I 

118TH CONGRESS 

1ST SESSION H. R. 1086 

To require the Secretary of Energy to establish a Nuclear Fuel Security 

Program, expand the American Assured Fuel Supply Program, and for 

other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

FEBRUARY 17, 2023 

Mr. LATTA introduced the following bill; which was referred to the Committee 

on Energy and Commerce, and in addition to the Committee on Science, 

Space, and Technology, for a period to be subsequently determined by the 

Speaker, in each case for consideration of such provisions as fall within 

the jurisdiction of the committee concerned 

A BILL 

To require the Secretary of Energy to establish a Nuclear 

Fuel Security Program, expand the American Assured 

Fuel Supply Program, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Nuclear Fuel Security 

5 Act’’. 

6 SEC. 2. U.S. NUCLEAR FUEL SECURITY INITIATIVE. 

7 (a) SENSE OF CONGRESS.—It is the sense of Con8 gress that— 


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1 (1) the Department should— 

2 (A) prioritize activities to increase domes3 tic production of low-enriched uranium; and 

4 (B) accelerate efforts to establish a domes5 tic high-assay, low-enriched uranium enrich6 ment capability; and 

7 (2) if domestic enrichment of high-assay, low8 enriched uranium will not be commercially available 

9 at the scale needed in time to meet the needs of the 

10 advanced nuclear reactor demonstration projects of 

11 the Department, the Secretary shall consider and 

12 implement, as necessary— 

13 (A) all viable options to make high-assay, 

14 low-enriched uranium produced from inven15 tories owned by the Department available in a 

16 manner that is sufficient to maximize the po17 tential for the Department to meet the needs 

18 and schedules of advanced nuclear reactor de19 velopers, without impacting existing Depart20 ment missions, until such time that commercial 

21 enrichment and deconversion capability for 

22 high-assay, low-enriched uranium exists at a 

23 scale sufficient to meet future needs; and 

24 (B) all viable options for partnering with 

25 countries that are allies or partners of the 


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1 United States to meet those needs and sched2 ules until that time. 

3 (b) OBJECTIVES.—The objectives of this section 

4 are— 

5 (1) to expeditiously increase domestic produc6 tion of low-enriched uranium; 

7 (2) to expeditiously increase domestic produc8 tion of high-assay, low-enriched uranium by an an9 nual quantity, and in such form, determined by the 

10 Secretary to be sufficient to meet the needs of— 

11 (A) advanced nuclear reactor developers; 

12 and 

13 (B) the consortium; 

14 (3) to ensure the availability of domestically 

15 produced, converted, and enriched uranium in a 

16 quantity determined by the Secretary, in consulta17 tion with U.S. nuclear energy companies, to be suffi18 cient to address a reasonably anticipated supply dis19 ruption; 

20 (4) to address gaps and deficiencies in the do21 mestic production, conversion, enrichment, 

22 deconversion, and reduction of uranium by 

23 partnering with countries that are allies or partners 

24 of the United States if domestic options are not 

25 practicable; 


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1 (5) to ensure that, in the event of a supply dis2 ruption in the nuclear fuel market, a reserve of nu3 clear fuels is available to serve as a backup supply 

4 to support the nuclear nonproliferation and civil nu5 clear energy objectives of the Department; 

6 (6) to support enrichment, deconversion, and 

7 reduction technology deployed in the United States; 

8 and 

9 (7) to ensure that, until such time that domes10 tic enrichment and deconversion of high-assay, low11 enriched uranium is commercially available at the 

12 scale needed to meet the needs of advanced nuclear 

13 reactor developers, the Secretary considers and im14 plements, as necessary— 

15 (A) all viable options to make high-assay, 

16 low-enriched uranium produced from inven17 tories owned by the Department available in a 

18 manner that is sufficient to maximize the po19 tential for the Department to meet the needs 

20 and schedules of advanced nuclear reactor de21 velopers; and 

22 (B) all viable options for partnering with 

23 countries that are allies or partners of the 

24 United States to meet those needs and sched25 ules. 


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1 (c) DEFINITIONS.—In this section: 

2 (1) ADVANCED NUCLEAR REACTOR.—The term 

3 ‘‘advanced nuclear reactor’’ has the meaning given 

4 the term in section 951(b) of the Energy Policy Act 

5 of 2005 (42 U.S.C. 16271(b)). 

