ML24271A157

Notification of Planned Closing, Trust Fund Balance at Transfer and Proof of Insurance

ML24271A157
Person / Time
Site:	Vallecitos Nuclear Center, Vallecitos, 07000754
Issue date:	09/27/2024
From:	Ollis P GE-Hitachi Nuclear Energy Americas
To:	Office of Nuclear Material Safety and Safeguards, Office of Nuclear Reactor Regulation, Document Control Desk
Shared Package
ML24271A156	List: ML24271A157
References
M240223
Download: ML24271A157 (1)

Text

DB1/ 147668143.4 M240223 September 27, 2024 Via Electronic Information Exchange ATTN: Document Control Desk U.S. Nuclear Regulatory Commission One White Flint North 11555 Rockville Pike Rockville, MD 20852 10 CFR 50.80 10 CFR 50.90 10 CFR 70.34 10 CFR 70.36 Nuclear Test Reactor (NTR)

License No. R-33 NRC Docket No. 50-73 Vallecitos Boiling Water Reactor (VBWR)

License No. DPR-1 NRC Docket No. 50-18 ESADA Vallecitos Experimental Superheat Reactor (EVESR)

License No. DR-10 NRC Docket No. 50-183 General Electric Test Reactor (GETR)

License No. TR-1 NRC Docket No. 50-70 Vallecitos Nuclear Center License No. SNM-960 NRC Docket No.70-754

Subject:

Notification of Planned Closing, Trust Fund Balance at Transfer and Proof of Insurance GE Hitachi Nuclear Energy Phillip D. Ollis Facility Licensing 3901 Castle Hayne Road P.O. Box 780 Wilmington, NC 28402 USA T (910) 616-4018 Phillip.ollis@ge ProprietaryInformationNotice tothislettercontainproprietaryinformationwhichis tobewithheldfrompublicdisclosureinaccordancewith10 CFR2.390.UponremovalofAttachments2,thebalanceofthisletter maybemadepublic.

DB1/ 147668143.4

References:

1) Application for Consent to Direct Transfer of Control of License and Related Conforming License Amendments, September 1, 2023 (ML23244A247)

2) Order Approving Transfer of Licenses and Conforming License Amendments, April 25, 2024 (ML24039A021)

3) Letter, GEHA / NorthStar to USNRC, GEHA/NorthStar Response to NRC Request for Additional Information Regarding Direct Transfer of VNC Licenses, dated January 22, 2024 (ML24022A323)

On September 1, 2023, NorthStar Vallecitos, LLC (NSV) and GE Hitachi Nuclear Energy Americas, LLC (GEHA) (together, Applicants) sought the NRCs consent to the direct transfer of control of five NRC licenses: (1) Facility Possession-Only License No. TR-1 for the General Electric Test Reactor (GETR), (2) Facility Possession-Only License No. DR-10 for the ESADA Vallecitos Experimental Superheat Reactor (EVESR), (3) Facility Possession-Only License No. DPR-1 for the Vallecitos Boiling Water Reactor (VBWR), (4) Facility License No. R-33 for the Nuclear Test Reactor (NTR), and (5) Materials License No. SNM-960 (collectively, the Licenses) held by GEHA for the Vallecitos Nuclear Center in Sunol, CA (Vallecitos).

Applicants sought the NRCs consent for the direct transfer of the Licenses from GEHA to NSV in connection with a proposed transaction under which the ownership of and licensed responsibility for the Vallecitos Nuclear Center would be transferred to NorthStar Vallecitos for prompt nuclear decontamination, decommissioning, and remediation and removal of all hazardous substances from the site as required by applicable law (the Transaction).

On April 25, 2024, the Nuclear Regulatory Commission (NRC) issued an order consenting to the transfer of control as part of the Transaction (Reference 2). The Order required NSV to notify the Director of the Office of Nuclear Material Safety and Safeguards, in writing, at least two (2) business days prior to the date of the planned closing of the Transaction. Applicants hereby provide notice that Applicants expect to close the Transaction on October 1, 2024.

In Reference 2, the NRC also conditioned its Order consenting to the Transaction on NSV providing satisfactory documentary evidence to the Director of the NRCs Office of Nuclear Material Safety and Safeguards that it has obtained, or will have obtained upon the closing of the [T]ransaction, the appropriate amount of insurance under 10 CFR Part 140 and 10 CFR 50.54(w), as applicable. In Attachment 1, NorthStar Vallecitos provides confirmation from American Nuclear Insurers, dated September 13, 2024 (ML24165A281), of revisions to the existing Facility Form policy and Master Worker certificate applicable to Vallecitos.

