```

[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[S. 755 Introduced in Senate (IS)]

  1st Session
                                 S. 755

To amend the Atomic Energy Act of 1954 to provide for the privatization 
              of the United States Enrichment Corporation.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                  May 3 (legislative day, May 1), 1995

 Mr. Domenici (for himself, Mr. Ford, Mr. Johnston, Mr. Campbell, Mr. 
Thomas, and Mr. Simpson) introduced the following bill; which was read 
  twice and referred to the Committee on Energy and Natural Resources

_______________________________________________________________________

                                 A BILL

 
To amend the Atomic Energy Act of 1954 to provide for the privatization 
              of the United States Enrichment Corporation.

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

SECTION 1. SHORT TITLE AND REFERENCE.

    (a) Short Title.--This Act may be cited as the ``USEC Privatization 
Act''.
    (b) Reference.--Except as otherwise expressly provided, whenever in 
this Act an amendment or repeal is expressed in terms of an amendment 
to, or repeal of, a section or other provision, the reference shall be 
considered to be made to a section or other provision of the Atomic 
Energy Act of 1954 (42 U.S.C. 2011 et seq.).

SEC. 2. PRODUCTION FACILITY.

    Paragraph v. of section 11 (42 U.S.C. 2014 v.) is amended by 
striking ``or the construction and operation of a uranium enrichment 
production facility using Atomic Vapor Laser Isotope Separation 
technology''.

SEC. 3. DEFINITIONS.

    Section 1201 (42 U.S.C. 2297) is amended--
            (1) in paragraph (4), by inserting before the period the 
        following: ``and any successor corporation established through 
        privatization of the Corporation'';
            (2) by redesignating paragraphs (10) through (13) as 
        paragraphs (14) through (17), respectively, and by inserting 
        after paragraph (9) the following new paragraphs:
            ``(10) The term `low-level radioactive waste' has the 
        meaning given such term in section 2(9) of the Low-Level 
        Radioactive Waste Policy Act (42 U.S.C. 2021b(9)).
            ``(11) The term `mixed-waste' has the meaning given such 
        term in section 1004(41) of the Solid Waste Disposal Act (42 
        U.S.C. 6903(41)).
            ``(12) The term `privatization' means the transfer of 
        ownership of the Corporation to private investors pursuant to 
        chapter 25.
            ``(13) The term `privatization date' means the date on 
        which 100 percent of the ownership of the Corporation has been 
        transferred to private investors.'';
            (3) by inserting after paragraph (17) (as redesignated) the 
        following new paragraph:
            ``(18) The term `transition date' means July 1, 1993.''; 
        and
            (4) by redesignating the unredesignated paragraph (14) as 
        paragraph (19).

SEC. 4. EMPLOYEES OF THE CORPORATION.

    (a) Paragraph (2).--Paragraphs (1) and (2) of section 1305(e) (42 
U.S.C. 2297b-4(e)(1)(2)) are amended to read as follows:
            ``(1) In general.--It is the purpose of this subsection to 
        ensure that the privatization of the Corporation shall not 
result in any adverse effects on the accrued pension benefits of 
employees at facilities that are operated, directly or under contract, 
in the performance of the functions vested in the Corporation.
            ``(2) Applicability of existing collective bargaining 
        agreement.--Any employer (including the Corporation) at a 
        facility that is operated, directly or under contract, in the 
        performance of the functions vested in the Corporation shall 
        abide by the terms of the collective bargaining agreement in 
        effect on the privatization date at each individual facility 
        until the earlier of the date on which the collective 
        bargaining agreement terminates or a new collective bargaining 
        agreement is executed. In the event that a collective 
        bargaining agreement has expired and is being renegotiated at a 
        facility on the privatization date, the employer shall continue 
        to observe its obligations under the National Labor Relations 
        Act.''.
    (b) Paragraph (4).--Paragraph (4) of section 1305(e) (42 U.S.C. 
2297b-4(e)(4)) is amended to read as follows:
            ``(4) Benefits of transferees.--
                    ``(A) Employees of the Corporation who were subject 
                to either the Civil Service Retirement System (CSRS) or 
                the Federal Employees' Retirement System (FERS) on the 
                day immediately preceding the privatization date 
                pursuant to section 1305 as then in effect, shall 
                elect--
                            ``(i) to retain their coverage under either 
                        CSRS or FERS, as applicable, in lieu of 
                        coverage by the Corporation's retirement 
                        system, or
                            ``(ii) to receive a deferred annuity or 
                        lump-sum benefit payable to a terminated 
                        employee under CSRS or FERS, as applicable.
                Those employees electing (ii) shall have the option to 
                transfer the balance in their Thrift Savings Plan 
                account to a defined contribution plan under the 
                Corporation's retirement system, consistent with 
                applicable law and the terms of the Corporation's 
                defined contribution plan.
