ML19291A459

Forwards Amend 1 to Indemnity Agreement G-3,per 10CFR140 Changes,Re Liability Insurance from Increase from $140 Million to $160 Million,Effective 790501.Supporting Documentation Encl

ML19291A459
Person / Time
Site:	Framatome ANP Richland
Issue date:	05/01/1979
From:	Saltzman J Office of Nuclear Reactor Regulation
To:	Nilson R SIEMENS POWER CORP. (FORMERLY SIEMENS NUCLEAR POWER
References
NUDOCS 7905160123
Download: ML19291A459 (5)

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UNITED STATES y*

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NUCLEAR REGULATORY COMMISSION WASHINGTON, D. C. 20555

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1;70 Docket No. 70-1257 Ildsta,p q Exxon Nuclear Company, Inc.

ATTN: Mr. R. Nilson, Manager Quality Assurance and Licensing 2101 Horn Rapids Road Richland, Wasnington 99352 Gentlemen:

We are enclosing herewith an amendment to your indemnity agreement reflecting the changes to 10 CFR Part 140, "cinancial 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 L.iability 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,

../

derome Saltzman, Chief Antitrust & Indemnit Group Office of Nuclear R actor Regulation

Enclosures:

1.

Amendment to Indemnity Agreement 2.

Amendment to 10 CFR Part 140 e

THIS DOCUMENT CONTAINS POOR QUAUTY PAGES 7905160123-(

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f UNITED STATES 3'e

,1 NUCLEAR REGULATORY COMMISSION

$.,k.xM.I h

WASHINGTON, D. C. 20555

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s Docket No. 70-1257 AMENDMENT TO INDEMNITY AGREEMENT N0. G-3 AMENDMENT NO. 1 Effective May 1, 1979, Indemnity Agreement No. G-3, between Exxon Nuclear Company, Inc. and the Nuclear Regulatory Commission, dated August 1, 1977, is hereby 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 and the amount "$36,000,000" is substituted therefor.

Item 2a of the Attachment to the indemnity agreement is deleted in its entirety and the following substituted therefor:

Item 2 - Amount of financial protection a.

$140,000,000 (From 12:01 a.m., August 1, 1977, to 12 midnight, April 30, 1979, inclusive)

$160,000,000 (From 12:01 a.m., May 1,1979)

FOR THE UNITED STATES NUCLEAR REGULATORY COMMISSION Jerome Saltzman, Chie Antitrust & Indemni Group Office of Nuclear Reactor Regulation Accepted 1979 By EXXON NUCLEAR COMPANY, INC.

20832 Federal Register / Vol 44. No. 66 / Fncat Apn; 6.19*9 / Rules and RegtJations This document has been reviewed m hability claims resultms from a nuclear and sectons 55:' and 553 of Title 5 of the accordance with FmHA Instruction mcident. Section 170 of the Act. requires Umted States Code. tne foUowing 1901-G. " Environmental impa ct the Nuclear Regulatory Commission to amenaments to Title 10. Chapter 1. Part Statements." It is the determmation of indemnify the licensee and other 140 Code of Federal Regulations. are FmHA that tlus action does not persons mdemnified. up to the statutory pubbshed as a document sub}ect to constitute a maior Federal acuon hmitation on habihty, agatnst pubhc codification.

significantly affecting the quahty of the hability claims in excess of the amount human environment and in accordance of financial protection required.

I 140.11 [ Amended J with the National Environmental Pobey Subwetion 170b. of the Ac.t requires that

1. Section 140.11(a)(4) is amended by of 1909. Pub. L 91-190, an for N.thties designed for producmg deletmg "$140.000.000" and substitutmg Environmenta! Impact Statement is not substantial amounts of electricity and therefor "$160.000.0007 required.

having a rated capacity of 100 electrical megawatts or more, the amount of f 140.13a [ Amended]

Authonties:(42 U.S.C.1480 delegation of authority by the Secetary of Agneulture. 7 financial protection required shall be

2. Section 140.13a(a)is amended by 3

CFR 2 23. delegation of authority by the the maximum amount available from deleting the term "$140.000,000" and Assistant Secretary for Rural Development. 7 private sources. For other licensees, the substitutmg therefor "$160.000.0007 CFR 2.70)

Commission may requee lesser amounts Dated. March 30. Ig*g.

of financial protection. Primary financial i 140.91 [ Amended) protection may be in the form of pnvate

3. In i 140.91. Appendtx A. Condition ind t es.

insu ance o other 4 is amended by revising the footnote to

~

read as follows:"For policies issued by

"^ '"".w'"e.*r*-4 ua ae I proof of financial responsibihty, or In om m combination of such measures.

