ML20236G646

From kanterella
Jump to navigation Jump to search
Application for Amend to License NPF-3,transferring Operating Authority for DBNPS from TE & Centerior Svc Co to New Operating Company Called Firstenergy Nuclear Operating Co.Marked Up License,Safety & Environ Assessments Included
ML20236G646
Person / Time
Site: Davis Besse Cleveland Electric icon.png
Issue date: 06/29/1998
From: Stetz J
CENTERIOR ENERGY
To:
NRC
Shared Package
ML20236G638 List:
References
NUDOCS 9807060319
Download: ML20236G646 (48)


Text

_ _ _ _ _ _ _ _ - _ - _ _ - _ _ _ _ _ _ _ - _ _ _ _ _ _ _ _ _ _ _ _ _

Docket Number 50-346 License Number NPF-3 Serial Number 2540 Enclosure Page1 APPLICATION FOR AMENDMENT TO FACILITY OPERATING LICENSE NUMBER NPF-3 DAVIS-BESSE NUCLEAR POWER STATION UNIT NUMBER 1 Attached are the requested changes to the Davis-Besse Nuclear Power Station, Unit Number 1 Facility Operating License Number NPF-3. Also included is the Safety Assessment and Significant Hazards Consideration, and the Environmental Assessment.

The proposed changes (submitted under cover letter Serial Number 2540) concern:

Facility Operating License Number NPF-3 I, John P. Stetz, being duly sworn state that (1) I am Senior Vice President - Nuclear of the Centerior Service Company, (2) I am duly authorized to execute and file this certification on behalf of the Toledo Edison Company and The Cleveland Electric Illuminating Company, and (3) the statements set forth herein are true and correct to the

best of my knowledge, information and belief.

By: .

J. P. S6 Senior'Vicdresident - Nuclear Affirmed and subscribed before me this 29th day of June,1998.

N aryPu ic, tate of Ohio I

' t0RILsmaus ledsry PsMit.Shh of 0his mycommissionhomesytersees I

9807060319 980629 .

PDR ADOCK 05000346(  !

P PDR l

l

Docket Number 50-346 License Number NPF-3 Serial Number 2540 Enclosure Page 2 The following information is provided to support issuance of the requested changes to the Davis-Besse Nuclear Power Station (DBNPS), Unit Number 1 Facility Operating License Number NPF-3.

l I.

SUMMARY

OF REOUEST This application requests that the Nuclear Regulatory Commission (NRC),

i pursuant to 10 CFR 50.80, " Transfer of Licenses," issue an order consenting to the transfer of operating authority for the Davis-Besse Nuclear Power Station (DBNPS) from The Toledo Edison Company (TE) and Centerior Service Company (CSC) to a new operating company called the FirstEnergy Nuclear  ;

Operating Company (FENOC). This application also requests a conforming amendment to Facility Operating License No. NPF-3 (the " License") to include l FENOC as a licensee thereunder and to authorize FENOC to use the DBNPS and to possess and use related licensed nuclear materials in accordance with the same conditions and authorizations included in the current operating license. By virtue of this order and amendment, FENOC will also act as the general licensee for the Independent Spent Fuel Storage Installation at the DBNPS pursuant to 10 CFR 72.210. l TE and The Cleveland Electric Illuminating Company (CEI), both wholly-owned subsidiaries of the FirstEnergy Corporation (FE) (hereinafterjointly referred to as "the Owners") along with CSC are current'.y the holders of the License for the DBNPS. The License presently authorizes TE and CEI to possess the DBNPS as owners, and authorizes TE and CSC to use and operate the DBNPS in accordance with the terms and conditions of the License. TE and CSC are authorized to act for the Owners and presently have exclusive responsibility and control over the operation and maintenance of the facility under the License.

As explained in more detail below, the Owners will enter into an Operating Agreement with FENOC, which will also be a wholly-owned subsidiary of FE.

In accordance with the proposed Operating Agreement, FENOC will assume  !

exclusive responsibility for the operation and maintenance of the DBNPS  !

following approval of the transfer of operating authority requested by this application. Aner issuance of the transfer order and conforming license amendment, the Owners will be authorized only to possess the facility and CSC '

will be removed entirely from the license. As explained later, this revised operating arrangement is expected to enhance the already high level of public safety, operational efficiency, and cost-effective operations at the DBNPS.

l

+:

Docket Number 50-346 j License Number NPF-3

. Serial Number 2540 Enclosure Page 3 -

)

Ownership of the DBNPS will not be affected by the proposed transfer of operating authority. Each Owner will retain its current ownership interest, and

(

FENOC will not own any por' ion of the DBNPS. Likewise, the Owners'

- entitlement to capacity and energy from the DBNPS will not be affected by the proposed transfer of operating responsibility.

i FENOC will be dedicated solely to the operation of the FE nuclear power plants.

Once the transfer has been approved, substantially all personnel of TE and CSC y who are dedicated to the operation of the DBNPS will be transferred to and

! become employees of FENOC. Therefore, the technical qualifications of the l proposed FENOC organization will be at least equivalent to those of the existing organization.

p Under the terms of the proposed Operating Agreement between FENOC and the Owners, all costs associated with operating the DBNPS will continue to be borne by the Owners to the same extent as they are now. Further, the status of the owners as " electric utilities" under the NRC's financial qualifications requirements of 10 CFR 50.33(f) will be unaffected by this reorganization.

Accordingly, there will be no change in the financial qualifications associated with the DBNPS.

l

.. . II. BACKGROUND AND DESCRIPTION OF REORGANIZATION

j. The DBNPS is a' single unit nuclear powered electric generating facility that was )

constructed by TE and CEI and is being operated by TE and CSC on behalf of  ;

CEI pursuant to an Operating Agreement dated as of November,1977, as amended, and in accordance with the DBNPS Operating License and certain other permits and licenses. Under the current Operating Agreement, TE acts as plant operator for the Owners and has exclusive responsibility and control over the construction, operation and maintenance of the DBNPS. CEI owns a 51.38%

interest in the facility, and TE owns the remaining 48.62%.

Once all organizational arrangements are finalized, FENOC will be established as an Ohio corporation wholly-owned by FirstEnergy Corporation.= FENOC's I sole . corporate purpose will be the operation of FirstEnergy Corporation's nuclear power plants on behalf of and for the benefit of their owners. A new l- Operating Agreement will be executed with the Owners to govern operation of l

the DBNPS by FENOC, and will become effective after receipt of all necessary regulatory agency approvals.

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

Docket Number 50-346 License Number NPF-3 Serial Number 2540 Enclosure Page 4 responsibilities, and limitations ofits authority regarding the operation of the DBNPS and will state that FENOC has the sole authority, as the operator of the DBNPS, to make all decisions within the scope of the Operating License relating to public health and safety. The Owners will continue to provide all funds for the operation, maintenance, and decommissioning by FENOC of the DBNPS.

The responsibility of the Owners will include funding for any emergency situations that might arise at the DBNPS.

Upon the effective date of the transfer, substantially all employees of TE and CSC who are presently dedicated to the operation of the DBNPS will become employees of FENOC.

III. REOUESTED APPROVALS This application requests that the NRC, pursuant to 10 CFR 50.80, issue an order consenting to the transfer of operating authority for the DBNPS from TE and CSC to FENOC. It is requested that this order be issued as soon as practicable, be made immediately effective, and implemented no later than December 31, 1999, subject to extension for good cause.

This application also requests that the NRC issue a conforming license amendment to Operating License No. NPF-3. This amendment would be issued by the NRC upon notification by applicants that all actions and approvals required for the transfers have been completed. The conforming amendment would designate FENOC as the entity authorized to operate the DBNPS (the facility) and possess and use the related licensed nuclear materials, and more specifically, change the license to provide that:

(1) FENOC, pursuant to Section 103 of the Act and 10 CFR Part 50,

" Licensing of Production and Utilization Facilities," is licensed to possess, use, and operate the facility; (2) TE and CEI are licensed to possess the facility at the designated location in Ottawa County, Ohio, in accordance with the procedures and limitations set forth in the license; (3) FENOC, pursuant to the Act and 10 CFR Part 70, is licensed to receive, possess and use at any time special nuclear material as reactor fuel, in accordance with the limitations for storage and amounts required for reactor operation, as described in the Final Safety Analysis Report, as supplemented and amended;

i Docket Number 50-346 L . License Number NPF-3 L Serial Number 2540 .

Enclosure Page 5

' reactor operation, as described in the Final Safety Analysis Report, as supplemented and amended; (4) FENOC, pursuant to the' Act and 10 CFR Parts 30,40, and 70, is licensed to receive, possess, and use at any time any byproduct, source and special .

nuclear material as sealed neutron sources for reactor startup, sealed sources for reactor instrumentation and radiation monitoring equipment '

calibration, and as fission detectors in amounts as required;

. (5) - FENOC, pursuant to the Act and 10 CFR Parts 30,40, and 70, is licensed to receive, possess and use in amounts as required any byproduct, source or special nuclear material without restriction to chemical or physical form, l for sample analysis or instrument calibration or associated with radioactive apparatus or components; and (6) FENOC, pursuant to the Act and 10 CFR Parts 30 and 70, is licensed to L . possess, but not separate, such byproduct and special nuclear materials as

! may be produced by the operation of the facility.

L l Other proposed conforming license amendment changes are described in l Attachment 1. _ As described in Attachment 1, the proposed changes have been reviewed pursuant to the standards provided in 10 CFR 50.92(c), and it has been determined that the proposed changes do not involve a significant hazards consideration.

l

_ Conforming changes, if necessary, in insurance and indemnity agreements will be made in due course by separate correspondence.

l . IV, SUPPORTING INFORMATION l

. A. Address:

(To be provided by supplemental letter.)

l B.- Description of Business or Occupation:

. FENOC will be organized by FirstEnergy Corporation as an Ohio corporation and the Owners will take necessary corporate action to authorize it to operate the DBNPS, subject to regulatory approval.

FENOC's sole purpose will be to operate and maintain FirstEnergy's nuclear power plants for the Owners.

I L____ _ - - - - - - - - - - - - - - - - - . - - - - - - _

Docket Number 50-346 License Number NPF-3 l Serial Number 2540 Enclosure Page 6 I

l C. Organization and Manacement of Oneratine Corporation:  ;

1 I

FENOC will be a corporation organized and existing under the laws of the 1 State of Ohio. FENOC will be a wholly-owned subsidiary of FirstEnergy Corporation, and will be neither owned, controlled nor dominated by an  !

alien, a foreign corporation or a foreign government.

All directors and principal officers of FENOC will be citizens of the United States. Their names and addresses will be as follows:

i Directors (To be provided by supplemental letter.)

1 Princinal Officers  !

(To be provided by supplemental letter.)

D. Technical Qualifications The technical qualifications of FENOC to carry out its responsibilities under the Operating License for the DBNPS, as amended, will be equivalent to the present technical qualifications of TE and CSC. When the transfer becomes effective, the present DBNPS nuclear organization will be transferred essentially intact to FENOC. The technical qualifications of the proposed FENOC organization, therefore, will be at least equivalent to those of the existing organization.

A central objective in planning the proposed transfer of employees and operating responsibilities from TE and CSC to FENOC will be to ensure there is no disruption to the operation of the plant, and to respect the integrity of the existing, successful organization. When the transfer becomes effective, FENOC will operate, manage and maintain the DBNPS in accordance with the conditions and requirements established by the NRC and with the same regard for public and personal safety heretofore exemplified by TE and CSC. Therefore,in the proposed FENOC

Docket Number 50-346 License Number NPF-3 Serial Number 2540 Enclosure Page 7 organization, the nuclear organization of the DBNPS will be presen ed, with the only change being that the senior nuclear executive will report to

\ the Directors of FENOC rather than to the President and Chief Executive Officer of CSC. The current DBNPS Vice President, Nuclear will become a Vice President of FENOC and will continue to be the officer at the site responsible for the overall safe operation and maintenance of the DBNPS.

The Quality Assurance organization for the plant will have direct access to the site Vice President of FENOC on matters related to quality; therefore, the effectiveness of this organization will not be reduced by the proposed change.

The above organizational approach allows the transfer of TE and CSC personnel to FENOC with minimal organizational changes and with no anticipated disruption to the existing, dedicated site organizations.

