ML20205M555
| ML20205M555 | |
| Person / Time | |
|---|---|
| Site: | Seabrook  |
| Issue date: | 10/27/1988 |
| From: | Nerses V Office of Nuclear Reactor Regulation |
| To: | Ellen Brown PUBLIC SERVICE CO. OF NEW HAMPSHIRE |
| References | |
| NUDOCS 8811030144 | |
| Download: ML20205M555 (18) | |
Text
i i
Distribution:
Docket 50 443 4 NRC PDR LPDR PD !.3 Reading S. Varga B. Doger.
Docket No. 50-443 138T 2 7 fggg fC-Jor a B. Grimes J. Peterson ACRS (10)
Mr. Edward A. Brown President & Chief Executive Officer New Hampshire Yankee Division 1
Public Service Company of New Hampshire Post Office Box 300 Seabrook, New Hampshire 03874
Dear Mr. Brown:
On October 25, 1988 we received a copy o' a motion filed October 19, 1988 by Public Service Company and other owners of the Seabre,ok station in the bankruptcy proceeding in the United States Bankruptcy Court, District of New Hampshire, Case No. 88-0C043 (copy attached).
That motion requests an extension of time for the filing of claims by certain present and forrier owners and certain other parties engaged in negotiations involving the release of unidentified "substantial alleged claims against Public Service....".
It is not clear from this filing what such claims entail and whether and to what extent they may affect the financial qualification of Public Service.
L We request that Public Service Company provide any information concerning these "substantial alleged claims" that may have a material bearing on the financial cualification of Fvblic Service of New Hampshire.
If you believe that such alleged claims do not have a material bearing on the financial qualification of Public Service Company, please indicate the basis for your belief in your response.
We request your response to this letter by November 10.
Sincerely,
/s/
Victor Nerses, Project Manager Project Directorate I.3 Division of Reactor Projects 1
Enclosure:
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UNITED STATES I
NUCLEAR REGULATORY COMMISSION o
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E l f TE9 Docket No. 50-443 Mr. Edward A. Brown President & Chief Executive officer New Hampshire Yankee Division Public Service Company of New Hampshire Post Office Box 300 Seabrook, New Hampshire 03874
Dear Mr. Brown:
On October 25, 1988 we received a copy of a motion filed October 10, 1988 by Public Service Company and other owners of the Seabrook station in the bankruptcy proceeding in the United States Bankruptcy Court, District of New Hwpshire, Case No. 88-00043 (copy attached).
That motior. requests an extension of time for the filing of claims by certain present and former owners and certain other parties engaged in negotiations involving the release of unidentified "substantial alleged claims against Public Service....".
It is not clear from this filing what such claims entail and whether and to what extent they may affect the financial cualification of Public Service.
We request that Public Service Company provide any information concerning these "substantial alleged claims" that may have a material bearing on the financial qualification of Public Service of New Hampshire.
If you believe that such alleged claims do not have a material bearing on the financial qualification of Public Service Company, please indicate the basis for your belief in your response.
We request your response to this letter by November 10.
Sincerely, LT#0 w
/
fl1 Victor Nerses, Pro.iect Manager Project Ofrectoratt I-3 Division of Reactor Pro.iects t/II
Enclosure:
As stated
Edward A. Brown Seabrook Nuclear Power Station Public Service Company of New Hampshire cc:
Thomas Dignan, Esq.
E. Tupper Kinder, Esq.
John A. Ritscher, Esq.
G. Dana Bisbee, Esq.
Ropes and Gray Assistant Attorney General 225 Franklin Street Office of Attorney General Boston, Massachusetts 02110 208 State House Annex Concord, New Hampshire 03301 Mr. Bruce B. Beckley, Project Manager Public Service Company of New Hampshire Resident Inspector Post Office Box 330 US Nuclear Regulatory Comission Manchester, New Hampshire 03105 Post Office Box 1149 Seabrook, New Hampshire 03874
% )T6 Fay Tye Dr.
