ML20054E858

Responds to Request for Views on Sierra Club Show Cause Petition for Reconsideration of Change 32 to License CSF-1. Change Would Terminate Authority & Responsibility of NFS Upon Concurrence of Certain Events.Urges Petition Be Denied

ML20054E858
Person / Time
Site:	West Valley Demonstration Project
Issue date:	05/27/1982
From:	Jack H NEW YORK, STATE OF
To:	Cunningham R NRC OFFICE OF NUCLEAR MATERIAL SAFETY & SAFEGUARDS (NMSS)
Shared Package
ML20054E855	List: ML20054E854 ML20054E858 ML20054E860
References
NUDOCS 8206140352
Download: ML20054E858 (5)

Text

'

t" New York Otote .k Energy Research and Development Authority Two Rockefaller Pfaza . Albany New Ycrk 12223 (518)485-6251 7I t

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JUN May 27, 1582 u. s, g,,g/0gg 0

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Mr. Richard E. Cunningham "

Directer Divisien of Fuel Cycle and Material Safety Of fice of Nuclear Material Safety and Safeguards U.S. Nuclear Regulatory Cer:tissien Washington, D.C. 20555 Re: Oceket No. 50-201 Cear Mr. Cunninght.m:

I am writing in response to your request for the Authority's views ,

on the Sierra Club's "show cause petiti:n" in this decket, which you are treating as a petition for recensideratien of Change No. 32 to License No. C37-1. Change No. 32 would terminate the authority and respcnsibility of Nuclear Fuel Services, Inc. ("NFS") up:n the cccurrence of certain events, including a cenprehensive cettlement of the litigatien among the Authority, NFS, and Cetty Gil C rpany (' Getty")

n the United States District Court for the Western District of New Ycrk

(" District C:urt"). The Sierra Club's petition ("S.C. Petition")

provides no legitimate reason for recensidering or rescinding Change No.

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First, the Sierra Club asserts that amending License No. C37-1 to provide for pctential temination of NFS's authority and res.censibilit2- .

ts not recessary at this tire, and that the matter cculd be put off for u to 2C .vears, whenever the '.Mst valley Ce:.:cnstration ?rciect

("?ro;ect") being carried cut ay the Cepar .ent of Energy ("CCE)" is -

rpleted (S.C. Petitlen at 4). The Sierra Club does not provide iny substantial reason why this matter shculd be put off; h: wever, or explain why C:=ission action new was i=preper. The issuance of Change

50. 32 at this time was entirely c:nsistent with what the license fer the facility at West Valley has always centemplated. Ter=anation of NF3's res.:cnsibilities .cursuant to Change Sc. 32 will c::ur cniv. if a

ceprehenstve settlement of the pending :::.tractual disputes in tha Cistrt:t court litigation between the Authcrity and NFS and Getty J

8206140332 820607 PDR ADOCK 05000201 0 PDR

he cres ef'ective.1/ If cc prehensive settlement occurs in accordance with the established framework, then the parties' contractual disc.utes will be resolved; NFS and Getty will make certain additional payments c aid the Authority in meeting license responsibilities, if any, that remain upon ccepletion of the Project; and the Authority will have reserved certain claims agains: NFS and Getty related :: those respcnsibilities. In that way, the comprehensive settlement will clear the way f:r Change No. 32's redefinition for the future of the respective authorities and responsibilities of the co-li:ensees, NFS and the Authcrity, as cente plated by Paragraph 4. A. of the license. Thus, there was nothing imprcper or inappropriate in issuing Change No. 32

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s have held a hearing on the financial and technical qualifications of the Authority to assume responsibility for the icng-term care of the facility site upon ccepletion cf the CCE Project. (S.C. Petition at 4-5.) Suen an inquiry is unnecessary with respect to Change No. 32.

The financial and technical qualifications of the Authority, as a state agency, to take respcnsibility for the icng-term care of the facility sita after required dece missi:ning were evaluated and determined in the prc:ess of originally issuing the operating license. CCI will c,-.._..-.s.. aa ."4 e 1.' C a ns e d .'.=. .' .' . ", .o s^,c ....i s s .i n. . .-c g.

