794 Federal Register / Vol. 65, No. 4 / Thursday, January 6, 2000 / Notices

maintenance of the additional lighting

units.

On the basis of its evaluation, the staff

concludes that with the availability of

hand-held battery-powered portable

lights for use during transit between site

structures described above and for

reading the CDST level instrument, the

installation of emergency lighting units

with at least an 8-hour battery supply

for these transit routes and the CDST

level instrument is not necessary to

achieve the underlying purpose of

Section III.J of Appendix R to 10 CFR

Part 50. Thus, special circumstances are

present as defined in 10 CFR

50.12(a)(2)(ii). The staff has further

determined that, pursuant to 10 CFR

50.12, the requested exemption is

authorized by law, will not present an

undue risk to the public health and

safety, and is consistent with the

common defense and security.

Accordingly, the licensee’s request for

an exemption from the requirements of

Section III.J to 10 CFR Part 50 to allow

the use of alternate means of lighting for

access and egress routes between the

main power block, the isolation

condenser pumphouse, the cribhouse,

the CDST, and for reading the CDST

level instrument at Dresden, Units 2 and

3, is acceptable to the staff.

In consideration of the foregoing, the

Commission hereby grants the licensee

an exemption from the requirements of

10 CFR Part 50, Appendix R, Section

III.J, to provide emergency lighting units

with at least an 8-hour battery power

supply in all areas needed for operation

of safe shutdown equipment and in

access and egress routes thereto, for

access and egress routes between the

main power block, the isolation

condenser pumphouse, the cribhouse,

the CDST, and for reading the CDST

level instrument at Dresden, Units 2 and

3, to the extent alternative means of

lighting as described herein are

available.

Pursuant to 10 CFR 51.32, the

Commission has determined that

granting of this exemption will have no

significant effect on the quality of the

human environment (64 FR 72701).

This exemption is effective upon

issuance.

Dated at Rockville, Maryland, this 30th day

of December 1999.

For the Nuclear Regulatory Commission.

Suzanne C. Black,

Acting Director, Division of Licensing Project

Management, Office of Nuclear Reactor

Regulation.

[FR Doc. 00–254 Filed 1–5–00; 8:45 am]

BILLING CODE 7590–01–P

NUCLEAR REGULATORY

COMMISSION

[Docket No. 50–346]

FirstEnergy Nuclear Operating

Company, Davis-Besse Nuclear Power

Station, Unit 1; Environmental

Assessment and Finding of No

Significant Impact

The U.S. Nuclear Regulatory

Commission (the Commission) is

considering the issuance of exemptions

from the provisions of: (1) 10 CFR 50.44,

‘‘Standards for Combustible Gas Control

System in Light-Water-Cooled Power

Reactors,’’ which states requirements to

control the hydrogen generated by

Zircaloy or ZIRLO fuel cladding after a

postulated loss-of-coolant accident

(LOCA); (2) 10 CFR 50.46, ‘‘Acceptance

Criteria for Emergency Core Cooling

Systems for Light-Water Nuclear Power

Reactors,’’ which requires the calculated

emergency core cooling system (ECCS)

performance for reactors with Zircaloy

or ZIRLO fuel cladding to meet certain

criteria; and (3) Appendix K to 10 CFR

Part 50, ‘‘ECCS Evaluation Models,’’

which presumes the use of Zircaloy or

ZIRLO fuel cladding when doing

calculations for energy release, cladding

oxidation and hydrogen generation after

a postulated LOCA, for Facility

Operating License No. NPF–3, issued to

the FirstEnergy Nuclear Operating

Company (the licensee), for operation of

the Davis-Besse Nuclear Power Station,

Unit 1, located in Ottawa County, Ohio.

Environmental Assessment

Identification of the Proposed Action

The licensee has requested

exemptions from 10 CFR 50.44, 10 CFR

50.46 and 10 CFR 50 Appendix K

regarding the proposed use of M5

advanced alloy for fuel assemblies. The

proposed action would allow the

licensee to use fuel assemblies with fuel

rod cladding that falls outside of the

definition of Zircaloy and ZIRLO in the

cited regulations. These assemblies

would be loaded into the Davis-Besse

reactor during the refueling outage in

the spring of 2000. The proposed action

is in accordance with the licensee’s

application for exemption dated

September 15, 1998.

