# Petition for Writ of Certiorari — Va. Uranium, Inc. v. Warren, 138 S. Ct. 293 (2017) (No. 16-1275)

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URL: https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385016_0744%3A02

## Record

- **Collection:** Supreme Court brief
- **Document type:** Petition for Writ of Certiorari
- **Published:** January 1, 2017

## Text

Supreme Court of the Anited States

°

VIRGINIA URANIUM, INC., et ai.,
Petitioners,
v.
JOHN WARREN, et ai.,
Respondents.

°

On Petition For Writ Of Certiorari
To The United States Court Of Appeals
For The Fourth Circuit

°

PETITION FOR WRIT OF CERTIORARI

°

CHARLES J. COOPER
Counsel of Record
MICHAEL W. KIRK
JOHN D. OHLENDORF
Cooper & Kirk, PLLC
1523 New Hampshire
Avenue, N.W.

Washington, D.C. 20036
(202) 220-9600

ccooper@cooperkirk.com

Counsel for Petitioners

April 21, 2017

COCKLE LEGAL BRIEFS (800, 220 6961
WWW COC KLELEGALBRIEFS COM

i
QUESTION PRESENTED

This Court has held that the Atomic Energy Act
(“AEA”) “occupiels] the entire field of nuclear safety
concerns,” Pacific Gas & Elec. Co. v. State Energy Res.
Conservation & Dev. Comm’n, 461 U.S. 190, 212 (1983),
and it has “defined the preempted field, in part, by ref-
erence to the motivation behind [a challenged] state
law,” English v. General Elec. Co., 496 U.S. 72, 84
(1990). In accordance with these precedents, the Tenth
Circuit has held that “a state cannot use its authority”
over activities indisputably subject to State regulation
as a pretextual “means of regulating radiological haz-
ards” arising from activities entrusted by the AEA to
the Nuclear Regulatory Commission (“NRC”). Skull
Valley Band of Goshute Indians v. Nielson, 376 F.3d
1247-48 (10th Cir. 2004). Accord, e.g., Entergy Nuclear
Vermont Yankee, LLC v. Shumlin, 733 F.3d 393, 416 (2d
Cir. 2013). In contrast, the divided panel below held
that so long as a challenged state law “does not [on its
face] purport to regulate an activity within the [AEA]’s
reach,” courts may not “conduct a pretext analysis” to
“decipher whether the legislature was motivated” by
radiological safety concerns.” App.14a, 15a, 18a.

The question presented is:

Does the AEA preempt a state law that on its face
regulates an activity within its jurisdiction (here ura-
nium mining), but has the purpose and effect of regu-
lating the radiological safety hazards of activities
entrusted to the NRC (here, the milling of uranium
and the management of the resulting tailings)?

ii
PARTIES TO THE PROCEEDING

Petitioners Virginia Uranium, Inc., Cole Hill, LLC,
Bowen Minerals, LLC, and Virginia Energy Resources,
Inc. were the plaintiffs before the District Court and
the plaintiffs-appellants in the Court of Appeals.

Respondents John Warren, in his official capacity
as Director of the Virginia Department of Mines, Min-
erals and Energy, Bradley C. Lambert, in his official
capacity as Deputy Director of the Virginia Depart-
ment of Mines, Minerals and Energy, and James P.
Skorupa, in his official capacity as Director of the Vir-
ginia Department of Mines, Minerals and Energy’s Di-
vision of Mineral Mining, were defendants before the
District Court and defendants-appellees in the Court
of Appeals. Conrad Spangler, the former Director of the
Virginia Department of Mines, Minerals and Energy,
was also initially docketed by the Court of Appeals as
an appellee, but the current director, John Warren, was
substituted in his place on January 5, 2016, pursuant
to Fep. R. App. P. 43(c)(2).

ili
CORPORATE DISCLOSURE STATEMENT

Virginia Uranium, Inc., has as its sole parent cor-
poration Virginia Energy Resources, Inc., located at
675 West Hastings Street, Suite 611, Vancouver, Brit-
ish Columbia, Canada, V5B 1N2. Virginia Energy Re-
sources, Inc., joins in this Petition, and its corporate
affiliations are listed below. No other publicly held cor-
poration owns 10% or more of Virginia Uranium, Inc.’s

stock.

Coles Hill, LLC, has no parent corporation, and
there is no publicly held corporation that owns 10% or

more of its stock.

Bowen Minerals, LLC, has no parent corporation,
and there is no publicly held corporation that owns
10% or more of its stock.

Virginia Energy Resources, Inc., has no parent cor-
poration. Sprott Resource Corp., located at Royal Bank
Plaza, South Tower, 200 Bay Street, Suite 2750, P.O.
Box 90, Toronto, Ontario, Canada, M5J 2J2, and En-
ergy Fuels, Inc., located at 2 Toronto Street, Suite 500,
Toronto, Ontario, Canada, M5C 2B6, are the sole pub-
licly held corporations that own 10% or more of its

stock.

iv

TABLE OF CONTENTS
Page
TABLE OF AUTHORITIES. ..............................04. x
OPINIONS BELOW........0..............cccceceeceeceeeeeeeeees 1
I ee l
CONSTITUTIONAL PROVISIONS AND STAT-
REST ie RE AS EET SS 1
un eutaiiaeeinnamas 2
I aa ae nea alecle 6
I. Domestic Production and Use of Uranium
and the Coles Hill Deposit......................... 6
Il. The AEA’s Regulatory Framework............ 8
Ill. Virginia’s Ban on Uranium Mining........... 10
IV. Proceedings Below...................:ccccccceeseeeeees 13
REASONS FOR GRANTING THE WRICT............ 20
I. The Decision Below Directly Contravenes
This Court’s Precedents and Creates a
Conflict in the Circuits.............................. 20
A. The Decision Below Contravenes This
Court’s Holdings in PG&E and Eng-
SEIN csdesnioneiciuieaiiisisiahadehbaienesibaemsliattametabeiiuabumsaiticus 22
B. The Decision Below Conflicts with
the Tenth Circuit’s Holding in Skull
TINIE sats oeinteshiduniesincioiinlameetinebapeatienaliiiaiinends 25
C. The Decision Below Conflicts with the
Second Circuit’s Holding in Entergy ..... 31

Vv

TABLE OF CONTENTS — Continued

Page

II. Review Is Needed Because the Decision
Below Threatens Critically Important Eco-
nomic and National Security Interests......

APPENDIX

Opinion of the United States Court of Appeals
for the Fourth Circuit, Virginia Uranium, Inc.
v. Warren, No. 16-1005 (Feb. 17, 2017) .................

Opinion of the United States District Court for
the Western District of Virginia, Virginia Ura-
nium, Inc. v. McAuliffe, No. 4:15-cv-31 (Dec. 2,

SII insiadaeanitudihcnatannin cheteasehanienielchaiabinibdainnpldsdiaibbidbiosesiitia

Constitutional Provisions and Statutes Involved
eC I os cc caitecubecmiennesens ee
42 U.S.C.

iV

TABLE OF CONTENTS
Page
TABLE. OF AUTHORITIES ........0.scccccccccessecesceees. x
OPINIONS BELOW.......... EO NIE A AEE Re AN oP 1
I i inn elie plete iia eeetitaladh 1
CONSTITUTIONAL PROVISIONS AND STAT-
RESET A SCD SESS ee 1
a a rn hana eneunniedenencedh 2
TIT ene eee Ae SEE TONE STEN 6
I. Domestic Production and Use of Uranium
and the Coles Hill Deposit......................... 6
Il. The AEA’s Regulatory Framework............ 8
Ill. Virginia’s Ban on Uranium Mining........... 10
MB LTS ET ERENT 13
REASONS FOR GRANTING THE WRI't............ 20
1. The Decision Below Directly Contravenes
This Court’s Precedents and Creates a
Conflict in the Circuits...................sccseeseees 20
A. The Decision Below Contravenes This
Court’s Holdings in PG&E and Eng-
RARER AE pts ELT OE td eins OM 22
B. The Decision Below Conflicts with
the Tenth Circuit’s Holding in Skull
RUSE arama tay Uo TERRE Me SE 25
C. The Decision Below Conflicts with the
Second Circuit’s Holding in Entergy ..... 31

Vv

TABLE OF CONTENTS -— Continued
Page

Il. Review Is Needed Because the Decision
Below Threatens Critically Important Eco-

nomic and National Security Interests...... 33
a aie andniinonnepamenioumennls 39
APPENDIX

Opinion of the United States Court of Appeals
for the Fourth Circuit, Virginia Uranium, Inc.
v. Warren, No. 16-1005 (Feb. 17, 2017) ................... la

Opinion of the United States District Court for
the Western District of Virginia, Virginia Ura-
nium, Inc. v. McAuliffe, No. 4:15-cv-31 (Dec. 2,

EER A RN ls SME AR eich ERR ED 53a
Constitutional Provisions and Statutes Involved

ee en, ss euemdetnnnevaniibouseiieiil 83a

42 US.C.
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ST atisachisisdireqchghbidiincsibionebestiehinaghiiadiniiciaamiobagae 107a

vi

TABLE OF CONTENTS — Continued

Page

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SEED Ra eee Ove eel, Fs 134a
SEER TE Pa ae eee IE eee 135a
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VA. CODE § 45.1-161.292:30 00000... eeeeeeceseeeees 168a

Pe a 168a

vill
TABLE OF CONTENTS — Continued

A ic anebeneenniieee

Act of Feb. 20, 1981, H.J. Res. 324, 1981 Va.
tina inbcdbivsnetsetdeunenniiaiaiplanaaddliianiidees

Act of Apr. 7, 1982, ch. 269, 1982 Va. Acts

Act of Feb. 24, 1983, ch. 3, 1983 Va. Acts 3.........

Complaint for Declaratory and Injunctive Relief,
Virginia Uranium, Inc. v. McAuliffe, No. 4:15-
re racic crttcoreplensenminpidibalinat

Appendix to Combined Brief in Opposition to
Defendants’ Motion to Dismiss and in Support
of Plaintiffs’ Cross-Motion for Summary Judg-
ment, Virginia Uranium, Inc. v. McAuliffe, No.
pn

An Agreement Between the United States Nu-
clear Regulatory Comm’n and the Common-
wealth of Va. for the Discontinuance of
Certain Comm’n Regulatory Auth. and Re-
sponsibility Within the Commonwealth Pur-
suant to Section 274 of the Atomic Energy Act
of 1954, As Amended (Mar. 18, 2009) .................

Excerpts from Brief for the United States as
Amicus Curiae, Nielson v. Private Fuel Stor-
age, LLC, No. 04-575 (U.S. Sept. 2005)...............

Excerpts from Petition for a Writ of Certiorari,
United States v. Eurodif, S.A., No. 07-1059
I Hs iidassatet tale tinatinbsasasipsteecenaushosteedaedisaadele

Vill
TABLE OF CONTENTS - Continued

Excerpts from U.S. ENERGY INFO. ADMIN., 2015
UnrantuuM MKTG. ANNUAL REPORT (2016)............. 351la

Excerpts from U.S. Dep’T oF ENERGY, EXCESS
URANIUM INVENTORY MANAGEMENT PLAN

Si siiddincotbadslssdinstankcobdendphaaiidtabdabintadelotmantedsetateens 354a
Excerpts from Gov’T ACCOUNTABILITY OFFICE,

EXCESS URANIUM INVENTORIES (2011) ................. 362a
Excerpts from S. Rep. No. 1211 (1946).................. 372a

Excerpts from Hearings on H.R. 4280 Before the
H. Comm. on Military Affairs, 79th Cong.
URC aD sie ePID 115 AE SOY AUC eee MRO 375a

Excerpts from Hearing on the Nomination of
Rick Perry to be Sec’y of Energy Before the S.
Comm. on Energy & Nat'l Res., 115th Cong.
ea eecabileedian 378a

Excerpts from Hearing on the Nomination of Al-
lison MacFarlane to be Chairman of the Nu-
clear Regulatory Comm’n Before the S. Comm.
on Enu't & Pub. Works, 112th Cong. (2012)........ 383a

Excerpts from Hearing on the Administration’s
Quadrennial Energy Rev. Before the S. Comm.
on Energy & Nat. Res., 114th Cong. (2015)........ 386a

Letter from f[leana Ros-Lehtinen, Spencer
Bachus, Peter King, & Howard P. McKeon,
Members, U.S. House of Representatives, to
Timothy F. Geithner, Secretary, U.S. Dep’t of
ey I Is ER, SID rtccidcnnincccsinnernescepneeviie 390a

1x

TABLE OF CONTENTS — Continued
Page

James Conca, America’s Navy: The Unsung
Heroes of Nuclear Energy, FORBES (Oct. 28,
SABE a FOIE Y cies tee ial, OO BO apes Dera RN EN 397a

x

TABLE OF AUTHORITIES

Page

CASES
Abraham v. Hodges,

255 F. Supp. 2d 539 (D.S.C. 2002)...........0.... cee. 37
English v. General Elec. Co.,

EE I WH IID iciecsd clidsbdiccossnsesttiadiniedecpscianmetdgeenmatail passim
Entergy Nuclear Vermont Yankee, LLC

v. Shumlin,

733 F.3d 393 (2d Cir. 2013) ............0....cesceccoees passim
Missouri v. Westinghouse Elec., LLC,

487 F. Supp. 2d 1076 (E.D. Mo. 2007)..................... 37
Nielson v. Private Fuel Storage, LLC,

ee Sk re Se rirectusinceencpnetnccdvnacienstenssidienna 5, 29
Nielson v. Private Fuel Storage, LLC,

I CS I I isasocccepcksnnncsttesioesaniineiaducideninania 5

Northern States Power Co. v. Prairie Island
Mdewakanton Sioux Indian Cmty.,
781 F. Supp. 612 (D. Minn. 1991).............00.000000..... 37

Pacific Gas & Elec. Co. v. State Energy Res.
Conservation & Dev. Comm'n,
Se PINE icdceonisscadntsactiesanigurkastententade passim

Pacific Legal Found. v. State Energy Res.
Conservation & Dev. Comm'n,

659 F.2d 903 (9th Cir. 1981)................ eee eens 4, 33
Silkwood v. Kerr-McGee Corp.,
es I i aicintcicevinidniictinsievopieianemadial 10, 24, 27

Skull Valley Band of Goshute Indians v. Nielson,
376 F.3d 1223 (10th Cir. 2004).................0.c00e passim

xi

TABLE OF AUTHORITIES — Continued

Page

United Nuclear Corp. v. Cannon,

553 F. Supp. 1220 (D.R.1. 1982) .............-ccceeee BT
United States v. Eurodif S.A.,

inc cssnsnsennccsosnnocsoversoses 36
Virginia Uranium, Inc. v. McAuliffe,

147 F. Supp. 3d 462 (W.D. Va. 2015) ..............0 14
Virginia Uranium, Inc. v. Warren,

848 F.3d 590 (4th Cir. 2017)..................... s+. passim
STATUTORY AND REGULATORY PROVISIONS
28 U.S.C.

IT Nia enidadtesnsnenbeeteenrerensecnceetesessceseseseoeues 1

ITI a cchcdstedebrerweesecebecnesesncecceccotsccncosceseosees 13
42 U.S.C.

