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UNITED STATESNUCLEAR REGULATORY COMMISSIONREGION IV612 EAST LAMAR BLVD, SUITE 400ARLINGTON, TEXAS 16011·4125June 28, 2011Mr. John T. Herron, President andChief Executive Officer, Nuclear OperationsEntergy Operations, Inc.P.O. Box 31995Jackson, MS 65251-1995SUBJECT:SUMMARY OF MEETING WITH ENTERGY OPERATIONS, INC.Dear Mr. Herron:On June 20, 2011, representatives of Entergy Operations, Inc. met with NRC personnel atNRC's Region IV offices to discuss the implementation of the quality oversight and verificationprograms at Entergy sites including actions being taken to enhance effectiveness. The list ofattendees and a copy of Entergy's presentation are included as Enclosures 1 and 2respectively.In accordance with 10 CFR 2.390 of the NRC's "Rules of Practice," a copy of this letter and itsenclosures will be available electronically for public inspection in the NRC's Public DocumentRoom or from the Publicly Available Records (PARS) component of the NRC's AgencywideDocuments Access and Management System (ADAMS). ADAMS is accessible from the NRCweb site at(The Public Electronic Reading Room).Sincerely, i :'ringBranch 2Division of Reactor SafetyEnclosures:1. Attendance List2. Entergy's Presentation Slides

J.cc:HerronDistribution via Listserv for:-2-Arkansas Nuclear OneGrand Gulf Nuclear StationIndian Point Nuclear Generating Station, U2&3James A. FitzPatrickPalisades Nuclear Power PlantPilgrim Nuclear Power PlantRiver Bend StationVermont Yankee Nuclear Power StationWaterford Steam Electric Station

SIGN-IN SHEETU.S. NRCJune 20, 2011MEETING WITH ENTERGY OPERATIONS INC.NAMEORGANIZATIONElmo CollinsNRC Region IVTonyVegelNRC Region IVKriss KennedLNRC Region IVNeil O'KeefeNRC Region IVGadd NRC Region IVTom Farnholtz:NRC Region IVRay KellarNRC Region IVRobert LattaNRC Region IVMel GrayNRC Region IPaul PrescottNRC/NRRJack GiesnerNRC Region IIIDonna Jacob:;EOIJohn McCannEOIVincentTommyTankersle EOIJohn DentEOIBryan FordEOIJerry RobertsEOIClay TurnbollNew England CoalitionEnclosure 1

SIGN-IN SHEETU.S. NRCJune 20, 2011MEETING WITH ENTERGY OPERATIONS INC.NAMEORGANIZATIONKerry RhoadesDominionMark MalchickFirst Entergy-------------------------Thomas SapooritoMike HayseEXCELONCharly DonaldsonNew York AttorneyDavidBlakE Jrerry Youn Deborah MercadoRiver KeeperRaym ShadasNew England CoalitionWhitney Snip,esCourier - Russellville, AR.John KramerDwaineGosh -----Roy BarKerCooper Nuclear Station-2Enclosure 1

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J( cobs E::ntergy Nuclear OrganizationDonna (,overnance and OversightJohn Derlt F'leet ProceduresJohn Derlt (:)versight OrganizationTom Tclnkersley (:llJality Control ProgramDonna J:Elcobs2Enclosure 2

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EntergyJ""StteVP -lPEC6QbSrrt-Vl.!ll'leVP,MlleC"",",US \lP"\t'fTuesday, May 31, 2011Enclosure 21 .1l"14

The Building iesGovernanceOrganization Structure6Enclosure 2

Objective: Created a framewc rk thatestablished single point accolJntability tOIimplement standard processes Initial steps to align with indLJstry fleetsincluded:-Corporate center established in JacksonCentralized the Oversight, Engineering & Operations Support organizati()ns- Standardized site organizational structun3.- Based on industry benchmarking, adoptedENOS / GOES model7Enclosure 2

