42 U.S.C. § 16014 — Standby support for certain nuclear plant delays

(a) Definitions: (1) An "advanced nuclear facility" is a nuclear facility whose reactor design the Nuclear Regulatory Commission approved after December 31, 1993, where no similar design of comparable size was approved before that date. (2) A "combined license" is a combined construction and operating license for an advanced nuclear facility, issued by the Commission. (3) "Commission" means the Nuclear Regulatory Commission. (4) A "sponsor" is a person who has applied for, or been granted, a combined license. (b) Contract authority: (1) The Secretary may sign contracts under this section with sponsors of advanced nuclear facilities, covering up to 6 reactors total, using no more than 3 different reactor designs. (2)(A) In this paragraph, "loan cost" means the same as "cost of a loan guarantee" under section 661a(5)(C) of title 2. (B) The Department creates two accounts: the "Standby Support Program Account" and the "Standby Support Grant Account." (C) The Secretary cannot sign a contract under this section unless the Secretary deposits (i) into the Program Account, enough appropriated funds, or a mix of appropriated funds and loan guarantee fees, to cover the loan costs described in subsection (d)(5)(A); and (ii) into the Grant Account, enough appropriated funds, sponsor payments, or a mix of both, to cover the costs in subparagraphs (B), (C), and (D) of subsection (d)(5). (c) Covered delays: (1) Under each contract, the Secretary must pay the costs in subsection (d), using appropriated or collected funds, if full-power operation of the facility is delayed by (A) the Commission failing to meet its own schedules for reviewing inspections, tests, analyses, acceptance criteria, or preoperational hearings; or (B) litigation that delays full-power operation starting. (2) The Secretary may not sign a contract that would require paying costs caused by (A) the sponsor failing to take legally required action; (B) events within the sponsor's control; or (C) normal business risks. (d) Covered costs: (1) Subject to paragraphs (2) through (4), the Secretary pays the costs that result from a covered delay. (2) For the first 2 reactors that get a combined license and start construction, the Secretary pays 100% of the covered delay costs, but no more than $500,000,000 per contract. (3) For the next 4 reactors, the Secretary pays 50% of covered delay costs that happen after the first 180 days of delay, but no more than $250,000,000 per contract. (4)(A) The Secretary's duty to pay certain covered costs, listed in paragraph (5)(B), depends on getting enough money from appropriations or non-federal sources. (B) The Secretary may accept payments from any non-federal source for this purpose, without needing further appropriation. (5) Subject to paragraphs (2) through (4), covered costs for delays during construction or in getting fuel-loading and full-power approval include (A) principal or interest on debt tied to a non-federally-owned advanced nuclear facility; and (B) the difference between (i) the market price of power bought to replace what the delayed facility would have supplied under its contracts, and (ii) the contract price the facility would have charged. (e) Requirements: Any contract between a sponsor and the Secretary must require the sponsor to use due diligence to shorten and end the covered delay. (f) Reports: For each covered facility, the Commission must send Congress and the Secretary quarterly reports on the status of its licensing. (g) Regulations: (1) Subject to paragraphs (2) and (3), the Secretary must issue regulations needed to carry out this section. (2) Within 270 days after August 8, 2005, the Secretary must issue an interim final rule for public comment. (3) Within 1 year after August 8, 2005, the Secretary must issue a notice of final rulemaking. (h) Authorization of appropriations: Congress may appropriate whatever funds are needed to carry out this section.