ML25167A243

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Order Approving Direct Transfer of Renewed Facility Operating License Number DPR-20 and Independent Spent Fuel Storage Installation General License and Conforming Amendments (EPID L-2023-LLM-0005) - Letter
ML25167A243
Person / Time
Site: Palisades Entergy icon.png
Issue date: 07/24/2025
From: Justin Poole
Plant Licensing Branch III
To: Fleming J
Holtec
Wall S
Shared Package
ML25167A245 List:
References
EPID L-2023-LLM-0005
Download: ML25167A243 (21)


Text

OFFICIAL USE ONLY - PROPRIETARY INFORMATION OFFICIAL USE ONLY - PROPRIETARY INFORMATION July 24, 2025 Ms. Jean A. Fleming Vice President, Licensing, Regulatory Affairs, and PSA Holtec International, LLC Krishna P. Singh Technology Campus 1 Holtec Blvd.

Camden, NJ 08104

SUBJECT:

PALISADES NUCLEAR PLANT - ORDER APPROVING DIRECT TRANSFER OF RENEWED FACILITY OPERATING LICENSE AND INDEPENDENT SPENT FUEL STORAGE INSTALLATION GENERAL LICENSE AND ISSUANCE OF CONFORMING AMENDMENT NO. 275 (EPID L-2023-LLM-0005)

Dear Ms. Fleming:

The U.S. Nuclear Regulatory Commission (NRC, the Commission) staff has completed its review of the application dated December 6, 2023 (Agencywide Documents Access and Management System (ADAMS) Accession No. ML23340A161), as supplemented by letters dated May 23, November 19 (two supplements), November 19, December 13, and December 19, 2024; and July 16, 2025 (ML24144A106, ML24324A207, ML24324A200, ML24348A160, ML24354A183, and ML25197A526 respectively), requesting NRC approval of the direct transfer of Renewed Facility Operating License (RFOL) No. DPR-20 for the Palisades Nuclear Plant (Palisades, PNP) and the general license for the Palisades Independent Spent Fuel Storage Installation, from Holtec Decommissioning International, LLC (HDI) to Palisades Energy, LLC. The application also requests that the NRC approve a conforming amendment to the license to reflect this transfer.

is the Order that consents to the license transfer. On July 16, 2025 (ML25197A526), Holtec informed the NRC that the transfer transaction will close on July 24, 2025, pending NRC approval. Therefore, the Order also approves the conforming license amendment in Enclosure 2, which is effective immediately. Enclosure 3 is the non-proprietary version of the NRC staffs safety evaluation (SE) related to the preceding actions. is the proprietary version of the NRC staffs SE. The non-proprietary SE will be placed in the NRC public document room and added to the ADAMS Publicly Available Records System Library.

contains Proprietary Information. When separated from Enclosure 4, this letter is DECONTROLLED.

OFFICIAL USE ONLY - PROPRIETARY INFORMATION OFFICIAL USE ONLY - PROPRIETARY INFORMATION contains digitally signed copies of Amendment No. 15 to Indemnity Agreement No. B-40 for Palisades. We request that all parties sign the amendments, and return one copy of each including all signatures to the NRCs Document Control Desk as proof of acceptance.

Please keep signed original copies for each partys records.

The NRC staff has separately reviewed and approved Holtecs exemption request, and four license amendment requests related to the resumption of power operations at PNP. The NRC staff is issuing its approval of these actions concurrently with its approval of the license transfer application and conforming amendment to reauthorize power operations at PNP.

The Order has been forwarded to the Office of the Federal Register for publication.

Sincerely,

/RA/

Justin Poole, Project Manager Plant Licensing Branch III Division of Operating Reactor Licensing Office of Nuclear Reactor Regulation Docket Nos. 50-255 and 72-007

Enclosures:

1. Order
2. Conforming License Amendment to RFOL No. DPR-20
3. Safety Evaluation (Non-Proprietary)
4. Safety Evaluation (Proprietary)
5. Signed Original Copy of Amendment No. 15 to Indemnity Agreement No. B-40 cc: w/Enclosures 1, 2, and 3 only, Listserv

