ML110620360

Notice of Disbursement from Decommissioning Trust

ML110620360
Person / Time
Site:	Zion  File:ZionSolutions icon.png
Issue date:	07/28/2010
From:	Michalec P Northern Trust Co
To:	Leeds E Office of Nuclear Reactor Regulation
References
FOIA/PA-2011-0087
Download: ML110620360 (1)

Text

Northern Trust July 28, 2010 Mr. Eric Leeds, Director Office of Nuclear Reactor Regulation U.S. Nuclear Regulatory Commission 11555 Rockville Pike Rockville, MD 20852

Subject:

Zion Nuclear Power Station, Units 1 and 2 Notice of Disbursement from Decommissioning Trust In accordance with the Zion Nuclear Power Station (ZNPS) Facility Operating Licenses, Condition 2.C.(14)(c), the decommissioning trust agreement provides that no disbursement shall be made by the Trustee unless the Trustee has first given the Director of the Office of Nuclear Reactor Regulation 30 days prior written notice of such disbursement.

Also, Article II, Section 2.01, "Distributions," of the Restated Tax Qualified Nuclear Decommissioning Master Trust Agreement provide that distributions will be made in accordance with Article 2 of the Master Terms. The Master Terms for Trust Agreements Article 2, "Establishment of Separate Trusts and Dispositive Provisions,"

Section 2.2 "Payment of Nuclear Decommissioning Cost," paragraph (d) subparagraph (i), provides that except for administrative costs and taxes as provided in Section 2.5 and 4.1 of the Master Terms, no disbursement or payments for decommissioning costs shall be made from the trusts unless the Trustee provides thirty days' prior written notice to the NRC Director, Office of Nuclear Reactor Regulation.

This letter provides the Director of the Office of Nuclear Reactor Regulation written notification of The Northern Trust Company's intent to make disbursements from the trusts for ZNPS, Units 1 and 2 to Exelon Generation Company, LLC (EGC). The transfer of funds will reimburse EGC for decommissioning costs of $6,413,171.79 incurred at ZNPS, Unit 1 and $6,402,497.05 incurred at ZNPS, Unit 2. EGC has confirmed to us that the costs to be reimbursed were related to maintaining the units in SAFSTOR and are Qualified Costs payable by the trust.

July 29, 2010 Mr. Eric Leeds Page 2 We plan to make distribution to EGC from the Zion 1 Tax Qualified Trust and the Zion 2 Tax Qualified Trust in the amounts described above, 30 days following the date of this letter, in the absence of any written notice of objection from the NRC.

If you have any questions about this letter, please contact me at (312) 444-2423.

Respectfully, Phil Michalec Vice President cc: Doug Brown (EGC)

(p Northern Trust