                    ``(B) The Corporation shall pay to the Civil 
                Service Retirement and Disability Fund--
                            ``(i) such employee deductions and agency 
                        contributions as are required by sections 8334, 
                        8422, and 8423 of title 5, United States Code, 
                        for those employees who elect to retain their 
                        coverage under either CSRS or FERS pursuant to 
                        subparagraph (A);
                            ``(ii) such additional agency contributions 
                        as are determined necessary by the Office of 
                        Personnel Management to pay, in combination 
                        with the sums under subparagraph (i), the 
                        `normal cost' (determined using dynamic 
                        assumptions) of retirement benefits for those 
                        employees who elect to retain their coverage 
                        under CSRS pursuant to subparagraph (A), with 
                        the concept of `normal cost' being utilized 
                        consistent with generally accepted actuarial 
                        standards and principles; and
                            ``(iii) such additional amounts, not to 
                        exceed two percent of the amounts under 
                        subparagraphs (i) and (ii), as are determined 
                        necessary by the Office of Personnel Management 
                        to pay the cost of administering retirement 
                        benefits for employees who retire from the 
                        Corporation after the privatization date under 
                        either CSRS or FERS, for their survivors, and 
                        for survivors of employees of the Corporation 
                        who die after the privatization date (which 
                        amounts shall be available to the Office of 
                        Personnel Management as provided in section 
                        8348(a)(1)(B) of title 5, United States Code).
                    ``(C) The Corporation shall pay to the Thrift 
                Savings Fund such employee and agency contributions as 
                are required by section 8432 of title 5, United States 
                Code, for those employees who elect to retain their 
                coverage under FERS pursuant to subparagraph (A).
                    ``(D) For those employees of the Corporation who 
                were subject to the Federal Employee Health Benefits 
                Program (FEHBP) on the day immediately preceding the 
                privatization date pursuant to section 1305 as then in 
                effect and who elect to retain their coverage under 
                either CSRS or FERS pursuant to subparagraph (A), it 
                shall be their option as to whether to receive health 
                benefits from a health benefit plan established by the 
                Corporation or to continue without interruption their 
coverage under the FEHBP, in lieu of coverage by the Corporation's 
health benefit system.
                    ``(E) The Corporation shall pay to the Employees 
                Health Benefits Fund--
                            ``(i) such employee deductions and agency 
                        contributions as are required by section 
                        8906(a)-(f) of title 5, United States Code, for 
                        those employees who elect to retain their 
                        coverage under FEHBP pursuant to subparagraph 
                        (D); and
                            ``(ii) such amounts as are determined 
                        necessary by the Office of Personnel Management 
                        under subparagraph (F) to reimburse the Office 
                        of Personnel Management for contributions under 
                        section 8906(g)(1) of title 5, United States 
                        Code, for those employees who elect to retain 
                        their coverage under FEHBP pursuant to 
                        subparagraph (D).
                    ``(F) The amounts required under subparagraph 
                (E)(ii) shall pay the Government contributions for 
                retired employees who retire from the Corporation after 
                the privatization date under either CSRS or FERS, for 
                survivors of such retired employees, and for survivors 
                of employees of the Corporation who die after the 
                privatization date, with said amounts prorated to 
                reflect only that portion of the total service of such 
                employees and retired persons that was performed for 
                the Corporation after the privatization date.''.

SEC. 5. MARKETING AND CONTRACTING AUTHORITY.

    (a) Marketing Authority.--Section 1401(a) (42 U.S.C. 2297c(a)) is 
amended effective on the privatization date (as defined in section 
1201(13) of the Atomic Energy Act of 1954) to read as follows:
    ``(a) Marketing Authority.--Except as provided in this section, the 
Department may not market enriched uranium (including low-enriched 
uranium derived from highly enriched uranium) and uranium enrichment 
and related services after the privatization date.
            ``(1) Right of first refusal.--The Department may itself or 
        through a marketing agent of its choice solicit a purchaser for 
        enriched uranium (including low-enriched uranium derived from 
        highly enriched uranium) and uranium enrichment and related 
        services after the privatization date using competitive bidding 
        procedures. The Corporation may obtain the enriched uranium 
        (including low-enriched uranium derived from highly enriched 
        uranium) for which the Department is seeking a purchaser by--
                    ``(A) offering purchase terms that, in the judgment 
                of the Secretary, exceed the highest qualifying bid 
                received by the Department or its marketing agent; or
                    ``(B) offering a bid that in the judgment of the 
                Secretary best serves the public interest for 
                financial, national security, or other reasons.
            ``(2) Marketing agent.--Without using a competitive process 
        for selecting a marketing agent, the Department may use the 
        Corporation as its marketing agent for entering into contracts 
        for providing enriched uranium (including low-enriched uranium 
        derived from highly enriched uranium) and uranium enrichment 
        and related services.
