ML19281B695
| ML19281B695 | |
| Person / Time | |
|---|---|
| Site: | 05000200, Lynchburg Research Center, 05000191 |
| Issue date: | 05/01/1979 |
| From: | Saltzman J Office of Nuclear Reactor Regulation |
| To: | Olsen A BABCOCK & WILCOX CO. |
| References | |
| NUDOCS 7905300714 | |
| Download: ML19281B695 (5) | |
Text
0 4[t UNITED STATES j
NUCLEAR REGULATORY COMMISSION
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WASHINGTON, D. C. 20555
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MAY 1 9 73 Docket flos. 50-13, 50-191 50-99 50-200 The Babcock and Wilcox Company ATTft: Mr. Arne F. Olsen Licensing Administrator P. O. Box 1260 Lynchburg, VA 24505 Gentlemen:
We are enclosing herewith an amendment to your indemnity agreement I
reflecting the changes to 10 CFR Part 140, " Financial Protection Requirements 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 fluclear Insurers and Mutual Atomic Energy Liability Underwriters.
Although the increase in the primary layer of insurance will be reflected in all indemnity agreements as a "boilerplate" revision, only operators of large power reactors and certain plutonium facility licensees (i.e.,
not licensees such as you) will be required to provide this increased insurance.
We would appreciate your indicating acceptance of the amendments 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, W
Jerome Saltzman, Chi Antitrust & Indemn' y Group Office of fluclear Reactor Regu ation e-
Enclosures:
1.
Amendment to Indemnity Agreement 2.
Amendment to 10 CFR Part 140 7 9 0 5 30 0 7 ic(
ma asouq'o UNITED STATES
- f. "
NUCLEAR REGULATORY COMMisslON
$g) oE WASHINGTON, D. C. 20555 t
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Docket Nos. 50-13, 50-99 50-191, 50-200 AMENDMENT TO INDEMNITY AGREEMENT NO. B-8 AMENDMENT N0. 19 Effective May 1, 1979, Indemnity Agreement No. B-8, between Babcock &
Wilcox Company and the Atomic Energy Commission, dated December 8, 1961, as amended, is hereby further amended as follows:
The amount "$140,000,000" is deleted wherever it appears and the amount "$160,000,000" is substituted therefor.
> The amount "$108,500,000" is deleted wherever it appears and the amount "$124,000,000" is substituted therefor.
The amount "$31,500,000" is deleted wherever it appears ano the amount "$36,000,000" is substituted therefor.
FOR THE UNITED STATES CLEAR REGULATORY COMMISSION Jerome Saltzman, Chi Antitrust & Indemni Group Office of Nuclear Reactor Regulation Accepted
,1979 By BABC0CK & WILC0X COMPANY
,e 20832 Federel Register / Vol 44. No 66 / Fnday. Aprt; 6.1979 / Rules and Regulauons This document has been reviewed m liab!!ity claims resultmg from a nuclear and sections 552 and 553 of Title 5 of the accordance with FmHA Instruction incident. Section 170 of the Act, requires Uruted States Code, the following 1901-G. "Envtronmental Impact the Nuclear Reguistory Commission to amendments to Ti'le 10. Chapter 1. Part Statements."It is tne determmation of mdemnify the hcensee and other 140 Code of Federal Regulations. are FmHA inat this action does not persons mdemnified. up to the statutory published as a document subject to constitute a maior Federal action hmitat on on liabihty. against pubhc codification.
sigmficantly affectmg the quahty of the liability claims m excess of the amount human environment and in accordance of financial protection required.
I 140.11 [ headed) with the National Environmental Pohey Subsection 170b. of the Act requires that
- 1. Section 140.11(a)(4) is amended by of 1969. Pub. L 91-190. an for facihties designed for producing deleting "$140.000.000" and substitutma Environmenta! Impact Statement is not substantial amounts of electricity and thuefor **$100.000.000.*
regmred.
havmg a rat 3d capacity of 100 electncal Authonties:(42 U.S.C.14ao delegation of megawatts or more. the amount of f 140.13a fAmended) authority by the Secretary of Agnculture. 7 financial protection 8 required shall be
- 2. Section 140.13a(a)is amended by CFR 2.23. delegation of authonty by the the maximum amount available from delethg de tm M40.000.000" and Assistant Secretary for Rural Development. ? private sources. For other licensees, the subsututing 6mfor M60.000.000."
CFR 2.70)
Commission may require lesser amounts Dated. March so.197g, of financial protection. Primary financial i 140.91 [Amendedl protection may be in the form of private
- 3. In i 140.91. Appendix A. Condition t h."s P
e.,=>=.m m - -
=_z.
