[Congressional Record Volume 169, Number 118 (Tuesday, July 11, 2023)]
[Senate]
[Pages S2326-S2328]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 154. Mr. MANCHIN (for himself, Mr. Barrasso, and Mr. Risch)
submitted an amendment intended to be proposed by him to the bill S.
2226, to authorize appropriations for fiscal year 2024 for military
activities of the Department of Defense, for military construction, and
for defense activities of the Department of Energy, to prescribe
military personnel strengths for such fiscal year, and for other
purposes; which was ordered to lie on the table; as follows:
At the appropriate place in title XXXI, insert the
following:
SEC. 31___. U.S. NUCLEAR FUEL SECURITY INITIATIVE.
(a) Short Title.--This section may be cited as the
``Nuclear Fuel Security Act of 2023''.
(b) Sense of Congress.--It is the sense of Congress that--
(1) the Department should--
(A) prioritize activities to increase domestic production
of low-enriched uranium; and
(B) accelerate efforts to establish a domestic high-assay,
low-enriched uranium enrichment capability; and
(2) if domestic enrichment of high-assay, low-enriched
uranium will not be commercially available at the scale
needed in time to meet the needs of the advanced nuclear
reactor demonstration projects of the Department, the
Secretary shall consider and implement, as necessary--
(A) all viable options to make high-assay, low-enriched
uranium produced from inventories owned by the Department
available in a manner that is sufficient to maximize the
potential for the Department to meet the needs and schedules
of advanced nuclear reactor developers, without impacting
existing Department missions, until such time that commercial
enrichment and deconversion capability for high-assay, low-
enriched uranium exists at a scale sufficient to meet future
needs; and
(B) all viable options for partnering with countries that
are allies or partners of the United States to meet those
needs and schedules until that time.
(c) Objectives.--The objectives of this section are--
(1) to expeditiously increase domestic production of low-
enriched uranium;
(2) to expeditiously increase domestic production of high-
assay, low-enriched uranium by an annual quantity, and in
such form, determined by the Secretary to be sufficient to
meet the needs of--
(A) advanced nuclear reactor developers; and
(B) the consortium;
(3) to ensure the availability of domestically produced,
converted, enriched, deconverted, and reduced uranium in a
quantity determined by the Secretary, in consultation with
U.S. nuclear energy companies, to be sufficient to address a
reasonably anticipated supply disruption;
(4) to address gaps and deficiencies in the domestic
production, conversion, enrichment, deconversion, and
reduction of uranium by partnering with countries that are
allies or partners of the United States if domestic options
are not practicable;
(5) to ensure that, in the event of a supply disruption in
the nuclear fuel market, a reserve of nuclear fuels is
available to serve as a backup supply to support the nuclear
nonproliferation and civil nuclear energy objectives of the
Department;
(6) to support enrichment, deconversion, and reduction
technology deployed in the United States; and
(7) to ensure that, until such time that domestic
enrichment and deconversion of high-assay, low-enriched
uranium is commercially available at the scale needed to meet
the needs of advanced nuclear reactor developers, the
Secretary considers and implements, as necessary--
(A) all viable options to make high-assay, low-enriched
uranium produced from inventories owned by the Department
available in a manner that is sufficient to maximize the
potential for the Department to meet the needs and schedules
of advanced nuclear reactor developers; and
(B) all viable options for partnering with countries that
are allies or partners of the United States to meet those
needs and schedules.
(d) Definitions.--In this section:
(1) Advanced nuclear reactor.--The term ``advanced nuclear
reactor'' has the meaning given the term in section 951(b) of
the Energy Policy Act of 2005 (42 U.S.C. 16271(b)).
(2) Associated entity.--The term ``associated entity''
means an entity that--
(A) is owned, controlled, or dominated by--
(i) the government of a country that is an ally or partner
of the United States; or
(ii) an associated individual; or
(B) is organized under the laws of, or otherwise subject to
the jurisdiction of, a country that is an ally or partner of
the United States, including a corporation that is
incorporated in such a country.
(3) Associated individual.--The term ``associated
individual'' means an alien who is a national of a country
that is an ally or partner of the United States.
