ML18043A676
| ML18043A676 | |
| Person / Time | |
|---|---|
| Site: | Palisades  |
| Issue date: | 05/01/1979 |
| From: | Saltzman J Office of Nuclear Reactor Regulation |
| To: | Kluberg J CONSUMERS ENERGY CO. (FORMERLY CONSUMERS POWER CO.) |
| References | |
| NUDOCS 7905160172 | |
| Download: ML18043A676 (6) | |
Text
",,
UNITED STATES NUCLEAR REGULATORY COMMISSION WASHINGTON, D. C. 20555 Docket No. 50-255
- Consumers Power Company ATTN:
Mr. J. W. Kluberg Senior Vice President Accounting & Rates 212 West Michigan Avenue Jackson, Michigan 49201 Gentlemen:
MAY 1 1979 REGULATORY DOCKET FILE COPY We are enclosing herewith an amendment to your indemnity agreement
_reflecting the changes to 10 CFR j)art 140, "Financial Protection Require-ments and Indemnity Agreements," effective May 1, 1979.
The amendments to Part 140, a copy of which is also enclosed, give effect to the increase from $140 million to $160 million in the primary layer of nuclear energy liability insurance provided by the American Nuclear Insurers and Mutual Atomic Energy Liability Underwriters.
We would appreciate your indicating acceptance of the amendment to your indemnity agreement in the space provided and returning one signed copy.
If you have any questions about the foregoing, please contact us.
Sincerely~
~~~~
Jerome Saltzman, Chi Antitrust & Indemn* y Group Office of Nuclea Reactor Regulation
Enclosures:
- 1. Amendment to Indemnity Agreement
- 2.
Amendment to 10 CFR Part 140
'19051 6 O I 7 L. t
Docket t~o. 50-255 **
~
. AMENDMENT. TO INDEMNITY AGREEMENT NO. B-40 AMENDMENT NO. 8 Effective May l; 1979, Indemnity Agreement No. B-40, between ConsUJT1ers Power. Company and the*Atomic Energy Commission, dated January 20, 1970, as amended,. is hereby further amended as follows:
The a~ount l1$140,0d0,000 11 is deleted wherever it appears and the amount "$160,000,000 11 is substituted therefor.
The amount 11$108,500,000 11 is deleted wherever it appears and the amount 11$124,000,000 11 is substituted therefor.*.
The amount 11$3l,500,000 11 is deleted wherever it appears.and*
the amount 11$36,000,000" is substituted t~erefor. -
Item 2a of~the"Atta.chment to the indemnity agreement is deleted in its entirety and the following. substituted therefor:.
Item 2 - Amount of financial protectio.n
- a.
$1,000,oop
$82,000,000
$95,000,000
$110, 000' 000
$12s,ooo,ooo
~
{From 12:0l a.m~, January 20, 1970, to J~ midnight, March 23~ 1971, inclusive)
{From 12:01.a.m., March 24,.1971, to 12 midnight, February 29, 1972~
Inclusiv~)
(From 12:01' a.m., March l, 197,2, to 12 midnight, February 28, 1974,.
inclusive)
(From 12:01 a.m*., March l, *1974, to 12 midnight,- Mar-ch 20, 1975,
- inclusive)
{From 12:01 a.m., March 21, 1975, to 12 midnight, April-30, 1977, inclusive)
.... \\.
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GURNAMK.
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- : *********************** ********* *........................... * ** _......... ~,
NBC PORM 318 <'-76) NB.CM OJ4'
- u.a. CIOVSRNM*NT PRINTING Ol"l"ICB: 1171... 181*111...
$140 '000., 000
$160,000,000 r-:.. *,. ; v (From 12:01 a.m.* May l, 1977, to 12 midnight, April 30, 1979, inclusive}
(From*l2:01 a~m., May l, '1979)
FOR.THE UNITED STATES NUCLEAR REGULATORY COMMISSION
. : " Lsi JER1l~£ SALTZUMC
. Jerome Sa 1 tztnan, Chief
-Antitrust & Indemnity Group
- Office of N~clear Reactor Regulation
- Accepted __ ___,--------~ 1979
- By
=co=N=s~uM=E=R~s~p=ow~E=R-c=o=M=PA=N=v-.~~~~~
Distribution:
Licensee (2)
LPDR NRC PDR Do.cket FHes
- AIG Indemnity Files AIG Reading
!Di niiz Reading
- EllD Desk I*
- and, as of Auqust l, 1977,~the amount av~ilable as* secbnd~ry.
financial prote_ctiori.
