{"identifier":"/us/usc/t42/s16014","title":42,"num":"\u00a7\u202f16014.","heading":"Standby support for certain nuclear plant delays","text":"\u00a7\u202f16014.\nStandby support for certain nuclear plant delays\n(a)\nDefinitions\nIn this section:\n(1)\nAdvanced nuclear facility\nThe term \u201cadvanced nuclear facility\u201d means any nuclear facility the reactor design for which is approved after\nDecember 31, 1993\n(2)\nCombined license\nThe term \u201ccombined license\u201d means a combined construction and operating license for an advanced nuclear facility issued by the Commission.\n(3)\nCommission\nThe term \u201cCommission\u201d means the Nuclear Regulatory Commission.\n(4)\nSponsor\nThe term \u201csponsor\u201d means a person who has applied for or been granted a combined license.\n(b)\nContract authority\n(1)\nIn general\nThe Secretary may enter into contracts under this section with sponsors of an advanced nuclear facility that cover a total of 6 reactors, with the 6 reactors consisting of not more than 3 different reactor designs, in accordance with paragraph (2).\n(2)\nRequirement for contracts\n(A)\nDefinition of loan cost\nIn this paragraph, the term \u201cloan cost\u201d has the meaning given the term \u201ccost of a loan guarantee\u201d under\nsection 661a(5)(C) of title 2\n(B)\nEstablishment of accounts\nThere is established in the Department 2 separate accounts, which shall be known as the\u2014\n(i) \u201cStandby Support Program Account\u201d; and\n(ii) \u201cStandby Support Grant Account\u201d.\n(C)\nRequirement\nThe Secretary shall not enter into a contract under this section unless the Secretary deposits\u2014\n(i) in the Standby Support Program Account established under subparagraph (B), funds appropriated to the Secretary in advance of the contract or a combination of appropriated funds and loan guarantee fees that are in an amount sufficient to cover the loan costs described in subsection (d)(5)(A); and\n(ii) in the Standby Support Grant Account established under subparagraph (B), funds appropriated to the Secretary in advance of the contract, paid to the Secretary by the sponsor of the advanced nuclear facility, or a combination of appropriations and payments that are in an amount sufficient\n1\n1 So in original. Probably should be followed by \u201cto\u201d.\n(c)\nCovered delays\n(1)\nInclusions\nUnder each contract authorized by this section, the Secretary shall pay the costs specified in subsection (d), using funds appropriated or collected for the covered costs, if full power operation of the advanced nuclear facility is delayed by\u2014\n(A) the failure of the Commission to comply with schedules for review and approval of inspections, tests, analyses, and acceptance criteria established under the combined license or the conduct of preoperational hearings by the Commission for the advanced nuclear facility; or\n(B) litigation that delays the commencement of full-power operations of the advanced nuclear facility.\n(2)\nExclusions\nThe Secretary may not enter into any contract under this section that would obligate the Secretary to pay any costs resulting from\u2014\n(A) the failure of the sponsor to take any action required by law or regulation;\n(B) events within the control of the sponsor; or\n(C) normal business risks.\n(d)\nCovered costs\n(1)\nIn general\nSubject to paragraphs (2), (3), and (4), the costs that shall be paid by the Secretary pursuant to a contract entered into under this section are the costs that result from a delay covered by the contract.\n(2)\nInitial 2 reactors\nIn the case of the first 2 reactors that receive combined licenses and on which construction is commenced, the Secretary shall pay\u2014\n(A) 100 percent of the covered costs of delay; but\n(B) not more than $500,000,000 per contract.\n(3)\nSubsequent 4 reactors\nIn the case of the next 4 reactors that receive a combined license and on which construction is commenced, the Secretary shall pay\u2014\n(A) 50 percent of the covered costs of delay that occur after the initial 180-day period of covered delay; but\n(B) not more than $250,000,000 per contract.\n(4)\nConditions on payment of certain covered costs\n(A)\nIn general\nThe obligation of the Secretary to pay the covered costs described in subparagraph (B) of paragraph (5) is subject to the Secretary receiving from appropriations or payments from other non-Federal sources amounts sufficient to pay the covered costs.\n(B)\nNon-Federal sources\nThe Secretary may receive and accept payments from any non-Federal source, which shall be made available without further appropriation for the payment of the covered costs.