E. Statement of Benefits of the Order and License Amendment The assumption of operational responsibility for the DBNPS by FENOC will provide benefits inherent in this type of operating arrangement. Some of the expected benefits are as follows:

(1) As a result of the formation of FENOC, FENOC's senior management will be more greatly focused on the business of nuclear plant operations. Such single-purpose management will be able to pursue overall excellence in nuclear power operations without distractions from the requirements and duties of other areas of the electric utility business.

(2) FENOC will be a repository of the Owners' nuclear operating and management expertise and experience. Further consolidation of nuclear operations talent into one company will provide opportunities to enhance both public safety and economic plant operation.

(3) As a result of the formation of FENOC, the salary structures, career path policies and procedures for nuclear employees of FENOC will be separate and distinct from FE's non-nuclear employees and will be determined by the management and Board of Directors of FENOC. This will permit nuclear managers to focus on the special needs, qualifications, and requirements of nuclear power plant employees. Iluman resource and compensation policies tailored to

I Dw Docket Number 50-346.

- License Number NPF-3 l: {

Serial Number 2540  !

- Enclosure Page 8 nuclear operations will allow FENOC to be competitive in the market for skilled nuclear professionals without being influenced

. by the potential impact on non-nuclear power plant personnel. The ability to attract superior nuclear talent and to retain quality individuals, once recruited, will have a direct and positive impact on the quality of overall nuclear power plant operations.

F. Financial Considerations The proposed order and license amendment will not adversely impact the Owners' ability to obtain or provide the funds necessary to cover all costs for the operation, maintenance, repair, decontamination, and decommissioning of the DBNPS. The Owners will remain liable for such

' costs, on'a pro rata basis, under the Operating Agreement. The Owners' f'mancial responsibility for the DBNPS arid their sources of funds to support the facility will remain the same as under the present License.

i  : FENOC will be an operating company with no ownership interest in the DBNPS. FENOC, under the proposed Operating Agreement with the Owners, will be authorized to operate the plant on behalf of the Owners.

Further, as discussed below, the Owners will be committed under the proposed Operating Agreement to provide all funds necessary for safe operation and decommissioning of the DBNPS in conformance with NRC regulati as.

To summad the following interrelations will be established by the Operating Agreement between the Owners and FENOC:

4

.- . (1) FENOC will not have any ownership interest in the DBNPS; L however, it will have overall responsibility for the safe operation of the DBNPS. FENOC will operate the DBNPS in accordance with the Operating License and shall have exclusive responsibility for making safety decisions.

l p (2) . _ The Owners will retain their current authority to review and L

approve budgets. This will not encumber FENOC's ability to make  !

. operational safety decisions and will have no impact on safe  ;

operation of the DBNPS. q

, (3) Pursuant to the Operating Agreement, all costs, including costs for l the operation, maintenance, repair, decontamination and l l - decommissioning of the DBNPS, incurred or accrued are liabilities l~

1 l - ,

e___-____-_________

C ' Docket Number 50-346 License Number NPF-3 4 l

Serial Number 2540 Enclosure -

Page 9 of the Owners when incurred or accrued and are borne in proportion to their respective undivided interests in the DBNPS, and the I i Owners will commit to provide FENOC funds to pay these costs.

Thus, the sources of funds for operating the DBNPS will remain unchanged.

i full financial qualifications review is not necessary as a result of the proposed license amendment. Under the terms of the proposed Operating Agreenent between FENOC and the Owners, all costs associated with operating the DBNPS will continue to be borne by the Owners to the same extent as they are now, and accordingly, there will be no change in the financial qualifications associated with the DBNPS. Further, the status of

, the Owners as electric utilities under the NRC's financial qualifications rule will be unaffected by this reorganization. Therefore, the information required under 10 CFR 50.33(f) regarding the financial qualifications of

(- FENOC to carry out the activities described in this application is not necessary.

l-G. Antitrust Considerations The plan for FENOC to operate the DBNPS will not affect the existing ownership of the DBNPS or existing ownership of or entitlement to power.  ;

FENOC will be solely dedicated to the operation of FirstEnergy's nuclear l power plants. It will not be involved in the marketing or brokering of power or energy from the facility. To reinforce this aspect of the reorganization, it is proposed that License Condition 2.C(6) be modified to include the following additional language:  !

1 FENOC shall not market or broker power or energy from the Davis-Besse Nuclear Power Station, Unit No.1. The Owners are responsible and accountable for the actions of FENOC to the extent that said actions affect the marketing or brokering of power or energy from the Davis-Besse Nuclear Power Station, Unit No.1.

1. ,

With this conditien, the NRC staff has determined in similar cases that the addition of a new non-owner operator does not require any further antitrust review (see SECY-91-246. Antitrust Consideration for License Amenduents Authorizing New Ooeratine Entities (August 7,1991)).

Moreover, the proposal to designate FENOC as the entity authorized to use and operate the DBNPS will not alter the existing antitrust License Conditions applicable to the Owners. Those conditions will remain 1

l-

-. Docket Number 50-346 License Number NPF-3 SerialNumber 2540 Enclosure Page 10, applicable to all Owners. Accordingly, the requested amendments will have no impact whatsoever on the market for electric power and raise no issues with respect to antitrust considerations affecting that market.

H. Restricted Data This application does not contain any Restricted Data or other classified defense information, and it is not expected that any such information will become involved in the licensed activities. However, in the event that such information does become involved, FENOC agrees that it will appropriately safeguard such information and it will not permit any individual to have access to Restricted Data until the Civil Service Commission shall have made an investigation and report to the NRC on the character, associations and loyalty of such individual, and the NRC shall have determined that permitting such individual to have access to Restricted Data will not endanger the common defense and security of the United States.

V. SPECIFIC INFORMATION REGARDING RELATED ISSUES A. Public Health. Safety and Welfare Considerations The proposed order and license amendment will not affect the physical configuration of the DBNPS or adversely affect the Technical Specifications under which the DBNPS operates. Moreover, as described in this application, the technical qualifications of FENOC to operate the DBNPS will be at least equivalent to those of TE and CSC. The proposed order and license amendment will therefore not have any adverse impact on the public health, safety and welfare.

B. ' Emergency Planning Upon approval of the transfer, FENOC will assume authority and responsibility for functions necessary to fulfill the emergency planning L requirements specified in 10 CFR 50.47(b) and Part 50, Appendix E. No substantive changes will be made to the existing DBNPS Emergency Plan presently implemented by TE and CSC, nor will there be any immediate changes to the existing Emergency Response Organization as a result of the proposed license amendment.

Appropriate action will also be taken with respect to existing agreements for support from organizations and agencies not afliliated with the j

Docket Number 50-346 License Number NPF-3 Serial Number 2540 Enclosure Page11 Licensees, to notify the parties to such agreements of FENOC's relationship with the Owners and FENOC's responsibility for management and operation of the DBNPS. This will be accomplished by TE and CSC prior to the change of responsibility.

In sum, the proposed order and license amendment will not impact compliance with the emergency planning requirements. Because the effectiveness of the Emergency Plan will not be decreased, specific Emergency Plan and procedure changes to reflect the change in the entity responsible for plant operation will be submitted to the NRC after the changes are made, in accordance with 10 CFR 50.54(q) and Appendix E,Section V, as appropriate.

C. Offsite Power Offsite power is currently provided to the DBNPS over transmission facilities owned or controlled by the Owners. These arrangements will not change as a result of the change in operational control requested by this application. The proposed order and license amendment to authorize assumption of operating responsibility by FENOC involve no changes in the ownership or design of the offsite power system for the DBNPS, or in its operation, maintenance or testing. Upon approval of the transfer, TE (which will remain a licensee as an owner) will continue to fulfill its current responsibilities with respect to compliance with 10 CFR 50 Appendix A General Design Criterion (GDC) 17.

Based on the foregoing, there is adequate assurance that independent sources of off-site power will continue to be provided to the DBNPS.

D. Exclusion Area Upon approval of the transfer, FENOC will have authority to determine all activities within the DBNPS exclusion area, to the extent required by 10 CFR Part 100.

Currently, the Owners control all surface and subsurface property rights within the exclusion area boundary of the DBNPS with the exception of approximately 733 acres currently leased to the U.S. Fish and Wildlife Service for operation and maintenance of the Navarre Marsh. With respect to property rights owned by the Owners, TE and CSC currently have authority, as the Plant Operators, to exercise appropriate exclusion area control. Under the Operating Agreement to be entered into between the

Docket Number 50-346 License Number NPF-3 Serial Number 2540 Enclosure Page 12 Owners and FENOC, it will be expressly agreed that FENOC will have unrestricted access to the property constituting the DBNPS site including all land, facilities, switchyard, equipment, and personal property on the site. The Operating Agreement also will grant FENOC authority to exercise complete control over the exclusion area as defined in the Updated Final Safety Analysis Report (USAR) and to determine all activities in that area.

With respect to the activities unrelated to plant operation that will occur within the exclusion area identified in Section 2.1.2 of the USAR, there will be no change. FENOC will assume responsibility for the Emergency Plan as discussed above.

E. Security b

The proposed transfer will not impact compliance with the physical security requirements of 10 CFR Part 73. Upon assumption of operating responsibility, FENOC will assume ultimate responsibility for implementation of all aspects of the present security program. Appropriate action will be taken with respect to existing agreements for support from organizations and agencies not affiliated with the Licensees to notify the parties to such agreements of FENOC's relationship with the Owners and FENOC's responsibility for management and operation of the DBNPS.

Changes to the plans reflecting this transition will not decrease the effectiveness of the plans and will be submitted to the NRC within two months after the changes are made, in accordance with 10 CFR 50.54(p).

F. Ouality Assurance Procram The proposed transfer will not impact compliance with the quality assurance requirements of 10 CFR 50, Appendix B, nor will it reduce the commitments in the NRC-accepted quality assurance program description for the DBNPS. Upon assumption of operating responsibility, FENOC will assume the ultimate responsibility for present functions associated with the DBNPS Quality Assurance Program. As discussed above, the Quality Assurance organization will have direct access to the site Vice President of FENOC on matters related to quality. Otherwise, the organization, function and structure of the DBNPS Quality Assurance organization will not be affected. Changes to reflect the transition, which will be handled in accordance with 10 CFR 50.54(a), will not reduce the commitments in the quality assurance program description.

Docket Number 50-346 License Number NPF-3 Serial Number 2540 Enclosure Page 13 G. Updated Final Safety Analysis Report With the exception of areas discussed in this application, the proposed transfer will..not change or invalidate information presently appearing in the DBNPS USAR. Revisions to the USAR necessary to reflect the assumption of operating authority by FENOC will be incorporated into the DBNPS USAR following NRC approval in accordance with 10 CFR 50.71(e).

H. Training The proposed transfer will not impact compliance with the operator requalification program requirements of 10 CFR 50.54 and related sections, nor maintenance of the Institute of Nuclear Power Operations accreditation'-

for licensed and non-licensed personnel training. Upon assumption of operating responsibility for the DBNPS, FENOC will assume ultimate responsibility for implementation of present training programs. Changes to

! the programs to reflect the transition will not decrease the scope of the approved operator requalification program in accordance with 10 CFR 50.54(i-1).

i I. Decommissioning -

In accordance with 10 CFR 50.75, the Owners have certified that sufficient funding will be made available for the proper decommissioning of the DBNPS. The funding mechanisms for each Owner are in place, and the  !

proposed change to the licensed operator for the DBNPS will not impact l each Owner's obligations for its pro rata share of the DBNPS i decommissioning costs. 1 VI. CORRESPONDENCE I

On the effective date of the transfer, all NRC correspondence related to Docket  ;

No. 50-346, including any NRC response to license amendment applications which were submitted earlier than and remain outstanding as of the effective date of the transfer, should be directed to FENOC. All applicable correspondence  ;

related to the DBNPS will be transmitted by FENOC to the NRC. FENOC will i notify NRC in writing of any exceptions to this policy.

I W-- - _ _ - _ - _ - - . _ - _ - _ _ _ _ _ _ _ _ _ _ _ _ - - . _ _ _ . _ _ _ - - _ - _ _ . - _ _ _ _ - - - _ _ - - . _ __ _ _ _ _ - - . . . - _ _ _ _ _ _ _ _ _ _ _ . _ _ _ _ _ _ _ . _ . _ - _ - - - _ _ - - - __ _ _ _ _ _ _ - - - - - - _ _ - _ - - _ _ . - - _ _ - - _ _ _ _ _ _ _ - _ _ _ - _ . - .