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c:nterplaced fer the Authority when originally issued (i.e., leng-term aintenance, if any, necessary fer any remaining high-level storage f a cil1*.le s) . Moreover, because ter=ination cf NFS's respcnsibilit"x a

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c:rprehens;"e se :lecent with ';FS and Getty, the Authori 7 wculd also

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j 233u=ption. The State sought faderal assistance for solifification, nc:

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. 3 Third, the Sierra Club speculates that solid wastes may have been buried in the Ccmmission-licensed burial grounds in violation of the

• iconse. Besides being speculative and unsupported, this concern has no "eari.. cn u"ha..ge "..o. 3'.

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health cr safety requirecents with respect tn the NF.C-licensed burial gr:und. If ec=prehensive settle:ent be ween MFS and the Authority. does not be me effective, MFS will remain responsible under the license for any violations related to that turial ground and meeting public health and safety requirements. If cc:prehensive settlement dees becere effective, Section 9 of the Settierent Agreement, Stipulation, and Crder entered in the District Court will still preserve to the Authority clains against MFS and Getty for violations, if any, related to the censiasien-licensed burial grou..d. In additicn, the ccrprehensive settle ent would result in additi nal paycents to the Authority frcm NFS and Getty, which the Authority could use to help aeet the costs of future raintenance of the licensed burial grcund that might be required upcn corpletion of the Pro'ect. For these reasons, the Sierra Club's ,

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. ..e so O . =. 0 snd al that "FS failed te .eet the requirements of 10 CFR 550.32 for an applicatien to surrender a license voluntarily and diz=antle a licensci facility. (S.C. Petiti:n at 6-7.) These argunents are nct well taken. Change No. 32 dees n:t involve a transfer cf License So.

C3T-1 frc a licensee to a ncn-licensee, as conterplated by Section

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Paragraph 4. A cf the license as Originally issued.

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4 Fifth, the Sierra Club centends that Change No. 32 sets a

" dangerous" precedent for future license terminations, by relieving NFS of responsibility for deccenissioning the licensed facility. (S.C.

Fetitien at 7.) Change No. 32 will not have such an effect, hcwever.

To the centrary, becauce it is centingent upon comprehensive se:tlement or the District Court litigation, Change No. 32 will ensure that, pursuant to the terms of that settlement, SFS '. ill centribute tcward the dec:mmissioning to be carried cut as part of the Project, as well as tcward meeting post-Project requirements, if any, that might remain after CCE ccmpletes its work. [Mereaver, CCE could not, as the Sierra Club suggests (S.C. Petition at 7) , on its own " assume deccmmissioning res.censibility" for nuclear reactor li:cnsees in the future. An.v such

" relief" of licensees wculd require ?.n act of Cengress.}

Finally, the Sierra Club argues that the issuance of Change No. 32 occurred without adequate nctice and cpportunit"1 for public review.

That pcsition, too, is untenable. The Cc==1ssion made a prcper deter =anation, upcn thorough analysis, that-Change No. 32 does ntt en.,41 .-. a s4 3 n.4..4c . . . p. , a .-d . c - . ..

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the mnendrent was required and notice of issuance was properly published in the Federal Fegister pursuant to 1C CFR 552.106 and 50.91. "creover, the C:mnissien had issued notica cf NF5's ear'ier (Cctcher 6,1931) proposal to terminate its license authcrit"1 and resconsibility :Ao .

=cnths before Change No. 32 was issued. The earlier UFS proposal wculd have terminated NFS's respons bilit"1 ucen CCE takeover of the faciliev. .

(i.e., earlier than Change No. 22 would) and without resolution cf the y-e . . .

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were en notice of a prcposed terminati:n arenfrent much broader than

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For the r.'asons set forth above, the Sierra Club's 'cetition is without merit and the Authority therefore respectfully urges that the

.etition

be denied.

Since ly, ,

e i

d' Q[Howard A. Jack.'

/ -

First Deputy Cet ..s e l cc: Ja.es R. Wolf, Esq.

Orris S. Hiestand, Jr., Esq.

Martin Resnikoff J