[Federal Register Volume 63, Number 62 (Wednesday, April 1, 1998)]
[Proposed Rules]
[Pages 16046-16067]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-8279]
[[Page 16045]]
_______________________________________________________________________
Part VIII
Nuclear Regulatory Commission
_______________________________________________________________________
10 CFR Parts 2, 140, 170 and 171
Revision of Fee Schedules; 100% Fee Recovery, FY 1998; Proposed Rule
Federal Register/Vol. 63, No. 62/Wednesday, April 1, 1998/Proposed
Rules
[[Page 16046]]
NUCLEAR REGULATORY COMMISSION
10 CFR Parts 2, 140, 170 and 171
RIN 3150-AF 83
Revision of Fee Schedules; 100% Fee Recovery, FY 1998
AGENCY: Nuclear Regulatory Commission.
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: The Nuclear Regulatory Commission (NRC) is proposing to amend
the licensing, inspection, and annual fees charged to its applicants
and licensees. The proposed amendments are necessary to implement the
Omnibus Budget Reconciliation Act of 1990 (OBRA-90), which mandates
that the NRC recover approximately 100 percent of its budget authority
in Fiscal Year (FY) 1998, less amounts appropriated from the Nuclear
Waste Fund (NWF). The amount to be recovered for FY 1998 is
approximately $454.8 million. The NRC is also proposing to provide
additional payment methods for civil penalties and indemnity fees, as
well as annual and licensing fees.
DATES: The comment period expires May 1, 1998. Comments received after
this date will be considered if it is practical to do so, but the NRC
is able to ensure only that comments received on or before this date
will be considered. Because OBRA-90 requires that NRC collect the FY
1998 fees by September 30, 1998, requests for extensions of the comment
period will not be granted.
ADDRESSES: Mail written comments to: Secretary, U.S. Nuclear Regulatory
Commission, Washington, DC 20555-0001, ATTN: Rulemakings and
Adjudications Staff. Hand deliver comments to: 11555 Rockville Pike,
Rockville, Maryland 20852, between 7:30 am and 4:15 pm Federal
workdays. (Telephone 301-415-1678). Comments may also be submitted via
the NRC's interactive rulemaking website through the NRC home page
(http://www.nrc.gov). From the NRC homepage, select ``Rulemaking'' from
the tool bar. The interactive rulemaking website can then be accessed
by selecting ``New Rulemaking Website''. This site provides the
availability to upload comments as files (any format), if your web
browser supports that function. For information about the interactive
rulemaking site, contact Ms. Carol Gallagher, 301-415-5905; e-mail
[email protected]
Copies of comments received and the agency workpapers that support
these proposed changes to 10 CFR Parts 170 and 171 may be examined at
the NRC Public Document Room, 2120 L Street NW. (Lower Level),
Washington, DC 20555-0001. Comments received may also be viewed and
downloaded electronically via the interactive rulemaking website
established by the NRC for this rulemaking.
FOR FURTHER INFORMATION CONTACT: Glenda Jackson, Office of the Chief
Financial Officer, U.S. Nuclear Regulatory Commission, Washington, DC
20555-0001, Telephone 301-415-6057.
SUPPLEMENTARY INFORMATION:
I. Background.
II. Proposed Action.
III. Section-by-Section Analysis.
IV. Environmental Impact: Categorical Exclusion.
V. Paperwork Reduction Act Statement.
VI. Regulatory Analysis.
VII. Regulatory Flexibility Analysis.
VIII. Backfit Analysis.
I. Background
Public Law 101-508, the Omnibus Budget Reconciliation Act of 1990
(OBRA-90), enacted November 5, 1990, requires that the NRC recover
approximately 100 percent of its budget authority, less the amount
appropriated from the Department of Energy (DOE) administered NWF, for
FYs 1991 through 1995 by assessing fees. OBRA-90 was amended in 1993 to
extend the NRC's 100 percent fee recovery requirement through FY 1998.
The NRC assesses two types of fees to recover its budget authority.
First, license and inspection fees, established at 10 CFR Part 170
under the authority of the Independent Offices Appropriation Act
(IOAA), 31 U.S.C. 9701, recover the NRC's costs of providing
individually identifiable services to specific applicants and
licensees. Examples of the services provided by the NRC for which these
fees are assessed are the review of applications for the issuance of
new licenses, approvals or renewals, and amendments to licenses or
approvals. Second, annual fees, established in 10 CFR Part 171 under
the authority of OBRA-90, recover generic and other regulatory costs
not recovered through 10 CFR Part 170 fees.
On April 12, 1996 (61 FR 16203), the NRC published its final rule
establishing the licensing, inspection, and annual fees necessary for
the NRC to recover approximately 100 percent of its budget authority
for FY 1996, less the appropriation received from the Nuclear Waste
Fund. Several changes to the fees assessed for FY 1996 were adopted by
the NRC. These changes were highlighted in this final rule (61 FR
16203; April 12, 1996) and bear on the approach for establishing annual
fees set forth in this proposed rule.
II. Proposed Action
The NRC is proposing to amend its licensing, inspection, and annual
fees to recover approximately 100 percent of its FY 1998 budget
authority, including the budget authority for its Office of the
Inspector General, less the appropriations received from the NWF and
the General Fund. For FY 1998, the NRC's budget authority is $472.8
million, of which $15.0 million has been appropriated from the NWF. In
addition, $3.0 million has been appropriated from the General Fund for
activities related to commercial vitrification of waste stored at the
Department of Energy Hanford, Washington site, and for the pilot
program for the external regulation of the Department of Energy. The FY
1998 appropriation language states that the $3.0 million appropriated
for regulatory reviews and other activities pertaining to waste stored
at the Hanford, Washington site and activities associated with the
pilot program for external regulation of the Department of Energy shall
be excluded from license fee revenues notwithstanding 42 U.S.C. 2214.
Therefore, NRC is required to collect approximately $454.8 million in
FY 1998 through 10 CFR Part 170 licensing and inspection fees and 10
CFR Part 171 annual fees.
The total amount to be recovered in fees for FY 1998 is $7.5
million less than the amount estimated for recovery for FY 1997. The
NRC estimates that approximately $94.6 million will be recovered in FY
1998 from fees assessed under 10 CFR Part 170 and other receipts,
compared to $95.2 million in FY 1997. The remaining $360.2 million
would be recovered in FY 1998 through the 10 CFR Part 171 annual fees.
The total amount to be recovered through annual fees in FY 1998 is
approximately $6.4 million less than in FY 1997.
In addition to the decrease in the total amount to be recovered
through annual fees and the slight reduction in the estimated amount to
be recovered in 10 CFR Part 170 fees, the number of licensees paying
annual fees in FY 1998 has decreased compared to FY 1997. For example,
Commonwealth Edison has notified the NRC that the Zion Station Units 1
and 2 ceased operations on February 13, 1998. In addition, both the
Haddam Neck Plant and the Maine Yankee Plant ceased operations during
FY 1997 and therefore are not subject to the FY 1998 annual fees. This
is equivalent to a reduction of 2.5 power
[[Page 16047]]
reactors subject to the FY 1998 annual fees compared to FY 1997. The
Big Rock Point Plant, a small older reactor historically granted a
partial exemption from the annual fee, also ceased operations in FY
1997 and is no longer subject to annual fees.
As a result of these changes, the proposed FY 1998 annual fees
would increase slightly, by 0.1 percent, compared to the FY 1997 actual
(prior to rounding) annual fees. Because this is a slight increase,
after rounding the proposed FY 1998 annual fees for many fee categories
are the same as the final (rounded) FY 1997 annual fees. The change to
the annual fees is described in more detail in Section B. The following
examples illustrate the changes in annual fees:
------------------------------------------------------------------------
FY 1998
FY 1997 proposed
annual fee annual fee
------------------------------------------------------------------------
Class of Licensees:
Power Reactors...................... $2,978,000 $2,980,000
Nonpower Reactors................... 57,300 57,300
High Enriched Uranium Fuel Facility. 2,606,000 2,607,000
Low Enriched Uranium Fuel Facility.. 1,279,000 1,280,000
UF6 Conversion Facility............. 648,000 649,000
Uranium Mills....................... 61,800 61,800
Typical Materials Licenses:
Radiographers....................... 14,100 14,100
Well Loggers........................ 8,200 8,200
Gauge Users......................... 1,700 1,700
Broad Scope Medical................. 23,500 23,500
------------------------------------------------------------------------
Because the final FY 1998 fee rule will be a ``major'' final action
as defined by the Small Business Regulatory Enforcement Fairness Act of
1996, the NRC's fees for FY 1998 would become effective 60 days after
publication of the final rule in the Federal Register. The NRC will
send an invoice for the amount of the annual fee upon publication of
the FY 1998 final rule to reactors and major fuel cycle facilities. For
these licensees, payment would be due on the effective date of the FY
1998 rule. Those materials licensees whose license anniversary date
during FY 1998 falls before the effective date of the final FY 1998
final rule would be billed during the anniversary month of the license
and continue to pay annual fees at the FY 1997 rate in FY 1998. Those
materials licensees whose license anniversary date falls on or after
the effective date of the final FY 1998 final rule would be billed at
the FY 1998 revised rates during the anniversary month of the license
and payment would be due on the date of the invoice.
The NRC is announcing here that it plans to discontinue mailing the
final rule to all licensees. In addition to publication in the Federal
Register, the final rule will be available on the internet at http://
ruleforum.llnl.gov/.
Copies of the final rule will be mailed upon request. To obtain a
copy of the final rule, contact the License Fee and Accounts Receivable
Branch, Division of Accounting and Finance, Office of the Chief
Financial Officer, at 301-415-7554. As a matter of courtesy, the NRC
plans to continue to send the proposed rule to all licensees.
The NRC is also announcing here that it plans to reexamine the
current annual fee exemption policy for licensees in decommissioning or
holding possession only licenses and the annual fee policy for
reactors' storage of spent fuel. Any changes to the current fee
policies will be included in the FY 1999 fee rulemaking. One purpose of
the study is to assure consistent fee treatment for both wet storage
(i.e., spent fuel pool) and dry storage (i.e., independent spent fuel
storage installations, or ISFSIs) of spent fuel. The Commission has
previously determined that both storage options are considered safe and
acceptable forms of storage for spent fuel. Under current fee
regulations, Part 50 licensees in decommissioning who store spent fuel
in the spent fuel pool are not assessed an annual fee, but licensees
who store spent fuel in an ISFSI under Part 72 are assessed an annual
fee. The NRC will review this policy as part of the overall study of
the issues related to annual fees for licensees in decommissioning.
The NRC is also proposing to make other changes to 10 CFR Parts 170
and 171 as discussed in Sections A. and B. below:
A. Amendments to 10 CFR Part 170: Fees for Facilities, Materials,
Import and Export Licenses, and Other Regulatory Services
The NRC proposes four amendments to 10 CFR Part 170. These
amendments would not change the underlying basis for the regulation--
that fees be assessed to applicants, persons, and licensees for
specific identifiable services rendered. The amendments also comply
with the guidance in the Conference Committee Report on OBRA-90 that
fees assessed under the Independent Offices Appropriation Act (IOAA)
recover the full cost to the NRC of identifiable regulatory services
that each applicant or licensee receives.
First, the NRC proposes to revise Sec. 170.12(g) to include the
following for cost recovery:
(1) Full-cost recovery for resident inspectors.
Currently, resident inspectors' time is billed to the site to which
they are assigned only if the time is reported to a specific inspection
report number. The remaining costs related to the resident inspector
are recovered in the annual fees assessed to all licensees in the
class. Because the assignment of a resident inspector to a site is an
identifiable service to a specific licensee, the NRC is proposing that
all of the resident inspectors' official duty time (i.e., excluding
leave) be billed to the specific licensee under Part 170. This change
would be applicable to all classes of licensees having resident
inspectors.
(2) Costs expended within 30 days after the issuance of an
inspection report.
Section 170.12 (g) provides that costs will be assessed for
completed inspections. Currently, for fee recovery purposes, an
inspection is considered to be completed when the inspection report is
issued. The result is that costs expended after the report is sent are
recovered through the annual fees imposed on all licensees in that
class.
Activities that occur after the inspection report is issued, such
as follow-up on the inspection findings, are identifiable services for
specific licensees. Therefore, NRC proposes to assess Part 170 fees for
these services.
[[Page 16048]]
However, in order to establish a clear interval during which
accumulated costs would be billed, the proposed change to Part 170
would recover costs from the specific licensee for activities that
occur within 30 days after the issuance of the inspection report. This
change would result in recovery of 80 percent of these accumulated
costs under Part 170, and would continue to provide applicants and
licensees with a definitive point at which billing would cease.
Second, the NRC proposes to revise Sec. 170.12(h) to include credit
cards as an additional method of payment, and to provide additional
information on electronic payments. Credit card payments would be
accepted for small dollar payments. Electronic payments may be made by
Fedwire (a funds transfer system operated by the Federal Reserve
System) or by Automated Clearing House (ACH). ACH is a nationwide
processing and delivery facility that provides for the distribution and
settlement of electronic financial transactions. Electronic payment
will not only expedite the payment process, but will also save
applicants and licensees considerable time and money over a paper-based
payment system.
Third, the NRC proposes that the two professional hourly rates
established in FY 1997 in Sec. 170.20 be revised based on the FY 1998
budget. These proposed rates would be based on the FY 1998 direct FTEs
and the FY 1998 budget excluding direct program support and the
appropriation from the NWF or the General Fund. These rates are used to
determine the Part 170 fees. The NRC is proposing to establish a rate
of $124 per hour ($219,901 per direct FTE) for the reactor program.
This rate would be applicable to all activities for which fees are
based on full cost under Sec. 170.21 of the fee regulations. A second
rate of $121 per hour ($214,185 per direct FTE) is proposed for the
nuclear materials and nuclear waste program. This rate would be
applicable to all materials activities for which fees are based on full
cost under Sec. 170.31 of the fee regulations. In the FY 1997 final fee
rule, these rates were $131 and $125, respectively. The decrease in the
hourly rates is primarily due to a change in application of the types
of costs included in the hourly rates. Previously, the hourly rates
were determined based on the premise that surcharge costs should be
shared by those paying Part 170 fees for services as well as those
paying Part 171 annual fees. The proposed hourly rates have been
determined based on the principle that the surcharge costs are more
appropriately included only in the Part 171 annual fee.
In addition, Section Chiefs are included as overhead in the
calculation of the proposed FY 1998 hourly rates, and any specific
Section Chief effort expended for reviews and inspections will not be
billed to the applicant or licensee. Previously, the Section Chiefs'
time for specific licensing and inspection activities were directly
billed under Part 170 to the applicant or licensee. This change is
consistent with the current budget structure which includes Section
Chiefs as overhead.
Fourth, the NRC proposes to adjust the current Part 170 licensing
fees in Secs. 170.21 and 170.31 to reflect the revised hourly rates.
In summary, the NRC is proposing to:
(1) Assess Part 170 fees to recover costs for all of the resident
inspectors' official duty time (i.e, excluding leave) and costs
incurred within 30 days after issuance of an inspection report.
(2) Offer additional payment methods for 10 CFR Part 170 fees.
(3) Revise the two 10 CFR Part 170 hourly rates.
(4) Revise the licensing (application and amendment) fees assessed
under 10 CFR Part 170 to reflect the revised hourly rates.
Although not a specific change to Part 170, the NRC also is
announcing plans to change the current policy with regard to fees for
activities performed during overtime. Currently only work performed
during regular hours is billed to the applicants and licensees. To more
fully recover costs under Part 170, the NRC plans to assess Part 170
fees for compensated overtime hours expended for activities covered by
Part 170, such as reviews of applications, inspections, Part 55 exams,
and special projects. The compensated overtime hours will be billed at
the normal hourly rate.
In addition, the NRC is also announcing plans to bill for
accumulated inspection costs prior to issuance of the inspection report
under certain circumstances. Currently, as provided in 10 CFR
170.12(g), inspection costs are billed only after the inspection is
completed, i.e, when the inspection report is issued. As a result, in
some cases inspection costs accumulate over several billing cycles, and
the licensee receives one invoice for these accumulated costs rather
than being billed as the costs are expended. However, NRC plans to
progress bill for inspections in selected cases where it is determined
that such billing would be in the best interest of the agency and the
licensee. If it is determined that the accumulated costs warrant an
exception to the billing method currently provided in 10 CFR 170.12(g),
NRC will coordinate with the licensee to establish a mutually agreeable
billing schedule and will issue an invoice for inspection costs that
have accumulated.