- ns nee o otbu 4 is amended by revising the footnote to proof of financial responsibihty, or read as follows: "For policies issued by
"'""'**"****l (PE Doc Ps-ionsmed u.73 mes ami Combination of such measures.
Nuclear Energy Uabibty Property The insurers who provide the nuclear Insurance Association the amount will
- ""'G C * * *
- __ hability insurance. American Nuclear be "$124.000.000": for policies issued by insurers (ANI) and Mutual Atomic Mutual Atomic Energy Uability NUCLEAR REGULATORY Energy Uability Underwriters (MAELU). Underwriters, the amount will be COMMISSION have advised the Commission that
"$36.000.000.*
effective January 9.1979 the maxhnum
- 4. In ! 140.91. Appendix A. paragraph 10 CFR Part 140 amount of primary nuclcar energy H1 of the " Optional Amendatory Firancial Protection Requirements and liability insurance available was bdorsement"is amended by revising increased from $140 million to $100 the footnote to read as follows:
Indemnity Agreements; Mlacellaneous Amendmenta million. Pursuant to the provisions of "For policies issued by Nuclear Energy subsection 170b. of the Act, the amount Usbihty Proputy insurance Association AotwcV: U.S. Nuclear Regulatory of pnmary financial protection required the amount will be "$124.000.000": for Commission, for facilities having a rated capacity of policies issued by Mutual Atomic Acnost: Final Rule.
100 electrical megawatts or more will be Energy Liability Underwriters the increased to $160 million. effective May am unt will be.'$38.000.000...
suveaARY; De provisions of Section 170 1,1979. In addition. in compliance with of the Atomic Energy Act of 1954. as 10 CFR Part 140. those persons hcensed i 140.92 [Amendedl amended. require production and to possess plutonium in the amount of 5 utiltzation facility bcensees to have and kilograms or more and persons licensed
- 5. Secuon 140.92. Appendix B, Article maintain financial protection to cover to process plutonium in the amount of 1 II, paragraph 8(a), is amended by pubhc liability claims resultmg from a kilogram or more for use in plutonium deleting the amount "$108.500.000" nuclear incident.
~
processics and fuel fabrication plants wherever it appears and substituting The Nuclear Regulatory Commission will also be required to provide financial thmfor "$124.000n" is kmendmg its regulations to increase protection in the amount of $100 million.
- 6. Section 140.92. Appendix B. Article the level of the pnmary layer of Since the amendments set out below II. paragraph 8(b). is amended by financial protection required of certain conform the Commission's regulations to deleting the amount "$31.500.000" indemnified bcensees. De Commission a statutory requirement. the Commission wherever it appears and substituting is amendmg its regulations at the has found that good cause exists for therefor "$36.000.000."
present time to coincide, as statutorily omitting a value/ impact analysis, public
- 7. Section 140.92. Appendix B. Article required, with the increase in the level notice of proposed rule making and II, paragraph B(c),is amended by of the primary layer of insurance public PNeedure thereon as changing the amount "$140.000.000" to provided by private nuclear liability unnecedary.
"$100.000.000."
insurance pools.
Pursuant to the Atomic Energy Act of
- 8. Section 140.92. Appendix B. Article EnEcTwE DATE: May 1.1979.
1954. as amended, the Energy Reorganization Act of197e. as amended, III. paragraph 4(b)(2). is amended by changing $140.000.000 to Mr. Lra Dmitz. Anttrust and Indemnity
,ne Act does not by its pree.e languese require Group. U.S. Nuclear Regulatory mam:enance of a prur.ary toe nucaear habihty I"U I d
Commission. Washmgton. DC 20555.
insurance 1 lent and e secondarr toe..
(Phone: 301-492-8336).
retrospectne pre.mumilayer of Anancial prote::t on
- 9. Section 140.93. Appendix C. Article SUPPLaMeNTARY INFCRM ATION: The I,$,*r,$'.Y $a$Yp$'NIo ", e 's")*y
- 11. paragraph 8. is amended by changmg r
provisions of Section 170 of the Atomic Par 1140 of trae Commassion's ress:stions that
"$140.000.000" to "$100.000.000.*
Energy Act of 1954. as amended. (the trnplement the Act daeunguishes between the
- 10. Section 140.93. Appendix C. Article Act) require production and utihzation F,","*1**d ****",d *M*,",'*,,*[*j'[,,,
Ill, paragraph 4(b)f 2). is amended by facihty bcensees to have and maintain
,oi,iy i, ac,,u,. m the prunary lane of anancial changma "$140.000.000" to financial protection to cover public proieenon.
