ML22224A125

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8-9-22 Final Initial Brief for Fasken (DC Cir.)(Case No. 21-1486)
ML22224A125
Person / Time
Site: Consolidated Interim Storage Facility
Issue date: 08/09/2022
From: Kanner A, Perales M, Tennis A
Fasken Land & Minerals, Ltd, Kanner & Whiteley, Permian Basin Land and Royalty Owners
To:
NRC/OGC, US Federal Judiciary, Court of Appeals, for the District of Columbia Circuit
References
1958510, 21-1048, 21-1055, 21-1056, 21-1179, 21-1227, 21-1229, 21-1230, 21-1231
Download: ML22224A125 (75)


Text

USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 1 of 75

ORAL ARGUMENT NOT YET SCHEDULED

UNITED STATES COURT OF APPEALS FOR THE DISTRICT OF COLUMBIA CIRCUIT

Case No. 21 -1048 Consolidated with Case Nos. 21-1055, 21-1056, 21-1179, 21-1227, 21-1229, 21 -1230, 21-1231

DONT WASTE MICHIGAN, et al.,

Petitioners, v.

UNITED STATES NUCLEAR REGULATORY COMMISSION and the UNITED STATES OF AMERICA,

Respondents,

INTERIM STORAGE PARTNERS, LLC,

Intervenor.

Petition for Review of Final Order of the United States Nuclea r Regulatory Commission

FINAL OPENING BRIEF OF PETITIONERS FASKEN LAND AND MINERALS, LTD. AND PERMIAN BASIN LAND AND ROYALTY OWNERS

Allan Kanner (a.kanner@kanner-law.com) Monica Renee Perales Annemieke Tennis (a.tennis@kanner-law.com) 6101 Holiday Hill Road KANNER & WHITELEY, LLC Midland, TX 79707 701 Camp Street (432) 687-1777 New Orleans, LA 70130 monicap@forl.com (504) 524-5777 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 2 of 75

CERTIFICATE AS TO PARTIES, RULINGS AND RELATED CASES

In accordance with D.C. Cir. Rule 28(a)(1), Petitioners submit the foregoing

certificate of parties, rulings and related cases.

A. Parties and Amici

Petitioners

The Petitioners in th is matter are Fasken Land and Minerals, Ltd. and the

Permian Basin Land and Royalty Owners, collectively referred to herein as

Fasken.

Respondents

The Respondents are the United States Nuclear Regulatory Commission and

the United States of America.

Intervenor

The Intervenor is Interim Storage Partners, LLC.

B. Rulings Under Review

Fasken seeks review of the United States Nuclear Regulatory Commissions

(NRC) Memorandum and Order CLI-21 -09 (June 22, 2021), REC. 230 (JA0653).

C. Related Cases

The undersigned counsel is not aware of any other case pending in this Circuit

related to this one within the meaning of D.C. Cir. Rule 28(a)(1)(C), which is not

currently consolidated herewith.

i USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 3 of 75

Undersigned counsel is aware of currently pending cases in the United States

Courts of Appeals for the Fifth Circuit and the Tenth Circuit involving challenges to

the NRCs issuance of the ISP license and record of decision. State of Texas; Greg

Abbott, Governor of the State of Texas; Texas Commission on Environmental

Quality; Fasken Land and Minerals, Ltd.; and Permian Basin Land and Royalty

Owners v. Nuclear Regulatory Commission and United States of America, Docket

No. 21-60743 (5th Cir.); State of New Mexico, ex rel. Hector H. Balderas, Attorney

General and the New Mexico Environment Department, Docket No. 21-9593 (10th

Cir.). 1

Respectfully submitted,

/s/ Allan Kanner Allan Kanner

1 Opening briefs in these matters were filed on February 7, 2022, and March 10, 2022, respectively.

ii USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 4 of 75

PETITIONERS RULE 26.1 DISCLOSURE STATEMENT

Pursuant to Fed. R. App. P. 26.1 and D.C. Cir. Rule 26.1, Fasken makes the

following disclosures:

Petitioner Fasken Land and Minerals, Ltd., is a for -profit nongovernmental

limited partnership organization existing under the laws of the State of Texas

engaged in oil and gas extraction and production activities. Fasken Land and

Minerals, Ltd., has no parent corporation, and no publicly traded corporation owns

10% or more of its stock.

Petitioner Permian Basin Land and Royalty Owners is a nongovernmental

registered 501(c)(4) non-profit, organized and existing under the laws of the State of

Texas, is based in Midland, Texas, and is a public welfare organization dedicated to

protecting the interests of the Permian Basin and informing the public about threats

and risks of spent nuclear fuel in regions ill-suited to the activity. Permian Basin

Land and Royalty Owners has no parent corporation, and no publicly traded

corporation owns 10% or more of its stock.

Respectfully submitted,

/s/ Allan Kanner Allan Kanner

iii USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 5 of 75

TABLE OF CONTENTS CERTIFICATE AS TO PARTIES, RULINGS AND RELATED CASES.............. i

A. Parties and Amici.......................................................................................... i B. Rulings Under Review.................................................................................. i

C. Related Cases................................................................................................ i

PETITIONERS RULE 26.1 DISCLOSURE STATEMENT................................. iii

TABLE OF CONTENTS......................................................................................... iv

TABLE OF AUTHORITIES................................................................................... vi

GLOSSARY........................................................................................................... viii

STATEMENT OF JURISDICTION.......................................................................... 1

STATEMENT OF ISSUES PRESENTED FOR REVIEW...................................... 2

STATUTES AND REGULATIONS......................................................................... 2

STATEMENT OF THE CASE.................................................................................. 3

A. The NRC Denied All Administrative Challenges Regarding the ISP License Application and Terminated Its Administrative Proceeding Prior to Publishing Its Draft Environmental Impact Statement.................. 3

B. Fasken Moved to Reopen the Record and to File a New Contention Based on New Information in the Draft Environmental Impact Statement..................................................................................................... 5

C. The Board and NRC Denied Faskens Motions.......................................... 6

SUMMARY

OF THE ARGUMENT........................................................................ 6

STANDING............................................................................................................... 7

ARGUMENT............................................................................................................. 9 iv USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 6 of 75

I. STANDARD OF REVIEW................................................................................. 9

II. THE NRC ARBITRARILY AND CAPRICIOUSLY REJECTED FASKENS CONTENTION................................................................................................... 9

A. Faskens Contention is Ba sed on New and Material Information Regarding the Responsibility and Costs for Coordinating Transportation, Infrastructure Improvements, and Emergency Response.................................................................................................... 10

B. Faskens Contention is Based on New and Material Information Regarding Regional Transportation Impacts, and the Draft Environmental Impact Statement s Omission of an Evaluation of Regional and Site -

Specific Impacts Leads to Serious Safety and Environmental Issues....... 14

III. THE NRC ARBITRARILY AND CAPRICIOUSLY DENIED FASKENS MOTION TO REOPEN AND MOTION FOR LEAVE TO FILE NEW CONTENTION................................................................................................. 21

CONCLUSION........................................................................................................23

CERTIFICATE OF COMPLIANCE WITH TYPE-VOLUME LIMITATION, TYPEFACE REQUIREMENTS AND TYPE STYLE REQUIREMENTS...........25

CERTIFICATE OF SERVICE................................................................................26

ADDENDUM OF STATUTES AND REGULATIONS....... STATUTORY ADD 1

STANDING ADDENDUM....................................................... STANDING ADD 1

v USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 7 of 75

TABLE OF AUTHORITIES Page(s)

Cases Adenariwo v. Fed. Maritime Commn, 808 F.3d 74 (D.C. Cir. 2015).................................................................................. 1 Blue Ridge Envtl. Def. League v. Nuclear Reg. Commn, 668 F.3d 747 (D.C. Cir. 2012)................................................................................ 1 Blue Ridge Envtl. Def. League v. Nuclear Regulatory Comm'n, 716 F.3d 183 (D.C. Cir. 2013)................................................................................ 9 Center for Sustainable Econ. v. Jewell, 779 F.3d 588 (D.C. Cir. 2015)................................................................................ 9 Citizens for a Safe Envt v. Atomic Energy Commn, 489 F.2d 1018 (3d Cir. 1973)................................................................................. 1 In the Matter of Calvert Cliffs 3 Nuclear Project, 72 N.R.C. 720, 2010 WL 9007226 (2010)...........................................................10 In the Matter of Georgia Power Co.,

2 N.R.C. 404, 1975 WL 20090 (1975)................................................................. 21 In the Matter of Louisiana Energy Services, 62 N.R.C. 523, 2005 WL 4131570 (2005)...........................................................10 In the Matter of Vermont Yankee Nuclear Power Corp.,

6 A.E.C. 358, 1973 WL 18107 (1973)................................................................. 20 Natural Res. Def. Council v. U.S. Nuclear Reg. Commn, 680 F.2d 810 (D.C. Cir. 1982)................................................................................ 1 New York v. NRC, 681 F.3d 471 (D.C. Cir. 2012)..............................................................................1 5 Nuclear Energy Inst., Inc. v. EPA, 373 F.3d 1251 (D.C. Cir. 2004).............................................................................. 8 Sierra Club v. Sigler, 695 F.2d 957 (5th Cir. 1983)......................................................................... 12, 13

vi USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 8 of 75

Thermal Ecology Must Be Preserved v. Atomic Energy Commn, 433 F.2d 524 (D.C. Cir. 1970)................................................................................ 1 Union Neighbors United, Inc. v. Jewell, 831 F.3d 564 (D.C. Cir. 2016)..............................................................................16

Statutes 5 U.S.C. § 702............................................................................................................ 2 5 U.S.C. § 706............................................................................................................ 9 28 U.S.C. § 2342........................................................................................................ 1 28 U.S.C. § 2342(4)................................................................................................... 2