Nuclear Energy Liability-Property ec c " ""

The insurers who provide the nuclear Insurance Association the amount will liabihty insurance. American Nuclear be "$124.000.000"; for policies issued by Insurers (ANI) and Mutual Atomic Mutual Atomic Energy Liability NUCLEAR REGULATORY Energy Liability Underwriters (MAELU). Undervn:ers, the amount will be COMMISSION have advised the Commission that

"$36.000.u007 effective January 9.1979, the maximum

4. In i 140.91. Appendix A. paragraph 10 CFR Part 140 amount of primary nuclear energy III of the " Optional Amendatory Financial Protection Requirements and liability insurance available was Endorsement"is amended by revising increased from $140 million to $100 the footnote to read as follows:

indemnity Agreements; Miscellaneous milli n. Pursuant to the provisions of "For policies issued by Nuclear Energy Arnendments subsection 170b. of the Act, the amount L ability-Property Insurance Association AGENCY: U.S. Nuclear Regulatory of primary financial protection required the amount will be "$124.000.000"; for Commission.

for facilities having a rated capacity of policies issued by Mutual Atornic Acnow Final Rule.

100 electrical megawatts or more will be Energy Liability Underwriters the increased to $100 milhon. effective May amount will be.'$36.000.000...

SUMMARY

The provlsions of Section 170 1.19'9. In addition, in comphance with of the Atomic Energy Act of1954. as 10 CFR Part 140, those persons bcensed i 140.92 [ Amended]

amended, require production and to possess plutoniurn in the amount of 5 utilization facility bcensees to have and kilograms or more and persons licensed

5. Section 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 public liabihty claims resultmg from a kilogram or more for use in plutonium deletmg the amount "$108.500.000" nuclear incident.

processing and fuel fabrication plants wherever it appears and substituting The Nuclear Regulatory Commission will also be required to provide financial therefor "$124.000.000."

is amendmg its regulations to increase protection in the amount of $160 million.

6. Section 140.92. Appen6x B. Article the level of the pnmary layer of Smce the amendments set out below H. paragraph 8fb) is amended by financial protection required of certain conform the Comnussion's regulations to deleting the amount "$31.500.000" indemnified licensees. The Commission a statutory reqturement. the Commission wherever it appears and substituting is amendmg its regulations at the has found that good cause exists for therefor "$36.000.0007 present time to comcide, as statutorily omitting a value/ impact analysis, public

7. Section 140.92. Appendix B. Article required, wi'h the increase in the level notice of proposed rule making and H. paragraph 8(c) is amended by of the pnmary layer of insurance pubhc procedure thereon as changing the amount "$140.000.000" to provided by pnvate nuclear liability unnecessary.

"$160.000.0007 insurance pools.

Pursuant to the Atomic Energy Act of

8. Section 140.9? Appendix B. Article EFFECTIVE DATE: May 1.1979.

1954, as amended, the Energy Hl. paragraph 4(b)(2). is amended by

' changing "$140.000.000" to Fon FunTHEn NronuArtoM CONTACT:

Mr. Era Dinitz. Antitrust and indemnity

'The Act does not by tts preos, lansumge reqmre Group. U.S. Nuclear Regulatory mamtenance of. pnmarr he euclear habihr>

I "" I A*

• Commission. Washington. DC 20555.

maurancellayer and. econdarr he, (Phone: 301-492-8336).

retrospectve premmmilayer of f nancial protect 2on

9. Section 140.93. Appendix C. Article

$"ll"*,'*,$[*[7,U,' $",'$.",I,,]$

H. paragraph 6 is amended by changmg SUPM.EMENTARY INFORM ATION: The provisions of Section 170 of the Atomic P t iso of tne commin.mn s regu! tion. th..