"$100.000.000."
Federal Register / Vol. 44. No. M / Fndsy. Apnl S.19*9 / Rules and Regulanons
?0633
{ 140.94 ( Amended!
FEDERAL DEPOSIT INSURANCE Since the changes are procedural in nature or necemtatd h staMory
- 11. Section 140M Appendix D. Article CORPORATION
!!. paragraph 6, is amended by changma amendment, the Board of Directors of
"$140.000.000" to "$160.000.000."
12 CFR Parts 307 and 327 the Federal Deposit Insurance Assumption and Assesstnent of Corporation has determmed. under
{14035 [ Amended!
Deposit Liabilities of Insured Banks; Section 302.6 of its rules and regulations
- 12. Section 140 95. Appendix E. Article Voluntary Termination of insurance (12 CFR l 302.6), that notice of, and III. paragraph 4(bs), is amended by Status public participation in, this rulemaking is unnecessary and that good cause changmg "$140.000.000" to AoENCY: Federal Deposit Insurance exists f r the waiver of the 30-day
"$160.000.000."
Corporation.
deferral of the effective date for the i 140.107 lAmendedl ACT1oN: Final rule.
changes.
- 13. Section 140.107, Appendix G, suuuARY:The Federal Deposit Accodngly,12 CB 3E3 and 327.2 Article II. paragraph 6(a), is amended by Insurance Corporation has decided to
{u parsgraph (b) are changed as deleting the amount "$108.500.000" revise and amend Ii 307.3 and wherever it appears and substituting 327.2(b)(3) of its regulations to: (1)
PART 307-VOLUNTARY therefor "$124.000,000."
implement Sections 304 and 310 of the TERMINATION OF INSURANCE
- 14. Section 140.107, Appendix G.
FinancialInstitutions Regulatory and STATUS Interest Rate Control Act of 1978 t je I parag aph nded by (FIRIRCA) which pertain to the 1.12 CFR 307.3 is revised to read:
assumpti n and assessment of deposit wherever it appears and substituting i 307.3 Steps to t>e taken and records to liabWhes ofinsured bads and (2) therefor "S36,000.000."
be fumished the corporation where correct an inaccurate reference.
deposits are assumed by another insured
- 15. Section 140.107 Appendix G.
EFFECTIVE DATE:Aprd 6,1979.
bent Article IIL paragraph 6(c) is amended FoR FURTHER INFORMAT1oM CONTACT:
(a) Whenever the deposit liabilities of by changing the amount *$140.000.000" to "$160.000.000~"
Jerry L Langley, Senior Attorney, an insured bank are assumed by another Federal Deposit Insurance Corporation, insured bank, whether by merger,
- 16. Section 140.107, Appendix G, 55017th Street. N.W., Washington. D.C.
consolidation, or other statutory Article III, paragraph 4(b), is amended 20429, telephone (202) 389-4237.
assumption, or by contract, the by changmg the amount "$140.000.000" continuing bank shall give notice of the SUPPLEMEmRY WFORMATiom Section 304 of FIRIRCA amends Section 8(q) of assumption to the depositors of the bank i 140.104 lAmendedl the Federal Deposit Insurance Act (FDI whose deposits are assumed within 30
- 17. Section 140.108, Appendix G' Act) to provide that whenever the days after the assumption tal 2s effect.'
deposit liabilities of an insured bank are Such notice shall be (1) mailed to each Article 11, paragraph 8. is amended by assumed by another insured bank, depositor at the depositor's last address changing the amount,$140.000.000*, to whether by merger, consolidation, or of record as shown upon the books of 000 N other statutory assumption, or by the bank, (2) published in not less than
- 18. Section 140.108. Appendix H.
contract: (1) the insured status of the two issues of a local newspaper of Article 111. paragraph 4(b). is amended bank whose deposits are assumed shall general circulation, and (3) in form by changing the amount "$140.000.000" terminate on the date the Corporation substantially as follows:
IU*I to "$160.000.000."
receives satisfactory evidence of the Not ce to e t rs:
EFFECTIVE DATE:The foregoing assumption:(2) the separate insurance amendments become effective on May 1, of aU insured deposits so assumed shall liabilities shown on the books of(Name of
- 1979, terminate stx months after the date the Assumed Bank)
(City or town) asturnption takes effect or,in the case of (Statej as of close of (Secs.161. Pub. L 63-7o3, se Stat. 948 (42 any time deposit, the earliest maturtty business on
.19-have been U.S C. :?o1 J: Sec.170. Put). L 85-258,71 Stat.
