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71 Stat. 455. years from the date of his employment with the Agency, and within ninety days from the date he is separated without prejudice from the Agency, applies to be restored to his Federal position, he shall within thirty days of such application be restored to such position or to a position of like seniority, status and pay.

(b) Notwithstanding any other provision of law, Executive order or regulation, any Presidential appointee or elected officer who leaves his position to enter, or who within ninety days after the termination of his position enters, the employ of the Agency, shall be entitled 70 Stat, 743. to the coverage and benefits of the Civil Service Retirement Act, 5 USC 2251 as amended, and the Federal Employees' Group Life Insurance Act of at 969. 1954, as amended, but not beyond the earlier of either the termination 68 Stat. 736. of his employment with the Agency or the expiration of three years 5 USC 2091 noto. from the date he entered employment with the Agency: Provided, (1) That he shall pay to the Civil Service Commission within ninety days from the date he is separated without prejudice from the Agency all necessary deductions and agency contributions for coverage under the Civil Service Retirement Act for the period of his employment by the Agency, and (2) That all deductions and agency contributions necessary for continued coverage under the Federal Employees' Group Life Insurance Act of 1954, as amended, shall be made during the term of his employment with the Agency.

(c) The President is authorized to prescribe such regulations as Regulations. may be necessary to carry out the provisions of this section and to protect the retirement, insurance and such other civil service rights and privileges as the President may find appropriate.

SEC. 7. Section 54 of the Atomic Energy Act of 1954, as amended, Distribution is amended by adding the following new sentences: “Unless hereafter of materials; otherwise authorized by law the Commission shall be compensated compensation. for special nuclear material so distributed at not less than the Com- 68 Stat. 931. mission's published charges applicable to the domestic distribution 42 USC 2074. of such material, except that the Commission to assist and encourage research on peaceful uses or for medical therapy may so distribute without charge during any calendar year only a quantity of such material which at the time of transfer does not exceed in value $10,000 in the case of one nation or $50,000 in the case of any group of nations. The Commission may distribute to the International Atomic Energy Agency, or to any group of nations, only such amounts of special nuclear materials and for such periods of time as are authorized by Congress: Provided, however, That, notwithstanding this provision, the Commission is hereby authorized subject to the provisions of section 123, to distribute to the Agency five thousand kilograms of 42 USC 2152. contained uranium-235, together with the amounts of special nuclear material which will match in amount the sum of all quantities of special nuclear materials made available by all other members of the Agency to July 1, 1960.”

Sec. 8. In the event of an amendment to the Statute of the Agency Termination. being adopted in accordance with article XVIII-C of the Statute to TIAS 3873. which the Senate by formal vote shall refuse its advice and consent, upon notification by the Senate to the President of such refusal to advise and consent, all further authority under section 2, 3, 4 and 5 of this Act, as amended, shall terminate: Provided, however, That the Settlement. Secretary of State, under such regulations as the President shall promulgate, shall have the necessary authority to complete the prompt and orderly settlement of obligations and commitments to the Agency already incurred and pay salaries, allowances, travel expenses, and other expenses required for a prompt and orderly termination of United States participation in the Agency: And provided further, That the representative and the deputy representative of the United

71 Stat. 456.

States to the Agency, and such other officers or employees representing the United States in the Agency, under such regulations as the President shall promulgate, shall retain their authority under this Act for such time as may be necessary to complete the settlement of matters arising out of the United States participation in the Agency.

Approved August 28, 1957.

85th Congress, H. R. 7383

September 2, 1957

AN ACT

71 Stat. 576.

To amend the Atomic Energy Act of 19.34, as amended, and for other purposes.

funds.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress (isse

sembled, That section 2 of Nuolear damages. the Atomic Energy Act of 1954, as amended, is amended by adding a Availability of new subsection to read as follows: "i. In order to protect the public and to encourage the develop- 68 Stat, 921.