28 U.S.C. § 2344........................................................................................................ 2 42 U.S.C. § 2011........................................................................................................ 1 42 U.S.C. § 2239(b)................................................................................................... 2 42 U.S.C. § 4332(C).......................................................................................... 13, 20

Regulations 10 C.F.R. § 2.309................................................................................................. 7, 10 10 C.F.R. § 2.309(c)(1).............................................................................................. 9 10 C.F.R. § 2.309(f)(1).............................................................................................. 9 10 C.F.R. §§ 72.90-72.108.......................................................................................13

10 C.F.R. § 72.100(b)..............................................................................................20

vii USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 9 of 75

GLOSSARY

APA The Administrative Procedure Act

DOE Department of Energy

ISP Interim Storage Partners, LLC

NEPA The National Environmental Policy Act

NRC The United States Nuclear Regulatory Commission

viii USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 10 of 75

STATEMENT OF JURISDICTION

The NRC instituted an adjudicatory proceeding regarding ISP s license

application pursuant to the Atomic Energy Act, 42 U.S.C. § 2011, and its procedural

regulations under 10 C.F. R. Part 2. On June 22, 2021, the NRC affirm ed the Atomic

Safety Licensing Board s (Board ) denial of Faskens Motion to Reopen the

Record and Motion for Leave to File New Contention concerning NRCs preparation

and publication of its draft Environmental Impact Statement. CLI-21 -09, REC. 230

(JA0653). This was the final NRC O rder denying Faskens requests for intervention

and constitutes a final order for purposes of Hobbs Act jurisdiction. Adenariwo v.

Fed. Maritime Commn, 808 F.3d 74, 78 (D.C. Cir. 2015) (An agency order is final

for purposes of 28 U.S.C. § 2342 if it imposes an obligation, denies a right, or fixes

some legal relationship, usually at the consummation of an administrati ve

process. ) (quoting Natural Res. Def. Council, Inc. v. U.S. Nuclear Reg. Commn,

680 F.2d 810, 815 (D.C. Cir. 1982) ); Blue Ridge Envtl. Def. League v. Nuclear Reg.

Commn, 668 F.3d 747, 753 (D.C. Cir. 2012) ([I]n the context of administrative

adjudications, a final order is [normally] one that disposes of all issues as to all

parties. ) (quoting Citizens for a Safe Envt v. Atomic Energy Commn, 489 F.2d

1018, 1021 (3d Cir. 1973)); Thermal Ecology Must Be Preserved v. Atomic Energy

Commn, 433 F.2d 524, 526 (D.C. Cir. 1970) ( An order denying intervention would

be reviewable. ).

1 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 11 of 75

The NRCs f inal Order is reviewable by this Court under 42 U.S.C. § 2239(b),

28 U.S.C. § 2342(4), and 5 U.S.C. § 70 2. Pursuant to 28 U.S.C. § 2344, Fasken

timely filed their Petition for Revie w on August 20, 2021, within sixty days of the

NRCs final O rder. No. 21-1179, Doc. #1911677.

STATEMENT OF ISSUES PRESENTED FOR REVIEW

  • Whether the NRC erred in denying Fasken s Motions and Contention based

on new and material agency impact determinations and sources relied on in

the draft Environmental Impact Statement that differed significantly from

those contained in ISPs application documents.

  • Whether the NRC erred in failing to conduct an evaluation of site -specific

impacts relating to the regional transport of spent nuclear fuel to and from the

ISP facility.

STATUTES AND REGULATIONS

See attached Addendum.

2 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 12 of 75

STATEMENT OF THE CASE 2

A. The NRC Denied All A dministrative Challenges Regarding the ISP License Application and Terminated Its Administrative Proceeding Prior to Publishing Its Draft Environmental Impact Statement

Fasken, like other petitioners, filed a petition for intervention and request for

hearing. Fasken Petition, REC. 51 (JA0044). Fasken submitted a total of six

contentions, drawing on regional expertise and decades of collective knowledge

gained through extensive energy and agriculture operations within the Permian

Basin, identifying concerns with misleading, inaccurate, inconsistent, or incomplete

characterizations in ISPs application documents. Id. In total, forty contentions were

filed in the proceeding. Beyond Nuclear Petition, REC. 39 (JA0038); Fasken

Petition, REC. 51 (JA0044); Sierra Club Petition, REC. 57 (JA0045); Dont Waste

Michigan Petition, REC. 61 (JA0077); SEED Mtn. to File Late Contention, REC.

172 (JA0449); Fasken Contention Mtn., REC. 209 (JA0492).

In truly unprecedented fashion, the Board rejected each and every contention

proffered. LBP-19 -07, 90 NRC 31, REC. 126 (JA0355); LBP-19-09, 90 NRC 181,

REC. 178 (JA0450); LBP-19-11, 90 NRC 358, REC. 185 (JA0465). It officially

terminated the adjudicatory proceeding and closed the administrative record five

months before the NRC published its draft Environmental Impact Statement and

2 Fasken adopts and incorporates herein t he Statutory and Factual Background in Petitioner Beyond Nuclears opening brief.

3 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 13 of 75

issued notice soliciting public comments pursuant to NEPA in May 2020. LBP 11, 90 NRC at 368, REC. 185 (JA0465 ); Notice, 85 Fed. Reg. 27447 (May 8, 2020),

REC. 324 (JA0787). The NRC subsequently affirmed the rejection of all

contentions. CLI-20 -13, 92 NRC 457, REC. 218 (JA0558); CLI-20 -14, 92 NRC 463,

REC. 221 (JA0564); CLI-20 -15, 92 NRC 491, REC. 222 (JA0592).

Throughout this process, the NRC has issued numerous requests for additional

information, allowing ISP to supplement its application documents, even after

publication of the draft Environmental Impact Statement. See, e.g., ISP Resp. (July

21, 2020), REC. 331 (JA1273); ISP Resp. (Jan. 27, 2021), REC. 353 (JA 1275).

Much of the information submitted by ISP was kept from the public by claims of

confidentiality. E.g., CLI-20 -14, 92 NRC at 472, REC. 221 (JA0573) (denying

Faskens request for access to confidential documents); ISP Resp., REC. 290.1

(JA0739) (including response to Request 2.2-2 submitted as confidential). However,

the supplemental information was the basis for denying various contentions as moot.

E.g., LBP-19-07, 90 NRC at 113 n.549, REC. 126 (JA 0437) (noting the NRC Staff

originally argued for partial admission of Fasken Contention 2 but changed its

position and consider ed the contention moot in light of ISPs response to Request

2.2-2).

4 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 14 of 75

B. Fasken Moved to Reopen the Record and to File a New Contention Based on New Information in the Draft Environmental Impact Statement

After reviewing the d raft Environmental Impact Statement, Fasken filed a

Motion to Reopen the proceeding and a Motion for Leave to File a N ew Contention.

Reopen Mtn., REC. 208 (JA0481); Contention Mtn., REC. 209 (JA0492). Faskens

Contention was based on new and materially different conclusions and/or sources

relied on in the d raft Environmental Impact Statement, which for the first time

shifted the burden and responsibility for emergency response efforts and

infrastructure improvements to local communities without accounting for the costs.

Contention Mtn. at 14-17, REC. 209 (JA0509-JA0512 ). In addition, Faskens

Contention focused on the use of representative transportation routes, which failed

to properly analyze regional transportation impacts in light of the site -specific

conditions and those of the 50-mile radius surrounding the site. Id. at 17-26 (JA0512 -

JA0521). Fasken asserted that an appropriate site-specific analysis was absent from

the draft Environmental Impact Statement, which: (1) relied on representative route s

to Deaf Smith, Texas, that ignored the regional transportation leg cutting through the

Permian Basin from Monahan s, Texas to the ISP facility that is also used by regional

oil and gas and agricultural industr ies; (2) disregarded the geological characteristics

of the area includ ing seismicity, subsidence, sinkholes, along with ongoing oil and

gas and mining extraction operations effecting transportation infrastructure, safety

5 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 15 of 75

risks and environmental impact ; and (3) failed to analyze the costs and benefits on a

site-specific basis, given that rural, remote communities along the transportation

route would be responsible for training, equipping and financing emergency first

responders. Fasken argued that b y omitting this analysis, the draft Environmental

Impact Statement analysis of environmental impacts f ell short of the requirements

of NEPA and NRC regulations.

C. The Board and NRC Denied Faskens Motions The Board denied Faskens Motions, primarily on the ground that the Motions

and Contention were not based on information that was materially new. LBP-21 -02,

93 NRC 104, 110-111, REC. 224 (JA0618-JA0619). Further, the Board rejected

Faskens Contention finding it did not satisfy the admissibility requirements. Id. at

114-116 (JA0622-JA0623).

The NRC affirmed, under the substantial deference standard of review. CLI-

21- 09, REC. 230 (JA0653).

Faskens petition for review followed.

SUMMARY

OF THE ARGUMENT The NRC abused its discretion, acting arbitrarily and capriciously in denying

Faskens Motions and Contention relating to site-specific impacts and serious and

significant regional transportation issues addressed for the first time in the NRCs

draft Environmental Impact Statement. Applying a heightened standard for ple ading,

6 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 16 of 75

the NRC summarily dismissed Faskens challenges by transforming them into

previously dismissed contentions based on ISPs E nvironmental Report. In doing so,

the NRC overlooked the timeline of production of information at issue and more

importantly, overlooked the site-specific nature of Faskens arguments identifying

concerns with NRCs newly disclosed findings and its reliance on faulty and

inapplicable prior evaluations relating to first responder services, the omission of

consideration of infrastructure funding in the calculus of costs and benefits, as well

as adverse impacts on regional industries and serious safety risks of transporting

spent nuclear fuel in and out of the Permian Basin.

