
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 42USC2297h-10]

 
                 TITLE 42--THE PUBLIC HEALTH AND WELFARE
 
          CHAPTER 23--DEVELOPMENT AND CONTROL OF ATOMIC ENERGY
 
            Division B--United States Enrichment Corporation
 
   SUBCHAPTER VIII--UNITED STATES ENRICHMENT CORPORATION PRIVATIZATION
 
Sec. 2297h-10. Uranium transfers and sales


(a) Transfers and sales by Secretary

    The Secretary shall not provide enrichment services or transfer or 
sell any uranium (including natural uranium concentrates, natural 
uranium hexafluoride, or enriched uranium in any form) to any person 
except as consistent with this section.

(b) Russian HEU

    (1) On or before December 31, 1996, the United States Executive 
Agent under the Russian HEU Agreement shall transfer to the Secretary 
without charge title to an amount of uranium hexafluoride equivalent to 
the natural uranium component of low-enriched uranium derived from at 
least 18 metric tons of highly enriched uranium purchased from the 
Russian Executive Agent under the Russian HEU Agreement. The quantity of 
such uranium hexafluoride delivered to the Secretary shall be based on a 
tails assay of 0.30 U\235\. Uranium hexafluoride transferred to the 
Secretary pursuant to this paragraph shall be deemed under United States 
law for all purposes to be of Russian origin.
    (2) Within 7 years of April 26, 1996, the Secretary shall sell, and 
receive payment for, the uranium hexafluoride transferred to the 
Secretary pursuant to paragraph (1). Such uranium hexafluoride shall be 
sold--
        (A) at any time for use in the United States for the purpose of 
    overfeeding;
        (B) at any time for end use outside the United States;
        (C) in 1995 and 1996 to the Russian Executive Agent at the 
    purchase price for use in matched sales pursuant to the Suspension 
    Agreement; or,\1\
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    \1\ So in original.
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        (D) in calendar year 2001 for consumption by end users in the 
    United States not prior to January 1, 2002, in volumes not to exceed 
    3,000,000 pounds U<INF>3</INF>O<INF>8</INF> equivalent per year.

    (3) With respect to all enriched uranium delivered to the United 
States Executive Agent under the Russian HEU Agreement on or after 
January 1, 1997, the United States Executive Agent shall, upon request 
of the Russian Executive Agent, enter into an agreement to deliver 
concurrently to the Russian Executive Agent an amount of uranium 
hexafluoride equivalent to the natural uranium component of such 
uranium. An agreement executed pursuant to a request of the Russian 
Executive Agent, as contemplated in this paragraph, may pertain to any 
deliveries due during any period remaining under the Russian HEU 
Agreement. The quantity of such uranium hexafluoride delivered to the 
Russian Executive Agent shall be based on a tails assay of 0.30 U\235\. 
Title to uranium hexafluoride delivered to the Russian Executive Agent 
pursuant to this paragraph shall transfer to the Russian Executive Agent 
upon delivery of such material to the Russian Executive Agent, with such 
delivery to take place at a North American facility designated by the 
Russian Executive Agent. Uranium hexafluoride delivered to the Russian 
Executive Agent pursuant to this paragraph shall be deemed under U.S. 
law for all purposes to be of Russian origin. Such uranium hexafluoride 
may be sold to any person or entity for delivery and use in the United 
States only as permitted in subsections (b)(5), (b)(6) and (b)(7) of 
this section.
    (4) In the event that the Russian Executive Agent does not exercise 
its right to enter into an agreement to take delivery of the natural 
uranium component of any low-enriched uranium, as contemplated in 
paragraph (3), within 90 days of the date such low-enriched uranium is 
delivered to the United States Executive Agent, or upon request of the 
Russian Executive Agent, then the United States Executive Agent shall 
engage an independent entity through a competitive selection process to 
auction an amount of uranium hexafluoride or U<INF>3</INF>O<INF>8</INF> 
(in the event that the conversion component of such hexafluoride has 
previously been sold) equivalent to the natural uranium component of 
such low-enriched uranium. An agreement executed pursuant to a request 
of the Russian Executive Agent, as contemplated in this paragraph, may 
pertain to any deliveries due during any period remaining under the 
Russian HEU Agreement. Such independent entity shall sell such uranium 
hexafluoride in one or more lots to any person or entity to maximize the 
proceeds from such sales, for disposition consistent with the 
limitations set forth in this subsection. The independent entity shall 
pay to the Russian Executive Agent the proceeds of any such auction less 
all reasonable transaction and other administrative costs. The quantity 
of such uranium hexafluoride auctioned shall be based on a tails assay 
of 0.30 U\235\. Title to uranium hexafluoride auctioned pursuant to this 
paragraph shall transfer to the buyer of such material upon delivery of 
such material to the buyer. Uranium hexafluoride auctioned pursuant to 
this paragraph shall be deemed under United States law for all purposes 
to be of Russian origin.
    (5) Except as provided in paragraphs (6) and (7), uranium 
hexafluoride delivered to the Russian Executive Agent under paragraph 
(3) or auctioned pursuant to paragraph (4), may not be delivered for 
consumption by end users in the United States either directly or 
indirectly prior to January 1, 1998, and thereafter only in accordance 
with the following schedule:

                 Annual Maximum Deliveries to End Users

                                                     (millions lbs. U<INF>3</IN
F>O<INF>8</INF>
                                                         equivalent)

    Year:
  1998............................................                   2
  1999............................................                   4
  2000............................................                   6
  2001............................................                   8
  2002............................................                  10
  2003............................................                  12
  2004............................................                  14
  2005............................................                  16
  2006............................................                  17
  2007............................................                  18
  2008............................................                  19
  2009 and each year thereafter...................                   20.


