    [United States Statutes at Large, Volume 132, 115th Congress, 2nd Session]
    [From the U.S. Government Publishing Office, www.gpo.gov]

    Public Law 115-248
    115th Congress

    An Act

    To enable civilian research and development of advanced nuclear energy
    technologies by private and public institutions, to expand theoretical
    and practical knowledge of nuclear physics, chemistry, and materials
    science, and for other purposes. <>

    Be it enacted by the Senate and House of Representatives of the
    United States of America in Congress assembled, <>
    SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Nuclear Energy Innovation
    Capabilities Act of 2017''.
    SEC. 2. NUCLEAR ENERGY INNOVATION CAPABILITIES.

    (a) Nuclear Energy.--Section 951 of the Energy Policy Act of 2005
    (42 U.S.C. 16271) is amended to read as follows:
    ``SEC. 951. NUCLEAR ENERGY.

    ``(a) Mission.--
    ``(1) In general.--The Secretary shall carry out programs of
    civilian nuclear research, development, demonstration, and
    commercial application, including activities under this
    subtitle.
    ``(2) Considerations.--The programs carried out under
    paragraph (1) shall take into consideration the following
    objectives:
    ``(A) Providing research infrastructure to promote
    scientific progress and enable users from academia, the
    National Laboratories, and the private sector to make
    scientific discoveries relevant for nuclear, chemical,
    and materials science engineering.
    ``(B) Maintaining nuclear energy research and
    development programs at the National Laboratories and
    institutions of higher education, including
    infrastructure at the National Laboratories and
    institutions of higher education.
    ``(C) Providing the technical means to reduce the
    likelihood of nuclear proliferation.
    ``(D) Increasing confidence margins for public
    safety of nuclear energy systems.
    ``(E) Reducing the environmental impact of
    activities relating to nuclear energy.
    ``(F) Supporting technology transfer from the
    National Laboratories to the private sector.
    ``(G) Enabling the private sector to partner with
    the National Laboratories to demonstrate novel reactor
    concepts for the purpose of resolving technical
    uncertainty associated with the objectives described in
    subparagraphs (A) through (F).

    [[Page 3155]]

    ``(b) Definitions.--In this subtitle:
    ``(1) Advanced nuclear reactor.--The term `advanced nuclear
    reactor' means--
    ``(A) a nuclear fission reactor with significant
    improvements over the most recent generation of nuclear
    fission reactors, which may include--
    ``(i) inherent safety features;
    ``(ii) lower waste yields;
    ``(iii) greater fuel utilization;
    ``(iv) superior reliability;
    ``(v) resistance to proliferation;
    ``(vi) increased thermal efficiency; and
    ``(vii) the ability to integrate into electric
    and nonelectric applications; or
    ``(B) a nuclear fusion reactor.
    ``(2) Commission.--The term `Commission' means the Nuclear
    Regulatory Commission.
    ``(3) Fast neutron.--The term `fast neutron' means a neutron
    with kinetic energy above 100 kiloelectron volts.
    ``(4) National laboratory.--
    ``(A) In general.--Except as provided in
    subparagraph (B), the term `National Laboratory' has the
    meaning given the term in section 2.
    ``(B) Limitation.--With respect to the Lawrence
    Livermore National Laboratory, the Los Alamos National
    Laboratory, and the Sandia National Laboratories, the
    term `National Laboratory' means only the civilian
    activities of the laboratory.
    ``(5) Neutron flux.--The term `neutron flux' means the
    intensity of neutron radiation measured as a rate of flow of
    neutrons applied over an area.
    ``(6) Neutron source.--The term `neutron source' means a
    research machine that provides neutron irradiation services
    for--
    ``(A) research on materials sciences and nuclear
    physics; and
    ``(B) testing of advanced materials, nuclear fuels,
    and other related components for reactor systems.''.

