ML23142A114

Incoming Fee Exemption Request from State of Oklahoma on Behalf of Cimarron

ML23142A114
Person / Time
Site:	07000925
Issue date:	05/01/2023
From:	Mcqueen K State of OK
To:	James Corbett NRC/OCFO
References
Download: ML23142A114 (1)

Text

KenMcQueen ./. Kevin Stitt Secretary ofEnergy & Environment Governor STATE OF OKLAHOMA 01'1-JCE OF THE SECRETARY OF ENERGY & ENVIRONMENT May 1, 2023 James C. Corbett Chief Financial Officer (Acting)

U.S. Nuclear Regulatory Commission 11555 Rockville Pike Rockville, MD 20852-2738 Re: Request for Exemption of Fees Docket No. 07000925; License No. SNM-928

Dear Mr. Corbett:

On behalfofthe Oklahoma Department of Environmental Quality (DEQ), I am requesting an exemption of fees for NRC oversight activities in decommissioning of the Cimarron Site. DEQ is the state environmental agency with jurisdiction for the Cimarron Site. As you may be aware, both DEQ and the NRC are named as Beneficiaries for a portion of the Trust funds which are being applied to the decommissioning work. This puts our agencies in a unique position of both regulator and beneficiary.

DEQ is charged to protect waters of the state for the benefit of the citizens of Oklahoma. The Site is located on the Cimarron River, and DEQ finds it is in the public interest that planned groundwater remediation proceed to completion and the Site released for unrestricted use.

The Trustee for the Cimarron Environmental Response Trust (CERT or Trust) has recently advised DEQ and NRC that current conservative estimates for project completion show CERT funds will be depleted approximately two years before completion of groundwater remediation. It is DEQ's understanding that early termination of work due to fund exhaustion will leave the Cimarron Site with elevated levels of enriched uranium in groundwater underlying the Site and migrating to and into the Cimarron River, with no means to complete remediation or to demonstrate the Site meets the decommissioning criteria for unrestricted release DEQ recognizes the high degree of uncertainty associated with years-ahead financial forecasting as well as conservative assumptions related to the performance of the remedy. Notwithstanding, DEQ is committed to continue the project to completion. In fact, in 2020 DEQ agreed to defer state-only requirements for uranium, nitrate, and fluoride so that funds from the State Environmental Account (then totaling more than $12 million) may be applied to the effort to attain release for unrestricted use.

204 N ROBINSON, SUITE 1010

• OKLAHOMA CITY, OK 73102

• 405-522-7099

DEQ is now proposing to redirect Trust funds designated for government oversight to active work accounts, so that remaining funds may be sufficient to reach the decommissioning criteria. Projections of cost savin~ through waiver of the NRC fees ranges from a little over $6 million to over $8 million.

Waiver ofDEQ's fees would add between $700,000 and $1 million.

If NRC is unwilling or unable to waive its fees associated with oversight activities, we ask that NRC agree to defer its fee reimbursement for the duration of the project to enable this project to continue to completion and then recapture fees from any remaining funds. DEQ is willing to waive or defer its reimbursement of oversight costs as well.

Please contact Robert Singletary (405) 702-71 72 if you have any questions or concerns regarding the DEQ's support for this fee exemption request.

Sincerely, t1 &~

KenMcQueen Secretary of Energy and Environment cc: Jane Marshall, NRC Ian Irvin, NRC James Smith, NRC Jeff Lux, B&McD Bill Halliburton, B&McD Kelly Dixon J. Paul Davis David Cates Pam Dizikes