[Federal Register Volume 67, Number 153 (Thursday, August 8, 2002)]
[Notices]
[Pages 51602-51603]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-20085]


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NUCLEAR REGULATORY COMMISSION

[Docket Nos. 50-315 and 50-316]


In the Matter of Indiana Michigan Power Company, (Donald C. Cook 
Nuclear Plant, Units 1 and 2); Order Approving Application Regarding 
Proposed Corporate Restructuring

I

    Indiana Michigan Power Company (I&M or the licensee) owns 100 
percent of the Donald C. Cook Nuclear Plant (D.C. Cook), Units 1 and 2, 
located in Berrien County, Michigan. I&M exclusively operates the 
facility.
    I&M is a wholly owned, direct subsidiary of American Electric Power 
Corporation (AEP). I&M is the sole holder of Facility Operating 
Licenses Nos. DPR-58 for D.C. Cook Unit 1, and DPR-71 for D.C. Cook 
Unit 2, issued by the U.S. Nuclear Regulatory Commission (NRC or the 
Commission) pursuant to Part 50 of Title 10 of the Code of Federal 
Regulations (10 CFR Part 50) on October 25, 1974, and December 23, 
1977, respectively.

II

    Pursuant to section 184 of the Atomic Energy Act of 1954, as 
amended, and 10 CFR 50.80, I&M filed an application dated March 28, 
2002, requesting the Commission's consent to the indirect transfer of 
the D.C. Cook Units 1 and 2 licenses. The indirect transfer would occur 
as a result of a proposed corporate restructuring, under which an 
affiliate company, Central and South West Corporation (CSW), would 
become the direct parent company of I&M. I&M and CSW are currently 
wholly owned, direct subsidiaries of AEP. AEP is a registered holding 
company under the Public Utility Holding Company Act of 1935, as 
amended. Upon the completion of the

[[Page 51603]]

restructuring, CSW will remain a wholly owned, direct subsidiary of 
AEP, while I&M will be a wholly owned, direct subsidiary of CSW. Thus, 
I&M will become an indirect subsidiary of AEP.
    No physical changes to the D.C. Cook facility or operational 
changes are proposed in the application. I&M, which is authorized under 
the licenses to operate and maintain the facility, will continue to do 
so following the restructuring. No direct transfer of the licenses will 
result from the planned restructuring. Notice of this request for 
approval was published in the Federal Register on May 8, 2002 (67 FR 
30980). No hearing requests or written comments were received.
    Under 10 CFR 50.80, no license shall be transferred, directly or 
indirectly, through transfer of control of the license, unless the 
Commission gives its consent in writing. Upon review of the information 
submitted in the application and other information before the 
Commission, the NRC staff has determined that the proposed 
restructuring of I&M's parent organization described above will not 
affect the qualifications of I&M as the holder of the D.C. Cook Units 1 
and 2 licenses, and that the indirect transfer of the licenses, to the 
extent effected by the restructuring, is otherwise consistent with 
applicable provisions of laws, regulations, and orders issued by the 
Commission, subject to the conditions set forth herein. These findings 
are supported by a safety evaluation dated August 2, 2002.

III

    Accordingly, pursuant to sections 161b, 161i, 161o, and 184 of the 
Atomic Energy Act of 1954, as amended, 42 U.S.C. 2201(b), 2201(i), 
2201(o), and 2234; and 10 CFR 50.80, it is hereby ordered that the 
application regarding the indirect license transfers referenced above 
is approved, subject to the following conditions:
    (1) Following the completion of the subject indirect license 
transfers, I&M 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 I&M 
to its parent, or to any other affiliated company, facilities for the 
production, transmission, or distribution of electric energy having a 
depreciated book value exceeding ten percent (10%) of I&M's 
consolidated net utility plant, as recorded on its book of account.
    (2) Should the corporate restructuring described above not be 
completed by July 31, 2003, this Order shall become null and void, 
provided, however, upon application and for good cause shown, such date 
may be extended.
    This Order is effective upon issuance.

IV

    For further details with respect to this Order, see the application 
dated March 28, 2002, and the safety evaluation dated August 2, 2002, 
which are available for inspection at the Commission's Public Document 
Room, U.S. Nuclear Regulatory Commission, One White Flint North, Room 
O-1 F21, 11555 Rockville Pike, Rockville, MD 20852-2738, 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 2nd day of August, 2002.

    For the Nuclear Regulatory Commission.
John A. Zwolinski,
Director, Division of Licensing Project Management, Office of Nuclear 
Reactor Regulation.
[FR Doc. 02-20085 Filed 8-7-02; 8:45 am]
BILLING CODE 7590-01-P