    (b) Nuclear Energy Research Programs.--
    (1) In general.--Section 952 of the Energy Policy Act of
    2005 (42 U.S.C. 16272) is amended--
    (A) by striking subsection (c); and
    (B) by redesignating subsections (d) and (e) as
    subsections (c) and (d), respectively.
    (2) Conforming amendment.--Section 641(b)(1) of the Energy
    Policy Act of 2005 (42 U.S.C. 16021(b)(1)) is amended by
    striking ``section 942(d)'' and inserting ``section 952(c)''.

    (c) Advanced Fuel Cycle Initiative.--Section 953(a) of the Energy
    Policy Act of 2005 (42 U.S.C. 16273(a)) is amended by striking ``,
    acting through the Director of the Office of Nuclear Energy, Science and
    Technology,''.
    (d) University Nuclear Science and Engineering Support.--Section
    954(d)(4) of the Energy Policy Act of 2005 (42 U.S.C. 16274(d)(4)) is
    amended by striking ``as part of a taking into consideration effort that
    emphasizes'' and inserting ``that emphasize''.

    [[Page 3156]]

    (e) Department of Energy Civilian Nuclear Infrastructure and
    Facilities.--Section 955 of the Energy Policy Act of 2005 (42 U.S.C.
    16275) is amended--
    (1) by striking subsections (c) and (d); and
    (2) by adding at the end the following:

    ``(c) Versatile Neutron Source.--
    ``(1) Mission need.--
    ``(A) <>  In
    general.--Not later than December 31, 2017, the
    Secretary shall determine the mission need for a
    versatile reactor-based fast neutron source, which shall
    operate as a national user facility.
    ``(B) Consultations required.--In carrying out
    subparagraph (A), the Secretary shall consult with the
    private sector, institutions of higher education, the
    National Laboratories, and relevant Federal agencies to
    ensure that the user facility described in subparagraph
    (A) will meet the research needs of the largest
    practicable majority of prospective users.
    ``(2) <>  Establishment.--As soon as
    practicable after determining the mission need under paragraph
    (1)(A), the Secretary shall submit to the appropriate committees
    of Congress a detailed plan for the establishment of the user
    facility.
    ``(3) Facility requirements.--
    ``(A) Capabilities.--The Secretary shall ensure that
    the user facility will provide, at a minimum, the
    following capabilities:
    ``(i) Fast neutron spectrum irradiation
    capability.
    ``(ii) Capacity for upgrades to accommodate
    new or expanded research needs.
    ``(B) Considerations.--In carrying out the plan
    submitted under paragraph (2), the Secretary shall
    consider the following:
    ``(i) Capabilities that support experimental
    high-temperature testing.
    ``(ii) Providing a source of fast neutrons at
    a neutron flux, higher than that at which current
    research facilities operate, sufficient to enable
    research for an optimal base of prospective users.
    ``(iii) Maximizing irradiation flexibility and
    irradiation volume to accommodate as many
    concurrent users as possible.
    ``(iv) Capabilities for irradiation with
    neutrons of a lower energy spectrum.
    ``(v) Multiple loops for fuels and materials
    testing in different coolants.
    ``(vi) Additional pre-irradiation and post-
    irradiation examination capabilities.
    ``(vii) Lifetime operating costs and lifecycle
    costs.
    ``(4) Deadline for establishment.--The Secretary shall, to
    the maximum extent practicable, complete construction of, and
    approve the start of operations for, the user facility by not
    later than December 31, 2025.
    ``(5) Reporting.--The Secretary shall include in the annual
    budget request of the Department an explanation for any delay in
    the progress of the Department in completing the user facility
    by the deadline described in paragraph (4).

    [[Page 3157]]

    ``(6) Coordination.--The Secretary shall leverage the best
    practices for management, construction, and operation of
    national user facilities from the Office of Science.''.

    (f) Security of Nuclear Facilities.--Section 956 of the Energy
    Policy Act of 2005 (42 U.S.C. 16276) is amended by striking ``, acting
    through the Director of the Office of Nuclear Energy, Science and
    Technology,''.
    (g) High-Performance Computation and Supportive Research.--Section
    957 of the Energy Policy Act of 2005 (42 U.S.C. 16277) is amended to
    read as follows:
    ``SEC. 957. HIGH-PERFORMANCE COMPUTATION AND SUPPORTIVE RESEARCH.

