Nuclear Reprocessing Amendments

25
79-6-401
79-6-405
79-6-1103
79-6-1106
79-6-1202
79-6-1501
79-6-1502
79-6-1503
79-6-1504
79-6-1505
79-6-1506
0
Nuclear Reprocessing Amendments
2026 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Derrin R. Owens
House Sponsor: Carl R. Albrecht
LONG TITLE
General Description:
This bill modifies provisions relating to energy development.
Highlighted Provisions:
This bill:
authorizes the Office of Energy Development (office) to coordinate with public and
private entities regarding nuclear fuel recycling facility development in the state;
authorizes the office to serve as a liaison between private entities and local communities
regarding nuclear fuel recycling facility development;
authorizes the Utah Energy Council (council) to provide strategic guidance and conduct
preliminary assessments for nuclear fuel recycling facility development;
requires the office to report on nuclear fuel recycling coordination activities as part of the
office's existing annual report;
requires the council to report on nuclear fuel recycling recommendations as part of the
council's existing annual report;
authorizes the office to pursue development of a Nuclear Lifecycle Innovation Campus
(campus);
requires the office to analyze state laws and rules for barriers to hosting a campus and
report findings; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
79-6-401
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapters 140, 159
79-6-405
Effective
05/06/26
, as last amended by Laws of Utah 2025, Chapter 258
79-6-1103
Effective
05/06/26
, as enacted by Laws of Utah 2025, Chapter 375
79-6-1106
Effective
05/06/26
, as enacted by Laws of Utah 2025, Chapter 375
79-6-1202
Effective
05/06/26
Repealed
07/01/27
, as enacted by Laws of Utah 2025,
Chapter 375
ENACTS:
79-6-1501
Effective
05/06/26
, Utah Code Annotated 1953
79-6-1502
Effective
05/06/26
, Utah Code Annotated 1953
79-6-1503
Effective
05/06/26
, Utah Code Annotated 1953
79-6-1504
Effective
05/06/26
, Utah Code Annotated 1953
79-6-1505
Effective
05/06/26
, Utah Code Annotated 1953
79-6-1506
Effective
05/06/26
, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section
79-6-401
is amended to read:
79-6-401
Effective
05/06/26
. Office of Energy Development -- Creation --
Director -- Purpose -- Rulemaking regarding confidential information -- Fees --
Transition for employees.
(1)
There is created an Office of Energy Development within the Department of Natural
Resources to be administered by a director.
(2)
(a)
The governor shall appoint the director with the advice and consent of the Senate.
(b)
The director shall:
(i)
have demonstrated the necessary administrative and professional ability through
education and experience to efficiently and effectively manage the office's affairs;
(ii)
serve at the pleasure of the governor; and
(iii)
report to the executive director on matters concerning the office as the executive
director may require.
(3)
The purposes of the office are to:
(a)
serve as the primary resource for advancing energy and mineral development in the
state;
(b)
implement:
(i)
the state energy policy under Section
79-6-301
; and
(ii)
the governor's energy and mineral development goals and objectives;
(c)
advance energy education, outreach, and research, including the creation of
elementary, higher education, and technical college energy education programs;
(d)
promote energy and mineral development workforce initiatives;
(e)
support collaborative research initiatives targeted at Utah-specific energy and
mineral development;
(f)
in coordination with the Department of Environmental Quality and other relevant
state agencies:
(i)
develop effective policy strategies to advocate for and protect the state's interests
relating to federal energy and environmental entities, programs, and regulations;
(ii)
participate in the federal environmental rulemaking process by:
(A)
advocating for positive reform of federal energy and environmental
regulations and permitting;
(B)
coordinating with other states to develop joint advocacy strategies; and
(C)
conducting other government relations efforts; and
(iii)
direct the funding of legal efforts to combat federal overreach and unreasonable
delays regarding energy and environmental permitting;
and
(g)
fund the development of detailed and accurate forecasts of the state's long-term
energy supply and demand, including a baseline projection of expected supply and
demand and analysis of potential alternative scenarios
.
; and
(h)
coordinate with public and private entities regarding nuclear fuel recycling facility
development in the state as provided in Part 15, Nuclear Energy Development.