            ``(3) Government transfers.--Nothing in this section shall 
        be construed to limit the authority of the Secretary to 
        transfer, in a manner the Secretary determines appropriate, 
        enriched uranium (including low-enriched uranium derived from 
        highly enriched uranium)--
                    ``(A) between the Department and other federal 
                agencies if the material is transferred for the use of 
                the receiving agency and does not meet commercial 
                specifications;
                    ``(B) between the Department and any entity or 
                person for national security purposes, as determined by 
                the Secretary; or
                    ``(C) between the Department and state or local 
                agencies and nonprofit, charitable or educational 
                institutions for use other than for the generation of 
                electricity for commercial use.
            ``(4) Secretarial determination.--Prior to any sale by the 
        Department or its marketing agent under paragraph (1) of 
        enriched uranium (including low-enriched uranium derived from 
        highly enriched uranium) or uranium enrichment or related 
services, and after the President has determined such material is not 
necessary to national security needs, the Secretary shall determine by 
full rulemaking with opportunity for public comment that--
                    ``(A) the price paid to the Department for such 
                material will be a fair market price; and
                    ``(B) the sale of such material will not have an 
                adverse impact on the domestic mining or enrichment 
                industries taking into account sales of enriched 
                uranium (including low-enriched uranium derived from 
                highly enriched uranium) under the Amendment to the 
                Agreement Suspending the Antidumping Investigation on 
                Uranium from the Russian Federation, Department of 
                Commerce Investigation No. A-821-802, dated March 11, 
                1994, and 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 Extracted from Nuclear Weapons.
            ``(5) Right to cancel proposed sale.--Nothing in this 
        section shall be interpreted to preclude the Secretary from 
        canceling a proposed sale for any reason.
            ``(6) Uranium inventory report.--180 days prior to any sale 
        under this section, the Secretary shall submit to Congress a 
        current uranium inventory report including updated information 
        with respect to the items listed in section 2296b-5 of title 42 
        United States Code, together with information regarding the 
        proposed sale or transfer.
            ``(7) Proceeds from sales.--Proceeds from sales under this 
        section shall be deposited into the general fund of the United 
        States Treasury.''.
    (b) Transfer of Contracts.--Section 1401(b) (42 U.S.C. 2297c(b)) is 
amended--
            (1) in paragraph (2)(B), by adding at the end the 
        following: ``The privatization of the Corporation shall not 
        affect the terms of, or the rights or obligations of the 
        parties to, any such power purchase contract.''; and
            (2) by adding at the end the following:
            ``(3) Effect of transfer.--
                    ``(A) As a result of the transfer pursuant to 
                paragraph (1), all rights, privileges, and benefits 
                under such contracts, agreements, and leases, including 
                the right to amend, modify, extend, revise, or 
                terminate any of such contracts, agreements, or leases 
                were irrevocably assigned to the Corporation for its 
                exclusive benefit.
                    ``(B) Notwithstanding the transfer pursuant to 
                paragraph (1), the United States shall remain obligated 
                to the parties to the contracts, agreements, and leases 
                transferred pursuant to paragraph (1) for the 
                performance of the obligations of the United States 
                thereunder during the term thereof. The Corporation 
                shall reimburse the United States for any amount paid 
                in respect of such obligations arising after the 
                privatization date to the extent such amount is a legal 
                and valid obligation of the Corporation then due.
                    ``(C) After the privatization date, upon any 
                material amendment, modification, extension, revision, 
                replacement, or termination of any contract, agreement, 
                or lease transferred under paragraph (1), the United 
                States shall be released from further obligation under 
                such contract, agreement, or lease, except that such 
                action shall not release the United States from 
                obligations arising under such contract, agreement, or 
                lease prior to such time.
                    ``(D) The Corporation shall establish prices for 
                its products, materials, and services provided to 
                customers on a basis that will allow it to attain the 
                normal business objectives of a profitmaking 
                corporation for all uranium enrichment contracts 
                transferred pursuant to paragraph (1).''.
    (c) Low-Level Radioactive Waste.--Section 1403 (42 U.S.C. 2297c-2) 
is amended by adding at the end the following:
    ``(h) Obligation of the Department To Accept Low-Level Radioactive 
Waste.--
            ``(1) At the request of the generator, the Department shall 
        accept for treatment and disposal the low-level radioactive 
        waste generated--
                    ``(A) by the Corporation as a result of the 
                operation of the facilities and related property leased 
                by the Corporation pursuant to subsection (a); and
                    ``(B) by any person licensed by the Nuclear 
                Regulatory Commission to operate a uranium enrichment 
                facility under sections 53, 63, and 193 of the Atomic 
                Energy Act of 1954 (42 U.S.C. 2073, 2093, and 2243).
