[Senate Report 108-218]
[From the U.S. Government Publishing Office]
Calendar No. 422
108th Congress Report
SENATE
1st Session 108-218
======================================================================
REAUTHORIZATION OF THE PRICE-ANDERSON ACT
_______
December 9, 2003.--Ordered to be printed
_______
Mr. Inhofe, from the Committee on Environment and Public Works,
submitted the following
R E P O R T
[to accompany S. 156]
[Including cost estimate of the Congressional Budget Office]
The Committee on Environment and Public Works, to which was
referred a bill (S. 156) to amend the Atomic Energy Act of 1954
to reauthorize the Price-Anderson provisions, having considered
the same, reports favorably thereon with amendments and an
amendment to the title and recommends that the bill, as
amended, do pass.
General Statement and Background
This bill amends various sections of the Atomic Energy Act
of 1954, 42 U.S.C. 2011 et seq., to authorize continuation of
the Price-Anderson provisions.
The Atomic Energy Act of 1954 assigned to the Atomic Energy
Commission responsibility for protecting public health and
safety from the hazards of radiation produced through nuclear
technology. The Energy Reorganization Act of 1974 abolished the
Atomic Energy Commission and created a new agency, the Nuclear
Regulatory Commission (NRC or Commission), to take over its
regulatory functions.
The Senate Committee on Environment and Public Works has
jurisdiction over the nonmilitary environment regulation and
control of atomic energy. This includes both legislative and
oversight authority pertaining to the operations of the NRC.
Among the responsibilities entrusted to the Nuclear
Regulatory Commission are regulation of the nation's commercial
nuclear power plants, along with other civilian uses of
radioactive materials. The mission of the NRC is to conduct an
effective regulatory program that promotes the safe use of
nuclear energy and materials, in a manner that protects the
public health and safety and the human environment, and
promotes the common defense and security.
Congress passed the Price-Anderson Act in 1957 to ensure
that adequate funds would be available to compensate victims of
a nuclear accident. It also recognized that the risk of
extraordinary liability that companies would incur if a nuclear
accident were to happen would render insurance costs
prohibitively high, and thwart the development of nuclear
energy.
The original Price-Anderson Act authorized government
indemnification for only 10 years, until August 1, 1967.
Congress extended the Act, in 1965 and 1975 for additional 10
year periods, and a third time in1988, for an additional 15
years.
Under the 1988 extension, the Department of Energy and the
Nuclear Regulatory Commission have authority to issue
indemnification agreements only until August 1, 2002. However,
existing activities licensed by the Nuclear Regulatory
Commission will continue to be covered by the indemnification
provisions of Price-Anderson, so that only new facilities or
activities licensed by the NRC after August 1, 2002, would not
be covered.
The original Price-Anderson legislation that was enacted in
1957 provided up to $500 million indemnification for both
Federal weapons contractors and commercial nuclear power plant
operators. In addition to the $500 million government
indemnification, commercial nuclear power plant operators were
required to obtain as much additional insurance as they could.
By pooling their resources, these civilian licensees were able
to obtain an additional $60 million in private insurance. Thus,
liability for military weapons contractors was capped at $500
million, and at $560 million for civilian commercial licensees
Over the years, Congress has made substantial changes in
the way Price-Anderson operates. As currently constituted,
Price-Anderson places a cap on liability for commercial nuclear
facilities and activities licensed by the U.S. Nuclear
Regulatory Commission, and allows for deferral of a portion of
the payments such licensees must make.
The Price-Anderson Act requires owners of commercial
reactors to assume all liability for damages to the public
resulting from an ``extraordinary nuclear occurrence'' and to
waive most legal defenses they would otherwise have. However,
in exchange, their liability will be limited to capped amounts
established in the Act.
First, each licensed reactor must carry the maximum amount
of insurance commercially available to pay any damages from a
severe nuclear accident. That amount is currently $200 million.
In addition to this $200 million per-reactor insurance,
owners would be required, in the event of an actual nuclear
accident, to pay an additional $83.9 million, payable in annual
installments of not more than $10 million per reactor, per
year. Following an accident, these ``retrospective premiums''
would be collectively available to cover any damages exceeding
the $200 million per-reactor commercial insurance coverage.
S. 156 extends coverage for commercial reactors until
August 1, 2012, and increases the annual premium payments from
$10,000,000 to $15,000,000 per reactor. .
Section-By-Section Analysis
TITLE I PRICE-ANDERSON AMENDMENTS
Section 101. Short Title
This section provides that the title may be cited as the
'Price-Anderson Act of 2003'.
Sec. 102. Maximum Assessment
This section amends Section 170b.(1) of the Atomic Energy
Act of 1954, 42 U.S.C 2210(b)(1), by extending the maximum
amount of liability to licensees from $63,000,000 to
$94,000,000, and by increasing the annual premium payments from
$10,000,000 to $15,000,000.
This section also inserts in subsection (t) ``total and
annual'' after ``amount of the maximum'', and strikes ``the
date of enactment of the Price-Anderson Amendments Act of
1988'' and inserting ``July 1, 2001''.
Sec. 103. Extension Of Indemnification Authority
This section amends Section 170c. of the Atomic Energy Act
of 1954 (42 U.S.C. 2210(c)).
New subsection 170c amends the subsection heading by
striking 'LICENSES' and inserting 'LICENSEES', and by striking
'August 1, 2002' each place it appears and inserting 'August 1,
2012'.
Sec. 104. Reports
This section amends section 170p. of the Atomic Energy Act
of 1954 (42 U.S.C. 2210(p)) by striking 'August 1, 1998' and
inserting 'August 1, 2008'.
Sec. 105. Effective Date
This section states that the amendments made by this Act
will take effect on August 1, 2002.
TITLE II NUCLEAR INFRASTRUCTURE SECURITY
Sec. 201. Short Title
This section provides that the title may be cited as the
``Nuclear Infrastructure Security Act of 2003''.
Sec. 202. Definitions
This section amends section 11 of the Atomic Energy Act to
provide for the definition of ``designated nuclear facilities'
and ``private security force.''
Sec. 203. Designated Nuclear Facility Security
Section 203 (a) amends Chapter 14 of the Atomic Energy Act
by adding a new section 170C, ``Protection of Designated
Nuclear Facilities.''
New subsection 170C(a) provides definitions for
``Certificate Holders,'' Federal Security Coordinator,''
``Design Basis Threat'' and ``Licensee.''
New subsection 170C(b) requires the Commission and the
Secretary of Homeland Security, in consultation with other
agencies and State and local government, as appropriate to
conduct a comprehensive security examination. Paragraph (b)(1)
sets out in detail the matters to be examined. These are
classification of threats as those types of threats falling
under the responsibility of either the Federal Government,
State or local governments, or those threats which should be
the responsibility of the licensee or certificate holder;
coordination of security efforts; adequacy of planning,
including emergency planning zones, coordination and security
plans; the system of threat levels used to categorize threats;
hiring and training standards for members of private security
forces; coordination of Federal resources to expedite and
improve the process of conducting background checks; and the
establishment of a program to provide technical assistance and
training to the National Guard and law enforcement.
Paragraph (b)(2) requires the Commission and the Secretary
of Homeland Security to submit a report (including findings and
recommendations) to the Congress and the President (classified
and unclassified form) not later than 1 year after completion
of the examination.
New subsection 170C(c) requires that not later than 180
days after completion of the examination, the Commission revise
the design basis threat as it determines appropriate. This
section includes safeguards and procedures to ensure the
protection of all safeguarded information and classified
national security information.
New subsection 170C(d) requires the Commission to establish
a system for the determination of threat levels for classes of
designated nuclear facilities, as determined by the Commission,
and other materials designated by the Commission not later than
150 days after completion of the report required in (c)(3).
New subsection 170C(e) requires the Commission to ensure
that designated nuclear facilities revise their security plans
to be consistent with any revised design basis threat and to
submit the plan to the Commission for review. The Commission is
required to ensure that any necessary changes to the security
and security plans are made not later than 18 months after
completion of the review.
New subsection 170C(f) requires the Commission and the
Secretary of Homeland Security to review facility emergency
response plans to ensure that it provides protection for
persons in the emergency response planning zone. The aspect of
the review include: protection of public health, including the
ability to implement protective measures; clear delineation of
responsibilities; notification procedures; communication and
coordination of emergency response personnel; dissemination of
information; adequate emergency facilities and equipment; use
of methods, systems and equipment for assessing and monitoring
the impacts of an emergency; protective actions; means for
controlling radiological/hazardous exposures for emergency
response personnel; medical services; plans for recovery/
reentry; and radiological response training. The Commission
shall ensure that any necessary revisions to emergency response
plans are implemented.
New subparagraph 170C(g) requires the President to
establish, consistent with the finding of the security
examination, a program to provide training and technical
assistance for National Guard, State and local law enforcement
who have security responsibilities for pre-to threats. The
President may provide grants to assist as appropriate. The
intention of this section is to ensure that all who have
security responsibilities are properly trained and equipped to
deal with a threat/act at a nuclear facility.
New subsection 170C(h) requires the Commission to review
and update, as appropriate, access and training standards for
employees of a designated nuclear facility. The Commission
shall also establish procedures to ensure that no individual
who presents a threat to national security is employed at a
designated nuclear facility.
New subsection 170C(i) requires the Commission to assign a
Federal security coordinator to each regional office of the
Commission and sets out the responsibilities of the Federal
security coordinator.
New subsection 170C(j) is a savings clause to ensure that
nothing in the section supercedes any law governing the
disclosure of classified or safeguards information.
Section 203(b) amends Section 149 of the Atomic Energy Act.
This section expands the classes of persons subject to the
fingerprinting requirements of section 149 of the Atomic Energy
Act of 1954.
New subsections (a)(1)(A)&(B) provides for fingerprinting
to be conducted by (A) any licensee, certificate holder, or
applicant for a license or certificate to operate a utilization
facility under section 103 or 104(b), and (B) any licensee or
applicant for a license to possess or use radioactive material
or other property (including intellectual property, such as
standard reactor designs subject to certification under 10
C.F.R. Part 52, or property that can be reverse engineered to
develop components significant to nuclear activities) subject
to Commission regulation that the Commission determines to be
of such significance to the public health and safety or common
defense and security as to warrant fingerprinting and
background checks. As is the case under current law, the person
required to conduct the fingerprinting would bear the cost of
the identification and records checks.
Persons required to conduct fingerprinting would be
required to fingerprint each individual permitted to have
unescorted access to the facility or other property (including
property such as standard reactor designs subject to
certification under 10 C.F.R. Part 52, or property that can be
reverse engineered to develop components significant to nuclear
activities) subject to regulation by the Commission that the
Commission determines to be of such significance to the public
health and safety or common defense and security as to warrant
fingerprinting and background checks.
Fingerprints obtained would be submitted to the U.S.
Attorney General, through the Commission, for identification
and criminal history records checks. The Attorney General may
provide the results of any search to the Commission. As is also
the case under current law, the Commission would be authorized
to provide the results of the identification and criminal
history records checks (other than information that a
Government agency has determined should not be made available
to a licensee, certificate holder, or applicant) to the person
who conducted the fingerprinting. A decision would then be made
whether to provide unescorted access, or access to safeguards
information, to the individual who was the subject of the
background check.
New subsection 149(d) would allow the fingerprinting
requirements of section 149 to be satisfied by use of other
biometric methods used for identification that have been
approved by the Attorney General. This will permit use of
technologically advanced biometric methods for identification
of individuals to satisfy the requirements of section 149.
Sec. 4. Office of Nuclear Security and Incident Response
This section amends Title II of the Energy Reorganization
Act of 1974 by adding a new section 212, which establishes an
Office of Nuclear Security and Incident Response. This new
section is intended to codify action taken by the Commission in
April, 2002, (creating the office by administrative action) and
to provide the equivalent statutory status as other Commission
offices. It is the Committee's intent for this office to
coordinate closely with the Department of Homeland Security in
order to enhance the effectiveness of both the Commission and
the Department. It is also the Committee's intent that this
office not duplicate efforts of the Department.
New subsections 212(a) and 212(b) provide definitions for
the new section and establish the Office of Nuclear Security
and Incident Response.
New subsection 212(c) provides for the appointment of a
Director to head the office, and specifies the duties of the
Director.
New subsection 212(d) requires the Commission to establish
a security response evaluation program in order to assess the
ability of each designated nuclear facility to defend against
threats in accordance to the security plan. This subsection
requires the evaluations to include force-on-force exercises
that simulate the security threats consistent with the design
basis threat applicable to the facility. It is the Committee's
expectation that those who carry out the force-on-force
exercises will be well qualified with backgrounds that include
knowledge of special forces operations and nuclear facilities.
The frequency of these evaluations is set at every 3 years, and
allows the Commission to suspend these activities in times of
heightened threat levels. The Commission is required to
establish performance criteria for judging the security
response evaluations. This subsection also sets out corrective
action measures if a facility does not satisfy the performance
criteria and does not correct any defects, but does not limit
any current enforcement authority of the Commission.
New subsection 212(e) requires the Commission, in
coordination with Department of Homeland Security, and, as
appropriate, in consultation with other Federal, State, and
local response agencies and stakeholders, to observe and
evaluate emergency response exercises. The evaluation will
assess the ability of Federal, State and local emergency
agencies and emergency response personnel of the facility to
respond to a radiological emergency in accordance with the
emergency response plans. Specifically, the evaluation will
assess capabilities; coordination and communications
capabilities; and the ability to take protective actions. The
Commission will also ensure that emergency response plans are
revised to correct any deficiency identified in an evaluation.
The NRC is required to submit a report to the President and the
Congress (classified and unclassified) describing the results
of exercises and any revisions made the plans.
New subsection 212(f) is a savings clause intended to
ensure that nothing in this section limits the authority of the
Department of Energy relating to the security and safeguarding
of special nuclear materials, high level radioactive waste, and
nuclear facilities resulting from all activities under the
jurisdiction of DOE.
Section. 205. Carrying of Weapons by Licensee Employees
This section amends Chapter 14 of Title I of the Atomic
Energy Act. It permits the Commission to authorize guards at
certain NRC-licensed or certified facilities, and guards
transporting special nuclear materials, to carry and use
firearms to prevent sabotage of such facilities or theft of
nuclear explosive material. The section also authorizes the
Commission to issue regulations shielding guards against State
prosecution for discharge of firearms in the performance of
official duties..
Section 206. Sensitive Radioactive Material Security
This section amends Chapter 14 of the Atomic Energy Act of
1954 to add a new section 170E at the end. New subsection
170E(a) defines the terms `sensitive radioactive material' and
'security threat.' Subsection 170E(b) requires the Commission
to evaluate the security of sensitive radioactive material
against security threats and recommend administrative and
legislative actions. In doing so, the Commission is required to
consult with the Secretary of Homeland Security, Secretary of
Energy, Director of the CIA, Director of the FBI, Director of
the Customs Service, and the Administrator of the EPA. The
committee is aware that there are a broad range of radioactive
materials in public use and not all present a significant
threat to public health. As such, this subsection requires the
Commission to take actions, as appropriate, to identify and
categorize those materials that should be classified as
sensitive radioactive material. The committee expects that the
development of improved security recommendations under this
section will be based on this categorization, providing the
greatest security to those categories of sensitive radiological
material which present the greatest threat.
New subsection 170E(c) requires periodic reports to the
President and Congress describing administrative and
legislative actions recommended by the task force.
New subsection 170E(d) requires the NRC to take such
actions as are appropriate to revise the system for licensing
radioactive materials and to ensure that States have entered
into appropriate agreements establishing compatible programs.
Sec. 207. Unauthorized Introduction of Dangerous Weapons
This section expands section 229a of the Atomic Energy Act
to include facilities, installations or real property subject
to the licensing or certification authority of the Commission.
This would allow Commission to apply the provisions of section
229a to NRC licensed or certified activities, thereby allowing
the Commission to prohibit a person who has not obtained prior
authorization from carrying, transporting, or otherwise
introducing or causing to be introduced any weapon, explosive,
or other dangerous instrumentality into any facility,
installation or real property regulated or subject to
certification by the Commission.
Sec. 208. Sabotage of Nuclear Facilities or Fuel
This section amends section 236a of the Atomic Energy Act
of 1954 to expand existing Federal criminal sanctions for
sabotage or attempted sabotage of production or utilization
facilities to include sabotage or attempted sabotage during the
construction stage of those facilities, if the damage could
affect public health and safety during facility operation. This
section also expands the sanctions to include sabotage or
attempted sabotage of operating fuel fabrication facilities.
Sec. 209. Evaluation of Adequacy of Enforcement Provisions
This section requires the Attorney General and the NRC to
submit to Congress a report that assesses the adequacy of the
criminal enforcement provisions in Chapter 18 of the Atomic
Energy Act
Sec. 210. Protection of Whistleblowers
This section amends section 212(a) of the Energy
Reorganization Act of 1974 to extend whistleblower protection
to Commission contractors and subcontractors.
Sec. 211. Technical and Conforming Amendments
This section provides technical and conforming amendments.
Sec. 212. Authorization of Appropriations
The Omnibus Budget Reconciliation Act of 1990 (42 U.S.C.
2214) provides that the ``aggregate amount of the annual
charges collected from all licensees and certificate holders in
a fiscal year shall equal an amount that approximates the
percentages of the budget authority of the Commission for the
fiscal year.'' This section adds homeland security (except for
the cost of fingerprinting and background checks and the costs
of conducting security inspections) as one of the exemptions
from inclusion in those charges.
