Nuclear waste deal raises eyebrows

State regulators have reached an agreement with EnergySolutions about paying for perpetual care of the nuclear-waste disposal facility in Tooele County — but one lawmaker said the agreement seemed to bypass the Legislature.

The exchange between Rep. James R. Gowans, D-Tooele, and Kent Bradford, chairman of the state's Radiation Control Board, came Tuesday afternoon at a meeting of Natural Resources, Agriculture and Environment Interim Committee.

Bradford said the board had reached an agreement with EnergySolutions on a fund to provide perpetual care of the disposal site near Clive, Tooele County. This fund is separate from one to take care of "closure" responsibilities, which would start about the time the facility closed and extend for 100 years. The perpetual care would begin at the end of the century and continue ensuring that radiation is not released from the site.

Last year, the board recommended that the perpetual-care fund payments be increased, to make sure it amounted to $13.6 million by the time EnergySolutions stopped using the site. With interest, the actual amount available starting a century later would be more than $90 million.

However, the 2006 Legislature did not approve the board's recommendation.

Since no action was taken, Bradford said, the board reached agreement with EnergySolutions to cover that amount.

EnergySolutions proposed to add a line item in its surety line of credit, which originally was set up to cover closure costs. The line item would guarantee payment of the $13.6 million for the perpetual-care fund whenever the facility closed.

The company would continue adding $400,000 yearly to the perpetual-care fund, which now amounts to $2.6 million. The surety, or letter of credit, would cover the amount between the cash and $13.6 million.

Bradford said that as the $400,000 yearly contributions continue, the amount of the letter of credit would be reduced commensurately.

"This is deemed to be a low-risk item for the state," he said.

When Rep. Glenn A. Donnelson, R-North Ogden, asked if the board had a date in mind for the site going out of business, Bradford replied, "We anticipate them to be in business for the foreseeable future."