BURNAMIE *.
MlC PORK 318 (Sl-76) MlCM 0240 U.9. CIOVBANMaNT PAIN,:ING"OP'P'ICG: t 171.. II*'"' 711
I
- . ~-.!~
Federal R..
r I Vol. 44, No. ~ I Friday, April 8, 1979 I Rul.ld Ragulationa This document has been reviewed in accordance with FmHA Instruction 1901-G, "Environmental Impact Statements." It is the determination of FmHA that this action does.not constitute a major Federal action significantly affecting the quality of the human environment and in accordance with the National Environmental.Policy of 1969. Pub. L 91-190, an Environmental Impact Statement is not required.
Authorities: (42 U.S.C. 1480; delegation or authority by the Secretary or Agriculture, 7 CFR 2..23: delegation of authority by the Assistant secretary for Rural Development. 7 CFR Z.70)
Dated: March 30, 1979.
Ganim CnuaaP.
(PD!HA l11111ruclioa 444.a] *
. (Fil. Doc. ~iciwn Filod __ 78:.Ms am]
NUCLEAR REGULATORY COMMISSION 10 CFR 'Part 140 RnanclalProtectlon Requirements and Indemnity Agreements; Miscellaneous Amendments.
AGOO: u.s'. Nuclear R~gulatory Commission.
ACTION: Final Rule.
SUMMARY
- The.provisions of Section i10 of the Atomic Energy Act of 1954, as amended. require production and utilization facility licensees to have and maintain financial protection to cover.
public liability claims resulting from a nuclear incident.
.The Nuclear Regulatory Commission is amending.its regulations tci increase the level of the primary layer of financial protection required of certain indemil.i.fied licensees. The Commission is amending its regulations at the.
present time to coincide, as statutorily.
required. with the increase in the level of the primary layer of insurance provided by private nuclear liability j.nsurance pools.
EFFECTIVE DATE: May 1, 1979.
- FOR FUAT'tJER INFORMATION CONTACT:
Mr. lra Dinitz, Antitrust and Indemnity Group, U.S. Nuclear Regulatory Commission. Wash.inston. DC 20555.
(Phone: 301-49~36).
SUPPLEMENTARY INFORMATION: The provisions of Section 170 of the Atomic Energy Act of 1954, as amended. (the
- Act) require production and utilization facility licensees to have and maintatn financial protection to cover public liability claims resulting from a nuclear incident. Section 170 of the Act. requires the Nuclear Regulatory Commission to indemnify the licensee and other persons indemnified, up to the statutory limitation on liability, against public liability claims in excess of the amount and sections 552 and 553 of Title 5 of the United States Code, the following amendments to Title 10. Chapter I, Part 140, Code of Federal Regulations, are published as a document subject to codification.
of financiaJ protection required.
I 140. 11
[Amended]
Subsection 170b. of the Act requires that
- 1. Section 140.11(a)[4) is amended by for facilities designed for producing deleting $140,000,000" and substituting 11ubstantial amounts of electricity and therefor $160,000,000."
having a rated capacity of 100 electrical megawatts or more, the amount of f 140. 1311 [Amended]
financial protection 1 required' shall be 2, Section 140.13a(a) is amanded by the maximum amount available from deleting the term $140,000,000" and private sources. For other licensees. the
. substituting therefor "$160,000,000."
Commission may require lesser amounts of financial protection; Primary financial f 140.91 [Amended]
protection may be in the form of private
- 3. In 1140.91, Appendix A. Condition insurance, private contractual indemnities, self-insurance or other 4 is amended by revising the footnote to proof of financial responsibility, or read as follows: "For policies issued by combination of such measures.
Nuclear Energy Liability-Property The insurers who provide the nuclear.