\n(5)\nTypes of covered costs\nSubject to paragraphs (2), (3), and (4), the contract entered into under this section for an advanced nuclear facility shall include as covered costs those costs that result from a delay during construction and in gaining approval for fuel loading and full-power operation, including\u2014\n(A) principal or interest on any debt obligation of an advanced nuclear facility owned by a non-Federal entity; and\n(B) the incremental difference between\u2014\n(i) the fair market price of power purchased to meet the contractual supply agreements that would have been met by the advanced nuclear facility but for the delay; and\n(ii) the contractual price of power from the advanced nuclear facility subject to the delay.\n(e)\nRequirements\nAny contract between a sponsor and the Secretary covering an advanced nuclear facility under this section shall require the sponsor to use due diligence to shorten, and to end, the delay covered by the contract.\n(f)\nReports\nFor each advanced nuclear facility that is covered by a contract under this section, the Commission shall submit to Congress and the Secretary quarterly reports summarizing the status of licensing actions associated with the advanced nuclear facility.\n(g)\nRegulations\n(1)\nIn general\nSubject to paragraphs (2) and (3), the Secretary shall issue such regulations as are necessary to carry out this section.\n(2)\nInterim final rulemaking\nNot later than 270 days after\nAugust 8, 2005\n(3)\nNotice of final rulemaking\nNot later than 1 year after\nAugust 8, 2005\n(h)\nAuthorization of appropriations\nThere are authorized to be appropriated such sums as are necessary to carry out this section.","url":"https://projectusc.org/usc/t42/s16014.html","content":[{"t":"sec","id":"/us/usc/t42/s16014","children":[{"t":"num","text":"\u00a7\u202f16014."},{"t":"heading","text":"Standby support for certain nuclear plant delays"},{"t":"subsec","id":"/us/usc/t42/s16014/a","children":[{"t":"num","text":"(a)"},{"t":"heading","text":"Definitions"},{"t":"chapeau","text":"In this section:"},{"t":"para","id":"/us/usc/t42/s16014/a/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"Advanced nuclear facility"},{"t":"content","children":[{"t":"p","text":"The term \u201cadvanced nuclear facility\u201d means any nuclear facility the reactor design for which is approved after ","children":[{"t":"text","text":"December 31, 1993","tail":", by the Commission (and such design or a substantially similar design of comparable capacity was not approved on or before that date)."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/a/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Combined license"},{"t":"content","children":[{"t":"p","text":"The term \u201ccombined license\u201d means a combined construction and operating license for an advanced nuclear facility issued by the Commission.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/a/3","children":[{"t":"num","text":"(3)"},{"t":"heading","text":"Commission"},{"t":"content","children":[{"t":"p","text":"The term \u201cCommission\u201d means the Nuclear Regulatory Commission.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/a/4","children":[{"t":"num","text":"(4)"},{"t":"heading","text":"Sponsor"},{"t":"content","children":[{"t":"p","text":"The term \u201csponsor\u201d means a person who has applied for or been granted a combined license.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t42/s16014/b","children":[{"t":"num","text":"(b)"},{"t":"heading","text":"Contract authority"},{"t":"para","id":"/us/usc/t42/s16014/b/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"In general"},{"t":"content","children":[{"t":"p","text":"The Secretary may enter into contracts under this section with sponsors of an advanced nuclear facility that cover a total of 6 reactors, with the 6 reactors consisting of not more than 3 different reactor designs, in accordance with paragraph (2).","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/b/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Requirement for contracts"},{"t":"subpara","id":"/us/usc/t42/s16014/b/2/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"Definition of loan cost"},{"t":"content","children":[{"t":"p","text":"In this paragraph, the term \u201cloan cost\u201d has the meaning given the term \u201ccost of a loan guarantee\u201d under ","children":[{"t":"ref","text":"section 661a(5)(C) of title 2","href":"/us/usc/t2/s661a/5/C","tail":"."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16014/b/2/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Establishment of accounts"},{"t":"chapeau","text":"There is established in the Department 2 separate accounts, which shall be known as the\u2014"},{"t":"clause","id":"/us/usc/t42/s16014/b/2/B/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" \u201cStandby Support Program Account\u201d; and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16014/b/2/B/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" \u201cStandby Support Grant Account\u201d.