Current through all regulations passed and filed through March 18, 2024
(A) Prior to the
director issuing a radioactive materials license:
(1) Each applicant for a specific license or
license renewal authorizing the possession and use of unsealed radioactive
material of half-life greater than one hundred twenty days and in quantities
exceeding ten thousand times the applicable quantities set forth in appendix A
to this rule shall submit a decommissioning funding plan as described in
paragraph (D) of this rule. The decommissioning funding plan must also be
submitted when a combination of radionuclides is involved if R divided by ten
thousand is greater than one, where R is defined here as the sum of the ratios
of the quantity of each radionuclide to the applicable value in appendix A to
this rule.
(2) Each applicant for a
specific license or license renewal authorizing the possession and use of
sealed sources or plated foils of half-life greater than one hundred twenty
days and in quantities exceeding one trillion times the applicable quantities
of appendix A to this rule, shall submit a decommissioning funding plan as
described in paragraph (D) of this rule. The decommissioning funding plan must
also be submitted when a combination of radionuclides is involved if R divided
by one trillion is greater than one, where R is defined here as the sum of the
ratios of the quantity of each radionuclide to the applicable value in appendix
A to this rule.
(B)
Prior to the director issuing a radioactive materials license, each applicant
for a specific license or license renewal authorizing possession and use of
radioactive material of half-life greater than one hundred twenty days and in
quantities specified in paragraph (C) of this rule shall either:
(1) Submit a decommissioning funding plan as
described in paragraph (D) of this rule; or
(2) Submit a certification that financial
assurance for decommissioning has been provided in the amount prescribed by
paragraph (C) of this rule using one of the methods described in paragraph (E)
of this rule. The applicant shall submit to the director, as part of the
certification, a signed original of the financial instrument obtained to
satisfy the requirements of paragraph (E) of this rule.
(C) Prior to the director issuing a
radioactive materials license, an applicant providing certification of
financial assurance for decommissioning as specified in paragraph (B)(2) of
this rule shall provide the certification in a monetary amount based upon the
quantity of licensed material specified as follows:
(1) Greater than one thousand but less than
or equal to ten thousand times the applicable quantities of appendix A to this
rule in unsealed form. For a combination of radionuclides, if R, as defined in
paragraph (A) of this rule, divided by one thousand is greater than one but R
divided by ten thousand is less than or equal to one, the sum of three hundred
thousand dollars.
(2) Greater than
ten billion but less than one trillion times the applicable quantities of
appendix A to this rule in sealed sources or plated foils. For a combination of
radionuclides, if R, as defined in paragraph (A) of this rule, divided by ten
billion is greater than one but R divided by one trillion is less than or equal
to one, the sum of one hundred fifty thousand dollars.
(D)
(1)
Each decommissioning funding plan must be submitted for review and approval and
must contain:
(a) A detailed cost estimate for
decommissioning, in an amount reflecting:
(i)
The cost of an independent contractor to perform all decommissioning
activities;
(ii) The cost of
meeting the criteria specified in paragraph (B) of rule
3701:1-38-22 of
the Administrative Code for unrestricted use, provided that, if the applicant
or licensee can demonstrate its ability to meet the provisions of paragraph (D)
of rule
3701:1-38-22 of
the Administrative Code, the cost estimate may be based on meeting this
criteria;
(iii) The volume of
onsite subsurface material containing residual radioactivity that will require
remediation to meet the criteria for license termination; and
(iv) An adequate contingency
factor.
(b)
Identification of and justification for using the key assumptions contained in
the decommissioning cost estimate;
(c) A description of the method of assuring
funds for decommissioning from paragraph (E) of this rule, including means for
adjusting cost estimates and associated funding levels periodically over the
life of the facility;
(d) A
certification by the licensee that financial assurance for decommissioning has
been provided in the amount of the cost estimate for decommissioning;
and
(e) A signed original of the
financial instrument obtained to satisfy the requirements of paragraph (E) of
this rule (unless a previously submitted and accepted financial instrument
continues to cover the cost estimate for decommissioning).
