2012, Entergy proposed to modify Milestone

1. 6 to change the scope of the cyber security controls due to be implemented on December 31, 2012, to include only the NEI 08-09, Revision 6, Appendix D technical security controls.

Entergy proposes to amend its CSP to provide that operational and management security controls, identified in Milestone

1. 6, will be fully implemented by a later date, which is the completion date identified in Milestone

1. 8 of the CSP implementation schedule.

The licensee stated that implementing the technical cyber security controls for target set CDAs provides a high degree of protection against cyber-related attacks that could lead to radiological sabotage.

The licensee further stated that many of its existing programs are primarily procedure-based programs and must be implemented in coordination with the comprehensive cyber security program. The licensee also stated that the existing programs currently in place at Waterford 3 (e.g., physical protection, maintenance, configuration management, and operating experience) provide sufficient operational and management cyber security protection during the interim period until the cyber security program is fully implemented. Detailed Description of Changes Current Facility Operating License NPF-38, Paragraph 2.E states: EOI shall fully implement and maintain in effect all provisions of the Commission-approved physical security, training and qualification, and safeguards contingency plans including amendments made pursuant to provisions of the Miscellaneous Amendments and Search Requirements revisions to 10 CFR 73.SS (S1 FR 27817 and 27822) and to the authority of 10 CFR SO.90 and 10 CFR SO.S4(p).

The plan, which contains Safeguards Information protected under 10 CFR 73.21, is entitled: "Physical Security, Safeguards Contingency and Training & Qualification Plan," and was submitted on October 4, 2004. EOI shall fully implement and maintain in effect all provisions of the approved cyber security plan (CSP), including changes made pursuant to the authority of 10 CFR SO.90 and 10 CFR SO.S4(p).

The EOI CSP was approved by License Amendment No. 234.

Revised Facility Operating License NPF-38, Paragraph 2.E would state: EOI shall fully implement and maintain in effect all provisions of the Commission-approved physical security, training and qualification, and safeguards contingency plans including amendments made pursuant to provisions of the Miscellaneous Amendments and Search Requirements revisions to 10 CFR 73.55 (51 FR 27817 and 27822) and to the authority of 10 CFR 50.90 and 10 CFR 50.54(p).

The plan, which contains Safeguards Information protected under 10 CFR 73.21, is entitled: "PhYSical Security, Safeguards Contingency and Training & Qualification Plan," and was submitted on October 4,2004. EOI shall fully implement and maintain in effect all provisions of the approved cyber security plan (CSP), including changes made pursuant to the authority of 10 CFR 50.90 and 10 CFR 50.54(p).

The EOI CSP was approved by License Amendment No. 234 and supplemented by a change approved by Amendment No. 239. 3.4 NRC Staff Evaluation The intent of the cyber security implementation schedule was for licensees to demonstrate ongoing implementation of their cyber security program prior to full implementation, which is set for the date specified in Milestone

1. 8. In addition to Milestone

1. 6 and its associated activities, licensees will be completing six other milestones (Milestones

1. 1 through #5 and Milestone

1. 7) by December 31, 2012. Activities include establishing a Cyber Security Assessment Team, identifying critical systems and CDAs, installing deterministic one-way devices between defensive levels, implementing access control for portable and mobile devices, implementing methods to observe and identify obvious cyber-related tampering, and conducting ongoing monitoring and assessment activities for target set CDAs. In the aggregate, the interim milestones demonstrate ongoing implementation of the cyber security program at Waterford

3. The NRC staff has reviewed the licensee's evaluation of the proposed change in its submittal dated June 28,2012, and concludes that by completing Milestones

1. 1 through #5, Milestone

1. 6 with implementation of technical controls to target set CDAs, and Milestone

1. 7, Waterford 3 will have an acceptable level of cyber security protection until full program implementation is achieved.

Technical cyber security controls include access controls, audit and accountability, CDA and communications protection, identification and authentication, and system hardening.

These controls are executed by computer systems, as opposed to people, and consist of hardware and software controls that provide automated protection to a system or application.

Implementation of technical cyber security controls promotes standardization, trust, interoperability, connectivity, automation, and increased efficiency.

For these reasons, the NRC staff concludes that the licensee's approach is acceptable.