    ``(a) Modeling and Simulation.--The Secretary shall carry out a
    program to enhance the capabilities of the United States to develop new
    reactor technologies through high-performance computation modeling and
    simulation techniques.
    ``(b) Coordination.--In carrying out the program under subsection
    (a), the Secretary shall coordinate with relevant Federal agencies as
    described by the National Strategic Computing Initiative established by
    Executive Order 13702 (80 Fed. Reg. 46177 (July 29, 2015)), while taking
    into account the following objectives:
    ``(1) Using expertise from the private sector, institutions
    of higher education, and the National Laboratories to develop
    computational software and capabilities that prospective users
    may access to accelerate research and development of advanced
    nuclear reactor systems and reactor systems for space
    exploration.
    ``(2) Developing computational tools to simulate and predict
    nuclear phenomena that may be validated through physical
    experimentation.
    ``(3) Increasing the utility of the research infrastructure
    of the Department by coordinating with the Advanced Scientific
    Computing Research program within the Office of Science.
    ``(4) Leveraging experience from the Energy Innovation Hub
    for Modeling and Simulation.
    ``(5) Ensuring that new experimental and computational tools
    are accessible to relevant research communities, including
    private sector entities engaged in nuclear energy technology
    development.

    ``(c) Supportive Research Activities.--The Secretary shall consider
    support for additional research activities to maximize the utility of
    the research facilities of the Department, including physical
    processes--
    ``(1) to simulate degradation of materials and behavior of
    fuel forms; and
    ``(2) for validation of computational tools.''.

    (h) Enabling Nuclear Energy Innovation.--Subtitle E of title IX of
    the Energy Policy Act of 2005 (42 U.S.C. 16271 et seq.) is amended by
    adding at the end the following:
    ``SEC. 958. <>  ENABLING NUCLEAR ENERGY
    INNOVATION.

    ``(a) National Reactor Innovation Center.--There is authorized a
    program to enable the testing and demonstration of reactor concepts to
    be proposed and funded, in whole or in part, by the private sector.
    ``(b) Technical Expertise.--In carrying out the program under
    subsection (a), the Secretary shall leverage the technical expertise

    [[Page 3158]]

    of relevant Federal agencies and the National Laboratories in order to
    minimize the time required to enable construction and operation of
    privately funded experimental reactors at National Laboratories or other
    Department-owned sites.
    ``(c) Objectives.--The reactors described in subsection (b) shall
    operate to meet the following objectives:
    ``(1) Enabling physical validation of advanced nuclear
    reactor concepts.
    ``(2) Resolving technical uncertainty and increasing
    practical knowledge relevant to safety, resilience, security,
    and functionality of advanced nuclear reactor concepts.
    ``(3) General research and development to improve nascent
    technologies.

    ``(d) Sharing Technical Expertise.--In carrying out the program
    under subsection (a), the Secretary may enter into a memorandum of
    understanding with the Chairman of the Commission in order to share
    technical expertise and knowledge through--
    ``(1) enabling the testing and demonstration of advanced
    nuclear reactor concepts to be proposed and funded, in whole or
    in part, by the private sector;
    ``(2) operating a database to store and share data and
    knowledge relevant to nuclear science and engineering between
    Federal agencies and the private sector;
    ``(3) developing and testing electric and nonelectric
    integration and energy conversion systems relevant to advanced
    nuclear reactors;
    ``(4) leveraging expertise from the Commission with respect
    to safety analysis; and
    ``(5) enabling technical staff of the Commission to actively
    observe and learn about technologies developed under the
    program.

