[Federal Register Volume 72, Number 178 (Friday, September 14, 2007)]
[Notices]
[Pages 52582-52584]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-18147]


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NUCLEAR REGULATORY COMMISSION

[Docket Nos.: 50-18, 50-70, 50-73, 50-183; License Nos.: DPR-1, TR-1, 
R-33, and DR-10]


In the Matter of General Electric Company (Vallecitos Boiling 
Water Reactor, General Electric Test Reactor, Nuclear Test Reactor, and 
ESADA Vallecitos Experimental Superheat Reactor); Order Approving 
Transfer of Licenses and Conforming Amendments

I

    The General Electric Company (GE) is the holder of License No. DPR-
1 for the Vallecitos Boiling Water Reactor (VBWR), License No. TR-1 for 
the General Electric Test Reactor (GETR), and License No. DR-10 for the 
ESADA Vallecitos Experimental Superheat Reactor (EVESR), which 
authorize possession but not operation of these facilities. GE is also 
the holder of License No. R-33 for the Nuclear Test Reactor (NTR), 
which authorizes possession, use and operation of the facility. The 
VBWR, the GETR and the EVESR are permanently shut down with possession-
only licenses, and are maintained in safe storage with their nuclear 
fuel removed from the site. The NTR is a research reactor that operates 
at power levels not in excess of 100 kilowatts (thermal) under the 
authority of an operating license. The facilities are located at GE's 
Vallecitos site in Sunol, California.

II

    By letter dated January 19, 2007, and supplemented on January 25, 
2007, February 23, 2007, March 2, 2007, March 26, 2007, May 16, 2007, 
May 18, 2007, June 4, 2007, July 6, 2007, and August 9, 2007, 
(collectively, the Application), GE requested approval by the U.S. 
Nuclear Regulatory

[[Page 52583]]

Commission (NRC) to the direct license transfers that would be 
necessary in connection with GE's proposed transfers to GE-Hitachi 
Nuclear Energy Americas, LLC (GE-Hitachi) of its 100 percent interests 
in the VBWR, the EVESR, the GETR, and the NTR.
    GE also requested approval of conforming amendments to the 
respective licenses to reflect the proposed transfers of ownership of 
the facilities from GE to GE-Hitachi. No physical changes to the 
facilities or operational changes were proposed in the Application. 
After completion of the proposed transfers, GE-Hitachi would be the 
owner of the VBWR, the EVESR, and the GETR, and owner and operator of 
the NTR.
    Approval of the transfer of the licenses and the conforming 
amendments was requested pursuant to Section 184 of the Atomic Energy 
Act of 1954, as amended, (the Act), 10 CFR 50.80 and 10 CFR 50.90. A 
notice of consideration of approval and opportunity for a hearing or to 
submit written comments for the requested direct transfers was 
published in the Federal Register on March 28, 2007 (72 FR 14621-
14622). No request for hearing or comment were received on the 
Application.
    Pursuant to 10 CFR 50.80, no license for a production or 
utilization facility, 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 GE-
Hitachi is qualified to hold the licenses to the extent now held by GE 
regarding its ownership interests and operating authority as proposed 
in the Application, and the transfer of the licenses is otherwise 
consistent with applicable provisions of law, regulations, and orders 
issued by the Commission, subject to the conditions set forth below. 
The NRC staff has further found that the Application for the proposed 
amendments to the licenses complies with the standards and requirements 
of the Act, and the Commission's rules and regulations set forth in 10 
CFR Chapter I; the facilities 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 amendments can be conducted without 
endangering the health and safety of the public, and that such 
activities will be conducted in accordance with the Commission's 
regulations; the issuance of the proposed amendments to the licenses 
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 to the licenses will be in accordance with 10 CFR Part 51 of 
the Commission's regulations and all applicable requirements have been 
satisfied. The findings set forth above are supported by NRC's Safety 
Evaluation dated September 6, 2007.

