ML19213A313

Motion of the Commonwealth of Massachusetts to Stay Proceeding to Complete Settlement Negotiations

ML19213A313
Person / Time
Site:	Pilgrim
Issue date:	08/01/2019
From:	Dorfler J, Healey M, Schofield S State of MA, Office of the Attorney General
To:	NRC/OCM
SECY RAS
References
50-293-LT, 72-1044-LT, License Transfer, RAS 55130
Download: ML19213A313 (8)

Text

UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION BEFORE THE COMMISSION In the Matter of )

)

ENTERGY NUCLEAR OPERATIONS, INC., )

ENTERGY NUCLEAR GENERATION )

COMPANY, AND HOLTEC ) Docket Nos. 50-293 & 72-1044 DECOMMISSIONING INTERNATIONAL, )

LLC; CONSIDERATION OF APPROVAL OF )

TRANSFER OF LICENSE AND )

CONFORMING AMENDMENT )

)

(Pilgrim Nuclear Power Station) )

MOTION OF THE COMMONWEALTH OF MASSACHUSETTS TO STAY PROCEEDING TO COMPLETE SETTLEMENT NEGOTIATIONS Petitioner, the Commonwealth of Massachusetts (Commonwealth or Massachusetts),

respectfully requests that the Nuclear Regulatory Commission (NRC or Commission) stay all activities in the above captioned proceeding for 90 days to permit the Commonwealth, Entergy Corporation (Entergy), and Holtec International (Holtec) (collectively, Negotiating Parties) to complete settlement negotiations. The Negotiating Parties have been engaged in settlement discussions regarding the Commonwealths Petition for Leave to Intervene and Hearing Request, Docket Nos. 50-293 & 72-1044, filed on February 20, 2019 (Petition). See Letter from Pamela Cowan to Attorney General Maura Healey, copying Margaret Doane, Executive Director of Operations, NRC (Jul. 17, 2019), attached hereto as Exhibit 1. The resolution of the settlement negotiations could resolve the Commonwealths Petition and prove valuable to the NRCs own decision-making process. To preserve the current positions of the parties and in light of the benefits to the NRC if the Negotiating Parties are able to reach an agreement, we ask that the NRC take no action on any of the pending requests for 90 days, or until the Negotiating Parties

jointly inform the NRC either that they have reached a settlement and the Commonwealth is withdrawing its Petition or that an agreement cannot be reached and the Commission should proceed to rule on the Commonwealths Petition, whichever occurs sooner.

The NRCs longstanding policy favors settlement rather than litigating adjudicatory proceedings. Sequoyah Fuels Corporation and General Atomics (Gore, Oklahoma Site Decontamination and Decommissioning Funding), ASLBP No. 94-684-01-EA, Dkt. No. 40-8027-EA, at 7 (Nov. 13, 1995) (ADAMS Accession No. ML13109A473). Consistent with Holtecs July 17 representation to the Commonwealth and the NRC, the Negotiating Parties are undertaking good faith discussions to finalize a resolution. Exhibit 1. Preliminary discussions between the Negotiating Parties began in late 2018, and a larger in-person meeting was held in late February 2019. Numerous phone calls and email exchanges transpired in the following months, culminating in an initial draft settlement provided by the Commonwealth to Entergy and Holtec, covering a broad range of issues, in mid-June 2019. As Holtec stated in its July 17 letter, it is still working on its response to the initial draft settlement, and is prepared to undertake good faith discussions to finalize a comprehensive agreement that will provide assurances to the citizens of the Commonwealth and associated stakeholders. Exhibit 1. A stay of the proceeding to complete settlement negotiations is consistent with this commitment. While settlement negotiation is not a magic phrase the invocation of which must bring the proceeding to a complete halt[,] Sequoyah Falls, at 7, it is the Commonwealths hope that upon receipt of Holtecs response, an agreement can be reached in the near term.

A stay of the proceeding will not prejudice the current decommissioning effort at Pilgrim.

Entergy is the current license holder and operator and will remain as such during the pendency of the stay. Further, Entergy recently received an exemption from the NRC to use the Pilgrim Decommissioning Trust Fund for certain non-decommissioning activities. Pilgrim Nuclear Power Station - Request for Exemption from 10 C.F.R. 50.82(a)(8)(i)(A), Dkt. No. 50-293 (Jul.

22, 2019) (ADAMS Accession No. ML19162A334). Thus, Entergy is responsible for, and capable of, maintaining decommissioning efforts during the pendency of the proceeding, and a temporary, time-limited stay will not affect that. Indeed, allowing a stay may provide a quicker resolution to the proceeding and be more administratively efficient. Should one or more of the Commonwealths Contentions set forth in its Petition be granted, then a fully adjudicated proceeding will result with full discovery opportunities and evidentiary hearings, requiring valuable time and attention from both the parties and the NRC. However, if the Negotiating Parties are permitted to finalize a settlement agreement, then this would resolve the Commonwealths issues in a timelier fashion and prevent the expending of the parties and NRCs resources. Thus, any minor prejudice caused by a stay is far outweighed by the benefit of reaching a comprehensive settlement.

