ML20033C906
| ML20033C906 | |
| Person / Time | |
|---|---|
| Site: | Comanche Peak  |
| Issue date: | 11/18/1981 |
| From: | Ellis J AFFILIATION NOT ASSIGNED |
| To: | NRC |
| Shared Package | |
| ML20033C907 | List: |
| References | |
| FRN-46FR41786 46FR41786-162, NUDOCS 8112040482 | |
| Download: ML20033C906 (6) | |
Text
~.5.6.. t/yg>.t/g N 8W S )]. g
- h.,~[,.'
J.,
l
.z.u,l: :::~ ~
( % YR klitb
. : -~ ~
3 t g-
.- %...~~ m.
t g
.YY Y
.q. ;.
l
./
Juanita Ellis 1
. e}
n/18/81 '81 NOV 23 P1:34 NAQ Vfi
.G'-
t o'
. UW;CH
/
g\\
'NN
\\ \\ }\\ b I believe we failed to include a copy of thiy<f (
in the packet we mailed express = ail earlier today. Please parden the oversight.
(\\
{
$3 12
,,, f 6K, 9
/,it'.A*
8/ :'S ') t y, \\ w x_
P. S. If you already have received a copy of this, please let me kncv, because it means we left it cut of sc=ecne else's packet'.
Thanks.
Mrs. Juanita Ellis 1426 S. Folk l
Dallas, Texas 75224 (214/S46-S44) verk, usually Tuesdays and Fridays only, 21h/9hl-1211 O
DS /
.s /
Il/
\\
Aoin
.{gsEd 8112040482 1g
$DRADocx0300o443 PDR l
i --.:. = : c -
. 5;;=
be'% hQQb, m
g, r.x.t.rEn 11!10!01' 2...f uw1TED ANTES oF memICA
^
NUCLEAR REQUIATORY CCDOESSIOR
'81 NOV 23 P1 :34 EEFM E THE ATGtIC SAFETY AED LICIESIE BOARD 5 03ETARS
. -. -In the Matter of l
0;. p,c 7" ' ic:
9 e c m: '
l Docket Mas. So-M S APPLICATICE OF 'IEKAS UTILITIES l
aat 50-46 GEEERATIES CCBIPAEY, ET AL. FOR. Alt l
OPERATIM3 LICENE FOR CG6ANCHE l
nC..._,,,,,,.,-.
.-...::a.
PEAK STEME MC Sa'i' ION l
UrITs #1 Ano #2 (CysEs) 1 E;565 CQ._ D..,a
(% FRO'eTro INDEX.
l to CASE'S ANSWER TO NRC STAFF'S MOTION FOR
SUMMARY
DISPOSITION OF CONTENTION 25 (FINANCIAL QUALIFICATIONS)
Page No.
CASE expects to prove: ---------------------------------------------- 1 thru 3 7
(-
(
-h I.
STATEMENT OF CONTENTION -----------------------------------------
3 x
II. APPLICANTS ARE RELYING ON FUTURE RATE INCREASES TO PAY EACH APPLICANT'S SHARE OF THE COSTS ASSOCIATED WITH THE OPERATION OF COMANCHE PEAK. ---------------------------------------------- 3 thru 5 I
III. APPLICANTS' AND NRC STAFF'S INTERPRETATION OF STATE OF TEXAS AND THE TEXAS PUBLIC UTILITY CCM4ISSION'S REGUIATIONS IS SKEWED TO SHOW ONLY ONE SIDE OF THE QUESTION. ----------------- 5 thru 22 l
A.
Background ------------------------------------------------ 8 thru 22 l
Frcm the 1979 DP&L rate hearings, Docket No. 2572: -------- 14 thru 19 F'cm the 1980 (the most recent) DP&L rate hearings, Docket No. 3460: ---------------------------------------- 19 thru 22 IV.
FOR THE PAST SEVERAL YEARS, THE TEXAS UTILITIES APPLICANTS HAVE EXPRESSED CONhEUING AND INCREASING CONCERN THAT THEIR FINANCIAL CONDITION IS DETERIORATING. ------------------------------------ 22 thru 28 V.
