ocal overnments meet to discuss defining consent...

Chair

Mayor Tom Beehan

City of Oak Ridge, Tennessee

Treasurer

Councilor Fran Berting

Incorporated County of Los Alamos, New Mexico

Immediate Past Chair

Councilmember Robert Thompson

City of Richland, Washington

Vice Chair

Councilmember Chuck Smith

Aiken County, South Carolina

Secretary

Mayor Steve Young

City of Kennewick, WA

Energy

Communities

Alliance

Inside this issue: Page

FY14 DOE/NNSA Funding Tables ....................................................................................................................... 3

FY14 National Defense Authorization Act Policy Details .................................................................................... 6

DOE Releases “A Project Concept for Nuclear Fuels Storage and Transportation” ....................................... 11

LOCAL GOVERNMENTS MEET TO DISCUSS DEFINING A CONSENT-BASED

PROCESS

In June, representatives from 15 energy

communities, states the nuclear industry, U.S.

Department of Energy, national laboratories, the

Shoshone-Bannock tribe and economic development

entities met to discuss the role for local communities

in advancing new nuclear waste storage and disposal

plans. Participants at ECA’s Shaping a Nuclear

Future Peer Exchange, held in Idaho Falls, ID, with

support from DOE’s Office of Nuclear Energy,

focused on defining a consent-based process for

siting nuclear facilities, and identifying what

communities need as potential hosts.

Key messages presented by local governments at the

meeting included:

Energy communities support a consent-based

process for siting and several communities

are interested in potentially hosting interim

storage facilities.

Potential host communities need resources to

begin public education campaigns now on

nuclear energy and waste issues in order to

achieve consent for future nuclear storage

and disposal facilities.

Local governments should identify the kinds

of incentives they want to include in a consent

agreement.

Local governments must have oversight and

be represented on any oversight board that is

established in new legislation.

To the extent possible, political factors must

be limited in a consent-based siting process

and balanced with scientific factors.

At the outset of the meeting, Assistant Secretary for

Nuclear Energy, Dr. Pete Lyons, joined meeting

participants in an interactive discussion of

community priorities and the implementation of

DOE’s nuclear waste management strategy. Dr.

Lyons stated his commitment to work with national

(Continued on page 2)

2

June 2013 ECA Bulletin

organizations to provide education to communities

and states. He also underscored the need to see how

Congress will address nuclear waste management

through legislation before funding any site-specific

activities. Dr. Ron Faibish from Argonne National

Laboratory provided an overview of the discussion

draft legislation recently released by the Senate, and

solicited input from meeting participants on the

challenges and opportunities that decision-makers

need to understand.

Vice Admiral John Grossenbacher, Director of the

Idaho National Laboratory − DOE’s lead nuclear

energy research lab − highlighted the importance of

nuclear energy, the need for greater transparency,

public information, education on nuclear issues, and

most importantly, engagement in the public

discourse. Jeff Sayer, Chairman of Idaho Governor

Butch Otter’s Leadership in Nuclear Energy

Commission (LINE Commission) provided a

keynote address outlining the importance of

developing nuclear energy opportunities for the

future.

The meeting also included a tour of the Idaho

National Laboratory, with stops to view dry cask

storage facilities, spent nuclear fuel pools, new

nuclear research and development facilities, and the

Experimental Breeder Reactor I (EBR-I) the world’s

first nuclear power plant to generate electricity.

(Continued from page 1)

Defining a Consent-Based Process

There was a lot of action on the Hill and around

D.C. for energy communities issues this month, in

the form of the fiscal year 2014 (FY14) National

Defense Authorization Act and Energy-Water

Appropriations Bill.

In addition, the Office of Management and Budget

(OMB) issued new guidance for agency heads on

austerity measures for the FY15 budget; President

Obama gave a policy speech on nuclear weapons in

Berlin; the Manhattan Project National Historical

Park Act was passed by the House; and Secretary

Moniz found his chief of staff.

FY14 Defense Authorization Act Update

Congress continues to make progress on the FY14

National Defense Authorization Act (NDAA),

which authorizes the budget authority of the

Department of Defense and DOE national security

programs.

The House passed its version of the FY14 NDAA

(H.R. 1960) on June 14. Upon passage of the bill,

the White House issued a Statement of

Administration Policy, stating, “if the bill is

presented to the President for approval in its current

form, the President's senior advisers would

recommend that the President veto the bill.”

Items in the bill to which the White House objects

include New START Treaty implementation

reductions and nuclear employment strategy,

modifications to annual reports regarding the

condition of the nuclear weapons stockpile, nuclear

treaty matters, and governance of the nuclear

security enterprise.

The Senate Armed Services Committee (SASC)

completed its markup of the Senate version of the

bill (S. 1034) on the same day, June 14. It is

unknown when the SASC bill will reach the Senate

floor, although Senate Armed Services Chairman

Carl Levin (D-MI) suggested that may not be until

September.

For details on the contents of the House and SASC

bills, see the story on page 6.

Manhattan Project National Historical Park Act

Passed as Part of House Defense Authorization

The Manhattan Project National Historical Park Act

was passed as part of the House NDAA. The bill

was incorporated as an amendment, filed by

Representative Doc Hastings (R-WA).