Docket Number 50-346 License Number NPF-3

.. Serial Number 2540 Enclosure

. Page 14 VII. ENVIRONMENTAL CONSIDERATIONS An Environmental Assessment has been prepared and is included as

' Attachment 2. As described in' Attachment 2, the proposed license amendment has been reviewed against the criteria of 10 CFR 51.30 for an environmental assessment. The proposed amendment does not involve a significant hazards consideration, does not increase the types or amounts of effluents that may be released offsite, and does not increase individual or cumulative occupational -

radiation exposures. Accordingly, the proposed license amendment, if approved by the Nuclear Regulatory Commission, will have no significant impact on the environment, and no Environmental Impact Statement is required.

VIII. EFFECTIVE DATE The proposed operation of the DBNPS by FENOC is conditioned upon the consummation of the proposed business agreement. It is intended that the change in licensed operator of the DBNPS take place as soon as possible after all L regulatory approvals have been obtained, and in any event prior to December 31,1999. It is requested that the NRC review this request on a schedule that will permit issuance of an immediately effective order consenting

- to the transfer as promptly as possible, and in any event before December 31, 1998. TE will keep the NRC Staffinformed as to the status of any changes in -

the estimated date for consummation, and will notify the NRC staff when it is ready for the conforming license amendment to be issued.

l ATTACHMENTS

1. Safety Assessment and Significant Hazards Consideration
2. Environmental Assessment r

_ __-_:--_-__--_-_-._----._. - . _ _ _ . ~ _ . - . - _ - -. - - - -.._---___-.-_--..--_----._a

Docket Number 50-346

- License Number NPF-3 Serial Number 2540 Attachment 1 SAFETY ASSESSMENT AND SIGNIFICANT IIAZARDS CONSIDERATION FOR LICENSE AMENDMENT REQUEST NUMBER 98-0009 (31 pages follow) l l

l I

LAR 98-0009 Page 1 SAFETY ASSESSMENT AND SIGNIFICANT HAZARDS CONSIDERATION FOR LICENSE AMENDMENT REQUEST NUMBER 98-0009 TITL.E:

Proposed Modification to the Davis-Besse Nuclear Power Station (DBNPS) Unit Number 1, Facility Operating License NPF-3 to Transfer Operating Authority for the i DBNPS from the Toledo Edison Company (TE) and Centerior Service Company (CSC) to a New Operating Company, FirstEnergy Nuclear Operating Company (FENOC)

DESCRIPTION:

i This license amendment application proposes that the DBNPS Facility Operating License NPF-3 be amended to transfer operating authority for the DBNPS from TE and CSC to a new operating company, FENOC, and to make other associated administrative changes to the license. Each of these changes is described in further detail below.

TE and The Cleveland Electric Illuminating Company (CEI), both wholly-owmed subsidiaries of the FirstEnergy Corporation (FE) (hereinafterjointly referred to as "the Owners") along with CSC are currently the holders of the License for the DBNPS. The License presently authorizes TE and CEI to possess the DBNPS as owners, and authorizes TE and CSC to use and operate the DBNPS in accordance with the terms and conditions of the License. TE and CSC are authorized to act for the Owners and presently have exclusive responsibility and control over the operation and maintenance of the facility under the License. -

As explained in more detail below, the Owners will enter into an Operating Agreement with FENOC, which will also be a wholly-owned subsidiary of FE. In accordance with the proposed Operating Agreement, FENOC will assume exclusive responsibility for the operation and maintenance of the DBNPS following approval of the transfer of operating authority requested by this application. After issuance of a 10 CFR 50.80 transfer order and conforming license amendment, the Owners will be authorized only to possess the facility and CSC will be removed entirely from the license. As explained later, this revised operating arrangement is expected to enhance the already high level of public safety, operational efficiency, and cost-effective operations at the DBNPS.

Ownership of the DBNPS will not be affected by the proposed transfer of operating authority. Each Owner will retain its current ownership interest, and FENOC will not own any portion of the DBNPS. Likewise, the Owners' entitlement to capacity and a________-_ . _ _ _ _ _ _ _ _ _ _ _ . _ . _ _. _ _ _ _ - _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ - _ _ - _ _ _ _ - _ _ _ _ _ _ _ _ _ - _ _ _ _ _ _ -

LAR 98-0009 Page 2 j erergy from the DBNPS will not be affected by the proposed transfer of operating responsibility.

' FENOC will be dedicated solely to the operation of FirstEnergy's nuclear power plants.  !

Once the transfer has been approved, substantially all personnel of TE and CSC who  !

are dedicated to the operation of the DBNPS will be, transferred to and become

- employees of FENOC. Therefore, the technical qualifications of the proposed FENOC organization will be at least equivalent to those of the existing organization.

Besides involving no change in the ownership of the facility, the proposed license amendment involves no physical changes to the plant, no substantive changes to operating procedures, and no changes to the Technical Specifications or Bases.

Once all organizational arrangements are finalized, FENOC will be established as an Ohio corporation wholly-owned by FirstEnergy Corporation. FENOC's sole corporate purpos will be the operation of FirstEnergy Corporation's nuclear plants 'on behalf of ,

and for the benefit of their owners. A new Operating Agreement will be executed with l the Owners to govern operation of the DBPS by FENOC, and will become effective i after receipt of all necessary regulatory agency approvals.

The relationship between the Owners and FENOC will be defined in the new Operating Agreement. This Operating Agreement will define FENOC's rights, responsibilities, and limitations ofits authority regarding the operation of the DBNPS and will state that FENOC has the sole authority, as the operator of the DBNPS, to make all decisions within the scope of the Operating License relating to public health and safety. The Owners will continue to provide all funds for the operation, maintenance, and decommissioning by FENOC of the DBNPS. The responsibility of the Owners will include funding for any emergency situations that might arise at the DBNPS.  !

i Further, the status of the owners as " electric utilities" under the NRC's financial  !

qualifications requirements of 10 CFR 50.33(f) will be unaffected by this j reorganization. Accordingly, there will be no change in the financial qualifications associated with the DBNPS.

. The proposed amendment would make the following changes to the Operating License:

.e Revise the heading to add the FirstEnergy Nuclear Operating Company and remove j Centerior Service Company.

e- Revise paragraph 1.A to remove mention of Centerior Service Company, and revise the asterisked footnote to read as follows:

The Toledo Edison Company and the Cleveland Electric Illuminating Company (hereinafter jointly referred to as "the Owners"), both of which are wholly-owned subsidiaries of FirstEnergy Corporation, were the original licensees.

LAR 98-0009 Page 3 I

Centerior Service Company was added as a licensee by Amendment No.152. l

- Amendment No. (to be added by the NRC) replaced the Centerior Service Company with the FirstEnergy Nuclear Operating Company (FENOC), as a licensee. FENOC, also a wholly-owned subsidiary of FirstEnergy Corporation, i has exclusive responsibility and control over the physical construction, l l operation, and maintenance of the facility.

1*

( Revise paragraph 1.E to replace the reference to "The Toledo Edison Company" with "The FirstEnergy Nuclear Operating Company".

'e- Revise paragraph 2 to read:

Facility Operating License No. NPF-3 is hereby issued to the FirstEnergy Nuclear Operating Company (FENOC), the Toledo Edison Company, and the Cleveland Electric illuminating Company to read as follows:

e Revise paragraphs 2.B(1),2.B(3),2.B(4),2.B(5), and 2.B(6), to replace references to " Toledo Edison Company" with "FENOC" and to delete the obsolete asterisked footnote to paragraph 2.B(1).

  • Revise paragraph 2.B(2) to replace the reference to "The licensees" with "The Toledo Edison Company and the Cleveland Electric Illuminating Company."

. . Revise the first sentence of paragraph 2.C(l) to replace the reference to " Toledo Edison Company" with "FENOC".

  • Revise paragraph 2.C(2) to read: "...as revised through Amendment No. (to be added by the NRC)..." In addition, replace the reference to "The Toledo Edison Conipany" with "FENOC".'
  • Revise paragraphs 2.C(3)(a) and 2.C(3)(d) to replace references to " Toledo Edison Company" with "FENOC".
  • Revise paragraph 2.C(4) to replace two references to " Toledo Edison" with  !

"FENOC".

J e Revise paragraph 2.C(5) to replace the reference to " Toledo Edison Company" with "FENOC". l l

E e Revise paragraph 2.C(6) to replace three references to "Centerior Service I

Company" with "FENOC", and to include the following additional paragraph:

l

s

.l 4

' LAR 98-0009 i Page 4 l

FENOC shall not market or broker power or energy from the Davis-Besse Nuclear Power Station, Unit No.1. The Owners are responsible and accountable for the actions of FENOC to the extent that said actions affect the I marketing or brokering of power or energy from the Davis-Besse Nuclear I Power Station, Unit No.1.

l l

e  : Revise paragraph 2.D to replace the reference to "The licensee" with "FENOC". l l

e Revise paragraph 2.F(l) to replace the reference to "The Toledo Edison Company" with "FENOC".'

l e Revise paragraph 2.F(2) to replace two references to "the licensees" with "FENOC".

These proposed changes are shown in the attached marked-up copy of the Operating License. The copy of the Operating License used as the basis for this marked-up copy was provided by the NRC's Project Manager assigned to the DBNPS, and is the NRC's ille copy.

The following additional items are also of note:

.e - The second sentence of paragraph 2.C(l) includes a reference to " Toledo Edison Company". This sentence, along with the third sentence of the same paragraph, -

refers to conditions _ as specified in paragraph 2.C(3)(o) and Attachment 2, which were required to be met prior to initially attaining the authorized power level.

License Condition 2.C(3)(o) was deleted by License Amendment No. 2.  ;

Attachment 2, which also includes several references to " Toledo Edison Company",

required the licensee to obtain written authorization prior to initially proceeding to certain specified Operational Modes. Such authorization was granted by NRC letters dated May 10, June 30, July 8, August 9, and August 30,1977. Therefore, although these conditions are no longer applicable, the socond and third sentences ofparagraph 2.C(l) and Attachment 2, including their reh'rences to " Toledo Edison  ;

- Company", may be retained as is for historical purposes, cr at the discretion of the l NRC, may be deleted. I e . Paragraph 2.C(3)(k) presently refers to a requirement, to be satisfied within 60 days of startup following the first refueling outage, that the Toledo Edison Company perform tests to verify that faults on non-Class 1E circuits would not propagate to the Class IE circuits in the Reactor Protection System and the Engineered Safety '

Features Actuation System. This license condition was closed by NRC letter dated October 29,1981, however, a license amendment was not issued to reflect the deletion of the license condition. Since this paragraph contains a reference to

" Toledo Edison Company", unless the NRC wishes to document the deletion of the license condition in the license amendment to be issued for this license amendment

LAR 98-0009 Page 5 request, it is considered that the reference to the " Toledo Edison Company" is historical and does not require change.

. Paragraph 2.C(3)(s) presently exempts the Toledo Edison Company from the requirements of Technical Specification 3/4.7.8.1 for the two startup sources to be installed or already installed for use during the first refueling cycle until such time as the sources are replaced. Since these startup sources are no longer installed in the core, this exemption is no longer applicable. Since this paragraph contains a reference to " Toledo Edison Company", unless the NRC wishes to document the ,

deletion of the license condition in the license amendment to be issued for this license amendment request, it is considered that the reference to the " Toledo Edison Company" is historical and does not require change.

. The list of Attachments included on the Operating License signature page refers to Appendix B, " Environmental Technical Specifications", and to Attachment 2, "Preoperational Test, Startup Tests, and Other Items Which Must be Completed Prior to Proceeding to Succeeding Operational Modes." Appendix B was previously deleted by Amendment Number 133, and Attachment 2 only applied to I the initial plant startup, and, as noted above, is no longer applicable. It is left to the discretion of the NRC to update this list of Attachments.

l I

SYSTEMS, COMPONENTS, AND ACTIVITIES AFFECTED:

The proposed license amendment affects the organizational structure of the DBNPS with regards to the staff changing from TE and CSC employees to FENOC employees, and FENOC being responsible for the operation and maintenance of the DBNPS, 1

instead of CSC and TE. As discussed above, FENOC will be a wholly-owned I subsidiary of the FirstEnergy Corporationjust as TE and CSC are presently wholly-owned subsidiaries of FirstEnergy Corporation.

i FUNCTIONS OF TIIE AFFECTED SYSTEMS, COMPONENTS, AND ACTIVITIES:

The function of the staff organization of the DBNPS is to be fully capable and equipped to handle all situations involving the safety of the facility and the public.

i l

I EFFECTS ON SAFETY-The employees of TE and CSC presently engaged in the operation of the DBNPS will 1 become employees of FENOC. Personnel qualifications, therefore, will remain the l same as those discussed in the Technical Specifications and the USAR. The technical qualifications of FENOC to carry out its responsibilities under the Operating License

L .