6 (2) ASSOCIATED ENTITY.—The term ‘‘associ7 ated entity’’ means an entity that— 

8 (A) is owned, controlled, or dominated 

9 by— 

10 (i) the government of a country that 

11 is an ally or partner of the United States; 

12 or 

13 (ii) an associated individual; or 

14 (B) is organized under the laws of, or oth15 erwise subject to the jurisdiction of, a country 

16 that is an ally or partner of the United States, 

17 including a corporation that is incorporated in 

18 such a country. 

19 (3) ASSOCIATED INDIVIDUAL.—The term ‘‘asso20 ciated individual’’ means an alien who is a national 

21 of a country that is an ally or partner of the United 

22 States. 

23 (4) CONSORTIUM.—The term ‘‘consortium’’ 

24 means the consortium established under section 


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1 2001(a)(2)(F) of the Energy Act of 2020 (42 U.S.C. 

2 16281(a)(2)(F)). 

3 (5) DEPARTMENT.—The term ‘‘Department’’ 

4 means the Department of Energy. 

5 (6) HIGH-ASSAY, LOW-ENRICHED URANIUM; 

6 HALEU.—The term ‘‘high-assay, low-enriched ura7 nium’’ or ‘‘HALEU’’ means high-assay low-enriched 

8 uranium (as defined in section 2001(d) of the En9 ergy Act of 2020 (42 U.S.C. 16281(d))). 

10 (7) LOW-ENRICHED URANIUM; LEU.—The term 

11 ‘‘low-enriched uranium’’ or ‘‘LEU’’ means each of— 

12 (A) low-enriched uranium (as defined in 

13 section 3102 of the USEC Privatization Act 

14 (42 U.S.C. 2297h)); and 

15 (B) low-enriched uranium (as defined in 

16 section 3112A(a) of that Act (42 U.S.C. 

17 2297h–10a(a))). 

18 (8) PROGRAMS.—The term ‘‘Programs’’ 

19 means— 

20 (A) the Nuclear Fuel Security Program es21 tablished under subsection (d)(1); 

22 (B) the American Assured Fuel Supply 

23 Program of the Department; and 


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1 (C) the HALEU for Advanced Nuclear Re2 actor Demonstration Projects Program estab3 lished under subsection (d)(3). 

4 (9) SECRETARY.—The term ‘‘Secretary’’ means 

5 the Secretary of Energy. 

6 (10) U.S. NUCLEAR ENERGY COMPANY.—The 

7 term ‘‘U.S. nuclear energy company’’ means a com8 pany that— 

9 (A) is organized under the laws of, or oth10 erwise subject to the jurisdiction of, the United 

11 States; and 

12 (B) is involved in the nuclear energy indus13 try. 

14 (d) ESTABLISHMENT AND EXPANSION OF PRO15 GRAMS.—The Secretary, consistent with the objectives de16 scribed in subsection (b), shall— 

17 (1) establish a program, to be known as the 

18 ‘‘Nuclear Fuel Security Program’’, to increase the 

19 quantity of LEU and HALEU produced by U.S. nu20 clear energy companies; 

21 (2) expand the American Assured Fuel Supply 

22 Program of the Department to ensure the avail23 ability of domestically produced, converted, and en24 riched uranium in the event of a supply disruption; 

25 and 


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1 (3) establish a program, to be known as the 

