UNITED STATES

NUCLEAR REGULATORY COMMISSION 

 WASHINGTON, D.C. 20555-0001 

November 16, 2016 COMSECY-16-0026 

MEMORANDUM TO: Chairman Burns 

 Commissioner Svinicki 

 Commissioner Baran 

FROM: Victor M. McCree /RA/

 Executive Director for Operations 

SUBJECT: REVISED DELEGATION OF AUTHORITY TO THE EXECUTIVE 

DIRECTOR FOR OPERATIONS TO INITIATE AND SIGN TWO 

FINAL RULES TO AMEND THE NUCLEAR LIABILITY 

INSURANCE AMOUNT AND FREEDOM OF INFORMATION ACT 

PROVISIONS 

The purpose of this memorandum is to request that the Commission provide explicit delegation 

of authority to the Executive Director for Operations (EDO) to authorize the EDO to initiate and 

sign two final rules, one to amend the U.S Nuclear Regulatory Commission’s (NRC) maximum 

amount of primary nuclear liability insurance, and the other to amend certain regulations that 

relate to the Freedom of Information Act (FOIA) provisions. These final rules are 

nondiscretionary and must be issued by the end of calendar year 2016. 

Part 140 of Title 10 of the Code of Federal Regulations (10 CFR), “Financial Protection 

Requirements and Indemnity Agreements” implements the financial protection requirements for 

certain licensees and other persons under the Price-Anderson Amendments Act of 1988 (Pub. 

L. 100–408) (Price-Anderson Act). For each nuclear reactor that is licensed to operate, is 

designed for the production of electrical energy, and has a rated capacity of 100,000 electrical 

kilowatts or more, the Price-Anderson Act requires primary financial protection to be “the 

maximum amount available at reasonable cost and on reasonable terms from private sources” 

(Price-Anderson Act, section 170(b)). On June 15, 2016, the American Nuclear Insurers, the 

underwriter of American nuclear liability policies, acting on behalf of its member companies, 

notified the NRC that it will be increasing the “maximum amount of primary financial protection 

from $375 million to $450 million effective on January 1, 2017” (Agencywide Documents Access 

and Management System Accession No. ML16239A254). To reflect the increase, the NRC 

must amend its regulations at 10 CFR 140.11, “Amounts of financial protection for certain 

reactors,” to revise the maximum amount of primary nuclear liability insurance from $375 million 

to $450 million and make conforming changes throughout the part to make reference to that 

maximum amount. To be effective January 1, 2017, the NRC must publish the final rule in the 

Federal Register no later than December 2, 2016, in order to be consistent with the 

Price-Anderson Act. 

CONTACT: Cindy Bladey, ADM/DAS 

 (301) 415-3280

PLEASE RESPOND BY: 

December 5, 2016
The Commissioners -2- 

On June 30, 2016, Congress enacted the FOIA Improvement Act of 2016, Pub. L. 114-185, 130 

Stat. 538 (FOIA Improvement Act). The FOIA Improvement Act requires all agencies to review 

and update their FOIA regulations in accordance with its provisions. The FOIA Improvement 

Act addresses a range of issues. It requires agencies to establish a minimum of 90 days for 

requesters to file an administrative appeal and to provide dispute resolution services at various 

times throughout the FOIA process. The FOIA Improvement Act also amends FOIA Exemption 

5, codifies the foreseeable harm standard, imposes restrictions on FOIA fees agencies may 

charge to requesters when agencies miss FOIA deadlines, and adds two new elements to the 

agency annual FOIA reports. The staff has identified the provisions within 10 CFR Parts 2 and 

9 that must be amended to comply with the FOIA Improvement Act. The FOIA Improvement Act 

requires agencies to “issue regulations” that conform with the amendments made by the Act by 

December 27, 2016. 

In the staff requirements memorandum (SRM) for SECY-15-0129 (Agencywide Documents 

Access and Management System (ADAMS) Accession No. ML16034A441), dated February 3, 

2016, the Commission directed the staff to submit a rulemaking plan for Commission approval 

for all rulemakings except those that had already been explicitly delegated to the staff. 

