ML101380121
| ML101380121 | |
| Person / Time | |
|---|---|
| Site: | Crystal River  |
| Issue date: | 05/21/2010 |
| From: | Farideh Saba Plant Licensing Branch II |
| To: | Franke J Florida Power Corp, Progress Energy Co |
| Saba F, NRR/DORL/LPL2-2, 301-415-1447 | |
| References | |
| TAC ME3710 | |
| Download: ML101380121 (5) | |
Text
UNITED STATES NUCLEAR REGULATORY COMMISSION WASHINGTON, D.C. 20555-0001 May 21,2010 Mr. Jon A. Franke, Vice President Crystal River Nuclear Plant (NA2C)
ATrN: Supervisor, Licensing & Regulatory Programs 15760 W. Power Line Street Crystal River, Florida 34428-6708
SUBJECT:
CRYSTAL RIVER UNIT 3 - REQUEST FOR ADDITIONAL INFORMATION REGARDING DECOMMISSIONING FINANCIAL ASSURANCE PLANS 2009 BIENNIAL DECOMMISSIONING REVIEW (TAC NO. ME3710)
Dear Mr. Franke:
By letter dated March 25, 2009, Progress Energy (PE) on behalf of Florida Power Corporation (the licensee) provided the decommissioning funding status seport for the Crystal River Unit 3 Nuclear Generating Plant. According to SECY-07-0197, "Reactor Decommissioning Trust Fund Oversight by Other Agencies and Recommendations Regarding Further Commission Action,"
the Nuclear Regulatory Commission (NRC) is required to do "spot-checks" on licensees to verify that the amount the licensees are reporting to the NRC is the same amount the licensees have on their bank statements. The Commission paper requires that the NRC financial analyst audit the original records where they are kept by each licensee.
The enclosed request for additional information is based on information reported to the NRC in the decommissioning funding status report, dated March 25, 2009, and the NRC's spot check audit conducted on January 13, 2010. During a conference call on April 15, 2010, the NRC staff discussed the draft questions with the PE staff. As a result. the NRC revised the questions and sent them electronically to Mr. Bryan Miller of PE on May 05, 2010. The PE staff agreed that a response to the enclosed RAI would be submitted to the NRC within 45 days from the date of this letter.
Please contact me at 301-415-1447, if you have any questions.
Sincerely,
~"1.J! E :;;:0~
Farideh E. Saba, Senior Project Manager Plant Licensing Branch 11-2 Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation Docket No. 50-302
Enclosure:
Request for Additional Information cc w/encl: Distribution via Listserv
- 2 REQUEST FOR ADDITIONAL INFORMATION CRYSTAL RIVER UNIT 3 NUCLEAR GENERATING PLANT REGARDING DECOMMISSIONING FINANCIAL ASSURANCE PLANS 2009 BIENNIAL DECOMMISSIONING REVIEW DOCKET NO. 50-302
Background
Based on the results of a spot check review, in January 2010, of bank statements for the co-owners of Crystal River Unit 3 (CR-3), the Nuclear Regulatory Commission (NRC) staff identified differences between the bank statements of the respective trustees and the decommissioning trust fund balances reported to the NRC in March 2009 as part of the Decommissioning Funding Status Report. The differences summarized in the attached table are totaled of approximately 81.4 million dollars of overfunding.
On the basis that Progress Energy (PE) holds the majority of the decommission funds (91.78 percent) for CR-3, the NRC staff requests that the licensee respond to the following request for additional information (RAI) regarding PE decommissioning trust funds.
RAI1 Please provide the name and address of the fund manager or managers who provided investment oversight for the trust fund for CR-3. Also provide the year end asset allocation of your decommissioning trust fund, including a general description of each asset class and the percentage of the fund allocated to that class for Calendar Years 2006, 2007, and 2008.
Please clarify whether any Withdrawals, other than for administrative fees or taxes, were made from the decommissioning trust funds for the period of December 31, 2006, to December 31, 2008, with or without prior written notice to the NRC, per Title 10, Code of Federal Regulations (10 CFR) Section 50.75(h)(2). If so, provide the date, amount, and purpose of the withdrawal.
Please explain whether transfers were made from any of the decommissioning trust funds for the period of December 31,2006, to December 31,2008. If so, provide the date, amount and purpose of the transfer.