(4)
By following the procedures and requirements of Title 63J, Chapter 5, Federal Funds
Procedures Act, the office may:
(a)
seek federal grants or loans;
(b)
seek to participate in federal programs; and
(c)
in accordance with applicable federal program guidelines, administer federally
funded state energy programs.
(5)
The office shall perform the duties required by Sections
11-42a-106
,
59-5-302
,
59-7-614.7
,
and
59-10-1029
, Part 5, Alternative Energy Development Tax Credit Act,
and Part 6, High Cost Infrastructure Development Tax Credit Act.
(6)
(a)
For purposes of administering this section, the office may make rules, by
following Title 63G, Chapter 3, Utah Administrative Rulemaking Act, to maintain as
confidential, and not as a public record, information that the office receives from any
source.
(b)
The office shall maintain information the office receives from any source at the level
of confidentiality assigned by the source.
(7)
The office may charge application, filing, and processing fees in amounts determined by
the office in accordance with Section
63J-1-504
as dedicated credits for performing
office duties described in this part.
(8)
(a)
An employee of the office on April 30, 2024, is an at-will employee.
(b)
For an employee described in Subsection
(8)(a)
who was employed by the office on
April 30, 2024, the employee shall have the same salary and benefit options an
employee had when the office was part of the office of the governor.
(c)
An employee of the office hired on or after May 1, 2024, shall receive compensation
as provided in Title 63A, Chapter 17, Utah State Personnel Management Act.
(9)
(a)
The office shall prepare a strategic energy plan to achieve the state's energy
policy, including:
(i)
technological and infrastructure innovation needed to meet future energy demand
including:
(A)
energy production technologies;
(B)
battery and storage technologies;
(C)
smart grid technologies;
(D)
energy efficiency technologies; and
(E)
any other developing energy technology, energy infrastructure planning, or
investments that will assist the state in meeting energy demand;
(ii)
the state's efficient use and development of:
(A)
energy resources, including natural gas, coal, clean coal, hydrogen, oil, oil
shale, and oil sands;
(B)
renewable energy resources, including geothermal, solar, hydrogen, wind,
biomass, biofuel, and hydroelectric;
(C)
nuclear power; and
(D)
earth minerals;
(iii)
areas of energy-related academic research;
(iv)
specific areas of workforce development necessary for an evolving energy
industry;
(v)
the development of partnerships with national laboratories; and
(vi)
a proposed state budget for economic development and investment.
(b)
In preparing the strategic energy plan, the office shall:
(i)
consult with stakeholders, including representatives from:
(A)
energy companies in the state;
(B)
private and public institutions of higher education within the state conducting
energy-related research; and
(C)
other state agencies; and
(ii)
use modeling and industry standard data to:
(A)
define the energy services required by a growing economy;
(B)
calculate energy needs;
(C)
develop state strategy for energy transportation, including transmission lines,
pipelines, and other infrastructure needs;
(D)
optimize investments to meet energy needs at the least cost and least risk
while meeting the policy outlined in this section;
(E)
address state needs and investments through a prospective 30-year period,
divided into five-year working plans; and
(F)
update the plan at least every two years.
(c)
The office shall report annually to the Public Utilities, Energy, and Technology
Interim Committee on or before the October interim meeting describing:
(i)
progress towards creation and implementation of the strategic energy plan;
(ii)
the plan's compliance with the state energy policy; and
(iii)
a proposed budget for the office to continue development of the strategic energy
plan.