LAR 98-0009 Page 6 for the DBNPS, as amended, will be equivalent to the present qualifications of TE and CSC. The organizational structure of FENOC will continue to provide for clear

. management control and effective lines of av.hority and communication among the organizational units involved in the management, operation, and technical support of the facility. l A central objective in planning the proposed transfer of employees and operating responsibilities from TE and CSC to FENOC will be to ensure there is no disruption to

- the operation of the plant, and to respect the integrity of the existing, successful organization. When the transfer becomes effective, FENOC will operate, manage and .  ;

maintain the DBNPS in accordance with the conditions and requirements established .i

' by the NRC and with the same regard for public and personal safety heretofore exemplified by TE and CSC. Therefore, in the proposed FENOC organization, the nuclear organization of the DBNPS will be preserved, with the only change being that - l b

the senior nuclear executive will report to the Directors of FENOC rather than to the l l . President and Chief Executive Officer of CSC. The current DBNPS Vice President,  ;

Nuclear will become a Vice President of FENOC and will continue to be the officer at  ;

l the site responsible for the overall safe operation and maintenance of the DBNPS.  ;

1 The Quality Assurance organization for the plant will have direct access to the site Vice President of FENOC on matters related to quality; therefore, the effectiveness of this organization will not be reduced by the proposed change.

The above organizational approach allows the transfer of TE and CSC personnel to L FENOC with minimal organizational changes and with no anticipated disruption to the

existing, dedicated site organizations.

' The proposed changes would not involve physical changes to the facility. The proposed changes would not involve significant changes in the manner in which the plant is operated, or the technical qualifications of the personnel who operate the plant.

There would be no material change in the responsibility for the conduct of operational  !

activities including security, quality assurance, emergency planning,und training.

The proposed license amendment will not adversely impact the Owners' ability to obtain or provide the funds necessary to cover all costs for the operation, maintenance, 4 repair, decontamination, and decommissioning of the DBNPS. The Owners will remain liable for such costs, on a pro rata basis, under the Operating Agreement. The '  ;

Owners' financial responsibility for the DBNPS and their sources of funds to support i

, the facility will remain the same as under 6 present License.

FENOC will be an operating company with no ownership interest in the DBNPS.

FEMOC, under the proposed Operating Agreement with the Owners, will be authorized to operate the plant on behalf of the Owners. Further, as discussed below, the Owners will be committed under the proposed Operating Agreement to provide all funds

LAR 98-0009 Page 7 necessary for safe operation and decommissioning of the DBNPS in conformance with NRC regulations.

l l

To summarize, the following interrelations will be established by the Operating Agreement between the Owners and FENOC:

(1) FENOC will not have any ownership interest in the DBNPS; however, it will have overall responsibility for the safe operation of the DBNPS. FENOC will operate the DBNPS in accordance with the Operating License and shall have exclusive responsibility for making safety decisions.

(2) The Owners will retain their current authority to review and approve budgets.

This will not encumber FENOC's ability to make operational safety decisions and will have no impact on safe operation of the DBNPS.

(3) Pursuant to the Operating Agreement, all costs, including costs for the operation, maintenance, repair, decontamination and decommissioning of the DBNPS, incurred or accrued are liabilities of the Owners when incurred or accrued and are borne in proportion to their respective undivided interests in the DBNPS, and the Owners will commit to provide FENOC funds to pay these costs.

Thus, the sources of funds for operating the DBNPS will remain unchanged.

A full financial qualifications review is not necessary as a result of the proposed license amendment. Under the terms of the proposed Operating Agreement between FENOC and the Owners, all costs associated with operating the DBNPS will continue to be borne by the Owners to the same extent as they are now, and accordingly, there will be no change in the financial qualifications associeted with the DBNPS. Further, the status of the Owners as electric utilities under the NRC's financial qualifications rule will be unaffected by this reorganization. Therefore, the information required under 10 CFR 50.33(f) regarding the financial qualifications of FENOC to carry out the activities described in this application is not necessary.

The plan for FENOC w operate the DBNPS will not affect the existing ownership of the DBNPS or existing ownership of or entitlement to power. FENOC will be solely dedicated to the operation of FirstEnergy's nuclear power plants. It will not be involved in the marketing or brokering of power or energy from the facility. To reinforce this aspect of the reorganization, it is proposed that License Condition 2.C(6) be modified, as previously described.

With this condition, the NRC staff has determined in similar cases tht the addition of a new non-owner operator does not require any further antitmst review (see SECY 246. Antitrust Consideration for License Amendments Authorizing New Ooeratjng Entities (Aug. 7,1991)). Moreover, the proposal to designate FENOC as the entity

LAR 98-0009 Page 8 authorized to use and operate the DBNPS will not alter the existing antitrust License Conditions applicable to the Owners. Those conditions will remain applicable to all Owners. Accordingly, the requested amendments will have no impact whatsoever on the market for electric power and rdse no issues with respect to antitrust considerations affecting that market.

The proposed changes are administrative and it is therefore concluded that they would have no adverse effect on plant safety.

SIGNIFICANT IIAZARDS CONSIDERATION:

The Nuclear Regulatory Commission has provided standards in 10 CFR 50.92(c) for determining whether a significant hazard exists due to a proposed amendmeat to an Operating License for a facility. A proposed amendment involves no significant hazards consideration if operation of the facility in accordance with the proposed changes would: (1) Not involve a significant increase in the probability or consequences of an accident previously evaluated; (2) Not create the possibility of a new or different kind of accident from any accident previously evaluated; or (3) Not involve a significant reduction in a margin of safety. The Davis-Besse Nuclear Power Station hes reviewed the proposed changes and determined that a significant hazards consideration does not exist because operation of the Davis-Besse Nuclear Power Station, Unit No.1, in accordance with these changes would:

I a. Not involve a significant increase in the probability of an accident previously evaluated because no accident initiators or assumptions are affected. The proposed changes are administrative and have no direct effect on any plant systems. All Limiting Conditions for Operation, Limiting Safety System Settings, and Safety Limits specified in the Technical Specifications will remain unchanged.

I b. Not involve a significant increase in the consequences of an accident previously evaluated because no accident conditions or assumptions are affected. The proposed changes do not alter the source term, containment isolation, or allowable radiological consequences. The proposed changes are administrative and_ have no adverse effect on any plant system.

2. Not create the possibility of a new or different kind of accident from any accident previously evaluated because no new accident initiators or assumptions are introduced by the proposed changes. The proposed changes are administrative and have no direct effect on any plant systems. The changes do not affect the reactor coolant pressure boundary and do not affect any system functional requirements, plant maintenance, or operability requirements.

LAR 98-0009 Page 9

3. Not involve a significant reduction in the margin of safety because the proposed changes do not involve new or significant changes to the initial conditions contributing to accident severity or consequences. The proposed changes are administrative and have no direct effect on any plant systems.

CONCLUSION:

On the basis of the above, the Davis-Besse Nuclear Power Station has determined that the License Amendment Request does not involve a significant hazards consideration.

As this License Amendment Request concerns a proposed change to the Operating License that must be reviewed by the Nuclear Regulatory Commission, this License Amendment Request does not constitute an unreviewed safety question.

ATTACIIMENT:

Attached are the proposed marked-up changes to the Operating License.

REFERENCES:

1. Davis-Besse Nuclear Power Station, Unit No.1, Operating License through Amendment No. 221.
2. Davis-Besse Nuclear Power Station, Unit No.1, Updated Safety Analysis Report through Revision 20.
3. SECY-91-246, Antitrust Consideration for License Amendments Authorizing New Operating Entities, August 7,1991.

[.AR 98-0009 ;_

Page 10 .

g ,. pg y I ciLE COPY (,.dps Chggg erQ 1 mg% UNITED STATES

[

%- NUCLEAR REGULATORY COMMISSION $ *

Y (

n j -

_- wAsumorow,0. c. 20sss - -

\ p5 Ct L ST GNEL&Y dtle LEAR. bPGE. ATkJ& f o A9AOY

~

TtiE70LEDO EDlSON COMPANY

'" " r C"

[CEh7E"{CP AND Q 1 THE CLEVELAND ELECTRIC ILLUMINATING COMPANY DOCKET NO. 50-346 DAVIS-BESSE NUCLEAR POWER STATION, UNIT N0. 1 FACILITY OPERATING LICENSE License No.' NPF-3

1. The Nuclear Regulatory Commission (the Commission) having found that:

Q, l

A. The application for license filed by the Toledo Edison Company _ yg "y and the Cleveland Electric Illumination

-Centerier Scr" ice C^~":h,omplfes with theandards st i l ompany (the_ licensees

  • and requ1rements S )

of thW Atomic ~tnergy Act of 1954, as amended (the Act), and the Q i Commission's rules and regulations set forth in 10 CFR Chapter I and I all required notifications to other agencies or bodies have been duly 4 l made; B. Construction of the Davis-Besse Nuclear Power Station, Unit No.1 (the facility) has been substantially completed in conformity with Construction Permit No. CPPR_-80 and the application, as amended, the provisions of the Act and the rules and regulations of the l Commission; C. The facility will operate in conformity with the application, as amended, the provisions of the Act, and the rules and regulations of the Comission; 1

l D. There is reasonable assurance: (i) that the activities authorized by this operating license can be conducted without endangering the

, health and safety of the public, and (ii) that such activities l will be conducted in compliance with the rules and regulations of l tha Corar s d nn i --

f-irs,t % tJR.\sertO t!*UD The T;1cd;-E be y Company fs technically qualified and the licensees E. ^

re ina'ncially qualified to engage in the activities authorized by this operating license in accordance with the rules and regulations of the Comission;

. T L Telade Edia;n C;.T+;ny ad Cent rior krci : C^ p=y (b th Of *ich: red ri'

.am..

l 1_,,. u4.4- mc emm+m,4m. r _ m.m, cm.mm.m+4mmi 3re ...unr4,ma +n %o l :

^

Ge " 4 4 r" " "V- and hEvE E d

=l=i';c rcp=:ibi'ity an cent 0! c';;r th phy:f c ! conc t"ctier , e

r;ticr., =d m
inten
nce of the f=ilit; . Ccnterier Se'"4ce P^*p "y iss / Q dd
d = ; ' inn:ce by ^ r""~^"+ "^ W - 2 -

Amendment No. 152 8

F-- -ht "3' DEC 31 1990 h

1 C_______----.-_---_----------_-------.-------- . - - - - - - - - - - - - - - - - - - - - - - - -

. LAR 98-0009 Page11 -

~w INSERT 1. A (asterisked footnote) j The Toledo Edison Company and the Cleveland Electric illuminating Company y

(hereinafter jointly referred to as "the Owners"), both of which are wholly-owned

,f subsidiaries of FirstEnergy Corporation, were the original licensees. Centerior i Service Company was added as a licensee by Amendment No.152.