TITLE III MISCELLANEOUS
Sec. 301. Treatment of Nuclear Reactor Financial Obligations
This section provides that funds intended for
decontamination and decommissioning are only to be used for
those purposes and may not be used to satisfy any creditor's
claim. It also states that a licensee may not be discharged of
his responsibility of decontamination or decommissioning. Also,
private insurance premium funds shall not be used to satisfy
the claim of any creditor in any proceeding under this until
the indemnification agreement is terminated.
Sec. 302. Medical Isotope Production
This section provides that the Commission may issue a
license for the export of highly enriched uranium for medical
isotope production if specific requirements are met. The
requirements include an assurance letter to the U.S. Government
from the receiving country, use for medical isotope production
only, and irradiation only within a reactor. The recipient
country must also meet treaty requirements, export requirements
and requirements of physical security.
Legislative History
The Price-Anderson Act is the primary Federal statute
governing the public liability, compensation, indemnity, and
insurance coverage for nuclear accidents. The Act (Sec. 170 of
the Atomic Energy Act of 1954 as amended, 42 U.S.C. 2210) was
first passed in 1957. The ``Price-Anderson'' Act derives its
name from its two primary sponsors Rep. Melvin Price (D-IL) and
Sen. Clinton P. Anderson (D-NM). It has been renewed three
times by Congress, in 1965 and in 1975, for successive 10-year
periods, and in 1988 for a fifteen-year period to end August 1,
2002. Senator Inhofe (R-OK) and Senator Voinovich (R-OH)
cosponsored the current Act known as S. 156, the 'Price-
Anderson Amendments Act of 2003', on January 14, 2003. It was
then referred to the Senate Committee on Environment and Public
Works. A full committee business meeting was held on April 9,
2003, and the committee ordered S. 156, the Price-Anderson
Amendments Act of 2003 as amended, to be reported to the full
senate.
The Reid amendment #2 as amended by Inhofe, Clinton
amendment #6, Clinton amendment #7, and Bond amendment #1 were
all offered and agreed to by voice vote.
Hearings
There were no hearings held on S. 156 during the 108th
Congress. On January 23, 2002, the Subcommittee on
Transportation, Infrastructure and Nuclear Safety held a
hearing on the reauthorization of Price Anderson. Witnesses
included: Mr. William F. Kane--Deputy Executive Director for
Reactor Programs, United States Nuclear Regulatory Commission;
Mr. John L. Quattrocchi--Senior Vice President, American
Nuclear Insurers; Mr. Marvin S. Fertel--Senior Vice President,
Nuclear Energy Institute; Mr. Peter Bradford--Visiting
Lecturer; Mr. Dan Guttman--Fellow, Center for Study of American
Government, Johns Hopkins University; Ms. Christie Brinkley--
STAR Foundation.
Rollcall Votes
The Committee on Environment and Public Works met to
consider S. 156 on April 9, 2003. The committee voted favorably
to report S. 156 by voice vote.
Regulatory Impact Statement
In compliance of section 11(b) of rule XXVI of the Standing
Rules of the Senate, the committee finds that S. 156 does not
create any additional regulatory burdens, nor will it cause any
adverse impact on the personal privacy of individuals.
Mandates Assessment
In compliance with the Unfunded Mandates Reform Act of 1995
(Public Law 104-4), the committee finds that S. 156 would
increase the maximum retrospective and annual premiums
collected from NRC to cover damages resulting from a nuclear
accident. S. 156 would also require States and private-sector
entities to pay fees to the Nuclear Regulatory Commission to
cover increased costs for security at nuclear facilities.
Because several of the mandates depend on future actions of the
NRC, the Congressional Budget Office was not able to determine
the aggregate cost of all mandates. While CBO could not predict
with certainty whether the costs to private-sector entities
would exceed the annual threshold for private-sector mandates,
as provided by UMRA, they did determine that costs to public
entities would be small and would not exceed the
intergovernmental threshold.
Cost of Legislation
Section 403 of the Congressional Budget and Impoundment
Control Act requires that a statement of the cost of the
reported bill, prepared by the Congressional Budget Office, be
included in the report. That statement follows:
U.S. Congress,
Congressional Budget Office,
Washington, DC, December 5, 2003.
Hon. James M. Inhofe, Chairman,
Committee on Environment and Public Works,
U.S. Senate, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for S. 156, a bill to amend
the Atomic Energy Act of 1954 to reauthorize the Price-Anderson
provisions, to provide for the security of commercial nuclear
power plants and facilities designated by the Nuclear
Regulatory Commission, and for other purposes.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contacts are Lisa Cash
Driskill and Melissa E. Zimmerman, who can be reached at 226-
2860.
Sincerely,
Douglas Holtz-Eakin
----------
S. 156, A bill to amend the Atomic Energy Act of 1954 to reauthorize
the Price-Anderson provisions, to provide for the security of
commercial nuclear power plants and facilities designated by
the Nuclear Regulatory Commission, and for other purposes, as
ordered reported by the Senate Committee on Environment and
Public Works on April 9, 2003
Summary
S. 156 would establish several new security programs
designed to protect the nation's nuclear infrastructure. Those
programs would include appointing Federal security coordinators
for designated nuclear facilities, enhanced systems to manage
the security of sensitive radioactive materials, additional
requirements for security and emergency-response plans at
designated nuclear facilities, and additional training and
grant landing for the National Guard and State and local
authorities to improve security efforts at nuclear facilities.
The bill also would reauthorize the Price-Anderson Act for
Nuclear Regulatory Commission (NRC) licensees through 2012,
which would provide a framework. for the structure of liability
coverage for such licensees in the event of a nuclear accident.
Based on information from the Nuclear Regulatory
Commission, CBO estimates that implementing S. 156 would cost
about $175 million over the 2004-2008 period, assuming
appropriation of the necessary amounts. Although the NRC
currently has the authority to offset a substantial portion of
its annual appropriation with fees charged to the licensees it
regulates, S. 156 would require that none of the costs from
activities included in the bill be offset through annual fees.
In addition, enacting S. 156 would increase revenues by
establishing new criminal penalties for the sabotage of nuclear
facilities and by allowing certain facilities regulated by the
NRC to import weapons subject to a transfer tax. CBO estimates
that those penalties and transfer taxes would increase revenues
by less than $500,000 a year. Subsequent direct spending of
criminal penalties also would be less than $500,000 per year.
S. 156 would impose both intergovernmental and private-
sector mandates as defined in the Unfunded Mandates Reform Act
(UMRA) by decreasing premiums that can be assessed by the NRC
in the event of a nuclear accident, requiring new and expanded
security procedures at certain nuclear facilities, and
requiring new arrest authorization for nuclear facilities.
Because several of the mandates depend on future actions of the
NRC for which information currently is not available, CBO
cannot determine the aggregate cost of all mandates contained
in the bill or whether the costs to the private sector would
exceed the annual threshold for private-sector mandates ($120
million in 2004, adjusted annually for inflation). CBO
estimates, however, that the costs to public entities would be
small and would not exceed the intergovernmental threshold ($60
million in 2004, adjusted annually for inflation).
Estimated Cost to the Federal Government
The estimated budgetary impact of S. 156 is shown in the
following table. The costs of this legislation fall within
budget function 270 (energy).
By Fiscal Year, in Millions of Dollars
----------------------------------------------------------------------------------------------------------------
2004 2005 2006 2007 2008
----------------------------------------------------------------------------------------------------------------
CHANGES IN SPENDING SUBJECT TO APPROPRIATION\1\
Federal Security Coordinators:
Estimated Authorization Level.............. 0 1 1 1 1
Estimated Outlays.......................... 0 1 1 1 1
Sensitive Radioactive Material:
Estimated Authorization Level.............. 12 12 12 12 13
Estimated Outlays.......................... 8 11 12 12 13
Security and Emergency-Response Plans:
Estimated Authorization Level.............. 9 9 13 15 9
Estimated Outlays.......................... 6 8 12 14 11
National Guard and Law Enforcement Training:
Estimated Authorization Level.............. 11 11 11 11 11
Estimated Outlays.......................... 8 10 11 11 11
Rulemakings and Evaluations:
Estimated Authorization Level.............. 5 2 5 1 1
Estimated Outlays.......................... 4 2 4 2 1
Total Changes:
Estimated Authorization Level.............. 37 35 42 40 35
Estimated Outlays.......................... 26 32 40 40 37
----------------------------------------------------------------------------------------------------------------
NOTE: Details may not sum to totals because of rounding.
\1\S. 156 also would affect revenues and direct spending but by less than $500,000 a year.
Basis of Estimate
For this estimate, CBO assumes that the bill will be
enacted near the end of calendar year 2004, that the necessary
amounts will be appropriated for each year, and that outlays
will occur at historical rates for similar programs.
S. 156 would reauthorize provisions of the Price-Anderson
Act relating to NRC licensees through August 1, 2012. The act
provides a framework for the structure of liability coverage in
the event of a nuclear accident. CBO estimates that
reauthorizing these provisions would have no effect on the
Federal budget. If damages resulting from a nuclear accident
exceed the liability coverage established by the Price-Anderson
Act (roughly $10 billion under current law), the act requires
that the Congress determine how remaining damages would be
paid. Options could include additional assessments on the
nuclear industry or Federal appropriations.
Spending Subject to Appropriation
Federal Security Coordinators. S. 156 would require that
the NRC hire and train security coordinators to be stationed in
each of the NRC's four regions. We estimate that implementing
this program would require the NRC to hire and train four
coordinators at a cost of about $500,000 per year and that the
program would start in 2005.
Security of Sensitive Radioactive Material. S. 156 would
require the NRC to improve the security requirements for
sensitive radioactive materials. Such improvements would
include revising licensing and classification systems,
establishing a tracking system, and increasing evaluation and
inspection of safeguard measures. Currently, the NRC spends
about $1 million per year to regulate certain radioactive
material used for industrial purposes. S. 156 would
significantly expand that program to include a wide variety of
radioactive materials.
Based on information from the NRC, we estimate that this
expanded program would require additional appropriations of $12
million per year over the next 5 years. Funds would be used for
establishing new computer systems, hiring of additional staff,
and auditing sites with radioactive materials. Overall, we
estimate that implementation of this program would result in
outlays of $56 million over the 2004-2008 period.
Security-and Emergency-Response Plans. S. 156 would require
the NRC to evaluate the security and emergency-response plans
for each of the 66 designated nuclear facilities in the United
States. Based on information from the NRC, CBO estimates that
those evaluations would cost an average of about $10 million
per year, or $51 million over the 2004-2008 period for
additional staff, equipment, training, and consulting;
services.
Emergency-Response Planning. S. 156 would require the NRC
to review the emergencyresponse plan for each designated
nuclear facilities. It also would require the NRC to observe
and evaluate emergency-response exercises and report to the
Congress. Based on information from the NRC, we expect that the
agency would hire additional staff to establish evaluation
criteria to observe emergency-response exercises. We estimate
that these activities would cost about $17 million over the
2004-2008; period for additional staff, support, training, and
travel.
Security-Response Evaluations. S. 156 would require the NRC
to establish a securityresponse-evaluation program that would
simulate the threats that nuclear facilities must be able to
defend against. At least once every 3 years, an evaluation
would be required at each designated nuclear facility. We
expect that the NRC would use contractors to conduct mock
exercises, known as force-on-force. Overall, we estimate that
the NRC would spend about $7 million per year to staff and
support a program office and contract for such exercises. CBO
estimates that the program would cost about $3 5 million over
the 2004-2008 period.
National Guard and Law Enforcement Training. S. 156 would
establish a new program to provide technical assistance and
training for the National Guard and State and local law
enforcement agencies to respond to threats against the nation's
nuclear facilities. Under this program, the NRC would provide
training at each of the designated 66 facilities four times a
year at a cost of about $125,000 a year-at an estimated total
cost of $8 million per year. In addition, we estimate that the
31 States with designated nuclear facilities would each receive
grants of $100,000 per year for technical assistance and
training. Assuming appropriation of the necessary amounts, we
estimate that implementing those training and assistance
programs would require appropriations of about $11 million a
year, which would result in outlays of $51 million over the
2004-2008 period.
Rulemakings, Evaluations, and Reports. The bill would.
require the NRC to prepare several reports for the Congress on
nuclear security issues and conduct reviews of security matters
at the nation's nuclear facilities. CBO has estimated the cost
of those additional efforts based on information from the NRC.
Specifically, the bill would require:
An examination of the security requirements for
the nation's nuclear infrastructure at an estimated cost of $4
million over the 2004-2005 period;
An update to rules on design-basis threat or the
threat that designated nuclear facilities must be able to
defend against at an estimated cost of $2 million over the
2004-2006 period;
An evaluation of each designated nuclear
facility's plan to defend against the updated design-basis
threat at an estimated cost of $3.5 million in 2006;
A review and update of employee security
standards at the nation's nuclear facilities at an estimated
cost of $4 million over the 2004-2008 period;
A report on the adequacy of criminal penalties
under--the Atomic Energy Act at an estimated cost of $500,000
in 2004; and
A system to determine threat levels for the
nation's nuclear infrastructure at an estimated cost of
$300,000 over the 2005-2006 period.
Overall, we would expect that such evaluations,
rulemakings, and reports to the Congress would cost $14 million
over the 2004-2008 period for additional staff, support, and
consulting services.
Direct Spending and Revenues
Enacting S. 156 would increase revenues by establishing new
criminal penalties for the sabotage of a wide range of nuclear
facilities and allow certain facilities regulated by the NRC to
import weapons subject to a transfer tax. CBO estimates that
those penalties and transfer taxes would increase revenues by
less than $500,000 a year. Subsequent direct spending of
penalties collected for violation of the criminal code would
also be less than $500,000 per year.
Intergovernmental and Private-Sector Impact
S. 156 would impose both intergovernmental and private-
sector mandates as defined in the UMRA by:
Increasing both the maximum retrospective and
annual, premiums collected from NRC licensees to cover damages
resulting from a nuclear incident;
Effectively increasing fees collected from
licensees to pay for fingerprint checks by increasing the
number of individuals requiring background checks;
Requiring NRC licensees and certificate holders
to obtain prior authorization from the commission, allowing
security personnel to make arrests without warrants in the
performance of their duties; and
Requiring new security standards and procedures
at designated nuclear facilities.
Because several of the mandates depend on future actions of
the NRC for which information currently is not available, CBO
cannot determine the aggregate cost of all mandates contained
in the bill or whether the costs to private-sector entities
would exceed the annual threshold for private-sector mandates
($120 million in 2004, adjusted annually for inflation). CBO
estimates, however, that the costs to public entities would be
small and would not exceed the intergovernmental threshold ($60
million in 2004, adjusted annually for inflation).
Increase in Premiums
Under current law, in the event that losses from a nuclear
incident exceed the required amount of private insurance, the
NRC would levy an assessment on its licensees (both public and
private) to cover the shortfall in damage coverage. Section 102
would increase the maximum retrospective premium from $84
million to $94 million as well as increase the maximum annual
premium from $10 million to $15 million. CBO has determined
that raising both the maximum total premium and the annual
premium would increase the costs of an existing mandate and
would thereby impose both intergovernmental and private-sector
mandates under U v RA. Because the probability of a nuclear
accident resulting' in losses exceeding the amount of private
insurance coverage is low, CBO estimates that the annual costs
of complying with the mandates (in expected-value terms) would
not be substantial over the next 5 years.
Additional Fee for Background Checks
S. 156 would require the NRC to conduct security
inspections at licensed facilities. In addition, the bill would
require fingerprinting of additional individuals connected with
nuclear facilities as part of criminal background checks done
through the U.S. Attorney General's Office. Although the NRC
would absorb the cost of the security inspections, the cost of
the government background checks would be borne directly by
licensees. The duty to pay the increased cost would be both a
private-sector and intergovernmental mandate under UMRA, but
the cost of the mandate would be small.
Authorization for Arrests
Current law allows employees of NRC licensees and
certificate holders and the employees of their contractors and
subcontractors to make an arrest without a warrant while
carrying out official duties. S. 156 would impose a new
intergovernmental and private-sector mandate by requiring
licensees and certificate holders to obtain a blanket
authorization from the NRC for such arrests. The details for
obtaining this authorization have yet to be determined by the
commission, but CBO expects the costs of this mandate to be
small.
New Security Standards and Procedures
S. 156 would require the NRC to promulgate new rules for
licensees concerning:
Security requirements for handling sensitive
radioactive materials;
Threats that certain nuclear facilities must
protect against;
Security plans, emergency-response plans, and
preparedness for the facilities;
Involvement of appropriate local governments,
employers, and interested groups in the emergency-planning
process;
Access and training standards for employees of
the facilities; and
Handling of accelerator-produced and by-product
radioactive material.
The new rules would constitute mandates as defined in UMRA,
but the extent of those mandates would depend on future actions
of the NRC. At this time, the NRC could not indicate the scope
of the rules to be issued, and consequently, CBO cannot
determine the cost of compliance.
Previous Estimate
On August 14, 2003, CBO transmitted a cost estimate for S.
1043, the Nuclear Infrastructure Security Act of 2003, as
ordered reported by the Senate Committee on Environment and
Public works on May 15, 2003. The two bills have some similar
provisions regarding security programs. CBO estimates that
implementing the provisions in S. 1043 would cost more to
implement than those in S. 156.
S. 1043 also included intergovernmental and private-sector
mandates. S. 1043 differed from this bill by allowing the NRC
to offset the cost of security inspections by increasing annual
fees collected from licensees, an intergovernmental and
private-sector mandate. The aggregate cost of the mandates in
S. 1043 could not be determined because several of the mandates
depend on future actions of the NRC for which information was
not available. As a result, CBO could not determine whether the
costs would exceed the annual threshold for private-sector
mandates ($120 million in 2004, adjusted annually for
inflation) but estimated that the costs to public entities
would not exceed the intergovernmental threshold ($60 million
in 2004, adjusted annually for inflation).
