ML20062F738
| ML20062F738 | |
| Person / Time | |
|---|---|
| Site: | Summer  |
| Issue date: | 09/15/1978 |
| From: | SOUTH CAROLINA ELECTRIC & GAS CO. |
| To: | |
| Shared Package | |
| ML20062F737 | List: |
| References | |
| B-86, NUDOCS 7812200289 | |
| Download: ML20062F738 (13) | |
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NUCLEAR REGULATORY COMMISSION WASHINGTON, D. C. 20555 ORIGlNAL e
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Docket No.50-395 Indemnity Agreement No. B-86 This Indemnity Agreement No. B-86 is entered into by and between SOUTH CAROLINA ELECTRIC AND GAS COMPANY SOUTH CAROLINA PUBLIC SERVICE AUTHORITY (hereinaf ter referred to as the " licensee") and the United States Nuclear Regulatory Commission (hereinafter referred to as the " Commission") pursuant to subsection 170c of the Atomic Energy Act of 1954, as amended (herein-after referred to as "the Act").
O ARTICLE I As used in this agrgement:
- l. " Nuclear reactor," " byproduct material," " person," " source material," and "special nuclear material" shall have the meanings given them in the Atomic Energy 'Act of 1954, as amended, and the regulations issued by the Commission.
- 2. Except where otherwise specifically provided, " amount of finan-cial protection" means the amount specified in Item 2a and b .of the Attachment annexed hereto, as modified by paragraph 8, Article II, with respect to common occurrences.
3.(a) " Nuclear incident" means any occurrence, including an extra-C ordinary nuclear occurrence, or series of occurrences at the location or in the course of transportation causing bodily injury, sickness, disease, or death, or loss of or damage to property, or loss of toxic, use of property, arising out of or resulting from the radioactive, explosive, or other hazardous properties of the radioactive material.
(b) Any occurrence, including an extraordinary nuclear occurrence, or series of occurrences causing bodily injury, sickness, disease, or death, or loss of or damage to property, or loss of use of property, B
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arising out of or resulting from the radioactive, toxic, explosive, or other hazardous properties of
- 1. The radioactive material discharged or dispersed from the location over a period of days, weeks, months or longer, and also arising out of such properties of other material
- defined as "the radioactive material" in any other agreement or agreements entered into by the Commission under subsection 170c or k of the Act and so discharged or dispersed from "the location" as defined in any such other agreement, or
- 11. The radioactive material in the course of transportation and also arising out of such properties of other material defined in any other agreement entered into by the Commission pursuant to subsection 170c or k of the Act as "the radio-active material" and which is in the course of transportation shall be deemed to be a common occurrenes. A common occurrence shall O be deemed to constitute a single nuclear incident.
- 4. " Extraordinary nuclear occurrence" means an event which the Commaission has determined to be an extraordinary nuclear occur-rence as defined.in the Atomic Energy Act of 1954, as amended.
- 5. "In the course of transportation" means in the course of transpor-tation within the United States, or in the course of transportation outside the United States and any other nation, including handling or temporary storage incidental thereto, of the radioactive material to the location or from the location provided that:
(a) With respect to transportation of the radioactive material to the location,,such transportation is not by predetermination to be interrupted by the removal of the material from the transporting conveyance for any purpose other than the continuation of such trans-()
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. portation to the location or temporary storage incidental thereto; (b) The transportation of the radioactive material from the loca-tion shall be deemed to end when the radioactive material is removed from the transporting conveyance for any purpose other than the con-tinuance of transportation or temporary storage incidental thereto; (c) "In the course of transportation" as.used in this agreement shall not include transportation of the radioactive material to the I
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- 3-location if the material is also "in the course of transportation" .
from any other " location" as defined in any other agreement entered i
into by the Commission pursuant to subsection 170c or k of the Act. ,
" Person indemnifiad" means the licensee and any other person 1
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who may be liable for public liability.
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- 7. "Public liability" means any legal liability arising out of or resulting from a nuclear incident, except (1) claims under Stata.or Federal Workman's Compensation Acts of employees of persons indenni-fied who are employed (a) at the location or, if the nuclear incident occurs in the course of transportation of the radioactive material, on the transporting vehicle, and (b) in connection with the licensee's possession, use or transfer of the radioactive material; (2) claims arising out of an act of war; and (3) claims for loss of, or damage
(]) to, or loss of use of (a) property which is located at the location and used in connection with the licensee's possession, use, or trans-for of the radioactive material, and (b) if. the nuclear incident occurs in the course of transportation of the radioactive material, the transporting vehicia, containers used in such transportat, ion, and the radioactive material.