I Amendment No. (to be added by the NRC) replaced the Centerior Service Company with the FirstEnergy Nuclear Operating Company (FENOC), as a I

licensee. FENOC, also a wholly-owned subsidiary of FirstEnergy Corporation, I l

has exclusive responsibility and control over the physical construction, operation, l

and maintenance of the facility.  !

x i

i I

4

~ ~ " " - ~ - - - - - . - - _ _ _ _ _ _ _ _ _ _ _

. 1

. LAR 98-0009 Page 12 -

F. The licensees have satisfied the applicable provisions of 10 CFR Part 140 " Financial Protection Requirements and Indemnity Agree-ments," of the Commission's regulations; I G. The issuance of this operating license will not be inimical to the common defense and security or to the health and safety of the public; H. After weighing the environmental, economic, technical, and other benefits of the facility against environmental and other costs and considering available alternatives, the issuance of Facility Operating License No. NPF-3 subject to the conditions for protection of the environment set forth herein is in accordance with 10 CFR Part 51 (formerly Appendix D to 10 CFR Part 50), of the Commission's regulations and all applicable requirements have been satisfied; and I. The receipt, possession, and use of source, byproduct and special nuclear material as authorized by this license will be in accordance with the Commission's regulations in 10 CFR Part 30, 40, and 70, includina 10 CFR Sections 30. 33. 40.32. 70.23. and 7n 11 F&stGier.s N kleerO pF=+ % yCFEace % %<- ~

2. Facility Operating License No. NPF-3 s ereby issued to the oledo Edison Company, C=tcHe- Se-"f re C^7-". and the Cleveland Electric h',

s Illuminating Company to read as follows: _ _- o.3f-f3 A. This license applies to the Davis-Besse Nuclear Power Station, Unit No.1, a pressurized water nuclear reactor and associated equipment (the facility) owned by the Toledo Edison Company and the Cleveland Electric Illuminating Company. The facility is located on the south-western shore of Lake Erie in Ottawa County, h

  • ,3 *L Ohio, approximately 21 miles east of Toledo, Ohio, and is described in the " Final Safety Analysis Report" as supplemented and amended (Amendments 14 through 44) and .the Environmental ~ Report as sppple-mented and amended (Supplements 1 through 2).

B. Subject to the conditions and requirements incorporated herein, the enmmission hereby licenses:

'FEh.10cJ (1) Tviedu Edhvu_Cuu ursuant to Section 103 of the Act gi, ano 10 CFR Part 5), ': Licensing of Production and Utilization fa-J a s Facilities," to possess, use, and operate the facility:

'TN. T;1cd; Cdi:0n C; p=y': -n=lcarergeainticarepert;toCenteri2 Service q wuyu s ay .

gg.3/gg Amendmen;g152 DEC 3 ~

e

LAR 98-0009 Page 13 _

_x_ _

i  %

L' Toledo Elbei eie vc 4.*4 Ele Gr~

dea,rIl5vada N0l, QMQQ

%Cvwpeay,ad WY (2) %e 44eenseeeY to possess the facilitv at_ the designated locatwa m vctawa County, Ohio in accordance with the

_procaduran and limitations set forth in this licenser (3) et ::*ia.. .irsuant to the Act and 10 CFR Part 70, to receive, possess and use at any time special nuclear material as reactor fuel, in accordance with the limitations for storage and amounts required for reactor operation, as described in the Final Safety Analysis Report,

. as sucolemented and amended; (4) m~ ia. a rsuant to the Act and 10 CFR Parts J0, eu and zu to receive, possess arid use at any time any byproduct, source and special nuclear material as sealed j neutron sources for reactor startup, sealed sources for l reactor instrumentation and radiation monitoring equipnent i m1ibration, and as fission detectors in amounts as required; (5

"'F_Poc. c_&_ $1:07 C rry, rsuant to the Act and 10 CFR Parts 30, 40 and 70, to receive, possess and use in amounts as required any byproduct, source or special nuclear material without restriction to chemical or physical form, for sample analysis or instrument calibration or associated with radioactive apparatus or components; and Fr*Joc.

(6) ;let di_x.. Os.;r.y,) pursuant to the Act and 10 Ch'R Parts 30 and 70, to possess, but not separate, such byproduct and .

special nuclear materials as may be produced by the operation i of the facility.

C. This license shall be deemed to contain and is subject to the conditions specified in the following Commission regulations in 10 CFR mapter I: Part 20, Section 30.34 of Part 30, Section 40.41 of Part 40, Sections 50.54 and 50.59 of Part 50, and Section 70.32 of Part 70; and is subject to all applicable pro-visions of the Act and to the rules, regulations, and orders of the Ccumission now or hereafter in effect; and is subject to the additional conditions specified or incorporated below:

(1) Maximam Power Ievel F EPJDC "M~M Mir^- C-rhs authorized to operate the facility af' steady sun i n b or core power levels not in excess of 2772 megawatts (thermal). Prior to attaining the power level, Toledo Edison Ctapany shall ecuply with the conditions identified in Paragraph (3)(o) below and complete the preopera-tional tests, startup tests and other items identified in Attachment 2 to this license in the sequence specified.

Attachment 2 is an integral part of this license.

8 NAR 98-0009 Page 14 ,

cQ,G,Q) Technical Specifications 9, ~

y (Y _

gg Ad 4 i33' The' Technical Specifications ntained in Appendix A, as re_.viseu throuch Amend ==nt mom are hereby incorporated in the license. 5. l f- T7 FO J0C 3:: Tf.:d:3d' : f rahall operate the facility in accordance C "witn tne tecnntcal spec 1Tications.

(3) Af5f tlonal donditions

'Jhe matters sp= ifie-3 in the folic In3 con $itions shall be ccepleted to the satisfaction of the Comission within the .

stated tire periods following the issuance of the license or within the operational restrictions indicated. 'lhe renoval of these conditions shall be made by an a.whent to the license su_ ported by a favorable evaluation by the Comission:

/ FErdoc- N (a)Ch3 _hc. huJhall hot operate the reactor in operational ib:es 1 and 2 with less than three reactor coolant pegs in operation.

/ (63 Within fo% (4)"NN.j;hs.of.-the date-of issuancedf5EdIl*

icense,' 1e-5cr Edis$n%5cany Inp2 cc ofete' i!i']

cations'in th'e #6idst fdef ail s'torage

) tra$sler ./

s8stel.

ih?.'ator% cl.difid3 desi"gd sbaIl e 6c,o,d pf'e'ac'4

. hi' wifh 'a 40'060 h.all6n'7'e,iSJc ftes hWd o:li 'stor'!!e't'enk 'w.iidh sSall' be installed ah,dr,y#b'fuell' ath.t 5yr'o '

. e.Nosnd'agnif Ei$h'.fch3;)11istbr'I 35 tanN IshEII t' torUO foEcg! an'f Anojr}4:t'id ssiles.

~

d[ise'idr.ickiej[iryI't$ra'n~ffeh,6iof,d;td

' id5d'U2 dfj ipingI an,th 3 /v'a its' I

-g-serve it.5" respective diesel generator day tanh. ,y h.

( hthin Q/ee }j ir,nbhs of the date, of issNc'e o'f th)'s N

gb P'P

?hn'N ea r$* nit 6rsg,ydak h?ks,k5'$$

.Nh.d:e'rgd'gden$th*

, t ok Y

~ 1/r' '

h'it.I n * -

l,& 2)5 t'?.4' set obin /11.a:t in tne'cantr51 'r6iz, tyfoar s

hv peres 4 by Fe m Am1s 2';2.(3)(dL Prior _to ooeration be ond 21 Effective Full Power Years, ee-E TMqdGdO: _:E : hhall provide to the NRC a reanalysrs an] # IU, pf5 posed modificanons, as necessary, to ensure continued means of protection against low temperature reactor coolant system 7 c20-78 overpressure events. _

l l

LAR 98-0009 ~

- Page 15 DO NOT REMOVE

?

/ g (c) ~ 1er te ster & tm felle @ g tM fire * e*$ ree' =r' y Ochdaled ref"alia; ^"

  • ca . S! @ Miean W ny chall

()G@gbg Ic'ify S ::=ter c^^2 rt cyct-- fic: i^Airti^- te gP ,$D r t $c ch;2 : f;" :: ::it :"cr ith ::; :d t: p ;;;;;;

9 ""~'i"; lir2r t2 "^ fl0: fiff= =tk? e::;;;;; L2 ;;;iacze-M \0 ~. 4m, + m_ e+ r *, m rmi i ~.,4 m., +we <<.- ,i-$s ._i..i..

,.-r ,s ---

-, ,-_,_____y

" "'u --F"^'ia; ^ ut -^ ^ , '"^1^A^ M!:^- 7 my d '1 i -^A!fy 2: ;Lilia;, fccdwater systc; by p;;;idi .; dia;se girm.* cn ron* p~.m. *m m-m me the r e e-m ,t : = ili;;7 faarbs&ar &rst-e (g) Prior to star +"r fel1~ei.^g the first (let) raguirly-erha"' M ref"a!ing ^"t r e, Sl @ M isea W ayrhd1 l

l -~'ify er --- ;rcy cere e^^2 in; cyct-- by pridi ;

=^ter ^p^ ret ^4 c:Irc cith =rtre? rd - :: tic.- indi::ti:n b 6ke c^atre' -c~ 10 lieu of de - n=11; :g:;t:d ;;1,;;

, ~ -~ . . ----- us- ,2--- s - x ., , n t- - - u - c s u s.-

i hatre $ high ges; .. ;;h::p p=p ruetier rd 2: 1c pra-e"ra iaj~ ti^- d! charg^.

(hAWithin three (3) years of the date of issuance of is 1 se except as noted below, Wledo Edison y J

hi shall crease the level of fire protec to the le s recamended in Appeg A to the Standard in the facility y g i@g Review Plan with alternativ accept

.1, Revision 2 Fire Protection System," or to the conmission.

(

V

. Prior to startu oll the first (1st) regularly scheduled r ling ou Toledo Edison Company shall impl Section B of Appe A, " Administrative Pr ures, Controls and Fire Br e," and Section C f Appendix A, " Quality Assurance Pr ram."

(' If the Babcock & Wilcox proposed rod bow model has not approved by the Comission upon completion o ne hund (100) effective full power days of o ation

'for the lity, the 21edo R11 son must revise h, the plant t - cal specifications t eflect the rod Y bow model used by e Comissio r Babcock & Wilcox l

k(7 plants which require a function of burnup:

ef wing DNBR penalties as Burnup-(MWD DNBR Penalty

5. reent Q 5, 0 ,651

-15,000 8.2 per t

,000-24,000 9.8 percent 11.2 percent t 24,000-33,000 L______--___---

1

. o i n >;s - - - - - - - . - - .

' + v. . :-i =- -' =

~ ~ - ... .

.: :.i c----  :..:-: .: .-- ;

LAR 98-0009 47, . . ., ; ; t , ,., ;. m . g 35 ; . n 1  ; 7 [,__  ;,_.....

Page 16 af 31 :e dur in, e-.f tce, : ; .

u,,

J',..;, 7:n s: dil,, cc. .,. .. m - -

,1

~ . . .

... u.... m..

. _ . . . - _ _ , . u.. - _ _ _ _ _ _ , , _ ,_

~..~.;....

c .;-  ;

>&:5 D:i 11 m,a Ri 12 c..J C.cIl cpa c.t c e ?::q ._,,

-t -h: t r - vol L oir. at m t i; : .-

'3

. . s.

.ei licens cer3itien the" r* ;:..la g:fer=ce t -_cf t,:~'ific entveimnen nr prammr: tier.cl tee *

[D .-

. , .-:.2:q:Srciente rc12t:2 tk '_M e* ~: p;.a.t en: = c c ~~ ! t t M-O  ;

--instr =cntetica :: pre 0id~* In the tcchnical op;cificot kn.

-75: the:: ;2r!~ e of ti . during hich only one A<-=y l

. h :.t : .1 tr:fr I  ; :!!-ble fer ^peratier ~ Amrira 30' 1s +m + s , + s. -

ey .=xsy set %.,c1 t r : s 5. -

g~ bci% L 4 t en !!ne, en oper:ter ch:11 tc at;.ticr.:3 -

en -- te in =3ictc1, cccurc th _

Wertre! m,m

. . e Ser 5 :t re-~=1 r p(c) chee!d !c er fle. ~ rnr i

L._____, e r te the 5- e :crt;nt cic;ure ef na 11 cc c:: 12.2 2.C.(3)(k) Within 60 days of startup following the first (1sth regu.larly scheduled refueling outage, Toledo Edison

..' [f[ .

' l Company shall complete tests and obtain test results

, as required by the Commission to verify that faults (p-13'N on non-Class IE circuits would not propagate to the Class IE circum in the Reactor Protection System and the Enginee Actuation System.  !

~

l

, y M.C. (84 Withi thi rty' 0) da followinggw,,oJ2- g

.y we f sus ine i re or 4 eraji n J.

at pow af 0 er .or dager of ated t rm o Iedo 1, op g,,g,7f Co pany s 11 pp the[igre fratj to ; .

c' olant s e1E f(q da f cil ty lic ph be used'to document rea lant sfem total pressure drops.

