(b) Public Law 506, Eighty-fourth Congress, second session, is amended by rescinding therefrom authorization for a project, except for funds heretofore obligated, as follows: Project 57-0-6, food irradiation facility, $3,000,000.. SEC. 108. EXPENSES FOR MOVE TO NEW PRINCIPAL OFFICE.-Public Law 85162 is amended by striking therefrom the figure "$75,000" in section 109 a. (4) and substituting therefor the figure "$210,000". SEC. 109. COOPERATIVE POWER REACTOR DEMONSTRATION PROGRAM.-Section 111 of Public Law 85-162 is hereby amended by striking out the figures "$129,915,000" and $149,915,000" in subsection (a) thereof, and inserting in lieu thereof the figures "$155,113,000" and "$175,113,000"; by striking out the figure "$1,500,000" in clause (2) of subsection 111 a. and inserting in lieu thereof the figure "$2,750,000"; by striking out the date "December 31, 1958" in clause (3) of subsection 111 a. and inserting in lieu thereof the date “June 30, 1959"; and by adding at the end thereof the following new subparagraphs (c), (d), (e), and (f): "(c) Funds appropriated to the Commission, pursuant to the authorization contained in subsection (a) of this section, shall be available to the Commission for cooperative arrangements which may provide for the waiver by the Commission of its charges for the use of heavy water for a period not to exceed five years in any proposed reactor otherwise eligible for assistance under the Commission's power reactor demonstration program. "(d) Funds appropriated to the Commission, pursuant to the authorization contained in subsection (a) of this section and authorized for the Third Round of the Commission's power reactor demonstration program, shall be available to the Commission for a cooperative arrangement in accordance with the basis for an arrangement described in the Program Justification Data for Arrangement Numbered 58-111-5. "(e) Funds appropriated to the Commission pursuant to the authorization contained in subsection (a) of this section, for the Commission's power reactor demonstration program shall be available to the Commission for a cooperative arrangement in accordance with the basis for an arrangement described in the Program Justification Data for Arrangement Numbered 58-111-6 (PHASE I). "(f) Before the Commission hereafter enters into any arrangement the basis of which has not been previously submitted to the Joint Committee on Atomic Energy which involves appropriations authorized by subsection (a) of this section, it shall make public announcement of each particular reactor project it considers technically desirable for construction, and shall set reasonable dates for submission, approval of the proposal and negotiation of the basis of the arrangement, and commencement of construction.” SEC. 110. GAS-COOLED POWER REACTOR. (a) The appropriation authorized in section 101 of this Act for project 59-d-10, gas-cooled power reactor, shall also be alternatively available for a cooperative program under which the Commis sion may enter into a cooperative arrangement with public, private, or cooperative power groups, equipment manufacturers or others under which the organization will design, construct, and operate the reactor at its own expense and the Commission will contribute to the cost of research and development programs and other assistance in accordance with the terms and conditions of the Commission's power reactor demonstration program, including review by the Joint Committee of the basis of the proposed arrangement in accordance with subsection 111 (b) of Public Law 85-162. Within thirty days after the President signs the Act making available to the Commission appropriations for this project, the Commission shall make a public announcement requesting proposals for such a cooperative program. In the event the Commission does not receive a proposal within sixty days after such announcement, or if the Commission receives proposals within such sixty-day period but is unable to negotiate a satisfactory basis of the arrangement for submission to the Joint Committee within ninety days thereafter, the Commission shall proceed with project 59-d-10 in accordance with subsections (b), (c), and (d) of this section. (b) In the event the Commission does not receive a satisfactory proposal under subsection (a) of this section, the Commission shall proceed with the design, engineering and construction under contract, as soon as practicable, of the prototype power reactor facility authorized by Section 101 for project 59-d-10 at an installation operated by or on behalf of the Commission, and the electric energy generated shall be used by the Commission in connection with the operation of such installation. (c) In the conduct of the work under this section, the Commission is authorized to obtain the participation of private, cooperative, or public power organizations to the fullest extent consistent with the Commission direction of the project ownership of the reactor, and utilization of the electric energy generated. (d) The power reactor facility constructed shall be operated by, or under contract with, the Commission, for such period of time as the Commission determines to be advisable for research and development purposes and for such additional period as the Commission