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Bill

HR 7796

Economic Recovery for Nuclear-Affected Communities Act

119th Congress Introduced by Mike Lawler

Provides targeted fiscal tools (grants, tax credits, and a prize) to help nuclear-affected communities diversify economy and offset losses from stranded waste and plant decommissio

Referred to the Subcommittee on Economic Development, Public Buildings, and Emergency Management.
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Bill Summary · HR 7796

Overview

  • Bill: HR 7796
  • Session: 119th Congress
  • Title: Economic Recovery for Nuclear-Affected Communities Act
  • Purpose: To assist communities affected by stranded nuclear waste, and for other purposes.

Main purpose and intent

  • Provide targeted economic relief and development tools for communities hosting stranded nuclear waste or decommissioned/soon-to-be decommissioned civilian nuclear power plants.
  • Create a framework of incentives, grants, and a prize competition to stimulate alternative economic development and address fiscal and social impacts from stranded waste and plant decommissioning.
  • Expand and adapt existing federal support mechanisms (notably drawing on concepts from the Nuclear Waste Policy Act) to a broader set of affected communities.

Key provisions and changes

  1. Definitions and findings

    • Defines “nuclear affected community,” “stranded nuclear waste,” and “eligible civilian nuclear power plant.”
    • Identifies a broad list of states with impacted communities (e.g., CA, CT, FL, IL, KS, ME, MD, MA, MI, NY, OH, OR, VT, WI).
    • Reiterates that stranded waste acts as an obstacle to economic development and redevelopment of sites.
  2. Tax incentives for affected communities (Sec. 4)

    • Creates a new first-time homebuyer tax credit specifically for nuclear affected communities (office of the credit is renamed to reflect this purpose).
    • Modifies the existing first-time homebuyer credit provisions to apply within nuclear affected communities.
    • Effective date: Applies to purchases of principal residences after enactment.
  3. Innovative solutions prize competition (Sec. 5)

    • Establishes a prize competition within 180 days of enactment to reward proposals for alternatives to nuclear facilities, generating sites, and waste sites.
    • Creates an advisory prize board (at least 9 members) with expertise in nuclear waste, workforce, technology, and economic development; may include National Labs, nonprofits, and higher education institutions.
    • Award amount per winning proposal: $500,000.
    • Pilot program: Administrator to develop a pilot project based on the winning proposal; up to $500,000 from available funds may be used for this purpose.
    • After-award reporting: Administrator must provide a Congressional report detailing the winning proposal within 60 days of prize award.
  4. Economic impact grants for affected communities (Sec. 6)

    • Establishes a noncompetitive grant program within 120 days to provide grants to nuclear-affected communities.
    • Grants may be used to offset economic and social impacts of stranded waste and to support communities decommissioning plants with reduced tax revenue or assessed valuation.
    • Grant amounts: For each eligible plant, grants equal to $15 per kilogram of spent nuclear fuel stored at the site (consistent with impact assistance scaling under the Nuclear Waste Policy Act).
    • Frequency and limits: One grant per eligible unit of local government per fiscal year.
    • Alternative threshold-based grants: Provides additional grants based on lost tax revenue compared to the previous 5-year average, for a period of 8 years. Eligible communities must show a significant revenue decline:
      • Loss thresholds: minimum 20% decline in overall tax revenue; and at least 20% decline in nuclear-plant-related tax revenue relative to the 5-year average.
    • Grant amounts under this section: Capped at $10 million per year and scaled over an 8-year period (80% of losses in year 1 down to 10% in year 8, following a tiered schedule).
    • Documentation and eligibility: Requires appropriate applications and evidence of revenue loss.
  5. Authorization of appropriations (Sec. 7)

    • Overall funding: $110 million per year for fiscal years 2026–2031; $120 million per year for fiscal years 2032–2036.
    • No offsets; funds cannot be used to offset other federal programs.
    • Grant caps and limitations: No community may receive more than one grant per calendar year, and cannot receive grants under Secs. 6(b) and 6(c) in the same year.

Who would be affected

  • Nuclear affected communities: counties, cities, towns, school districts, and other local government units hosting stranded nuclear waste or decommissioned/decommissioning plants.
  • Eligible civilian nuclear power plants: sites with stranded waste or decommissioning activity.
  • Stakeholders benefiting from program funding: local governments, school districts, and related agencies within affected communities.
  • Broader policy and industry actors: potential participants in the prize competition and recipients of economic impact grants.

Procedural and timeline aspects

  • Referred to multiple committees: Transportation and Infrastructure; Financial Services; Ways and Means (for provisions within their jurisdiction).
  • Prize competition established within 180 days after enactment.
  • Economic impact grants program established within 120 days after enactment.
  • Pilot project funding available from the prize competition up to $500,000.
  • Annual appropriations authorized through 2036; no offsets permitted.

Potential impacts and considerations

  • Provides a structured set of fiscal tools to mitigate economic harm from stranded nuclear waste and plant decommissioning.
  • Aims to incentivize economic diversification and redevelopment of sites currently limited by waste storage concerns.
  • Creates a formal mechanism to quantify and compensate revenue losses, potentially stabilizing local budgets and tax bases.
  • The effectiveness depends on appropriation levels, timely administration, and the design of the prize competition and grant criteria.

Compiled from official sources — confirm details with the bill’s official record.

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