ML20040G052
| ML20040G052 | |
| Person / Time | |
|---|---|
| Issue date: | 01/21/1982 |
| From: | Palladino N NRC COMMISSION (OCM) |
| To: | Fuqua D HOUSE OF REP., SCIENCE, SPACE & TECHNOLOGY (FORMERLY |
| Shared Package | |
| ML20040G053 | List: |
| References | |
| NUDOCS 8202110183 | |
| Download: ML20040G052 (2) | |
Text
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UNITED STATES s,
NUCLEAR REGULATORY COMMISSION g
5; WASHINGTON, D. C. 20555 January 21, 1982 l
CHAIRMAN 9
4 RECEIVED j
The Honorable Don Fuqua, Chairman Committee on Science and Technology 2
JAN 2719825 r H8 N 52nfenca 2 United States House of Representatives L
Washington, D.C.
20515 myarn o>
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Dear Mr. Chairman:
I am writing in response to your letter of November 30, 1981 requesting the Nuclear Regulatory Commission's views and comments on H.R. 4326, the Small Business Innovation Development Act, and the Senate counterpart, S. 381. The differences between H.R. 4326 and S. 881 as they impact NRC's research program are minimal. As explained below, the Comission is concerned with the provision in both bills imposing percentage expenditure requirements for a set-aside for small business.
The NRC is charged with the assurance of public health and safety, common defense and security, and environmental quality from hazards associated with the use of nuclear materials.- In carrying out its responsibilities, NRC conducts research in amounts of about 200 million dollars per year. The research program is conducted for the purpose of furthering nuclear safety as prescribed by the Energy Reorganization Act of 1974, as amended.
Thus, the enabling legislation of the NRC channels the research program in a narrow, highly technical area of nuclear research.
Consequently, those firms willing and able to conduct research of the type required by the NRC are extremely limited in number.
Due to the nature of the work, the major capability to conduct such research within the United States is at U.S. Government-owned Federal research centers (" National Laboratories").
Some capability other than the Federal centers does exist; however, that research is almost totally conducted by the regulated industry.
The NRC has' conducted an aggressive campaign to interest and support small and disadvantaged businesses in the research program of the NRC.
Unfortunately, most of these firms find that the technical e/.pertise required, capital cost of equipment and limited application are not conducive to a reasonable business investment.
Even with this aggressive program, the total research dollars awarded to small businesses in FY81 is less than 1/2 of one percent (.45%). This is attributable to the lack of a small business market for conducting nuclear research.
Enactment of the subject bills would require the NRC to contract for research which would be unnecessary, and possibly for activities not authorized by the NRC's enabling legislation, in order to meet the imposed budget expenditure. This is inconsistent with the purpose of the 1974 ERA authorizing research "for technological innovation to C202110183 820121 PDR COMMS NRCC CORRESPONDENCE PDR l
2 meet agency needs." The intent and purpose of the Small Business Innovation Development Act could be achieved by establishing agency goals under which agencies would be provided incentives to support the SBIDA program while precluding the purchase of irrelevant research. We can and would support such a program in lieu of the present bills' required percentage budget expenditures.
If H.R. 4326 or S. 881 were adopted, we anticipate that no additional staff would be required to implement the Act.
Contracts with comercial sources currently amount to approximately $20 million/ year (10 percent of the research budget), and it is expected that any funds used to implement the proposed act would come from this part of the research budget. We therefore expect that there would be an even trade-off of staff time from present assignments to the implementation of the proposed act.
The NRC supports the intent and purpose of Congress to strengthen the growth of the nation's economy through support of small business.
However, the type and nature of research conducted by the NRC is not conducive to furthering the objectives of H.R. 432t, and S. 881.
Sincerely, gCY/ OO
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Nunzio J.
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