NOC-AE-10002527, Submittal of Evidence of Financial Protection

Submittal of Evidence of Financial Protection

ML100820286
Person / Time
Site:	South Texas
Issue date:	02/24/2010
From:	Dunesia Clark South Texas
To:	Document Control Desk, Office of Nuclear Reactor Regulation
References
NOC-AE-10002527
Download: ML100820286 (11)

Text

Nuclear Operating Company South Texas Project Ekctric GeneratingStation P0. Box 289 Wadsworth, Texas 77483 /

February 24, 2010 NOC-AE-1 0002527 File No.: G20 1 OCFR1 40.11 (a)(4) 10CFR140.15 10CFR140.17 1 OCFR1 40.21 U. S. Nuclear Regulatory Commission Attention: Document Control Desk One White Flint North 11555 kockville Pike Rockville, MD 20852-2738

-- South Texas Project Units 1 and 2 Docket Nos.: STN 50-498, STN 50-499 Evidence of Financial Protection Pursuant to the requirements of 1 0CFR1 40.11 (a)(4), 1 OCFR1 40.15, 1 OCFR1 40.1 7, and 1 OCFR1 40.21, STP Nuclear Operating Company submits the attached Nuclear Energy Liability Insurance policy endorsements from American Nuclear Insurers (ANI). This submittal contains the following endorsements:

Nuclear Energy Liability Facility Form (NF-0307)

Master Worker Form (NW-0657)

Secondary Financial Protection (N-01 3 / N-0116)

There are no commitments associated with this letter. Should ,you have any questions, concerns, or require additional information on this matter, please contact Karen Adkins at (361) 972-8698 or Cheryl Glover at (361) 972-71 48.

Daniel R. Clark Manager, Financial Services KMA Attachments: Endorsements:

Facility Form (NF-0307) - (Endorsements 108 - 111)

Master Worker Form (NW-0657) - (Endorsement 1 7)

Secondary Financial Protection (N-0113) - (Endorsements 48 & 49)

Secondary Financial Protection (N-0116) - (Endorsements 46 & 47) 0 G:\HUMAN RESOURCES\INSURANCE\ANNUAL MLST DOS\2010\NRCLIABILITY INS No-=CE (ANI-2010).bDOC " STINo.: 32621412

STP Nuclear OperatingCompany NOC-AE-1 0002527 Page 2 cc:

(paper copy) (electronic copy)

Regional Administrator, Region IV A. H. Gutterman, Esquire U. S. Nuclear Regulatory Commission Morgan, Lewis & Bockius LLP 612 East Lamar Blvd, Suite 400 Arlington, Texas 76011-4125 Mohan C. Thadani U. S. Nuclear Regulatory Commission Mohan C. Thadani Kevin Howell Senior Project Manager Catherine Callaway U.S. Nuclear Regulatory Commission Jim von Suskil One White Flint North (MS 8B1A) NRG South Texas LP 11555 Rockville Pike Rockville, MD 20852 Ed Alarcon Senior Resident Inspector J. J. Nesrsta U. S. Nuclear Regulatory Commission R. K. Temple P. O. Box 289, Mail Code: MN116 Kevin Polio Wadsworth, TX 77483 City Public Service U. S. Nuclear Regulatory Commission Jon C. Wood Attention: Document Control Desk Cox Smith Matthews One White Flint North 11555 Rockville Pike C. Mele Rockville, MD 20852 City of Austin C. M. Canady Richard A. Ratliff City of Austin Texas Department of State Health Electric Utility Department Services 721 Barton Springs Road Austin, TX 78704 Alice Rogers Texas Department of State Health Services M. K. Kistler, w/o Electronic RMS N2002 G:\HUMANRESOURCES\INSURANCE\ANNJAL MUST DOS\2010\NRC-ULABIUTY INS NOTICE (ANI-2010).DOC STINo.: 32621412

NUCLEAR ENERGY LIABILITY INSURANCE NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION CHANGES IN SUBSCRIBING COMPANIES AND IN THEIR PROPORTIONATE LIABILITY ENDORSEMENT CALENDAR YEAR 2009

1. It is agreed that with respect to bodily injury, property damage, environmental damage or evacuation of the public caused, during the effective period of this endorsement, by the nuclear energy hazard:

a. The word "companies" wherever used in the policy means the subscribing companies listed below.

b. The policy shall be binding on such companies only.

c. Each such company shall be liable for its proportion of any obligation assumed or expense incurred under the policy because of such bodily injury, property damage, environmental damage or evacuation of the public as designated below.