- 8. "The location" means the location described in Item 4 of the Attachment hereto.
- 9. "The radioactive material" means source, special nuclear, and byproduct material which (1). is used or to be used in, or is ir-radiated or to be irradiated by, the nuclear reactor or reactors subject to the license or licensas designated in the Attachment.
hereto, or (2) which is produced as the result of operation of said -
reactor (s).
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- 10. " United States" when used in a geographical sense includes all Territories and possessions of the United Statss, the Canal Zone and Puerto Rico. .
ARTICLE II
- 1. At all times during the term of the license or licenses desig-nated in Item 3 of the Attachment hereto, the licensee will maintain financial protection in the a=ount specified in Item 2 of the Attach-ment and in the form of the nuclear energy liability insurance policy e
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- If more than one license is designated designated in the Attachment.'the in Item 3 of the Attachment, licensee agrees to maintaan such financial protection until the end of the term of that license which '
will be the last to expire.
The licensee shall, notwithstanding the suspension or revo-expiration, termination, modification, a=endment, cation of any license or licenses designated in Item 3. of the Attach-ment, maintain such financial protection in effect until all the. radio-active material has been removed from the location and transpo:tation of the radioactive material from the location has ended aa. defined in subparagraph 5(b), Article I, or until the Commission authorizes.The the termination or the modification.of such financial protection:
Commission will not unreasonably withhold such author 12ation.
2 .'
In the event of any payment by the insurer or insurers under a policy or policies specified in Item 5 of the Attachment hereto _which
(]) reduces the aggregate limit of such policy or policies below. the amount of financial protection, the licensee will promptly apply to his. insurers for reinstatement of the amount specified in Item 2a of the Attachment.
(without reference to paragraph b. of Item 2) and will maka. all reasonable efforts to obtain such reinstatement. In the event.that.the licensee.has
'not obtained reinatatement.of such amount within ninety days after.the
' date of such reduction, and.in the absence of good cause shown.zo the contrary, the Commission may issue an order requiring tha.ltcensaa.to furnish financial protection for such amount in another form.
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Any obligations of. the 11causes under subsection 53a(8) f Act to indemnify the Unitad States and the Commission frca public liability, together with any public liability satisfied by the in-surers under the policy or policies designated in the Accachment hereto, shall not in the aggregate exceed the amount of. financial to any nuclear incident, including the reason-l
([] protection with respectable costs of investigating and settling claims and defend for damage.
4 With respect to any extraordinary nuclear occurrence to which this agreement applies, the Cc= mission, and the licansee on behalf of itself and other persons indemnified, insofar as their interests appear, each agree to waive (a) any issue or defense as to the conduct of the claimant or rault of persons indemnified, including, but not limi:ad to B
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(1) negligence; (2) contributory negligence; *
(3) assumption of the risk; (4) unforseeable intervening causes, whether involving the conduct of a third person or an act of God.
As used herein, " conduct of the claimant" includes conduct of persons through whom the claimant derives his cause of action; (b) any issue or defense as to charitable or governmental -
immunity; (c) any issue or defense based on any statute of limitations if suit is instituted within three years from the date on which the clainant first knew, or reasonably could have known, of his injury or damage and the cause thereof, but in no even't more than 20 years af ter the date of the nuclear incident.
The waiver of any such issue or defense shall be effective regardless of whether such issue or defense may otherwise be deemed jurisdictional or relating to an element in the cause of action. The waivers shall be judicially enforceable. in accordance with their terms by the claimant against the person indemnified.
- 5. The waivers set forth in paragraph 4 of this Article:
(a) shall not preclude a defense based upon a failure to take
~3 reasonable steps to mitigate damages; (b) shall not apply to injury or damage to a claimant or to a claimant's property which is intentionally sustained by the claimant or*which results from a nuclear incident intentionally and wrong-fully caused by the claimant; ,
(c) shall not apply to injury to a claimant who is employed at the site of and in connection with the activity where the. extra-ordinary nuclear occurrence takes place if benefits therefor are either payable or required to be provided under any workmen's com-Provided, however, That with t
pensation or occupational disease law: the respect to an extraordinary nuclear occurrence occurring at l facility, a claimant who is employed at the facility in connection l
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- 6-with the construction of a nuclear reactor with' respect to which no operating license has been issued by the Atomic Energy Commission shall not be considered as employed in connection with the activity -
where the extraordinary nuclear occurrence takes place if: , ,
(1) the claimant is employed exclusively in connection with the construction of a nuclear reactor, including all related equipment and installations at the facility, and .