ENCLOSURE 1 ORDER APPROVING APPLICATION REGARDING DIRECT TRANSFER OF PALISADES NUCLEAR PLANT RENEWED FACILITY OPERATING LICENSE NUMBER DPR-20 AND INDEPENDENT SPENT FUEL STORAGE INSTALLATION GENERAL LICENSE FROM HOLTEC DECOMMISSIONING INTERNATIONAL, LLC, TO PALISADES ENERGY, LLC, AND CONFORMING LICENSE AMENDMENT

UNITED STATES OF AMERICA NUCLEAR REGULATORY COMMISSION In the Matter of

)

)

)

HOLTEC DECOMMISSIONING

)

INTERNATIONAL, LLC

)

HOLTEC PALISADES, LLC

)

PALISADES ENERGY, LLC

)

)

Palisades Nuclear Plant and

)

Docket Nos. 50-255 and 72-007 Independent Spent Fuel Storage

)

License No. DPR-20 Installation

)

ORDER APPROVING DIRECT TRANSFER OF LICENSE AND CONFORMING AMENDMENT I.

Holtec Decommissioning International, LLC (HDI) and Holtec Palisades, LLC, are the holders of Renewed Facility Operating License No. DPR-20 and the general license for the Independent Spent Fuel Storage Installation (ISFSI). Palisades Nuclear Plant is located in Covert, Michigan, in Van Buren County, on the eastern shore of Lake Michigan.

II.

By application dated December 6, 2023 (Agencywide Documents Access and Management System (ADAMS) Accession No. ML23340A161), as supplemented by letters dated May 23, November 19 (two supplements), December 13, December 19, 2024, and July 16, 2025 (ML24144A106, ML24324A207, ML24324A200, ML24348A160, ML24354A183, and ML25197A526), HDI, on behalf of itself, Holtec Palisades, LLC (Holtec Palisades), and Palisades Energy, LLC (OPCO) (collectively, the Applicants), requested that the U.S. Nuclear Regulatory Commission (NRC, the Commission) consent to the direct transfer of operating authority under Renewed Facility Operating License (RFOL) No. DPR-20 for the Palisades

Nuclear Plant (Palisades, PNP) and the general license for the Palisades ISFSI, from HDI to OPCO. The Applicants also requested that the NRC approve a conforming administrative amendment to the facility license to reflect the proposed direct transfer of the license from HDI to OPCO. The Applicants submitted these requests to the NRC for approval under Section 184, Inalienability of Licenses, of the Atomic Energy Act of 1954, as amended (AEA); Title 10 of the Code of Federal Regulations (10 CFR) Section 50.80, Transfer of licenses; 10 CFR 72.50, Transfer of license; and 10 CFR 50.90, Application for amendment of license, construction permit, or early site permit.

Upon NRC approval of the license transfer application and the consummation of the proposed transfer transaction, OPCO would become the licensed operator of Palisades under RFOL No. DPR-20 and the general license for the Palisades ISFSI. Holtec Palisades would remain the licensed owner, the holder of the PNP decommissioning trust fund (DTF) established under 10 CFR 50.75, Reporting and recordkeeping for decommissioning planning, and the party to the Standard Contract for Disposal of Spent Nuclear Fuel with the U.S. Department of Energy.

This license transfer is part of the regulatory approvals necessary to reauthorize power operations at PNP. The NRCs approval of this license transfer is not sufficient to authorize operation of the reactor, or emplacement or retention of fuel into the reactor vessel.

Concurrently with the approval of this license transfer application, the NRC staff is issuing its approval of an exemption request and four license amendment requests to reauthorize power operations at Palisades. OPCO would not be authorized to operate Palisades until the effective dates of those actions.

On August 7, 2024, the NRC published in the Federal Register (89 FR 64493) a notice of consideration of approval of the license transfer application and conforming amendment to the license to reflect the proposed transfer. This notice provided an opportunity to comment, request a hearing, and petition for leave to intervene on the application. In response, on August

27, 2024 (ML24240A210), a hearing request was filed by Beyond Nuclear, Michigan Safe Energy Future, and Don't Waste Michigan. On April 29, 2025 (ML25119A109), the Commission issued an order (CLI-25-3) denying the hearing request.

