L-16-024, Activities Associated with the Renewed Operating License

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Activities Associated with the Renewed Operating License
ML16081A240
Person / Time
Site: Davis Besse Cleveland Electric icon.png
Issue date: 03/21/2016
From: Boles B
FirstEnergy Nuclear Operating Co
To:
Document Control Desk, Office of Nuclear Reactor Regulation
References
L-16-024
Download: ML16081A240 (12)


Text

FENOC Ft6:c'gt ,*WsEC.rrpF 5501NorthStateRoute2 OakHarbor.Ohio43449 Brian D. Boles Vice President - Nuclear 419-321-7676 Fax: 419-321-7582 March21,2016 L-16-A24 10cFR 50.54(bb) 10cFR 50.75(0(1) 10CFR72.30(c)

ATTN:Document ControlDesk U.S.NuclearRegulatory Commission Washington, DC 20555-0001

SUBJECT:

Davis-Besse NuclearPowerStation,UnitNo. 1 Dod<etNo.50-3d6,LicenseNo.NpF-3 ActivitiesAssociabdwith the RenewedOoeratinqLicens By letterda!91Apfl24,20'14 (AccessionNo.ML'141iiA301),FirctEnergy Nuclearoperating company(FENoc) submittedthe Programfor Managementof lnadiatd-Fuel br the Davis"-

BesseNuclearPowerstation,unit No.1 (DBNps)pusuantto 'to cFR so.s4(bb).The btEr 6tatdthe programwouldbe withdravinuponreceiptof a renewedoperatingli:eirsefor DBNPS.

on December 8, 2015,the NuclearRegulabrycoirmission(NRC)iisuedienewed operating -

licensefor DBNPS.Thelefore,FENoc withdiarrcthe DBNp'sprogramfor Managemeirtof lrradiabdFuel.

The aforementioned lettercontaineda cornmitnentthat the FintEnergyNuclearGeneration,LLC ttoufddeposit$123millionintothe DBNpsdecommissioning trustfundby December 31,2o2s.

As a rcsultof fre withdrawalof the DBNps programfor Managementof InadiatedFuel,the commitment is cancelled.

1.0CFR50'75(D(1) statesthateachpowerreactorlicenseeis requiredto eport onthe stafusof decommissioning fundsbiennially.Theregulation alsostatesthattor licensees withinfiveyears of the projected endof operation,the reportis requiredannually.sincethe DBNpsoperating -

fittlf^wgs originally goingto expirein2017,FENOChasbeenreporting the stratus of the DBNPSdecommissioning fundannually.The mostrecentDBNpsdecommissioning funding statusreportwassubmittedby letterdatedMarch31,2015(Accession No.ML15090M47).-AS a resukof the issuanceof the renerived DBNpsoperatinglicense,FENoc will recommenge reportingon the statusof decommissioning fundsbiennially,whichwillbe submitbdin 2017.

Davis-Besse NuclearPowerStation, UnitNo.1 L-16-024 Page2 of 2 10CFR72.30(c)statesthateachholderof a licensefor an independent spent fuelstorageinstallation (lSFSl)is required to submitan ISFSIdecommissioning fundingplanat thetimeof licenserenewalandat intervals notto exceedthree years.FENOCsubmitted a triennialISFSIdecommissioning fundingplanfor DBNPSby letterdatedDecember 9, 2015(Accession No.ML15343A350). In thisletter,FENOCstatedthata revisedISFSIdecommissioning fundingplanfor the renewed operating licenseperiodwouldbe submitted bytheendolfirst quarter2016. FENOChada revisedDBNPSdecommissioning costanalysis, whichincludedinformation on thedecommissioning of the lSFSl,performed to accountfor licenserenewal.TherevisedISFSIdecommissioning fundingplan for the renewedDBNPSoperating licenseis attached.ThenexttrienniailSfst decommissioning fundingplanfor DBNPSwillbesubmitted in 2018to maintain alignment withthetriennialISFSIfundingplansassociated withthe otherFENOC lSFSlslocatedat BeaverValleyPowerStation,UnitNos.1 and2, and Perry NuclearPowerPlant.

Thereareno regulatory commitments containedin thisletter.lf thereareany questions, or if additionalinformation pbasecontactMr.ThomasA. Lentz, is required, Manager-FleetLicensing, at (330)315-0810.

Sincerely,

    • /s*^

BrianD, Boles

Attachment:

Decommissioning FundingPlanfor Davis-Besse NuclearPorrver Station,Unit No.1 lndependent SpentFuelStorageInstallation

Enclosure:

Davis-Besse NuclearPowerStationlSFSl,10cFR T2.30ISFSI Decommissioning CostEstimateFollowing 60 Yearsof Operation cc: NRCRegionlllAdministrator NRCResidentInspector NRCProjectManager UtilityRadiological SafetyBoard

Attachment L-16-024 Decommissioning Funding Planfor Davis-Besse NuclearPowerStation,UnitNo.1 Independent SpentFuelStorageInstallation Page1 of 3 Pursuant to 10 CFR72.30(c), eachlicensee of an independent spentfuelstorage (lSFSl)is required installation to submita decommissioning funding planforthe ISFSI uponlicenserenewalandtriennially. FirstEnergy NuclearOperating Company (FENOC)herebyprovides the updateddecommissioning funding plan forthe Davis-BesseNuclearPowerStation,UnitNo.1 (DBNPS)ISFSIwithrespectto license renewal.

1. Informationon how reasonableassurancewill be providedthat funds will be availableto decommissionthe ISFSI:

The responseto number4 belowdiscusses the appropriate methodof financial assurance contemplated under10 CFR72.30(e).

