LD-90-050, Forwards Certification of Financial Assurance for Decommissioning Under License SNM-33
| ML20055G977 | |
| Person / Time | |
|---|---|
| Site: | 07000036 |
| Issue date: | 07/19/1990 |
| From: | Conant J ABB COMBUSTION ENGINEERING NUCLEAR FUEL (FORMERLY |
| To: | Haughney C NRC OFFICE OF NUCLEAR MATERIAL SAFETY & SAFEGUARDS (NMSS) |
| References | |
| LD-90-050, LD-90-50, NUDOCS 9007240443 | |
| Download: ML20055G977 (24) | |
Text
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ABB ASEA BROWN bOVERI 1
July 19, 1990 i
f Docket No. 70-36 License No. SNM-33 Mr. Charles J. Haughney, Chief z
Fuel Cycle Safety Branch Division of Industrial and-Medical Nuclear Safety Office of Nuclear Materials Safety and Safeguards U.
S. Nuclear Regulatory Commission Attn Document Control Desk Washingtoi, D.
C.
20555
Subject:
Financial Assurance for Decommissioning i
Dear Mr. Haughney:
Regulations in 10CFR70.25 require licensees to provide financial assurance for decommissioning facilities in which licensed activities are conducted.
Accordingly, as holder of license SNM-33, Combustion Engineering, Inc. submits the enclosed certification of Financial Assurance and executed originals of the Payment Surety Bond and Standby Trust Agreement.
If I can be of any assistance in this matter, please do not hesitate to call me or Mr.
G.
D. Hess of my staff at (203) 285-5218.
Very truly yours, COMBUSTION ENGINEERING, INC.
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cuerCNk J.
F. Conant Manager Nuclear Materials Licensing
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Enclosures:
As Stated I
cc:
S. Soong (NRC)
G.
France, III (NRC - Region III)
ABB Combustion Engineering Nuclear Power I~
curaxstm trenews inc.
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'9007240443 900719 wesa, connecteut 06095 o500 1een 99297 cot / BEN WSOR hl)>
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. O CERTIFICATION OF FINANCIAL ASSURANCE Principal:
Combustion Engineering, Inc.
1000 Prospect Hill Road Windsor, Connecticut 06095-0500 NRC License No. SNM-33 Combustion Engineering, Inc.
P. O.
Box 107 Hematite, Missouri 63047 Issued tor U. S. Nuclear Regulatory Commission This is to certify that Combustion Engineering, Inc. is licensed to possess the types and amounts of material listed in the attached page from License SNM-33 and that financial assurance in the amount prescribed by 10CFR Part 70, $750,000,- has been obtained for the purpose of
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decommissioning.
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L vR. S. Bel, Jr.
f Vice President and General Counsel ABB Combustion Engineering Nuclear Power x
July 17, 1990 l
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5 f>A c oest -
u.s. NUCLsAft csouLAC:Y Coh4attSsION
_CF Gates MATERIALS LICF.NSE
- ursuant o the Atomic Energy Act of 1954 as amended the Energy Reorganization Act of 1974 (Public I.aw 93-438), and Title 10 ide of Federal Regulations. Chapter 1. Parts 30,31. 32. 33,34,35. 40 and 70 and in reliance on statements and representations henotofore made by the 16cenue, a license is hereby issued authorizing the licensee)o rueive, acquire, possess, and transfer byproduct.
source, and special nuclear material designated below; to use such material for the purpose (s) and at the place (s) designated below; to deliver or transfer such material to persons authorized to receive it in accordance with the regulations of the applicable Part(s). This licenas shall be deemed to contain the conditions specified in Section 183 of the Atomic Energy Act of 1954 as amended, and is o
subject to all applicable rules regulations and orders of the Nuclear Regulatory Commission now or hereafter in effect and to any i
conditions specified below.
Ucensee i
4 1.
Combustion Engineering, Inc.
- 3. Ucense number SNM-33 l
Amendment No. 17
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. hpMtihe 2.
P. 0. Box 107
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'4 Hematite, Missouri 63047 December 31, 1989 m
i I.
- 5. Docket or
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^f*7.,70-36 L
Reference Nn.
/
j specialnuclear material
- 7. Chemical and/or physical t
Maximum amount that licensee.
- 6. Byproduct. source, and/or form ey possess at any one time h,\\,y LG
- n. b jeder this license j
. A O
A
?Athy,..:=n,eic1 di 1
A/*)l.000 kilograms A.
Uranium enric to
- ., powde v
,b ontained U-235 maximum 5.0 we ht percent in the-tJ-235.s m
s
,<,, 414 :;
h
,. p',
%.'% g I
isotope
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D:jii
- s.,
1 2
- .:7 s sE An y'
350 grams B.
Uranium, any Uv235 7,
'..j,;.l.ig @ t <<;
d enrichment lc,L C. 0
'y.
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-w s
An exc1 nQtal 50,000 kilograms C.
Source material Y
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(Uranium and Thoriu powdQ.y h D.
hg M -
D.
40 millicuries, i
Sealed sources D.
Cobalt-60 total l
E.
Solid sources E.
200 microcuries l
9.