(4) Consortium.--The term ``consortium'' means the
consortium established under section 2001(a)(2)(F) of the
Energy Act of 2020 (42 U.S.C. 16281(a)(2)(F)).
(5) Department.--The term ``Department'' means the
Department of Energy.
(6) High-assay, low-enriched uranium; haleu.--The term
``high-assay, low-enriched uranium'' or ``HALEU'' means high-
assay low-enriched uranium (as defined in section 2001(d) of
the Energy Act of 2020 (42 U.S.C. 16281(d))).
(7) Low-enriched uranium; leu.--The term ``low-enriched
uranium'' or ``LEU'' means each of--
(A) low-enriched uranium (as defined in section 3102 of the
USEC Privatization Act (42 U.S.C. 2297h)); and
(B) low-enriched uranium (as defined in section 3112A(a) of
that Act (42 U.S.C. 2297h-10a(a))).
(8) Programs.--The term ``Programs'' means--
(A) the Nuclear Fuel Security Program established under
subsection (e)(1);
(B) the American Assured Fuel Supply Program of the
Department; and
(C) the HALEU for Advanced Nuclear Reactor Demonstration
Projects Program established under subsection (e)(3).
(9) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(10) U.S. nuclear energy company.--The term ``U.S. nuclear
energy company'' means a company that--
(A) is organized under the laws of, or otherwise subject to
the jurisdiction of, the United States; and
(B) is involved in the nuclear energy industry.
(e) Establishment and Expansion of Programs.--The
Secretary, consistent with the objectives described in
subsection (c), shall--
(1) establish a program, to be known as the ``Nuclear Fuel
Security Program'', to increase the quantity of LEU and HALEU
produced by U.S. nuclear energy companies;
(2) expand the American Assured Fuel Supply Program of the
Department to ensure the availability of domestically
produced, converted, enriched, deconverted, and reduced
uranium in the event of a supply disruption; and
(3) establish a program, to be known as the ``HALEU for
Advanced Nuclear Reactor Demonstration Projects Program''--
(A) to maximize the potential for the Department to meet
the needs and schedules of advanced nuclear reactor
developers until such time that commercial enrichment and
deconversion capability for HALEU exists in the United States
at a scale sufficient to meet future needs; and
(B) where practicable, to partner with countries that are
allies or partners of the United States to meet those needs
and schedules until that time.
(f) Nuclear Fuel Security Program.--
(1) In general.--In carrying out the Nuclear Fuel Security
Program, the Secretary--
(A) shall--
(i) not later than 180 days after the date of enactment of
this Act, enter into 2 or more contracts to begin acquiring
not less than 100 metric tons per year of LEU by December 31,
2026 (or the earliest operationally feasible
[[Page S2327]]
date thereafter), to ensure diversity of supply in domestic
uranium mining, conversion, enrichment, and deconversion
capacity and technologies, including new capacity, among U.S.
nuclear energy companies;
(ii) not later than 180 days after the date of enactment of
this Act, enter into 2 or more contracts with members of the
consortium to begin acquiring not less than 20 metric tons
per year of HALEU by December 31, 2027 (or the earliest
operationally feasible date thereafter), from U.S. nuclear
energy companies;
(iii) utilize only uranium produced, converted, enriched,
deconverted, and reduced in--
(I) the United States; or
(II) if domestic options are not practicable, a country
that is an ally or partner of the United States; and
(iv) to the maximum extent practicable, ensure that the use
of domestic uranium utilized as a result of that program does
not negatively affect the economic operation of nuclear
reactors in the United States; and
(B)(i) may not make commitments under this subsection
(including cooperative agreements (used in accordance with
section 6305 of title 31, United States Code), purchase
agreements, guarantees, leases, service contracts, or any
other type of commitment) for the purchase or other
acquisition of HALEU or LEU unless--
(I) funds are specifically provided for those purposes in
advance in appropriations Acts enacted after the date of
enactment of this Act; or
(II) the commitment is funded entirely by funds made
available to the Secretary from the account described in
subsection (j)(2)(B); and
(ii) may make a commitment described in clause (i) only--
(I) if the full extent of the anticipated costs stemming
from the commitment is recorded as an obligation at the time
that the commitment is made; and
(II) to the extent of that up-front obligation recorded in
full at that time.
