SENATE DOCKET, NO. 1064        FILED ON: 1/17/2019

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1949

The Commonwealth of Massachusetts

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PRESENTED BY:

Viriato M. deMacedo

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To the Honorable Senate and House of Representatives of the Commonwealth of Massachusetts in General
Court assembled:

The undersigned legislators and/or citizens respectfully petition for the adoption of the accompanying bill:

An Act protecting the taxpayers of the Commonwealth.

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PETITION OF:

SENATE DOCKET, NO. 1064        FILED ON: 1/17/2019

SENATE  .  .  .  .  .  .  .  .  .  .  .  .  .  .  No. 1949

The Commonwealth of Massachusetts

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In the One Hundred and Ninety-First General Court
(2019-2020)

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An Act protecting the taxpayers of the Commonwealth.

Whereas, The deferred operation of this act would tend to defeat its purpose, which is to protect the taxpayers of the Commonwealth from financial responsibility for nuclear power plant decommissioning, therefore it is hereby declared to be an emergency law, necessary for the immediate preservation of the public peace, safety and convenience.
 

Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
 

SECTION 1. Chapter 23A of the General Laws as appearing in the 2016 Official Edition, is hereby amended by inserting the following new section:-

Section 68. Liability for nuclear power plant corporations

(a) Definitions. For the purposes of this section the following words shall have the following meaning: “Affiliate”, shall mean any business which directly or indirectly controls or is controlled by or is under direct or indirect common control of another business, including, but without limitation, any business with whom a business is merged, consolidated, de facto merged, merely continues the business of a prior business, maintains continuity of enterprise with a prior business, or which purchases all or substantially all of the assets of a business.

“Decommissioning”, shall mean closing and decontaminating a nuclear power station and nuclear power site, including dismantling the facility, removing all coolant and nuclear waste from the site, removing all nuclear fuel from the spent fuel pool and placing it in long term dry cask storage, releasing the site for unrestricted use, terminating the license, and receiving certification from the Department of Public Health that the site meets all state regulations regarding radiological release. Safstor is not decommissioning for the purposes of this section.

(b) It is hereby declared that lands exist in the municipalities of the commonwealth zoned for nuclear power generation that have not yet been completely decommissioned and released for unrestricted use; that each such area constitutes a serious problem, injurious and inimical to the safety, health, and welfare of the residents of the municipalities within which those lands lie; that each such area constitutes an economic liability, substantially impairs or arrests the sound growth of these municipalities, and inhibits the economic well-being of the commonwealth; that the continued existence of said lands decreases the value of private investments and threatens sources of public revenue; that redevelopment of each such area in accordance with an economic development plan for the benefit of these municipalities is necessary to retain existing industries, and attract new industries, and promote the sound economic growth of said municipalities; that the prompt decommissioning and release for unrestricted use of these parcels will be of tangible economic benefit; and for this reason, that the prompt decommissioning and release for unrestricted use of these parcels may be regulated by wholesome and reasonable orders, laws and directions for the good and welfare of the municipality and of this commonwealth.

(c) A sale, lease, exchange, or other disposition of assets of any corporation, its successor, or its affiliate, which holds lands currently or previously subject to license by the United States Nuclear Regulatory Commission, requires approval of the corporation’s shareholders if the disposition would leave the corporation without a significant continuing business activity. If said corporation retains a business activity that represented at least 25 percent of total assets at the end of the most recently completed fiscal year, and 25 percent of either income from continuing operations before taxes or revenues from continuing operations that fiscal year said corporation will be deemed to have retained a significant continuing business activity.

(d) When a disposition of assets becomes effective such that a corporation or its affiliate, which holds lands currently or previously subject to license by the United States Nuclear Regulatory Commission, is not deemed to have retained a significant continuing business activity as described in subsection (c), all liabilities of said corporation making the disposition of assets are vested in the acquiring corporation or its affiliate without reversion or impairment.

(e) When a disposition of assets to shareholders of a corporation or its affiliate, which holds lands currently or previously subject to license by the United States Nuclear Regulatory Commission, becomes effective such that said corporation or its affiliate is not deemed to have retained a significant continuing business activity as described in subsection (c), all liabilities of the corporation making the disposition of assets are vested in the shareholders of the corporation or its affiliate without reversion or impairment.

SECTION 2. Section 5K of Chapter 111 of the General Laws as so appearing is hereby amended by inserting the following subsections:-

(I) Upon the United States Nuclear Regulatory Commission’s termination of the operating license for any nuclear generator located in the commonwealth no portion of the lands previously subject to said license shall be sold, transferred, leased, or considered fit for unrestricted lease until: (i) The level of residual radioactivity throughout the released portion of the site is as low as reasonably achievable as defined in 10 CFR 20.1003 and in any event is less than 10 millirem per year for all pathways and that the exposure for all drinking water pathways is less than 4 millirem per year; (ii) The department has certified that the party liable for lands previously so licensed has met the obligations outline in paragraph (i) of this subsection.

(J) Upon the United States Nuclear Regulatory Commission’s termination of the operating license for any nuclear generator located in the Commonwealth, the department is hereby authorized to make an assessment against any corporation, its successor, or its affiliate as defined in MGL C.23A§60(a), which holds lands previously subject to license by the United States Nuclear Regulatory Commission in an amount equal to the costs incurred in the prior fiscal year by the department's radiation control program in the performance of its duties under subsection (I) of this section. The department is hereby further authorized to make a collection, based on that assessment, of monies from said corporations to defray the cost of such activities. The department shall send notice of its assessment to the corporation, its successor, or its affiliate as defined in MGL C.23A§60(a)  against which the assessment is made, and said corporation, its successor, or its affiliate as defined in MGL C.23A§60(a) shall pay such assessment within 30 days of the notice of the assessment. If a company subject to assessment under this section fails to pay the assessment within 30 days of the notice of the assessment, the department may refer such matter to the department of revenue for the collection of the assessment in accordance with applicable enforcement provisions pursuant to chapter 62C. The amount so collected shall be deposited into the General Fund and credited to the department.

(K) Upon the United States Nuclear Regulatory Commission’s termination of the operating license for any nuclear generator located in the Commonwealth, in the event the lands previously subject to that license to not meet the criteria established in subsection (I) of this section, the department is hereby authorized to make an assessment against any corporation, its successor, or its affiliate as defined in MGL C.23A§60(a), which holds lands previously subject to license by the United States Nuclear Regulatory Commission in an amount equal to the estimated cost of remediation of the subject lands to said standard. The department is hereby further authorized to make a collection, based on that assessment, of monies from said corporations to be held in trust against performance of the required site remediation. The department shall send notice of its assessment to the corporation, its successor, or its affiliate as defined in MGL C.23A§60(a)  against which the assessment is made, and said corporation, its successor, or its affiliate as defined in MGL C.23A§60(a) shall pay such assessment within 30 days of the notice of the assessment. If a company subject to assessment under this section fails to pay the assessment within 30 days of the notice of the assessment, the department may refer such matter to the department of revenue for the collection of the assessment in accordance with applicable enforcement provisions pursuant to chapter 62C. The amount so collected shall be held in trust against the remediation of said lands.

(L) Nothing in this section shall be construed to touch upon spent nuclear fuel held in long term dry cask storage and subject to continuing licensure by the United States Nuclear Regulatory Commission.