(10)
The director shall:
(a)
annually review and propose updates to the state's energy policy, as contained in
Section
79-6-301
;
(b)
promote as the governor considers necessary:
(i)
the development of cost-effective energy resources both renewable and
nonrenewable; and
(ii)
educational programs, including programs supporting conservation and energy
efficiency measures;
(c)
coordinate across state agencies to assure consistency with state energy policy,
including:
(i)
working with the State Energy Program to promote access to federal assistance for
energy-related projects for state agencies and members of the public;
(ii)
working with the Division of Emergency Management to assist the governor in
carrying out the governor's energy emergency powers under Title 53, Chapter 2a,
Part 10, Energy Emergency Powers of the Governor Act;
(iii)
participating in the annual review of the energy emergency plan and the
maintenance of the energy emergency plan and a current list of contact persons
required by Section
53-2a-902
; and
(iv)
identifying and proposing measures necessary to facilitate low-income
consumers' access to energy services;
(d)
coordinate with the Division of Emergency Management ongoing activities designed
to test an energy emergency plan to ensure coordination and information sharing
among state agencies and political subdivisions in the state, public utilities and other
energy suppliers, and other relevant public sector persons as required by Sections
53-2a-902
,
53-2a-1004
,
53-2a-1008
, and
53-2a-1010
;
(e)
coordinate with requisite state agencies to study:
(i)
the creation of a centralized state repository for energy-related information;
(ii)
methods for streamlining state review and approval processes for energy-related
projects; and
(iii)
the development of multistate energy transmission and transportation
infrastructure;
(f)
coordinate energy-related regulatory processes within the state;
(g)
compile, and make available to the public, information about federal, state, and local
approval requirements for energy-related projects;
(h)
act as the state's advocate before federal and local authorities for energy-related
infrastructure projects or coordinate with the appropriate state agency; and
(i)
help promote the Division of Facilities Construction and Management's measures to
improve energy efficiency in state buildings.
(11)
The director has standing to testify on behalf of the governor at the Public Service
Commission created in Section
54-1-1
.
(12)
The office shall include best practices in developing actionable goals and
recommendations as part of preparing and updating every two years the strategic energy
plan required under Subsection
(9)
.
(13)
The office shall maintain and regularly update a public website that provides an
accessible dashboard of relevant metrics and reports and makes available the data used
to create the strategic energy plan.
Section 2. Section
79-6-405
is amended to read:
79-6-405
Effective
05/06/26
. Reports -- Study.
(1)
The director shall report annually to the Public Utilities, Energy, and Technology
Interim Committee.
(2)
The report required in Subsection
(1)
shall:
(a)
summarize the status and development of the state's energy resources;
(b)
summarize the activities and accomplishments of the office;
(c)
address the director's activities under this part;
(d)
recommend any energy-related executive or legislative action the director or office
considers beneficial to the state, including updates to the state energy policy under
Section
79-6-301
;
and
(e)
address long-term energy planning required under Subsection
79-6-401
(10).
79-6-401(9)
; and
(f)
address the office's activities under Part 15, Nuclear Energy Development.
(3)
(a)
The office shall study the impacts of the following on energy costs in the state:
(i)
Title 59, Chapter 33, Wind or Solar Electric Generation Facility Capacity Tax; and
(ii)
Part
11
14
, Energy Project Assessment.
(b)
The director shall report the office's findings regarding the study required under this
Subsection
(3)
to the Public Utilities, Energy, and Technology Interim Committee by
no later than the 2026 November interim meeting
of the Public Utilities, Energy, and
Technology Interim Committee
.
Section 3. Section
79-6-1103
is amended to read:
79-6-1103
Effective
05/06/26
. Council powers and duties.
