RECONCILIATION, APPROPRIATIONS, & SENATE HEARINGS - A DOE LEGISLATIVE ROUNDUP
Between the recent passage of a reconciliation bill by the House, the release of the House appropriations markup schedule, and several hearings featuring Department of Energy (DOE) officials, there has been a wealth of legislative activity around the DOE, the Office of Environmental Management (EM), and nuclear development in just the past week. Keep reading for a legislative roundup on all the legislative movements and what it means for DOE-EM and nuclear.
One Big Beautiful Bill - What Does it Mean for DOE?
Early this morning (May 22) the U.S. House of Representatives came together to pass President Donald Trump's One Big Beautiful Bill Act, tax bill H.R.1 in a narrow 215-214 vote.
Below are the key highlights of the bill in regards to ECA member and nuclear industry priorities:
Sec. 20005 - Enhancement of DOD resources for Scaling Low-Cost Weapons into Production:
In addition, to the amounts already available and appropriated to the Secretary of Defense, this section includes appropriations for DOD resources for low-cost weapons. Including, $120,000,000.00 for the acceleration of development of Small-Modular Reactors for military use.
Sec. 20008 - Enhancement of Resources for Nuclear Forces:
In addition, to the amounts already available and appropriated to the Secretary of Defense, this section includes appropriations for DOD resources for nuclear forces. Including,
$2,000,000,000.00 to accelerate development, procurement and integration of nuclear-armed sea-launched cruise missiles
$22,000,000.00 to enhance nuclear deterrence through classified programs
$65,000,000.00 to accelerate the modernization of nuclear command, control, and communications
It also includes appropriations for the National Nuclear Security Administration such as:
$100,000,000.00 to accelerate domestic uranium enrichment centrifuge deployment for defense purposes.
Sec. 80151 - Project Sponsor Opt-In Fees for Environmental Reviews:
This section includes an amendment to The National Environmental Policy Act (NEPA) of 1969 of to the authorize sponsors of projects that require environmental assessments or environmental impact statements under NEPA to pay a fee to potentially expedite completion of the assessments or statements and for exemption from judicial review.
Sec. 112012 - Phase-Out and Restrictions on Zero-Emission Nuclear Power Production Credit:
Initially nuclear tax credits were facing a quick phase-out, however, following a meeting between Top House leadership and Secretary Chris Wright, they managed to negotiate a continuance. Nuclear investment and production tax credits would still be set to phase out by 2028, but nuclear developers will still be able to access the tax credits when they start construction instead of waiting for energy deliverance. As far as existing reactors, their production tax credits will not phase out until 2031 instead of the original proposed 2029 timeline.
The passage was a victory for Republican House leaders, who spent the past two months drafting the bill and have been making changes this week. The 1,000 pages of legislation with 42 pages of amendments will now advance to the Senate, where it will likely face a difficult path, but will only need a simple majority.
House Committee on Appropriations Releases FY2026 Appropriations Bills Markup Schedule
House Appropriations Chair Tom Cole (OK-4) released the committee’s markup schedule last night (Wednesday, May 21), beginning the bill-writing process for fiscal year 2026 (FY2026) funding measures.
The FY2026 Energy and Water Development and Related Agencies Bill, which allocates funding for the Environmental Management Program and the National Nuclear Security Administration, has two markups scheduled:
Subcommittee Markup - Monday, July 7, 2025 at 6:00pm ET.
Full Committee Markup - Thursday, July 10, 2025 at 10:00am ET.
To see the full schedule of markups, click here. Although this schedule is subject to change, Cole aims to have all 12 bills ready for the House floor by August 1, prior to recess. ECA will provide updates on the appropriations bills as they develop. To learn more about the appropriations process, click here.
DOE Secretary Chris Wright Fields Questions on Nuclear Development Before Senate Subcommittee
Secretary of the Department of Energy (DOE), Chris Wright, appeared before the Senate Subcommittee on Energy & Development to discuss the President’s discretionary budget request for fiscal year 2026 (FY2026). He had previously appeared before the House Energy & Water Development Subcommittee to address the same topic.
Chairman of the Subcommittee, Senator John Kennedy (LA) opened the hearing by introducing the Secretary and noted that the DOE portfolio “is a smorgasbord, everything from nuclear weapon stock stockpiles to research, to supercomputing, to artificial intelligence.”
During the hearing Wright outlined his priorities for DOE, including unleashing a golden era of American energy dominance, strengthening national security, leading the world in technological innovation, and establishing a reliable and abundant domestic energy supply. To do this, Wright envisions cutting red tape and leveraging DOE’s resources, including the National Laboratories, who are key to advancing technological breakthroughs. Nuclear is core to Wright’s vision, as he stated that, in particular, “DOE is working to advance the rapid deployment of next generation nuclear technology, including small modular reactors (SMRS).”
Wright fielded a number of questions from the Subcommittee. Many senators asked questions pertaining to new nuclear development and the relationship between nuclear and AI.
Ranking Member Senator Patty Murray (WA) inquired into how DOE can bolster new nuclear development when the Office of Nuclear Energy is faced with a $408 million dollar spending cut. She also asked how these cuts would impact investor and industry confidence.