Authorized use:
For use in accordance with the statemnts, representations, and conditions contained in Part I of the licensee's renewal application dated
. February 26, 1982, and supplements dated July 21, 1982; February 21, 1983; l
May 31, 1984; April 29, June 6, and October 11, 1988; and February 10, March 22, May 1 August 18, October 23, October 26, and November 8, 1989 (2); and January 3 and January 12, 1990; and letters dated February 29, 1984, January 20, 1986, and March 30, 1987.
- 10. Authorized place of use:
This licensee's existing facilities in Hematite, Missouri, as described in the referenced license renewal appilcation.
i U. Quarterly inspections by the Supervisor, NLS&A, or his representative shall be preplanned and shall be documented.
Such documentation shall be maintained for 2 years.
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CHUD GROUP OF INSURANCE COMPANIES WUGB 100 Wdham Street, New York, New Yoh 10338-4568 FEDERAL INSURANCE COMPANY.
PAYMENT SURETY BOND Date bond executed: May 24, 1990 Effective date: May 24, 1990 Principal: Combustion Engineering, Inc.
1000 Prospect Hill Road 1
2 Windsor, CT.
06095 Type of organization: Corporation State of incorporation: Delaware NRC license number, name and address of facility, and amount (s) for decommissioning activity guaranteed by this bond Combustion Enginnering, Inc.
P.O.
Box 107 Hematite, MO. 63047 NFM License SNM-33 Surety: Federal Insurance Company 100 William Street New York, N.Y.
10038 Type of organization: Corporation Surety's qualification in jurisdiction where licensed facility (les) is (are located).
Surety's bond number:
8126-70-41 i
Total penal sum of bond:
$750,000.00 Know all persons by these presents, That we, the Principal and.
surety (ies) hereto, are firmly bound to the U.S.
Nuclear Regulatory Commission (hereinafter called NRC), in the above penal sum for the payment of which we bind ourselves, our heirs, executors, administrators, successors, and assigns jointly and severally; provided that, where the Sureties are corporations acting as co-sureties, we, the Sureties, bind ourselves in such sum " jointly and severally" only for the purpose of allowing a joint action or actions against any or all of us, and for all other purposes each Surety binds itself, jointly and severally with the Principal, for i
the payment of such sum only as is set forth opposite the name of such Surety; but if no limit of liability is indicated, the limit of liability shall be the full amount of the penal sum.
4 y.i.-
1 WHEREAS, the U.S. Nuclear Regulatory Commission, an agency of the U.S. Government, pursuant to the Atomic Energy Act of 1954, as amended, and the Energy Reorganization Act of 1974, has promulgated regulations in Title 10, Chapter I of the Code of Federal i
Regulations, Part (30, 40, 70, or 72), applicable to the Principal, which require that a license holder or an applicant for a facility license provide financial assurance that funds will be available j
when needed.for facility decommissioning; NOW, THEREFORE, the conditions of the obligation are such that if
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the Principal shall faithfully, before the beginning of decommissioning of each facility identified above, fund the standby trust fund in the amount (s) identified above for the facility; Or, if the Principal shall fund the standby trust fund in such amount (s) after an order to begin facility decommissioning is issued by the NRC or a U.S.
district court or other court of competent jurisdiction; or, if the Principal shall provide alternative financial assurance and obtain the written approval of the NRC of such. assurance, within 30 days after the date a notice of cancellation from the Surety (ies) is received by both the Principal and the NRC, then this obligation shall be null and void; otherwise it is to remain in full force and effect.
The Surety (les) shall become liable on this bond obligation only when the Principal has failed to fulfill the conditions described above.
Upon notification by the NRC that the Principal has failed to pert'orm as guaranteed by this bond, the surety (ies) shall place funds in the amount guaranteed for the facility (ies) into the standby trust fund.
The liability of the Surety (ies) shall not be discharged by any payment or succession of payments hereunder, unless and until such payment or payments shall amount in the aggregate to the penal sum of the bond, but in no event shall the obligation of the Surety (ies) hereunder exceed the amount of said penal sum.
The Surety (les) may cancel the bond by sending notice of cancellation by certified mail to the Principal and to the NRC provided, however, that cancellation shall not occur during the 90 days beginning on the date of receipt of the notice of cancellation by both the Principal and the NRC, as evidenced by the return receipts.
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The Principal may terminate this bond by sending written notice to the NRC and to Surety (ies) 90 days prior to the proposed date of termination, provided, however, that no such notice shall become effective until the Surety (ies) receive (s) written authorization for termination of the bond from the NRC.
If any part of this agreement is invalid, it shall not affect the remaining provisions which will remain valid and enforceable.
In Witness Whereof, the Principal and Surety (ies) have executed this financial guarantee bond and have affixed their seals on the date set forth above.
The persons whose signatures appear.below hereby certify that they are authorized to execute this surety bond on behalf of the Principal and Surety (ies).
COMBUSTION ENGINEERI!
INC.
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By: /
VName:
L cLv.d IM, 13- /~
Tit 1'e t Sc urep, rg(
FEDERAL INSURANCE COMPANY
' loo William Street New York, N.Y.
10038 State of Incorporation: New Jersey Liability limit: $750,000.00 By:
A
-i L4 Names-Edward J.
Re11\\p Titles-Attorney-in-fact Bond premium: $2,813.00 i
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(IndividuCl Prinolpal)
STATE OF ss.'
COUNTY OF On this day oi 19
, before me personally came -
, to me known and known by me to be the individual described in ar.) who executed the foregoing instrument, and he duly acknowledged to me that he executed the same.
i Notary Public My commission expires (When Principalis a Firm) 2 STATE OF ss.