The NRC staff also recognizes that full implementation of operational and management cyber security controls in accordance with requirements of the Waterford 3, CSP will be achieved with full implementation of the Waterford 3 cyber security program by the date set in Milestone

1. 8. That is, all required elements for the operational and management cyber security controls in

-accordance with the Waterford 3 CSP will be implemented in their entirety at the time of full implementation of the CSP. The licensee made a regulatory commitment in its application dated June 28,2012. However, the NRC staff does not regard the CSP milestone implementation dates as regulatory commitments that can be changed unilaterally by the licensee, particularly in light of the regulatory requirement at 10 CFR 73.54, that "[i]mplementation of the licensee's cyber security program must be consistent with the approved schedule." As the NRC staff explained in its letter to all operating reactor licensees dated May 9,2011 (ADAMS Accession No. Ml110980538), the implementation of the plan, including the key intermediate milestone dates and the full implementation date shall be in accordance with the implementation schedule submitted by the licensee and approved by the NRC. All subsequent changes to the NRC-approved CSP implementation schedule, thus, will require prior NRC approval pursuantto 10 CFR 50.90. 3.5 Summarv Based on its review of the licensee's submission, the NRC staff concludes that the proposed changes to Milestone

1. 6 of the licensee's CSP implementation schedule are acceptable.

The NRC staff also concludes that, upon full implementation of the licensee's cyber security program, the requirements of the licensee's CSP and 10 CFR 73.54 will be met. Therefore, the NRC staff concludes that the proposed changes are acceptable.

4.0 REGULATORY COMMITMENT In its letter dated June 28, 2012, Entergy made the following regulatory commitment:

Entergy will implement Milestones 1,2,3,4,5, and 7 described in Attachment 4 of letter dated April 4, 2011 (W3F1-2011-0021), and the revised Milestone 6 in Attachment 4 of this submittal.

5.0 STATE CONSULTATION

In accordance with the Commission's regulations, the louisiana State official was notified of the proposed issuance of the amendment.

The State official had no comments.

6.0 ENVIRONMENTAL CONSIDERATION This amendment relates solely to safeguards matters and does not involve any significant construction impacts. The Commission has previously issued a proposed finding that the amendment involves no significant hazards consideration, and there has been no public comment on such finding published in the Federal Register on October 9,2012 (77 FR 61437). Accordingly, the amendment meets the eligibility criteria for categorical exclusion set forth in 10 CFR 51.22(c)(12).

Pursuant to 10 CFR 51.22(b), no environmental impact statement or environmental assessment need be prepared in connection with the issuance of the amendment.

7.0 CONCLUSION

The NRC staff has concluded, based on the considerations discussed above, that: (1) there is reasonable assurance that the health and safety of the public will not be endangered by operation in the proposed manner, (2) there is reasonable assurance that such activities will be conducted in compliance with the Commission's regulations, and (3) the issuance of the amendment will not be inimical to the common defense and security or to the health and safety of the public. Principal Contributors:

T. Harris, M. Coflin Date: December 20,2012 December 20, 2012 Vice President, Operations Entergy Operations, Inc. Waterford Steam Electric Station, Unit 3 17265 River Road Killona, LA 70057-3093 WATERFORD STEAM ELECTRIC STATION, UNIT 3 -ISSUANCE OF AMENDMENT RE: CYBER SECURITY PLAN IMPLEMENTATION SCHEDULE MILESTONE 6 (TAC NO. ME8998)

Dear Sir or Madam:

The Commission has issued the enclosed Amendment No. 239 to Facility Operating License No. NPF-38 for the Waterford Steam Electric Station, Unit 3 (Waterford 3). This amendment consists of changes to the facility operating license in response to your application dated June 28, 2012. The amendment revises the scope of Cyber Security Plan (CSP) Implementation Schedule Milestone

1. 6 and paragraph 2.E of the facility operating license. The amendment modifies the scope of Milestone

1. 6 to apply to the technical cyber security controls only. The operational and management controls, as described in Nuclear Energy Institute (NEI) 08-09, Revision 6, would be implemented concurrent with the full implementation of the cyber security program (Milestone

1. 8). Thus, all CSP activities would be fully implemented by the completion date, currently identified in Milestone

1. 8 of the licensee's CSP implementation schedule.

A copy of our related Safety Evaluation is also enclosed.

The Notice of Issuance will be included in the Commission's next biweekly Federal Register notice. Sincerely, IRA! N. Kalyanam, Project Manager Plant Licensing Branch IV Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation Docket No. 50-382

Enclosures:

1. Amendment No. 239 to NPF-38 2. Safety Evaluation cc w/encls: Distribution via Listserv DISTRIBUTION:

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