Therefore to ensure consistency with the Commission’s SRM, and because these final rules are 

statutorily mandated, do not present policy decisions, and do not require public comment, the 

staff is requesting that the Commission explicitly delegate authority to the EDO to initiate and 

sign these final rules amending the NRC’s maximum amount of primary nuclear liability 

insurance and FOIA regulations. The staff will provide the Commission with the customary 5-

day notice before these final rules are transmitted to the Office of the Federal Register for 

publication. Finally, the staff is drafting a memorandum for the Commission’s consideration 

regarding rulemaking plan requirements for future statutorily required rulemakings. 

SECY, please track. 

cc: SECY NRR 

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 OCFO NSIR
The Commissioners -2- 

On June 30, 2016, Congress enacted the FOIA Improvement Act of 2016, Pub. L. 114-185, 130 

Stat. 538 (FOIA Improvement Act). The FOIA Improvement Act requires all agencies to review 

and update their FOIA regulations in accordance with its provisions. The FOIA Improvement 

Act addresses a range of issues. It requires agencies to establish a minimum of 90 days for 

requesters to file an administrative appeal and to provide dispute resolution services at various 

times throughout the FOIA process. The FOIA Improvement Act also amends FOIA Exemption 

5, codifies the foreseeable harm standard, imposes restrictions on FOIA fees agencies may 

charge to requesters when agencies miss FOIA deadlines, and adds two new elements to the 

agency annual FOIA reports. The staff has identified the provisions within 10 CFR Parts 2 and 

9 that must be amended to comply with the FOIA Improvement Act. The FOIA Improvement Act 

requires agencies to “issue regulations” that conform with the amendments made by the Act by 

December 27, 2016. 

In the staff requirements memorandum (SRM) for SECY-15-0129 (Agencywide Documents 

Access and Management System (ADAMS) Accession No. ML16034A441), dated February 3, 

2016, the Commission directed the staff to submit a rulemaking plan for Commission approval 

for all rulemakings except those that had already been explicitly delegated to the staff. 

Therefore to ensure consistency with the Commission’s SRM, and because these final rules are 

statutorily mandated, do not present policy decisions, and do not require public comment, the 

staff is requesting that the Commission explicitly delegate authority to the EDO to initiate and 

sign these final rules amending the NRC’s maximum amount of primary nuclear liability 

insurance and FOIA regulations. The staff will provide the Commission with the customary 5-

day notice before these final rules are transmitted to the Office of the Federal Register for 

publication. Finally, the staff is drafting a memorandum for the Commission’s consideration 

regarding rulemaking plan requirements for future statutorily required rulemakings. 

SECY, please track. 

 

cc: SECY NRR 

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 OCA NMSS 

 OPA OIP 

 OCFO NSIR 

DISTRIBUTION: 

LTerry, ADM RidsNmssMailCenter RidsNsirMailCenter RidsOCIO Resource 

 

CBladey, ADM RidsNroMailCenter RidsOcfoMailCenter Resource RidsResOd Resource 

JWiddup, ADM RidsNrrMailCenter Resource RidsOgcMailCenter Resource RidsOCIO.Resource@nrc.gov 

RidsAdmMailCenter RidsEdoMailCenter RidsOipMailCenter Resource 

ADAMS Accession Number: ML16312A390 *via e-mail concurrence 

OFFICE ADM/DAS/RADB ADM/DAS/RADB NRR* OCIO* QTE* OGC* 

NAME LTerry CBladey BDean DNelson JDougherty for MSpencer 

DATE 10/27/16 11/ /16 11/01/16 11/01/16 11/01/16 11/04/16 

OFFICE ADM/DAS/DD ADM/DD ADM/D DEDM EDO 

NAME JWiddup* SStewart-Clark CCarpenter GTracy 

(CCarpenter for) 

VMcCree 

DATE 11/8/16 11/10/16 11/10/16 11/10/16 11/ 16 /16 

OFFICIAL RECORD COPY