Estimate Prepared By: Federal Costs: Lisa Cash Driskill and
Melissa E. Zimmerman (226-2860); Impact on State, Local, and
Tribal Governments: Gregory Waring (225-3220); Impact on the
Private Sector: Selena Caldera (226-2940).
Estimate Approved by: Peter H. Fontaine, Deputy Assistant
Director for Budget Analysis.
ATOMIC ENERGY ACT OF 1954
An Act for the development and control of atomic energy.
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
TITLE I--ATOMIC ENERGY
Chapter 1. Declaration, Findings, and Purpose
Sec. 1. Declaration.
* * * * * * *
Sec. 170B. Uranium supply.
Sec. 170C. Protection of designated nuclear facilities.
Sec. 170D. Carrying of weapons.
Sec. 170E. Sensitive radioactive material security.''.
* * * * * * *
Sec. 11. Definition.--The intent of Congress in the
definitions as given in this section should be construed from
the words or phrases used in the definitions. As used in this
Act:
a. The term ``agency of the United States'' means the
executive branch of the United States, or any Government
agency, or the legislative branch of the United States, or any
agency, committee, commission, office, or other establishment
in the legislative branch, or the judicial branch of the United
States, or any office, agency, committee, commission, or other
establishment in the judicial branch.
b. The term ``agreement for cooperation'' means any
agreement with another nation or regional defense organization
authorized or permitted by sections 54, 57, 64, 82, 91c., 103,
104, or 144, and made pursuant to section 123.
c. The term ``atomic energy'' means all forms of energy
released in the course of nuclear fission or nuclear
transformation.
d. The term ``atomic weapon'' means any device utilizing
atomic energy, exclusive of the means for transporting or
propelling the device (where such means is a separable and
divisible part of the device), the principal purpose of which
is for use as, or for development of, a weapon, a weapon
prototype, or a weapon test device.
e. The term ``byproduct material'' means (1) any
radioactive material (except special nuclear material) yielded
in or made radioactive by exposure to the radiation incident to
the process of producing or utilizing special nuclear material,
and (2) the tailings or wastes produced by the extraction or
concentration of uranium or thorium from any ore processed
primarily for its source material content.
f. The term ``Commission'' means the Atomic Energy
Commission.\1\
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\1\ The Atomic Energy Commission was abolished and all functions
were transferred to the Nuclear Regulatory Commission and the
Administrator of the Energy Research and Development Administration by
sections 104 and 201 of the Energy Reorganization Act of 1974, Pub. L.
93-438. The Energy Research and Development Administration was
terminated and functions vested by law in the Administrator thereof
were transferred to the Secretary of Energy (unless otherwise
specifically provided) by sections 301(a) and 703 of the Department of
Energy Organization Act, Pub. L. 95-91.
For transfer of certain functions from the Nuclear Regulatory
Commission to the Chairman thereof, see Reorg. Plan No. 1 of 1980, 45
F.R. 40561, 94 Stat. 3585.
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g. The term ``common defense and security'' means the
common defense and security of the United States.
h. The term ``defense information'' means any information
in any category determined by any Government agency authorized
to classify information, as being information respecting,
relating to, or affecting the national defense.
i. The term ``design'' means (1) specifications, plans,
drawings, blueprints, and other items of like nature; (2) the
information contained therein; or (3) the research and
development data pertinent to the information contained
therein.
j. The term ``extraordinary nuclear occurrence'' means any
event causing a discharge or dispersal of source, special
nuclear, or byproduct material from its intended place of
confinement in amounts offsite, or causing radiation levels
offsite, which the Nuclear Regulatory Commission or the
Secretary of Energy, as appropriate, determines to be
substantial, and which the Nuclear Regulatory Commission or the
Secretary of Energy, as appropriate, determines has resulted or
will probably result in substantial damages to persons offsite
or property offsite. Any determination by the Nuclear
Regulatory Commission or the Secretary of Energy, as
appropriate, that such an event has, or has not, occurred shall
be final and conclusive, and no other official or any court
shall have power or jurisdiction to review any such
determination. The Nuclear Regulatory Commission or the
Secretary of Energy, as appropriate, shall establish criteria
in writing setting forth the basis upon which such
determination shall be made. As used in this subsection,
``offsite'' means away from ``the location'' or the ``contract
location'' as defined in the applicable Nuclear Regulatory
Commission or the Secretary of Energy, as appropriate,
indemnity agreement, entered into pursuant to section 170.
[k. The term ``financial protection'' means the ability to
respond in damages for public liability and to meet the costs
of investigating and defending claims and settling suits for
such damages.]
k. authorize--
(1) to carry and use a firearm in the performance
of official duties such of its members, officers, and
employees, such of the employees of its contractors and
subcontractors (at any tier) engaged in the protection
of property under the jurisdiction of the United States
located at facilities owned by or contracted to the
United States or being transported to or from such
facilities, and such of the employees of persons
licensed or certified by the Commission (including
employees of contractors of licensees or certificate
holders) engaged in the protection of facilities owned
or operated by a Commission licensee or certificate
holder that are designated by the Commission or in the
protection of property of significance to the common
defense and security located at facilities owned or
operated by a Commission licensee or certificate holder
or being transported to or from such facilities, as the
Commission considers necessary, in view of site-
specific conditions, in the interest of the common
defense and security; and
(2) to carry and use any other weapons, devices, or
ammunition in the performance of officials duties, any
employees of persons licensed or certified by the
Commission (including employees of contractors of
licensees or certificate holders) who are trained and
qualified as guards and whose duty is the protection of
facilities or property described in paragraph (1),
regardless of whether the employees are Federal, State,
or local law enforcement officers;
l. The term ``Government agency'' means any executive
department, commission, independent establishment, corporation,
wholly or partly owned by the United States of America which is
an instrumentality of the United States, or any board, bureau,
division, service, office, officer, authority, administration,
or other establishment in the executive branch of the
Government.
m. The term ``indemnitor'' means (1) any insurer with
respect to his obligations under a policy of insurance
furnished as proof of financial protection; (2) any licensee,
contractor or other person who is obligated under any other
form of financial protection, with respect to such obligations;
and (3) the Nuclear Regulatory Commission or the Secretary of
Energy, as appropriate, with respect to any obligation
undertaken by it in an indemnity agreement entered into
pursuant to section 170.
n. The term ``international arrangement'' means any
international agreement hereafter approved by the Congress or
any treaty during the time such agreement or treaty is in full
force and effect, but does not include any agreement for
cooperation.
o. The term ``Energy Committees'' means the Committee on
Energy and Natural Resources of the Senate and the Committee on
Energy and Commerce of the House of Representatives.
p. The term ``licensed activity'' means an activity
licensed pursuant to this Act and covered by the provisions of
section 170 a.
q. The term ``nuclear incident'' means any occurrence,
including an extraordinary nuclear occurrence, within the
United States causing, within or outside the United States,
bodily injury, sickness, disease, or death, or loss of or
damage to property, or loss of use of property, arising out of
or resulting from the radioactive, toxic, explosive, or other
hazardous properties of source, special nuclear, or byproduct
material: Provided, however, That as the term is used in
section 170 l., it shall include any such occurrence outside
the United States: And provided further, That as the term is
used in section 170 d., it shall include any such occurrence
outside the United States if such occurrence involves source,
special nuclear, or byproduct material owned by, and used by or
under contract with, the United States: And provided further,
That as the term is used in section 170 c., it shall include
any such occurrence outside both the United States and any
other nation if such occurrence arises out of or results from
the radioactive, toxic, explosive, or other hazardous
properties of source, special nuclear, or byproduct material
licensed pursuant to chapters 6, 7, 8, and 10 of this Act,
which is used on connection with the operation of a licensed
stationary production or utilization facility or which moves
outside the territorial limits of the United States in transit
from one person licensed by the Nuclear Regulatory Commission
to another person licensed by the Nuclear Regulatory
Commission.
r. The term ``operator'' means any individual who
manipulates the controls of a utilization or production
facility.
s. The term ``person'' means (1) any individual,
corporation, partnership, firm, association, trust, estate,
public or private institution, group, Government agency other
than the Commission, any State or any political subdivision of,
or any political entity within a State, any foreign government
or nation or any political subdivision of any such government
or nation, or other entity; and (2) any legal successor,
representative, agent, or agency of the foregoing.
t. The term ``person indemnified'' means (1) with respect
to a nuclear incident occurring within the United States or
outside the United States as the term is used in section 170
c., and with respect to any nuclear incident in connection with
the design, development, construction, operation, repair,
maintenance, or use of the nuclear ship Savannah, the person
with whom an indemnity agreement is executed or who is required
to maintain financial protection, and any other person who may
be liable for public liability or (2) with respect to any other
nuclear incident occurring outside the United States, the
person with whom an indemnity agreement is executed and any
other person who may be liable for public liability by reason
of his activities under any contract with the Secretary of
Energy or any project to which indemnification under the
provisions of section 170 d., has been extended or under any
subcontract, purchase order, or other agreement, of any tier,
under any such contract or project.
u. The term ``produce,'' when used in relation to special
nuclear material, means (1) to manufacture, make, produce, or
refine special nuclear material; (2) to separate special
nuclear material from other substances in which such material
may be contained; or (3) to make or to produce new special
nuclear material.
v. The term ``production facility'' means (1) any equipment
or device determined by rule of the Commission to be capable of
the production of special nuclear material in such quantity as
to be of significance to the common defense and security, or in
such manner as to affect the health and safety of the public;
or (2) any important component part especially designed for
such equipment or device as determined by the Commission.
Except with respect to the export of a uranium enrichment
production facility, \1\ such term as used in chapters 10 and
16 shall not include any equipment or device (or important
component part especially designed for such equipment or
device) capable of separating the isotopes of uranium or
enriching uranium in the isotope 235.
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\1\ Section 3116(b) of Public Law 104-134 (110 Stat. 1321-349)
amended this section by striking out ``or the construction and
operation of a uranium enrichment facility using Atomic Vapor Laser
Isotope Separation technology''. It should have struck out ``or the
construction and operation of a uranium enrichment production facility
using Atomic Vapor Laser Isotope Separation technology''. The word
``production'' was omitted in the original amendment. This amendment
was executed to the probable intent of the Congress.
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w. The term ``public liability'' means any legal liability
arising out of or resulting from a nuclear incident or
precautionary evacuation (including all reasonable additional
costs incurred by a State, or a political subdivision of a
State, in the course of responding to a nuclear incident or a
precautionary evacuation), except: (i) claims under State or
Federal workmen's compensation acts of employees of persons
indemnified who are employed at the site of and in connection
with the activity where the nuclear incident occurs; (ii)
claims arising out of an act of war; and (iii) whenever used in
subsections a., c., and k. of section 170, claims for loss of,
or damage to, or loss of use of property which is located at
the site of and used in connection with the licensed activity
where the nuclear incident occurs. ``Public liability'' also
includes damage to property of persons indemnified: Provided,
That such property is covered under the terms of the financial
protection required, except property which is located at the
site of and used in connection with the activity where the
nuclear incident occurs.
x. The term ``research and development'' means (1)
theoretical analysis, exploration, or experimentation; or (2)
the extension of investigative findings and theories of a
scientific or technical nature into practical application for
experimental and demonstration purposes, including the
experimental production and testing of models, devices,
equipment, materials, and processes.
y. The term ``Restricted Data'' means all data concerning
(1) design, manufacture, or utilization of atomic weapons; (2)
the production of special nuclear material; or (3) the use of
special nuclear material in the production of energy, but shall
not include data declassified or removed from the Restricted
Data category pursuant to section 142.
z. The term ``source material'' means (1) uranium, thorium,
or any other material which is determined by the Commission
pursuant to the provisions of section 61 to be source material;
or (2) ores containing one or more of the foregoing materials,
in such concentration as the Commission may by regulation
determine from time to time.
aa. The term ``special nuclear material'' means (1)
plutonium, uranium enriched in the isotope 233 or in the
isotope 235, and any other material which the Commission,
pursuant to the provisions of section 51, determines to be
special nuclear material, but does not include source material;
or (2) any material artifically \1\ enriched by any of the
foregoing, but does not include source material.
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\1\ So in original. Probably should be ``artificially''.
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bb. The term ``United States'' when used in a geographical
sense includes all Territories and possessions of the United
States, the Canal Zone and Puerto Rico.
cc. The term ``utilization facility'' means (1) any
equipment or device, except an atomic weapon, determined by
rule of the Commission to be capable of making use of special
nuclear material in such quantity as to be of significance to
the common defense and security, or in such manner as to affect
the health and safety of the public, or peculiarly adapted for
making use of atomic energy in such quantity as to be of
significance to the common defense and security, or in such
manner as to affect the health and safety of the public; or (2)
any important component part especially designed for such
equipment or device as determined by the Commission.
dd. The terms ``high-level radioactive waste'' and ``spent
nuclear fuel'' have the meanings given such terms in section 2
of the Nuclear Waste Policy Act of 1982 (42 U.S.C. 10101).
ee. The term ``transuranic waste'' means material
contaminated with elements that have an atomic number greater
than 92, including neptunium, plutonium, americium, and curium,
and that are in concentrations greater than 10 nanocuries per
gram, or in such other concentrations as the Nuclear Regulatory
Commission may prescribe to protect the public health and
safety.
ff. The term ``nuclear waste activities'', as used in
section 170, means activities subject to an agreement of
indemnification under subsection d. of such section, that the
Secretary of Energy is authorized to undertake, under this Act
or any other law, involving the storage, handling,
transportation, treatment, or disposal of, or research and
development on, spent nuclear fuel, high-level radioactive
waste, or transuranic waste, including (but not limited to)
activities authorized to be carried out under the Waste
Isolation Pilot Project under section 213 of Public Law 96-164
(93 Stat. 1265).
gg. The term ``precautionary evacuation'' means an
evacuation of the public within a specified area near a nuclear
facility, or the transportation route in the case of an
accident involving transportation of source material, special
nuclear material, byproduct material, high-level radioactive
waste, spent nuclear fuel, or transuranic waste to or from a
production or utilization facility, if the evacuation is--
(1) the result of any event that is not classified
as a nuclear incident but that poses imminent danger of
bodily injury or property damage from the radiological
properties of source material, special nuclear
material, byproduct material, high-level radioactive
waste, spent nuclear fuel, or transuranic waste, and
causes an evacuation; and
(2) initiated by an official of a State or a
political subdivision of a State, who is authorized by
State law to initiate such an evacuation and who
reasonably determined that such an evacuation was
necessary to protect the public health and safety.
hh. The term ``public liability action'', as used in
section 170, means any suit asserting public liability. A
public liability action shall be deemed to be an action arising
under section 170, and the substantive rules for decision in
such action shall be derived from the law of the State in which
the nuclear incident involved occurs, unless such law is
inconsistent with the provisions of such section.
[jj.] ii. Legal Costs.--As used in section 170, the term
``legal costs'' means the costs incurred by a plaintiff or a
defendant in initiating, prosecuting, investigating, settling,
or defending claims or suits for damage arising under such
section.
jj. Designated Nuclear Facility.--The term ``designated
nuclear facility'' means--
(1) an operating commercial nuclear power plant;
and
(2) any other facility owned or operated by a
licensee or certificate holder that the Commission
determines should be included within the meaning of the
term.
kk. Private Security Force.--The term ``private security
force'', with respect to a designated nuclear facility, means
personnel hired or contracted by the licensee or certificate
holder of the designated nuclear facility to provide security
at the designated nuclear facility.
* * * * * * *
Sec. 134. Further Restrictions on Exports.--
[a. The Commission] a. In General.--Except as provided in
subsection b., the Commission may issue a license for the
export of highly enriched uranium to be used as a fuel or
target in a nuclear research or test reactor only if, in
addition to any other requirement of this Act, the Commission
determines that--
(1) there is no alternative nuclear reactor fuel or
target enriched in the isotope 235 to a lesser percent
than the proposed export, that can be used in that
reactor;
(2) the proposed recipient of that uranium has
provided assurances that, whenever an alternative
nuclear reactor fuel or target can be used in that
reactor, it will use that alternative in lieu of highly
enriched uranium; and
(3) the United States Government is actively
developing an alternative nuclear reactor fuel or
target that can be used in that reactor.
b. Medical Isotope Production.--
(1) In general.--The Commission may issue a license
authorizing the export (including shipment to and use
at intermediate and ultimate consignees specified in
the license) to a recipient country of highly enriched
uranium for medical isotope production if, in addition
to any other requirements of this Act (except
subsection a.), the Commission determines that--
(A) a recipient country that supplies an
assurance letter to the United States
Government in connection with the consideration
by the Commission of the export license
application has informed the United States
Government that any intermediate consignees and
the ultimate consignee specified in the
application are required to use the highly
enriched uranium solely to produce medical
isotopes; and
(B) the highly enriched uranium for medical
isotope production will be irradiated only in a
reactor in a recipient country that--
(i) uses an alternative nuclear
reactor fuel; or
(ii) is the subject of an agreement
with the United States Government to
convert to an alternative nuclear
reactor fuel when alternative nuclear
reactor fuel can be used in the
reactor.
(2) Exports to other countries.--The Commission may
specify, by rulemaking or decision in connection with
an export license application, that a country other
than a recipient country may receive exports of highly
enriched uranium for medical isotope production in
accordance with the same criteria established under
paragraph (1) for exports to a recipient country if the
Commission determines that the other country--
(A) is a party to the Treaty on the
Nonproliferation of Nuclear Weapons done at
Washington, London, and Moscow July 1, 1968 (21
UST 483) and the Convention on the Physical
Protection of Nuclear Materials done at Vienna
October 26, 1979 (TIAS 11080); and
(B) will receive the highly enriched
uranium under an agreement with the United
States concerning peaceful uses of nuclear
energy.