Faskens Contention raises mixed environmental and safety issues with

abundant factual support and requisite affidavits in accordance with NRC standards.

Contention Mtn. at Exhibits 1, REC. 210 (JA0523) and 2, REC. 211 (JA0529) ; 10

C.F.R. § 2.309. The NRC erred in denying the C ontention. It failed to independently

investigate the issues identified and to take a hard look at the impacts. The NRC

is required to offer a contemporaneous rational basis for its impact determinations

and the draft Environmental Impact Statement findings to ensure transparency and

informed decision-making.

STANDING

Faskens standing is addressed in the Docketing Statement and attached

standing declarations of Tommy Taylor, Vice President of Fasken Management,

7 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 17 of 75

LLC, the general partner of Petitioner Fasken; D.K. Boyd, member of the Permian

Basin Land and Royalty Owners; and Grant Huckaba y, Health, Safety and

Environmental Coordinator of Fasken Oil and Ranch, Ltd., which have been

submitted to the Court. No. 21-1048, Doc. #1921497. Fasken and members of the

Permian Basin Land and Royalty Owners own and/or lease property related t o oil

and gas activities, grazing, and agricultural operations near the ISP site. They, along

with their personnel, regularly travel in the vicinity of the site for work-related

purposes, using local, state, and federal highways, and they regularly use the regional

rail transportation to support their industries, which they will be forced to share with

regular shipments of nuclear waste in and out of the Permian Basin. They also have

concerns regarding adverse health effects and impacts to their employees a nd

business operations, as well as the communities in the region generally, including

medical care costs, adverse financial impacts on property, and threats to ongoing

business activities.

In the proceeding below, Petitioner Fasken was found to have standing and

Petitioner Permian Basin Land and Royalty Owners was found to have associational

standing based on the declarations of Tommy Taylor and D.K. Boyd. LBP-19-07,

90 NRC at 51-52, REC. 126 (JA0375-JA0376); CLI-20-14, 92 NRC at 466, REC.

221 (JA0567). The Boards and NRCs conclusions that Fasken has standing are

consistent with this Courts precedents. See Nuclear Energy Inst., Inc. v. EPA, 373

8 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 18 of 75

F.3d 1251 (D.C. Cir. 2004) ; Center for Sustainable Econ. v. Jewell, 779 F.3d 588

(D.C. Cir. 2015).

ARGUMENT

I. STANDARD OF REVIEW

The Court reviews the NRCs decision under the arbitrary and capricious

standard. Blue Ridge Envtl. Def. League v. Nuclear Regulatory Comm 'n, 716 F.3d

183, 195 (D.C. Cir. 2013); 5 U.S.C. § 706.

II. THE NRC ARBITRARILY AND CAPRICIOUSLY REJECTED FASKENS CONTENTION

Faskens Contention satisfie s 10 C.F.R. § 2.309(c)(1)s conditions for good

cause. As discussed herein, the information forming the basis for the Contention was

not available prior to publication of the d raft Environmental Impact Statement in

May 2020 and was materially different than that in ISPs application documents.

Faskens Motions associated with its Contention were timely filed, pursuant to the

May 22, 2020, Order of the NRC Secretary. Reopen Mtn., REC. 208 (JA0481);

Contention Mtn., REC. 209 (JA0492); Order, REC. 207 (JA0477). Faskens

Contention also satisfie s 10 C.F.R. § 2.309(f)(1)s standards for admissibility.

Faskens Contention raises serious and grave concerns regarding NRCs failure to

account for costs of necessary emergency response services and infrastructure

improvements, as well as its failure to evaluate heightened adverse consequences

from site-specific transportation impacts within the Permian Basin. Faskens 9

USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 19 of 75

concerns fall squarely within the scope of the proceeding and raise genuine disputes

of material issues highlighting the NRCs violations of NEPA and NRC regulations.

As set forth herein, t he NRCs rejection of Faskens Contention was arbitrary and

capricious and should be reversed.

A. Faskens Contention is Based on New and Material Information Regarding the Responsibility and Costs for Coordinating Transportation, Infrastructure Improvements, and Emergency

Response

A new or amended contention may be filed if the draft Environmental Impact

Statement contains data or conclusions that differ significantly from those in the

applicants documents. In the Matter of Calvert Cliffs 3 Nuclear Project, 72 N. R. C.

720, 729-30, 2010 WL 9007226 (2010); In the Matter of Louisiana Energy Services,

62 N.R. C. 523, 533, 2005 WL 4131570 (2005) ( Our rules expressly allow timely

amendment of NEPA contentions if there is significant new information or different

conclusions in the DEIS that could not have been challenged previously. ) (citing

10 C.F.R. § 2.309). Fasken cited specific and material new information that the NRC

erroneously discarded.

New disclosures regarding the responsibility and costs for coordinating

transportation, infrastructure improvements and necessary emergency training

appeared for the first time in the draft Environmental Impact Statement. ISPs

Environmental Report states, DOE or private qualified logistics company will also

be responsible for coordinating with federal agencies... regarding transportation of

10 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 20 of 75

[spent nuclear fuel]... If DOE is the shipper, the federal government, through DOE,

is responsible for providing emergency training to states, tribes, and local emergency

responders along the transportation routes where SNF [spent nuclear fuel] would be

transported to the [ISP site]. ER (Rev. 3) at 4-8, REC. 318.3 (JA0767) (emphasis

added). In contrast, the d raft Environmental Impact Statement for the first time

asserts that if [spent nuclear fuel] is shipped to a [consolidated interim storage

facility], some States, Tribes, or municipalities along transportation routes may incur

costs for emergency-response training and equipment that might otherwise be

eligible for funding under [Nuclear Waste Policy Act] Section 180(c) provisions if

DOE shipped the [spent nuclear fuel] from existing sites to a repository. DEIS at 4-

74 -75, REC. 327 (JA1070-JA1071 ). The document also states that States are

recognized as responsible for protecting health and safety during radiological

transportation accidents. Id. at 8-11 (JA1193).

In addition, ISPs Environmental Report suggests DOE would be responsible

for infrastructure upgrades required to transport the waste to a storage cite. ER (Rev.

3) at 3-8 -9, REC. 318.3 (JA0759-JA0760 ). However, the d raft Environmental

Impact Statement states that some decommissioned reactor sites may require local

transportation infrastructure upgrades to remove the [spent nuclear fuel] from the

site for example, installing or upgrading rail track, roads, or barge slips necessary

to transfer [spent nuclear fuel] offsite. DEIS at 4-10, REC. 327 (JA1006).

11 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 21 of 75

However, despite the shift in responsibility and particularly in costs, the d raft

Environmental Impact Statement did not reach any qua ntifiable or qualitative

determination on these regional transportation impacts, risks and costs, and it did not

include them in its cumulative impact analysis, claiming the issues would be

speculative and beyond the scope. DEIS at 4-75, REC. 327 (JA1071). Likewise,

despite infrastructure improvement costs being necessary to transport spent nuclear

fuel to the ISP facility, the NRC did not quantify these costs. Id. at 8-11 (JA1193).

Without factoring in the risks and costs to be borne by state and local governments,

the NRC concluded that the socioeconomic impacts resulted in a small to moderate

beneficial impact for local finance. Id. at 4-75, 5 -46 (JA1071, JA1148). The failure

to factor in these costs is unreasonable, arbitrary, and capricious and does not provide

a complete picture of the actual impacts of the project. Sierra Club v. Sigler, 695

F.2d 957, 979 (5th Cir. 1983) (Simple logic, fairness, and the premises of cost-

benefit analysis, let alone NEPA, demand that a cost-benefit analysis be carried out

objectively. There can be no hard look at costs and benefits unless all costs are

disclosed.).

The Board and NRC summarily found that the evaluation of these risks and

costs was beyond the scope of the proceeding. LBP -21 -02, 93 NRC at 115, REC.

224 (JA0623). The conclusion that the project would have a small to moderate

beneficial impact on local finance is incomplete a t best, and it is arbitrary and

12 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 22 of 75

capricious to conduct such an analysis by including only beneficial impacts and

omitting significant costs. Under this standard, the NRC could conceivabl y show

any project as having a beneficial financial impact. This does not equate to the hard

look required by NEPA. Sigler, 695 F.2d at 979 (noting that if an agency were

permitted to cite possible benefits to promote a project but avoid citation of

accompanying costs, the cost-benefit analysis would be a sham).

Faskens Contention raises serious and significant safety and environmental

issues dealing with site-specific impacts in the Permian Basin and genuine disputes

with the NRC s consideration of same that fall squarely within the scope of the

proceeding. Both NEPA and NRCs own implementing regulations require

consideration of siting evaluation factors in determining impacts on the human

environment of a proposed project. 42 U.S.C. § 4332(C) ; 10 C.F.R. §§ 72.90-72.108.

Indeed, the draft Environmental Impact Statement is a self-declared site-specific

assessment. DEIS at 1-6, 5 -13, REC. 327 (JA0842, JA1115). NRCs Scoping

Summary Report concedes that these issues are material and within the scope.

Scoping Summary Report at A-8-10, B-20, B-35, REC. 307 (JA 0750-JA0752,

JA0753, JA0756). As such, the NRC is wrong to claim that such regional

transportation issues are outside of the scope of the proceedings or that such

impacts affecting cost and benefit analyses are unquantifiable.