In accordance with 10 CFR 50.80, no license for a production or utilization facility, or any right thereunder, shall be transferred, either voluntarily or involuntarily, directly or indirectly, through transfer of control of the license to any person, unless the Commission gives its consent in writing. Upon review of the information in the license transfer application, as supplemented, and other information before the Commission, the NRC staff has determined that Holtec Palisades and OPCO are qualified to hold the licenses to the extent proposed in the application, as supplemented, and that the transfers of the licenses is otherwise consistent with the applicable provisions of law, regulations, and orders issued by the NRC, pursuant thereto.

Upon review of the application, as supplemented, for a conforming administrative amendment to the license to reflect the direct transfer, the NRC staff determined the following:

(1)

The application for the proposed license amendment complies with the standards and requirements of the AEA and the Commissions rules and regulations set forth in 10 CFR Chapter I; (2)

The facilities will operate in conformity with the application, the provisions of the AEA and the rules and regulations of the Commission; (3)

There is reasonable assurance that the activities authorized by the proposed license amendment can be conducted without endangering the health and safety of the public and that such activities will be conducted in compliance with the Commissions regulations; (4)

The issuance of the proposed license amendment will not be inimical to the common defense and security or to the health and safety of the public; and (5)

The issuance of the proposed amendment will be in accordance with 10 CFR Part 51 of the Commissions regulations and all applicable requirements have been satisfied.

The findings set forth above are supported by an NRC safety evaluation dated July 24, 2025, which is available at ADAMS Accession No. ML25167A268.

III.

(1)

Accordingly, pursuant to Sections 161b, 161i, 161o, and 184 of the AEA, 42 U.S.C. Sections 2201(b), 2201(i), 2201(o), and 2234; and 10 CFR 50.80, 10 CFR 72.50, and 10 CFR 50.90, IT IS HEREBY ORDERED that the application regarding the proposed direct license transfer is approved.

IT IS FURTHER ORDERED that consistent with 10 CFR 2.1315(b), the license amendment that makes a change, as indicated in Enclosure 2 to the cover letter forwarding this Order, to reflect the subject direct transfer, is approved. The amendment shall be issued and made effective immediately.

This Order is effective upon issuance.

For further details with respect to this Order, see the initial application dated December 6, 2023, as supplemented by letters dated May 23, November 19 (two supplements), December 13, and December 19, 2024; and July 16, 2025, and the associated NRC staff safety evaluation dated July 24, 2025, which are available for public inspection electronically through ADAMS in the NRC Library at https://www.nrc.gov/reading-rm/adams.html. Persons who do not have access to ADAMS or who encounter problems in accessing the documents located in ADAMS, should contact the NRC PDR reference staff by telephone at 1-800-397-4209, or 301-415-4737, or by e-mail to pdr.resource@nrc.gov.

Dated at Rockville, Maryland this 24th day of July 2025 FOR THE NUCLEAR REGULATORY COMMISSION Gregory Bowman, Acting Director Office of Nuclear Reactor Regulation GREGORY BOWMAN Digitally signed by GREGORY BOWMAN Date: 2025.07.24 09:53:05 -04'00'

ENCLOSURE 2 CONFORMING LICENSE AMENDMENT TO RENEWED FACILITY OPERATING LICENSE NUMBER DPR-20 AND INDEPENDENT SPENT FUEL STORAGE INSTALLATION GENERAL LICENSE TO REFLECT DIRECT TRANSFER OF OPERATING AUTHORITY FROM HOLTEC DECOMMISSIONING INTERNATIONAL, LLC, TO PALISADES ENERGY, LLC

HOLTEC PALISADES, LLC PALISADES ENERGY, LLC DOCKET NO. 50-255 PALISADES NUCLEAR PLANT AMENDMENT TO RENEWED FACILITY OPERATING LICENSE Amendment No. 275 License No. DPR-20

1.

The U.S. Nuclear Regulatory Commission (the Commission) has found that:

A.

The application for amendment filed by Holtec Decommissioning International, LLC, on behalf of itself, Holtec Palisades, LLC, and Palisades Energy, LLC, dated December 6, 2023, as supplemented by letters dated May 23, November 19 (two supplements), December 13, December 19, 2024, and July 16, 2025, complies with the standards and requirements of the Atomic Energy Act of 1954, as amended (the Act), and the Commissions rules and regulations set forth in 10 CFR Chapter I; B.

