ML20011E499

Discusses Liability & Funding Requirements Re NRC Decommissioning Funding Rules & Verifies Understanding of Rules.Ltr from NRC Explaining Liability & Requirements of Rule Requested

ML20011E499
Person / Time
Site:	Monticello, Prairie Island, 05000000
Issue date:	02/06/1990
From:	Lawrence D NORTHERN STATES POWER CO.
To:	Wood R NRC
References
NUDOCS 9002150264
Download: ML20011E499 (1)

Text

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semphen c tapesar wnier's Duece Del Nm Herned J Sa08'y Jannn M McGuve February 6,1990 gLg Done.seca L. Rice Chen L Sns Robert Wood Senior Financial Policy Analyst Nuclear Regulatory Commission ,

Room 12F9 11555 Rockville Pike' Rockville, MD 20555- 1 RE: _ Verification Letter on the Liability and Funding Requirements- >

Pertaining to the NRC's Decommissioning Funding Rules. *

Dear Mr. Wood:

~

Northern States Power Company (NSP) is in the process of beginning setting up an external fund to meet the Nuclear Regulatory Commission's (NRC) July 27, 1990 deadline. Our Company operates on an accrual basis and has chosen- to make- ,

monthly contributions to the external fund. The first of these contributions should be placed by August 27, 1990. If this is not possible, then NSP plans to make up any previous contributions from August thmugh the time the first contribution is "

made, no later than July,1991. For instance, if the first contribution was made in 1991, then the January contribution also.would include an amount for the January, Sve mont hs of 1990, August through December. It is NSP's understanding that the

' NRC rule cmates an obligation to meet external funding requirements beginning no later than July 27, 1999, regardless of when the cash is transferred to the trustee,.

and that we must begin to recognize this liability on our books at that time.

-Questions have arisen with our state agulators as to these issues. The purpose of this letter is to verify our understanding of when the liability begins, when monthly contributions to the external fund must begin, and when make up contributione must be'made if monthly contributions are missed within the first year. NSP, therefore, requests a timely letter from you or your counsel explaining the liability and funding requirements of the rule. If you have any questions, please call me at (612) 330-6648. .

Very truly yours,

& .s David A Lawren Director Law Department O N l

9002150264 900206-PDR ADOCK 05000263 k

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