RTT alin cecctincsicstsnnionseventsccseconseesccesesccecesens 3

ST aicinlscicenestinnsithsoreccstersacccaccanteveseecseneees 3

TTI iainicccidncnetissspscesiesseeeessecsnceceosetsccovocousonses 8

I eegtsias an ensconnbascnsnecencesesencensces 38

itso sicdmennesnsstncntsocencsccseceseonccessccosseonses 9

a sis naresetasteasesinccseresnssncssececocooceononrees 9

SINT a si censsntusenctinnietsoonvevartavcseuececcoccoseseouen 31

sas ssmnssesnonpenonenneecesscccosovensens 22

Ei caanniceipeanencssncesecscerseevocoes passim

xil

TABLE OF AUTHORITIES — Continued

Page

§ DOGS...........ccccescececcessscsersecsecseseeescesserssssacssenessarssenes 37

S DOTB.........ccceccescccccccccersnceceersresssessenonsssssacoossssesssscnns 37

§ D092... ne ceeccecesscseeseceeeeeeeeeeeenenncnecesssesenseseneeseeens 9, 37

§ DOQS..............0eeeceeccesesereeeeeeseeeeerensenssansncecsrssesesasanaeas 37

S DVL. ..........cereessescccccvercccencesessssscssesscecsesccseecesessoonons 37

§ D111(a)-(b).........esccceeeeeeeeseeeennenenenererenseeseteeneneneeeeases 9

© BUBG..............ceccercccsscescorcereccssessercesssrscsevessssecercesenees 37

§ DBOU(D) .........cccceccccccssccessceesersserceosssserscrseeeseseneseoens 37

§ DLOGb-Bl a) ...........ceseeessessreeeeeeeeseeenensensteneeersnenes 7, 34

§ PIGSD-G(a) ..........ceceececeeeesereeeencenernerenteeceeeeeersneees 7, 34
10 CLER. Pt. 40, App. A........ccccccceeteeeeeeeeeeeeeeeere nen nneenes 10
Act of Feb. 24, 1983, ch. 3, 1983 Va. Acts 3...............-. 29
Act of Apr. 7, 1982, ch. 269, 1982 Va. fe 10
VA. CODE § 45.1-283 ..........c..::cccecsereeerereeerereereesnerenreeees 11

Atomic Energy: Hearings on H.R. 4280 Before
the H. Comm. on Military Affairs, 79th Cong.
BOE CRIED q..ncncecccnccccceccccecsercevesccnssossssosonsosensosososscsoooes )

SB Bmw, NO. TO-1BL1 .....cccccsccoccsscecccscescesccsscccsecesssceescceses i)

1

PETITION FOR WRIT OF CERTIORARI

Virginia Uranium, Inc., et al. (“Petitioners”) re-
spectfully petition for a writ of certiorari to review the
judgment of the United States Court of Appeals for the

Fourth Circuit.

+. —

OPINIONS BELOW

The panel opinion of the Court of Appeals is re-
ported at 848 F.3d 590 and reproduced at App. 1a. The
order of the District Court granting Respondents’ mo-
tion to dismiss is reported at 147 F. Supp. 3d 462 and
reproduced at App.53a.

e

JURISDICTION

The Court of Appeals issued its judgment on Feb-
ruary 17, 2017. This Court has jurisdiction under 28

US.C. § 1254(1).

-¢

CONSTITUTIONAL PROVISIONS
AND STATUTES INVOLVED

The relevant portions of Article VI of the United
States Constitution; Atomic Energy Act, Title 42,
Chapter 23 of the United States Code; Title 10, Part 40
of the Code of Federal Regulations; Title 45.1 of the
Virginia Code; and the Acts of the General Assembly of

2

the Commonwealth of Virginia are reproduced at
App.83a.

. Qe

INTRODUCTION

The Commonwealth of Virginia has banned the
mining of the largest deposit of uranium in the United
States. Because the ban — as the Commonwealth has
itself conceded for purposes of this case — was moti-
vated by concerns about the radiological safety of ac-
tivities regulated by the federal government pursuant
to the Atomic Energy Act (“AEA”), it is preempted un-
der this Court’s precedents and the uniform body of
lower-court case law applying them. But a divided
panel of the Fourth Circuit declined “to follow the
paths forged by [its] sister circuits” in those cases,
App.16a, instead upholding Virginia’s ban based on a
flawed approach to preemption under the AEA that
runs directly contrary to this Court’s precedent and
the previous decisions of “each Court of Appeals [to
have] address|ed] the issue,” App.42a (Traxler, J., dis-
senting). Because the panel opinion below creates a di-
vision of authority over an issue of profound national
importance — the basic allocation of regulatory power
over atomic energy and radiological safety and access
to a strategically critical national resource — this Court
should grant review and reverse the Fourth Circuit’s
decision.

Recognizing that the production and use of atomic
energy is “vital to the common defense and security”

3

and must therefore “be regulated in the national inter-
est,” 42 U.S.C. § 2012(a), (c), Congress “has occupied
the entire field of nuclear safety concerns, except the
limited powers expressly ceded to the states.” Pacific
Gas & Elec. Co. v. State Energy Res. Conservation &
Dev. Comm’n (“PG&E”), 461 U.S. 190, 212 (1983). In
particular, States may regulate activities that fall
within the purview of the Act only “for purposes other
than protection against radiation hazards.” 42 U.S.C.
§ 2021(k) (emphasis added). A state regulation of such
activities that is “grounded in [radiological] safety con-
cerns falls squarely within the prohibited field.”
PG&E, 461 US. at 213.

The Commonwealth’s prohibition of uranium de-
velopment transgresses the limits imposed by the
AEA. While the AEA generally leaves to the States the
authority to regulate the mining of uranium, the stat-
ute prohibits such regulation if its purpose is “protec-
tion against radiation hazards,” § 2021(k), arising from
activities the AEA has placed in the regulatory pur-
view of the Nuclear Regulatory Commission (“NRC”).
Here, all agree that the AEA vests the NRC with the
exclusive power to regulate the radiological safety of
both the milling of uranium ore and the safe handling
and storage of the leftover “tailings.” And the overrid-
ing purpose and motivation behind the Common-
wealth’s mining ban have nothing to do with mining,
but are instead based on Virginia’s concerns about the
radiological safety of milling and tailings manage-
ment. Because Virginia’s ban is thus “grounded in [ra-
diological] safety concerns” relating to activities that

4

are within the jurisdiction of the NRC, it “falls squarely
within the prohibited field,” and it cannot stand.
PG&E, 461 US. at 213.

As Judge Traxler recognized in dissent below, this
conclusion follows directly from each one of the Court
of Appeals decisions that have previously dealt with a
State’s attempt to indirectly regulate the radiological
safety of activities committed to the NRC’s superin-
tendence by pretextually regulating an activity within
state jurisdiction. In Skull Valley Band of Goshute In-
dians v. Nielson, 376 F.3d 1223 (10th Cir. 2004), for ex-
ample, the Tenth Circuit struck down Utah’s attempt
to prevent the storage of spent nuclear fuel within the
State by, inter alia, banning the transportation of that
material on key state roads and preventing local gov-
ernments from providing basic municipal services, like
police and fire protection or water access, to any facil-
ity built to store the fuel. The fact that these laws on
their face pertained only to “matters that have been
traditionally regulated by local governments” was ir-
relevant, the Tenth Circuit held, because under this
Court’s decision in PG&E “a state cannot use its au-
thority to regulate law enforcement and other similar
matters as a means of regulating radiological hazards”
entrusted to federal care. Id. at 1247-48. See also En-
tergy Nuclear Vermont Yankee, LLC v. Shumlin, 733
F.3d 393, 415-23 (2d Cir. 2013); Pacific Legal Found. v.
State Energy Res. Conservation & Dev. Comm’n, 659
F.2d 903, 922-23 (9th Cir. 1981), aff’d, PG&E, 461 US.

190 (1983).

5

Utah petitioned this Court for review of the Tenth
Circuit's decision in Skull Valley, and the Court asked
the Solicitor General to express the views of the United
States. Nic/son v. Private Fuel Storage, LLC, 543 US.
1047 (2005). In contrast to the panel majority in this
case, the Solicitor General explained that this Court’s
precedents confirm “that part of ‘the pre-empted field
is defined by reference to the purpose of the state law.’”
Brief for the United States as Amicus Curiae at 12,
Nielson v. Private Fuel Storage, LLC (No. 04-575) (Nov.
2005), App.316a (quoting English v. General Elec. Co.,
496 U.S. 72, 84 (1990)). Because Utah did “not dispute
that the purpose of the [challenged] provisions is to
prevent the transportation and storage of” materials
regulated exclusively by the NRC, id. at 17, App.322a
(quotation marks omitted), the Solicitor General con-
cluded that the Tenth Circuit had “applied well-estab-
lished legal principles governing ... preemption,”
App.313a, and further review was unwarranted. The
Court denied certiorari. Nielson v. Private Fuel Stor-
age, LLC, 546 U.S. 1060 (2005).

The panel majority in this case refused “to look
past [the challenged] statute’s plain meaning to deci-
pher whether the legislature was motivated” by radio-
logical safety concerns relating to uranium milling and
tailings storage, App.14a, even though the Common-
wealth itself conceded this was in fact its purpose,
App.29a (Traxler, J., dissenting). Instead, the court
held that it need not conduct “a pretext analysis to as-
certain a legislature’s true motive” to determine the
preemptive scope of the AEA. App. 15a.

6

The decision below directly contravenes this
Court’s holdings tying the boundaries of the field
preempted by the AEA to the State’s purpose, and it
creates a Circuit split on this critical issue. The ruling
below also has profoundly dangerous implications for
the scope of federal authority over atomic energy and
radiological safety generally, and it frustrates the pur-
poses and objectives of the AEA by blocking private de-
velopment, under the close regulation of the NRC, of
the Nation’s largest deposit of uranium at a time when
the United States must depend upon foreign sources
for 94 percent of its uranium supply — much of which
comes from Russia or its client states.

This Court should grant the writ.

¢

STATEMENT

I. Domestic Production and Use of Uranium
and the Coles Hill Deposit

Nuclear reactors powered by uranium generate
about 20 percent of the electricity consumed in the
United States — all without significant production of
greenhouse gases. App.202a. Uranium is also critical
to national security. It is a necessary ingredient, of
course, in our arsenal of nuclear weapons, App.4a, and
it powers our Nation’s fleet of over 80 nuclear subma-
rines and aircraft carriers, App.397a.

7

The United States has an acute economic and
strategic interest in securing a domestic supply of ura-
nium. Indeed, federal legislation gives the Secretary of
nergy “a continuing responsibility for the domestic
uranium industry to encourage the use of domestic
uranium,” in furtherance of “the national need to avoid
dependence on imports” of the material. 42 U.S.C.
S$ 2296b-3(a), 2296b-G(a). But notwithstanding this
“national need,” 94 percent of the uranium used to sup-
ply the Nation’s atomic energy needs is imported.
App.353a. Even more troubling, 17 percent of those im-
ports come from Russia, and another 22 percent come
from Russia-allied states Kazakhstan and Uzbekistan.

App.352a.

As the United States emphasized before this
Court in a 2008 case involving i nports of low-enriched
uranium, ensuring the domestic supply of uranium is
thus “a matter of compelling importance to U.S. na-
tional security interests.” Petition for Writ of Certio-
rari at 30, United States v. Eurodif, S.A., No. 07-1059
(Feb. 2008), App.347a. Relying on Russian-controlled
sources of uranium would not only “leave the Russian
Federation as the predominant supplier of enriched
uranium for domestic electricity generation,” it also
“threatens the United States’ ability to produce mate-
rials critical to military operations.” Jd. at 31, App.349a.

Petitioners own a deposit of approximately 119
million pounds of uranium ore that lies beneath the
Coles Hill estate in Pittsylvania County, Virginia.
App.201a. It is the largest known deposit of uranium
in the United States and one of the largest in the

8

world. Jd. Mining that uranium would be an economic
boon for the region, creating an estimated 1,052 an-
nual jobs and generating nearly $5 billion of net reve-
nue for local businesses. App.202a.

Conventional uranium production involves three
basic processes: mining, milling, and tailings manage-
ment. First, the uranium ore must be extracted from
the ground. The uranium ore must then be milled or
processed into usable form. An on-site uranium mill
grinds the uranium ore into a sand, which is then run
through either an acidic or alkaline solution to sepa-
rate the pure uranium from the waste rock commonly
known as “tailings.” The uranium is then concentrated
into “yellowcake,” which is commercially sold and
shipped off-site for enrichment. App.203a. Finally, the
tailings, which remain radioactive, must be perma-
nently secured in a tailings management facility.
App.204a.