date after the six-month period: and (3) assumed by the undersigned bank. ne 5 6. Pub. L 94-197. 89 Stat. mi (42 U.S.C.
the continuing bank shall give notice of insured status of(Name of assumed bank) 210h Sec. 2o1. Pub. L 93-438 as amended. 88 th the d f th mil terminate at the time provided in section Stat.1242 09 Stat. 415 (4:U.S.C. 5841)}
]s 8(ql the Federal Deposit Insurance Act.
ae He separate insu ance of its deposits will Dated at Washmgton. D.C., tlus nd day of within 30 days after the assumption therefore ternunate at the end of six months y,9' takes effect. Section 307.3 has been from the above date or, in the case of a time For the Nuclear Regulatory Commission.
revised to implement these provisions deposit, the earliest matunty date afte the
- s. am om.
and to correct an incorrect citation by six month period.
sa-c e C- -
changmg the reference "i JO4.3 (s) and
'iw eie edviazd that the undersigned bank
- n o= s.mu m.o-s-= us.mi (t)" in Section 307.3(b) to "I 304.3 (u) is an insured bank and that your deposits mli sa.u a caos m-.s and (v)"
c nnnue to be insured by the Federal Deposit rp ragn in the manur and to urance Section 310 of FIRIRCA amends the extent provided m said Act.
Section 7 cf the FDI Act to exclude (Name of Bank) deposits accumulated for the repayment (Addressi of personalloans from the definition of There may be included in such notice deposits for insu-ance assessment any additional information or advice the purposes. Section 327.2(b)(3) of FDIC,s bank may deem desirable.
regulations has been amended to aline its definition of the term " deposit" for
'nie nonce requnment do not apply to assessment purposes with that of pnantom ' bans mergers as denned tn footnote 2a Section 310 of FIRIRCA.
of seccon acuttom
g
..e i
Federal Register / Vol. 44. No. 80 / Tuesday. April 24. 1979 / Rules and Regulations 24M5 g
NUCLEAR REGULATORY Appendix D identifies those Requests for the sale of motor aesohne would COMMISSION for Interpretation which hase been constitute the eposam of a more serment dismissed dunng the same per:od.
creda erm than me cred:t terms m e%c cn 10 CFR Part 140 FoR rURTHER INFoRMATION CONTACT' lhe General ASucation ar.d Pnce RJes wt Diane Stubbs. Office of G,eneral forth at to CFR Part 210 and adop'ed on Financial Protection Requirements and Counsel. Department of Energy.12th &
l4nuary 14.1974 39 FR 19;4 ijanuary 15.
Indemnity Agreements; MisceHaneous Pennsylvania Avenue NW.. Room 1121.
19m were miended to set forth the Amendments s
Wa shington, D.C 20461 (202) 6.33-9070.
prousions apphcabie to both the Mandavory Correctmn suP9EMENTARY INFORM AftON:
Petroleum Alloc.ation Regulahons (10 CFR gnterpretations is*ued pursuant to 10 Part 2nl and the Mandatory Petroleum Prce In FR Doc. "9-10853, appearing at Redanons (10 CFR Part 212l. The alk> cation page 20632 in the issue of Fnday. Apnl CFR Part 205. Subpart F. are pubbshed and pnce regulanons were adopted to in the Federal Register in accordance impiement the statutory mandate of Section 6.1979. on page 20637 make the following corrections:
with the editonal and classification 4f a) of the Emergency Petroleum Allocation (1lIn the first column in paragraph 15.
cntena set forth in 42 FR 7923 (February Act of 19*3 (EPAA). as amended. Pub. L No.
8.1977), as modi'ied in 42 FR 46270 9h159 INovember 7*.19~3).'
In the second hne. correct Article IU to (September 15.1977).
Section 210.82f a) regulates credit terms as a read ' Article II I"'"# " # "
*U" P
These Interpretations depend for their (2)In paragraph 17 in the first hne.
ro.es that cred:t and other conditions of sa?,
authority on the accuracy of the factual play m tne now of product 'Section 210 62:41 correct " Appendix G" to read tatement used as a basis for the proudes m re! cunt part
..Appendtx 11,.