(1)
The council shall:
(a)
coordinate and facilitate electrical energy project development, including:
(i)
site identification and permitting;
(ii)
early site preparation work;
(iii)
infrastructure improvements;
(iv)
project financing assistance; and
(v)
stakeholder coordination;
(b)
assess and facilitate electrical energy infrastructure development by:
(i)
evaluating infrastructure needs and opportunities;
(ii)
coordinating with transmission and pipeline developers;
(iii)
supporting utility planning efforts; and
(iv)
coordinating with federal agencies;
(c)
establish and implement:
(i)
strategic plans for energy development;
(ii)
frameworks for stakeholder engagement;
(iii)
processes for designating electrical energy development zones; and
(iv)
criteria for evaluating proposed electrical energy development zones;
(d)
review and approve:
(i)
research project proposals from the board; and
(ii)
funding allocations recommended by the board;
(e)
consult with state land use authorities regarding:
(i)
identification of state lands suitable for electrical energy development;
(ii)
designation of electrical energy development zones; and
(iii)
opportunities for coordinated development of electrical energy projects on state
lands;
(f)
administer the Electrical Energy Development Investment Fund created in Section
79-6-1105
;
(g)
make recommendations regarding electrical energy policy to state and local
governments;
(h)
identify and recommend solutions to barriers affecting electrical energy development;
(i)
assess and address potential public health impacts of electrical energy development
zones;
(j)
enter into contracts necessary to fulfill the council's duties;
(k)
report annually by October 31 to the Public Utilities, Energy, and Technology
Interim Committee and the Natural Resources, Agriculture, and Environment Interim
Committee regarding:
(i)
the council's activities;
(ii)
energy development opportunities;
(iii)
infrastructure needs;
(iv)
the status of designated electrical energy development zones;
(v)
recommendations for how the property tax differential revenue collected under
Section
79-6-1104
should be divided and distributed between the state, counties,
and municipalities;
(vi)
investment decisions made by the council;
and
(vii)
recommended policy changes;
and
(viii)
recommendations regarding nuclear fuel recycling facility development;
(l)
create and implement a strategic plan for a decommissioned asset, taking into
consideration:
(i)
the state energy policy, as provided in Section
79-6-301
;
(ii)
reliability of electrical generation; and
(iii)
economic viability;
(m)
establish policies and procedures for the management of a decommissioned asset;
(n)
administer contracts for the management and operations of a decommissioned asset;
(o)
enter into contracts necessary for the operation and management of a
decommissioned asset;
(p)
acquire, hold, and dispose of property related to a decommissioned asset;
(q)
select an operator for a decommissioned asset as provided in Section
79-6-1107
; and
(r)
report annually to the Legislative Management Committee regarding:
(i)
the status and progress of the asset transfer;
(ii)
operational and financial status of the asset under council control;
(iii)
status of the operator contract;
(iv)
environmental compliance status; and
(v)
recommendations for legislation.
(2)
The council shall negotiate with the applicable county or municipality regarding the
distribution of property tax differential revenue collected under Section
79-6-1104
.
(3)
Any portion of the property tax differential that is not distributed to the council shall be
distributed to the applicable county or municipality for impact mitigation and affordable
housing.
(4)
(a)
The portion of the property tax differential that is distributed to the municipality
shall be used for:
(i)
at least 10% of the total distribution shall be used for affordable housing
programs; and
(ii)
the remaining portion shall be used to mitigate impacts within the municipality
resulting from electrical energy development.
(b)
The portion of the property tax differential that is distributed to the county shall be
used for:
(i)
at least 10% of the total distribution shall be placed in a registered non-profit
established to administer housing programs on behalf of an association
representing 10 or more counties in the state; and
(ii)
the remaining portion shall be used to mitigate impacts within the county
resulting from electrical energy development.
(5)
If the council acquires a project entity asset under Section
11-13-318
, the council shall
enter into an agreement with the project entity that:
(a)
provides for the transfer, disposition, and future operation of the asset; and
(b)
ensures the transfer, disposition, and future operation does not interfere with the
project entity's ownership or operation of electrical generation facilities powered by
natural gas, hydrogen, or a combination of natural gas and hydrogen.
Section 4. Section
79-6-1106
is amended to read:
79-6-1106
Effective
05/06/26
. Authorized uses of fund money.
(1)
The council may use fund money to:
(a)
facilitate electrical energy infrastructure development within the state, including:
(i)
transmission and distribution lines;
(ii)
pipeline development;
(iii)
energy storage facilities;
(iv)
generation facilities;
(v)
related infrastructure; and
(vi)
to fund research, site selection, permitting, public outreach, and other activities
related to the development of nuclear energy;
(b)
provide matching funds for federal energy development grants;
(c)
support energy workforce development programs;
(d)
provide incentives for electrical energy development projects;
and
(e)
pay for administrative expenses related to the council's duties
.
; and
(f)
provide project financing and matching grants for entities participating in a campus
as described in Section
79-6-1504
.
(2)
Fund money derived from the radioactive waste facility expansion tax revenue collected
under Section
59-24-103.8
is prioritized for activities related to the development of
nuclear energy.