The facility will operate in conformity with the application, the provisions of the Act, and the rules and regulations of the Commission; C.

There is reasonable assurance: (i) that the activities authorized by this amendment can be conducted without endangering the health and safety of the public; and (ii) that such activities will be conducted in compliance with the Commissions regulations; D.

The issuance of this amendment will not be inimical to the common defense and security or to the health and safety of the public; and E.

The issuance of this amendment is in accordance with 10 CFR Part 51 of the Commissions regulations and all applicable requirements have been satisfied.

2.

Accordingly, the license is amended by changes as indicated in the attachment to this license amendment.

3.

This license amendment is effective as of the date of issuance and shall be implemented within 60 days of the date of issuance.

FOR THE NUCLEAR REGULATORY COMMISSION Gregory Bowman, Acting Director Office of Nuclear Reactor Regulation

Attachment:

Changes to the Renewed Facility Operating License No. DPR-20 Date of Issuance: July 24, 2025 GREGORY BOWMAN Digitally signed by GREGORY BOWMAN Date: 2025.07.24 09:53:33 -04'00'

ATTACHMENT TO LICENSE AMENDMENT NO. 275 PALISADES NUCLEAR PLANT RENEWED FACILITY OPERATING LICENSE NO. DPR-20 DOCKET NO. 50-255 Renewed Facility Operating License No. DPR-20 Replace the following page of Renewed Facility Operating License No. DPR-20 with the attached revised page. The revised page is identified by amendment number and contains marginal lines indicating areas of change.

REMOVE INSERT Page 1 Page 1 Page 2 Page 2 Page 3 Page 3 Page 4 Page 4 Page 5 Page 5 Page 6 Page 6

Amendment No. 273, 275 HOLTEC PALISADES, LLC PALISADES ENERGY, LLC DOCKET NO. 50-255 PALISADES NUCLEAR PLANT RENEWED FACILITY OPERATING LICENSE Renewed License No. DPR-20

1.

The Nuclear Regulatory Commission (NRC or the Commission) having previously made the findings set forth in Operating License No. DPR-20, dated February 21, 1991, has now found that:

A.

The application for Renewed Operating License No. DPR-20 complies with the standards and requirements of the Atomic Energy Act of 1954, as amended (the Act),

and the Commissions rules and regulations set forth in 10 CFR Chapter I, and all required notifications to other agencies or bodies have been duly made; B.

[deleted];

C. Actions have been identified and have been or will be taken with respect to:

(1) managing the effects of aging on the functionality of structures and components that have been identified to require review under 10 CFR 54.21(a)(1) during the period of extended operation, and (2) time-limited aging analyses that have been identified to require review under 10 CFR 54.21(c), such that there is reasonable assurance that the activities authorized by this renewed operating license will continue to be conducted in accordance with the current licensing basis, as defined in 10 CFR 54.3 for the facility, and that any changes made to the facilitys current licensing basis in order to comply with 10 CFR 54.29(a) are in accordance with the Act and the Commissions regulations;

Renewed License No. DPR-20 Amendment No. 273, 275 2

D. The facility will operate in conformity with the application, the provisions of the Act, and the regulations of the Commission; E.

There is reasonable assurance: (i) that the activities authorized by this renewed operating license can be conducted without endangering the health and safety of the public, and (ii) that such activities will be conducted in compliance with the Commissions regulations set forth in 10 CFR Chapter I; F.

Holtec Palisades, LLC (Holtec Palisades) is financially qualified and Palisades Energy, LLC (Palisades Energy) is financially and technically qualified to engage in the activities authorized by this renewed operating license in accordance with the Commissions regulations set forth in 10 CFR Chapter I; G. Holtec Palisades and Palisades Energy have satisfied the applicable provisions of 10 CFR Part 140, "Financial Protection Requirements and Indemnity Agreements" of the Commissions regulations; H. The issuance of this renewed operating license will not be inimical to the common defense and security or to the health and safety of the public; I.

After weighing the environmental, economic, technical, and other benefits of the facility against environmental and other costs and considering available alternatives, the issuance of this renewed Facility Operating License No. DPR-20, subject to the conditions for protection of the environment set forth herein, is in accordance with 10 CFR Part 51 (formerly Appendix D to Part 50), of the Commissions regulations and all applicable requirements have been satisfied; and J.

