ML18152B426

Provides Formal Notification of Effect of Recent Organizational Restructuring on OLs of North Anna & Surry Power Stations,Per NRC 990513 Telcon Request

ML18152B426
Person / Time
Site:	Surry, North Anna
Issue date:	05/28/1999
From:	Ohanlon J VIRGINIA POWER (VIRGINIA ELECTRIC & POWER CO.)
To:	NRC OFFICE OF INFORMATION RESOURCES MANAGEMENT (IRM)
References
99-291, NUDOCS 9906070175
Download: ML18152B426 (2)

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e e VIRGINIA ELECTRIC AND POWER COMPANY RICHMOND, VIRGINIA 23261 May 28, 1999-United States Nuclear Regulatory Commission Serial No.: 99-291 Attention: Document Control Desk NLOS/DAS Washington, DC 20555-0001 Docket Nos.: 50-280/281 50-338/339 License Nos.: NPF-4/7 DPR-32/37 Gentlemen:

VIRGINIA ELECTRIC AND POWER COMPANY NORTH ANNA POWER STATION UNITS 1 AND 2 SURRY POWER STATION UNITS 1 AND 2 EFFECT OF CORPORATE RESTRUCTURING ON NUCLEAR OPERATIONS In a telecon between the NRC staff and Virginia Electric and Power Company (Virginia Power) on May 13, 1999, the NRC requested Virginia Power provide formal notification of the effect of recent organizational restructuring on the operational licenses of North Anna and Surry Power Stations. The purpose of this letter is to provide that information.

On April 19, 1999, Dominion Resources, Inc., the parent company of Virginia Power, announced a major organizational restructuring that took effect on May 1, 1999. The restructuring separates Virginia Power functionally into two businesses: a generation business and a transmission and distribution business. As a practical manner, however this restructuring did not affect the status of Virginia Power as a separate legal entity or in the way which Virginia Power conducts business.

In the short term, the functional division of Virginia Power into generation and transmission & distribution components does not involve the transfer of assets or the assignment of staff to new or different corporate entities. Virginia Power's nuclear power stations remain under the ownership of Virginia Power and will be managed and operated exclusively by Virginia Power. Virginia Power continues to exist as a public utility, maintaining all current restrictions on dealings and arrangements with the unregulated parent company.

Future changes which may occur are contingent upon statutory and regulatory events which have yet to take place. As an example, deregulation of generation in Virginia does not occur until January 1, 2002. Consequently, discussion of future events at this/

time is premature and speculative.  ;

( 9906070175 990528 ----'--~---- ------'\

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• e In summary, although the reorganization may present a corporate "statement of intent" toward the future, it does not presently affect or change the legal status or conduct of business of Virginia Power. In that regard, docketed correspondence with the NRC will remain with officers and representatives of Virginia Electric and Power Company. If you have any* additional questions regarding how the organization affects our nuclear stations, please contact us.

Very truly yours, President, Chief Operating Officer and Chief Nuclear Officer cc: U. S. Nuclear Regulatory Commission Region II Atlanta Federal Center 61 Forsyth Street, SW, Suite 23 T85 Atlanta, GA 30303-3415 Mr. M. J. Morgan NRC Senior Resident Inspector North Anna Power Station Mr. R. A. Musser NRC Senior Resident Inspector Surry Power Station Mr. J. E. Reasor, Jr.

Old Dominion Electric Cooperative Innsbrook Corporate Center 4201 Dominion Blvd.

Suite 300 Glen Allen, VA 23060