13 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 23 of 75

B. Faskens Contention is Based on New and Material Information Regarding Regional Transportation Impacts, and the Draft Environmental Impact Statement s Omission of an Evaluation of Regional and Site -Specific Impacts Leads to Serious Safety and Environmental Issues

ISPs Environmental Report states that [spent nuclear fuel] would be

transported exclusively by rail. ER (Rev. 3) at 4-8, REC. 318.3 (JA0767). However,

the draft Environmental Impact Statement for the first time relies on a 2008 DOE

Yucca Mountain analysis which discloses supplemental modes of transportation,

including segments of barge or heavy-haul trucks to move the waste from generator

sites to rail lines. DEIS at 3-9, 4-6, REC. 327 (JA0897, JA1002). The draft

Environmental Impact Statement did not evaluate the environmental or safety

impacts from transportation of spent nuclear fuel via barges or heavy -haul trucks;

rather it relied on the DOE 2008 analysis and concluded that the supplemental mode

of transportation did not significantly change the minor radiological impacts from a

national mostly rail transportation campaign. Id. at 4-10 (JA1006).

Moreover, the NRC relied on representative transportation routes from the

2008 DOE Yucca Mountain analysis and prior impact analysis from NUREG -2125

(NRC 2014) for purposes of its evaluation of transportation impacts. Id. at 3-9

(JA0897). When facilities differ in operational characteristics that influence impact

determinations, the NRC must conduct and publicly disclose site -specific

evaluations. NUREG-2157 at 5-2 (JA2370) (acknowledging that not all storage

14 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 24 of 75

facilities will necessarily match the assumed generic facility and therefore when

it comes to size, operational characteristics and location of the facility, the NRC

will evaluate the site-specific impacts of the construction and operation of any

proposed facility as part of that facilitys licensing process). 3 Faskens Contention

asserts that in relying on these prior analyses, the NRC failed to consider regional

transportation issues and site -specific impacts in its analysis. It is well-established

that whether the NRCs analysis is generic or site -by -site, it must be thorough and

comprehensive. New York v. NRC, 681 F.3d 471, 481 (D.C. Cir. 2012).

The representative routes in NUREG-2125 involve shipment of spent nuclear

fuel to Deaf Smith, Texas, which is outside the Permian Basin. DEIS at 4-13, REC.

327 (JA1009); see also NUREG-2125 at 23, 28 (JA2344, JA2345). This

representative route is not representative of the regional transportation risks involved

with transporting and storing spent nuclear fuel in the Permian Basin. The

representative routes in the 2008 DOE Yucca Mountain document only reach

Monahans, Texas, and the NRC did not meaningfully consider impacts associated

with regional transportation from Monahans, Texas, to the ISP facility, as discussed

further below. DEIS at 2-11, REC. 327 (JA0865). By relying on the representative

3 Generic Environmental Impact Statement for Continued Storage of Spent Nuclear Fuel (NUREG-2157), (JA2346).

15 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 25 of 75

routes, the NRC fail ed to analyze impacts associated with the regional transportation

leg of transport of nuclear materials to the ISP facility.

NRCs reliance on NUREG -2125 also does not account for key differences

between the facilities. ISP does not propose a dry cask stora ge transfer facility and

has no repackaging or reprocessing capabilities, adopting a return to sender policy

instead, unlike that in NUREG-2125. EIS at D-33, 57-58, REC. 355 (JA1801,

JA1825-JA1826). The NRC did not do the site-specific analysis required. Instead,

the NRC adopt ed DOEs impact analysis despite the lack of contracts and

arrangements for storage of [spent nuclear fuel]... the specific characteristics of the

[spent nuclear fuel], the origins of shipments, the routes of travel, shi ppers and

carriers, and specific plans and other details have not yet been clarified, and it found

similar impact determinations for ISP and the facilities in NUREG -2125 despite

substantial differences in repackaging and reprocessing capabilities and the presence

of dry cask storage transfer facilities. EIS at D-33, 57-58, REC. 355 (JA1801,

JA1825-JA1826). NRCs omission of any consideration for these key operational

differences and the relevant impacts on transportation is arbitrary and capricious.

Union Neighbors United, Inc. v. Jewell, 831 F.3d 564, 574 (D.C. Cir. 2016) (an

agency acts arbitrarily or capriciously if it has relied on factors which Congress has

not intended it to consider or entirely failed to consider an important aspect of the

problem) (internal quotation omitted).

16 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 26 of 75

Next, as set forth in Faskens Contention and supporting affidavit, the regional

rail lines for transport to the ISP site are also regularly used by the oil and gas and

agricultural industries in the region. Contention Mtn. at 21, REC. 209 (JA0516).

Every single transport of spent nuclear fuel will travel along the Texas-New Mexico

Railroad to ISP. Contention Mtn. Ex. 1 at ¶ 11, REC. 210 (JA0525); DEIS at 2-11,

REC. 327 (JA0865). As demonstrated in Faskens supporting affidavit, even the

most minimal transportation incident has the potential to interrupt or foreclose

regional oil and gas, agricultural, and ranching activities with substantial adverse

economic impacts to property interests and assets of Fasken and industries within

the Permian Basin. Contention Mtn. Ex. 1 at ¶¶ 9-10, REC. 2 10 (JA0525). The

affidavit further highlights the vital importance of local rail transportation to energy

freight: local rails are necessary to ship components to drill and complete an oil

well and bring it to production and [a]ny hazardous materials emergency upon th e

rails that interferes with energy freight poses a loss of millions of dollars per day

affecting multiple operators in the Permian Basin. Id. at ¶ 12 (JA0525-JA0526).

The affidavit further notes that the single-track railway proposed for use in the draft

Environmental Impact Statement traverses remote and rural areas lacking

emergency responder resources and is served mostly by volunteer fire

departments. Id. at ¶ 13 (JA0526).

17 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 27 of 75

In addition, the NRCs analysis fail s to consider regional geographic

characteristics such as sinkholes, subsidence and seismicity, which present a threat

to both the regional transportation and storage at the ISP site. Contention Mtn. at 20-

21, REC. 209 (JA0515 -JA0516) and Ex. 1 at ¶ 14, REC. 210 (JA0526) (referencing

the increased rate of rail accidents in the region and areas prone to subsidence,

sinkholes and seismicity through which spent nuclear fuel will be transported). 4

Further, the ongoing and extensive oil and gas and mining op erations in the region,

combined with the real potential for terrorist attack or sabotage, are legitimate issues

that should be included in the impacts analysis. With respect to terrorism, the Board

relied on NRCs prior conclusion that it need not conside r terrorism in its NEPA

analysis outside the Ninth Circuit, which itself is arbitrary and capricious. LBP 02, 93 NRC at 116, REC. 224 (JA0624 ).

In denying Faskens Contention, the Board and NRC ignored the specific

regional issues raised in the Contention and broadly construed it as a challenge to

the use of three representative national transportation routes, similar to contentions

previously brought and denied. Id. at 112-114 (JA0620-JA0622) (improperly

characterizing Faskens Contention as the DEIS should identify specific

4 Fasken has extensive experience and expertise operating in the Permian Basin. On the other hand, the NRC is not an expert in this area and should not be afforded limitless deference.

18 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 28 of 75

transportation routes). 5 As discussed above, Faskens argument is based on the

NRCs lack of consideration of regional transport routes, geographic considerations

and adverse impacts to regional industries use of same rails and roads within 50-

mile radius. Contention Mtn., REC. 209 (JA0508). The NRC oversimplified and

misrepresented the underlying basis, factual support and evidence presented by

Fasken, which focused on the differences between the draft Environmental Impact

Statement and ISPs Environmental Report and the material omission of site -specific

and regional impacts of nuclear transport into and out of the Permian Basin.

Contention Mtn., REC. 209 (JA0492) ; Reply, REC. 215 (JA0545); NRC Petition for

Review, REC. 225 (JA 0626).

The draft Environmental Impact Statement insufficiently consider ed regional

transportation issues in light of the above issues and erroneously deemed the

transportation impacts, as well as the land use impacts, to be small. DEIS at 4-4, 4-

9, 4-21, 5 -20, REC. 327 (JA1000, JA1005, JA1017, JA1122 ). However, NEPA

requires the NRC to take a hard look at the consequences of a proposed federal

action and to investigate and evaluate cumulative impacts of the proposed action

before undertaking any action that could affect the quality of human environment.

5 Although the Board characterized Faskens regional transportation contention as virtually identical to previously dismissed contentions, the opinion dismissing the prior contentions was issued in 2019 and involved contentions filed in 2018 based on ISPs early application documents that have since been revised multiple times.

19 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 29 of 75

42 U.S.C. § 4332( C). The issues raised by Fasken s Contention implicate important

legal, safety, and environmental impacts that must be investigated and evaluated

under NEPA and NRC regulations. See, e.g., 10 C.F.R. § 72.100(b) ( Each site must

be evaluated with respect to the effects on the regional environment resulting from

construction, operation, and decommissioning for the [Independent Spent Fuel

Storage Installation] or [Monitored Retrievable Storage] ; in this evaluation both

usual and unusual regional and site characteristics must be taken into account. ).

Further, transportation is undeniably a key factor in considering impacts on

the human environment, including land uses, geology and soils, and the costs and

benefits of the ISP facility. Given ISPs location in the middle of the Permian Basin,

surrounded by extensive ongoing oil and gas extraction and agricultural operations,

the NRC must consider site -specific and regional characteristics in not only its

evaluation of cumulative impacts, but also heightened safety and socioeconomic

risks and graver consequences of locating the facility in the heart of the nations

most productive oil hub. The NRC cannot deny that transportation issues here are

hotly contested and transportation of nuclear waste, by its very nature, implicates

important safety and environmental issues warranting a reopening of the ISP

proceeding for a proper evidentiary hearing on the underlying facts and evidence

missing from the record and decision-making process here.

20

USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 30 of 75

III. THE NRC ARBITRARILY AND CAPRICIOUSLY DENIED FASKENS MOTION TO REOPEN AND MOTION FOR LEAVE TO FILE NEW CONTENTION

Faskens Motions should have been granted and the re cord should have been

reopened to address the significant safety and environmental issues raised by Fasken,

discussed above. Hearings may be reopened, in appropriate situations, either upon

motion of any party or sua sponte. In the Matter of Vermont Yankee Nuclear Power

Corp., 6 A.E.C. 358, 362, 1973 WL 18107 (1973); In the Matter of Georgia Power

Co., 2 N.R.C. 404, 1975 WL 20090, at *4 (1975) (hearing may be reopened when a

significant safety or environmental issue is involved).

