[Weekly Compilation of Presidential Documents Volume 34, Number 22 (Monday, June 1, 1998)]
[Pages 963-966]
[Online from the Government Publishing Office, www.gpo.gov]

<R04>
Executive Order 13085--Establishment of the Enrichment Oversight 
Committee

May 26, 1998

    By the authority vested in me as President by the Constitution and 
the laws of the United States of America, and in order to further the 
national security and other interests of the United States with regard 
to uranium enrichment and related businesses after the privatization of 
the United States Enrichment Corporation (USEC), it is ordered as 
follows:
    Section 1. Establishment. There is hereby established an Enrichment 
Oversight Committee (EOC).
    Sec. 2.  Objectives. The EOC shall monitor and coordinate United 
States Government efforts with respect to the privatized USEC and any 
successor entities involved in uranium enrichment and related businesses 
in furtherance of the following objectives:

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    (a) The full implementation of the Agreement Between the Government 
of the United States of America and the Government of the Russian 
Federation Concerning the Disposition of Highly Enriched Uranium (HEU) 
Extracted from Nuclear Weapons, dated February 18, 1993 (``HEU 
Agreement''), and related contracts and agreements by the USEC as 
executive agent or by any other executive agents;
    (b) The application of statutory, regulatory, and contractual 
restrictions on foreign ownership, control, or influence in the USEC, 
any successor entities, and any other executive agents;
    (c) The development and implementation of United States Government 
policy regarding uranium enrichment and related technologies, processes, 
and data; and
    (d) The collection and dissemination of information relevant to any 
of the foregoing on an ongoing basis, including from the Central 
Intelligence Agency and the Federal Bureau of Investigation.
    Sec. 3. Organization. (a) The EOC shall be Chaired by a senior 
official from the National Security Council (NSC). The Chair shall 
coordinate the carrying out of the purposes and policy objectives of 
this order. The EOC shall meet as often as appropriate, but at least 
quarterly, and shall submit reports to the Assistant to the President 
for National Security Affairs semiannually, or more frequently as 
appropriate. The EOC shall prepare annually the report for the 
President's transmittal to the Congress pursuant to section 3112 of the 
USEC Privatization Act, Public Law 104-134, title III, 3112(b)(10), 110 
Stat. 1321-344, 1321-346 (1996).
    (b) The EOC shall consist of representatives from the Departments of 
State, the Treasury, Defense, Justice, Commerce, Energy, and the Office 
of Management and Budget, the NSC, the National Economic Council, the 
Council of Economic Advisers, and the Intelligence Community. The EOC 
shall formulate internal guidelines for its operations, including 
guidelines for convening meetings.
    (c) The EOC shall coordinate sharing of information and provide 
direction, while operational responsibilities resulting from the EOC's 
oversight activities will rest with EOC member agencies.
    (d) At the request of the EOC, appropriate agencies, including the 
Department of Energy, shall provide day-to-day support for the EOC.
    Sec. 4. HEU Agreement Oversight. The EOC shall form an HEU Agreement 
Oversight Subcommittee (the ``Subcommittee'') in order to continue 
coordination of the implementation of the HEU Agreement and related 
contracts and agreements, monitor actions taken by the executive agent, 
and make recommendations regarding steps designed to facilitate full 
implementation of the HEU Agreement, including changes with respect to 
the executive agent. The Subcommittee shall be chaired by a senior 
official from the NSC and shall include representatives of the 
Departments of State, Defense, Justice, Commerce, and Energy, and the 
Office of Management and Budget, the National Economic Council, the 
Intelligence Community, and, as appropriate, the United States Trade 
Representative, and the Council of Economic Advisers. The Subcommittee 
shall meet as appropriate to review the implementation of the HEU 
Agreement and consider steps to facilitate full implementation of that 
Agreement. In particular, the Subcommittee shall:
    (a) have access to all information concerning implementation of the 
HEU Agreement and related contracts and agreements;
    (b) monitor negotiations between the executive agent or agents and 
Russian authorities on implementation of the HEU Agreement, including 
the proposals of both sides on delivery schedules and on price;
    (c) monitor sales of the natural uranium component of low-enriched 
uranium derived from Russian HEU pursuant to applicable law;
    (d) establish procedures for designating alternative executive 
agents to implement the HEU Agreement;
    (e) coordinate policies and procedures regarding the full 
implementation of the HEU purchase agreement and related contracts and 
agreements, consistent with applicable law; and
    (f) coordinate the position of the United States Government on any 
issues that arise