    (6) Uranium hexafluoride delivered to the Russian Executive Agent 
under paragraph (3) or auctioned pursuant to paragraph (4) may be sold 
at any time as Russian-origin natural uranium in a matched sale pursuant 
to the Suspension Agreement, and in such case shall not be counted 
against the annual maximum deliveries set forth in paragraph (5).
    (7) Uranium hexafluoride delivered to the Russian Executive Agent 
under paragraph (3) or auctioned pursuant to paragraph (4) may be sold 
at any time for use in the United States for the purpose of overfeeding 
in the operations of enrichment facilities.
    (8) Nothing in this subsection (b) shall restrict the sale of the 
conversion component of such uranium hexafluoride.
    (9) The Secretary of Commerce shall have responsibility for the 
administration and enforcement of the limitations set forth in this 
subsection. The Secretary of Commerce may require any person to provide 
any certifications, information, or take any action that may be 
necessary to enforce these limitations. The United States Customs 
Service shall maintain and provide any information required by the 
Secretary of Commerce and shall take any action requested by the 
Secretary of Commerce which is necessary for the administration and 
enforcement of the uranium delivery limitations set forth in this 
section.
    (10) The President shall monitor the actions of the United States 
Executive Agent under the Russian HEU Agreement and shall report to the 
Congress not later than December 31 of each year on the effect the low-
enriched uranium delivered under the Russian HEU Agreement is having on 
the domestic uranium mining, conversion, and enrichment industries, and 
the operation of the gaseous diffusion plants. Such report shall include 
a description of actions taken or proposed to be taken by the President 
to prevent or mitigate any material adverse impact on such industries or 
any loss of employment at the gaseous diffusion plants as a result of 
the Russian HEU Agreement.

(c) Transfers to Corporation

    (1) The Secretary shall transfer to the Corporation without charge 
up to 50 metric tons of enriched uranium and up to 7,000 metric tons of 
natural uranium from the Department of Energy's stockpile, subject to 
the restrictions in subsection (c)(2) of this section.
    (2) The Corporation shall not deliver for commercial end use in the 
United States--
        (A) any of the uranium transferred under this subsection before 
    January 1, 1998;
        (B) more than 10 percent of the uranium (by uranium hexafluoride 
    equivalent content) transferred under this subsection or more than 
    4,000,000 pounds, whichever is less, in any calendar year after 
    1997; or
        (C) more than 800,000 separative work units contained in low-
    enriched uranium transferred under this subsection in any calendar 
    year.

(d) Inventory sales

    (1) In addition to the transfers authorized under subsections (c) 
and (e) of this section, the Secretary may, from time to time, sell 
natural and low-enriched uranium (including low-enriched uranium derived 
from highly enriched uranium) from the Department of Energy's stockpile.
    (2) Except as provided in subsections (b), (c), and (e) of this 
section, no sale or transfer of natural or low-enriched uranium shall be 
made unless--
        (A) the President determines that the material is not necessary 
    for national security needs,
        (B) the Secretary determines that the sale of the material will 
    not have an adverse material impact on the domestic uranium mining, 
    conversion, or enrichment industry, taking into account the sales of 
    uranium under the Russian HEU Agreement and the Suspension 
    Agreement, and
        (C) the price paid to the Secretary will not be less than the 
    fair market value of the material.

(e) Government transfers

    Notwithstanding subsection (d)(2) of this section, the Secretary may 
transfer or sell enriched uranium--
        (1) to a Federal agency if the material is transferred for the 
    use of the receiving agency without any resale or transfer to 
    another entity and the material does not meet commercial 
    specifications;
        (2) to any person for national security purposes, as determined 
    by the Secretary; or
        (3) to any State or local agency or nonprofit, charitable, or 
    educational institution for use other than the generation of 
    electricity for commercial use.

(f) Savings provision

    Nothing in this subchapter shall be read to modify the terms of the 
Russian HEU Agreement.

(Pub. L. 104-134, title III, Sec. 3112, Apr. 26, 1996, 110 Stat. 1321-
344.)

                          Codification

    Section was enacted as part of the USEC Privatization Act and also 
as part of the Omnibus Consolidated Rescissions and Appropriations Act 
of 1996, and not as part of the Atomic Energy Act of 1954 which 
comprises this chapter.