II. The AEA’s Regulatory Framework

Shortly after the dawn of the atomic age, Congress
enacted the AEA in 1946 with the twin purposes of “en-
courag[ing] the private sector to become involved in
the development of atomic energy for peaceful pur-
poses,” PG&E, 461 U.S. at 207, and ensuring that the
“processing and utilization” of uranium is “regulated
in the national interest and in order to . . . protect the
health and safety of the public,” 42 U.S.C. § 2012(d).
Accordingly, the AEA, as amended, vests the NRC with
authority to establish regulatory limits and controls

9

necessary to ensure against the radiological safety
hazards posed by the domestic production of nuclear
energy, including the development of uranium.

The AEA requires an NRC license for the transfer,
delivery, or possession of “source material,” which is de-
fined to include uranium, 42 U.S.C. § 2014(z), only “af-
ter removal from its place of deposit in nature.” 42
U.S.C. § 2092. At the outset, Congress chose not to reg-
ulate uranium mining itself because it concluded that
(i) ordinary mining itself does not pose serious radio-
logical hazards; and (ii) regulation of uranium mining
would undermine Congress's policy of encouraging the
development of atomic energy by discouraging ura-
nium mining and prospecting. S. Rep. No. 79-1211, at
18 (1946), App.373a; see also Atomic Energy: Hearings
on H.R. 4280 Before the H. Comm. on Military Affairs,
79th Cong. 125 (1945), App.376a.

Of particular relevance to the issues in this case,
the Act grants the NRC exclusive regulatory jurisdic-
tion over the radiological safety of uranium milling
and tailings management. The Act requires that any-
one who wishes to “transfer or receive in interstate
commerce, manufacture, produce, transfer, acquire,
own, possess, import, or export” any radioactive “by-
product material” — specifically defined to include “the
tailings or wastes produced by the extraction or con-
centration of uranium” — must first receive a license
from the NRC. 42 U.S.C. §§ 2014(e)(2), 2111(a)-(b). And
the NRC has promulgated detailed and extensive reg-
ulations governing the design, construction, and oper-
ation of a tailings management facility, designed to

10

block the pathways through which radioactive ele-
ments might be exposed to the surrounding environ-
ment. 10 C.F.R. Pt. 40, App. A.

The provision of the Act that is at the heart of this
case permits States, with narrow exceptions, to regu-
late “activities,” including activities committed to the
NRC’s regulatory jurisdiction, but only “for purposes
other than protection against radiation hazards.” 42
U.S.C. § 2021(k) (emphasis added). Congress has long
premised this policy on its conclusion that the NRC
“was more qualified to determine what type of safety
standards should be enacted in this complex area.”
Silkwood v. Kerr-McGee Corp., 464 U.S. 238, 250 (1984).
This Court has thus repeatedly held that the federal
government has “occupied the entire field of nuclear
safety concerns.” PG&E, 461 U.S. at 212. The scope of
this preempted field extends to any state regulation
that is enacted and enforced for the purpose of protect-
ing against radiation hazards relating to an activity
within the NRC’s regulatory authority, such as ura-
nium milling and tailings storage, even where the ac-
tivity the State seeks to regulate is otherwise within
the State’s traditional police powers.

Ill. Virginia’s Ban on Uranium Mining

In 1982, shortly after the Coles Hill deposit was
discovered, the Virginia General Assembly enacted a
temporary moratorium on uranium mining. Act of Apr.
7, 1982, ch. 269, 1982 Va. Acts 426, App.170a. A year
later, the ban was effectively made permanent:

11

Notwithstanding any other provision of law,
permit applications for uranium mining shall
not be accepted by any agency of the Common-
wealth prior to July 1, 1984, and until a pro-
cram for permitting uranium mining is
established by statute.

Va. CovE § 45.1-283.

Though Section 45.1-283 is literally phrased as a
ban on “uranium mining,” id., the public record leaves
no doubt that the mining ban was and is motivated by
radiological safety concerns related to uranium milling
and tailings management activities — matters that all
agree are within the exclusive regulatory jurisdiction
of the NRC and are thus beyond the State’s authority.
Indeed, in the same 1983 Act that extended the mining
“moratorium” indefinitely, the Virginia Legislature
simultaneously created an official working-group — the
Uranium Administrative Group (“UAG”) — which it di-
rected to conduct an in-depth “evaluation of the costs
and benefits” of uranium development, App.178a, in-
cluding specifically a number of potential radiological
safety concerns arising out of milling and tailings man-
agement activities, App.184a-85a (directing UAG to
analyze, inter alia, the “reagents and processing mate-
rials to be used” in milling operations, the “quantity
and quality of liquid and solid wastes,” the “quantity
and characteristics of the tailings,” the “method of dis-
posal,” and the potential “atmospheric releases and the
methods for controlling such releases”). The Act thus
makes clear that while the operative language of the
ban may have referred only to mining — the first,

12

necessary step in the mining, milling, tailings storage
sequence ~— its overriding purpose was to bar milling
and tailings management operations based on con-
cerns about the radiological safety of those activities.

When the Commonwealth formally reconsidered
the ban on uranium development from 2008 to 2013,'
its ultimate refusal to permit uranium mining was
again grounded squarely in radiological safety con-
cerns about milling and tailings management. The ev-
idence of this is overwhelming. To take a single
example, 31 members of the General Assembly issued
public statements expressing their opposition to lifting
the ban, and every single one cited radiological health
and safety concerns; all but two of them referenced
fears that uranium tailings would contaminate the wa-
ter. App.239a-97a.

In short, the Commonwealth enacted and has
maintained the ban on uranium mining based predom-
inantly, if not exclusively, on its view that NRC regula-
tion of uranium milling and tailings management
operations is not sufficiently robust to protect against
radiation hazards.

' Beginning in the late 1980s, the price of uranium plum-
meted, exploiting the Coles Hill deposit was not economically vi-
able, and as a result no further action was taken until the price
rebounded. From 2008 to 2013, Petitioners attempted to convince
the Commonwealth to repeal the ban. While the Commonwealth
produced several new studics reevaluuting the issue, and legisla-
tors introduced a bill that would have lifted the ban. opponents of
uranium development succeeded in keeping the ban in place.

13

IV. Proceedings Below

1. After the legislative effort to repeal the ban
failed. Petitioners filed a complaint in the Western Dis-
trict of Virginia, seeking to enjoin enforcement of the
Commonwealth's ban on the ground that it is
preempted by the AEA. The District Court had juris-
diction over the action under 28 U.S.C. § 1331.

Petitioners alleged that the purpose of the ura-
nium mining ban was to protect against radiological
safety hazards related to milling and tailings manage-
ment. App.216a, 222a, 232a. The defendants — Re-
spondents here — moved to dismiss the complaint for
failure to state a claim, and thus conceded for purposes
of their motion that the purpose of the ban was indeed
to protect against radiation hazards arising from mill-
ing and tailings operations. Respondents conceded
that the AEA gives the NRC exclusive regulatory ju-
risdiction over the radiological safety of uranium mill-
ing and tailings activities, but argued that the State
has unfettered authority to regulate uranium mining,
even where, as here, the purpose of the prohibition
against mining is actually to prohibit milling and tail-
ings operations on the basis of radiological safety con-
cerns. Petitioners cross-moved for summary judgment,
arguing that the text of the AEA and this Court’s deci-
sions in PG&E and later cases compelled the conclu-
sion that the ban was preempted. Petitioners’
summary judgment motion was supported by over 700
pages of exhibits demonstrating that the overriding
purpose of the mining ban was to bar the milling of

14

uranium ore and the storage of tailings in the Com-
monwealth.

The District Court granted the Commonwealth's
motion to dismiss and denied Petitioners’ cross-motion
for summary judgment. App.53a. The court held that
Virginia’s ban on uranium mining was not preempted
because “(t]he AEA institutes no permitting regime re-
specting nonfederal uranium deposits’ conventional
mining and does not otherwise regulate nonfederal
uranium deposits or their conventional mining.”
App.68a. The court deemed it entirely irrelevant that
“the General Assembly enacted {the uranium mining
ban] out of concern for uranium (and, therefore, radio-
logical) safety,” App.69a, because the Commonwealth
“asserted the right to act,” as a formal matter, only on
an “activity or material” — uranium mining — over
which “the AEA is silent and confers no authority,”
App.78a.

The court held that “there is no occasion to inquire
into [the ban’s] purpose.” Jd. PG&E’s clear statements
to the contrary, the court concluded, were nonbinding
dicta that the court was free to ignore. “Rather than
... extrapolating Pacific Gas & Electric Co.’s dicta and
selecting among the opinion’s (at times) seemingly-in-
consistent language, this Court will adhere to the
surer conclusion by scrutinizing the statutes uniquely
before it and addressing their interaction under intel-
ligible and longstanding principles of preemption.”
App.79a.

15

2. Adivided panel of the Fourth Circuit affirmed.
App.la-20a. The panel majority acknowledged that
Section 2021(k) of the AEA. as construed by this Court
in PG&E, “prohibits states from regulating, for [radio-
logical] safety reasons, activities that are in any way
regulated by the federal government under the Atomic
Energy Act.” App.11la (quotation marks omitted). And
the majority further conceded that “uranium milling
and tailings storage are ‘activities’ under Section
2021(k) because they are regulated by the NRC,” and
“states may therefore not regulate them except for pur-
poses other than protection against radiation haz-
ards.” App.13a-14a.? Moreover, the majority accepted
the Commonwealth’s concession (at least for purposes
of the motion to dismiss) that the purpose of the ban
on uranium mining was to prohibit uranium milling
and tailings storage activities based on radiological
safety concerns. App.10a (“the Commonwealth con-
cedes that it lacks a non-safety rationale for banning
uranium mining”). In short, the majority conceded all

* The majority also addressed whether “uranium mining” it-
self, as opposed to milling and tailings storage, “is an ‘activity’ un-
der Section 2021(k) of the Atomic Energy Act. which ... states
cun't regulate ... for the purpose of protecting against radiation
hazards.” App.8a. The majority ultimately concluded that mining
is not such an activity. App.13a. But that issue does not merit this
Court's review, nor is it necessary to resolve in order to reach the
question presented here, because all agree that milling and tatl-
ings management are “‘activities’ under Section 2021(k!” that
States may not regulate for radiological safety reasons, App.13a.
and it is these activities that, by Virginia’s own admission, its ban
deliberately targets.

16

of the elements of field preemption under the AEA, and
that should have been the end of the case.

Nevertheless, the majority held that it need not in-
quire into the purpose of Virginia’s mining ban.
App. 14a-15a. Observing that “[t]here are some areas of
law — such as actions arising under the Equa! Protec-
tion Clause of the Fourteenth Amendment” where “we
may conduct a pretext analysis to ascertain a legisla-
ture’s true motive,” the court reasoned that “this is not
such a case” because Petitioners have “not allege[d)
that the Virginia legislature acted with discriminatory
intent. ...” App.15a. Accordingly, because the Com-
monwealth’s statute facially bans only the mining of
uranium and “does not mention uranium milling or
tailings storage,” the majority declined “to look past
the statute’s plain meaning to decipher whether the
legislature was motivated to pass the ban by a desire
to regulate uranium milling [and] tailings.” App.14a.

The majority did not explain how blinding itself to
the Commonwealth’s motivation for the ban could be
reconciled with this Court’s clear, repeated holdings
that the AEA’s preemptive scope is “defined .. . by ref-
erence to the motivation behind the state law,” English,
496 U.S. at 84, and that a state regulation “grounded
in [radiological] safety concerns” thus “falls squarely
within the prohibited field,” PG&E, 461 U.S. at 213.

The majority also declined Petitioners’ urging that
it “follow the paths forged by our sister circuits in Skull
Valley ... and Entergy.” App.16a. The Second and
Tenth Circuits, in those cases, directly repudiated the

17

proposition that a court could, consistent with this
Court's precedents, “blindly accept the articulated pur-
pose of a state statute,” Entergy, 733 F.3d at 416
(brackets omitted), and permit a Stale to use its au-
thority over activities left within its jurisdiction “as a
means of regulating radiological hazards,” Skull Val-
ley, 376 F.3d at 1248. Both courts based their respec-
tive holdings that the state laws at issue were
preempted on the very “pretext analysis” that the
panel majority here refused to undertake. App. 15a.
While the majority asserted that both cases “are dis-
tinguishable” because the preempted state laws ex-
pressly “targeted” activities within the NRC’s
exclusive jurisdiction, App.16a, this purported distinc-
tion does not bear even minimal scrutiny. See infra at
27-33.

Finally, the majority concluded that the Common-
wealth’s ban was not preempted “as an obstacle to the
full implementation of the objectives of the Atomic En-
ergy Act,” reasoning that the ban could have “little ef-
fect” on the Act’s “stated purpose of promoting the safe
development and use of atomic energy.” App.18a, 19a.
That was so, according to the majority, because “over
ninety percent of the uranium used by the country’s
atomic energy industry is imported,” and in any event,
the AEA “allows the federal government to forcibly ex-
pand the production of domestic source material” by
taking, through eminent domain, any “real property
containing deposits” of uranium. App.19a. The major-
ity did not attempt to reconcile its conclusion with this
Court’s holding that, at least since 1954, Congress has

18

“determin[ed] that the national interest would be best
served if the Government encouraged the private sec-
tor to become involved in the development of atomic
energy for peaceful purposes under a program of fed-
eral regulation and licensing. .. .” PG&E, 461 US. at
207 (emphasis added).

3. Judge Traxler dissented. This Court’s opinions
in PG&E and English “make[] clear that the AEA
preempts state statutes enacted for the purpose of pro-
tecting against the radiological dangers of activities
the AEA regulates.” App.52a (Traxler, J., dissenting).
And “[blecause the Commonwealth has conceded at
this point in the litigation that its statute was enacted
for just that purpose, the Virginia statute clearly falls
within that prohibited field.” Jd. Indeed, Judge Traxler
noted that this conclusion follows a fortiori from
PG&E, where “California claimed that the moratorium
[at issue] was actually grounded on a non-safety con-
cern.” In contrast, “the Commonwealth makes no such
claim here. Rather, . . . the Commonwealth concedes . . .
that the moratorium is grounded on the Virginia legis-
lature’s concerns regarding the radiological safety of
uranium ore milling and tailings storage.” App.40a-
4la.

