ML20040E081
| ML20040E081 | |
| Person / Time | |
|---|---|
| Site: | South Texas  |
| Issue date: | 12/31/1981 |
| From: | Tedesco R Office of Nuclear Reactor Regulation |
| To: | Oprea G HOUSTON LIGHTING & POWER CO. |
| References | |
| NUDOCS 8202030080 | |
| Download: ML20040E081 (3) | |
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DEC 311981 Docket Nos. 50-498 gIQ and 50-499 P
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4 Mr. G. W. Opma, Jr.
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Executive Vice President
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Post Office Box 1700
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Dear Mr. Opma,
dh In Section 2.1.1.2, of the FSAR for the South Texas Project, you state, in part:
The participants in the STP have acquired all of the surface estate within the site boundary (except for the rights of way for the public roads noted in the preceeding section) as well as most of the mineral interests within the site boundary. As a result of the acquisition of this surface estate and these mineral interests the participants in the STP have the power through ownership to control all activities within the exclusion area. By virtue of the acquisition of this surface estate and these mineral interests and the power to acquire such outstanding interests in the mineral or subsurface estate as may be required for operation of the facility, the participants will have the authority to determine any and all activities involving either or both the surface or mineral estates within the legal limits of the site and outside of the public road rights of way previously noted.
On October 27, 1981, Mr. Thomas Pounds met with Jay M. Gutierrez, the NRC staff attorney and Donald E. Sells, the Project Manager, to discuss his claim of a royalty interest in a fraction of the minerals below certain of the lands comprising the South Texas Project site. He further indicated at that r
time that neither he nor any other person to his knowledge has an executive interest in any of the minerals within the exclusion area. However, in a follow-up letter dated November 2,1981-(enclosed), Mr. Pounds does call I
into question your ability to control futum development of the minerals under the project site.
In order to satisfy the provisions of 10 CFR 5100.3, the eiclusion area used to determine compliance with 10 CFR Part 100, is limited to "that area...
in which the reactor licensee has the authority to determine all activities including the exclusion or removal of personnel and property from the area...
Activities unrelated to operation of the reactor may be pemitted in an exclusion area under appropriate limitations, provided that no significant hazards to the public health and safety will result." In light of the information supplied 8202030080 811231 PDR ADOCK 05000498 P
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DEC 3 11981 Mr. G. W. Oprea by Mr. Pounds, please provide information substantiating your present ability to control mineral development within the exclusionary area. Tais infonnation should be provided by February 15, 1982.
If you have any questions, contact D. Sells, the Project Manager at (301) 492-7100.
Sincerely, original sign A by Robert L Tedo=>c Robert L. Tedesco, Assistant Director for Licensing Division of Licensing
Enclosure:
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. If you have any questions, contact D. Sells, the Project Manager at (301) 492-7100.
Sincerely, Robert L. Tedesco, Assistant Director for Licensing Division of Licensing cc:
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- j WASHINGTON, D. C. 20555 Docket Nos. 50-498 DEC 311981 and 50-499 Mr. G. W. Oprea, Jr.
Executive Vice President Houston Lighting and Power Ccmpany Post Office Box 1700 Houston, Texas 77001
Dear Mr. Oprea,
In Section 2.1.1.2, of the FSAR for the South Texas Project, you state, in part:
The participants in the STP have acquired all of the surface estate within the site boundary (except for the rights of way for the public roads noted in the preceeding section) as well as most of the mineral interests within the site boundary. As a result of the acquisition of this surface estate and these mineral interests the participants in the STP have the power through ownership to control all activities within the exclusion area. By virtue of the acquisition of this surface estate and these mineral interests and the power to acquire such outstanding interests in the mineral or subsurface estate as may be required for operation of the facility, the participants will have the authority to determine any and all activities involving either or both the surface or mineral estates within the legal limits of the site and outside of the public road rights of way previously noted.
On October 27, 1981, Mr. Thomas Pounds met with Jay M. Gutierrez, the NPC staff attorney and Donald E. Sells, the Project Manager, to discuss his c.laim of a royalty interest in a fraction of the minerals below certain of the lands comprising the South Texas Project site. He further indicated at that time that neither he nor any other person to his knowledge has an executive interest in any of the minerals within the exclusion area. However, in a follow-up letter dated November 2,1981 (enclosed), Mr. Pounds does -call into question your ability to control future development of the minerals under the project site.
In order to satisfy the provisions of 10 CFR 5100.3, the exclusion area used to determine compliance with 10 CFR Part 100, is limited to "that area...
in which the reactor licensee has the authority to detemine all activities including the exclusion or removal of personnel and property from the area...
Activities unrelated to operation of the reactor may be pemitted in an exclusion area under appropriate limitations, provided that no significant hazards to the public health and safety will result." In light of the information supplied
4 Mr. G. W. Oprea DEC 31 W by Mr. Pounds, please provide information substantiating your present ability to control mineral development within the exclusionary area. This information should be provided by February 15, 1982.