may determine to be necessary for national defense purposes. Upon the expiration of such period the Commission may offer the reactor and its appurtenances for sale to any public, private, or cooperative power group at a price to reflect appropriate depreciation but not to include construction costs assignable to research and development, or the Commission may dismantle the reactor and its appurtenances. (e) Notwithstanding the provisions of subsection (a), if the Commission determines, at any time within sixty days after the announcement provided for in subsection (a) that (i) any public, private, or cooperative power group, equipment manufacturer, or other persons or organization has designed and is ready to construct and operate such a reactor at its own expense and not in conjunction with any cooperative arrangement with the Commission and (ii) the purposes of the gas-cooled reactor project 59-d-10 as a part of the Commission's reactordevelopment program would be substantially fulfilled by the construction and operation of the reactor by such group, equipment manufacturer, or other person or organization, then the Commission shall not be obligated to proceed with such project under this section. SEC. 111. DEsign and FEASIBILITY STUDIES. The Commission shall proceed with sufficient design work, together with appropriate engineering and development work, necessary for the Commission to begin construction as soon as practicable after authorization by the Congress of the type of reactor authorized by project 59-d-12. The Commission shall submit to the Joint Committee on Atomic Energy reports on the studies for projects 59-d-12 and 59-d-14 by April 1, 1959, and for project 59–d-13 by May 1, 1959. SEC. 112. INCREASE IN PRIOR PROJECT AUTHORIZATIONS.-(a) Public Law 84-506 is amended by striking out the figure "$2,140,000" for project 57-h-2, physics building, Brookhaven National Laboratory, and substituting therefor the figure "$3,040,000.” (b) Public Law 85-162 is amended by striking out the figure "$4,000,000" for project 58-e-7, waste calcination system, National Reactor Testing Station, Idaho, and substituting therefor the figure “$6,000,000”. And the Senate agree to the same. STATEMENT OF THE MANAGERS ON THE PART OF THE HOUSE The managers on the part of the House at the conference on the disagreeing votes of the two Houses on the amendment of the Senate to the bill (H. R. 13121) to authorize appropriations for the Atomic Energy Commission in accordance with section 261 of the Atomic Energy Act of 1954, as amended, and for other purposes, submit the following statement in explanation of the effect of the action agreed upon by the conferees and recommended in the accompanying conference report: The Senate struck out all of the House bill after the enacting clause and inserted a substitute amendment. The committee of conference has agreed to a substitute for both the House bill and the Senate amendment. Except for technical, clarifying, and conforming changes, the following statement explains the differences between the House bill and the substitute agreed to in conference. SECTION 106 The House approved the bill in the same form recommended by the Joint Committee on Atomic Energy. The Senate, in substance, adopted amendments to sections 106 and 110 of the identical Senate bill, S. 4051, before proceeding to consideration of the House bill, striking out all after the enacting clause, and substituting the Senate version, as amended. The Senate amendments to section 106 affected the authority of the Commission to start a new project for which an estimate was not included in the act from available funds in the field of atomic weapons and production of special nuclear materials after making certain certifications. Under the language of the bill as reported out by the Joint Committee (and as contained in prior AEC authorization bills since 1955), the Commission had authority to start such a new project when it made the certifications required by subsections (a), (b), and (c) of section 110. By the Senate amendments the Department of Defense must join in certifications (a) and (b); namely, that the project is essential to the common defense and security, and that it is required by changes in weapon characteristics or weapon logistic operations. The committee of conference decided, in substance, to approve the House version rather than the Senate version. Representatives of the Atomic Energy Commission and the Secretary of Defense were consulted. The Atomic Energy Commission strongly opposed the Senate amendments on the grounds that the amendments would give the Secretary of Defense a voice as to the construction of Commission facilities. Although it was recognized that the facilities would, as a general rule, be constructed only after the Department of Defense should generate a requirement for additional special nuclear material or atomic weapons facilities, nevertheless, the facilities would be constructed and operated under contract to the Commission. The Commission has not in past years used the substitution authority under section 106 but, as a matter of principle, the conferees concluded that the Commission should make the final decision as to its facilities and the Department of Defense as to its facilities, without