[Federal Register Volume 66, Number 63 (Monday, April 2, 2001)]
[Notices]
[Pages 17584-17586]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-7992]
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NUCLEAR REGULATORY COMMISSION
[Docket Nos. 50-220 and 50-410]
Niagara Mohawk Power Corporation Nine Mile Point Nuclear Station,
Unit Nos. 1 and 2; Notice of Consideration of Approval of Direct and
Indirect Transfer of Facility Operating Licenses and Conforming
Amendments, and Opportunity for a Hearing
The U.S. Nuclear Regulatory Commission (the Commission) is
considering the issuance of an order under 10 CFR 50.80 approving the
direct transfer of Facility Operating Licenses Nos. DPR-63 and NPF-69
for the Nine Mile Point Nuclear Station, Unit Nos. 1 and 2 (NMP-1, NMP-
2), to the extent the NMP-1 license is held by Niagara Mohawk Power
Corporation
[[Page 17585]]
(NMPC) as exclusive owner and operator of NMP-1, and to the extent the
NMP-2 license is held by NMPC as part-owner and exclusive operator of
NMP-2, and New York State Electric & Gas Corporation (NYSEG), Rochester
Gas and Electric Corporation (RG&E), and Central Hudson Gas & Electric
Corporation (CHGEC) as part-owners of NMP-2. The remaining part-owner
of NMP-2, Long Island Lighting Company (doing business as Long Island
Power Authority), which has an undivided 18% ownership interest in NMP-
2, is not involved in the proposed transaction described herein, and
accordingly will retain its ownership interest in and remain a licensee
for NMP-2. The direct transfer of the NMP-1 and NMP-2 licenses would be
to a new limited liability company, Nine Mile Point Nuclear Station,
LLC (NMP LLC). NMP LLC will be an indirect subsidiary of Constellation
Nuclear, LLC, which is presently a subsidiary of Constellation Energy
Group, Inc. (CEG). The Commission is also considering approving
associated indirect license transfers to the extent such would be
effected by a realignment of the CEG organization involving the
creation of a new holding company, currently referred to as New
Controlled, or by Virgo Holdings, Inc. (Virgo), an indirect wholly
owned subsidiary of The Goldman Sachs Group, Inc., acquiring up to a
17.5% voting interest in New Controlled. The Commission is further
considering amending the licenses for administrative purposes to
reflect the proposed direct transfer. The facility is located in Oswego
County, in the State of New York.
According to a February 1, 2001, application (consisting of a
proprietary and a non-proprietary version) filed by Constellation
Nuclear, LLC, on behalf of NMP LLC, NMPC, NYSEG, RG&E, and CHGEC, which
was supplemented by letters from Constellation Nuclear, LLC, dated
March 1 and March 16, 2001, NMP LLC would assume title to NMP-1
following approval of the proposed license transfer, and would assume
the 82-percent ownership interest in NMP-2 currently held by NMPC,
NYSEG, RG&E and CHGEC. In addition, NMP LLC would become responsible
for the operation of both NMP-1 and NMP-2. The application states that
NMP LLC will also assume the decommissioning responsibility of the
current owners of NMP-1 and NMP-2 who are transferring their interests
in the facilities to NMP LLC. NMP LLC will provide decommissioning
funding assurance through the use of decommissioning trusts coupled
with parent company guarantees.
No physical changes to the facility or operational changes are
being proposed in the application. The application states that upon
closing, substantially all NMPC employees will become employees of NMP
LLC.
The application also states that Virgo may in the future exercise
rights to acquire additional voting interests beyond 17.5% in New
Controlled. The Commission is not considering at this time approving
any indirect license transfers that may be associated with Virgo
acquiring such additional voting interests.
The proposed amendments would replace references to NMPC, NYSEG,
RG&E, and CHGEC in the licenses with references to NMP LLC, as
appropriate, and make other administrative changes to reflect the
proposed transfer.
Pursuant to 10 CFR 50.80, no license, or any right thereunder,
shall be transferred, directly or indirectly, through transfer of
control of the license, unless the Commission shall give its consent in
writing. The Commission will approve an application for the direct
transfer of a license if the Commission determines that the proposed
transferee is qualified to hold the license, and will approve an
application for an indirect transfer if the Commission determines the
underlying transaction effectuating the transfer will not affect the
qualifications of the holder of the license, and in both cases if the
transfer is otherwise consistent with applicable provisions of law,
regulations, and orders issued by the Commission pursuant thereto.
Before issuance of the proposed conforming license amendment, the
Commission will have made findings required by the Atomic Energy Act of
1954, as amended (the Act), and the Commission's regulations.
