[Federal Register Volume 63, Number 174 (Wednesday, September 9, 1998)]
[Notices]
[Page 48254]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-24129]


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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 is hereby given that the U.S. Nuclear Regulatory Commission 
(the Commission) is considering the issuance of an Order approving, 
under 10 CFR 50.80, an application regarding an indirect transfer of 
the operating licenses for Nine Mile Point Nuclear Station, Unit Nos. 1 
and 2 (NMP1 and NMP2, or collectively, the facility), to the extent 
held by Niagara Mohawk Power Corporation (NMPC). The transfer would be 
to a New York corporation, Niagara Mohawk Holdings, Inc., to be created 
as a holding company over NMPC in accordance with a Settlement 
Agreement reached with the New York Public Service Commission (PSC Case 
Nos. 94-E-0098 and 94-E-0099), dated October 10, 1997, and revised 
March 19, 1998. NMPC is licensed by the Commission to possess, 
maintain, and operate both NMP1 and NMP2. NMPC fully owns NMP1 and is a 
41-percent co-owner of NMP2. The facility is located in Scriba, New 
York.
    By application transmitted under cover of a letter dated July 21, 
1998, NMPC informed the Commission of a proposed corporate 
restructuring under which NMPC would become a subsidiary of the newly 
formed holding company. Each share of NMPC's common stock would be 
exchanged for one share of common stock of the holding company. NMPC's 
outstanding preferred stock would not be exchanged. Under this 
restructuring, NMPC would divest all of its hydro and fossil generation 
assets by auction, but would retain its nuclear assets, and would 
continue to be an ``electric utility'' as defined in 10 CFR 50.2 
engaged in the transmission, distribution and, through NMP1 and NMP2, 
the generation of electricity. NMPC would continue to be the owner of 
NMP1 and a co-owner of NMP2 and would continue to operate both NMP1 and 
NMP2. No direct transfer of the operating licenses or ownership 
interests in the facility would result from the proposed restructuring. 
The transaction would not involve any change in the responsibility for 
nuclear operations within NMPC. Officer responsibilities at the holding 
company level would be primarily administrative and financial in nature 
and would not involve operational matters related to NMP1 or NMP2. No 
NMPC nuclear management positions would be changed as a result of the 
corporate restructuring.
    Pursuant to 10 CFR 50.80, the Commission may approve the transfer 
of control of a license after notice to interested persons. Such 
approval is contingent upon the Commission's determination that the 
holder of the license following the transfer is qualified to hold the 
license and that the transfer is otherwise consistent with applicable 
provisions of law, regulations, and orders of the Commission.
    For further details with respect to this proposed action, see 
NMPC's application transmitted under a cover letter dated July 21, 
1998. These documents are 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 Penfield Library, State University of New York, Oswego, New York 
13126.

    Dated at Rockville, Maryland this 31st day of August, 1998.

    For the Nuclear Regulatory Commission.
Darl S. Hood,
Senior Project Manager, Project Directorate I-1, Division of Reactor 
Projects--I/II, Office of Nuclear Reactor Regulation.
[FR Doc. 98-24129 Filed 9-8-98; 8:45 am]
BILLING CODE 7590-01-P