"$140.000.000" to "S160.000.0007 Energy Act of 1954, as amended. (the imokmem the Act. disiiruresnea be**een me

10. Section 140 93. Appendix C. Article Act) require production and utilization Py"'1*[g[ d'M*l",Q'T' III. paragraph 4{b)p). is amended by facihty licensees to have and maintam each io mcrease. m a rrman Wer of fmama!

changing "$140.000.000" to financial protection to cover public p otecton

"$160.000.000.*

Federal Reinster / Vol. 44. No. M / Fr: day. Apnl S.19"'9 / Rules and Regulations 20633

! 140.94 [ Amended!

FEDERAL DEPOSIT INSURANCE Smce the changes are procedural in

11. Section 140.94. Appendix D. Article CORPORATION nature or necessitated by statutory

!!. paragraph 6. is amended by changmg 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 Assessment of Corporation has determmed, under i M 95 [ 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 111. paragraph 4(b)(2), is amended by Status public participation in. this rulemaking changmg "$140.000.000" to AaENCY: Federal Deposit Insurance is unnecessary and that good cause

..$160.000.000."

Corporation.

exists for the waiver of the 30-day deferral of the effective date for the 5 140.107 [ Amended!

ACDON: Final rule.

Changes.

13. Section 140.107 Appendix C.

SUMMARY

The Federal Deposit Accordingly.12 CFR 307.3 and 327.2 Article ll, paragraph 6(a),is amended by Insurance Corporation has decided to

{u paragraph (b) are changed as deleting the amount "$108.500.000" revise and amend il 307.3 and wherever it appears and substituting 327.2(b)(3) ofits 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.

Enancial Institutions Remilatory and STATUS Interest Rate Control Act of1978 j

P8{'gra,

ded by (FIRIRCA) which per+ain to the 1.12 CFR 307.3 is revised to read:

i

, mg wherever it appears and substitutmg assumpti n and assessment of deposit 9 3ay 3 gg%g 3g therefor "$36.000.000."

liabihties of insured banks. and (2) de fumished the corporation where correct an inaccurate reference.

15. Section 140.107 Appendix G' deposits are assumed by another insured EFFECTIVE DATE: Aprd 6.1979.

bank.

ang teamo t 14 0 FOR FURTHER INFORMADON CONTACT:

(a) Whenever the deposit liabilities of to "$160.000.000.-

Jerry L Langley. Senior Attorney, an insured bank are assumed by another Federal Deposit Insurance Corporation, msured bank, whether by merger.

16. Section 140.107. Appendix C.

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" S PPMMEN ARY WFORMADON Section continuing bank shall give notice of the 304 of FIRIRCA amends Section 8(ql of assumption to the depositors of the bank i 140.108 1 Amended) the Federal Deposit Insurance Act (FDI whose deposits are assumed within 30

17. Section 140.108. Appendix C.

Act) to provide that whenever the days after the assumption takes effect.'

Article II. paragraph 6. is amended by deposit liabilities of an insured bank are Such notice shall be (1) mailed to each changing the amount "$140.000.000" t assumed by another insured bank, depositor at the depositor's last address whether bv merger, consolidation, or f record as shown upon the books of 000.000' other statutory assumption, or by the bank. (2) published in not less than

18. Section 140.108. Appendix H.

contract:(1) the msured status of the tw issues of a local newspaper of Article III, paragraph 4(b). is amended bank whose deposits are assumed shall general circulation, and (3) in form by changing the amount "$140.000.000" tarminate on the date the Corporation substantially as follows:

to "$160.000.000."

receives satisfactory evidence of the ce o '

EFFECTIVE DATE:Ute foregoing assumption:(2) the separate insurance

,, b sed that the deposit amendments become effective on May 1.

of allinsured deposits so assumed shall liabilities shown on the books of(Name of 19~9.

terminate stx months after the date the Assumed Bank)

(City or town)

(Secs.181. Pub. L as-roa. as Stat. 948 (42 assumption takes enect or,in the case of (State) as of close of U.S C. 2201): Sec.170. Pub. L 85-256 *1 Stat.

any time deposit. the earliest matunty busmess on

.19-- have been Stat. ml (42 U.S.C.

date after the six month period: and (3) assumed by the understgned bank. De 4{a Pub. L 94-19' 89 the Contmuing bank shall give notice of maured status of(Name of assumed bank) 0): Sec. 201. Pub. L 93-438, as amended. 88 p

o e depos die will ternunate at the tune provided in section Stat.1242. 89 Stat. 415 (42 U.S.C. 5841))

,the as alq) of the Federal Deposit Insurance Act.