(2) no operating license has been issued by the NRC with respect to the nuclear reactor, and (3) the claimant is not employed in connection with the
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possession, storage, use or transfer of nuclear material
( at the facility. (d) shall not apply to any claba for punitiv'e or exemplary - damages, provided, with respect to any claim for wrongful death under any State law which provides for damages only punitive in nature, this exclusion does not apply to the extent that the 6 claimant has sustained actual damages, measured by the pecuniary injuries resulting from such death but not to exceed the maximum amount otherwise recoverable under such law; i (e) shall be effective only with respect to those obligations set forth in this agreement; (f) shall not apply to, or prejudice the prosecution or defense of, any claim or portion of claim which is not within the pro-tection afforded under (1) the limit of liability provisions under {}} subsection 170e of the Atomic Energy Act of 1954, as amended, and (2) the terms of this agreement and the terms of the nuclear energy liability insurance policy or policies designated in the attachment hereto.
- 6. The obligations of the licensee under this agreement shall apply only with respect to nuclear incidents occurring during the term of this agreement.
7.- Upon the expiration or revocation of any license designated in Item 3 of the Attachment, the Commission will enter into an appropriate amendment of this agreement with the licensee reducing the amount of financial protection required under this Article; provided, that the licensee is then entitled to a reduction in the amount of financial protection under applicable' Commission regulations and orders. B f
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- 8. With respect to any common occurrence:
(a) If the sum of the limit of liability of any Nuclear Energy Liability Property Insurance Association policy designated in Item 5 of the Attachment and the limits of liability of all other nuclear energy liability insurance policies (facility form) applicable to such common occurrence and issued by Nuclear Energy Liability Property Insurance Association exceeds $108,500,000, the amount of financial - protection specified in Item 2a and b of the Attachment shall be deemed . to be reduced by that propor tion of the difference between said sum and $108,500,000 as the limit of liability of the Nuclear Energy Liability Eroperty Insurance Association policy designated in Item 5 of the Attachment bears to the sum of the limits of liability of all nuclear energy. liability insurance policies (facility form) applicable to such common occurrence and issued by Nuclear Energy Liability Property Insurance Association. Q (b) If the sum of the limit of liability of any Mutual Atomic Energy Liability Underwriters policy designated in Item 5 of the - Attachment and the limits of liability of all other nuclear energy liability insurance policies (facility form) applicable to such common occurrence and issued by Mutual Atomic Energy Liability Underwriters exceeds $31,500,000, the amount of financial protection specified in Item 2a and b of the Attachment shall be deemed to be l reduced by that proportion of the difference between said sum and
$31,500,000 as the limit of liability of the Mutual Atomic Energy Liability Underwriters policy designated in Item 5 of the Attachment bears to the sum of the limits of liability of all nuclear energy liability insurance policies (facility form) ap'plicable to such common occurrence and issued by Mutual Atomic Energy Liability Underwriters; (c) If any of the other applicable agreements is with a person who has furnished financial protection in a form other than a nuclear I}
energy liability insurance policy (facility form) issued by Nuclear Energy Liability Property Insurance Association or Mutual Atomic Energy Liability Underwriters, and if also the sum of the amount of finan-cial protection established under this agreement and the amounts of financial protection established under all other applicable agreements exceeds an amount equal to the sum of $140,000,000 and the amount available as secondary financial protection, the obligations of the licensee shall not exceed a greater proportion of an amount equal to the l sum of $140,000,000 and the amount available as secondar/ financial protection than the amount of financial protection established under this agreement bears to the sum of such amount and the amounts of financial protection established under-all other applicable agreements. B r-- ng . ~ . - - , . _ _ _ , , . . - , _ _ _
(d) As used in this paragraph 8, Article II,'and in Article III, .
"other applicable agreements" means each other agreement entered into by the Commission pursuant to subsection 170c of the Act in which .
- agreement the nuclear incident is defined as a " common occurrence." -
As used in this paragraph 8, Article II, "the obligations of the - licensee" means the obligations of the licensee under subsection 53e(8) of the Act to indemnify the United States and the Commission from public liability, together with any public liability satisfied by the insurers under the policy or policies designated in the Attachment, and the reasonable costs of investigating and settling claims and defending suits for damage.
