AECM-85-0197, Forwards Evidence That South Mississippi Electric Power Assoc Can Generate Cash Flow Which Would Be Available to Pay Remaining 10% of Deferred Premium.Narrative Statement & Statement of Source of Funds for 1984-1986 Encl

Forwards Evidence That South Mississippi Electric Power Assoc Can Generate Cash Flow Which Would Be Available to Pay Remaining 10% of Deferred Premium.Narrative Statement & Statement of Source of Funds for 1984-1986 Encl

ML20128E494
Person / Time
Site:	Grand Gulf
Issue date:	07/01/1985
From:	Dale L MISSISSIPPI POWER & LIGHT CO.
To:	Harold Denton Office of Nuclear Reactor Regulation
References
AECM-85-0197, AECM-85-197, NUDOCS 8507050354
Download: ML20128E494 (5)

Text

F o 6 MISSISSIPPI POWER & LIGHT COMPANY Helping Build Mississippi EumMhMMdB P. O. B O X 184 0, J A C K S O N, MIS SIS SIP PI 39215-1640 July 1, 1985 NUCLEAR LICEN$ LNG & $AFETY DEPARTMENT U. S. Nuclear Regulatory Commission Office of Nuclear Reactor Regulation Washington, D. C. 20555 Attention: Mr. Harold R. Denton, Director

SUBJECT:

Grand Gulf Nuclear Station Units 1 and 2 Docket Nos. 50-416 and 50-417 License No. NPF-29 Ref: AECM-85/0189 File: 0260/15175 Guarantee of Deferred Premiums AECM-85/0197 Pursuant to NRC Regulation 10 CFR 140.21, On June 17, 1985, Mississippi Power & Light Company (MP&L), on behalf of itself, Middle South Energy, Inc.,

and South Mississippi Electric Power Association (SMEPA), submitted evidence that it could generate a cash flow which would be available for payment of ninety percent (90%) of the deferred premium obligation for Grand Gulf Nuclear Station, Unit 1. As anticipated in the June 17th letter, MP&L is now submitting evidence that SMEPA can generate a cash flow which would be available to pay the remaining ten percent (10%) of the deferred premium.

If you have any questiens or need additional information, please advise.

Yours truly, L. F. Dale Director PJR/JGC:vog l

Attachment cc: (See Next Page)

/ t()h a \

0507050354 850701 PDR l

I ADOCK 05000416

\ PDR Member Middle South Utilities System J0P13AECM85061802 - 1 i

+-- -

AECM-85/0197 Page 2

-cc: Mr. J.- B. Richard (w/a)

Mr. O. D. Kingsley,,Jr. (w/a)

.Mr. R. B..McGehee (w/a)

Mr. N. S.~Reynolds (w/a)~

Mr. G. B. Taylor (w/o)

Mr. R. C. Butcher (w/a)

Mr. James M. Taylor, Director (w/a)

Office of Inspection & Enforcement U. S. Nuclear-Regulatory Commission-Washington, D. C. 20555 Dr. J. Nelson Grace, Regional Administrator (w/a)

U. S. Nuclear Regulatory Commission Region II 101 Marietta St., N. W., Suite 2900 Atlanta, Georgia 30323 J0P13AECM85061802 - 2

Attachment to AECM-85/0197 NARRATIVE STATEMENT In the event of a nuclear incident, South Mississippi Electric Power Association will meet its requirements under the Price-Anderson Act by borrowing short-term under its available line of credit or using the Association's current revenue to . fund its one million dollar contingent obligation.

SOUTH MISSISSIPPI ELECTRIC POWER ASSOCIATION By: ,///4f f ,

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Title:

_ General Manager Date: (# 8d /N

/

7---

SOUTH MISSISSIPPI ELECTRIC POWER ASSOCIAT'0N STATEMENT OF SOURCE OF FUNDS FOR 1984-6 (Millions of Dollars)

ACTUAL ESTIMATED Internal Funds 1984 1985 1986 Revenue 158 188 266 Expense 155 188 259 Operating Margins 3 0 7 Non-Operating Margins .6 1 1 Total Margins 3.6 1 8 l

l

.- . t. L Percentage Ownership in'All Operating i

Nuclear Units Grand Gulf Unit 1 10.00%

Maximum Total Contingent Liability $1 million

.