In calendar year (CY) 2007, the U.S. Nuclear Regulatory Commission (NRC) undertook certain significant activities that affected the Allegation Program and related policies and that warrant discussion in this report. The agency conducted internal lessons-learned reviews regarding the handling of allegations in CY 2007 of inattentive security officers at the Peach Bottom Atomic Power Station. These reviews have resulted in recommended enhancements to the allegation process. In addition, the staff solicited the support of the Safety Conscious Work Environment (SCWE) Finding Review Group (FRG) for the first time in CY 2007. The NRC developed the SCWE FRG as part of its safety culture initiative to help the staff ensure that potential findings with Safety Conscious Work Environment crosscutting aspects are handled through the most appropriate process (i.e., through either the Reactor Oversight Process (ROP) or the Allegation Program). In addition, the allegation staff continues to implement the agency-sponsored alternative dispute resolution (Early ADR) process for discrimination allegations. Twenty percent of the discrimination cases offered Early ADR reached settlement in CY 2007. Lastly, allegation statistics were added for a number of new reactor and material facility sites to those already publicly available on the agency's web site. These areas are discussed in more detail.