The NRC is developing a system that will accommodate routine
billing for accumulated inspection costs at a specified interval. Once
that system is available, the NRC intends to progress bill for all
inspections. The staff is seeking early comment on the long-term policy
in this FY 1998 proposed rule. The necessary revision to 10 CFR 170
would be made in future rulemaking when the system is available to
accomplish this.
B. Amendments to 10 CFR Part 171: Annual Fees for Reactor Operating
Licenses, and Fuel Cycle Licenses and Materials Licenses, Including
Holders of Certificates of Compliance, Registrations, and Quality
Assurance Program Approvals and Government Agencies Licensed by NRC
The NRC proposes four amendments to 10 CFR Part 171.
First, the NRC proposes to amend Sec. 171.13 to delete specific
fiscal year references.
Second, the NRC proposes to amend Secs. 171.15 and 171.16 to revise
the annual fees for FY 1998 to recover approximately 100 percent of the
FY 1998 budget authority, less fees collected under 10 CFR Part 170 and
funds appropriated from the NWF and the General Fund. In the FY 1995
final rule, the NRC stated that it would stabilize annual fees as
follows. Beginning in FY 1996, the NRC would adjust the annual fees
only by the percentage change (plus or minus) in NRC's total budget
authority unless there was a substantial change in the total NRC budget
authority or the magnitude of the budget allocated to a specific class
of licensees. If either case occurred, the annual fee base would be
recalculated (60 FR 32225; June 20, 1995). The NRC also indicated that
the percentage change would be adjusted based on changes in 10 CFR Part
170 fees and other adjustments as well as on the number of licensees
paying the fees.
In the FY 1996 final rule, the NRC stabilized the annual fees by
establishing the annual fees for all licensees at a level of 6.5
percent below the FY 1995 annual fees. For FY 1997, the NRC followed
the same method as used in FY 1996. Because the amount to be recovered
through fees for FY 1997 was identical to the amount to be recovered in
FY 1996, establishing new baseline fees was not warranted for FY 1997.
Based on a change in the distribution between Parts 170 and 171
[[Page 16049]]
fees, a reduction in the amount of the budget recovered for 10 CFR Part
170 fees, a reduction in other offsetting adjustments, and a reduction
in the number of licensees paying annual fees, the FY 1997 annual fees
for all licensees increased 8.4 percent compared to the FY 1996 annual
fees. In addition, beginning in FY 1997, the NRC made an adjustment to
recognize that all fees billed in a fiscal year are not collected in
that year.
As indicated in the FY 1995 final rule, because there has not been
a substantial change in the NRC budget or in the magnitude of a
specific budget allocation to a class of licensees, the NRC intends to
continue to stabilize annual fees by following the same method used for
FY 1996 and FY 1997 to establish the FY 1998 annual fees.
The FY 1998 amount to be recovered through fees is approximately
$454.8 million, which is $7.5 million less than in FY 1997. The
estimated amount to be recovered in 10 CFR Part 170 fees is $94.6
million, compared to $95.2 million for FY 1997. Due largely to the
adjustment for the reduced number of licensees paying annual fees, the
10 CFR Part 171 annual fees must increase slightly in FY 1998 compared
to FY 1997 in order to recover 100 percent of the budget. The reduced
number of licensees paying annual fees is primarily the result of the
equivalent of 2.5 fewer power reactors subject to annual fees in FY
1998. In addition, for FY 1998 there is a reduction of approximately
200 transportation quality assurance approvals as a result of the
rulemaking in 1997 that combined these approvals with the Part 34
radiography licenses.
The FY 1998 annual fees for all licensees would be established at a
level of 0.1 percent above the FY 1997 actual (prior to rounding)
annual fees. The NRC notes that this increase is less than the 2.7
percent inflation factor used by the Office of Management and Budget
for the FY 1998 budget. Based on the small change, the rounded FY 1998
annual fee for many fee categories is the same as the final (rounded)
FY 1997 annual fee. Therefore, for many licensees, the proposed annual
fee for FY 1998 is the same as the FY 1997 annual fee. Table I shows
the total budget and amounts of fees for FY 1997 and FY 1998.
Table I.--Calculation of the Percentage Change to the FY 1997 Annual
Fees
[Dollars in Millions]
------------------------------------------------------------------------
FY97 FY98
------------------------------------------------------------------------
Total Budget...................................... $476.8 $472.8
Less NWF........................................ -11.0 -15.0
Less General Fund (Hanford Tanks, Pilot for
Regulation of DOE)............................. -3.5 -3.0
---------------------
Total Fee Base.................................... 462.3 454.8
Less Part 170 Fees.............................. 95.2 94.6
Less other receipts............................. ......... .........
Part 171 Fee Collections Required................. 367.1 360.2
Part 171 Billing Adjustment1:
Small Entity Allowance.......................... 5.0 5.8
Unpaid FY 1997 invoices......................... 3.0 3.9
Payments from prior year invoices............... -2.0 -3.2
---------------------
Subtotal...................................... 6.0 6.5
=====================
Total Part 171 Billing........................ 373.1 366.7
------------------------------------------------------------------------
1These adjustments are necessary to ensure that the ``billed'' amount
results in the required collections. Positive amounts indicate amounts
billed that will not be collected in FY 1998.
Third, Footnote 1 of 10 CFR 171.16(d) would be amended to provide
for a waiver of annual fees for FY 1998 for those materials licensees,
and holders of certificates, registrations, and approvals who either
filed for termination of their licenses or approvals or filed for
possession only/storage licenses before October 1, 1997, and
permanently ceased licensed activities entirely by September 30, 1997.
All other licensees and approval holders who held a license or approval
on October 1, 1997, are subject to FY 1998 annual fees. This change is
being made in recognition of the fact that since the final FY 1997 rule
was published in May 1997, some licensees have filed requests for
termination of their licenses or certificates with the NRC. Other
licensees have either called or written to the NRC since the FY 1997
final rule became effective requesting further clarification and
information concerning the annual fees assessed. The NRC is responding
to these requests as quickly as possible. However, the NRC was unable
to respond and take action on all requests before the end of the fiscal
year on September 30, 1997. Similar situations existed after the FY
1991-1996 rules were published, and in those cases, the NRC provided an
exemption from the requirement that the annual fee is waived only when
a license is terminated before October 1 of each fiscal year.
Fourth, Sec. 171.19 would be amended to update fiscal year
references and to credit the partial payments made by certain licensees
in FY 1998 either toward their total annual fee to be assessed or to
make refunds, if necessary. Section 171.19(a) would also be amended to
provide credit cards as an additional method of payment, and to provide
additional information on electronic payments. Credit card payments
would be accepted for small dollar payments. Electronic payments may be
made by Fedwire (a funds transfer system operated by the Federal
Reserve System) or by Automated Clearing House (ACH). ACH is a
nationwide processing and delivery facility that provides for the
distribution and settlement of electronic financial transactions.
Electronic payments will not only expedite the payment process, but
will also save applicants and licensees considerable time and money
over a paper-based payment system.
The NRC will send an invoice to reactors and major fuel cycle
facilities for the amount of the annual fee upon publication of the FY
1998 final rule. For these licensees, payment will be due on the
effective date of FY 1998 rule. Those materials licensees whose license
anniversary date during FY 1998 falls before the effective date of the
final FY 1998 rule will be billed during the anniversary month of the
license and continue to pay annual fees at the FY 1997 rate in FY 1998.
Those materials licensees whose license anniversary date falls on or
after the effective date of the final FY 1998 rule would be billed, at
the FY 1998 revised rates, during the anniversary month of the license
and payment would be due on the date of the invoice.
The proposed amendments to 10 CFR Part 171 do not change the
underlying basis for 10 CFR Part 171; that is, charging a class of
licensees for NRC costs attributable to that class of licensees. The
proposed changes are consistent with the NRC's FY 1995 final rule
indicating that, for the period FY 1996-1999, the expectation is that
annual fees would be adjusted by the percentage change (plus or minus)
to the NRC's budget authority adjusted for NRC offsetting receipts and
the number of licensees paying annual fees.
In addition to the amendment to 10 CFR Parts 170 and 171, the NRC
is proposing conforming amendments to 10 CFR Parts 2 and 140 to include
the additional methods of payments provided in 10 CFR Parts 170 and
171.
[[Page 16050]]
III. Section-by-Section Analysis
The following analysis of those sections that would be amended by
this proposed rule provides additional explanatory information. All
references are to Title 10, Chapter I, U.S. Code of Federal
Regulations.
Part 2
Section 2.205 Civil Penalties
Paragraph 2.205(i) would be revised to provide additional methods
of payment, such as Automated Clearing House and credit cards, and to
clarify that payments are to be made in U.S. funds to the U.S. Nuclear
Regulatory Commission.
Part 140
Section 140.7 Fees
Paragraphs (a)(5) and (c) would be revised to delete references to
payment instructions. A new paragraph (d) would be added to provide
payment instructions, including clarification that payments are to be
made in U.S. funds to the U.S. Nuclear Regulatory Commission and to
provide additional methods of payments, such as Automated Clearing
House and credit cards.
Part 170
Section 170.12 Payment of Fees
Paragraph (g) would be revised to indicate that costs incurred
within 30 days after the inspection report is issued will be billed to
the specific licensees, and that inspection fees will be assessed for
each assigned resident inspector based on the number of hours the
assigned resident inspector(s) is in an official duty status (i.e.,
excluding leave).
Paragraph (h) would be revised to provide additional methods of
payment for fees assessed under 10 CFR 170 and to clarify that payment
should be made in U.S. funds.
Section 170.20 Average Cost per Professional Staff-Hour
This section would be amended to establish two professional staff-
hour rates based on FY 1998 budgeted costs--one for the reactor program
and one for the nuclear material and nuclear waste program.
Accordingly, the NRC reactor direct staff-hour rate for FY 1998 for all
activities whose fees are based on full cost under Sec. 170.21 would be
$124 per hour, or $219,901 per direct FTE. The NRC nuclear material and
nuclear waste direct staff-hour rate for all materials activities whose
fees are based on full cost under Sec. 170.31 would be $121 per hour,
or $214,185 per direct FTE. The rates are based on the FY 1998 direct
FTEs and NRC budgeted costs that are not recovered through the
appropriation from the NWF or the General Fund. The NRC has continued
the use of cost center concepts established in FY 1995 in allocating
certain costs to the reactor and materials programs in order to more
closely align budgeted costs with specific classes of licensees. The
method used to determine the two professional hourly rates is as
follows:
1. Direct program FTE levels are identified for both the reactor
program and the nuclear material and waste program.
2. Direct contract support, which is the use of contract or other
services in support of the line organization's direct program, is
excluded from the calculation of the hourly rate because the costs for
direct contract support are charged directly through the various
categories of fees.
3. All other direct program costs (i.e., Salaries and Benefits,
Travel) represent ``in-house'' costs and are to be allocated by
dividing them uniformly by the total number of direct FTEs for the
program. In addition, salaries and benefits plus contracts for general
and administrative support are allocated to each program based on that
program's salaries and benefits. This method results in the following
costs which are included in the hourly rates.
Table II.--FY 1998 Budget Authority To Be Included in Hourly Rates
[Dollars in millions]
------------------------------------------------------------------------
Reactor Materials
program program
------------------------------------------------------------------------
Direct Program Salaries & Benefits............ $103.9 $20.5
Overhead Salaries & Benefits, Program Travel
and Other Support............................ 55.3 $14.8
Allocated Agency Management and Support....... 101.7 $22.0
-------------------------
Subtotal.................................. 260.9 $57.3
-------------------------
Less offsetting receipts......................
Total Budget Included in Hourly Rate...... $260.9 $57.3
-------------------------
Program Direct FTEs........................... 1,186.4 267.3
Rate per Direct FTE........................... $219,901 $214,185
Professional Hourly Rate (Rate per direct FTE
divided by 1,776 hours)...................... 124 121
------------------------------------------------------------------------
Dividing the $260.9 million (rounded) budget for the reactor
program by the reactor program direct FTEs (1,186.4) results in a rate
for the reactor program of $219,901 per FTE for FY 1998. Dividing the
$57.3 million (rounded) budget for the nuclear materials and nuclear
waste program by the program direct FTEs (267.3) results in a rate of
$214,185 per FTE for FY 1998. The Direct FTE Hourly Rate for the
reactor program would be $124 per hour (rounded to the nearest whole
dollar). This rate is calculated by dividing the cost per direct FTE
($219,901) by the number of productive hours in one year (1,776 hours)
as indicated in the revised OMB Circular A-76, ``Performance of
Commercial Activities.'' The Direct FTE Hourly Rate for the materials
program would be $121 per hour (rounded to the nearest whole dollar).
This rate is calculated by dividing the cost per direct FTE ($214,185)
by the number of productive hours in one year (1,776 hours).
The proposed FY 1998 hourly rates are slightly lower than the FY
1997 rates. The decrease in the hourly rates is primarily due to a
change in application of the types of costs included in the hourly
rates. Previously, the hourly rates were determined based on the
premise that surcharge costs should be shared by those paying Part 170
fees for services as well as those
[[Page 16051]]
paying Part 171 annual fees. The proposed hourly rates have been
determined based on the principle that the surcharge costs are more
appropriately included only in the Part 171 annual fee.
Section 170.21 Schedule of Fees for Production and Utilization
Facilities, Review of Standard Reference Design Approvals, Special
Projects, Inspections and Import and Export Licenses
The NRC is proposing to revise the licensing and inspection fees in
this section, which are based on full-cost recovery, to reflect FY 1998
budgeted costs and to recover costs incurred by the NRC in providing
licensing and inspection services to identifiable recipients. The fees
assessed for services provided under the schedule are based on the
professional hourly rate, as shown in Sec. 170.20, for the reactor
program and any direct program support (contractual services) costs
expended by the NRC. Any professional hours expended on or after the
effective date of the final rule will be assessed at the FY 1998 hourly
rate for the reactor program, as shown in Sec. 170.20. The fees in
Sec. 170.21 for the review of import and export licensing, facility
Category K, would be adjusted for FY 1998 to reflect the revised hourly
rate.
Section 170.31 Schedule of Fees for Materials Licenses and Other
Regulatory Services, Including Inspections and Import and Export
Licenses
The licensing and inspection fees in this section, which are based
on full-cost recovery, would be modified to recover the FY 1998 costs
incurred by the NRC in providing licensing and inspection services to
identifiable recipients. The fees assessed for services provided under
the schedule would be based on both the professional hourly rate as
shown in Sec. 170.20 for the materials program and any direct program
support (contractual services) costs expended by the NRC. Licensing
fees based on the average time to review an application (``flat'' fees)
would be adjusted to reflect the decrease in the professional hourly
rate from $125 per hour in FY 1997 to $121 per hour in FY 1998.
The amounts of the materials licensing ``flat'' fees were rounded
so that the amounts would be de minimis and the resulting flat fee
would be convenient to the user. Fees under $1,000 are rounded to the
nearest $10. Fees that are greater than $1,000 but less than $100,000
are rounded to the nearest $100. Fees that are greater than $100,000
are rounded to the nearest $1,000.
The proposed licensing ``flat'' fees are applicable to fee
categories 1.C and 1.D; 2.B and 2.C; 3.A through 3.P; 4.B through 9.D,
10.B, 15.A through 15.E and 16. Applications filed on or after the
effective date of the final rule would be subject to the revised fees
in this proposed rule.
For those licensing, inspection, and review fees that are based on
full-cost recovery (cost for professional staff hours plus any
contractual services), the proposed materials program hourly rate of
$121, as shown in Sec. 170.20, would apply to those professional staff
hours expended on or after the effective date of the final rule.
Part 171
Section 171.13 Notice
The language in this section would be revised to delete specific
fiscal year references.
Section 171.15 Annual Fee: Reactor Operating Licenses
The annual fees in this section would be revised as described
below.
Paragraphs (b), (c)(1), (c)(2), (e) and (f) would be revised to
comply with the requirement of OBRA-90 that the NRC recover
approximately 100 percent of its budget for FY 1998.