(3) Review of physical protection requirements.--
(A) In general.--The Commission shall
review the adequacy of physical protection
requirements that, as of the date of an
application under paragraph (1), are applicable
to the transportation of highly enriched
uranium for medical isotope production.
(B) Imposition of additional
requirements.--If the Commission determines
that additional physical protection
requirements are necessary (including a limit
on the quantity of highly enriched uranium that
may be contained in a single shipment), the
Commission shall impose such requirements as
license conditions or through other appropriate
means.
[b.] c. As used in this section--
(1) the term ``alternative nuclear reactor fuel or
target'' means a nuclear reactor fuel or target which
is enriched to less than 20 percent in the isotope U-
235;
(2) the term ``highly enriched uranium'' means
uranium enriched to 20 percent or more in the isotope
U-235; [and]
(3) a fuel or target ``can be used'' in a nuclear
research or test reactor if--
(A) the fuel or target has been qualified
by the Reduced Enrichment Research and Test
Reactor Program of the Department of Energy,
and
(B) use of the fuel or target will permit
the large majority of ongoing and planned
experiments and isotope production to be
conducted in the reactor without a large
percentage increase in the total cost of
operating the reactor[.];
(4) the term ``highly enriched uranium for medical
isotope production'' means highly enriched uranium
contained in, or for use in, a target to be irradiated
for the sole purpose of producing medical isotopes;
(5) the term ``medical isotope'' means a
radioactive isotope (including Molybdenum 99, Iodine
131, and Xenon 133) that is used--
(A) to produce a radiopharmaceutical for
diagnostic or therapeutic procedures on
patients; or
(B) in connection with research and
development of radiopharmaceuticals;
(6) the term ``radiopharmaceutical'' means a
radioactive isotope that--
(A) contains byproduct material combined
with chemical or biological material; and
(B) is designed to accumulate temporarily
in a part of the body, for therapeutic purposes
or for enabling the production of a useful
image of the appropriate body organ or function
for use in diagnosis of medical conditions; and
(7) the term ``recipient country'' means Canada,
Belgium, France, Germany, and the Netherlands.
* * * * * * *
CHAPTER 14. GENERAL AUTHORITY
Sec. 161. General Provisions.--In the performance of its
functions the Commission is authorized to--
a. establish advisory boards to advise with and
make recommendations to the Commission on legislation,
policies, administration, research, and and \3\ other
matters, provided that the Commission issues
regulations setting forth the scope, procedure, and
limitations of the authority of each such board;
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\3\ So in original.
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b. establish by rule, regulation, or order, such
standards and instructions to govern the possession and
use of special nuclear material, source material, and
byproduct material as the Commission may deem necessary
or desirable to promote the common defense and security
or to protect health or to minimize danger to life or
property; in addition, the Commission shall prescribe
such regulations or orders as may be necessary or
desirable to promote the Nation's common defense and
security with regard to control, ownership, or
possession of any equipment or device, or important
component part especially designed for such equipment
or device, capable of separating the isotopes of
uranium or enriching uranium in the isotope 235;
c. make such studies and investigations, obtain
such information, and hold such meetings or hearings as
the Commission may deem necessary or proper assist it
in exercising any authority provided in this Act, or in
the administration or enforcement of this Act, or any
regulations or orders issued thereunder. For such
purposes the Commission is authorized to administer
oaths and affirmations, and by subpena to require any
person to appear and testify, or to appear and produce
documents, or both, at any designated place. Witnesses
subpenaed under this subsection shall be paid the same
fees and mileage as are paid witnesses in the district
courts of the United States;
d. appoint and fix the compensation of such
officers and employees as may be necessary to carry out
the functions of the Commission. Such officers and
employees shall be appointed in accordance with the
civil-service laws and their compensation fixed in
accordance with the Classification Act of 1949,\1\ as
amended, except that, to the extent the Commission
deems such action necessary to the discharge of its
responsibilities, personnel may be employed and their
compensation fixed without regard to such laws:
Provided, however, That no officer or employee (except
such officers and employees whose compensation is fixed
by law, and scientific and technical personnel up to a
limit of the highest rate of grade 18 of the General
Schedule of the Classification Act of 1949,\1\ as
amended) whose position would be subject to the
Classification Act of 1949,\1\ as amended, if such Act
were applicable to such position, shall be paid a
salary at a rate in excess of the rate payable under
such Act for positions of equivalent difficulty or
responsibility. Such rates of compensation may be
adopted by the Commission as may be authorized by the
Classification Act of 1949,\1\ as amended, as of the
same date such rates are authorized for positions
subject to such Act. The Commission shall make adequate
provision for administrative review of any
determination to dismiss any employee;
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\1\ The Classification Act of 1949 has been codified as chapter 51,
and subchapter III of chapter 53, of title 5, United States Code.
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e. acquire such material, property, equipment, and
facilities, establish or construct such buildings and
facilities, and modify such buildings and facilities
from time to time, as it may deem necessary, and
construct, acquire, provide, or arrange for such
facilities and services (at project sites where such
facilities and services are not available) for the
housing, health, safety, welfare, and recreation of
personnel employed by the Commission as it may deem
necessary, subject to the provisions of section 174:
Provided, however, That in the communities owned by the
Commission, the Commission is authorized to grant
privileges, leases, and permits upon adjusted terms
which (at the time of the initial grant of any
privilege grant, lease, or permit, or renewal thereof,
or in order to avoid inequities or undue hardship prior
to the sale by the United States of property affected
by such grant) are fair and reasonable to responsible
persons to operate commercial businesses without
advertising and without advertising \2\ and without
securing competitive bids, but taking into
consideration, in addition to the price, and among
other things (1) the quality and type of services
required by the residents of the community, (2) the
experience of each concession applicant in the
community and its surrounding area, (3) the ability of
the concession applicant to meet the needs of the
community, and (4) the contribution the concession
applicant has made or will make to the other activities
and general welfare of the community;
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\2\ So in original. The phrase ``and without advertising'' probably
should be deleted.
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f. with the consent of the agency concerned,
utilize or employ the services or personnel of any
Government agency or any State or local government, or
voluntary or uncompensated personnel, to perform such
functions on its behalf as may appear desirable;
g. acquire, purchase, lease, and hold real and
personal property, including patents, as agent of and
on behalf of the United States, subject to the
provisions of section 174, and to sell, lease, grant,
and dispose of such real and personal property as
provided in this Act;
h. consider in a single application one or more of
the activities for which a license is required by this
Act, combine in a single license one or more of such
activities, and permit the applicant or licensee to
incorporate by reference pertinent information already
filed with the Commission;
i. prescribe such regulations or orders as it may
deem necessary (1) to protect Restricted Data received
by any person in connection with any activity
authorized pursuant to this Act, (2) to guard against
the loss or diversion of any special nuclear material
acquired by any person pursuant to section 53 or
produced by any person in connection with any activity
authorized pursuant to this Act, to prevent any use or
disposition thereof which the Commission may determine
to be inimical to the common defense and security,
including regulations or orders designating activities,
involving quantities of special nuclear material which
in the opinion of the Commission are important to the
common defense and security, that may be conducted only
by persons whose character, associations, and loyalty
shall have been investigated under standards and
specifications established by the Commission and as to
whom the Commission shall have determined that
permitting each such person to conduct the activity
will not be inimical to the common defense and
security, and (3) to govern any activity authorized
pursuant to this Act, including standards and
restrictions governing the design, location, and
operation of facilities used in the conduct of such
activity, in order to protect health and to minimize
danger to life or property;
j. without regard to the provisions of the Federal
Property and Administrative Services Act of 1949, as
amended, except section 207 of that Act, or any other
law, make such disposition as it may deem desirable of
(1) radioactive materials, and (2) any other property,
the special disposition of which is, in the opinion of
the Commission, in the interest of the national
security: Provided, however, That the property
furnished to licensees in accordance with the
provisions of subsection 161 m. shall not be deemed to
be property disposed of by the Commission pursuant to
this subsection;
k. authorize such of its members, officers, and
employees as it deems necessary in the interest of the
common defense and security to carry firearms while in
the discharge of their official duties. The Commission
may also authorize such of those employees of its
contractors and subcontractors (at any tier) engaged in
the protection of property under the jurisdiction of
the United States and located at facilities owned by or
contracted to the United States or being transported to
or from such facilities as it deems necessary in the
interests of the common defense and security to carry
firearms while in the discharge of their official
duties. A person authorized to carry firearms under
this subsection may, while in the performance of, and
in connection with, official duties, make arrests
without warrant for any offense against the United
States committed in that person's presence or for any
felony cognizable under the laws of the United States
if that person has reasonable grounds to believe that
the individual to be arrested has committed or is
committing such felony. An employee of a contractor or
subcontractor authorized to carry firearms under this
subsection may make such arrests only when the
individual to be arrested is within, or in direct
flight from, the area of such offense. A person granted
authority to make arrests by this subsection may
exercise that authority only in the enforcement of (1)
laws regarding the property of the United States in the
custody of the Department of Energy, the Nuclear
Regulatory Commission, or a contractor of the
Department of Energy or Nuclear Regulatory Commission,
or (2) any provision of this Act that may subject an
offender to a fine, imprisonment, or both. The arrest
authority conferred by this subsection is in addition
to any arrest authority under other laws. The
Secretary, with the approval of the Attorney General,
shall issue guidelines to implement this subsection;
[l. Repealed by Pub. L. 87-456, Sec. 303(c), 76
Stat. 78, May 24, 1962.]
m. enter into agreements with persons licensed
under Section 103, 104, 53 a. (4), or 63 a. (4) for
such periods of time as the Commission may deem
necessary or desirable (1) to provide for the
processing, fabricating, separating, or refining in
facilities owned by the Commission of source,
byproduct, or other material or special nuclear
material owned by or made available to such licensees
and which is utilized or produced in the conduct of the
licensed activity, and (2) to sell, lease, or otherwise
make available to such licensees such quantities of
source or byproduct material, and other material not
defined as special nuclear material pursuant to this
Act, as may be necessary for the conduct of the
licensed activity: Provided, however, That any such
agreement may be canceled by the licensee at any time
upon payment of such reasonable cancellation charges as
may be agreed upon by the licensee and the Commission:
And provided further, That the Commission shall
establish prices to be paid by licensees for material
or services to be furnished by the Commission pursuant
to this subsection, which prices shall be established
on such a nondiscriminatory basis as, in the opinion of
the Commission, will provide reasonable compensation to
the Government for such material or services and will
not discourage the development of sources of supply
independent of the Commission;
n. delegate to the General Manager or other
officers of the Commission any of those functions
assigned to it under this Act except those specified in
sections 51, 57 b., 61, 108, 123, 145 b. (with respect
to the determination of those persons to whom the
Commission may reveal Restricted Data in the national
interest), 145 f., and 161 a.;
o. require by rule, regulation, or order, such
reports, and the keeping of such records with respect
to, and to provide for such inspections of, activities
and studies of types specified in section 31 and of
activities under licenses issued pursuant to sections
53, 63, 81, 103, and 104, as may be necessary to
effectuate the purposes of this Act, including section
105; and
p. make, promulgate, issue, rescind, and amend such
rules and regulations as may be necessary to carry out
the purposes of this Act.
q. The Commission is authorized and empowered,
under such terms and conditions as are deemed advisable
by it, to grant easements for rights-of-way over,
across, in, an upon acquired lands under its
jurisdiction and control, and public lands permanently
withdrawn or reserved for the use of the Commission, to
any State, political subdivision thereof, or
municipality, or to any individual, partnership, or
corporation of any State, Territory, or possession of
the United States, for (a) railroad tracks; (b) oil
pipe lines; (c) substations for electric power
transmission lines, telephone lines, and telegraph
lines, and pumping stations for gas, water, sewer, and
oil pipe lines; (d) canals; (e) ditches; (f) flumes;
(g) tunnels; (h) dams and reservoirs in connection with
fish and wildlife programs, fish hatcheries, and other
fish-cultural improvements; (i) roads and streets; and
(j) for any other purpose or purposes deemed advisable
by the Commission: Provided, That such rights-of-way
shall be granted only upon a finding by the Commission
that the same will not be incompatible with the public
interest: Provided further, That such rights-of-way
shall not include any more land than is reasonably
necessary for the purpose for which granted: And
provided further, That all or any part of such rights-
of-way may be annulled and forfeited by the Commission
for failure to comply with the terms and conditions of
any grant hereunder or for nonuse for a period of two
consecutive years or abandonment of rights granted
under authority hereof. Copies of all instruments
granting easements over public lands pursuant to this
section shall be furnished to the Secretary of the
Interior.
r. Under such regulations and for such periods and
at such prices the Commission may prescribe, the
Commission may sell or contract to sell to purchasers
within Commission-owned communities or in the immediate
vicinity of the Commission community, as the case may
be, any of the following utilities and related
services, if it is determined that they are not
available from another local source and that the sale
is in the interest of the national defense or in the
public interest:
(1) Electric power.
(2) Steam.
(3) Compressed air.
(4) Water.
(5) Sewage and garbage disposal.
(6) Natural, manufactured, or mixed gas.
(7) Ice.
(8) Mechanical refrigeration.
(9) Telephone service.
Proceeds of sales under this subsection shall be
credited to the appropriation currently available for
the supply of that utility or service. To meet local
needs the commission may make minor expansions and
extensions of any distributing system or facility
within or in the immediate vicinity of a Commission-
owned community through which a utility or service is
furnished under this subsection.
s. establish a plan for a succession of authority
which will assure the continuity of direction of the
Commission's operations in the event of a national
disaster due to enemy activity. Notwithstanding any
other provision of this Act, the person or persons
succeeding to command in the event of disaster in
accordance with the plan established pursuant to this
subsection shall be vested with all of the authority of
the Commission: Provided, That any such succession to
authority, and vesting of authority shall be effective
only in the event and as long as a quorum of three or
more members of the Commission is unable to convene and
exercise direction during the disaster period: Provided
further, That the disaster period includes the period
when attack on the United States is imminent and the
post-attack period necessary to reestablish normal
lines of command;
t. enter into contracts for the processing,
fabricating, separating, or refining in facilities
owned by the Commission of source, byproduct or other
material, or special nuclear material, in accordance
with and within the period of an agreement for
cooperation while comparable services are available to
persons licensed under section 103 or 104: Provided,
That the prices for services under such contracts shall
be no less than the prices currently charged by the
Commission pursuant to section 161 m.;
u. (1) enter into contracts for such periods of
time as the Commission may deem necessary or desirable,
but not to exceed five years from the date of execution
of the contract, for the purchase or acquisition of
reactor services or services related to or required by
the operation of reactors;
(2)(A) enter into contracts for such periods of
time as the Commission may deem necessary or desirable
for the purchase or acquisition of any supplies,
equipment, materials, or services required by the
Commission whenever the Commission determines that: (i)
it is advantageous to the Government to make such
purchase or acquisition from commercial sources; (ii)
the furnishing of such supplies, equipment, materials,
or services will require the construction or
acquisition of special facilities by the vendors or
suppliers thereof; (iii) the amortization chargeable to
the Commission constitutes an appreciable portion of
the cost of contract performance, excluding cost of
materials; and (iv) the contract for such period is
more advantageous to the Government than a similar
contract not executed under the authority of this
subsection. Such contracts shall be entered into for
periods not to exceed five years each from the date of
initial delivery of such supplies, equipment,
materials, or services or ten years from the date of
execution of the contracts excluding periods of renewal
under option.
(B) In entering into such contracts the Commission
shall be guided by the following principles: (i) the
percentage of the total cost of special facilities
devoted to contract performance and chargeable to the
Commission should not exceed the ratio between the
period of contract deliveries and the anticipated
useful life of such special facilities; (ii) the
desirability of obtaining options to renew the contract
for reasonable periods at prices not to include charges
for special facilities already amortized; and (iii) the
desirability of reserving in the Commission the right
to take title to the special facilities under
appropriate circumstances; and
(3) include in contracts made under this subsection
provisions which limit the obligation of funds to
estimated annual deliveries and services and the
unamortized balance of such amounts due for special
facilities as the parties shall agree is chargeable to
the performance of the contract. Any appropriation
available at the time of termination or thereafter made
available to the Commission for operating expenses
shall be available for payment of such costs which may
arise from termination as the contract may provide. The
term ``special facilities'' as used in this subsection
means any land, any depreciable buildings, structures,
utilities, machinery, equipment, and fixtures necessary
for the production or furnishing of such supplies,
equipment, materials, or services and not available to
the vendors or suppliers for the performance of the
contract.
v. provide services in support of the United States
Enrichment Corporation \1\, except that the Secretary
of Energy shall annually collect payments and other
charges from the Corporation sufficient to ensure
recovery of the costs (excluding depreciation and
imputed interest on original plant investments in the
Department's gaseous diffusion plants and costs under
section 1403(d)) incurred by the Department of Energy
after the date of the enactment of the Energy Policy
Act of 1992 \2\ in performing such services;
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\1\ Pursuant to section 3116(e) of the United States Enrichment
Corporation Privatization Act, following the privatization date [July
28, 1998], all references in the Atomic Energy Act of 1954 to the
United States Enrichment Corporation shall be deemed to be references
to the private corporation.
\2\ The date of enactment was Oct. 24, 1992.
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w. prescribe and collect from any other Government
agency, which applies for or is issued a license for a
utilization facility designed to produce electrical or
heat energy pursuant to section 103 or 104 b., or which
operates any facility regulated or certified under
section 1701 or 1702, any fee, charge, or price which
it may require, in accordance with the provisions of
section 483a of title 31 of the United States Code \3\
or any other law, of applicants for, or holders of,
such licenses or certificates.