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in the implementation of the Memorandum of Agreement with the USEC for 
the USEC to serve as the United States Government Executive Agent under 
the HEU Agreement.
    Sec. 5. Foreign Ownership, Control, or Influence (FOCI). The EOC 
shall collect information and monitor issues relating to foreign 
ownership, control, or influence of the USEC or any successor entities. 
Specifically, the EOC shall:
    (a) monitor the application and enforcement of the FOCI requirements 
of the National Industrial Security Program established by Executive 
Order 12829 with respect to the USEC and any successor entities (see 
National Industrial Security Program Operating Manual, Department of 
Defense 2-3 (Oct. 1994));
    (b) monitor and review reports and submissions relating to FOCI 
issues made by the USEC or any successor entity to the Nuclear 
Regulatory Commission (NRC) under the Atomic Energy Act of 1954, 42 
U.S.C. 2011 et seq. (1994), and the USEC Privatization Act, Public Law 
104-134, title III, 110 Stat. 1321-335 et seq. (1996);
    (c) ensure coordination with the Intelligence Community of the 
collection and analysis of intelligence and ensure coordination of 
intelligence with other information related to FOCI issues; and
    (d) ensure coordination with the Committee on Foreign Investment in 
the United States.
    Sec. 6. Domestic Enrichment Services. The EOC shall collect and 
analyze information related to the maintenance of domestic uranium 
mining, enrichment, and conversion industries, provided that such 
activities shall be undertaken in a manner that provides appropriate 
protection for such information. In particular, the EOC shall:
    (a) collect and review all public filings made by or with respect to 
the USEC or any successor entities with the Securities and Exchange 
Commission;
    (b) collect information from all available sources necessary for the 
preparation of the annual report to the Congress required by section 
3112 of the USEC Privatization Act, as noted in section 3(a) of this 
order, including information relating to plans by the USEC or any 
successor entities to expand or contract materially the enrichment of 
uranium-using gaseous diffusion technology;
    (c) collect information relating to the development and 
implementation of atomic vapor laser isotope separation technology;
    (d) to the extent permitted by law, and as necessary to fulfill the 
EOC's oversight functions, collect proprietary information from the 
USEC, or any successor entities, provided that the collection of such 
information shall be undertaken so as to minimize disruption to the 
normal functioning of the private corporation. For example, such 
information would include the USEC's financial statements prepared in 
accordance with standards applicable to public registrants and the 
executive summary of the USEC's strategic plan as shared with its Board 
of Directors, as well as timely information on its unit production 
costs, capacity utilization rates, average pricing and sales for the 
current year and for new contracts, employment levels, overseas 
activities, and research and development initiatives. Such information 
shall be collected on an annual basis, with quarterly updates as 
appropriate; and
    (e) coordinate with relevant agencies in monitoring the levels of 
natural and enriched uranium and enrichment services imported into the 
United States.
    Sec. 7. Coordination with the Nuclear Regulatory Commission. Upon 
notification by the NRC that it seeks the views of other agencies of the 
executive branch regarding determinations necessary for the issuance, 
reissuance, or renewal of a certificate of compliance or license to the 
privatized USEC, the EOC shall convey the relevant views of these other 
agencies of the executive branch, including whether the applicant's 
performance as the United States agent for the HEU Agreement is 
acceptable, on a schedule consistent with the NRC's need for timely 
action on such regulatory decisions.
                                            William J. Clinton
The White House,
May 26, 1998.

[Filed with the Office of the Federal Register, 12:26 p.m., May 27, 
1998]

Note: This Executive order was published in the Federal Register on May 
28.

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