Paragraph (b) would be revised in its entirety to establish the FY
1998 annual fee for operating power reactors and to change fiscal year
references from FY 1997 to FY 1998. The fees would be established by
increasing FY 1997 annual fees (prior to rounding) by 0.1 percent. In
the FY 1995 final rule, the NRC stated it would stabilize annual fees
by adjusting the annual fees only by the percentage change (plus or
minus) in NRC's total budget authority and adjustments based on changes
in 10 CFR Part 170 fees as well as in the number of licensees paying
the fees. The activities comprising the base FY 1995 annual fee and the
FY 1995 additional charge (surcharge) are listed in paragraphs (b) and
(c) for convenience purposes.
Each operating power reactor would pay an annual fee of $2,980,000
in FY 1998.
Paragraph (e) would be revised to show the amount of the FY 1998
annual fee for nonpower (test and research) reactors. The 1998 proposed
fee of $57,300 is the same as the FY 1997 annual fee. The NRC will
continue to grant exemptions from the annual fee to Federally-owned and
State-owned research and test reactors that meet the exemption criteria
specified in Sec. 171.11(a)(2).
Paragraph (f) would be revised to change fiscal year date
references.
Section 171.16 Annual Fees: Materials Licensees, Holders of
Certificates of Compliance, Holders of Sealed Source and Device
Registrations, Holders of Quality Assurance Program Approvals, and
Government Agencies Licensed by the NRC
Section 171.16(c) covers the fees assessed for those licensees that
can qualify as small entities under NRC size standards. A materials
licensee may pay a reduced annual fee if the licensee qualifies as a
small entity under the NRC's size standards and certifies that it is a
small entity using NRC Form 526. The NRC will continue to assess two
fees for licensees that qualify as small entities under the NRC's size
standards. In general, licensees with gross annual receipts of $350,000
to $5 million pay a maximum annual fee of $1,800. A second or lower-
tier small entity fee of $400 is in place for small entities with gross
annual receipts of less than $350,000 and small governmental
jurisdictions with a population of less than 20,000. No change in the
amount of the small entity fees is being proposed because the small
entity fees are not based on budgeted costs but are established at a
level to reduce the impact of fees on small entities. The small entity
fees are shown in the proposed rule for convenience.
Section 171.16(d) would be revised to establish the FY 1998 annual
fees for materials licensees, including Government agencies, licensed
by the NRC. The proposed annual fees were determined by increasing the
FY 1997 annual fees (prior to rounding) by 0.1 percent. After rounding,
many of the FY 1998 annual fees for materials licensees are the same as
the FY 1997 annual fees.
The amount or range of the proposed FY 1998 annual fees for
materials licenses is summarized as follows:
Materials Licenses--Annual Fee Ranges
------------------------------------------------------------------------
Category of license Annual fees
------------------------------------------------------------------------
Part 70--High enriched fuel facility. $2,607,000
Part 70--Low enriched fuel facility.. $1,280,000
Part 40--UF6 conversion facility..... $649,000
Part 40--Uranium recovery facilities. $22,300 to $61,800
Part 30--Byproduct Material Licenses. $490 to $23,500\1\
Part 71--Transportation of 1,000 to $78,900
Radioactive Material.
[[Page 16052]]
Part 72--Independent Storage of Spent $283,000
Nuclear Fuel.
------------------------------------------------------------------------
\1\ Excludes the annual fee for a few military ``master'' materials
licenses of broad-scope issued to Government agencies, which is
$421,000.
Footnote 1 of 10 CFR 171.16(d) would be amended to provide a waiver
of the annual fees for materials licensees, and holders of
certificates, registrations, and approvals, who either filed for
termination of their licenses or approvals or filed for possession
only/storage only licenses before October 1, 1997, and permanently
ceased licensed activities entirely by September 30, 1997. All other
licensees and approval holders who held a license or approval on
October 1, 1997, are subject to the FY 1998 annual fees.
Holders of new licenses issued during FY 1998 would be subject to a
prorated annual fee in accordance with the current proration provision
of Sec. 171.17. For example, those new materials licenses issued during
the period October 1 through March 31 of the FY will be assessed one-
half the annual fee in effect on the anniversary date of the license.
New materials licenses issued on or after April 1, 1998, will not be
assessed an annual fee for FY 1998. Thereafter, the full annual fee is
due and payable each subsequent fiscal year on the anniversary date of
the license. Beginning June 11, 1996, (the effective date of the FY
1996 final rule), affected materials licensees are subject to the
annual fee in effect on the anniversary date of the license. The
anniversary date of the materials license for annual fee purposes is
the first day of the month in which the original license was issued.
Section 171.19 Payment
Paragraph (a) would be revised to provide additional methods of
payment and to clarify that payments must be made in U.S. funds.
Paragraph (b) would be revised to give credit for partial payments
made by certain licensees in FY 1998 toward their FY 1998 annual fees.
The NRC anticipates that the first, second, and third quarterly
payments for FY 1998 will have been made by operating power reactor
licensees and some large materials licensees before the final rule
becomes effective. Therefore, the NRC would credit payments received
for those quarterly annual fee assessments toward the total annual fee
to be assessed. The NRC would adjust the fourth quarterly invoice to
recover the full amount of the revised annual fee or to make refunds,
as necessary. Payment of the annual fee is due on the date of the
invoice and interest accrues from the invoice date. However, interest
will be waived if payment is received within 30 days from the invoice
date.
Paragraph (c) would be revised to update fiscal year references.
As in FY 1997, the NRC would continue to bill annual fees for most
materials licenses on the anniversary date of the license (licensees
whose annual fees are $100,000 or more will continue to be assessed
quarterly). The annual fee assessed will be the fee in effect on the
license anniversary date. This proposed rule applies to those materials
licenses in the following fee categories: 1.C. and 1.D; 2.A. (2)
through 2.C.; 3.A. through 3.P.; 4.A. through 9.D., and 10.B. For
annual fee purposes, the anniversary date of the materials license is
considered to be the first day of the month in which the original
materials license was issued. For example, if the original materials
license was issued on June 17 then, for annual fee purposes, the
anniversary date of the materials license is June 1 and the licensee
would continue to be billed in June of each year for the annual fee in
effect on June 1. Materials licensees with anniversary dates in FY 1998
before the effective date of the FY 1998 final rule will be billed
during the anniversary month of the license and continue to pay annual
fees at the FY 1997 rate in FY 1998. Those materials licensees with
license anniversary dates falling on or after the effective date of the
FY 1998 final rule would be billed, at the FY 1998 revised rates,
during the anniversary month of their license and payment would be due
on the date of the invoice.
During the past seven years many licensees have indicated that,
although they held a valid NRC license authorizing the possession and
use of special nuclear, source, or byproduct material, they were either
not using the material to conduct operations or had disposed of the
material and no longer needed the license. In response, the NRC has
consistently stated that annual fees are assessed based on whether a
licensee holds a valid NRC license that authorizes possession and use
of radioactive material. Whether or not a licensee is actually
conducting operations using the material is a matter of licensee
discretion. The NRC cannot control whether a licensee elects to possess
and use radioactive material once it receives a license from the NRC.
Therefore, the NRC reemphasizes that the annual fee will be assessed
based on whether a licensee holds a valid NRC license that authorizes
possession and use of radioactive material. To remove any uncertainty,
the NRC issued minor clarifying amendments to 10 CFR 171.16, footnotes
1 and 7 on July 20, 1993 (58 FR 38700).
IV. Environmental Impact: Categorical Exclusion
The NRC has determined that this proposed rule is the type of
action described in categorical exclusion 10 CFR 51.22(c)(1).
Therefore, neither an environmental impact statement nor an
environmental impact assessment has been prepared for the proposed
regulation. By its very nature, this regulatory action does not affect
the environment, and therefore, no environmental justice issues are
raised.
V. Paperwork Reduction Act Statement
This proposed rule contains no information collection requirements
and, therefore, is not subject to the requirements of the Paperwork
Reduction Act of 1995 (44 U.S.C. 3501 et seq.).
VI. Regulatory Analysis
With respect to 10 CFR Part 170, this proposed rule was developed
pursuant to Title V of the Independent Offices Appropriation Act of
1952 (IOAA) (31 U.S.C. 9701) and the Commission's fee guidelines. When
developing these guidelines the Commission took into account guidance
provided by the U.S. Supreme Court on March 4, 1974, in its decision of
National Cable Television Association, Inc. v. United States, 415 U.S.
36 (1974) and Federal Power Commission v. New England Power Company,
415 U.S. 345 (1974). In these decisions, the Court held that the IOAA
authorizes an agency to charge fees for special benefits rendered to
identifiable persons measured by the ``value to the recipient'' of the
agency service. The meaning of the IOAA was further clarified on
December 16, 1976, by four decisions of the U.S. Court of Appeals for
the District of Columbia: National Cable Television Association v.
Federal Communications Commission, 554 F.2d 1094 (D.C. Cir. 1976);
National Association of Broadcasters v. Federal Communications
Commission, 554 F.2d 1118 (D.C. Cir. 1976); Electronic Industries
Association v. Federal Communications Commission, 554 F.2d 1109 (D.C.
Cir. 1976) and Capital Cities Communication, Inc. v. Federal
Communications Commission, 554 F.2d 1135 (D.C. Cir. 1976). These
decisions of the Courts enabled the Commission to develop fee
guidelines that are still used
[[Page 16053]]
for cost recovery and fee development purposes.
The Commission's fee guidelines were upheld on August 24, 1979, by
the U.S. Court of Appeals for the Fifth Circuit in Mississippi Power
and Light Co. v. U.S. Nuclear Regulatory Commission, 601 F.2d 223 (5th
Cir. 1979), cert. denied, 444 U.S. 1102 (1980). The Court held that--
(1) The NRC had the authority to recover the full cost of providing
services to identifiable beneficiaries;
(2) The NRC could properly assess a fee for the costs of providing
routine inspections necessary to ensure a licensee's compliance with
the Atomic Energy Act and with applicable regulations;
(3) The NRC could charge for costs incurred in conducting
environmental reviews required by NEPA;
(4) The NRC properly included the costs of uncontested hearings and
of administrative and technical support services in the fee schedule;
(5) The NRC could assess a fee for renewing a license to operate a
low-level radioactive waste burial site; and
(6) The NRC's fees were not arbitrary or capricious.
With respect to 10 CFR Part 171, on November 5, 1990, the Congress
passed Public Law 101-508, the Omnibus Budget Reconciliation Act of
1990 (OBRA-90) which required that for FYs 1991 through 1995,
approximately 100 percent of the NRC budget authority be recovered
through the assessment of fees. OBRA-90 was amended in 1993 to extend
the 100 percent fee recovery requirement for NRC through FY 1998. To
accomplish this statutory requirement, the NRC, in accordance with
Sec. 171.13, is publishing the proposed amount of the FY 1998 annual
fees for operating reactor licensees, fuel cycle licensees, materials
licensees, and holders of Certificates of Compliance, registrations of
sealed source and devices and QA program approvals, and Government
agencies. OBRA-90 and the Conference Committee Report specifically
state that--
(1) The annual fees be based on the Commission's FY 1998 budget of
$472.8 million less the amounts collected from Part 170 fees and the
funds directly appropriated from the NWF to cover the NRC's high level
waste program and the general fund related to commercial vitrification
of waste at the Department of Energy Hanford, Washington site, and the
pilot program pertaining to external regulation of the Department of
Energy;
(2) The annual fees shall, to the maximum extent practicable, have
a reasonable relationship to the cost of regulatory services provided
by the Commission; and
(3) The annual fees be assessed to those licensees the Commission,
in its discretion, determines can fairly, equitably, and practicably
contribute to their payment.
10 CFR Part 171, which established annual fees for operating power
reactors effective October 20, 1986 (51 FR 33224; September 18, 1986),
was challenged and upheld in its entirety in Florida Power and Light
Company v. United States, 846 F.2d 765 (D.C. Cir. 1988), cert. denied,
490 U.S. 1045 (1989).
The NRC's FY 1991 annual fee rule was largely upheld by the D.C.
Circuit Court of Appeals in Allied Signal v. NRC, 988 F.2d 146 (D.C.
Cir. 1993).
VII. Regulatory Flexibility Analysis
The NRC is required by the Omnibus Budget Reconciliation Act of
1990 to recover approximately 100 percent of its budget authority
through the assessment of user fees. OBRA-90 further requires that the
NRC establish a schedule of charges that fairly and equitably allocates
the aggregate amount of these charges among licensees.
This proposed rule establishes the schedules of fees that are
necessary to implement the Congressional mandate for FY 1998. The
proposed rule would result a slight increase in the annual fees charged
to some licensees, and holders of certificates, registrations, and
approvals. The Regulatory Flexibility Analysis, prepared in accordance
with 5 U.S.C. 604, is included as Appendix A to this proposed rule. The
Small Business Regulatory Enforcement Fairness Act of 1996 (SBREFA) was
signed into law on March 29, 1996. The SBREFA requires all Federal
agencies to prepare a written compliance guide for each rule for which
the agency is required by 5 U.S.C. 604 to prepare a regulatory
flexibility analysis. Therefore, in compliance with the law, Attachment
1 to the Regulatory Flexibility Analysis (Appendix A to this document)
is the small entity compliance guide for FY 1998.
VIII. Backfit Analysis
The NRC has determined that the backfit rule, 10 CFR 50.109, does
not apply to this proposed rule and that a backfit analysis is not
required for this proposed rule. The backfit analysis is not required
because these proposed amendments do not require the modification of or
additions to systems, structures, components, or the design of a
facility or the design approval or manufacturing license for a facility
or the procedures or organization required to design, construct or
operate a facility.
List of Subjects
10 CFR Part 2
Administrative practice and procedure, Antitrust, Byproduct
material, Classified information, Environmental protection, Nuclear
materials, Nuclear power plants and reactors, Penalties, Sex
discrimination, Source material, Special nuclear material, Waste
treatment and disposal.
10 CFR Part 140
Criminal penalties, Extraordinary nuclear occurrence, Insurance,
Intergovernmental relations, Nuclear materials, Nuclear power plants
and reactors, Reporting and record keeping requirements.
10 CFR Part 170
Byproduct material, Import and export licenses, Intergovernmental
relations, Non-payment penalties, Nuclear materials, Nuclear power
plants and reactors, Source material, Special nuclear material.
10 CFR Part 171
Annual charges, Byproduct material, Holders of certificates,
registrations, approvals, Intergovernmental relations, Non-payment
penalties, Nuclear materials, Nuclear power plants and reactors, Source
material, Special nuclear material.
For the reasons set out in the preamble and under the authority of
the Atomic Energy Act of 1954, as amended, and 5 U.S.C. 553, the NRC is
proposing to adopt the following amendments to 10 CFR Parts 2, 140, 170
and 171.
PART 2--RULES OF PRACTICE FOR DOMESTIC LICENSING PROCEEDINGS AND
ISSUANCE OF ORDERS
1. The authority citation for Part 2 continues to read as follows:
Authority: Secs. 161, 181, 68 Stat. 948, 953, as amended (42
U.S.C. 2201, 2231); sec. 191, as amended, Pub. L. 87-615, 76 Stat.
409 (42 U.S.C. 2241); sec. 201, 88 Stat. 1242, as amended (42 U.S.C.
5841); 5 U.S.C. 552.
Section 2.101 also issued under secs. 53, 62, 63, 81, 103, 104,
105, 68 Stat. 930, 932, 933, 935, 936, 937, 938, as amended (42
U.S.C. 2073, 2092, 2093, 2111, 2133, 2134, 2135); sec. 114(f), Pub.
L. 97-425, 96 Stat. 2213, as amended (42 U.S.C. 10134(f)); sec. 102,
Pub. L. 91-190, 83 Stat. 853, as amended (42 U.S.C. 4332); sec. 301,
88 Stat. 1248 (42 U.S.C. 5871). Sections 2.102, 2.103, 2.104, 2.105,
2.721 also issued under secs. 102, 103, 104, 105, 183, 189, 68 Stat.
936, 937, 938, 954, 955, as amended (42 U.S.C. 2132, 2133, 2134,
2135, 2233, 2239). Section 2.105 also issued under Pub. L. 97-415,
96 Stat. 2073 (42 U.S.C. 2239). Sections 2.200-2.206 also issued
under secs. 161 b, i, o, 182, 186, 234, 68 Stat. 948-951, 955, 83,
Stat. 444, as
[[Page 16054]]
amended (42 U.S.C. 2201 (b), (i), (o), 2236, 2282); sec. 206, 88
Stat. 1246 (42 U.S.C. 5846). Section 2.205(j) also issued under Pub.