Need for the Proposed Action

10 CFR 50.46(a)(1)(i) and Appendix K

to 10 CFR Part 50 require the

demonstration of adequate ECCS

performance for light-water reactors that

contain fuel consisting of uranium oxide

pellets enclosed in Zircaloy or ZIRLO

tubes. In addition, 10 CFR 50.44(a)

addresses requirements to control

hydrogen generated by Zircaloy or

ZIRLO fuel after a postulated LOCA.

Each of these three regulations, either

implicitly or explicitly, assume that

either Zircaloy or ZIRLO is used as the

fuel rod cladding material. In order to

accommodate the high fuel rod burnups

that are required for modern fuel

management and core designs,

Framatome Technologies, Inc.

developed the M5 advanced fuel rod

cladding and fuel assembly structural

material. M5 is an alloy comprised

primarily of zirconium (∼99 percent)

and niobium (∼1 percent) that has

demonstrated superior corrosion

resistance and reduced irradiation

induced growth relative to both

standard and low-tin Zircaloy. However,

since the chemical composition of the

M5 advanced alloy differs from the

specifications of either Zircaloy or

ZIRLO, use of the M5 advanced alloy

falls outside of the strict interpretation

of these regulations. Therefore, approval

of these exemptions is needed to permit

the use of the M5 advanced alloy as a

fuel rod cladding material at the DavisBesse Nuclear Power Station.

10 CFR 50.12 permits the Nuclear

Regulatory Commission to grant

exemptions which are authorized by

law, will not present an undue risk to

the health and safety of the public, and

are consistent with the common defense

and security, provided that special

circumstances are present. Pursuant to

10 CFR 50.12(a)(2)(ii), the Commission

believes that special circumstances exist

since application of the rule in this case

would not achieve the underlying

purpose of the rule. The underlying

purpose of 10 CFR 50.46 and Appendix

K to 10 CFR Part 50 is to establish

requirements for emergency core

cooling systems. The underlying

purpose of 10 CFR 50.44 is to control

hydrogen generated by the metal/water

reaction after a postulated LOCA,

regardless of fuel cladding material. The

licensee addressed the safety impact of

using M5 fuel in its amendment

application dated September 8, 1998.

The staff has evaluated this impact

and has concluded that use of the M5

advanced alloy as a fuel rod cladding

material remains bounded by the

original design basis for the Davis-Besse

facility. Therefore, since the underlying

purposes of 10 CFR 50.44, 10 CFR 50.46,

and 10 CFR 50 Appendix K are achieved

through the use of the M5 advanced

alloy as a fuel rod cladding material, the

special circumstances required by 10

CFR 50.12(a)(2)(ii) for the granting of

exemptions are met.

Federal Register / Vol. 65, No. 4 / Thursday, January 6, 2000 / Notices 795

1Applicants also request relief for (a) any series

of the Investment Company organized in the future

(‘‘Future Series’’), and (b) any registered open-end

management investment companies or series of

those companies advised in the future by the

Continued

Environmental Impacts of the Proposed

Action

With regard to potential radiological

impacts to the general public, the

exemptions under consideration involve

features located entirely within the

restricted area as defined in 10 CFR Part

20. The new fuel assemblies meet the

same design bases as the fuel that is

currently in the reactor. No safety limits

have been changed or setpoints altered

as a result of the use of these new

assemblies. The FSAR analyses are

bounding for the new assemblies as well

as for the rest of the core. The advanced

zirconium-based alloys Zircaloy and

ZIRLO have been shown through testing

to perform satisfactorily under

conditions representative of a reactor

environment and the material properties

of M5 are very similar to these alloys.

With regard to the potential

environmental impacts associated with

the transportation of the M5 clad fuel

assemblies, the advanced cladding has

no impact on previous assessments

determined in accordance with 10 CFR

51.52.

The proposed action will not

significantly increase the probability or

consequences of accidents, no changes

are being made in the types of any

effluents that may be released off site,

and there is no significant increase in

occupational or public radiation

exposure. Therefore, there are no

significant radiological environmental

impacts associated with the proposed

action.

With regard to potential

nonradiological impacts, the proposed

action does not involve any historic

sites. It does not affect nonradiological

plant effluents and has no other

environmental impact. Therefore, there

are no significant nonradiological

environmental impacts associated with

the proposed action.

Accordingly, the NRC concludes that

there are no significant environmental

impacts associated with the proposed

action.