2. A detailedcost estimatefor decommissioning:

fn a reportdatedMarch2,2016,TLGServices, Inc.provided the DBNPSISFSI decommissioning costestimatefor the licenserenewal period to FENOC.This reportis enclosed.The reportrevisesthe decommissioning costestimate includedin the ISFSIdecommissioning fundingplansubmitted to the NRCby FENOCletterdatedDecember 9, 2015(Accession No.ML15343A350). The revisedcostestimate,likethe previouscostestimate,assumesthatan independent contractor willperformthe decommissioning activities and includes the costof meeting10 CFR20.1402forlicensetermination for unrestricted use.

The revisedestimateassumesa contingency factorof 25o/o.Thetotal decommissioning costwithcontingency is $5,493,000 (2014dollars).

Belowis the effectof the followingon the detailedcostestimatesincethe previousreport:

1. Spillsof radioactivematerialproducing additional residualradioactivityin onsitesubsurface material:None
2. Facilitymodifications. None
3. Changesin authorized possession limits:None
4. Actualremediation coststhatexceedthe previouscostestimate:None

Attachment L-16-024 Page2 of 3

3. ldentificationof and justificationfor using the key assumptionscontained in the decommissioning cost estimate:

Thekeyassumptions andjustificationsarecontained in theenclosedISFSI decommissioning costestimate.

4. A descriptionof the methodof assuringfunds for decommissioningfrom 10 CFR72.30(e),includingmeansfor adjustingcost estimatesand associatedfunding levelsperiodicallyover the life of the facility:

Financial assurance in theamountof $6,000,000 forthedecommissioning of the DBNPSISFSIis provided througha parentguarantee totaling$20.5million (Accession No.ML15181A323) thatsupportthe lSFSlslocatedat BeaverValley PowerStation,DBNPS,and PerryNuclearPowerPlant.Theguarantee willbe payableto theexistingnucleardecommissioning trustfunds established for DBNPSpursuant to the nucleardecommissioning mastertrustagreements. The guarantees willprovidefor the ISFSIdecommissioning amountsto be deposited intoa separatesubaccount to be maintained by the Trustee.

10 CFR30,AppendixA, "CriteriaRelatingto Useof Financial Testsand Parent CompanyGuarantees for ProvidingReasonable Assurance of Fundsfor Decommissioning," provides guidance for establishing parentguarantees to provideassurance for decommissioning funding.Thetestincludesthe current costestimatefor decommissioning andthe amountto be guaranteed.The regulation requiresthe testto be performed annually.The performance of the test,withthe currentdecommissioning costestimate, provides information such thatthevaluesof the parentguarantees canbe adjustedto ensurethatadequate fundingwillbe available to decommission the lSFSl.

5. The volumeof onsitesubsurfacematerialcontainingresidualradioactivity that will requireremediationto meetthe criteriafor licensetermination:

DBNPSusestheTransnuclear NUHOMSsystemfor spentfuelstorage.The NUHOMSsystemhasbeendesignedto be a no effluentsystem.As a result, FENOCassumesthe volumeof onsitesubsurface materialcontaining residual radioactivitythatwillrequireremediation to meetthe criteriafor license termination to be zero.

Attachment L-16-024 Page3 of 3

6. A certificationthat financialassurancefor decommissioning has been provided in the amountof the cost estimate for decommissioning:

Thesubmission withthe parentguarantee of thisreportin conjunction totaling$20.5million(Accession No.ML15181A323) servesas certification thatfinancialassurance hasbeenprovidedin the amountof the costestimate for ISFSIdecommissioning.

Enclosure L-16-024 NuclearPowerStationlSFSl,10 CFR72.30ISFSI Davis-Besse Decommissioning 60 Yearsof Operation CostEstimateFollowing (SixPagesFollow)

FirstEnergy Corp. F07-1698-1600I ; Attachment I Davis-BesseNuclear Power Station /SflSI Page 1 of 6 10 CFR 72.30ISFSIDecommissioning CostEstimate Following 60 Years of Operation

1. Backgroundand Infroduction The NuclearRegulatoryCommission(NRC) issuedits final rule on Decommissioning Planningon June17,201l,lrl with the rule becomingeffectiveon December17,2012.

Subpart72.30,"Financialassurance and recordkeepingfor decommissioniilB," requires that eachholderof, or applicantfor, a licenseunderthis part must submit NRC review for and approvala decommissioning fundingplan that containsinformationon how reasonableassurance will be providedthat fundswill be availableto decommissionthe Independent SpentFuel StorageInstallation(ISFSI).

In accordance with the rule, this letterprovidesa detailedcostestimatefor decommissioning the ISFSIat Davis-Besse NuclearPowerStation(Davis-Besse) in an amountreflecting:

l. The work is performedby an independentcontractor;
2. An adequatecontingencyfactor;and
3. Releaseof the facility and dry storagesystemsfor unrestricteduse,as specifiedin 10 CFR Part20.1402 This lefferalsoprovides:
l. Identificationof the key assumptions containedin the costestimate;and
2. The volumeof onsitesubsurfacematerialcontainingresidualradioactivity,if any, that will requireremediationto meetthe criteriafor licensetermination.

SpentFuel ManagementStrategy The original operatinglicensefor Davis-Bessewas issuedon April 22, 1977. The applicationfor licenserenewalwas approvedby the NRC on 8 December2015,with a new licenseexpirationdateof April 22,2037. Currently,2,252spentfuel assembliesare projectedto be dischargedover the operatinglife of the unit. If the Departmentof Energy (DOE) is ableto initiateacceptance of commercialspentfuel in 2025,the first spentfuel assemblies from Davis-Besseareprojectedto be shippedby 2A30.For the purposeof this analysis;821 assemblies areprojectedto be shippeddirectly from the Davis-Bessespent fuel pool to the DOE over the years2030through2043.The balanceof 1,43I assemblies would be placedin dry storageat an on-siteISFSI.This ISFSI would continueto operate (underaPart 50 GeneralLicensein accordance with 10 CFR 72 SubpartK) until the U.S. Codeof FederalRegulations,Title 10,Parts20,30,40, 50, 70 andT2 "DecommissioningPlanning,"

NuclearRegulatoryCommission,FederalRegisterVolume 76, Number ll7 (p 35512et seq.),June 17,2011.

