ML20212K583

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Forwards Corrections on Draft Press Release Re Fee Rule
ML20212K583
Person / Time
Issue date: 03/25/1999
From: Gerard Jackson
NRC
To: Landau M
NRC
Shared Package
ML20138F537 List:
References
FRN-64FR15876, RULE-PR-170, RULE-PR-171 AG08-1-020, NUDOCS 9910060319
Download: ML20212K583 (6)


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From: Glenda Jackson To: OWFN,DO.OWF1f0(MSL) -

Date: 3/25/99 5:57pm '

Subject. Draft Press Release on Fees -Reply Mindy, There were several technically inaccurate statements. Jim Turdici also reviewed the draft and was concerned about the length and amount of detail. The attached WP file reflects the corrections and what we feelis a better presentation of the fee rule, Please let me know if you decide not to use this version. In any event, I would like to see the DRAFT before it is published. . We plan to forward the rule to the FR tomorrow, and hopefully it will be published expeditiously.

.> > > Mindy Landau 03/25/9911:21am > > > ,

Glenda, attached is a draft press release approved by Bill Beecher. If you have any technical modifications, please let me know.

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1 9910060319 991001 PDR PR 170 64FR15876 PDR MN00ko N 9 '

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March 25,1999 MSL 5:58 pm DRAFT (FR Notice)

NRC SEEKS COMMENT ON PROPOSAL TO AMEND LICENSING, INSPECTION AND ANNUAL FEES The Nuclear Regulatory Commission is seeking comment on several major changes to the fees it charges to licensees for the 1999 fiscal year.

The agency is required to collect approximately all of its budget through two types of fees. One type is fees for services, such as licensing and inspection activities. The other is an annual fee paid by all licensees, which recovers generic and other costs not recovered through fees for services. For fiscal year 1999, the Commission must recover $449.6 million in fees.

The NRC is offering for comment two methods for establishing annual fees for FY 1999:

rebaseling, or rebaselining with a 50 percent cap on any fee increase.

Also being proposed this year, are: a new annual fee category for spent fuel storage / reactor decommissioning, expansion of cost recovery under fees for services for certain reviews and inspections, and elimination of " flat' amendment fees for small materials licenses.

Under the rebaselining method, the agency determines the approximate budgeted costs i attributable to each type of licensee such as power reactors or fuel facilities, and other costs to be allocated to'the various classes for policy reasons.' These costs, less the estimated amounts

_ to be recovered through fees for licensing and inspection services, comprise the annual fee.

The NRC last applied the rebaselining method four years ago, in an effort to simplify and stabilize its fee program. The agency decided to rebaseline this year because of the proposed addition of a new fee class and other recent events, such as strategic planning efforts, downsizing, and reorganization of resources.

Rebaselining this year would decrease annual fees for power reactors and some materials licensees, but increase them for other materials licensees such as solution-injection uranium mines, uranium mills, fuel facilities and transportation cask users.

The other option -- to rebaseline with a cap - would ensure that no licensee's FY 1999 annual fee increases more than 50 percent over FY 1998 amounts.

. The new fee class introduced provides that a spent fuel storage / decommissioning

- annual fee be assessed to all power reactors regardless of their operating status. Currently, annual fees are assessed for power reactors with facilities being decommissioned and with spent fuel stored in dry cask facility. But no such fees are currently charged to reactor licensees in decommissioning that store fuel in a fuel pool.

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O I Also under the new proposal, fees would be assessed for document and report reviews, non-generic project manager activities, and all inspections, including licensee-specific

. performance reviews, evaluations, and incident investigations. These activities are performed

. for specific licensees.

For small materials licensees, " flat" amendment fees are now assessed based on the average time it takes to complete amendment reviews. Under the proposed fee rule, " flat"

- amendment fees would be eliminated to increase efficiency, and instead the costs would be added to these licensees' annual fees.

Also in the 1999 proposed fee amendments is an increase in hourly rates for inspection and other professional staff services.

The 5449.6 million to be recovered from fees this year does not include $17 million appropriated from the Nuclear Waste Fund for high-level waste activities. Neither does it

' include $3.2 million appropriated for NRC's activities related to reviews for the Department of Energy's site. Funding for this activity is excluded from license fee revenues by law. The total

. amount to be recovered in fees is about $5.2 million less than that recovered the previous fiscal year.

Written comments on the proposed amendments to Parts 170 and 171 of the

. Commission's regulations should be received 30 days after publication in the Federal Register.

They should be addressed to the Secretary, U. S. Nuclear Regulatory Commission, Washington, D.C.,20555-0001, ATTN: Rulemakings and Adjudications staff. Comments 3

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may also be submitted via the NRC's electronic rulomaking website at http://www.nre. gov. l Select "rulemaking" from the tool bar and then "rulernaking forum."

Because the agency is soliciting comments on two potential fee schedules for FY 1999, for this year only, the final rule will be mailed to all licensees. The final rule will also be published in the Federal Register and will be available on the internet, at http://ruleformum.llnl.govl.

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Po/c ATTACHMENT 2 Aootoved for Publication By memorandum dated February 18,1997, the Commission delegated to the CFO the authority to develop and promulgate rules as defined in the APA (5 U.S.C. 551(4)), subject to the limitations of that memorandum.  !

The attached proposed rule amends 10 CFR Parts 170 and 171. These amendments are

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necessary to implement the requirements of Public Law 101-508 to recover approximately 100 l percent of the NRC's FY 1999 budget authority through license and annual fees.

The proposed rule is consistent with Commission fee policy decisions, does not constitute a significant question of policy, nor does it amend regulations contained in 10 CFR Part 7,8 or 9 Subpart C concerning matters of policy. I therefore find that this rule is within the scope of my rulemaking authority and am proceeding to issue it.

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Jesse L. Funches Chief Financial Officer l

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