            ``(2) The increase in costs of treatment and disposal 
        actually incurred by the Department which are solely 
        attributable to and result from the treatment and disposal of 
        such wastes received from the generator shall be paid to the 
        Department by the generator, but in no event shall such payment 
        exceed an amount equal to that which would be charged by 
        commercial entities for the treatment and disposal of such 
        wastes.
            ``(3) At its sole discretion, the generator may, but is not 
        required to, arrange for the treatment and disposal of such 
        wastes or any portion thereof at any other facility otherwise 
        authorized by applicable laws and regulations to treat or 
        dispose of such wastes.
            ``(4) The costs of treatment and disposal of such wastes at 
        any other facility shall be borne solely by the generator.''.
    (d) Transfer of Uranium.--Title II (42 U.S.C. 2297 et seq.) is 
amended by redesignating section 1408 as section 1409 and inserting 
after section 1407 the following:

``SEC. 1408. TRANSFER OF URANIUM.

    ``(a) In General.--In addition to material transferred to the 
Corporation pursuant to the Memorandum of Agreement Relating to the 
Transfer of Functions and Activities from the Department to the 
Corporation dated December 15, 1994, the Secretary may, before the 
privatization date, transfer to the Corporation without charge the low-
enriched uranium from up to 50 metric tons of highly enriched uranium 
and up to 7,000 metric tons of natural uranium.
    ``(b) Limitation on Sale of Low-Enriched Uranium and Natural 
Uranium Transferred by the United States.--
            ``(1) Natural uranium transferred pursuant to subsection 
        (a) by the United States to the Corporation may not be 
        delivered for commercial end use prior to January 1, 1998. 
        Beginning January 1, 1998, the total amount of such natural 
        uranium from stockpiles held by the United States or the 
        Corporation delivered in any calendar year for commercial end 
        use may not exceed ten percent of the uranium hexafluoride 
        equivalent content of the total amount of natural uranium 
        transferred pursuant to subsection (a). In no event shall the 
        total quantity of such natural uranium delivered for commercial 
        end use exceed 4 million pounds uranium hexafluoride equivalent 
        in any calendar year.
            ``(2) Low-enriched uranium transferred pursuant to 
        subsection (a) by the United States to the Corporation may be 
        delivered for commercial end use in an amount not to exceed 
        800,000 separative work units in any calendar year.''.

SEC. 6. PURCHASE OF HIGHLY ENRICHED URANIUM FROM FORMER SOVIET UNION.

    Section 1409 (as redesignated) of the Atomic Energy Act of 1954 (42 
U.S.C. 2011 et seq.) is amended to read:
    ``(a) In General.--The Government of the United States, may, at any 
time after the privatization date, change the Executive Agent pursuant 
to Article III 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 Extracted from 
Nuclear Weapons, dated February 18, 1993, upon 30 days written notice 
to the other Party.
    ``(b) Executive Agent on Privatization Date.--On the privatization 
date, the Executive Agent designated by the Government of the United 
States pursuant to Article III 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 
Extracted from Nuclear Weapons, dated February 18, 1993, shall be the 
Corporation.
    ``(c) Authorities and Obligations of the Executive Agent.--The 
Executive Agent is authorized to negotiate the purchase of all highly 
enriched uranium made available by any State of the former Soviet Union 
under a government-to-government agreement or shall assume the 
obligations of the Department or any previous Executive Agent under any 
contractual agreement that has been reached with any such State or any 
private entity by the Department or any previous Executive Agent. The 
Executive Agent may only purchase that material so long as the quality 
of the material can be made suitable for use in commercial reactors.
    ``(d)(1) The Executive Agent of the United States is authorized to 
enter into contracts for the resale of the enrichment component of low-
enriched uranium derived from highly enriched uranium and purchased 
pursuant to an agreement under subsection (c). Upon delivery by the 
Executive Agent of the United States of such low-enriched uranium 
pursuant to a contract for the sale of the enrichment component of such 
low-enriched uranium, the Executive Agent of the United States shall 
deliver an amount of uranium hexafluoride equivalent to the natural 
uranium component of such low-enriched uranium to the Executive Agent 
of the Russian Federation. The quantity of such uranium hexafluoride 
delivered to the Executive Agent of the Russian Federation shall be 
based on a 0.30 w/o tails assay.
    ``(2) Title to uranium hexafluoride delivered to the Executive 
Agent of the Russian Federation pursuant to subparagraph (d)(1) shall 
transfer to the Executive Agent of the Russian Federation upon delivery 
of such material to the Executive Agent of the Russian Federation.
    ``(3) Uranium hexafluoride delivered to the Executive Agent of the 
Russian Federation pursuant to subparagraph (d)(1) shall be deemed to 
be of Russian origin. Except as otherwise provided in paragraph (d)(4), 
such uranium hexafluoride shall be subject to the restrictions 
contained in the Amendment to the Agreement Suspending the Antidumping 
Investigation on Uranium from the Russian Federation, 59 Federal 
Register 15373, as such restrictions were in effect on March 11, 1994; 
and may also be used in the United States for the purpose of 
overfeeding in the operations of enrichment facilities or may be resold 
for end use outside the United States.