either intruding into the field of the other. SECTION 110 The House approved section 110 as reported out by the Joint Committee on Atomic Energy. The Senate, in substance, amended section 110 in two respects. First, it added a clause (2) to subsection 110 (a) to read as follows: (2) If the Commission determines, at any time within sixty days after the announcement provided for in clause (1) that (i) any public, private, or cooperative power group, equipment manufacturer, or other person or organization is prepared and proposes to design, construct, and operate such a reactor at such person's or organization's own expense and not in conjunction with any cooperative arrangement with the Commission and (ii) the purposes of the Commission's reactordevelopment program would be substantially fulfilled by the construction of the reactor by such person or organization, then the Commission shall not be obligated to proceed with such project under clause (1). The stated purpose of this amendment was to provide that the Commission should not be obligated to proceed with project 59-d-10 either as a Governmentfinanced project or as a cooperative arrangement with industry if private industry should construct a reactor at its own expense as an independent project which would fulfill the purposes of the Commission's reactor-development program. The committee of conference approved this amendment with certain language changes as a new subsection (e) rather than clause (2) of subsection (a) to read as follows: (e) Nothwithstanding the provisions of subsection (a), if the Commission determines, at any time within sixty days after the announcement provided for in subsection (a) that (i) any public, private, or cooperative power group, equipment manufacturer, or other person or organization has designed and is ready to construct and operate such a reactor at its own expense and not in conjunction with any cooperative arrangement with the Commission and (ii) the purposes of the gas-cooled reactor project 59-d-10 as a part of the Commission's reactor-development program would be substantially fulfilled by the construction and operation of the reactor by such group, equipment manufacturer or other person or organization, then the Commission shall not be obligated to proceed with such project under this section. The conference language, in effect, struck the words "is prepared and proposed to design" and inserted in lieu thereof the words "has designed and is ready to". By this means the committe of conference intended to emphasize that the proposer must be ready to move forward with the project under the time periods specified in the bill in order to prevent any further delay in the construction of an advanced gas-cooled power reactor. The committee of conference also inserted the words "gas-cooled reactor project 59-d-10 as a part of the" before the words "Commission's reactor-development program" in clause (ii). By this means the committee of conference agreed that the Commission must determine that the independent project would fulfill the purposes of the gas-cooled reactor project 59-d-10, as explained to the Joint Committee and industry, as a part of the Commission's reactor-development program, including reports of the Joint Committee in AEC authorizing bills. The independent project must substantially fulfill the same purposes as it would have if constructed under section 110. Finally, the conferees approved the insertion of the words "and operation" after the word "construction" in clause (ii) as indicated above. Through this means it was intended to indicate that information would be obtained which would fulfill the purposes of the Commission's program during the period of operation as well as during the construction of such an independent project. The committee of conference approved the amendment to subsection (d) of section 110 adopted in the Senate to provide that the reactor shall be operated for such periods of time as the Commission determines advisable for research and development purposes and necessary for national defense purposes, and that thereafter the Commission may offer the reactor and its appurtenances for sale (at a price to reflect appropriate depreciation but not to include construction costs assignable to research and development), or the Commission may dismantle the reactor and its appurtenances. The House version, as reported out by the Joint Committee, provided that the reactor would be dismantled after such periods plus the period of supplying electric energy to the Commission installation under section 110 (b). The Senate version of subsection 110 (d) which was approved by the committee of conference deleted the period of operation of the reactor for the purposes of subsection 110 (b) and added the alternative course to the Commission of selling the reactor at an appropriate price to a public, private or cooperative power group. CARL T. DURHAM, JAMES E. Van Zandt, Managers on the Part of the House. (The following comparison was submitted to the committee:) U. S. ATOMIC ENERGY COMMISSION Comparison of funds authorized by the Joint Committee on Atomic Energy, requested by the Atomic Energy Commission and provided in H. R. 13450 as passed by the House of Representatives, U. S. Congress |