TLG Services,Inc.

FirstEnergy Corp. F07-1698-16001; Attachment I Davis-BesseNuclear Power Station I,SESI Page 2 of 6 transferof spentfuel to the DOE is completed.At that time, the ISFSI could be decommissioned.

Completionof the ISFSIdecommissioning processis dependent uponthe DOE's ability to removespentfuel from the site.DOE's repositoryprogramassumesthat spentfuel allocationswill be acceptedfor disposalfrom the nation'scommercialnuclearplants, with limited exceptions,in the order(the "queue")in which it was dischargedfrom the reactor.[2]FirstEnergyCorp.currentspentfuel management plan for the Davis-Besse spentfuel is basedin generalupon completionof spentfuel receiptby no laterthanthe year 2066.

3. ISFSI DecommissioningStrategy At the conclusionof the spentfuel transferprocessthe ISFSI canbe decommissioned by removingand disposingof residualradioactivityandverifuing that remainingmaterials satisff NRC releasecriteria.

For purposesof providing an estimatefor a fundingplan, financialassurance is expected to be providedon the basisof a prompt ISFSI decommissioning scenario. In this estimate the ISFSI decommissioning is consideredan independent project,regardlessof the decommissioning alternativeidentifiedfor the nuclearpowerplant.

4. ISFSI Description The dry fuel storagesystemconsistsof a Transnuclear NUHOMS multi-purpose(storage andtransport)dry shieldedstoragecanister(DSC) and ahorizontalstoragemodule (HSM). The Davis-BesseISFSI expectsto usethreedifferentversionsof the system.

Therearethreemodulescurrentlyon the ISFSI pad with 24-assemblycapacityDSCs.A scheduled2017 campaignwill load four 32-assemblycapacityDSCs.All subsequent spentfuel DSC loadingsareplannedusinga 37-fuelassemblycapacityDSC. The DSCs areassumedto be transferreddirectly to the DOE andnot retumedto the station.Someof the remainingHSMs areassumedto haveresidualradioactivitydueto someminor level of neutron-induced activationas a resultof the long-termstorageof the spentfuel. The costto disposeof residualradioactivity,andveriff that the remainingfacility and surroundingenvironsmeetthe NRC's radiologicallimits established for unrestricteduse, form the basisof the ISFSI decommissioning estimate.

In additionto the spentfuel moduleslocatedon the ISFSIpad after shutdowntheremay be additionalHSMs usedfor Greater-than-Class-C (GTCC) storage.The HSMs usedto storethe GTCC canisters(estimatedquantityof 4) arenot expectedto haveany interior 2 U.S. Codeof FederalRegulations,Title 10, Part 961.11,Article IV - Responsibilitiesof the Parties,B. DOE Responsibilities,5.(a)". . . DOE shall issuean annualacceptance priority rankingfor receiptof SNF and/or HLW at the DOE repository.This priority ranking shall be basedon the ageof SNF andlor HLW as calculated from the dateof dischargeof suchmaterialsfrom the civilian nuclearpower reactor.The oldest fuel or waste will havethe highestpriority for acceptance, exceptas ..."

TLG Services,Inc.

FirstEnergy Corp. F07-1698-1600I ; Attachment I Davis-BesseNuclear Power Station IS'RS/ Page 3 of 6 contaminationor residualactivationandcanbe reusedor disposedof by conventional meansafter a final statussurvey.

Table I providesthe significantquantitiesandphysicaldimensionsusedasthe basisin developingthe ISFSIdecommissioning estimate.

5. Key Assumptions/ Estimating Approach The decommissioning estimateis basedon the configurationof the ISFSI at the cessation of plant operations(operatinguntil 2037),andthe assumptions associated with DOE's spentfuel acceptance, aspreviouslydescribed.

The nominal sizeof the ISFSI pad to storethe projectedamountof spentfuel is expected to be approximately88 feet in width, and344feet in length.

To supportan applicationfor LicenseTermination,the estimateassumesthat a Final StatusSurveywill be performed;this will includea 100%surveyof the concreteHSM surfaces,and a significantfractionof the ISFSI pad andthe immediateareasurrounding the pad,andthe otherISFSI structures.

It is not expectedthat the HSMs will haveany interioror exteriorradioactivesurface contamination.It is expectedthat this assumptionwould be confirmedas a resultof good radiologicalpracticeof surveyingpotentiallyimpactedareasafter eachspentfuel transfer campaign.Any neutronactivationof the steelandconcreteis expectedto be extremely small.To validatethis assumption,the estimateaccountsfor funher characterization of l0% of the HSMs; it is likely that someof this characterizationwilltakeplacewell beforethe last of the fuel is removedfrom the ISFSI in orderto establisha more definitivedecommissioning scope.

The decommissioning estimateconservativelyassumes that 5 HSMs (equivalentto the numberof HSMs to storethe final full coreoffload)will containlow levelsof neutron-inducedresidualradioactivitythat would necessitate remediationat the time of decommissioning. For purposesof this estimate,theseHSMs aredesignatedfor controlleddisposalas low-level radioactivewaste.

It is not expectedthat therewill be any residualcontaminationleft on the concreteISFSI pad oncethe HSMs areremoved,the transfercaskandtransporter,or otherfacilitiesat the Davis-BesseISFSI. It is expectedthat theseassumptions would be confirmedasa resultof goodradiologicalpracticeof surveyingpotentiallyimpactedareasafter each spentfuel transfercampaign.As such,only verificationsurveysare includedfor the other facilitiesin the decommissioning estimate.