Section 5. Section
79-6-1202
is amended to read:
79-6-1202
Effective
05/06/26
Repealed
07/01/27
. Consortium duties.
(1)
The consortium shall:
(a)
provide knowledge and expertise to assist the office regarding nuclear energy
technologies, safety, and development; and
(b)
develop recommendations regarding policy pertaining to:
(i)
nuclear energy development in the state;
(ii)
incentives for nuclear energy related industries in the state including industrial
process applications and other beneficial uses of nuclear technology;
(iii)
partnerships between entities engaged in or supporting nuclear energy
development, including public and private sector collaboration; and
(iv)
the appropriate regulatory framework for nuclear energy development in the state.
(2)
The office, in consultation with the consortium and the Division of Waste Management
and Radiation Control, shall conduct a comprehensive analysis of the Utah Code and the
Utah Administrative Code to identify any provision that would inhibit the state's ability
to host a campus described in Section
79-6-1504
.
(3)
The analysis required under Subsection
(2)
shall evaluate barriers related to:
(a)
the siting and operation of facilities for the full nuclear fuel lifecycle;
(b)
the co-location of advanced manufacturing, data centers, or high-heat industrial
processes with nuclear power generation;
(c)
potential conflicts between state radiation control regulations in Title 19, Chapter 3,
Radiation Control Act, and federal Nuclear Regulatory Commission standards for
advanced reactor types; and
(d)
state-level permitting timelines that may impede deployment of advanced nuclear
technologies.
(4)
On or before October 31, 2026, the office shall submit a report to the Public Utilities,
Energy, and Technology Interim Committee that includes:
(a)
a summary of the findings from the analysis described in Subsection
(2)
;
(b)
specific recommendations for legislative or rule changes to remove identified
barriers; and
(c)
a proposed framework for creating a nuclear innovation zone to provide streamlined
regulatory oversight for a campus.
(5)
The office shall report annually on duties performed by the consortium on or before
November 30 to the Public Utilities, Energy, and Technology Interim Committee.
Section 6. Section
79-6-1501
is enacted to read:
15. Nuclear Energy Development
79-6-1501
Effective
05/06/26
. Definitions.
As used in this part:
(1)
"Campus" means the Nuclear Lifecycle Innovation Campus described in Section
79-6-1504
.
(2)
"Consortium" means the Nuclear Energy Consortium created in Section
79-6-1201
.
(3)
"Council" means the Utah Energy Council established in Section
79-6-1101
.
(4)
"Federal agency" means the United States Department of Energy, the United States
Nuclear Regulatory Commission, or another federal agency with jurisdiction over
nuclear fuel recycling facilities.
(5)
"Nuclear fuel recycling" means the processing of spent nuclear fuel to recover usable
materials.
(6)
"Nuclear fuel recycling facility" means a facility designed to process spent nuclear fuel
to recover reusable materials.
(7)
"Office" means the Office of Energy Development created in Section
79-6-401
.
(8)
(a)
"Preliminary assessment" means a general evaluation of potential opportunities
for nuclear fuel recycling facility development in the state, including:
(i)
identification of general geographic areas that may be suitable based on existing
infrastructure, transportation access, and land use compatibility;
(ii)
coordination with private entities, federal agencies, and local communities;
(iii)
evaluation of potential economic benefits; and
(iv)
identification of policy or regulatory barriers.
(b)
"Preliminary assessment" does not include:
(i)
site-specific engineering or design work;
(ii)
federal licensing activities or applications;
(iii)
detailed feasibility studies; or
(iv)
site characterization studies.
(9)
"Private entity" means a person engaged in or seeking to engage in the development of a
nuclear fuel recycling facility in the state.
Section 7. Section
79-6-1502
is enacted to read:
79-6-1502
Effective
05/06/26
. Nuclear fuel recycling facilitation -- Office duties.