COUNTY OF s
P On this day of 19
, before me personally 3p came
, to rne known and known by me to be a member of the firm of
. described in and
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which executed the foregoing instrument, and the said a
duly acknowiedged to me that he executed the said instrument in the name of said firm and for its purposeb and on its behalf.
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Notary Public M,,.mmission expires 3
(When Principal is a Corporation)
STATE OF CoMNEtTitt/T j
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On this _
day of Mb 19 i
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in and whicb executed the above instrument; that he knows the seat of said corporation; that the seal affixed to said u_
instrument is such corporate seal; that it was so affixed by order of the Board of Directors of said corpora; ion, and that he signed his name thereto by like order.
-L_ Notary Public.
LIFTON P. STALPH
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Financial Statement of Fooe el Insurance C as of December 31,1988 IN THOUSANDS OF RS STATUTORY BASIS LIABILITIES AND ASSETS SURPLUS TO POLICYHOLDERS Unted States Treasury Bonds.,....... $
551.M2 Outstandmg Losses and Loss Expenses. 8 2.307.420
-UnMed States Govemment and Federal Uneamed Premiums.....,,.,,......
810.636 A0ency Guaranteed Bonds,,........
205.197 Accrued Expenses..,,..............
' 08.750 State and Municipal Bonds..,,...,,
1.6M,541 Norv. Admitted Reinsurance....,,,....
25.234 -
Other Bonds.......,,,.............
312.407 Dividends to Poleyholders,............
21.643-Common Stocks..................
200.300 Laos Portfole Transfer.........,,....
(136.774)
Proterred Stocks...................,
1.010 Other Llabiinies...................
179.895 Other invested Assets.................
46.296 Short Term investments........
30.973 -
TOTAL INVESTMENTS.............
2,999.644 TOTAL LIABILITIES.
3.276.694 investments in Aff' sales:
Common Stock.......
13.987 u
Vigilant insurance Company,,.......
123.470 a n Su$us,,,............
561.253 Greet Northom insurance Company,,.
48,206 Pacite IndemnNy Company.........
P44.264 U7 W Funds..............
498.772 -
Chubb LNe Insurance Company....
175,766 Unrealized Apprec6ation of Investments.
269.136 Sellemead C1: -s i.ent Corporaten..
290,252 Chubb insurance Company of Canada.
49.876 Other.......................
43.314 SURPLUS TO POLICYHOLDERS....
1.343.148 Cash............................
15.039
. Not Premiums Receivable..........
453.764 Romeurance Recoverable on Paid Losses......................
64.164
. Other Aenets................
112.073 TOTAL LIABILITIES AND SURPLUS TOTAL ADMITTED ASSETS 8 4.619.842 TO POLICYHOLDERS 8 4.619.642 investmen's are valued in accordance with requirements of the National Associaten of Insurance Commissioners.
Investments valued at 811.047 are deposited with govemment authonties as required by law.
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POWER OF ATTORNEY M6 Keeser eN teen ty t$ eses Presente, That the PROSRAL INSURANCE COMPANY,16 Mountain View P aed, Werten, New Jeresy, e New Jessy Corporaten,1 i 1 hes emnetituted and oppointed, and esos hereby conoinute and appoint Richard G. Hight, Assistent Sece Aery, Glorie Warrick, Deved S. Norne, Jr.', Anne Marts :
U Lovecchie, Robert Ogle, Marte Boardigno. Eemseeine Poner, Helen S. Brown, Lyee R. Schort, Mehere A. Ciuho, Mark M. Sehe., Dekker M. Suceiley, Michest Heningburg, Jr., Gree Kuruvule. Edmord J. Reilly, John J. Sarty, Chrtetopher E. Pointer and Matthew R. Young of New York, New York tech lie true and lawlet t r_,resi m eneoue under auch seeigneuen in ne none and io oths ne corporem assi e and sei vm tw and on sie tehott en ounsty thwoon w otherwise, tende w abuge sono given a + - in the sourse of he businese, and any instruemona enenene w shwing the tems, and consente W the pedrhoehen :
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AUCE LEONARD 1
'o NOTARY PUBLIC OF NEW JERSEY J
My Commineion Empires July 12,1993 i
NOTARIAL AbtGtOWLEDGEMENT m OITY, COUNTY & STATE OF NEW YORK, se 90,,,,,,,,,,,,,,,,,,,,,,,,,
Edward J. Reilly 24th Mav
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i NOTARY PUBUC, Otee a! th yoth No. 31.OYJIM F*ewy's & mag. Deeensten ens seen i1 Quellfied in Non ied Cremy Comm von Expaen Dmrdor 'ib AMO iak etheeses pier 6am nortno spec *se OVER
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STANDBY TRUST AGREEMENT NRC LICENSE NO. SNM 33 TRUST AGREEMENT,.the Agreement entered into as of Vf,/94M,by and between Combustion Engineering, Inc., a Delaw.re corporation, herein. referred.to as.the " Grantor," and Citibank, N.A., New York, N.Y.-
- 10043, herein referred to as the " Trustee.":
i MEAS, the U.S. Nuclear Regulatory Commission (NRC), an agency of j
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Government, pursuant to the Atomic Energy Act of_1954, as
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amended,. and the Energy Reorganization Act of 1974, has promulgated I
regulations in Title 10, Chapter I of the Code of Federal Regulations, _
Part 70. These regulations, applicable to the Grantor, require that a i
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holder' of, or an-applicant for, a Part 30, 40, 70, or 72' license l
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. provide assurance that funds will be available when needed for required I
decommissioning activities, j
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L WHEREAS, the Grantor has elected to use a surety bond to provide all of
- such financial: assurance for the facilities identified herein; and 4
WHEREAS, when payment is made under a surety bond, this standby trust q
j shall be used for the receipt of such payment; and t
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WHEREAS, the Grantor, acting through its duly authorized officers, has l
l selected the Trustee to be the trustee under this Agreement, and the Trustee is willing to act as trustee, NOW, THEREFORE, the Grantor and the Trustee agree as follows:
(
Section 1.