The Senate Energy and Natural Resources

Committee approved a stand-alone version of the (Continued on page 4)


3

FY14 DOE/NNSA FUNDING TABLES

Account Funding Levels (select accounts)

Defense Environmental Cleanup Site Details (select sites)

Account

FY14

Request

Senate

Appropriations

House

Appropriations

Senate

Authorization

House

Authorization

DOE $28.95

billion

$28.21 billion $24.93 billion N/A N/A

NNSA $11.69

billion

$11.76 billion $11.27 billion $11.6 billion $11.9 billion

NNSA

Weapons

Activities

$7.87

billion


Defense

Environmental

Cleanup

$5.32

billion


Office of

Legacy

Management

$176.98

million

Not available $173.03 million $176.98 million $176.98 million

Account

FY14

Request

Senate

Appropriations

House

Appropriations

Senate

Authorization

House

Authorization

Hanford $921.79

million

Not available $876.61 million $941.79

million

$921.79 million

Office of

River

Protection

$1.21 billion Not available $1.19 billion $1.26 billion $1.21 billion

Los Alamos

National

Laboratory

$219.79

million

Not available $195 million $259.79

million

$219.79 million

Oak Ridge

Reservation

$193.94

million


million

$193.94 million

Savannah

River Site

$1.09 billion Not available $1.07 billion $1.24 billion $1.183 billion

Waste

Isolation Pilot

Plant

$203.39

million


million

$203.39 million

4


legislation (S. 507) on May 16, sending it to the full

Senate for consideration. The Senate has not yet

acted on the bill. Senators Maria Cantwell (D-WA),

Lamar Alexander (R-TN), Martin Heinrich (D-NM),

Patty Murray (D-WA) and Tom Udall (D-NM)

sponsored the bill.

The bipartisan legislation would establish a

Manhattan Project National Historical Park

encompassing facilities in Hanford, Washington;

Oak Ridge, Tennessee; and Los Alamos, New

Mexico.

Conveyance of Land at the Hanford Site

During consideration of the bill, an amendment was

adopted regarding conveyance of land at the

Hanford Site to the Community Reuse Organization

of the Hanford Site (see page 9 for more

information).

House and Senate Panels Mark Up FY14 Energy

Appropriations Bill

The House and Senate Appropriations Committees

took up the FY14 Energy and Water Development,

and Related Agencies Appropriations Bill this

month. The House Appropriations Committee

passed its version of the bill on June 26, referring it

to the full House. The Senate Appropriations

Committee passed its version of the bill on June 27.

See the funding table on page 3.

In addition to setting funding levels, the panels

provide policy direction. Of particular interest is

direction regarding the management of nuclear spent

fuel and defense waste:

House and Senate Panel Direction on

Management of Nuclear Spent Fuel and Defense

Waste

Although details are not yet available on the Senate

bill, the Senate Appropriations Committee says the

measure includes “a limited provision to begin

addressing our lack of progress in managing the

long-term storage of spent nuclear fuel and high-

level radioactive waste by providing the Secretary

of Energy with the authority to initiate a pilot

program for a consolidated storage facility.”

In its bill, the House Appropriations Committee

weighed in with the following language:

The fiscal year 2014 request includes a proposal to

implement the Department’s Strategy for the

Management and Disposal of Used Nuclear Fuel

and High-Level Radioactive Waste. This strategy—

informed by the Administration’s Blue Ribbon

Commission that by its very charter did not examine

the suitability of Yucca Mountain as a permanent

repository—is estimated at $5,600,000,000 over the

next ten years. The strategy also proposes to reform

the current funding arrangement for the

Department’s nuclear waste fund management

program. The Committee notes that neither the BRC

recommendations nor the Department’s proposal

has been considered by Congress, yet the

Administration included $60,000,000 in its fiscal

year 2014 request for used nuclear fuel disposition,

including activities necessary solely as a

consequence of the Administration’s Yucca

Mountain policy. The recommendation rejects these

proposals and makes clear that any activities funded

from the Nuclear Waste Fund must be in support of

Yucca Mountain.

In addition, the recommendation provides

$25,000,000 to support the Yucca Mountain High-

Level Waste Geological Repository and includes

bill language allowing Nuclear Waste Fund

appropriations to be transferred to the Nuclear

Regulatory Commission in support of Yucca

Mountain. The recommendation also expresses

support to local communities who have formally

consented to host Yucca Mountain. The Committee

includes this support in recognition that Nye

County, the county that encompasses the Yucca

Mountain area, has given its formal consent to host

Yucca Mountain, yet the Administration blithely

ignores this consent as it pushes ahead on its own

‘‘consent-based approach’’.

The Committee notes that geological repositories

will be needed in addition to Yucca Mountain. If the

Congress provides the authority for such

repositories, as well as for a consensus-based siting

process, the Committee will consider support for

such activities at that time. In the meantime, the bill

contains a prohibition on using funds to close the


D.C. Update



5

Yucca Mountain license application or to take

actions that would irrevocably remove Yucca

Mountain as an option for a repository.

The House report is available here.

OMB Guidance for FY15 Budget Submissions

Office of Management and Budget (OMB) Director

Sylvia Burwell sent a memo to the heads of federal

departments and agencies on May 29, providing

guidance for preparing FY15 budget submissions.