, President Sun Valley,' Association Mr. A. M. Ebner, Project Manaaer 209 Su r er Street United Engineers & Constructors Haverhill, Massachusetts 01830 Post Office Box 8223 Philadelphia, Pennsylvania 19101 Robert Backus. Eso.
Packus, Meyer and Solomon Steven Oleskey, Esq.
116 Lowell Street Office of the Attorney General Manchester, New Hampshire 03106 One Ashburton Place P.O. Box 330 Diane Curran Eso.
Boston, Massachusetts 02108 Hamon and Weiss 2001 S Street, NW Carol S. Sneider Eso.
Suite 430 Office of the Assistant Attorney General Washington, D.C.
20009 One Ashburton Place P.O. Box 330 Philip Ahren, Esq.
Boston, Massachusetts 02108 Assistant Attorney General State House Station #6 D. Pierre G. Cameron, Jr., Esq.
Augusta, Maine 04333 General Counsel Public Service Company of New Hampshire Mr. Edward A. Brown, President Manchester, New Hampshire 03105 and Chief Executive Officer New Hampshire Yankee Division Mr. James M. Peschel Public Service Company of Public Service Company of New Hamsphire New Hampshire P.O. Box 300 Post Office Box 330 Seat' rook, New Hampshire 03874 Seabrook, New Hampshire 03874 Seacoast Anti-Pollution League Regional Administrator Region I 5 Market Street U.S. Nuclear Regulatory Comission Portsmouth, New Hampshire 03801 475 Allendale Road 25 Maplewood Ave.
King of Prussia, Pennsylvania 19406 Ms. Diana P. Randall M. Brock Esq.
70 Collins Street Shaines & McEachern Seabrook, New Hampshire 03874 25 Maplewood Ave.
Portsmouth, N. H. 03801 Mr. T. Feigenbaum Public Service Company of New Hamsphire Post Office Fox 330 Seabrook, New Hampshire 03874 1
O' O
Edward A. Brown, Public
-?-
Seabrook Nuclear Power Station Service Company of New Hampshire CC:
i Mr. Calvin A. Canney, City Manager Mr. Alfred V. Sargent, City Fall Chaiman 126 Daniel Street Board of Selectmen Portsmouth, New Hampshire 03801 Town of Salisbury, MA 01950 Board of Selectmen Senator Gordon J. Humphrey RFD Dalton Road ATTN: Tom Burack Brentwood, New Hampshire 03833 S31 Hart Senate Office Building U.S. Senate Ms. Roberta C. Pevear Washington, D.C.
20510 Town of Hampton Falls, Ne' Hampshire w
Drinkwater Road Mr. Owen B. Durgin Chaiman Hampton Falls, New Hampshire 03844 Durham Board of Selectmen Town of Durham Mr. Guy Chichester, Chaiman Durham, New Hampshire 03824 Rye Nuclear Intervention Comittee Jane Spector c/o Rye Town Hall Federal Energy Regulatory 10 Central Road Comission Rye, New Hampshire 03870 825 North Capital Street, NE Room 8105 Chaiman, Board of Selectmen Washington D. C. 20426 RFD 2 South Hampton, New Hampshire 03827 Mr. R. Sweeney R. Scott Hill - Whilton Three Metro Center Lagoulis, Clark, Hill-Whilton Suite 610 A McGuire Bethesda, Maryland 20814 79 State Street i
Newburyport, Ms. 01950 Mr. Richard Strome. Director Ms. R. Cashman, Chairman New Hampshire Office of Emergency Board of Selectmen Management Town of Amesbury State Office Parl South Town Hall 107 Pleasant Street Amesbury, Massachusetts 01913 Concord, New Hampshire 03301 Adjudicatory File (2)
Honorable Peter J. Matthews Atomic Safety and Licensing Board Mayor, City of Newburyport Panel Docket City Hall U.S. Nuclear Regulatory Comission Newburyport, Massachusetts 01950 Washington, D.C. 20555 Mr. Donald E. Chick, Town Manager Congressman Nicholas Mavroules Town of Exeter 70 Washington Street 10 Front Street Salem, Massachusetts 01970 Exeter, New Hampshire 03823 Mr. G. Thomas Mr. John C. Duffett Public Service Coupany of President and Chief Executive Officer New Hampshire Public Service Company of New Hampshire Post Office Box 330 1000 Elm St., P.0, Box 330 Seabrook, New Hampshire 03874 Manchester, New Hampshire 03105
I UNITED STATES BANKRUPTCY COURT DISTRICT OF NEW HAMPSHIRE Chapter 11 Case No. 88-00043
)
)
In re
)
Public T,ervice Company of
)
)
)
Debtor.