2 ‘‘HALEU for Advanced Nuclear Reactor Dem3 onstration Projects Program’’— 

4 (A) to maximize the potential for the De5 partment to meet the needs and schedules of 

6 advanced nuclear reactor developers until such 

7 time that commercial enrichment and 

8 deconversion capability for HALEU exists in 

9 the United States at a scale sufficient to meet 

10 future needs; and 

11 (B) where practicable, to partner with 

12 countries that are allies or partners of the 

13 United States to meet those needs and sched14 ules until that time. 

15 (e) NUCLEAR FUEL SECURITY PROGRAM.— 

16 (1) IN GENERAL.—In carrying out the Nuclear 

17 Fuel Security Program, the Secretary— 

18 (A) shall— 

19 (i) not later than 180 days after the 

20 date of enactment of this Act, enter into 2 

21 or more contracts to begin acquiring not 

22 less than 100 metric tons per year of LEU 

23 by December 31, 2026 (or the earliest 

24 operationally feasible date thereafter), to 

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1 nium mining, conversion, enrichment, and 

2 deconversion capacity and technologies, in3 cluding new capacity, among U.S. nuclear 

4 energy companies; 

5 (ii) not later than 180 days after the 

6 date of enactment of this Act, enter into 2 

7 or more contracts with members of the 

8 consortium to begin acquiring not less than 

9 20 metric tons per year of HALEU by De10 cember 31, 2027 (or the earliest operation11 ally feasible date thereafter), from U.S. 

12 nuclear energy companies; 

13 (iii) utilize only uranium produced, 

14 converted, enriched, deconverted, and re15 duced in— 

16 (I) the United States; or 

17 (II) if domestic options are not 

18 practicable, a country that is an ally 

19 or partner of the United States; and 

20 (iv) to the maximum extent prac21 ticable, ensure that the use of domestic 

22 uranium utilized as a result of that pro23 gram does not negatively affect the eco24 nomic operation of nuclear reactors in the 

25 United States; and 


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1 (B)(i) may not make commitments under 

2 this subsection (including cooperative agree3 ments (used in accordance with section 6305 of 

4 title 31, United States Code), purchase agree5 ments, guarantees, leases, service contracts, or 

6 any other type of commitment) for the purchase 

7 or other acquisition of HALEU or LEU un8 less— 

9 (I) funds are specifically provided for 

10 those purposes in advance in appropria11 tions Acts enacted after the date of enact12 ment of this Act; or 

13 (II) the commitment is funded en14 tirely by funds made available to the Sec15 retary from the account described in sub16 section (i)(2)(B); and 

17 (ii) may make a commitment described in 

18 clause (i) only— 

19 (I) if the full extent of the anticipated 

20 costs stemming from the commitment is 

21 recorded as an obligation at the time that 

22 the commitment is made; and 

23 (II) to the extent of that up-front ob24 ligation recorded in full at that time. 


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1 (2) CONSIDERATIONS.—In carrying out para2 graph (1)(A)(ii), the Secretary shall consider and, if 

3 appropriate, implement— 

4 (A) options to ensure the quickest avail5 ability of commercially enriched HALEU, in6 cluding— 

7 (i) partnerships between 2 or more 

8 commercial enrichers; and 

9 (ii) utilization of up to 10-percent en10 riched uranium as feedstock in demonstra11 tion-scale or commercial HALEU enrich12 ment facilities; 

13 (B) options to partner with countries that 

14 are allies or partners of the United States to 

15 provide LEU and HALEU for commercial pur16 poses; 

17 (C) options that provide for an array of 

18 HALEU— 

19 (i) enrichment levels; 

20 (ii) output levels to meet demand; and 

21 (iii) fuel forms, including uranium 

22 metal and oxide; and 

23 (D) options— 

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1 tended to be downblended for other pur2 poses, but was instead used in carrying out 

3 activities under the HALEU for Advanced 

4 Nuclear Reactor Demonstration Projects 

5 Program; 

6 (ii) to continue supplying HALEU to 

7 meet the needs of the recipients of an 

8 award made pursuant to the funding op9 portunity announcement of the Depart10 ment numbered DE–FOA–0002271 for 

11 Pathway 1, Advanced Reactor Demonstra12 tions; and 

13 (iii) to make HALEU available to 

14 other advanced nuclear reactor developers 

15 and other end-users. 