    ``(e) <>  Agency Coordination.--The Chairman of
    the Commission and the Secretary shall enter into a memorandum of
    understanding regarding the following:
    ``(1) Ensuring that--
    ``(A) the Department has sufficient technical
    expertise to support the timely research, development,
    demonstration, and commercial application by the
    civilian nuclear industry of safe and innovative
    advanced nuclear reactor technology; and
    ``(B) the Commission has sufficient technical
    expertise to support the evaluation of applications for
    licenses, permits, and design certifications and other
    requests for regulatory approval for advanced nuclear
    reactors.
    ``(2) The use of computers and software codes to calculate
    the behavior and performance of advanced nuclear reactors based
    on mathematical models of the physical behavior of advanced
    nuclear reactors.
    ``(3) Ensuring that--
    ``(A) the Department maintains and develops the
    facilities necessary to enable the timely research,
    development, demonstration, and commercial application
    by the civilian nuclear industry of safe and innovative
    reactor technology; and
    ``(B) the Commission has access to the facilities
    described in subparagraph (A), as needed.

    ``(f) Reporting Requirements.--

    [[Page 3159]]

    ``(1) <>  In general.--Not later than
    180 days after the date of enactment of the Nuclear Energy
    Innovation Capabilities Act of 2017, the Secretary, in
    consultation with the National Laboratories, relevant Federal
    agencies, and other stakeholders, shall submit to the
    appropriate committees of Congress a report assessing the
    capabilities of the Department to authorize, host, and oversee
    privately funded experimental advanced nuclear reactors as
    described in subsection (b).
    ``(2) Contents.--The report submitted under paragraph (1)
    shall address--
    ``(A) the safety review and oversight capabilities
    of the Department, including options to leverage
    expertise from the Commission and the National
    Laboratories;
    ``(B) options to regulate privately proposed and
    funded experimental reactors hosted by the Department;
    ``(C) potential sites capable of hosting privately
    funded experimental advanced nuclear reactors;
    ``(D) the efficacy of the available contractual
    mechanisms of the Department to partner with the private
    sector and Federal agencies, including cooperative
    research and development agreements, strategic
    partnership projects, and agreements for commercializing
    technology;
    ``(E) the liability of the Federal Government with
    respect to the disposal of low-level radioactive waste,
    spent nuclear fuel, or high-level radioactive waste (as
    those terms are defined in section 2 of the Nuclear
    Waste Policy Act of 1982 (42 U.S.C. 10101));
    ``(F) the impact on the aggregate inventory in the
    United States of low-level radioactive waste, spent
    nuclear fuel, or high-level radioactive waste (as those
    terms are defined in section 2 of the Nuclear Waste
    Policy Act of 1982 (42 U.S.C. 10101));
    ``(G) potential cost structures relating to physical
    security, decommissioning, liability, and other long-
    term project costs; and
    ``(H) other challenges or considerations identified
    by the Secretary.
    ``(3) Updates.--Once every 2 years, the Secretary shall
    update relevant provisions of the report submitted under
    paragraph (1) and submit to the appropriate committees of
    Congress the update.

    ``(g) Savings Clauses.--
    ``(1) Licensing requirement.--Nothing in this section
    authorizes the Secretary or any person to construct or operate a
    nuclear reactor for the purpose of demonstrating the suitability
    for commercial application of the nuclear reactor unless
    licensed by the Commission in accordance with section 202 of the
    Energy Reorganization Act of 1974 (42 U.S.C. 5842).
    ``(2) Financial protection.--Any activity carried out under
    this section that involves the risk of public liability shall be
    subject to the financial protection or indemnification
    requirements of section 170 of the Atomic Energy Act of 1954 (42
    U.S.C. 2210) (commonly known as the `Price-Anderson Act').''.

    (i) Budget Plan.--Subtitle E of title IX of the Energy Policy Act of
    2005 (42 U.S.C. 16271 et seq.) (as amended by subsection (h)) is amended
    by adding at the end the following:

    [[Page 3160]]

    ``SEC. 959. <>  BUDGET PLAN.

