In the Matter of: Constellation Energy Nuclear Group, LLC; EDF Development, Inc.; Calvert Cliffs Nuclear Power Plant, Inc.; Calvert Cliffs Nuclear Power Plant, LLC (Calvert Cliffs Nuclear Power Plant, Unit Nos. 1 and 2, and Calvert Cliffs Independent Spent Fuel Storage Installation); Order Superseding Order of October 9, 2009, Approving Application Regarding Proposed Corporate Restructuring and Approving Conforming Amendments, 57533-57536 [E9-26813]
Download as PDF
<![CDATA[
mstockstill on DSKH9S0YB1PROD with NOTICES6
Federal Register / Vol. 74, No. 214 / Friday, November 6, 2009 / Notices
Chairman of the Board of Directors of
CENG must be U.S. citizens. These
individuals shall have the responsibility
and exclusive authority to ensure and
shall ensure that the business and
activities of CENG with respect to the
Calvert Cliffs, Unit Nos. 1 and 2, Calvert
Cliffs ISFSI, Nine Mile Point, Unit Nos.
1 and 2, and R.E. Ginna licenses are at
all times conducted in a manner
consistent with the public health and
safety and common defense and security
of the United States.
(d) CENG will establish a Nuclear
Advisory Committee (NAC) composed
of U.S. citizens who are not officers,
directors, or employees of CENG, CEG
or EDF Development. The NAC will
report to and provide transparency to
the NRC and other U.S. governmental
agencies regarding foreign ownership
and control of nuclear operations.
(e) CENG shall cause to be transmitted
to the Director, Office of Nuclear
Reactor Regulation, within 30 days of
knowledge of a filing with the U.S.
Securities and Exchange Commission,
any Schedules 13D or 13G filed
pursuant to the Securities and Exchange
Act of 1934 that disclose beneficial
ownership of any registered classes of
CEG stock.
(2) The financial arrangements
applicable to the indirect transfers
resulting from the EDF Closing are
subject to the following:
(a) The working capital and cash
pooling arrangements described in
Article IV of the Operating Agreement
included with the October 25, 2009
supplement to the Application, shall be
effective as of the date of the indirect
transfers to EDF Development and shall
be consistent with the representations
contained in the Application. CENG and
NMPNS, LLC shall take no action to
cause CEG and/or EDF Development, or
their successors and assigns, to void,
cancel or materially modify the working
capital and cash pooling arrangements
in the Operating Agreement without the
prior written consent of the NRC staff.
(b) The Support Agreements
described in the February 26, 2009
supplement to the Application shall be
effective as of the date of the indirect
transfers to EDF Development; shall
supersede the Inter-Company Credit
Agreements provided by CEG, Inc.; and
shall be consistent with the
representations contained in the
Application. CENG and NMPNS, LLC
shall take no action to cause CEG and/
or EDF Development, or their successors
and assigns, to void, cancel or
materially modify the Support
Agreements as submitted without the
prior written consent of the NRC staff.
CENG shall inform the Director of the
VerDate Nov<24>2008
18:23 Nov 05, 2009
Jkt 220001
Office of Nuclear Reactor Regulation, in
writing, no later than ten days after any
funds are provided to CENG or any of
the licensees by CEG or EDF
Development under any Support
Agreement.
(c) The Master Demand Notes
described in the October 28, 2009
supplement to the Application, shall be
effective as of the date of the indirect
transfers to EDF Development; shall
supersede the Master Demand Notes
provided by CEG, Inc.; and shall be
consistent with the representations
contained in the Application. CENG and
NMPNS, LLC, shall take no action to
cause CEG and/or EDF Development, or
their successors and assigns, to void,
cancel or materially modify the Master
Demand Notes without the prior written
consent of the NRC staff.
It is further ordered that CENG shall
inform the Director of the Office of
Nuclear Reactor Regulation, in writing,
of the date of closing of the transfer of
EDF Development’s ownership and
operating interests in CENG at least 1
business day before the closing. Should
the transfers of the licenses not be
completed within 1 year of this Order’s
date of issuance, this Order shall
become null and void, provided,
however, that upon written application
and for good cause shown, such date
may be extended by order.
This Order supersedes the Order
issued on October 9, 2009, and is
effective upon issuance.
For further details with respect to this
Order, see the initial application dated
January 22, 2009 (Agencywide
Documents Access and Management
System (ADAMS) Accession No.
ML090290101), as supplemented by
letters dated February 26
(ML090630426), April 8
(ML091000665), June 25
(ML091811094), and July 27, 2009
(ML092150712), October 15
(ML092920168), October 19
(ML092990101), October 25
(ML093000127 and ML093000141),
October 26 (ML093000506), and October
28, 2009 (ML092150712) and the SE
(ML093010003) with the same date as
this Order, which are available for
public inspection at the Commission’s
Public Document Room (PDR), located
at One White Flint North, 11555
Rockville Pike, Room O–1 F21 (First
Floor), Rockville, Maryland, and
accessible electronically from the
ADAMS Public Electronic Reading
Room on the Internet at the NRC Web
site, https://www.nrc.gov/reading-rm/
adams.html. Persons who do not have
access to ADAMS, or who encounter
problems in accessing the documents
located in ADAMS, should contact the
PO 00000
Frm 00087
Fmt 4703
Sfmt 4703
57533
NRC PDR Reference staff by telephone
at 1–800–397–4209 or 301–415–4737, or
by e-mail at pdr.resource@nrc.gov.
Dated at Rockville, Maryland, this 30th day
of October 2009.
For the Nuclear Regulatory Commission.