Faskens Motion to Reopen was filed with not one, but two, relevant

supporting affidavits addressing the adverse regional socioeconomic impacts

transportation poses on oil and gas and agricultural industries as well as other site -

specific cumulative impacts overlooked and discounted in NRCs d raft

Environmental Impact Statement. The new and ma terial information and

conclusions identified by Fasken were disclosed for the first time in the draft

Environmental Impact Statement and substantially differ ed from ISPs application

documents. As such, Faskens Motions were timely filed, they had good ca use for

filing same, and they warranted remand and appropriate agency consideration as

discussed herein.

21 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 31 of 75

By closing the record prior to publication of the d raft Environmental Impact

Statement, the NRC has effectively insulated its failure to take a hard l ook at the

effects of the ISP facility on the human environment and to independently

investigate cumulative impacts, among others, by foreclosing new issues from being

raised unless a heightened pleading standard is met. In this way, the NRC has

obscured its decision-making process and shielded its findings on environmental

impacts from public scrutiny, contrary to the core objectives of NEPA.

The heightened pleading standard applied here required Fasken to file any

potential NEPA-based challenges at the outset based on ISP s Environmental

Report, before ISP submitted all of its supplemental documentation. T his heightened

standard cannot be reconciled with the rationale of the Boards decision, which

repeatedly references information and conclusions in ISPs third round of substantial

revisions to its Environmental Report a document that was only made publicly

available in February 2020, long after the initial 2018 hearing deadline, and after the

NRC officially terminated and closed the IS P proceeding in December 2019. LBP-

21- 02, 93 NRC at 111-112, REC. 224 (JA0619-JA0620) ; ER (Rev. 3), REC. 318

(JA0758).

The Boards opinion summarily states that Fasken may not seize on the

publication of the NRC staffs draft Environmental Impact Statement as an excuse

not to raise challenges to ISPs license application that Fasken could have timely

22 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 32 of 75

raised in 2018 but did not. LBP-21 -02, 93 NRC at 109-110, REC. 224 (JA0617-

JA0618). Yet, Faskens claims relate to the NRCs lack of independent investigation

in its preparation of the draft Environmental Impact Statement that differ

substantially from ISPs third (and even earlier rounds) of Environmental Report

revisions and could not have been reasonably brought in 2018. The application of

such a heightened standard here, requiring petitioners to anticipate conclusions and

information in yet-to -be-published documents, creates an impenetrable fortress and

merely illusory avenue to scrutinizing agency decision-making, contrary to the core

objectives of NEPA and NRC transparency requirements.

CONCLUSION

For the foregoing reasons, Fasken respectfully requests that the Court reverse

NRC Order CLI-21- 09 regarding Faskens Motion to Reopen and Motion for L eave

to File a N ew Contention and remand this matter to the NRC for a full evidentiary

hearing on the merits of Faskens Contention.

Dated: August 9, 2022 Respectfully submitted,

/s/ Allan Kanner Allan Kanner a.kanner@kanner -law.com Annemieke Tennis a.tennis@kanner-law.com KANNER & WHITELEY, LLC 701 Camp Street New Orleans, LA 70130 (504) 524-5777

23 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 33 of 75

Monica Renee Perales 6101 Holiday Hill Road Midland, TX 79707 (432) 687-1777 monicap@forl.com

Counsel for Petitioners Fasken Land & Minerals, Ltd. and Permian Basin Land and Royalty Owners

24 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 34 of 75

CERTIFICATE OF COMPLIANCE WITH TYPE-VOLUME LIMITATION, TYPEFACE REQUIREMENTS AND TYPE STYLE REQUIREMENTS

1. This brief complies with the type -volume limitation of the Courts

February 15, 2022, Order because it contains 4,963 words, excluding the parts of the

brief exempted by Fed. R. App. P. 32( f), and when combined with the other

consolidated Petitioners briefs, Petitioners briefs do not exceed 20,000 words.

2. This brief complies with the typeface requirements of Fed. R. App. P.

32(a)(5) and the type style requirements of Fed. R. App. P. 32(a)(b) because it has

been prepared using Microsoft Word in Times New Roman, 14 pt. font.

Respectfully submitted,

/s/ Allan Kanner Allan Kanner

25 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 35 of 75

CERTIFICATE OF SERVICE I hereby certify that the electronic original of the foregoing Revised Opening

Brief of Petitioners was filed with the United States Court of Appeals for the D.C.

Circuit on this 9 th day of August 2022, through the Courts CM/ECF electronic

filing system, and thus also served on counsel of record.

Respectfully submitted,

/s/ Allan Kanner Allan Kanner

26 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 36 of 75

ADDENDUM OF STATUTES AND REGULATIONS

TABLE OF CONTENTS National Environmental Policy Act, 42 U.S.C. §4332(C )...... STATUTORY ADD 2 10 C.F.R. § 2.309(c)(1)........................................................... STATUTORY ADD 3 10 C.F.R. § 2.309(f)(1), (2)..................................................... STATUTORY ADD 4 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 37 of 75

National Environmental Policy Act, 42 U.S.C. § 4332(C)

The Congress authorizes and directs that, to the fullest extent possible: (1) the policies, regulations, and public laws of the United States shall be interpreted and administered in accordance with the policies set forth in this chapter, and (2) all agencies of the Federal Government shall --

(C) include in every recommendation or report on proposals for legislation and other major Federal actions significantly affecting the quality of the human environment, a detailed statement by the responsible official on--

(i) the environmental impact of the proposed action,

(ii) any adverse environmental effects which cannot be avoided should the proposal be implemented,

(iii) alternatives to the proposed action,

(iv) the relationship between local short-term uses of mans environment and the maintenance and enhancement of long-term productivity, and

(v) any irreversible and irretrievable commitments of resources which would be involved in the proposed action should it be implemented.

Prior to making any detailed statement, the responsible Federal official shall consult with and obtain the comments of any Federal agency which has jurisdiction by law or special expertise with respect to any environmental impact involved. Copies of such statement and the comments and views of the appropriate Federal, State, and local agencies, which are authorized to develop and enforce environmental standards, shall be made available to the President, the Council on Environmental Quality and to the public as provided by section 552 of Title 5, and shall accompany the proposal through the existing agency review processes; USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 38 of 75

10 C.F.R. § 2.309 (c)( 1) - Hearing requests, petitions to intervene, requirements for standing, and contentions.

(c) Filings after the deadline; submission of hearing request, intervention petition, or motion for leave to file new or amended contentions

(1) Determination by presiding officer. Hearing requests, intervention petitions, and motions for leave to file new or amended contentions filed after the deadline in paragraph (b) of this section will not be entertained absent a determination by the presiding officer that a participant has demonstrated good cause by showing that:

(i) The information upon which the filing is based was not previously available;

(ii) The information upon which the filing is based is materially different from information previously available; and

(iii) The filing has been submitted in a timely fashion based on the availability of the subsequent information.

USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 39 of 75

10 C.F.R. § 2.309(f)(1), (2) - Hearing requests, petitions to intervene, requirements for standing, and contentions.

(f) Contentions.

(1) A request for hearing or petition for leave to intervene must set forth with particularity the contentions sought to be raised. For each contention, the request or petition must:

(i) Provide a specific statement of the issue of law or fact to be raised or controverted, provided further, that the issue of law or fact to be raised in a request for hearing under 10 CFR 52.103(b) must be directed at demonstrating that one or more of the acceptance criteria in th e combined license have not been, or will not be met, and that the specific operational consequences of nonconformance would be contrary to providing reasonable assurance of adequate protection of the public health and safety;

(ii) Provide a brief explanation of the basis for the contention;

(iii) Demonstrate that the issue raised in the contention is within the scope of the proceeding;

(iv) Demonstrate that the issue raised in the contention is material to the findings the NRC must make to support the action that is involved in the proceeding;

(v) Provide a concise statement of the alleged facts or expert opinions which support the requestors/petitioners position on the issue and o n which the petitioner intends to rely at hearing, together with references to the specific sources and documents on which the requestor/petitioner intends to rely to support its position on the issue;

(vi) In a proceeding other than one under 10 CFR 52.103, provide sufficient information to show that a genuine dispute exists with the applicant/licensee on a material issue of law or fact. This information must include references to specific portions of the applicati on (including the applicants environmental report and safety report) that the petitioner disputes and the supporting reasons for each dispute, or, if the petitioner believes that the application fails to contain information USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 40 of 75

on a relevant matter as required by law, the identification of each failure and the supporting reasons for the petitioners belief; and

(vii) In a proceeding under 10 CFR 52.103(b), the information must be sufficient, and include supporting information showing, prima facie, that one or more of the acceptance criteria in the combined license have not been, or will not be met, and that the specific operationa l consequences of nonconformance would be contrary to providing reasonable assurance of adequate protection of the public health a nd safety. This information must include the specific portion of the report required by 10 CFR 52.99(c) which the requestor believes is inaccurate, incorrect, and/or incomplete (i.e., fails to contain the necessary information required by § 52.99(c)). If the requestor identifies a specific portion of the § 52.99(c) report as incomplete and the requestor contends that the incomplete portion prevents the requestor from making the necessary prima facie showing, then the requestor must explain why this deficiency prevents the requestor from making the prima facie showing.

(2) Contentions must be based on documents or other information available at the time the petition is to be filed, such as the application, supporting safety analysis report, environm ental report or other supporting document filed by an applicant or licensee, or otherwise available to a petitioner. On issues arising under the National Environmental Policy Act, participants shall file contentions based on the applicants environmental r eport.