I ntergy Nuclear Operating System-(l r OS)Describes how Entergy NlJclear do,e )business (30ES (Governance, Oversight, Exe(;ution,c3nd Support) Matrix-Clear, single-point accountabilitiesthe organization structureb( sed 08Enclosure 2

E:nhanced, structured approach to(,overnance & Oversight:fle etwide--Clearly identified functional areas, Corporclte Functional Area Managers (CFAM's) & rohas &responsibilities of the CFAM's--Structured approach to driving standardizatic)n offunctional areas to industry leading practices &maintaining pace with industry advancemE nt--Structure developed & implemented that driveseffective oversight at the fleet, s te and functionalarea levels9Enclosure 2

P\n Entergy Nuclear Management Manual(I\lMM) procedure is a mandatc ry compliance,controlled document, that provides spec:ificdirection on details, instructions, or requirE3mentsf()r implementation of programs or procE s 5esIllade standard throughout the Entergy r\llJclearfleet.11Enclosure 2

[)raft NMM procedures are prepared by the pn: cedurec wner and submitted to the site procedure CharTlpionsfc)r review and comment Integral to the Review and Approval process,nequired to review the following:thE site is Technical review Process applicability review Licensing commitments review Cross-discipline review On-Site Safety Review Committee (OSRC) revievv when a10CFR50.59 evaluation is required Certified Level III QC review when required )itereview comments are compiled by the sitE procedure champions and are comnnunicated to theprocedure ownerEnclosure 2'12

I: rocedure owner compiles and addresses AL.L siteC0l11ments ()nce all comments have been addressed, thE siteprocedure champions perform a final review clf theprocedure !3ite procedure champions validate all reviews have beenc3dequately completed, signs completed Review andJl\pproval Form (RAF) and forwards to procedurE3champion ()nce final comments are addressed and communicatedthe site implements the procedure and associatE3dchange management'13Enclosure 2

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JSenior Vice President,Planning, Development 8.'OversiohtVice President, OversightExecutive AssistantOversight[Manager, QA - CorporateDirector, OversightE mployee ConcernsProject Manager, SRC QA Manager (9 sites)Coordinator, EmployeeConcerns (11)Sr. Admin Assistantr ------------ ( QA Senior Auditor (9 sites)JSeniOrQAAU Auditor (7) - Dual Unit Sites(5) - Single Unit SitesSupervisor, S:lier QA( QA Auditor, Supplier QA(1' '15Enclosure 2

Nuclear Oversight providesindependent monitoring of:.- Regulatory compliancel.- Performance assessment'16Enclosure 2

IKey QA programattributE S:-- Systematic audits.- Performance against industrystandards- Rotational Assessors. Qualified Audit Team L.eaders-- Technical Specialists'17Enclosure 2

"rhe Safety Review Committee provides tI1 eNO""ith an independent review of rluclear slafetyand activities that potentially impact nucle,arsafety T'he Employee Concerns Progran1 provildE S airldependent channel for raisin J and adctrE ssingemployee concerns.18Enclosure 2

ClA Audit Program-Conducts internal audits of safety related,regulatory-based, and QU4ality ASSlJrc:lnCeprogram applicable activities.- Evaluates performance of organiz8ltic)nsand programs against indlJstry starldards ofexcellence19Enclosure 2

Jl\udit Process.- Fleet audit scheduling- Performance Assign fleet audit sponsor Review Master Audit Plan (MAP) Perform Fleet Vulnerability review-Develop common fleet checklistPerform field workFleet challenge callAudit Exit and Issue Report20Enclosure 2

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Independent Investigation TealmIndependentLead-[?viewadJIISr ManagerLicensingFleet managerMaintenanceIIIICorporate QAManagerANSI Level IIIExpertisEChief EngineerBWRs)---Ir-Site ECPCoordinators (10)ICorp EngineeringTeamANSI Level lis (2)"'(Site QA Support.)J"'-Enclosure 2

