[Federal Register Volume 61, Number 150 (Friday, August 2, 1996)]
[Notices]
[Pages 40468-40469]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-19672]


=======================================================================
-----------------------------------------------------------------------

NUCLEAR REGULATORY COMMISSION

[Docket Nos. 50-254 and 50-265]


Commonwealth Edison Company and MidAmerican Energy Company, (Quad 
Cities Nuclear Power Station, Units 1 and 2); Order Approving the 
Indirect Transfer of Licenses as Part of the Corporate Restructuring of 
Midamerican Energy Company by Establishment of a Holding Company

I

    MidAmerican Energy Company (MEC) holds a 25-percent ownership 
interest in Quad Cities Nuclear Power Station, Units 1 and 2. 
Commonwealth Edison Company (ComEd) owns the remaining 75-percent share 
of the facility. MEC and ComEd are governed by Facility Operating 
License Nos. DPR-29 and DPR-30 issued by the U.S. Atomic Energy 
Commission pursuant to Part 50 of Title 10 of the Code of Federal 
Regulations (10 CFR Part 50) on December 14, 1972. Under these 
licenses, ComEd, acting as agent and representative of the two owners 
listed on the licenses, has the authority to operate the Quad Cities 
Nuclear Power Station, Units 1 and 2. Quad Cities is located in Rock 
Island County, Illinois.

II

    By letter dated April 4, 1996, MEC informed the Commission that it 
was in the process of implementing a corporate restructuring. MEC 
proposes to restructure itself by establishing a holding company, 
MidAmerican Energy Holdings Company (MEHC), which would become the 
parent corporation to, and sole owner of, MEC. MEC would continue to 
remain a 25-percent minority owner and possession-only licensee of the 
Quad Cities Nuclear Power Station, Units 1 and 2. MEC would remain an 
``electric utility'' as defined in 10 CFR 50.2, engaged in the 
generation, transmission, and distribution of electric energy for 
wholesale and retail sale. Upon consummation of the restructuring, 
common stockholders of MEC would receive one share of stock in MEHC in 
exchange for each share of MEC stock held. MEC requested the 
Commission's approval of the indirect license transfers to the extent 
affected by the proposed corporate restructuring, pursuant to 10 CFR 
50.80. Notice of this request for approval was published in the Federal 
Register on June 14, 1996 (61 FR 30263).
    Upon review of the information submitted in MEC's letter of April 
4, 1996, and other information before the Commission, the NRC staff has 
determined that the restructuring, subject to the conditions set forth 
herein, will not affect the qualifications of MEC as a holder of the 
license, and is otherwise consistent with applicable provisions of law, 
regulations, and orders issued by the Commission. These findings are 
supported by a Safety Evaluation dated July 29, 1996.

III

    By September 3, 1996, any person adversely affected by this Order 
may file a request for a hearing with respect to issuance of the Order. 
Any person requesting a hearing shall set forth with particularity how 
that interest is

[[Page 40469]]

adversely affected by this Order and shall address the criteria set 
forth in 10 CFR 2.714(d).
    If a hearing is to be held, the Commission will issue an Order 
designating the time and place of such hearing.
    The issue to be considered at any such hearing shall be whether 
this Order should be sustained.
    Any request for a hearing must be filed with the Secretary of the 
Commission, U.S. Nuclear Regulatory Commission, Washington, DC 20555-
0001, Attention: Docketing and Services Branch, or may be delivered to 
11545 Rockville Pike, Rockville, Maryland, between 7:45 a.m. and 4:15 
p.m. Federal workdays, by the above date. Copies should be also sent to 
the Office of the General Counsel and the Director, Office of Nuclear 
Reactor Regulation, U.S. Nuclear Regulatory Commission, Washington, DC 
20555-0001; Michael I. Miller, Esquire, Sidley and Austin, One First 
National Plaza, Chicago, Illinois 60603, attorney for ComEd; and Jack 
R. Newman, Esquire, Morgan, Lewis and Bockius, LLP, 1800 M Street, NW, 
Washington, D.C. 20036, attorney for MEC.

IV

    Accordingly, pursuant to Sections 161b, 161i, 161o, and 184 of the 
Atomic Energy Act of 1954, as amended, 42 USC 2201(b), 2201(i), 
2201(o), and 2234; and 10 CFR 50.80, It is hereby ordered That the 
Commission consents to the indirect transfers of the licenses held by 
MEC to the extent affected by the proposed restructuring of MEC subject 
to the following: (1) MEC shall provide the Director of the Office of 
Nuclear Reactor Regulation a copy of any application, at the time it is 
filed, to transfer (excluding grants of security interests or liens) 
from MEC to its proposed parent or to any other affiliated company, 
facilities for the production, transmission, or distribution of 
electric energy having a depreciated book value exceeding one percent 
(1%) of MEC's consolidated net utility plant, as recorded on MEC's 
books of account, and (2) should the restructuring of MEC not be 
completed by December 31, 1997, this Order shall become null and void, 
provided, however, on application and for good cause shown, such date 
may be extended.
    For further details with respect to this action, see the 
application for consent concerning the proposed corporate restructuring 
of MEC dated April 4, 1996, which is available for public inspection at 
the Commission's Public Document Room, the Gelman Building, 2120 L 
Street, NW., Washington, DC, and at the local public document room 
located at the Dixon Public Library, 221 Hennepin Avenue, Dixon, 
Illinois.

    Dated at Rockville, Maryland, this 29th day of July 1996.

    For the Nuclear Regulatory Commission.
William T. Russell,
Director, Office of Nuclear Reactor Regulation.
[FR Doc. 96-19672 Filed 8-1-96; 8:45 am]
BILLING CODE 7590-01-P