[Federal Register Volume 87, Number 21 (Tuesday, February 1, 2022)]
[Notices]
[Pages 5521-5522]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-01942]


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NUCLEAR REGULATORY COMMISSION

[Docket Nos. STN 50-528, STN 50-529, STN-530, and 72-44; NRC-2021-0100]


In the Matter of Arizona Public Service Company; El Paso Electric 
Company; Palo Verde Nuclear Generating Station, Units 1, 2, and 3 and 
Independent Spent Fuel Storage Installation

AGENCY: Nuclear Regulatory Commission.

ACTION: Indirect transfer of control of licenses; order.

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SUMMARY: The U.S. Nuclear Regulatory Commission (NRC) is issuing an 
order approving the application dated March 18, 2021, filed by El Paso 
Electric Company (EPE). The application sought NRC consent to the 
indirect transfer of control of EPE's interests in Renewed Facility 
Operating License Nos. NPF-41, NPF-51, and NPF-74 for Palo Verde 
Nuclear Generating Station (Palo Verde), Units 1, 2, and 3, 
respectively, and the general license for the Palo Verde Independent 
Spent Fuel Storage Installation (together, the facility). No physical 
changes or operational changes to the facility were proposed in the 
application.

DATES: The order was issued on January 25, 2022, and is effective 
immediately.

ADDRESSES: Please refer to Docket ID NRC-2021-0100 when contacting the 
NRC about the availability of information regarding this document. You 
may obtain publicly available information related to this document 
using any of the following methods:
     Federal Rulemaking Website: Go to https://www.regulations.gov and search for Docket ID NRC-2021-0100. Address 
questions about Docket IDs in Regulations.gov to Stacy Schumann; 
telephone: 301-415-0624; email: [email protected]. For technical 
questions, contact the individual listed in the FOR FURTHER INFORMATION 
CONTACT section of this document.
     NRC's Agencywide Documents Access and Management System 
(ADAMS): You may obtain publicly available documents online in the 
ADAMS Public Documents collection at https://www.nrc.gov/reading-rm/adams.html. To begin the search, select ``Begin Web-based ADAMS 
Search.'' For problems with ADAMS, please contact the NRC's Public 
Document Room (PDR) reference staff at 1-800-397-4209, 301-415-4737, or 
by email to [email protected]. The license transfer order and the 
NRC staff safety evaluation supporting the order are available in ADAMS 
under Package Accession No. ML22003A102.
     NRC's PDR: You may examine and purchase copies of public 
documents, by appointment, at the NRC's PDR, Room P1 B35, One White 
Flint North, 11555 Rockville Pike, Rockville, Maryland 20852. To make 
an appointment to visit the PDR, please send an email to 
[email protected] or call 1-800-397-4209 or 301-415-4737, between 
8:00 a.m. and 4:00 p.m. (ET), Monday through Friday, except Federal 
holidays.

FOR FURTHER INFORMATION CONTACT: Siva P. Lingam, Office of Nuclear 
Reactor Regulation, U.S. Nuclear Regulatory Commission, Washington, DC 
20555-0001; telephone: 301-415-1564, email: [email protected].

SUPPLEMENTARY INFORMATION: The text of the order is attached.

    Dated: January 26, 2022.

    For the Nuclear Regulatory Commission.
Siva P. Lingam,
Project Manager, Plant Licensing Branch IV, Division of Operating 
Reactor Licensing, Office of Nuclear Reactor Regulation.

Attachment--Order Approving Indirect Transfer of Control of Licenses

United States of America

Nuclear Regulatory Commission

    In the Matter of: Arizona Public Service Company, El Paso Electric 
Company; Palo Verde Nuclear Generating Station, Units 1, 2, and 3 and 
Independent Spent Fuel Storage Installation.

Docket Nos. STN 50-528, STN 50-529, STN 50-530, and 72-44
License Nos. NPF-41, NPF-51, and NPF-74

Order Approving Indirect Transfer of Control of Licenses

I

    Arizona Public Service Company (APS) is the licensed operator and a 
licensed co-owner of Renewed Facility Operating License Nos. NPF-41, 
NPF-51, and NPF-74 for Palo Verde Nuclear Generating Station (Palo 
Verde), Units 1, 2, and 3, respectively, and the general license for 
the Palo Verde Independent Spent Fuel Storage Installation (ISFSI). 
Palo Verde is located in Maricopa County, Arizona. The other licensed 
co-owners (tenants-in-common), Salt River Project Agricultural 
Improvement and Power District; Southern California Edison Company; El 
Paso Electric Company (EPE); Public Service Company of New Mexico; 
Southern California Public Power Authority; and Los Angeles Department 
of Water and Power, hold possession-only rights for these licenses 
(i.e., they are not licensed to operate the facility).