(2) Considerations.--In carrying out paragraph (1)(A)(ii),
the Secretary shall consider and, if appropriate, implement--
(A) options to ensure the quickest availability of
commercially enriched HALEU, including--
(i) partnerships between 2 or more commercial enrichers;
and
(ii) utilization of up to 10-percent enriched uranium as
feedstock in demonstration-scale or commercial HALEU
enrichment facilities;
(B) options to partner with countries that are allies or
partners of the United States to provide LEU and HALEU for
commercial purposes;
(C) options that provide for an array of HALEU--
(i) enrichment levels;
(ii) output levels to meet demand; and
(iii) fuel forms, including uranium metal and oxide; and
(D) options--
(i) to replenish, as necessary, Department stockpiles of
uranium that were intended to be downblended for other
purposes, but were instead used in carrying out activities
under the HALEU for Advanced Nuclear Reactor Demonstration
Projects Program;
(ii) to continue supplying HALEU to meet the needs of the
recipients of an award made pursuant to the funding
opportunity announcement of the Department numbered DE-FOA-
0002271 for Pathway 1, Advanced Reactor Demonstrations; and
(iii) to make HALEU available to other advanced nuclear
reactor developers and other end-users.
(3) Avoidance of market disruptions.--In carrying out the
Nuclear Fuel Security Program, the Secretary, to the extent
practicable and consistent with the purposes of that program,
shall not disrupt or replace market mechanisms by competing
with U.S. nuclear energy companies.
(g) Expansion of the American Assured Fuel Supply
Program.--The Secretary, in consultation with U.S. nuclear
energy companies, shall--
(1) expand the American Assured Fuel Supply Program of the
Department by merging the operations of the Uranium Reserve
Program of the Department with the American Assured Fuel
Supply Program; and
(2) in carrying out the American Assured Fuel Supply
Program of the Department, as expanded under paragraph (1)--
(A) maintain, replenish, diversify, or increase the
quantity of uranium made available by that program in a
manner determined by the Secretary to be consistent with the
purposes of that program and the objectives described in
subsection (c);
(B) utilize only uranium produced, converted, enriched,
deconverted, and reduced in--
(i) the United States; or
(ii) if domestic options are not practicable, a country
that is an ally or partner of the United States;
(C) make uranium available from the American Assured Fuel
Supply, subject to terms and conditions determined by the
Secretary to be reasonable and appropriate;
(D) refill and expand the supply of uranium in the American
Assured Fuel Supply, including by maintaining a limited
reserve of uranium to address a potential event in which a
domestic or foreign recipient of uranium experiences a supply
disruption for which uranium cannot be obtained through
normal market mechanisms or under normal market conditions;
and
(E) take other actions that the Secretary determines to be
necessary or appropriate to address the purposes of that
program and the objectives described in subsection (c).
(h) HALEU for Advanced Nuclear Reactor Demonstration
Projects Program.--
(1) Activities.--On enactment of this Act, the Secretary
shall immediately accelerate and, as necessary, initiate
activities to make available from inventories or stockpiles
owned by the Department and made available to the consortium,
HALEU for use in advanced nuclear reactors that cannot
operate on uranium with lower enrichment levels or on
alternate fuels, with priority given to the awards made
pursuant to the funding opportunity announcement of the
Department numbered DE-FOA-0002271 for Pathway 1, Advanced
Reactor Demonstrations, with additional HALEU to be made
available to other advanced nuclear reactor developers, as
the Secretary determines to be appropriate.
(2) Quantity.--In carrying out activities under this
subsection, the Secretary shall consider and implement, as
necessary, all viable options to make HALEU available in
quantities and forms sufficient to maximize the potential for
the Department to meet the needs and schedules of advanced
nuclear reactor developers, including by seeking to make
available--
(A) by September 30, 2024, not less than 3 metric tons of
HALEU;
(B) by December 31, 2025, not less than an additional 8
metric tons of HALEU; and
(C) by June 30, 2026, not less than an additional 10 metric
tons of HALEU.