L. 101-410, 104 Stat. 890, as amended by section 31001(s), Pub. L.
104-134, 110 Stat. 1321-373 (28 U.S.C. 2461 note). Sections 2.600-
2.606 also issued under sec. 102, Pub. L. 91-190, 83 Stat. 853, as
amended (42 U.S.C. 4332). Sections 2.700a, 2.719 also issued under 5
U.S.C. 554. Sections 2.754, 2.760, 2.770, 2.780 also issued under 5
U.S.C. 557. Section 2.764 also issued under secs. 135, 141, Pub. L.
97-425, 96 Stat. 2232, 2241 (42 U.S.C. 10155, 10161). Section 2.790
also issued under sec. 103, 68 Stat. 936, as amended (42 U.S.C.
2133) and 5 U.S.C. 552. Sections 2.800 and 2.808 also issued under 5
U.S.C. 553. Section 2.809 also issued under 5 U.S.C. 553 and sec.
29, Pub. L. 85-256, 71 Stat. 579, as amended (42 U.S.C. 2039).
Subpart K also issued under sec. 189, 68 Stat. 955 (42 U.S.C. 2239);
sec. 134, Pub. L. 97-425, 96 Stat. 2230 (42 U.S.C. 10154). Subpart L
also issued under sec. 189, 68 Stat. 955 (42 U.S.C. 2239). Appendix
A also issued under sec. 6, Pub. L. 91-560, 84 Stat. 1473 (42 U.S.C.
2135). Appendix B also issued under sec. 10, Pub. L. 99-240, 99
Stat. 1842 (42 U.S.C. 2021b et seq.).
2. In Sec. 2.205, paragraph (i) is revised to read as follows:
Sec. 2.205 Civil penalties.
* * * * *
(i) Except when payment is made after compromise or mitigation by
the Department of Justice or as ordered by a court of the United
States, following reference of the matter to the Attorney General for
collection, payment of civil penalties imposed under Section 234 of the
Act are to be made payable to the U.S. Nuclear Regulatory Commission,
in U.S. funds, by check, draft, money order, credit card, or electronic
funds transfer such as Automated Clearing House (ACH) using Electronic
Data Interchange (EDI). Federal agencies may also make payment by the
On-Line Payment and Collections System (OPAC's). All payments are to be
made in accordance with the specific payment instructions provided with
Notices of Violation that propose civil penalties and Orders Imposing
Civil Monetary Penalties.
* * * * *
PART 140--FINANCIAL PROTECTION REQUIREMENTS AND INDEMNITY
AGREEMENTS
3. The authority citation for Part 140 continues to read as
follows:
Authority: Secs. 161, 170, 68 Stat. 948, 71 Stat. 576, as
amended (42 U.S.C. 2201, 2210); secs. 201, as amended, 202, 88 Stat.
1242, as amended, 1244 (42 U.S.C. 5841, 5842).
4. In Sec. 140.7, paragraphs (a) and (c) are revised and paragraph
(d) is added to read as follows:
Sec. 140.7 Fees.
(a)(1) Each reactor licensee shall pay a fee to the Commission
based on the following schedule:
(i) For indemnification from $500 million to $400 million
inclusive, a fee of $30 per year per thousand kilowatts of thermal
capacity authorized in the license;
(ii) For indemnification from $399 million to $300 million
inclusive, a fee of $24 per year per thousand kilowatts of thermal
capacity authorized in the license.
(iii) For indemnification from $299 million to $200 million
inclusive, a fee of $18 per year per thousand kilowatts of thermal
capacity authorized in the license;
(iv) For indemnification from $199 million to $100 million
inclusive, a fee of $12 per year per thousand kilowatts of thermal
capacity authorized in the license;
(2) No fee will be less than $100 per annum for any nuclear
reactor. This fee is due for the period beginning with the date on
which the applicable indemnity agreement is effective. The various
levels of indemnity fees are set forth in the schedule in this
paragraph. The amount of indemnification for determining indemnity fees
will be computed by subtracting from the statutory limit of liability
the amount of financial protection required of the licensee. In the
case of licensees subject to the provision of Sec. 140.11(a), this
total amount will be the amount as determined by the Commission, of the
financial protection available to licensees at the close of the
calendar year preceding the one in which the fee becomes due. For those
instances in which a certified financial statement is provided as a
guarantee of payment of deferred premiums in accordance with
Sec. 140.21(e), a fee of $1,000 or the indemnity fee, whichever is
greater, is required.
* * * * *
(c) Each person licensed to possess and use plutonium in a
plutonium processing and fuel fabrication plant shall pay to the
Commission a fee of $5,000 per year for indemnification. This fee is
due for the period beginning with the date on which the applicable
indemnity agreement is effective.
(d) Indemnity fee payments, made payable to the U.S. Nuclear
Regulatory Commission, are to be made in U.S. funds by check, draft,
money order, credit card, or electronic funds transfer such as ACH
(Automated Clearing House) using EDI (Electronic Data Interchange).
Federal agencies may also make payments by the On-Line Payment and
Collections System (OPAC's). Where specific payment instructions are
provided on the invoices, payment should be made accordingly, e.g.
invoices of $5,000 or more should be paid via ACH through NRC's Lockbox
Bank at the address indicated on the invoice. Credit card payments
should be made up to the limit established by the credit card bank, in
accordance with specific instructions provided with the invoices, to
the Lockbox Bank designated for credit card payments.
PART 170--FEES FOR FACILITIES, MATERIALS, IMPORT AND EXPORT
LICENSES, AND OTHER REGULATORY SERVICES UNDER THE ATOMIC ENERGY ACT
OF 1954, AS AMENDED
5. The authority citation for Part 170 continues to read as
follows:
Authority: 31 U.S.C. 9701, 96 Stat. 1051; sec. 301, Pub. L. 92-
314, 86 Stat. 222 (42 U.S.C. 2201w); sec. 201, Pub. L. 93-4381, 88
Stat. 1242, as amended (42 U.S.C. 5841); sec. 205, Pub. L. 101-576,
104 Stat. 2842 (31 U.S.C. 901).
6. Section 170.12, paragraphs (g) and (h) are revised to read as
follows:
Sec. 170.12 Payment of fees.
* * * * *
(g) Inspection fees. (1) Inspection fees will be assessed to
recover full cost for each resident inspector assigned to a specific
plant or facility. The fees assessed will be based on the number of
hours that each inspector assigned to the plant or facility is in an
offical duty status (i.e., all time in a non-leave status will be
billed), and the hours will be billed at the appropriate hourly rate
established in 10 CFR 170.20.
(2) Fees for all inspections subject to full cost recovery will be
assessed on a per inspection basis for costs incurred up to 30 days
after issuance of the inspection report. Inspection costs include
preparation time, time on site, documentation time, and follow-up
activities and any associated contractural service costs, but exclude
the time involved in the processing and issuance of a notice of
violation or civil penalty. Resident inspector time related to a
specific inspection will be assessed in accordance with paragraph
(g)(1) of this section, and will not be reflected in the costs billed
for the specific inspection.
(3) Fees for resident inspectors' time and for specific inspections
subject to full cost recovery will be billed on a quarterly basis and
are payable upon notification by the Commission.
(h) Method of payment. License fee payments, made payable to the
U.S. Nuclear Regulatory Commission, are to
[[Page 16055]]
be made in U.S. funds by check, draft, money order, credit card, or
electronic funds transfer such as ACH (Automated Clearing House) using
EDI (Electronic Data Interchange). Where specific payment instructions
are provided on the invoices to applicants and licensees for services
rendered, payment should be made accordingly, e.g. invoice of $5,000 or
more should be paid via ACH through NRC's Lockbox Bank at the address
indicated on the invoice. Credit card payments should be made up to the
limit established by the credit card bank, in accordance with specific
instructions provided with the invoices, to the Lockbox Bank designated
for credit card payments. Unbilled application and amendment fees are
to be paid in a similar manner using the above methods. Applicants and
licensees should contact the License Fee and Accounts Receivable Branch
at 301-415-7554 to obtain specific written instructions for making
electronic payments and credit card payments.
* * * * *
7. Section 170.20 is revised to read as follows:
Sec. 170.20 Average cost per professional staff-hour.
Fees for permits, licenses, amendments, renewals, special projects,
Part 55 requalification and replacement examinations and tests, other
required reviews, approvals, and inspections under Secs. 170.21 and
170.31 that are based upon the full costs for the review or inspection
will be calculated using the following applicable professional staff-
hour rates:
Reactor Program (Sec. 170.21 $124 per hour.
Activities).
Nuclear Materials and Nuclear Waste $121 per hour.
Program (Sec. 170.31 Activities).
8. In Sec. 170.21, the introductory text, Category K, and footnotes
1 and 2 to the table are revised to read as follows:
Sec. 170.21 Schedule of fees for production and utilization
facilities, review of standard referenced design approvals, special
projects, inspections and import and export licenses.
Applicants for construction permits, manufacturing licenses,
operating licenses, import and export licenses, approvals of facility
standard reference designs, requalification and replacement
examinations for reactor operators, and special projects and holders of
construction permits, licenses, and other approvals shall pay fees for
the following categories of services.
Schedule of Facility Fees
[See footnotes at end of table]
------------------------------------------------------------------------
Facility categories and type of fees Fees12
------------------------------------------------------------------------
* * * *
* * *
K. Import and export licenses:
Licenses for the import and export only of production
and utilization facilities or the export only of
components for production and utilization facilities
issued pursuant to 10 CFR Part 110:
1. Application for import or export of reactors and
other facilities and exports of components which
must be reviewed by the Commissioners and the
Executive Branch, for example, actions under 10
CFR 110.40(b):
Application--new license....................... 7,900
Amendment...................................... $7,900
2. Application for export of reactor and other
components requiring Executive Branch review only,
for example, those actions under 10 CFR
110.41(a)(1)-(8).
Application-new license........................ 4,800
Amendment...................................... 4,800
3. Application for export of components requiring
foreign government assurances only.
Application--new license....................... 2,800
Amendment...................................... 2,800
4. Application for export of facility components
and equipment not requiring Commissioner review,
Executive Branch review, or foreign government
assurances.
Application--new license....................... 1,200
Amendment...................................... 1,200
5. Minor amendment of any export or import license
to extend the expiration date, change domestic
information, or make other revisions which do not
require in-depth analysis or review.
Amendment...................................... 180
------------------------------------------------------------------------
\1\Fees will not be charged for orders issued by the Commission pursuant
to Sec. 2.202 of this chapter or for amendments resulting specifically
from the requirements of these types of Commission orders. Fees will
be charged for approvals issued under a specific exemption provision
of the Commission's regulations under Title 10 of the Code of Federal
Regulations (e.g., Secs. 50.12, 73.5) and any other sections now or
hereafter in effect regardless of whether the approval is in the form
of a license amendment, letter of approval, safety evaluation report,
or other form. Fees for licenses in this schedule that are initially
issued for less than full power are based on review through the
issuance of a full power license (generally full power is considered
100 percent of the facility's full rated power). Thus, if a licensee
received a low power license or a temporary license for less than full
power and subsequently receives full power authority (by way of
license amendment or otherwise), the total costs for the license will
be determined through that period when authority is granted for full
power operation. If a situation arises in which the Commission
determines that full operating power for a particular facility should
be less than 100 percent of full rated power, the total costs for the
license will be at that determined lower operating power level and not
at the 100 percent capacity.
\2\Full cost fees will be determined based on the professional staff
time and appropriate contractual support services expended. For
applications currently on file and for which fees are determined based
on the full cost expended for the review, the professional staff hours
expended for the review of the application up to the effective date of
the final rule will be determined at the professional rates in effect
at the time the service was provided. For those applications currently
on file for which review costs have reached an applicable fee ceiling
established by the June 20, 1984, and July 2, 1990, rules but are
still pending completion of the review, the cost incurred after any
applicable ceiling was reached through January 29, 1989, will not be
billed to the applicant. Any professional staff-hours expended above
those ceilings on or after January 30, 1989, will be assessed at the
applicable rates established by Sec. 170.20, as appropriate, except
for topical reports whose costs exceed $50,000. Costs which exceed
$50,000 for any topical report, amendment, revision or supplement to a
topical report completed or under review from January 30, 1989,
through August 8, 1991, will not be billed to the applicant. Any
professional hours expended on or after August 9, 1991, will be
assessed at the applicable rate established in Sec. 170.20. In no
event will the total review costs be less than twice the hourly rate
shown in Sec. 170.20.
[[Page 16056]]
* * * * *
9. Section 170.31 is revised to read as follows:
Sec. 170.31 Schedule of fees for materials licenses and other
regulatory services, including inspections, and import and export
licenses.
Applicants for materials licenses, import and export licenses, and
other regulatory services and holders of materials licenses, or import
and export licenses shall pay fees for the following categories of
services. This schedule includes fees for health and safety and
safeguards inspections where applicable.
Schedule of Materials Fees
[See footnotes at end of table]
------------------------------------------------------------------------
Category of materials licenses and type of
fees\1\ Fee23
------------------------------------------------------------------------
1. Special nuclear material:
A. Licenses for possession and use of 200
grams or more of plutonium in unsealed
form or 350 grams or more of contained U-
235 in unsealed form or 200 grams or more
of U-233 in unsealed form. This includes
applications to terminate licenses as well
as licenses authorizing possession only:
License, Renewal, Amendment............ Full Cost.
Inspections............................ Full Cost.
B. Licenses for receipt and storage of
spent fuel at an independent spent fuel
storage installation (ISFSI):
License, Renewal, Amendment............ Full Cost.
Inspections............................ Full Cost.
C. Licenses for possession and use of
special nuclear material in sealed sources
contained in devices used in industrial
measuring systems, including x-ray
fluorescence analyzers:\4\
Application--New license............... $560.
Amendment.............................. $380.
D. All other special nuclear material
licenses, except licenses authorizing
special nuclear material in unsealed form
in combination that would constitute a
critical quantity, as defined in Sec.
150.11 of this chapter, for which the
licensee shall pay the same fees as those
for Category 1A:\4\
Application--New license............... $750.
Amendment.............................. $290.
E. Licenses or certificates for
construction and operation of a uranium
enrichment facility.
License, Renewal, Amendment............ Full Cost.
Inspections............................ Full Cost.
2. Source material:
A.(1) Licenses for possession and use of
source material in recovery operations
such as milling, in-situ leaching, heap-
leaching, refining uranium mill
concentrates to uranium hexafluoride, ore
buying stations, ion exchange facilities
and in processing of ores containing
source material for extraction of metals
other than uranium or thorium, including
licenses authorizing the possession of
byproduct waste material (tailings) from
source material recovery operations, as
well as licenses authorizing the
possession and maintenance of a facility
in a standby mode:
License, Renewal, Amendment............ Full Cost.
Inspections............................ Full Cost.
(2) Licenses that authorize the receipt of
byproduct material, as defined in Section
11e(2) of the Atomic Energy Act, from
other persons for possession and disposal
except those licenses subject to fees in
Category 2.A.(1):
License, renewal, amendment............ Full Cost.
Inspections............................ Full Cost.
(3) Licenses that authorize the receipt of
byproduct material, as defined in Section
11e(2) of the Atomic Energy Act, from
other persons for possession and disposal
incidental to the disposal of the uranium
waste tailings generated by the licensee's
milling operations, except those licenses
subject to the fees in Category 2.A.(1):
License, renewal, amendment............ Full Cost.
Inspections............................ Full Cost.
B. Licenses which authorize the possession,
use and/or installation of source material
for shielding:
Application--New license............... $120.
Amendment.............................. $280.
C. All other source material licenses:
Application--New license............... $3,600.
Amendment.............................. $560.
3. Byproduct material:
A. Licenses of broad scope for possession
and use of byproduct material issued
pursuant to Parts 30 and 33 of this
chapter for processing or manufacturing of
items containing byproduct material for
commercial distribution:
Application--New license............... $3,800.
Amendment.............................. $530.
B. Other licenses for possession and use of
byproduct material issued pursuant to Part
30 of this chapter for processing or
manufacturing of items containing
byproduct material for commercial
distribution:
Application--New license............... $1,500.
Amendment.............................. $560.