    ``(4) Beginning January 1, 2002, uranium hexafluoride delivered to 
the Executive Agent of the Russian Federation pursuant to subparagraph 
(d)(1), may be delivered for consumption by end users in the United 
States only in accordance with the following schedule:

Years                               Annual Maximum Deliveries
    2002-2011......................
                                        10 million lbs. uranium 
                                                hexafluoride
    2012-..........................
                                        20 million lbs. uranium 
                                                hexafluoride
    ``(5) Material sold pursuant to subparagraph (d)(4) may be used for 
swaps and exchanges only where such swaps and exchanges are documented 
to be conducted solely for the purpose of facilitating the further 
processing and use as nuclear fuel by the end-user. The material shall 
not be loaned.''.

SEC. 7. PRIVATIZATION OF THE CORPORATION.

    (a) Establishment of Private Corporation.--Chapter 25 (42 U.S.C. 
2297d et seq.) is amended by adding at the end the following new 
section:

``SEC. 1503. ESTABLISHMENT OF PRIVATE CORPORATION.

    ``(a) Establishment.--
            ``(1) In general.--In order to facilitate privatization, 
        the Corporation may provided for the establishment of a private 
        corporation organized under the laws of the several States. 
        Such corporation shall have among its purposes the following:
                    ``(A) To help maintain a reliable and economical 
                domestic source of uranium enrichment services.
                    ``(B) To undertake any and all activities as 
                provided in its corporate charter.
            ``(2) Authorities.--Subject to applicable licensing, 
        certification, or other requirements under this Act, the 
        corporation established pursuant to paragraph (1) shall be 
        authorized to--
                    ``(A) enrich uranium, provide for uranium to be 
                enriched by others, or acquire enriched uranium 
                (including low-enriched uranium derived from highly 
                enriched uranium);
                    ``(B) conduct, or provide for conducting, those 
                research and development activities related to uranium 
                enrichment and related processes and activities the 
                corporation considers necessary or advisable to 
                maintain itself as a commercial enterprise operating on 
                a profitable and efficient basis:
                    ``(C) enter into transactions regarding uranium, 
                enriched uranium, or depleted uranium with--
                            ``(i) persons licensed under section 53, 
                        63, 103, or 104 in accordance with the licenses 
                        held by those persons;
                            ``(ii) persons in accordance with, and 
                        within the period of, an agreement for 
                        cooperation arranged under section 123; or
                            ``(iii) persons otherwise authorized by law 
                        to enter into such transactions;
                    ``(D) enter into contracts with persons licensed 
                under section 53, 63, 103, or 104, for as long as the 
                corporation considers necessary or desirable, to 
                provide uranium or uranium enrichment or related 
                services;
                    ``(E) enter into contracts to provide uranium or 
                uranium enrichment and related services in accordance 
                with, and within the period of, an agreement for 
                cooperation arranged under section 123 or as otherwise 
                authorized by law; and
                    ``(F) take any and all such other actions as are 
                permitted by law of the jurisdiction of incorporation 
                of the corporation.
            ``(3) Transfer of assets.--For purposes of implementing the 
        privatization, the Corporation may transfer some or all of its 
        assets and obligations and records to the corporation 
        established pursuant to this section, including--
                    ``(A) all the Corporation's assets and obligations, 
                including all of the Corporation's rights, duties, and 
obligations accruing subsequent to the privatization date under 
contracts, agreements, and leases entered into by the Corporation 
before the privatization date, including all uranium enrichment 
contracts and power purchase contracts;
                    ``(B) all funds in accounts of the Corporation held 
                by the Treasury or on deposit with any bank or other 
                financial institution;
                    ``(C) all of the Corporation's rights to purchase 
                power from the Secretary under the power purchase 
                contracts covered by section 1401(b)(2)(B); and
                    ``(D) all of the Corporation's rights, duties, and 
                obligations, accruing subsequent to the privatization 
                date, under the lease agreement between the Department 
                and the Corporation executed by the Department and the 
                Corporation pursuant to section 1403; and
                    ``(E) all of the Corporation's records, including 
                all of the papers and other documentary materials, 
                regardless of physical form or characteristics, made or 
                received by the Corporation.