Participants may file new or amended environmental contentions after the deadline in paragraph (b) of this section (e.g., based on a draft or final NRC environmental impact statement, environmental assessment, or any supplements to these documents) if the contention complies with the requirements in paragraph (c) of this section.

USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 41 of 75

STANDING ADDENDUM

TABLE OF CONTENTS

Exhibit 1: Declaration of Tommy Taylor.................................. STANDING ADD 2

Exhibit 2: Declaration of D.K. Boyd....................................... STANDING ADD 15

Exhibit 3: Declaration of Grant Huckabay.............................. STANDING ADD 23 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 42 of 75

ADDENDUM EXHIBIT #1

Declaration of Tommy Taylor (11/8/2021)

USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 43 of 75

UNITED STATES COURT OF APPEALS FOR THE DISTRICT OF COLUMBIA CIRCUIT

DONT WASTE MICHIGAN, et al.,

Petitioners, Case No. 21-1048 v.

Consolidated with Case Nos.

UNITED STATES NUCLEAR 21-1055, 21-1056, 21-1179 REGULATORY COMMISSION and the UNITED STATES OF AMERICA,

Respondents.

DECLARATION OF TOMMY TAYLOR

1. My name is Tommy E. Taylor and my business address is 6101 Holi day Hill

Road, Midland, Texas 79707. I reside at 4100 Timberglen Circle, Midland, Texas

79707. My position with Fasken Ma nagement, LLC (Fasken) is Vice President and

Director of Oil and Gas Development. I am authorized by Fasken to execute this

declaration on its behalf and on behalf of the Permian Basin Co alition of Land and

Royalty Owners and Oil & Gas Operators (PBLRO) of which Fasken is a member

and of which I am an officer.

2. This declaration is in support of the Petition for Review of Fa sken and PBLRO

in the above-captioned docket. I, on behalf of Fasken, previously authorized PBLRO

to protect its interests by representing it in the prior Motion to Dismiss and petitions

to intervene filed with the NRC alleging ISPs license application is inadequate and

1 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 44 of 75

illegal as written. I, on behalf of Fasken, further authorized PBLRO to appeal those

decisions to this Court.

3. Fasken Land and Minerals, of whi ch Fasken Management, LLC is it s General

Partner, is engaged in ranching as well as oil and gas extraction and production

activities in the Permian Basin and in the vicinity of the Inte rim Storage Partners,

LLC (ISP) consolidated interim storage facility (CISF) in Andre ws County, Texas

and the proposed Holtec International (Holtec) CISF in Eddy County and Lea

County, New Mexico. Fasken owns property and currently operates active oil and

gas properties within eighteen miles of the ISP CISF site in Andrews County, Texas.

4. PBLRO is an association with long-term economic, social and env ironmental

interests in the Permian Basin that formed in response to ISPs and Holtecs CISF

applications to construct and operate CISFs.

5. PBLRO presently has substantial land and mineral interests, and active leases

throughout Andrews County, Texas, with a founding PBLRO member owning land

used for oil and gas operations, cattle operations, and living quarters within four

miles of the ISP CISF site.1

6. I am personally familiar with other members of PBLRO of which t here are 65

individual members, with multiple ranchers engaged in agricultural activities and

owning land in the area for over a century and at least three m embers being publicly

1 See e.g., Ex. 2, Declaration of D.K. Boyd, Petition of PBLRO and Fasken for Intervention and Request for Hearing (Sept. 28, 2018) (ADAMS ML18302A412).

2 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 45 of 75

traded corporations (two integrated and one large independent o il and gas operator),

as well as numerous private companies involved in the extractio n and production of

oil and gas in the Permian Basin and in close proximity to the proposed transport of

spent nuclear fuel and storage of spent nuclear fuel at ISP and Holtec CISFs.

7. I am personally familiar with the agricultural use of the land within the

vicinity of the ISP CISF site and of the members of the PBLRO t hat live, work and

travel along proposed transportation routes, graze their animal s within four miles of

the ISP CISF and draw water from wells that are fed by shallow groundwater from

formations that are present beneath the ISP CISF.

8. Both my employment duties and personal reasons require me to tr avel to and

spend time in the area of the I SP CISF. I generally use State Highway 176 when I

am in the area for travel purposes. At its closest point, State Highway 176 is

approximately 1 mile from the ISP CISF site. Additionally, I am personally aware

of other Fasken employees who regularly travel for employment a nd personal

reasons to the area and use State Highway 176 as well.

9. As the Director of Oil and Gas Development for Fasken, I am personally

familiar with ongoing oil and gas activities in the vicinity of the ISP CISF and

throughout the Permian Basin. Fasken has owned the land and min erals within the

vicinity of the ISP CISF for over a century and drilled its first well in the Permian

Basin approximately 70 years ago.

3 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 46 of 75

10. I also have personal knowledge of the activities of other oil a nd gas entities

that are members of the PBLRO, one of which began drilling in t he Permian Basin

approximately 80 years ago and has extensive interests within close proximity to the

ISP CISF. Neither Fasken nor any me mber of PBLRO has relinquish ed control of

their interests for the ISP CISF.

11. There are approximately 4,579 wellbores within a 10-mile radiu s of the

proposed CISF of which 1,066 were drilled and plugged prior to 1967 thus posing a

potential risk of contamination. There are thousands of active oil and gas wells

within a 50-mile radius of the proposed rail and road routes that will transport

radioactive materials to the ISP CISF.

12. It is well-established and acknowledged that the Permian Basin is home to one

of the most productive oil and gas hubs in the world. The Basin contains billions of

barrels of hydrocarbons and millions of acre-feet of groundwate r. It is the largest

and most important hydrocarbon pr oducing basin in the United. S tates. It produces

50% of domestic hydrocarbons and 5% of global oil (EIA, 2020). These hydrocarbon

and groundwater resources ensure domestic energy needs and global security.

13. According to the Permian Basin Petroleum Association, the Per mian Basin,

which includes Andrews County, produced approximately 5 million barrels of oil

per day in 2019 and anticipates a n increase to as much as 8 mil lion barrels per day

by 2023. The region produced 6,668 million cubic feet (MMcf) of natural gas per

4 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 47 of 75

day in 2017; 9,076 MMcf per day in 2018; 11,874 MMcf per day in 2019; 12,934

MMcf per day in 2020; and 12,658 MMcf per day through July in 2 021.2

14. According to the Texas Railroad Commission, the Permian Basin accounts

for approximately one-third of the nations oil production.

15. I understand that a radiation release from the ISP CISF or dur ing

transportation of spent nuclear fuel through or near the Permia n Basin or during any

intermodal transferring functions may contaminate the areas in which Fasken and

other members of the PBLRO have oil and gas property interests and/or extraction

and production facilities. Such a release of radiation would cause contamination that

would interfere or preclude the continued production of oil and gas in the Permian

Basin. A radiological contamination event has the potential to interrupt or foreclose

further oil and gas extracti on/production activities and thereby diminish or eliminate

the economic value of the oil and gas assets of Fasken and othe r members of

PBLRO.

16. Likewise, I understand a radiation release from the ISP CISF or during

transportation of spent nuclear fuel through or near the Permia n Basin may

contaminate the areas in which Fasken and other members of PBLRO have land

interests and agricultural or cattle operations. A radiological contamination event

2 Source: Texas Railroad Commission Production Data Query System (PDQ), Texas Permian Basin Average Daily Natural Gas Production 2008 Through July 2021, available at: https://www.rrc.texas.gov/media/t3plr20l/gas-production.pdf.

5 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 48 of 75

also has the potential to interr upt agricultural and ranching o perations and thereby

diminish or eliminate the economic value of real property value s and related assets

of Fasken and other members of PBLRO.

17. I am concerned that radiological contamination also has poten tial human

health effects that may cause death, radiation related ailments and/or genetic defects.

This potential, in addition to the adverse impacts on human mor tality and morbidity

rates, also has substantial economic costs associated with medi cal care and treatment

of radiation related conditions that affect Fasken and other members of PBLRO.

18. I understand that even the most minimal transportation inciden t, such as a

derailment or collision involvi ng spent nuclear fuel, would amount to a dangerous

materials emergency that has the potential to interrupt or fore close further oil and

gas extraction/production activities within the area of the inc ident, as well as

adversely affecting the recipients of oil commodities which are regularly transported

by rail. A transportation incident involving either of the two rail lines, identified as

the proposed transportation routes for shipments of spent nucle ar fuel in the ISP final

Environmental Impact Statement (EIS), the Union Pacific Railroa d or the Texas-

New Mexico Railroad, would likely diminish or has the potential to eliminate the

economic value of oil and gas a ssets belonging to Fasken and ot her members of

PBLRO.

6 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 49 of 75

19. Even the most minimal transportation incident involving spent nuclear fuel

has the potential to interrupt or foreclose agricultural and ranching activities in the

Permian Basin, thereby diminishing or eliminating the economic value of the real

property interests and assets of Fasken and other members of PBLRO.

20. Both Fasken and PBLRO regularly utilize rail transportation t o support their

industries and extensive and ongoing operations. Those named in the ISP EIS, Union

Pacific Railroad and the Texas-Mexico Railroad, both serve the oil, gas, agricultural

and ranching industries in the region of the ISP CISF. Accordi ng to Union Pacific,

two of its four key operating segm ents are the agricultural and energy industries.

Union Pacific reported revenue from energy freight in 2019 as $ 3.8 billion. It reports

that railroads are the most efficient and cost-effective means of transportation of

crude, frac sand, and petroleum by-products and transported 1.4 million carloads of

energy freight shipments in 2019. In fiscal year 2019, agricult ural commodities

accounted for 18% of Union Pacifics shipments and energy freig ht accounted for

22%. The Texas-New Mexico Railroad extends from a Union Pacifi c connection at

Monahans, Texas. It is one of tw o lines owned by Watco that primarily serve the

Permian Basin. Watco reports oilfield commodities as its prima ry shipments on the

Texas-New Mexico Railroad and agricultural commodities as prima ry on its

Lubbock and Western Railways shipments.