C. Licenses issued pursuant to Secs. 32.72,
32.73, and/or 32.74 of this chapter
authorizing the processing or
manufacturing and distribution or
redistribution of radiopharmaceuticals,
generators, reagent kits and/or sources
and devices containing byproduct material.
This category does not apply to licenses
issued to nonprofit educational
institutions whose processing or
manufacturing is exempt under 10 CFR
170.11(a)(4). These licenses are covered
by fee Category 3D:
Application--New license............... $6,800.
Amendment.............................. $630.
[[Page 16057]]
D. Licenses and approvals issued pursuant
to Secs. 32.72, 32.73, and/or 32.74 of
this chapter authorizing distribution or
redistribution of radiopharmaceuticals,
generators, reagent kits and/or sources or
devices not involving processing of
byproduct material. This category includes
licenses issued pursuant to Secs. 32.72,
32.73, and/or 32.74 of this chapter to
nonprofit educational institutions whose
processing or manufacturing is exempt
under 10 CFR 170.11(a)(4):
Application--New license............... $1,900.
Amendment.............................. $420.
E. Licenses for possession and use of
byproduct material in sealed sources for
irradiation of materials in which the
source is not removed from its shield
(self-shielded units):
Application--New license............... $1,100.
Amendment.............................. $380.
F. Licenses for possession and use of less
than 10,000 curies of byproduct material
in sealed sources for irradiation of
materials in which the source is exposed
for irradiation purposes. This category
also includes underwater irradiators for
irradiation of materials where the source
is not exposed for irradiation purposes:
Application--New license............... $1,900.
Amendment.............................. $440.
G. Licenses for possession and use of
10,000 curies or more of byproduct
material in sealed sources for irradiation
of materials in which the source is
exposed for irradiation purposes. This
category also includes underwater
irradiators for irradiation of materials
where the source is not exposed for
irradiation purposes:
Application--New license............... $4,500.
Amendment.............................. $740.
H. Licenses issued pursuant to Subpart A of
Part 32 of this chapter to distribute
items containing byproduct material that
require device review to persons exempt
from the licensing requirements of Part 30
of this chapter, except specific licenses
authorizing redistribution of items that
have been authorized for distribution to
persons exempt from the licensing
requirements of Part 30 of this chapter:
Application--New license............... $2,700.
Amendment.............................. $1,000.
I. Licenses issued pursuant to Subpart A of
Part 32 of this chapter to distribute
items containing byproduct material or
quantities of byproduct material that do
not require device evaluation to persons
exempt from the licensing requirements of
Part 30 of this chapter, except for
specific licenses authorizing
redistribution of items that have been
authorized for distribution to persons
exempt from the licensing requirements of
Part 30 of this chapter:
Application--New license............... $4,400.
Amendment.............................. $1,000.
J. Licenses issued pursuant to Subpart B of
Part 32 of this chapter to distribute
items containing byproduct material that
require sealed source and/or device review
to persons generally licensed under Part
31 of this chapter, except specific
licenses authorizing redistribution of
items that have been authorized for
distribution to persons generally licensed
under Part 31 of this chapter:
Application--New license............... $1,700.
Amendment.............................. $300.
K. Licenses issued pursuant to Subpart B of
Part 32 of this chapter to distribute
items containing byproduct material or
quantities of byproduct material that do
not require sealed source and/or device
review to persons generally licensed under
Part 31 of this chapter, except specific
licenses authorizing redistribution of
items that have been authorized for
distribution to persons generally licensed
under Part 31 of this chapter:
Application--New license............... $1,000.
Amendment.............................. $340.
L. Licenses of broad scope for possession
and use of byproduct material issued
pursuant to Parts 30 and 33 of this
chapter for research and development that
do not authorize commercial distribution:
Application--New license............... $5,400.
Amendment.............................. $760.
M. Other licenses for possession and use of
byproduct material issued pursuant to Part
30 of this chapter for research and
development that do not authorize
commercial distribution:
Application--New license............... $1,800.
Amendment.............................. $620.
N. Licenses that authorize services for
other licensees, except:
(1) Licenses that authorize only
calibration and/or leak testing services
are subject to the fees specified in fee
Category 3P; and
(2) Licenses that authorize waste disposal
services are subject to the fees specified
in fee Categories 4A, 4B, and 4C:
Application--New license............... $2,000.
Amendment.............................. $500.
O. Licenses for possession and use of
byproduct material issued pursuant to Part
34 of this chapter for industrial
radiography operations:
Application--New license............... $4,300.
Amendment.............................. $680.
P. All other specific byproduct material
licenses, except those in Categories 4A
through 9D:
Application--New license............... $730.
Amendment.............................. $340.
4. Waste disposal and processing:
[[Page 16058]]
A. Licenses specifically authorizing the
receipt of waste byproduct material,
source material, or special nuclear
material from other persons for the
purpose of contingency storage or
commercial land disposal by the licensee;
or licenses authorizing contingency
storage of low-level radioactive waste at
the site of nuclear power reactors; or
licenses for receipt of waste from other
persons for incineration or other
treatment, packaging of resulting waste
and residues, and transfer of packages to
another person authorized to receive or
dispose of waste material:
License, renewal, amendment............ Full Cost.
Inspections............................ Full Cost.
B. Licenses specifically authorizing the
receipt of waste byproduct material,
source material, or special nuclear
material from other persons for the
purpose of packaging or repackaging the
material. The licensee will dispose of the
material by transfer to another person
authorized to receive or dispose of the
material:
Application--New license............... $2,500.
Amendment.............................. $520.
C. Licenses specifically authorizing the
receipt of prepackaged waste byproduct
material, source material, or special
nuclear material from other persons. The
licensee will dispose of the material by
transfer to another person authorized to
receive or dispose of the material:
Application--New license............... $2,200.
Amendment.............................. $220.
5. Well logging:
A. Licenses for possession and use of
byproduct material, source material, and/
or special nuclear material for well
logging, well surveys, and tracer studies
other than field flooding tracer studies:
Application--New license............... $3,400.
Amendment.............................. $820.
B. Licenses for possession and use of
byproduct material for field flooding
tracer studies:
License, renewal, amendment............ Full Cost.
6. Nuclear laundries:
A. Licenses for commercial collection and
laundry of items contaminated with
byproduct material, source material, or
special nuclear material:
Application--New license............... $6,400.
Amendment.............................. $1,000.
7. Medical licenses:
A. Licenses issued pursuant to Parts 30,
35, 40, and 70 of this chapter for human
use of byproduct material, source
material, or special nuclear material in
sealed sources contained in teletherapy
devices:
Application--New license............... $3,500.
Amendment.............................. $390.
B. Licenses of broad scope issued to
medical institutions or two or more
physicians pursuant to Parts 30, 33, 35,
40, and 70 of this chapter authorizing
research and development, including human
use of byproduct material, except licenses
for byproduct material, source material,
or special nuclear material in sealed
sources contained in teletherapy devices:
Application--New license............... $3,800.
Amendment.............................. $710
C. Other licenses issued pursuant to Parts
30, 35, 40, and 70 of this chapter for
human use of byproduct material, source
material, and/or special nuclear material,
except licenses for byproduct material,
source material, or special nuclear
material in sealed sources contained in
teletherapy devices:
Application--New license............... $1,800
Amendment.............................. $450
8. Civil defense:
A. Licenses for possession and use of
byproduct material, source material, or
special nuclear material for civil defense
activities:
Application--New license............... $570.
Amendment.............................. $400.
9. Device, product, or sealed source safety
evaluation:
A. Safety evaluation of devices or products
containing byproduct material, source
material, or special nuclear material,
except reactor fuel devices, for
commercial distribution:
Application--each device............... $3,600.
Amendment--each device................. $590.
B. Safety evaluation of devices or products
containing byproduct material, source
material, or special nuclear material
manufactured in accordance with the unique
specifications of, and for use by, a
single applicant, except reactor fuel
devices:
Application--each device............... $2,100.
Amendment--each device................. $1,100.
C. Safety evaluation of sealed sources
containing byproduct material, source
material, or special nuclear material,
except reactor fuel, for commercial
distribution:
Application--each source............... $910.
Amendment--each source................. $610.
D. Safety evaluation of sealed sources
containing byproduct material, source
material, or special nuclear material,
manufactured in accordance with the unique
specifications of, and for use by, a
single applicant, except reactor fuel:
Application--each source............... $460.
Amendment--each source................. $160.
10. Transportation of radioactive material:
A. Evaluation of casks, packages, and
shipping containers:
Approval, Renewal, Amendment........... Full Cost.
Inspections............................ Full Cost.
[[Page 16059]]
B. Evaluation of 10 CFR Part 71 quality
assurance programs:
Application--Approval.................. $340.
Amendment.............................. $620.
Inspections............................ Full Cost.
11. Review of standardized spent fuel
facilities:
Approval, Renewal, Amendment........... Full Cost.
Inspections............................ Full Cost.
12. Special projects:\5\
Approvals and preapplication/Licensing Full Cost.
activities.
Inspections............................ Full Cost.
13. A. Spent fuel storage cask Certificate of
Compliance:
Approvals.............................. Full Cost.
Amendments, revisions, and supplements. Full Cost.
Reapproval............................. Full Cost.
B. Inspections related to spent fuel Full Cost.
storage cask Certificate of Compliance.
C. Inspections related to storage of spent Full Cost.
fuel under Sec. 72.210 of this chapter.
14. Byproduct, source, or special nuclear
material licenses and other approvals
authorizing decommissioning, decontamination,
reclamation, or site restoration activities
pursuant to 10 CFR Parts 30, 40, 70, and 72 of
this chapter:
Approval, Renewal, Amendment........... Full Cost.
Inspections............................ Full Cost.
15. Import and Export licenses:
Licenses issued pursuant to 10 CFR Part 110
of this chapter for the import and export
only of special nuclear material, source
material, tritium and other byproduct
material, heavy water, or nuclear grade
graphite.
A. Application for export or import of
high enriched uranium and other
materials, including radioactive
waste, which must be reviewed by the
Commissioners and the Executive
Branch, for example, those actions
under 10 CFR 110.40(b). This category
includes application for export or
import of radioactive wastes in
multiple forms from multiple
generators or brokers in the exporting
country and/or going to multiple
treatment, storage or disposal
facilities in one or more receiving
countries:
Application-new license $7,900.
Amendment $7,900.
B. Application for export or import of
special nuclear material, source material,
tritium and other byproduct material,
heavy water, or nuclear grade graphite,
including radioactive waste, requiring
Executive Branch review but not
Commissioner review. This category
includes application for the export or
import of radioactive waste involving a
single form of waste from a single class
of generator in the exporting country to a
single treatment, storage and/or disposal
facility in the receiving country:
Application-new license $4,800.
Amendment $4,800.
C. Application for export of routine
reloads of low enriched uranium
reactor fuel and exports of source
material requiring only foreign
government assurances under the Atomic
Energy Act:
Application-new license $2,800.
Amendment $2,800.
D. Application for export or import of
other materials, including radioactive
waste, not requiring Commissioner
review, Executive Branch review, or
foreign government assurances under
the Atomic Energy Act. This category
includes application for export or
import of radioactive waste where the
NRC has previously authorized the
export or import of the same form of
waste to or from the same or similar
parties, requiring only confirmation
from the receiving facility and
licensing authorities that the
shipments may proceed according to
previously agreed understandings and
procedures:
Application-new license $1,200.
Amendment $1,200.
E. Minor amendment of any export or
import license to extend the
expiration date, change domestic
information, or make other revisions
which do not require in-depth
analysis, review, or consultations
with other agencies or foreign
governments.
Amendment $180.
16. Reciprocity:
Agreement State licensees who conduct
activities under the reciprocity
provisions of 10 CFR 150.20:
Application (initial filing of Form $1,100.
241).
Revisions.............................. $200.
------------------------------------------------------------------------
\1\Types of fees--Separate charges, as shown in the schedule, will be
assessed for preapplication consultations and reviews and applications
for new licenses and approvals, issuance of new licenses and
approvals, amendments and certain renewals to existing licenses and
approvals, safety evaluations of sealed sources and devices, and
certain inspections. The following guidelines apply to these charges:
(a) Application fees. Applications for new materials licenses and
approvals; applications to reinstate expired, terminated or inactive
licenses and approvals except those subject to fees assessed at full
costs, and applications filed by Agreement State licensees to register
under the general license provisions of 10 CFR 150.20, must be
accompanied by the prescribed application fee for each category,
except that:
(1) Applications for licenses covering more than one fee category of
special nuclear material or source material must be accompanied by the
prescribed application fee for the highest fee category.
(b) License/approval/review fees. Fees for applications for new licenses
and approvals and for preapplication consultations and reviews subject
to full cost fees (fee Categories 1A, 1B, 1E, 2A, 4A, 5B, 10A, 11, 12,
13A, and 14) are due upon notification by the Commission in accordance
with Sec. 170.12( b), (e), and (f).
(c) Renewal/reapproval fees. Applications subject to full cost fees (fee
Categories 1A, 1B, 1E, 2A, 4A, 5B, 10A, 11, 13A, and 14) are due upon
notification by the Commission in accordance with Sec. 170.12(d).
(d) Amendment/Revision Fees.
[[Page 16060]]
(1) Applications for amendments to licenses and approvals and revisions
to reciprocity initial applications, except those subject to fees
assessed at full costs, must be accompanied by the prescribed
amendment/revision fee for each license/revision affected. An
application for an amendment to a license or approval classified in
more than one fee category must be accompanied by the prescribed
amendment fee for the category affected by the amendment unless the
amendment is applicable to two or more fee categories in which case
the amendment fee for the highest fee category would apply. For those
licenses and approvals subject to full costs (fee Categories 1A, 1B,
1E, 2A, 4A, 5B, 10A, 11, 12, 13A, and 14), amendment fees are due upon
notification by the Commission in accordance with Sec. 170.12(c).
(2) An application for amendment to a materials license or approval that
would place the license or approval in a higher fee category or add a
new fee category must be accompanied by the prescribed application fee
for the new category.
(3) An application for amendment to a license or approval that would
reduce the scope of a licensee's program to a lower fee category must
be accompanied by the prescribed amendment fee for the lower fee
category.
(4) Applications to terminate licenses authorizing small materials
programs, when no dismantling or decontamination procedure is
required, are not subject to fees.
(e) Inspection fees. Inspections resulting from investigations conducted
by the Office of Investigations and nonroutine inspections that result
from third-party allegations are not subject to fees. The fees
assessed at full cost will be determined based on the professional
staff time required to conduct the inspection multiplied by the rate
established under Sec. 170.20 plus any applicable contractual support
services costs incurred. Inspection fees are due upon notification by
the Commission in accordance with Sec. 170.12(g).
\2\Fees will not be charged for orders issued by the Commission pursuant
to 10 CFR 2.202 or for amendments resulting specifically from the
requirements of these types of Commission orders. However, fees will
be charged for approvals issued under a specific exemption provision
of the Commission's regulations under Title 10 of the Code of Federal
Regulations (e.g., 10 CFR 30.11, 40.14, 70.14, 73.5, and any other
sections now or hereafter in effect) regardless of whether the
approval is in the form of a license amendment, letter of approval,
safety evaluation report, or other form. In addition to the fee shown,
an applicant may be assessed an additional fee for sealed source and
device evaluations as shown in Categories 9A through 9D.
\3\Full cost fees will be determined based on the professional staff
time and appropriate contractual support services expended. For those
applications currently on file and for which fees are determined based
on the full cost expended for the review, the professional staff hours
expended for the review of the application up to the effective date of
the final rule will be determined at the professional rates in effect
at the time the service was provided. For applications currently on
file for which review costs have reached an applicable fee ceiling
established by the June 20, 1984, and July 2, 1990, rules, but are
still pending completion of the review, the cost incurred after any
applicable ceiling was reached through January 29, 1989, will not be
billed to the applicant. Any professional staff-hours expended above
those ceilings on or after January 30, 1989, will be assessed at the
applicable rates established by Sec. 170.20, as appropriate, except
for topical reports whose costs exceed $50,000. Costs which exceed
$50,000 for each topical report, amendment, revision, or supplement to
a topical report completed or under review from January 30, 1989,
through August 8, 1991, will not be billed to the applicant. Any
professional hours expended on or after August 9, 1991, will be
assessed at the applicable rate established in Sec. 170.20. The
minimum total review cost is twice the hourly rate shown in Sec.