Definitions. As used in this Agreement:
l (a) The term " Grantor" means Combustion Engineering, Inc., the NRC licensee who enters into this Agreement, and any successors or assigns of the Grantor, l-E a
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g i,.;,
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-(b) ?The term " Trustee" means the trustee who enters into this p
Agreement and any successor Trustee.
Section 2.
Costs of Decommissionina.
This Agreement pertains-to the
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costs'of decommissioning the materials and ~ activities identified in 4
1.icense Number SNM-33 issued pursuant to 10 CFR Part 70, as shown'in Schedule A.
Section 3.
Establishment of Fund. The Grantor and the Trustee hereby establish a standby trust fund (the Fund) for the benefit of the NRC.
The Grantor and the Trustee intend that no third party have ace.;:t to the Fund except as provided herein.
Section 4.
Payments Constitutina the Fund.
Payments made to the
' trustee for the Fund shall consist of cash, securities, or other liquid assets acceptable to the Trustee. The Fund is established initially as consisting of the property, which is acceptable to the Trustee, l
described in Schedule B attached hereto.
Such property and any'other property subsequently transferred to the Trustee are referred to as the
'" Fund," together with all earnings and profits thereon, less any payments or distributions made by the Trustee purw ant to this-Agreement. The-Fund shall be held by the Trustre, IN TRUST, as 1
. hereinafter provided.
The Trustee shall not be responsible nor shall it undertake any responsibility for the amount of, or adequacy of the Fund, nor any duty to collect from the Grantor, any payments.necessary to discharge any liabilities of the Grantor-established by the NRC.
-Section 5.
Payment for Reauired Activities Soecified in the Plan.
The Trustee shall make payments from the Fund to the Grantor upon presentation to the Trustee of the following:
i
- a. A certificate duly executed by the Secretary or an Assistant Secretary of the Grantor attesting to the occurrence of the events, and in the form set forth in the attached Specimen Certificate, and l
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- b. A certificate attesting to the following conditions; (1) that decommissioning is proceeding put:uant to an NRC-approved plan E
(2)
That the funds withdrawn will be expended for l
activities undertaken pursuant to that Plan, and (3) that the NRC has been given 30 days' prior notice of Grantor's intent to withdraw funds from the escrow fund.
3
- c. An order for payment of a stated amount to be withdrawn.
l No withdrawal from the fund can exceed h percent of the outstanding balance of the Fund or [
000 dollars, whichever is greater, I
unless NRC approval is attached.
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In the event of the Grantor's failure or inability to direct decommissioning activities, the Trustee shall make payments from the
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Fund as the NRC shall direct in writing to provide for the payment of l
the costs of required decommissioning activities for the licensed facility covered by this Agreement. The Trustee shall reimburse the Grantor or other persons as specified by the NRC from the Fund for l
expenditures for such required activities in such amounts as the NRC shall direct in writing.
In addition, the Trustee shall refund to the Grantor such amounts as the NRC specifies in writing.
Upon refund, such funds shall no longer constitute part of the Fund as defined
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herein.
Section 6.
Trust Manaaement.
The Trustee shall invest and reinvest i
the principal and income of the Fund and keep the Fund invested as a l
single fund, without distinction between principal and income, in I
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accordance withl general investment policies and guidelines which the Grantor may communicate in writing to the Trustee from time to time, subject,'however, to the provisions of this section.
In investing,-
reinvesting, exchanging, selling, and managing the Fund, the Trustee shall discharge its duties with respect to the Fund solely in the interest of the beneficiary and with the care, skill, prudence, and diligence under the. circumstances then prevailing which persons of-prudence, acting in a like capacity and familiar with such matters, would use in the-conduct of an enterprise of a like character and with ~
like aims; gxcent that:
(a)
Securities or other obligations of the Grantor, or any other owner or operator of the licensed facilities, or any of their affiliates as defined in the Investment Company Act of 1940, as amended (15 U.S.C. 80a-2(a)), shall not be acquired or-held, unless-they are securities or other obligations of the Federal or a State government;
.(b)
The Trustee is authorized to-invest the Fund in time or demand deposits of the Trustee, to the extent insured by an agency,of'the Federal government.
Section 7.