(2) At the time of license renewal and at
intervals not to exceed three years, the decommissioning funding plan must be
resubmitted with adjustments as necessary to account for the changes in costs
and the extent of contamination. If the amount of financial assurance will be
adjusted downward, this cannot be done until the updated decommissioning
funding plan is approved. The decommissioning funding plan must update the
information submitted with the original or prior approved plan, and must
specifically consider the effect of the following events on decommissioning
costs:
(a) Spills of radioactive material
producing additional residual radioactivity in onsite subsurface
material;
(b) Waste inventory
increasing above the amount previously estimated;
(c) Waste disposal costs increasing above the
amount previously estimated;
(d)
Facility modifications;
(e) Changes
in authorized possession limits;
(f) Actual remediation costs that exceed the
previous cost estimate;
(g) Onsite
disposal; and
(h) Use of a settling
pond.
(E)
Financial assurance for decommissioning, either by a decommissioning funding
plan or certification of financial assurance, shall be provided by the licensee
and approved by the director prior to the issuance of the license and shall be
provided by one or more of the following methods:
(1) Prepayment by depositing into an account
segregated from licensee assets and outside the licensee's administrative
control, cash or liquid assets such that the amount of funds will be sufficient
to pay decommissioning costs. Prepayment may be in the form of a trust, escrow
account, government fund, certificate of deposit, or deposit of government
securities.
(2) Surety, insurance,
or other method in accordance with paragraph (F) of this rule, that guarantees
that decommissioning costs will be paid. A surety method may be in the form of
a surety bond, letter of credit, or line of credit. A guarantee by the
applicant or licensee may not be used in combination with any other financial
methods used to satisfy the requirements of this paragraph or in any situation
where the applicant or licensee has a parent company holding majority control
of the voting stock of the company.
(3) A parent company guarantee of funds for
decommissioning costs based on a financial test may be used provided that the
parent company meets the requirements specified in appendix B of this rule. A
parent company guarantee may not be used in combination with other financial
methods to satisfy the requirements of this rule.
(4) For commercial corporations that issue
bonds, a guarantee of funds by the applicant or licensee for decommissioning
costs based on a financial test may be used provided that the guarantee meets
the requirements of appendix C to this rule.
(5) For commercial companies that do not
issue bonds, a guarantee of funds for decommissioning costs may be used
provided that the guarantee meets the requirements of appendix D to this
rule.
(6) For nonprofit colleges,
universities, hospitals, or research and development entities, a guarantee of
funds for decommissioning costs may be used provided that the guarantee meets
the requirements of appendix E to this rule. The director may require proof of
nonprofit status.
(7) An external
sinking fund in which deposits are made at least annually, coupled with a
surety method or insurance, the value of which may decrease by the amount being
accumulated in the sinking fund. An external sinking fund is a fund established
and maintained by setting aside funds periodically in an account segregated
from licensee assets and outside the licensee's administrative control in which
the total amount of funds would be sufficient to pay decommissioning costs at
the time termination of operation is expected. An external sinking fund may be
in the form of a trust, escrow account, government fund, certificate of
deposit, or deposit of government securities. The surety or insurance
provisions must be as stated in paragraph (F) of this
rule.
(8) In the case of state or
local government licensee, a statement of intent containing a cost estimate for
decommissioning or an amount specified in paragraphs (C) (1) to (C)(2) of this rule, and
indicating that funds for decommissioning will be obtained when necessary. As
used in this rule, "state or local government licensee" does not include
government owned or assisted colleges, universities or hospitals.
(F) Any surety method or insurance
used to provide financial assurance for decommissioning shall be in the form of
instruments that contain language as provided in appendix F to this rule, and
shall contain the following conditions:
(1)
The surety method or insurance must be open-ended or, if written for a
specified term, such as five years, must be renewed automatically unless ninety
days or more prior to the renewal date, the issuer notifies the director, the
beneficiary, and the licensee of its intention not to renew. The surety method
or insurance must also provide that the full face amount be paid to the
beneficiary automatically prior to the expiration without proof of forfeiture
if the licensee fails to provide a replacement acceptable to the director
within thirty days after receipt of notification of cancellation.
(2) The surety method or insurance must be
payable to a trust established for decommissioning costs. The trustee and trust
must be acceptable to the director. An acceptable trustee includes an
appropriate state or federal government agency or an entity which has the
authority to act as a trustee and whose trust operations are regulated and
examined by a federal or state agency.
(3) The surety method or insurance must
remain in effect until the director has terminated the license.
(4) The surety company issuing the bond must,
at a minimum, be among those listed as acceptable in the "Circular 570" of the
United States department of the treasury (as in effect on the effective date
of this rule).