II

    By application dated March 18, 2021 (Agencywide Documents Access 
and Management System (ADAMS) Accession Nos. ML21077A256), EPE 
requested pursuant to Title 10 of the Code of Federal Regulations (10 
CFR) Sections 50.80, ``Transfer of licenses,'' and 72.50, ``Transfer of 
license,'' that the U.S. Nuclear Regulatory Commission (NRC, the 
Commission)

[[Page 5522]]

consent to the indirect transfer of control of the Palo Verde NRC 
licenses.
    According to the application, EPE currently owns a 15.8 percent 
tenant-in-common interest and holds possession-only rights in the Palo 
Verde NRC licenses. The indirect transfer of control of EPE's 
possession only non-operating interests in the Palo Verde NRC licenses 
resulted from the acquisition of an approximately 33.3 percent 
membership interest in IIF US Holding 2 GP, LLC (IIF US 2 GP), the 
general partner of IIF US Holding 2 LP (IIF US 2), by a private 
individual, Anne Cleary, a U.S. citizen, subsequent to the retirement 
and relinquishment of an approximately 33.3 percent IIF US 2 GP 
membership interest held by Dennis Clarke, a U.S. citizen. APS owns a 
29.1 percent tenant-in-common interest and holds both operating and 
possession rights in the Palo Verde NRC licenses. Further, APS 
operates, and will continue to operate, each of the Palo Verde units 
and the ISFSI pursuant to the operating rights granted to it under the 
license of each Palo Verde unit. The remaining tenant-in-common co-
owners that hold possession-only rights in the Palo Verde NRC licenses 
are: Salt River Project Agricultural Improvement and Power District 
(17.49 percent); Southern California Edison Company (15.8 percent); 
Public Service Company of New Mexico (10.2 percent); Southern 
California Public Power Authority (5.91 percent); and Los Angeles 
Department of Water and Power (5.7 percent).
    According to the application, the transaction involved the issuance 
of the approximately 33.3 percent interest in IIF US 2 GP that was 
relinquished by Dennis Clarke on September 30, 2020, to Anne Cleary 
pursuant to that certain resolution dated September 30, 2020, of the 
IIF US 2 GP Owners, Rita J. Sallis and Christopher Ward. As a result of 
the transaction, as of December 17, 2020, Anne Cleary became an 
approximately 33.3 percent owner of IIF US 2 GP and indirect owner of 
EPE. The approximately 33.3 percent interests of each of Rita J. Sallis 
and Christopher Ward were unaffected by the transaction.
    After the transaction, Anne Cleary owns an approximately 33.3 
percent membership interest in IIF US 2 GP. APS continues to own a 29.1 
percent tenant-in-common interest and continues to hold both operating 
and possession rights in the Palo Verde NRC licenses. Further, APS 
continues to operate each of the Palo Verde units and the ISFSI 
pursuant to the operating rights granted to it under the license of 
each Palo Verde unit. Also, as before the transaction, no entity owns 
50 percent or more of the voting interests. Accordingly, after the 
transaction, there is no change in the control of the operation of Palo 
Verde; APS continues to make all technical decisions that do not 
require approval from all owners of Palo Verde.
    No physical changes or operational changes were proposed in the 
application.
    A notice of the application and opportunity to comment, request a 
hearing, and petition for leave to intervene on the application was 
published in the Federal Register (FR) on May 4, 2021 (86 FR 23757). 
The NRC did not receive any comments or hearing requests on the 
application.
    Under 10 CFR 50.80 and 10 CFR 72.50, no license for a production or 
utilization facility or ISFSI, or any right thereunder, shall be 
transferred, either voluntarily or involuntarily, directly or 
indirectly, through transfer of control of the license to any person, 
unless the Commission gives its consent in writing. Upon review of the 
information in the application, and other information before the 
Commission, the NRC staff has determined that the acquisition of an 
approximately 33.3 percent membership interest in IIF US 2 GP by Anne 
Cleary is acceptable. The transferee is qualified to be the indirect 
holder of the licenses and indirect transfer of the licenses is 
otherwise consistent with applicable provisions of law, regulations, 
and orders issued by the Commission pursuant thereto.
    The findings set forth above are supported by an NRC staff safety 
evaluation dated the same date as this Order, which is available at 
ADAMS Accession No. ML22003A105.

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 and 10 CFR 72.50, it is hereby ordered that the 
application regarding the indirect transfer of control of licenses is 
approved for Palo Verde Units 1, 2, and 3 and the Palo Verde ISFSI.
    This Order is effective upon issuance.
    For further details with respect to this Order, see the application 
dated March 18, 2021, and the NRC staff's safety evaluation dated the 
same date as this Order, which are available for public inspection 
electronically through ADAMS in the NRC Library at https://www.nrc.gov/reading-rm/adams.html. Persons who do not have access to ADAMS or who 
encounter problems accessing the documents located in ADAMS should 
contact the NRC Public Document Room reference staff by telephone at 1-
800-397-4209 or 301-415-4737 or by email to [email protected].

    Dated: January 25, 2022.

    For the Nuclear Regulatory Commission

/RA/

Brian D. Wittick,

Acting Deputy Director, Division of Operating Reactor Licensing, 
Office of Nuclear Reactor Regulation.

[FR Doc. 2022-01942 Filed 1-31-22; 8:45 am]
BILLING CODE 7590-01-P