)
)
EX PARTE MOTION Of PUBLIC SERVICE AND OWNERS OF APPRD IMATELY 50 PERCENT OF THE SEABROOK NUCLEAR POWER PROJECT TOR EXTENSION OF TIME FOR TILING OF CERTAIN CLAIMS Public Service Company of New Hampshire ("Public Service"), the debtor and debtor in possession herein and The United Illuminating company, New England Power Company, Monteup Electric Company, EUA Power Corporation, The Connecticut Light and Power Company and Canal Electric Company, owners of approximately 50 percent of the Seabrcok Nuclear Project (the "50 Percent Joint Owners") hereby move that the Bankruptcy Court enter an Order extending the bar date from Monday, retober 31, 1988, to Friday, December 9, 1988,for the filing of claims by The United Illuminating Company, Canal Electric Company (successor in interest to New Bedford Gas and Edison Light Company), The Connecticut Light and Power Company, Massachusetts Municipal Wholesale Hudsori Light & Power Department, Electric company ("MMWEC"), Montaup Electric Company, New England Power Company, New Hampshire Rural Electric Cooperative, Inc.,
Taunton Municipal Lighting Plant. Vermont Electric Generation and Transmission Cooperative Inc. ("VEGT"), EUA Power Corporation ("EUA Power");
Bangor Hydro-Electric
I
Electric Light Company and Maine Public Service
- Company, (collectively "the present and former Joint owners") and United Engineers and Constructors, Inc.,
and Yankee Atomic Electric Company.
In support of this Motion, Public Service and the 50.ercent Joint Owners state as follows:
'1.
This Court, by Order dated August 17, 1988, has set a bar date of October 31, 1988 at 5:00 P.M.
for the filing of Proofs of Claim in this Chapter 11 case.
2.
As recited in the attached Stipulation and Agreement for Extension of Time to rile claims and other Related Matters (which has not yet been executed by all the signatories) all present and former Joint Owners of the Seabrook Project and other parties are actively engagsd in negotiations that may result in a release of claims among such parties which relate to the Seabrook Project.
The successful conclusion of such negotiations would result in part in the presentation to this court f or a pproval of a compromise that would eliminate substantial alleged c'. aims against Public Service l and could thereby greatly enhance the prespects for a successful l
reorganization.
3.
Unless the bar date is extended, the present and former Joint Owners will be forced to file proofs of claim in this Chapter 11 case on or before october 31, 1988 or be barred from voting or sharing in the distribution from this estate.
Public Service and the 50 Percent Joint Owners believe that the filing of such proofs of claim could have a
detrimental effect on the continued negotiations toward a compromise and 52ttlement of the various cl. aims that might otherwise be asserted and could thereby have a
_2
detrimental effect on this chapter 11 case.
Therefore, the bar date should be extended for a reasonable period of time to permit the conclusion of the negotiations that would resolve all of the Public Service and the 50 Percent Joint Owners believe an claims.
extension f rom Monday, October 31, 1988, to Priday, December 9,
1988 would be reasonable.
The Stipulation also provides that Public Service will not 4.
object to any. claim on the grounds of late filing if the claim is filed in accordance with the bar date order entered August 17,
- 1988, on or before the date approved by this Court upon this Motion.
5.
Bankruptcy Rule 3003(c)(3) authorizes the Court to fix and to extend the time for filing proofs of claims in a Chapter 11 Bankruptcy Rule 9006(b) authorizes this Court to enlarge the case.
time for doing an act, with or without notice, if the motion is made before the expiration of the time period to be enlarged.
