ML20039F910

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Comments on Proposed Amend,Paragraph 8,to License CSF-1 Per NRC 811208 Request.Revision of Paragraph 8A & Partial Deletion of Subparagraph B Requested
ML20039F910
Person / Time
Site: West Valley Demonstration Project
Issue date: 12/23/1981
From: Deuster R
NUCLEAR FUEL SERVICES, INC.
To: Rouse L
NRC OFFICE OF NUCLEAR MATERIAL SAFETY & SAFEGUARDS (NMSS)
References
20078, NUDOCS 8201140116
Download: ML20039F910 (2)


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Dear Sir:

This is in reply to your letter of December 8,1981 requesting NFS' comments on the proposed amendment, paragraph 8, to License No. CSF-1 prepared by NRC.

As presently worded, paragraph 8A could be interpreted as substituting NYERDA for NFS as the licensee for operation of the West Valley facility. We do not believe this is necessary or appropriate since paragraph 7 provides that DOE will have exclusive possession of the facility, NYERDA's license is suspended, and NYERDA's only commitment is to apply for any license required on completion of the DOE Project. The purpose of paragraph 8, as requested by NFS, was to effectuate a termination of NFS' responsibilities as a licensee when DOE assu ,

exclusive possession pursuant to paragraph 7. Accordingly, we believe par rd

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The authority and responsibility of NFS under the Of Y C license is terminated. Notwithstanding such termina- -1 tion. NFS shall promptly transfer to NYERDA or its _

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designee all records in the possession of NFS that are maintained pursuant to the license. ph':

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With respect to subparagraph B, NFS believes the following language should be deleted:

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provided that NFS shall have transferred to NYERDA all rights, title, or interest which it may have in any property at the facility.

Paragraph 7 of License CSF-1 authorizes a transfer of exclusive possession of l the West Valley facility to DOE, including the nuclear material located at the facility. Paragraph 8, as proposed by NFS, is intended to modify paragraph 7 by terminating NFS' status as a licensee at such time as DOE has assumed exclusive possession pursuant to and subject to the conditions of paragraph 7. NFS will have already relinquished or transferred such right, title or interest as necessary to enable DOE to assume exclusive possession before paragraph 8ds operative. Thus, it is unnecessary and inconsistent to condition paragraph 8 on transfer of NFS' property rights to NYERDA.

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Nuclear Fuel Services, Inc.

Mr. Leland C. Rouse December 23,1981 Page Two Moreover, the proviso is too broad in that it requires the transfer of all NFS' rights, titles and interest in any property to NYERDA. NFS could retain title to .

nuclear material pursuant to an NRC general license, so long as it does not possess or use those materials. In addition, there is'other-personal property at the site which is not subject to NRC licensing. The disposition of such property should be left to the determination of NFS' and the Authority's rights and obligations under their agreements. In this connection, we note the Authority-is contractually .

committed to provide to DOE certain items of personal property at the site which are, or may be, owned by NFS. To the extent required by DOE, such property will be made available at the time DOE assumes exclusive possession.

As you know, NFS objects to DOE assuming exclusive possession pursuant to pragraph 7 because of the uncertain status and obligations of NFS both during and on completion of the DOE West Valley Project. NFS proposed paragraph 8 to eliminate these uncertainties and enable NFS to take all actions necessary for DOE to immediately assume exclusive possession and to inithte the Project. Accord-ingly, NFS urges your prompt and f avorable decision to issue paragraph 8 with the changes discussed above.

Very truly yours, Y , A>>101_ a Ralp W. Deuster RWD:jnw cc: Warren E. Bergholz, Jr., Esquire, DOE Mr. James L. Larocca, NYERDA 2:078