Comminalina and Investment. The Trustee is expressly-authorized in its' discretion:
(a)
To transfer from time to time any or all of the assets of the fund to any common, commingled, or collective trust fund created by the Trustee in which the Fund is eligible to participate, subject to all of the provisions thereof, to be commingled with the assets of other trusts participating therein; and (b)
To purchase shares in any investment company registered under the investment Company Act of 1940 (15 U.S.C. 80a-1 et seq.),
including one that may be created, managed, underwritten, or
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'to'which investment advice is rendered, or the shares of L
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which are sold by the Trustee. The Trustee may vote such sh' ares in its discretion, o
4 Section 8.- Exoress Powers of Trustee. Without in any way_ limiting the.
powers and discretion conferred upon the Trustee by the other 1
provisions of this Agreement or by law, the Trustee is expressly 1
authorized and empowered:
o
.m
~l (a):
To sell,_ exchange, convey, transfer, or otherwise dispose of t
any property held by it, by public or private. sale, as necessary for prudent management of the Fund; 1
m (b)'
To make, execute, acknowledge, and deliver any and all j
l documents of transfer and conveyance and any and all.other 7
instruments that may be necessary or_ appropriate to carry out the powers herein granted-a
~
(c)
To register any securities held in the Fund in its own_ name, or in the name of a nominee, and to hold any security in i
l-bearer form or in book entry, or to combine certificates representing'such securities with certificates-of the same issue held by the Trustee in other fiduciary capacities, to reinvest interest payments and funds from matured and redeemed instruments, to file proper forms concerning securities held in the Fund in a timely fashion'with I'
appropriate government agencies, or to deposit or arrange for the deposit of such securities in a qualified central-depository even though, when so deposited, such securities may be merged and held in bulk in the name of the nominee or such depository with other securities deposited therein by another person, or to oeposit or arrange for the deposit of any securities issued by the U.S. Government, or any agency or instrumentality thereof, with a Federal Reserve bank, but
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-the books'and records of the Trustee shall at all times show e
f that;all.such securities are part of the Fund;
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3 (d)
To deposit any cash in the Fund in interest-bearing accounts 4
maintained or savings certificates issued by the Trustee, in its separate corporate capacity, or in any other banking
'j institution affiliated with the Trustee, to the extent
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. insured by an agency of the Federal government; and
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- (e)
To compromise or otherwise adjust all claims in favor of or -
H against.the Fund.
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Section 9.
Taxes and Exoenses.
All taxes of any kind that may be assessed or_ levied against or in respect.of the Fund and all brokerage 3
commissions incurred by the Fund shall be paid from the Fund. All I
o other expenser incurred by the Trustes in connection with'the administration of this : Trust, including fees for legal services rendered to the Trustee, the compensation of the Trustee to the extent not paid directly by the Grantor, and all other proper charges and y
disbursements'of the Trustee shall be paid from'the Fund.
l 4
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Section 10. Annual Valuation. After payment has been made into this-standby trust fund, the Trustee shall annually,- at least 30 days before the anniversary date of receipt of payment into the standby trust fund, furnish to the Grantor and to the NRC a statement confirming the value n
of the Trust.
Any securities in the Fund shall be valued at market E
value-as of no more than 60 days before the anniversary date of the j
n establishment of the Fund.
The failare of the Grantor. to object-in i
writing to the Trustee within 90 days after the statement has been
[
. furnished to the Grantor and the NRC, or State agency, shall constitute y
~
a conclusively binding assent by the Grantor, barring the grantor from asserting any claim or liability against the Trustee with respect to the matters disclosed in the statement.
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1 io Section'11_. Advice of Counsel. The. Trustee may from time to time 3
consult'with counsel.with respect to any question arising as to the'
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' construction of this Agreement or any action to be-taken hereunder.
((
.The Trustee.shall be fully protected, to the extent permitted by law, T'
in' acting'on the advice of counsel.
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'Section 12 Trustee Comnensation. The Trustee shall be entitled to i
n
. reasonable compensation for its services as agreed upon in writing with j
the Grant.or.
(See Schedule C.)
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Section 13 Successor Trustee. Upon 90' days notice to the NRC, the Trustee'may resign; upon 90 days notice to NRC and the Trustee, the s7 Grantor may replace the Trustee; but such resignation or. replacement
?>
shall not be effective until the Grantor has appointed a successor l
Trustee and this successor accepts the appointment.
The successor-L.,
Trustee shall have the same powers and duties as those conferred upon the Trustee hereunder. Upon the successor Trustee's acceptance of the E
appointment, the Trustee shall assign, transfer, and pay over to the p
successor Trustee the funds and properties then constitutin'g,the Fund.
k.!
If for any reason the Grantor cannot or does'not act in the event.of y
the resignation of the Trustee, the Trustee may apply to a court of-L' competent jurisdiction for the appointment of a successor Trustee or L
for instructions. The successor Trustee shall specify the date on which it: assumes administration of the trust in a writing sent to the p7 Grantor, the NRC or State agency, and the present. Trustee by certified mail 10 days before such change becomes effective.
Any expenses incurred by the Trustee as a result of any of the acts contemplated by l/
.this.section shall be paid as provided in Section 9.
W p
Sgstion 14. Instructions to the Trustee. All orders, requests, and
[ (',
instructions by the Grantor to the Trustee shall be in writing, signed yg by such persons as are signatories to this agreement or such other
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designees as the Grantor may designate in writing.
The Trustee shall be fully protected in acting without inquiry in accordance with the m
grantor's orders, requests, and instructions.
If the NRC or State Q_,
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. agency issues orders, requests, or instructions to the Trustee these i
shall' be'in writing, signed by_ the NRC, or State agency, or their designees, and the Trustee shall act and shall be' fully protected-in acting!in'accordance with such orders, requests, and instructions.
