ML20055H880
| ML20055H880 | |
| Person / Time | |
|---|---|
| Site: | 07000371 |
| Issue date: | 07/27/1990 |
| From: | Gregg R UNITED NUCLEAR CORP. (SUBS. OF UNC, INC.) |
| To: | Haughney C NRC OFFICE OF NUCLEAR MATERIAL SAFETY & SAFEGUARDS (NMSS) |
| References | |
| NIS-90-7-15, NUDOCS 9007310085 | |
| Download: ML20055H880 (5) | |
Text
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- 67 Sandy Desert Road UNC NavalProducts man %-,_,
- 203/848-1511 Telecopy 203/848-0022 TWX 710/4321243 IN-REPLY PLEASE REFER TO:
NIS'90-7-15 o
1 July 27,.1990 -
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=Mr. Charles Haughn'ey Fuel Cycle Safety Branch Mail-Stop WF1 6h3 Division of Fuel-Cycle.& Medical, and Commercial Use Safety U.S. Nuclear Regulatory Commission Washington, DC 20555 3
Subject:
Docket 70-371 License No. SNM-368
.l Decommissioning - Certificate of j
Financial Assurance
Dear Sir:
As required by 10CFR70.25, enclased is our Certificate of Financial Assurance.
1
-As we discussed in the meeting between UNC and NRC manh.gement on April 13, 1990 relative to the shutdown of our facility, UNC's method of financial assurance involves-the U.S.
Government's agreement to cover our decommissioning costs.
-. i If you have any questions regarding this submittal, please ccatact me.
Very Truly Yours, M,!
R.
Grege, Director Technical Services RJG: mag Enclosure i
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UNCNavalProducts CERTIFICATICE OF FINANCIAL ASSURANCE Principal:
UNC Eval Prodirts, j
67 Sandy naamd Road Uncasville, CT 06382 a division of:
UNC, Irwsprated 175 Admiral cochran Drive Annapolis, Maryland 21401-7394 NRC License Number:
S W 368.
Issued To:
U.S. Nuclear Regulatory p ianion
'Ihis is to certify that UNC Nav'l Products /UNC, Irw4.Wrated is licensed to pnaaaaa Special Nuclear Material in the following amounts (20,000 Fq.
U235), arrl that financial assurance in the amount poscribed by 10 CER Part 70, $750,000 is being given by specid prepayment
- for the purpose of dam==1ssioning.
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Robert L. Pevenstein, Vice President I
Finance and Chief Financial Officer Corporate seal:
Date:
I 7-27-9 i
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UNCNavalProducts i
SPECIAL PREPAYMENT:
'Ibene are furs 3s whicti are retained or uanpaid by the Goversnent j
(Department of Energy) on contracts with UNC until the contracts are cx:mpleted. Omapletion includes delivery of all conqpone:rts and rm&,
recovery of all uranium materials and Contracting Officer approval for the disposition of all uranium containing waste.
The DOE has recognized in a Memoran9 > o? Understanding with UNC chat UNC clnamit oosts for N-- imaioning w:1. M cost of operating UNC Naval y
j Products until the NRC License is terminated are allowable costs to the 3
DOE contracts.
Attached is an excerpt from the Manorandum relating to deocritamination and decastissioning of this facility.
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MDERANDLM OF UNIERSTANDDQ
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(Decerpts) i L-s l
'IHIS MDORANDLM OF UNIERErrANDING is entered into this eleventh day of May, 1
1990 by ard between the United States of America (called the "Gcwernment")
acting through the Dopartment of Energy (called " DOE"),.'1he Rahk &
Wilcox Ocupany, a Delaware Corporation (called "B&W"), and UNC, Incorporated (called "UNC").
a NOW 'IHEREFORE, the parties hereto matually tSee to this Memorandum of Understanding as follows:
UNDERSTANDING
'the parties hereto agree that the following sets forth the basis upon which the parties interd to conduct negotiations with the intention of entering into one or more " Definitive A:goe:gr.nts", as noted herein:
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UNC will submit a change to its currently approved Cost Accounting Standards disclosure statanant which will. define those ackiitional costs solely attributable to the naaaation of
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1-operations at.Its UNC Naval Prodrts Division including a proper l
l allocation base. Dcanples oi w:h costs are identified in
. Attactment A.
'Ihe allocation base shall be one that distributes
.the costs over the contrrcts identified in subparagraphs a. ard
- c. above on the basis of total actual incurred costs sir m l!-
inception of these contracts.
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UNCNavalProducts Attachment A.
UNC CWSEOUT 00b7 i
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'Ihe elements of cost listed below shall constitute the new overhead pool =
n e lated with closecut of UNC as a Naval Nuclear Propu'.sion Fa wamu 1
supplier. 'Ihese costs should be allocated to prime contracts and suhd.ructs in acoc~ dance with this Manorandum of Understanding and shall be allowable, subject to the test of reasonableness.. 'Ihe UNC CAS i
Disclosure Statement shall be apptylately modified to reflect the Ntussiants herein for new overhead items.
'Ibe following are exanples of costs which constitute the new overhead pool and do not include any items related to the MPP termination:
N,r-laaioning, dismantling, decontamination,. and decci-koction 3.
oosts to be incurred in-terminating the NRC license, obtaining NRC approval for wuwi.ricted arvi land and facility use and in preparing contaminated agii==nt for sale and -shipment.
7.
Cost of operatiry the Naval Products facility until the NRC license is i
tenr.inated and the contracts closed.
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