ML20135C478

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Summary of 961121 Meeting W/Util in Rockville,Md to Discuss Proposed Transfer of Minority Ownership Interest in Plant. W/List of Attendees
ML20135C478
Person / Time
Site: Clinton Constellation icon.png
Issue date: 12/04/1996
From: Pickett D
NRC (Affiliation Not Assigned)
To:
NRC (Affiliation Not Assigned)
References
TAC-M96930, NUDOCS 9612060319
Download: ML20135C478 (6)


Text

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p" t UNITED STATES g g NUCLEAR REGULATORY COMMISSION

't WASHINGTON, D.C. 2066H001

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December 4, 1996 ,

LICENSEE: Illinois Power Company (IP)

FACILITY: Clinton Power Station l

SUBJECT:

SUMMARY

OF NOVEMBER 21, 1996. MEETING ON S0YLAND POWER l

C00 PERATIVE'S 13.21% MINORITY OWNERSHIP INTEREST IN CLINTON POWER  !

STATION (TAC M96930)  !

On November 21, 1996, NRC staff members met in Rockville, Maryland, with representatives of Illinois Power Company (IP) and Soyland Power Cooperative.

The purpose of the meeting was to discuss the proposed transfer of Soyland Power Cooperative's 13.21% minority ownership interest in the Clinton Power l Station to Illinova Power Marketing, Inc. A list of meeting participants is included in the Enclosure. There were no meeting handouts.

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On October 17, 1996, an amendment request was submitted by Illinois Power Company requesting NRC's approval of the proposed transfer of Soyland Power Cooperative's 13.21 percent minority ownership interest in Clinton Power Station to Illinova Power Marketing, Inc. (IPMI), the unregulated power marketing affiliate of Illinois Power Company, and a wholly owned subsidiary of Illinova Corporation, the parent holding company of Illinois Power Company.

During the meeting the staff informed the licensees that the unique aspects of the proposed transfer make it highly unlikely that the review will be accomplis,3d before their requested comphion date of December 31, 1996.

Transfer of the 13.21 percent ownership share to IPMI, which the staff does not consider to be an electric utility, requires that the staff review financial qualifications (10 CFR 50.33(f)) to ensure IPMI could meet its share of Clinton's operating expense requirements. Also, more stringent decomissioning funding assurance requirements (10 CFR 50.75) would have to be met, since IPMI would not have access to rate relief. Additional information needed to complete the licensee's amendment request submittal, which has not been provided for staff review, includes the final Power Sales Agreement, projected revenue / expense statements for IPMI for the next 5 years, and the need for additional decommissioning funding assurance (such as a parent company guarantee).

Licensee representatives stated at the meeting that the purpose of transferring the Scyland share to an unregulated subsidiary was a business decision based on Illinois regulatory conditions. The transfer would have recuired approval of the Illinois Public Utilities Comission if it were being mace to the other current licensee, Illinois Power Company. In requesting a) proval of the amendment request by December 31, 1996, the licensee stated tlat there would be tax consequences if approval was delayed into 1997. Also, Soyland may not be able to cover its share of the financial consequences of 9612060319 961204 goe oockosoo=2 [i mRE6

l The staff any operating events that might happen at.Clinton Power Statio December 31. 1996, would be unlikely.

Original signed by:

Douglas V. Pickett, Project Manager Project Directorate III-3 Division of Reactor Projects III/IV

! Office of Nuclear Reactor Regulation Docket No. 50-461

Enclosure:

As stated.

cc w/ encl
See next page.

1 DOCUMENT NAME; G:\CLINTON\NOV21.MTG )

PM:PD111431 E I OFFICE LA:PD111-3 E 7

NAME DFoster-Cursten DPickett" DATE 12/4 /96 dr6 12/ 4-/96 ,

, , ettIc1AL RECORD COPY

i Distribution of November 21. 1996. Meetina Summary HARD COPY w/ encl:

Docket File PUBLIC PDIII-3 Reading OGC ACRS E-MAIL w/ encl:

F. Miraglia (FJM)

A. Thadani (ACT)

R. Zininerman (RPZ)

J. Roe (JWR)

E. Adensam (EGA1)

E. Jordan (JKR)

L. B. Marsh (LBM)

G. Marcus (GHM)

B. McCabe (BCM)

R. Architzel (REA)

R. Wood (RSW1)

M. Davis (MJD1)

S. Hom (SRH)

S. Uttal (SLU)

D. Matthews (DBM)

J. Caldwell (JLC1)

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l 060061 l

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g i Clinton Power Station Unit No. 1 i l

Illinois Power Company j i

cc: i l  :

L Mr. ~ Wilfred Contiell Illinois Department-  !

l Vice President of Nuclear Safety ,

l Clinton Power Station Office of Nuclear Facility Safety i Post Office Box 678 1035 Outer Park Drive Clinton, Illinois 61727 Springfield. Illinois 62704 Mr. Daniel P. Thompson Mr. Paul J. Telthorst i l Manager Nuclear Station Director - Licensing l Engineering Department Clinton Power Station

! Clinton Power Station P. O. Box 678 l Post Office Box 678 Mail Code V920 Clir. ton Illinois 61727 .Clinton, Illinois 61727 Resident Inspector U.S. Nuclear Regulatory Commission c RR#3. Box 229 A Clinton. Illinois 61727 Mr. R. T, Hill Licensing Services Manager General Electric Company 175 Curtner Avenue M/C 481  !

San Jose. California 95125 i

Regional Administrator, Region III  ;

U.S. Nuclear Regulatory Commission 801 Warrenville Road 7 Lisle Illinois 60532-4351 l Chairman of DeWitt County c/o County Clerk's Office DeWitt County Courthouse Clinton, Illinois 61727 Mr. J. W. Blattner Project Manager Sargent & Lundy Engineers 55 East Monroe Street Chicago, Illinois 60603

. . _ . . _ . . _ _ . _ . _ . . . . . . _ _ _ _ _ _ _ _ . _ _ _ _ _ _ _ _ . _ _ _ . . _ . . _ - . _ -m-_. _

i

i NOVEMBER 21. 1996 S0YLAND POWER COOPERATIVE'S MINORITY INTEREST  !

J i l!!  !

3 CLINTON POWER STATION MEETING 1

LIST OF ATTENDEES  :

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i ILLINOIS POWER NBC Michael Beer Jack Roe Tom Williams Ralph Architzel Miro Mladiner Robert Wood Tom Elwood Mike Davis Steven Hom Doug Pickett i S0YLAND POWER COOPERATIVE Joe Firlit l b

Enclosur,e

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2- i l- The staff.

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l any operating events that might happen at Clinton Power Statio '

December 31, 1996, would be unlikely.

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t . Original, signed by:

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,Do'uglas V:. Pickett. Project Manager l

. . Project Directorate III-3 :.'

Division;of: Reactor Projects III/IV

' .0fficemof Nuclear RsactorzRegulation

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Docket No. 50-461 .<

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Enclosure:

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, DATE 12//f /96 /Jr0 12/ 4496

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