ML19238A138

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Cancellation of Decommissioning Financial Assurance Funding Instrument for the American Centrifuge Lead Cascade Facility License Number SNM-7003
ML19238A138
Person / Time
Site: 07007003
Issue date: 09/23/2019
From: Bo Pham
Division of Decommissioning, Uranium Recovery and Waste Programs
To: Wiehle K
American Centrifuge Operating
Faraz Y
Shared Package
ML19238A133 List:
References
Download: ML19238A138 (3)


Text

OFFICIAL USE ONLY PROPRIETARY INFORMATION UNITED STATES NUCLEAR REGULATORY COMMISSION WASHINGTON, D.C. 20555-0001 September 23, 2019 Ms. Kelly L. Wiehle, Regulatory Manager American Centrifuge Operating, LLC P.O. Box 628 Mail Stop 7560 3930 U.S. 23 South Piketon, Ohio 45661

SUBJECT:

CANCELLATION OF DECOMMISSIONING FINANCIAL ASSURANCE FUNDING INSTRUMENT FOR THE AMERICAN CENTRIFUGE LEAD CASCADE FACILITY LICENSE NUMBER SNM-7003: (EPID NUMBER L-2019-DF1-0002)

Dear Ms. Wiehle:

This letter is to inform Centrus Energy Corp. (Centrus) that the U.S. Nuclear Regulatory Commission (NRC) is cancelling and returning the decommissioning financial assurance funding instrument Centrus provided to the NRC with respect to NRC License No. SNM-7003.

By letter dated September 23, 2019 (Agencywide Document Access and Management System (ADAMS) Accession No. ML19228A096), the NRC approved Centrus Final Status Survey Report for the Lead Cascade Facility (LCF). In its approval, NRC concluded that it has reasonable assurance that Centrus has appropriately decommissioned the LCF in accordance with the requirements of Title 10 of The Code of Federal Regulations, (10 CFR) Part 20, Standards for Protection Against Radiation. Therefore, Centrus is no longer required to maintain decommissioning financial assurance in accordance with 10 CFR 70.25, Financial assurance and recordkeeping for decommissioning. Consequently, the NRC is now cancelling and returning the financial assurance that was provided to NRC for the LCF. As the NRC license will remain in place, the NRCs September 23, 2019 approval mentioned above added a condition to the LCF license SNM-7003 that the licensee cannot receive any licensed material at the LCF without prior NRC approval. If such an approval is requested, then depending on the quantity and types of licensed material, this may require the licensee to re-establish decommissioning financial assurance prior to receiving the licensed material onsite.

The financial assurance that Centrus provided in connection with this license was a surety bond issued by Westchester Fire Insurance Company and a standby trust agreement issued by U.S.

Bank National Association. The surety bond, including riders, and the standby trust agreement have been cancelled and are being returned to Centrus at this time.

Enclosures 1 and 2 transmitted herewith contain Proprietary Information. When separated from the sensitive conditions in Enclosure 1 and 2, this document is decontrolled.

OFFICIAL USE ONLY PROPRIETARY INFORMATION

OFFICIAL USE ONLY PROPRIETARY INFORMATION K. Wiehle 2 In accordance with10 CFR 2.390 Public inspections, exemptions, requests for withholding, of the NRCs Agency Rules of Practice and Procedure, a copy of this letter will be available electronically for public inspection in the NRC Public Document Room or from the Publicly Available Records component of NRCs ADAMS. ADAMS is accessible from the NRC Web site at http://www.nrc.gov/reading-rm/adams.html.

If you have any questions regarding this action, please contact Mr. Yawar Faraz by telephone at (301) 415-7220, or via e-mail at Yawar.Faraz@nrc.gov.

Sincerely,

/RA/

Kathryn M. Brock, Acting Director Division of Fuel Cycle Safety, Safeguards, and Environmental Review Office of Nuclear Material Safety and Safeguards Docket No.: 70-7003 License No.: SNM-7003

Enclosures:

1. Cancelled Surety Bond issued by Westchester Fire Insurance Company
2. Cancelled Standby Trust Agreement issued by U.S. Bank National Association cc: L. Cutlip, Vice President, Centrus R. DeVault, DOE NE-ORSO Westchester Fire Insurance Company 1601 Chestnut Street P.O. Box 41484 U.S. Bank National Association Corporate Trust Services 1021 E. Cary Street, 18th Floor Richmond, VA 23219 Enclosures 1 and 2 transmitted herewith contain Proprietary Information. When separated from the sensitive conditions in Enclosure 1 and 2, this document is decontrolled.

OFFICIAL USE ONLY PROPRIETARY INFORMATION

OFFICIAL USE ONLY PROPRIETARY INFORMATION K. Wiehle 3

SUBJECT:

CANCELLATION OF DECOMMISSIONING FINANCIAL ASSURANCE FUNDING INSTRUMENT FOR THE AMERICAN CENTRIFUGE LEAD CASCADE FACILITY LICENSE NUMBER SNM-7003:

(EPID NUMBER L-2019-DF1-0002)

DATED: September 23, 2019 DISTRIBUTION: FCSE r/f KEverly, NSIR LPitts, RII DParsons, NSIR MLearn, RIII MKunowski, RIII JSmith, NMSS DTiktinski, NMSS LClark, OGC DPretzello, NMSS JZimmerman, NMSS KKline, NMSS AKock, NMSS ASchwartzman, NMSS BPham, DUWP RLewis, NMSS JLubinski, NMSS BvonTill, DUWP ADAMS Accession Numbers: ML19238A133 (P), ML19238A138 (L) *via email OFFICE FCSE/LOB FCSE/FCSR DUWP FCSE/LOB NAME Y. Faraz E. Lee C. McKenney M. Kotzalas DATE 09/10/2019 09/11/2019 09/17/2019 09/18/2019 OFFICE FCSE NAME K. Brock DATE 09/23/2019 OFFICIAL RECORD COPY Enclosures 1 and 2 transmitted herewith contain Proprietary Information. When separated from the sensitive conditions in Enclosure 1 and 2, this document is decontrolled.

OFFICIAL USE ONLY PROPRIETARY INFORMATION