The majority departed from this Court’s prece-
dents and created a Circuit conflict, Judge Traxler con-
cluded, by refusing to consider whether the ban was
enacted for preempted purposes simply because “the
substance of Virginia’s law — a ban on conventional
uranium mining — does not conflict with the Act.”
App.39a. Judge Traxler explained that the same was

19

true of the law at issue in PG&E, yet the Court there
“held [that] a statute’s purpose can itself bring the
statute within the prohibited field.” App.39a (citing

JRE, 461 US. at 213; English, 496 US. at 84). Judge
Traxler further emphasized that, “|ulntil today, each
Court of Appeals addressing the issue since Pacific Gas
has held that state statutes enacted to protect against
the radiological dangers of activities the AEA regu-
lates are preempted regardless of whether the statutory
text reveals that purpose and regardless of whether the
statute expressly prohibits an activity the Act regu-

lates.” App.42a.

The Tenth Circuit’s decision in Skull Valley
squarely held that “regardless of the nature of the ac-
tivity the [challenged] provisions directly addressed,
the applicable preemption analysis ‘requires consider-
ation of the purpose of the allegedly preempted stat-
ute.’” App.43a (quoting Skull Valley, 376 F.3d at 1252
(emphasis added by Judge Traxler)). And the Second
Circuit in Entergy likewise struck down a Vermont law
based on “extra-textual indicia” showing “that radio-
logical safety concerns were the primary purpose for
the statute’s enactment” — despite a statement in “[t]he
text of the Vermont law” that “explicitly declared that
the statute was not grounded in nuclear safety con-
cerns.” App.45a, 46a (quotation marks omitted) (citing
Entergy, 733 F.3d at 417-22). Virginia’s ban falls within
the AEA’s preempted field, Judge Traxler concluded,
under “the very same principles.” App.47a.

Finally, Judge Traxler also would have held that
the Commonwealth’s ban is preempted as an obstacle

20

to the AEA’s purposes and objectives. The Act’s central
objective “was to ensure that . . . the power of the pri-
vate sector could be unleashed to develop nuclear en-
ergy.” App.47a. But “Virginia, not trusting that the
federal government has sufficiently protected against
the radiological dangers of uranium milling and tail-
ings management, has unilaterally sought to prevent
the involvement of the very private-sector forces that the
Act was designed to unleash.” App.47a-48a.

«

REASONS FOR GRANTING THE WRIT

I. The Decision Below Directly Contravenes
This Court’s Precedents and Creates a
Conflict in the Circuits.

Notwithstanding this Court’s repeated instruction
that the AEA’s “pre-empted field” is defined, “in part,
by reference to the motivation behind [a challenged]
state law,” English, 496 U.S. at 84, the panel majority
below cast its refusal “to examine why the Common-
wealth chose to ban uranium mining” as “adher[ing] to
the edict that courts will not strike down an otherwise
constitutional statute on the basis of an alleged illicit
legislative motive,” App.15a (quotation marks omit-
ted). Focusing solely on “the Commonwealth’s two-sen-
tence moratorium on uranium mining,” the majority
emphasized that “the plain language of the Common-
wealth’s ban does not mention urauium milling or tail-
ings storage.” App.14a, 17a. And that, according to the
majority, was the end of the case: “[T]he Common-
wealth’s mining ban does not purport to regulate an

21

activity within the Act’s reach, and thus we need pro-
ceed no further.” App.17a-18a.

The panel majority thus refused “to engage in the
sort of pretext analysis” undertaken by other courts of
appeals “to decipher whether the legislature was moti-
vated to pass the ban by a desire to regulate uranium
milling or tailings storage.” App.14a, 17a. In so doing,
the majority blinded itself to several inconvenient
facts. First, it ignored the fact that the two-sentence
ban on uranium mining was just one part of a statu-
tory scheme that included a lengthy companion provi-
sion requiring an in-depth study of the radiological
safety issues associated with uranium milling and tail-
ings storage. Second, the majority ignored a trial court
record teeming with evidence that the genuine purpose
of the uranium mining ban was to protect the Com-
monwealth against the radiological hazards of ura-
nium milling and tailings storage. Finally, and most
remarkably, the majority blinded itself to the Common-
wealth’s admission (at least for purposes of its motion
to dismiss) that its true motivation for banning ura-
nium mining was to protect against the radiological
hazards of uranium milling and tailings storage. The
majority thus refused to engage in a “pretext analysis”
of the mining ban even in the face of the Common-
wealth’s admission that the ban was in fact a pretext.

The decision below simply cannot be squared with
the AEA or with this Court’s decisions interpreting it.
Nor can the majority's holding be reconciled with the
“Court of Appeals [decisions] addressing the issue
since Pacific Gas,” all of which have “held that state

22

statutes enacted to protect against the radiological
dangers of activities the AEA regulates are preempted
... regardless of whether the statute expressly prohibits
an activity the Act regulates.” App.42a (Traxler, J., dis-
senting). The Court should grant certiorari to resolve
the conflict in the circuits created by the decision below
on this question of overriding importance to our Na-
tion’s economic and national security.

A. The Decision Below Contravenes This
Court’s Holdings in PG&E and English.

The text of Section 2021(k) of the AEA authorizes
the States “to regulate activities,” including activities
within NRC’s regulatory jurisdiction, “for purposes
other than protection against radiation hazards.” 42
U.S.C. § 2021(k) (emphasis added).* Congress has thus
unambiguously demarcated the scope of the field
preempted by the AEA by reference to the “purposes”
that States may pursue when enacting regulations of
any such activity. See PG&E, 461 U.S. at 210.

This Court’s holding in PG&E cements this under-
standing of the AEA’s preemptive scope. In that case,
California had imposed a “moratorium” on the con-
struction of new nuclear power plants until such time
as a state commission determined that “there has been

* The AEA separately permits States to enter an “agree-
ment” with the NRC permitting them to regulate activities other-
wise subject to exclusive federal regulation, 42 U.S.C. § 2021(b),
but the Commonwealth’s agreement does not extend to uranium
milling or tailings management. App.298a, 301a.

23

developed . . .a demonstrated technology or means for
the disposal of high-level nuclear waste.” PG&E, 461
US. at 198. In analyzing the validity of that morato-
rium under the AFA, the Court recognized that the Act
did not directly preempt California’s moratorium in ex-
press terms, for it “does not at any point expressly re-
quire the States to construct or authorize nuclear
power plants or prohibit the States from deciding, as
an absolute or conditional matter, not to permit the
construction of any further reactors.” Jd. at 205.

The Court thus turned to the question whether the
State’s regulation “falls within the field that the fed-
eral government has preserved for its own exclusive
control.” Jd. at 204. Quoting Section 2021(k), the Court
held that “the distinction drawn [by the AEA] between
the spheres of activity left respectively to the federal
government and the states” turns on the purpose of the
State regulation. Jd. at 210. While “the States retain
their traditional responsibility in the field of regulat-
ing electrical utilities for determining questions of
need, reliability, cost and other related state concerns,”
the AEA’s text dictated “that the federal government
should regulate the radiological safety aspects in-
volved in the construction and operation of a nuclear
plant.” Id. at 205.

Accordingly, the Court held, “[a] state moratorium
on nuclear construction grounded in safety concerns
falls squarely within the prohibited field,” id. at 213,
even though a State prohibition on the construction of
nuclear power plants for any other reason would not
be preempted. “That being the case, it is necessary to

24

determine whether there is a non-safety rationale for
|California’s moratorium].” Jd. This Court ultimately
accepted the Ninth Circuit’s determination — based on
a review of the pertinent legislative history — that the
moratorium “was aimed at economic problems, not ra-
diation hazards,” id., and upheld the California stat-

ute.‘

Any doubt about the governing test adopted by
PG&E was eliminated by this Court’s subsequent
opinions. In English, this Court explicitly reaffirmed
PG&E’s holding that “the [AEA’s] pre-empted field is
defined by reference to the purpose of the state law in
question.” 496 U.S. at 84 (emphasis added); accord
Silkwood, 464 U.S. at 249. English emphasized that
courts must determine the law’s purpose “by reference

cet.

* The majority below read PG&E as foreclosing any “search-
ing scrutiny of legislative intent.” App. 15a, pointing to dicta in the
opinion describing the “inquiry into legislative motive” as “often
an unsatisfactory venture.” PG&E, 461 US. at 216; see App.15a.
But the statement from PG&E relied upon by the court below did
not sugyest that the State’s true purpose could be ignored; the
Court merely adverted to the difficulty of ascertaining it and to
the importance of affording some measure of latitude before con-
cluding that “a state has misused the authority left in its hands.”
461 US. at 216. Had the PC&E Court really adopted the panel
majority's stance of willful blindness to a State's genuine motive,
it obviously: (1) would not have erected a test that expressly turns
on whether the challenged law is “grounded in safely concerns,”
id. at 213; (2) would not have stated that “it is necessary to deter-
mine whether there is a non-safety rationale” for the challenged
ban or discussed, at length, the legislative history of the state law,
id. at 213-16; and (3) would have corrected Justice Blackmun’s
characterization of the Court’s opinion as adopting “the elusive
test of legislative motive,” id. at 229 (Blackmun, J., concurring in
part).

25

to the motivation behind the state law,” and in accord-
ance with “the state law's actual effect.” 496 U.S. at 84.
Thus, courts are not free to blind themselves, as did the
majority below, to evidence (let alone an admission)
that a state law’s truce purpose and effect is to “pro-
tect| | against radiation hazards” of activities that are
subject to regulation by the NRC pursuant to the AEA.
Id. (quoting 42 U.S.C. § 202 1(k)).

B. The Decision Below Conflicts with the
Tenth Circuit’s Holding in Skull Valley.

The Tenth Circuit’s opinion in Skull Valley is di-
rectly contrary to the decision below. The court in that
case struck down a variety of Utah laws designed to
prevent the storage of spent nuclear fuel (“SNF”)
within the State. Although the federal government has
exclusive authority over the radiological safety aspects
of SNF storage, Utah attempted to prevent its storage
within its borders by enacting a series of restrictions
that ostensibly regulated activities that were squarely
within the State’s police power. One provision barred
“counties from providing ‘municipal-type services,’ in-
cluding fire protection, garbage disposal, water, elec-
tricity, and law enforcement, to SNF transportation
and storage facilities within the county.” 376 F.3d at
1245.

It is difficult to conceive of an activity closer to the
heart of a State’s traditional police power — and more
remote from the activities regulated by the NRC — than
the provision of utilities, police and fire protection, and

26

sewer access. But because Utah’s regulation of those
activities was motivated by radiological safety con-
cerns related to an activity within the NRC’s regula-
tory jurisdiction, the Tenth Circuit concluded that this
regulation of ordinary municipal services fell within
the AEA’s preempted field.

Although it is true that the County Planning
Provisions address law enforcement, fire pro-
tection, waste and garbage collection and
other similar matters that have been tradi-
tionally regulated by local governments, that
fact does not trump the preemption analysis
that the controlling Supreme Court decisions
require us to undertake. Under that analysis,
we consider the purpose and effect of the state
law at issue, and, as a result, a state cannot
use its authority to regulate law enforcement
and other similar matters as a means of regu-
lating radiological hazards.

Id. at 1247-48 (emph » is added).

Another provision adopted by Utah took control of
“the only road permitting access to the [proposed spent
fuel storage] facility ... by designating it as a state
highway,” and then “requirled] the consent of the gov-
ernor and the state legislature” before any “company
engaged in the transportation or storage of SNF” was
allowed to drive on it. Jd. at 1252. The AEA, of course,
does not regulate the use of state roads, and ordinarily
it would not preempt the exercise of a State’s tradi-
tional police power over those roads. But that did not

27

stop the Tenth Circuit from striking this provision

down.
[Wle are required to follow the preemption
analysis set forth in Pacific Gas, Silkwood,
and English, which requires consideration of
the purpose of the allegedly preempted statute,
along with its effects. Here, the evidence cited
by the district court indicates that the Road
Provisions were enacted in order to prevent
the transportation and storage of SNF in
Utah. ... The record thus establishes that
the Road Provisions were enacted for reasons
of radiological safety and are therefore
preempted.

Id. (emphasis added) (citations omitted).

The panel majority below asserted that Skull Val-
ley is “distinguishable,” App.16a, because the Utah
laws struck down by the Tenth Circuit “surgically tar-
geted the transportation and storage of spent nuclear
fuel” — “an activity regulated by the NRC.” Jd. But Pe-
titioners have alleged, and Respondents concede at
least for purposes of the motion to dismiss before the
Court, that the ban on uranium mining likewise tar-
gets “uranium milling and uranium tailings manage-
ment” based on “the legislature’s radiological safety
concerns.” App.29a (Traxler, J., dissenting). On this
point, the two cases are on all fours.

The panel majority also contended that “unlike
Virginia’s ban on mining, all but two of the challenged
Utah laws specifically mentioned th{e] NRC-regulated
activity” — storage of SNF. App.16a. But this purported

28

distinction also fails to create any daylight between the
two decisions, for the Tenth Circuit also struck down
the two laws that did not mention SNF. And it did so
based on reasoning that directly repudiates the ap-
proach adopted below. Whereas the majority refused to
“look past the statute’s plain meaning to decipher
whether the legislature was motivated to pass the ban
by [preempted reasons],” App.l14a, the Tenth Circuit
rejected Utah's invitation to adopt that approach, rea-
soning instead that “the controlling Supreme Court de-
cisions require us to. . . consider the purpose and effect
of the state law at issue, and, as a result, a state cannot
use its authority to regulate law enforcement and
other similar matters as a means of regulating radio-
logical hazards.” Skull Valley, 376 F.3d at 1247-48. The
panel majority was thus simply wrong to suggest that
Skull Valley did not “engage in the sort of pretext anal-
ysis that Virginia Uranium presses here.” App.17a.