(1)
The office shall facilitate nuclear fuel recycling facility development in the state by:
(a)
coordinating with private entities interested in developing nuclear fuel recycling
facilities in the state;
(b)
coordinating with federal agencies regarding:
(i)
federal regulatory requirements for nuclear fuel recycling facilities;
(ii)
federal funding opportunities for nuclear fuel recycling facility development; and
(iii)
potential partnerships between the state and federal agencies;
(c)
serving as a liaison between private entities and local communities regarding nuclear
fuel recycling facility development opportunities;
(d)
convening meetings and discussions among:
(i)
private entities;
(ii)
federal agencies;
(iii)
local governments; and
(iv)
other stakeholders;
(e)
promoting the state's advantages for nuclear fuel recycling facility development to
private entities and federal agencies; and
(f)
identifying and communicating to the Legislature, the council, and private entities
potential barriers to nuclear fuel recycling facility development in the state.
(2)
The office may enter into memoranda of understanding or other agreements with federal
agencies to facilitate coordination regarding nuclear fuel recycling facility development
in the state.
Section 8. Section
79-6-1503
is enacted to read:
79-6-1503
Effective
05/06/26
. Strategic planning and evaluation.
In consultation with the council and the consortium, the office shall:
(1)
provide strategic guidance regarding nuclear fuel recycling facility development in the
state;
(2)
conduct preliminary assessments of nuclear fuel recycling facility development
opportunities in the state; and
(3)
evaluate expressions of interest from private entities regarding nuclear fuel recycling
facility development in the state.
Section 9. Section
79-6-1504
is enacted to read:
79-6-1504
Effective
05/06/26
. Utah Nuclear Lifecycle Innovation Campus
authorization and scope.
(1)
The office, in consultation with relevant state agencies, may discuss with the United
States Department of Energy the potential for the state to host a campus as described in
the January 28, 2026, Request for Information issued by the United States Department
of Energy, entitled "Request for Information on Establishment of Nuclear Lifecycle
Innovation Campuses."
(2)
The scope of the campus may include:
(a)
facilities for fuel fabrication, uranium conversion and enrichment, and the
reprocessing of used nuclear fuel;
(b)
deployment of advanced modular reactors and micro-reactors;
(c)
development of secure, long-term pathways for used nuclear material consistent with
national security and environmental safety standards; and
(d)
co-located users and providers of campus products, such as isotopes, heat, or nuclear
supply chain manufacturing.
Section 10. Section
79-6-1505
is enacted to read:
79-6-1505
Effective
05/06/26
. Campus funding.
(1)
The council, in consultation with the office, may utilize the Electrical Energy
Development Investment Fund created in Section
79-6-1105
to provide project financing
and matching grants for entities participating in the campus.
(2)
Funding made available from the federal government for development of a campus in
Utah shall be deposited into the Electrical Energy Development Investment Fund
created in Section
79-6-1105
.
Section 11. Section
79-6-1506
is enacted to read:
79-6-1506
Effective
05/06/26
. Campus strategic priorities and reporting.
(1)
Development of a campus within the state, including the reprocessing and storage of
used nuclear fuel, presents an important opportunity to drive economic growth and
enhance American energy independence.
(2)
The office shall pursue the development of a campus and shall:
(a)
prioritize collaboration with technical colleges and universities in the state to create
nuclear-specific workforce programs;
(b)
engage willing communities to develop consent-based siting for campus elements;
(c)
develop a safe and efficient transportation strategy for campus materials, in
accordance with applicable state and federal regulation;
(d)
coordinate with industry to identify best practices for effective campus construction
and long-term operation;
(e)
utilize proliferation-resistant technologies and material handling strategies; and
(f)
coordinate closely with the United States Department of Energy, the United States
Nuclear Regulatory Commission, and the Department of Environmental Quality to
ensure the safe and efficient permitting and oversight of any campus.
(3)
The director shall report annually on or before October 1 to the Public Utilities, Energy,
and Technology Interim Committee on the status of the application to the United States
Department of Energy and any subsequent activities the office engages in associated
with or resulting from the application.
(4)
The director of the Division of Waste Management and Radiation Control shall oversee
the safe and efficient regulatory oversight of any campus under applicable federal
requirements and state laws and report annually to the Public Utilities, Energy, and
Technology Interim Committee on development and execution of regulatory
responsibilities associated with any campus located in the state.
Section 12.
Effective Date.
This bill takes effect on
May 6, 2026
.
3-6-26 12:08 PM