ML19327B076

Forwards Amend 3 to Indemnity Agreement B-106.Definition of Public Liability in Paragraph 7,Article I Deleted & Substituted by Listed Paragraph.Opinion Ltr from Ropes & Gray Also Encl

ML19327B076
Person / Time
Site:	Seabrook
Issue date:	10/19/1989
From:	Feigenbaum T PUBLIC SERVICE CO. OF NEW HAMPSHIRE
To:	NRC OFFICE OF INFORMATION RESOURCES MANAGEMENT (IRM)
References
NYN-89126, NUDOCS 8910250104
Download: ML19327B076 (5)

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\\UnitedStatesNuclearRegulatoryCommiasion Washington, DC-';20555

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W Attention: ' Document' Control Desk L

References:

~-(a), ;Tecility Operating License No. NPF-67.. Docket No. 50-443 W+.

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3 (b) s,USNRC. Letter dated October 5, 1989, ' Sea? cook. Station.

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U. alt. No.1. - 1stnendment to Indemnity a.

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Indemuity Agreement.No. B-lC6 N

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y ln accordance with your direction provided in Reference (b), enclosed

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i please' find'an. executed copy of Amendment No. 3 to Indemnity Agreement N7.

Ba106.,..Also enclosed is an opinion letter from our. legal counsel, Ropes T l

'4L\\ Gray.,regarding.stgnature authority of the New Hampshire Yankee Division of Public Service company of New Hampshire. Agent for the Joint Owners of n;

A Seabrook Station which applied to Amendment No. 2 and is applicable,to this y

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s hould you have any questions regarding this'ntter, please cor. tact s

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Mr. R. V.. Romer at (603) 474-9521 extension S.e25) m s

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Very truly youri..

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,e New Hompshire Yonlee Division of PuMic Servico Compcmf of tb Hompshire M,.

'.P.O. Box 300 * !aobrook,'NH 03874

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• United States Nuclear Regulatory Commission October 19, 1989 p '-

Attention: ' Document Control Desk Page 2 1

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ca s-Mr. 'filliam T. Ruspell Regional Administrator Ur.ited States Nuclear ReCulatory Commission R*,.ca I 4. 4 !andale Road r c Kitig of Prussia, PA 19406 Mr. Victor Nerses, Project Manager Project Dirictorate I-3 United States Nuclear Regulatory Commission Division of Reactor Irojects J

Washington,'DC 20555 Mr. Antone C.-Cerne k

NRC Senior Resident Inspector P.O. Box 1149 Seabrook, NH 03874 s

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1, quay,,k UNITED 3TATES

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3 Docket No.

50-443 wg y

p Amendnent-to Indewnity Agreerar(No..B-106 4

.,i Js Ame..Jment No. 3 i

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}9 Effebtiveluly 1,:1989, Indemnity Agreement No. B-106, between Public Service

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' t Company of New Hampshire, The United Illuminating Company, Massachusetts 4

Municipal Wholesale Electric Company, New England Power Company, The Connecticut,

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Light and Mwer Lompany, Canal Electric Cce..pany, Montaup Electric Company, New-9~

Hampshire Electric: Cooperative, Inc., Vermont Ele',tric Generation and Trans-

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mission Cooperative, Taunton Municipal Lighting Plant, Hudson Light and Power

' Department;.EUA Power Corporation, and the Nuclear Regulatory Commission, m

), dated December 18; 1985 as amended, is hereby further amended as follows:

The amount "$160,000,000" is deleted wherever it appears and

,theamount"$200,000,000" is substituted therefnr.

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N s deleted wherever it appears.and I

' The amount "$124,000,000 i

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the amount."$155,000,000" is substituted therefor.

The amount "$26,00'n,000" is deleted wherever it appears and the araunt "$45,000,000" is substituted therefor, Paragraph 1,' Article I is nodified to read as follows:

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" Nuclear reactor," " byproduct material," " person," " source material,"

"special nuclear material," and " precautionary evacuation" shall have the meanings given them in the Atomic Energy Act of 1954, as amended, and the regulations issued by the Censnission.

The definition of "public liability" in paragraph 7, Article I is deleted, l;

andthefollowingissubstitutedtherefor:

"Public liability" means any legal liability crising out of or resulting from a nuclear incident or precautionary evacuation (including all reasonable l'

additional costs incurred by a State or a political subdivision of a State, in the~ course or responding to a nuclear incident or precautionary evacuation),

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except (1) cuims under State or Federal Worknen's Compensation Acts of employed of persons indemnified who are employed (3) at the location or, if the nuclear incident occurs in the course of transportation of the radioactive material, on the transporting vehicle, and (b) in connection with the licensee's possession, use or transfer of the radioactive material; (2) r1 aims arising out of an act y

of war; and (3) claims for loss of, or damg,e to, c: loss of use of (a) property which is located at the location and used in connection with the licensee's j

possession,use,ortransferoftheradioactivematerial,and(b)ifthe nuclear incident occurs in the course of transportation cf the radioactiv?

material, the transporting vehicle, containers used in such transportation, and the radioactive uaterial.

