ML24051A110

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Joint Motion of Applicants and Petitioners for a Stay of Issuance of a Decision on the Pending Motion and Petition
ML24051A110
Person / Time
Site: South Texas, 07201041  STP Nuclear Operating Company icon.png
Issue date: 02/20/2024
From: Arth A, Blanton M, Doris Lewis, Lovett A, Matthews J, Morgan A, Zorn J
Austin Energy, Balch & Bingham, LLP, City Public Service, San Antonio, TX, City of Austin, TX, City of San Antonio, TX, Constellation Energy Generation, JE Matthews Consulting, Law Office of David R. Lewis, NRG South Texas, LP
To:
NRC/OCM
SECY RAS
References
RAS 56932, 72-1041-LT, 50-498-LT, 50-499-LT
Download: ML24051A110 (0)


Text

UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION

BEFORE THE COMMISSION

)

)

In the matter of: ) Docket Nos. 50-498-LT

) 50-499-LT South Texas Project Units 1 and 2 ) 72-1041-LT

)

)

)

JOINT MOTION OF APPLICANTS AND PETITIONERS FOR A STAY OF ISSUANCE OF A DECISION ON THE PENDING MOTION AND PETITION

Constellation Energy Generation, LLC (Constellation) and NRG South Texas LP and its

parent companies (NRG) (collectively Applicants), and the City of San Antonio, Texas acting

by and through the City Public Service Board of San Antonio (CPS Energy) and the City of

Austin, Texas, d/b/a Austin Energy (Austin) (CPS Energy and Austin, the Petitioners), with

the support of STP Nuclear Operating Company (STPNOC), respectfully request a stay of the

issuance of a decision on Petitioners pending Motion to Dismiss License Transfer Application,

Immediately Stay NRC Proceedings, and Petition to Intervene (Motion and Petition) so that

Applicants and Petitioners can attempt to finalize a settlement agreement, which if finalized would

result in the withdrawal of Petitioners pending Motion and Petition. In further support of this

motion, Applicants and Petitioners state:

1. On June 12, 2023, STPNOC submitted on behalf of NRG and Constellation an

Application for Order Approving Indirect Transfer of Control of Licenses (ADAMS Accession

No. ML23163A176) (Application) requesting approval to indirectly transfer NRCs ownership

interest in South Texas Project Electric Generating Station (STP) to Constellation. On July 31,

2023, CPS Energy and Austin filed the Motion and Petition challenging the Application (ADAMS

4892-5797-2390.1 Accession No. ML23212B248) and supplemented it on August 14, 2023 (ADAMS Accession No.

ML23226A268).

2. On October 30, 2023, NRC staff issued an order approving the Application and

authorizing Applicants to transfer the STP licenses, subject to the Commissions authority to

resolve CPS Energys and Austins pending filings (ADAMS Accession No. ML23279A038). On

November 1, 2023, Constellation and NRG closed the underlying transaction, and NRC staff

issued conforming amendments reflecting the indirect transfer of the STP licenses to Constellation

(ADAMS Accession No. ML23298A000).

3. On February 15, 2024, NRC provided notice of the Commissions intention to hold an

affirmation session regarding the pending Motion and Petition on February 22, 2024.

4. Applicants and Petitioners have been engaged in settlement discussions over the last

few months to address, among other things, the concerns raised in the pending Motion and Petition.

Applicants and Petitioners believe they have an agreement in principle and are close to finalizing

a definitive settlement agreement, with only a small number of issues and internal approvals

remaining. Applicants and Petitioners are committed to continuing to work in good faith towards

a mutually acceptable final settlement agreement, but they need additional time to do so given the

complexity of the issues and governance processes required. Applicants and Petitioners have the

shared goal of promptly resolving the limited, outstanding issues as quickly as they can.

5. Applicants and Petitioners are both concerned that a decision by the Commissioners on

the pending Motion and Petition could disrupt the negotiations and their internal approval

processes and would draw out the schedule for finalizing the settlement. If finalized, a settlement

would result in the withdrawal of Petitioners challenges to the Application and would benefit

Applicants, Petitioners, the Commission, and the public. A stay is in the interests of all parties,

including the Commission and the public, because it avoids the possibility of further expenditure

of adjudicatory resources on matters that the parties hope to promptly resolve via mutual

agreement.

6. Applicants and Petitioners thus request that the Commission issue an order staying

issuance of a decision on the Motion and Petition, as supplemented; directing Applicants and

Petitioners to file joint status reports every thirty (30) days to report on the status of their efforts

to finalize their settlement agreement; and continue the stay and status reporting obligation until

they either report that an agreement has been finalized and Petitioners withdraw their challenges

to the Application or report that they have been unable to resolve the few remaining issues.

7. The parties have conferred with STPNOC regarding this motion. Given that all the STP

owners are in support of the motion, STPNOC supports the motion.

For the foregoing reasons, and for good cause shown, Applicants and Petitioners request

that the Commission grant this Motion and enter an order consistent with the conditions set forth

in Paragraph 6 above.

Respectfully submitted this 20th day of February 2024,

/Executed in Accord with 10 CFR § 2.304(d)/ /Signed electronically by Alan D. Lovett/

Jason C. Zorn M. Stanford Blanton Associate General Counsel Alan D. Lovett Constellation Energy Generation, LLC BALCH & BINGHAM LLP 250 Massachusetts Avenue NW 1710 Sixth Avenue North Suite 760 Birmingham, AL 35203-2015 Washington, DC 20001 (205) 226-3417 240.645.3443 (205) 226-8769 Email: jason.zorn@constellation.com sblanton@balch.com alovett@balch.com John E. Matthews Managing Director Counsel for City of San Antonio, Texas, acting JEMatthews Consulting LLC by and through the City Public Service Board 1135 Registry Boulevard of San Antonio St. Augustine, FL 32092 202.255.5110 Email: jematthewsconsulting@outlook.com /Executed in Accord with 10 CFR § 2.304(d)/

Anne L. Morgan, City Attorney Counsel for Constellation Energy Generation, Ariane Arth, Assistant City Attorney LLC City of Austin - Law Department P.O. Box 1546 Austin, Texas 78767-1546

/Executed in Accord with 10 CFR § 2.304(d)/ Telephone: (512) 974-3454 David R. Lewis Facsimile: (512) 974-1311 Law Office of David R. Lewis Ariane.Arth@austintexas.gov 1524 Brookhaven Drive McLean, VA 22101 Counsel for City of Austin, Texas Tel. 703-501-7708 d/b/a Austin Energy Email: davidralewis@outlook.com

Counsel for NRG South Texas LP and its parent companies

UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION

BEFORE THE COMMISSION

)

)

In the matter of: ) Docket Nos. STN 50-498-LT

) STN-50-499-LT South Texas Project Units 1 and 2 ) 72-1041-LT

)

)

)

CERTIFICATION OF SERVICE

Pursuant to 10 C.F.R. § 2.305, I certify that the foregoing Joint Motion has been served upon the Electronic Information Exchange, the NRCs e-filing system, in the above-captioned proceeding this 20th day of February, 2024.

/Signed electronically by Alan D. Lovett/

Alan D. Lovett BALCH & BINGHAM LLP 1710 Sixth Avenue North Birmingham, AL 35203-2015 (205) 226-8769 alovett@balch.com

Counsel for CPS Energy

Dated: February 20, 2024

[Certificate of Service]