42 USC 2012. ment of the atomic energy industry, in the interest of the general welfare and of the common defense and security, the United States may make funds available for a portion of the damages suffered by the public from nuclear incidents, and may limit the

liability of those persons liable for such losses." Sec. 2. Subsection 53 e. (8) of the Atomic Energy Act of 1954, as License oondiamended, is amended to read as follows:

tions. “(8) except to the extent that the indemnification and limita- 22 USC 2073. tion of liability provisions of section 170 apply, the licensee will hold the United States and the Commission harmless from any damages resulting from the use or possession of special nuclear

material by the licensee." Sec. 3. Section 11 of the Atomic Energy Act of 1954, as amended, Definitions. is amended by adding thereto the following new subsections, and 68 Stat. 922; redesignating the other subsections accordingly:

70 Stat. 1069. "j. The term 'financial protection' means the ability to respond 42 USC 2014. in damages for public liability and to meet the costs of investi. gating and defending claims and settling suits for such damages.

“n. The term 'licensed activity' means an activity licensed pursuant to this Act and covered by the provisions of section 170 a.”

"0. The term “nuclear incident' means any occurrence within the United States causing bodily injury, sickness, disease, or death, or loss of or damage to property, or for loss of use of property, arising out of or resulting from the radioactive, toxic, explosive, or other hazardous properties of source, special nuclear, or byproduct material.”

"r. The term “person indemnified' means the person with whom an indemnity agreement is executed and any other person who may be liable for public liability:"

"u. The term 'public liability means any legal liability arising out of or resulting from a nuclear incident, except claims under State or Federal Workmen's Compensation Acts of employees of persons indemnified who are employed at the site of and in connection with the activity where the nuclear incident occurs, and except for claims arising out of an act of war. “Public liability' also includes damage to property of persons indemnified: Provided, That such property is covered under the terms of the financial protection required, except property which is located at the site of and used in connection with the activity where the

muclear incident occurs." Sec. 4. The Atomic Energy Act of 1954, as amended, is amended 68 Stat. 919.

. by adding thereto a new section, with the appropriate ainendment to 42 USC 2011 not the table of contents: “Sec. 170. INDEMNIFICATION AND LIMITATION OF LIABILITY.

“a. Each license issued under section 103 or 104 and each con- 42 USC 2133,213struction permit issued under section: 185 shall, and each license 2235,2073,2093, issued under section 53, 63, or 81 may, have as a condition of the 2111. license a requirement that the licensee have and maintain financial protection of such type and in such amounts as the Commission

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71 Stat. 577.

insurance.

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shall require in accordance with subsection 170 b. to cover public Indemnification liability claims. Whenever such financial protection is required, it agreement. shall be a further condition of the license that the licensee exe

cute and maintain an indemnification agreement in accordance Waiver.

with subsection 170 c. The Commission may require, as a further condition of issuing a license, that an applicant waive any im

munity from public liability conferred by Federal or State law. Liability

“b. The amount of financial protection required shall be the amount of liability insurance available from private sources, except that the Commission may establish a lesser amount on the basis of criteria set forth in writing, which it may revise from time to time, taking into consideration such factors as the following: (1) the cost and terms of private insurance, (2) the type, size, and location of the licensed activity and other factors pertaining to the hazard, and (3) the nature and purpose of the licensed activity: Provided, That for facilities designed for producing substantial amounts of electricity and having a rated capacity of 100,000 electrical kilowatts or more, the amount of financial protection quired shall be the maximum amount available from private sources. Such financial protection may include private insurance, private contractual indemnities, self insurance, other proof of financial responsibility, or a combina

tion of such measures. Aggregate

"c. The Commission shall, with respect to licenses issued beindemnity. tween August 30, 1954, and August 1, 1967, for which it requires

financial protection, agree to indemnify and hold harmless the licensee and other persons indemnified, as their interest may appear, from public liability arising from nuclear incidents which is in excess of the level of financial protection required

the licensee. The aggregate indemnity for all persons indemnified in connection with each nuclear incident shall not exceed $500,000,000 including the reasonable costs of investigating and settling claims and defending suits for damage. Such a contract of indemnification shall cover public liability arising out of or in connection with the licensed activity.