Dated at Washmgton. D.C this 2nd day of

,in 30 days after the assumption therefore termmate at the end of six months ne separate insurance of its deposits will

.es 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 ear!iest matunty date after the saw I. cha, and to correct an inccrrect citation by stx-month penod.

s = wr e.cm - =

changing the reference "I 30(3 (s) and You are advised that the undersigned bank fu one 3 tonsa n.d -m e.s mi (t)" m Section 307.3(b) to "I 304.3 (u)

's an tnsured bank and that your deposits will c nemue t be meured by the Federal Deposit su macoca ne m and (v)"

Section 310 of FIRIRCA amends Insurance Corporation m the manner and to the extent provided in sad Act.

Section 7 of the FDI Act to exclude tName of Bank) deposits accumulated for the repayment (Address l of personalloans from the defimtion of There may be mcluded in such notice deposits for msurance assessment any additiorIal information or advice the purposes. Section 327.2f b)(3) of E!C,s baitk may deem desirable.

regulations has been amended to ahne its defirution of the term " deposit" for

't%e nonce reqmrement doe. not apply io assessmant purposes with that of y

. beni menrers. defined in roomote 2.

Secuon 310 of FIRIRCA.

of s,cnon Jo111(aM9).

y Federal Register / Vol. 44. No. 80 / Tuesday. April 24. 1979 / Rules and Regulations 24&t5 NUCLEAR REGULATORY Appendix 11 identifies those Requests for the sale of moiur aC ~ would COMMISSION for Interpretation which have been consature 'he imposman of a more sermeent dismissed dunng the same penod.

crecir term than re cred:t terms m effect on 10 CFR Part 140 FOR Fu=THER INFORMATION CONTACT *-

i he General A:.ocanon and P,ce Ru>s set Diane Stubbs. Office of General forth at to CFR Part 210 and adopted en Financial Protection Requirements and Counsel. Department of Energy.12th A kna arv 141974, w FR n;4 @nuary 15.

Indemnity Agreements; MisceHaneous Pennsylvania Avenue NW., Room 1121.

tr4). were mtenced to set forth the Amendments s

Washmgton D.C. OtM61 (202) 633.-9070.

prousions apphcabie io both the Mandarory

^

Coa

• rian SUPPt.EMENTARY INFORM ATlON:

Interpretations issued pursuant to 10 Part 211) and the Mandatory Petroieum F5ce in FR Doc. 79-10853. appeanng at Regulanons (lo CFR Part 2121. The allocation page 20632. in the issue of Enday. Apnl CFR Part 205. Subpart F. are pubbshed and pnce regulanons were adopted to in the Federal Register in accordance implement the statutory mandate of Section 6.1979, on page 20633' make the following corrections:

with the editonal and classification 4f a) of the Emergency Petroleum Allocation (1) In the first column in paragraph 15.

criteria set forth in 42 FR 7923 (February Act of 1973 (EPAA). as amended. Pub. L No.

8.19-), as modified in 42 FR 46270 9M59 (November 2".19 3).'

in the second hne. correct " Art.cle 111" to (Septem ber 15.1977).

Section 210 62(a) resulates credit te-ns as a read " Article 11 These Interpretations depend for their P"" * "' #Y #

(2)In paragraph 17 in the first lme.

ro.es that cred:t and other conutions of sie n a a m cy facmal piay m tne now of product ' sect:an 210 62:ai correct "Appendis G" to read Statement used as a basis for the proudes n reieunt prt:

. PP g.,

Interpretat:on (10 CFR 205 MIal(21) and

"%ppaers wa: de d wan purchasers cf an e4wwo coot isom-u may be resc:nded or modifwd at any allocated product accarama to no-nal

~

time (1205.85(d)). Only the persons to busmess practices m effect dur:ng the base

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-~~ whom Interpretations are addressed and pen d specified m Par 211 for that aHocated DEPARTMENT OF ENERGY other persons upon whom P' d"C' ""d '

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'"PP "'"'Y " d'I '">

Interpretations are served ase entitled to car umsention of any provision of this 10 CFR Part 205 reiY on them (i 205 85fc)). An cha pter.