The Trustee ~ shall have the right to assume, in the absence of written notice to the contrary, that no event constitutirg a change or a l
o 3
termination of the' authority of any person _to act on behalf of the Grantor, the NRC, or State agency,- hereunder has occurred. The Trustee shall have no; duty to act in the absence of such orders, requests, and-instruction from the. Grantor and/or the NRC' or State agency, except'as provided for herein, s
Section'15. Amendment of Aareement. This Agreement may be amended by
.an-instrument in writing executed by the Grantor, the Trustee and the NRC,~or State agency, or by the Trustee and the NRC or State Agency, if
'f the Grantor ceases to exist.
Section 16.
Irrevocability and Termination.
Subject to the r'ight of!
I the parties.to amend this Agreement as provided in Section 15, this
-trust shall be irrevocable and shall continue until terminated at the.
written agreement of.the Grantor, the Trustee, and the NRC or State
. agency, or by the' Trustee and the NRC or State agency, if the Grantor ceases to exist. Upon termination of the trust, all remaining trust.
' property, less final trust administration expenses, shall be delivered to the Grantor or its successor.
Section 17.
Immunity and Indemnification. The Trustee shall not incur.
l personal liability of any-nature in connection with any act or omission, made in good faith, in the administration of this trust,-or l
in carrying out any directions by the Grantor, the NRC, or State agency, issued in accordance with this Agreement. The Trustee shall be indemnified and saved harmless by the Grantor or from the trust fund, or both., from and against any personal liability to which the Trustee may be subjected by reason of any act or conduct in its official
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capacity, ~ including all expenses reasonably-incurred in its defense in the event ths Grantor fails to provide such defense.
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[i, Section 18.. This Agreement shall be administered, construed, and enforced according to the laws of the State of New York.
Section 19.-
Interoretation and Severability.
As used in this
' Agreement, words in the singular include the plural and.words in the plural. include the singular. The descriptive headings for each section of this Agreement shall not affect the' interpretation or the. legal-efficacy of this Agreement.
If any part of this agreement is invalid, it shall not affect the remaining provisions which will remain valid.
- and enforceable.
'IN WITNESS-WHERE0F the parties have caused this Agreement to be executed by the respective officers duly authorized and their corporate seals to be hereunto affixed and attested as of the date first written above.
COMBUSTION ENGINEERING, INC.
By:
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Title:
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-ATTEST:
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Title $ 'dirufa+#
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-SEAL-6
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CITIBANK,Nik.
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By:
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PETER LL GLA2lK
Title:
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ATTEST:
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x w ACKNOWLEDGEMENT-;
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-, STATE OF'NEW YORK COUNTY-0F MANHATTAN i.
s CITY OF NEW YORK m
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w On this YO day of O,ddV//@before me, a not'ar/2public-in and p.-
for Jhe city and State 1 aforesfaid, personally appeared /Erm2 m.
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, and she/he did depose and say that she/he is the V
, /'Esisr&vr nec #53ece.t/T; of Citibank, N, A,, Trustee, which executed the c
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above instrument, that she/he knows-the-seal of said association; that.
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- the. seal affixed to such instrument is such corporate. seal; that:it was -
"so affixed by order of said' trustee; and that she/he signed her/his' 1
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. name.thereto by-like order,
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My Commission Expires:
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. NANCY H. FORTE l;
Notary Pubilc State of New York
. No. 414002389 i
Oueltfted in Queens County 1-Certifieste Filedin New York County Commission Expires Aug. 3.1991 p
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' Soecimen Certificate ~of Even 1_
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CitibankiN.A.
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Corporate Trust / Escrow Administration.
%, m) 120 Wall. Street,- 13th Floor.-
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.New York, N.Y..10043
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'i df Attention:
Peter M.~Glazik, Assistant Vice Presidenti l
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Gentlemen:
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In accordance with the terms of the Agreement with you dated
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, Secretary of (insert name of y
' in licensee], hereby certify that the following events have occurred:
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[ Insert name of licensee] is-required to commence the 1 decomissioning of its. facility located.at [ insert.
' location of=
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.4 facility) (hereinafter called the decommissioning).
L2.
The plans. and procedures' for the comencement and conduct of the decommissioning have been approved by-the
~ United' States Nuclear Regulatory Commission,' or. its
(
l successor, on (copy of approval attached).
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~ 3.
The Board of Directors of (insert name of licensee] has'
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adopteu " e. attached resolution authorizing the commencement of the decommissioning.
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i Secretary of [ insert name of licensee]
Date y
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. 1 Form of l
' t Certificate of Resolution 4
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, do hereby certify that I am Secretary of j
[ insert name of-licensee), a' (insert state of incorporation) corporation, and that the resolution listed below was' duly. adopted at'ai meeting of this Corporation's Board _of Directors on
- 19__.