The Commonwealth conferred with Entergy and Holtec regarding this Motion on August 1, 2019. Counsel for Entergy and Holtec indicated that they oppose this Motion. The Commonwealth also conferred with Petitioner Pilgrim Watch regarding this Motion on July 31, 2019. A representative of Pilgrim Watch indicated that Pilgrim Watch does not object to this Motion.

For the foregoing reasons, and for good cause shown, the Commonwealth requests that the Commission grant this Motion and take no action on any of the pending requests for 90 days, or until a settlement is reached and the Commonwealth withdraws its Petition or the parties notify the NRC that an agreement cannot be reached, whichever occurs sooner.

Respectfully submitted this 1st day of August, 2019, COMMONWEALTH OF MASSACHUSETTS By their attorneys, MAURA HEALEY ATTORNEY GENERAL Signed (electronically) by SETH SCHOFIELD Senior Appellate Counsel JOSEPH DORFLER Assistant Attorney General Energy and Environment Bureau One Ashburton Place, 18th Floor Boston, Massachusetts 02108 617-963-2000 seth.schofield@mass.gov joseph.dorfler@mass.gov UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION BEFORE THE COMMISSION In the Matter of )

)

ENTERGY NUCLEAR OPERATIONS, INC., )

ENTERGY NUCLEAR GENERATION )

COMPANY, AND HOLTEC ) Docket Nos. 50-293 & 72-1044 DECOMMISSIONING INTERNATIONAL, )

LLC; CONSIDERATION OF APPROVAL OF )

TRANSFER OF LICENSE AND )

CONFORMING AMENDMENT )

)

(Pilgrim Nuclear Power Station) )

CERTIFICATION OF SERVICE Pursuant to 10 C.F.R. § 2.305, I certify that copies of the Commonwealth of Massachusettss Motion to Stay Proceeding to Complete Settlement Negotiations have been served upon the Electronic Information Exchange, the NRCs e-filing system, in the above-captioned proceeding this 1st day of August 2019.

Signed (electronically) by Joseph Dorfler Assistant Attorney General Energy & Telecommunications Division One Ashburton Place, 18th Floor Boston, Massachusetts 02108 617-963-2086 Joseph.Dorfler@mass.gov Dated: August 1, 2019 EXHIBIT 1 KPS Technology Campus, 1 Holtec Blvd., Camden, NJ 08104 Telephone (856) 797-0900 - Fax (856) 797-0900 www.holtecinternational.com July 17, 2019 The Honorable Maura Healey Attorney General 20th Floor One Ashburton Place Boston, MA 02108-1598 Re: Decommissioning the Pilgrim Nuclear Power Station - Settlement Agreement

Dear Ms. Healey:

We received your proposed draft Settlement Agreement related to decommissioning Pilgrim.

This letter is to confirm that we are working diligently to respond to each of the wide-ranging requests therein and will provide a detailed response once fully vetted. Following your receipt of our response, we are prepared to undertake good faith discussions to finalize a comprehensive agreement that will provide assurances to the citizens of the Commonwealth and associated stakeholders.

Please know that we are committed to completing the decommissioning with the utmost protection for public health and safety and the environment. We look forward to continuing to work with the Commonwealth of Massachusetts and local officials throughout the project and continued amicable dialogue with your office to ensure the interests of the community are well served. Ultimately, Holtecs acquisition and cleanup of Pilgrim, in lieu of guardianship of a defunct plant, will create opportunities for reuse and is in the best interest of the Commonwealth and its local communities.

Sincerely, HOLTEC DECOMMISSIONING INTERNATIONAL, LLC Pamela B. Cowan Senior Vice President & Chief Operating Officer 1lPage

KPS Technology Campus, 1 Holtec Blvd., Camden, NJ 08104 Telephone (856) 797-0900 - Fax (856) 797-0900 www.holtecinternational.com Cc: Margaret Doane Executive Director of Operations U.S. Nuclear Regulatory Commission Washington, DC 20555-0001 Seth Schofield Susan H. Raimo Andrew Ryan Senior Appellate Counsel Assistant General Counsel General Counsel Assistant Attorney General Entergy Services, LLC Holtec International Energy and Environment 101 Constitution Ave., NW, Suite 1 Holtec Blvd.

Bureau 200 East Camden, NJ 08104 Office of the Attorney Washington, DC 20001 A.Ryan@holtec.com General sraimo@entergy.com One Ashburton Place Boston, MA 02108-1598 seth.schofield@state.ma.us 2lPage