ML17299A948
| ML17299A948 | |
| Person / Time | |
|---|---|
| Site: | Palo Verde  |
| Issue date: | 12/26/1985 |
| From: | Schroeder F Office of Nuclear Reactor Regulation |
| To: | |
| Shared Package | |
| ML17299A949 | List: |
| References | |
| TAC-60475, NUDOCS 8601210633 | |
| Download: ML17299A948 (5) | |
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UNITED STATES NUCLEAR REGULATORY COMMISSION WASHINGTON, D. C. 20555 ARIZONA PUBLIC SERVICE COMPANY, ET AL.
DOCKET NO.
STN 50-528 PALO VERDE NUCLEAR GENERATING STATION, UNIT NO.
1 AMENDMENT TO FACILITY OPERATING LICENSE Amendment No.
3 License No.
NPF-41 1.
The Nuclear Regulatory Commission (the Commission) has found that:
A.
The present amendment, issued in response to the October 18, 1985 application by the Arizona Public Service Company (APS) in respect of a sale and leaseback financing transaction by licensee, Public Service Company of New Mexico, complies with the standards and requirements of the Atomic Energy Act of 1954, as amended (the Act) and the Commission's rules and regulations set forth in 10 CFR Chapter I; B.
The Comission by an order on December 12, 1985 stated:
On October 18, 1985 the Arizona Public Service Company filed with the NRC an Application In Respect Of A Sale And Leaseback Financing Transaction By Public Service Company Of New Mexico. The ComIission has determined that in the totality of the circumstances presented to it, this proposed financial transaction with the license amendment recommended by the staff and subject to the conditions specified in this order are acceptable under the Atomic Energy Act and the Comission regulations.
This conclusion is subject to the condition that the lessor and anyone else who may acquire an interest under the transaction which is the subject of this application are prohibited from exercising directly or indirectly any control over the licensees of the Palo Verde nuclear facility.
For purposes of this condition, the limitations in 10 C.F.R. 50.81 "Creditor Regulations" as now in effect and as they m'ay be subsequently amended are fully applicable to the named lessor and any successor in interest to that lessor as long as the license for the Palo Verde nuclear facility remains in effect.
Accordingly, this financial transaction shall have no effect on the license for the Palo Verde nuclear facility throughout the term of the license.
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Subject to the foregoing, the Commission consents to the financial transaction as set forth in the application and authorizes the Director of the Office of Nuclear Reactor Regulation to amend the license as described in SECY-85-367 and this order.
C.
D.
E.
F.
The facility will operate in conformity with the above application and the Commission's Order of December 12, 1985, the provisions of Act, and the rules and regulations of the Comnission; There is reasonable assurance (i) that the activities authorized by this amendment can be conducted without endanger ing the health and safety of the public, and (ii) that such activities will be conducted in compliance with the Commission's regulations; The issuance of this amendment will not be inimical to the common defense and security or to the health and safety of the public; The issuance of this amendment is in accordance with 10 CFR Part 51 of the Comnission's regulations and all applicable reauirements have been satisfied.
2.
Accordingly, the license is amended by adding a new paragraph, 2.B(6),
as follows:
(6)
Pursuant to an Order of the Nuclear Regulatory Commission dated December 12, 1985, the Public Service Company of New Mexico (PNM) to transfer and PNM has transferred a portion of its ownership share in Palo Verde Unit 1 to certain institutional investors on December 31,
- 1985, and at the same time has leased back from such purchasers the same interest in the Palo Verde Unit 1 facility.
The term of the lease. is to January 15, 2015, subject to a right of renewal.
The sale and leaseback transaction is subject to the representations and conditions set forth in the above application and the Commission's Order of December 12, 1985, consenting to such transaction.
Specifically, the lessor and anyone else who may acquire an interest under this transaction are prohibited from exercisinq directly or indirectly any control over the licensees of the Palo Verde Nuclear Aeneratinq Station, Unit 1.
For purposes of this condition, the limitations in 10 CFR 50.81 "Creditor Requlations" as now in effect and as they may be subsequently amended are fully applicable to the lessor and any successor in interest to that lessor as long as the license for Palo Verde Unit 1 remains in effect; this financial transaction shall have no effect on the license for the Palo Verde Nuclear Facility throughout the term of the license.
Further, the licensees are also required to notify the NRC in writing prior to any change, in:
(i) the terms or conditions of any lease agreements executed as part of this transaction; (ii) the ANPP Participation Aqreement, (iii) the existing insurance for the Palo
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Verde Nuclear Facility, Unit I and (iv) any action by the lessor or others that may have an adverse effect on the safe operation of the facility.
3.
This license amendment is effective as of the date of issuance.
FOR THE NUCLEAR ULATORY COl'EMISSION Date of Issuance:
DEC 2 6 1985 Frank Schroeder, Deputy Director Division of PWR Licensing-8