Wright stated that “Each individual line item does not indicate a policy. I think the nuclear industry is quite enthusiastic and quite confident (that) they're going to have the best environment ever for commercial nuclear power. Under my leadership of the DOE, what we're doing is mobilizing tens of billions of dollars of private capital.” He reiterated “We're not pulling back on our nuclear efforts at all. They may be funded slightly differently, but we're not pulling back on that.”
Wright clarified that he believes that the most efficient tool that DOE has to advance nuclear development industry is the DOE Loan Programs Office (LPO). Wright wants to use the LPO “to get high quality equity money in front and bring government debt on these first-of-a-kind (FOAK) reactors in the back.”
Senator Katie Britt (AL) asked Wright how DOE plans to come out ahead in the “AI race”. She questioned how DOE plans to expand the grid for AI and facilitate AI development, and what role nuclear may have in that development.
Wright indicated that reforming how the Nuclear Regulatory Commission (NRC) licenses nuclear reactors would accelerate nuclear deployment at a reduced cost. He also reiterated the key role of LPO, stating that “We need to make sure we have funding available in the Loan Programs Office. It's a way to leverage private capital to make things happen fast.”
Senator Bill Hagerty (TN) asked Wright’s opinion on what role nuclear energy and SMRs play in advancing and achieving American energy dominance and reducing grid liability.
Wright answered that nuclear “is the critical technology that could scale wildly beyond where it is today.” Nuclear could scale into larger and larger scale electricity production, with possibilities for industrial collocation and excess heat production and utilization. He also commented on how nuclear energy will reduce grid stress and risk, and his desire to work with Congress to facilitate nuclear scaling.
Senator Hagerty also asked what steps DOE is taking regarding to deal with the regulatory, financial, and technological hurdles that may be in the way of SMR deployment and development.
Wright highlighted a suite of programs that DOE has maintained at Idaho National Laboratory for the purpose of accelerating SMR deployment, including the Advanced Reactor Demonstration Program and the Demonstration Of Microreactor Experiments (DOME) Testbed Initiative, which recently put out request for applications. Once again, Wright highlighted his vision for the LPO, using the LPO to match debt with private equity and capital, particularly from hyperscalers, to “get shovels in the ground and start building these reactors”.
Senator Jeff Merkley (OR) asked about the relationship between DOE and private nuclear developers when it comes to private and public funding.
Wright clarified that no nuclear company indicated that they are less likely to invest given the discretionary budget. He stated that he has been speaking to a wide variety of nuclear companies on how DOE can support them in all avenues of nuclear development and stressed the importance of constructive dialogue with nuclear companies to support nuclear advancement.
Senator Kennedy closed the hearing by thanking Wright for his time before the committee. To view a recording of the hearing, click here.
EM Principal Deputy Assistant Secretary Roger Jarrell Provides Remarks Before Senate Armed Services Subcommittee
On Tuesday, May 20, Department of Energy Office of Environmental Management (DOE-EM) Principal Deputy Assistant Secretary Roger Jarrell provided remarks before the Senate Armed Services Strategic Forces on Atomic Energy and Nuclear Programs Subcommittee regarding the current achievements and future goals of the EM Program.
Jarrell began his remarks by noting that the EM program is a continuation of the Manhattan Project, and that the program is entrusted with the largest environmental cleanup effort in the world.
Jarrell moved on to recount the programs ongoing activities, including EM’s top priority of addressing radioactive tank waste safely, effectively and efficiently, ensuring that treatment capabilities remain in place. For example, in Nevada, EM is on track to complete legacy cleanup over the next five years. Jarrell stated that by addressing legacy waste, “EM is helping launch a golden era of American energy driving innovation and enabling national security missions of the future.” He provided Oak Ridge, Tennessee as a star example, detailing how cleanup progress has unleashed commercial nuclear power and continues to support the modernization of Oak Ridge National Lab and the National Nuclear Security Administration’s (NNSA) Y12 Complex.
Jarrell described other EM disposal achievements as well. In the last year, management responsibilities for the Savannah River site had been successfully transferred to NNSA, and in Idaho, EM is assisting in key demolitions for Naval Reactors. He also described building demolitions that are advancing, including at West Valley, New York, where the last major building on the site is set to come down in June.
Jarrell also drew attention to the Hanford Testbed Initiative, which treated and shipped a total of 2000 gallons of low-activity tank waste to be solidified in grout and permanently disposed of at Waste Control Specialists LLC in Andrews County, Texas, and at EnergySolutions in Clive, Utah. Jarrell stated that the Initiative is an important tool that could diversify EM’s disposal options and reduce costs to U.S. taxpayers.
Jarrell stated that “as we (EM) execute our mission, we're looking for ways to deliver cleanup commitments more efficiently without sacrificing safety or effectiveness.” He finished his remarks by thanking the Subcommittee for its long-standing support of the EM program, noting that the cleanup effort is enabled by significant investments from Congress.
James McConnell, Acting Principal Deputy Administrator of the NNSA, also appeared before the subcommittee. To hear his remarks and to review a recording of the hearing, click here.
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