Ohio Administrative Code › Title 3701:1 - Radiation Control › Chapter 3701:1-43 - Technologically Enhanced Naturally Occurring Radioactive Material › Section 3701:1-43-13 - Financial assurance and record keeping for decommissioning

Current through all regulations passed and filed through July 1, 2024
Each licensee or applicant for a license subject to the
				requirements of rule
				3701:1-43-10 of the
				Administrative Code 
								will post with the director, financial assurance,
				or security, to ensure the protection of the public health and safety and the
				environment in the event of abandonment, default, or other inability or
				unwillingness of the licensee to meet the requirements of Chapter 3748. of the
				Revised Code. Financial assurance arrangements 
								will:
(A) Consist of financial assurance for
			 decommissioning, either by a decommissioning funding plan or certification of
			 financial assurance, provided by the licensee and approved by the director
			 prior to the issuance of the license and provided by one or more of the
			 following methods:
(1) Prepayment by
			 depositing into an account segregated from licensee assets and outside the
			 licensee's administrative control, cash or liquid assets such that the amount
			 of funds will be sufficient to pay decommissioning costs. Prepayment may be in
			 the form of a trust, escrow account, government fund, certificate of deposit,
			 or deposit of government securities.
(2) Surety, insurance, or other method in
			 accordance with paragraph (F) of rule
			 3701:1-40-17 of the
			 Administrative Code, that guarantees that decommissioning costs will be paid. A
			 surety method may be in the form of a surety bond, letter of credit, or line of
			 credit. A guarantee by the applicant or licensee 
									will not be used
			 in combination with any other financial methods used to satisfy the
			 requirements of this paragraph or in any situation where the applicant or
			 licensee has a parent company holding majority control of the voting stock of
			 the company.
(3) A parent company
			 guarantee of funds for decommissioning costs based on a financial test may be
			 used provided that the parent company meets the requirements specified in
			 appendix B to rule
			 3701:1-40-17 of the
			 Administrative Code. A parent company guarantee 
									will not be used
			 in combination with other financial methods to satisfy the requirements of this
			 rule.
(4) For commercial
			 corporations that issue bonds, a guarantee of funds by the applicant or
			 licensee for decommissioning costs based on a financial test may be used
			 provided that the guarantee meets the requirements of appendix C to rule
			 3701:1-40-17 of the
			 Administrative Code.
(5) For
			 commercial companies that do not issue bonds, a guarantee of funds for
			 decommissioning costs may be used provided that the guarantee meets the
			 requirements of appendix D to rule
			 3701:1-40-17 of the
			 Administrative Code.
(6) For
			 nonprofit colleges, universities, hospitals, or research and development
			 entities, a guarantee of funds for decommissioning costs may be used provided
			 that the guarantee meets the requirements of appendix E to rule
			 3701:1-40-17 of the
			 Administrative Code. The director may 
									need proof of
			 nonprofit status.
(7) An external
			 sinking fund in which deposits are made at least annually, coupled with a
			 surety method or insurance, the value of which may decrease by the amount being
			 accumulated in the sinking fund. An external sinking fund is a fund established
			 and maintained by setting aside funds periodically in an account segregated
			 from licensee assets and outside the licensee's administrative control in which
			 the total amount of funds would be sufficient to pay decommissioning costs at
			 the time termination of operation is expected. An external sinking fund may be
			 in the form of a trust, escrow account, government fund, certificate of
			 deposit, or deposit of government securities. The surety or insurance
			 provisions 
									will be as stated in paragraph (A)(2) of this
			 rule.
(8) In the case of state or
			 local government licensee, a statement of intent containing a cost estimate for
			 decommissioning or an amount specified in paragraphs (C)(1) to (C)(3) of rule
			 3701:1-40-17 of the
			 Administrative Code, and indicating that funds for decommissioning will be
			 obtained when necessary. As used in this rule, "state or local government
			 licensee" does not include government owned or assisted colleges, universities
			 or hospitals.