ML080670222: Difference between revisions

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{{Adams
#REDIRECT [[ENOC-08-00003, Pilgrim, Indian Point Units 1, 2 & 3, FitzPatrick, Vermont Yankee, Palisades, Big Rock Point - Supplemental Information #3 in Support of Application for Order Approving Indirect Transfer of Control Licenses]]
| number = ML080670222
| issue date = 01/24/2008
| title = Pilgrim, Indian Point Units 1, 2 & 3, FitzPatrick, Vermont Yankee, Palisades, Big Rock Point - Supplemental Information #3 in Support of Application for Order Approving Indirect Transfer of Control Licenses
| author name = Kansler M R
| author affiliation = Entergy Nuclear Operations, Inc, Entergy Operations, Inc
| addressee name =
| addressee affiliation = NRC/Document Control Desk, NRC/NRR
| docket = 05000003, 05000155, 05000247, 05000255, 05000271, 05000286, 05000293, 05000333, 07200007, 07200012, 07200043
| license number =
| contact person =
| case reference number = ENOC-08-00003, FOIA/PA-2013-0151
| document type = Letter
| page count = 8
}}
 
=Text=
{{#Wiki_filter:T-7 Entergy Operations, Inc.Entry Nuclear Operations, Inc.1340 Echelon Parkway EntergyJackson, MS 39213-1995 601-388-669 Michael R. Kansler Presider", Chief EXectWe oftler& Chief Nuclear Offiver 10 CFR 50.80 ENOC-08-00003 January 24, 2008 U.S. Nuclear Regulatory Commission Attn: Document Control Desk One White Flint North 11555 Rockville Pike Rockville, IMD 20852-2738 (301) 415-7000
 
==Subject:==
Entergy Nuclear Operations, Inc.Pilgrim Nuclear Power Station Docket No. 50-293 Indian Point Nuclear Generating Unit No. I Docket No. 50-003 Indian Point Nuclear Generating Unit No. 2 Docket No. 5 0-247 Indian Point Nuclear Generating Unit No. 3 Docket No. 5 0-286 James-A. FitzPatrick Nuclear Power Plant Docket Nos. 50-333 & 72-12 Vermont Yankee Nuclear Power Station Do~cket Nos. 5-7 Palisades Nuclear Plant Docket No. 50-255 & 72-7 Big Rock.Point Docket Nos. 50-155 & 72-43 Supplemental Information
#3 in Support of Application for Order Approving Indirect Transfer of Control of Licenses By letter dated July 30, 2007, and as supplemented on October 31, 2007 and December 5, 2007, Entergy Nuclear Operations, Inc. (ENO), acting on behalf of itself and Entergy Nuclear Generation Company, Entergy Nuclear FitzPatrick, LLC, Entergy Nuclear Vermont Yankee, LLC, Entergy Nuclear Indian Point 2, LLC, Entergy Nuclear Indian Point 3, LLC, and Entergy Nuclear Palisades, LLC, (together, Applicants), requested that the Nuclear Regulatory S-00"J lateo/ea'
,6r- J"-LI I f ENOC-08-00003 Page 2 of 3 Commission (NRC) consent to the indirect transfer of control of the above-captioned licenses pursuant to Section 184 of the Atomic Energy Act, as amended (the Act), and 10 CFR 50.80.The indirect transfer of control results from certain planned restructuring transactions that would involve the creation of new intermediary holding companies-and/or changes in the intermediary holding companies for the ownership structure for the corporate entities that hold the NRC licenses for Pilgrim, Indian Point 1, 2, and 3, Fitzpatrick, Vermont Yankee, Palisades and Big Rock Point (together, the Facilities), including both the six corporate entities (named among the Applicants above) licensed for their ownership of the Facilities and ENO, which is the entity licensed to operate or maintain the Facilities.
Simplified organization charts reflecting the current and planned post-reorganization ownership structure were provided in the December 5, 2007 submittal as Figures I and 3.As discussed in the December 5, 2007 submittal, ENO had identified that, depending upon the.ability to obtain favorable tax rulings, it might be possible to eliminate certain of the planned intermediary holding companies.
Based upon initial discussions with the Internal Revenue Service (IRS), ENO proposes to eliminate Entergy Nuclear New York Investment Company I.as an intermediate holding company owning Entergy Fitzpatrick, LLC and Entergy Indian Point, LLC. The revised post-reorganization structure is reflected in the attached Figure 4.(Figure 1 is also provided for ease of reference.)
ENO's revised plans with respect to the change in one of the- planned intermediary holding companies do not have any material effect upon the information, including financial information, previously provided in support of the requested approval.
Moreover, these changes are not inconsistent with the description of the proposed transaction provided in NRC's notices regarding the pending application.
73 FR 2948, 2950, 2951, 2953, 2955, &2956 (January 16, 2008).Finally, ENO's response to NRC's recent Request for Additional Information
#3 is provided as Attachment 1.If NRC requires additional information concerning this license transfer request, please contact John McCann, Director, Nuclear Safety and Licensing, at (914) 272-3370 or j mccanlI entergy.com.
Service on ENO of comments, hearing requests or intervention petitions, or other pleadings, if applicable, should be made to counsel for ENO, Mr. John. E.Matthews at Morgan, Lewis & Bockius, LLP, 1111I Pennsylvania Avenue, NW, Washington, DC 20004 (tel; 202-739-5524; fax: 202-739-3001; e-mail: imatthews
@amorganfewi s.com.).
ENOC-09-00003 Page 3 of 3 I declare under penalty of perjury that the foregoing is true and correct. Executed on day of January, 2008. 4
 