As provided in 10 CFR 2.1315, unless otherwise determined by the
Commission with regard to a specific application, the Commission has
determined that any amendment to the license of a utilization facility
which does no more than conform the license to reflect the transfer
action involves no significant hazards consideration. No contrary
determination has been made with respect to this specific license
amendment application. In light of the generic determination reflected
in 10 CFR 2.1315, no public comments with respect to significant
hazards considerations are being solicited, notwithstanding the general
comment procedures contained in 10 CFR 50.91.
The filing of requests for hearing and petitions for leave to
intervene, and written comments with regard to the license transfer
application, are discussed below.
By April 23, 2001, any person whose interest may be affected by the
Commission's action on the application may request a hearing, and, if
not the applicants, may petition for leave to intervene in a hearing
proceeding on the Commission's action. Requests for a hearing and
petitions for leave to intervene should be filed in accordance with the
Commission's rules of practice set forth in subpart M, ``Public
Notification, Availability of Documents and Records, Hearing Requests
and Procedures for Hearings on License Transfer Applications,'' of 10
CFR part 2. In particular, such requests and petitions must comply with
the requirements set forth in 10 CFR 2.1306, and should address the
considerations contained in 10 CFR 2.1308(a). Untimely requests and
petitions may be denied, as provided in 10 CFR 2.1308(b), unless good
cause for failure to file on time is established. In addition, an
untimely request or petition should address the factors that the
Commission will also consider, in reviewing untimely requests or
petitions, set forth in 10 CFR 2.1308(b)(1)-(2).
Requests for a hearing and petitions for leave to intervene should
be served upon Jay E. Silberg, counsel for Constellation Nuclear, LLC,
at Shaw Pittman, 2300 N Street, NW., Washington, DC 20037 (tel. 202-
663-8063; fax 202-663-8007; e-mail: [email protected]); Mark
J. Wetterhahn, counsel for NMPC, at Winston & Strawn, 1400 L Street,
NW., Washington, DC 20005 (tel. 202-371-5703; fax 202-371-5950; e-mail:
[email protected]); Daniel F. Stenger, counsel for RG&E, at Foley
and Lardner, 888 16th St., NW., #700, Washington, DC 20006 (tel. 202-
835-8185; fax 202-835-8136; e-mail: [email protected]); Mary A.
Murphy, counsel for NYSEG, at LeBoeuf, Lamb, Greene & MacRae, L.L.P.,
1875 Connecticut Ave, N.W., Suite 1200, Washington, D.C. 20009 (tel.
202-986-8021; fax 202-986-8102; e-mail: [email protected]); Robert J.
Glasser and Bo Hong, counsel for CHGEC, at Gould & Wilkie, LLP, One
Chase Manhattan Plaza, 58th Floor, New York, NY 10005 (tel: 212-344-
5680; fax 212-809-6890; e-mail: [email protected] and
[email protected]); the General Counsel, U.S. Nuclear Regulatory
Commission, Washington, DC 20555 (e-mail address for filings regarding
license transfer cases only: [email protected]); and the Secretary of the
Commission,
[[Page 17586]]
U.S. Nuclear Regulatory Commission, Washington, DC 20555-0001,
Attention: Rulemakings and Adjudications Staff, in accordance with 10
CFR 2.1313.
The Commission will issue a notice or order granting or denying a
hearing request or intervention petition, designating the issues for
any hearing that will be held and designating the Presiding Officer. A
notice granting a hearing will be published in the Federal Register and
served on the parties to the hearing.
As an alternative to requests for hearing and petitions to
intervene, by May 2, 2001, persons may submit written comments
regarding the license transfer application, as provided for in 10 CFR
2.1305. The Commission will consider and, if appropriate, respond to
these comments, but such comments will not otherwise constitute part of
the decisional record. Comments should be submitted to the Secretary,
U.S. Nuclear Regulatory Commission, Washington, DC 20555-0001,
Attention: Rulemakings and Adjudications Staff, and should cite the
publication date and page number of this Federal Register notice.
For further details with respect to this action, see the
application dated February 1, 2001, and supplements dated March 1 and
March 16, 2001, available for public inspection at the Commission's
Public Document Room located at One White Flint North, 11555 Rockville
Pike (first floor), Rockville, Maryland, and accessible electronically
through the ADAMS Public Electronic Reading Room link at the NRC Web
site (http://www.nrc.gov).
Dated at Rockville, Maryland, this 27th day of March 2001.
For the Nuclear Regulatory Commission.
Peter S. Tam,
Senior Project Manager, Section 1, Project Directorate 1, Division of
Licensing Project Management, Office of Nuclear Reactor Regulation.
[FR Doc. 01-7992 Filed 3-30-01; 8:45 am]
BILLING CODE 7590-01-P