170.20.
\4\Licensees paying fees under Categories 1A, 1B, and 1E are not subject
to fees under Categories 1C and 1D for sealed sources authorized in
the same license except in those instances in which an application
deals only with the sealed sources authorized by the license.
Applicants for new licenses that cover both byproduct material and
special nuclear material in sealed sources for use in gauging devices
will pay the appropriate application fee for Category 1C only.
\5\Fees will not be assessed for requests/reports submitted to the NRC:
(a) In response to a Generic Letter or NRC Bulletin that does not result
in an amendment to the license, does not result in the review of an
alternate method or reanalysis to meet the requirements of the Generic
Letter, or does not involve an unreviewed safety issue;
(b) In response to an NRC request (at the Associate Office Director
level or above) to resolve an identified safety, safeguards, or
environmental issue, or to assist NRC in developing a rule, regulatory
guide, policy statement, generic letter, or bulletin; or
(c) As a means of exchanging information between industry organizations
and the NRC for the purpose of supporting generic regulatory
improvements or efforts.
PART 171--ANNUAL FEES FOR REACTOR OPERATING LICENSES AND FUEL CYCLE
LICENSES AND MATERIALS LICENSES, INCLUDING HOLDERS OF CERTIFICATES
OF COMPLIANCE, REGISTRATIONS, AND QUALITY ASSURANCE PROGRAM
APPROVALS AND GOVERNMENT AGENCIES LICENSED BY THE NRC
10. The authority citation for Part 171 continues to read as
follows:
Authority: Sec. 7601, Pub. L. 99-272, 100 Stat. 146, as amended
by sec. 5601, Pub. L. 100-203, 101 Stat. 1330, as amended by Sec.
3201, Pub. L. 101-239, 103 Stat. 2106 as amended by sec. 6101, Pub.
L. 101-508, 104 Stat. 1388, (42 U.S.C. 2213); sec. 301, Pub. L. 92-
314, 86 Stat. 222 (42 U.S.C. 2201(w)); sec. 201, 88 Stat. 1242, as
amended (42 U.S.C. 5841); sec. 2903, Pub. L. 102-486, 106 Stat.
3125, (42 U.S.C. 2214 note).
11. Section 171.13 is revised to read as follows:
Sec. 171.13 Notice.
The annual fees applicable to an operating reactor and to a
materials licensee, including a Government agency licensed by the NRC,
subject to this part and calculated in accordance with Secs. 171.17 and
171.16, will be published as a notice in the Federal Register as soon
as is practicable but no later than the third quarter of the fiscal
year. The annual fees will become due and payable to the NRC in
accordance with Sec. 171.19 except as provided in Sec. 171.17.
Quarterly payments of the annual fees of $100,000 or more will continue
during the fiscal year and be based on the applicable annual fees as
shown in Secs. 171.15 and 171.16 of the regulations until a notice
concerning the revised amount of the fees for the fiscal year is
published by the NRC. If the NRC is unable to publish a final fee rule
that becomes effective during the current fiscal year, then fees would
be assessed based on the rates in effect for the previous fiscal year.
12. In Sec. 171.15, paragraphs (b), (c) introductory text, (c)(1),
(c)(2), (e), and (f) are revised to read as follows:
Sec. 171.15 Annual Fees: Reactor operating licenses.
* * * * *
(b) The FY 1998 annual fee for each operating power reactor which
must be collected by September 30, 1998, is $2,980,000. This fee has
been determined by adjusting the FY 1997 annual fee, (prior to
rounding) upward by 0.1 percent. In the FY 1995 final rule, the NRC
stated it would stabilize annual fees by adjusting the annual fees only
by the percentage change (plus or minus) in NRC's total budget
authority and adjustments based on changes in 10 CFR Part 170 fees as
well as on the number of licensees paying the fees. The first
adjustment to the annual fees using this method occurred in FY 1996
when all annual fees were decreased 6.5 percent below the FY 1995
annual fees. The FY 1997 annual fees were also determined by using this
method. The FY 1997 annual fees increased 8.4 percent above the FY 1996
annual fees. The FY 1995 annual fee was comprised of a base annual fee
and an additional charge (surcharge). The activities comprising the
base FY 1995 annual fee are as follows:
(1) Power reactor safety and safeguards regulation except licensing
and inspection activities recovered under 10 CFR Part 170 of this
chapter.
(2) Research activities directly related to the regulation of power
reactors.
(3) Generic activities required largely for NRC to regulate power
reactors, e.g., updating Part 50 of this chapter, or operating the
Incident Response Center.
(c) The activities comprising the FY 1995 surcharge are as follows:
[[Page 16061]]
(1) Activities not attributable to an existing NRC licensee or
class of licensees; e.g., reviews submitted by other government
agencies (e.g., DOE) that do not result in a license or are not
associated with a license; international cooperative safety program and
international safeguards activities; low-level waste disposal generic
activities; uranium enrichment generic activities; and
(2) Activities not currently assessed under 10 CFR Part 170
licensing and inspection fees based on existing Commission policy,
e.g., reviews and inspections conducted of nonprofit educational
institutions, and costs that would not be collected from small entities
based on Commission policy in accordance with the Regulatory
Flexibility Act.
* * * * *
(e) The FY 1998 annual fees for licensees authorized to operate a
nonpower (test and research) reactor licensed under Part 50 of this
chapter, except for those reactors exempted from fees under
Sec. 171.11(a), are as follows:
Research reactor............................................. $57,300
Test reactor................................................. $57,300
(f) For each fiscal year, annual fees for operating reactors will
be calculated and assessed in accordance with Sec. 171.13.
13. In Sec. 171.16, the introductory text of paragraph (c) and
paragraphs (c)(1), (c)(4), (d), and (e) are revised to read as follows:
Sec. 171.16 Annual Fees: Materials Licensees, Holders of Certificates
of Compliance, Holders of Sealed Source and Device Registrations,
Holders of Quality Assurance Program Approvals and Government Agencies
Licensed by the NRC.
* * * * *
(c) A licensee who is required to pay an annual fee under this
section may qualify as a small entity. If a licensee qualifies as a
small entity and provides the Commission with the proper certification,
the licensee may pay reduced annual fees for FY 1998 as follows:
------------------------------------------------------------------------
Maximum
annual
fee per
licensed
category
------------------------------------------------------------------------
Small Businesses Not Engaged in Manufacturing and Small Not-
For-Profit Organizations (Gross Annual Receipts):
$350,000 to $5 million..................................... $1,800
Less than $350,000......................................... 400
Manufacturing entities that have an average of 500 employees
or less:
35 to 500 employees........................................ 1,800
Less than 35 employees..................................... 400
Small Governmental Jurisdictions (Including publicly
supported educational institutions) (Population):
20,000 to 50,000........................................... 1,800
Less than 20,000........................................... 400
Educational Institutions that are not State or Publicly
Supported, and have 500 Employees or Less:
35 to 500 employees........................................ 1,800
Less than 35 employees..................................... 400
------------------------------------------------------------------------
(1) A licensee qualifies as a small entity if it meets the size
standards established by the NRC (See 10 CFR 2.810).
* * * * *
(4) For FY 1998, the maximum annual fee a small entity is required
to pay is $1,800 for each category applicable to the license(s).
(d) The FY 1998 annual fees for materials licensees and holders of
certificates, registrations or approvals subject to fees under this
section are shown below. The FY 1998 annual fees, which must be
collected by September 30, 1998, have been determined by adjusting
upward the FY 1997 exact annual fees (prior to rounding), by 0.1
percent. As a result of rounding, the FY 1998 annual fee for some fee
categories is the same as the FY 1997 annual fee. In the FY 1995 final
rule, the NRC stated it would stabilize annual fees by adjusting the
annual fees only by the percentage change (plus or minus) in NRC's
total budget authority and adjustments based on changes in 10 CFR Part
170 fees as well as on the number of licensees paying the fees. The
first adjustment to the annual fees using this method occurred in FY
1996, when all annual fees were decreased 6.5 percent below the FY 1995
annual fees. The FY 1997 annual fees were also determined by using this
method. The FY 1997 annual fees were increased 8.4 percent above the FY
1996 annual fees. The FY 1995 annual fee was comprised of a base annual
fee and an additional charge (surcharge). The activities comprising the
FY 1995 surcharge are shown for convenience in paragraph (e) of this
section.
Schedule of Materials Annual Fees and Fees for Government Agencies
Licensed by NRC
[See footnotes at end of table]
------------------------------------------------------------------------
Category of materials licenses Annual fees123
------------------------------------------------------------------------
1. Special nuclear material:
A.(1) Licenses for possession and use of U-235 or
plutonium for fuel fabrication activities:
(a) Strategic Special Nuclear Material:
Babcock & Wilcox SNM-42..................... $2,607,000
Nuclear Fuel Services SNM-124............... 2,607,000
(b) Low Enriched Uranium in Dispersible Form
Used for Fabrication of Power Reactor Fuel:
Combustion Engineering (Hematite) SNM-33.... 1,280,000
General Electric Company SNM-1097........... 1,280,000
Siemens Nuclear Power SNM-1227.............. 1,280,000
Westinghouse Electric Company SNM-1107...... 1,280,000
(2) All other special nuclear materials licenses not
included in Category 1.A.(1) which are licensed for
fuel cycle activities:
(a) Facilities with limited operations:
B&W Fuel Company SNM-1168................... 509,000
(b) All Others:
General Electric SNM-960.................... 346,000
B. Licenses for receipt and storage of spent fuel at
an independent spent fuel storage installation
(ISFSI)............................................ 283,000
C. Licenses for possession and use of special
nuclear material in sealed sources contained in
devices used in industrial measuring systems,
including x-ray fluorescence analyzers............. 1,300
[[Page 16062]]
D. All other special nuclear material licenses,
except licenses authorizing special nuclear
material in unsealed form in combination that would
constitute a critical quantity, as defined in Sec.
150.11 of this chapter, for which the licensee
shall pay the same fees as those for Category
1.A.(2)............................................ 3,100
E. Licenses or certificates for the operation of a
uranium enrichment facility........................ 2,607,000
2. Source material:
A.(1) Licenses for possession and use of source
material for refining uranium mill concentrates to
uranium hexafluoride............................... 649,000
(2) Licenses for possession and use of source
material in recovery operations such as
milling, in-situ leaching, heap-leaching, ore
buying stations, ion exchange facilities and in
processing of ores containing source material
for extraction of metals other than uranium or
thorium, including licenses authorizing the
possession of byproduct waste material
(tailings) from source material recovery
operations, as well as licenses authorizing the
possession and maintenance of a facility in a
standby mode:
Class I facilities\4\....................... 61,800
Class II facilities\4\...................... 34,900
Other facilities\4\......................... 22,300
(3) Licenses that authorize the receipt of
byproduct material, as defined in Section
11e.(2) of the Atomic Energy Act, from other
persons for possession and disposal, except
those licenses subject to the fees in Category
2.A.(2) or Category 2.A.(4).................... 45,400
(4) Licenses that authorize the receipt of
byproduct material, as defined in Section
11e.(2) of the Atomic Energy Act, from other
persons for possession and disposal incidental
to the disposal of the uranium waste tailings
generated by the licensee's milling operations,
except those licenses subject to the fees in
Category 2.A.(2)............................... 8,000
B. Licenses which authorize only the possession, use
and/or installation of source material for
shielding.......................................... 490
C. All other source material licenses............... 8,700
3. Byproduct material:
A. Licenses of broad scope for possession and use of
byproduct material issued pursuant to Parts 30 and
33 of this chapter for processing or manufacturing
of items containing byproduct material for
commercial distribution............................ 16,700
B. Other licenses for possession and use of
byproduct material issued pursuant to Part 30 of
this chapter for processing or manufacturing of
items containing byproduct material for commercial
distribution....................................... 5,600
C. Licenses issued pursuant to Secs. 32.72, 32.73,
and/or 32.74 of this chapter authorizing the
processing or manufacturing and distribution or
redistribution of radiopharmaceuticals, generators,
reagent kits and/or sources and devices containing
byproduct material. This category also includes the
possession and use of source material for shielding
authorized pursuant to Part 40 of this chapter when
included on the same license. This category does
not apply to licenses issued to nonprofit
educational institutions whose processing or
manufacturing is exempt under 10 CFR 171.11(a)(1).
These licenses are covered by fee Category 3D...... 11,200
D. Licenses and approvals issued pursuant to Secs.
32.72, 32.73, and/or 32.74 of this chapter
authorizing distribution or redistribution of
radiopharmaceuticals, generators, reagent kits and/
or sources or devices not involving processing of
byproduct material. This category includes licenses
issued pursuant to Secs. 32.72, 32.73 and 32.74 of
this chapter to nonprofit educational institutions
whose processing or manufacturing is exempt under
10 CFR 171.11(a)(1). This category also includes
the possession and use of source material for
shielding authorized pursuant to Part 40 of this
chapter when included on the same license.......... 4,400
E. Licenses for possession and use of byproduct
material in sealed sources for irradiation of
materials in which the source is not removed from
its shield (self-shielded units)................... 3,200
F. Licenses for possession and use of less than
10,000 curies of byproduct material in sealed
sources for irradiation of materials in which the
source is exposed for irradiation purposes. This
category also includes underwater irradiators for
irradiation of materials in which the source is not
exposed for irradiation purposes................... 3,800
G. Licenses for possession and use of 10,000 curies
or more of byproduct material in sealed sources for
irradiation of materials in which the source is
exposed for irradiation purposes. This category
also includes underwater irradiators for
irradiation of materials in which the source is not
exposed for irradiation purposes................... 19,700
H. Licenses issued pursuant to Subpart A of Part 32
of this chapter to distribute items containing
byproduct material that require device review to
persons exempt from the licensing requirements of
Part 30 of this chapter, except specific licenses
authorizing redistribution of items that have been
authorized for distribution to persons exempt from
the licensing requirements of Part 30 of this
chapter............................................ 5,000
I. Licenses issued pursuant to Subpart A of Part 32
of this chapter to distribute items containing
byproduct material or quantities of byproduct
material that do not require device evaluation to
persons exempt from the licensing requirements of
Part 30 of this chapter, except for specific
licenses authorizing redistribution of items that
have been authorized for distribution to persons
exempt from the licensing requirements of Part 30
of this chapter.................................... 8,900
J. Licenses issued pursuant to Subpart B of Part 32
of this chapter to distribute items containing
byproduct material that require sealed source and/
or device review to persons generally licensed
under Part 31 of this chapter, except specific
licenses authorizing redistribution of terms that
have been authorized for distribution to persons
generally licensed under Part 31 of this chapter... 3,800
K. Licenses issued pursuant to Subpart B of Part 31
of this chapter to distribute items containing
byproduct material or quantities of byproduct
material that do not require sealed source and/or
device review to persons generally licensed under
Part 31 of this chapter, except specific licenses
authorizing redistribution of items that have been
authorized for distribution to persons generally
licensed under Part 31 of this chapter............. 3,300
L. Licenses of broad scope for possession and use of
byproduct material issued pursuant to Parts 30 and
33 of this chapter for research and development
that do not authorize commercial distribution...... 12,300
M. Other licenses for possession and use of
byproduct material issued pursuant to Part 30 of
this chapter for research and development that do
not authorize commercial distribution.............. 5,500
N. Licenses that authorize services for other
licensees, except:
[[Page 16063]]
(1) Licenses that authorize only calibration and/
or leak testing services are subject to the
fees specified in fee Category 3P; and
(2) Licenses that authorize waste disposal
services are subject to the fees specified in
fee Categories 4A, 4B, and 4C.................. 6,100
O. Licenses for possession and use of byproduct
material issued pursuant to Part 34 of this chapter
for industrial radiography operations. This
category also includes the possession and use of
source material for shielding authorized pursuant
to Part 40 of this chapter when authorized on the
same license....................................... 14,100
P. All other specific byproduct material licenses,
except those in Categories 4A through 9D........... 1,700
4. Waste disposal and processing:
A. Licenses specifically authorizing the receipt of
waste byproduct material, source material, or
special nuclear material from other persons for the
purpose of contingency storage or commercial land
disposal by the licensee; or licenses authorizing
contingency storage of low-level radioactive waste
at the site of nuclear power reactors; or licenses
for receipt of waste from other persons for
incineration or other treatment, packaging of
resulting waste and residues, and transfer of
packages to another person authorized to receive or
dispose of waste material.......................... \5\ 102,000
B. Licenses specifically authorizing the receipt of
waste byproduct material, source material, or
special nuclear material from other persons for the
purpose of packaging or repackaging the material.