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\3\ Prior section 483a of title 31, United States Code, has been
codified as section 9701 of such title.
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x. Establish by rule, regulation, or order, after
public notice, and in accordance with the requirements
of section 181 of this Act, such standards and
instructions as the Commission may deem necessary or
desirable to ensure--
(1) that an adequate bond, surety, or other
final arrangement (as determined by the
Commission) will be provided, before
termination of any license for byproduct
material as defined in section 11 e. (2), by a
licensee to permit the completion of all
requirements established by the Commission for
the decontamination, decommissioning, and
reclamation of sites, structures, and equipment
used in conjunction with byproduct material as
so defined, and
(2) that--
(A) in the case of any such license
issued or renewed after the date of the
enactment of this subsection, \1\ the
need for long-term maintenance and
monitoring of such sites, structures
and equipment of termination of such
license will be minimized, and, to the
maximum extent practicable, eliminated;
and
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\1\ The date of enactment was Nov. 8, 1978.
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(B) in the case of each license for
such material (whether in effect on the
date of the enactment of this section
\1\ or issued or renewed thereafter),
if the Commission determines that any
such long-term maintenance and
monitoring is necessary, the licensee,
before termination of any license for
byproduct material is defined in
section 11 e. (2), will make available
such bonding, surety, or other
financial arrangements as may be
necessary to assure such long-term
maintenance and monitoring.
Such standards and instructions promulgated by the Commission
pursuant to this subsection shall take into account, as
determined by the Commission, so as to avoid unnecessary
duplication and expense, performance bonds or other financial
arrangements which are required by other Federal agencies or
State agencies and/or other local governing bodies for such
decommissioning, decontamination, and reclamation and long-term
maintenance and monitoring except that nothing in this
paragraph shall be construed to require that the Commission
accept such bonds or arrangements if the commission determines
that such bonds or arrangements are not adequate to carry out
subparagraphs (1) and (2) of this subsection.
* * * * * * *
Sec. 170. Indemnification and Limitation of Liability.--
\1\
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\1\ This section is commonly referred to as the Price-Anderson Act.
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a. Requirement of Financial Protection for Licensees.--Each
license issued under section 103 or 104 and each construction
permit issued under section 185 shall, and each license issued
under section 53, 63, or 81 may, for the public purposes cited
in section 2 i. have as a condition of the license a
requirement that the licensee have and maintain financial
protection of such type and in such amounts as the Nuclear
Regulatory Commission (in this section referred to as the
``Commission'') in the exercise of its licensing and regulatory
authority and responsibility shall require in accordance with
subsection b. to cover public liability claims. Whenever such
financial protection is required it may be a further condition
of the license that the licensee execute and maintain an
indemnification agreement in accordance with subsection c. The
Commission may require, as a further condition of issuing a
license, that an applicant waive any immunity from public
liability conferred by Federal or State law.
b. Amount and Type of Financial Protection for Licensees.--
(1) The amount of primary financial protection required shall
be the amount of liability insurance available from private
sources, except that the Commission may establish a lesser
amount on the basis of criteria set forth in writing, which it
may revise from time to time, taking into consideration such
factors as the following: (A) the cost and terms of private
insurance, (B) the type, size, and location of the licensed
activity and other factors pertaining to the hazard, and (C)
the nature and purpose of the licensed activity: Provided, That
for facilities designed for producing substantial amounts of
electricity and having a rated capacity of 100,000 electrical
kilowatts or more, the amount of primary financial protection
required shall be the maximum amount available at reasonable
cost and on reasonable terms from private sources (excluding
the amount of private liability insurance available under the
industry retrospective rating plan required in this
subsection). Such primary financial protection may include
private insurance, private contractual indemnities, self-
insurance, other proof of financial responsibility, or a
combination of such measures and shall be subject to such terms
and conditions as the Commission may, by rule, regulation, or
order, prescribe. The Commission shall require licensees that
are required to have and maintain primary financial protection
equal to the maximum amount of liability insurance available
from private sources to maintain, in addition to such primary
financial protection, private liability insurance available
under an industry retrospective rating plan providing for
premium charges deferred in whole or major part until public
liability from a nuclear incident exceeds or appears likely to
exceed the level of the primary financial protection required
of the licensee involved in the nuclear incident: Provided,
That such insurance is available to, and required of, all of
the licensees of such facilities without regard to the manner
in which they obtain other types or amounts of such primary
financial protection: And provided further: That the maximum
amount of the standard deferred premium that may be charged a
licensee following any nuclear incident under such a plan shall
not be more than [$63,000,000] $94,000,000 (subject to
adjustment for inflation under subsection t.), but not more
than [$10,000,000 in any 1 year] $15,000,000 in any 1 year
(subject to adjustment for inflation under subsection t.), for
each facility for which such licensee is required to maintain
the maximum amount of primary financial protection: And
provided further, That the amount which may be charged a
licensee following any nuclear incident shall not exceed the
licensee's pro rata share of the aggregate public liability
claims and costs (excluding legal costs subject to subsection
o. (1)(D), payment of which has not been authorized under such
subsection) arising out of the nuclear incident. Payment of any
State premium taxes which may be applicable to any deferred
premium provided for in this Act shall be the responsibility of
the licensee and shall not be included in the retrospective
premium established by the Commission.
(2)(A) The Commission may, on a case by case basis, assess
annual deferred premium amounts less than the standard annual
deferred premium amount assessed under paragraph (1)--
(i) for any facility, if more than one nuclear
incident occurs in any one calendar year; or
(ii) for any licensee licensed to operate more than
one facility, if the Commission determines that the
financial impact of assessing the standard annual
deferred premium amount under paragraph (1) would
result in undue financial hardship to such licensee or
the ratepayers of such licensee.
(B) In the event that the Commission assesses a lesser
annual deferred premium amount under subparagraph (A), the
Commission shall require payment of the difference between the
standard annual deferred premium assessment under paragraph (1)
and any such lesser annual deferred premium assessment within a
reasonable period of time, with interest at a rate determined
by the Secretary of the Treasury on the basis of the current
average market yield on outstanding marketable obligations of
the United States of comparable maturities during the month
preceding the date that the standard annual deferred premium
assessment under paragraph (1) would become due.
(3) The Commission shall establish such requirements as are
necessary to assure availability of funds to meet any
assessment of deferred premiums within a reasonable time when
due, and may provide reinsurance or shall otherwise guarantee
the payment of such premiums in the event it appears that the
amount of such premiums will not be available on a timely basis
through the resources of private industry and insurance. Any
agreement by the Commission with a licensee or indemnitor to
guarantee the payment of deferred premiums may contain such
terms as the Commission deems appropriate to carry out the
purposes of this section and to assure reimbursement to the
Commission for its payments made due to the failure of such
licensee or indemnitor to meet any of its obligations arising
under or in connection with financial protection required under
this subsection including without limitation terms creating
liens upon the licensed facility and the revenues derived
therefrom or any other property or revenues of such licensee to
secure such reimbursement and consent to the automatic
revocation of any license.
(4)(A) In the event that the funds available to pay valid
claims in any year are insufficient as a result of the
limitation on the amount of deferred premiums that may be
required of a licensee in any year under paragraph (1) or (2),
or the Commission is required to make reinsurance or guaranteed
payments under paragraph (3), the Commission shall, in order to
advance the necessary funds--
(i) request the Congress to appropriate sufficient
funds to satisfy such payments; or
(ii) to the extent approved in appropriation Acts,
issue to the Secretary of the Treasury obligations in
such forms and denominations, bearing such maturities,
and subject to such terms and conditions as may be
agreed to by the Commission and the Secretary of the
Treasury.
(B) Except for funds appropriated for purposes of making
reinsurance or guaranteed payments under paragraph (3), any
funds appropriated under subparagraph (a)(i) shall be repaid to
the general fund of the United States Treasury from amounts
made available by standard deferred premium assessments, with
interest at a rate determined by the Secretary of the Treasury
on the basis of the current average market yield on outstanding
marketable obligations of the United States of comparable
maturities during the month preceding the date that the funds
appropriated under such subparagraph are made available.
(C) Except for funds appropriated for purposes of making
reinsurance or guaranteed payments under paragraph (3),
redemption of obligations issued under subparagraph (A)(ii)
shall be made by the Commission from amounts made available by
standard deferred premium assessments. Such obligations shall
bear interest at a rate determined by the Secretary of the
Treasury by taking into consideration the average market yield
on outstanding marketable obligations to the United States of
comparable maturities during the months preceding the issuance
of the obligations under this paragraph. The Secretary of the
Treasury shall purchase any issued obligations, and for such
purpose the Secretary of the Treasury may use as a public debt
transaction the proceeds from the sale of any securities issued
under chapter 31 of title 31, United States Code, and the
purposes for which securities may be issued under such chapter
are extended to include any purchase of such obligations. The
Secretary of the Treasury may at any time sell any of the
obligations acquired by the Secretary of the Treasury under
this paragraph. All redemptions, purchases, and sales by the
Secretary of the Treasury of obligations under this paragraph
shall be treated as public debt transactions of the United
States.
c. Indemnification of [Licenses] Licencees by Nuclear
Regulatory Commission.--The Commission shall, with respect to
licenses issued between August 30, 1954, and August 1, 2002,
for which it requires financial protection of less than
$560,000,000, agree to indemnify and hold harmless the licensee
and other persons indemnified, as their interest may appear,
from public liability arising from nuclear incidents which is
in excess of the level of financial protection required of the
licensee. The aggregate indemnity for all persons indemnified
in connection with each nuclear incident shall not exceed
$500,000,000, excluding costs of investigating and settling
claims and defending suits for damage: Provided, however, That
this amount of indemnity shall be reduced by the amount that
the financial protection required shall exceed $60,000,000.
Such a contract of indemnification shall cover public liability
arising out of or in connection with the licensed activity.
With respect to any production or utilization facility for
which a construction permit is issued between August 30, 1954,
and August 1, 2002, the requirements of this subsection shall
apply to any license issued for such facility subsequent to
[August 1, 2002] August 1, 2012.
d. Indemnification of Contractors by Department of
Energy.--(1)(A) In addition to any other authority the
Secretary of Energy (in this section referred to as the
``Secretary'') may have, the Secretary shall, until August 1,
2002, enter into agreements of indemnification under this
subsection with any person who may conduct activities under a
contract with the Department of Energy that involve the risk of
public liability and that are not subject to financial
protection requirements under subsection b. or agreements of
indemnification under subsection c. or k.
(B)(i)(I) Beginning 60 days after the date of enactment of
the Price-Anderson Amendments Act of 1988, \2\ agreements of
indemnification under subparagraph (A) shall be the exclusive
means of indemnification for public liability arising from
activities described in such subparagraph, including activities
conducted under a contract that contains an indemnification
clause under Public Law 85-804 entered into between August 1,
1987, and the date of enactment of the Price-Anderson
Amendments Act of 1988. \2\
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\2\ The date of enactment was Aug. 20, 1988.
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(II) The Secretary may incorporate in agreements of
indemnification under subparagraph (A) the provisions relating
to the waiver of any issue or defense as to charitable or
governmental immunity authorized in subsection n. (1) to be
incorporated in agreements of indemnification. Any such
provisions incorporated under this subclause shall apply to any
nuclear incident arising out of nuclear waste activities
subject to an agreement of indemnification under subparagraph
(A).
(ii) Public liability arising out of nuclear waste
activities subject to an agreement of indemnification under
subparagraph (A) that are funded by the Nuclear Waste Fund
established in section 302 of the Nuclear Waste Policy Act of
1982 (42 U.S.C. 10222) shall be compensated from the Nuclear
Waste Fund in an amount not to exceed the maximum amount of
financial protection required of licensees under subsection b.
(2) In agreements of indemnification entered into under
paragraph (1), the Secretary may require the contractor to
provide and maintain financial protection of such a type and in
such amounts as the Secretary shall determine to be appropriate
to cover public liability arising out of or in connection with
the contractual activity, and shall indemnify the persons
indemnified against such claims above the amount of the
financial protection required, to the full extent of the
aggregate public liability of the persons indemnified for each
nuclear incident, including such legal costs of the contractor
as are approved by the Secretary.
(3)(A) Notwithstanding paragraph (2), if the maximum amount
of financial protection required of the contractor, shall at
all times remain equal to or greater than the maximum amount of
financial protection required of licensees under subsection b.
(B) The amount of indemnity provided contractors under this
subsection shall not, at any time, be reduced in the event that
the maximum amount of financial protection required of
licensees is reduced.
(C) All agreements of indemnification under which the
Department of Energy (or its predecessor agencies) may be
required to indemnify any person, shall be deemed to be
amended, on the date of the enactment of the Price-Anderson
Amendments Act of 1988, \1\ to reflect the amount of indemnity
for public liability and any applicable financial protection
required of the contractor under this subsection on such date.
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\1\ The date of enactment was Aug. 20, 1988.
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(4) Financial protection under paragraph (2) and
indemnification under paragraph (1) shall be the exclusive
means of financial protection and indemnification under this
section for any Department of Energy demonstration reactor
licensed by the Commission under section 202 of the energy
Reorganization Act of 1974 (42 U.S.C. 5842).
(5) In the case of nuclear incidents occurring outside the
United States, the amount of the indemnity provided by the
Secretary under this subsection shall not exceed $100,000,000.
(6) The provisions of this subsection may be applicable to
lump sum as well as cost type contracts and to contracts and
projects financed in whole or in part by the Secretary.
(7) A contractor with whom an agreement of indemnification
has been executed under paragraph (1)(A) and who is engaged in
activities connected with the underground detonation of a
nuclear explosive device shall be liable, to the extent so
indemnified under this subsection, for injuries or damage
sustained as a result of such detonation in the same manner and
to the same extent as would a private person acting as
principal, and no immunity or defense founded in the Federal,
State, or municipal character of the contractor or of the work
to be performed under the contract shall be effective to bar
such liability.
e. Limitation on Aggregate Public Liability.--(1) The
aggregate public liability for a single nuclear incident of
persons indemnified, including such legal costs as are
authorized to be paid under subsection o. (1)(D), shall not
exceed--
(A) in the case of facilities designed for
producing substantial amounts of electricity and having
a rated capacity of 100,000 electrical kilowatts or
more, the maximum amount of financial protection
required of such facilities under subsection b. (plus
any surcharge assessed under subsection o. (1)(E));
(B) in the case of contractors with whom the
Secretary has entered into an agreement of
indemnification under subsection d., the maximum amount
of financial protection required under subsection b. or
the amount of indemnity and financial protection that
may be required under paragraph (3) of subsection d.,
whichever amount is more; and
(C) in the case of all licensees of the Commission
required to maintain financial protection under this
section--
(i) $500,000,000, together with the amount
of financial protection required of the
licensee; or
(ii) if the amount of financial protection
required of the licensee exceeds $60,000,000,
$560,000,000 or the amount of financial
protection required of the licensee, whichever
amount is more.
(2) In the event of a nuclear incident involving damages in
excess of the amount of aggregate public liability under
paragraph (1), the Congress will thoroughly review the
particular incident in accordance with the procedures set forth
in section 170 i. and will in accordance with such procedures,
take whatever action is determined to be necessary (including
approval of appropriate compensation plans and appropriation of
funds) to provide full and prompt compensation to the public
for all public liability claims resulting from a disaster of
such magnitude.
(3) No provision of paragraph (1) may be construed to
preclude the Congress from enacting a revenue measure,
applicable to licensees of the Commission required to maintain
financial protection pursuant to section b., to fund any action
undertaken pursuant to paragraph (2).
(4) With respect to any nuclear incident occurring outside
of the United States to which an agreement of indemnification
entered into under the provisions of subsection d. is
applicable, such aggregate public liability shall not exceed
the amount of $100,000,000, together with the amount of
financial protection required of the contractor.
f. Collection of Fees by Nuclear Regulatory Commission.--
The Commission or the Secretary, as appropriate, is authorized
to collect a fee from all persons with whom an indemnification
agreement is executed under this section. This fee shall be $30
per year per thousand kilowatts of thermal energy capacity for
facilities licensed under section 103: Provided, That the
Commission or the Secretary, as appropriate, is authorized to
reduce the fee for such facilities in reasonable relation to
increases in financial protection required above a level of
$60,000,000. For facilities licensed under section 104, and for
construction permits under section 185, the Commission is
authorized to reduce the fee set forth above. The Commission
shall establish criteria in writing for determination of the
fee for facilities licensed under section 104, taking into
consideration such factors as (1) the type, size, and location
of facility involved, and other factors pertaining to the
hazard, and (2) the nature and purpose of the facility. For
other licenses, the Commission shall collect such nominal fees
as it deems appropriate. No fee under this subsection shall be
less than $100 per year.
g. Use of Services of Private Insurers.--In administering
the provisions of this section, the Commission or the
Secretary, as appropriate, shall use, to the maximum extent
practicable, the facilities and services of private insurance
organizations, and the Commission or the Secretary, as
appropriate, may contract to pay a reasonable compensation for
such services. Any contract made under the provisions of this
subsection may be made without regard to the provisions of
section 3709 of the Revised Statutes (41 U.S.C. 5), as amended,
upon a showing by the Commission or the Secretary, as
appropriate, that advertising is not reasonably practicable and
advance payments may be made.
h. Conditions of Agreements of Indemnification.--The
agreement of indemnification may contain such terms as the
Commission or the Secretary, as appropriate, deems appropriate
to carry out the purposes of this section. Such agreement shall
provide that, when the Commission or the Secretary, as
appropriate, makes a determination that the United States will
probably be required to make indemnity payments under this
section, the Commission or the Secretary, as appropriate, shall
collaborate with any person indemnified and may approve the
payment of any claim under the agreement of indemnification,
appear through the Attorney General on behalf of the person
indemnified, take charge of such action, and settle or defend
any such action. The Commission or the Secretary, as
appropriate, shall have final authority on behalf of the United
States to settle or approve the settlement of any such claim on
a fair and reasonable basis with due regard for the purposes of
this Act. Such settlement shall not include expenses in
connection with the claim incurred by the person indemnified.
i. Compensation Plans.--(1) After any nuclear incident
involving damages that are likely to exceed the applicable
amount of aggregate public liability under subparagraph (A),
(B), or (C) of subsection e. (1), the Secretary or the
Commisison \1\, as appropriate, shall--
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\1\ So in original. Probably should be ``Commission''.