In additina, paragraph H of this Court's Amended Order Establishing Motion Procedure entered April 19,
- 1988, permits 24 hours2.777778e-4 days <br />0.00667 hours <br />3.968254e-5 weeks <br />9.132e-6 months <br />' telephone notice to the United States Trustee and to counsel to committees where shortened notice is required.
Public Service has and the United States Trustee and the Committees given such notice, have indicated that they do not object to the proposed bar date extension.
The present and former Joint Owners have all received notice of the Stipulation.
Under the circumstances of this case, i
Public Service and the 50 Percent Joint Owners believe that the l
notice already given is adequate and appropriate notice of this t
Motion to extend the bar date fet Seabrook related claims by the l
further notice should not l
present and former Joint Owners and that be required.,
e WHEREFORE Public Service and the 50 Percent Joint Owners pray that this Court extend the bar date as described in this Motion and valve further notice of this Motion.
Respectfully submitted, October N, 1988
~~
Dated:
' Daniel G.
Ha-etz, 4 ember of Stutman, Trois Glatt 3699 Wilshire Boulevard, Suite 900 Los Angeles, California 90010 Of Counsel:
(213) 251-5100 Sulloway, Hollis & Soden and 225 Franklin Street, Suite 3100 9 Capitol Street Concord, New Hampshire 03301 Boston, Massachusetts 02110 (603) 224-2341 (617) 423-9594 Attorneys for Public Service company of New Hampshire, Debtor and Debtor in Possession Dated:
October I, 1988 j
Da'niel M'. Glosband Christopher T. Katucki Goodwin, Proctor & Hoar Excha: ge Place Boston, Massachusetts 02109 (617) 570-1000 Attorneys for The United Illuminating Company, New England Power
- Company, Montaup Electric EUA Power Corporation, The Company, icu t Light and Power Connect Company, and Canal Electric Company 1 usxn.x
. 5'
/W 5
1 UNITED STATES BANKRUPTCY COURT DISTRICT OF NEW HAMPSHIRE
)
Chapter 11 In re
}
Case No. 88-00043
)
Public Service Company of
)
)
)
Debtor
)
)
STIPUIATION AND AGREEMENT FOR EXTENSION OF TIME TO FILE C1JLIMS AND OTHER REIATED MATTER 3 STIPULATION AND AGREEMENT entered into as of the II day of october, 1988, by and among Public Service Company of New Hampshire, Debtor in possession, ("Public Service"), The-United Illuminating Company, Canal Electric Company (successor in intere.st to New Bedford Gas and Edison Light Company), The Connecticut Light and Power Company, Hudson Light & Power Department, Massachusetts Municipal Wholesale Clactric Company ("KMWEC"), Montaup Electric Company, New England Power Company, New Hampshire Rural Electric Cooperative, Inc.,
Taunton Municipal Lighting Plant, and Vermont Electric Generation and Transmission Cooperative Inc. ("VEGT"), (collectively, the "Remaining Participants" as they are defined in Paragraph 23.3(e) of the Agreement fos Joint ownership, Construction and operation of New Hampshire Nuclear Units dated as of May 1, 1973, as amended (the "Joint Ownership Agreement")); EUA Power Corporation
("EUA Power"); Bangor Hydro-Electric Company, Central Maine Power
. ~,
Company, Central Vermont Public Service Corporation, Titchburg Gas & Electric Light company and Maine Public Service Company, (collectively, the "Departing Participants" as they are defined in Paragraph 23.3(a) of the Joint Ownership Agreement); United Engineers and Constructors, Inc., and Yankee Atomic Electric Company.
WITNES SETH THAT !