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16014/b/2/C","children":[{"t":"num","text":"(C)"},{"t":"heading","text":"Requirement"},{"t":"chapeau","text":"The Secretary shall not enter into a contract under this section unless the Secretary deposits\u2014"},{"t":"clause","id":"/us/usc/t42/s16014/b/2/C/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" in the Standby Support Program Account established under subparagraph (B), funds appropriated to the Secretary in advance of the contract or a combination of appropriated funds and loan guarantee fees that are in an amount sufficient to cover the loan costs described in subsection (d)(5)(A); and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16014/b/2/C/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" in the Standby Support Grant Account established under subparagraph (B), funds appropriated to the Secretary in advance of the contract, paid to the Secretary by the sponsor of the advanced nuclear facility, or a combination of appropriations and payments that are in an amount sufficient\u202f","children":[{"t":"ref","text":"1"},{"t":"num","text":"1","tail":"\u202fSo in original. Probably should be followed by \u201cto\u201d."},{"t":"text","text":"\u202fSo in original. Probably should be followed by \u201cto\u201d.","tail":" cover the costs described in subparagraphs (B), (C), and (D) of subsection (d)(5)."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t42/s16014/c","children":[{"t":"num","text":"(c)"},{"t":"heading","text":"Covered delays"},{"t":"para","id":"/us/usc/t42/s16014/c/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"Inclusions"},{"t":"chapeau","text":"Under each contract authorized by this section, the Secretary shall pay the costs specified in subsection (d), using funds appropriated or collected for the covered costs, if full power operation of the advanced nuclear facility is delayed by\u2014"},{"t":"subpara","id":"/us/usc/t42/s16014/c/1/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" the failure of the Commission to comply with schedules for review and approval of inspections, tests, analyses, and acceptance criteria established under the combined license or the conduct of preoperational hearings by the Commission for the advanced nuclear facility; or","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16014/c/1/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" litigation that delays the commencement of full-power operations of the advanced nuclear facility.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/c/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Exclusions"},{"t":"chapeau","text":"The Secretary may not enter into any contract under this section that would obligate the Secretary to pay any costs resulting from\u2014"},{"t":"subpara","id":"/us/usc/t42/s16014/c/2/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" the failure of the sponsor to take any action required by law or regulation;","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16014/c/2/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" events within the control of the sponsor; or","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16014/c/2/C","children":[{"t":"num","text":"(C)"},{"t":"content","text":" normal business risks.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t42/s16014/d","children":[{"t":"num","text":"(d)"},{"t":"heading","text":"Covered costs"},{"t":"para","id":"/us/usc/t42/s16014/d/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"In general"},{"t":"content","children":[{"t":"p","text":"Subject to paragraphs (2), (3), and (4), the costs that shall be paid by the Secretary pursuant to a contract entered into under this section are the costs that result from a delay covered by the contract.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/d/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Initial 2 reactors"},{"t":"chapeau","text":"In the case of the first 2 reactors that receive combined licenses and on which construction is commenced, the Secretary shall pay\u2014"},{"t":"subpara","id":"/us/usc/t42/s16014/d/2/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" 100 percent of the covered costs of delay; but","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16014/d/2/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" not more than $500,000,000 per contract.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/d/3","children":[{"t":"num","text":"(3)"},{"t":"heading","text":"Subsequent 4 reactors"},{"t":"chapeau","text":"In the case of the next 4 reactors that receive a combined license and on which construction is commenced, the Secretary shall pay\u2014"},{"t":"subpara","id":"/us/usc/t42/s16014/d/3/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" 50 percent of the covered costs of delay that occur after the initial 180-day period of covered delay; but","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16014/d/3/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" not more than $250,000,000 per contract.