MINUTES SENATE COMMITTEE ON NATURAL RESOURCES Tuesday, February 9, 1999 2:00 pm Senate Chamber ***** Pursuant to a notice posted in accordance with Senate Rule 11.11, a public hearing of the Senate Committee on Natural Resources was held on Tuesday, February 9, 1999 in the Senate Chamber at Austin, Texas. ***** MEMBERS PRESENT: MEMBERS ABSENT: Senator J.E. "Buster" Brown, Chair Senator Bill Ratliff Senator Kenneth Armbrister Senator Gonzalo Barrientos Senator Teel Bivins Senator Tom Haywood Senator Eddie Lucio, Jr. ***** The Chair called the meeting to order at 2:10 pm. There being a quorum present, the following business was transacted. Senator Lucio moved that the Minutes from the previous hearing be adopted. There being no objection, it was so ordered. The Chair noted that Lieutenant Governor Perry requested the Committee to provide a recommendation to the Senate Finance Committee as to whether the Texas Low-Level Radioactive Waste Disposal Authority should continue and, if so, what their role should be. The Chair duly noted that only invited testimony on the issue would be received by the Committee. The Chair reminded the witnesses that comments were to be focused on issues of: need for low-level radioactive waste disposal capacity in Texas; the need for continuation of the Authority; and what the Authority's role should be. Witnesses testifying on the issue are shown on the attached list and a brief summary of their testimony is as follows: Leigh Ing, TNRCC: TNRCC licenses disposal, while the Texas Department of Health licenses storage. Currently, 60,000 cubic feet of low-level radioactive waste is being stored statewide. The only low-level site (Chem-Nuclear) that will accept waste from Texas is located in Barnwell, South Carolina. The disposal fees from this company are helping to fund South Carolina school systems. Small quantities of low-level radioactive waste and NORM waste can be sent to the Envirocare site in Utah. One concern is that the Barnwel, S.C., site has closed down before, and it could happen again. Senator Armbrister questioned Ms. Ing about the issue of illegal dumping. Richard Ratliff, Texas Department of Health, Bureau of Radiation Control: The Bureau regulates low-level radioactive materials processors. Radioactive sources that are stored in sealed drums for future disposal could pose serious health consequences if they are improperly handled. "Having a low-level radioactive waste site for Texas' radioactive waste is needed to assure the health and safety of the general public and the environment," said Ratliff. James Carroll, Doug Bell, Lee Matthews, & Susan Jablonski; Low-Level Radioactive Waste Disposal Authority: Denial of the Sierra Blanca license was detrimental to the health and safety of all Texans. James Carroll questioned, "Should we have one site that can be managed and overseen, or over 900 sites that have it stored?" There are three approaches to disposal: above-ground, below-ground, and assured isolation. Texas is ultimately responsible for the waste it generates. The Authority thinks a public/private partnership is the right answer. The Authority would obtain and retain the license, and operations could be privatized. Authority's role would include: evaluation and design of the site. Then, contract with private entity for the building and operating, while the Authority has oversight responsibilities. DOE waste is a mixed component, both hazardous and radioactive, and have a longer- lived radio nuclides than the Compact waste. Time period for siting and licensing for disposal is 6.5 years. For assured isolation, the time period is four years. Compact language says "management and disposal." "Manage" includes broader spectrum and could include long-term storage such as assured isolation. Senator Bivins stated his concern regarding Texas' liability if the state fails to perform under the Compact. $53 million dollars has been spent to date for the siting and licensing functions, with no permit to show for it. Generators have paid a fee that has covered the costs to date. Balance in the fund at the end of fiscal year 98 was $9 million. Interest stays in the fund, but not all the money in the fund is appropriated to the Authority. Ken Kramer, Sierra Club: Legislature should avoid a major revamping of the LLRWDA this session, instead use the sunset review and interim study processes for making major recommendations for any changes to the Authority and its scope of work. There is no emergency need for disposal capacity, so no rush decisions should be made. Waste minimization techniques could be enhanced . This should be studied in greater detail. State policies need to be implemented to encourage the growing use of processing and compaction techniques to reduce the volume of low-level radioactive waste generated. Serious consideration should be given to assured isolation storage at the state's two nuclear power plants. Kramer called for the need to continue the Authority, but in a revised form: greater degree of public scrutiny (open records) and a higher level of assurance that Texas won't become dumping ground for DOE waste. The state is ultimately responsible for long-term monitoring and care. Need to change the make-up of the Authority's governing board - only public members instead of the restrictive categories for members and they need to be representative of the population of the state - culturally and geographically. Authority should hold the license, which will provide a higher level of assurance that a facility in Texas will not become the ultimate dumping ground for much higher volume DOE wastes. William Cottle, South Texas Project: Low-level radioactive waste is generated every day in the state. This is a Texas problem. Storage is not a substitute for disposal. Most temporary storage sites are not regulated or inspected. Cottle stated that he believes the Compact is specifically referring to disposal as opposed to storage. Modification of Texas' current process is to privatize the responsibility of obtaining a license and/or maintaining operations. Private companies are motivated to protect their investments. In-state disposal is less expensive than temporary storage or out of state disposal. Assurity bonds or other financial assurance could be provided to state to cover the issue of longevity of a company. Maurice "Bud" Norton of MD Anderson Cancer Center gave only technical information to the Committee. Bill Clayton, Envirocare: Supports assured isolation. State should hold license and contract operation and maintenance. With an open-bid process, the state should be able to re-bid if the operator is not performing well. Limit Texas site to Compact waste. Eliminate the "box" currently in statute. Shift the site characterization costs to the private sector. Mark Turnbough, Waste Control Specialists: Currently receive and dispose some exempt-level radioactive wastes. Currently accepting DOE waste. Private sector can offer valuable services to Texas - they can move more quickly and the costs will be less. The Compact refers to disposal, not assured isolation. WCS has no position on the continuing role of the Authority. Compact doesn't mention the Authority, just the host state's responsibilities. There being no further business, at 4:30 pm Senator Armbrister moved that the Committee stand recessed subject to the call of the Chair. ____________________________ _____________ ___________ Senator J.E. "Buster" Brown, Chair Carol McGarah , Clerk