Alternatives to the Proposed Action

As an alternative to the proposed

action, the staff considered denial of the

proposed action (i.e., the ‘‘no-action’’

alternative). Denial of the application

would result in no change in current

environmental impacts. The

environmental impacts of the proposed

action and the alternative action are

similar.

Alternative Use of Resources

This action does not involve the use

of any resources not previously

considered in the ‘‘Final Environmental

Statement Related to the Operation of

Davis-Besse Nuclear Power Station, Unit

1,’’ dated October 1975.

Agencies and Persons Consulted

In accordance with its stated policy,

on December 7, 1999, the staff consulted

with the Ohio State official, Carol

O’Claire, of the Ohio Emergency

Management Agency, regarding the

environmental impact of the proposed

action. The State official had no

comments.

Finding of No Significant Impact

On the basis of the environmental

assessment, the Commission concludes

that the proposed action will not have

a significant effect on the quality of the

human environment. Accordingly, the

Commission has determined not to

prepare an environmental impact

statement for the proposed action.

For further details with respect to the

proposed action, see the licensee’s letter

dated September 15, 1998, which is

available for public inspection at the

Commission’s Public Document Room,

the Gelman Building, 2120 L Street,

NW., Washington, DC. Publically

available records will be accessible

electronically from the ADAMS Public

Library component on the NRC Web

site, http://www.nrc.gov (the Electronic

Reading Room).

Dated at Rockville, Maryland, this 30th day

of December 1999.

For the Nuclear Regulatory Commission.

Anthony J. Mendiola,

Chief, Section 2, Project Directorate III,

Division of Licensing Project Management,

Office of Nuclear Reactor Regulation.

[FR Doc. 00–251 Filed 1–5–00; 8:45 am]

BILLING CODE 7590–01–P

SECURITIES AND EXCHANGE

COMMISSION

[Investment Company Act Release No.

24227; 812–11670]

New Covenant Funds and New

Covenant Trust Company, N.A.; Notice

of Application

December 29, 1999.

AGENCY: Securities and Exchange

Commission (‘‘Commission’’).

ACTION: Notice of an application for an

order under section 6(c) of the

Investment Company Act of 1940 (the

‘‘Act’’) for an exemption from section

15(a) of the Act and rule 18f–2 under

the Act.

SUMMARY OF APPLICATION: The requested

order would permit applicants, New

Covenant Funds (the ‘‘Investment

Company’’) and New Covenant Trust

Company, N.A. (the ‘‘Adviser’’), to enter

into and materially amend subadvisory

agreements without obtaining

shareholder approval.

FILING DATES: The application was filed

by July 2, 1999, and amended on

November 8, 1999. Applicants have

agreed to file an amendment during the

notice period, the substance of which is

reflected in this notice.

HEARING OF NOTIFICATION OF HEARING: An

order granting the application will be

issued unless the Commission orders a

hearing. Interested persons may request

a hearing by writing to the

Commission’s Secretary and serving

applicants with a copy of the request,

personally or by mail. Hearing requests

should be received by the Commission

by 5:30 p.m. on January 24, 2000, and

should be accompanied by proof of

service on applicants, in the form of an

affidavit, or, for lawyers, a certificate of

service. Hearing requests should state

the nature of the writer’s interest, the

reason for the request, and the issues

contested. Persons who wish to be

notified of a hearing may request

notification by writing to the

Commission’s Secretary.

ADDRESSES: Secretary, Commission, 450

Fifth Street, NW., Washington, DC

20549–0609; Applicants, 200 East 12th

Street, Jeffersonville, Indiana 47130.

FOR FURTHER INFORMATION CONTACT:

Deepak T. Pai, Senior Counsel, at (202)

942–0574 or George J. Zornada, Branch

Chief, at (202) 942–0564, (Division of

Investment Management, Office of

Investment Company Regulation).

SUPPLEMENTARY INFORMATION: The

following is a summary of the

application. The complete application

may be obtained for a fee at the

Commission’s Public Reference Branch,

450 Fifth Street, NW, Washington, DC

20549–0102 (202) 942–8090).

Applicants’ Representations

1. The Investment Company, a

Delaware business trust, is registered

under the Act as an open-end

management investment company. The

Investment Company offers shares in

four separate series: New Covenant

Growth Fund, New Covenant Balanced

Growth Fund, New Covenant Income

Fund, and New Covenant Balanced

Income Fund (the ‘‘Funds’’), each with

its own distinct investment objectives,

policies, and restrictions.1