In Reference 3, GEHA and NorthStar Vallecitos jointly provided a response to NRCs request for additional information regarding the transfer request. In response to Request A the applicants committed to provide an update to the NRC prior to the closing regarding the amount of work completed by or at the direction of GEHA and the amount of funds to be transferred with the Nuclear Decommissioning Fund. Accordingly, Attachment 2 provides the agreed to amount of funds to be transferred with the NDF.

to this letter is an affidavit form GEHA prepared in accordance with 10 CFR 2.390 requesting that the confidential commercial and financial information provided in Attachment 2 be withheld from public disclosure.

DB1/ 147668143.4 When separated from Attachment 2, this cover letter and Attachments 1 and 3 are decontrolled.

Please contact me if you have any questions regarding this information.

Sincerely, Phillip D. Ollis Regulatory Affairs - Facility Licensing Attachments:

1) ANI Letter dated September 13, 2024

2) Agreed to Amount of Funds to be Transferred with the NDF in support of the Direct Transfer of Vallecitos Nuclear Center Licenses

3) Affidavit of Phillip D. Ollis Pursuant to 10 CFR 2.390 to Withhold Information from Public Disclosure from GE-Hitachi Nuclear Energy Americas, LLC cc:

Administrator, NRC Region IV Director, Office of Nuclear Materials Safety and Safeguards Branch Chief, NRC/NMSS/DUWP/RDP 1600 East Lamar Boulevard Arlington, Texas 76011-4511 Director, Office of Nuclear Material Safety and Safeguards U.S. Nuclear Regulatory Commission Washington, DC 20555 C. Allen, NRC/NMSS/DUWP/RDP M. Catts, GEHA G. DiCarlo, NorthStar Group Services, Inc

DB1/ 147668143.4 Vallecitos Nuclear Center Proof of Insurance NRC ADAMS Accession Number: ML24165A281

NorthStar NSV 24-002 June 13, 2024 ATTN: Document Control Desk U.S. Nuclear Regulatory Commission Washington, DC 20555-0001

SUBJECT:

Documentary Evidence of Insurance Vallecitos Nuclear Center Docket Nos. 50-18, 50-70, 50-73, 50-183 and 70-754 License No. DPR-1, TR-1, R-33, DR-10 and SNM-960 NorthStar Vallecitos, LLC 6705 Vallecitos Rd.

Sunol, Ca 94586 www.northstar.com Luke M. Self Manager, Vallecitos Nuclear Center 10CFR 140.11(a)(4)

REFERENCE:

Letter, USNRC to GEHA Regulatory Affairs., "Order Approving Transfer of the Vallecitos Nuclear Center Licenses and Conforming License Amendment (EPID L-2023-LL0-0002)," dated April25, 2024 (ML24039A019)

Dear Sir or Madam:

By letter dated April 25, 2024 (Reference), the USNRC transmitted an Order that provided consent to the direct transfer of the Vallecitos Nuclear Center (VNC) licenses from GE-Hitachi Nuclear Energy Americas, LLC (GEHA) to NorthStar Vallecitos, LLC (NSV). The first condition of the Order states the following:

Prior to the closing of the license transfer transaction, NorthStar Vallecitos, LLC shall provide the Director of the NRC's Office of Nuclear Material Safety and Safeguards (NMSS) satisfactory documentary evidence that it has obtained, or will have obtained upon the closing of the transaction, the appropriate amount of insurance under 10 CFR Part 140 and 10 CFR 50.54(w), as applicable.

In accordance with the subject condition of the Order, NSV hereby submits documentary evidence that the appropriate amount of insurance, consistent with that previously carried by GEHA, has been obtained for the licenses identified above. Documentary evidence of proof of insurance per 10 CFR 140.11(a)(4) is contained the Attachment to this letter.

This letter contains no new regulatory commitments.

Should you have any questions concerning this letter, or require additional information, please contact Mr. Thomas B. Silko at (802) 451-5354, Ext 2506.

NSV 24-002 I Page 2 of 2 Sincerely, Luke M. Self, Manager, Vallecitos Nuclear Center

Attachment:

Documentary evidence of proof of insurance per 10 CFR 140.11 (a)(4).

cc:

Director, Office of Nuclear Material Safety and Safeguards U.S. Nuclear Regulatory Commission Washington, DC 20555 Regional Administrator, Region 4 U.S. Nuclear Regulatory Commission 1600 East Lamar Boulevard Arlington, Texas 76011-4511

NSV 24-002 Docket Nos. 50-18, 50-70, 50-73, 50-183 and 70-754 Attachment Vallecitos Nuclear Center Documentary evidence of proof of insurance per 10 CFR 140.11(a)(4)

(1 page excluding this cover sheet)

June 13, 2024 Attn: Document Control Director, Office of Nuclear Regulatory Commission U.S. Nuclear Regulatory Commission Washington, DC 20555-0001 Re: NorthStar Vallecitos, LLC NSV 24-002 I Attachment I Page 1 of 1 Jason Martinez, CPCU, ARM, ARe Director, Underwrit ing NRC Operating License Transfer for Vallecitos Atomic Laboratory-Revised To Whom It May Concern, This letter confirms that American Nuclear Insurers will write nuclear liability insurance for NorthStar Vallecitos, LLC for the Vallecitos Atomic Laboratory.

