ML20050D251
| ML20050D251 | |
| Person / Time | |
|---|---|
| Site: | Comanche Peak  |
| Issue date: | 03/29/1982 |
| From: | Burwell S, Youngblood B Office of Nuclear Reactor Regulation |
| To: | |
| Shared Package | |
| ML20050D249 | List: |
| References | |
| NUDOCS 8204120113 | |
| Download: ML20050D251 (4) | |
Text
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5AFLTY LVALUAllua LUPPORTlhG AMEh0HEhT5 hu. 5 10 CPPR-12b AHO CPPR-127 IhTRuuuCTION Un December 19, 1974, Construction Penaits CPPR-120 and CPPR-127 were issued to the Texas Utilities Generating Coopany (TULCU), Dallas Power & Light Company (DPL), Texas Liectric Service Coapany (itsCO) ano Texas Power & Light Coapany (TPL) for the Comanche Peak Steaa Electric Station, Units 1 and 2 (CPSES).
ALenoments 1 and 2 to these construction permits modified the Conditions 3.E.(7) and J.E.(u) relative to the protection of the environment. Amendments No. I and No. 2 were issued December 4,1970; and Noveuber 10, 1979 respectively. /daenduents No. 3 to these construction penaits added as co-owners the Texas Hunicipal Power Agency (TMPA) and Drazos Electric Power Cooperative, Inc. (blPC). Amendments No.
3 were issued Decciaber 18, 1979.
Auenmacnts Ho. 4 to the construction penaits, dated September 30, 1981, were issued to reflect, in part, the purchase of a 4-1/3 percent interest in CPSE5 by Tex-La from TPL. To finance its share of the project (including plant, trans-mission facilities and fuel) Tex-La received a $100 million loan guarantee from the U.5. Rural Electrification Acainistration.
In October 1961, TULCO increased its estilaate of the construction costs of CP5ES.
In January 1982, Tex-La notified TPL that, in light of the increased cost estinate, it did not have sufficient long-tena financing to support in full its 4-1/3 percent ownership interest. Accordingly, Tex-La requested consideration be given to reducing pdrticipation to 2-1/b percent. On February 12, 1982 the applicants amended the CP5LS Joint ownership agreement to reduce Tex-La's participation to 2-1/b percent and increase TPL's participation from 31-1/2 percent to 33-2/3 percent.
On March 10, 1982 TuuCO requestec araencuents to the construction permits to reflect the revised ownership interest of TPL and Tex-La.
At this tine the knC staff has coupleted its review of all safety-significant saatters related to the issuance of construction pervait amendments as requested in the March 10, 1962 application. This Safety Lyaluation is therefore issued in support of Amendments No. S to Construction Permits CPPR-120 and CPPR-127 approving the transfer of ownersnip interests between TPL and Tex-La.
The purpose of this $afety Cvaluation is to examine the impact of the proposed change in ownership shares as described above on the conclusions presented in Section 21.0 of the " Safety Evaluation of the Couanche Peak Steam Electric Station, Units 1 and 2,"
issued September 3,1974, ano Section 23.0 of the " Safety Evaluation Report related to the operation of Couanche Peak Steam Electric Station, Units 1 and 2," issued July 1961. Specifically, the evaluation will address the resultant changes or lack of changes:
1.
In the design of the facility or requireuents for safety-related infonnation.
2.
In the conclusions concerning the health and safety of the public.
3.
In the financial qualifications of the applicants; 1.e., the qualifications of _ TPL to assume the increased percentage of ownership of the facility.
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- t. VALUATION We have reviewed the application fur auendaents icentitieo above. Our review of safety-related matters and our conclusions concerning each itea are described in the following subsections of this safety evaluation.
Design of the Facility We have reviewed the application for amencuents sub:aitted by the letter of Harch 10,1982, and fino no infonnation which Icaos us to conclude that the requested amenauents to the construction permits will result in design changes to the facility. We note the above dated letter states "...the proposed amendnents are pro forma, administrative in nature and have no safety or environuental significance..." We interpret that quote to be a statement of the applicant's intent regarding the requested action. Further, the letter states, "TUuCO will retain exclusive responsibility for the design, construction, operation and maintenance of CPSE5 and will continue to act as agent for all applicants in connection with all aspects of HRC licensing and regulation."
We have also reviewed the "Second Auendoent of Joint Ownership Agreement" submitted by the letter of Harch 10, 1982, and find no infonnation which leads us to conclude that the requested auenoments to tne construction penaits will result in design changes to the facility.