The majority below further suggested that even
though two of the Utah provisions did not “specifically
mention|]” any “NRC-regulated activity,” those laws
could be distinguished from Virginia’s mining ban be-
cause they “wiere] packaged with ... [other] regula-
tions targeting spent nuclear fuel directly.” App.16a.
But yet again, the same is true of Virginia’s law. The
1983 Act establishing the mining ban in its current
form was “packaged with” other provisions that “tar-
geted” uranium milling and tailings operations di-
rectly. As noted earlier, that Act created a state agency
and tasked it with studying milling and tailings on the
most granular level — from “the capacity of the mill”

29

and the type of “reagents and processing materials to
be used,” to the “size of the tailings disposal arca” and
its “hydrology, hydrogeology, and surficial and bedrock
geology” — so that it could produce a report detailing
“the costs and benefits” of lifting the ban. Act of Feb.
24, 1983, ch. 3, 1983 Va. Acts 3, App.177a-89a.

Nor was the majority correct in asserting that Vir-
ginia’s ban “pales in comparison to Utah's comprehen-
sive scheme intended to keep spent nuclear fuel out of
the State,” App.17a — at least not with respect to the
comparative likelihood that the two laws would suc-
cessfully prohibit the disfavored activity in the state.
Mining uranium out of the ground is a necessary ante-
cedent to milling it and storing the resulting tailings —
no less than transporting SNF over the only road lead-
ing to the storage facility is a necessary antecedent to
storing it there. By banning the first activity in this
chain of events — uranium mining — Virginia has
achieved its objective — effectively banning uranium
milling and tailings management operations — even
though the regulatory safety aspects of those activities
are regulated exclusively by the NRC pursuant to the
AFA.

After the Tenth Circuit’s decision in Skull Valley,
Utah petitioned this Court for certiorari, and the Court
asked for the views of the Solicitor General on whether
review should be granted. Nielson v. Private Fuel Stor-
age, LLC, 543 U.S. 1047 (2005). The Solicitor General
“wholeheartedly endorsed the Tenth Circuit’s analysis
and took the view that certiorari should be denied.”
App.44a n.16 (Traxler, J., dissenting).

30

Specifically, the United States’ brief in this Court
rejected Utah’s argument that its “purpose in protect-
ing against radiation hazards does not bring the chal-
lenged legislation within the preempted field.” Brief
for the United States as Amicus Curiae at 12, Nielson
v. Private Fuel Storage, LLC (No. 04-575) (Nov. 2005),
App.316a. The United States reasoned that “there is no
basis for this Court to reconsider” its settled view “that
‘part of the pre-empted field is defined by reference to
the purpose of the state law.’” Jd. (quoting English, 496
US. at 84). The Solicitor General specifically addressed
the provisions of the Utah statute regulating the
State’s roads. Even though the AEA does not regulate
the use of State highways, the Solicitor General agreed
with the Tenth Circuit that the road provisions were
preempted because the State “dofes] not dispute that
the purpose of the[se] . . . provisions is to prevent the
transportation and storage of SNF in Utah,” and “the
legislative history ... confirms that they were based
on health and safety concerns.” Jd. at 17, App.322a
(quotation marks omitted). Accordingly, the Solicitor
General advised that “[fjurther review is not war-
ranted.” Jd. at 6, App.313a. The Court denied certio-
rari. 546 U.S. 1060 (2005).

The short of it is this: if the Fourth Circuit was
correct to conclude, based on the text of the Common-
wealth’s ban, that Virginia is merely regulating ura-
nium mining, then Utah was merely regulating roads
and municipal services, and the Tenth Circuit was
wrong to strike down its laws. But if the Tenth Circuit
was right that the AEA preempted the challenged

31

Utah laws because they “targeted the transportation
and storage of spent nuclear fuel,” App.1Ga, then the
Fourth Circuit was wrong to uphold the mining ban
because it was conceded for purposes of the motion to
dismiss before the court that the Virginia statute like-
wise targets uranium milling and tailings manage-
ment. There is simply no daylight between the two

cases.

C. The Decision Below Conflicts with the
Second Circuit’s Holding in Entergy.

The opinion below conflicts just as sharply with
the Second Circuit's decision in Entergy. In that case,
the Vermont Legislature had attempted to shut down
a nuclear power plant by adopting a statute providing
that “a nuclear energy generating plant may be oper-
ated in Vermont only with the explicit approval of the
General Assembly.” 733 F.3d at 403. Like the Califor-
nia moratorium at issue in PG&E, this statute on its
face regulated only “the generation, sale, or transmis-
sion of electric power produced through the use of
nuclear facilities,” activities over which the AEA ex-
pressly preserves state authority. 42 U.S.C. § 2018.

Moreover, the Vermont Legislature included in its
statute a declaration specifically stating that the Act’s
purpose was not grounded in radiological safety con-
cerns, but rather was designed to foster a “larger soci-
etal discussion of broader economic and environmental
issues relating to the operation of a nuclear facility in
the state. .. .” Entergy, 733 F.3d at 403. Under PG&E,

32

all agree that a state law enacted for these non-radio-
logical-safety reasons would not be preempted.

The Second Circuit, however, refused to defer to
the statute’s stated purpose:

We do not blindly accept the articulated pur-
pose of [a state statute] for preemption pur-
poses. If that were the rule, legislatures could
nullify nearly all unwanted federal legislation
by simply publishing a legislative committee
report articulating some state interest or pol-
icy — other than frustration of the federal ob-
jective — that would be tangentially furthered
by the proposed state law.

Id. at 416 (brackets in original) (quotation marks omit-
ted). Instead, PG&E “requires us to conduct a ...
searching review to determine whether a statute was
enacted based upon radiological safety concerns,” id., a
review that included scrutinizing “the statute’s legis-
lative history to determine if it was passed with an im-
permissible motive,” id. at 418. After closely reviewing
the available evidence of legislative motivation, which
revealed that “both state legislators and regulators”
had with “remarkable consistency ... expressed con-
cern about radiological safety and expressed a desire
to evade federal preemption,” the court concluded that
“radiological safety [was] the Vermont legislature’s pri-
mary purpose in enacting the statute.” Jd. at 420. Ac-
cordingly, it struck the statute down.

The decision below conflicts with Entergy’s analy-
sis at every turn. Whereas the Second Circuit refused

33

to end its “inquiry ... at the text of the statute” and
“blindly accept [its] articulated purpose,” id. at 416, the
panel majority here would not “look past the statute's
plain meaning to decipher” the legislature’s genuine
motivations, App.l4a. Where Entergy conducted a
“searching review to determine whether a statute was
enacted based upon [impermissible] concerns,” 733
F.3d at 416, the Fourth Circuit below “decline[d] to ex-
amine why the Commonwealth chose to ban uranium
mining,” reasoning that “this is not . . . a case” that re-
quires “a more searching scrutiny of legislative intent,”

App. 15a.°

II. Review Is Needed Because the Decision
Below Threatens Critically Important Eco-
nomic and National Security Interests.

“The stakes in this case are significant.” App.21la
(Traxler, J., dissenting). Uranium mined by Petitioners
would be used to fuel the generators that produce one-
fifth of our electricity, to power our military’s nuclear
submarines and aircraft carriers, and to maintain our
arsenal of nuclear weapons. The decision below thus
directly impedes both our Nation’s effort to achieve en-
ergy independence and our national security, and it
threatens to upset the equilibrium that has developed

* The decision below also conflicts with the approach adopted
by the Ninth Circuit — and affirmed by this Court — in PG&E it-
self, which likewise held that the field preempted by the AEA is
defined by the purpose of the state law in question. Pacific Legal
Found. v. State Energy Res. Conservation & Dev. Comm'n, 659 F.2d
903. 922 (9th Cir. 1981), aff'd, PG&E, 461 U.S. 190 (1983).

34

in the lower courts over the appropriate allocation of
authority over atomic energy more broadly. An issue of
such import must be settled by this Court.

1. At least since 1992, Congress has recognized
“the national need to avoid dependence on imports” of
uranium. 42 U.S.C. § 2296b-6(a). Accordingly, it has
been the policy of the United States for the Govern-
ment to take “a continuing responsibility for the do-
mestic uranium industry to encourage the use of
domestic uranium.” 42 U.S.C. § 2296b-3(a). The Secre-
tary of Energy is required to “report annually” to Con-
gress “on action taken with respect to the domestic
uranium industry,” to “encourage States and utility
regulatory authorities to take into consideration” the
national interest in a healthy domestic uranium indus-
try, and to annually “report to the Congress on the pro-
gress of the Secretary in encouraging actions by State
regulatory authorities” in furtherance of this interest.

Id. §§ 2296b-3(a), 2296b-6(a)-(b).

The United States has repeatedly reiterated the
vital importance of the domestic uranium industry to
the Nation’s energy policy. For instance, a 2011 report
by the Government Accountability Office emphasized
that “|a] healthy and reliable domestic uranium indus-
try is considered essential to ensuring that nuclear
power remains a viable option for supplying the na-
tion’s energy needs.” App.366a-67a. And the Depart-
ment of Energy has likewise _ reaffirmed its
“commit[ment] to the maintenance of a strong domes-
tic uranium industry.” App.357a. By blocking the de-
velopment of the largest natural deposit of uranium in

35

the United States, the opinion below seriously impedes
these goals.

The decision of the Fourth Circuit also threatens
serious harm to our national security by completely
foreclosing access to the largest uranium deposit in the
United States. As noted above, the United States must
currently rely upon imports for 94 percent of the ura-
nium it consumes, much of which comes from Russia
and its client states. App.352a, 353a. Numerous mem-
bers of Congress have repeatedly stressed that estab-
lishing a domestic source of uranium — and curbing our
reliance or Russian-controlled sources — is a critical
national security imperative. See App.381a (Statement
of Sen. Portman) (“being reliant on foreign countries
including Russia for uranium” is “a national security
issue”); App.383a (Statement of Sen. Barrasso) (indi-
cating that “domestic uranium production is preferable
to being dependent on importing foreign uranium
from countries like Russia”); App.387a (Statement of
Sen. Cassidy) (“national security issues at stake”);
App.390a (letter from Rep. Ros-Lehtinen, Rep. Bachus,
Rep. King, and Rep. McKeon) (Russian control over
uranium supply “could threaten to impair the national
security of the United States”).

2. The Solicitor General has emphasized to this
Court the critical importance of the domestic uranium
industry to the United States’ economic and national
security interests. In urging the Court to review a Fed-
eral Circuit decision in favor of foreign uranium
distributors in an anti-dumping case, the Solicitor
General represented that a reliable domestic uranium

36

supply was “a matter of compelling importance to U.S.
national security interests,” since uranium is “used to
fuel the government-owned nuclear reactors that
produce tritium, a radioactive isotope necessary to
maintain the U.S. nuclear arsenal,” and — once further
enriched — is also used to fuel “the U.S. Navy’s nuclear-
powered submarines and aircraft carriers.” Petition for
Writ of Certiorari at 30, United States v. Eurodif, S.A.,
No. 07-1059 (Feb. 2008), App.347a-48a. Moreover,
weakening the domestic uranium industry also
“threatens to increase the United States’ dependence
on foreign energy sources.” Jd. at 31, App.349a. The
Court granted certiorari and ultimately reversed the
Federal Circuit’s ruling in favor of the foreign uranium
distributors. United States v. Eurodif S.A., 555 US.
305, 322 (2009). It should grant review here, too, for
the stakes are no less important.

3. Finally, while the impact of this case on the
supply of domestic uranium is alone significant enough
to warrant this Court’s review, the consequences of the
decision below are likely to affect the entire nuclear in-
dustry. The approach to AEA preemption adopted by
the majority would allow state and local governments
to second-guess the NRC’s judgments on a broad range
of issues related to atomic energy and radiological
safety that Congress has committed to its regulatory
authority.

Section 2021(k), as interpreted by this Court in
PG&E, governs the allocation of federal and state au-
thority not only over the uranium industry, but also
over every other matter within the NRC’s regulatory

37

ambit — including the construction and operation of nu-
clear power plants, 42 U.S.C. § 2133, the storage of
spent nuclear fuel, id. $§ 2073, 2092, 2093, 2111,
9901(b), and the conduct of scientific and medical re-
search into atomic erergy and materials, 42 U.S.C.
$§ 2051, 2053. This case is not the first — nor is it likely
to be the last — in which state or local governments,
based on localist concerns or alarmism, seek to frus-
trate or ban these activities, contrary to the national

interest.

Since this Court’s decision in PG&E, the lower
courts have developed an approach to preemption — ex-
emplified by the decisions in Skull Valley and Entergy
— that largely protects the national interest, as super-
intended by the NRC, against localist interference. See,
e.gz., Entergy, 733 F.3d 393; Skull Valley, 376 F.3d 1223;
Missouri v. Westinghouse Elec., LLC, 487 F. Supp. 2d
1076, 1085-86, 1088 (E.D. Mo. 2007) (consent decree at-
tempting to regulate the radiological safety of nuclear-
site decommissioning preempted); Abraham v. Hodges,
255 F. Supp. 2d 539, 553 (D.S.C. 2002) (state executive
order “prohibiting the transportation of plutonium
within South Carolina” preempted); Northern States
Power Co. v. Prairie Island Mdewakanton Sioux Indian
Cmty., 781 F. Supp. 612, 613 (D. Minn. 1991), aff’d, 991
F.2d 458 (8th Cir. 1993) (striking down tribal ordinance
regulating the transportation of “various radioactive
materials necessary to [a nuclear] power plant’s oper-
ation to and from the plant”); United Nuclear Corp. v.
Cannon, 553 F. Supp. 1220, 1224, 1230-32 (D.R.I. 1982)
(invalidating state’s attempt to impose $10 million

38

bond requirement on company engaged in radioactive
site decommissioning).

The panel majority’s ruling upends this equilib-
rium. Under the approach adopted below, a state or city
may freely override the better judgment of the NRC
concerning the radiological safety of any activity Con-
gress has authorized that agency to regulate exclu-
sively merely by pretextually regulating a related
activity that is facially within the local government’s
jurisdiction. So long as such a law “does not purport to
regulate an activity within the [AEA]’s reach,” the
Fourth Circuit’s holding bars courts from “conduct{ing]
a pretext analysis to ascertain [the] legislature’s true
motive.” App.15a, 18a; but see Skull Valley, 376 F.3d at
1253. Under the approach adopted below, courts may
not “look past the statute’s plain meaning to decipher
whether the legislature was motivated” by radiological
safety concerns. App.14a; but see Entergy, 733 F.3d at
416. But Congress has entrusted the NRC alone to
make the expert judgments necessary to balance the
twin national interests in utilizing atomic energy to
advance vital national security and energy policies
while at the same time ensuring the “protect{ion of]
the health and safety of the public.” 42 U.S.C. § 2012(e).

