ML112430556
| ML112430556 | |
| Person / Time | |
|---|---|
| Site: | Beaver Valley, Davis Besse, Perry |
| Issue date: | 09/22/2011 |
| From: | Giitter J Division of Operating Reactor Licensing |
| To: | Sena P FirstEnergy Nuclear Operating Co |
| mahoney, m NRR/DORL/LPLIII-2 415-3867 | |
| References | |
| TAC ME6805, TAC ME6806, TAC ME6807, TAC ME6808 | |
| Download: ML112430556 (6) | |
Text
UNITED STATES NUCLEAR REGULATORY COMMISSION WASHINGTON, D.C. 20555-0001 September 22, 2011 Mr. Peter P. Sena, III President and Chief Operating Officer FirstEnergy Nuclear Operating Company 341 White Pond Drive Akron, OH 44320 SUB..IECT:
REQUEST FOR THRESHOLD DETERMINATION UNDER 10 CFR 50.80 BEAVER VALLEY POWER STATION, UNIT NOS. 1 AND 2; DAVIS-BESSE NUCLEAR POWER STATION, UNIT NO.1; AND PERRY NUCLEAR POWER PLANT, UNIT NO.1 (TAC NOS. ME6805, ME6806, ME6807, AND ME6808)
Dear Mr. Sena:
By letter dated July 26, 2011 (Agencywide Documents Access and Management System Accession No. ML11215A131), FirstEnergy Nuclear Operating Company, operating on behalf of FirstEnergy Nuclear Generation Corporation (FENGenCo), (together, the applicant), submitted to the U.S. Nuclear Regulatory Commission (NRC) a request for a threshold determination under Title 10 of the Code of Federal Regulation, Section 50.80 for Beaver Valley Power Station, Unit Nos. 1 and 2, Davis-Besse Nuclear Power Station, Unit No.1 and Perry Nuclear Power Plant, Unit No.1 (together, the plants).
The NRC staff concludes that the conversion of FENGenCo to a limited liability (LLC) company does not involve any license transfer. Accordingly, prior NRC consent is not required to make the changes indentified in the July 26, 2011, submittal.
The NRC concludes that the conversion of FEN GenCo will not affect the qualifications of the applicant as the holder of the licenses of the plants and that the conversion appears to be consistent with the applicable provisions of law, regulations, and Orders issued by the NRC.
The NRC staffs safety evaluation regarding the threshold determination is enclosed.
P.Sena
- 2 Please contact Michael Mahoney at 301-415-3867 if you have any questions.
Sincerely, G
- ,~~~*~
\\
I J 'seph G. Giitter, Director Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation Docket Nos. 50-334, 50-412, 50-346, and 50-440
Enclosure:
Safety Evaluation cc w/encl: Distribution via Listserv
UNITED STATES NUCLEAR REGULATORY COMMISSION WASHINGTON, D.C. 20555*0001 SAFETY EVALUATION BY THE OFFICE OF NUCLEAR REACTOR REGULATION CONVERSION OF COMPANY BY FIRSTENERGY NUCLEAR GENERATION CORPORATION BEAVER VALLEY POWER STATION, UNIT NOS. 1 AND 2; DAVIS-BESSE NUCLEAR POWER STATION, UNIT NO.1; PERRY NUCLEAR POWER PLANT, UNIT NO.1 DOCKET NOS. 50-334, 50-412, 50-346, 50-440
1.0 INTRODUCTION
By letter dated July 26,2011 (Agencywide Documents Access and Management System (ADAMS) Accession No. ML11215A131), FirstEnergy Nuclear Operating Company (FENOC),
operating on behalf of FirstEnergy Nuclear Generation Corporation (FENGenCo, the applicant) submitted to the U.S. Nuclear Regulatory Commission (NRC, Commission) a request for threshold determination under Title 10 of the Code of Federal Regulation (10 CFR) Section 50.80 for Beaver Valley Power Station, Unit Nos. 1 and 2 (BVPS-1 and 2), Davis-Besse Nuclear Power Station, Unit No.1 (Davis-Besse) and Perry Nuclear Power Plant, Unit No.1 (Perry)
(together, the plants).
2.0 BACKGROUND
FENGenCo is an owner licensee of the following units: 100 percent of BVPS-1,
60.08 percent of Beaver Valley 2,100 percent of Davis-Besse and 87.42 percent of Perry.
Currently, FEN GenCo is a corporation organized under the laws of the State of Ohio.
3.0 EVALUATION The NRC staff reviewed the conversion of FENGenCo to a limited liability company (LLC) organized under the laws of the State of Ohio. The regulation at 10 CFR 50.80(a) states:
No license for a production or utilization facility (including, but not limited to, permits under this part and part 52 of this chapter, and licenses under parts 50 and 52 of this chapter), or any right thereunder, shall be transferred, assigned, or in any manner disposed of, either voluntarily or involuntarily, directly or indirectly, through transfer of control of the license to any person, unless the Commission gives its consent in writing.
