ML20059D136

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Applies for Exemption from Payment of Annual Fees for FY90, Per 10CFR171
ML20059D136
Person / Time
Site: Fort Saint Vrain Xcel Energy icon.png
Issue date: 07/13/1990
From: Crawford A
PUBLIC SERVICE CO. OF COLORADO
To:
NRC OFFICE OF THE EXECUTIVE DIRECTOR FOR OPERATIONS (EDO)
Shared Package
ML20059D131 List:
References
P-90217, NUDOCS 9009060106
Download: ML20059D136 (5)


Text

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a-i G eubiic service-1 cx-

.,ofcenerado July 13, 1990 Fort St. Vrain Unit No. 1 P-90217 i

Executive Director for Operations U. S. Nuclear Regulatory Commission Washingten, D.

C.

20555 Docket No. 50-267

SUBJECT:

Exemption frem Annual Fees Under 10 CFR Part 171

REFERENCES:

See Attachment 1 Gentlemen:

Public Service Company of Colorado (PSC) hereby makes application to the Nuclear Regulatory Commission (NRC) for an exemption regarding the payment of annual fees for fiscal year 1990 as promulgated in 1/.i CFR 171 (Reference 1). - PSC officially announced the end of operations at the Fort St. Vrain Nuclear Generating Station (FSV) on August 27, 1989.

Written nocification of PSC's decision to terminate operations at FSV L

was submitted to the NRC in Reference 2.

Prior to the August 1989 decision to terminate operations at FSV, PSC had notified the NRC that nuclear power operation would cease at FSV on or before June 30, 1990 (Reference 3).

PSC received approval on August 30, 1989, to amend the FSV license upon permanent shutdown to reflect a 2%-power restriction (Reference 4).

On October 1, 1989, PSC submitted a proposed license amendment (Reference 5) to have the 2% power restriction made a part of the FSV license effective August 18, 1989, the last day FSV was in an operating mode.

On November 21, 1989, this amendment application was revised to request that a reecrictinn prohibiting power operation at any level be added to the FSV license (Reference 6).

This amendment application was noticed by the NRC in the Federal Register on May 16, 1990 (Reference 7).

PSC has previously requested exemption from the annual fees under the criteria listed in 10 CFR 171.11.

The NRC granted PSC a partial exemption from the annual fee in 1987 (Reference 8).

The exemption requests submitted for the 1988 (Reference 9) and 1989 (Reference 10) annual fees remain under review by the NRC.

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9009060106 900730 PDR ADOCK 05000267 P

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P-90217 Page 2 Although analysis of exemption criteria factors a) through d) 9 has not changed significantly from PSC's previous applications, it remains applicable and is included herein.

Discussion of the permanent shutdown of FSV, which is of itself sufficient to justify total exemption from the annual fees, is included in t

factor e).

Following is PSC's justification for requesting total exemption from the fiscal year 1990 annual feest a)

Ane of Remeter FSV first went critical in January 1974.

As such, it was the first reactor to go initially criticci in 1974.

Prior to 1970, eight reactors went critical; between 1970 and 1972 fifteen more went critical, and 1 ring 1973 eleven reactors went critical.

Therefore, of the 114 reactors currently having operating licenses, FSV was the 35th reactor to go critical.

This places FSV among the oldest third of the nuclear units currently licensed.

l b)

Size of Reactor FSV is rated at 330 MWe net.

However, the unit was restricted to 82% of rated capacity and throughout much of its operating life was not operable while equipment modificatior.4 were being made.

Reactors that have gone L

critical since 1980 have ranged in size from 829 MW for i

l Farley 2 to 1221 MW for the Palo Verde units.

The newer units are roughly 4 times largep than the restricted rating of FSV, roughly 9 times larger than the capacity that FSV generally realized, and infinitely larger than the shutdown capacity that was often required in order to make safety-related modifications'and repairs.

Given the permanent shutdown of FSV, the size of the reactor is effectively zero MW, which precludes production of any revenue to offset fees imposed by the NRC.

c) ggaber of Customers in Rate Base The number of customers in rate base is not applicable to FSV.

No additional expenses of any kind, including additional fees such as the 10 CFR 171 fees, can be passed on to the PSC rate payers.

l As the result of a 1986 litigation settlement between PSC and the Colorado Public Utilities Commission (PUC) and I

other litigants, ISV was removed from the PSC race base and costs associated with FSV are no longer recoverable - from PSC customers.

d)

Net Increase in KWh Cost for Each Customer Directly Related t

to the Annual Fee Assessed Under this Part No increase in KWh cost to customers of PSC will result due to the l

imposition of the annual fee.

PSC is not permitted to seek future rate increases based on increased costs at FSV.

As stated in paragraph c) above, FSV was removed from the PSC rate base and costs associated with FSV are no longer recoverable from PSC customers.