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2 Paragraph 4(c),ArticleIIisrevisedtoreadasfollows:

-(c) Ary issue or defense based on any statute of limitations if suit is instituted within three years from the date on which the claimant first knew, or reasonably could have known, of his injury or damage and the'tause thereof.

In paragraph 1, Article Vill, the amount "$5,000,000" is deleted and the amount "$63,000,000" is substituted therefor.

Item 2a of the Attechment to the indemnity agreement is deleted in its entirey s

and the following substituted therefor:

Item 2 - Amount of financial protection a.

$1,000,000 (From 12:01 a.m., December 18, 1985, to 12 midnig t, October 16, 1986, inc'usive

$160,000,000*

(From 12:01 a.m., October 17, 1986, to 12 midnig t, June 30, 1989 inclusive

$200,000,000*

(From 12:01 a.m., July 1, 1989)

FOR THE UNITED STATES NUCLEAR REGULATORY COMMISSION

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l Cecil 0. Thor.:as, Chief Policy Development crd Technical Support Branch Program Management,-Policy Development and Analysfs Staff Office of Nuclear Reactor Regulation Accepted

,1989 Accepted

, 1989 e

By By Public Service Company of The United Illuminating Company New Hampshire Accepted

,1989 Accepted

, 1989 By By Massachusetts Municipal New Englai d Power Company Wholesale Electric Company f

• and, as oTTugust 1,1977, the amount available as secondary financial prctection.

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Accepted' _

, 1989 A.ccepted

, 1989

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By EUA Power Corporation The Connecticut Light and Power i

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~AccepteC

. 1989 Accepted 1989 i

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'By tanal Electric Company Montaup Electric company 1989 Accepted

,1989

Accepted-l By By 4

- ' Vermont Electric Generation New Hampshire Electric 1

ard Transmission Cooperative Cooperative, Inc.

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Accepted'

, 1989 Accepted _

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-Taunton Municipal Lighting Hudson L1gl t and Power h-Plant Department l

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• • By New Ilampshire Yankee Division of p

Public Service Company af New hampshire, as agent for each of the Joint Owners Wh c

u 2F9 e-ACCEPTED October 19, 1989 Edward A. Brown -- President 6 CEO e

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'ONE INTERNATIONAL PLACE

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.m-May 30, 1989 j

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.i United States Nuclear Regulatory m

Commission 74

. Washington, D.C.-

20555.

4 Re:

' Amendment No. 2 te Indemnity Actreement No. B-106 t

Gentlemen:

-I This. opinion is'being' furnished to you in. connection

with the execution'knd delivery of Amendment No'. 2.(the-

"Second, Amendment") to the Indemnity Agreement No..B-106, 1

dated 1as of December 18, 1985, as heretofore amended (the i

" Indemnity Agreement")', between the; twelve

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acting through New Hampehire Yankee Divisi Seabrciok Owners, en (thei" Division")

'L' of Public Service Company-of New Hampshire as agent, and the United. States Nuclear Regulatory Commission.

The Seabrock Owners are all named.as licensees in Facility Operating

'I License No.'NPF-67.

t We have acted as counsel fcr Public Service Company of l

New' Hampshire-("Public Service"), and mora recently'for the

- Division, in thei.; respective and successive capacities as agent'for.the Seabrook Owners under the Agreement for Joint

.Owriership, Construction and Operation of < New Hampshire 1

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. Nuclear Units, dated as of May 1, 1973, as amended (the

" Joint Ownership Agreement-").

We are familiar with the i

actions taken-by Public Service to establish the Division and with the authorizing actions taken by the Seabrook Owners,

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- including Public Fervice, with respect to the delegation of authority to the Division.

We have reviewed an 3xecuted copy t

of the Indemnity Agreement, including both amendments thereto, and such other mat 9.ria~ as we deemed necessary for purposes of this opinion.

F Based upon the foregoing, we are of the opinion that:

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The Division has been duly established within the corporate structure of Public Service.

The Joint Ownership y

Agreement grants Public Service authority to act as agent for i1 ;*

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' United St:Les Nuclear Regulatory May 30,.1989 Commission w1

.the Seabrook' Owners in connection with transactions such as those evidenced by the Indemnity Agreement, and that 4

authority has, in accordance with'the directive of.the Joint owners, been duly delegated to the Division.

2;.

Subject to the qual..fication stated in the last

- paragraph hereof, the Secord Amendment to the Indemnity Agreement has been duly authorized, executed and. delivered on behalf.of the seabrook owners,' acting through the Division.as their-agent under.the Joint ownership Agreement, and constitutes a valid and binding obligation of each of the Seabrook Owners, enforceable in accordance with its terms.

-Our. opinion as to the enforceability of the Second Amendment to the. Indemnity Agreement is qualified to the extent that enforceability may be limited by applicable bankruptcy,' insolvency, reorganization, moratorium or other i

similar laws affecting creditors' rights generally and that general equitable' principles may limit the right to obtain

.the remedy of specific performance of obligations thereunder n

or other cquitable. remedies.

Very truly yours,

p. / b" Ropeh L Gray

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