ML20024A996

Forwards for Review,Draft Contract for NSS-6 & Suppl,Per 680222 Request

ML20024A996
Person / Time
Site:	Crane
Issue date:	03/27/1968
From:	Gray G BABCOCK & WILCOX CO.
To:	Favret L BABCOCK & WILCOX CO.
References
TASK-*, TASK-GB GPU-0202, GPU-202, NUDOCS 8307010285
Download: ML20024A996 (2)

Text

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L.,M. FAVRET - PROPOSITION MANAGER 1

NUCLEAR P0h'ER GENERATION DEPT. - PARDERTON J

s 000 DEN ORAY - NEW YORK DISTRICT SALES

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JERSEY CENTRAL POWER & LIGHT CO.

CONFIDagg.

CONTRACT DRAFT 1.

C O UIVS g a y RCR 27, 1968

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in keeping with the preference set forth Attached for PJR review,8, are JCP&L Company's initial draf ts of I

in your letter of 2-22-6 t,he following s

A.. Base official contract for NSS-6 B.

Supplement No.*1 thereto BASIC OFFICIAL CONTRACT DRAFT (A) -.

You will note the body of the draft contract is prepared for the 2468 lait NSS design level originally agreed upon and that it leaves the differential to ultimate power level for covera 6e by Supplement No. 1.

JCP&L feels the draft contract is patterned after the nuclear equip-ment contract between BW and the Metropolitan Edison C o. dated effective November 15, 1966, with a number of miscellaneous changes related mostly to details of working arrangements during the course of the work, and with the following major difference.s (1)

Sections II-B and II-C relate to changes due to AEC licensing r.equirements and reflect the contents of J. E. Logan's letter'to the writer dated June 12, 1967 (copy attached)

(2)

Article III provides for prepaid delivery.of all'.

equipment to the Oyster Creek plant site where JCP&L will unload it and assume risk of loss.

Customer realizes that our originally quoted price was based on barge delivery of the reactor vessel to Port of Philadelphia and rail delivery of all other items in l

(r80 BW. supply to f.o.b. Reading, Pa.

Consequently they gggg g eXpeCD to pay for the.necessary modifications.

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• Ehe moment BW is preparing a supplementary "pr'oposal l

charles Shapiro CSR wherein the reactor vessel will ship by barge to the Forked River (Oyster Creek) site and the remaining ~B&W l

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supply will sNp to f.o.b. siding at Water Creek plant.

E gb' Alternate's, within this_, proposal, Will,.at the customer's j!! B W f ofooS*2e9

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Article IV specifies Ionthly progress payments' as described in' B&W's proposal, but adds a provision for '

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adjusting the monthly pdyments schedule if B5:W's l,l l f.

performance.is significan,tly delayed

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. Here JCP&L recognizes our escalation clause but notes it is written for payments based on shipments and aska that we fill in Section IVC with an: escalation clause apprpriate for monthly progress payments.

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DRAFT OF CONTRACT SUPPLEMENT NO.1

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This draft supplement covers only the initial safety anclysis engineering work required, and alreddy. performed b; E.J!, to '

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u establish justification for the ultirrate power level (2772 Wb T-

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reflects the prelimina q Core; 2788-NSS).

This supplements 1967 proposal letter and.M ','

agreement offered in B&W'.s August 30,indated September 29,19f7 : ; K-accepted by J. E.%gan's' reply. lette

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. a CPR No. 1 is already issued for this initial engineering work;.

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All. further changenjof 'arry sort '(even supplementary engineering j

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analysis) JCP&L' plans to handle <via 9 Change;0rders."gir.aer ng

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