A review of drawingandpicturestakenduringthe pad constructionidentifiedno piping runningunderthe pad. A duct bank going East-Westunderthe pad canbe identified.

The areaof the pad plus five feet on eachsidewas excavateddown to undisturbedsoil TLG Services,Inc.

FirstEnergy Corp. F07-1 698-1600I ; AttachmentI Davis-BesseNuclear Power Station ISfiSI Page 4 of 6 andthenrefilled with an engineeredbackfill prior to pouringthe pad. At this time there is no reasonto believethe soil underthe padhasbeencontaminated. As such,the decommissioning estimateassumesthat no soil remediationis requiredt3l,to meetthe unrestricted usecriteriaof 10 CFR 20.1402.

Decommissioningis assumedto be performedby an independentcontractor.As such, essentiallyall labor,equipment,andmaterialcostsarebasedon nationalaverages,i.e.,

costsfrom nationalpublicationssuchasR.S.Means'Building Construction CostData (adjustedfor regionalvariations),and laboratoryservicecostsarebasedon vendorprice lists.Thosecraft laborpositionsareexpectedto be providedlocally. FirstEnergyCo.p.,

as licensee,will overseethe siteactivities;the estimateincludesFirstEnergyCorp.labor and overheadcosts.

Low-level radioactivewastepackagingandtransportcostsarebasedon industry data.

Disposalcostsarebasedon FirstEnergyCo.p. existingcontracteddisposalrates.

Costsarereportedin 2014dollars.

Contingencyhasbeenaddedatan overallrate of 25%.This is consistentwith the contingencyevaluationcriteriareferencedby the NRC in NUREG-1757.141 The estimateis limited to costsnecessary to terminatethe ISFSI'sNRC licenseandmeet the $20.1402criteriafor unrestricteduse.Dispositionof releasedmaterialand structures is outsidethe scopeof the estimate.

6. Cost Estimate The estimatedcostto decommissionthe ISFSI andreleasethe facility for unrestricteduse is providedin Table2.The costhasbeen organizedinto threephases,including:

An initial planningphase- emptyHSMs arecharacterized andthe specificationsand work proceduresfor the decontamination (heatshieldsand rails) developed.

The remediationphase- residualradioactivityis removed,packagedin certifiedwaste containers,transportedto the low-levelwastesite,and disposedof as low-levelwaste.

The final phase- licenseterminationsurveys,independentsurveysarecompleted,and an applicationfor licenseterminationsubmitted.

In additionto the direct costsassociated with a contractorprovidingthe decommissioning services,the estimatealsocontainscostsfor the NRC (andNRC contractor),FirstEnergy Corp's oversightstaff, site security(industrial),and othersite operatingcosts.

For estimatingpurposesit shouldbe conservativelyassumedthat all expenditures will be incurredin the year 2067,the year following the last of the spentfuel removal.

Email Matt Minniti to FrancisSeymore,February25,2015.

"ConsolidatedDecommissioningGuidance,FinancialAssurance,Recordkeeping,andTimeliness,"IJ.S.

NUREG-1757,Volume NuclearRegulatoryCommission'sOffice of NuclearMaterial Safetyand Safeguards,

3. Revisionl. Februaw 2012.

TLG Services,Inc.

FirstEnergt Corp. F07-1698-16001; AttachmentI Davis-BesseNuclear Power Station ISFSI Poge 5 of 6 Table I Significant Quantities and Physical Dimensions ISFSI Pad Residual Item l,ensth (ft) width (ft) Radioactivity ISFSI Pad (dimensions are for current nad) 229 88 No ISFSI Pad Expansion (dimensions are for expansion) 115 88 No ISFSI Horizontal Storage Modules Item Value Notes (all dimensions are nominal)

Overall Lensth (inches) 248 HSM dimensions based upon Overall Width (inches) 116 Transnuclear HSM-H desien Overall Heieht (inches) 222 Quantitv (total) 45 41 spent fuel + 4 GTCC Quantity (with residual radioactivity) D Equivalent to the number of HSMs needed to store the last core offload from Davis-Besse Total Surface Area of HSM interior with Residual Radioactivitv (square feet) 3.750 low-Level Radioact ve Waste (cubic feet) 11.356 Low-Level Radioact ve Waste (packaseddensitv) IDD Most weieht shipped as concrete slabs Other Potentially Impacted Items Item Value Notes Cask Transporter 1 No residual radioactivitv ISFSI Equipment Storaee Buildine I No residual radioactivitv Number of HSMs used for GTCC storaee 4 No residual radioactivitv TLG Semices,Inc.

FirstEnergt Corp. F07-1698-16001; Afrachment1 Davis-BesseNuclear Power Stafion ISFSI Page 6 of 6 Table 2 ISFSI Decomrnissioning Costsl and Waste Volumes (Thousands. 2014 dollars) Person-Hours Waste Volume Oversight and Decon Removal Packasine TransDort Disoosal Other Total (fr.3\ Craft Contractor Decommissioning Contrastor Planning (characterization, specs and nrocedures) r86 186 t.o24 Remediation (activated HSMs) 2t7 3 516 I r42 563 2.44r 11,356 1.880 License Termination (radiolocical surveys) 805 805 6.434 Subtotal 2r7 3 616 t.t42 1.664 3.432 11.366 8.313 L,024 Supportins Costs NRC and NRC Contractor Fees and Costs 384 384 776 Insurance 65 65 Pronertv taxes 62 62 CorporateA&G 44 44 Security (industrial) 148 148 5,013 FirstEnergy Corp.