(3) Factors for consideration.--In carrying out activities
under this subsection, the Secretary shall take into
consideration--
(A) options for providing HALEU from a stockpile of uranium
owned by the Department, including--
(i) uranium that has been declared excess to national
security needs during or prior to fiscal year 2023;
(ii) uranium that--
(I) directly meets the needs of advanced nuclear reactor
developers; but
(II) has been previously used or fabricated for another
purpose;
(iii) uranium that can meet the needs of advanced nuclear
reactor developers after removing radioactive or other
contaminants that resulted from previous use or fabrication
of the fuel for research, development, demonstration, or
deployment activities of the Department, including activities
that reduce the environmental liability of the Department by
accelerating the processing of uranium from stockpiles
designated as waste;
(iv) uranium from a high-enriched uranium stockpile
(excluding stockpiles intended for national security needs),
which can be blended with lower assay uranium to become HALEU
to meet the needs of advanced nuclear reactor developers; and
(v) uranium from stockpiles intended for other purposes
(excluding stockpiles intended for national security needs),
but for which uranium could be swapped or replaced in time in
such a manner that would not negatively impact the missions
of the Department;
(B) options for expanding, or establishing new,
capabilities or infrastructure to support the processing of
uranium from Department inventories;
(C) options for accelerating the availability of HALEU from
HALEU enrichment demonstration projects of the Department;
(D) options for providing HALEU from domestically enriched
HALEU procured by the Department through a competitive
process pursuant to the Nuclear Fuel Security Program
established under subsection (e)(1);
(E) options to replenish, as needed, Department stockpiles
of uranium made available pursuant to subparagraph (A) with
domestically enriched HALEU procured by the Department
through a competitive process pursuant to the Nuclear Fuel
Security Program established under subsection (e)(1); and
(F) options that combine 1 or more of the approaches
described in subparagraphs (A) through (E) to meet the
deadlines described in paragraph (2).
(4) Limitations.--
(A) Certain services.--The Secretary shall not barter or
otherwise sell or transfer uranium in any form in exchange
for services relating to--
(i) the final disposition of radioactive waste from uranium
that is the subject of a contract for sale, resale, transfer,
or lease under this subsection; or
(ii) environmental cleanup activities.
(B) Certain commitments.--In carrying out activities under
this subsection, the Secretary--
(i) may not make commitments under this subsection
(including cooperative agreements (used in accordance with
section 6305 of title 31, United States Code), purchase
agreements, guarantees, leases, service contracts, or any
other type of commitment) for the purchase or other
acquisition of HALEU or LEU unless--
(I) funds are specifically provided for those purposes in
advance in appropriations Acts enacted after the date of
enactment of this Act; or
(II) the commitment is funded entirely by funds made
available to the Secretary from the account described in
subsection (j)(2)(B); and
(ii) may make a commitment described in clause (i) only--
[[Page S2328]]
(I) if the full extent of the anticipated costs stemming
from the commitment is recorded as an obligation at the time
that the commitment is made; and
(II) to the extent of that up-front obligation recorded in
full at that time.
(5) Sunset.--The authority of the Secretary to carry out
activities under this subsection shall terminate on the date
on which the Secretary notifies Congress that the HALEU needs
of advanced nuclear reactor developers can be fully met by
commercial HALEU suppliers in the United States, as
determined by the Secretary, in consultation with U.S.
nuclear energy companies.
(i) Domestic Sourcing Considerations.--
(1) In general.--Except as provided in paragraph (2), the
Secretary may only carry out an activity in connection with 1
or more of the Programs if--
(A) the activity promotes manufacturing in the United
States associated with uranium supply chains; or
(B) the activity relies on resources, materials, or
equipment developed or produced--
(i) in the United States; or
(ii) in a country that is an ally or partner of the United
States by--
(I) the government of that country;
(II) an associated entity; or
(III) a U.S. nuclear energy company.