- 9. The obligations of the licensee under this Article shall not be affected by any failure or default on the part of the Commission or g the Government of the United States to fulfill any or all of its s Bankruptcy or insolvency of any obligations under t'ais agreement.
person indemnified other than the licensee, or the estate of any person indemnified other than the licensee, shall not relieve the licensee of any of his obligations hereunder. ARTICLE III l
- 1. The Commission undertakes and agrees to indemnify and hold harmless the licenses and other persons indemnified, as their j
interest may appear, from public liability. .
- 2. With respect to damage caused by a nuclear incident to property of any person legally liable for the nuclear incident, the Commission agrees to pay to such person those sums which such person would have been obligated to pay if such property had belonged to another;
(_) provided, that the obligation of the Commission under this paragraph 2 does not apply with respect to: (a) Property which is located at the location described in Item 4 of the Attachment or at the location described in Item 3 of the declarations attached to any nuclear energy liability insurance - policy designated in Ite= 5 of the Attachment; (b) Property damage due to the neglect of the person indemnified to use all reasonable means to save and preserve the property 'af ter knowledge of a nuclear incident; (c) If the nuclear incident occurs in the course of transportation of the radioactive material, the transporting vehicles and containers used in such transportation; (d) The radioactive material.
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- 3. The Commission ag'rees to indemnify and hold harmless the licensee and other persons indemnified as their. interest may appear, from the reasonable costs of investigating, settling and defending claims for public liability.
- 4. (a) The obligations of the Commission under this agreement shall .
apply only with respect to such public liability, such damage to property of persons legally liable for the nuclear incident (other , than such property described in the proviso to paragraph 2 of this Article), and such reasonable costs described in paragraph 3 of this Article as in the aggregate exceed the amount of financial protection.* (b) With respect to a common occurrence, the obligations of the Commission under this agreement shall apply only with respect to such public liability, such damage to property of persons legally liable for the nuclear incident (other than such property described in the proviso to paragraph 2 of this Article), and to such reason- ' able costs described in paragraph 3 of this Article, as in the (T; k- aggregate exceed whichever the following is lower: (1) The sum of the amounts of financial protection established under this agreement and all other applicable agreements; or (2) an amount equal to the sum of $140,000,000 and the amount available as secondary financial protection.
- 5. The obligations of the Commission under this agreement shall apply only with respect to nuclear incidents occurring during the term of this agreement.
- 6. The obligations of the Commission under this and all other agreements and contracts to which the Commission is a party shall not, with respect to any nuclear incident, in the aggregate exceed whichever of the following is the lowest: (a) $500,000,000; (b)
$560,000,000 less the amount of financial protection required under this agreement; or (c) with respect to a common occurrence, t'}' $560,000,000 less the sum of the amount of financial protection established under this agreement and all other applicable agreements.
! 7. The obligations of the Commission under this agreement, except to the licensee for damage to property of the licensee, shall not be affected by any failure on the part of the licensee to fulfill its obligations under this agreement. Bankruptcy or insolvency of the licensee or any other person indemnified or,of the estate of the licensee or any other person indemnified shall not relieve the Commission of any of its obligations hereunder. l 1 l l B
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ARTICLE IV .
- 1. When the Commission determines that the United States will probably be required to maka. indemnity payments under the. provisions.
of this agreement, the Commission shall have the right. co. collaborate. with the licensee and.other persons.Andemnified.in.the settlement.and. defense of any claim and shall. have the-right. (a) to. require the. prior approval of the Commission for.the settlement or payment.of.any. claim or action asserted against the licensee or ocher person indemnified.
,I for public liability or damage to-property of persons. legally liable for the nucisar incident which. claim or action the. licensee.or.che.
Commission may be required.to. indemnify under this. agreement 4.and. , (b) to appear through the. Attorney. General of the United. States. on-behalf of the licensee or other person indemnified, take. charge.of such action and settia or. defend. any such action. . If tha. settlement or defense of any such action or claim is undertaken by the. Commission, (]) the licenses shall furnish all. reasonable assistance in effecting a settlement or asserting a defense.