Eric J. Leeds,
Director, Office of Nuclear Reactor
Regulation.
[FR Doc. E9–26793 Filed 11–5–09; 8:45 am]
BILLING CODE 7590–01–P
NUCLEAR REGULATORY
COMMISSION
[NRC–2009–0194; Docket Nos. 50–317, 50–
318, 72–8; Renewed License No. DPR–53;
Renewed License No. DPR–69; License No.
SNM–2505]
In the Matter of: Constellation Energy
Nuclear Group, LLC; EDF
Development, Inc.; Calvert Cliffs
Nuclear Power Plant, Inc.; Calvert
Cliffs Nuclear Power Plant, LLC
(Calvert Cliffs Nuclear Power Plant,
Unit Nos. 1 and 2, and Calvert Cliffs
Independent Spent Fuel Storage
Installation); Order Superseding Order
of October 9, 2009, Approving
Application Regarding Proposed
Corporate Restructuring and
Approving Conforming Amendments
I
Calvert Cliffs Nuclear Power Plant,
Inc. (CCNPP, Inc. or the licensee) is the
holder of Renewed Facility Operating
License Nos. DPR–53 and DPR–69,
which authorize the possession, use,
and operation of Calvert Cliffs Nuclear
Power Plant, Unit Nos. 1 and 2 (CCNPP
1 and 2), and of Materials License No.
SNM–2505, which authorizes the
possession, use, and operation of the
Calvert Cliffs Independent Spent Fuel
Storage Installation (Calvert Cliffs
ISFSI), and authorizes CCNPP, Inc. to
receive, possess, transfer, and store
power reactor spent fuel at the Calvert
Cliffs ISFSI. The facilities are located at
the licensee’s site in Calvert County,
Maryland.
II
By letter dated January 22, 2009, as
supplemented on February 26, April 8,
June 25, July 27, October 15, October 19,
October 25 (two letters), October 26, and
October 28, 2009 (together, the
Application), Constellation Energy
Nuclear Group, LLC (CENG), on behalf
of the licensee and EDF Development,
Inc. (EDF Development) (together, the
applicants), requested that the Nuclear
Regulatory Commission (NRC, the
Commission), pursuant to Title 10 of the
Code of Federal Regulations (10 CFR)
E:\FR\FM\06NON1.SGM
06NON1
mstockstill on DSKH9S0YB1PROD with NOTICES6
57534
Federal Register / Vol. 74, No. 214 / Friday, November 6, 2009 / Notices
50.80, consent to the indirect license
transfers that would be effected by the
indirect transfer of control of CENG’s
ownership and operating interests in
CCNPP, Inc. The actions being sought
are a result of certain proposed
corporate restructuring actions in
connection with a planned investment
by EDF Development whereby it would
acquire a 49.99% ownership interest in
CENG from Constellation Energy Group,
Inc. (CEG), the current 100% owner of
CENG. EDF Development is a U.S.
corporation organized under the laws of
the State of Delaware and a whollyowned subsidiary of E.D.F. International
S.A., a public limited company
organized under the laws of France,
which is in turn a wholly-owned
´
´
subsidiary of Electricite de France S.A.,
a French limited company. The
applicants also requested approval of
the proposed direct transfer of licenses
held under CCNPP, Inc. to a new legal
entity, Calvert Cliffs Nuclear Power
Plant, LLC (CCNPP, LLC) and approval
of conforming license amendments that
would replace references to CCNPP, Inc.
in the license with references to CCNPP,
LLC to reflect the transfer of ownership
and operating authority, specifically, to
possess, use, and operate CCNPP 1 and
2 and to receive, possess, or use related
licensed materials under the applicable
conditions and authorizations in the
CCNPP 1 and 2 licenses and for the
ISFSI license.
Following the closing of the transfer
of ownership interests in CENG to EDF
Development, EDF Development will
hold a 49.99% ownership interest in
CENG; CEG will hold a 50.01%
ownership interest in CENG through
two new intermediate parent
companies, Constellation Nuclear, LLC
and CE Nuclear, LLC, formed for nonoperational purposes. In addition,
Constellation Nuclear Power Plants,
Inc., which is currently an intermediate
holding company between CENG and
Nine Mile Point Nuclear Station, LLC
and R.E. Ginna Nuclear Power Plant,
LLC, will convert to a Delaware limited
liability company by operation of law
and become Constellation Nuclear
Power Plants, LLC, and will exist as an
intermediate holding company between
CENG and CCNPP, LLC, Nine Mile
Point Nuclear Station, LLC, and R.E.
Ginna Nuclear Power Plant, LLC.
CCNPP, Inc. will convert to CCNPP, LLC
by merger.
No physical changes to the facilities
or operational changes are being
proposed in the application. The
proposed conforming license
amendment would replace references to
CCNPP, Inc. in the license with
VerDate Nov<24>2008
18:23 Nov 05, 2009
Jkt 220001
references to CCNPP, LLC to reflect the
proposed direct transfer of the licenses.
Approval of the transfer of the license
and the conforming license amendment
is requested by the applicants pursuant
to 10 CFR 50.80, 10 CFR 50.90, and 10
CFR 72.50. Notice of the request for
approval and opportunity for a hearing
was published in the Federal Register
on May 7, 2009 (74 FR 21413). No
hearing requests or petitions to
intervene were received. The NRC
received comments from a member of
the public in Seattle, Washington, in an
e-mail dated May 22, 2009. The
comments did not provide any
information additional to that in the
application, nor did they provide any
information contradictory to that
provided in the application.