7 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 50 of 75

21. With regard to energy freight, Fasken relies upon the rail lin es of the Permian

Basin primarily for transporting sand, acid, casing and tubing, cement, gel, and

various liquid and dry chemical components that are used for bl ending associated

products that are all necessary to drill and complete an oil well and bring it to

production. PBLRO members utilize the Permian Basin rail lines primarily for

materials similar to that of Fasken but also for water, additio nal frac chemicals, and

acid. According to the ISP EIS, the ISP CISF would utilize the same rail lines which

the oil and gas industry of the Permian Basin heavily relies up on. Any hazardous

materials emergency upon the rails that interferes with energy freight poses a loss of

millions of dollars per day affecting multiple operators in the Permian Basin,

including Fasken and other members of PBLRO. Likewise, any det erioration of the

existing rail lines as a result of transport of oversized railc ars transporting spent

nuclear fuel, dedicated single-use shipments of spent nuclear fuel or other

infrastructure improvements necessary to accommodate shipments of spent nuclear

fuel will cause substantial delays for industries throughout th e Permian Basin. As an

example, a typical Fasken horizontal multi-well drilling projec t cannot be completed

until the staging of materials is achieved. Rail delays amount to potential lost

production totals of approximately 5,800 barrels of oil per day and 3,500 million

cubic feet of gas daily, per multi-well horizontal drilling pad. This equates to a loss

of $350,000 daily and $10.6 milli on monthly in lost production from a single multi-

8 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 51 of 75

well pad. A delay on the rails t hat results in standby costs o n a frac job amount to

$115,000 per day, per well and drilling rig operation standby costs amount to

$50,000 per day, per drilling rig. Additionally, leases are susceptible to termination

under Texas rules on nonproducing wells. In the event such a loss occurs, an

operator such as Fasken, or one of the members of PBLRO, stands to lose a capital

investment of $10 to $14 million per well. Possible remedies, including lease

extensions, are onerous and expe nsive. As a representative of the industry, one must

look to the risks posed by sharing the same rail lines that have primarily and

historically been transporting oil commodities with spent nucle ar fuel and high-level

radioactive waste over the course of at least the next forty years (and likely longer).

22. The single-track railway proposed in the ISP EIS for the trans port of spent

nuclear fuel traverses through rural, remote areas. Although the rail lines in the

Permian Basin are a major means of transportation, they are situated in desert-like

areas served mostly by volunteer fire departments or areas lack ing emergency

responder resources. In consulting crane operators regarding th e ISP EIS, there are

real logistical problems in situ ating a crane capable of resetting a spent nuclear fuel

transport cask and rail car in some of the more remote areas of the Permian Basin.

Also, a single hazardous materials emergency would not only hav e a detrimental

effect upon the oil and agricultural industries of the Permian Basin but would also

9 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 52 of 75

overwhelm our first responders and healthcare facilities which are not equipped to

cope with the challenges of a release, exposure or disaster nor are the small, rural

communities adjacent to the rail track equipped to respond to a n incident on any

scale.

23. Not including derailments, the Permian Basin region has experienced a

highly significant increase in rail related crashes in recent years. In fact, the Midland-

Odessa Transportation Alliance (MOTRAN) reports that from 2016-2018, there

were 158 rail related crashes in t he Texas Department of Transportation Odessa

District with just over half of those accidents occurring in Midland and Ector

Counties. This is the very area through which the spent nuclear fuel would be

transported via rail. MOTRAN reports that during that same period, other Permian

Basin counties also experienced drastic increases: Ector County s a w a 5 5 % i n c r e a s e,

Reeves saw a 266% increase, and Ward County saw a 700% increase in rail related

crashes.

24. I am personally familiar with oil and gas activity in the vici nity of the ISP

CISF and of the approximately 120 individual persons required t o facilitate the

completion of each individual oil and gas well in the vicinity of the ISP CISF. The

potential harm to those individuals in the oil and gas industry, the potential harm to

the ranchers and livestock, the potential impacts upon agricult ure and, especially,

upon human mortality and morbidity rates, and the economic cost s associated with

10 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 53 of 75

medical care and treatment of radiation related conditions would also adversely

impact Fasken and other members of PBLRO, as well as their empl oyees and

families.

25. As a resident of Texas and given Faskens work throughout the P ermian Basin

and familiarity with those in governance of the States of Texas and New Mexico, I

have firsthand knowledge of the overwhelming opposition of the majority of the

communities and elected representatives throughout Texas, as well as New Mexico,

and of their shared health, sa fety, economic and environmental concerns in response

to the egregious siting of the ISP and Holtec CISFs within the Permian Basin at

locations that clearly do not qualify nor do they consent to hosting either of the

CISFs.

11 Under penalty of perjury, the above is true and correct to the best of my knowledge and understanding.

Declarant: F'asken LanddMinerals Ltd.

By Fasken Management, LLC, its General Partner Tommy Taylor, Sr. Vice President (Cases; 0003055 1.DOCX} 6 STANDING ADD 14 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 54 of 75 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 55 of 75

ADDENDUM EXHIBIT #2

Declaration of D.K. Boyd (11/8/2021)

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ADDENDUM EXHIBIT #3

Declaration of Grant Huckabay (11/8/2021)

USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 64 of 75

UNITED STATES COURT OF APPEALS FOR THE DISTRICT OF COLUMBIA CIRCUIT

DONT WASTE MICHIGAN, et al.,

Petitioners, Case No. 21-1048 v.

Consolidated with Case Nos.

UNITED STATES NUCLEAR 21-1055, 21-1056, 21-1179 REGULATORY COMMISSION and the UNITED STATES OF AMERICA,

Respondents.

DECLARATION OF GRANT HUCKABAY

1. My name is Grant Huckabay and I have a degree in natural resour ce

management, legal studies, and urban development. Since May 3, 2021, I have been

employed by Fasken Oil and Ranch, Ltd. (Fasken), located at 610 1 Holiday Hill

Road, Midland, Texas 79707, as Health, Safety, & Environmental Coordinator. I am

duly authorized to execute this affidavit on behalf of Fasken.

2. I have personal knowledge of the information as stated herein.
3. Fasken presently has lands and mineral interests within eightee n miles of the

Interim Storage Partners, LLC (ISP) consolidated interim storag e facility (CISF)

located in Andrews County, Texas. Fasken is a member of Permian Basin Land and

Royalty Owners (PBLRO). PBLRO presently has lands and mineral i nterests

1 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 65 of 75

throughout Andrews County, Texas as well with the nearest membe r holding land

and minerals within four miles of the proposed ISP CISF.

4. In my capacity as Faskens Health, Safety, & Environmental Coor dinator, my

duties include primary management of all environmental policies, procedures, and

programs for air, soil, and water concerns. My specific duties include coordination

and oversight of all spill incidents, air permitting and air co mpliance, management

of radiation issues, all regulatory interaction and notificatio n, as well as management

and oversight of environmenta l vendors. I have knowledge of, interpret, and prepare

comments on and ensure compliance with all new and current fede ral, state, and

local regulations under the U.S. Environmental Protection Act (EPA), the U.S.

Bureau of Land Management (BLM), the Texas Railroad Commission (RRC), the

Texas Commission on Environmental Quality (TCEQ), the New Mexic o

Environment Department (NMED), and the State of New Mexico Oil Conservation

Division (NMOCD), among others. Additionally, I monitor legisla tion, regulations

and ensure compliance with any protected, threatened and endang ered species and

habitat program requirements. I also ensure compliance with all Occupational Safety

and Health Administration (OSHA) regulations

5. As part of my responsibilities at Fasken, I frequently travel in the vicinity o f

the ISP CISF along regional transportation infrastructure. I am generally familiar

w i t h t h e n a t u r a l r e s o u r c e s o f t he area, including the air, geology, and soils throughout

2 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 66 of 75

the Permian Basin Region and have personal knowledge of the geo logy and soils

encompassing Faskens land and mineral interests in the vicinity of the ISP CISF.

6. The ISP CISF site is situated in the approximate geographic center of the

Permian Basin Region. The Permian Basin produces the largest volume of oil and

gas in North America and recen tly surpassed Saudi Arabia in pet roleum production.

The Permian Basin region encompa sses a relatively large region in Texas and

southeastern New Mexico and has a population of more than half-a-million people.

7. The ISP CISF represents a threat to Fasken: personnel, private property, r eal

property, mineral and water int erests, oil and gas leases and agricultural interests. It

also represents a threat to numerous communities throughout Tex as and New

Mexico.

8. The Permian Basin Region is comprised of fifty-five counties in west Texas,

and south-eastern New Mexico. The counties in the Permian Basi n considered to be

most imminently threatened by the ISP CISF site include some of the most prolific

oil producing counties, including Andrews, Crane, Dawson, Ector, Gaines,

Glasscock, Howard, Loving, Martin, Midland, Reeves, Upton, Ward, and Winkler

Counties in Texas and Eddy and Lea Counties in New Mexico. Thes e imminently

threatened counties have a population of nearly 500,000 and col lective area of over

20,000 square miles in the Permian Basin. A radiological event within any of these

counties could be devastating to the nations oil and gas industry and would decimate

3 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 67 of 75

the economies of Texas and New Mexico. By way of comparison, th e 1,835 square

mile Chernobyl Exclusion Zone would compromise 13.2% of the hig hest oil

producing region in the Americas, the Permian Basin.

