ML083180118

Draft NRC Regulatory Issue Summary 2001-07, Rev. 1, 10 CFR 50.75(f) Reports on the Status of Decommissioning Costs and Funding Assurance

ML083180118
Person / Time
Issue date:	11/18/2008
From:	Mcginty T Division of Policy and Rulemaking
To:
Aaron Szabo, 415-1985
References
RIS-01-007, Rev 1, DRF
Download: ML083180118 (4)

See also: RIS 2001-07

Text

UNITED STATES

NUCLEAR REGULATORY COMMISSION

OFFICE OF NUCLEAR REACTOR REGULATION

WASHINGTON, DC 20555-0001

DRAFT, 2008

NRC REGULATORY ISSUE SUMMARY 2001-07, REV. 1

10 CFR 50.75 REPORTING AND RECORDKEEPING FOR

DECOMMISSIONING PLANNING

ADDRESSEES

All holders of operating licenses and combined licenses for nuclear power reactors.

INTENT

The U.S. Nuclear Regulatory Commission (NRC) is issuing this regulatory issue summary (RIS)

to clarify the reporting requirements of 10 CFR 50.75(f)(1) and 50.75(f)(2), Reporting and

Recordkeeping for Decommissioning Planning, regarding the status of decommissioning

funding assurance.

In 1999, some licensees reporting under 10 CFR 50.75(f) did not distinguish between estimates

of costs to complete decommissioning required by the NRC (radiological decommissioning) and

other costs associated with cleaning up the site. The NRC staff is issuing this RIS to clarify for

licensees the need to preserve the distinction between radiological decommissioning cost

estimates and all other decommissioning cost estimates in the reports they must submit in

accordance with 10 CFR 50.75.

Recently, the NRC staff has learned that some licensees also reporting under 10 CFR 50.75(f)

have provided figures for the accumulation of decommissioning funds that included funds

accumulated for purposes other than to meet the NRCs decommissioning requirements.

Therefore, the staff is also issuing this RIS to clarify for licensees the need to preserve the

distinction between funds accumulated for radiological decommissioning, which licensees are

required to report, and funds accumulated for other purposes.

BACKGROUND INFORMATION

Subsections 50.75(f)(1) and 50.75(f)(2) of Title 10 of the Code of Federal Regulations require

power reactor licensees to report decommissioning funding assurance information to the NRC

at least once every 2 years. The NRC received the first reports on March 31, 1999. Required

information includes:

(1) the amount of decommissioning funds estimated to be required pursuant to 10 CFR

50.75(b) and (c);

(2) the amount of funds for radiological decommissioning accumulated to the end of the

calendar year preceding the date of the report;

(3) a schedule of the annual amounts remaining to be collected

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RIS 2001-07, Rev. 1

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(4) the assumptions used in determining rates of escalation in decommissioning costs, rates

of earnings on decommissioning funds, and rates of other factors used in funding

projections;

(5) any contracts upon which the licensee is relying pursuant to 10 CFR 50.75(e)(1)(v);

(6) any modifications occurring to a licensees current method of providing financial

assurance since the last submitted report; and

(7) any material changes to trust agreements.

Licensees must estimate the minimum funding needed for radiological decommissioning by

using the formulas included in 10 CFR 50.75(c). As an alternative, licensees may also use a

site-specific methodology to determine the funding needed, provided that amount is greater than

the decommissioning cost estimate using the 10 CFR 50.75(c) formulas. As stated above,

some licensees reporting under 10 CFR 50.75(f) did not distinguish between estimates of costs

for radiological decommissioning and other costs associated with cleaning up the site. The

NRC staff is issuing this RIS to clarify for licensees the need to preserve the distinction between

radiological decommissioning cost estimates and all other decommissioning cost estimates in

the reports they must submit in accordance with 10 CFR 50.75.