The receipt, possession, and use of source, byproduct, and special nuclear material as authorized by this renewed operating license will be in accordance with 10 CFR Parts 30, 40, and 70.

2.

Renewed Facility Operating License No. DPR-20 is hereby issued to Holtec Palisades and Palisades Energy as follows:

A.

This renewed license applies to the Palisades Plant, a pressurized light water moderated and cooled reactor and electrical generating equipment (the facility). The facility is located in Van Buren County, Michigan, and is described in the Palisades Plant Updated Final Safety Analysis Report, as supplemented and amended, and in the Palisades Plant Environmental Report, as supplemented and amended.

B.

Subject to the conditions and requirements incorporated herein, the Commission hereby licenses:

(1)

Pursuant to Section 104b of the Act, as amended, and 10 CFR Part 50, "Licensing of Production and Utilization Facilities," (a) Holtec Palisades to possess and use, and (b) Palisades Energy to possess and use, the facility at the designated location in Van Buren County, Michigan, in accordance with the procedures and limitation set forth in this license;

Renewed License No. DPR-20 Amendment No. 273, 275 3

(2)

Palisades Energy, pursuant to the Act and 10 CFR Parts 40 and 70, to possess source, and special nuclear material that was used as reactor fuel, in accordance with the limitations for storage, as described in the Updated Final Safety Analysis Report, as supplemented and amended; (3)

Palisades Energy, pursuant to the Act and 10 CFR Parts 30, 40, and 70, to receive, possess, and use byproduct, source, and special nuclear material as sealed sources that were used for reactor instrumentation and are used in the calibration of radiation monitoring equipment, and that were used as fission detectors in amounts as required; (4)

Palisades Energy, pursuant 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 for sample analysis or instrument calibration, or associated with radioactive apparatus or components; and (5)

Palisades Energy, pursuant to the Act and 10 CFR Parts 30, 40, and 70, to possess, but not separate, such byproduct and special nuclear materials that were produced by the operations of the facility.

C. This renewed operating license shall be deemed to contain and is subject to the conditions specified in the Commissions regulations in 10 CFR Chapter I and is subject to all applicable provisions of the Act; to the rules, regulations, and orders of the Commission now or hereafter in effect; and is subject to the additional conditions specified or incorporated below:

(1)

[deleted]

(2)

The Technical Specifications contained in Appendix A, as revised through Amendment No. 273, and the Environmental Protection Plan contained in Appendix B are hereby incorporated in the license. Palisades Energy shall maintain the facility in accordance with the Technical Specifications and the Environmental Protection Plan.

(3)

[deleted]

(4)

[deleted]

(5)

Movement of a fuel cask in or over the spent fuel pool is prohibited when irradiated fuel assemblies decayed less than 90 days are in the spent fuel pool.

Renewed License No. DPR-20 Amendment 272, 275 4

(6)

Develop and maintain strategies for addressing large fires and explosions and that include the following key areas:

a. Fire fighting response strategy with the following elements:
1. Pre-defined coordinated fire response strategy and guidance
2. Assessment of mutual aid fire fighting assets
3. Designated staging areas for equipment and materials
4. Command and control
5. Training of response personnel
b. Operations to mitigate fuel damage considering the following:
1. Protection and use of personnel assets
2. Communications
3. Minimizing fire spread
4. Procedures for implementing integrated fire response strategy
5. Identification of readily-available pre-staged equipment
6. Training on integrated fire response strategy
7. Spent fuel pool mitigation measures
c. Actions to minimize release to include consideration of:
1. Water spray scrubbing
2. Dose to onsite responders (7)

[deleted]

(8)

[deleted]

Renewed License No. DPR-20 Amendment No. 273, 275 5

D. [deleted]

E.

Palisades Energy shall fully implement and maintain in effect all provisions of the Commission-approved physical security, 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 the authority of 10 CFR 50.90 and 10 CFR 50.54(p). The combined set of plans, which contains Safeguards Information protected under 10 CFR 73.21, is entitled: "Palisades Nuclear Plant Physical Security Plan."

