- 17 -
FPL developed or established an action item20 to oversee the
development of a surveillance program, which is a system that
monitors the heat exchangers.21 In a request for engineering
assistance, dated November 5, 1985, Turkey Point requested a
modification of its plant.22
ER No. 3811, dated March 1988, and supplemented in October
1988, discussed upgrading the surveillance system at Turkey Point
Unit 3. Similarly, ER No. 3854, dated April 1988, with
supplements dated October 1988 and May 1991, discussed the same
scope of work with respect to Turkey Point Unit 4.
With respect to the acquisition and installation of the
surveillance system, petitioner incurred capitalized costs (tax
basis) of $123,742 and $324,668 for equipment placed in service
during the 1989 and 1990 taxable years, respectively.
20 An action item is the method by which FPL tracks its
commitments to the NRC.
21 Mr. Bible testified that there is typically a 3-year lag
time to comply with the NRC requirements.
22 Mr. Bible testified that a “Request for engineering
assistance is how engineering gets a turn on to perform a project
here.” He explained:
What will happen is engineering will produce a
design package, which is how you install things. It
will show drawings, specifications from buying
equipment, instructions from the field as to how to
install that equipment and update all the associated
designs for the power plant.
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