If you have any questions, contact D. Sells, the Project Manager at (301) 492-7100.
Sincerely, NW Robert L. Tedesco, Assistant Director for Licensing i
Division of Licensing
Enclosure:
As stated cc w/ encl:
See next page i
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SOUTH TEXAS Mr. G. W. Oprea, Jr.
Mrs. Peggy Buchorn Executive Vice President Executive Director Houston Lighting and Power Company Citizens for Equitable Utilities, Inc.
P. O. Box 1700 Route 1, Box 1684 Houston, Texas 77001 Brazoria, Texas 77422 Mr. J. H. Goldberg William S. Jordan, III Esq.
Vice President - Nuclear Engineering Harmon & Weiss
& Construction 1725 I Street, N.W.
Houston Lighting and Power Company Suite 506 P. O. Box 1700 Washington, D.C.
20006 Houston, Texas 77001 Mr. D. G. Barker Brian Berwick, Esq.
Manager, South Texas Project
. Assistant Attorney General Houston Lighting and Power Company Environmental Protection Division P. O. Box 1700 P. O. Box 12548 Houston, Texas 77001 Capitol Station Austin, Texas 78711 Mr. M. L. Borchelt Central Power and Light Company Shannon H. Phillips P. O. Box 2121 Resident Inspector / South Texas Project Corpus Christi, Texas 78403 c/o U. S. NRC P. O. Box 910 Mr. R. L. Hancock Bay City, Texas 77414 City of Austin Electric Utility Department P. O. Box 1088 Austin, Texas 78767 Mr. J. B. Poston Mr. Lanny Sinkin Assistant General Manager for Operations Pat Coy l
City Public Service Board Citizens Concerned About Nuclear Power P. O. Box 1771 5106 Case Oro l
San Antonio, Texas 78296 San Antonio, Texas 78233 i
Jack R. Newman, Esq.
Mr. Cloin Robertson Lowenstein, Newman, Axelrad & Toll Manager, Nuclear Licensing I
1025 Connecticut Avenue, N.W.
Houston Lighting and Power Company Washington, D. C.
20036 P. O. Box 1700 Houston, Texas 77001 Melbert Scnwarz, Jr., Esq.
Baker & Botts
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One Shell Plaza Houston, Texas 77002 c ',/ i..
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. -u Mr. E. A. Saltarelli Brown & Root, Inc.
P. O. Box 3
. o. I Houston, Texas 77001 L
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THOMAS W. POUNDS s
ATTORNEY AT LAW 13410 KINGSRIDE HOUSTON,. TEXAS 77079 s
I November 2, 1981 Mr. Donald M. Sells Nuclear Regulatory Commission Phillips Building 7920 Norfolk Avenue Bethesda, Maryland 20014
Dear Mr. Sells:
I would like to express my appreciation for the consideration which you and Jay Guiterrez extended to me at our meeting in Bethesda on October 27, 1981.
I understand fully your-limitations on becoming involved on a formal basis in a private dispute between an individual and the l
South Texas Nuclear Project, and I agree that our damages are properly determinable through litigation to be initiated l
in the appropriate court.
I would, however, point out I
again for your consideration that this matter does directly bear on safety considerations of the Project, and is a situation of immediate, as well as future public concern.
Contrary to popular belief, the Project does not have complete control over development of the minerals under the Project site.
Ownership of executive rights to,the mineral estate does not vest in the execuhive the right to control whether or when the minerals will be' developed, but rather grants only the limited right, to be exercised in a manner.,
consistent with the best interests of the nonexecutive,~ to independently negotiate the terms of a lease when the opportunity to lease arises.
Within the scope of powers granted to the executive, of course, is the right to negotiate with the prospective lessee agreements concerning the use of the surface so long as, and only in the event that, such agreements do not prevent, delay or otherwise impair the.
development of the mineral estate to the detriment of the nonexecutive royalty owner.
The various cases that I left with Jay Guiterre: at our Seeting explain in more detail the obligations that are assumed by a party acquiring the executive interests to a mineral estate.
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Mr. Donald M. Sells November 2, 1981 Page 2 Because the Project cannot lawfully exercise.its executive rights in a manner. detrimental to the interests of the nonexecutive owners, if there is concern that drilling or production related occurrences such as differential settlement, overall loss of elevation or hydrocarbon pollution of the cooling reservoir may affect the safety aspects of the plant construction or operation, the outstanding non-executive interests are an immediate safety concern which the NRC should consider at the earliest possible date.
This is particularly true in view of the productive potential of the property as indicated by the results of earlier drilling which we reviewed at the meeting, the apparent continuing policy of the Project to refuse to negotiate with prospective lessees or to permit seismic surveys on the property and the ihtentions of the nonexecutive owners to require the Project to properly discharge its duties as executive.
If you desire further information on this matter please feel free to call on me.
Very truly yours, a w. s Thomas W.
Founds TWP/ss I
Mr G ay$ uiteFr_e, cc:
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