Insurance Association the amount will liability insurance, American Nuclear be "$124,000,000"; for policies issued by Insurers (ANI) and Mutual Atomic Mutual Atomic Energy Liability Energy Liability Underwriters (MAELU),
Underwriters, the amount will be have advised the Commission that
"$36,000,000."
effective January 9, 1979, the maximum
- 4. In § 140.91, Appendix A. paragraph amount of primary nuclear energy m of the "Optional Amendatory liability insurance available was Endorsement" is amended by revising increased frOm $140 million to $160 the footnote to read as follows:
million. Pursuant to the provisions of "F
lici i
d b N cl En subsection 170b. of the Act. thL amount or po es Hue
- Y u ear ergy of primary financial protection required Liability-Property Insurance Association the amount will be $124,000,000"; for for facilities having a rated capacity of policies issued by Mutual Atomic 100 electrical megawatts or more will be Energy Liability Underwriters the increased to $160 million, effective May amount will be "$36,000,000."
1, 1979. In addition, in compliance with 10 CFR Part.140, those persons licensed f 140.12 [Amended]
to possess plutonium in the amount of 5... * &. Section 140.92. Appendix B, Article kilograms or more and persona Ucensed to process plutonium in the amount of 1
- n. parqraph S(a), is amended by kilogram or more for use in plutonium.
deleting the amount "$108,500,000" processing and fuel fabrication plants
. wherever lt appears and substituting will also be required to provide financial therefor "$124,000,000."
- protection in the amount of $160 million.
- 6. Section 140.92, Appendix B,.Article Since the amendments set out below n, parqraph S(b), ia amended by conform the Commission's regulations to deleting the amount "$31,500,000" a statutory requirement, the Commission wherever it appears and substituting has found that*good cause exists for therefor "$36.000,000."
omittins a value/impact analyala, pub.lie
- 7. Section 140.92, Appendix B, Article notice of proposed rule making and
- n. parqraph S(c), ia amended by public procedure thereon aa chanstns the amount "$140,000,000" to unnecessary.
"$160,000,000."
Pursuant to the Atomic Energy Act of
- a. Section 140.92. Appendix B, Article 1954, as amended. the Energy m
h (b d d b Reorganization Act of 1974, aa amended, cb=;~.~~Jcx\\~. :en e Y
11bt Act doa not by 111 pruclN lanaua1* requill malnlenance of a "primary" (La., nuclear liabWI)'
lnlurance) layer and e "lleCOlldary" (I.e.,
rell'01pect1ve premium) layer of financial protection but merely co111idan the combination of tbau two layen a1 "financial prolectlon." How111er. 10 CPR Part 1'0. of the Commi11ion'1 regulation* that Implement the Acl. dl1.t1nau11he1 between the primary and 1acondary layen of financial protection. The amandmentt In thl* Nit Nlate 110laly to lncrau11.In the prlm&l')' layer of ftnallclal protection.
"$160,000,000...
I 140.13 [AmendeclJ
- 9. Section 140.93, Appendix C. Article ll, paragraph 8, la amended by changins "S140,000,000" to "S160,000,000."
- 10. Section 140.93, Appendix C, Article
- m. paragraph 4(b)(2), le amended by changins "$140,000,000" to
"$160,000,000...
I.
,a.._[ ___,,
Federal RBglllter I Vol. 44, No. 68 I Friday, April 8. 1979 / Rules and Regulations 20633
§ 140.94 [Amended]
- 11. Section 140.94. Appendix D. Article II. paragraph 6. is amended by changing
"$140.000.000" to "$160.000.000."
§ 140.95 [Amended]
- 12. Section 140.95. Appendix E. Article
- m. paragraph 4(b)(2), is amended by changing "$140,000,000" to
"$160,000,000...
§ 140.107 [Amended]
. 1
- 13. Section 140.107, Appendix G.
i1 Article II. paragraph 6(a), is amended by deleting the amount "$108,500,000" wherever it appears and substituting
. therefor $124,000.000."
- 14. Section 140.107. Appendix G, Article II. paragraph 6(b), is amended by deleting the amount "$31,500,000" wherever it appears and substituting therefor. "$36.000,000."
- 15. Section 140.107. Appendix G.
Article ill, paragraph 6(c), is amended by changing the amount $140,000,000" to $160,000,000."
. 16. Section 140.107, Appendix G,.
Article ill, paragr~ph 4(b), is amended
- by changing the amount "$140,000,000" to $160,000,000."
§ 140.1oa
- CAmendec:IJ.
