ML20136D018

Discusses 1977 Budget Reduction.Budget Summary Encl

ML20136D018
Person / Time
Site:	Crane
Issue date:	01/17/1977
From:	Geoffrey Miller METROPOLITAN EDISON CO.
To:	Heward R METROPOLITAN EDISON CO.
References
TASK-TF, TASK-TMR NUDOCS 7910190072
Download: ML20136D018 (10)

Text

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METROPOLITAN ED ISO N CO MP A N Y sen,iaia,y o, cene,.i eosiic utiiiii., co,no,otion Subject TMIiUNIT 2-MET ED UDGET_FOR 97 Location TMI Nuclear Station  !

Middletown, PA

/3 l

/

C:) Jfl

['e Date January 17, 1977 l

To MR. R.W. HEWARD JR.

fh p' Ref (a)

% e J.G. Herbein to R.W. Heward Jr. letter b}

concerning 1977 Met Ed Budget Reduction dated November 12, 1976. .

b[

g y$ J (b) R.W. Heward to G.P. Miller letter concerning 1977 Met Ed Budget Reduction dated January 5, 1977.

Enc 1 (1) 1977 Met Ed Unit 2 Budget, Revision 3 '

dated January 17, 1977.

1. Ref (a) discussed in detail the consequences of a $2,000,000 budget reduction )

by Met Ed in 1977. In spite of the potential 10 week project delay, caused i by such a reduction, reference (b) requested that Met Ed submit a 1977 budget incorporating the reduction and totaling $8,000,000.

2. As requested in reference (b), enclosure (1), a 1977 Met Ed budget totaling

$8,000,000 is forwarded.

3. It should be noted that the requirement to reduce the budget to $8,000,000 dictated an additional $77,000 reduction not analyzed in reference (a).

The additional funds were removed from fuel oil and auxiliary steam charges in hopes that projected major steam useage will slip to a period af ter the Unit 1 refueling outage.

4. The majority of the anticipated delays that were described in reference (a) will occur as a result of Met Ed's not purchasing equipment in 1977, as opposed to delaying purchase. For this reason there is a good chance that the anticipated 10 week total delays will be in addition to those Unit 2 project delays which might occur for other reasons unrelated to Met Ed's readiness.

Considering the above anticipated delay, it is probable that May 1978 '

is a more achievable commercial date from a Met Ed readiness standpoint!

Unit 2 Superintendent GPM:JLS:kmr Enclosure cc: R. Hedges C. O'Neill J. Herbein J. Seelinger 'J J. Knoll '

7 91019 o b

• 7 R_

INTER-OFFICE MEMORANDUM

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