On the basis of our review of the application for di.iendments, the "decond Amendment of Joint Ownership Agreement" and the above statement by the Texas Utilities Generating Coupany, we conclude that the proposeo transfer of ownership interests between TPL and Tex-La will not result in safety-significant design changes to the facility. Further, we find that our conclusions in Sections 21.0 and our conclusions in Section 23.0 of the bafety Evaluation Reports of the Couanche Peak Steam t.lectric Station, Units 1 and 2, will not be altered by the issuance of the requestec anencuents to the construction permit.
Financial qualifications of the Applicants hnC Financial Qualifications Requirements in the above referenced Safety Evaluation Reports and in the Safety Evaluations prepared in support of earlier construction penait amendments to approve the sale or transfer of ownership shares among the co-owner utilities, the NRC staff evaluated the financial qualifications of each party that might be impacteo by its assumption of a new ownership interest. The hRC regulations relating to the detenaination of an applicant's financial qualifications are set forth in Section 50.3.Hf) and Appendix C to 10 CFR Part Su. These regulations state that there must be reasonable assurance that the applicant can obtain the funds to design dnd Construct the plant including the initial fuel Core.
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. Financial qualifications of the Applicants We have reviewed the Texas Ot111 tics benerating Coupany letter of Itarch 10, 1962 requesting aluenuments to the construction perinits to reflect a transfer of 2-1/6 percent ownersnip interest in Coaancric Peak fro.n Tex-La to TPL, both of which are among the current owners of the facility. dince TPL is the only owner proposing to increase its ownership interest, TPL's ability to finance the additional 2-1/6 percent interest is the only financial qualifications issue arising out of the flarch lu,1902 request.
In the " Safety Evaluation Supporting Amendments Ho. 4 to LPPR-126 and CPPR-127,"
dated September 40, 1901, we reviewed separately two requests for anendaents to the subject construction permits. The first evaluation examined a transfer of 5 percent of the Couanche Peak ownership from uallas Power a Light Coupany (UPL) to Texas Liectric Service Comany (TLSCO) 1/2 percent, ano the Texas Power & Light Coapany (TPL) 1/2 percent. This increased the TPL ownership interests to a total of 35-b/6 percent, which is in excess of the proposed total ownership interest requested for TPL; i.e. 33-2/3 percent.
That evaluation concluded that TPL was financially qualified to finance the J5-5/6 percent ownership interests in CPSEb. The second evaluation examined the sale of 4-1/3 percent ownership interest Dy TPL to Tex-La. Accordingly, the proposed transfer is relatively insignificant frou tne financial qualifications standpoint and there is no need to re-review TPL's qualifications to finance its share of Comanche Peak's design and construction costs. Nonetheless a brief financial review of TPL is infonaative.
Revenues /het income (5111111ons) 1961 1960 1979 1978 41,164/$162
$992/S162
$610/129 4743/512J TPL's first mortgage bonds are ratea "AAA," highest quality, by both major securities rating firns, Moody's Investors Service, Inc., ana Standard and Poor's Corporation.
In addition. TPL enjoys a very favorable economic regulatory environment which, along with the high bond ratings, is an japortant factor in its ability to finance the construction of utility plant.
In accordance with the provisions of 10 CFR SO.33(f) and Appendix C to 10 CFR i
Part.50, we have concluded that TPL is financially qualified to finance the additional ownership share in Comanche Peak as describec above. There is reasonable assurance that TPL can obtain the funds to finance the proposed additional share in the facility.
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$Ul4iiARY OF Tut LAFLTY EVALUATIOk We have exarained the impact on sarety considerations of arcencing Construction Peri.iits CPPk-126 and CPPR-127 to readjust the ownership interests in the Comanche Peak Steam c.lectric station, Units 1 ano 2.
We lieve concluded that the requested dLlendments Will not result in safety-signifjCant design Changes to the faciitty.
Further, we find that TFL is financially qualified to finance the additional ownership shares described by the above letter of March 10, 1982.
On the basis of the above conclusion, we find that the issuance of the requested amend.ients approving the transfer of ownership interests between TPL and Tex-La will not be inimical to the health and safety of the public, and that our conclusions in Section 21.0 ana 5ection 23.0 of the Safety Evaluation Reports related to the Comanche Peak Steam Electric Station, Units 1 and 2, will remain unaltered. Further, we find that the requested amendments do not involve a significant hazards consideration because this action will not involve a significant increase in the probability or consequences of an accident, and this action will not involve a significant decrease in safety margin.
Spottswood B. Burwell, Project danager Licensing Branch No.1 Division of Licensing s
- b. J. Youngblood, Chief Licensing uranch No. 1 Division of Licensing ilarch,j,1982 Dated:
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