==Enclosures:==
 
Figures I & 4 Attachment I
-ENOC-08-00003 c: Regional Administrator, Region I Mr. David O'Brien, Commissioner U.S. Nuclear Regulatory Commission VT Department of Public Service 475 Allendale Road 112 State Street -Drawer 20 King of Prussia, PA 19406-1415 Montpelier, VT 05620-2601 Regional Administrator, Region III Mr. Paul D. Tonko, President U.S. Nuclear Regulatory Commission New York State Energy, Research, and 2443 Warrenville Road, Suite 2 10 Development Authority Lisle, 11. 60532-4352 17 Columbia Circle Albany, NY 12203-6399 U.S. Nuclear Regulatory Commission Mr. Paul Eddy Attention:
Document Control Desk New York State Department of Public Service One White Flint North 3 Empire State Plaza 115 55 Rockvill e Pike Albany, NY 12223 Rockville, MD 20852 Steven R. Horn Mr. Charles Donaldson, Esq.U.S. Nuclear Regulatory Commission Assistant Attorney General One White Flint North New York Department of Law 11555 Rockville Pike 120 Broadway Rockville, MD 20852 New York, NY 10271 Mail Stop OWFN/12-D3 Mr. James S. Kim, Project Manager Mayor, Village of Buchanan Division of Licensing Project Management 236 Tate Avenue Office of Nuclear Reactor Regulation Buchanan, NY 10511 Mail Stop 0-8-C2 Washington, DC 20555 Mr. John Boska, Project Manager Michigan Department of Attorney General Plant Licensing Branch I-1 Special Litigation Division Division of Operating Reactor Licensing
.525 West Ottawa Street Office of Nuclear Reactor Regulation Sixth Floor, G. Mennen Williams Building U.S. Nuclear Regulatory Commission Lansing,.MI 48913 Mail Stop O-8-C2 Washington, DC 20555 Mahesh L. Chawla, Project Manager Mr. Raymond L. Albanese Project Directorate Il Four County Coordinator Division of Licensing Project Management 200 Bradhurst Avenue Office of Nuclear Reactor Regulation Unit 4 Westchester County Mail Stop 8H 4A Hawthorne, NY 10532 Washington, DC 20555 ENOC-08-00003 USNRC Resident Inspector Entergy Nuclear Vermont Yankee P.O. Box 157 Vernon, VT 05354 Mr. Robert Walker, Director Massachusetts Department of Public Health Schraffi Center Suite I M2A Radiation Control Program 529 Main Street Charlestown, MA 02129 Resident Inspector's Office Ms. Cristine McCombs, Director U.S. Nuclear Regulatory Commission Mass. Emergency Management Agency James A. FitzPatrick Nuclear Power Plant 400 Worcester Road P.O. Box 136 Framingham, MA 01702 Lycoming, NY 13093 U.S. Nuclear Regulatory Commission Supervisor Resident Inspector's Office Covert Township Palisades Plant P.O. Box 35 27782 Blue Star Memorial Highway Covert, MIl 49043 Covert, MI 49043 Senior Resident Inspector's Office Office of the Governor Indian Point 2 P.O. Box 30013 U.S. Nuclear Regulatory Commission Lansing, MI 48909 P.O. Box 59 Buchanan, NY 10511 Senior Resident Inspector Pilgrim Nuclear Power Station 600 Rocky Hill Road Mail Stop 66 Plymouth, MA 02360 Mr. Ted Smith, Project Manager Michigan Department of Environmental Division of Waste Management and Quality Environmental Protection Waste and Hazardous Materials Division Office of Federal and State Materials and Hazardous Waste and Radiological Protection Environmental Management Programs Section U.S. Nuclear Regulatory Commission' Nuclear Facilities Unit Mail Stop T-7-E18 Constitution Hall, Lower-Level North Washington, DC 20555 525 West Allegan Street, P.O.. Box 30241 ,Lansing, MI 48909-7741 ENOC-08-00003 Figure 1: SIMPLIFIED ORGANIZATION CHART -CURRENT NOTE: NIRC Licenses held by E N entities are referenced in parentheses and italics, e.g., (IPI & 1P2).75 %E N Operations, Inc.(Licensed Operator.-
eight Pant 60 licenses)
ENOC-08-00003 Figure 4: SIMPLIFIED ORGANIZATION CHART'- POST REORGANIZATION Shareholders (Public)..........................
NOTE: NRC Licenses held by E N entities are referenced in parentheses and italics, e~g., (IPI & 1P2).50%ENOI LLC (Licensed Operator: eight Part 50 licenses)
Attachment I to ENOC-08-00003 NRC Request for Additional Information
#3: In the December 5th, 200 7 application, as well as in the original July 0th, 200 7 application, Attachment 5 is a copy of the [Form of] Support Agreement.
Please explain the meaning of item#12 'No Guarantee. " Does this mean that the only way that a thiird party seeking payment ffrom a licensee, can receive payment funded by the support agreement only through the licensee?Answer: The "Form of' Support Agreement language is substantially the same as or similar to support agreements that have been provided and approved by the NRC in other license transfer proceedings.
See, e.g., Letter from L.A. Stall of FPL Energy Point Beach, LLC to Director, Office of Nuclear Reactor Regulation, ML072930045 (October 5, 2007). The language provided in the "No Guarantee" paragraph makes clear that this is not a Guarantee upon which a third party creditor, such as a lender or vendor, might rely and seek payment, If this language were not included, such a third party might make a legal claim that it relied upon the Support Agreement in extending credit or performing services, and the third party could attempt to divert funds that would otherwise remain available only to the owner licensees.
By including this language, the terms of the agreement protect against this risk. Only the owner licensees themselves may call upon the financial support provided when they need to do so in order to maintain the plant safely and protect the public health and s afety, and NRC is the only third party that can rely upon the Support Agreement.}}

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