            ``(4) Merger or consolidation.--For purposes of 
        implementing the privatization, the Corporation may merge or 
        consolidate with the corporation established pursuant to 
        subsection (a)(1) if such action is contemplated by the plan 
        for privatization approved by the President under section 
        1502(b). The Board shall have exclusive authority to approve 
        such merger or consolidation, and to take all further actions 
        necessary to consummate such merger or consolidation, and no 
        action by or in respect of shareholders shall be required. The 
        merger or consolidation shall be effected in accordance with, 
        and have the effects of a merger or consolidation under, the 
        laws of the jurisdiction of incorporation of the surviving 
        corporation, and all rights and benefits provided under this 
        title to the Corporation shall apply to the surviving 
        corporation as if it were the Corporation.
            ``(5) Tax treatment of privatization.--
                    ``(A) Transfer of assets or merger.--No income, 
                gain, or loss shall be recognized by any person by 
                reason of the transfer of the Corporation's assets to, 
                or the Corporation's merger with, the corporation 
                established pursuant to subsection (a)(1) in connection 
                with the privatization.
                    ``(B) Cancellation of debt and common stock.--No 
                income, gain, or loss shall be recognized by any person 
                by reason of any cancellation of any obligation or 
                common stock of the Corporation in connection with the 
                privatization.
            ``(6) Activities prior to privatization.--Prior to 
        privatization, the activities of the corporation established 
        pursuant to subsection (a)(1) shall be limited to those 
        contemplated by the privatization plan approved by the 
        President under section 1502(b).
    ``(b) OSHA Requirements.--For purposes of the regulation of 
radiological and nonradiological hazards under the Occupational Safety 
and Health Act of 1970, the corporation established pursuant to 
subsection (a)(1) shall be treated in the same manner as other 
employers licensed by the Nuclear Regulatory Commission. Any 
interagency agreement entered into between the Nuclear Regulatory 
Commission and the Occupational Safety and Health Administration 
governing the scope of their respective regulatory authorities shall 
apply to the corporation as if the corporation were a Nuclear 
Regulatory Commission licensee.
    ``(c) Legal Status of Private Corporation.--
            ``(1) Not federal agency.--The corporation established 
        pursuant to subsection (a)(1) shall not be an agency of the 
        United States Government and shall not be a Government 
        corporation or Government-controlled corporation. For purposes 
        of United States antitrust laws, the performance by the 
        corporation established pursuant to subsection (a)(1) of a 
        `matched import' contract shall be considered to have occurred 
        prior to the privatization date, if at the time of 
        privatization, such contract had been agreed to by the parties 
        in all material terms and confirmed by the United States 
        Department of Commerce under the Amendment to the Agreement 
        Suspending the Antidumping Investigation on Uranium from the 
Russian Federation, Department of Commerce Investigation No. A-821-802, 
dated March 11, 1994.
            ``(2) No recourse against united states.--Obligations of 
        the corporation established pursuant to subsection (a)(1) shall 
        not be obligations of, or guaranteed as to principal or 
        interest by, the Corporation or the United States, and the 
        obligations shall so plainly state.
            ``(3) No claims court jurisdiction.--No action under 
        section 1491 of title 28, United States Code, shall be 
        allowable against the United States based on the actions of the 
        corporation established pursuant to subsection (a)(1).
    ``(d) Board of Director's Election After Public Offering.--In the 
event that the privatization is implemented by means of a public 
offering, an election of the members of the board of directors of the 
Corporation by the shareholders shall be conducted before the end of 
the 1-year period beginning the date shares are first offered to the 
public pursuant to such public offering.''.
    (b) Ownership Limitations.--Chapter 25 (as amended by subsection 
(a)) is amended by adding at the end the following new section:

``SEC. 1504. OWNERSHIP LIMITATIONS.

    ``(a) Securities Limitation.--In the event that the privatization 
is implemented by means of a public offering, during a period of 3 
years beginning on the privatization date, no person, directly or 
indirectly, may acquire or hold securities representing more than 10 
percent of the total votes of all outstanding voting securities of the 
Corporation.
    ``(b) Application.--Subsection (a) shall not apply--
            ``(1) to any employee stock ownership plan of the 
        Corporation,
            ``(2) to underwriting syndicates holding shares for resale, 
        or
            ``(3) in the case of shares beneficially held for others, 
        to commercial banks, broker-dealers, clearing corporations, or 
        other nominees.
    ``(c) No director, officer, or employee of the Corporation may 
acquire any securities, or any rights to acquire securities of the 
Corporation on terms more favorable than those offered to the general 
public--
            ``(1) in the public offering of securities of the 
        Corporation in the implementation of the privatization,
            ``(2) pursuant to any agreement, arrangement, or 
        understanding entered into before the privatization date, or
            ``(3) before the election of directors of the Corporation 
        under section 1503(d).''.
    (c) Exemption From Liability.--Chapter 25 (as amended by subsection 
(b)) is amended by adding at the end the following new section:

``SEC. 1505. EXEMPTION FROM LIABILITY.

