Here is the text of an amendment introduced by Senator Domenici in May 2008. The idea was to provide incentives to Russia to accelerate downblending of its HEU. The amendment did not make it into the final legislation (H.R. 2642), but it shows the kind of thinking that is out there.
Sec. 2301. Incentives for Additional Downblending of Highly
Enriched Uranium by the Russian Federation. The USEC
Privatization Act (42 U.S.C. 2297h et seq.) is amended--
(1) in section 3102, by striking ``For purposes'' and
inserting ``Except as provided in section 3112A, for
purposes'';
(2) in section 3112(a), by striking ``The Secretary'' and
inserting ``Except as provided in section 3112A(d), the
Secretary''; and
(3) by inserting after section 3112 the following:
``SEC. 3112A. INCENTIVES FOR ADDITIONAL DOWNBLENDING OF
HIGHLY ENRICHED URANIUM BY THE RUSSIAN
FEDERATION.
``(a) Definitions.--In this section:
``(1) Completion of the russian heu agreement.--The term
`completion of the Russian HEU Agreement' means the
importation into the United States from the Russian
Federation pursuant to the Russian HEU Agreement of uranium
derived from the downblending of not less than 500 metric
tons of highly enriched uranium of weapons origin.
``(2) Downblending.--The term `downblending' means
processing highly enriched uranium into a uranium product in
any form in which the uranium contains less than 20 percent
uranium-235.
``(3) Highly enriched uranium.--The term `highly enriched
uranium' has the meaning given that term in section 3102(4).
``(4) Highly enriched uranium of weapons origin.--The term
`highly enriched uranium of weapons origin' means highly
enriched uranium that--
``(A) contains 90 percent or more uranium-235; and
``(B) is verified by the Secretary of Energy to be of
weapons origin.
``(5) Low-enriched uranium.--The term `low-enriched
uranium' means a uranium product in any form, including
uranium hexafluoride (UF<INF>6</INF>) and uranium oxide
(UO<INF>2</INF>), in which the uranium contains less than 20
percent uranium-235, without regard to whether the uranium is incorporated into fuel rods or complete fuel assemblies.
``(6) Russian heu agreement.--The term `Russian HEU
Agreement' has the meaning given that term in section
3102(11).
``(7) Uranium-235.--The term `uranium-235' means the
isotope \235\U.
``(b) Statement of Policy.--It is the policy of the United
States to support the continued downblending of highly
enriched uranium of weapons origin in the Russian Federation
in order to protect the essential security interests of the
United States with respect to the nonproliferation of nuclear weapons.
``(c) Promotion of Downblending of Russian Highly Enriched
Uranium.--
``(1) Incentives for the completion of the russian heu
agreement.--Prior to the completion of the Russian HEU
Agreement, the importation into the United States of low-
enriched uranium, including low-enriched uranium obtained
under contracts for separative work units, that is produced
in the Russian Federation and is not imported pursuant to the Russian HEU Agreement may not exceed the following amounts:
``(A) In each of the calendar years 2008 and 2009, not more
than 22,500 kilograms.
``(B) In each of the calendar years 2010 and 2011, not more
than 45,000 kilograms.
``(C) In calendar year 2012 and each calendar year
thereafter through the calendar year of the completion of the Russian HEU Agreement, not more than 67,500 kilograms.
``(2) Incentives to continue downblending russian highly
enriched uranium after the completion of the russian heu
agreement.--
``(A) In general.--In each calendar year beginning after
the calendar year of the completion of the Russian HEU
Agreement and before the termination date described in
paragraph (8), the importation into the United States of low- enriched uranium, including low-enriched uranium obtained
under contracts for separative work units, that is produced
in the Russian Federation, whether or not such low-enriched
uranium is derived from highly enriched uranium of weapons
origin, may not exceed 400,000 kilograms.
``(B) Additional imports.--
``(i) In general.--In addition to the amount authorized to
be imported under subparagraph (A) and except as provided in
clause (ii), 20 kilograms of low-enriched uranium, whether or not such low-enriched uranium is derived from highly enriched uranium of weapons origin, may be imported for every 3
kilograms of Russian highly enriched uranium of weapons
origin that was downblended in the preceding calendar year,
subject to the verification of the Secretary of Energy under
paragraph (10).
``(ii) Maximum annual imports.--Not more than 200,000
kilograms of low-enriched uranium may be imported in a
calendar year under clause (i).
``(3) Exception with respect to initial cores.--The import
limitations described in paragraphs (1) and (2) shall not
apply to low-enriched uranium produced in the Russian
Federation that is imported into the United States for use in the initial core of a new nuclear reactor.
``(4) Annual adjustment.--
``(A) In general.--Beginning in the second calendar year
after the calendar year of the completion of the Russian HEU
Agreement, the Secretary of Energy shall increase or decrease the amount of low-enriched uranium that may be imported in a
calendar year under paragraph (2) (including the amount of
low-enriched uranium that may be imported for each kilogram
of highly enriched uranium downblended under paragraph
(2)(B)(i)) by a percentage equal to the percentage increase
or decrease, as the case may be, in the average amount of
uranium loaded into nuclear power reactors in the United
States in the most recent 3-calendar-year period for which
data are available, as reported by the Energy Information
Administration of the Department of Energy, compared to the
average amount of uranium loaded into such reactors during
the 3-calendar-year period beginning on January 1, 2011, as
reported by the Energy Information Administration.