- 17. Secti()n 1~.108, Appendix'G,.
Article IL paragraph 6, is amended by changing the amount $140,000,000" to
. "$160.000.000...
- 18. Section 140.108, Appendix H.
Article III. paragraph 4(b), is amended by changing the amount "$140,000,000" to $160,000,000.".
EFFECTIVE oAn:: The foregoing amendments.become effective on May l, 1979.
(Secs. 161, Pub. L 83-703, 68 Stal. 948 {42 U.S.C. 2201); Sec. 170, Pub. L.85-256. 71 Stat.
576. Pub.. L. ~197, 89 Stat 1111 (42 U.S.C.
- Dated at Washington. D.C., this 2nd day of.
April 1979~
For the Nuclear Regulatory Commission.
Sanmel J. Cldlk.
~of the Cmnmiaion.
[FR Doc. 111-10853 -Fiied -79: 11:411 aml BIWNCI CODE 7590-01-41 FEDERAL DEPOSIT INSURANCE C6RPORA TlON 12 CFR Parts 307 and 327 Assumption and Assessment of Deposit Uabllltles of Insured Banks; Voluntary Termination o~nsurance Status AGENCY: Federal Deposit Insurance Corporation.
ACTION: Final rule.
j*..
SU~MARV: The Federal Deposit Insurance Corporation has decided to revise and amend §§ 307.3 and 327.2(b)(3) of its regulations to: (1) implement Sections 304 and 310 of the Financial Institutions Regulatory and Interest Rate Control Act of 1978 (FIRIRCA) which pertain to the assumption and assessment of deposit liabilities of insured banks, and (2) _
correct an inaccurate reference.
. EFFECTIVE DATE: April 6, 1979 *.
FOR FURTHER INFORMATION CONTACT:
Jerry L. Langley, Senior Attome*y,
- Federal Deposit Insurance Corporation.
550 17th Street, N.W.. Washington, D.C.
204~. telephone (202) 389-4237.
SUPPLEMENTARY INFORMATION: Section 304 of FIRIRCA amends Section 8(q) of th_e Federal Deposit Insurance Act (FDI Act) to provide that whenever the deposit liabilities of an insured bank are assumed by another insured bank.
whether by merger. consolidation. or other statutory assumption, or by contract: (1) the insured status of the bank whose. deposits are assumed shall terminate on the date the Corporation receives satisfactory evidence of the assumption; (2) the separate insurance of all insured deposits so assumed shall terminate six months after the date the assumption talces effect or, in the *case of any time deposit. the earli_est maturity date after. the six-month period: and (3) the continuing bank shall give notice of the assumption to the depositol'B of the bank whose deposits are assumed withi!J 30 days after the assumption takes effect. section 307.3 has been revised to implement these provisions and to correct an incorrect citation by changing the reference"§ 304.3 (s) and (t)" in Section 307.3(b) to "§ 304.3 (u) and (v)".
Section 310 of FIRIRCA amends Section 7 of the FDI Act to exclude deposits accumulated for the repayment of personal loans from the definition of deposits for insurance assessment purposes. Section 327.2(b )(3) of FD I C's regulations has been amended to aline its definition of the term "deposit" for.
assessment purposes with that of Section 310 of FIRIRCA.
Since the changes are procedural in nature or necessitated by statutory amendment. the Board of Directors of the Federal Deposit Insurance Corporation has determined. under Section 302.6 of its rules and regulations (12 CFR § 302.6), that notice of, and public participation in. this rulemaking is unnecessary and that good cause exists for the waiver of the 30-day deferral of the effective date for the changes.
Accordingly, 12 CFR 307.3 and 327.2 subparagraph (b) are changed as follows:
PART 307-VOLUNTARY TERMINATION OF INSURANCE STATUS
- 1. 12 CFR 307.3 is revised to read:
§ 307.3 Steps to be taken and records to be tumlahed the Cof1)0nltlon where deposits are assumed by another Insured bank..
(a) Whenever the deposit liabilities of an insured bank are assumed by another insured bank, whether by merger, consolidation, or other statutory*
assumption, or by contract. the continuing bank shall give notice of the
.assumption to the depositors of the bank whose deposits are assumed within 30 days after~the assumption takes effect.*
Such notice shall be (1) mailed to each depositor et the depositor's last address of record as shown upon* the books of the bank. (2) published in not less than two issues of a local newspaper of
- general circulation, and (3) in form substantially as follows:
(Date)
Notice to Depositors:
Please be advised that the deposit liabilities shown on the books of (Name of.