Pursuant to 10 CFR 50.80 and 10 CFR
72.50, 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. Upon
review of the information in the
application and other information
before the Commission, and relying
upon the representations and
agreements contained in the
application, the NRC staff has
determined that the proposed indirect
license transfer of control of the subject
licenses held by the licensee to the
extent such will result from the
proposed corporate restructuring actions
and the planned investment by EDF
Development whereby it will acquire a
49.99% ownership interest in CENG,
and that the direct transfer of CCNPP,
Inc. to CCNPP, LLC as described in the
Application, are otherwise consistent
with applicable provisions of law,
regulations, and Orders issued by the
NRC, pursuant thereto, subject to the
conditions set forth below. The NRC
staff has further found that the
Application for the proposed license
amendment complies with the
standards and requirements of the
Atomic Energy Act of 1954, as amended
(the Act), and the Commission’s rules
and regulations set forth in 10 CFR
Chapter I; the facility will operate in
conformity with the Application, the
provisions of the Act, and the rules and
regulations of the Commission; there is
reasonable assurance that the activities
authorized by the proposed license
amendment can be conducted without
endangering the health and safety of the
public and that such activities will be
conducted in compliance with the
Commission’s regulations; the issuance
of the proposed license amendments
will not be inimical to the common
defense and security or to the health
and safety of the public; and the
PO 00000
Frm 00088
Fmt 4703
Sfmt 4703
issuance of the proposed amendments
will be in accordance with 10 CFR Part
51 of the Commission’s regulations and
all applicable requirements have been
satisfied.
On October 9, 2009, the Commission
issued, ‘‘Order Approving Application
Regarding Proposed Corporate
Restructuring and Approving
Conforming Amendments.’’
By letter dated October 19, 2009,
CENG explained that its January 22,
2009, application for the license
transfers had anticipated nearly
concurrent completion of the proposed
internal corporate restructuring of the
CEG subsidiaries and the proposed EDF
acquisition of 44.99% of CENG. After it
filed its January 22, 2009, application,
CENG learned that the restructuring
activities for the CEG subsidiaries will
be completed at least 8 days prior to
closing the transaction involving EDF.
In letters dated October 25 (two letters),
26, and 28, 2009, CENG provided
revised financial arrangements that will
apply during the period between the
completion of the internal restructuring
activities and the acquisition of 44.99%
of CENG by EDF and a revised operating
agreement that will apply after the EDF
closing.
The NRC concluded that
modifications were needed to the cover
letter, the October 9, 2009, Order, and
the safety evaluations in light of the new
information provided in CENG’s letters
of October 19 through 28, 2009. This
Order contains those modifications and
supersedes the Order issued October 9,
2009.
The findings set forth above are
supported by a modified NRC safety
evaluation (SE) dated the same day as
this Order.
III
Accordingly, pursuant to Sections
161b, 161i, 161o, and 184 of the Act, 42
U.S.C. Sections 2201(b), 2201(i),
2201(o), and 2234; and 10 CFR 50.80
and 10 CFR 72.50, it is hereby ordered
that the Application regarding the
indirect license transfers and direct
license transfers related to the proposed
corporate restructuring actions and the
planned investment by EDF
Development, as described herein, is
approved, subject to the following
conditions:
A. With regard to the direct and
indirect transfers resulting from the
restructuring of the CEG subsidiaries:
(1) Before completion of the direct
transfer of the CNPP license, CENG shall
provide the Director of the Office of
Nuclear Reactor Regulation satisfactory
documentary evidence that CCNPP, LLC
has obtained the appropriate amount of
E:\FR\FM\06NON1.SGM
06NON1
mstockstill on DSKH9S0YB1PROD with NOTICES6
Federal Register / Vol. 74, No. 214 / Friday, November 6, 2009 / Notices
insurance required of licensees under 10
CFR part 140 of the Commission’s
regulations.
(2) CCNPP, LLC may no longer rely
exclusively on an external sinking fund
as its decommissioning funding
assurance mechanism and will be
required to implement an alternate
decommissioning funding assurance
mechanism, acceptable per NRC
requirements outlined in 10 CFR
50.75(e)(1), which will be used to
provide decommissioning funding
assurance.
(3) The financial arrangements
resulting from the corporate
restructuring activities of the CEG
subsidiaries are subject to the following:
(a) The Inter-Company Credit
Agreements (ICA) described in the
October 25, 2009, supplement to the
Application shall be effective as of the
date of the direct and indirect transfers
(whichever occurs first) resulting from
the restructuring of CEG subsidiaries
and shall be consistent with the
representations contained in the
Application. CENG and CCNPP, LLC
shall take no action to cause CEG, or
their successors and assigns, to void,
cancel or materially modify the ICA as
submitted without the prior written
consent of the NRC staff. CENG shall
inform the Director of the Office of
Nuclear Reactor Regulation, in writing,
no later than 10 days after any funds are
provided to CENG or any of the
licensees by CEG or EDF Development
under any Support Agreement.
(b) The Master Demand Notes
described in the October 26, 2009,
supplement to the Application shall be
effective as of the date of the direct and
indirect transfers (whichever occurs
first) resulting from the restructuring of
CEG subsidiaries and shall be consistent
with the representations contained in
the Application. CENG and CCNPP,
LLC, shall take no action to cause CEG,
or their successors and assigns, to void,
cancel or materially modify the Master
Demand Notes without the prior written
consent of the NRC staff.
B. With regard to the indirect transfers
resulting from the acquisition of 44.99%
of CENG by EDF Development (EDF
Closing):
(1) Before completion of the EDF
Closing, Conditions A.(1) and A.(2)
above must be fulfilled.