FY15 budget submissions to OMB should reflect a

5 percent reduction below the net discretionary total

provided for each agency for FY15 in the FY14

budget. Each agency’s budget submission should

also include additional reductions that would bring

the overall submission to a level that would reduce

the budget an additional 5 percent (totaling 10

percent).

As part of the budget process, agencies were

instructed to submit draft strategic goals and

objectives for OMB review in June, along with full

draft strategic plans.

This process will ultimately result in the release of

the President’s FY15 budget request, as statutorily

required, in February 2014.

The OMB memo is available here.

House Energy and Commerce Chairman

Prepares Yucca Mountain Bill

The Hill reports that House Energy and Commerce

Chairman Fred Upton (R-MI) is preparing to unveil

legislation that would affirm Yucca Mountain as the

nation’s sole nuclear waste site.

"We're working on that," Upton told The Hill. "Stay

tuned."

Rep. John Shimkus (R-IL), chairman of the House

Energy and Commerce Subcommittee on

Environment and the Economy, said “Chairman

Upton has talked to me about maybe we’re going to

have to be a little more offensive as far as legislation

just to send a signal.”

In Berlin Speech, Obama Calls for Reductions to

Nuclear Arsenal

President Obama delivered a speech in Berlin on

June 19, calling to reduce the nation’s deployed

nuclear arsenal by up to one-third.

Obama lauded the New START Treaty for helping

cut American and Russian deployed nuclear

warheads, but said it is only the beginning. “So

today,” he said, “I'm announcing additional steps

forward. After a comprehensive review, I've

determined that we can ensure the security of

America and our allies, and maintain a strong and

credible strategic deterrent, while reducing our

deployed strategic nuclear weapons by up to one-

third. And I intend to seek negotiated cuts with

Russia to move beyond Cold War nuclear postures.”

House Armed Services Committee Chairman Buck

McKeon (R-CA) issued a response, saying "The

President's desire to negotiate a new round of arms

control with the Russians, while Russia is cheating

on a major existing nuclear arms control treaty,

strains credulity.”

A number of lawmakers believe the President has

not lived up to his commitment to modernize the

country’s nuclear complex and strategic delivery

systems, as agreed, in exchange for Senate

ratification of the New START Treaty.

Moniz taps veteran environmentalist as chief of

staff

Secretary Moniz selected Kevin Knobloch, former

president of the Union of Concerned Scientists, to

serve as his chief of staff. Among other positions,

Knobloch worked on Capitol Hill in the 1980s, as

legislative director for U.S. Senator Timothy Wirth

(D-CO) and legislative assistant and press secretary

for U.S. Representative Ted Weiss (D-NY).


D.C. Update

http://appropriations.house.gov/uploadedfiles/bills-113hr-sc-ap-fy2014-energywater-subcommitteedraft.pdf

http://www.whitehouse.gov/sites/default/files/omb/memoranda/2013/m-13-14.pdf

6


FY14 NATIONAL DEFENSE AUTHORIZATION ACT POLICY DETAILS

The Fiscal Year 2014 (FY14) National Defense

Authorization Act (NDAA) authorizes the

appropriations of FY14 funding; includes policy

provisions that direct statutory changes; and

includes directive and non-directive report language

that requires agency action and clarifies

congressional intent.

The House and Senate work on separate versions of

the bill, and then resolve their differences via a

conference.

House NDAA Policy Provisions and Report

Language (select, edited excerpts)

See Senate-Armed Services Committee NDAA

information on page 10

Study on Treating Defense Nuclear Facilities as

Military Construction

Section 2804 of the National Defense Authorization

Act for Fiscal Year 2013, as passed by the House of

Representatives, would have mandated that certain

defense nuclear facility construction projects of the

National Nuclear Security Administration (NNSA)

be deemed military construction projects and be

carried out as such. The committee continues to be

concerned about NNSA’s inability to successfully

execute large defense nuclear facility construction

projects.

To better understand the option and implications of

designating these facilities as military construction,

the committee directs the Secretary of the Navy, in

coordination with the Secretary of Defense and the

Secretary of Energy, to submit a report to the

congressional defense committees by January 30,

2014, containing an analysis of the feasibility, costs,

benefits, and risks regarding moving design and

construction of defense nuclear facilities to military

construction.

Mixed Oxide Fuel Fabrication Facility analysis

While the Committee is concerned with the

continuing escalating costs associated the Mixed

Oxide Fuel Fabrication (MOX) Facility, the budget

request may not actually reduce costs to the

taxpayer and will likely delay the disposition of 34

metric tons of weapons grade plutonium.

Therefore, the committee directs the Administrator

for Nuclear Security to study ways to achieve cost

savings within the MOX program.

Office of Infrastructure and Operations

In March 2012, the National Nuclear Security

Administration (NNSA) created the Office of

Infrastructure and Operations, headed by a new

Associate Administrator, and realigned all NNSA

site offices to report to this new entity rather than

the Office of Defense Programs.

The committee understands the intent of this

realignment, but is concerned about NNSA’s ability

to execute it efficiently and effectively. Based on

past experiences at the Department of Energy and

NNSA, creation of a new office can lead to

increased bureaucracy, confused roles and

responsibilities, and poor coordination on priorities

and programs. The committee will continue its

oversight of this new structure.

