ML20033F730
| ML20033F730 | |
| Person / Time | |
|---|---|
| Site: | 07001201 |
| Issue date: | 03/19/1990 |
| From: | Johnson T NRC OFFICE OF NUCLEAR MATERIAL SAFETY & SAFEGUARDS (NMSS) |
| To: | Gervais J BABCOCK & WILCOX CO. |
| References | |
| NUDOCS 9003280180 | |
| Download: ML20033F730 (1) | |
Text
LB/051 k
J. F. Gervais 1
i Chi;f Administrative Officer i
B&W Fuel Company 3315 Old Forest Road i
i P.O. Box 10935 gag g g jggg Lynchburg, VA 24506 0935
Dear Mr. Gervais:
Your March 2,1990 letter to Mr. K. G. Steyer was forwarded to this offic
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response to your questions regarding wnetner a parent company guarantee used in combination with other financial mechanisms.
t all costs associated with decomissioning, regulations is to en The intent of the i
l.icensees affected by the regulations can fulfill their financial obligations through the use of a i
Draf t Regulatory Guidet " Standard Format and Co j
i Mechanisms Required for Decomissioning Under 10 CFR Parts January 1990.
30, 40, 70 and 72 "
3 guarantee but cannot use the guarantee in combination i
metheds(see10CFR70.25(f)(2)).
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It is our understanding that the licensee which is a Delaware General Partnership co,nsisting of two partners.in this partners are B&W Tuel The Fuels, Inc., which own,s the remaining 49%.Inc., which owns 51% of the co Assuming that B&W fuel Inc., has controlling interest in B&W Fuel Company and can pass the financia,l test specified in the regulation, it would be acceptable fur B&W Fuel, Inc., to provide a parent guarantee.
interest in the subsidiary Because a parent needs to have controlling i
to provide the parent guara,nteeit would be unacceptable for Virginia Fuels, Inc.,
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utilize the r,arent company guara. As stated earlier, a qualified licensee can combination with other financial mechanisms.ntee but cannot use the guarantee in Therefore, it would be i
unacceptable for B&W Fuel Inc., to provide a parent guarantee for part of the financial responsibflity and Virginia fuels, Inc., another mechanism for the; remaining financial responsibility, t
Louis Bykoski on (301) 492-0572.If you have any further questions, p i
sincerely, I
t Timothy C. Johnson, Section Leader Decommissioning Section i
Regulatory Branch Division of Low 4
- vel Waste Managtment and Decommissioning Office of Fuclear Material Safety LLWM 90 051 and Safeguards Distribution: Central File #
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