16 (3) AVOIDANCE OF MARKET DISRUPTIONS.—In 

17 carrying out the Nuclear Fuel Security Program, the 

18 Secretary, to the extent practicable and consistent 

19 with the purposes of that program, shall not disrupt 

20 or replace market mechanisms by competing with 

21 U.S. nuclear energy companies. 

22 (f) EXPANSION OF THE AMERICAN ASSURED FUEL

23 SUPPLY PROGRAM.—The Secretary, in consultation with 

24 U.S. nuclear energy companies, shall— 


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1 (1) expand the American Assured Fuel Supply 

2 Program of the Department by merging the oper3 ations of the Uranium Reserve Program of the De4 partment with the American Assured Fuel Supply 

5 Program; and 

6 (2) in carrying out the American Assured Fuel 

7 Supply Program of the Department, as expanded 

8 under paragraph (1)— 

9 (A) maintain, replenish, diversify, or in10 crease the quantity of uranium made available 

11 by that program in a manner determined by the 

12 Secretary to be consistent with the purposes of 

13 that program and the objectives described in 

14 subsection (b); 

15 (B) utilize only uranium produced, con16 verted, enriched, deconverted, and reduced in— 

17 (i) the United States; or 

18 (ii) if domestic options are not prac19 ticable, a country that is an ally or partner 

20 of the United States; 

21 (C) make uranium available from the 

22 American Assured Fuel Supply, subject to 

23 terms and conditions determined by the Sec24 retary to be reasonable and appropriate; 


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1 (D) refill and expand the supply of ura2 nium in the American Assured Fuel Supply, in3 cluding by maintaining a limited reserve of ura4 nium to address a potential event in which a 

5 domestic or foreign recipient of uranium experi6 ences a supply disruption for which uranium 

7 cannot be obtained through normal market 

8 mechanisms or under normal market conditions; 

9 and 

10 (E) take other actions that the Secretary 

11 determines to be necessary or appropriate to 

12 address the purposes of that program and the 

13 objectives described in subsection (b). 

14 (g) HALEU FOR ADVANCED NUCLEAR REACTOR

15 DEMONSTRATION PROJECTS PROGRAM.— 

16 (1) ACTIVITIES.—On enactment of this Act, the 

17 Secretary shall immediately accelerate and, as nec18 essary, initiate activities to make available from in19 ventories or stockpiles owned by the Department and 

20 made available to the consortium, HALEU for use 

21 in advanced nuclear reactors that cannot operate on 

22 uranium with lower enrichment levels or on alternate 

23 fuels, with priority given to the awards made pursu24 ant to the funding opportunity announcement of the 

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1 way 1, Advanced Reactor Demonstrations, with ad2 ditional HALEU to be made available to other ad3 vanced nuclear reactor developers, as the Secretary 

4 determines to be appropriate. 

5 (2) QUANTITY.—In carrying out activities 

6 under this subsection, the Secretary shall consider 

7 and implement, as necessary, all viable options to 

8 make HALEU available in quantities and forms suf9 ficient to maximize the potential for the Department 

10 to meet the needs and schedules of advanced nuclear 

11 reactor developers, including by seeking to make 

12 available— 

13 (A) by September 30, 2024, not less than 

14 3 metric tons of HALEU; 

15 (B) by December 31, 2025, not less than 

16 an additional 8 metric tons of HALEU; and 

17 (C) by June 30, 2026, not less than an ad18 ditional 10 metric tons of HALEU. 