    ``(a) In General.--No director, officer, employee, or agent of the 
Corporations shall be liable, for money damages or otherwise, to any 
party if, with respect to the subject matter of the action, suit, or 
proceeding, such person was fulfilling a duty, in connection with any 
action taken in connection with the privatization, which such person in 
good faith reasonably believed to be required by law or vested in such 
person.
    ``(b) Exception.--The exemption set forth in subsection (a) shall 
not apply to claims arising under the Securities Act of 1933, the 
Securities Exchange Act of 1934 or under the Constitution or laws of 
any State, territory, or possession of the United States relating to 
transactions in securities, which claims are in connection with a 
public offering implementing the privatization.
    ``(c) Securities Laws Applicable.--Any offering or sale of 
securities by the corporation established pursuant to section 
1503(a)(1) shall be subject to the Securities Act of 1933, the 
Securities Exchange Act of 1934 and the provisions of the Constitution 
and laws of any State, territory, or possession of the United States 
relating to transactions in securities.''.
    (d) Resolution of Certain Issues.--Chapter 25 (as amended by 
subsection (c)) is amended by adding at the end the following new 
section:

``SEC. 1506. RESOLUTION OF CERTAIN ISSUES.

    ``(a) Corporation Actions.--Notwithstanding any provision of any 
agreement to which the Corporation is a party, the Corporation shall 
not be considered to be in breach, default, or violation of any such 
agreement because of any provision of this chapter or any action the 
Corporation is required to take under this chapter.
    ``(b) Right To Sue Withdrawn.--The United States hereby withdraws 
any stated or implied consent for the United States, or any agent or 
officer of the United States, to be sued by any person for any legal, 
equitable, or other relief with respect to any claim arising out of, or 
resulting from, acts or omissions under this chapter.''.
    (e) Application of Privatization Proceeds.--Chapter 25 (as amended 
by subsection (d)) is amended by adding at the end the following new 
section:

``SEC. 1507. APPLICATION OF PRIVATIZATION PROCEEDS.

    ``The proceeds from the privatization shall be included in the 
budget baseline required by the Balanced Budget and Emergency Deficit 
Control Act of 1985 and shall be counted as an offset to direct 
spending for purposes of section 252 of such Act, notwithstanding 
section 257(e) of such Act.''.
    (f) Conforming Amendment.--The table of contents for chapter 25 is 
amended by inserting after the item for section 1502 the following:

``Sec. 1503. Establishment of private corporation.
``Sec. 1504. Ownership limitations.
``Sec. 1505. Exemption from liability.
``Sec. 1506. Resolution of certain issues.
``Sec. 1507. Application of privatization proceeds.''.
    (g) Section 193 (42 U.S.C. 2243) is amended by adding at the end 
the following:
    ``(f) Limitation.--No license or certificate of compliance may be 
issued to the Corporation under section 53, 63, 193, or 1701, if in the 
opinion of the Nuclear Regulatory Commission, the issuance of such a 
license or certificate of compliance to the Corporation would be 
inimical to the common defense and security of the United States due to 
the nature and extent of the ownership, control or domination of the 
Corporation by a foreign corporation or a foreign government or any 
other relevant factors or circumstances.''.

SEC. 8. PERIODIC CERTIFICATION OF COMPLIANCE.

    Section 1701(c)(2) (42 U.S.C. 2297f(c)(2)) is amended by striking 
``Annual application for certificate of compliance.--The Corporation 
shall apply at least annually to the Nuclear Regulatory Commission for 
a certificate of compliance under paragraph (1).'' and inserting 
``Periodic application for certificate of compliance.--The Corporation 
shall apply to the Nuclear Regulatory Commission for a certificate of 
compliance under paragraph (1) periodically, as determined by the 
Nuclear Regulatory Commission, but not less than every 5 years.''.

SEC. 9. LICENSING OF OTHER TECHNOLOGIES.

    Subsection (a) of section 1702 (42 U.S.C. 2297f-1(a)) is amended--
            (1) by striking ``other than'' and inserting ``including'', 
        and
            (2) by striking ``sections 53 and 63'' and inserting 
        ``sections 53, 63, and 193''.

SEC. 10. JUDICIAL REVIEW OF NUCLEAR REGULATORY COMMISSION ACTIONS.

    Section 189 of the Atomic Energy Act of 1954 (42 U.S.C. 2239(b)) is 
amended to read as follows:
    ``(b) The following Commission actions shall be subject to judicial 
review in the manner prescribed in chapter 158 of title 28, United 
States Code and chapter 7 of title 5, United States Code:
            ``(1) Any final order entered in any proceeding of the kind 
        specified in subsection (a) above.
            ``(2) Any final order allowing or prohibiting a facility to 
        begin operating under a combined construction and operating 
        license.
            ``(3) Any final order establishing by regulation standards 
        to govern the gaseous diffusion uranium enrichment facilities 
        of the Department of Energy, including any such facilities 
        leased to a corporation established pursuant to section 1503.