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(A) make a survey of the causes and extent of
damage; and
(B) expeditiously submit a report setting forth the
results of such survey to the Congress, to the
Representatives of the affected districts, to the
Senators of the affected States, and (except for
information that will cause serious damage to the
national defense of the United States) to the public,
to the parties involved, and to the courts.
(2) Not later than 90 days after any determination by a
court, pursuant to subsection o., that the public liability
from a single nuclear incident may exceed the applicable amount
of aggregate public liability under subparagraph (A), (B), or
(C) of subsection e. (1) the President shall submit to the
Congress--
(A) an estimate of the aggregate dollar value of
personal injuries and property damage that arises from
the nuclear incident and exceeds the amount of
aggregate public liability under subsection e. (1);
(B) recommendations for additional sources of funds
to pay claims exceeding the applicable amount of
aggregate public liability under subparagraph (A), (B),
or (C) of subsection e. (1), which recommendations
shall consider a broad range of possible sources of
funds (including possible revenue measures on the
sector of the economy, or on any other class, to which
such revenue measures might be applied);
(C) 1 or more compensation plans, that either
individually or collectively shall provide for full and
prompt compensation for all valid claims and contain a
recommendation or recommendations as to the relief to
be provided, including any recommendations that funds
be allocated or set aside for the payment of claims
that may arise as a result of latent injuries that may
not be discovered until a later date; and
(D) any additional legislative authorities
necessary to implement such compensation plan or plans.
(3)(A) Any compensation plan transmitted to the Congress
pursuant to paragraph (2) shall bear an identification number
and shall be transmitted to both Houses of Congress on the same
day and to each House while it is in session.
(B) The provisions of paragraphs (4) through (6) shall
apply with respect to consideration in the Senate of any
compensation plan transmitted to the Senate pursuant to
paragraph (2).
(4) No such compensation plan may be considered approved
for purposes of subsection 170 e. (2) unless between the date
of transmittal and the end of the first period of sixty
calendar days of continuous session of Congress after the date
on which such action is transmitted to the Senate, the Senate
passes a resolution described in paragraph 6 \1\ of this
subsection.
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\1\ So in original. Probably should be ``(6)''.
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(5) For the purpose of paragraph (4) of this subsection--
(A) continuity of session is broken only by an
adjournment of Congress sine die; and
(B) the days on which either House is not in
session because of an adjournment of more than three
days to a day certain are excluded in the computation
of the sixty-day calendar period.
(6)(A) This paragraph is enacted--
(i) as an exercise of the rulemaking power of the
Senate and as such it is deemed a part of the rules of
the Senate, but applicable only with respect to the
procedure to be followed in the Senate in the case of
resolutions described by subparagraph (B) and it
supersedes other rules only to the extent that it is
inconsistent therewith; and
(ii) with full recognition of the constitutional
right of the Senate to change the rules at any time, in
the same manner and to the same extent as in the case
of any other rule of the Senate.
(B) For purposes of this paragraph, the term ``resolution''
means only a joint resolution of the Congress the matter after
the resolving clause of which is as follows: ``That the
approves the compensation plan numbered submitted to
the Congress on , 19 .'', the first blank space
therein being filled with the name of the resolving House and
the other blank spaces being appropriately filled; but does not
include a resolution which specifies more than one compensation
plan.
(C) A resolution once introduced with respect to a
compensation plan shall immediately be referred to a committee
(and all resolutions with respect to the same compensation plan
shall be referred to the same committee) by the President of
the Senate.
(D)(i) If the committee of the Senate to which a resolution
with respect to a compensation plan has been referred has not
reported it at the end of twenty calendar days after its
referral, it shall be in order to move either to discharge the
committee from further consideration of such resolution or to
discharge the committee from further consideration with respect
to such compensation plan which has been referred to the
committee.
(ii) A motion to discharge may be made only by an
individual favoring the resolution, shall be highly privileged
(except that it may not be made after the committee has
reported a resolution with respect to the same compensation
plan), and debate thereon shall be limited to not more than one
hour, to be divided equally between those favoring and those
opposing the resolution. An amendment to the motion shall not
be in order, and it shall not be in order to move to reconsider
the vote by which the motion was agreed to or disagreed to.
(iii) If the motion to discharge is agreed to or disagreed
to, the motion may not be renewed, nor may another motion to
discharge the committee be made with respect to any other
resolution with respect to the same compensation plan.
(E)(i) When the committee has reported, or has been
discharged from further consideration of, a resolution, it
shall be at any time thereafter in order (even though a
previous motion to the same effect has been disagreed to) to
move to proceed to the consideration of the resolution. The
motion shall be highly privileged and shall not be debatable.
An amendment to the motion shall not be in order, and it shall
not be in order to move to reconsider the vote by which the
motion was agreed to or disagreed to.
(ii) Debate on the resolution referred to in clause (i) of
this subparagraph shall be limited to not more than ten hours,
which shall be divided equally between those favoring and those
opposing such resolution. A motion further to limit debate
shall not be debatable. An amendment to, or motion to recommit,
the resolution shall not be in order, and it shall not be in
order to move to reconsider the vote by which such resolution
was agreed to or disagreed to.
(F)(i) Motions to postpone, made with respect to the
discharge from committee, or the consideration of a resolution
or motions to proceed to the consideration of other business,
shall be decided without debate.
(ii) Appeals from the decision of the Chair relating to the
application of the rules of the Senate to the procedures
relating to a resolution shall be decided without debate.
j. Contracts in Advance of Appropriations.--In
administering the provisions of this section, the Commission or
the Secretary, as appropriate, may make contracts in advance of
appropriations and incur obligations without regard to sections
1341, 1342, 1349, 1350, and 1351, and subchapter II of chapter
15, of title 31, United States Code.
k. Exemption From Financial Protection Requirement for
Nonprofit Educational Institutions.--With respect to any
license issued pursuant to section 53, 63, 81, 104 a., or 104
c. for the conduct of educational activities to a person found
by the Commission to be a nonprofit educational institution,
the Commission shall exempt such licensee from the financial
protection requirement of subsection a. With respect to
licenses issued between August 30, 1954, and August 1, 2002,
for which the Commission grants such exemption:
(1) the Commission shall agree to indemnify and
hold harmless the licensee and other persons
indemnified, as their interests may appear, from public
liability in excess of $250,000 arising from nuclear
incidents. The aggregate indemnity for all persons
indemnified in connection with each nuclear incident
shall not exceed $500,000,000, including such legal
costs of the licensee as are approved by the
Commission;
(2) such contracts of indemnification shall cover
public liability arising out of or in connection with
the licensed activity; and shall include damage to
property of persons indemnified, except property which
is located at the site of and used in connection with
the activity where the nuclear incident occurs; and
(3) such contracts of indemnification, when entered
into with a licensee having immunity from public
liability because it is a State agency, shall provide
also that the Commission shall make payments under the
contract on account of activities of the licensee in
the same manner and to the same extent as the
Commission would be required to do if the licensee were
not such a State agency.
Any licensee may waive an exemption to which it is entitled
under this subsection. With respect to any production or
utilization facility for which a construction permit is issued
between August 30, 1954, and August 1, 2002, the requirements
of this subsection shall apply to any license issued for such
facility subsequent to August 1, 2002.
(1) \1\ Presidential Commission on Catastrophic Nuclear
Accidents.--(1) Not later than 90 days after the date of the
enactment of the Price-Anderson Amendments Act of 1988, \2\ the
President shall establish a commission (in this subsection
referred to as the ``study commission'') in accordance with the
Federal Advisory Committee Act (5 U.S.C. App.) to study means
of fully compensating victims of a catastrophic nuclear
accident that exceeds the amount of aggregate public liability
under subsection e. (1).
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\1\ So in original. Probably should be ``l.''.
\2\ The date of enactment was Aug. 20, 1988.
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(2)(A) The study commission shall consist of not less than
7 and not more than 11 members, who--
(i) shall be appointed by the President; and
(ii) shall be representative of a broad range of
views and interests.
(B) The members of the study commission shall be appointed
in a manner that ensures that not more than a mere majority of
the members are of the same political party.
(C) Each member of the study commission shall hold office
until the termination of the study commission, but may be
removed by the President for inefficiency, neglect of duty, or
malfeasance in office.
(D) Any vacancy in the study commission shall be filled in
the manner in which the original appointment was made.
(E) The President shall designate one of the members of the
study commission as chairperson, to serve at the pleasure of
the President.
(3) The study commission shall conduct a comprehensive
study of appropriate means of fully compensating victims of a
catastrophic nuclear accident that exceeds the amount of
aggregate public liability under subsection e. (1), and shall
submit to the Congress a final report setting forth--
(A) recommendations for any changes in the laws and
rules governing the liability or civil procedures that
are necessary for the equitable, prompt, and efficient
resolution and payment of all valid damage claims,
including the advisability of adjudicating public
liability claims through an administrative agency
instead of the judicial system;
(B) recommendations for any standards or procedures
that are necessary to establish priorities for the
hearing, resolution, and payment of claims when awards
are likely to exceed the amount of funds available
within a specific time period; and
(C) recommendations for any special standards or
procedures necessary to decide and pay claims for
latent injuries caused by the nuclear incident.
(4)(A) The chairperson of the study commission may appoint
and fix the compensation of a staff of such persons as may be
necessary to discharge the responsibilities of the study
commission, subject to the applicable provisions of the Federal
Advisory Committee Act (5 U.S.C. App.) and title 5, United
States Code.
(B) To the extent permitted by law and requested by the
chairperson of the study commission, the Administrator of
General Services shall provide the study commission with
necessary administrative services, facilities, and support on a
reimbursable basis.
(C) The Attorney General, the Secretary of Health and Human
Services, and the Director of the Federal Emergency Management
Agency shall, to the extent permitted by law and subject to the
availability of funds, provide the study commission with such
facilities, support, funds and services, including staff, as
may be necessary for the effective performance of the functions
of the study commission.
(D) The study commission may request any Executive agency
to furnish such information, advice, or assistance as it
determines to be necessary to carry out its functions. Each
such agency is directed, to the extent permitted by law, to
furnish such information, advice or assistance upon request by
the chairperson of the study commission.
(E) Each member of the study commission may receive
compensation at the maximum rate prescribed by the Federal
Advisory Committee Act (5 U.S.C. App.) for each day such member
is engaged in the work of the study commission. Each member may
also receive travel expenses, including per diem in lieu of
subsistence under sections 5702 and 5703 of title 5, United
States Code.
(F) The functions of the President under the Federal
Advisory Committee Act (5 U.S.C. App.) that are applicable to
the study commission, except the function of reporting annually
to the Congress, shall be performed by the Administrator of
General Services.
(5) The final report required in paragraph (3) shall be
submitted to the Congress not later than the expiration of the
2-year period beginning on the date of the enactment of the
Price-Anderson Amendments Act of 1988. \1\
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\1\ The date of enactment was Aug. 20, 1988.
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(6) The study commission shall terminate upon the
expiration of the 2-month period beginning on the date on which
the final report required in paragraph (3) is submitted.
m. Coordinated Procedures for Prompt Settlement of Claims
and Emergency Assistance.--The Commission or the Secretary, as
appropriate, is authorized to enter into agreements with other
indemnitors to establish coordinated procedures for the prompt
handling, investigation, and settlement of claims for public
liability. The Commission or the Secretary, as appropriate, and
other indemnitors may make payments to, or for the aid of,
claimants for the purpose of providing immediate assistance
following a nuclear incident. Any funds appropriated to the
Commission or the Secretary, as appropriate, shall be available
for such payments. Such payments may be made without securing
releases, shall not constitute an admission of the liability of
any person indemnified or of any indemnitor, and shall operate
as a satisfaction to the extent thereof of any final settlement
or judgment.
n. Waiver of Defenses and Judicial Procedures.--(1) With
respect to any extraordinary nuclear occurrence to which an
insurance policy or contract furnished as proof of financial
protection or an indemnity agreement applies and which--
(A) arises out of or results from or occurs in the
course of the construction, possession, or operation of
a production or utilization facility,
(B) arises out of or results from or occurs in the
course of transportation of source material, byproduct
material, or special nuclear material to or from a
production or utilization facility,
(C) during the course of the contract activity
arises out of or results from the possession,
operation, or use by a Department of Energy contractor
or subcontractor of a device utilizing special nuclear
material or byproduct material,
(D) arises out of, results from, or occurs in the
course of, the construction, possession, or operation
of any facility licensed under section 53, 63, or 81,
for which the Commission has imposed as a condition of
the license a requirement that the licensee have and
maintain financial protection under subsection a.,
(E) arises out of, results from, or occurs in the
course of, transportation of source material, byproduct
material, or special nuclear material to or from any
facility licensed under section 53, 63, or 81, for
which the Commission has imposed as a condition of the
license a requirement that the licensee have and
maintain financial protection under subsection a., or
(F) arises out of, results from, or occurs in the
course of nuclear waste activities. \1\
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\1\ So in original. Probably should be a comma.
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the Commission or the Secretary, as appropriate, may
incorporate provisions in indemnity agreements with licensees
and contractors under this section, and may require provisions
to be incorporated in insurance policies or contracts furnished
as proof of financial protection, which waive (i) any issue or
defense as to conduct of the claimant or fault of persons
indemnified, (ii) any issue or defense as to charitable or
governmental immunity, and (iii) any 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
cause thereof. The waiver of any such issue or defense shall be
effective regardless of whether such issue or defense may
otherwise be deemed jurisdictional or relating to an element in
the cause of action. When so incorporated, such waivers shall
be judicially enforceable in accordance with their terms by the
claimant against the person indemnified. Such waivers shall not
preclude a defense based upon a failure to take reasonable
steps to mitigate damages, nor shall such waivers apply to
injury or damage to a claimant or to a claimant's property
which is intentionally sustained by the claimant or which
results from a nuclear incident intentionally and wrongfully
caused by the claimant. The waivers authorized in this
subsection shall, as to indemnitors, be effective only with
respect to those obligations set forth in the insurance
policies or the contracts furnished as proof of financial
protection and in the indemnity agreements. Such waivers shall
not apply to, or prejudice the prosecution or defense of, any
claim or portion of claim which is not within the protection
afforded under (i) the terms of insurance policies or contracts
furnished as proof of financial protection, or indemnity
agreements, and (ii) the limit of liability provisions of
subsection e.
(2) With respect to any public liability action arising out
of or resulting from a nuclear incident, the United States
district court in the district where the nuclear incident takes
place, or in the case of a nuclear incident taking place
outside the United States, the United States District Court for
the District of Columbia, shall have original jurisdiction
without regard to the citizenship of any party or the amount in
controversy. Upon motion of the defendant or of the Commission
or the Secretary, as appropriate, any such action pending in
any State court (including any such action pending on the date
of the enactment of the Price-Anderson Amendments Act of 1988)
\1\ or United States district court shall be removed or
transferred to the United States district court having venue
under this subsection. Process of such district court shall be
effective throughout the United States. In any action that is
or becomes removable pursuant to this paragraph, a petition for
removal shall be filed within the period provided in section
1446 of title 28, United States Code, or within the 30-day
period beginning on the date of the enactment of the Price-
Anderson Amendments Act of 1988, \1\ whichever occurs later.
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\1\ The date of enactment was Aug. 20, 1988.
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(3)(A) Following any nuclear incident, the chief judge of
the United States district court having jurisdiction under
paragraph (2) with respect to public liability actions (or the
judicial council of the judicial circuit in which the nuclear
incident occurs) may appoint a special caseload management
panel (in this paragraph referred to as the ``management
panel'') to coordinate and assign (but not necessarily hear
themselves) cases arising out of the nuclear incident, if--
(i) a court, acting pursuant to subsection o.,
determines that the aggregate amount of public
liability is likely to exceed the amount of primary
financial protection available under subsection b. (or
an equivalent amount in the case of a contractor
indemnified under subsection d.); or
(ii) the chief judge of the United States district
court (or the judicial council of the judicial circuit)
determines that cases arising out of the nuclear
incident will have an unusual impact on the work of the
court.
(B)(i) Each management panel shall consist only of members
who are United States district judges or circuit judges.
(ii) Members of a management panel may include any United
States district judge or circuit judge of another district
court or court of appeals, if the chief judge of such other
district court or court of appeals consents to such assignment.