Plan and roadmap to address security problems

In response to the security incident that occurred at

the Y–12 National Security Complex on July 28,

2012, the committee conducted several briefings

and hearings to examine the management,

governance, oversight, and cultural failures within

the National Nuclear Security Administration

(NNSA) and the Department of Energy (DOE) that

enabled the incident to take place.

The committee continues to be concerned with the

failure to implement meaningful and effective

changes when the problems and possible solutions

have been so thoroughly studied. Therefore, the

committee directs the Secretary of Energy to

prepare and submit a report to the congressional

defense committees and the Committee on Energy

and Commerce of the House of Representatives, by

September 30, 2013, on the Department’s plan to

address the longstanding, well-documented (Continued on page 7)


7

problems that contributed to the Y–12 security

failure.

Reprogramming Procedure and Funding Control

Levels

The committee requests that the Department of

Energy follow the same procedures for

reprogramming requests and approvals as the

Department of Defense. Requesting prior approval

for reprogramming requests rather than adhering to

a notice and wait procedure can streamline the

process for approval and execution. The committee

would like to work with and support the emergent

execution year requirements of the Department of

Energy, and will work to respond to reprogramming

requests in an efficient manner.

In the justification books accompanying the fiscal

year 2014 budget request, the National Nuclear

Security Administration (NNSA) proposes funding

control levels at the subprogram level, rather than

the activity level. The committee is concerned that

this proposal for higher-level control levels was

made without prior discussion with the committee

and without sufficient justification and transparency.

Therefore, the committee clarifies that the control

levels for the NNSA authorization are those

authorized by section 3101 of this Act. The

committee encourages the Administrator for

Nuclear Security, in coordination with the White

House Office of Management and Budget, to

consult closely with Congress before any future

changes to control levels are proposed.

Environmental Management Technology

Development Program

The budget request contained $24.1 million for the

technology development program of the Office of

Environmental Management. This program is

focused on resolving technical challenges and

developing transformational technology solutions to

address the highest priority needs of the

environmental remediation program.

The committee supports this program and

encourages the Office of Environmental

Management to develop and communicate potential

return on investment figures for each subprogram.

The committee recommends $34.1 million, an

increase of $10.0 million, for the technology

development program.

Transuranic Wastes at Hanford Tank Farms

The committee is aware that on March 11, 2013, the

Department of Energy announced its preferred

alternative to characterize and certify appropriate

mixed transuranic (TRU) waste at the Hanford

Site’s Tank Farms and ultimately dispose of such

waste at the Waste Isolation Pilot Plant (WIPP) in

Carlsbad, New Mexico. The Department has

identified up to 3.1 million gallons of potential

mixed TRU waste in the Tank Farms, equivalent to

approximately 5.6 percent of the total waste volume

in the tanks, that would be assessed for possible

disposal at WIPP. Currently, all Tank Farm waste is

managed as high-level waste.

The committee is aware that although the amount of

waste that may potentially be classified as mixed

TRU is a small fraction of the total 56 million

gallons of waste in the Tank Farms, efforts to

dispose of this small fraction at WIPP may result in

significant cost savings in the long-term. Such

disposal may also enable the Department of Energy

to demonstrate small but appreciable progress on

cleaning up a major Cold War legacy site and

removing waste from the State of Washington.

However, the committee notes stakeholder concerns

about the process of classifying tank waste as TRU

waste, as well as the technical and legal obstacles to

doing so. Such disposal, if viable and cost-effective,

must adhere to a rigorous and transparent process

based on sound science in determining and

certifying potential mixed TRU waste, be based on a

rigorous cost-benefit analysis of the investments

needed to certify and dispose of TRU waste versus

immobilization through vitrification, and be

adequately coordinated with the Nuclear Regulatory

Commission, the Environmental Protection Agency,

and appropriate agencies in the State of Washington

and the State of New Mexico. The committee


FY14 National Defense Authorization Act Policy Details


8


encourages the Department of Energy to fully

investigate this possible approach to disposal and

ensure that all regulatory requirements are met and

appropriate permits are in place before retrieval of

tank waste is initiated. Throughout this process, the

committee expects the Department to keep the

appropriate congressional committees fully

informed of its plans.

Section 3111—Clarification of Principles of

National Nuclear Security Administration

This section would amend section 3211 of the

National Nuclear Security Administration Act (50

U.S.C. 2401) to clarify the set of principles with

which the National Nuclear Security Administration

must carry out its operations and activities.

Specifically, this section would add the requirement

that all operations and activities of the

Administration be conducted consistent with the

principle of ‘‘ensuring the security of the nuclear

weapons, nuclear material, and classified

information in the custody of the Administration.’’

Section 3112—Termination of Department of

Energy Employees to Protect National Security

This section would authorize the Secretary of

Energy to terminate an employee of the National

Nuclear Security Administration (NNSA) or any

element of the Department of Energy that involves

nuclear security if the Secretary determines the

employee acted in a manner that endangers the

security of special nuclear material or classified

information.

The committee understands that several Federal

employees have been reassigned or allowed to retire

in response to the July 2012, security breach at the

Y–12 National Security Complex. However, no

Federal employees have been terminated. Senior

officials from the Department of Energy have

indicated to the committee that Federal employment

rules did not enable terminations in this case. The

committee believes that strong accountability

actions are required in response to egregious

security problems; this section would provide the

Secretary of Energy the authority needed to ensure

strong accountability actions are possible.