RESOLVED,.that this Board of Difectors hereby authorizes the-
. President, or such other employee of the Company as~he may designate, to commence decommissioning activities at (insert name of. facility) in accordance with the terms and conditions described to this Board of Directors at this meeting and with such other terms and conditions as the President-shall approve with and upon the advice of Counsel.
l-IN WITNESS WHEREOF, I have hereunto signed my name and affixed the seal of this Corporation this day of l
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SCHEDULE A
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.NRC License No. SNM-33 I
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MATERIALS UCENSE.
g Dursuant to the Atomic Energy Act of 1954, na amended, the Energy Reorganization Act of 1974 (Public Law 93-438), and Title 10.-
l
' de of Federal Regulations, Chapter 1, Parts 30,31,32,33,34,35,40 and 70, and in reliance on statements and representations l
l heretofoes made by the licensee, a license is hereby issued authortains the licenseego receive, acquire, possess,' and transfer byproduct, -
l source, and special nuclear material designated below; to use such material for the purpose (s) and at the place (s) designated belowl to -
I
[ deliver or transfer such material to persons authorized to receive it in accordance with the regulations of the applicable part(s). This I
- licenas shall be deemed to contain the conditions specified in Sec' ion 183 of the Atomic Energy Act cf 1954, as amended, and is c 'il I
subject to all applicable rules,' regulations and orders of the Nuclear Regulatory Commission now or hereafter in effect and to any.
3
/ conditions specified below.
l j
i-Ucensee l
SNM-33 1
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Combustion Engineering,1Inc.
- 3. Ucense number i
Amendment No. 17 I
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P. 0 Box 107
" ' 1"xphYtiddqee.
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Hematite, Missouri 63047 4
December 31, 1989-
'N '^ 70-36 j
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- 5. Docket or -
i I
T Reference No.
4 Maximum amount that licensee l
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- 6. Byproduct, source, and/or -
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- 7. Chemical and/or physical
%,hy possess at any one time I
I special nuclear material forin 2
,dadorthislicense
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Uranium enricha#.to
?A:.Aky,,Ac1hdi A Q" co,000 kilograms llI I
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l ntained U-235
- , p,owdeuA maximum 5.0 we %ht.,
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3 l
percent in ~ the-U-235, U' LN w,
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,1 isotope
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Any{
p' gIQ 350 grams s
j enrichment
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n 50,000 kilograms lI j
Ank' (excpowdepf 9'
$a)ytal C.
Sourcematerial.'[
C. D Q
lI (Uranium and Thoric
'D.
Cobalt-60 D.
Sealed sources
-D.
40 mil 11 curies,
.g h.p g g total g
E.
Solid sources E.
200 microcuries j
g For use in accordance with the statements, representations, and a
9.
Authorized use:
Yl conditions contained in Part I of the licensee's renewal. application dated j
- I February 26r 1982, and supplements dated July 21, 1982; February 21, 1983;
- g tl May 31,11984; April 29,' June 6, and October 11, 1988; and February 10, March 22, 11 Ly May 1, August 18,' October 23, October 26, and November 8,1989'(2); and January 3
!I
'y and January 12, 1990; and letters dated February 29, 1984, January 20, 1986, and j
l March 30, 1987.
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- 10. Authorized place of use:
This licensee's existing facilities in Hematite, Missouri,
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as described in the referenced license renewal application, j
-11.1 Quarterly inspections by the Supervisor, NLS&A, or his representative shall be 1
preplanned and shall be documented.
Such documentation shall be maintained for 2 j
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years.
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I MATERIALS LICENSE j,,33A",,,jddeNo.17 sum.EMENTARY SHEET 70-36 I
L, i
B JAN 2 41990-l l
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- 12. A written report shall be made by the NLS&A Supervisor to the Piant Manager every 6
-i
/ months reviewing' employee radiation exposure (internal and external)-and affluent 1
i release data to determine:
L
. a.
if there are any upward trends developing in personnel exposure-for identifiable-L L
categories of workers, types of operations, or in effluent releases;
?
b.
if ' exposures and releases can be lowered in accordance with the ALARA commitment; L i
and L
L 3(kasuM dr(dogis being properly used, Lc.. if equipment for effluent maintained,andinspect4
- 13. The licensee shall leak 1.
sealed sources in accordan th the enclosed " License
' Condition For Leak Testip Sealed Byproduct Material Sour 14.-Release of equipmen d inster 1 from the plant sit 6iG o laan areas onsite shall
=
.-be in accordance wi he eAc
" Guidelines for tamin~aTion of Facilities and
- Equipment Prior to ease f
'6 trictatd. pse o inatio f Licenses for-e o
Byproduct, Source,( Specia12N f r Mat; ariel '
August 7.
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'15. Pursuant to 10 CF i.302,gt:h to, treat ynste and scrap
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materials contain n uraafuge-in t-?L soprce maanrial by incineration.
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Ya, t icens shall submit to the 16.JWithin 60 days of t dat f>ri i
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environmentaleffects) prop- 'mo t.t jrig f m.
tersjfte.the quantity and NRC a description o f radib eMuen
' tone rosC used as onsite fill c
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. material and to deterejme thaf envirorgental$fec of outdier storage of the
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' alpha-contaminated mat'ept ll17. 'The licensee shall survey s$nt limestone rock discharh from each HF 6
beta. contamination.
Rock with be a contamination 3hich exceeds five times the r
l background of fresh rock shall no(t b M g fogla 2 fill.
l~18..Within60daysofthedateofthislicenserenewal,thelicenseeshallsubmittoNMSS !
g a plan, including schedule, for the disposal of alpha-contaminated spent limestone d
I
- rock,
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l19.Thelicensecshall.decontaminatethetwoevaporationpo'ndssuchthattheaverage I
residual contamination in each pond does not exceed the appropriate limit of either I-l 250 picocuries of insolubic uranium or 100 picocuries of soluble uranium per dry gram f g
of soil.