(2) The ownership and governance
arrangements in effect as of the date of
the indirect transfers to EDF
Development are subject to the
following:
(a) The Operating Agreement
included with the supplement dated
October 25, 2009, may not be modified
in any material respect concerning
VerDate Nov<24>2008
18:23 Nov 05, 2009
Jkt 220001
decisionmaking authority over ‘‘safety
issues’’ as defined therein without the
prior written consent of the Director,
Office of Nuclear Reactor Regulation.
(b) At least half the members of
CENG’s Board of Directors must be U.S.
citizens.
(c) The Chief Executive Officer (CEO),
Chief Nuclear Officer (CNO) and
Chairman of the Board of Directors of
CENG must be U.S. citizens. These
individuals shall have the responsibility
and exclusive authority to ensure and
shall ensure that the business and
activities of CENG with respect to the
Calvert Cliffs, Unit Nos. 1 and 2, Calvert
Cliffs ISFSI, Nine Mile Point, Unit Nos.
1 and 2, and R.E. Ginna licenses are at
all times conducted in a manner
consistent with the public health and
safety and common defense and security
of the United States.
(d) CENG will establish a Nuclear
Advisory Committee (NAC) composed
of U.S. citizens who are not officers,
directors, or employees of CENG, CEG
or EDF Development. The NAC will
report to and provide transparency to
the NRC and other U.S. governmental
agencies regarding foreign ownership
and control of nuclear operations.
(e) CENG shall cause to be transmitted
to the Director, Office of Nuclear
Reactor Regulation, within 30 days of
knowledge of a filing with the U.S.
Securities and Exchange Commission,
any Schedules 13D or 13G filed
pursuant to the Securities and Exchange
Act of 1934 that disclose beneficial
ownership of any registered classes of
CEG stock.
(3) The financial arrangements
applicable to the indirect transfers
resulting from the EDF Closing are
subject to the following:
(a) The working capital and cash
pooling arrangements described in
Article IV of the Operating Agreement
included with the October 25, 2009
supplement to the Application, shall be
effective as of the date of the indirect
transfers to EDF Development and shall
be consistent with the representations
contained in the Application. CENG and
CCNPP, LLC shall take no action to
cause CEG and/or EDF Development, or
their successors and assigns, to void,
cancel or materially modify the working
capital and cash pooling arrangements
in the Operating Agreement without the
prior written consent of the NRC staff.
(b) The Support Agreements
described in the February 26, 2009
supplement to the Application shall be
effective as of the date of the indirect
transfers to EDF Development; shall
supersede the Inter-Company Credit
Agreements provided by CEG, Inc.; and
shall be consistent with the
PO 00000
Frm 00089
Fmt 4703
Sfmt 4703
57535
representations contained in the
Application. CENG and CCNPP, LLC
shall take no action to cause CEG and/
or EDF Development, or their successors
and assigns, to void, cancel or
materially modify the Support
Agreements as submitted without the
prior written consent of the NRC staff.
CENG shall inform the Director of the
Office of Nuclear Reactor Regulation, in
writing, no later than 10 days after any
funds are provided to CENG or any of
the licensees by CEG or EDF
Development under any Support
Agreement.
(c) The Master Demand Notes
described in the October 28, 2009
supplement to the Application, shall be
effective as of the date of the indirect
transfers to EDF Development; shall
supersede the Master Demand Notes
provided by CEG, Inc.; and shall be
consistent with the representations
contained in the Application. CENG and
CCNPP, LLC, shall take no action to
cause CEG and/or EDF Development, or
their successors and assigns, to void,
cancel or materially modify the Master
Demand Notes without the prior written
consent of the NRC staff.
It is further ordered that, consistent
with 10 CFR 2.1315(b), the license
amendment that makes changes to
conform the license to reflect the subject
direct license transfer is approved. The
amendment shall be issued and made
effective at the time the proposed direct
license transfer is completed.
It is further ordered that CENG shall
inform the Director of the Office of
Nuclear Reactor Regulation, in writing,
of the date of closing of the transfer of
EDF Development’s ownership and
operating interests in CENG at least 1
business day before the closing. Should
the transfers of the licenses not be
completed within 1 year of this Order’s
date of issuance, this Order shall
become null and void, provided,
however, that upon written application
and for good cause shown, such date
may be extended by Order.
This Order supersedes the Order
issued on October 9, 2009, and is
effective upon issuance.
For further details with respect to this
Order, see the initial application dated
January 22, 2009 (Agencywide
Documents Access and Management
System (ADAMS) Accession No.
ML090290101), as supplemented by
letters dated February 26
(ML090630426), April 8
(ML091000665), June 25
(ML091811094), and July 27, 2009
(ML092150712), October 15
(ML092920168), October 19
(ML092990101), October 25
(ML093000127 and ML093000141),
E:\FR\FM\06NON1.SGM
06NON1
57536
Federal Register / Vol. 74, No. 214 / Friday, November 6, 2009 / Notices
October 26 (ML093000506), and October
28, and the SE (ML093010003) with the
same date as this Order, which are
available for public inspection at the
Commission’s Public Document Room
(PDR), located at One White Flint North,
11555 Rockville Pike, Room O–1 F21
(First Floor), Rockville, Maryland, and
accessible electronically from the
ADAMS Public Electronic Reading
Room on the Internet at the NRC Web
site, https://www.nrc.gov/reading-rm/
adams.html. Persons who do not have
access to ADAMS, or who encounter
problems in accessing the documents
located in ADAMS, should contact the
NRC PDR Reference staff by telephone
at 1–800–397–4209 or 301–415–4737, or
by e-mail at pdr.resource@nrc.gov.