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/d/4","children":[{"t":"num","text":"(4)"},{"t":"heading","text":"Conditions on payment of certain covered costs"},{"t":"subpara","id":"/us/usc/t42/s16014/d/4/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"In general"},{"t":"content","children":[{"t":"p","text":"The obligation of the Secretary to pay the covered costs described in subparagraph (B) of paragraph (5) is subject to the Secretary receiving from appropriations or payments from other non-Federal sources amounts sufficient to pay the covered costs.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16014/d/4/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Non-Federal sources"},{"t":"content","children":[{"t":"p","text":"The Secretary may receive and accept payments from any non-Federal source, which shall be made available without further appropriation for the payment of the covered costs.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/d/5","children":[{"t":"num","text":"(5)"},{"t":"heading","text":"Types of covered costs"},{"t":"chapeau","text":"Subject to paragraphs (2), (3), and (4), the contract entered into under this section for an advanced nuclear facility shall include as covered costs those costs that result from a delay during construction and in gaining approval for fuel loading and full-power operation, including\u2014"},{"t":"subpara","id":"/us/usc/t42/s16014/d/5/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" principal or interest on any debt obligation of an advanced nuclear facility owned by a non-Federal entity; and","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t42/s16014/d/5/B","children":[{"t":"num","text":"(B)"},{"t":"chapeau","text":" the incremental difference between\u2014"},{"t":"clause","id":"/us/usc/t42/s16014/d/5/B/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" the fair market price of power purchased to meet the contractual supply agreements that would have been met by the advanced nuclear facility but for the delay; and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t42/s16014/d/5/B/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" the contractual price of power from the advanced nuclear facility subject to the delay.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t42/s16014/e","children":[{"t":"num","text":"(e)"},{"t":"heading","text":"Requirements"},{"t":"content","children":[{"t":"p","text":"Any contract between a sponsor and the Secretary covering an advanced nuclear facility under this section shall require the sponsor to use due diligence to shorten, and to end, the delay covered by the contract.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t42/s16014/f","children":[{"t":"num","text":"(f)"},{"t":"heading","text":"Reports"},{"t":"content","children":[{"t":"p","text":"For each advanced nuclear facility that is covered by a contract under this section, the Commission shall submit to Congress and the Secretary quarterly reports summarizing the status of licensing actions associated with the advanced nuclear facility.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t42/s16014/g","children":[{"t":"num","text":"(g)"},{"t":"heading","text":"Regulations"},{"t":"para","id":"/us/usc/t42/s16014/g/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"In general"},{"t":"content","children":[{"t":"p","text":"Subject to paragraphs (2) and (3), the Secretary shall issue such regulations as are necessary to carry out this section.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/g/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Interim final rulemaking"},{"t":"content","children":[{"t":"p","text":"Not later than 270 days after ","children":[{"t":"text","text":"August 8, 2005","tail":", the Secretary shall issue for public comment an interim final rule regulating contracts authorized by this section."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t42/s16014/g/3","children":[{"t":"num","text":"(3)"},{"t":"heading","text":"Notice of final rulemaking"},{"t":"content","children":[{"t":"p","text":"Not later than 1 year after ","children":[{"t":"text","text":"August 8, 2005","tail":", the Secretary shall issue a notice of final rulemaking regulating the contracts."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t42/s16014/h","children":[{"t":"num","text":"(h)"},{"t":"heading","text":"Authorization of appropriations"},{"t":"content","children":[{"t":"p","text":"There are authorized to be appropriated such sums as are necessary to carry out this section.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"text","text":"\n"}]}]}