The Tc-99 concentrations in a composite sample for each pond shall be
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gI determined, g
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,esancleE3744 U.s. NUCLEAR Rs3ULATORY CoMMesSION
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MATERIA!J LICENSE SNM-33 Amendment No. 17 1
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SUPPLEMENTARY SHEET 70-36 L
i JAN 2 4130 i
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l20. a. 'If the radioactivity in plant gaseous effluents exceeds 150 pCi per calendar I
quarter, the licensee shall, within 30 days, prepare and submit to the-1 i
Commission a report which identifies the cause for exceeding the limit and the I
H corrective actions to be taken by the licensee to reduce the release rates.
If the parameters important to a dose assessment change, a report shall be i
submitted within 30 days which describes the changes in3 parameters and includes I
an estimate of the resultant change in dose commitment.
I I
j b.
In the event that the calculated dose to any member of the public in any l
consecutive 12-month period is aboutttlorexcqed the limits specified in h
i 40 CFR 190.10, the licenseerJhMT%atel himistiA steps to reduce emissions i
i soastocomplywith40.CFp190.10. As provi' iA 40 CFR 190.11, the 1
L licensee may petitiort the Nuclear Regulatory ConsfWifyp for a variance from I
L the requirements of 4@ CFR 190.10.
If a petition for variance is anticipated ll the licensee shalk'hubmit the request at least 90 day or to exceeding the l
limits specified in 40..CFR 190.10, 0
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- 21. The licensee shall ntain'a ecute the resppn asures of his-Radiological l
Contingency Plan s tted to'-
C muitste, b 1 datedOfdomber 28, 1987.
The I
' licensee shall als'oj aintain fath nting proc or his Radiological Contingency 1
Plan-as necessary % implemenLthO lar4J shall mak6 no change in his l
Radiological Contia0ency d an iht ia oe6r.
y',a.I,onseJffectivenessofthe resp g
Plan without prio6 Demisf gn appfov_
u yi i
icense amendment.
The a
licensee-may make emngesJf.e. js hdi p
r nge
' Flan @eithout prior i
1-Commissionapproval th
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se th sponeemeffectiveness of the I
-Plan.
The licensee 11 Tu xpt Safet ranch, Division of I
l Washington,DC20555,frapor'tcontatoi crgionof(epcbchangewithin6 months li Industrial and Medi Nuclear-r Nclear R latory Commission, g
after the change is mad
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'22.- At the end of the plant lik the licensee shall decon inate the facilities and I
I tothletterdatedJanuary12,'61 deco issLoniJg plan submitted in the enclosure II site in accordance with the gene
'l r979M atp hefe facilities and grounds can be j
g released to unrestricted use.
The financ 1 commitment to assure that funds will be l
I
-available for decommissioning in the letter dated March 8, 1979, is hereby lgl incorporated as condition of the license.
il l'l23.Thelicenseeshallcontinuethesoilsamplingprogramf.or I
areas, as described in the letter dated February 29, 1984, until discon" nuance is ll g
authorized by the Commission.
- t i
.I 1 24. The monitoring program for the spent limestone shall include:
l a.
Continuous air sampling at the center of, and approximately 1 meter above, the j
uncovered spent limestone piles for a minimum 2 year period.
The weekly samples y
l may be composited and analyzed for un gium activity on a quarterly basis.
The lp l
lower limit of detection shall be 10 pCi/m1, or The report or petition should be submitted to the Director, Office of Nucleir Material j 2-l Safety and Safeguards, with a copy to the Regional Administrator, Region III.
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unos ammber -
l SNM-33-Amondmenc No. 17 l
- MATERIALS UCENSE l
SUPPLiiMENTARY SMEET
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1JAN 84192 l
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.b.o Measurement of'the; uranium activity on the surface of the spent' limestone.
Prior I
- to conducting such a program, the licensee'shall submit the sampling-and I
analytical prograa~to the NRC for approval.
l
- 25.1 Processing of UF in 10-ton cylinders is not authorized.
l 6
l 264 The 10-tonLUF cylinders shall be equipped with valve protectors.
j 6
27; The concrete pad for storage of UF cylinders and the surrounding area shall be l
t sloped or graded'so that any spill d fluids would not be confined to the I
storage ~ area.-
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- 28. No combustibles shall be on the concrete pad.
fireextinguishephallbereadilyavailablenearthoragepad.
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March 30, 1987,- UFylinde are in transpo d containing UF heels shall.
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y l 34.LFor uranium enriched to more than 4.1 w/o -235, the licensee shall limit the
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agglomeration / granulation process, each agglomerated powder storage location, and
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L38. Building 250 (boiler room'and warehouse) shall remain as an authorized' place 1
of use.
Building 253 is not an authorized place of use.
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- 39. At all: times'.the licensee shall limit moderating material (solutions and powders),
i except poreformer and lubricant, to not more than two 5-ga11on pails on each of; 1
'the second and. third floors of-1 2Q.
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!I FOR THE NUCLEAR REGULATORY COMISSION lli lil s
JAN 2 41990 Date:.
By:
Glen L. Sjoblom l,
Division of Industrial and i
Medical Nuclose Safety, NMSS Washington, DC 20555
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