Dated at Rockville, Maryland, this 30th day
of October 2009.
For the Nuclear Regulatory Commission.
Eric J. Leeds,
Director, Office of Nuclear Reactor
Regulation.
Michael F. Weber,
Director, Office of Nuclear Material Safety
and Safeguards.
[FR Doc. E9–26813 Filed 11–5–09; 8:45 am]
BILLING CODE 7590–01–P
POSTAL REGULATORY COMMISSION
[Docket Nos. MC2010–5 and CP2010–5;
Order No. 329]
New Postal Product
Postal Regulatory Commission.
Notice.
AGENCY:
mstockstill on DSKH9S0YB1PROD with NOTICES6
ACTION:
SUMMARY: The Commission is noticing a
recently-filed Postal Service request to
add Express Mail Contract 5 to the
Competitive Product List. The Postal
Service has also filed a related contract.
This notice addresses procedural steps
associated with these filings.
DATES: Comments are due November 9,
2009.
ADDRESSES: Submit comments
electronically via the Commission’s
Filing Online system at https://
www.prc.gov. Commenters who cannot
submit their views electronically should
contact the person identified in FOR
FURTHER INFORMATION CONTACT by
telephone for advice on alternatives to
electronic filing.
FOR FURTHER INFORMATION CONTACT:
Stephen L. Sharfman, General Counsel,
202–789–6820 or
stephen.sharfman@prc.gov.
SUPPLEMENTARY INFORMATION:
I. Introduction
II. Notice of Filings
III. Ordering Paragraphs
VerDate Nov<24>2008
18:23 Nov 05, 2009
Jkt 220001
I. Introduction
Pursuant to 39 U.S.C. 3642 and 39
CFR 3020.30 et seq., the Postal Service
filed a formal request and associated
supporting information to add Express
Mail Contract 5 to the Competitive
Product List.1 The Postal Service asserts
that Express Mail Contract 5 is a
competitive product ‘‘not of general
applicability’’ within the meaning of 39
U.S.C. 3632(b)(3). The Postal Service
states that prices and classification
underlying this contract are supported
by Governors’ Decision No. 09–14. Id. at
1. The Request has been assigned
Docket No. MC2010–5.
The Postal Service
contemporaneously filed a contract
related to the proposed new product
pursuant to 39 U.S.C. 3632(b)(3) and 39
CFR 3015.5. The contract has been
assigned Docket No. CP2010–5.
Request. In support of its Request, the
Postal Service filed the following
materials: (1) A redacted version of the
Governors’ Decision authorizing certain
Express Mail contracts; 2 (2) a redacted
version of the contract; 3 (3) a requested
change in the Competitive Product
List; 4 (4) a Statement of Supporting
Justification as required by 39 CFR
3020.32; 5 (5) a certification of
compliance with 39 U.S.C. 3633(a); 6
and (6) an application for non-public
treatment of the materials filed under
seal.7
In the Statement of Supporting
Justification, Mary Prince Anderson,
Acting Manager, Sales and
Communications, Expedited Shipping,
asserts that the service to be provided
under the contract will cover its
attributable costs, make a positive
contribution to institutional costs, and
increase contribution toward the
requisite 5.5 percent of the Postal
Service’s total institutional costs. Id.,
Attachment D. Thus, Ms. Anderson
contends there will be no issue of
subsidization of competitive products
by market dominant products as a result
of this contract. Id.
1 Notice of Establishment of Rates and Class Not
of General Applicability, Request of the United
States Postal Service to Add Express Mail Contract
5 to Competitive Product List and Notice of Filing
(Under Seal) of Unredacted Governors’ Decision,
Contract and Supporting Data, October 28, 2009
(Request). On October 29, 2009, the Postal Service
filed errata to its Request. See Notice of the United
States Postal Service of Filing Errata to Request and
Notice, October 29, 2009. Accordingly, the filing of
the entire set of documents related to this Request
was not completed until October 29, 2009.
2 Attachment A to the Request, reflecting
Governors’ Decision No. 09–14, October 26, 2009.
3 Attachment B to the Request.
4 Attachment C to the Request.
5 Attachment D to the Request.
6 Attachment E to the Request.
7 Attachment F to the Request.
PO 00000
Frm 00090
Fmt 4703
Sfmt 4703
Related contract. A redacted version
of the specific Express Mail Contract 5
is included with the Request. The
contract will become effective on the
day that the Commission provides all
necessary regulatory approvals. It is
terminable upon 30 days’ notice by a
party, but could continue for 3 years
with annual adjustments. The Postal
Service represents that the contract is
consistent with 39 U.S.C. 3633(a)(1). See
id., Attachment D. The Postal Service
will provide the shipper with Express
Mail packaging for eligible Express Mail
items mailed by the shipper.
The Postal Service filed much of the
supporting materials, including the
specific Express Mail Contract 5, under
seal. In its Request, the Postal Service
maintains that the contract and related
financial information, including the
customer’s name and the accompanying
analyses that provide prices, terms,
conditions, cost data, and financial
projections should remain under seal.
Id. at 2. It also requests that the
Commission order that the duration of
such treatment of all customer
identifying information be extended
indefinitely, instead of ending after 10
years. Id., Attachment F, at 1 and 7.
II. Notice of Filings
The Commission establishes Docket
Nos. MC2010–5 and CP2010–5 for
consideration of the Request pertaining
to the proposed Express Mail Contract 5
product and the related contract,
respectively. In keeping with practice,
these dockets are addressed on a
consolidated basis for purposes of this
order; however, future filings should be
made in the specific docket in which
issues being addressed pertain.
