ML20199G824

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Responds to Ltr to Senator Lt Connors, Re Possible Closure of Oyster Creek Nuclear Generating Station & Possible Impact That Closure May Have on Economy & Environ of Community
ML20199G824
Person / Time
Site: Oyster Creek
Issue date: 01/12/1999
From: Bill Dean
NRC (Affiliation Not Assigned)
To: Naclerio S
AFFILIATION NOT ASSIGNED
References
NUDOCS 9901250036
Download: ML20199G824 (9)


Text

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CE: bC hM 9 k UNITED STATES 8F2N ' s* g NUCLEAR REGULATORY COMMISSION  : 2 WASHINGTON, D.C. 206SH001  !

           \ ,,,g */                                               January 12, 1999 Ms. Shelly Nacierio                                                                                      ,

20418th Avenue '

              ~ Toms River, NJ 08757

Dear Ms. Nacierio:

I have been asked to respond to your letter to Senator Leonard T. Connors, Jr., dated December 7,1998, regarding the possible closure of the Oyster Creek Nuclear Generating Station (OCNGS) and the possible impact that closure may have on the economy and the environment of the community. Primarily because of the established economic regulatory process, the U.S. Nuclear i Regulatory Commission (NRC) has exercised limited financial oversight of electric utility i licensees. The electric industry's move away from traditional rate-based regulation toward  ; increased competition in a deregulated marketplace could have an adverse impact on the  ; long-term ability of utilities to adequately finance safe operation and decommissioning of their nuclear power plants. Although the NRC is not usually involved in economic or rate regulation, over the years the  ! agency has recognized a possible relationship between adequate financing and safe operations. Licensees' efforts to reduce spending could result in smaller, less-experienced i workforces; reductions in maintenance and capital budgets; shorter refueling outages, during which certain maintenance is performed; and a decline in training resources. The NRC must ensure that economic pressures do not result in reduced safety margins at operating nuclear , plants and do not impair a licensee's ability to fully finance decommissioning at a plant after it l is shut down. ' It also should be noted that the staff has historically not found a strong correlation between levels of operation and maintenance (O&M) and capital additions expenditure and measures of safety performance. Many plants have increased capacity factors and reduced O&M costs and continue to demonstrate excellent safety performance. The NRC will continue to monitor OCNGS through the inspection process and other plant performance indicators used to assess  : safe plant operation. With respect to some other issues you raised, and as indicated by your 9th District representatives in a letter to you dated December 10,1998, there is considerable activity at the State level to develop long-term strategies to address the socioeconomic and environmental

  • j issues surrounding the OCNGS facility.

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9901250036 990112 PDR ADOCK 05000219 0

S. Nacterio 2-I hope this letter is responsive to your concems regarding the safe operation of OCNGS until a final decision is made regarding the future operation of the facility. , Sincerely,

                                                                                      /s/

William M. Dean, Director l Project Directorate 1-2 Division of Reactor Projects - t/11 Office of Nuclear Reactor Regulation cc: See next page DISTRIBUTION Docket File (50-219) (w/ original incoming) ,. PUBLIC-l EDO#19980749 WTravers FMiraglia AThadani PNorry JBlaha BSheron

MKnapp SBums HMiller, RGN-l l RBangart l

KCyr SCollins/RZimmerman BBoger PDI-2 Reading (w/ incoming) JZwolinski WDean OGC OPA OCA SECY# CRC-98-1145

                    ' NRR Mail Room (EDO#19980749 w/ incoming) (05E-7) l                      NOlson CNorsworthy (e-mail)

REaton w/ incoming TClark ( PEselgroth, RGN-l 7 OFFICE PDI-Ellh PDI-2/LA PDl-2/D DRP NAME REa on TClark ~fb WDean[h JZw n ki l DATE l / N /99 / / (,/99 l /1/99 l /I/99 OFFICIAL RECORD COPY' DOCUMENT NAME: GT980749

i A e , e l S. Nacierio I hope this letter is responsive to your concems regarding the safe operation of OCNGS until a final decision is made regarding the future operation of the facility. Sincerely, l William M. Dean, Director Project Directorate I-2 ii Division of Reactor Projects - 1/11 Office of Nuclear Reactor Regulation cc: See next page l 4 l