Assumed Banlc)
(City or town)
(State) -- as of close of business on---; 1~ have been assumed by ihe undersigned bank. The
~ured s~tus of (Name of assumed bank) will temunate at.the-time provided in section 8(qJ of the Federal Deposit Insurance Act.
The separate insurance of ita deposits will therefore terminate at the end of six months from the above date or, in the case of a time deposit, the earliest maturity date after the
- six-month period.
. Yo~ are advised that the undersigned bank 1s an msured bank and that your deposits will continue to be insured by the Federal Deposit Insurance C:orporation in the manner and to the extent provided in said Act.
(Name ofBank) ------
(Address)-------
There may be included in such notice any additional information or advice the bank may deem desirable.
'The notice requirement does not apply to "phantom" banlt me~ers as defined in footnote 2a of Section 303.ll(a)(9).
.J,~.
J~* *~~~~~F~e~d~er~a~l~R~e~g~is~t;e~r~/~*~-~l.~44~.~N~~~*~B~O~/~T~u~e~s~d~a~y~. ~A~p~ri~*l~2~4~. ~1~97~9~*~~-~ul~e~s~a~n~d~R~e~g~ul~a~ti~o~n~s~~~2~404~~5 NUCLEAR REGULATORY COMMISSION 10 CFR Part 140 Financial Protection Requirements and Indemnity Agreements; MisceHaneous Amendments Correction In FR Doc. 79-10853, appearing at page 20632, in the issue of Friday. April 6, 1979. on page 20633': make the
- following corrections:
(1) In the first column in paragraph 15, in the second line. correct "Article III" to read "Article II".
(2) In paragraph 17, in the first line.
correct "Appendix c** to read "Appendix H".
BIUJNG CODE 1505--01-M DEPARTMENT OF ENERGY 10 CFR Part 205 Administrative Procedures and Sanctions; 1979 Interpretations-of the General Counsel AGENCY: Department of Energy.
ACTION: Notice of Interpretations.
SUMMARY
- Attached is the Interpretation issued by the Office of General Counsel of the Department of Energy under 10
- CFR Part 205, Subpart F. during the period March 1, 1979, through March 31, 1979.
Appendix 8 identifies those Requests for Interpretation which liave been dismissed during the same period.
FOR FURTHER INFORMATION CONTACT:
Diane Stubbs. Office of General Counsel. Department of Energy. 12th &
Pennsylvania Avenue NW., Room 1121.
Washington, O.C. 20461 ( 202} 633-9070.
SUPPl.EMENT ARY INFO AMA TION:
Interpretations issued pursua.nt to 10 CFR Part 205, Subpart F, are published in the Federal Register in accordance with the editorial and classification criteria set forth in 42 FR 7923 (Feb'ruary
- 8. 1977), as modified in 42 FR 46270 (September 15, 1977).
These Interpretations depend for their authority on the accuracy of the factual statement used as a basis for the Interpretation (10 CFR.205.84(a)[2)] and m*ay be rescinded Gr modified at any time(§ 205.85(d)J. Only the persons to whom Interpretations are addressed and other persons upon whom Interpretations are served ate entitled to rely on them(§ 205.BS(c)). An Interpretation is modified by a subsequent amendment to the regulation(s) or ruling(s) interpreted thereby to the extent that the.
Interpretation is inconsistent with the amended regulation(s) or ruling(s)
(§ 205.BS(e)). The Interpretations published below are not subject to appeal.
Issued in Washington. D.C., April 10, 1979.
- Ev*ard A. Maneglia. Ir.
Assistant ~nerol Coansel far fnl'1rpt'fltation* and Ruling._
Office of Cenerai Coun*el. ~
Appendix A-Interpretation&
No.
To Date Rle No.
1979--03................................. Sindalr Oil Corporaoon.................................. Maren 5..................... F'llce...........................