III

    Accordingly, pursuant to Sections 161b, 161i, and 184 of the Atomic 
Energy Act of 1954, as amended; 42 U.S.C. 2201(b), 2201(i), and 2234; 
and 10 CFR 50.80, It is hereby ordered that the transfer of the 
licenses, as described herein, to GE-Hitachi is approved, subject to 
the following conditions:
    1. GE-Hitachi Nuclear Energy Americas, LLC, as stated in the 
Application, will abide by all commitments and representations 
previously made by GE with respect to the licenses. These include, but 
are not limited to, maintaining decommissioning records, implementing 
decontamination activities, and eventually decommissioning the 
facilities.
    2. The Manager of the Vallecitos Nuclear Center, the Vice-
President, Reactor Facility Safety and Security of GE-Hitachi Nuclear 
Energy Americas, LLC, and the Manager of GE-Hitachi Nuclear Energy 
Americas, LLC, shall be U.S. citizens. These individuals shall have the 
responsibility and exclusive authority to ensure and shall ensure, that 
the business and activities of GE-Hitachi Nuclear Energy Americas, LLC, 
with respect to the licenses for the subject facilities, are at all 
times conducted in a manner consistent with the protection of the 
public health and safety and the common defense and security.
    3. The commitments/representations made in the Application, 
regarding reporting relationships and authority over safety and 
security issues and compliance with NRC requirements shall be adhered 
to and may not be modified without the prior written consent from the 
Director, Office of Nuclear Reactor Regulation, the Director, Office of 
Federal and State Materials and Environmental Management Programs, or 
their designee(s).
    4. GE-Hitachi Nuclear Energy Americas, LLC, shall cause to be 
transmitted to the Director, Office of Nuclear Reactor Regulation and 
the Director, Office of Federal and State Materials and Environmental 
Management Programs within 30 days of filing with the U.S. Securities 
Exchange Commission (SEC), any schedule 13D or 13G filed pursuant to 
the Securities Exchange Act of 1934 that discloses beneficial ownership 
of a registered class of General Electric stock.
    5. Prior to completion of the transfer of the licenses, GE-Hitachi 
Nuclear Energy Americas, LLC, shall provide the Nuclear Regulatory 
Commission staff satisfactory documentary evidence that it has obtained 
the appropriate amount of insurance required of licensees under 10 CFR 
Part 140 of the Commission's regulations.
    6. Prior to completion of the transfer of the licenses, GE-Hitachi 
Nuclear Energy Americas, LLC, shall provide the Nuclear Regulatory 
Commission staff satisfactory documentary evidence of a parent company 
guarantee or another method authorized by and meeting the requirements 
of 10 CFR 50.75 for decommissioning funding assurance for the licenses 
in an amount no less than $8,016,000 for the VBWR, $14,077,000 for the 
GETR, $3,411,000 for the NTR, and $10,516,000 for the EVESR.
    It is further ordered that, consistent with 10 CFR 2.1315(b), 
amendments to the licenses that make changes as indicated in Enclosure 
2 to the cover letter, which forwards this Order, to conform the 
licenses to reflect the subject transfer of the licenses, are approved. 
The amendments to the licenses shall be issued and made effective at 
the time the proposed transfers are completed.
    It is further ordered that GE shall inform the Directors of the 
Office of Nuclear Reactor Regulation and the Office of Federal and 
State Materials and Environmental Management Programs in writing of the 
date of closing of the transfer of the subject interests in the VBWR, 
the EVESR, the GETR, and the NTR at least (five) 5 business days prior 
to transfer to GE-Hitachi. Should the transfer of the licenses not be 
completed within one 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 is effective upon issuance.
    For further details with respect to this Order, see the Application 
and the Safety Evaluation, which are available for public inspection at 
the Commission's Public Document Room (PDR), located at One White Flint 
North,

[[Page 52584]]

Public File Area 01 F21, 11555 Rockville Pike (first floor), Rockville, 
Maryland and accessible electronically from the Agencywide Documents 
Access and Management System (ADAMS) Public Electronic Reading Room on 
the Internet at the NRC Web site, http://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, 301-415-
4737, or by e-mail to [email protected].

    Dated at Rockville, Maryland this 6th day of September 2007.

    For the Nuclear Regulatory Commission.
J.E. Dyer,
Director, Office of Nuclear Reactor Regulation.
 [FR Doc. E7-18147 Filed 9-13-07; 8:45 am]
BILLING CODE 7590-01-P