As of the date of the license amendment, which is expected to be on or before June 21, 2024, we will amend the policy and certificate for the Vallecitos Atomic Laboratory as follows:

a. Facility Form Policy No. NF -0001: ANI will amend the named insured to "NorthStar Vallecitos, LLC" in lieu of "GE-Hitachi Nuclear Energy Americas LLC". The operator of the facility will also change to NorthStar Vallecitos, LLC.

b. Master Worker Certificate No. NW -0500: ANI will amend the named insureds to "NorthStar Vallecitos, LLC" in lieu of "GE-Hitachi Nuclear Energy Americas LLC". The operator of the facility will also change to NorthStar Vallecitos, LLC.

The commitment to write insurance for NorthStar Vallecitos, LLC remains valid through September 30, 2024. In the event the license transfers occur after this date, ANI will review the existing circumstances prior to reinstating our commitment to provide insurance.

Please feel free to contact me with any questions or concerns.

Yours sincerely, Jason Martinez, CPCU, ARM, ARe Director, Underwriting C: NorthStar-DiCarlo, Greg Marsh-Hansen, Everett; Evans, Dan American Nuclear Insurers

• 95 Glastonbury Blvd., Suite 300

• Glastonbury, GT 06033-4453 jmartinez@nuclearinsurance.com

• Voice: (860) 682-1341

• Fax: (860) 659-0002

DB1/ 147668143.4 Vallecitos Nuclear Center Affidavit Pursuant to 10 CFR 2.390 to Withhold Information from Public Disclosure from GE-Hitachi Nuclear Energy Americas, LLC

DB1/ 147668143.4 APPLICATION FOR WITHHOLDING OF GE-HITACHI NUCLEAR ENERGY AMERICAS, LLC AND AFFIDAVIT OF PHILLIP D. OLLIS I, Phillip D. Ollis, Manager, Facility Licensing of GE-Hitachi Nuclear Energy Americas, LLC (GEHA), state that:

1. I am the Manager, Facility Licensing for GEHA, and I have been delegated the function of reviewing the information described in paragraph (2), which is sought to be withheld, and have been authorized to apply for its withholding.

2. GEHA requests that Attachment 2, which is being submitted under separate cover and identified as "Vallecitos Nuclear Center, Agreed to Amount of Funds to be Transferred with the NDF in support of the Direct Transfer of Vallecitos Nuclear Center Licenses" be withheld from public disclosure under the provisions of 10 CFR 2.390(a)(4) and 10 CFR 9.17(a)(4) because:

a. This information is and has been held in confidence by GEHA.

b. The information is of a type that is held in confidence by GEHA, and there is a rational basis for doing so because the information contains sensitive financial competitive information.

c. This information is being submitted to the NRC in confidence.

d. This information has been marked in accordance with 10 CFR 2.390(b)(1).

e. This information is not available in public sources and could not be readily gathered from other publicly available information.

f. Public disclosure of this information would create substantial harm to the competitive position of GEHA by disclosing its internal commercial, financial and proprietary information to other parties whose commercial interests may be adverse to those of GEHA.

3. Accordingly, GEHA requests that the designated documents be withheld from public disclosure pursuant to the policy reflected in 10 CFR 2.390(a)(4) and 10 CFR 9.17(a)(4).

4. The averments of fact set forth in this affidavit are true and correct to the best of my knowledge, information, and belief.

5. I declare under penalty of perjury under the laws of the United States that the foregoing affidavit and the matters stated therein are true and correct to the best of my knowledge, information, and belief.

State of North Carolina County of New Hanover GE-Hitachi Nuclear Energy Americas, LLC Phillip D. Ollis Manager, Facility Licensing I, \\((~t"K \\VOhn'Y\\01{\\, a Notary Public in and for New Hanover County, North Carolina, USA, certify that Phillip D. Ollis appeared before me and signed the foregoing affidavit.

WITNESS my hand and official seal, this 2-1--t""day of Sf.(Jtembc( 2024.

Krystle Wohrman NOTARY PUBLIC New Hanover County, NC My Commission Expires June 13, 2028 DB1/ 147668143.4 My commission expires: V \\ \\3I'LK