Section 3113—Modification of Independent Cost

Estimates on Life Extension Programs and New

Nuclear Facilities


Atomic Energy Defense Act (50 U.S.C. 2537) to

require that any independent cost estimate carried

out pursuant to section 4217 be conducted by the

Secretary of Defense, acting through the Director of

Cost Assessment and Program Evaluation (CAPE).

The Director would be authorized to delegate

carrying out such cost estimates to other elements of

the Department of Defense. This section would also

provide the Secretary of Defense, in consultation

with the Administrator for Nuclear Security and

acting through the Director of CAPE, the authority

to conduct an independent cost assessment of any

initiative or program of the National Nuclear

Security Administration (NNSA) that is estimated to

cost more than $500.0 million.

Section 3114—Plan for Retrieval, Treatment,

and Disposition of Tank Farm Waste at Hanford

Nuclear Reservation

This section would require the Secretary of Energy

to submit a comprehensive plan through 2025 to the

congressional defense committees by March 1,

2014, for the safe and effective retrieval, treatment,

and disposition of nuclear waste contained in the

Tank Farms of the Hanford Nuclear Reservation in

Richland, Washington. The plan would be required

to include: (1) a list of all requirements,

assumptions, and criteria needed to design,

construct, and operate the Waste Treatment and

Immobilization Plant (WTP) and any required

infrastructure or facilities at the Hanford Tank

Farms; (2) a schedule of activities, construction, and

operations at the Tank Farms and the WTP through

2025 in order to carry out the safe and effective

retrieval, treatment, and disposition of nuclear waste

in the Tank Farms; (3) actions required to

accelerate, to the extent possible, retrieval and

treatment of lower-risk, low-activity waste while

continuing efforts to accelerate resolution of





9

technical challenges associated with higher-risk,

high-activity waste; and (4) a description of how

adequate protection will be provided to workers and

the public under the plan and how any new science

and technical information, not available prior to

development of the plan or available prior to March

2014, will be incorporated into the plan.

Section 3120—Cost-Benefit Analyses for

Competition of Management and Operating

Contracts


National Defense Authorization Act for Fiscal Year

2013 (Public Law 112–239) to clarify that, if a

management and operating contract awarded by the

Administrator for Nuclear Security is protested, the

report required by such section to be submitted to

Congress shall be submitted not later than 30 days

after such protest is resolved.

The committee notes that the National Nuclear

Security Administration’s (NNSA) recent award of

the contract for consolidated management and

operations of the Y–12 National Security Complex

and the Pantex Plant was protested by several

bidders. On April 29, 2013, the Government

Accountability Office (GAO) sustained this protest.

GAO stated that it, ‘‘sustained these protests on the

basis that NNSA failed to follow the publicly-stated

solicitation criteria, which provided that the agency

would evaluate the feasibility and size of each

offeror’s proposed cost savings resulting from the

consolidation of the management and operation of

these sites. Specifically, GAO concluded that NNSA

failed to meaningfully assess the majority of each

offeror’s proposed cost savings, and based its source

selection decision on the unsupported assumption

that all cost savings proposed by every offeror

would be achieved.”

The committee believes NNSA’s failure to

meaningfully assess each offeror’s proposed cost

savings is unacceptable for a contract whose total

value will likely exceed $22.8 billion. To ensure

robust oversight of this issue, the committee

recommends this section to ensure NNSA reports to

Congress about the assumptions and analysis

utilized to estimate anticipated cost savings.

Amendments Adopted on House Floor

Manhattan Project National Historical Park

See information on page 2.

Government Waste Isolation Pilot Plant

Extension

The Secretary of Energy shall manage WIPP in such

a way as to include, in addition to the disposal of

wastes authorized by section 213 of the Department

of Energy National Security and Military

Applications of Nuclear Energy Authorization Act

of 1980 (Public Law 96-164; 93 Stat. 1259, 1265),

the transportation and disposal of any non-defense

Federal Government-owned transuranic waste that

can be shown to meet the applicable criteria

described in the document entitled ‘‘Transuranic

Waste Acceptance Criteria For The Waste Isolation

Pilot Plant’’, published by the Department of

Energy on April 21, 2011, or any successor

document.

Conveyance of Land at the Hanford Site

Not later than 90 days after the date of the

enactment of this Act, the Secretary of Energy shall

convey, for consideration at the estimated fair

market value or, in accordance with certain

restrictions, below such value, to the Community

Reuse Organization of the Hanford Site all right,

title, and interest of the United States in and to the

real property, including any improvements thereon.

The Secretary may convey real property for

consideration below the estimated fair market value,

or without consideration, only if the organization:

A. Agrees that the net proceeds from any sale or

lease of the real property (or any portion thereof)

received by the Organization during at least the

seven-year period beginning on the date of such

conveyance will be used to support the

economic development of, or related to, the

Hanford Site; and




10


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B. Executes the agreement for such conveyance

and accepts control of the real property within a

reasonable time. The Secretary shall actively

solicit, and provide priority consideration to, the

views of the cities and counties adjacent to the

Hanford Site with respect to the development

and execution of the Hanford Comprehensive

Land Use Plan.

Senate-Armed Services Committee NDAA

The Senate Armed Services Committee (SASC)

completed its markup of its version of the FY14

NDAA (S. 1034) on June 14. The bill has not yet

reached the Senate floor.