WHEREAS, various parties hereto have alleged that they have rights, claims and causes of action rgainst various other parties hereto occasioned by their respective involvement in, and which relate to, the Seabrook Project ("claims"); and WHEREAS, several parties hereto are engaged in simultaneous negotiations which would, if successful, result, among other things, in mutual releases by some or all of the parties of claims against each other, including releases by Remaining Participants and Departing Participants f,substan 1
claims against Public Service; and WHEREAS. all of the parties hereto (except VEGT) executed an Agreement as of February 2, 1987 ("Standstill Agreement") in which they are described as "Signing Parties"; and WHERIAS, Public Service is currently the debtor and debtor in pussession in proceedings under Chapter 11 of the Bankruptcy Code and the Bankruptcy Court having jurisdiction thereof by order dated August 17, 1988, has set October 31, 1988 A
as the final date by which claims against Public Service must be filed ("the bar date"); and WHEREAS, for purposes of this Stipulation and Agreement it is assumed that some or all of the parties hereto may file claims against Public Sarvice in the Chapter 11 proceedings on or s
before the bar date unless the bar date is extended; and WHEREAS, the parties hereto believe that the prospects of a negotiated resolution of the claims would be enhanced if proofs of such claims are not filed in the Chapter 11 proceeding and that the prospects for a more advantageous reorganization would be improved if the claims are successfully negotiated rather than litigated; and WHEREAS, because of said pending negotiations all of the parties hereto recognize and acknowledge t'he need for seeking an extension of the bar date from the Bankruptcy Court and in connection therewith to suspend the running of the period of notice given by Public Service to MMWEC under Paragraph 25.2 of the Joint ownership Agreement and to extend the period during which claims are not to be asserted under the Standstill Agreement.
NOW, THEREFORE, in consideration of the above the parties hereto agree as follows:
1.
Public Service will forthwith seek by an emergency hearing or otherwise on an expedited basis an order ("Extension Order") from the Bankruptcy Court extending the bar date from October 31, 1988 to December 9, 1988 (the "Extended Date").
If the Extension order is granted on or prior to october 26, 1988, then each of the parties hereto agrees not to file any claim against Public Service in the Chapter 11 proceeding earlier than five business days prior to the Extended Date, (ie., December 2, 1988).
If no Ext ension Order is granted by the close of business on October 26, 1988 but the Bankruptcy Court has by such date provided for filing claims by hand in Manchester, New Hampshire, by 5:00 P.M. on october 31, 1988, each of the parties hereto
[
shall refrain from filing its claims until October 31, 1988.
If no Extension order is entered, there shall be no Extended Date for purposes of this Agreement.
Public Snrvice and the other parties hereto hereby agree not to object to the timeliness of any claim which is filed prior to the bar date set in the Extension order.
2.
None of the parties hereto shall be obligated to defer filing its claim against Public Service in the Chapter 11 proceedings for a period longer than that provided in the l
Extension order even if one or more additional orders extending i
the final date for filing of such claims is thereafter entered by the Bankruptcy Court. Public Service shall have the right to seek i
such additional extensions of the final date of filing such claims against it and in connection therewith to ;bteig <##I1L-
-4 l
additional commitments from one or more of the parties hereto to defer filing of its claims regardless of claims filed by any of the parties hereto.
3.
By letter dated June 10, 1988 Public Service gave notice to MMWEC under Paragraph 25.2 of the Joint ownership Agreement of an alleged default by MMWEC under said Agreement, which default MMWEC has denied.
Upon execution of this Stipulation and Agreement by at least 80% of the present Joint owners of the Seabrook Project (who consist of the Remaining Participants and EUA Power), including MMWEC, the running of the five-month period provided in Paragraph 25.2 of the Joint ownership Agreement shall be tolled.or a period commencing on the date of execution of this Stipulation and Agreement and ending on December 9, 1988.
Thereafter, unless the Remaining Participants and EUA Power agree otherwise, the aforesaid five-month period will no longer be tolled.
Nothing contained in this Section 3 alters or is intended to alter existing rights of Public Service, MMWEC, t?.e other Remaining Participants and EUA Power under the Joint ownership Agreement with respect to the alleged def ault of MMWEC or the notice given by Public Service under Paragraph 25.2 except for tolling the five-month period as expressly provided herein.
Section 1 of the Standstill Agreement provides, with 4.
certain exceptions, that no signing Party shall assert against i -.
any other Signing Party "original claims" (as defined therein) without sending written notice thereof, which notice may not be sent before the earlier of October 31, 1988 or the date upon which Seabrook Unit No. 1 is first ready for normal continuous operation and is released for dispatch by the New England Power Y Nd by UMC, the ether-Signin Parties [ ""10, es pertiee herete, 3
hereLf agrw. it.et the data r 31, 1988 is hereby changed to March 31, 1989.