``(B) Publication of adjustments.--As soon as practicable,
but not later than July 31 of each calendar year, the
Secretary of Energy shall publish in the Federal Register the amount of low-enriched uranium that may be imported in the
current calendar year after the adjustment under subparagraph (A).
``(5) Authority for additional adjustment.--In addition to
the annual adjustment under paragraph (4), the Secretary of
Commerce may adjust the import limitations under paragraph
(2)(A) for a calendar year if the Secretary--
``(A) in consultation with the Secretary of Energy,
determines that the available supply of low-enriched uranium
from the Russian Federation and the available stockpiles of
uranium of the Department of Energy are insufficient to meet
demand in the United States in the following calendar year;
and
``(B) notifies Congress of the adjustment not less than 45
days before making the adjustment.
``(6) Equivalent quantities of low-enriched uranium
imports.--
``(A) In general.--The import limitations described in
paragraphs (1) and (2) are expressed in terms of uranium
containing 4.4 percent uranium-235 and a tails assay of 0.3
percent.
``(B) Adjustment for other uranium.--Imports of low-
enriched uranium under paragraphs (1) and (2) shall count
against the import limitations described in such paragraphs
in amounts calculated as the quantity of low-enriched uranium containing 4.4 percent uranium-235 necessary to equal the
total amount of uranium-235 contained in such imports.
``(7) Downblending of other highly enriched uranium.--
``(A) In general.--The downblending of highly enriched
uranium not of weapons origin may be counted for purposes of
paragraph (2)(B) or (8)(B), subject to verification under
paragraph (10), if the Secretary of Energy determines that
the highly enriched uranium to be downblended poses a risk to the national security of the United States.
``(B) Equivalent quantities of highly enriched uranium.--
For purposes of determining the additional low-enriched
uranium imports allowed under paragraph (2)(B) and for
purposes of paragraph (8)(B), highly enriched uranium not of
weapons origin downblended pursuant to subparagraph (A) shall count as downblended highly enriched uranium of weapons
origin in amounts calculated as the quantity of highly
enriched uranium containing 90 percent uranium-235 necessary
to equal the total amount of uranium-235 contained in the
highly enriched uranium not of weapons origin downblended
pursuant to subparagraph (A).
``(8) Termination of import restrictions after downblending
of an additional 300 metric tons of highly enriched
uranium.--The provisions of this subsection shall terminate
on the later of--
``(A) December 31, 2020; or
``(B) the date on which the Secretary of Energy certifies
to Congress that, after the completion of the Russian HEU
Agreement, not less than an additional 300 metric tons of
Russian highly enriched uranium of weapons origin have been
downblended.
``(9) Special rule if importation under russian heu
agreement terminates early.--Notwithstanding any other
provision of law, no low-enriched uranium produced in the
Russian Federation that is not derived from highly enriched
uranium of weapons origin, including low-enriched uranium
obtained under contracts for separative work units, may be
imported into the United States if, before the completion of
the Russian HEU Agreement, the Secretary of Energy determines that the Russian Federation has taken deliberate action to
disrupt or halt the importation into the United States of
low-enriched uranium under the Russian HEU Agreement.
``(10) Technical verifications by secretary of energy.--
``(A) In general.--The Secretary of Energy shall verify the
origin, quantity, and uranium-235 content of the highly
enriched uranium downblended for purposes of paragraphs
(2)(B), (7), and (8)(B).
``(B) Methods of verification.--In conducting the
verification required under subparagraph (A), the Secretary
of Energy shall employ the transparency measures provided for in the Russian HEU Agreement for monitoring the downblending
of Russian highly enriched uranium of weapons origin and such other methods as the Secretary determines appropriate.
``(11) Enforcement of import limitations.--The Secretary of
Commerce shall be responsible for enforcing the import
limitations imposed under this subsection and shall enforce
such import limitations in a manner that imposes a minimal
burden on the commercial nuclear industry.
``(12) Effect on other agreements.--
``(A) Russian heu agreement.--Nothing in this section shall
be construed to modify the terms of the Russian HEU
Agreement, including the provisions of the Agreement relating to the amount of low-enriched uranium that may be imported
into the United States.
``(B) Other agreements.--If a provision of any agreement
between the United States and the Russian Federation, other
than the Russian HEU Agreement, relating to the importation
of low-enriched uranium into the United States conflicts with a provision of this section, the provision of this section
shall supersede the provision of the agreement to the extent
of the conflict.
``(d) Downblending of Highly Enriched Uranium in the United
States.--The Secretary of Energy may sell uranium in the
jurisdiction of the Secretary, including downblended highly
enriched uranium, at fair market value to a licensed operator of a nuclear reactor in the United States--
``(1) in the event of a disruption in the nuclear fuel
supply in the United States; or
``(2) after a determination of the Secretary under
subsection (c)(9) that the Russian Federation has taken
deliberate action to disrupt or halt the importation into the United States of low-enriched uranium under the Russian HEU
Agreement.''.
(see Congressional Record)