(G)
A licensee must notify the director by certified mail within ten business days
of the commencement of a voluntary or involuntary bankruptcy proceeding under
Title 11 of the United States Code (as amended April 20, 2005). A licensee who
fulfills the financial assurance requirements by obtaining a trust fund, surety
bond, or other acceptable financial assurance will be deemed to be without the
required financial assurance or liability coverage in the event of bankruptcy
of the trustee or issuing institution, or a suspension or revocation of the
authority of the trustee institution issuing the instrument. The licensee shall
establish other financial assurance within sixty days after such an
event.
(H) Financial assurance for
decommissioning, either by a decommissioning funding plan or certification of
financial assurance, that is provided by a contract of insurance shall not
include any arrangement that constitutes self-insurance. As used in this rule:
(1) "Insurance" means a contract issued or
underwritten by an insurance company, insurance service, or insurance
organization which is licensed to engage in the business of insurance in Ohio,
that binds the insurer to indemnify another against a specified loss in return
for premiums paid.
(2) "Self
insurance" means a contract of insurance issued either by the licensee or by an
insurer affiliated with or an affiliate of the licensee.
(3) "Affiliate of" or "affiliated with" means
that the licensee, either directly or indirectly, through one or more
intermediaries or subsidiaries, controls, is controlled by, or is under common
control with the insurer.
(4)
"Control", including "controlled by", and "under common control with" means the
possession, direct or indirect, of the power to direct or cause the direction
of the management and policies of a person, whether through the ownership of
voting securities, by contract, proxy, membership on the board, or
otherwise.
(I) Each
person licensed under this chapter, and rule
3701:1-38-02
of the Administrative Code as well as chapters containing rules regarding
manufacturing and distribution (Chapter 3701:1-46 of the Administrative Code),
industrial radiography (Chapter 3701:1-48 of the Administrative Code), well
logging Chapter 3701:1-49 of the Administrative Code), irradiators (Chapter
3701:1-52 of the Administrative Code), and medical use (Chapter 3701:1-58 of
the Administrative Code) promulgated pursuant to Chapter 3748. of the Revised
Code shall keep records of information important to the decommissioning of a
facility in an identified location until the site is released for unrestricted
use. Before licensed activities are transferred or assigned in accordance with
paragraph (B) of rule
3701:1-40-20
of the Administrative Code, a licensee shall transfer all records described in
this paragraph to the new licensee, which will be responsible for maintaining
these records until the license is terminated. If records important to the
decommissioning of a facility are kept for other purposes, reference to these
records and their locations may be used. As used in this rule, "information
important to the decommissioning of a facility" includes the following:
(1) Records of spills or other unusual
occurrences involving the spread of contamination in and around the facility,
equipment, or site. These records may be limited to instances when
contamination remains after any cleanup procedures or when there is reasonable
likelihood that contaminants may have spread to inaccessible areas as in the
case of possible seepage into porous materials such as concrete. These records
must include any known information on identification of involved radionuclides,
quantities, forms, and concentrations.
(2) As-built drawings and modifications of
structures and equipment in restricted areas where radioactive materials are
used or stored, and of locations of possible inaccessible contamination such as
buried pipes which may be subject to contamination. If required drawings are
referenced, each relevant document need not be indexed individually. If
drawings are not available, the licensee shall substitute appropriate records
of available information concerning these areas and locations.
(3) Except in the case of an area that
contains only a sealed source, provided the source has not leaked or no
contamination remains after any leak, or in the case of a byproduct or
accelerator produced material having only a half-life of less than sixty-five
days, a list contained in a single document and updated every two years, of the
following:
(a) All areas designated and
formerly designated restricted areas as defined in rule
3701:1-38-01 of the
Administrative Code.
(b) All areas
outside of restricted areas that require documentation under paragraph (I)(1)
of this rule.
(c) All areas outside
of restricted areas where current and previous wastes have been buried as
documented under rule
3701:1-38-20 of the
Administrative Code; and
(d) All
areas outside of restricted areas that contain material such that, if the
license expired, the licensee would be required to either decontaminate the
area to meet the criteria for decommissioning in rule
3701:1-38-22 of
the Administrative Code, or apply for approval for disposal under rule
3701:1-38-19 of
the Administrative Code.
(4) Records of the cost estimate performed
for the decommissioning funding plan or of the amount certified for
decommissioning, and records of the funding method used for assuring funds if
either a funding plan or certification is used.
Click to
view Appendix
Click to
view Appendix
Click to
view Appendix
Click to
view Appendix
Click to
view Appendix
Click to
view Appendix