         .-                         -  . _ .   . . - . - . _ - . - . _ - - = _               - . - .- .         _.    . .

s .c . GPU Nuclear Corporation Oyster Creek Nuclear Generating Station ec: Emest L. Blake, Jr., Esquire Senator Leonard T. Connors, Jr. Shaw, Pittman, Potts & Trowbridge 9th District Legislative Offices 2300 N Street, NW 620 West Lacey Road Washington, DC 20037 Forked River, NJ 08731 i 1 Regional Administrator, Region i U.S. Nuclear Regulatory Commission 475 Allendale Road King of Prussia, PA 19406-1415 BWR Licensing Manager GPU Nuclear Corporation 1 Upper Pond Road l 1 Parsippany, NJ 07054

Mayor l Lacey Township 818 West Lacey Road Forked River, NJ 08731 Licensing Manager Oyster Creek Nuclear Generating Station Mail Stop
Site Emergency Bldg.

l P.O. Box 388 Forked River, NJ 08731 i

                 . Resident inspector
                                                                                                                            ~j

! c/o U.S. Nuclear Regulatory Commission P.O. Box 445  ! Forked River, NJ 08731 Kent Tosch, Chief New Jersey Department of Environmental Protection l Bureau of Nuclear Engineering CN 415 Trenton, NJ 08625 Mr. Michael B. Roche Vice President and Director ~~" "' l GPU Nuclear Corporation ! Oyster Creek Nuclear Generating Station P. O. Box 388 Forked River, NJ 08731 i

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  .5 1                                                                   ACTION      l i

EDO Principal Correspondence Control h i h i FRON:: Dur.: / '/ EDO CONTROL: G19980749 i DOC DT: 12/10/93 I Leonard T. Connors,:Jr. FINAL REPLY. J ffrcy W. Moran . Chrictopher J. Connors . Stato of New Jersey TOs Shelly Naclerio FOR SIGNATURE OF : ** GRN ** CRC NO: 98-1145 l DESCI' ROUTING: OYSTER CREEK NUCLEAR GENERATING STATION Travers Knapp Miraglia Norry Blaha Burns DATES 12/23/98- Miller, RI Bangart, SP ASSIGNED TO: CONTACT: Cyr, OGC NRR Collins "SPECIAL INSTRUCTIONS OR REMARKS:- Far Appropriate Action. , Raf. G19980657.

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      ,                           OFFICE OF THE SECRETARY                                    i l                                CORRESPONDENCE CONTROL TICKET PAPER NUMBER:      CRC-98-1145                            LOGGING DATE: Dec 21 98       l ACTION OFFICE:     EDO/OGC AUTHOR:            SEN. LEONARD CONNORS AFFILIATION:       NEW JERSEY ADDRESSEE:         SHELLY NACLERIO LETTER DATE:       Dec 10 98                 FILE CODE: ID&R 5 OYSTER CREEK i     

SUBJECT:

OYSTER CREEK NUCELAR STATION ACTION: Appropriate DISTRIBUTION: CHTIRMAN, COMRS. l

                                                                                             \

SPECIAL HANDLING: NONE l l CONSTITUENT: NOTES: DATE DUE: SIGNATURE: . DATE SIGNED: AFFILIATION: s EDO --G19980749

_ . . - . - _ _ _ _ _ _ _ . _ . - ~ . _ . _ _ - _ _ . . . _ _ _ _ . . _ _ _ . . . - . . _ . _ . . . . _ s ,e V< s 7. ... , p y) h .[ t T M STATE OF NEW JERSEY LEONARD T. CONNORS, JR. 97H DISTRICT LEGISLATIVE Orr1CES JEFFREY W. MORAN SENATOR -- 97H DISTRICT 620 WEST LACEY ROAD ASSEMBLYMAN - 97H DISTRICT FORKED RIVER, NJ 08731 CHRISTOPHER J. CONNORS 609-693-6700 ASSEMBLYMAN - 97H DISTRICT December 10,1998 21 DEC 96 9 : Ms. Shelly Naclerio 2041 - 8th Avenue ' - Toms River, New Jersey 08757 e

Dear Ms. Nacierio:

                               'I bis brief rmte is to acknowledge a copy of your recent letter to our legislative Office.