- 2 RAI4 Regarding the structure of the overall decommissioning trust fund: 1) clarify whether funds for decommissioning required under 10 CFR 50.75 are commingled with other funds, 2) explain how funds are divided into subfunds or subaccounts, if any, and explain which funds are for radiological and nonradiological decommissioning purposes, 3) explain how the funds collected are allocated to any subfund or subaccount, and 4) provide any other information relevant to ascertaining the overall structure of the decommissioning trust fund.
RAI5 Please provide documentation from the state regulatory authority that authorized collections for decommissioning, particularly with respect to the purposes for which the funds were collected (such as NRC decommissioning requirements, spent fuel management, site restoration, and others as recognized by the state authority) and the amounts authorized for each of those purposes.
Summary of Nuclear Regulatory Commission Spot Check Audit for Crystal River Unit 3 Audit Dates: January 9, 2010 - January 12, 2010 Owner Progress Energy Florida City of Alachua Orlando Utilities Commission Seminole Electric Coop New Smyrna Beach Utilities Commission Ocala Utilities Division Leesburg Municipal Electric Kissimmee Utilities Gainesville Regional Utilities Bushnell Utilit~ Department TOTAL Percent Ownership 91.78 0.078 1.6015 1.6994 0.5608 1.3333 0.8244 0.6754 1.4079 0.03889 100%
Reported to NRC
$K 352,000 299 6,100 6,500 2,150 5,110 3,160 2,590 5,400 149 383,458 Audited Balance
$K 416,000 493 11,100 7,300 3,600 8,170 5,090 4,200 8,650 247 464,850 Difference 64,000 194 5,000 800 1,450 3,060 1,930 1,610 3,250 98 81,392 Attachment
Mr. Jon A. Franke, Vice President Crystal River Nuclear Plant (NA2C)
ATTN: Supervisor, Licensing & Regulatory Programs 15760 W. Power Line Street Crystal River, Florida 34428-6708 SUB~IECT:
CRYSTAL RIVER UNIT 3 - REQUEST FOR ADDITIONAL INFORMATION REGARDING DECOMMISSIONING FINANCIAL ASSURANCE PLANS 2009 BIENNIAL DECOMMISSIONING REVIEW (TAC NO. ME3710)
Dear Mr. Franke:
By letter dated March 25, 2009, Progress Energy (PE) on behalf of Florida Power Corporation (the licensee) provided the decommissioning funding status seport for the Crystal River Unit 3 Nuclear Generating Plant. According to SECY-07-0197, "Reactor Decommissioning Trust Fund Oversight by Other Agencies and Recommendations Regarding Further Commission Action,"
the Nuclear Regulatory Commission (NRC) is required to do "spot-checks" on licensees to verify that the amount the licensees are reporting to the !\\IRC is the same amount the licensees have on their bank statements. The Commission paper requires that the NRC financial analyst audit the original records where they are kept by each licensee.
The enclosed request for additional information is based on information reported to the NRC in the decommissioning funding status report, dated March 25, 2009, and the NRC's spot check audit conducted on January 13, 2010. During a conference call on April 15, 2010, the NRC staff discussed the draft questions with the PE staff. As a result, the NRC revised the questions and sent them electronically to Mr. Bryan Miller of PE on May 05, 2010. The PE staff agreed that a response to the enclosed RAI would be submitted to the NRC within 45 days from the date of this letter.
Please contact me at 301-415-1447, if you have any questions.
Sincerely, IRA!
Farideh E. Saba, Senior Project Manager Plant Licensing Branch 11-2 Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation Docket No. 50-302
Enclosure:
Request for Additional Information cc w/encl: Distribution via Listserv DISTRIBUTION:
PUBLIC LPL2-2 RlF RidsNrrDorlLpl2-2 RidsNrrPMCrystalRiver RidsN rrLACSoia RidsOgcRp RidsAcrsAcnw_MailCTR RidsRgn2MailCenter RidsNrrDorlDpr RidsN rrDprPfpb ADAMS Accession Number: ML101380121
- bJye-mail OFFICE LPL2-2/PM LPL2-2/LA PFPB/BC*
LPL2-2/BC NAME FSaba CSoia (BClavton for)
RCarlson DBroaddus (SBailev for)
DATE 05/19/10 05/19/10 5/17/10 OS/21/10 OFFICIAL RECORD COPY