19 (3) FACTORS FOR CONSIDERATION.—In car20 rying out activities under this subsection, the Sec21 retary shall take into consideration— 

22 (A) options for providing HALEU from a 

23 stockpile of uranium owned by the Department, 

24 including— 


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1 (i) uranium that has been declared ex2 cess to national security needs during or 

3 prior to fiscal year 2022; 

4 (ii) uranium that— 

5 (I) directly meets the needs of 

6 advanced nuclear reactor developers; 

7 but 

8 (II) has been previously used or 

9 fabricated for another purpose; 

10 (iii) uranium that can meet the needs 

11 of advanced nuclear reactor developers 

12 after removing radioactive or other con13 taminants that resulted from previous use 

14 or fabrication of the fuel for research, de15 velopment, demonstration, or deployment 

16 activities of the Department, including ac17 tivities that reduce the environmental li18 ability of the Department by accelerating 

19 the processing of uranium from stockpiles 

20 designated as waste; 

21 (iv) uranium from a high-enriched 

22 uranium stockpile, which can be blended 

23 with lower assay uranium to become 

24 HALEU to meet the needs of advanced 

25 nuclear reactor developers; and 


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1 (v) uranium from stockpiles intended 

2 for other purposes (excluding stockpiles in3 tended for national security needs), but for 

4 which uranium could be swapped or re5 placed in time in such a manner that 

6 would not negatively impact the missions 

7 of the Department; 

8 (B) options for expanding, or establishing 

9 new, capabilities or infrastructure to support 

10 the processing of uranium from Department in11 ventories; 

12 (C) options for accelerating the availability 

13 of HALEU from HALEU enrichment dem14 onstration projects of the Department; 

15 (D) options for providing HALEU from 

16 domestically enriched HALEU procured by the 

17 Department through a competitive process pur18 suant to the Nuclear Fuel Security Program es19 tablished under subsection (d)(1); 

20 (E) options to replenish, as needed, De21 partment stockpiles of uranium made available 

22 pursuant to subparagraph (A) with domestically 

23 enriched HALEU procured by the Department 

24 through a competitive process pursuant to the 


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1 Nuclear Fuel Security Program established 

2 under subsection (d)(1); and 

3 (F) options that combine 1 or more of the 

4 approaches described in subparagraphs (A) 

5 through (E) to meet the deadlines described in 

6 paragraph (2). 

7 (4) LIMITATIONS.— 

8 (A) CERTAIN SERVICES.—The Secretary 

9 shall not barter or otherwise sell or transfer 

10 uranium in any form in exchange for services 

11 relating to— 

12 (i) the final disposition of radioactive 

13 waste from uranium that is the subject of 

14 a contract for sale, resale, transfer, or 

15 lease under this subsection; or 

16 (ii) environmental cleanup activities. 

17 (B) CERTAIN COMMITMENTS.—In carrying 

18 out activities under this subsection, the Sec19 retary— 

20 (i) may not make commitments under 

21 this subsection (including cooperative 

22 agreements (used in accordance with sec23 tion 6305 of title 31, United States Code), 

24 purchase agreements, guarantees, leases, 

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1 mitment) for the purchase or other acquisi2 tion of HALEU or LEU unless— 

3 (I) funds are specifically provided 

4 for those purposes in advance in ap5 propriations Acts enacted after the 

6 date of enactment of this Act; or 

7 (II) the commitment is funded 

8 entirely by funds made available to 

9 the Secretary from the account de10 scribed in subsection (i)(2)(B); and 

11 (ii) may make a commitment de12 scribed in clause (i) only— 

13 (I) if the full extent of the antici14 pated costs stemming from the com15 mitment is recorded as an obligation 

16 at the time that the commitment is 

17 made; and 

18 (II) to the extent of that up-front 

19 obligation recorded in full at that 

20 time. 