By way of this reply, our Delegation would like to reach out to convey to you our appreciation for your interest and concerns about the future of the Oyster Creek Nuclear Generating Station, the impact onjobs and careers and the economic effects of the possible decommissioning of this facility on your community. We completely share these and many other profound concerns. That is why we have pushed so hard for legislation to establish a Task Force for the decommissioning of this Nuclear Generating Station to develop long-term strategies to address the socioeconomic and environmentalissues surrounding this facility. To save precious

                  - jobs and careers. To diminish the potential economic effects on many communities here in the region.

As you may know, the overall oversight of the Oyster Creek Nuclear Generating Station rests within the Federal Nuclear Regulatory Commission. The NRC has the responsibility to oversee this fxility during its operation and eventual closure at some point in the future, hopefully, at the conclusion of its full licensure expectation in 2009 or beyond. In an effort to try to be of assistance to you in looking into your concerns as they pertain to the NRC, by cony of thic reniv. we are forwardina a copy of your letter to NRC Commiccioner Shirlev Ann Jackcon. This convevance formnHV reauests Commiccic== Jackson to thoronohly review the icenec vou rnice-In the area of state responsibility, you may rest assured that many efforts are underway to establish a deregulation process for the electric industry that both reflects the changing marketplace for electricity, as well as the needs of consumers, based upon federal lav's and court

                  ~ decisions. You will also be encouraged to know that Lacey Township's state funding,in lieu of
                 ' property taxes for this facility, has been safeguarded by recent changes in state law. Our Delegation led the fight to protect Lacey Township from any diminished funding of its gross                                                     i receipts and franchise revenues.

I Printed on itec:cled Paper

                   ,     s l                              December 10,1998 l                              Ms. Shelly Naclerio Page 2 l

l In an effort to obtain some perspective for you as to New Jersey's role in this process and I what steps are underway here for e:ectric deregulation, etc., by copy of this reply. we are j sendine a cony of your Idtrf to Office of Lecislative Services Senior Fiscal Analyst George J. LeBlanc. This transmittal authorizes Mr. LeBlane to nut together a comnrehensive i briefine on these very comnler issues. _ Finally, the New Jersey Board of Public Utilities will play a prominent role in the decision making process to chart Oyster Creek's future. The input of citizens, such as yourself, merits strong consideration by the BPU during its hearing process on this facility. Therefore, we are forwarding a copy of your comments to the personal attention of BPU President Herben Tate, Jr. This conveyance formally reonests your statement to be entered into the official nublic record of testimony on thic facility. Thank you, once again, for your proactive effons as a concerned citizen about the future of the Oyster Creek Nuclear Generating Station. We welcome this opponunity to work with you l to obtain the latest available information on this evolving issue of concern to each and every citizen of our state. Please know, we will keep you apprised as findings are received from the NRC, OLS and the BPU. 1 Best regards. Sincerely, i

                                                                                                                                                                             \

(i u a a( pmen ']l LEONARD T. CONNORS, JR.

                                             .h
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                                                            .1 Senator - 9th District 1

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  • JEFF)tF.Y,W. MORAN RISTOPHER J. NNORS Assemblyman - 9th District Assemblyman - 9th District l

LTCJR/JWM/CJC/gpl/cmn l c: Honorable Shirley Ann Jackson, Commissioner Federal Nuclear Regulatory Commission

'                                                                                                                                                                            l George J. I23;anc, Senior Fiscal Analyst Office oflegislative Services
]                                Herbert Tate, Jr., President, Board of Public Utilities 1

(With Enclosure)

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