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July 13, 1990 P-90217 Page 3 e)

Any Other Relevant Mattar which the Licensaa Baliavaa Justifies the Reduction of the Annual Fee Under 10 CFR 171.3, the annual fees are ap holding an operating license.plicable only to licensees As defined in Part 171.5, this does not include licensees that have requested a license amendment for permanent withdrawal of authority to operate.

As stated before, PSC notified the NRC in December 1988, that nuclear power operation would cease at FSV on or before June 30, 1990-(Reference 3).

In light of this decision, PSC requested approval to amend.the FSV licensa upon permanent shutdown to reflect a 2% power restriction (Reference 11).

The 2% power restriction is effectively the same as withdrawal of operating authority, since 2%

power is below the power required for " power op.eration" an defined in the FSV Technical Specifications.

Approval to amend the FSV license to reflect a 2% power restriction upon permanent shutdown was granted on August 30, 1989,

(Reference 4).

Permanent shutdnwn was defined at that time as "on or before June 30, 1990".

PSC formally announced the and of nuclear operations at, FSV on August 29, 1989, and notified'the NRC of the decision not to restart FSV by letter dated September 1, 1989 (Reference 2).

Thus,. prior'to the start of fiscal year 1990, FSV's status met the intent of the requirement in the regulation that the annual' fees only be assessed against operating nuclear reactors.

On October 1, 1989, PSC submitted an amendment application (Reference 5) to insert the 2% power restriction effective August 18, 1989, the last day FSV was in an operating mode.

Since at FSV the 2% power restriction is effectively the same as withdrawal of operating authority, PSC in effect submitted an amendment to withdraw authority to operate on October 1, 1989, at the start of fiscal year 1990.

The October 1, amendment application was superseded on November 21, 1989 by a PSC proposal that the FSV license be amended to withdraw authorization to operate at any power level (Reference 6).

Although this November proposal was noticed by the NRC in May 1990 (Reference 7), PSC 7et the defined exemption requirement in November 1999, as a licensee that had requested permanent withdrawal of authority to operate.

A refund to PSC will not be necessary because the request for permanent withdrawal of operating authority was made before the annual fees for fiscal year 1990 were assessed (Reference 1), and PSC has made no payments for ?"t 1990 fees.

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July 13, 1990 P-90217 Page 4 Finally, per the Federal Register notice which assessed tha fees (Reference 1), fees related to FSV were not included in the fee base.

FSV is in the "Other Reactor" category, I

reactors that have previously been granted full. or partial exemptions.

Thus, the' fee base would not be reduced if this request for exemption is granted.

PSC believes total exemption from the Part 171 fees is fully justified.

FSV was permanently shutdown in fiscal year 1989 and notification of permanent shutdown was made to the NRC in 1989.

All parties were aware that FSV was not an operating nuclear power reactor at the close of fiscal year 1989 and FSV has not been considered an operating nuclear power reac, tor at any time during fiscal year 1990.

Should you have any questions regarding PSC's application for exemption, please contact Mr. M. H. Holmes at (303) 480-6960.

Very truly yours, 1

(Z h N

A.

Clegg Crawford Vice President, Nuclear Operations cc:

U.

S. Nuclear Regulatory Commission ATTN Document Control Desk Washington, D.C.

20555 C. Jsmes Holloway, Jr., Chief License Fee Management Branch Division of Accounting and Finance Office of the Controller Regional Administrator, Region IV ATTN Mr. ' J. B. Baird Technical Assistant Division of Reactor P'rojects Mr. Robert Farrell Senior Resident Inspector Fort St. Vrain Reviewed by

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P-90217 July 13, 1990

REFERENCES:

(1)

Federal Register (55 FR 7610)' Annual License Fees for. Fiscal Year 1990 for Power Reactor Operating Licenses, March 2, 1990 (2)

PSC Letter, Crawford to Weiss

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September 1, 1989 (P-89342' (3)

PSC Letter, Williams to De ec

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Desk, dated December 5, 1988 (P% - r /,-.

(4)

NRC Letter, Heitner to Williac,

s;.

August 30, 198?

(G-89304)

(5)

PSC Letter, Crawford to Weiss, dated October 1, 1989 (P-89366)

(6)

PSC Letter, Crawford to Weiss, dated November 21, 1989 (P-89452)

(7)

Federal Register (55 FR 20364), May 16, 1990 (8)

NRC Letter, Stallo 'to. Williams, dated August 7,

,1987 (G-87268)

(9)

PSC Letter, Williams to Executive Director of Operations, dated September'25, 1987 (P-87335)

(10)

PSC Letter, Bray to Executive Director of Operations, dated February 14, 1989 (P-89044)

(11)

PSC Letter, Crawford to Hebdon, dated June 9, 1989 (P-89216) hamare a in i