L Td ..!udo a '0);cnS: f: cr i.Lu 6 &nccofShi h ,

l TckJe -03i-ce5. C :p:ny th2!2 7eSifj C.c c;;ist4n9 Icu pre eur i

j -:-3 Ligh W; :c injcci

  • n f' w indication cys* i on l

Q Mg .w M bda 6 6 :: I m.. ~ c el l y gasi-i&5 m ,0 g.ec c c-d fi ca.

-esce.tiel W oogree W b fhu indicc. tion in t'Lc .!n L -centsc1 sce c

) f,ol) ing/he fi)st ()$t) rqgul,arly y Pr*k~tostar.tupftp c led', refuel agy, d pl vices,$d Ed' son Codpany shall

,h -ow .elst r to,r.esu[eatIastl40 9pa Tjst s herte biant. i operatid in ett' '

.i 10 at ron dii(utior.

f e kt 3dg diain kex5e rthepressuriz(c'sprayno3e.

(o) b 5't.h.d a.o % 1 ,.T v J. w.i..$ /h 3. 6* N -1?

I -

t

l .

LAR 98-0009 0;MMOVE

._ - . . . . . , 4. % r e ,. e m,,3 . i . ,

.ws, . m.,uui _. - . . . . .

.sm. u. m, < ,,,,

. _,---_ e. l_ e_ n_ , _

l Y'(e,b'

$ - p h _.~~.~ _s a__

u.._ m .w e

..r.._i.n._._

. . a . .., a ,,e 4 e.

..m ,__, . . . _a m

n a ao e_ < ,,,

im_ __ __ ._. _.

,,,,a < r 4,.. u m,

,_.._u.~

a_

y, _._.. _ _._-_ ._- _. -. _,- ,,

n_ o_ u_ _. _f_ ._,

.- ._u__-~.~,_.,,.u_,..$__u.

,.. . . ._. _ .. ~. . m. i. 4_... ._u. . _. . . a f ._u..___

. . , . . _ _ ~ , , , __m m.,.,~, ...__a

_u_ .2 __ a.. .u._______.,

.m .___

% 2,,

e, ,,, u ,,, i 4 ,m

.m.,

4,mi eu

. ~ .

....a..~_. a - ..: n a_ _ .. _ . u

%f ,

6ancaa 1,. _ , i .m.vvu a _,mu v6

_______~.

w~

.<g,___

g _- i,. u_ - ,, _ y4,..m.

,, ,a 4. u...__.__.--g

. _ 3,.

NA,, n ., hasM Pamf 172l l

_ n_.

N . _., , nF $ ma e t bayi 4eMlSf4mM Mr fha 4 s,,, ,,

__, __ . ,.._a-,

_ a

. . ~

_..u_ ~.,._.__,..u.._--_-~._,

. a

,_____ _. u_

l 1 LL_ ___- J J

' n._. e.. ._1 1 .. . . .l a ,. e. .t ~ .yy. . - _3._.f__, . .. .- .i .f .t _ ,. _L _f __.__ _.

am,,s,

.. m u. . r .,. __

,, ,m sm_ w ..~. . w e_.c_._

uu~ __ ~__<_ .. , , , , _ . ,_-, . .<. ,>___

.u . . .mw y m. .n--t man. _:ia_. 4 en_ n. t_wae_ , - n,s, ehn11 miM4 h an ovni nne.:.- -.-t a

7.. .y,.,.~ ~n. ,

._.~a, 1. ._. e _

4 e . _

.# .1._ mm r- ._ m. . . hat-the.

. ____3,__ts_,

j 3--- *, . - - - - - _n._..-

3_,_, g s. .g s., g. . uta A3 4 WA.A usam t um 3wu6C 7LUQhC. bvvru a. .u w avre a r__, r _t r_

.s.~_ ,..,.t--

it_

, .n..,. - _ . ._ s. t.n.~. - ..~

~. ~ . . . e. e~ n-e_ t _nt--te*tne-to~

,.___ m ,_

c . .. . .

,m. u~_ , . < . _a

. c. 3 ._- ., m, n , _ . _ , . . ~ . .. - .y ..

.. u._

3

~_ ~.,.. .. . .cm -,fs.it . ,. . _4 4_ a__,. 2 m_

sa m -o ._._. . . ~_ _1,, _ u__ mJ r r _-. u _~ ~ .-

~

_ ,,,,a_ _.

.m _ a i f .r. ~m . m..., ~~

,_ , a - -_ , , .

m m,. . u,.. .,. . _u n. -

.. a. _ . , 4 .. . ._u._ . ~ . ,. ._ r_ . u .,,.,,. . _.m.m m <-.

mu _ 12 mm 3. -system

"^' *-~ "tz-en 03.3 per.eent--to-.lO2v3-percent 4f-rated.

-+elle,r ,_ (with m m corresponding

_. _ , _ _ safety-sel.att-d ,,.a_4_ __ Mc n ___ voltsge ,..u

__, ,. a___~mu m m. . _m. .. . m. . mf-Tolede .. ___ ,-_-.

-1eLLei Le the Cv.....ission-dated-Novenber-13r4976h In=

'i 1 .: _ ._u__,..u~~.,. _ _.a- m__ _a u u. _ ._ , .. , a.~.,. ..7

. u. x.c - _ .m. ...u. ., n_a .~.:mam.

,,, .,2,___ ~ _ _ _ _ - . _ue , -- -- --, ,_ __ _.u ,,, ,,,,,,no_,.--

. .o. .av _

.A. A.7v. . w vs.q'#u..J G..u4 4 jafA .8bCCu M. u.. v . w. ,.

s u s. - _ - -

, - e

, _ , a s_ w ., .

,._ - -u. .u - _

L.8bm .w_w , ( & V.. . e_ n r ,. , ._ s_ a_ g ,.r.~ . Lunm s.v

, ,,,g .._ . .- . .-o ,,__ m,- __ __ m

-.<,_%~

_____.,.6AU.. LV OLawa44 u 6. .C- Dy D Lcm wv w A L4. a. .

.y a ,._ .__ _-- _ u__. a .-u.~ .. _ _c._ -u._- q. _ _ mm. . .--" ".. ,"m.- eawer-leve1L.

i t r 1, m_ n_1_- m_ _- an:s.11, ~. . c_. _ m. p~.a, _ . .

,.u. ~1 1 - ,6...t.- , _e. m _t _m.. t. ,.,

_- _ ..g m . a . ._. 4 _- .

o_m_a_ m_. , a ._. . u.m. .,.

m ._u_ _ r_4_ _e e i n_ _, _rm_ _,

_4 ._. _. m. ,., _4 m_ _.,

_ _.m.a_, , _ m_ _a.-

C\6 ^ ,,,,4,,4 _ . u_ ___ . ,, mw_ ._ .,. 4 r_~_ .,..a. . _ _,. ___4 ,m.

_,. m_ ., a m_ _e ._. x.,.

4_.. , , _ .

,F  ; -adequacy 4,mu m y. _i._. . 2 ., -~

n.

..._ m _

_ _ a_a. m.

.~ .

.,._,_t..

~.,.a.

n

@ C . . .u.- .... a~ . . e a.. _- .. ~ - . _a . ~. ,,. ,. . _t. ~. _m_a _- u. . . _. a~. , u. _ _. . ~

,y ,,

u_ u. . . .

.y .. c n. . ~. .~ , ~. ,.

~~ u ,4.

. . . ,. , , _ ., ..., .~.._.,-.i.,..

_~,.x_a_ ._ a. _. ...

. c. _. a. ~ .,. m

~

_ .ru_ .

. ~.

... c

,m.

. _ : ,. . u _ _. ~o._ ,,.._

. ~ . ~~

, ~ ._,

a.. .~_s..u..__-n,..,, ._

.a . - -

e_ ,v,. _- u._ _u . _ _.. a.,_

_ _ . . . ,. ... ., mm um s, m1 .

_se_._ u... .(n._.. .wA_% +_f a 1 ^. .^ 1 a. f. a u wi.

.~ r ...

,._J ~ .~ L.u

_ _ y- . . . ~ _

m __la_A_

_.ema._ k~ o.1 u.~ .i,.. n,ev_v,...4 # _4 n_ A_ _. 4 n. TLv r ,iil..s.. -. a . ,.. ,r.%,.ide- -

._. a a ,A. _

r .

_ 1 . g" f.1, W f%a. 4,._

.n

,a

,na. _ , . _

~. f~_..=.

,r .. .._ .c.a

-. I , =. ( , N_ _r._ ( m,. . ' n. .# ~__ i. ii .nl _ =

_. _ , . . y

_en.Iem - - _I ,, r a_ ss,. _-_ si t e, < e - nn n_ u m 1 s , n f l a.m. _e u. - ll tw.

T.il _s n. . . W

'.Tk. . , - _ _ - -- -- A - - - - - _ d

,,,,4,ul i mm e u

ovau us. ._w

__ 1 .~.~,_m.a,~.-

, . - , .m . ., _4 ._s b,.

%_ ,er_,4 _r _i m_ a_ _ ___

il s mu n~

)

u,,.. .

a..._m 4,m. .

y n

(s) Toledo B:lison Company shall be exempted from the require- I ments of Technical specification 3/4.7.8.1 for the two l (2) Americium-Beryllium-Copper startup sources to be ]

2 .

installed or already installed for use during the first refueling cycle until such time as the sources are replaced.

i!

I

la-  ;

I

> LAR 98-0009 -

. Page 18 r YA .

n)

N Edisnn shall operate the Startup Feedwater Pump (SUFP) System with M

g (t) Tole the fo owing operational restrictions:

dison will station an operator in the up Feedwater

1. 'Toled during operation of Pump /Au iary Feedwater Pump (SUFP/AFW) lingWater(TPCW) the SUFP t monitor SUFP/ Turbine Plane event of SUFP/TPCW pipe piping -

g status in th AFW Pump Rooms. I leakage, U the operator w 1 trip the 5 ocally or notify the Control Room ,

' to trip the SUFP, and is e the SUFP/TPCW piping.

{ ^

to 2. Toledo Edison wi late and maintain isolation cutside the SUFP/AFW area of the sucti discharge, and turbine plant cooling water hd " piping, n the SUFP is et in operation (Modes 1, 2 and 3).

t o Edison will install a UFP, associated piping, and valves, to 9 3. T C- emove the hazards to the AFW mps before commencing Cycle 6.

pso42 I .

v8 i

9

LAR 98-0009 Page 19 2.C.(4) _ Fire Protection

^ shall implement and maintain in effect all provisions of e approvea Fire Protection Program as described in the Updated Safety Analysis Report and as approved in the SERs dated July 26, 1979, and y Rav 30. 1991, subject to the following provision: -4 ay make changes to the approved Fire Protection Program without prior approval of the Commission only if those changes would ,

not adversely affect the ability to achieve and maintain safe shutdown e in the event of a fire. $.

2.C.(5)  : 21::- C hall maintain in effect and implement a secondary water chemistry monitoring program to inhibit steam generator tube degradation. 1he program shal_1 include: .

g.

(a) Identification of a sampling schedule for the critical parameters 9'3 and control points for these parameters; 4 L E I

I (b) Identification of the procedures used to quantify parameters that are critical to control points; y

3 -(c) Identification of process sampling points;

?

  • (g (d) Procedure for the recording and management of data; k

I

  • (e) Procedures defining corrective actions for off control point t

chemistry conditions; and $

(f) A procedure identifying the authority responsible for the interpreta-h tion of the data, and the sequence and timing of administrative &

j events required to initiate corrective action. i f

'2.C.(6) ' Antitrust Conditions'

~

~ ~~ ~

~ ~ N, g f=cacc .

. tc" S ~f t: C ;=3 shall comply with the antitrust _ conditions F L

delineated in Condition 2.E of this license as if named therein.

Toled %d.

g g E :o Edison Company is responsible and accountable for the actions Q' g' t:"cr kr'f:: C pir;' to the extent that C= trier R; .ke I fdNoc,'s C=p..,'; actions contravene the antitrust license conditions of k-31-90 I

_ Candition 2.E of this license.