Except as specifically provided in this Paragraph 4, all of the terms and provisions of the Standstill Agreement remain in full force and effect without amendment, alteration or deletion.
5.
Nothing contained in this Agreement shall constitute or be construed as an admission by any party that any claim can properly be asserted against it or that there is any basis in law or in fact for the assertion of any claim.
Execution of this Agreement does not constitute a waiver or release of any claim or right to assert any claim of any party.
Nothing herein constitutes or shall be construed to constitute an admission by any party that any claim has or has not yet accrued.
6.
Each of the parties hereto hereby requests that the Bankruptcy Court enter an order as contemplated in etions 1 and 2 hereof, which Public Service shall give notice, rbvided m.i_
- \\
d ATTEST:
BANGOR HYDRO-ELECTRIC COMPANY By President ATTEST:
CANAL ELECTRIC COMPANY MNdrs By Wuw Vresident ATTEST:
CENTRAL MAINE POWER COMPANY By President ATTEST:
CENTRAL VERMONT PUBLIC SERVICE CORPORATION G
By President ATTEST:
THE CONNECTICUT LIGHT AND POWER OMPANY By m -- ~ t g. m c 4 ATTEST:
EUA POWER CORPORATION By -- '-
ATTEST:
TITCHBURG GAS AND ELECTRIC LIGHT COMPANY l
By President ATTEST:
HUDSON LIGHT AND POWER DEPARTMENT By President
ATTEST:
MAINE PUBLIC STRVICE COMPANY By President ATTEST:
MASSACHUSETTS MUNICIPAL WHOLESALE ELECTRIC COMPANY By General Manager and Secretary ATTEST:
MONTAUP ELECTRIC COMPANY By sa C/ 4....:2n-W ATTEST:
NEW ENGLWD POWER COMPANY By
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RE' ident ATTEST:
NEW RAMPSHIRE 7WRAT., ELECTRIC COOPER.\\TIV b.
6th Byy Pf e;id=t y /P ATTEST:
PUBLIC SERVICE CCMPANY OF NEW HA.!PSHIRE Dy
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tresident '
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ATTEST:
TAUNTON MUNICIPAL LIGHTING A
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f Pre 40ent-c.v4Tt,//. //WAMtT ATTEST:
THE UNITED ILLUMINATING COMPANY
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ATTEST:
UNITED ENGINEERS &
CONSTRUCTORS, INC.
By President VERMONT ELECTNIC GENERATION ATTEST:
AND TRANSMISSION COOPERATIVE, B
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9
=:- w YANKEE ATOMIC ELECTRIC COMPANY ATTEST:
By President El 1
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UNITED STATES BANKRUPTCY COURT DISTRICT Or hT4 HAMPSHIRE Chapter 11
)
Case No. 88-00043 In te
)
Public Service Coppany of
)
New Hangshire,
)
)
Debtor
)
ORDER EX11NDING EMt CATT FOR TILING Or CERTAIN CLAIMS Based upon the Ex Parta Motion of Public service and owners of Approximately 50 Percent of r.he Seabrook Nuclear Power Project for 4xtension of Time for Filing of certain Claims filed by Pnblic Service Company of New Hampshire ("Public Service"), the debtor and debtor in possession, and the United Illuminating Company, New England Power Company, Montaup Electric Company, EUA Power Corporation, he Connecticut Li(ptt and Power Company and Canal Electric Corpany, p ers of approxirately 50 it percent of the Seabrook Nuclear Project (the "50 Percent Joint Owners"),
is hereby ordered that:
1.
The Motion is grated.
2.
N7tice has properly teen given.
3.
Tht bar date for the filing of claims by United Engineers and Construebt s, Inc.; Yankee Atemic Electric Company and the present and t'ormer Joint owners as defined in the Ex Parte Motion is hereby extended to December 9, 1988.
Dated: October
, 1988 r
The Honorable James E. Yacos United States Bankruptcy Judge J