MANY OF THE STATEMENTS CONTAINED IN STAFF'S MOTION FOR
SUMMARY
DISPOSITION ARE ERBONEOUS, QUESTIONABLE, OR NO LONGER VALID. ---- 29 thru 33
.j Other considerations which need to be examined ------------------ 32 and 33 y:. -
VI.
IT ' S TIME FOR ANOTHER RATE HFARING. ----------------------------
34 I
-.y
?
f
~
t Page No.
VII. IN CONCIldSION: ------------------------------------------------ 35 thru 39 STATEMENT OF MATERIAL FACTS AS TO WHICH THERE ARE GENUINE ISSUES TO
~
BE HEARD ----------------------------------------------------- ---- 1 thru 4 No. of Pages ATTACBMENTS:
CASE ATTACHMENT A -- BACKGROUND INFOINATION REGARDING TEXAS RATE 1
HEARINGS: --------------------------------------
CASEATIACEMENTB--6/22/79SupplementalResponseofApplicantto Requests for Information Submitted by Parties, DP&L Response to CASE First Request for Infor-mation Question No.18 (Additional Response),
PUC Docket No. 2572 -- Re: deconmissioning -----
4 CASE ATIACBMENT C -- 5/80 Direct Testimony and Exhibits 1 through 4 and Affidavit of David E. Kelch, Vice President and Treasurer of TESCO, PUC Docket No. 3250 --
Re: (a) TESCO's need to attract capital to finance its construction program, (b) the effect that the inclusion of CWIP in rate base will have on cash flow and quality of earnings, (c) TESCO's composite cost of capital, (d) necessity of inc..uding all of TESCO's assets in rate base, (e) attrition - the effect of increased costs on TESCO's ability to earn whatever rate of return on comr.on equity is I
l authorized by PUC, (f) Reserve for Insurance and Casualties and (g) the necessity for a full and current recovery of' fuel cost. --------. m------
24 CASE ATTACHMENT D -- 11/25/80 Transcript of Cross-Examination Testimony, DP&L Rate Hearings, (Docket 3460),
Before the City of Dallas, pages 256, 284-290, 292-293, 306-310, 324-330:
24 Cross-Examination of Joe D. Karney, Treasurer and Assistant Secretary of DP&L, pages 284-286 re: definition of financial integrity; pages 286-293 re: financial integrity, CWIP, construction program and expenditures, AFUDC, debt issues, general information.
Pages 306-310 re: rate increases, earnings, construction costs, internal generation of funds. - -
No. of Pages CASE ATTACHMENT D (continued)
Cross-Examination of. Karney (continued)
Pages 324-330 re: financial integrity; Texas Public Utility Regulatory Act and requirements for regulators, bond rating agencies and what they consider in ratings CASE ATTACHMENT E -- 9/80 Direct Testi m y in DP&L Rate Hearings (Docket 3460) of Max H. Tanner, Jr., Vice President of DP&L, will testify re: DP&L's construction program, fuel utilization plans, operations, depreciation and related matters, CASE Attachment pages 2 thru 5 --------------
k 9/80 Prefiled Direct Testimony of Joe D. Karney, Treasurer and Assistant Secretary of DP&L, re:
(a) importance of DP&L's ability to attract capital; (b) DP&L's current financial condition; (c) basis for DP&L's request to include CWIP in rate base; (d) adjusted value rate base; (e) capital structure; and (f) DP&L's composite cost of capital, CASE Attachment pages 6 thru 37 -
32 CASE ATTACHMENT F -- 12/8/60 Cross-Examination Testimony of Max H.
Tanner, Jr., DP&L Rate Hearings, PUC Docket No. 3460, transcript pages 34 thru 44, 68 thru 72, and 129 thru 132, re: background of construction program and move from natural gas to lignite and nuclear, construction costs, CWIP, rate increases, CASE Attachment pages 2 thru 13 --------------
12 Re: Comanche Peak capacity factors, CASE Attachment pages 14 thru 18 ------------------
5 Re: Ccar.anche Peak decommissioning (DP&L attorney objected), CASE Attachment pages 129 thru 132 ---------------------------------