Oversieht Staff 259 259 3,803 Subtotal 962 962 9,692 Total (w/o contingency) 217 3 616 t,142 2,6t6 4.396 r1.366 8.313 10.616 T otal (w 1260/ocontinpencv) 6.493 Note 1: For funding planning purposes decommissioningcosts can be assumed to be incurred in year 2067 TLG Semices,Inc.

FENOC Ft6:c'gt ,*WsEC.rrpF 5501NorthStateRoute2 OakHarbor.Ohio43449 Brian D. Boles Vice President - Nuclear 419-321-7676 Fax: 419-321-7582 March21,2016 L-16-A24 10cFR 50.54(bb) 10cFR 50.75(0(1) 10CFR72.30(c)

ATTN:Document ControlDesk U.S.NuclearRegulatory Commission Washington, DC 20555-0001

SUBJECT:

Davis-Besse NuclearPowerStation,UnitNo. 1 Dod<etNo.50-3d6,LicenseNo.NpF-3 ActivitiesAssociabdwith the RenewedOoeratinqLicens By letterda!91Apfl24,20'14 (AccessionNo.ML'141iiA301),FirctEnergy Nuclearoperating company(FENoc) submittedthe Programfor Managementof lnadiatd-Fuel br the Davis"-

BesseNuclearPowerstation,unit No.1 (DBNps)pusuantto 'to cFR so.s4(bb).The btEr 6tatdthe programwouldbe withdravinuponreceiptof a renewedoperatingli:eirsefor DBNPS.

on December 8, 2015,the NuclearRegulabrycoirmission(NRC)iisuedienewed operating -

licensefor DBNPS.Thelefore,FENoc withdiarrcthe DBNp'sprogramfor Managemeirtof lrradiabdFuel.

The aforementioned lettercontaineda cornmitnentthat the FintEnergyNuclearGeneration,LLC ttoufddeposit$123millionintothe DBNpsdecommissioning trustfundby December 31,2o2s.

As a rcsultof fre withdrawalof the DBNps programfor Managementof InadiatedFuel,the commitment is cancelled.

1.0CFR50'75(D(1) statesthateachpowerreactorlicenseeis requiredto eport onthe stafusof decommissioning fundsbiennially.Theregulation alsostatesthattor licensees withinfiveyears of the projected endof operation,the reportis requiredannually.sincethe DBNpsoperating -

fittlf^wgs originally goingto expirein2017,FENOChasbeenreporting the stratus of the DBNPSdecommissioning fundannually.The mostrecentDBNpsdecommissioning funding statusreportwassubmittedby letterdatedMarch31,2015(Accession No.ML15090M47).-AS a resukof the issuanceof the renerived DBNpsoperatinglicense,FENoc will recommenge reportingon the statusof decommissioning fundsbiennially,whichwillbe submitbdin 2017.

Davis-Besse NuclearPowerStation, UnitNo.1 L-16-024 Page2 of 2 10CFR72.30(c)statesthateachholderof a licensefor an independent spent fuelstorageinstallation (lSFSl)is required to submitan ISFSIdecommissioning fundingplanat thetimeof licenserenewalandat intervals notto exceedthree years.FENOCsubmitted a triennialISFSIdecommissioning fundingplanfor DBNPSby letterdatedDecember 9, 2015(Accession No.ML15343A350). In thisletter,FENOCstatedthata revisedISFSIdecommissioning fundingplanfor the renewed operating licenseperiodwouldbe submitted bytheendolfirst quarter2016. FENOChada revisedDBNPSdecommissioning costanalysis, whichincludedinformation on thedecommissioning of the lSFSl,performed to accountfor licenserenewal.TherevisedISFSIdecommissioning fundingplan for the renewedDBNPSoperating licenseis attached.ThenexttrienniailSfst decommissioning fundingplanfor DBNPSwillbesubmitted in 2018to maintain alignment withthetriennialISFSIfundingplansassociated withthe otherFENOC lSFSlslocatedat BeaverValleyPowerStation,UnitNos.1 and2, and Perry NuclearPowerPlant.

Thereareno regulatory commitments containedin thisletter.lf thereareany questions, or if additionalinformation pbasecontactMr.ThomasA. Lentz, is required, Manager-FleetLicensing, at (330)315-0810.

Sincerely,

    • /s*^

BrianD, Boles

Attachment:

Decommissioning FundingPlanfor Davis-Besse NuclearPorrver Station,Unit No.1 lndependent SpentFuelStorageInstallation

Enclosure:

Davis-Besse NuclearPowerStationlSFSl,10cFR T2.30ISFSI Decommissioning CostEstimateFollowing 60 Yearsof Operation cc: NRCRegionlllAdministrator NRCResidentInspector NRCProjectManager UtilityRadiological SafetyBoard

Attachment L-16-024 Decommissioning Funding Planfor Davis-Besse NuclearPowerStation,UnitNo.1 Independent SpentFuelStorageInstallation Page1 of 3 Pursuant to 10 CFR72.30(c), eachlicensee of an independent spentfuelstorage (lSFSl)is required installation to submita decommissioning funding planforthe ISFSI uponlicenserenewalandtriennially. FirstEnergy NuclearOperating Company (FENOC)herebyprovides the updateddecommissioning funding plan forthe Davis-BesseNuclearPowerStation,UnitNo.1 (DBNPS)ISFSIwithrespectto license renewal.

1. Informationon how reasonableassurancewill be providedthat funds will be availableto decommissionthe ISFSI:

The responseto number4 belowdiscusses the appropriate methodof financial assurance contemplated under10 CFR72.30(e).

