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Guarantee
Contracts.

31 U.S.C. 665 41 U.S.C. 252 (c)

(See 41 U.S.C. 260(b).)

necessary, but in no event to exceed five years, for the purpose of conducting the research and development program authorized by this section: Provided, That the Community authorizes an equivalent amount for use in the cooperative program of research and development. SEC. 4. The Commission is authorized, within limits of amounts which may hereafter be authorized to be appropriated in accordance with the provisions of section 261 (a) (2)3 of the Atomic Energy Act of 1954, as amended, to make guarantee contracts which shall in the aggregate not exceed a total contingent liability of $90,000,000 designed to assure that the charges to an operator of a reactor constructed under the joint program for fabricating, processing, and transporting fuel will be no greater than would result under the fuel fabricating and fuel life guarantees which the Commission shall establish for such reactor. Within the limits of such amounts, the Commission is authorized to make contracts under this section, without regard to the provisions of sections 3679 and 3709 of the Revised Statutes, as amended, for such periods of time as it determines to be necessary: Provided, however, That no such contracts may extend for a period longer than that necessary to cover fuel loaded into a reactor constructed under the joint program during the first ten years of the reactor operation or prior to December 31, 1973 (or December 31, 1975, for not more than two reactors selected under section 2(c)), whichever is earlier. In establishing criteria for the selection of projects and in entering into such guarantee contracts, the Commission shall be guided by, but not limited to, the following principles:

(a) The Commission shall encourage a strong and competitive atomic equipment manufacturing industry in the United States designed to provide diversified sources of supply for reactor parts and reactor fuel elements under the joint program;

(b) The guarantee shall be consistent with the provisions of this Act and of Attachment A to the Memorandum of Understanding between the Government of the United States and the Community, signed in Brussels on May 29, 1958, and in Washington, District of Columbia, on June 12, 1958, and transmitted to Congress on June 23, 1958;

(c) The Commission shall establish and publish criteria. for computing the maximum fuel element charge and minimum fuel element life to be guaranteed by the manufacturer as a basis for inviting and evaluating proposals.1

3 See footnote 1. supra.

4 Public Law 87-206 (75 Stat. 475) (1961), amended section 4(c). Prior to amendment, it read: "The commission shall establish and publish minimum levels of fuel element cost and life to be guaranteed by the manufacturer as a basis for inviting and evaluating proposals."

(d) The guarantee by the manufacturer shall be as favorable as any other guarantee offered by the manufacturer for any comparable fuel element within a reasonable time period; and

(e) The Commission shall obtain a royalty-free, nonexclusive, irrevocable license for governmental purposes to any patents on inventions or discoveries made or conceived by the manufacturer in the course of development or fabrication of fuel elements during the period covered by the Commission's guarantee.

plutonium.

SEC. 5. Pursuant to the provisions of section 54 of the Uranium and Atomic Energy Act of 1954, as amended, there is hereby authorized for sale or lease to the Community

an amount of contained uranium 235 which does not
exceed that necessary to support the fuel cycle of
power reactors located within the Community hav-
ing a total installed capacity of thirty-five thou-
sand megawatts of electric energy, together with
twenty-five thousand kilograms of contained ura-
nium 235 for other purposes;
one thousand five hundred kilograms of plutonium;
and

5

thirty kilograms of uranium 233;

in accordance with the provisions of an agreement or agreements for cooperation between the Government of the United States and the Community entered into pursuant to the provisions of section 123 of the Atomic Energy Act of 1954, as amended: Provided, That the Government of the United States obtains the equivalent of a first lien on any such material sold to the Community for which payment is not made in full at the time of transfer. The Commission may enter into contracts to provide, after December 31, 1968, for the producing or enriching of all, or part of, the above-mentioned contained uranuim 235 pursuant to the provisions of subsection 161 v. (B) of said Act, as amended, in lieu of sale or lease thereof."