2. It is agreed that the effective period of this endorsement is from the beginning of the effective date of this endorsement stated below to the close of December 31, 2009 or to the time of the termination or cancellation of the policy, if sooner.

American Commerce Insurance Company 14.615609%

AXIS Reinsurance Company 20.236998%

Employers Mutual Casualty Company 4.497110%

Federal Insurance Company 33.728330%

Motors Insurance Corporation 0.501428%

State Farm Mutual Automobile Insurance Company 13.491332%

Zurich American Insurance Company 12.929193%

Total 100.000000 % NE-2009 This is to certify that this is a true copy of the original Endorsement having the endorsement number and being made part of the Nuclear Energy Liability Policy (Facility Form) as designated hereon. No insurance is afforded hereunder.

Gary S. Uricchio, Vice President - Underwriting American Nuclear Insurers Effective Date of this Endorsement: January 1, 2009 To form a part of Policy No. NF -0307 (12:01 A.M. Standard Time)

Issued to: STP Nuclear Operating Company, NRG South Texas LP, City Public Service Board of San Antonio, City of Austin Date of Issue: February 20, 2009 For the subscribing companies c President Endorsement No.: 108 Countersigned by CERTIFIED COPY

NUCLEAR ENERGY LIABILITY INSURANCE NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION AMENDMENT OF CONDITION 4 It is agreed that with respect to bodily injury, property damage, environmental damage or evacuation of the public caused after the effective date of this endorsement by the nuclear energy hazard, the figure "$300,000,000" stated in Condition 4 of this policy is amended to read

"$375,000,000".

This is to certify that this is a true copy of the original Endorsement having the endorsement number and being made part of the Nuclear Energy Liability Policy (Facility Form) as designated hereon. No insurance is afforded hereunder.

Gary S. Uricchio, Vice President - Underwriting American Nuclear Insurers Effective Date of this Endorsement: January 1, 2010 To form a part of Policy No. NF -0307 (12:01 A.M. Standard Time)

Issued to: STP Nuclear Operating Company, NRG South Texas LP, City Public Service Board of San Antonio, City of Austin Date of Issue: December 5, 2009 For the subscribing companies President Endorsement No.: 109 Countersigned by _ 47dgj .,,,.,.

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CERTIFIED COPY

NUCLEAR ENERGY LIABILITY INSURANCE NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION INCREASE OF LIMIT OF LIABILITY ENDORSEMENT (After Prior Increase)

It is agreed that:

1. The limit of the companies' liability stated in Item 4 of the declarations as amended by the Increase of Limit of Liability Endorsement(s) listed below is further amended to read $ 375,000,000; but in the event that any payments have heretofore been made by the companies for loss or expense covered by the policy, each of those limits of liability including the limit of liability as amended by this endorsement is reduced in accordance with Condition 3 of the policy by the total amount of those payments, except to the extent that any such reduced limit of liability may have been previously restored in accordance with a Restoration of Limit of Liability Endorsement.

2. The increase in the limit of liability provided by this endorsement applies only with respect to obligations assumed - or expenses incurred because of bodily injury, property damage, environmental damage or evacuation of the public caused, during the period from the effective date of this endorsement to the date of termination of the policy, by the nuclear energy hazard.

3. The original limit of liability stated in Item 4 of the declarations, the limit(s) of liability stated in the Increase of Limit of Liability Endorsement(s) listed below and the amended limit of liability stated in paragraph 1 above shall not be cumulative, and each payment made by the companies after the effective date of this endorsement for any loss or expense covered by the policy shall reduce by the amount of such payment each of those limits of liability, regardless of which limit of liability applies with respect to the bodily injury, property damage, environmental damage or evacuation of the public out of which such loss or expense arises.