The NRC has not precluded the commingling in a single account of funds accumulated to

comply with NRC radiological decommissioning requirements and funds accumulated to

address State site restoration costs (State costs) and spent fuel management costs, as long as

the licensee is able to identify and account for the NRC radiological decommissioning funds that

are contained within its single account. However, NRC staff has learned that some licensees, in

response to the requirement that they report the amount of decommissioning funds

accumulated to the end of the calendar year preceding the date of the report, have reported as

part of that amount funds accumulated to address State costs and spent fuel management

costs. Accordingly, NRC staff is clarifying for licensees the need to report radiological

decommissioning fund balances that are distinct from amounts accumulated for other purposes,

such as paying for State costs and spent fuel management.

SUMMARY OF ISSUE

Costs Reported

In reporting the status of decommissioning funding assurance, licensees are required to report

the cost of radiological decommissioning, using the amount derived from the formulas or a site-

specific cost estimate if higher than the amount derived from the formulas. Some licensees

have reported cost estimates that included additional costs, such as State costs, that are not

required by the NRC. To assist the NRC staff in the analysis of decommissioning costs, it would

significantly improve the analysis if licensees provided, in addition to the radiological cost

estimate required to be reported by 10 CFR 50.75, (1) the current site-specific cost estimate for

radiological decommissioning, and (2) a current separate estimate of State costs, and (3) a

current separate estimate of spent fuel management costs.

Accumulated Funds Reported

Licensees are required to report the amount of funds accumulated to the end of the calendar

year preceding the date of the report to pay for radiological decommissioning. Funds

accumulated to pay for State costs and spent fuel management costs are not to be included in

the reported amount of radiological decommissioning funds accumulated. The NRCs analysis

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of each licensees decommissioning funding assurance being provided would be more complete

and transparent for stakeholders if licensees provided, in addition to the amount of funds

accumulated to pay for radiological decommissioning required by 10 CFR 50.75, (1) the amount

of funds accumulated to pay for State costs, and (2) the amount of funds accumulated to pay for

spent fuel management costs, and (3) whether such amounts are commingled with funds

accumulated to pay for radiological decommissioning, and (4) what amount of funds

accumulated to pay for State costs or spent fuel management costs are available for

radiological decommissioning without prior approval by a State regulatory authority and not

subject to disapproval for radiological decommissioning use by a State regulatory authority.

BACKFIT DISCUSSION

This RIS provides regulatory clarification and does not represent a new or different staff position

regarding the implementation of 10 CFR 50.75. It requires no action or written response beyond

what is required in 10 CFR 50.75. Any action by addressees to implement changes to their

reporting procedures in accordance with the clarifications in this RIS is strictly voluntary,

ensures compliance with current regulations, and therefore, is not a backfit under

10 CFR 50.109, Backfitting. This RIS requests the voluntary submittal of additional

information to assist the NRC in analyzing licensees financial commitments for

decommissioning. Any response to this request for additional information is strictly voluntary.

Consequently, the NRC staff did not perform a backfit analysis.

FEDERAL REGISTER NOTIFICATION

A notice of opportunity for public comment was not published in the Federal Register because

this RIS is informational and does not represent a departure from current regulatory

requirements. However, the NRC posted this RIS on the NRC Public Web site for comment

from November 19 through December 1, 2008. These comments will be considered before the

issuance of this RIS.

PAPERWORK REDUCTION ACT STATEMENT

This RIS does not contain any new information collection requirements, and therefore is not

subject to the requirements of the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.).

The information collection requirements referenced under 10 CFR 50.75 were approved by the

Office of Management and Budget (OMB) approval number 3150-0011. This RIS requires no

specific action or written response.

RIS 2001-07, Rev. 1

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PUBLIC PROTECTION NOTIFICATION

The NRC may not conduct or sponsor, and a person is not required to respond to, a request for

information or an information collection requirement unless the requesting document displays a

currently valid OMB control number.

If you have any questions about this regulatory issue summary, please contact the person listed

below or the Office of Nuclear Reactor Regulation project manager for your specific nuclear

power plant.

Timothy McGinty, Director

Division of Policy and Rulemaking

Office of Nuclear Reactor Regulation

CONTACT: Michael A. Dusaniwskyj

301-415-1260

E-mail: Michael.Dusaniwskyj@nrc.gov