ML20127E245

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Discusses NRC Review of 900717 Decommissioning Financial Assurance Submittal for License SNM-0111.Decommissioning Funding Plan Conforming to 10CFR30.35(e) Should Be Submitted
ML20127E245
Person / Time
Site: 07000121
Issue date: 09/17/1992
From: Callan L
NRC OFFICE OF INSPECTION & ENFORCEMENT (IE REGION IV)
To: Ray E
INTERIOR, DEPT. OF, GEOLOGICAL SURVEY
References
463639, NUDOCS 9209220252
Download: ML20127E245 (6)


Text

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SEP 171992 In Reply Refer To:

1.icense No: SNM-ll!

Docket No: 70-00121 Control No: 463639 U.S. Department of Interior

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ATTN: Ernest t.. Ray Geological Survey c Box 25046 M.S. 205 m

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Denver Fader $1 Center Denver, Colorado 80225 Gentlemen:

This letter is in response to your decommissioning financial assurance submittal dated July 17, 1990 and subseouent submittal dated May 29, 1992, in response to our ietter dated July 3,1991.

We have reviewed your decommissioning financial assurance submittals. Within the scope of our review, no ceficiencies were identified. Your financial 2ssurance for $750,000 for your license satisfies the inittai requirement of 10 CFR 30.35(c)(2) for the suomittal, whicn was due July 27, 1990. However, as set forth in that section, as part of the existing renewal application for your license, you must submit a decommissioning funding plan conforming to 10 CFR 30.35(e), with financial assurance for the amount of the estimateo total cost of decommissioning in accordance with 10 CFR 30.35(f). The required cost estimato for decommissioning should be submittea with the level of detail illustrated by Appendix F of Regulatory Guide 3.66.

Please submit the required information as originally signea duplicates within 60 days of receipt of this letter. Where good cause is shown, consideration will be given to extending the response time. If you have questions regarding this matter, please call Mr. Selvan Rajendran at (817) 860-8217.

Sincerely, ,

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P

. J. Cal an, irector Division f adiation Safety and Safeguards 29'100 3

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Department of Interior

Enclosures:

1.- Regulatory Guide 3.66

2. NUREG/CR-1754 Addendum 1

" Technology, Safety and Costs of Decommissioning Reference Non-Fuel-Cycle Nuclear Facilities" i

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In' Reply Refer To:

License Nos. 05-01399-08 SNM-111 Docket Nos. 30-03728 90-00121 '

Control Nos. 463640 N 63639 U.S. Department of Interior ATTN: Harry A. Tourtelot Assistant Chief Geologist Central Region Geological Survey Box 25046 M.S. 205 Denver Federal Center Denver, Colorado 80225 Gentlemen:

This letter is regarding your decommissioning financial assurance submittal dated July 17, 1990, for your Byproduct Material License Nos. 05-01399-08 and SNM-111. Upon reviewing your submittal we noted that more information is needed to evaluate your submittal. In this submittal you have estimated that total decommissioning cost for both of your licenses would be $1,000,000. To justify that amount we need additional information. NRC requires that you .

either identify the relevant certification amounts for the licenses or submit additional detail on the cost estimate using the " Cost Estimating Tables" in Appendix F of the draft Regulatory Guide " Standard Format and Content of Financial Assurance Mechanisms Required for Decommissioning Under 10 CFR Parts 30, 40, 70, and 72" (January 1990) to show that you have provided reasonable cost estimates for all major decommissioning activities. In addition, you should also incorporate a contingency factor of 25 percent into your estimate, and should clarify that you have not included in your cost estimate credit for any salvage value that may be realized with the sale of l potential assets after decommissioning. (See page 1-13 of the draft Regulatory Guide.) Finally, as required under 10 CFR 30.35(e) and 70.25(e), you should describe the means you will use to adjust your decommissioning cost " estimate-and associated funding level over the life of the facility. Adjustments should be made to account for inflation, other changes in prices of specific goods and

ervices, changes in facility conditions, and changes in expected decommissioning procedures.

The assistant chief geologist and the regional hydrologist signed the statement of intent, both of the Central Region of the Geological Survey. The submission-did not contain any evidence that these officials are authorized to sign a statement of intent for the Geological Survey. Therefore, we request that you submit such evidence.

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U."S. Department of Interior Please submit the required information as originally signed duplicates within 30 days of receipt of this letter so that we can continue our review. Where good cause is shown, consideration will be given to extending the response time. If yotrhave any guc3tions regarriing this matter, please call Selvan Rajendran at (817) sbu ecu .

Sincerely, O ng nat s, p ;a n f.

WILLIAM L FISiiF.R William L. Fisher, Chief Nuclear Materials Licensing Section cc:

Colorado Radiatinn Control Program Director bec:

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July 17. 1990

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Nuclear Materials Licensing Nuclear Materials Safety Section d]R ii

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U. S. Nuclear Regulatory Commission - Region IV J, .!

611 Ryan Plaza Drive, Suite 1000 *"

Arlington, Texas 76011 -

Dear Sir:

Re: Licenses 05-1399-08 and-SNM-lll-,

in response to your letter of Ma/ 2,1990, this correspondence provides a method of financial assurance for funds to comply with 10 CFR 30.35, "Fina-ncial Assurance ard Recerdkeeping for Decommissioning."

It is the intent of the U. S. Geological Survey that funds for decommissioning the research programs identified with these licenses will be obtained as necessary to prevent unnecessary delays in the final disposition of the radioactive materials. The USGS estimates that the total decommissioning costs will be S1 million in current fiscal year funds.

Certified on this date of July 17, 1990 N

Hahy A. I rtelot, Assistant

-m _ 0. n& kw James F. Blakey, Regional Hydroloalst I

C. .u$/Lu Chief Ge ist, Central Region Bentral Region p

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