9. Any pressurized release, dry cask rupture, explosion, or fire involving spent

nuclear fuel will release radioactive particles and fragments into the air. This is a

direct threat to both PBLRO and Fasken personnel, private prope rty, real property,

oil and gas reserves and leases a s well as agricultural interests. Currently, the closest

Fasken oil and gas wells are approximately 18 miles due east of the ISP CISF

(Fasken Monterrey University and Lowe University leases). Dozens of other Fasken

oil and gas wells are present in all directions from the site. Faskens private property,

the C-Ranch, begins 38 miles nearly due east (northwestern prop erty line) of the site

and continues south to the Midland city limits. This broad expanse of land has a high

probability of receiving airborne radioactive contaminants from the ISP CISF as a

result of typical wind patterns in the area.

10. Public data from the National Weather Service and the Texas Commission

on Environmental Quality (TCEQ) indicates that regional winds around the ISP

CISF blow to the southeast approximately 25% of the time on an annual basis. On

average, the Permian Basin Region has higher winds than much of the rest of Texas

and the United States. According to the ISP application seeking a CISF license, the

average windspeed is 11.0 miles per hour. It fails to account f or the frequency of

4 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 68 of 75

high-wind gusts in the area of the proposed CISF. In comparison Houston, Texas

winds vary from 8.3 mph to 6.7 mph, depending on the season. An y release of

radioactive material might arrive in the Midland-Odessa metropo litan area (with a

population of more than 260,000) in a matter of hours with no w arning. The most

dominant direction of wind is from south to north, placing the town of Hobbs, New

Mexico (population 38,000), which is less than 20 miles away from the proposed

ISP CISF, in direct danger in the event of a release. Also, imminently threatened is

the town of Eunice, New Mexico (population 2,900), which is app roximately 5 miles

from the proposed site.

11. The broader perspective is that the Permian Basin Regions winds are highly

variable and change direction frequently throughout a given day. With the ISP CISF

sites geographically central location in the Permian Basin, any release carried by

winds in any direction risks contaminating large areas of the m ost productive oil and

gas region in North America. Depending on wind direction and sp eed, hundreds of

thousands of people could be affected, including personnel of F asken and other

members of PBLRO.

12. And any radiological incident in the Permian Basin poses a se rious threat to

regional industries and economies. A Department of Energy Repor t found that an

accident involving only one dry cask where only a small amount of waste was

released in a rural setting would contaminate a 42-square mile area with clean-up

5 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 69 of 75

costs exceeding $620 million dollars. A similar release in an u rban setting might cost

$9.5 billion per square mile.

13. The ISP CISF is also a direct threat to regional groundwater u sage. Several

aquifers or geologic formations containing groundwater exist in Andrews County,

including the Ogallala aquifer with potable water, shown to be present and at a great

thickness beneath the ISP site itself.

14. Water usage from wells near the ISP site are from the Ogalla / Antler /

Gatuna and are crucial for domestic, stock, irrigation, and com mercial purposes,

including the operations of Fasken and other members of PBLRO.

15. Any threat of radiological contamination of these important water resources

poses a threat to regional land uses, a threat to the assets and property value of Fasken

and PBLRO, a threat to ongoing regional industry operations gen erally, as well as

threats to the environment and health and safety of nearby resi dents and those

working or traveling through the area. Knowing that any radiolo gical contamination

would be virtually impossible to recover and would continue to emit radiation for

decades until the half-lives are expended, those threats and ad verse health, safety

and environmental impacts could last for decades.

16. Without proper groundwater monitoring, the ISP CISF poses unac ceptable

and imminent threats to the environment, the health and safety of water supplies to

nearby communities and extensive industry operations.

6 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 70 of 75

17. In addition to the presence of groundwater in the subsurface directly below

and in the vicinity of the ISP CISF site, the location is also situated over Permian

aged halite formations (rock salt) and other easily dissolved e vaporite mineral

formations leading to the poten tial for substantial ground move ment issues, sinkhole

formation and subsurface instab ility. For example, there is his torical evidence of

extensive sinkhole formation in the Permian Basin Region, inclu ding the very well

known "Wink Sinks" outside of Wink, Texas, a large area of subsidence beneath the

city in Carlsbad, New Mexico, and sinkholes and karst features north and east of

Carlsbad, New Mexico. There are also numerous documented ground movement

issues in Pecos, Crane, Monahans, Imperial, and Kermit, Texas where shipments of

spent nuclear fuel will travel on over-sized railcars to the ISP CISF alongside and

share rail lines with the transport of oil and gas industry materials.

18. The WCS/ISP facility is located within 26,000 square miles of the Salado

Salt Formation that is replete with surface salt lakes and salt formation outcrops that

critically contain magnesium chloride salts (MgCI2) that are th e most reactive salt

species for the induction and propagation of Chloride induced stress corrosion

cracking (CI-SCC). The proposed CISF location is increasingly experiencing the

haboob sandstorm phenomena that translocate tons of surface sediments for tens

of miles. The historical paths of haboobs have included sweepi ng storms across the

Salado surface salt flats in eastern New Mexico and West Texas.

7 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 71 of 75

19. Additionally, persistent fog and mist conditions are preva lent during the

fall and winter in this region of the country. When combined, a single salt

deposition event from a haboob, along with a sufficient amount of fog/mist event,

could easily create the conditions that would initiate CI-SCC.

20. CI-SCC pose a critical and imminent threat to the integrity of canisters and

increase the potential for radiological contamination and radia tion in the region. In

the U.S. NRC draft report, Id entification and Prioritization of the Technical

Information Needs Affecting Pote ntial Regulation of Extended St orage and

Transportation of Spent Nuclear Fuel, the federal government recognizes the

potential risk for monitoring dry casks and the pitting and cr evice corrosion of the

stainless steel canisters, which affect the safety functions of confinement, criticality,

retrievability (of fuel from the dry storage canister), shielding (of radiation from

people and the environment), and thermal (degradation of the fuel, potentially

leading to fuel fires).

21. I personally travel in the region of the ISP CISF as part of my responsibilities

at Fasken. The area around the ISP CISF site is still under act ive exploration and

active production. Within a 10-mile radius of the site, there have been a total of 4,947

well bores drilled in Texas and New Mexico. Presently 3,656 of these well bores are

still in production. 905 wells are shown as a dry hole. Of the total of nearly five

thousand wells within ten miles of the facility, only 386 have been recorded as

8 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 72 of 75

permanently plugged and abandoned. Regardless of the current volume of oil

produced within the vicinity of the proposed ISP site, there ar e hundreds of active

oil and gas wells, tank batteries, gas plants, and other petroleum production facilities

within reasonable vicinity of the site, each requiring frequent and regular visits from

personnel for maintenance and monitoring. Some facilities, such as gas plants, are

staffed 24-hours a day, seven days a week. I have concerns for personnel of Fasken

and personnel of other members of PBLRO, who by the very nature of their

profession will be in close proxi mity to the ISP CISF and be exposed to doses of

radiation.

22. State Highway 176 serves as a main motor vehicle access to the ISP site. It

is also a major artery for the travel of both private citizens and oil and gas industry

traffic, including Fasken and PBLRO personnel in the region. I personally utilize

State Highway 176 routinely for projects relating to my respons ibilities at Fasken,

which include monitoring the seve ral dozen wells that Fasken operates in the area,

and for personal reasons. At pre sent, State Highway 176 between Andrews and

Eunice is completing a widening project to accommodate the large volume of heavy

oil industry traffic that utilizes this regional highway and Fa sken is contributing land

to accommodate an overpass at the intersection of State Highways 176 and 1788 in

Andrews County, Texas.

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23. I have personal knowledge of the use of regional rail lines an d can attest that

the rail transport of oil commodities is the most prevalent in this region with the

second highest use of regional rail lines being agricultural co mmodities. It is a risk

to share these same regional rail lines with nuclear waste dest ined for the ISP CISF

as any delay or disruption in rail transport caused by said was te would devastate the

oil and agricultural industry as I have personal knowledge of s tudies that show that

even one 24-hour period of interruption of rail transport would cost millions of

dollars in losses to the oil and agricultural industries.

24. I also have concerns about the ISP CISF adverse impacts and t hreats to

surrounding environment. The ISP CISF site is entirely within the known range of

the Dune Sage Brush Lizard and a portion of the site lies within the known range of

the Lesser Prairie Chicken. I have personal knowledge of the ex tensive conservation

efforts in both Texas and New Me xico by the oil and gas and ranching industries,

including Fasken and other members of the PBLRO, with respect t o the Dune Sage

Brush Lizard and the Lesser Prairie Chicken. Specifically, participation in

conservation programs has prevented both species from being cur rently listed as

endangered. Fasken is an active participant conservation progra ms for these and

other species that will be threatened by the ISP CISF. The Less er Prairie Chicken in

particular is highly sensitive to surface disturbances such as construction activities,

fences, power lines, and permanent structures that will be plac ed in and around the

10 USCA Case #21-1048 Document #1958510 Filed: 08/09/2022 Page 74 of 75

ISP CISF site and the failure of the Nuclear Regulatory Commission to participate

in conservation programs and engage the United States Fish and Wildlife Service on

this matter is an offence to state and federal regulations.

25. Any release of radioactive material or any amount of radiation or

contamination to the environment will become a direct threat to the survivability of

both species, as well as the Texas Horned Lizard, which is protected under Texas

law and is the State reptile.

26. The ISP CISF also poses an imminent threat to surrounding playas, which

according to Texas Parks and Wildlife, serve as the most import ant wetland habitat

for waterfowl. Playas are a direct connection to groundwater an d nexus for

contamination from the surface to groundwater beneath the ISP C ISF site which

could decimate known and histor ic migrating bird populations. I SP CISF lacks

proper identification of playas and recharge to aquifers and wi thout proper

conservation practices in place, will further harm important bu tterflies and

pollinators vital to regional ecosystems.

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