Palisades Energy shall fully implement and maintain in effect all provisions of the Commission-approved cyber security plan (CSP), including changes made pursuant to the authority of 10 CFR 50.90 and 10 CFR 50.54(p). The Palisades CSP was approved by License Amendment No. 243 as supplemented by changes approved by License Amendment Nos. 248, 253, 259, and 264.

F.

[deleted]

G. Holtec Palisades and Palisades Energy shall have and maintain financial protection of such type and in such amounts as the Commission shall require in accordance with Section 170 of the Atomic Energy Act of 1954, as amended, to cover public liability claims.

--6--

Renewed License No. DPR-20 Amendment 272, 275 H. [deleted]

I.

[deleted]

J.

[deleted]

K.

This license is effective as of the date of issuance and until the Commission notifies the licensee in writing that the license is terminated.

FOR THE NUCLEAR REGULATORY COMMISSION

/RA/

J. E. Dyer, Director Office of Nuclear Reactor Regulation Attachments:

1.

Appendix A - Permanently Defueled Technical Specifications

2.

Appendix B - Environmental Protection Plan Date of Issuance: January 17, 2007

ENCLOSURE 3 NON-PROPRIETARY SAFETY EVALUATION BY THE OFFICE OF NUCLEAR REACTOR REGULATION AND THE OFFICE OF NUCLEAR MATERIAL SAFETY AND SAFEGUARDS RELATED TO THE REQUEST FROM HOLTEC DECOMMISSIONING INTERNATIONAL, LLC, HOLTEC PALISADES, LLC, AND PALISADES ENERGY, LLC, FOR THE DIRECT TRANSFER OF CONTROL OF RENEWED FACILITY OPERATING LICENSE NO. DPR-20 AND THE GENERAL LICENSE FOR THE INDEPENDENT SPENT FUEL STORAGE INSTALLATION PALISADES NUCLEAR PLANT DOCKET NOS. 50-255 AND 72-007

ENCLOSURE 4 PROPRIETARY SAFETY EVALUATION BY THE OFFICE OF NUCLEAR REACTOR REGULATION AND THE OFFICE OF NUCLEAR MATERIAL SAFETY AND SAFEGUARDS RELATED TO THE REQUEST FROM HOLTEC DECOMMISSIONING INTERNATIONAL, LLC, HOLTEC PALISADES, LLC, AND PALISADES ENERGY, LLC, FOR THE DIRECT TRANSFER OF CONTROL OF RENEWED FACILITY OPERATING LICENSE NO. DPR-20 AND THE GENERAL LICENSE FOR THE INDEPENDENT SPENT FUEL STORAGE INSTALLATION PALISADES NUCLEAR PLANT DOCKET NOS. 50-255 AND 72-007

ENCLOSURE 5 SIGNED ORIGINAL COPY OF AMENDMENT NO. 15 TO INDEMNITY AGREEMENT NO. B-40 RELATED TO THE REQUEST FROM HOLTEC DECOMMISSIONING INTERNATIONAL, LLC, HOLTEC PALISADES, LLC, AND PALISADES ENERGY, LLC, FOR THE DIRECT TRANSFER OF CONTROL OF RENEWED FACILITY OPERATING LICENSE NO. DPR-20 AND THE GENERAL LICENSE FOR THE INDEPENDENT SPENT FUEL STORAGE INSTALLATION PALISADES NUCLEAR PLANT DOCKET NOS. 50-255 AND 72-007

ML25167A245 (Package)

ML25167A243 (Letter and Order)

ML25167A268 (Non-Proprietary SE)

ML25167A244 (Proprietary SE)

ML25202A073 (FRN)

ML25196A529 (Amendment to Palisades Indemnity Agreement)

OFFICE NRR/DORL/LPL3/PM NRR/DORL/LPL3/LA NMSS/REFS/FAB/BC NRR/DRO/IQVB NRR/DRO/IOLB NAME NOtto SLent FMiller KKavanagh JAnderson DATE 6/17/2025 6/18/2025 6/18/2025 6/23/2025 6/24/2025 OFFICE OGC NRR/DORL/LP3/BC NRR/DORL/D NRR/D NRR/DORL/LPL3/PM NAME AGhoshNaber IBerrios JPelton GBowman JPoole DATE 7/21/2025 7/21/2025 7/22/2025 7/24/2025 7/24/2025