The detailed SASC report is not yet available. The

following materials come from a summary issued by

SASC.

MOX Fuel Program

The bill authorizes $583.0 million Mixed Oxide

(MOX) Fuel Program, an increase of $80.0 million

to the budget request. This would continue the

program while allowing DOE/NNSA to perform a

strategic analysis of the overall disposition effort,

including the ways to lower cost and achieve

efficiencies in the current program.

Nuclear Modernization

The bill expresses the sense of Congress on the

importance of maintaining a modernized triad,

stockpile, and science behind it is consistent with

the report required by Section 1043 of the fiscal

year 2012 NDAA as amended and that the President

and Congress should work to ensure the programs

are conducted as efficiently as possible.

DOD-DOE Cooperation on nuclear security

programs

The bill ensures coordination between DOD and

DOE on nuclear security programs by requiring a

report by the Nuclear Weapons Council on joint

DOD – DOE activities to share best practices and

procedures for nuclear material security.

Other Items of Interest

In addition, the bill:

Increases the design threshold of major

construction projects from $600,000 to $1.2

million.

Requires the NNSA to develop an integrated

plutonium strategy across all phases of its

mission.

Requires the Secretary of Energy to certify to

Congress that DOE defense facilities containing

special nuclear material at high security levels

meets DOE standards for physical security and,

for those that are de-certified, a plan reviewed

by the IG on how they will meet security

standards.

Requires a common financial accounting system

at the NNSA sites so that an assessment can be

made on how efficient some NNSA sites are in

their performance compared to others.

Establishes a Cost Analysis and Program

Evaluation Office in the NNSA to help control

costs of construction and weapons life time

extension programs.





11

DOE RELEASES “A PROJECT CONCEPT FOR NUCLEAR FUELS STORAGE

AND TRANSPORTATION”

This month DOE’s Office of Nuclear Energy issued

a report that provides guidance for defining

systems, equipment, and facilities necessary to

implement DOE’s Strategy for the Management and

Disposition of Used Nuclear Fuel and High-Level

Radioactive Waste (Strategy). The report, “A

Project Concept for Nuclear Fuels Storage and

Transportation,” includes requirements for a pilot

interim storage facility, a larger interim storage

facility, and the transportation system and

equipment needed to move used nuclear fuel and

high-level radioactive waste from current locations

to interim storage and then to a future permanent

geologic repository. It also supports the consent-

based siting process being undertaken by DOE.

Specifically, DOE’s report summarizes design

concepts for the first two elements of the Strategy:

Site, design and license, construct and begins

operations of a pilot interim storage facility by

2021 with an initial focus on accepting used

nuclear fuel from shut-down reactor sites; and

Advance towards the siting and licensing of a

larger interim storage facility to be available by

2025 that will have sufficient capacity to

provide flexibility in the waste management

system and allows for acceptance of enough

used nuclear fuel to reduce expected

government liabilities.

The report uses work done by three teams, headed

by Areva Federal Services, EnergySolutions and

Shaw Environmental and Infrastructure, each tasked

by DOE to prepare design concept studies to

investigate used nuclear fuel (UNF) storage and

transportation. DOE was seeking alternatives to

support an evaluation and possible future selection

of a concept that can be developed as an option for

interim storage of commercial used nuclear fuel.

The project concept addresses all activities required

to take the commercial used nuclear fuel and

Greater-than-Class C (GTCC) low level radioactive

waste from its current location and configuration,

transport it to a location of interim storage, prepare

the fuel as needed and place it in storage, operate

and maintain the interim storage facility, and

prepare the used fuel for shipment to the permanent

repository.

In addition, DOE’s report includes work done by a

National Laboratory team of Argonne (ANL),

Savannah River (SRNL), and Oak Ridge (ORNL).

In 2012, the team issued a Fuel Cycle Research and

Development (FCRD) report which summarized

system-level analyses of the overall interface

between at-reactor, interim storage and ultimate

disposition along with development of supporting

logistic simulation tools.

The 115 page report reviews topics including

Program Strategy and Mission Need; Systems

Engineering Approach, including Functions and

Requirements and Used Nuclear Fuels and HLW

Inventory; Phased Design Concepts including Pilot

Interim Storage Facility, Larger Interim Storage

Facility, and Transportation System; Design and

Operational Considerations including Special Used

Fuels and Materials Handling, Safety, Security,

Siting Requirements, Waste Management and

Decommissioning; Cost and Schedule Estimates

and finally Next Steps.

The design concepts will inform planned follow-on

activities for further alternatives analysis and

conceptual design activities. The report states that

more detailed evaluations will continue in FY 2013

taking into account the requirements of the Strategy.

A link to the report can be found here.

http://energy.gov/sites/prod/files/2013/06/f1/NFST%20Design%20Concepts%206-13-13%20Rev%201.pdf

12


NRC HOSTS SMALL MODULAR REACTOR “CHAT”

The Nuclear Regulatory Commission (NRC) held a

real-time discussion, using their “Let’s Chat”

platform, on small modular reactors (SMRs) with

NRC experts and public participants on June 18,

2013.