Interested persons may submit
comments on whether the Postal
Service’s filings in the captioned
dockets are consistent with the policies
of 39 U.S.C. 3632, 3633, or 3642 and 39
CFR part 3015 and 39 CFR 3020 subpart
B. Comments are due no later than
November 9, 2009. The public portions
of these filings can be accessed via the
Commission’s Web site (https://
www.prc.gov).
The Commission appoints Paul L.
Harrington to serve as Public
Representative in these dockets.
III. Ordering Paragraphs
It is ordered:
1. The Commission establishes Docket
Nos. MC2010–5 and CP2010–5 for
consideration of the matter raised in
each docket.
2. Pursuant to 39 U.S.C. 505, Paul L.
Harrington is appointed to serve as
officer of the Commission (Public
Representative) to represent the
E:\FR\FM\06NON1.SGM
06NON1
]]>Agencies
[Federal Register Volume 74, Number 214 (Friday, November 6, 2009)]
[Notices]
[Pages 57533-57536]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-26813]
-----------------------------------------------------------------------
NUCLEAR REGULATORY COMMISSION
[NRC-2009-0194; Docket Nos. 50-317, 50-318, 72-8; Renewed License No.
DPR-53; Renewed License No. DPR-69; License No. SNM-2505]
In the Matter of: Constellation Energy Nuclear Group, LLC; EDF
Development, Inc.; Calvert Cliffs Nuclear Power Plant, Inc.; Calvert
Cliffs Nuclear Power Plant, LLC (Calvert Cliffs Nuclear Power Plant,
Unit Nos. 1 and 2, and Calvert Cliffs Independent Spent Fuel Storage
Installation); Order Superseding Order of October 9, 2009, Approving
Application Regarding Proposed Corporate Restructuring and Approving
Conforming Amendments
I
Calvert Cliffs Nuclear Power Plant, Inc. (CCNPP, Inc. or the
licensee) is the holder of Renewed Facility Operating License Nos. DPR-
53 and DPR-69, which authorize the possession, use, and operation of
Calvert Cliffs Nuclear Power Plant, Unit Nos. 1 and 2 (CCNPP 1 and 2),
and of Materials License No. SNM-2505, which authorizes the possession,
use, and operation of the Calvert Cliffs Independent Spent Fuel Storage
Installation (Calvert Cliffs ISFSI), and authorizes CCNPP, Inc. to
receive, possess, transfer, and store power reactor spent fuel at the
Calvert Cliffs ISFSI. The facilities are located at the licensee's site
in Calvert County, Maryland.
II
By letter dated January 22, 2009, as supplemented on February 26,
April 8, June 25, July 27, October 15, October 19, October 25 (two
letters), October 26, and October 28, 2009 (together, the Application),
Constellation Energy Nuclear Group, LLC (CENG), on behalf of the
licensee and EDF Development, Inc. (EDF Development) (together, the
applicants), requested that the Nuclear Regulatory Commission (NRC, the
Commission), pursuant to Title 10 of the Code of Federal Regulations
(10 CFR)
[[Page 57534]]
50.80, consent to the indirect license transfers that would be effected
by the indirect transfer of control of CENG's ownership and operating
interests in CCNPP, Inc. The actions being sought are a result of
certain proposed corporate restructuring actions in connection with a
planned investment by EDF Development whereby it would acquire a 49.99%
ownership interest in CENG from Constellation Energy Group, Inc. (CEG),
the current 100% owner of CENG. EDF Development is a U.S. corporation
organized under the laws of the State of Delaware and a wholly-owned
subsidiary of E.D.F. International S.A., a public limited company
organized under the laws of France, which is in turn a wholly-owned
subsidiary of [Eacute]lectricit[eacute] de France S.A., a French
limited company. The applicants also requested approval of the proposed
direct transfer of licenses held under CCNPP, Inc. to a new legal
entity, Calvert Cliffs Nuclear Power Plant, LLC (CCNPP, LLC) and
approval of conforming license amendments that would replace references
to CCNPP, Inc. in the license with references to CCNPP, LLC to reflect
the transfer of ownership and operating authority, specifically, to
possess, use, and operate CCNPP 1 and 2 and to receive, possess, or use
related licensed materials under the applicable conditions and
authorizations in the CCNPP 1 and 2 licenses and for the ISFSI license.
Following the closing of the transfer of ownership interests in
CENG to EDF Development, EDF Development will hold a 49.99% ownership
interest in CENG; CEG will hold a 50.01% ownership interest in CENG
through two new intermediate parent companies, Constellation Nuclear,
LLC and CE Nuclear, LLC, formed for non-operational purposes. In
addition, Constellation Nuclear Power Plants, Inc., which is currently
an intermediate holding company between CENG and Nine Mile Point
Nuclear Station, LLC and R.E. Ginna Nuclear Power Plant, LLC, will
convert to a Delaware limited liability company by operation of law and
become Constellation Nuclear Power Plants, LLC, and will exist as an
intermediate holding company between CENG and CCNPP, LLC, Nine Mile
Point Nuclear Station, LLC, and R.E. Ginna Nuclear Power Plant, LLC.
CCNPP, Inc. will convert to CCNPP, LLC by merger.
No physical changes to the facilities or operational changes are
being proposed in the application. The proposed conforming license
amendment would replace references to CCNPP, Inc. in the license with
references to CCNPP, LLC to reflect the proposed direct transfer of the
licenses.