*

39

CONCLUSION

For the reasons set forth above, the Court should
grant the petition for writ of certiorari.

April 21, 2017 Respectfully submitted,

CHARLES J. COOPER
Counsel of Record
MICHAEL W. KIRK
JOHN D. OHLENDORF
Cooper & Kirk, PLLC
1523 New Hampshire
Avenue, N.W.
Washington, D.C. 20036
(202) 220-9600
ccooper@cooperkirk.com

Counsel for Petitioners

APPENDIX
TABLE OF CONTENTS

Opinion of the United States Court of Appeals
for the Fourth Circuit, Virginia Uranium, Inc.
v. Warren, No. 16-1005 (Feb. 17, 2017) .........0.00...... la

Opinion of the United States District Court for
the Western District of Virginia, Virginia Ura-
nium, Inc. v. McAuliffe, No. 4:15-cv-31 (Dec. 2,

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Constitutional Provisions and Statutes Involved

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42 U.S.C.
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As a candidate for governor, I’ve laid out a comprehen-
sive plan to meet our future energy needs and reduce
Virginia’s dependence on foreign oil. ... While I be-
lieve nuclear power should be part of a comprehensive
approach to energy here in the commonwealth, I also
strongly believe that the moratorium on uranium min-
ing should remain in place until scientists determine
that uranium mining does not pose a risk to the health
and safety of any Virginian.

The climate of Southside Virginia poses particular
challenges to the safe mining of uranium. Because it
often rains, there is a risk that radioactive material
produced by uranium mining and processing could
leach into groundwater. If such leaching occurred, it
could contaminate water supplies and endanger Vir-
ginians all over Southside, from Danville to Virginia
Beach. . .. As your governor, I will ensure that our en-
ergy future is not only plentiful and clean, but also safe

for all Virginians.

Senator Creigh Deeds, Letter, MARTINSVILLE BULLETIN,
Nov. 1, 2009, attached to Ohlendorf Decl. as Exhibit 56.

Creigh Deeds said Wednesday that if he is elected gov-
ernor in November, he expects to fulfill the state’s com-
mitment to complete the widening of U.S. 58 across
southern Virginia. ... He also said he supports the
study of uranium mining in Pittsylvania County but
“the proof threshold is high” to allow such mining in
the commonwealth.

246a

“I don’t see how you can mine uranium in any area of
Virginia. There’s too much rainfall. How do you de-
velop a liner and cap that will protect tailings from
contaminating the groundwater?” asked Deeds, who
formerly lived in Danville.

Ginny Wray, Deeds: Transportation, Cooperation Are
Key, MARTINSVILLE BULLETIN, May 28, 2009, attached
to Ohlendorf Decl. as Exhibit 57.

Deeds said that energy independence is a part of our
national security so he believes in a comprehensive ap-
proach, and nothing should be taken off the table. He
said, though, that he is not convinced that we have the

technology to make such mining safe.

Deeds said, when the issue came up in committee, he
asked two questions, one he knew the answer to and
the other he didn’t. The questions were:

1. What about the terrain in Pittsylvania County has
changed?
2. What about the science has changed?

The answer to question #1, which Deeds already knew,
was nothing. The terrain is such that the mining may
very well contaminate the groundwater and not just in
Pittsylvania County. The problem could very well ex-
tend beyond, down to Hampton Roads.

As for #2, he would like to see a study done by the Na-
tional Academy of Sciences. . . . The other issue is that
of radioactive waste. Deeds was quite concerned about
this, saying that radioactivity lasts forever, and even if

247a

the technology exists to clean it up — which he was very
skeptical of this being the case — the stigma of having
radioactive waste in an area may be too much to over-
come. Unless the technology exists to make uranium
mining safe, I think I understood Deeds’ position to be

that he would not support it.

Sen. Creigh Deeds Talks Sense on Uranium Mining,
SOUTHSIDE VIRGINIA AGAINST URANIUM MINING (Aug. 7,
2009), attached to Ohlendorf Decl. as Exhibit 58.

Shaul Ueatain endl ke ecaalioas Glider mauelecbont

We cannot embark on any legislation that could result
in endangering our water supply. Virginia Beach
worked too hard for too long to make sure the Lake
Gaston pipeline came to fruition. Any actions that
could possibly jeopardize our water supply must be re-
jected.

Voter Guide 2013 — House of Delegates 82nd District,
THE VIRGINIAN-PILOT, Oct. 27, 2013, attached to Ohlen-
dorf Decl. as Exhibit 59.

One notable bill that was scheduled to be heard in
last week’s meeting of the Agriculture, Conservation
and Natural Resources Committee was a measure that

would have lifted Virginia’s 30-year moratorium on
uranium mining. Our climate is distinctly different

248a

than that of most locations where uranium is currently
mined, and I believe that lifting the ban could have
posed serious threats to the Southside Virginia water
table and resulted in other significant environmental
concerns. After counting the votes of members of the
Agriculture, Conservation and Natural Resources
members, including mine, the patron of the legislation
decided to strike the bill, laying the issue to rest for
this session.

Senator Adam Ebbin, Medicaid Expansion, Transpor-
tation and Uranium Ban, MOUNT VERNON PATCH, Feb.
5, 2013, attached to Ohlendorf Decl. as Exhibit 60.

Environmental groups have been critical of uranium
mining because of concerns over a radioactive byprod-
uct known as “tailings,” a sand-like substance left over
after the uranium is milled. Some legislators say they
are concerned that the radioactive byproduct could
flow downstream into the Hampton Roads area. That
means Pittslvania County could see the economic ben-
efits while the Hampton Roads area has to deal with

the pollution.

“I don’t want to sell the public health at any price,” said
state Sen. Adam Ebbin (D-30). “We should be serious
about other kinds of economic development besides

dirty energy.”

Michael Lee Pope, Uranium Money Spreads Across Vir-
ginia in Radioactive Debate, ALEXANDRIA GAZETTE
PACKET, Nov. 27, 2012, attached to Ohlendorf Decl. as
Exhibit 61.

The proposed Coles Hill wu uranium site in Pittsylvania
County is located about a mile from the 1 Banister
River, which flows on through Halifax County, eventu-
ally into Buggs Island Lake. The Banister is part of the
Roanoke River Basin and this river has been named as
one of the 2011 10 most endangered rivers in the
United States because of its proximity to the proposed
mine... . I had the privilege of speaking to an ecology
class at Halifax County High School concerning some
of the dangers of uranium mining. I hope that I was
able to alert them to be vigilant on this issue.

Delegate James E. Edmunds II, Letter to the Editor,
CHATHAM STAR-TRIBUNE, Apr. 11, 2012, attached to
Ohlendorf Decl. as Exhibit 62.

A state wide fundraiser is being organized in hopes of
raising $100,000 in opposition of uranium mining. Del-
egate James Edmunds will host the fundraiser on his
Halifax County farm this September.... “If we’re
wrong with uranium mining we are wrong forever.
There is no whoops we messed up there, you’ve ruined
a lifestyle and generations of living in this part of the
state, and I’m just not prepared to give that up yet,” he
said.

Delegate Organizing Anti-Uranium Fundraiser, WSET,
June 28, 2012, attached to Ohlendorf Decl. as Exhibit
63.

Delegate James Edmunds is taking a huge stand
against uranium mining by hosting a fundraiser at his

250a

home Sept. 15 in hopes of raising $100,000 to fight the
ban to lift a 30-year state moratorium on uranium
mining. ... He said it was important to keep the ban
on uranium mining because of its impact on the public.

“All the studies done on uranium mining have indi-
cated that there is no 100 percent assurance that it can
be done safely. The same thing can be said when you
step outside in the morning, but the difference here is
if we are wrong and our water, air, and soil get contam-
inated, we’re wrong forever,” Edmunds said.

He explained the upkeep of the uranium mine could
become costly, and he questions where the money will
come from to pay someone to monitor the uranium
landfills that must be monitored forever after mining
has begun.

Edmunds said the stigma of uranium mining has al-
ready hurt economic development and property value
in the area.

Danielle Vaughn, Delegate Raising Money to Keep Ban
on Uranium Mining in Place, HALIFAX-GAZETTE-
VIRGINIAN, July 31, 2012, attached to Ohlendorf Decl.
as Exhibit 64.

Bills introduced last week would lift a moratorium on
uranium mining at the site here, known as Coles Hill.
Political supporters say that the mining would bring
economic benefits and that risks from radioactive
wastes, or tailings, can be safely managed. Opponents
fear the contamination of drinking water in case of an
accident, and a stigma from uranium that would deter

25l1a

people and businesses from moving to the area....
Delegate James E. Edmunds II, a Republican, said that
in the event that radiation leaked into the groundwa-
ter, his district would be one of the first affected.
“There’s no waiting for a big rain to clean it up,” he
said. “I’m not going to have that as my legacy.”

Trip Gabriel, Rift Widens over Mining of Uranium in
Virginia, N.Y. TIMES, Jan. 19, 2013, attached to Ohlen-
dorf Decl. as Exhibit 65.

[A] quintet of lawmakers — senators Frank Ruff of
Clarksville and Don Merricks of Chatham, and dele-
gates Tommy Wright, James Edmunds and Danny
Marshall, representing communities from Lunenburg
to Danville — wrote a letter to fellow legislators asking
in no uncertain terms that any attempt to lift the mor-
atorium be delayed.

December 28, 2011
Dear Colleague,

I hope each of you had a great Christmas and are look-
ing forward to 2012!

The National Academy of Sciences report on uranium
mining has been released, following similar reports by
Chmura Economics, the Danville Regional Foundation,
Virginia Beach and others. ... The reports are long
and detailed. Parts are dense and complex. What they
are not is boring. These reports deserve to be read, par-
ticularly the Academy’s sections on the risks to public
health and the environment. ... The serious threats

252a

that the Academy outlines deserve to be thoroughly ab-
sorbed and extensively debated by the public and
knowledgeable contributors before any decisions are
made. . . .With respect to the reports themselves, a few
observations are appropriate. All such reports are
shaped around a set of guiding assumptions. In these
cases, those assumptions include:

e The establishment and use by the com-
pany of internationally best practices in all ar-
eas.

e The use of best technology, whatever the
cost.

e The development and establishment and
financing of a credible regulatory structure.

e The assumption that there will be no con-
sequential management failures, system or
machinery failures, human error, external or

unexpected events.

Assumptions are just that, of course. There is no guar-
antee that best practices will be utilized. There is no
certainty that best technologies will be employed, par-
ticularly if they prove to be significantly more expen-
sive or constraining. Both the Academy and Chmura
make it clear there is no state or federal regulatory
scheme or expertise in place remotely sufficient to
monitor or regulate this industry.

An even larger concern is the inability to address ade-
quately those events that are unknown and unknowa-
ble as to time and circumstance. History teaches that
human error and/or system failures are inevitable. The

253a

unexpected happens. Design flaws show up after the
fact. The Academy cannot predict what or when or how
but anyone who has worked in complex industrial op-
erations knows that things will go wrong. Mistakes oc-
cur, hurricanes and earthquakes will happen. One only
has to read the newspaper to see the catastrophic con-
sequences of the failure of operations that were de-
signed and operated and regulated by the best and the
brightest. Three Mile Island, Chernobyl, the Chal-
lenger, Fukushima, Union Carbide come quickly to
mind — the question is not if these events will occur,
but when and at what cost.

It is notable that even assuming best practices and
best technology and extensive regulation, the reports
detail serious consequences to human health and the
environment that can be expected. It is not difficult to
conclude the Academy is sending clear warning signals
that mining and processing uranium in a wet climate
subject to flooding and extreme weather events in a
densely populated area is a very, very bad idea...

I close with the quote attributed to Paul Locke, chair-
man of the Academy committee that produced the re-
port.... “The report didn’t say you can mitigate all
risks. It said you can mitigate some risks”.

We are being asked to push through a proposal to lift
a thirty-year old ban on an industry with an abysmal
environmental record that, under the most optimistic
assumptions, experts conclude the most that can be ex-
pected is to reduce some of the quite serious risks to
the health and welfare of the surrounding community.

254a

How on earth can a responsible person take that gam-
ble?

Tom McLaughlin, Holding Pattern, S. BoSTON NEws &
RECORD & MECKLENBURG SUN, Jan. 25, 2012, attached
to Ohlendorf Decl. as Exhibit 66.

=m #72 = Sen: Joh an.S sR Edy yards

The company that wants to mine uranium in Virginia
is supporting a bill in the upcoming General Assembly
calling for regulations to govern the proposed mining,
according to lobbyists for Virginia Uranium. The move
is widely seen by environmentalists and others as a
way to authorize the mining while avoiding an up or
down vote on the controversial project.

.. Virginia state Sen. John Edwards, D-Roano..e, who
opposes the mine, says the vote on regulations is an
attempt to shift the focus away from a more difficult
debate.

“I can see how those who want to promote the uranium
mine would rather argue over the details of regulation
than the bigger question of can you do it safely and
protect public health and safety, the question of should
we do it at all,” Edwards says.

Rose Ellen O’Connor, End Run: Supporters of Uranium
Mining in Virginia Push Bill to Effectively Lift the Ban
Without an Up or Down Vote, NATURAL RESOURCES
NEwS SERVICE, Nov. 19, 2012, attached to Ohlendorf
Decl. as Exhibit 67.