Enclosure
- 2 A conversion of a company to an LLC under the laws of the State of Ohio does not require a transfer of the company to another entity during the conversion of the company to an LLC.
Therefore, based on the information provided by the applicant, as well as the laws of conversion to an LLC under the laws of the State of Ohio, the NRC staff finds that the conversion to an LLC does not involve any license transfer. Accordingly, prior NRC consent is not required to make the changes identified in the submittal.
The NRC staff analyzed the effect of the conversion of FENGenCo on the applicant's financial qualifications, decommissioning funding assurance, technical qualifications, and status with respect to any foreign control or domination to confirm that there were no material changes to the license.
3.1 Financial Qualifications:
The proposed conversion should have no affect on the financial qualifications of FENGenCo.
3.2 Decommissioning Funding Assurance:
The applicant currently provides decommissioning funding assurance for the plants through the allowable funding mechanisms outlined in 10 CFR 50.75(e). In a separate proceeding, pursuant to the 2011 Decommissioning Funding Status report submitted on March 29, 2011 (ADAMS Accession No. ML110950060), the NRC staff is reviewing the financial assurance for decommissioning provided by the plants. At this time, the NRC staff does not project a potential shortfall at the time of permanent termination of operations in the decommissioning funding assurance provided for the plants.
The decision criterion applied to an indirect license transfer is whether the transfer will affect the licensee's existing financial qualifications. The NRC staff finds the proposed change submitted by the applicant on July 26, 2011, will not affect the amount of decommissioning funding assurance for the plants.
3.3 Management and Technical Qualifications:
The NRC staff is not aware of anything to indicate that there have been, or will be in the future, any material effects on the manner in which the plants are operated or the identity, organization, management and technical qualification of the applicant as the plants' licensees as a result of the conversion of FENGenCo to an LLC.
3.4 Foreign OwnerShip, Control or Domination:
Section 103d of the Atomic Energy Act prohibits the Commission from issuing a license for a nuclear power plant to "any corporation or other entity if the Commission knows or has reason to believe it is owned, controlled, or dominated by an alien, a foreign corporation, or a foreign government".
- 3 The NRC staff does not know or have reason to believe that, as a result of the conversion of FENGenCo to an LLC, the applicant will be owned, controlled, or dominated by a foreign person or entity.
4.0 CONCLUSION
The NRC staff concludes that the conversion of FENGenCo to an LLC, does not involve any license transfer. Accordingly, prior NRC consent is not required to make the changes identified in the July 26, 2011 submittal. The NRC staff concludes that the conversion of FEN GenCo to an LLC will not affect the qualifications of the applicant as the holder of licenses of the plants and that the conversion to FENGenCo appears to be consistent with applicable provisions of law, regulations and Orders issued by the Commission.
Principal Contributor: Aaron L. Szabo, NRR/DPR Date:
September 22, 2011
P.Sena
- 2 Please contact Michael Mahoney at 301-415-3867 if you have any questions.
Sincerely, IRA!
Joseph G. Giitter, Director Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation Docket Nos. 50-334, 50-412, 50-346, and 50-440
Enclosure:
Safety Evaluation cc w/encl: Distribution via Listserv DISTRIBUTION:
PUBLIC RidsNrrPMPerry Resource RidsOgcRp Resource RidsRgn3MailCenter Resource RidsNrrDorlLpl3-2 Resource RidsNrrPMNMorgan Resource RidsNrrOd Resource RidsNrrDorlLpl1-1 Resource RidsNrrDpr Pfaib Resource TFredrichs, NRR ASzabo, NRR DMerzke, EDO Rill LPL3-2 R/F LPL1-1 R/F RidsNrrDorlDpr Resource RidsNrrPMDavisBesse Resource RidsRgn1 MailCenter Resource RidsRgn2MailCenter Resource RidsAcrsAcnw _MailCTR Resource RidsNrrLASRohrer Resource RidsNrrPMBeaverValley Resource RidsSecyMailCenter Resource CRegan, NRR VMitlying, OPA MDusaniwskyj, NRR ADAMS Accession No, ML112430556 NRR-106 OFFICE DPR/PFIB DPR OGC-NLO DPR/PFIB/BC DORULPL3-2/LA NAME ASzabo TFredrichs BMizuno CRegan SRohrer (RT, III" fnr)
DATE 8/18/11 8/28/11 8/29/11 8/30/11 09/2/11 OFFICE DORULPL3-2/PM DORULPL3-2/PM DORULPL1-1/BC DORULPL3-2/BC DORUD NAME MMahoney NMorgan NSalgado(DPickett or)
JZimmerman
'/\\Inn::,
fnr\\
JGiitter DATE 09/12/11 09/19/11 09/21/11 09/21/11 09/22/11 OFFICIAL RECORD COpy