Response T ealTlResponse TeamLead - SVP, Independent Oversight[prOgr8 M lager Operationsupport--1J[,Fleet managerMaintenance-Site/ICorporateQA (9 sites)Sr Managerlicensing,---.,Engineering - VP1ANSI Level II/Ills(9 sites) I lfaluationIs:ue]Team - SVP - [ GeneralOversight and Monitoring -VPEngineeringTeam (9 sites)ANSI Level IIIExpertise23Enclosure 2

Root Cause AnalysisProblE m StatE nlents Quality Control.- QC required inspections of construction like!activities for safety related design changE vvorkorders were not performed per the requirE3ITlents ofthe Quality Assurance Prograrrl Manual ((:lj\PM). Quality Assurance Aspects- QA did not recognize deficienciies in the (:lC:inspection process in 2008 and 2009. Thesignificance of QC inspection deficiencies vvas notidentified until performance was challeng 3d by anoutside agencyEnclosure 2

Root Cause-There was no inspection program document defining theprocess, roles, and responsibilities of the new organizationalstructure with sufficient detail to sustaiin performance. Contributing Causes-The QC Inspection program's primary implementingprocedure, EN-MA-102, "Inspection Program" and a primaryinterface procedure EN-WM-105 "Planning" are not, "writtenfor the least-experienced qualified indiividual".-There is no defined Program Health ITlonitoring.ANSI Level 2 Inspectors and related discipline certificationsare limited.-- Previous condition report corrective actions were ineffective.25Enclosure 2

I e {- Corrective Actions to Prevent ReClJrrenCeDevelop, institutionalize and implement a QC Inspection Programdocument to ensure the key elements of the functional reporting structure,roles, responsibilities, and relationship interface between QA,rll1aintenance, and Work Management organizations are defined.I ey Corrective Actions for Contributing C:auses-Develop a formal process map for the QC inspection process, implement inprocedure using managed defense(s) for error intolerant process.-Revise EN-MA-102 and EN-WM-105 to meet specific standards for "leastexperienced qualified individuals".-Formalize and communicate the expectation associated with tile term"functional reporting" to the site QA and Maintenance mana ers.-Develop Inspection Program l1ealth Performance Indicator.-Perform a gap analysis to evaluate the number of disciplinequalifications currently available.-CR-HQN-201 0-00123 issued to evaluate previous condition reporteffectiveness.Enclosure 2sp 3cific26

I oot-CauseThere was insufficient detail in audit checklists/instructions to ensurethat the Maintenance audits in 2006 and 2008 reviewed the designand satisfactory implementation of the inspection prograrn. I ey Contributing Causes-The processes within Quality Assurance were not effective at lggregating low level issues and identifyin emerging patterns or fleetIssues.-Condition Reports that identified fleet inconsistencies in the QCinspection process did not evaluate prograillmatic issues and noE xtent of condition was performed.-Significant changes in Oversight staffing irnpacted the collectiveknowledge and expertise relative to the full scope of QC activities andamount of QA interaction required. Significant industry C)E pertinentto QA was not included in the training/integration of the nevvpersonnel.Enclosure 2

I ey Corrective Actions to Prevent ReCLJrrenCe-Develop detailed checklists for the Maintenance audit to provide specificdirection for auditing the area of inspection hold point assignment.-Hequire for each audit the source information for the MAP be validatedand detailed checklists developed for each attribute to be audit,ed.J ey Additional Actions-Quarterly Snapshot assessment of condition reports initiated by the QAorganization were initiated to aggregate lower level performance issues.-Multiple procedure revisions to strengthen the definitions of QA IdentifiedFindings to align the Audit Process with ANSI Standards and theCorrective Action Program.-A Training Needs Analysis was completed and reviewed by the' OversightTraining Review Group. Training fnaterial on developing detailedchecklists that ensure adequate attribute evaluation, has befen developedand implemented.28Enclosure 2

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On June 20, 2011, representatives of Entergy Operations, Inc. met with NRC personnel at NRC's Region IV offices to discuss the implementation of the quality oversight and verification . maintaining pace with industry advancemE nt -- Structure developed & implemented that drives effective oversight at the fleet, s te and functional area levels