            ``(4) Any final determination relating to whether the 
        gaseous diffusion uranium enrichment facilities of the 
        Department of Energy, including any such facilities leased to a 
        corporation established pursuant to section 1503, are in 
        compliance with the Commission's standards governing the 
        gaseous diffusion uranium enrichment facilities of the 
        Department of Energy and all applicable laws.''.

SEC. 11. CIVIL MONETARY PENALTIES FOR VIOLATIONS OF LICENSING OR 
              CERTIFICATION REQUIREMENTS.

    (a) In General.--Subsection 234 of the Atomic Energy Act of 1954 
(42 U.S.C. 2282(a)) is amended to read as follows:
    ``(a) Civil Penalties.--
            ``(1) In general.--A person who--
                    ``(A) violates--
                            ``(i) a licensing provision of section 53, 
                        57, 62, 63, 81, 82, 101, 103, 104, 107, or 109, 
                        or any rule, regulation, or order issued under 
                        the provision;
                            ``(ii) a certification provision of section 
                        1701, or any rule or regulation issued under 
                        the provision; or
                            ``(iii) a term, condition, or limitation of 
                        a license or certification issued under a 
                        section referred to in clause (i) or (ii); or
                    ``(B) commits a violation for which a license may 
                be revoked under section 186 or a certificate may be 
                revoked under section 1701;
        shall be subject to a civil penalty, to be imposed by the 
        Commission, of not to exceed $100,000 for each violation.
            ``(2) Continuing violations.--If a violation described in 
        paragraph (1) continues for more than 1 day, each day of the 
        violation shall constitute a separate violation for the purpose 
        of determining the applicable civil penalty.
            ``(3) Modification of penalty.--The Commission may 
        compromise, mitigate, or remit a penalty required to be imposed 
        under this subsection.''.
    (b) Conforming Amendments.--
            (1) Section 234 of such Act (42 U.S.C. 2282) is amended--
                    (A) in the section heading, by inserting ``or 
                certification'' after ``licensing'';
                    (B) by inserting after ``(b)'', the following: 
                ``Notification by the Commission.--''; and
                    (C) by inserting after ``(c)'' the following: 
                ``Action by the Attorney General.--''.
            (2) The table of contents of such Act (42 U.S.C. prec. 
        2011) is amended by striking the item relating to section 234 
        and inserting the following new item:

``Sec. 234. Civil monetary penalties for violations of licensing or 
                            certification requirements.''.

SEC. 12. CONFORMING AMENDMENTS.

    (a) Repeals in Atomic Energy Act of 1954 as of the Privatization 
Date.--
            (1) Repeals.--As of the privatization date (as defined in 
        section 1201(13) of the Atomic Energy Act of 1954), the 
        following sections (as in effect on such privatization date) of 
        the Atomic Energy Act of 1954 are repealed:
                    (A) Section 1202.
                    (B) Sections 1301 through 1304.
                    (C) Sections 1306 through 1316.
                    (D) Section 1402.
                    (E) Sections 1404 and 1405.
                    (F) Section 1601.
                    (G) Sections 1603 through 1607.
            (2) Conforming amendment.--The table of contents of such 
        Act is amended by repealing the items referring to sections 
        repealed by paragraph (1).
    (b) Statutory Modifications.--As of such privatization date, the 
following shall take effect:
            (1) For purposes of title I of the Atomic Energy Act of 
        1954, all references in such Act to the ``United States 
        Enrichment Corporation'' shall be deemed to be references to 
        the corporation established pursuant to section 1503 of the 
        Atomic Energy Act of 1954 (as added by section 7(a)).
            (2) Section 1018(1) of the Energy Policy Act of 1992 (42 
        U.S.C. 2296b-7(1)) is amended by striking ``the United States'' 
        and all that follows through the period and inserting ``the 
        corporation referred to in section 1201(4) of the Atomic Energy 
        Act of 1954.''.
            (3) Section 9101(3) of title 31, United States Code, is 
        amended by striking subparagraph (N), as added by section 
        902(b) of Public Law 102-486.
    (c) Revision of Section 1305.--As of such privatization date, 
section 1305 of the Atomic Energy Act of 1954 (42 U.S.C. 2297b-4) is 
amended--
            (1) by repealing subsections (a), (b), (c), and (d), and
            (2) in subsection (e)--
                    (A) by striking the subsection designation and 
                heading,
                    (B) by redesignating paragraphs (1) and (2) (as 
                added by section 4(a)) as subsections (a) and (b) and 
                by moving the margins 2-ems to the left,
                    (C) by striking paragraph (3), and
                    (D) by redesignating paragraph (4) (as amended by 
                section 4(b)) as subsection (c), and by moving the 
                margins 2-ems to the left.
                                 <all>
S 755 IS----2
S 755 IS----3
```