2. A detailedcost estimatefor decommissioning:

fn a reportdatedMarch2,2016,TLGServices, Inc.provided the DBNPSISFSI decommissioning costestimatefor the licenserenewal period to FENOC.This reportis enclosed.The reportrevisesthe decommissioning costestimate includedin the ISFSIdecommissioning fundingplansubmitted to the NRCby FENOCletterdatedDecember 9, 2015(Accession No.ML15343A350). The revisedcostestimate,likethe previouscostestimate,assumesthatan independent contractor willperformthe decommissioning activities and includes the costof meeting10 CFR20.1402forlicensetermination for unrestricted use.

The revisedestimateassumesa contingency factorof 25o/o.Thetotal decommissioning costwithcontingency is $5,493,000 (2014dollars).

Belowis the effectof the followingon the detailedcostestimatesincethe previousreport:

1. Spillsof radioactivematerialproducing additional residualradioactivityin onsitesubsurface material:None
2. Facilitymodifications. None
3. Changesin authorized possession limits:None
4. Actualremediation coststhatexceedthe previouscostestimate:None

Attachment L-16-024 Page2 of 3

3. ldentificationof and justificationfor using the key assumptionscontained in the decommissioning cost estimate:

Thekeyassumptions andjustificationsarecontained in theenclosedISFSI decommissioning costestimate.

4. A descriptionof the methodof assuringfunds for decommissioningfrom 10 CFR72.30(e),includingmeansfor adjustingcost estimatesand associatedfunding levelsperiodicallyover the life of the facility:

Financial assurance in theamountof $6,000,000 forthedecommissioning of the DBNPSISFSIis provided througha parentguarantee totaling$20.5million (Accession No.ML15181A323) thatsupportthe lSFSlslocatedat BeaverValley PowerStation,DBNPS,and PerryNuclearPowerPlant.Theguarantee willbe payableto theexistingnucleardecommissioning trustfunds established for DBNPSpursuant to the nucleardecommissioning mastertrustagreements. The guarantees willprovidefor the ISFSIdecommissioning amountsto be deposited intoa separatesubaccount to be maintained by the Trustee.

10 CFR30,AppendixA, "CriteriaRelatingto Useof Financial Testsand Parent CompanyGuarantees for ProvidingReasonable Assurance of Fundsfor Decommissioning," provides guidance for establishing parentguarantees to provideassurance for decommissioning funding.Thetestincludesthe current costestimatefor decommissioning andthe amountto be guaranteed.The regulation requiresthe testto be performed annually.The performance of the test,withthe currentdecommissioning costestimate, provides information such thatthevaluesof the parentguarantees canbe adjustedto ensurethatadequate fundingwillbe available to decommission the lSFSl.

5. The volumeof onsitesubsurfacematerialcontainingresidualradioactivity that will requireremediationto meetthe criteriafor licensetermination:

DBNPSusestheTransnuclear NUHOMSsystemfor spentfuelstorage.The NUHOMSsystemhasbeendesignedto be a no effluentsystem.As a result, FENOCassumesthe volumeof onsitesubsurface materialcontaining residual radioactivitythatwillrequireremediation to meetthe criteriafor license termination to be zero.

Attachment L-16-024 Page3 of 3

6. A certificationthat financialassurancefor decommissioning has been provided in the amountof the cost estimate for decommissioning:

Thesubmission withthe parentguarantee of thisreportin conjunction totaling$20.5million(Accession No.ML15181A323) servesas certification thatfinancialassurance hasbeenprovidedin the amountof the costestimate for ISFSIdecommissioning.

Enclosure L-16-024 NuclearPowerStationlSFSl,10 CFR72.30ISFSI Davis-Besse Decommissioning 60 Yearsof Operation CostEstimateFollowing (SixPagesFollow)

FirstEnergy Corp. F07-1698-1600I ; Attachment I Davis-BesseNuclear Power Station /SflSI Page 1 of 6 10 CFR 72.30ISFSIDecommissioning CostEstimate Following 60 Years of Operation

1. Backgroundand Infroduction The NuclearRegulatoryCommission(NRC) issuedits final rule on Decommissioning Planningon June17,201l,lrl with the rule becomingeffectiveon December17,2012.

Subpart72.30,"Financialassurance and recordkeepingfor decommissioniilB," requires that eachholderof, or applicantfor, a licenseunderthis part must submit NRC review for and approvala decommissioning fundingplan that containsinformationon how reasonableassurance will be providedthat fundswill be availableto decommissionthe Independent SpentFuel StorageInstallation(ISFSI).

In accordance with the rule, this letterprovidesa detailedcostestimatefor decommissioning the ISFSIat Davis-Besse NuclearPowerStation(Davis-Besse) in an amountreflecting:

l. The work is performedby an independentcontractor;
2. An adequatecontingencyfactor;and
3. Releaseof the facility and dry storagesystemsfor unrestricteduse,as specifiedin 10 CFR Part20.1402 This lefferalsoprovides:
l. Identificationof the key assumptions containedin the costestimate;and
2. The volumeof onsitesubsurfacematerialcontainingresidualradioactivity,if any, that will requireremediationto meetthe criteriafor licensetermination.

SpentFuel ManagementStrategy The original operatinglicensefor Davis-Bessewas issuedon April 22, 1977. The applicationfor licenserenewalwas approvedby the NRC on 8 December2015,with a new licenseexpirationdateof April 22,2037. Currently,2,252spentfuel assembliesare projectedto be dischargedover the operatinglife of the unit. If the Departmentof Energy (DOE) is ableto initiateacceptance of commercialspentfuel in 2025,the first spentfuel assemblies from Davis-Besseareprojectedto be shippedby 2A30.For the purposeof this analysis;821 assemblies areprojectedto be shippeddirectly from the Davis-Bessespent fuel pool to the DOE over the years2030through2043.The balanceof 1,43I assemblies would be placedin dry storageat an on-siteISFSI.This ISFSI would continueto operate (underaPart 50 GeneralLicensein accordance with 10 CFR 72 SubpartK) until the U.S. Codeof FederalRegulations,Title 10,Parts20,30,40, 50, 70 andT2 "DecommissioningPlanning,"

NuclearRegulatoryCommission,FederalRegisterVolume 76, Number ll7 (p 35512et seq.),June 17,2011.

