. - . _ - - . - - . _ - - - - - . _ . _ . - - - .- . - , " J . p g a " %,% - c, tsNITED STATES | i % ,g NUCLEAR REGULATORY COMMISSION { [! .nsim.oroN o c. 20%s ' | 7; *s&S$/. i 'maust- 23. 19N | % . .~. J , C H A l H PA A N . ' : I The Honorable J. J. Pickle United States House of Representatives | Washington, D.C. 20515 ' ! * Dear Congressman Pickle: | | 3 I am responding to your letter of August 4, 1993, regarding the i NRC's assessment of annual fees to nonprofit educational institu- tions for FY 1993. The Commission appreciates the concerns that you and the other members of the Texas Congressional delegation i have expressed about the impact of the final fee rule on | uni /ersity research laboratories. | The Commission's need to revisit the generic exemption for non- ; profit educational institutions was occasioned by a March 16, 1993, decision of the U.S. Court of Appeals for the District of ' Columbia Circuit. (A1]ied-Si2Dal. Inc. v. U.S. Nuclear Regulatory | _ Commission and the United States of America, No. 91-1407 and i , Consolidated Cases). In this decision, the Court remanded for i reconsideration parts of the NRC's FY 1991 annual fee rule, ! codified at 10 CFR Part 171. The court questioned the ! Commission's decision to exempt nonprofit educational institu- | tions from NRC fees on the grounds (in part) that they are unable i to pass through the costs of those fees to their customers, ' without attempting a similar "passthrough" analysis for other licensees. , t ! - Therefore, in response to the Court's decision, the Commission i Issued a proposed rule that was published in the Federal Register i on April, 23, 1993. Public comments were invited on whether to f discontinue the educational exemption entirely. Comments were I received expressing support both for keeping the exemption and , removing it from the final rule. ! Having reviewed the comments, the Commission found the choice before it a difficult one. The Commission reluctantly concluded , that in view of the administrative record developed during the comment period, it could not justify a generic " educational" exemption for FY 1993, nor could it adequately rationalize the generic exemption previously allowed in FY 1991 and FY 1992. As ! a result, the generic exemption was not included in the final ' rule published July 20, 1993. 4 1DENTICAL LETTEPS 5ENT TO THOSE ON THE ATTACHED LIST , f 9309160039 930823 | PDR COMMS NRCC \n CORRESPONDENCE PDR '' , - . .. -. .- , . , _-. .- I * | I . - 2 - 4 However, like all other licensees, affected nonprofit educational - licensees can request individual exemptions under 10 CFR 171.11. In this regard, the Commission decided that any licensee seeking , ' an individual exemption under the "public interest" standard in 3 5 171.11(b) would be expected, as part of its showing that { exceptional treatment is justified, to demonstrate severe ' financial hardship resulting from the newly imposed annual fees as well as significant " externalized benefits," which could include benefits to other NRC licensees. The Commission expects 4 to publish guidance for licensees regarding the pertinent considerations that should be addressed in exemption requests. j 1 j Since you wrote your letter, and because this is a change in , policy for FY 1993, we have informed licensees that if they file an individual exemption request by November 17, 1993, and are " unable to pay the fee, no interest or penalties will accrue until 30 days after the Commission acts on the exemption request. , 4 Universities have appreciated this and other related clarifica- - tions, as the enclosed letter demonstrates. : As directed by the Energy Policy Act of 1992, the NRC as a 1 separate matter is taking a broader look at our fee policies and i, the impact on licensees. As a part of this review, the , Commission will be re-examining the general issue of exempting j nonprofit educational institutions for FY 1994 and beyond. We ; expect this review to be complete by November 1993. We will, of f course, keep you informed regarding the progress of the review and any final conclusions that we may reach in this matter. If you desire, I would be pleased to meet with you to discuss this issue. Sincerely, v.b s Ivan Selin Enclosure: As stated . - . NBDHO ' . Nuc!aar Engineering Department Heads Organization , August 9,1993 i Mr. J=es M. Taylor , Execut,e Director for Operations [ United 5:2tes Regulatory Commission ' Washinton, D.C. 20555 ; Dear Mr. Taylor: I I want to take this opponunity to thank you for a reasonable approach to the fee payments - for naprefit educational institution licenses that will allow the Nuclear Engineering i Depannents some breathing room to pursue all the available options to preserve Nuclear Engin=mg Educational and Service Programs. The Nuclear Engineering Educational family , has been recting from the hammer blows of the licensing payment requests prior to any I exempron actions. Ycur letter means that departments can prepare their responses in a timely and reasonable manner knowing that their opions still exist. , We are quick to pounce on Government personnel when actions taken are negative, so I wish to acknowledge the very positive and helpful action that your letter of August 6th represents. I hope that we will be able to resolve this licensing fee question for non-profit educational institutions in a manner that will preserve and support the outstanding nuclear educati:nal infrastructure which has been developed in the United States to support our safe and enviro =entally sound Nuclear Energy Program. , Sincerely, c m ~ ys L w. ames S. Tulenko Chairman Emeritus | Nuclear Engineering Dept. IIcads ~ JST:cb a / & , .lemos 5. r.owee Chsemen . Jay F. Kamre. We Chdemon Deperur*ere et Nsnaieor Engers*ermt S oer.cee Urivwstry of Ag;aseurpCelsmGe A Room 202. Macnear Saorwee Corwar ^ Nudeer fr'@r****4 M'*"* Urvowsery et Aerona 322 Doctnca L m Bsa dow Gse ee A R 32611 Catumba. A4;ee*uri 65211 Taechene 6C4l3921401 TJeetsene 1314}SS24650 TAX (90413324380 FAX (214}&82-0397 [I n r P 3. m , t.q, 6 MW iuvi r ' ENCLOSURE - . -. --- .__ . ~ . Jft+-10 '03 TUE 23:42 ID: TEL tC: m N2 ~. * . Addressees . The Honorable J. J. Pickle The Honorabia Lamar Smith The Honorable Greg Laughlin' The Honorable Joe Barton t The Honorable Martin Frostb ;. , The Honorable Tom DaLay The Honorable Michael A. Andrews The Honorable Dick Ar:ay , * The Honorable Pata Garan The Honorabla Solomon P. Crti2 The Honorable Gena Green The Honorable Frank Tejada ' ' The Honorable Eddic Bernice Johnson , The Honorablo Jack Brooks The Honorable Ronald D. Coleman ' The Honorable E (Kika) de la Garza r The Honorable Jim Chapnan i The Honorable John Bryant ' The Honorable Bill Sarpalius , The Honorable Chet Edwards The Honorable Ralph M. Hall The Honorable Charlon W. Stenholm | ! ; The Honorable Henry Bonilla [ The Honorabla Bill Archer [ The Honorable Sam Johnsen y The Honorable Jack Fields The Honorable. Larry Combent i . F i.