The discussion was hosted by Anna Hajduk

Bradford, the Chief of the Small Modular Reactor

Licensing Branch 2 in the Division of Advanced

Reactors and Rulemaking at NRC

Headquarters. The division is the

lead for the project management of

work related to SMRs, “which right

now is focused mainly on pre-

application interactions with

potential applicants.”

SMRs are much smaller than

traditional nuclear power plants.

The small designs currently being

discussed would generate less than

200 megawatts of electricity per

reactor, compared to the 1,000

megawatts or more coming from

many current reactors. These

compact designs could be grouped

at a single site, with each reactor a

“module” in the overall power plant.

SMRs would be built at a factory and could be

transported to their final location by truck or train.

Discussing the advantages of SMRs, Hajduk

Bradford said SMRs may offer advantages in

scalability and siting flexibility at locations unable

to accommodate more traditional, larger reactors,

and their small size and potential below-ground

construction could enhance safety and security. The

modular nature of SMRs would also enable the

ramp up of power production capability rather than

building it all at one time.

Design Certification Status

Regarding the status of design certifications for

SMRs and “advanded” reactors, Hajduk Bradford

said, “Westinghouse expects to submit

a design certification application in the

second quarter of 2014. B&W expects

to submit a design certification

application in the third quarter of 2014.

The Tennessee Valley Authority

expects to submit a construction permit

application for the B&W design in the

second quarter of 2015. Ameren

expects to submit a Combined License

application for the Westinghouse

design in the third quarter of 2015.

NuScale expects to submit a design

certification application also in the

third quarter of 2015. Holtec expects to

submit a design certification

application in the fourth quarter of

2016… As for ‘advanced’ reactors, the

NRC has been told STL expects to submit a thorium

-based SMR design in 2016. The Next-Generation

Nuclear Plant Industry Alliance expects to submit a

gas-cooled SMR construction permit application

between 2016 and 2018.”

The Chat is available here.

NYE COUNTY STATEMENT ON RADIOACTIVE WASTE DISPOSAL

This month Nye County released a press release on radioactive waste disposal. Nye County Board of County

Commission Chairman Andrew “Butch” Borasky, reaffirmed that as long as it can be done safely, Nye County

is willing to accept Department of Energy low-level and high-level radioactive waste disposal activities in Nye

County.

Commissioner Borasky and Commissioner Dan Schinhofen, Board of County Commissioner’s liaison for

nuclear programs, stated “consistent with our existing resolutions on high-level waste disposal, we will

continue to ensure the long-term safety and security of the disposal activities of all levels of waste by working

with the Department of Energy, Congress and the state of Nevada to understand the details of the activities and

the science supporting them.” Questions may be directed to Nuclear Waste Repository Project Office Director

Darrell Lacy at [email protected] or 775-727-7727

http://public-blog.nrc-gateway.gov/2013/06/18/4250/


13

This month, NNSA provided to Congress its annual,

statutorily required Stockpile Stewardship and

Management Plan (SSMP).

The SSMP’s primary purpose is to lay out a plan to

sustain and modernize the nuclear stockpile

consistent with national policy and Department of

Defense requirements.

“This SSMP takes on a more ambitious scope of

work relative to its predecessors, placing most of

the stockpile into some phase of life extension in

this decade.”

To support these objectives, the FY 2014 budget

request for the Weapons Activities account (which

does not take sequestration into account) would

provide a 7.6 percent increase over the Weapons

Activities account in the enacted FY 2013 budget.

The FY 2014 President’s budget is the fourth

consecutive increase in the Weapons Activities

budget, resulting in an approximate 28 percent

increase since the FY 2010 budget.

The report is available here.

NNSA RELEASES REPORT TO CONGRESS ON ITS FY14 STOCKPILE

STEWARDSHIP AND MANAGEMENT PLAN

DOE IG: ALLEGED NEPOTISM AND WASTEFUL SPENDING IN THE

OFFICE OF ENERGY EFFICIENCY AND RENEWABLE ENERGY

The DOE Inspector General (DOE IG) released a

report, Alleged Nepotism and Wasteful Spending in

the Office of Energy Efficiency and Renewable

Energy, on June 6, 2013.

Allegations were made that a senior Office of

Energy Efficiency and Renewable Energy (EERE)

official violated hiring regulations by engaging in

nepotism by advocating for his three children to

obtain employment in DOE’s Student Temporary

Employment Program (STEP), and by wasting

funds by enrolling two of the three children in

costly training courses unrelated to their duties as

STEP interns.

The DOE IG inspection substantiated the allegation

that the senior EERE official secured STEP

positions for his children.

Management concurred with the DOE IG’s

recommendations to strengthen internal controls

over hiring processes within DOE.


http://www.nnsa.energy.gov/sites/default/files/nnsa/06-13-inlinefiles/FY14SSMP_2.pdf

http://energy.gov/sites/prod/files/2013/06/f1/IG-0888_0.pdf

14


To sign up for the ECA email server

please visit our website:

www.energyca.org

The DOE Inspector General (DOE IG) released a

report, Concerns with Consulting Contract

Administration at Various Department Sites, on

June 7, 2013.

The review was conducted at the request of NNSA,

to determine whether a consulting agreement

awarded to Heather Wilson and Company, LLC

(HWC), by Los Alamos National Laboratory was

appropriately administered and managed.