Public Law 93-88 (87 Stat. 296) (1973), changed this subparagraph. Previously, it read "two hundred fifteen thousand kilograms of contained uranium 235;". See appendix A infra for legislative history of Public Law 93-88.

Public Law 90-190 (81 Stat. 575 (1967). sec. 13. amended sec. 5 by substituting a complete new section. For legislative history of Public Law 90-190. see appendix A, infra. Before amendment, sec. 5 read as follows: "SEC. 5. Pursuant to the provisions of section 54 of the Atomic Energy Act of 1954, as amended, there is hereby authorized for sale or lease to the Community:

Seventy thousand kilograms of contained uranium 235
Five hundred kilograms of plutonium
Thirty kilograms of uranium 233

In accordance with the provisions of an agreement or agreements for
cooperation between the Government of the United States and the Com-
munity entered into pursuant to the provisions of section 123 of the
Atomic Energy Act of 1954, as amended: Provided, That the Government
of the United States obtains the equivalent of a first lien on any such
material sold to the Community for which payment is not made in full
at the time of transfer."

Sec. 5 had earlier been amended by Public Law 88-394 (78 Stat. 376), sec. 5, and by Public Law 87-206 (75 Stat. 475), sec. 19. For legislative history of Public Law 88-394 and Public Law 87-206, see appendix A, infra.

Acquisition

of nuclear materials.

81 U.S.C. 665.

41 U.S.C. 252(c).

(See 41 U.S.C. 260 (b).)

SEC. 6. (a) The Atomic Energy Commission is authorized to purchase or otherwise acquire from the Community special nuclear material or any interest therein from reactors constructed under the joint program in accordance with the terms of an agreement for cooperation entered into pursuant to the provisions of section 123 of the Atomic Energy Act of 1954, as amended: Provided, That neither plutonium nor uranium 233 nor any interest therein shall be acquired under this section in excess of the total quantities authorized by law. The Commission is hereby authorized to acquire from the Community pursuant to this section up to four thousand one hundred kilograms of plutonium for use only for peaceful

purposes.

(b) Any contract made under the provisions of this section to acquire plutonium or any interest therein may be at such prices and for such period of time as the Commission may deem necessary: Provided, That with respect to plutonium produced in any reactor constructed under the joint program, no such contract shall be for a period greater than ten years of operation of such reactors or December 31, 1973 (or December 31, 1975, for not more than two reactors selected under section 2 (c)), whichever is earlier: And provided further, That no such contract shall provide for compensation or the payment of a purchase price in excess of the Commission's established price in effect at the time of delivery to the Commission for such material as fuel in a nuclear reactor.

(c) Any contract made under the provisions of this section to acquire uranium enriched in the isotope uranium 235 may be at such price and for such period of time as the Commission may deem necessary: Provided, That no such contract shall be for a period of time extending beyond the terminal date of the agreement for cooperation with the Community or provide for the acquisition of uranium enriched in the isotope U-235 in excess of the quantities of such material that have been distributed to the Community by the Commission less the quantity consumed in the nuclear reactors involved in the joint program: And provided further, That no such contract shall provide for compensation or the payment of a purchase price in excess of the Atomic Energy Commission's established charges for such material in effect at the time delivery is made to the Commission.

(d) Any contract made under this section for the purchase of special nuclear material or any interest therein may be made without regard to the provisions of section 3679 of the Revised Statutes, as amended.

(e) Any contract made under this section may be made without regard to section 3709 of the Revised Statutes, as amended, upon certification by the Commission that such action is necessary in the interest of the common

defense and security, or upon a showing by the Commission that advertising is not reasonably practicable.

of U.S.

SEC. 7. The Government of the United States of Nonliability America shall not be liable for any damages or third party liability arising out of or resulting from the joint program: Provided, however, That nothing in this section shall deprive any person of any rights under section 170 of the Atomic Energy Act of 1954, as amended. And provided further, That nothing in this section shall apply to arrangements made by the Commission under a research and development program authorized in section 3.' The Government of the United States shall take such steps as may be necessary, including appropriate disclaimer or indemnity arrangements, in order to carry out the provisions of this section.