DelaDavidtEnclin: —

= — , 7
wer Me : —
=

:
==
= 2 Ye, & f = oa eiitgéd 4

are starting to heat up in Virginia over ura-
nium mining. . . . In theory, I assume almost anything

.
*

292a

can be done safely within certain assumptions and
with enough money. The problem is that the assump-
tions are frequently wrong. Humans have frequently
proven to be very capable of under-estimating risk un-
til after the facts. . . .One key issue is the safety of stor-
ing the mining waste, waste that can get into drinking
water and containing elements that have been linked
to serious diseases. A critical question for me is what
kind of storage is planned, whether than storage is fea-
sible and whether it is safe. Some say the waste must
be contained for one thousand years. Uranium itself is
radioactive and highly toxic to human and environ-
mental health. ... Mining a material that could per-
manently destroy the Occoquan River and impair the
drinking water for millions is a non-starter for me. It
is unacceptable to me to subject anyone else to that

kind of risk.

Scott A Surovell, Uranium Mining: The Coming Battle
in Virginia, MOUNT VERNON GAZETTE, July 15, 2011, at-
tached to Ohlendorf Decl. as Exhibit 88.

No, because our water supply from Lake Gaston is too
important to the future of Virginia Beach. A potentially

compromised water supply would cripple our economy
and endanger our health for decades.

293a

Voter Guide 2013 — House of Delegates 85th District,
THE VIRGINIAN-PILOT, Oct. 27, 2013, attached to Ohlen-

dorf Decl. as Exhibit 89.

: a = =D el, Ron-Villan TAT

A company wants to mine uranium in ok contvel
Virginia. That would require the General Assembly
lifting a state ban on the practice. What is your posi-
tion on uranium mining in Virginia?

I have worked to protect our city’s primary water
source at Lake Gaston and will continue to oppose ef-
forts to lift the ban on uranium mining.

Election 2011 — Guide to Virginia House & Senate
Races, THE VIRGINIAN-PILOT, Nov. 7, 2011, attached to
Ohlendorf Decl. as Exhibit 90.

Villanueva opposes lifting the state’s ban on uranium
mining because of the risk to residents’ drinking water.

Davis, Villanueva for the House, THE VIRGINIAN-PILOT,
Oct. 16, 2013, attached to Ohlendorf Decl. as Exhibit
91.

Al po re of lawmakers — oonaters Frank Ruff of
Clarksville and Don Merricks of Chatham, and dele-
gates Tommy Wright, James Edmunds and Danny
Marshall, representing communities from Lunenburg
to Danville — wrote a letter to fellow legislators asking

294a

in no uncertain terms that any attempt to lift the mor-
atorium be delayed.

December 28, 2011

Dear Colleague,

I hope each of you had a great Christmas and are look-
ing forward to 2012!

The National Academy of Sciences report on uranium
mining has been released, following similar reports by
Chmura Economics, the Danville Regional Foundation,
Virginia Beach and others.... The reports are long
and detailed. Parts are dense and complex. What they
are not boring. These reports deserve to be read, par-
ticularly the Academy’s sections on the risks to public
health and the environment. ... The serious threats
that the Academy outlines deserve to be thoroughly ab-
sorbed and extensively debated by the public and
knowledgeable contributors before any decisions are
made. . . . With respect to the reports themselves, a few
observations are appropriate. All such reports are
shaped around a set of guiding assumptions. In these
cases, those assumptions include:

e The establishment and use by the com-
pany of internationally best practices in all ar-
eas.

© The use of best technology, whatever the
cost.

e The development and establishment and
financing of a credible regulatory structure.

295a

e The assumption that there will be no con-
sequential management failures, system or
machinery failures, human error, external or

unexpected events.

Assumptions are just that, of course. There is no guar-
antee that best practices will be utilized. There is no
certainty that best technologies will be employed, par-
ticularly if they prove to be significantly more expen-
sive or constraining. Both the Academy and Chmura
make it clear there is no state or federal regulatory
scheme or expertise in place remotely sufficient to
monitor or regulate this industry.

An even larger concern is the inability to address ade-
quately those events that are unknown and unknowa-
ble as to time and circumstance. History teaches that
human error and/or system failures are inevitable. The
unexpected happens. Design flaws show up after the
fact. The Academy cannot predict what or when or how
but anyone who has worked in complex industrial op-
erations knows that things will go wrong. Mistakes oc-
cur, hurricanes and earthquakes will happen. One only
has to read the newspaper to see the catastrophic con-
sequences of the failure of operations that were de-
signed and operated and regulated by the best and
the brightest. Three Mile Island, Chernobyl, the Chal-
lenger, Fukushima, Union Carbide come quickly to
mind — the question is not if these events will occur,
but when and at what cost.

It is notable that even assuming best practices and
best technology and extensive regulation, the reports

296a

detail serious consequences to human health and the
environment that can be expected. It is not difficult to
conclude the Academy is sending clear warning signals
that mining and processing uranium in a wet climate
subject to flooding and extreme weather events in a
densely populated area is a very, very bad idea...

I close with the quote attributed to Paul Locke, chair-
man of the Academy committee that produced the re-
port.... “The report didn’t say you can mitigate all
risks. It said you can mitigate some risks”.

We are being asked to push through a proposal to lift
a thirty-year old ban on an industry with an abysmal
environmental record that, under the most optimistic
assumptions, experts conclude the most that can be ex-
pected is to reduce some of the quite serious risks to
the health and welfare of the surrounding community.
How on earth can a responsible person take that gam-
ble?

Tom McLaughlin, Holding Pattern, S. BOSTON NEws &
RECORD & MECKLENBURG SUN, Jan. 25, 2012, attached
to Ohlendorf Decl. as Exhibit 66.

Legislators representing districts that encircle a ura-
nium deposit in Southside Virginia are asking their
colleagues to abandon any effort in the 2012 session to
end the state’s 30-year ban on mining the radioactive
ore. ... “My main concern is I’m opposed to it regard-
less of the reports,” Wright said. “Once our water sup-
ply and our lakes are polluted, it’s too late.”

297a

Southside Legislators: Keep State’s Uranium Mining
Ban in 2012, RICHMOND TIMES-DISPATCH, Jan. 3, 2012,
attached to Ohlendorf Decl. as Exhibit 92.

298a

AN AGREEMENT
BETWEEN
THE UNITED STATES NUCLEAR
REGULATORY COMMISSION
AND
THE COMMONWEALTH OF VIRGINIA
FOR THE
DISCONTINUANCE OF CERTAIN
COMMISSION REGULATORY AUTHORITY
AND
RESPONSIBILITY WITHIN THE
COMMONWEALTH PURSUANT TO
SECTION 274 OF THE ATOMIC ENERGY
ACT OF 1954, AS AMENDED

WHEREAS, The United States Nuclear Regulatory
Commission (the Commission) is authorized under
Section 274 of the Atomic Energy Act of 1954, as
amended, 42 U.S.C. §2011 et seg. (the Act), to enter
into agreements with the Governor of any State/
Commonwealth providing for discontinuance of the
regulatory authority of the Commission within the
Commonwealth under Chapters 6, 7, and 8, and Sec-
tion 161 of the Act with respect to byproduct materials
as defined in Sections 11le.(1), (3), and (4) of the Act,
source materials, and special nuclear materials in
quantities not sufficient to form a critical mass; and,

WHEREAS, The Governor of the Commonwealth of
Virginia is authorized under the Code of Virginia Sec-
tion 32.1-235, to enter into this Agreement with the
Commission; and,

299a

WHEREAS, The Governor of the Commonwealth of
Virginia certified on June 12, 2008, that the Common-
wealth of Virginia (the Commonwealth) has a program
for the control of radiation hazards adequate to protect
public health and safety with respect to the materials
within the Commonwealth covered by this Agreement,
and that the Commonwealth desires to assume regu-
latory responsibility for such materials; and,

WHEREAS, The Commission found on February 27,
2009 that the program of the Commonwealth for the
regulation of the materials covered by this Agreement
is compatible with the Commission’s program for the
regulation of such materials and is adequate to protect
public health and safety; and,

WHEREAS, The Commonwealth and the Commission
recognize the desirability and importance of coopera-
tion between the Commission and the Commonwealth
in the formulation of standards for protection against
hazards of radiation and in assuring that Common-
wealth and Commission programs for protection
against hazards of radiation will be coordinated and
compatible; and,

WHEREAS, The Commission and the Commonwealth
recognize the desirability of the reciprocal recognition
of licenses, and of the granting of limited exemptions
from licensing of those materials subject to this Agree-
ment; and,

WHEREAS, This Agreement is entered into pursuant
to the provisions of the Act;

300a

NOW, THEREFORE, It is hereby agreed between the
Commission and the Governor of the Commonwealth
acting on behalf of the Commonwealth as follows:

ARTICLE I

Subject to the exceptions provided in Articles II, IV,
and V, the Commission shall discontinue, as of the ef-
fective date of this Agreement, the regulatory author-
ity of the Commission in the Commonwealth under
Chapters 6, 7, and 8, and Section 161 of the Act with
respect to the following materials:

1. Byproduct materials as defined in Section

11e.(1) of the Act;

2. Byproduct materials as defined in Section
11e.(3) of the Act;

3. Byproduct materials as defined in Section
11e.(4) of the Act;

4. Source materials; and

Special nuclear materials in quantities not
sufficient to form a critical mass.

ARTICLE II

This Agreement does not provide for discontinuance of
any authority and the Commission shall retain author-
ity and responsibility with respect to:

1. The regulation of the construction and opera-
tion of any production or utilization facility or
any uranium enrichment facility;

301la

The regulation of the export from or import
into the United States of byproduct, source, or
special nuclear material, or of any production
or utilization facility;

The regulation of the disposal into the ocean
or sea of byproduct, source, or special nuclear
materials waste as defined in the regulations
or orders of the Commission;

The regulation of the disposal of such other
byproduct, source, or special nuclear materi-
als waste as the Commission from time to
time determines by regulation or order
should, because of the hazards or potential
hazards thereof, not be disposed without a li-
cense from the Commission;

The evaluation of radiation safety infor-
mation on sealed sources or devices contain-
ing byproduct, source, or special nuclear
materials and the registration of the sealed
sources or devices for distribution, as provided
for in regulations or orders of the Commis-
sion;

The regulation of byproduct material as de-
fined in Section 11e.(2) of the Act;

The regulation of the land disposal of byprod-
uct, source, or special nuclear material waste
received from other persons.

302a

ARTICLE III

With the exception of those activities identified in Ar-
ticle 11.1 through 4, this Agreement may be amended,
upon application by the Commonwealth and approval
by the Commission, to include one or more of the addi-
tional activities specified in Article Il, whereby the
Commonwealth may then exert regulatory authority
and responsibility with respect to those activities.

ARTICLE IV

Notwithstanding this Agreement, the Commission
may from time to time by rule, regulation, or order, re-
quire that the manufacturer, processor, or producer of
any equipment, device, commodity, or other product
containing source, byproduct, or special nuclear mate-
rial shall not transfer possession or control of such
product except pursuant to a license or an exemption
from licensing issued by the Commission.

ARTICLE V

This Agreement shall not affect the authority of the
Commission under Subsection 161b or 161i of the Act
to issue rules, regulations, or orders to protect the com-
mon defense and security, to protect restricted data, or
to guard against the loss or diversion of special nuclear
material.

303a

ARTICLE VI

The Commission will cooperate with the Common-
wealth and other Agreement States in the formulation
of standards and regulatory programs of the Common-
wealth and the Commission for protection against haz-
ards of radiation and to assure that Commission and
Commonwealth programs for protection against haz-
ards of radiation will be coordinated and compatible.

The Commonwealth agrees to cooperate with the Com-
mission and other Agreement States in the formula-
tion of standards and regulatory programs of the
Commonwealth and the Commission for protection
against hazards of radiation and to assure that the
Commonwealth’s program will continue to be compat-
ible with the program of the Commission for the regu-
lation of materials covered by this Agreement.

The Commonwealth and the Commission agree to keep
each other informed of proposed changes in their re-
spective rules and regulations, and to provide each
other the opportunity for early and substantive contri-
bution to the proposed changes.

The Commonwealth and the Commission agree to keep
each other informed of events, accidents, and licensee
performance that may have generic implication or oth-
erwise be of regulatory interest.

ARTICLE VII

The Commission and the Commonwealth agree that it
is desirable to provide reciprocal recognition of licenses

304a

for the materials listed in Article I licensed by the
other party or by any other Agreement State.

Accordingly, the Commission and the Commonwealth
agree to develop appropriate rules, regulations, and
procedures by which such reciprocity will be accorded.

ARTICLE VIII

The Commission, upon its own initiative after reason-
able notice and opportunity for hearing to the Com-
monwealth, or upon request of the Governor of the
Commonwealth, may terminate or suspend all or part
of this agreement and reassert the licensing and regu-
latory authority vested in it under the Act if the Com-
mission finds that (1) such termination or suspension
is required to protect public health and safety, or (2)
the Commonwealth has not complied with one or more
of the requirements of Section 274 of the Act.

The Commission may also, pursuant to Section 274j of
the Act, temporarily suspend ail or part of this agree-
ment if, in the judgment of the Commission, an emer-
gency situation exists requiring immediate action to
protect public health and safety and the Common-
wealth has failed to take necessary steps. The Commis-
sion shall periodically review actions taken by the
Commonwealth under this Agreement to ensure com-
pliance with Section 274 of the Act which requires a
Commonwealth program to be adequate to protect
public health and safety with respect to the materials
covered by this Agreement and to be compatible with
the Commission’s program.

305a

ARTICLE IX

This Agreement shall become effective on March 31,
2009, and shall remain in effect unless and until such
time as it is terminated pursuant to Article VIII.

Done at Rockville, MD, in triplicate, this 4th day of
March, 2009.

FOR THE UNITED STATES NUCLEAR
REGULATORY COMMISSION

LRA/

Dale E. Klein, Chairman
Done at Richmond, Virginia, in triplicate this 18th day
of March, 2009.

FOR THE COMMONWEALTH OF
VIRGINIA

LRA!
Timothy M. Kaine, Governor

306a

In the Supreme Court of the United States

No. 04-575

DIANNE R. NIELSON, EXECUTIVE DIRECTOR, UTAH
DEPARTMENT OF ENVIRONMENTAL QUALITY, ET AL.,
PETITIONERS

Uv.