Previous Increase of Limit of Liability Endorsement(s)

Endorsement No.(s): 11, 22, 59, 64 and 87 This is to certify that this is a true copy of the original Endorsement having the endorsement number and being made part of the Nuclear Energy Liability Policy (Facility Form) as designated hereon. No insurance is afforded hereunder.

Gary S. Uricchio, Vice President - Underwriting, American Nuclear Insurers Effective Date of this Endorsement: January 1, 2010 To form a part of Policy No. NF -0307 (12:01 A.M. Standard Time)

Issued to: STP Nuclear Operating Company, NRG South Texas LP, City Public Service Board of San Antonio, City of Austin Date of Issue: December 5, 2009 For the subscribing complies By .19-> 1cvjP (I 'o' President Endorsement No.: 110 Countersigned by CERTIFIED COPY

NUCLEAR ENERGY LIABILITY INSURANCE NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION ADVANCE PREMIUM AND STANDARD PREMIUM ENDORSEMENT CALENDAR YEAR 2010

1. ADVANCE PREMIUM: It is agreed that the Advance Premium due the companies for the period designated above is: $1,141,826.00

2. STANDARD PREMIUM AND RESERVE PREMIUM: In the absence of a change in the Advance Premium indicated above, it is agreed that, subject to the provisions of the Industry Credit Rating Plan, the Standard Premium is said Advance Premuim and the Reserve Premium is: $876,202.00 This is to certify that this is a true copy of the original Endorsement having the endorsement number and being made part of the Nuclear Energy Liability Policy (Facility Form) as designated heron. No insurance is afforded hereunder.

1 . r4i'C et -

Gary S. )chio, Vice President -Underwriting America~ uclear Insurers Effective Date of this Endorsement: January 1, 2010 To form a part of Policy No. NF -0307 (12:01 A.M. Standard Time)

Issued To: STP Nuclear Operating Company, NRG South Texas LP, City Public Service Board of San Antonio, City of Austin Date of Issue: November 20, 2009 For the subscribing companies By President

.r" r IF President Countersigned by Endorsement No: 111 CERTIFIED COPY NE-36

NUCLEAR ENERGY LIABILITY INSURANCE NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION ADVANCE PREMIUM AND STANDARD PREMIUM ENDORSEMENT CALENDAR YEAR 2010

1. ADVANCE PREMIUM: It is agreed that the Advance Premium due the companies for the period designated above is: $104,598.00

2. STANDARD PREMIUM AND RESERVE PREMIUM: In the absence of a change in the Advance Premium indicated above, it is agreed that, subject to the provisions of the Industry Credit Rating Plan, the Standard Premium is said Advance Premuim and the Reserve Premium is: $80,100.00 This is to certify that this is a true copy of the original Endorsement having the endorsement number and being made part of the Certificate of Insurance bearing the number designated heron for insurance coverage under the Nuclear Energy Liability Policy (Facility Workers Form). No insurance is afforded hereunder.

Gary SSchiO ViceuPresident Underwiting AmericaNuclerIsrr Effective Date of this Endorsement: January 1, 2010 To form a part of Certificate No. NW -0657 (12:01 A.M. Standard Time)

Issued To: STP Nuclear Operating Company, NRG South Texas LP, City Public Service Board of San Antonio, City of Austin Date of Issue: November 17, 2009 For the subscribing companies By President r  :::r President Countersigned by__ _ _

Endorsement No: 17 CERTIFIED COPY

NUCLEAR ENERGY LIABILITY INSURANCE NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION ENDORSEMENT TO CERTIFICATE NO. N -0113 Forming Part of Master Policy No. 1 Nuclear Energy Liability Insurance (Secondary Financial Protection)

It is agreed that effective January 1, 2010, Item 4. (a) of the certificate is amended to read as follows:

Item 4. (a) Identification of primary financial protection applicable to the nuclear reactor and limit(s) of liability thereof:

(1) Facility Form Policy:

Nuclear Energy Liability Insurance Association's Policy NF -0307 $375,000,000 (2) Master Worker Policy (Facility Worker Form):

Nuclear Energy Liability Insurance Association's Master Worker Policy NMWP-2 $375,000,000 This is to certify that this is a true copy of the original endorsement having the endorsement number and being made part of the Certificate of Insurance bearing the number designated hereon for insurance coverage under the Nuclear Energy Liability Policy (Secondary Financial Protection). No insurance is afforded hereunder.

