ML17285A865

Provides Guarantee of Payment of Deferred Premiums Per 10CFR140.21.Util Obtains Revenue from Unit 2 by Selling Capability of Plant to Bpa.Opinion of BPA Re Obligation to Pay Satisfies Requirements of 10CFR140.21(f)

ML17285A865
Person / Time
Site:	Columbia
Issue date:	11/30/1989
From:	Sorensen G WASHINGTON PUBLIC POWER SUPPLY SYSTEM
To:	NRC OFFICE OF INFORMATION RESOURCES MANAGEMENT (IRM)
References
GO2-89-219, NUDOCS 8912070361
Download: ML17285A865 (4)

Text

gccv~RAYED Dl UTJON DEMONSTRA. ON SYSTEM

~ 'EGULATOR NFORMATION DISTRIBUTION S EM (RIDS)

ACCESSION NBR:8912070361 DOC.DATE: 89/ll/30 NOTARIZED: NO DOCKET FACIL:50-397 WPPSS Nuclear Project, Unit 2, Washington Public Powe 05000397 AUTH. NAME AUTHOR AFFILIATION SORENSEN,G.C. Washington Public Power Supply System RECIP.NAME RECIPIENT AFFIL1ATION Document Control Branch (Document Control Desk)

SUBJECT:

Provides guarantee of payment of deferred premiums per 10CFR140.21.

DISTRIBUTION CODE: M001D COPIES RECEIVED-LTR ENCL SIZE:

TITLE: Insurance: Indemnity/Endorsement Agreem nts NOTES:

RECIPIENT COPIES RECIPIENT COPIES ID CODE/NAME LTTR ENCL ID CODE/NAME LTTR ENCL INTERNAL: NRR/PMAS/PTSB12 REG FILE 1 EXTERNAL: LPDR NRC PDR D D

TOTAL NUMBER OF COPIES REQUIRED: LTTR 4 ENCL

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WASHINGTON PUBLIC POWER SUPPLY SYSTEM P.O. Box 968 ~ 3000 George Washington Way ~ Rtchland, Washington 99352 November 30, 1989 Docket No. 50-397 G02-89-219 U.S. Nuclear Regulatory Commission Document Control Desk Mail Station Pl-137 Washington, DC 20555

Subject:

SUPPLY SYSTEM PLANT NO. 2 OPERATING LICENSE NPF-21 GUARANTEE OF PAYMENT OF DEFERRED PREMIUM

Reference:

Letter, G. C. Sorensen (Supply System) to A. Schwencer (NRC),

same subject, dated December 19, 1984.

This transmittal is provided in compliance with 10CFR 140.21 which requires annual filing a guarantee of payment of deferred premiums in the amount of of $ 10 million for each licensed reactor.

The Supply System obtains revenue from Plant No. 2 by selling the capability of the plant. The Bonneville Power Administration (BPA), an agency of the Department of Energy, has purchased the entire capability of Plant No. 2 from certain of its statutory preference customers who in turn purchased such capability from the Supply System, all under the Net Billing Agreements. A copy of the Net Billing Agreements was included as an attachment to the referenced letter. Under the terms of the Net Billing Agreements, BPA is obligated to pay the total annual costs of Plant No. 2 to the Supply System.

It is the opinion of BPA's General Counsel that "Bonneville is obligated to pay costs of ownership, operation, and maintenance, including costs of

,insurance and specifically the insurance obligation provided through the Price Anderson Act."

The opinion of Bonneville regarding their obligation to pay satisfies the requirements of 10CFR 140.21(f). If you require additional documentation, please contact Ms. A. C. Marzette at (509) 372-5489.

P. ~ C. Sorensen,

~ Manager Regulatory Programs (MD 280) cc: Mr. C. J. Bosted, Resident NRC Inspector (901A)

Mr. J. B. Martin, Region V NRC Mr. N. S. Reynolds, Bishop, Cook, Purcell 8 Reynolds +0OL Mr. R. B. Samworth, NRC Mr. D. L. Williams, BPA (399)

S9120703bi 89ii30 PDR ADOCK 05000397 J PNU

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