4 CASE ATTACHMENT G -- 3/81 Prefiled Direct Testimony of Gary L.
Price, Treasurer and Assistant Secretary of TP&L, PUC Docket No. 3780 -- Re: TP&L's present financial position and events that have con-tributed to its current financial status, capi-talization of TP&L, return on common equity, overall cost of capital, financial integrity, CWIP, fuel costs and fuel adjustment clause, CASE Attachment pages 2 thru 33 --------------
32 No. of Pages CASE ATTACHMENT H -- 6/16/81 Memorandum from George Schrader, Dallas City Manager, to Itfor and Members of Dallas City Council, re: sale of Lake Fork Reservoir by Texas Utilities to City of Dallas, CASE Attachment pages 1 thru 3 --------------
3 7/7/81 DALLAS TIMES HERALD Editorial re:
Iake Fork questions, CASE Attachment page 4 -
1 6/21/81'DALIAS MORNDU NEWS Article re:
" Staff brings up water rights issue, but council wants delay", CASE Attachment page 5 1
CASE ATTACHMElff I -- 11/24/80 Cross-Examination Testimony of Max E. Tanner, DP&L Rate Hearings, (Docket 3460),
Before the City of Dallas, pages 85 thru 89, re: review of history of construction program and move fra natural gas to lignite and nuclear, construction costs, CWIP, rate increases, CASE Attachment pages 5 thru 9 -------------------
9 CASE ATTACHMENT J -- 12/9/80 Cross-Examination Testimony of Charles E. Olson, consultant for DP&L, PUC Docket No.
3460, transcript page 307, re: Texas Utii.ities companies' being penalized as they have added rate base, because of large construction program, CASE Attachment pages 1 thru 3 -----
3 CASE ATTACHMENT K -- 7/10/79 Cross-Examination Testimony of Erle Nye, Vice-President of DP&L, PUC Docket No.
2572, transcript pages 364 thru 365, Re: bond rating, selling bonds to Saudi Arabian Monetary Agency (SAMA), CASE Attachment pages 1 thru 2 2
Page 377, Re: bond rating weak, CASE Attach-ment page 3 ----------------------------------
1 Page 392, Re: bond rating would have been downgraded if had sold bonds, insufficient l
rate relief in Docket 1526 (1978), so did not sell bonds, CASE Attachment page 4 -------
1 Pages 397 and 398, Re: definition of SAMA (Saudi Arabian Monetary Agency), which purchased
$75 million of bonds, private nonrated placement, CASE Attachment pages 5 and 6 ----------------
2 CASE ATTACHMENT L -- 12/9/80 Cross-Examination Testimony of Charles E. Olson, consultant for DP&L, PUC Docket No.
4-
9 No. of Pages CASE ATTACHMENT L (continued)
Cross Rwamination of Olson (continued):
3460, transcript pages 270 and 271, Re:
need for rate relief, DP&L just has to l
have more despite record sales, highest ever return on equity, increase of TU revenues by 23% and of DP&L's revenues by 25% -------------------------------------
4 CASE ATTACEMEFf M -- 7/7/79 Cross Evamination of Max H. Tanner, Jr.,
DP&L Rate Hearings, PUC Docket No. 2572, tran-script pages 91 thru 93, 138 and 139, Re:
Comanche Peak capacity factors, CASE Attach-ment pages 1 and 2 -------------------------
2 Re: last analysis or alternative study of relative benefits of delaying Comanche Peak
~
was 1975-76, CASE Attachment pages 2 and 3 -
2 Re: no detailed analysis of delaying Comanche Peak; methodology used to arrive at cost of delaying Comanche Peak, CASE Attachment pages 4 and 5 -------------------
2 NOI'E: Most of the previously-listed Attachments are attached to sworn statements that they are true and correct fran the keepers of the records of the rate hearings. A few items rely on the sworn statement of CASE's repre-sentative as an Intervenor in the DP&L rate hearings (see statement immediately following Attachments).
l We have marked and underlined relevant portions of the Attachments to facilitate quickly locating referenced parts of the testimony or portions which have bearing on CASE's Contention 25
. 1 1
_ _ '. -.. _... ~ -.. _ _ _ _ _, _. _.. _.. _ _
~ -
-