Gary S. Uricchio, Vice President - Underwriting American Nuclear Insurers Effective Date of this Endorsement: January 1, 2010 To form a part of Certificate No. N -0113 (12:01 A.M. Standard Time)

Issued to: STP Nuclear Operating Company, NRG South Texas LP, City Public Service Board of San Antonio, City of Austin Date of Issue: December 5, 2009 For the subscribing companies By' e President Endorsement No.: 48 Countersigned by Z Uvzýý*

NE-S-29 (1/1/10)

CERTIFIED COPY

NUCLEAR ENERGY LIABILITY INSURANCE NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION ANNUAL PREMIJM ENDORSEMENT CALENDAR YEAR 2010

1. ANNUAL PREMIUM: It is agreed that the Annual Premium due the companies for the period designated above is: $9,492.00 This is to certify that this is a true copy of the original Certificate, bearing the number designated heron, for insurance coverage under the Master Policy-Nuclear Energy Liability Insurance (Secondary Financial Protection). No insurance is afforded by this copy.

Gary S. tjchioa Vice President - Underwriting America~ uclear Insurers Effective Date of this Endorsement: January 1, 2010 To form a part of Certificate No. N -0113 (12:01 A.M. StandardTime)

Issued To: STP Nuclear Operating Company, NRG South Texas LP, City Public Service Board of San Antonio, City of Austin Date of Issue: November 13, 2009 For the subscribing companies By Pa/ -:ý President Endorsement No: 49 Countersigned by _W_/1 CERTIFIED COPY

NUCLEAR ENERGY LIABILITY INSURANCE NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION ENDORSEMENT TO CERTIFICATE NO. N -0116 Forming Part of Master Policy No. 1 Nuclear Energy Liability Insurance (Secondary Financial Protection)

It is agreed that effective January 1, 2010, Item 4. (a) of the certificate is amended to read as follows:

Item 4. (a) Identification of primary financial protection applicable to the nuclear reactor and limit(s) of liability thereof:

(1) Facility Form Policy:

Nuclear Energy Liability Insurance Association's Policy NF -0307 $375,000,000 (2) Master Worker Policy (Facility Worker Form):

Nuclear Energy Liability Insurance Association's Master Worker Policy NMWP-2 $375,000,000 This is to certify that this is a true copy of the original endorsement having the endorsement number and being made part of the Certificate of Insurance bearing the number designated hereon for insurance coverage under the Nuclear Energy Liability Policy (Secondary Financial Protection). No insurance is afforded hereunder.

Gary S. Uricchio, Vice President - Underwriting American Nuclear Insurers Effective Date of this Endorsement: January 1, 2010 To form a part of Certificate No. N -0116 (12:01 A.M. Standard Time)

Issued to: STP Nuclear Operating Company, NRG South Texas LP, City Public Service Board of San Antonio, City of Austin Date of Issue: December 5, 2009 For the subscribing companies By J 2, "t) t President Endorsement No.: 46 Countersigned by NE-S-29 (1/1/10)

CERTIFIED COPY

NUCLEAR ENERGY LIABILITY INSURANCE NUCLEAR ENERGY LIABILITY INSURANCE ASSOCIATION ANNUAL PREMIUM ENDORSEMENT CALENDAR YEAR 2010

1. ANNUAL PREMIUM:. it is agreed that the Annual Premium due the companies for the period designated above is: $9,492.00 This is to certify that this is a true copy of the original Certificate, bearing the number designated heron, for insurance coverage under the Master Policy-Nuclear Energy Liability Insurance (Secondary Financial Protection). No insurance is afforded by this copy.

Gary Sc.chio Vice President - Underwriting AmericlaNuclear Insurers Effective Date of this Endorsement: January 1, 2010 To form a part of Certificate No. N -0116 (12:01 A.M. Standard Time),

Issued To: STP Nuclear Operating Company, NRG South Texas LP, City Public Service Board of San Antonio, City of Austin Date of Issue: November 13, 2009 For the subscribing companies By President 7ý President Endorsement No: 47 Countersigned by ____________'_Wy___

COPY CERTIFIED