Approval of the transfer of the license and the conforming license
amendment is requested by the applicants pursuant to 10 CFR 50.80, 10
CFR 50.90, and 10 CFR 72.50. Notice of the request for approval and
opportunity for a hearing was published in the Federal Register on May
7, 2009 (74 FR 21413). No hearing requests or petitions to intervene
were received. The NRC received comments from a member of the public in
Seattle, Washington, in an e-mail dated May 22, 2009. The comments did
not provide any information additional to that in the application, nor
did they provide any information contradictory to that provided in the
application.
Pursuant to 10 CFR 50.80 and 10 CFR 72.50, 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. Upon review of the information in the
application and other information before the Commission, and relying
upon the representations and agreements contained in the application,
the NRC staff has determined that the proposed indirect license
transfer of control of the subject licenses held by the licensee to the
extent such will result from the proposed corporate restructuring
actions and the planned investment by EDF Development whereby it will
acquire a 49.99% ownership interest in CENG, and that the direct
transfer of CCNPP, Inc. to CCNPP, LLC as described in the Application,
are otherwise consistent with applicable provisions of law,
regulations, and Orders issued by the NRC, pursuant thereto, subject to
the conditions set forth below. The NRC staff has further found that
the Application for the proposed license amendment complies with the
standards and requirements of the Atomic Energy Act of 1954, as amended
(the Act), and the Commission's rules and regulations set forth in 10
CFR Chapter I; the facility will operate in conformity with the
Application, the provisions of the Act, and the rules and regulations
of the Commission; there is reasonable assurance that the activities
authorized by the proposed license amendment can be conducted without
endangering the health and safety of the public and that such
activities will be conducted in compliance with the Commission's
regulations; the issuance of the proposed license amendments will not
be inimical to the common defense and security or to the health and
safety of the public; and the issuance of the proposed amendments will
be in accordance with 10 CFR Part 51 of the Commission's regulations
and all applicable requirements have been satisfied.
On October 9, 2009, the Commission issued, ``Order Approving
Application Regarding Proposed Corporate Restructuring and Approving
Conforming Amendments.''
By letter dated October 19, 2009, CENG explained that its January
22, 2009, application for the license transfers had anticipated nearly
concurrent completion of the proposed internal corporate restructuring
of the CEG subsidiaries and the proposed EDF acquisition of 44.99% of
CENG. After it filed its January 22, 2009, application, CENG learned
that the restructuring activities for the CEG subsidiaries will be
completed at least 8 days prior to closing the transaction involving
EDF. In letters dated October 25 (two letters), 26, and 28, 2009, CENG
provided revised financial arrangements that will apply during the
period between the completion of the internal restructuring activities
and the acquisition of 44.99% of CENG by EDF and a revised operating
agreement that will apply after the EDF closing.
The NRC concluded that modifications were needed to the cover
letter, the October 9, 2009, Order, and the safety evaluations in light
of the new information provided in CENG's letters of October 19 through
28, 2009. This Order contains those modifications and supersedes the
Order issued October 9, 2009.
The findings set forth above are supported by a modified NRC safety
evaluation (SE) dated the same day as this Order.
III
Accordingly, pursuant to Sections 161b, 161i, 161o, and 184 of the
Act, 42 U.S.C. Sections 2201(b), 2201(i), 2201(o), and 2234; and 10 CFR
50.80 and 10 CFR 72.50, it is hereby ordered that the Application
regarding the indirect license transfers and direct license transfers
related to the proposed corporate restructuring actions and the planned
investment by EDF Development, as described herein, is approved,
subject to the following conditions:
A. With regard to the direct and indirect transfers resulting from
the restructuring of the CEG subsidiaries:
(1) Before completion of the direct transfer of the CNPP license,
CENG shall provide the Director of the Office of Nuclear Reactor
Regulation satisfactory documentary evidence that CCNPP, LLC has
obtained the appropriate amount of
[[Page 57535]]
insurance required of licensees under 10 CFR part 140 of the
Commission's regulations.
(2) CCNPP, LLC may no longer rely exclusively on an external
sinking fund as its decommissioning funding assurance mechanism and
will be required to implement an alternate decommissioning funding
assurance mechanism, acceptable per NRC requirements outlined in 10 CFR
50.75(e)(1), which will be used to provide decommissioning funding
assurance.
(3) The financial arrangements resulting from the corporate
restructuring activities of the CEG subsidiaries are subject to the
following:
(a) The Inter-Company Credit Agreements (ICA) described in the
October 25, 2009, supplement to the Application shall be effective as
of the date of the direct and indirect transfers (whichever occurs
first) resulting from the restructuring of CEG subsidiaries and shall
be consistent with the representations contained in the Application.
CENG and CCNPP, LLC shall take no action to cause CEG, or their
successors and assigns, to void, cancel or materially modify the ICA as
submitted without the prior written consent of the NRC staff. CENG
shall inform the Director of the Office of Nuclear Reactor Regulation,
in writing, no later than 10 days after any funds are provided to CENG
or any of the licensees by CEG or EDF Development under any Support
Agreement.
(b) The Master Demand Notes described in the October 26, 2009,
supplement to the Application shall be effective as of the date of the
direct and indirect transfers (whichever occurs first) resulting from
the restructuring of CEG subsidiaries and shall be consistent with the
representations contained in the Application. CENG and CCNPP, LLC,
shall take no action to cause CEG, or their successors and assigns, to
void, cancel or materially modify the Master Demand Notes without the
prior written consent of the NRC staff.
B. With regard to the indirect transfers resulting from the
acquisition of 44.99% of CENG by EDF Development (EDF Closing):
(1) Before completion of the EDF Closing, Conditions A.(1) and
A.(2) above must be fulfilled.
