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David R. Smith, M.D. 1100 West 49th Street MEMBERS OFTHE BOARD Austin, Texas 78756-3199. Commissioner Ruth F. Stewart, M.S., R.N.C., Chair (51 Carols. Daniels Ramiro R. Casso, M.D., Vice Chair Deputy G3 :*.m for Programs David L Collins, P.E. William A. Scott, LM.S.W.-A.C.P. Roy L Hogan Stephen L Tatum j Deputy Comnussioner for Administration Betsy Triplett-Hurt

May 1, 1995 e | * l .E.< Mr. Richard Bangart, Director 5o Office of State Programs y r Q U.S. Nuclear Regulatory Commission , ! Mail Stop 3-D-23 'W Washington, D.C. 20555-0001 fj

| Dear Mr. Bangart:

! 4 | This is in response to your letter of March 14, 1995, in which you discuss forthcoming changes ! in the U.S. Nuclear Regulatory Commission (NRC) policy regarding Agreement State funding assistance for training, travel, and technical support.' Your letter states that, effective for federal f fiscal year 1997, NRC will withdraw fm' ancial support for these activities and future assistance in these areas will be on a cost reimbursable basis.

Your letter raises fairness and equity. issues and states that NRC licensees are burdened with | providing the full funding for the services NRC provides to Agreement States through their i- license fees. You do not address the benefits NRC and its licensees derive from the Agreement | State regulatory programs. In Texas, my staff at the Texas Department of Health (TDH), | developed the prototype well logging rules now used nationally. The TDH staff developed the ! model industrial radiography rules and the only validated industrial radiography certification test in the U.S. In addition, TDH staff responds to incidents along the Texas / Mexico border involving radioactive material with_ minimal assistance from NRC. Staff at TDH have also coordinated the " Gas and Oil Well Logging Course" for NRC for over ten years with minimal financial support from NRC. The TDH spends a considerable amount of time reviewing,

; commenting, and suggesting to NRC the rules that affect all radioactive materials licenses. ! The TDH funding for radioactive materials is entirely from General Revenue. Fees collected

; by the program all go into the state's General Revenue fund. Texas is on a two year budget j cycle. The TDH's appropriations request for the 1996-97 biennium was developed and i submitted to the Legislature in 1994 and does not provide funds for these activities, i GC 0 6 C'"3 ,. ! 2d0020 | MC ME CEEffli COPY i o ' 9505250044 950501 PDR STPRQ EBOTX An equal Employment opportunity employer

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Mr. Richard Bangart Page 2

'Iherefore, I request that if NRC must discontinue the support for travel, training, and technical support it currently provides, that the date for implementation be extended to fiscal year 1998. This will allow us time to include funding for these activities in the next appropriations request to the 1997 session of the Texas Legislature. If NRC is unable to make this change in policy, it is doubtful that TDH staff will be able to participate in future training courses and NRC meetings. This could diminish Texas' overall radiation control program effectiveness for radioactive materials.

We believe that for NRC to regulate Texas' byproduct radioactive material licensees would ] create a detrimental economic impact on both the Texas licensees and NRC. The minimal l financial support provided to the states through the Agreement States program by NRC has I provided a much larger benefit to NRC and its licensees.

I support your efforts to solicit the Congress to modify the existing Omnibus Budget Reconciliation Act of 1990 (Public Law 101-508) to exclude the costs for the Agreement States j program from the NRC fee base. If this is not successful, I do urge you to reevaluate your j decision to stop this limited funding support for the Agreement States. j

If you have any questions, please contact Richard A. Ratliff, P.E., Chief, Bureau of Radiation Control at 512-834-6679.

Sincerely, | l

David R. Smith, M.D. Commissioner of Health

1 cc: Governor George W. Bush Senator ' Senator Kay Bailey Hutchitison Congressman Ralph M. Hall i Congressman ; Congressman Tom Delay i Congressman Jim Chapman |

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