A-J.49
. Interpretation 1979-5 To: Sinclair Oil Corporation Regulation Interpreted: 10 CFR 210.62(a)
Code: GCW-Pl-Normal business practices Facts The Sinclair Oil Corporation. a small and independent refiner subject to 10 CFR Part 212. Subpart E. markets petroleum products throu11h its subsidiarv. Sinclarr Marketing.
Inc. (Sinclair). Since May 1973. Sinclair's standard contracts with jobbers and dealers for the sale of motor gasoline have required payment in full within 30 days. Payment in full within 10 davs has entitled a purchaser to a 1 percent discount on the purchase price.
Sinclair has considered an account uutstanding for more than 30 days to be in ciefauit and sub1ect to suit. In that instance.
coilection costs would be assignable to the account. t\\t the present time. Sinclair desires to modify its standard contracts for-the sale of motor gasoline to require a finance charge of one and one-half (1.'h) percent monthly on the balance of all accounts not paid within JO days. No other credit terms are to be changed.
Issue Does Sinclair's proposal to assess a finance chanze on all d'elinquent accounts constitute the ;mposition of a more stringent credit term than the credit terms in effect on Mav 15.
1973. within the meaning of 10 CFR 2l0.62(a)?
lnre!*pretatioh For the reasons set forth below. the Department of Energy {DOE) has cietermined that Sinclair's inclusion of a 1 V2 percent monthiy finance charge on all accoonts not paid within 30 days_ in its standard contracts for the sale of motor gasoline would constitute the impositiun of a more stringent credii term than the credit terms in effect on
~fav 15. 1973. in violation of§ 210.62{a).
The General.-\\.llocation and Price Rules. SP.I forth at 10 CFR Part 210 and adopted on January 14. 1974. :jg FR 1924 (January 15.
1974). were intended to set forth the provisions applicable to both the Mandatory Petroleum Allocation Regulations (10 CFR Part 211) and the Mandatory Petroleum Prfce Regulations (10 CFR Part 212). The allocation and price regulations were adopted to implement the statutory mandate of Section 4(a) of the Emergency Petroleum Allocation Act of 1973 (EPAA). as amended. Pub. L No.93-159 (November :!7. 1973). 1 Section 210.62{a) regulates credit terms as a function of price in recognition of the varying roles that credit and other conditions of sale play in the flow of product.? Section 210.62( a I provides in relernnt part:
"'Suppliers will de~l with purchasers cf an allocated product according to normal business practices in effect during the base period specified in Part 211 for that allocated product. and no supplier may modify any normal business practice so as t_o result in the circumvention of any provision of this chapter.... Credit terms other than those associated with seasonal credit programs are included as a part of the May 15, 1973 p*rice charged to a class of purchaser under Part 212 of this Chapter. Nothng in this paragraph shall be construed to require suppliers to sell to purchasers who do not arrange proper credit or payment for allocated products. *as customarily associated with that class of purchaser... on May 15. 1973....
However, no supplier may require or impose more stringent credit terms o.r payment schedules on purchasers than those in effect for that class of purchaser... on May 15.
1973.....*
According to the facts presented by Sinclair. neither at the present time nor on 115 U.S.C. 7_51 et seq. [1976).
'Since the decision by the Temporary Eme~ency Court of Appeals in.\\farothon Oil Co. v. FEA. 547 F.2d 1140 (TECA 1976). there can be no doubt concerning the authority of the Federal Energy Administration (FEAJ and its successor. the DOE. to regulate credit terms incident to the mandatory petroleum price regulations. In addition. the DOE has resolved issues similar to the one presented by Sinclair. concerning whether chall!!eS in credit terms are permissible in view of the provisions of
§ Z10.62{a). See Exxon Campany. U.S.A.. 2 DOE
,80.150 (October ZS. 1978): Crystal Oil Co.. 1 FEA
!20.161 (October 8. 197~). In Oil Transit Corp..
Interpretation 1977-35. 42 FR 54269 (October 5.
1977). the DOE found that requiring purchasers of motor gasoline to incur for the first time the additional cost of obtaining letters of credit guaranteeing paymem to Oil Transit would have tile effect of ;mposing a more *trin~ent credit term than the credit terms. in effect on May 15. 1973. in vioiation of§ 210.SZ(al. However. !he DOE has not previous!}* considered a case such as :he present one where the proposed change in credit terms would apply only airer the purchase price is due in full.