. Credit terms other than those Interpretation is modified by a assoc:ated with seasonal credit programs are Administrative Procedures and subsequent amendment to the mcluded as a part of the May 15.19'3 pnce Sanctions; 1979 Interpretations of the regulation (s) or ruling (s) interpreted chargad to a class of purchaser under Psrt General Counsel thereby to the extent that the 212 of this Cha;wer. Nothna m this paracapn 3GENCY: Department of Energy-Interpretation is inconsistent with the shad be construed to require supphe-s to seu ACTION: NottCe of Interpretations.

amended regulation (s) or ruling (s) to purchasers who da not arranse proper

'"# ' ' P' F""' I ' ' ' ' d F d#8

() 205.85(e)). The InteTPretations custamanly assoc:ated w:th that class of' d'

SUMMARY

Attached is the Interpretation published below are not subject to purchaser.

on May 15.1973.

issued by the Office of General Counsel appeal.

However. no supplier may require or impose of the Department of Energy under 10 Issued m Washmgton. D C.. Apul 10. Ig g.

more stnngent c ed:t terms or papnent CFR Part 205. Subpart F. during the rma wr sua. p.

schedules on purchasers than those in effact pertod March 1.19~9. through.',1 arch 31.

^" "' C'* C".e*s*. ' * **==

• W I h'I'2' I

"h

" M'Y I3' P

o% % em a-1973.

Accord:ng to the fat 3 presented by Smclatr. nenber at the present tm e nor on Appendut A-4nterpretations

'15 U S C. ?51 n m (tr61

'Since the ceasion by the Te npors y Emerwcv No To ose cenegory Fee No Court of Ar&4.s in Mamh o./ Cs v FEA 347 F d u40 (TECA trn me e can be no deabt i 9 '9-o3 Sacar Os Coroc seon..

_ _ Waren s.

8%ce..

4-34 9 concernmg the etncrt) of the Federal Enenry Admirastranon WEA) and as succesur me DCE. to regWate credit terms incident to the mandatorv petroleum pnce retreauons. In add: bon te DOE Interpretation 19*9-3 account. At the present time. Smclair desires has res eved issues sun iar to the one present d bv Tm Smclair Oil Corporation to modify its standard contracts for the sale

'h*"'" " "

a*e pe-nasioie m view if t% prmons of 8'%

W

" nC' l 21Ma1 Y Emn Cow G A. : DCE Rnulatwn foreepmed-10 CFR 210 62ta) of one and one-half (t h] percent rnanthly on 90.1so roctober :s irsi, cerstai Od Co.1 FEA Code: GCW-PI-Normal bustness practices the balance of aH accounts not paid wnhm 30 1:oast IOctober 8. ten in Od Tmmt C. m Facts days. No other credit terms are to be Interpretanmi m -35. 42 FR M:ra Ow 5.

changed.

19m the DOE found tha' rewnra mrtmen M The Sinclair Oil Corporation. a small and mh moLna to.ncur 5r tre nest we **

.ndependent ret'mer subiect to 10 CFR Part

/ssue Anonal cost of corainma :acers of ceca 212. Subpart E. markets petroleum products Does Smcla;r's proposal to assess a finance

,[,7,(([g]$$((,$$[7.,[.[

through its subsidi tv Smclair Market:ng, charua on all delmquent accounts corstitute

he crett te-ms a esce >n M n ti mi n Inc. iSmdaitt Since May 19 3. Smchir s the imposaion of a mere strmgent cred;t term ven v 1:n su He.eur m, ace F.u ne standard cnntracts with robbers and dealers than the credit terms m effect on May 15.

p* m e consaa-m aca a w n w me tra-u for trie sale of motor gasohne hase required 1973. wita:m the rnaarting of 10 CFR 210 62!a P w *"er* *e Nased ' W n aae a' pavnent m fuH withm 30 days Pavment :n

""'d * * * "-

• w w 0 "' '

• he n fu!! withm 'o cays nas ent: tied a purchaser to 13feMla V3

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.a 1 percent iscount on the purtnase price For the reasons set orth betow. 'he S nchur nas considered an account Department of Enemy IDOE; nas determmed outstancmg for more than 30 aays to be :n that Smcla:r s nc!us.on of a 1 % peecent default ano subiet t to suit. In that.mstant e rnontniv fmance crtarse on all accounts nor codection costs wou;c be assignabie to 'he paid wthm Jo dns m ts standara contracts