(C) It shall be the function of each management panel--
(i) to consolidate related or similar claims for
hearing or trial;
(ii) to establish priorities for the handling of
different classes of cases;
(iii) to assign cases to a particular judge or
special master;
(iv) to appoint special masters to hear particular
types of cases, or particular elements or procedural
steps of cases;
(v) to promulgate special rules of court, not
inconsistent with the Federal Rules of Civil Procedure,
to expedite cases or allow more equitable consideration
of claims;
(vi) to implement such other measures, consistent
with existing law and the Federal Rules of Civil
Procedure, as will encourage the equitable, prompt, and
efficient resolution of cases arising out of the
nuclear incident; and
(vii) to assemble and submit to the President such
data, available to the court, as may be useful in
estimating the aggregate damages from the nuclear
incident.
o. Plan for Distribution of Funds.--(1) Whenever the United
States district court in the district where a nuclear incident
occurs, or the United States District Court for the District of
Columbia in case of a nuclear incident occurring outside the
United States, determines upon the petition of any indemnitor
or other interested person that public liability from a single
nuclear incident may exceed the limit of liability under the
applicable limit of liability under subparagraph (A), (B), or
(C) of subsection e. (1):
(A) Total payments made by or for all indemnitors
as a result of such nuclear incident shall not exceed
15 per centum of such limit of liability without the
prior approval of such court;
(B) The court shall not authorize payments in
excess of 15 per centum of such limit of liability
unless the court determines that such payments are or
will be in accordance with a plan of distribution which
has been approved by the court or such payments are not
likely to prejudice the subsequent adoption and
implementation by the court of a plan of distribution
pursuant to subparagraph (C); and
(C) The Commission or the Secretary, as
appropriate, shall, and any other indemnitor or other
interested person may, submit to such district court a
plan for the disposition of pending claims and for the
distribution of remaining funds available. Such a plan
shall include an allocation of appropriate amounts for
personal injury claims, property damage claims, and
possible latent injury claims which may not be
discovered until a later time. Such court shall have
all power necessary to approve, disapprove, or modify
plans proposed, or to adopt another plan; and to
determine the proportionate share of funds available
for each claimant. The Commission or the Secretary as
appropriate, any other indemnitor, and any person
indemnified shall be entitled to such orders as may be
appropriate to implement and enforce the provisions of
this section, including orders limiting the liability
of the persons indemnified, orders approving or
modifying the plan, orders staying the payment of
claims and the execution of court judgments, orders
apportioning the payments to be made to claimants, and
orders permitting partial payments to be made before
final determination of the total claims. The orders of
such court shall be effective throughout the United
States and shall include establishment of priorities
between claimants and classes of claims, as necessary
to insure the most equitable allocation of available
funds.
(D) A court may authorize payment of only such
legal costs as are permitted under paragraph (2) from
the amount of financial protection required by
subsection b.
(E) If the sum of public liability claims and legal
costs authorized under paragraph (2) arising from any
nuclear incident exceeds the maximum amount of
financial protection required under subsection b., any
licensee required to pay a standard deferred premium
under subsection b. (1) shall, in addition to such
deferred premium, be charged such an amount as is
necessary to pay a pro rata share of such claims and
costs, but in no case more than 5 percent of the
maximum amount of such standard deferred premium
described in such subsection.
(2) A court may authorize the payment of legal costs under
paragraph (1)(D) only if the person requesting such payment
has--
(A) submitted to the court the amount of such
payment requested; and
(B) demonstrated to the court--
(i) that such costs are reasonable and
equitable; and
(ii) that such person has--
(I) litigated in good faith;
(II) avoided unnecessary
duplication of effort with that of
other parties similarly situated;
(III) not made frivolous claims or
defenses; and
(IV) not attempted to unreasonably
delay the prompt settlement or
adjudication of such claims.
p. Reports to Congress.--The Commission and the Secretary
shall submit to the Congress by [August 1, 1998] August 1,
2008, detailed reports concerning the need for continuation or
modification of the provisions of this section, taking into
account the condition of the nuclear industry, availability of
private insurance, and the state of knowledge concerning
nuclear safety at that time, among other relevant factors, and
shall include recommendations as to the repeal or modification
of any of the provisions of this section.
q. Limitation on Awarding of Precautionary Evacuation
Cost.--No court may award costs of a precautionary evacuation
unless such costs constitute a public liability.
r. Limitation on Liability of Lessors.--No person under a
bona fide lease of any utilization or production facility (or
part thereof or undivided interest therein) shall be liable by
reason of an interest as lessor of such production or
utilization facility, for any legal liability arising out of or
resulting from a nuclear incident resulting from such facility,
unless such facility is in the actual possession and control of
such person at the time of the nuclear incident giving rise to
such legal liability.
s. Limitation on Punitive Damages.--No court may award
punitive damages in any action with respect to a nuclear
incident or precautionary evacuation against a person on behalf
of whom the United States is obligated to make payments under
an agreement of indemnification covering such incident or
evacuation.
t. Inflation Adjustment.--(1) The Commission shall adjust
the amount of the maximum total and annual standard deferred
premium under subsection b. (1) not less than once during each
5-year period following the [date of the enactment of the
Price-Anderson Amendments Act of 1988], July 1, 2001 in
accordance with the aggregate percentage change in the Consumer
Price Index since--
(A) such date of enactment, in the case of the
first adjustment under this subsection; or
(B) the previous adjustment under this subsection.
(2) For purposes of this subsection, the term ``Consumer
Price Index'' means the Consumer Price Index for all urban
consumers published by the Secretary of Labor.
[42 U.S.C. 2210]
Sec. 170A. Conflicts of Interest Relating to Contracts and
Other Arrangements.--
a. The Commission shall, by rule, require any person
proposing to enter into a contract, agreement, or other
arrangement, whether by competitive bid or negotiation, under
this Act or any other law administered by it for the conduct of
research, development, evaluation activities, or for technical
and management support services, to provide the Commission,
prior to entering into any such contract, agreement, or
arrangement, with all relevant information, as determined by
the Commission, bearing on whether that person has a possible
conflict of interest with respect to--
(1) being able to render impartial, technically
sound, or objective assistance or advice in light of
other activities or relationships with other persons,
or
(2) being given an unfair competitive advantage.
Such person shall insure, in accordance with
regulations prescribed by the Commission, compliance
with this section by any subcontractor (other than a
supply subcontractor) of such person in the case of any
subcontract for more than $10,000.
b. The Commission shall not enter into any such contract
agreement or arrangement unless it finds, after evaluating all
information provided under subsection a. and any other
information otherwise available to the Commission that--
(1) it is unlikely that a conflict of interest
would exist, or
(2) such conflict has been avoided after
appropriate conditions have been included in such
contract, agreement, or arrangement; except that if the
Commission determines that such conflict of interests
exists and that such conflict of interest cannot be
avoided by including appropriate conditions therein,
the Commission may enter into such contract, agreement,
or arrangement, if the Commission determines that it is
in the best interests of the United States to do so and
includes appropriate conditions in such contract,
agreement, or arrangement to mitigate such conflict.
c. The Commission shall publish rules for the
implementation of this section, in accordance with section 553
of title 5, United States Code (without regard to subsection
(a)(2) thereof) as soon as practicable after the date of the
enactment of this section, \1\ but in no event later than 120
days after such date.
---------------------------------------------------------------------------
\1\ The date of enactment was Nov. 6, 1978.
---------------------------------------------------------------------------
[42 U.S.C. 2210a]
Sec. 170B. Uranium Supply.--
a. The Secretary of Energy shall monitor and for the years
1983 to 1992 report annually to the Congress and to the
President a determination of the viability of the domestic
uranium mining and milling industry and shall establish by
rule, after public notice and in accordance with the
requirements of section 181 of this Act, within 9 months of
enactment of this section, specific criteria which shall be
assessed in the annual reports on the domestic uranium
industry's viability. The Secretary of Energy is authorized to
issue regulations providing for the collection of such
information as the Secretary of Energy deems necessary to carry
out the monitoring and reporting requirements of this section.
b. Upon a satisfactory showing to the Secretary of Energy
by any person that any information, or portion thereof obtained
under this section, would, if made public, divulge proprietary
information of such person, the Secretary shall not disclose
such information and disclosure thereof shall be punishable
under section 1905 of title 18, United States Code.
c. The criteria referred to in subsection a. shall also
include, but not be limited to--
(1) an assessment of whether executed contracts or
options for source material or special nuclear material
will result in greater than 37\1/2\ percent of actual
or projected domestic uranium requirements for any two-
consecutive-year period being supplied by source
material or special nuclear material from foreign
sources;
(2) projections of uranium requirements and
inventories of domestic utilities for a 10 year period;
(3) present and probable future use of the domestic
market by foreign imports;
(4) whether domestic economic reserves can supply
all future needs for a future 10 year period;
(5) present and projected domestic uranium
exploration expenditures and plans;
(6) present and projected employment and capital
investment in the uranium industry;
(7) the level of domestic uranium production
capacity sufficient to meet projected domestic nuclear
power needs for a 10 year period; and
(8) a projection of domestic uranium production and
uranium price levels which will be in effect under
various assumptions with respect to imports.
d. The Secretary or \1\ Energy, at any time, may determine
on the basis of the monitoring and annual reports required
under this section that source material or special nuclear
material from foreign sources is being imported in such
increased quantities as to be a substantial cause of serious
injury, or threat thereof, to the United States uranium mining
and milling industry. Based on that determination, the United
States Trade Representative shall request that the United
States International Trade Commission initiate an investigation
under section 201 of the Trade Act of 1974 (19 U.S.C. 2251).
---------------------------------------------------------------------------
\1\ So in original. Probably should be ``of''.
---------------------------------------------------------------------------
e. (1) If, during the period 1982 to 1992, the Secretary of
Energy determines that executed contracts or options for source
material or special nuclear material from foreign sources for
use in utilization facilities within or under the jurisdiction
of the United States represent greater than 37\1/2\ percent of
actual or projected domestic uranium requirements for any two-
consecutive-year period, or if the Secretary of Energy
determines the level of contracts or options involving source
material and special nuclear material from foreign sources may
threaten to impair the national security, the Secretary of
Energy shall request the Secretary of Commerce to initiate
under section 232 of the Trade Expansion Act of 1962 (19 U.S.C.
1862) an investigation to determine the effects on the national
security of imports of source material and special nuclear
material. The Secretary of Energy shall cooperate fully with
the Secretary of Commerce in carrying out such an investigation
and shall make available to the Secretary of Commerce the
findings that lead to this request and such other information
that will assist the Secretary of Commerce in the conduct of
the investigation.
(2) The Secretary of Commerce shall, in the conduct of any
investigation requested by the Secretary of Energy pursuant to
this section, take into account any information made available
by the Secretary of Energy, including information regarding the
impact on national security of projected or executed contracts
or options for source material or special nuclear material from
foreign sources or whether domestic production capacity is
sufficient to supply projected national security requirements.
(3) No sooner than 3 years following completion of any
investigation by the Secretary of Commerce under paragraph (1),
if no recommendation has been made pursuant to such study for
trade adjustments to assist or protect domestic uranium
production, the Secretary of Energy may initiate a request for
another such investigation by the Secretary of Commerce.
SEC. 170C. PROTECTION OF DESIGNATED NUCLEAR FACILITIES.
(a) Definitions.--In this section:
(1) Certificate holder.--The term ``certificate
holder'' means the holder of a certificate of
compliance issued under section 1701.
(2) Federal security coordinator.--The term
``Federal security coordinator'' means the Federal
security coordinator assigned to a regional office of
the Commission.
(3) Design basis threat.--The term ``design basis
threat'' means a design basis threat for a designated
nuclear facility, as revised under subsection (c).
(4) Licensee.--The term ``licensee'' means the
holder of a license issued by the Commission.
(b) Security Examination.--
(1) In general.--The Commission, in coordination
with the Secretary of Homeland Security and in
consultation with other agencies as appropriate, shall
examine--
(A) classification of threats against
designated nuclear facilities as--
(i) an act falling under the
responsibilities of the Federal
Government, including an act by an
enemy of the United States, whether a
foreign government or any other person;
or
(ii) an act involving a type of
risk that a licensee or certificate
holder should be responsible for
guarding against;
(B) coordination of Federal, State, and
local security efforts for protection of land,
water, and ground access to designated nuclear
facilities in the event of a terrorist attack
or attempted terrorist attack;
(C) the adequacy of emergency planning
zones to protect the public health and safety
in the event of a terrorist attack against a
designated nuclear facility;
(D) the adequacy and coordination of
Federal, State, and local emergency planning,
evacuation, and other measures to protect the
public health and safety in the event of a
terrorist attack against a designated nuclear
facility;
(E) the system of threat levels, consistent
with the Homeland Security Advisory System used
to categorize the threats against a designated
nuclear facility, including--
(i) procedures to ensure
coordinated Federal, State, and local
responses to changing threat levels for
designated nuclear facilities;
(ii) monitoring of threats against
designated nuclear facilities; and
(iii) procedures to notify
licensees and certificate holders of a
designated nuclear facility of changes
in threat levels;
(F) the development, implementation, and
revision of security plans for designated
nuclear facilities;
(G) the hiring and training standards for
members of private security forces at
designated nuclear facilities;
(H) the coordination of Federal resources
to expedite and improve the process of
performing background checks on employees with
access to designated nuclear facilities; and
(I) the creation by the Secretary of
Homeland Security of a program to provide
technical assistance and training for the
National Guard, State law enforcement agencies,
and local law enforcement agencies to respond,
as appropriate, to threats against a designated
nuclear facility, including recommendations for
the establishment of a grant program to assist
State and local governments in carrying out any
recommended actions under this section.
(2) Report.--Not later than 1 year after completion
of the security examination under paragraph (1), the
Commission and the Secretary of Homeland Security shall
submit to the President and Congress, in classified and
unclassified form, a report with recommendations and
findings.
(c) Revision of Design Basis Threats.--
(1) In general.--Not later than 180 days after
completion of the security examination under subsection
(b), the Commission shall by regulation revise the
design basis threats promulgated before the date of
enactment of this section as the Commission determines
to be appropriate based on the security examination.
(2) Protection of safeguards information.--In
promulgating any regulations under this subsection, the
Commission shall ensure protection of safeguards
information in accordance with section 147.
(d) Threat Levels.--Not later than 150 days after the date
of submission of the report under subsection (b)(2), the
Commission shall establish a system for the determination of
multiple threat levels to describe the threat conditions at
designated nuclear facilities.
(e) Security Plans.--
(1) In general.--Not later than 1 year after the
date on which the Commission revises the design basis
threats under subsection (c)(1), the Commission shall
require each licensee or certificate holder of a
designated nuclear facility to--
(A) revise the security plan to ensure that
the designated nuclear facility protects
against the appropriate design basis threats;
and
(B) submit the security plan to the
Commission for review.
(2) Review schedule.--The Commission shall
establish a priority schedule for conducting reviews of
security plans based on the proximity of the designated
nuclear facility to large population areas.
(3) Upgrades to security.--The Commission shall
ensure that the licensee or certificate holder of each
designated nuclear facility makes any changes to
security and the security plan required from the
Commission review on a schedule established by the
Commission, but not to exceed 18 months after
completion of review.
(f) Emergency Response Plans.--
(1) In general.--Not later than 21 months after the
date of enactment of this section, the Commission shall
review, in consultation with the Secretary of Homeland
Security, the emergency response plans for each
designated nuclear facility to ensure that each
emergency response plan provides protection for persons
in the emergency response planning zone.
(2) Aspects of review.--The Commission shall ensure
that each emergency response plan provides, as
appropriate to the type of designated nuclear facility,
for--
(A) the protection of public health and
safety, including the ability to implement
protective measures;
(B) clear definition and assignment of
responsibilities of emergency response
personnel;
(C) notification procedures;
(D) communication and coordination among
emergency response personnel;
(E) dissemination of information to the
public, both prior to, and in the event of, a
radiological emergency;
(F) adequate emergency facilities and
equipment at and around the designated nuclear
facility;
(G) the use of methods, systems, and
equipment for assessing and monitoring actual
or potential impacts of a radiological
emergency;
(H) a range of protective actions for the
public;
(I) means for controlling radiological
exposures for emergency response personnel;
(J) appropriate medical services for
contaminated individuals;
(K) general plans for recovery and reentry;
and
(L) radiological emergency response
training.
(3) Schedule.--The Commission shall establish a
priority schedule for conducting reviews of emergency
response plans for designated nuclear facilities based
on the proximity of such facilities to large population
areas.
(4) Upgrades to emergency response plan.--The
Commission shall ensure that the licensee or
certificate holder of each designated nuclear facility
revises, as necessary, the emergency response plan for
review by the Commission on a schedule established by
the Commission.
(g) Training Program.--
(1) In general.--Not later than 1 year after
submission of the report under subsection (b)(2), the
President shall establish, based on and consistent with
the findings and recommendations contained in the
report submitted under subsection (b)(2), a program to
provide technical assistance and training for the
National Guard and State and local law enforcement
agencies in responding to threats against a designated
nuclear facility.
(2) Grants.--The President may provide grants to
State and local governments to assist in carrying out
this section.
(3) Authorization of appropriations.--There are
authorized to be appropriated such sums as are
necessary to carry out this subsection.
(h) Employee Security.--
(1) Review.--Not later than 180 days after the date
of enactment of this section, the Commission shall
review and update as appropriate the access and
training standards for employees of a designated
nuclear facility.
(2) Disqualification of individuals who present
national security risks.--The Commission shall
establish qualifications and procedures, in addition to
fingerprinting for criminal history record checks
conducted under section 149, to ensure that no
individual who presents a threat to national security
is employed at a designated nuclear facility.
(i) Federal Security Coordinators.--
(1) Regional offices.--Not later than 180 days
after the date of enactment of this section, the
Commission shall assign a Federal security coordinator,
under the employment of the Commission, to each region
of the Commission.
(2) Responsibilities.--The Federal security
coordinator shall be responsible for--
(A) communicating with the Commission and
other Federal, State, and local authorities
concerning threats, including threats against a
designated nuclear facility;
(B) ensuring that a designated nuclear
facility maintains security consistent with the
security plan in accordance with the
appropriate threat level; and
(C) assisting in the coordination of
security measures among--
(i) the private security force at a
designated nuclear facility; and
(ii) Federal, State, and local
authorities, as appropriate.