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FirstEnergy Corp. F07-1698-16001; Attachment I Davis-BesseNuclear Power Station I,SESI Page 2 of 6 transferof spentfuel to the DOE is completed.At that time, the ISFSI could be decommissioned.

Completionof the ISFSIdecommissioning processis dependent uponthe DOE's ability to removespentfuel from the site.DOE's repositoryprogramassumesthat spentfuel allocationswill be acceptedfor disposalfrom the nation'scommercialnuclearplants, with limited exceptions,in the order(the "queue")in which it was dischargedfrom the reactor.[2]FirstEnergyCorp.currentspentfuel management plan for the Davis-Besse spentfuel is basedin generalupon completionof spentfuel receiptby no laterthanthe year 2066.

3. ISFSI DecommissioningStrategy At the conclusionof the spentfuel transferprocessthe ISFSI canbe decommissioned by removingand disposingof residualradioactivityandverifuing that remainingmaterials satisff NRC releasecriteria.

For purposesof providing an estimatefor a fundingplan, financialassurance is expected to be providedon the basisof a prompt ISFSI decommissioning scenario. In this estimate the ISFSI decommissioning is consideredan independent project,regardlessof the decommissioning alternativeidentifiedfor the nuclearpowerplant.

4. ISFSI Description The dry fuel storagesystemconsistsof a Transnuclear NUHOMS multi-purpose(storage andtransport)dry shieldedstoragecanister(DSC) and ahorizontalstoragemodule (HSM). The Davis-BesseISFSI expectsto usethreedifferentversionsof the system.

Therearethreemodulescurrentlyon the ISFSI pad with 24-assemblycapacityDSCs.A scheduled2017 campaignwill load four 32-assemblycapacityDSCs.All subsequent spentfuel DSC loadingsareplannedusinga 37-fuelassemblycapacityDSC. The DSCs areassumedto be transferreddirectly to the DOE andnot retumedto the station.Someof the remainingHSMs areassumedto haveresidualradioactivitydueto someminor level of neutron-induced activationas a resultof the long-termstorageof the spentfuel. The costto disposeof residualradioactivity,andveriff that the remainingfacility and surroundingenvironsmeetthe NRC's radiologicallimits established for unrestricteduse, form the basisof the ISFSI decommissioning estimate.

In additionto the spentfuel moduleslocatedon the ISFSIpad after shutdowntheremay be additionalHSMs usedfor Greater-than-Class-C (GTCC) storage.The HSMs usedto storethe GTCC canisters(estimatedquantityof 4) arenot expectedto haveany interior 2 U.S. Codeof FederalRegulations,Title 10, Part 961.11,Article IV - Responsibilitiesof the Parties,B. DOE Responsibilities,5.(a)". . . DOE shall issuean annualacceptance priority rankingfor receiptof SNF and/or HLW at the DOE repository.This priority ranking shall be basedon the ageof SNF andlor HLW as calculated from the dateof dischargeof suchmaterialsfrom the civilian nuclearpower reactor.The oldest fuel or waste will havethe highestpriority for acceptance, exceptas ..."

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FirstEnergy Corp. F07-1698-1600I ; Attachment I Davis-BesseNuclear Power Station IS'RS/ Page 3 of 6 contaminationor residualactivationandcanbe reusedor disposedof by conventional meansafter a final statussurvey.

Table I providesthe significantquantitiesandphysicaldimensionsusedasthe basisin developingthe ISFSIdecommissioning estimate.

5. Key Assumptions/ Estimating Approach The decommissioning estimateis basedon the configurationof the ISFSI at the cessation of plant operations(operatinguntil 2037),andthe assumptions associated with DOE's spentfuel acceptance, aspreviouslydescribed.

The nominal sizeof the ISFSI pad to storethe projectedamountof spentfuel is expected to be approximately88 feet in width, and344feet in length.

To supportan applicationfor LicenseTermination,the estimateassumesthat a Final StatusSurveywill be performed;this will includea 100%surveyof the concreteHSM surfaces,and a significantfractionof the ISFSI pad andthe immediateareasurrounding the pad,andthe otherISFSI structures.

It is not expectedthat the HSMs will haveany interioror exteriorradioactivesurface contamination.It is expectedthat this assumptionwould be confirmedas a resultof good radiologicalpracticeof surveyingpotentiallyimpactedareasafter eachspentfuel transfer campaign.Any neutronactivationof the steelandconcreteis expectedto be extremely small.To validatethis assumption,the estimateaccountsfor funher characterization of l0% of the HSMs; it is likely that someof this characterizationwilltakeplacewell beforethe last of the fuel is removedfrom the ISFSI in orderto establisha more definitivedecommissioning scope.

The decommissioning estimateconservativelyassumes that 5 HSMs (equivalentto the numberof HSMs to storethe final full coreoffload)will containlow levelsof neutron-inducedresidualradioactivitythat would necessitate remediationat the time of decommissioning. For purposesof this estimate,theseHSMs aredesignatedfor controlleddisposalas low-level radioactivewaste.

It is not expectedthat therewill be any residualcontaminationleft on the concreteISFSI pad oncethe HSMs areremoved,the transfercaskandtransporter,or otherfacilitiesat the Davis-BesseISFSI. It is expectedthat theseassumptions would be confirmedasa resultof goodradiologicalpracticeof surveyingpotentiallyimpactedareasafter each spentfuel transfercampaign.As such,only verificationsurveysare includedfor the other facilitiesin the decommissioning estimate.

A review of drawingandpicturestakenduringthe pad constructionidentifiedno piping runningunderthe pad. A duct bank going East-Westunderthe pad canbe identified.