- 2. Neither this agreement.nor any interest therein nor. claim.
thereunder may *be assigned or transferred without the approval of the Commission. ARTICLE V The parties agree that they. will. enter into appropriate amendments. of. this agreement to the extent that such amendments-are required pursuant.co.the. Atomic Energy Act of 1954, as amended, or licenses, regulations or orders of the Commission. ARTICLE VI. The licenses agrees to pay to the Commission.such fees as are. established ! by the Commission pursuant to regulations or orders of the Com=ission. ARTICLE VII The term of this agreement shall. commence as of the.date and time.specified in Item 6 of the Attachment.and shall terminate.ac.the time.cf. expiration of l that license specified in Item 3 of the. Attachnent,.which is. the.last to. expire; l l provided that, except as may otherwise be provided in applicable regulations or orders of the Co= mission, the term of.this agreement shall not.cerminate l until all the radioactive material has been removed.from the location and transportation of the radioactive material. from the location has ended as l j defined in subparagraph 5(b), Article I. Termination of the term of this agreement shall not affect any obligation of the licensee or any oblzgation l of the Co= mission under this agree =ent with respect to any nuclear incident l occurring during the term of this agreement. B 1 i
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ARTICLE VIII
- 1. If the licensee fails to pay assessed deferred premiums, the Commission reserves the right to pay those premiums on behalf of the licensee and to recover the amount of such premiums from the licensee.
- 2. The Commission shall require the immediate submission of financial statements by those licensees who indicate, after an assessment of the retrospective premium by the insurance _
pools, that they will not pay the assessment. Such financial statements shall include, as a minimum, exhibits indicating internally generated funds from operations and accumulated retained earnings. Subsequent submission of financial statements by such licensees may be requested by the Commission, as required.
- 3. If premiums are paid by the Commission as provided in paragraph 1, payment by the Commission shall create a lien in the amount
' ({} paid in favor of the United States upon all property and rights to property, whether real or personal, belonging to such licensee. The lien shall arise at the time payment is made by the Commission and shall continue until the liability
, for the amount (or a judgment against the licensee arisis) out of such liability) is satisfied or becomes' unenforceable. The Commission will issue a certificate of release of any such
- lien if it finds that the liability for the amount has been fully satisfied or has become legally uneforceable.
l 4. If the Commission determines that the licensee is financially i able to reimburse the Commission for a deferred premium payment made in its behalf, and the licensee, after notice of such determination by the Commission fails to make such reimbursement within 120 days, the Commission y411 take appropriate steps to suspend the license for 30 days. 'The Commission may take any further action as necessary if reimbursement is not made O ' within the 30-day suspension period including, but not limited to, termination of the operating license. B
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. UNITED STATES NUCLEAR REGULATORY COMMISSION ATTACHMENT Indemnity Agreement No. B-86 Item 1 - Licensee South Carolina Electric and Gas Company South Carolina Public Service Authority Address 328 Main Street Columbia, South Carolina 29218 Item 2 - Amount of financial protection
, a. $1,000,000
- b. With respect to any nuclear incident, the amount specified in Item 2a of this Attachment shall be deemed to be (i) reduced to the extent that any payment made by the insurer A or insurers under a policy or policies specified in Item i
v 5 of this Attachment reduces the aggregate amount of such insurance policies below the amount specified in Item 2a and (ii) restored to the extent that, following such reduction, the aggregate amount of such insurance policies is reinstated. Item 3 - License number or numbers SNM-1834 Item 4 - Location All of the premises including the land and all buildings and - structures of the licensees' Virgil C. Summer Nuclear Station situated on a site consisting of approximately 2,200 acres and n located approximately one (1) mile east of the Broad River, kJ fifteen (15) miles southwest of Winnsboro and twenty-six (26) miles northwest of Columbia in Fairfield County, South Carolina. Item 5 - Insurance Policy No(s). Nuclear Energy Liability Policy (Facility Form) No. NF-252 issued by the Nuclear Energy Liability Property Insurance Association. 4
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l Item 6 - The indemnity agreement designated above, of which this Attachment is a part, is effective as of 12:01 a.m., on the /f i day of .Lpt. .,;s , 1978. FOR THE UNITED STATES NUCLEAR REGULATORY COMMISSION Jerome Saltzman, Chief Antitrust & Indemnity Group Nuclear Reactor Regulation O FOR SOUTH CAROLINA ELECTRIC AND GAS COMPANY C-BY I, ' 4 5 ' c Senior Vice Presid'e nt, Operations FOR SOUTH CAROLINd'PUBLIC SERVICE AUTHORITY BY , ///h4 ff/ h w Y
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O oated at Bethesda, Mary 1end, the j 3' & day of y. , 1978. . i
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