Specifically, the report examined whether:

Work products were produced in return for

monthly payments to HWC of $10,000 Invoices

included itemized charges, as required by the

agreement;

There was overlap between the services

provided and work products produced by HWC

on consulting agreements awarded by Sandia

National Laboratories, Los Alamos, Oak Ridge

National Laboratory and the Nevada National

Security Site; and

An NNSA Contracting Officer was subjected to

"pressure" when Los Alamos National Security,

LLC, the Management and Operating contractor

for Los Alamos, requested authorization to enter

into an agreement with HWC

The inspection identified serious concerns with the

administration and management of agreements with

HWC for advice and consultation provided to senior

managers at four Department contractor-operated

sites. Specifically, our testing revealed that the four

facility contractors paid approximately $450,000 to

HWC even though they did not receive evidence

that work performed under the agreements had been

completed.

The report found this situation resulted because

contractor officials responsible either did not

incorporate, or failed to enforce, the requirements of

the Federal Acquisition Regulation (FAR) into the

agreements with HWC.

Management generally agreed with the report’s

findings and indicated it was in the process of

implementing corrective actions. Management

indicated that the Department has already recovered

$442,877 from its contractors of the approximately

$464,203 paid to HWC.


DOE IG: CONCERNS WITH CONSULTING CONTRACT ADMINISTRATION

AT VARIOUS DEPARTMENT SITES


http://energy.gov/sites/prod/files/2013/06/f1/IG-0889.pdf


15

WASTE CONTROL SPECIALISTS FEDERAL WASTE DISPOSAL FACILITY

OPENS IN ANDREWS, TEXAS

DOE officials attended the opening ceremony for

the Waste Control Specialists (WCS) federal waste

disposal facility in Andrews, Texas on June 6, 2013.

EM Senior Advisor Dave Huizenga said, “I am

proud to be here today to celebrate this historic

event. We appreciate the state of Texas, the local

communities and Waste Control Specialists for their

support of our important national cleanup mission

and look forward to a continued, collaborative

relationship to ensure the safe disposal and long-

term management of this nation’s low-level and

mixed low-level (LLW/MLLW) radioactive waste.”

The DOE Los Alamos Field Office is the first to

dispose of waste in this new facility.

“With the help of WCS and the supporters in Texas,

we now have a cost-effective way of meeting our

commitment to the Governor of New Mexico that

was agreed to following the 2011 Las Conchas fire

that came within 3-1/2 miles of the Las Alamos

National Laboratory waste storage area,” Los

Alamos Field Office DOE Transuranic Waste

Manager David Nickless said.

The WCS website is available here.

FIRST NUCLEAR FACILITY DEMOLITION COMPLETED AT WEST VALLEY

DEMONSTRATION PROJECT

The Office of Environmental Management (EM)

and its contractor completed the first demolition of a

nuclear facility at the West Valley Demonstration

Project (WVDP). The four-story facility, known as

the “01-14 Building,” was constructed in 1971 to

support commercial nuclear reactor fuel

reprocessing by Nuclear Fuel Services, and was

later converted by EM for sodium bearing waste

processing, which continued until 2005.

The demolition process took five months. Prior to

the commencement of demolition activities, workers

removed hazardous components, isolated and

removed facility systems and decontaminated the

structure.

“The demolition and removal of the 01-14 Building

is an important accomplishment in the progress to

decommission the WVDP,” WVDP Deputy

Director Craig Rieman said. “This effort showed

that robust engineering controls coupled with

abundant monitoring techniques can accomplish

safe removal of nuclear facilities and will be used to

build on future demolition activities.”

“The CH2M HILL B&W West Valley workforce

was deliberate in the planning and execution of the

work, resulting in the safe, compliant demolition of

the 01-14 Building,” CHBWV President Dan Coyne

said. “Every effort was made to protect the

workforce and the environment. We met our

objectives and look forward to the future demolition

challenges at the WVDP."

The EM press release is available here.

Demolition work is shown in February 2013

http://www.wcstexas.com/index.shtml

http://energy.gov/em/articles/west-valley-demolition-marks-important-accomplishment-em

16



17

July (anticipated)

Senate consideration of the Manhattan Project National Historical Park

Act (S. 507)

July 1

Nuclear Weapons Council report to congressional defense committees on

the feasibility of finding further efficiencies in the facilities and functions

of NNSA in order to reduce costs

July 14–18

Institute of Nuclear Materials Management (INMM) 54th Annual Meeting;

Palm Desert, California

September

(approximate)

Federal agencies submit initial fiscal year 2015 budgets to the Office of

Management and Budget (OMB)

September 18–20

ECA Peer Exchange; Oak Ridge, TN; contact Allison Doman for more

information.

October 14–18

National Nuclear Fuel Summit; Carlsbad, NM; visit the website for more

information

Energy Communities Alliance (ECA) Bulletin

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address to the address above or fax it to us at 202-828-2488 or email [email protected]

Thank you to the Department of Energy’s Environmental Management Office for their support of the ECA Bulletin

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1101 Connecticut Avenue, NW Suite 1000

Washington, D.C. 20036 Phone: 202.828.2423

Fax: 202.828.2488 Email: [email protected]

ECA Articles Allison Doman, Deputy Executive Director

Kara Colton, Director of Nuclear Energy Programs Eli Persky, Assistant Director

Layout and Design Sharon M. Worley, ECA Staff Member

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