PRIVATE FUEL STORAGE, L.L.C., ET AL.

ON PETITION FOR A WRIT OF CERTIORARI
TO THE UNITED STATES COURT OF APPEALS
FOR THE TENTH CIRCUIT

BRIEF FOR THE UNITED STATES
AS AMICUS CURIAE

This brief is submitted in response to the Court’s
order inviting the Solicitor General to express the
views of the United States. In the view of the United
States, the petition for a writ of certiorari should be

denied.

STATEMENT

Following a publicly-announced proposal by re-
spondents, a private consortium of electric utilities and
an Indian tribe, to develop a storage facility for spent
nuclear fuel on Indian land in the State of Utah, the

307a

State enacted a series of comprehensive and interre-
lated statutes to ban or limit the storage and transpor-
tation of spent nuclear fuel. The Tenth Circuit held
that respondents’ challenge to those statutes was ripe
for review and that most of the statutory provisions
were preempted by the Atomic Energy Act of 1954
(AEA), 42 U.S.C. 2011 et seg. Those rulings are correct
and do not warrant further review by this Court.

1. In the AEA, Congress vested the Nuclear Reg-
ulatory Commission (NRC) with “exclusive jurisdiction
to license the transfer, delivery, receipt, acquisition,
possession and use of nuclear materials. Upon these
subjects, no role was left for the states.” Pacific Gas &
Elec. Co. v. State Energy Res. Conservation & Dev.
Comm’n, 461 U.S. 190, 207 (1983) (citations omitted);
Silkwood v. Kerr-McGee Corp., 464 U.S. 238, 249-250
(1984). The AFA also preempts state laws that have a
purpose to address “protection against radiation haz-
ards,” 42 U.S.C. 2021(k), or that have a “direct and sub-
stantial effect on the decisions made by those who
build or operate nuclear facilities concerning radiolog-
ical safety levels.” English v. General Elec. Co., 496 U.S.

72, 85 (1990).

Spent nuclear fuel (SNF), which is highly radioac-
tive, must periodically be removed from commercial
nuclear reactors. Pacific Gas, 461 U.S. at 195-196.
“While the AEA does not specifically refer to the stor-
age or disposal of spent nuclear fuel, it has long been
recognized that the AEA confers on the NRC authority
to license and regulate the storage and disposal of such
fuel.” Bullcreek v. NRC, 359 F.3d 536, 538 (D.C. Cir.

308a

2004). Pursuant to the AEA, the NRC has promulgated
regulations providing a comprehensive procedure for
the licensing of temporary SNF storage installations in
order to ensure safe storage of the material. 10 C.F.R.
Pt, 72. Congress addressed the permanent disposal of
SNF (as well as high level radioactive waste) in the
Nuclear Waste Policy Act of 1982, 42 U.S.C. 10101 et
seq., which provides for the study and eventual devel-
opment of a permanent geologic repository. Nuclear
Energy Inst., Inc. v. EPA, 373 F.3d 1251, 1258-1262
(D.C. Cir. 2004).

“As of 2003, nuclear reactors in the United States
had generated approximately 49,000 metric tons of
spent nuclear fuel. Most of this waste is currently
stored at reactor sites across the country. * * * By the
year 2035, the United States will have produced
105,000 metric tons of nuclear waste — approximately
twice the current inventory.” Nuclear Energy Inst. v.
EPA, 373 F.3d at 1258 (citations omitted). Facilities for
the storage and disposal of SNF are therefore essential
to sustain the viability of nuclear power as an energy
source. Pacific Gas, 461 U.S. at 195196 & n.2.

Since 1997, respondent Private Fuel Storage
(PFS) has sought a license from the NRC to build and
operate a temporary SNF storage facility on Utah land
belonging to respondent the Skull Valley Band of
Goshute Indians that is located southeast of Salt Lake
City. Pet. App. 4a, 56a. The proposed facility would pro-
vide storage capacity for utilities that seek offsite stor-
age of the SNF, until such time as the permanent
geologic repository is operational. Expressing specific

309a

concern about the safety of PFS’s efforts, Utah passed
a series of statutes between 1998 and 2001 that the
courts below found were designed to block the pro-
posed facility. Jd. at 5a, 37a, 47a, 49a-50a, 52a, 56a-57a,
63a. They are summarized briefly below.

a. Utah’s Licensing Regulations. Part 3 of Utah’s
Radiation Control Act requires a SNF storage facility
that has been licensed by the NRC also to obtain a
state license for construction and operation. Utah Code
Ann. § 19-3-304. The licensing scheme requires exten-
sive analysis of health and safety issues related to the
storage of SNF, Jd. §§ 19-3-301(2)-(4), 19-3-304 to 19-3-
307. The applicant also must provide Utah’s Depart-
ment of Environmental Quality (DEQ) with extensive
information related to health and safety aspects of the
proposed installation. Jd. § 19-3-305. The license may
not be issued unless DEQ finds the information in the
application sufficient to support a variety of specific
findings related to the health and safety effects of the
facility. Id. § 19-3-306. The applicant must satisfy
DEQ, for example, that “the wastes will not cause or
contribute to an increase in mortality, an increase in
illness, or pose a present or potential hazard to human
health or the environment.” Jd. § 19-3-306(3). The ap-
plicant must also provide information on topics such as
groundwater, security plans, quality assurance pro-
grams, radiation safety programs, and emergency
plans. Jd. § 19-3-305. All of those areas are regulated
by the NRC under 10 C.F-R Part 72 in order to protect
human health and safety and the environment.

310a

Part 3 also imposes substantial application and li-
censing fees. The applicant must pay a non-refundable
“initial fee” of $5 million and thereafter “shall * * * pay
an additional fee to cover the costs to the state associ-
ated with review of the application, including costs to
the state and the state’s contractors for permitting,
technical, administrative, legal, safety, and emergency
response reviews, planning, training, infrastructure,
and other impact analyses, studies, and services re-
quired to evaluate a proposed facility.” Utah Code Ann.
§ 19-3-308(1)(a) and (b). The applicant must also post
a bond of “at least” $2 billion, or “a greater amount as
determined * * * to be necessary to adequately respond
to,” among other things, “any reasonably foreseeable
releases.” Id. § 19-3-306(10) (emphasis added),

b. Unfunded liability payment. Part 3 further re-
quires the operator of an SNF storage facility to pay to
the State an amount equal to 75% of the “unfunded po-
tential liability” of the project. Utah Code Ann. § 19-3-
319(3Xa). That amount will be determined by DEQ
based upon the health and economic costs expected to
result from “a reasonably foreseeable accidental re-
lease” of SNF. Id. § 19-3-301(5)(a). Under those provi-
sions, the DEQ may require payment of an additional
amount above the level of insurance that the NRC de-
cides to require in ime project license. Pet. App. 44a-
45a.

c. Revocation of limited liability. Part 3 also re-
vokes statutory and common-law limited liability for

3lla

officers, directors, and equity-interest owners of com-
panies operating SNF storage facilities in Utah. Utah
Code Ann. § 19-3-318.

d. County planning requirements and the prohi-
bition on providing municipal services. Utah’s legisla-
tion also includes county planning requirements. Pet.
App. 36a, 75a. Among other things, county govern-
ments must either ban the storage and transportation
of SNF, or adopt a comprehensive land use plan con-
taining detailed information regarding the effects of
any proposed SNF site upon public health and welfare.
Utah Code Ann. § 17-27-301. The plan also must
include “specific measures to mitigate the effects of
high-level nuclear waste and greater than Class C ra-
dioactive waste and guarantee the health and safety of
the citizens of the state.” Id. § 17-27-301(3)(a)(iii). In
addition, a county “may not provide, contract to pro-
vide, or agree in any manner to provide municipal-type
services * * * to any area under consideration for a
storage facility or transfer facility for placement of
high-level nuclear waste, or greater than Class C radi-
oactive waste.” Id. § 17-34-1(3).

e. Transportation provisions. Utah also enacted
provisions related to roads and railroad crossings that
may be needed for access to an SNF storage facility in
Utah. Utah Code Ann. §§ 544-15, 72-3-301, 72-4-
125(4), 78-34-6(5); Pet. App. 8a-9a. One of the provi-
sions divests the county of control over the only road
providing access to PFS’s proposed SNF storage facil-
ity, by designating the road a state highway. Utah Code

312a

Ann. § 72-4-125(4); Pet. App. 8a. Another provision re-
quires that, before a disputed petition for a railroad
crossing filed by an entity engaged in SNF storage may
be resolved, the Governor and the state legislature
must concur in the decision — a requirement that is im-
posed only on entities engaged in SNF storage. Utah
Code Ann. § 54-415(4)(b); Pet. App. 8a."

2. Respondents challenged Utah’s statutes in the
United States District Court for the District of Utah,
arguing, inter cilia, that they were preempted by the
AFA. In July 2002, the district court issued an order
holding that respondents had standing to sue, that
their claims were ripe for review, and that the relevant
statutes were preempted by the AEA. Pet. App. 54a-
77a.

3. The court of appeals affirmed. Pet. App. la-
53a. The court held that respondents’ preemption
claims were ripe for review because the question of
preemption is predominately legal and therefore fit for
judicial resolution. Jd. at 23a-24a. The court also rea-
soned that postponing review would impose a substan-
tial hardship on the parties. Jd. at 24a. On the merits,
the court affirmed the district court’s holding that the

' Utah also passed certain provisions that require drug and
alcohol testing of employees of »ompanies engaged im SNF storage
and authorize litigation to determine water rights in areas under
consideration for SNF storage. The district court rejected re-
spondents’ Commerce Clause challenge to those provisions, Pet.
App. 77a-80a, and that ruling was not appealed. Jd. at 5a.

313a

challenged statutes regulated in the area of nuclear
safety and therefore were preempted. Jd. at 25a-53a.

DISCUSSION

The court of appeals applied well-established legal
principles governing ripeness and preemption to the
unique circumstances of this case and concluded that
Utah’s statutory scheme is preempted. That decision is
correct, and does not conflict with any decisions of this
Court or any court of appeals. Further review is not
warranted.

A. The Ripeness Question Does Not Merit Re-
view

* * *

B. The Court Of Appeals’ Application Of Field
Preemption Principles To The Circumstances
Of This Case Does Not Merit Review

On the merits of the preemption issue, petitioners
argue that the court of appeals’ decision violates the
standards for facial preemption of state law, because
respondents allegedly have not shown that the state
laws are invalid in all of their applications. Pet. 13. Pe-
titioners thus fault the courts below for not determin-
ing whether any of the laws could be validly applied to
serve interests other than the regulation of radiologi-
cal safety. Pet. 19-27. But this is not a case where gen-
erally applicable safety laws are preempted as applied

31l4a

to a federally-preempted field, like nuclear safety reg-
ulation. Here, the lower courts found that the entirety
of the series of interrelated laws at issue here were tar-
geted specifically to regulate the safety aspects of the
proposed waste facility and were designed to halt the
construction and operation of the proposed facility
based on radiation hazard concerns. In light of those
factual determinations, the decision to find the entire
statutory scheme preempted on its face is correct.
Moreover, the case-specific determination of the lower
courts does not merit this Court’s review and is correct
in any event.

1. “[S)tate law is pre-empted where,” inter alia,
“it regulates conduct in a field that Congress intended
the Federal Government to occupy exclusively.” Eng-
lish, 496 U.S. at 79. When Congress so intends, it is said
to have preempted the “field,” zbid., and thus a state
law addressed specifically to the pre-empted field is in-
valid on its face, i.e., in all of its applications. “When
the federal government completely occupies a given
field or an identifiable portion of it, * * * the test of
[field] pre-emption is whether ‘the matter on which the
State asserts the right to act is in any way regulated
by the Federal Act.’” Pacific Gas, 461 U.S. at 212-213
(quoting Rice v. Santa Fe Elevator Corp., 331 U.S. 218,
236 (1947)).

Congress has preempted the field of nuclear safety
regulation. Pacific Gas, 461 U.S. at 212-213; English,
496 U.S. at 82. As the Court has explained, “|s]tate
safety regulation is not preempted only when it

315a

conflicts with federal law[;] [rlather, the federal gov-
ernment has occupied the entire field of nuclear safety
concerns.” Pacific Gas, 461 U.S. at 212. Thus, the AEA
preempts any state legislation that falls within “the
field of nuclear safety concerns.” Jd. at 212-213; accord
id. at 208 (“the safety of nuclear technology [is] the ex-
clusive business of the federal government”).

For those reasons, petitioners err in relying on
California Coastal Commission v. Granite Rock Co.,
480 U.S. 572, 588-589 (1987), in which the Court held
that a state permitting scheme was not facially
preempted because it was possible that the scheme
could be implemented as an exercise of permissible
environmental regulation. That decision did not in-
volve any issue of field preemption, and thus sheds
no light on the question presented in this case. Id. at
589 (noting that field preemption was “concededly not
the case”). Moreover, the Court emphasized that the
allegedly preempting federal regulations specifically
contemplated state regulation in the field of environ-
mental protection, which is, of course, a contemplation
at odds with any theory of field preemption. /d. at
583-589. Here, by contrast, the federal government ex-
clusively regulates the field of nuclear safety and the
“licens[ing] [of] the transfer, delivery, receipt, acquisi-
tion, possession, and use of nuclear materials.” Pacific
Gas, 461 U.S. at 207.°

° For similar reasons, petitioners err in relying on lower
court decisions that declined to find a law preempted in areas of
the law other than the field of nuclear safety. Pet. 28-29. None of

316a

2. In this case, the court of appeals carefully re-
viewed Utah’s statutory scheme and determined that
it was targeted to and regulated exclusively in the
preempted field of nuclear safety. The Tenth Circuit
specifically found that Utah’s statutes were motivated
by concerns about nuclear safety and directly ad-
dressed the field of radiation hazards. Pet. App. 37a,
47a, 49a-50a, 52a. Although petitioners argue that
Utah’s purpose in protecting against radiation hazards
does not bring the challenged legislation within the
preempt

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385016_0744%3A02. Public record. Not legal advice.