(2) The ownership and governance arrangements in effect as of the
date of the indirect transfers to EDF Development are subject to the
following:
(a) The Operating Agreement included with the supplement dated
October 25, 2009, may not be modified in any material respect
concerning decisionmaking authority over ``safety issues'' as defined
therein without the prior written consent of the Director, Office of
Nuclear Reactor Regulation.
(b) At least half the members of CENG's Board of Directors must be
U.S. citizens.
(c) The Chief Executive Officer (CEO), Chief Nuclear Officer (CNO)
and Chairman of the Board of Directors of CENG must be U.S. citizens.
These individuals shall have the responsibility and exclusive authority
to ensure and shall ensure that the business and activities of CENG
with respect to the Calvert Cliffs, Unit Nos. 1 and 2, Calvert Cliffs
ISFSI, Nine Mile Point, Unit Nos. 1 and 2, and R.E. Ginna licenses are
at all times conducted in a manner consistent with the public health
and safety and common defense and security of the United States.
(d) CENG will establish a Nuclear Advisory Committee (NAC) composed
of U.S. citizens who are not officers, directors, or employees of CENG,
CEG or EDF Development. The NAC will report to and provide transparency
to the NRC and other U.S. governmental agencies regarding foreign
ownership and control of nuclear operations.
(e) CENG shall cause to be transmitted to the Director, Office of
Nuclear Reactor Regulation, within 30 days of knowledge of a filing
with the U.S. Securities and Exchange Commission, any Schedules 13D or
13G filed pursuant to the Securities and Exchange Act of 1934 that
disclose beneficial ownership of any registered classes of CEG stock.
(3) The financial arrangements applicable to the indirect transfers
resulting from the EDF Closing are subject to the following:
(a) The working capital and cash pooling arrangements described in
Article IV of the Operating Agreement included with the October 25,
2009 supplement to the Application, shall be effective as of the date
of the indirect transfers to EDF Development and shall be consistent
with the representations contained in the Application. CENG and CCNPP,
LLC shall take no action to cause CEG and/or EDF Development, or their
successors and assigns, to void, cancel or materially modify the
working capital and cash pooling arrangements in the Operating
Agreement without the prior written consent of the NRC staff.
(b) The Support Agreements described in the February 26, 2009
supplement to the Application shall be effective as of the date of the
indirect transfers to EDF Development; shall supersede the Inter-
Company Credit Agreements provided by CEG, Inc.; and shall be
consistent with the representations contained in the Application. CENG
and CCNPP, LLC shall take no action to cause CEG and/or EDF
Development, or their successors and assigns, to void, cancel or
materially modify the Support Agreements as submitted without the prior
written consent of the NRC staff. CENG shall inform the Director of the
Office of Nuclear Reactor Regulation, in writing, no later than 10 days
after any funds are provided to CENG or any of the licensees by CEG or
EDF Development under any Support Agreement.
(c) The Master Demand Notes described in the October 28, 2009
supplement to the Application, shall be effective as of the date of the
indirect transfers to EDF Development; shall supersede the Master
Demand Notes provided by CEG, Inc.; and shall be consistent with the
representations contained in the Application. CENG and CCNPP, LLC,
shall take no action to cause CEG and/or EDF Development, or their
successors and assigns, to void, cancel or materially modify the Master
Demand Notes without the prior written consent of the NRC staff.
It is further ordered that, consistent with 10 CFR 2.1315(b), the
license amendment that makes changes to conform the license to reflect
the subject direct license transfer is approved. The amendment shall be
issued and made effective at the time the proposed direct license
transfer is completed.
It is further ordered that CENG shall inform the Director of the
Office of Nuclear Reactor Regulation, in writing, of the date of
closing of the transfer of EDF Development's ownership and operating
interests in CENG at least 1 business day before the closing. Should
the transfers of the licenses not be completed within 1 year of this
Order's date of issuance, this Order shall become null and void,
provided, however, that upon written application and for good cause
shown, such date may be extended by Order.
This Order supersedes the Order issued on October 9, 2009, and is
effective upon issuance.
For further details with respect to this Order, see the initial
application dated January 22, 2009 (Agencywide Documents Access and
Management System (ADAMS) Accession No. ML090290101), as supplemented
by letters dated February 26 (ML090630426), April 8 (ML091000665), June
25 (ML091811094), and July 27, 2009 (ML092150712), October 15
(ML092920168), October 19 (ML092990101), October 25 (ML093000127 and
ML093000141),
[[Page 57536]]
October 26 (ML093000506), and October 28, and the SE (ML093010003) with
the same date as this Order, which are available for public inspection
at the Commission's Public Document Room (PDR), located at One White
Flint North, 11555 Rockville Pike, Room O-1 F21 (First Floor),
Rockville, Maryland, and accessible electronically from the ADAMS
Public Electronic Reading Room on the Internet at the NRC Web site,
https://www.nrc.gov/reading-rm/adams.html. Persons who do not have
access to ADAMS, or who encounter problems in accessing the documents
located in ADAMS, should contact the NRC PDR Reference staff by
telephone at 1-800-397-4209 or 301-415-4737, or by e-mail at
pdr.resource@nrc.gov.
Dated at Rockville, Maryland, this 30th day of October 2009.
For the Nuclear Regulatory Commission.
Eric J. Leeds,
Director, Office of Nuclear Reactor Regulation.
Michael F. Weber,
Director, Office of Nuclear Material Safety and Safeguards.
[FR Doc. E9-26813 Filed 11-5-09; 8:45 am]
BILLING CODE 7590-01-P