    ``(a) <>  In General.--Not later than 1 year after
    the date of enactment of the Nuclear Energy Innovation Capabilities Act
    of 2017, the Secretary shall submit to the Committee on Energy and
    Natural Resources of the Senate and the Committee on Science, Space, and
    Technology of the House of Representatives 2 alternative 10-year budget
    plans for civilian nuclear energy research and development by the
    Secretary, as described in subsections (b) through (d).

    ``(b) Budget Plan Alternative 1.--One of the budget plans submitted
    under subsection (a) shall assume constant annual funding for 10 years
    at the appropriated level for the civilian nuclear energy research and
    development of the Department for fiscal year 2016.
    ``(c) Budget Plan Alternative 2.--One of the budget plans submitted
    under subsection (a) shall be an unconstrained budget.
    ``(d) Inclusions.--Each alternative budget plan submitted under
    subsection (a) shall include--
    ``(1) <>  a prioritized list of the programs,
    projects, and activities of the Department to best support the
    development of advanced nuclear reactor technologies;
    ``(2) realistic budget requirements for the Department to
    implement sections 955(c), 957, and 958; and
    ``(3) the justification of the Department for continuing or
    terminating existing civilian nuclear energy research and
    development programs.''.

    (j) Report on Fusion Innovation.--
    (1) In general.--Not later than 180 days after the date of
    enactment of this Act, the Secretary of Energy shall submit to
    the Committee on Energy and Natural Resources of the Senate and
    the Committee on Science, Space, and Technology of the House of
    Representatives a report identifying engineering designs for
    innovative fusion energy systems that have the potential to
    demonstrate net energy production not later than 15 years after
    the start of construction.
    (2) Inclusions.--The report submitted under paragraph (1)
    shall identify budgetary requirements that would be necessary
    for the Department of Energy to carry out a fusion innovation
    initiative to accelerate research and development of the
    engineering designs identified in the report.

    (k) Conforming Amendments.--The table of contents for the Energy
    Policy Act of 2005 is amended by striking the item relating to section
    957 and inserting the following:

    ``957. High-performance computation and supportive research.
    ``958. Enabling nuclear energy innovation.
    ``959. Budget plan.''.

    SEC. <>  3. ADVANCED NUCLEAR ENERGY LICENSING
    COST-SHARE GRANT PROGRAM.

    (a) Definitions.--In this section:
    (1) Commission.--The term ``Commission'' means the Nuclear
    Regulatory Commission.
    (2) Program.--The term ``program'' means the Advanced
    Nuclear Energy Cost-Share Grant Program established under
    subsection (b).
    (3) Secretary.--The term ``Secretary'' means the Secretary
    of Energy.

    [[Page 3161]]

    (b) Establishment.--The Secretary shall establish a grant program,
    to be known as the ``Advanced Nuclear Energy Cost-Share Grant Program'',
    under which the Secretary shall make cost-share grants to applicants for
    the purpose of funding a portion of the Commission fees of the applicant
    for pre-application review activities and application review activities.
    (c) Requirement.--The Secretary shall seek out technology diversity
    in making grants under the program.
    (d) Cost-Share Amount.--The Secretary shall determine the cost-share
    amount for each grant under the program in accordance with section 988
    of the Energy Policy Act of 2005 (42 U.S.C. 16352).
    (e) Use of Funds.--A recipient of a grant under the program may use
    the grant funds to cover Commission fees, including those fees
    associated with--
    (1) developing a licensing project plan;
    (2) obtaining a statement of licensing feasibility;
    (3) reviewing topical reports; and
    (4) other--
    (A) pre-application review activities;
    (B) application review activities; and
    (C) interactions with the Commission.

    Approved September 28, 2018.

    LEGISLATIVE HISTORY--S. 97:
    ---------------------------------------------------------------------------

    SENATE REPORTS: No. 115-115 (Comm. on Energy and Natural Resources).
    CONGRESSIONAL RECORD, Vol. 164 (2018):
    Mar. 7, considered and passed Senate.
    Sept. 13, considered and passed House.