ML20003H583

Forwards Indemnity Agreement Granting Rockwell Intl Access to West Valley,Ny Facility for 1981-82.Requests NFS Signature

ML20003H583
Person / Time
Site:	West Valley Demonstration Project
Issue date:	04/29/1981
From:	Dircks W NRC OFFICE OF THE EXECUTIVE DIRECTOR FOR OPERATIONS (EDO)
To:	Deuster R NUCLEAR FUEL SERVICES, INC.
References
NUDOCS 8105060417
Download: ML20003H583 (1)

Text

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[*g UNITED STATES NUCLEAR REGULATORY COMMISSION 2

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.E WASHINGTON, D. C. 20556

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APR 2 91981 Docket No. 50-201 i ?&fd 199/w k G%%

Nuclear Fuel Services, Inc.

ATTN: Mr. Ralph W. Deuster, President 1>

6000 Executive Boulevard, Suite 600 d

di Rockville, Maryland 20852 Gentlemen:

As a result of a series of meetings held following our letter to you dated June 26, 1980, the Nuclear Regulatory Comission (NRC) agrees to indemnify Nuclear Fuel Services, Inc. (NFS) in accordance with the enclosed indemni-fication a This agreement on the NRC's part is in consideration of NFS (1)greement. granting full and free ingress and egress at all reasonable times during the calendar years 1981 and 1982 to those portions of and activities at the Western New York Nuclear Service Center facility at West Valley New York under the control and authority of NFS to the Department of Energy's (DOE) Contractor, Rockwell International Corpora-tion (Rockwell) which will perform certain activities at that facility for the NRC pursuant to arrangements between the DOE and NRC, and (2) providing full cooperation to Rockwell in regard to Rockwell con-ducting said activities at the West Valley facility.

Please indicate your acceptance of this agreement by signing the agreement and returning the original copy to us.

Sincerely, (Signed) Wi!!!si J. Di:cks William J. Dircks Executiv'e' Director for Operations

Enclosure:

Indemnity Agreement l

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810 50604[fS

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INDEMNITY AGREEMENT 1.

Subject to the availability of general appropriations, the Nuclear Regulatory Comission agrees to indemnify and hold harmless Nuclear Fuel Services, Inc. against all claims, losses and expenses on account of property damage not conpensated by insurance or otherwise and arising out of or in connection with the activities of the Department of Energy's Contractor Rockwell International Corporation at the Western New York Nuclear Service Center facility in West Valley, New York (the facility), unless such claim, loss or expense is caused directly Sy willful misconduct or gross negligence on the part of Nuclear Fuel Services, Inc.

2.

Nuclear Fuel Services, Inc. agrees that during the life of this indemnity agreement its sole and exclusive remedy for any such property damage shall be under this indemnity and no claim or action shall be asserted at any time against Rockwell International Corporation for any such damage.

3.

The term " property damage" as used herein does not include minor cosmetic damage such as but not'11mited to scratching and scarring.

4.

In the event any equipment, apparatus or other thing operated or manipulated by or under the control or direction of Rockwell International Corporation makes physical contact with the waste tank, the concrete vault or any appurtenance to either of them (by way of example and not by way of limitation, appurtenances include risers, plugs, vents, external pipint etc.) and Nuclear Fuel Services, In'c. asserts that such physical contact has caused damage to or defective condition of the waste tank, the concrete vault or any appurtenance, excluding those conditions listed in paragraph 5 below, the Nuclear Regulatory Comission shall then have the burden of going forward with evidence to show that such damage or defective condition was not caused by such physical contact or that such damage or defective condition is cosmetic only and does not compromise the integrity or operation of the waste tank, concrete or appurtenance.

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l 5.

Listed below are the instances of evidence of damage to or defective condition I

of the waste tank, the concrete vault or any appurtenance for which the provisions of paragraph 4 above shall not apply and the burden of going forward with evidence shall be determined solely by the applicable rules of law:

A.

Evidence of tank leakage:

1 1.

Pools of waste or salt deposits in the bottom of the pan 2.

Seeps of waste or salt deposits on external tank surfaces i

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_2 B.

Corrosion of tanks or associated piping:

1.

Detection of conditions with the potentia 1 for stress corrosion cracking 2.

Excessive general corrosion, near or beyond design limits 3.

Pitting corrosion C.

Defects in Tanks:

1.

Small cracks (detected by ultrasonic testing) which may not penetrate entire tank wall thickness 2.

Void Spaces or Slag Inclusions D.

Defects in Vaults:

1.

Cracks in concrete 2.

Seeps or other evidence of in-leakage through the vault 3.

Spalling or other deterioration of vault internal surfaces E.

Conditions attributable to Construction Errors:

1.

Missing components 2.

Construction debris F.

Adverse Conditions in Soils Surrounding the Vaults:

1.

Above background radioactivity detected in soil samples 2.

Contiguous sand lenses in the vicinity of the vaults 3.

Presence of an aquifer in the vicinity of the vault

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4 G.

Defective conditions clearly existing in the waste storage system prior to the conduct of the inspection, for example, the 8D-2 pan defect.

6.

This indemnity agreement applies only to damage to property located at the facility and only with respect to damage that occurs while the facility is in the possession of Nuclear Fuel Services, Inc.

U. S. Nuclear Regulatory Commission (signed)Yldii::Ti).Dlicks William J. Dircks Executive Director for Operations Date:

APR 2 81981 Nuclear Fuel Services, Inc.

Ralph W. Deuster, President Date:

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