The licensee will dispose of the material by
transfer to another person authorized to receive or
dispose of the material............................ 14,500
C. Licenses specifically authorizing the receipt of
prepackaged waste byproduct material, source
material, or special nuclear material from other
persons. The licensee will dispose of the material
by transfer to another person authorized to receive
or dispose of the material......................... 7,700
5. Well logging:
A. Licenses for possession and use of byproduct
material, source material, and/or special nuclear
material for well logging, well surveys, and tracer
studies other than field flooding tracer studies... 8,200
B. Licenses for possession and use of byproduct
material for field flooding tracer studies......... 13,200
6. Nuclear laundries:
A. Licenses for commercial collection and laundry of
items contaminated with byproduct material, source
material, or special nuclear material.............. 14,700
7. Medical licenses:
A. Licenses issued pursuant to Parts 30, 35, 40, and
70 of this chapter for human use of byproduct
material, source material, or special nuclear
material in sealed sources contained in teletherapy
devices. This category also includes the possession
and use of source material for shielding when
authorized on the same license..................... 10,300
B. Licenses of broad scope issued to medical
institutions or two or more physicians pursuant to
Parts 30, 33, 35, 40, and 70 of this chapter
authorizing research and development, including
human use of byproduct material except licenses for
byproduct material, source material, or special
nuclear material in sealed sources contained in
teletherapy devices. This category also includes
the possession and use of source material for
shielding when authorized on the same license.\9\.. 23,500
C. Other licenses issued pursuant to Parts 30, 35,
40, and 70 of this chapter for human use of
byproduct material, source material, and/or special
nuclear material except licenses for byproduct
material, source material, or special nuclear
material in sealed sources contained in teletherapy
devices. This category also includes the possession
and use of source material for shielding when
authorized on the same license.\9\................. 4,700
8. Civil defense:
A. Licenses for possession and use of byproduct
material, source material, or special nuclear
material for civil defense activities.............. 1,800
9. Device, product, or sealed source safety evaluation:
A. Registrations issued for the safety evaluation of
devices or products containing byproduct material,
source material, or special nuclear material,
except reactor fuel devices, for commercial
distribution....................................... 7,200
B. Registrations issued for the safety evaluation of
devices or products containing byproduct material,
source material, or special nuclear material
manufactured in accordance with the unique
specifications of, and for use by, a single
applicant, except reactor fuel devices............. 3,700
C. Registrations issued for the safety evaluation of
sealed sources containing byproduct material,
source material, or special nuclear material,
except reactor fuel, for commercial distribution... 1,600
D. Registrations issued for the safety evaluation of
sealed sources containing byproduct material,
source material, or special nuclear material,
manufactured in accordance with the unique
specifications of, and for use by, a single
applicant, except reactor fuel..................... 780
10. Transportation of radioactive material:
A. Certificates of Compliance or other package
approvals issued for design of casks, packages, and
shipping containers:
Spent Fuel, High-Level Waste, and plutonium air
packages....................................... \6\NA
Other Casks..................................... \6\N/A
B. Approvals issued of 10 CFR Part 71 quality
assurance programs:
Users and Fabricators........................... 78,900
Users........................................... 1,000
11. Standardized spent fuel facilities.................. \6\N/A
12. Special Projects.................................... \6\N/A
13. A. Spent fuel storage cask Certificate of Compliance \6\N/A
B. General licenses for storage of spent fuel under
10 CFR 72.210...................................... 283,000
14. Byproduct, source, or special nuclear material
licenses and other approvals authorizing
decommissioning, decontamination, reclamation, or site
restoration activities pursuant to 10 CFR Parts 30, 40,
70, and 72............................................. \7\N/A
15. Import and Export licenses.......................... \8\N/A
16. Reciprocity \6\N/A
17. Master materials licenses of broadscope issued to
Government agencies 421,000
18. Department of Energy:
A. Certificates of Compliance....................... \10\1,169,000
[[Page 16064]]
B. Uranium Mill Tailing Radiation Control Act
(UMTRCA) activities................................ 1,966,000
------------------------------------------------------------------------
\1\Annual fees will be assessed based on whether a licensee held a valid
license with the NRC authorizing possession and use of radioactive
material during the fiscal year. However, the annual fee is waived for
those materials licenses and holders of certificates, registrations,
and approvals who either filed for termination of their licenses or
approvals or filed for possession only/storage licenses prior to
October 1, 1997, and permanently ceased licensed activities entirely
by September 30, 1997. Annual fees for licensees who filed for
termination of a license, downgrade of a license, or for a POL during
the fiscal year and for new licenses issued during the fiscal year
will be prorated in accordance with the provisions of Sec. 171.17. If
a person holds more than one license, certificate, registration, or
approval, the annual fee(s) will be assessed for each license,
certificate, registration, or approval held by that person. For
licenses that authorize more than one activity on a single license
(e.g., human use and irradiator activities), annual fees will be
assessed for each category applicable to the license. Licensees paying
annual fees under Category 1.A.(1). are not subject to the annual fees
of Category 1.C and 1.D for sealed sources authorized in the license.
\2\Payment of the prescribed annual fee does not automatically renew the
license, certificate, registration, or approval for which the fee is
paid. Renewal applications must be filed in accordance with the
requirements of Parts 30, 40, 70, 71, or 72 of this chapter.
\3\Each fiscal year, fees for these materials licenses will be
calculated and assessed in accordance with Sec. 171.13 and will be
published in the Federal Register for notice and comment.
\4\A Class I license includes mill licenses issued for the extraction of
uranium from uranium ore. A Class II license includes solution mining
licenses (in-situ and heap leach) issued for the extraction of uranium
from uranium ores including research and development licenses. An
``other'' license includes licenses for extraction of metals, heavy
metals, and rare earths.
\5\Two licenses have been issued by NRC for land disposal of special
nuclear material. Once NRC issues a LLW disposal license for byproduct
and source material, the Commission will consider establishing an
annual fee for this type of license.
\6\Standardized spent fuel facilities, 10 CFR Parts 71 and 72
Certificates of Compliance, and special reviews, such as topical
reports, are not assessed an annual fee because the generic costs of
regulating these activities are primarily attributable to the users of
the designs, certificates, and topical reports.
\7\Licensees in this category are not assessed an annual fee because
they are charged an annual fee in other categories while they are
licensed to operate.
\8\No annual fee is charged because it is not practical to administer
due to the relatively short life or temporary nature of the license.
\9\Separate annual fees will not be assessed for pacemaker licenses
issued to medical institutions who also hold nuclear medicine licenses
under Categories 7B or 7C.
\10\This includes Certificates of Compliance issued to DOE that are not
under the Nuclear Waste Fund.
(e) The activities comprising the FY 1995 surcharge are as follows:
(1) LLW disposal generic activities;
(2) Activities not attributable to an existing NRC licensee or
classes of licensees; e.g., international cooperative safety program
and international safeguards activities; support for the Agreement
State program; site decommissioning management plan (SDMP) activities;
and
(3) Activities not currently assessed licensing and inspection fees
under 10 CFR Part 170 based on existing law or Commission policy, e.g.,
reviews and inspections conducted of nonprofit educational institutions
and Federal agencies; activities related to decommissioning and
reclamation and costs that would not be collected from small entities
based on Commission policy in accordance with the Regulatory
Flexibility Act.
* * * * *
14. Section 171.19 is revised to read as follows:
Sec. 171.19 Payment.
(a) Method of payment. Annual fee payments, made payable to the
U.S. Nuclear Regulatory Commission, are to be made in U.S. funds by
check, draft, money order, credit card, or electronic funds transfer
such as ACH (Automated Clearing House) using EDI (Electronic Data
Interchange). Federal agencies may also make payment by the On-line
Payment and Collection System (OPAC's). Where specific payment
instructions are provided on the invoices to applicants and licensees,
payment should be made accordingly, e.g. invoices of $5,000 or more
should be paid via ACH through NRC's Lockbox Bank at the address
indicated on the invoice. Credit card payments should be made up to the
limit established by the credit card bank, in accordance with specific
instructions provided with the invoices, to the Lockbox Bank designated
for credit card payments.
(b) For FY 1998, the Commission will adjust the fourth quarterly
invoice for operating power reactors and certain materials licensees to
recover the full amount of the revised annual fee. If the amounts
collected in the first three quarters exceed the amount of the revised
annual fee, the overpayment will be refunded. All other licensees, or
holders of a certificate, registration, or approval of a QA program
will be sent a bill for the full amount of the annual fee on the
anniversary date of the license. Payment is due on the invoice date and
interest accrues from the date of the invoice. However, interest will
be waived if payment is received within 30 days from the invoice date.
(c) FY 1998, annual fees in the amount of $100,000 or more and
described in the Federal Register notice pursuant to Sec. 171.13 must
be paid in quarterly installments of 25 percent as billed by the NRC.
The quarters begin on October 1, January 1, April 1, and July 1 of each
fiscal year.
(d) For FY 1998, annual fees of less than $100,000 must be paid as
billed by the NRC. As established in FY 1996, materials license annual
fees that are less than $100,000 are billed on the anniversary date of
the license. The materials licensees that are billed on the anniversary
date of the license are those covered by fee categories 1.C. and 1.D.;
2.A.(2) through 2.C.; 3.A. through 3.P.; 4.B. through 9.D.; and 10.B.
For annual fee purposes, the anniversary date of the license is
considered to be the first day of the month in which the original
license was issued by the NRC. Beginning June 11, 1996, the effective
date of the FY 1996 final rule, licensees that are billed on the
license anniversary date will be assessed the annual fee in effect on
the anniversary date of the license. Materials licenses subject to the
annual fee that are terminated during the fiscal year but prior to the
anniversary month of the license will be billed upon termination for
the fee in effect at the time of the billing. New materials licenses
subject to the annual fee will be billed in the month the license is
issued or in the next available monthly billing for the fee in effect
on the anniversary date of the license. Thereafter, annual fees for new
licenses will be assessed in the anniversary month of the license.
[[Page 16065]]
Dated at Rockville, Maryland, this 24th day of March, 1998.
For the Nuclear Regulatory Commission.
Jesse L. Funches,
Chief Financial Officer.
Appendix A to This Proposed Rule--Regulatory Flexibility Analysis for
the Amendments to 10 CFR Part 170 (License Fees) and 10 CFR Part 171
(Annual Fees)
I. Background
The Regulatory Flexibility Act of 1980, as amended, (5 U.S.C.
601 et seq.) establishes as a principle of regulatory practice that
agencies endeavor to fit regulatory and informational requirements,
consistent with applicable statutes, to a scale commensurate with
the businesses, organizations, and government jurisdictions to which
they apply. To achieve this principle, the Act requires that
agencies consider the impact of their actions on small entities. If
the agency cannot certify that a rule will not significantly impact
a substantial number of small entities, then a regulatory
flexibility analysis is required to examine the impacts on small
entities and the alternatives to minimize these impacts.
To assist in considering these impacts under the Regulatory
Flexibility Act (RFA), first the NRC adopted size standards for
determining which NRC licensees qualify as small entities (50 FR
50241; December 9, 1985). These size standards were clarified
November 6, 1991 (56 FR 56672). On April 7, 1994 (59 FR 16513), the
Small Business Administration (SBA) issued a final rule changing its
size standards. The SBA adjusted its receipts-based size standards
levels to mitigate the effects of inflation from 1984 to 1994. On
November 30, 1994 (59 FR 61293), the NRC published a proposed rule
to amend its size standards. After evaluating the two comments
received, a final rule that would revise the NRC's size standards as
proposed was developed and approved by the SBA on March 24, 1995.
The NRC published the final rule revising its size standards on
April 11, 1995 (60 FR 18344). The revised standards became effective
May 11, 1995. The revised standards adjusted the NRC receipts-based
size standards from $3.5 million to $5 million to accommodate
inflation and to conform to the SBA final rule. The NRC also
eliminated the separate $1 million size standard for private
practice physicians and applied a receipts-based size standard of $5
million to this class of licensees. This mirrored the revised SBA
standard of $5 million for medical practitioners. The NRC also
established a size standard of 500 or fewer employees for business
concerns that are manufacturing entities. This standard is the most
commonly used SBA employee standard and is the standard applicable
to the types of manufacturing industries that hold an NRC license.
The NRC used the revised standards in the final FY 1995, FY 1996
and FY 1997 fee rules and is continuing their use in this FY 1998
proposed rule. The small entity fee categories in Sec. 171.16(c) of
this proposed rule reflect the changes in the NRC's size standards
adopted in FY 1995. A new maximum small entity fee for manufacturing
industries with 35 to 500 employees was established at $1,800 and a
lower-tier small entity fee of $400 was established for those
manufacturing industries with less than 35 employees. The lower-tier
receipts-based threshold of $250,000 was raised to $350,000 to
reflect approximately the same percentage adjustment as that made by
the SBA when they adjusted the receipts-based standard from $3.5
million to $5 million. The NRC believes that continuing these
actions for FY 1998 will reduce the impact of annual fees on small
businesses. The NRC size standards are codified at 10 CFR 2.810.
Public Law 101-508, the Omnibus Budget Reconciliation Act of
1990 (OBRA-90), requires that the NRC recover approximately 100
percent of its budget authority, less appropriations from the
Nuclear Waste Fund, for Fiscal Years (FY) 1991 through 1995 by
assessing license and annual fees. OBRA-90 was amended in 1993 to
extend the 100 percent recovery requirement for NRC through 1998.
For FY 1991, the amount for collection was about $445.3 million; for
FY 1992, about $492.5 million; for FY 1993 about $518.9 million; for
FY 1994 about $513 million; for FY 1995 about $503.6 million; for FY
1996 about $462.3 million; for FY 1997 about $462.3 million; and the
amount to be collected for FY 1998 is approximately $454.8 million.
To comply with OBRA-90, the Commission amended its fee
regulations in 10 CFR Parts 170 and 171 in FY 1991 (56 FR 31472;
July 10, 1991), in FY 1992 (57 FR 32691; July 23, 1992), in FY 1993
(58 FR 38666; July 20, 1993), in FY 1994 (59 FR 36895; July 20,
1994), in FY 1995 (60 FR 32218; June 20, 1995), in FY 1996 (61 FR
16203; April 12, 1996), and in FY 1997 (62 FR 29194; May 29,1997)
based on a careful evaluation of over 1,000 comments. These final
rules established the methodology used by NRC in identifying and
determining the fees assessed and collected in FYs 1991-1997.
The NRC indicated in the FY 1995 final rule that it would
attempt to stabilize annual fees as follows. Beginning in FY 1996,
it would adjust the annual fees only by the percentage change (plus
or minus) in NRC's total budget authority unless there was a
substantial change in the total NRC budget authority or the
magnitude of the budget allocated to a specific class of licensees,
in which case the annual fee base would be recalculated (60 FR
32225; June 20, 1995). The NRC also indicated that the percentage
change would be adjusted based on changes in the 10 CFR Part 170
fees and other adjustments as well as an adjustment for the number
of licensees paying the fees. As a result, the NRC is proposing to
establish the FY 1998 annual fees for all licensees at 0.1 percent
above the FY 1997 exact (prior to rounding) annual fees. Based on
this small change, the proposed FY 1998 annual fee (rounded) for
many fee categories are the same as the FY 1997 annual fees. Because
there has not been a substantial change in the NRC budget or in the
magnitude of a specific budget allocation to a class of licensees,
the NRC intends to continue to stabilize annual fees by following
the same method used for FY 1996 and FY 1997 to establish the FY
1998 annual fees.
Public Law 104-121, the Contract with America Advancement Act of
1996, was signed into law on March 29, 1996. Title III of the law is
entitled the Small Business Regulatory Enforcement Fairness Act of
1996 (SBREFA). The SBREFA has two purposes. The first is to reduce
regulatory burdens imposed by Federal agencies on small businesses,
nonprofit organizations and governmental jurisdictions. The second
is to provide the Congress with the opportunity to review agency
rules before they go into effect. Under this legislation, the NRC
fee rule, published annually, is considered a ``major'' rule and
therefore must be reviewed by Congress and the Comptroller General
before the rule becomes effective. Section 312 of the Act provides
that for each rule for which an agency prepared a final regulatory
flexibility analysis, the agency shall prepare a guide to assist
small entities in complying with the rule. The NRC's guide is
Attachment 1 to Appendix A of this proposed rule. A regulatory
flexibility analysis is prepared for the proposed and final NRC fee
rules as implemented by 10 CFR Part 170 and 171 of the Commission's
regulations. Therefore, in compliance with the law, Attachment 1 to
this Regulatory Flexibility Analysis is the small entity compliance
guide for FY 1998.