2. D M chhallfullyimplementandmaintainineffectallproviions or sni temossion-approved physical security, guard training and qualification, and safeguards contingency plans including amendments made pursuant to provisions of the Miscellaneous Amendments and Search Requirements revisions to 10 CFR 73.55 (51 FR 27817 and 27822) and to t the authority of 10 CFR 50.90 and 10 CFR 50.54(p). The plans, which -

contain Safeguards Infonnation protected under 10 CFR 73.21, are entitled: " Davis-Besse Nuclear Power Station Physical Security Plan," Q with revisions submitted through January 29, 1988; " Davis-Besse Nuclear Power Station Guard Training and Qualification' Plan," with revisions. ${ ,

submitted through February 20, 1987; and " Davis-Besse Nuclear Power C6 Station Safeguards Contingency Plan," with revisions submitted through February 20, 1987. Changes made in accordance with 10 CFR 73.55 shall  ;

-be implemented in accordance with the schedule set forth therein. 4  !

l Amendment No. JE2,174 SEP 3 2 yyy, l

LAR 98 0009 Page 20 INSERT 2.C.(6)

FENOC shall not market or broker power or energy from the Davis-Besse Nuclear Power Station, Unit No.1. The Owners are responsible and accountable for the actions of FENOC to the extent that said actions affect the marketing or brokering of power or energy from the Davis-Besse Nuclear Power Station, Unit No.1.

l l

s E___________.._._._ ._.

LAR 98-0009 Page 21 0 ',_ . . _ . , . . . . -

E. This license is subject to the following antitrust conditions:

Definitions g

. / A -/A 79 Entity shall mean any electric generat' ion and/or distribution system or municipality to engage or cooperative in either with a statutory right or privilege of these functions. -

Wheeling shall mean transportation ~of electricity by a utility over its lines for another uti.11ty, including the receipt from and delivery to another system of like amounts but not necessarily the same '

energy.

Federal Power Comnission, The 1970 National Power Survey, Part 1. P.1-24-8. .

J License Conditions Approved By the Atomic Safety and Licensinn' Appeal _ Board *

(1)

Applicants shall not condition the sale or exchange of wholesale ~

power or coordination services upo.n the condition that any other entity:

' a.

enfer.into any agreement or understanding restricting the use of or f.s alienation of such energy or services to any customers or territories; b.

entity itself any market opportunities; to give up any other power supply a)ternatives o

c. withdraw any petition to intervene or foreg.

/

( o parti

( ', proceeding before the Nuclear Regulatory Conmissio.cipation in any

. , n or refrain' from instigating or prosecu' ting any antitrust action in any other forum. -

  • " Applicants" as used by the Appeal Board refers to the T l d ,

Cleveland Electric Illuminating Company, Duquesne Light Company, Ohio Edisono e o Edis are the Toledo Edison Company and Cleveland Electric Illumi '

e " " ' *

  • h

.. -8~ ,

LAR 93 0009 Page 22 -

g I l y2) -- Applicants. and each of them, shall offer interco .

and' conditions at the request of any other ~ electric entity (ies) in the CCCT, St such interconnection to be available (with due regard for any necessary and applicable safety procedures) for operation in a closed-switch synchronous cperating mode if requested by the interconnecting entity (ies). Ownership of transmission lines and switching stations associated with such interconnection shall remain in the_ hands of the party funding the interconnection subject,

.however, to any necessary safety procedures: relating to disconnection facilities at the-point of power delivery. Such. limitations on ownership shall be the least necessary to achieve reasonable safety practices and shall not serve to deprive '

purchasing entities of a means to effect additional power supply options.

i (3) Applicants shall engage in wheeling for and at the request of other entities in the CCCT: '

a.

lectric energy from delivery points of Applicants to the entity (ies)';

b. of power generated by or available to. the other entity, as ,a result of its ownership or entitlement
  • irt generating facilities, to delivery points of applicants designated by the other entity.

Such wheeling services shall be available with respect to any unused capacity

). on the transmission lines of Applicants, the use,of which will not jeoliardize Applicants' system. In the event Applicants must reduce wheelirg services to other entities due to lack of capacity, such reduction shall not be effected until reductions of at least 5% have been made in transmission capacity allocations to other Applicants in these proceedings and thereafter shall be made in proportion to reductions *

  • imposed upon other Applicants to this proceeding.

Applicants shall make reasonable provisions for disclosed transmission require-ments of.other entities in the CCCT in planning future transmission either individually or within the' CAPCO grouping. By " disclosed" is meant the giving

' of reasonable. advance notification of future requirements by entities utilizing

. wheeling services to be made available by Applicants.

" Entitlement" includes but is not limited to power made available to an. entity pursuant to an exchange agreement.

The objective of this requirement is to prevent preemption of

- unused capacity on the lines of one Applicant by other Applicants

' or by entities the transmitting Applicant deems noncompetitive.

Comp,etitive entities are to be allowed opportunity to develop bulk power services options even if this results in reallocation ,

m .of CApCO transmission channels. This relief is required in order p to avoid prolongation of the effects of Applicarfts' illegally sustained dominance.

___-_____m____ _ _ _ _ _ _ _ _ _ _ _ . _ _ _ _ _ _ - . _ _ . _ _ _ _ _ . _ _ _ _ _ _ _ _ _ - _ _ _ _ _ _ _ _ _ _ _ . _ _ _ _ _ _ _ _ _ _ _ _ . _ _ _ _ _ _ _ _ . _ _ _ _ _ _ _ _ . _ . _ _ _ _ _ _ _ . _ . . _ _ _ . _ _ _ _ _ . _ _ _ . _ _ _ _ _ _ _ _ _ _ _ _ _ _ _

+

LAR 98-0009 Page 23 e -

L 1 L

C 4) a. Applicants shall make available membership in CAPCO to any entity in the CCCT with a system capability of.10 N or greater;

b. A group of entities with an aggregate system capability of 10 ik or greater ,

may obtain a single membership in CAPCO on a collective basis.*

c. Entities applying for membership in CAPCO pursuant to License Condition 4 shall become members subject to the terms and conditions of the CAPC0 Memorandum of Understanding of September 14, 1967, and its implementing agreements, except that new members may elect to participate on an equal l percentage of reserve basis rather than a P/N allocation formula for a period of twelve years from date of entrance.** Following the twelfth year of entrance, new members shall be expected to adhere to such' allocation methods i

as are then' employed by CAPC0 (subject to equal opportunity for waiver or  !

[ special consideration granted to original CAPCO members which are then in  ;

effect).

! d. New members joining CAPC0 pursuant to this provision of relief shall not be entitled to exercise voting rights until such time as the system capa- ,

bility of the joining member equals or exceeds the system capability of j

,- the smallest member of CAPC0 which enjoys voting rights.***  !

, M., Wholesale Customer of Ohio Edison (WCOE). ,

The selection of the 12-year period reflects our determination that ah adjustment period is necessary since the P/N formula has a recognized effect of discriminating against small systems and forcing them to forego economies of scale in generation in order to avoid carrying excessive levels of reserves. We also found that P/N is not entirely irrational as a method of reserve allocation. We have observed that Applicants themselves provided adjustment periods and waivers to integrate certain Applicants into the CAPCO reserve requirement program. The 12-year period should permit new entrants to avoid initial discrimination but.to acconrnodate

~

and adjust to the CAPCO system over some reasonable period of time. Pre-sumably new entrants will be acquiring ownership shares and entitlement during the 12-year period so that adverse consequences of applying the.

P/N formula will be mitigated.

Our objective is to prevent impediments to the operation and development of an areawide power pool through the inability of lesser entities to respond timely or to make necessary planning comitments. While we grant new member entities the opportunity to participate in~CAPC0 it is not our intent to relieve joining entities of responsibilities and obligations necessary to the successful operation of the pool. For those smaller entities which do not wish to assume the broad range of obligations associated with CAPC0 membership we have pro-vided for access to bulk power service options which will further their ability to survive and offer competition in the CCCT.

AO

. II .

, LAR 98-0009 Page 24 -

(5) Applicants shall sell maintenance power to requesting etitities in the CCCT upon tenns and conditions no less favorable than those Applicants make avr.ilable: (1) to each other either purs'uant to the CAPCO agreements or pursuant to bilaterel contract; or (2) to non-Applicant ertities outside the CCCT.

(6) Applicants shall sell emergency power to requesting entities in the CCCT upon terms and conditions no less favorable than those Applicants make available: (1) to each other either pursuant to the CAPCO agreements or pursuant to bilateral contract; or (2) to non-Applicant entities outside the CCCT.

(7) Applicants shall sell econonty energy to requesting entities in the CCCT. when available, on terms and conditions no less favorable than those available:

(1) to each other either pursuant to the CAPCO agreements or pu'rsuant to bilateral contract; or (2) to non-Applicant entities outside the CCCT.

(8) Applicants shall share reserves with any interconnected generation entity in the CCCT upon request. The requesting entity shall have the option of sharing reserves.on an equal percentage basis or by use of the CAPCO P/N allocation formula or on any other mutually agreeable basis.

(9) a. Applicants shall make available to entities in the CCCT access to the Davis-Besse 1, 2 and 3 and the Perry 1 and 2 nuclear units and any other nuclear units for which Applicants or any of them, shall apply for a construction permit or operating license during the next 25 years. Such b) '

access, at the option of the requesting entity, shall be on an ownership share, or unit participation or contractual pre-purchase of power basis.*

Each requesting entity (or collective group of entities) may obtain up to 10% of the capacity of the Davis-Besse and Perry Units and 20% of future units (subject to the 25-year limitation) except that once any entity or entities have contracted for allocations totaling 10% or 20%, respectively, no further participation in any given units need be offered.

)

  • Requesting entities' election as to the type of access may be affected by provisions of state law relating to dual ownership of generation facilities by municipalities and investor-owned utilities. Such laws ,
  • . may change during the period of applicability of these conditions. j Accordingly, we allow requesting entities to be guided by relevant legal and financial considerations (including Conrnission regulations on nuclear power plant ownership) in fashioning their requests.

I l

1

. LAR 98-0009 /M j Page 25 -

b.

Ccmitments for the Davis-Besse and Perry Units must be made by requesting entities within two years after this decision becomes final. Comitments for future units must be made within two years after a construction pemit application is filed with respect to such a unit (subject to the 25-year limitation) or within two years after the receipt by a requesting entity of detailed written notice of Applicants' plans to construct the unit, whichever is earlier; provided, however, that the time for making the comitment shall not expire until at least three months after the filing of the application for a construction permit. Where an Applicant seeks to operate a nuclear plant with respect to which it did. not have an interest at the time of the filing of the application for the construction permit,

~

the time periods for comitments shall be the same except that reference should be to the operating license, not the construction permi.t.

(10) Applicants shall sell wholesale power to any requesting entity in the CCCT, in amounts needed to meet all or part of such entity's requirements. The choice as to whether the agreement should cover all or part of the entity's requirements i l

should be made by the entity, not the Applicant or Applicants. ,

(11) These conditions are intended as minimum conditions and do not preclude Applicants from offering additional wholesale power or coordination services to entities within or without the CCCT. However, Applicants shall not deny wholesale power or coordination services required by these conditions to non-Applicant entities Jin the CCCT based upon prior comitments arrived at in the CAPCO Memorandum of Q Understanding or implementing agreements. Such denial shall be regarded' as inconsistent with the purpose and intent of these conditions.

. The above conditions are to be implemented in a manner consistent with the pro-visions of the Federal Power Act and all rates, charges or practices in connection therewith are to be subject to the approval of regulatory agencies having juris-diction over them.

I l

e L_

r-

4 LAR 98-0009

^

Page 26

( 7 y/ F. This license is subject to the following. additional conditions for the_nrotection of the environment:

FEmL ~

(1) (4h1 T:let "di:; . C __:.. ~ all operate Davis-Besse Unit No. I within applicable Federal and State air and AMDT #133 water quality standards. 5/18/89 g

(2) Before engaging in erational activi by the Commission, _h g li;;r.::::nwil not evaluated repare and record i

an environmental evaluatioh or ouun activity. When the )

evaluation indicates that such activity may result in a i

significant adverse environmental impact that was not evaluated, or Final valuated in the that is significantly Environmental greater than Statement,E that e = )-

W FEAN)C

-Li :d:::Dhall provide a written evaluation of stien actin 3 ties and obtain prior approval of the ' Director, Office of Nuclear Reactor Regulation for the activities.