Interpretation (10 CFR 205 84(a)(21) and
%ppners mi: de ii mth purchasers cf in s e =Gcootiscut-as may be rescinded or modified at any ahcated pmduct accormna !c net nal time (i 205 85(d)). Only the persons to busmess practices m effect dunna the base
-~
^
whom Interpretations are addressed and pen d specified m Part 211 for that allocated DEPARTMENT OF ENERGY other persons upon whom product. and no suppher may modify any Interpretations are served ase entitled to n rmal busmess practice so as to result m the
"#P""'*"
10 CFR Part 205 rely on them (i 205 85(c)). An
'""". "" " Credit terms other than those chapter Interpretahon is modified by a associated mth seasonal credit programs are Administrative Procedures and subsequent amendment to the included as a part of the May 15.1973 pnce Sanctions: 1979 Interpretations of the regulat:cn(s) or ruling (s) interpreted charged to a class of purchaser under Part General Counsel
~
thereby to the extent that the 212 of this Chap 4er. Nothme m this parscaph AGE NCY: Department of Energy' Interpretation is inconsistent with the shall be construed to require suppners to seil t purchasers who do not arransa proper ACTION: Notice o[ Interpretations.
amended regulation ls) or rulmg(s)
"d"
' P ' Y* * "' f ' ' I ' ' d P ' d "'
(i 205.85(e)). The interpreta tions custamanly associated mth that class of'
SUMMARY
- Attached is the Interpretation Pubbshed below are not subject to purchaser.
on May 15.1973.
issued by the Office of General Counsel appeal.
However. no suppher may require or impose of the Department of Energy under 10 Issued m Wash:r.gton. D C.. Apnt 10.19 9.
more stnngent credit terms or payment CFR Part 205. Subpart F. during the r
,e r u.,.s a. p.
schedules on purchasers than those in effect a
penod March 1.1979. through March 31,
- = c-* O=ei
- homa"= aa han f r that class of purchaser.
on May 15.
one e ceen ames 1973.
3 9.,q Accordmg to the facts presented by Smclair. neither at the present time nor on Appenden A-4nterpretations
'Is U S C ~51 et seg 11rH
'Since the dec.ision by the Temporary Erner2ency No to Dais Category Fee No Court of Apress m Mrcthx Od Co v. FEA W F;d 1140 [ECA 1r61. them can be no doubt s'9-03. _
sanan Os Caporenon.
. Ware s...
..-- %e _.. _. _..
a-34s concemma the authenty of the federal Ene ry Adm,n:stranor (FEAl and its successor. fne DCE. to rem.! ate credit terms acadent to the mandato y ae'roleum pnce reau.auocs. In addman the DOE Interpretation 19"%$
account. At the present time. Sinclair desires I " " id ' **I'r to the ne presented b TO Sm. clair Oil Corporanon to modify its standard contracts for the sale av pemmsibie a vie = of the pmusions of of motor gasolme to require a f'mance charge 11; 6:la! See Es wn Ceraoanv. US A..
DOE Rm/ coon Inte pmed to CFR 21o ti2f al of one and one-half (t h) percent.nonthly on emiso october 2819*81. Crystal Od Co.1 FEA Cade. GCW-PI-Normal busmess practices the balance of all accounts not paid mthm 30 1:0161 (October a.19*4L in Od Tmaser Cap.
Fac ts das s No other credit terms are to be truerpreeatio6 :9'N35. 42 FR 54:f4 <Ocowr 5.
changei 19m the DOE found that reqwnre m.rrnasers of The Smclair Oil Carporanon. a small and motor amime to incur for the fire we re mderendent reitner subtect to 10 CFR Part ISS"e
'dCon'8 cost of oot'*nme fe'rers of creca 212. it:part t markets petroleum products Does Smcla.r's proposal to assess a finance f[,[
(,Q'r Er*N
- [
thrcunh its subsidiarv Smclair Market:ng.
charge on a!! dehnquent accounts constitute the crM i te ms m e%ct w h 15 m :n Inc. (Smclair) Smce May 19*3. Smcl ur3 the imposition of a more strmeent credit term vaatmn of g :10 6 :ai Ho.edr me DCF. has coi standard contracts with tobbers and dealers than the credit terms m effect on Mw 15.
pm mush uns. derm a case sor.h n se rm.m for Se sa!c of motor gasolme hase required 1975. w.thm :he meanmg of 10 CFR 210.62!aP w *"ere the proposed ense n crean ems pasment :n tual withm 30 days Payment m wwd 4rca ano me. N wnne me - se e fuil othm 10 cays nas entitied a purchaser to ICfPN a 1 percent Jiscount an the purchase pnce For tne reasons set forth beiow. he Sinciair has considered an account Department of Energy IDOE has determmed outstandmig for more than 30 days to be 'n NT Seclair s :nclusion of a 1 % pe* cent defaust and subiect to suit. in that i.* stance monthiv fmance charite on all accounts not co@ction costs would be assignabie to 'he paid othm 30 days m ;ts standard contracts