(2) Waiver.--The Secretary may waive the requirements of
paragraph (1) with respect to an activity if the Secretary
determines a waiver to be necessary to achieve 1 or more of
the objectives described in subsection (c).
(j) Reasonable Compensation.--
(1) In general.--In carrying out activities under this
section, the Secretary shall ensure that any LEU and HALEU
made available by the Secretary under 1 or more of the
Programs is subject to reasonable compensation, taking into
account the fair market value of the LEU or HALEU and the
purposes of this section.
(2) Availability of certain funds.--
(A) In general.--Notwithstanding section 3302(b) of title
31, United States Code, revenues received by the Secretary
from the sale or transfer of fuel feed material acquired by
the Secretary pursuant to a contract entered into under
clause (i) or (ii) of subsection (f)(1)(A) shall--
(i) be deposited in the account described in subparagraph
(B);
(ii) be available to the Secretary for carrying out the
purposes of this section, to reduce the need for further
appropriations for those purposes; and
(iii) remain available until expended.
(B) Revolving fund.--There is established in the Treasury
an account into which the revenues described in subparagraph
(A) shall be--
(i) deposited in accordance with clause (i) of that
subparagraph; and
(ii) made available in accordance with clauses (ii) and
(iii) of that subparagraph.
(k) Nuclear Regulatory Commission.--The Nuclear Regulatory
Commission shall prioritize and expedite consideration of any
action related to the Programs to the extent permitted under
the Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.) and
related statutes.
(l) USEC Privatization Act.--The requirements of section
3112(d)(2) of the USEC Privatization Act (42 U.S.C. 2297h-
10(d)(2)) shall not apply to activities related to the
Programs.
(m) National Security Needs.--The Secretary shall only make
available to a member of the consortium under this section
for commercial use or use in a demonstration project material
that the President has determined is not necessary for
national security needs during or prior to fiscal year 2023,
subject to the condition that the material made available
shall not include any material that the Secretary determines
to be necessary for the National Nuclear Security
Administration or any critical mission of the Department.
(n) International Agreements.--This section shall be
applied in a manner consistent with the obligations of the
United States under international agreements.
(o) Report on Civil Nuclear Credit Program.--Not later than
180 days after the date of enactment of this Act, the
Secretary shall submit to the appropriate committees of
Congress a report that identifies the anticipated funding
requirements for the civil nuclear credit program described
in section 40323 of the Infrastructure Investment and Jobs
Act (42 U.S.C. 18753), taking into account--
(1) the zero-emission nuclear power production credit
authorized by section 45U of the Internal Revenue Code of
1986; and
(2) any increased fuel costs associated with the use of
domestic fuel that may arise from the implementation of that
program.
(p) Supply Chain Infrastructure and Workforce Capacity
Building.--
(1) Supply chain infrastructure.--Section 10781(b)(1) of
Public Law 117-167 (commonly known as the ``CHIPS and Science
Act of 2022'') (42 U.S.C. 19351(b)(1)) is amended by striking
``and demonstration of advanced nuclear reactors'' and
inserting ``demonstration, and deployment of advanced nuclear
reactors and associated supply chain infrastructure''.
(2) Workforce capacity building.--Section 954(b) of the
Energy Policy Act of 2005 (42 U.S.C. 16274(b)) is amended--
(A) in the subsection heading, by striking ``Graduate'';
(B) by striking ``graduate'' each place it appears;
(C) in paragraph (2)(A), by inserting ``community colleges,
trade schools, registered apprenticeship programs, pre-
apprenticeship programs,'' after ``universities,'';
(D) in paragraph (3), by striking ``2021 through 2025'' and
inserting ``2023 through 2027'';
(E) by redesignating paragraph (3) as paragraph (4); and
(F) by inserting after paragraph (2) the following:
``(A) Focus areas.--In carrying out the subprogram under
this subsection, the Secretary may implement traineeships in
focus areas that, in the determination of the Secretary, are
necessary to support the nuclear energy sector in the United
States, including--
``(i) research and development;
``(ii) construction and operation;
``(iii) associated supply chains; and
``(iv) workforce training and retraining to support
transitioning workforces.''.
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