1 ~

l I

l 1

l l

.PN 1 V l l

l o

1 LAR 98-0009 00 N07EM0'E

' ~

Page 27 r-(1( -

G. In accordance with the requirement inposed by the October 8,1976,  ;

order of the United States Court of Appeals for the District of I Coltznbla Circuit in Natural Resources Defense Council v. Noclear Regulatory Consnission, No. 74-3 385 and 74-1586, that the NucJear l j Regulatory Ceraission "shall make any 3 icenses granted between

  • l } July 21,1976 and such time when the mandate is issued subject  ;

l  :

to the outcome o!'such proceedings herein," this license shall be subject to the outcome of such proceedings.

1 H. Artik This license is effective as of the date of issuanco and shall expire at midnight April 22, 2017.

  1. /5/ /I 19 .3/-90

~

s; FOR THE NUCLEAR RD3ULMORY COMMISSION ,

Original 5!gned by

,R. C. DeYoung

  • Roger S. Bo , Director Division of Project Management -

Office of Nuclear Reactor Regulation Cl 1

Attachments:

1. Appendices A & B - Technical

~

- Specifications

2. Preoperational Tests, Startup Tests and Other Items Which Must Be Completed Prior to Proceeding to Succeeding Operational tedes i S

i Date of Issuance: APR 2 3 377 f

I

-k i l

L--______-_-___________-- ._ - - _ _ _ _ _ _

e .

LAR 98-0009, M%M M E -

u. S

- Page 28 .

ATTACEMEM 2 'IO' LICENSE NPF-3 0..Egog ;

st ,p ~:.: ,  ; _ a.; ,.Q. _

+

Preoperational h sts, Startup Tests, and ' ' ' NN i Other Items Wnich Must be* Completed Prior to Proceeding" . y#'h.[g.

14.

,' 3 I WSocceeding Operational Modes g< .

N

~

~

i -

y . . w

'this attachment identifies certain preoperational tests, startup tests, . ,

and other items which must be completed to the Cbumission's satisfaction - N.

prior to proceeding to certain specified Operational Modes. 'Ibledo q '1 Edison Company shall not proceed beyond the authorized Operational Modes

~

i-without prior written authorization from the conmission. , _ . , ,

,, 47 A. 'Ibledo Edison company may at the license issue date proceed directly . ;f to Operational Mode 6 (initial fuel loading), and may subsequently ya proceed to Operational Mode 5 (cold shutdown), except as noted below, e BF. 'Ihe following items must be completed prior to proceeding to Operational

] Mode 5 (cold shutdown): ,

1. Approval is required of the fifteen listed surveillance procedures . ,

h ST5030.02 RPS mnthly Check ST5030.09 RPS Response Time -

9' ,N, l

ST5031.14 RPS Response Time Calculation . , .e' ST5036.02 Remate Shutdown Monitor Instrument Channel ,

Calibration j Sr5036.03 Post Accident Instrument Channel Check '

- 1 Post Accident ' Instrument Channel Calibration ,

k)ST5036.04 Flood System Isolation Valve Check ST5050.02 Core ST5051.01 ECCS Subsystem Monthly Test a. g Sr5061.02 Containment Local Leak Test -*

ST5062.01 Containment Spray System mnthly 'Ibst ,...@  !

ST5070.01 Main Steam Safety Valve Setpoint  : l l ST5020.01 Axial Power Imbalance Manual Calibration M ST5022.03 Quadrant Power Tilt y

l ST5033.02 Incore Monitor System mcorder Calibration ST5042.03 Reactor Coolant Flow Rate 'Ibst System' Interaction

'Ihe 'Ibledo niison Company's 5000 and 8000 Series EIRs (Engineering j

-@ Inspection Reports) concerning upgrading of supports and instal- ]

lation of water shields on non-safety related systems such that .. j ir failure will not degrade or cause failure of a safety related .cj-system must ecxnpleted as stated below o

_ f 4

. e

,, p. .

~

LAR 98-0009 a

[. -

?

Page 29

' $g ,., ,

Q,I g- b'. [~ .

s i\ a. Upgrading of 29 electrical tray and conduit supports primarily located in the 4160 and 480 volt switch gear rooms 'and Intake '

Water Structure. . - ,

b. Final inspection and approval'by 2bledo Mison Company Quality Control of 24 cmpleted modifications and approval by Engineering.

, c. Final review and approval by 7bledo Mison Capany Engineering of s 26 completed and inspected modifications. - -

3- , .c

d. Completion of 24 structural items, primarily shielding devices from water sources. .
  • jag The following items must be completed prior to proceeding to coerational
h. g y e 4 (hot shutdown): ,
1. High-Pressure Injection Pump Mxlification The Toledo Edison Cbmpany must provide documentation to establish that the modification work for the pumps is in accordance with the FSAR and the specification requirements. .

' A..

9%

2. HVAC Systelns The reinspection activity and subsequent repair effort, relative

, to welds needed to resist seismic design forces, must be completed.

T.

3. Large Pipe Hangers and Arichors j.

Corrective action relative to 76 large pipe hangers and seven b anchors for safety related systems nust be conpleted.

4. Small Pipe Hangers and-Anchors '

Corrective action relative to small piping system discrepancies must be empleted.

- Q. Valve Stem Incknuto d Stem locknuts for 141 valves with limit torque operators within y safety related systems must be verified as being " staked."

1

6. Isak Tightness Test of Valve Enclosure .

b Approval of periodic test procedure and corpletion of a leak tightness test of the enclosure installed around DB 11 and DH 12 valves in containment. ...

~x

^

LAR 98-0009 f -

i g%

g,{f .y

.c..

jc n

^ -

Page 30 O .d .

95 b

u3-

. I r i d ', , .* 1 ; .. c ,a i Y3pj;}f 3 '

y. g. -

Ar[pu f, .m. .1 ' , *M. , ~.j,, ,.

, -x 3, m) .. x - s.' -

,. , .:a s

  • Qffh
7. systems Interaction ,

, , c,gT 7h,N,?.3,g  : 3. .g3)1 l .

Th,i '

a. ~ Upgrading of 20 electrical conduit supports primarily";,

located in hallways and corridors. - s

' tr .< ! W - P 3

~

pp; ' . , ' ,,
b. Upgrading of 27 pipe supports. t a: &S ;d; 4 g.s.$M

^

.I i

\

DJ 2e following items must be completed prior to proceeding to operational :- )

Mode 3 (hot s'andby):

  • s ..

. C g;:

}{* [1.

rked valves -

. , ' n -,

c

- y

(

~

9 g 7 Five , mall valves within safety related systems must be hydro-

' statically tested and accepted to the requirements of the -

applicable code. ' ~' "'

E. %e following items must be completed prior to proceeding to Operational Mode 2 (initial criticality): ,

1. Modification to replace the four level switches in each steam  ;

generator inside containment with four level transmitters.  :

,s l q~ N 2. Besolution of discrepancies for Preoperational 'Itsts: '

r

.) 4 PT 232.01, Miscellaneous Radwaste System 7

! /

PT 230.01, Clean Liquid Radwaste 1

3. Completion of Preoperational Tests:

PT 230.02, Degassifier J;<c ,

PT 230.03, Boric Acid Evaporator PT 231.02, Miscellaneous Waste Evaporator M*eM' '

F. We fcllowing items must be completed prior to proceeding to Operational Mode 1 (power operation):

1. Dnergency Planning-Procedures -
a. An isolation emergency plan implementing procedure to cope with weather conditions which require personnel to remain l at the station for undetermined periods shall be developed.

l Bis procedure shall also address provisions for transportation of emergency personnel to the station when needed during .

l these periods. .

,m.

,.3 .g

. b. Se following topics will be incorporated into the Drergency , ' ' -

l pw. Pi n Implementing Procedure: . , , f _ .,  ;.

.l.f,;,l.

I ' -

t .f . .

A

[ .
  • ~

. l LAR 98-0009

~

Page 31 (1) Evacuation of personnel to minimize exposure to hazard.

l _ (2) Personnel accountability to assist the person fn charge l of emergency response actions to account for missing l

persons.

(3) aeentry into previously evacuated areas for the purposes

! of saving lives, search and rescue of missing and injured persons. Safety equipment to be worn depending on areas or conditions shall be addressed.

2. Completion of Preoperational 'Iests Solid Waste Compactor, PT 233.02.
3. Electrical' Firebarrier Testing l

Tne 'Ibledo B:lison Company shall provide documentation of fire l ba rier testing to assure corformance of the fire barriers I installed at the Davis-Besse 1 plant to ASTM E-119. l

4. Boron' Dilution Mode 7bsts l

Complete flow tests in the hot leg drain mode and the pressurizer l spray mode to verify minimum flow of 40 gallons par minute.

9s' j

m IM

t e

Docket Number 50-346 License Number NPF-3 Serial Number 2540 Attachment 2 Page1 l

ENVIRONMENTAL ASSESSMENT FOR LICENSE AMENDMENT REQUEST NUMBER 98-0009 juentification of Probosed Action This proposed action involves the Davis-Besse Nuclear Power Station (DBNPS), Unit Number 1, Operating License NPF-3. This license amendment application proposes that die DBNPS Facility Operating License NPF-3 be amended to transfer operating authority for the DBNPS from the Toledo Edison Company (TE) and the Centerior Service Corporation (CSC) to a new operating company, the FirstEnergy Nuclear Operating Company (FENOC), and to make other associated administrative changes to the license. These changes are described in detail in the license amendment application.

The proposed license amendment involves no change in the ownership of the facility, no physical changes to the plant, no substantive change to operating procedures, and no change to the Technical Specifications or Bases.

Need for the Pronosed Action The proposed changes to the license are required in order to reflect the effect of the transfer of operating authority for the DBNPS. The reason for the transfer is to further enhance operational efficiency and cost-effective operations at the DBNPS.

Environmental Impacts of the Proposed Action The technical qualifications of FENOC to fulfill its responsibilities under the proposed amended Operating License will be equivalent to the present technical qualifications of TE and CSC. When the transfer becomes effective, the present DBNPS nuclear organization will be transferred essentially intact to FENOC.

When the transfer of operating authority becomes effective, FENOC will continue to operate, manage, and maintain the DBNPS in accordance with the conditions and requirements established by the NRC and with the same regard for public and personal safety heretofore exemplified by TE and CSC.

The transfer will not affect the corporate financial resources currently available in support of DBNPS operations.

As discussed in the license amendment application, the proposed changes have been reviewed pursuant to the standards provided in 10 CFR 50.92(c), and it has been

b4 .

  • ' ~ Docket Number 50-346 License NumberNPF-3 Serial Number 2540 Attachment 2 Page 2 determined that the proposed changes do not involve a significant hazards consideration.

The proposed changes do not involve an increase in the amounts, or a change in the types,'of any radiological effluents that may be allowed to be released offsite.

Furthermore, there is no increase in the individual or cumulative occupational radiation exposure.

With regard to potential non-radiological impacts, the proposed changes involve no increase in the amounts or change in types of any non-radiological effluents that may be released offsite, and have no other environmental impact.

Based on the above, it is' concluded that there are no significant radiological or non-radiological environmental impacts associated with the proposed amendment.

Alternative to the Proposed Actions Since it has been concluded that the environmental effects of the proposed action are not significant, any alternatives will have only similar or greater environmental impacts. The principal alternative would be to deny the requested amendment. - This would not reduce the environmental impacts attributable to the facility.-

Alternative 'Ise of Resources -

This action does not involve the use of resources not previously considered in the Final

- Envi onmental Statement Related to the Operation of the Davis-Besse Nuclear Power  !

Station, Unit Number 1 (NUREG 75/097).  !

Einding of No Significant Imoact

. The p:oposed license amendment has been reviewed against the criteria of 10 CFR 51.30 for an envi onmental assessment. As discussed above, the proposed amendment does not involve a significant hazards consideration, does not increase the j types or amounts of effluena that may be released offsite, and does not increase )

. individual or cumulative occupational radiation exposures. Accordingly, this review L concludes that the proposed license amendment, if approved by the Nuclear Regulatory Commission, will have no significant impact on the quality of the human environment, L

and that no Environmental Impact Statement is required.

o Li__________________________ _ _ _ _ _ _ _ _ _ _ . _ _ . _ _ _ _ _ _ . _ _ _ _ _ _ _ _ _ _ _ _ . _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _____s