“d. In addition to any other authority the Commission may have, the Commission is authorized until August

to enter into agreements of indemnification with its contractors for the construction or operation of production or utilization facilities or other activities under contracts for the benefit of the United States involving activities under the risk of public liability for a substantial nuclear incident. In such agreements of indemnification the Commission may require its contractor to provide and maintain financial protection of such a type and in such amounts as the Commission shall determine to be appropriate to cover public liability arising out of or in connection with the contractual activity, and shall indemnify the persons indemnilied against such claims above the amount of the financial protection required, in the amount of $500,000,000 including the reasonable costs of investigating and settling claims and defending suits for damage in the aggregate for all persons indemnified

in connection with uch contract and for each nuclear incident. Contraots. The provisions of this subsection may be applicable to lump

sum as well as cost type contracts and to contracts and projects

financed in whole or in part by the Commission. Aggregate

"e. The nggregate liability for a single nuclear incident of liability. persons indemnified, including the reasonable costs of investi

gating and settling claims and defending suits for damage, shall not exceed the sum of $500,000,000 together with the amount of

1967,

71 Stat. 578. financial protection required of the licensee or contractor. The Applioation Commission or any person indemnified may apply to the appro

to U.S. distriot priate district court of the United States having venue in bank- court. ruptcy matters over the location of the nuclear incident, and upon a showing that the public liability from a single nuclear incident will probably exceed the limit of liability imposed by this section, shall be entitled to such orders as may be appropriate for enforcement of the provisions of this section, including an order limiting the liability of the persons indemnified, orders staying the payment of claims and the exe:ution of court judgments, orders apportioning the payments to be made to claimants, orders permitting partial payments to be made before final determination of the total claims, and an order setting aside a part of the funds available for possible latent injuries not discovered until a later time.

“f. The Commission is authorized to collect a fee from all per- Colleotion sons with whom an indemnification agreement is executed under of pee. this section. This fee shall be $30 per year per thousand kilowatts of thermal energy capacity for facilities licensed under section 103. For facilities licensed under section 104, and for con- 42 USC 2133, struction permits under section 185, the Commission is authorized 2134,2235. to reduce the fee set forth above. The Commission shall establish criteria in writing for determination of the fee for facilities licensed under section 104, taking into consideration such factors as (1) the type, size, and location of facility involved, and other factors pertaining to the hazard, and (2) the nature and purpose of the facility. For other licenses, the Commission shall collect such nominal fees as it deems appropriate. No fee under this subsection shall be less than $100 per year.

"g: In administering the provisions of this section, the Com- Private insurmission shall use, to the maximum extent practicable, the facil- anoe organizam ities and services of private insurance organizations, and the tions. Commission may contract to pay a reasonable compensation for Use of serv

10es. such services. Any contract made under the provisions of this subsection may be made without regard to the provisions of section 3709 of the Revised Statutes, as amended, upon a showing 41 USC 5. by the Commission that advertising is not reasonably practicable and advance payments may be made.

“h. The agreement of indemnification may contain such terms Terms of settleas the Commission deems appropriate to carry out the purposes of this section. Such agreement shall provide that, when the Commission makes a determination that the United States will probably be required to make indennity payments under this section, the Commission shall collaborate with any person indemnified and may approve the payment of any claim under the agreement of indemnification, appear through the Attorney General on behalf of the person indemnified, take charge of such action, and settle or defend any such action. The Commission shall have final authority on behalf of the United States to settle or approve the settlement of any such claim on a fair and reasonable basis with due regard for the purposes of this Act. Such settlement may include reasonable expenses in connection with the claim incurred by the person indemnified.

". After any nuclear incident which will probably require Survey of payments by the United States under this section, the Commis- causes. sion shall make a survey of the causes and extent of damage which shall forthwith be reported to the Joint Committee, and, except as forbidden by the provisions of chapter 12 of this Act 68 Stat. 940. or any other law or Executive order, all final findings shall be 42 USC 2161.

ment.

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