II. Impact on Small Entities
The comments received on the proposed FY 1991-1997 fee rule
revisions and the small entity certifications received in response
to the final FY 1991-1997 fee rules indicate that NRC licensees
qualifying as small entities under the NRC's size standards are
primarily those licensed under the NRC's materials program.
Therefore, this analysis will focus on the economic impact of the
annual fees on materials licensees.
The Commission's fee regulations result in substantial fees
being charged to those individuals, organizations, and companies
that are licensed under the NRC materials program. Of these
materials licensees, about 20 percent (approximately 1,400
licensees) have requested small entity certification in the past. In
FY 1993, the NRC conducted a survey of its materials licensees. The
results of this survey indicated that about 25 percent of these
licensees could qualify as small entities under the current NRC size
standards.
The commenters on the FY 1991-1994 proposed fee rules indicated
the following results if the proposed annual fees were not modified:
--Large firms would gain an unfair competitive advantage over small
entities. One commenter noted that a small well-logging company (a
``Mom and Pop'' type of operation) would find it difficult to absorb
the annual fee, while a large corporation would find it easier.
Another commenter noted that the fee increase could be more easily
absorbed by a high-volume nuclear medicine clinic. A gauge licensee
noted that, in the very competitive soils testing market, the annual
fees would put it at an extreme disadvantage with its much larger
competitors because the proposed fees would be the same for a two-
[[Page 16066]]
person licensee as for a large firm with thousands of employees.
--Some firms would be forced to cancel their licenses. One
commenter, with receipts of less than $500,000 per year, stated that
the proposed rule would, in effect, force it to relinquish its soil
density gauge and license, thereby reducing its ability to do its
work effectively. Another commenter noted that the rule would force
the company and many other small businesses to get rid of the
materials license altogether. Commenters stated that the proposed
rule would result in about 10 percent of the well-logging licensees
terminating their licenses immediately and approximately 25 percent
terminating their licenses before the next annual assessment.
--Some companies would go out of business. One commenter noted that
the proposal would put it, and several other small companies, out of
business or, at the very least, make it hard to survive.
--Some companies would have budget problems. Many medical licensees
commented that, in these times of slashed reimbursements, the
proposed increase of the existing fees and the introduction of
additional fees would significantly affect their budgets. Another
noted that, in view of the cuts by Medicare and other third party
carriers, the fees would produce a hardship and some facilities
would experience a great deal of difficulty in meeting this
additional burden.
Since FY 1991 when annual fees were first established,
approximately 3,000 license, approval, and registration terminations
have been requested. Although some of these terminations were
requested because the license was no longer needed or licenses or
registrations could be combined, indications are that other
termination requests were due to the economic impact of the fees.
The NRC continues to receive written and oral comments from
small materials licensees. These commenters previously indicated
that the $3.5 million threshold for small entities was not
representative of small businesses with gross receipts in the
thousands of dollars. These commenters believe that the $1,800
maximum annual fee represents a relatively high percentage of gross
annual receipts for these ``Mom and Pop'' type businesses.
Therefore, even the reduced annual fee could have a significant
impact on the ability of these types of businesses to continue to
operate.
To alleviate the continuing significant impact of the annual
fees on a substantial number of small entities, the NRC considered
alternatives, in accordance with the RFA. These alternatives were
evaluated in the FY 1991 rule (56 FR 31472; July 10, 1991), in the
FY 1992 rule (57 FR 32691; July 23, 1992), in the FY 1993 rule (58
FR 38666; July 20, 1993), in the FY 1994 rule (59 FR 36895; July 20,
1994), in the FY 1995 rule (60 FR 32218; June 20, 1995), in the FY
1996 rule (61 FR 16203; April 12, 1996), and in the FY 1997 rule (62
FR 29194; May 29, 1997). The alternatives considered by the NRC can
be summarized as follows.
--Base fees on some measure of the amount of radioactivity possessed
by the licensee (e.g., number of sources).
--Base fees on the frequency of use of the licensed radioactive
material (e.g., volume of patients).
--Base fees on the NRC size standards for small entities.
The NRC has reexamined the FY 1991-1997 evaluations of these
alternatives. Based on that reexamination, the NRC continues to
believe that establishment of a maximum fee for small entities is
the most appropriate option to reduce the impact on small entities.
The NRC established, and will continue for FY 1998, a maximum
annual fee for small entities. The RFA and its implementing guidance
do not provide specific guidelines on what constitutes a significant
economic impact on a small entity. Therefore, the NRC has no
benchmark to assist it in determining the amount or the percent of
gross receipts that should be charged to a small entity. For FY
1998, the NRC will rely on the analysis previously completed that
established a maximum annual fee for a small entity and the amount
of costs that must be recovered from other NRC licensees as a result
of establishing the maximum annual fees.
The NRC continues to believe that the 10 CFR Part 170 license
fees (application and amendment), or any adjustments to these
licensing fees during the past year, do not have a significant
impact on small entities. In issuing this proposed rule for FY 1998,
the NRC concludes that the 10 CFR Part 170 materials license fees do
not have a significant impact on a substantial number of small
entities and that the 10 CFR Part 171 maximum annual small entity
fee of $1,800 be continued.
By maintaining the maximum annual fee for small entities at
$1,800, the annual fee for many small entities is reduced while at
the same time materials licensees, including small entities, pay for
most of the FY 1998 costs attributable to them. The costs not
recovered from small entities are allocated to other materials
licensees and to operating power reactors. However, the amount that
must be recovered from other licensees as a result of maintaining
the maximum annual fee is not expected to increase significantly.
Therefore, the NRC is continuing, for FY 1998, the maximum annual
fee (base annual fee plus surcharge) for certain small entities at
$1,800 for each fee category covered by each license issued to a
small entity.
While reducing the impact on many small entities, the Commission
agrees that the maximum annual fee of $1,800 for small entities,
when added to the Part 170 license fees, may continue to have a
significant impact on materials licensees with annual gross receipts
in the thousands of dollars. Therefore, as in FY 1992-1997, the NRC
is continuing the lower-tier small entity annual fee of $400 for
small entities with relatively low gross annual receipts. The lower-
tier small entity fee of $400 also applies to manufacturing
concerns, and educational institutions not State or publicly
supported, with less than 35 employees. This lower-tier small entity
fee was first established in the final rule published in the Federal
Register on April 17, 1992 (57 FR 13625) and now includes
manufacturing companies with a relatively small number of employees.
III. Summary
The NRC has determined the 10 CFR Part 171 annual fees
significantly impact a substantial number of small entities. A
maximum fee for small entities strikes a balance between the
requirement to collect 100 percent of the NRC budget and the
requirement to consider means of reducing the impact of the fee on
small entities. On the basis of its regulatory flexibility analyses,
the NRC concludes that a maximum annual fee of $1,800 for small
entities and a lower-tier small entity annual fee of $400 for small
businesses and not-for-profit organizations with gross annual
receipts of less than $350,000, small governmental jurisdictions
with a population of less than 20,000, small manufacturing entities
that have less than 35 employees and educational institutions that
are not State or publicly supported and have less than 35 employees
reduces the impact on small entities. At the same time, these
reduced annual fees are consistent with the objectives of OBRA-90.
Thus, the fees for small entities maintain a balance between the
objectives of OBRA-90 and the RFA. Therefore, the analysis and
conclusions established in the FY 1991-1997 rules remain valid for
this proposed rule for FY 1998. In compliance with Public Law 104-
121, a small entity compliance guide has been prepared by NRC and is
shown as Attachment 1 to this Regulatory Flexibility Analysis.
Attachment 1 to Appendix A
U.S. Nuclear Regulatory Commission, Small Entity Compliance Guide,
Fiscal Year 1998
Contents
Introduction
NRC Definition of Small Entity
NRC Small Entity Fees
Instructions for Completing NRC Form 526
Introduction
The Small Business Regulatory Enforcement Fairness Act of 1996
(SBREFA) requires all Federal agencies to prepare a written guide
for each ``major'' final rule as defined by the Act. The NRC's fee
rule, published annually to comply with the Omnibus Budget
Reconciliation Act of 1990 (OBRA-90) which requires the NRC to
collect approximately 100 percent of its budget authority each year
through fees, meets the thresholds for being considered a ``major''
rule under the SBREFA. Therefore, in compliance with the law, this
small entity compliance guide has been prepared for FY 1998. The
purpose of this guide is to assist small entities in complying with
the NRC fee rule.
This guide is designed to aid NRC materials licensees. The
information provided in this guide may be used by licensees to
determine whether they qualify as a small entity under NRC
regulations and are therefore eligible to pay reduced FY 1998 annual
fees assessed under 10 CFR Part 171. The NRC, in compliance with the
Regulatory Flexibility Act of 1980 (RFA), has established separate
annual fees for those materials licensees who meet the NRC's size
standards for small entities. These size standards, developed in
consultation with the Small
[[Page 16067]]
Business Administration, were revised by the NRC and became
effective on May 11, 1995. The small entity size standards are found
at 10 CFR 2.810 of the NRC's regulations. To comply with the RFA,
the NRC has established two tiers of small-entity fees. These fees
are found at 10 CFR 171.16(c) of the NRC's fee regulations.
Licensees who meet NRC's size standards for a small entity must
complete NRC Form 526 in order to qualify for the reduced annual
fee. NRC Form 526 will accompany each annual fee invoice mailed to
materials licensees. The completed form, along with the appropriate
small entity fee and the payment copy of the invoice, should be
mailed to the U.S. Nuclear Regulatory Commission, License Fee and
Accounts Receivable Branch, P.O. Box 954514, St. Louis, MO 63195-
4514.
NRC Definition of Small Entity
The NRC, in consultation with the Small Business Administration,
has defined a small entity for purposes of compliance with its
regulations. The definition is codified in NRC's regulations at 10
CFR 2.810. Under the NRC regulation, a small entity is:
1. Small business--a for-profit concern that provides a service
or a concern not engaged in manufacturing with average gross
receipts of $5 million or less over its last 3 completed fiscal
years;
2. Manufacturing industry--a manufacturing concern with an
average number of 500 or fewer employees based upon employment
during each pay period for the preceding 12 calendar months;
3. Small organization--a not-for-profit organization which is
independently owned and operated and has annual gross receipts of $5
million or less;
4. Small governmental jurisdiction--a government of a city,
county, town, township, village, school district or special district
with a population of less than 50,000;
5. Small educational institution--an educational institution
supported by a qualifying small governmental jurisdiction, or one
that is not state or publicly supported and has 500 or fewer
employees.1
---------------------------------------------------------------------------
\1\An educational institution referred to in the size standards
is an entity whose primary function is education, whose programs are
accredited by a nationally recognized accrediting agency or
association, who is legally authorized to provide a program of
organized instruction or study, who provides an educational program
for which it awards academic degrees, and whose educational programs
are available to the public.
---------------------------------------------------------------------------
NRC Small Entity Fees
The NRC has established two tiers of small-entity fees for
licensees that qualify under the NRC's size standards. Currently,
these fees are as follows:
------------------------------------------------------------------------
Maximum
annual
fee per
licensed
category
------------------------------------------------------------------------
Small Business Not Engaged in Manufacturing and Small Not-For
Profit Organizations (Gross Annual Receipts):
$350,000 to $5 million..................................... $1,800
Less than $350,000......................................... 400
Manufacturing entities that have an average of 500 employees
or less
35 to 500 employees........................................ 1,800
Less than 35 employees....................................... 400
Small Governmental Jurisdictions (Including publicly
supported educational institutions) (Population)
20,000 to 50,000........................................... 1,800
Less than 20,000............................................. 400
Educational Institutions that are not State or Publicly
Supported, and have 500 Employees or Less
35 to 500 employees........................................ 1,800
Less than 35 employees..................................... 400
------------------------------------------------------------------------
To pay a reduced annual fee, a licensee must use NRC Form 526,
enclosed with the fee invoice, to certify that it meets NRC's size
standards for a small entity. About 1,400 licensees certify each
year that they qualify as a small entity under the NRC size
standards and pay a reduced annual fee. Approximately 800 licensees
pay the small entity fee of $1,800 while 600 licensees pay the
lower-tier, small-entity fee of $400.
Instructions for Completing NRC Form 526
1. File a separate NRC Form 526 for each annual fee invoice
received.
2. Complete all items on NRC Form 526 as follows:
a. The license number and invoice number must be entered exactly
as they appear on the annual fee invoice.
b. The Standard Industrial Classification (SIC) Code should be
entered if it is known.
c. The licensee's name and address must be entered as they
appear on the invoice. Name and/or address changes for billing
purposes must be annotated on the invoice. Correcting the name and/
or address on NRC Form 526 or on the invoice does not constitute a
request to amend the license. Any request to amend a license is to
be submitted to the respective licensing staffs in the NRC Regional
or Headquarters Offices.
d. Check the appropriate size standard under which the licensee
qualifies as a small entity. Check one box only. Note the following:
(1) The size standards apply to the licensee, not the individual
authorized users listed in the license.
(2) Gross annual receipts as used in the size standards includes
all revenue in whatever form received or accrued from whatever
sources, not solely receipts from licensed activities. There are
limited exceptions as set forth at 13 CFR 121.104. These are: the
term receipts excludes net capital gains or losses, taxes collected
for and remitted to a taxing authority if included in gross or total
income, proceeds from the transactions between a concern and its
domestic or foreign affiliates (if also excluded from gross or total
income on a consolidated return filed with the IRS), and amounts
collected for another by a travel agent, real estate agent,
advertising agent, or conference management service provider.
(3) A licensee who is a subsidiary of a large entity does not
qualify as a small entity.
(4) The owner of the entity, or an official empowered to act on
behalf of the entity, must sign and date the small entity
certification.
3. The NRC sends invoices to its licensees for the full annual
fee, even though some entities qualify for reduced fees as a small
entity. Licensees who qualify as a small entity and file NRC Form
526, which certifies eligibility for small entity fees, may pay the
reduced fee, which for a full year is either $1,800 or $400, for
each fee category shown on the invoice depending on the size of the
entity. Licensees granted a license during the first six months of
the fiscal year and licensees who file for termination or for a
possession only license and permanently cease licensed activities
during the first six months of the fiscal year pay only 50 percent
of the annual fee for that year. Such an invoice states the ``Amount
Billed Represents 50% Proration.'' This means the amount due from a
small entity is not the prorated amount shown on the invoice but
rather one-half of the maximum annual fee shown on NRC Form 526 for
the size standard under which the licensee qualifies, resulting in a
fee of either $900 or $200 for each fee category billed instead of
the full small entity annual fee of $1,800 or $400.
4. A new small entity form (NRC Form 526) is required to be
filed with the NRC each fiscal year in order to qualify for reduced
fees for that fiscal year. Because a licensee's ``size,'' or the
size standards, may change from year to year, the invoice reflects
the full fee and a new Form must be completed and returned for the
fee to be reduced to the small entity fee. LICENSEES WILL NOT BE
ISSUED A NEW INVOICE FOR THE REDUCED AMOUNT. The completed NRC Form
526, the payment of the appropriate small entity fee, and the
``Payment Copy `` of the invoice should be mailed to the U.S.
Nuclear Regulatory Commission, License Fee and Accounts Receivable
Branch, P.O. Box 954514, St. Louis, MO 63195-4514.
5. Questions regarding fee invoices may be posed orally or in
writing. Please call the license fee staff at 301-415-7554 or write
to the U.S. Nuclear Regulatory Commission, Washington, DC 20555,
Attention: Office of the Chief Financial Officer.
6. False certification of small entity status could result in
civil sanctions being imposed by the NRC pursuant to the Program
Fraud Civil Remedies Act, 31 U.S.C. 3801 et. seq. NRC's implementing
regulations are found at 10 CFR Part 13.
[FR Doc. 98-8279 Filed 3-31-98; 8:45 am]
BILLING CODE 7590-01-P