21 (5) SUNSET.—The authority of the Secretary to 

22 carry out activities under this subsection shall termi23 nate on the date on which the Secretary notifies 

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1 cial HALEU suppliers in the United States, as de2 termined by the Secretary, in consultation with U.S. 

3 nuclear energy companies. 

4 (h) DOMESTIC SOURCING CONSIDERATIONS.— 

5 (1) IN GENERAL.—Except as provided in para6 graph (2), the Secretary may only carry out an ac7 tivity in connection with 1 or more of the Programs 

8 if— 

9 (A) the activity promotes manufacturing in 

10 the United States associated with uranium sup11 ply chains; or 

12 (B) the activity relies on resources, mate13 rials, or equipment developed or produced— 

14 (i) in the United States; or 

15 (ii) in a country that is an ally or 

16 partner of the United States by— 

17 (I) the government of that coun18 try; 

19 (II) an associated entity; or 

20 (III) a U.S. nuclear energy com21 pany. 

22 (2) WAIVER.—The Secretary may waive the re23 quirements of paragraph (1) with respect to an ac24 tivity if the Secretary determines a waiver to be necVerDate Sep 11 2014 03:24 Mar 09, 2023 Jkt 039200 PO 00000 Frm 00020 Fmt 6652 Sfmt 6201 E:\BILLS\H1086.IH H1086

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1 essary to achieve 1 or more of the objectives de2 scribed in subsection (b). 

3 (i) REASONABLE COMPENSATION.— 

4 (1) IN GENERAL.—In carrying out activities 

5 under this section, the Secretary shall ensure that 

6 any LEU and HALEU made available by the Sec7 retary under 1 or more of the Programs is subject 

8 to reasonable compensation, taking into account the 

9 fair market value of the LEU or HALEU and the 

10 purposes of this section. 

11 (2) AVAILABILITY OF CERTAIN FUNDS.— 

12 (A) IN GENERAL.—Notwithstanding sec13 tion 3302(b) of title 31, United States Code, 

14 revenues received by the Secretary from the 

15 sale or transfer of fuel feed material acquired 

16 by the Secretary pursuant to a contract entered 

17 into under clause (i) or (ii) of subsection 

18 (e)(1)(A) shall— 

19 (i) be deposited in the account de20 scribed in subparagraph (B); 

21 (ii) be available to the Secretary for 

22 carrying out the purposes of this section, 

23 to reduce the need for further appropria24 tions for those purposes; and 

25 (iii) remain available until expended. 


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1 (B) REVOLVING FUND.—There is estab2 lished in the Treasury an account into which 

3 the revenues described in subparagraph (A) 

4 shall be— 

5 (i) deposited in accordance with clause 

6 (i) of that subparagraph; and 

7 (ii) made available in accordance with 

8 clauses (ii) and (iii) of that subparagraph. 

9 (j) NUCLEAR REGULATORY COMMISSION.—The Nu10 clear Regulatory Commission shall prioritize and expedite 

11 consideration of any action related to the Programs to the 

12 extent permitted under the Atomic Energy Act of 1954 

13 (42 U.S.C. 2011 et seq.) and related statutes. 

14 (k) USEC PRIVATIZATION ACT.—The requirements 

15 of section 3112(d)(2) of the USEC Privatization Act (42 

16 U.S.C. 2297h–10(d)(2)) shall not apply to activities re17 lated to the Programs. 

18 (l) NATIONAL SECURITY NEEDS.—The Secretary 

19 shall only make available to a member of the consortium 

20 under this section for commercial use or use in a dem21 onstration project material that the President has deter22 mined is not necessary for national security needs, subject 

23 to the condition that the material made available shall not 

24 include any material that the Secretary determines to be 


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1 necessary for the National Nuclear Security Administra2 tion or any critical mission of the Department. 

3 (m) INTERNATIONAL AGREEMENTS.—This section 

4 shall be applied in a manner consistent with the obliga5 tions of the United States under international agreements. 

Æ 


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