ML20031E474

Advises of NFS Position That Amend to License CSF-1 Should Not Be Issued.Transfer of Site Cannot Occur Until Ny Energy R&D Authority Accepts Site & NFS License Terminated

ML20031E474
Person / Time
Site:	West Valley Demonstration Project
Issue date:	09/25/1981
From:	Edgar G MORGAN, LEWIS & BOCKIUS, NUCLEAR FUEL SERVICES, INC.
To:	Cunningham R NRC OFFICE OF NUCLEAR MATERIAL SAFETY & SAFEGUARDS (NMSS)
References
19722, NUDOCS 8110150591
Download: ML20031E474 (3)

Text

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Mr. Richard E. Cunningham C

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Dear Mr. Cunningham:

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19 8 This is in reference to the NY ERDA letter

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r August 14, 1981 enclosing an application to amend 1 j

()R License No. CSF-1.

By letter dated September 11, 1981 NFS responded to your request for NFS' position on that application.

As you know, it is NFS' position that the amendment proposed by NY ERDA and DOE should not be issued, and no transfer of the West Valley site to DOE can occur until NY ERDA accepts the sitm ftom NFS and the NFS license is terminated.

If NRC intends to proceed with the pending application and proposed license amendment, NFS requests that the amend-ment include the enclosed language as paragraph F of the l

proposed amendment.

The additional paragraph would establish a self-executing termination provision for the I

NFS portion of the existing license at such time as NFS surrenders its rights to possession of the West Valley site to NY ERDA, either by mutual agreement of the parties or as a result of a court decision requiring NY ERDA to accept the site.

NFS maintains its position that it will not acceed to the proposed transfer without a complete termination of the k'k:E '

, 5.9 19722 8110150591 81 5

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MORGAN, LEWIS & BOCKlUS Mr. Richard E. Cunningham September 25, 1981 Page Two NFS portion of the NRC license.

However, including the proposed paragraph F would make it unnecessary to apply for another amendment terminating the NFS portion of the existing license at such time as the current dispute between NFS and NY ERDA is resolved.

Thus, the transfer of the site to DOE could be facilitated as quickly as possible without affecting the rights and obligations of the parties in the interim.

l Very truly yours, Geo L. E Att rney Nuclear Fuel Services GLE/ye l

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The licensee, Nuclear Fuel Services (NFS), may by mutual agreement with the licensee, New York State Energy Research and Development Authority (ERDA), or as a result of a fal and unreviewable judicial order, surrender its rights to possession and control of the facility to ERDA.

If NFS does surrender its rights to ERDA and ERDA accepts that surrender then all rights and responsibilities of NFS under this license are automaticauy terminated effective as of the date of acceptance.

ERDA will remain responsible as licensee in accordance with paragraphs 7A-7E above.

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