(j) Classified Information.--Nothing in this section
supersedes any law (including a regulation) governing the
disclosure of classified information or safeguards information.
SEC. 170D. CARRYING OF WEAPONS.
(a) Authority To Make Arrest.--
(1) In general.--A person authorized under section
161k. to carry and use a firearm, other weapon, device,
or ammunition may, while in the performance of, and in
connection with, official duties, detain or arrest an
individual without a warrant for any offense against
the United States committed in the presence of the
person or for any felony under the laws of the United
States if the person has a reasonable ground to believe
that the individual has committed or is committing such
a felony.
(2) Limitation.--An employee of a contractor or
subcontractor or of a Commission licensee or
certificate holder (or a contractor of a licensee or
certificate holder) authorized to make an arrest under
paragraph (1) may make an arrest only after the
Commission, licensee, or certificate holder has applied
for and been granted authorization from the
Commission--
(A) when the individual is within, or is in
flight directly from, the area in which the
offense was or is being committed; and
(B) in the enforcement of--
(i) a law regarding the property of
the United States in the custody of the
Department of Energy, the Commission,
or a contractor of the Department of
Energy or Commission or a licensee or
certificate holder of the Commission;
(ii) a law applicable to facilities
owned or operated by a Commission
licensee or certificate holder that are
designated by the Commission under
section 161k.;
(iii) a law applicable to property
of significance to the common defense
and security that is in the custody of
a licensee or certificate holder or a
contractor of a licensee or certificate
holder of the Commission; or
(iv) any provision of this Act that
subjects an offender to a fine,
imprisonment, or both.
(3) Other authority.--The arrest authority
conferred by this section is in addition to any arrest
authority under other law.
(4) Guidelines.--
(A) In general.--The Secretary and the
Commission, with the approval of the Attorney
General, shall issue guidelines to implement
section 161k. and this subsection.
(B) Effective date.--The authority to carry
and use weapons, devices, or ammunition
provided to employees described in section
161k.(2) and the authority provided to those
employees under this subsection shall not be
effective until the date on which guidelines
issued under subparagraph (A) become effective.
SEC. 170E. SENSITIVE RADIOACTIVE MATERIAL SECURITY.
(a) Definitions.--In this section:
(1) Sensitive radioactive material.--
(A) In general.--The term ``sensitive
radioactive material'' means--
(i) a material--
(I) that is a source
material, by-product material,
or special nuclear material; or
(II) that is any other
radioactive material
(regardless of whether the
material is or has been
licensed or otherwise regulated
under this Act) produced or
made radioactive before or
after the date of enactment of
this section; and
(ii) that is in such a form or
quantity or concentration that the
Commission determines should be
classified as ``sensitive radioactive
material'' that warrants improved
security and protection against loss,
theft, or sabotage.
(B) Exclusion.--The term ``sensitive
radioactive material'' does not include nuclear
fuel or spent nuclear fuel.
(2) Security threat.--The term ``security threat''
means--
(A) a threat of sabotage or theft of
sensitive radioactive material;
(B) a threat of use of sensitive
radioactive material in a radiological
dispersal device; and
(C) any other threat of terrorist or other
criminal activity involving sensitive
radioactive material that could harm the health
or safety of the public due primarily to
radiological properties of the sensitive
radioactive material, as determined by the
Commission.
(b) Duties.--
(1) In general.--The Commission, in consultation
with Secretary of Homeland Security, Secretary of
Energy, Director of Central Intelligence, Director of
the Federal Bureau of Investigation, Director of the
Customs Service, and Administrator of the Environmental
Protection Agency, shall--
(A) evaluate the security of sensitive
radioactive material against security threats;
and
(B) recommend administrative and
legislative actions to be taken to provide an
acceptable level of security against security
threats.
(2) Considerations.--In carrying out paragraph (1),
the Commission shall consider actions, as appropriate
to--
(A) determine the radioactive materials
that should be classified as sensitive
radioactive materials;
(B) develop a classification system for
sensitive radioactive materials that--
(i) is based on the potential for
use by terrorists of sensitive
radioactive material and the extent of
the threat to public health and safety
posed by that potential; and
(ii) takes into account--
(I) radioactivity levels of
sensitive radioactive material;
(II) the dispersibility of
sensitive radioactive material;
(III) the chemical and
material form of sensitive
radioactive material; and
(IV) other appropriate
factors;
(C) develop a national system for recovery
of sensitive radioactive material that is lost
or stolen, taking into account the
classification system established under
subparagraph (B);
(D) provide for the storage of sensitive
radioactive material that is not currently in
use in a safe and secure manner;
(E) develop a national tracking system for
sensitive radioactive material, taking into
account the classification system established
under subparagraph (B);
(F) develop methods to ensure the return or
proper disposal of sensitive radioactive
material;
(G) consider export controls on sensitive
radioactive materials so that, to the extent
feasible, exports from the United States of
sensitive radioactive materials are made to
foreign recipients that are willing and able to
control the sensitive radioactive materials in
a manner similar to the manner in which
recipients in the United States control such
sensitive radioactive material; and
(H) establish procedures to improve the
security of sensitive radioactive material in
use, transportation, and storage.
(3) Procedures to improve security.--The procedures
to improve the security of sensitive radioactive
material under paragraph (2)(H) may include--
(A) periodic audits or inspections by the
Commission to ensure that sensitive radioactive
material is properly secured and can be fully
accounted for;
(B) evaluation by the Commission of
security measures taken by persons that possess
sensitive radioactive material;
(C) imposition of increased fines for
violations of regulations relating to security
and safety measures applicable to persons that
possess sensitive radioactive material;
(D) conduct of background checks on
individuals with access to sensitive
radioactive material;
(E) measures to ensure the physical
security of facilities in which sensitive
radioactive material is stored; and
(F) screening of shipments of sensitive
radioactive material to facilities that are
particularly at risk for sabotage to ensure
that the shipments do not contain explosives.
(c) Report.--Not later than 1 year after the date of
enactment of this section, and not less frequently than once
every 3 years thereafter, the Commission shall submit to the
President and Congress a report in unclassified form (with a
classified annex, if necessary) describing the administrative
and legislative actions recommended under subsection (b)(1).
(d) Administrative Action.--Not later than 60 days after
the date of submission of the report under subsection (c), the
Commission shall take such actions as are appropriate to--
(1) revise the system for licensing sensitive
radioactive materials; and
(2) delegate the authority of the Commission to
implement regulator programs and requirements to States
that enter into agreements with the Commission to
perform inspections and other functions on a
cooperative basis as the Commission considers
appropriate.
* * * * * * *
Sec. 229. Trespass Upon Commission Installations.--
a. The Commission is authorized to issue
regulations relating to the entry upon or carrying,
transporting, or otherwise introducing or causing to be
introduced any dangerous weapons, explosive, or other
dangerous instrument or material likely to produce
substantial injury or damage to persons or property,
into or upon any facility, installation, or real
property subject to the jurisdiction, administration,
or in the custody of the Commission. Every such
regulation of the Commission shall be posted
conspicuously at the location involved or subject to
the licensing authority of the Commission or to
certification by the Commission under this Act or any
other Act.
b. Whoever shall willfully violate any regulation
of the Commission issued pursuant to subsection a.
shall, upon conviction thereof, be punishable by a fine
of not more than $1,000.
c. Whoever shall willfully violate any regulation
of the Commission issued pursuant to subsection a. with
respect to any installation or other property which is
enclosed by a fence, wall, floor, roof, or other
structural barrier shall be guilty of a misdemeanor and
upon conviction thereof shall be punished by a fine of
not to exceed $5,000 or to imprisonment for not more
than one year, or both.
* * * * * * *
Sec. 236. Sabotage of Nuclear Facilities or Fuel.--
a. Any person who intentionally and willfully destroys or
causes physical damage to, or [who intentionally and willfully
attempts] or who attempts or conspires to destroy or cause
physical damage to--
(1) any production facility or utilization facility
licensed under this Act;
(2) any nuclear waste [storage facility] storage,
treatment, or disposal facility licensed under this
Act;
(3) any nuclear fuel for [such a utilization
facility] a utilization facility licensed under this
Act, or any spent nuclear fuel from such a facility;
[or]
(4) any uranium enrichment [facility licensed]
uranium conversion or nuclear fuel fabrication facility
licensed or certified by the Nuclear Regulatory
Commission; or
(5) any production, utilization, waste storage,
waste treatment, waste disposal, uranium enrichment, or
nuclear fuel fabrication facility subject to licensing
or certification under this Act during construction of
the facility, if the destruction or damage caused or
attempted to be caused could adversely affect public
health and safety during the operation of the facility;
shall be fined not more than $10,000 or imprisoned for not more
than ten years, or both.
b. Any person who intentionally and willfully causes or
attempts to cause an interruption of normal operation of any
such facility through the unauthorized use of or tampering with
the machinery, components, or controls of any such facility,
shall be fined not more than $10,000 or imprisoned for not more
than ten years, or both.
----------
[public law 93-438, as amended]
ENERGY REORGANIZATION ACT OF 1974
* * * * * * *
Title II--Nuclear Regulatory Commission
Sec. 201. (a) * * *
* * * * * * *
office of reactor regulation
Sec. 203. (a) There is hereby established in the Commission
an Office of Nuclear Reactor Regulation under the direction of
a Director of Nuclear Reactor Regulation, who shall be
appointed by the Commission, who may report directly to the
Commission, as provided in section 209, and who shall serve at
the pleasure of and be removable by the Commission.
(b) Subject to the provisions of this Act, the Director of
Nuclear Reactor Regulation shall perform such functions as the
Commission shall delegate including:
(1) Principal [licensing and regulation involving]
licensing, regulation, and, except as otherwise
provided under section 212, carrying out safety
reviews, safeguards, and physical security of all
facilities and materials licensed under the Atomic
Energy Act of 1954, as amended, associated with the
construction and operation of nuclear reactors licensed
under the authority of the Atomic Energy Act of 1954,
as amended;
(2) Review the safety [and safeguards] of all such
facilities, materials, and activities, and such review
functions shall include but not be limited to--
* * * * * * *
SEC. 212. OFFICE OF NUCLEAR SECURITY AND INCIDENT RESPONSE.
(a) Definitions.--In this section:
(1) Certificate holder.--The term `certificate
holder' has the meaning given the term in section
170C(a) of the Atomic Energy Act of 1954.
(2) Designated nuclear facility.--The term
`designated nuclear facility' has the meaning given the
term in section 11 of the Atomic Energy Act of 1954 (42
U.S.C. 2014).
(3) Director.--The term `Director' means the
Director of Nuclear Security and Incident Response
appointed under subsection (c).
(4) Licensee.--The term `licensee' has the meaning
given the term in section 170C(a) of the Atomic Energy
Act of 1954.
(5) Office.--The term `Office' means the Office of
Nuclear Security and Incident Response established by
subsection (b).
(b) Establishment of Office.--There is established in the
Commission the Office of Nuclear Security and Incident
Response.
(c) Director.--
(1) Appointment.--The Commission may appoint and
terminate a Director of Nuclear Security and Incident
Response to head the Office.
(2) Duties.--
(A) In general.--The Director shall perform
such functions as the Commission delegates to
the Director.
(B) Functions.--The functions delegated to
the Director may include--
(i) carrying out security,
safeguards, and incident responses
relating to--
(I) any facility owned or
operated by a Commission
licensee or certificate holder;
(II) any property owned or
in the possession of a licensee
or certificate holder that--
(aa) is significant
to the common defense
and security; or
(bb) is being
transported to or from
a facility described in
clause (i); and
(III) any other activity of
a licensee or certificate
holder, subject to the
requirements of the Atomic
Energy Act of 1954 (42 U.S.C.
2011 et seq.), that is
significant to the common
defense and security;
(ii) for a facility or material
licensed under the Atomic Energy Act of
1954 (42 U.S.C. 2011 et seq)--
(I) developing contingency
plans for dealing with threats,
thefts, and sabotage; and
(II) monitoring, reviewing,
and evaluating security and
safeguards;
(iii) recommending upgrades to
internal accounting systems for special
nuclear and other materials licensed or
certified under the Atomic Energy Act
of 1954 (42 U.S.C. 2011 et seq.); and
(iv) developing and recommending
standards and amendments to the
standards of the Commission relating to
the duties described in clauses (i)
through (iii); and
(E) carrying out any other safeguards and
physical security functions and incident
response that the Commission determines to be
appropriate.
(3) Consultation.--In carrying out the duties under
paragraph (2), the Director shall, to the extent
practicable, consult and coordinate with--
(A) other officers of the Commission; and
(B) other Federal agencies.
(d) Security Response Evaluations.--
(1) In general.--Not later than 1 year after the
date of enactment of this section, the Commission shall
establish a security response evaluation program to
assess the ability of each designated nuclear facility
to defend against the threats in accordance with the
security plan for the designated nuclear facility.
(2) Frequency of evaluations.--Not less than once
every 3 years, the Commission shall conduct and
document security response evaluations at each
designated nuclear facility to assess the ability of
the private security force of the designated nuclear
facility to defend against the appropriate design basis
threat.
(3) Security exemption.--The Commission may suspend
activities under this section if the Commission
determines that the security response evaluations would
compromise security at any designated nuclear facility
in accordance with a heightened threat level.
(4) Activities.--The security response evaluation
shall include force-on-force exercises that simulate
the security threats consistent with the design basis
threat appropriate to the facility.
(5) Performance criteria.--The Commission shall
establish performance criteria for judging the security
response evaluations.
(6) Corrective action.--
(A) In general.--When any of the
performance criteria established under
paragraph (5) are not satisfied--
(i) the licensee or certificate
holder shall promptly correct any
defects in performance identified by
the Commission in the security response
evaluation; and
(ii) the Commission shall conduct
an additional security response
evaluation within 9 months to confirm
that the licensee or certificate holder
satisfies the performance criteria
established under paragraph (5).
(B) 2 consecutive failures to satisfy
performance criteria.--
(i) In general.--If a designated
nuclear facility fails to satisfy the
performance criteria established under
paragraph (5) in 2 consecutive security
response evaluations, the Commission
shall issue an order specifying the
corrective actions that must be taken
by the licensee or certificate holder
of the designated nuclear facility.
(ii) Failure to take corrective
action.--If the licensee or certificate
holder of a designated nuclear facility
does not take the corrective action
specified by the Commission within 30
days after the date of issuance of an
order under clause (i), and the
Commission determines that the failure
could compromise public health and
safety, the Commission shall assess a
civil penalty under section 234.
(7) Reports.--Not less often than once every year,
the Commission shall submit to Congress and the
President a report, in classified form and unclassified
form, that describes the results of each security
response evaluation under this paragraph for the
previous year.
(e) Emergency Response Exercises.--
(1) In general.--Not less than once every 2 years,
the Commission, in coordination with the Secretary of
Homeland Security shall observe and evaluate emergency
response exercises to assess the ability of Federal,
State, and local emergency response personnel and
emergency response personnel of a licensee or
certificate holder to respond to a radiological
emergency at the designated nuclear facility in
accordance with the emergency response plans.
(2) Activities.--The emergency response exercises
shall evaluate--
(A) the response capabilities, response
times, and coordination and communication
capabilities of the response personnel; and
(B) the effectiveness and adequacy of
emergency response and the ability to take
protective actions.
(3) Plans.--The Commission shall ensure that the
emergency response plan for a designated nuclear
facility is revised to correct for any deficiencies
identified by an evaluation under this subsection.
(4) Reports.--Not less than once every year, the
Commission shall submit to the President and Congress a
report, in classified form and unclassified form, that
describes--
(A) the results of each emergency response
exercise under this subsection conducted in the
previous year; and
(B) each revision of an emergency response
plan made under paragraph (3) for the previous
year.
(f) Effect.--Nothing in this section limits any authority
of the Department of Energy relating to the safe operation of
facilities under the jurisdiction of the Department.
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UNITED STATES CODE
TITLE 11--BANKRUPTCY
* * * * * * *
Section 523. Exceptions to Discharge
(a) * * *
* * * * * * *
(f) Treatment of Nuclear Reactor Financial Obligations.--
Notwithstanding any other provision of this title--
(1) any funds or other assets held by a licensee or
former licensee of the Nuclear Regulatory Commission,
or by any other person, to satisfy the responsibility
of the licensee, former licensee, or any other person
to comply with a regulation or order of the Nuclear
Regulatory Commission governing the decontamination and
decommissioning of a nuclear power reactor licensed
under section 103 or 104b. of the Atomic Energy Act of
1954 (42 U.S.C. 2133, 2134(b)) shall not be used to
satisfy the claim of any creditor in any proceeding
under this title, other than a claim resulting from an
activity undertaken to satisfy that responsibility,
until the decontamination and decommissioning of the
nuclear power reactor is completed to the satisfaction
of the Nuclear Regulatory Commission;
(2) obligations of licensees, former licensees, or
any other person to use funds or other assets to
satisfy a responsibility described in paragraph (1) may
not be rejected, avoided, or discharged in any
proceeding under this title or in any liquidation,
reorganization, receivership, or other insolvency
proceeding under Federal or State law; and
(3) private insurance premiums and standard
deferred premiums held and maintained in accordance
with section 170b. of the Atomic Energy Act of 1954 (42
U.S.C. 2210(b)) shall not be used to satisfy the claim
of any creditor in any proceeding under this title,
until the indemnification agreement executed in
accordance with section 170c. of that Act (42 U.S.C.
2210(c)) is terminated.