Approved August 28, 1958.

INDEX TO LEGISLATIVE HISTORY OF PUBLIC LAW 85-846

(Page references are to the Congressional Record, 85th Cong., 2d sess.) S. 4047 introduced by Senator Anderson (by request). June 24, 1958. Referred to the Joint Committee on Atomic Energy, 12061.

S. 4273 introduced by Senator Anderson as a "clean bill." August 12, 1958. Referred to the Joint Committee on Atomic Energy, 16964. Reported with amendments (S. Rept. 2370). August 14, 1958, 17490. Debated, 18093.

Amended and passed Senate. August 18, 1958, 18100.

Passed House. August 20, 1958, 18787.

Approved as Public Law 85-846. August 28, 1958, 19586.

COMPANION BILL-H.R. 13749

H.R. 13120 introduced by Mr. Durham (by request). June 25, 1958.
Referred to the Joint Committee on Atomic Energy, 12264.
H.R. 13749 introduced by Mr. Durham as a "clean bill." August 12,
1958. Referred to the Joint Committee on Atomic Energy, 17203.
Reported with amendments (H. Rept. 2647). August 15, 1958, 17931.
Indefinitely postponed (S. 4273 passed in lieu), 18787.

S. CON. RES. 116

[85TH CONGRESS, 2D SESSION]

[AUGUST 23, 1958]

CONCURRENT RESOLUTION

Whereas the United States of America has instituted a program of international cooperation to make available to cooperating nations the benefits of peaceful applications of atomic energy; and

Proviso added by Public Law 87-206 (75 Stat. 475) (1961).

Whereas the United States of America and the European Atomic Energy Community (EURATOM) have entered into an agreement providing for cooperation in programs designed to advance the peaceful application of atomic energy: Therefore be it

Resolved by the Senate (the House of Representatives concurring), That pursuant to the provisions of sections 11 (1) and 124 of the Atomic Energy Act of 1954, as amended, the agreement between the Government of the United States of America and the European Atomic Energy Community (EURATOM), signed at Brussels on May 29, 1958, and at Washington on June 19, 1958, concerning cooperation between the parties in programs for the advancement of the peaceful application of atomic energy, be and hereby is approved. This resolution does not constitute approval or disapproval of the memorandum of understanding, or any other agreements which have not been formally approved or authorized by the Congress.

INDEX TO LEGISLATIVE HISTORY OF S. CON. RES. 116

(Page references are to the Congressional Record, 85th Cong., 2d sess.) S. Con. Res. 116 introduced by Senator Anderson. August 12, 1958. Referred to the Joint Committee on Atomic Energy, 16964. Reported (S. Rept. 2372). August 14, 1958, 17490.

Passed over, 18082.

Passed Senate. August 18, 1958, 18098.

Passed House. August 20, 1958, 18786.

COMPANION BILL-H. CON. RES. 376

H. Con. Res. 376 introduced by Mr. Durham. August 12, 1958. Referred to the Joint Committee on Atomic Energy, 17203.

Reported (H. Rept. 2648). August 15, 1958, 17931.

Laid on table (S. Con. Res. 116 passed in lieu). August 20, 1958, 18786.

87 Stat. 296.

PUBLIC LAW 93-88 [S. 1993]

[93D CONGRESS, 1ST SESSION]

[AUGUST 14, 1973]

AN ACT

To amend the EURATOM Cooperation Act of 1958, as amended. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 5 of the EURATOM Cooperation Act 52 U.S.C. 2294. of 1958, as amended, is amended by deleting the words

EURATOM
Cooperation
Act of 1958,
Amendment.
81 Stat. 578.

"two hundred fifteen thousand kilograms of contained uranium 235" and substituting therefor the words "an amount of contained uranium 235 which does not exceed that necessary to support the fuel cycle of power reactors

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