The areaof the pad plus five feet on eachsidewas excavateddown to undisturbedsoil TLG Services,Inc.

FirstEnergy Corp. F07-1 698-1600I ; AttachmentI Davis-BesseNuclear Power Station ISfiSI Page 4 of 6 andthenrefilled with an engineeredbackfill prior to pouringthe pad. At this time there is no reasonto believethe soil underthe padhasbeencontaminated. As such,the decommissioning estimateassumesthat no soil remediationis requiredt3l,to meetthe unrestricted usecriteriaof 10 CFR 20.1402.

Decommissioningis assumedto be performedby an independentcontractor.As such, essentiallyall labor,equipment,andmaterialcostsarebasedon nationalaverages,i.e.,

costsfrom nationalpublicationssuchasR.S.Means'Building Construction CostData (adjustedfor regionalvariations),and laboratoryservicecostsarebasedon vendorprice lists.Thosecraft laborpositionsareexpectedto be providedlocally. FirstEnergyCo.p.,

as licensee,will overseethe siteactivities;the estimateincludesFirstEnergyCorp.labor and overheadcosts.

Low-level radioactivewastepackagingandtransportcostsarebasedon industry data.

Disposalcostsarebasedon FirstEnergyCo.p. existingcontracteddisposalrates.

Costsarereportedin 2014dollars.

Contingencyhasbeenaddedatan overallrate of 25%.This is consistentwith the contingencyevaluationcriteriareferencedby the NRC in NUREG-1757.141 The estimateis limited to costsnecessary to terminatethe ISFSI'sNRC licenseandmeet the $20.1402criteriafor unrestricteduse.Dispositionof releasedmaterialand structures is outsidethe scopeof the estimate.

6. Cost Estimate The estimatedcostto decommissionthe ISFSI andreleasethe facility for unrestricteduse is providedin Table2.The costhasbeen organizedinto threephases,including:

An initial planningphase- emptyHSMs arecharacterized andthe specificationsand work proceduresfor the decontamination (heatshieldsand rails) developed.

The remediationphase- residualradioactivityis removed,packagedin certifiedwaste containers,transportedto the low-levelwastesite,and disposedof as low-levelwaste.

The final phase- licenseterminationsurveys,independentsurveysarecompleted,and an applicationfor licenseterminationsubmitted.

In additionto the direct costsassociated with a contractorprovidingthe decommissioning services,the estimatealsocontainscostsfor the NRC (andNRC contractor),FirstEnergy Corp's oversightstaff, site security(industrial),and othersite operatingcosts.

For estimatingpurposesit shouldbe conservativelyassumedthat all expenditures will be incurredin the year 2067,the year following the last of the spentfuel removal.

Email Matt Minniti to FrancisSeymore,February25,2015.

"ConsolidatedDecommissioningGuidance,FinancialAssurance,Recordkeeping,andTimeliness,"IJ.S.

NUREG-1757,Volume NuclearRegulatoryCommission'sOffice of NuclearMaterial Safetyand Safeguards,

3. Revisionl. Februaw 2012.

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FirstEnergt Corp. F07-1698-16001; AttachmentI Davis-BesseNuclear Power Station ISFSI Poge 5 of 6 Table I Significant Quantities and Physical Dimensions ISFSI Pad Residual Item l,ensth (ft) width (ft) Radioactivity ISFSI Pad (dimensions are for current nad) 229 88 No ISFSI Pad Expansion (dimensions are for expansion) 115 88 No ISFSI Horizontal Storage Modules Item Value Notes (all dimensions are nominal)

Overall Lensth (inches) 248 HSM dimensions based upon Overall Width (inches) 116 Transnuclear HSM-H desien Overall Heieht (inches) 222 Quantitv (total) 45 41 spent fuel + 4 GTCC Quantity (with residual radioactivity) D Equivalent to the number of HSMs needed to store the last core offload from Davis-Besse Total Surface Area of HSM interior with Residual Radioactivitv (square feet) 3.750 low-Level Radioact ve Waste (cubic feet) 11.356 Low-Level Radioact ve Waste (packaseddensitv) IDD Most weieht shipped as concrete slabs Other Potentially Impacted Items Item Value Notes Cask Transporter 1 No residual radioactivitv ISFSI Equipment Storaee Buildine I No residual radioactivitv Number of HSMs used for GTCC storaee 4 No residual radioactivitv TLG Semices,Inc.

FirstEnergt Corp. F07-1698-16001; Afrachment1 Davis-BesseNuclear Power Stafion ISFSI Page 6 of 6 Table 2 ISFSI Decomrnissioning Costsl and Waste Volumes (Thousands. 2014 dollars) Person-Hours Waste Volume Oversight and Decon Removal Packasine TransDort Disoosal Other Total (fr.3\ Craft Contractor Decommissioning Contrastor Planning (characterization, specs and nrocedures) r86 186 t.o24 Remediation (activated HSMs) 2t7 3 516 I r42 563 2.44r 11,356 1.880 License Termination (radiolocical surveys) 805 805 6.434 Subtotal 2r7 3 616 t.t42 1.664 3.432 11.366 8.313 L,024 Supportins Costs NRC and NRC Contractor Fees and Costs 384 384 776 Insurance 65 65 Pronertv taxes 62 62 CorporateA&G 44 44 Security (industrial) 148 148 5,013 FirstEnergy Corp.

Oversieht Staff 259 259 3,803 Subtotal 962 962 9,692 Total (w/o contingency) 217 3 616 t,142 2,6t6 4.396 r1.366 8.313 10.616 T otal (w 1260/ocontinpencv) 6.493 Note 1: For funding planning purposes decommissioningcosts can be assumed to be incurred in year 2067 TLG Semices,Inc.