RECEIVED TDH- JUN 26 2001 BUREAU OF RADIATION CONTROL

June 15, 2001

Mr. Thomas H. Essig
Chief, Environmental and Performance Assessment Branch
Division of Waste Management
Office of Nuclear Material Safety and Safeguards
Nuclear Regulatory Commission
Washington, DC 20555-0001

Dear Mr. Essig:

In response to your letter of May 8, 2001 you will find attached a draft procedure that memorializes the commitments previously made and responds to the new issues that you have identified. This should allow the final processing of our requested exemption from 10 CFR Part 70 for possessing special nuclear material in quantities greater than those specified in 10 CFR Part 150.

We have provided the Texas Health Department Bureau of Radiation Control with a copy of this letter, including all attachments, to keep them informed of our progress on this issue.

You may contact me at 717-540-5220 if you have questions or require additional information to process this request.

Sincerely,
[signed]
William P. Dornsife
Vice President-Nuclear Affairs


cc: Richard Ratliff, Chief, Bureau of Radiation Control, Texas Health Dept.