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Material Changes: NRC Proposes Overhaul of Byproduct Materials Regulations

As part of its wholesale regulatory review pursuant to Executive Order 14300 and direction in Executive Order 14267 to reduce regulatory barriers that may limit competition or create unnecessary barriers to new market entrants, the NRC has identified requirements within its byproduct materials regulations that could be revised, deleted, or modified. On May 18, 2026, the NRC issued a proposed rule to amend these regulations.

The proposed rule is wide-ranging and promises potential benefits to byproduct materials users across many industries, whether regulated by the NRC or its Agreement States. The changes proposed would eliminate outdated requirements, better align requirements to radiological risk, and streamline the byproduct materials licensing process to reduce the regulatory burden on licensees and the administrative burden on the NRC. The rulemaking package also included a Regulatory Analysis of the proposed rule and redline strikeouts showing the proposed changes to the affected regulations.

Among the most significant changes are proposed revisions to decommissioning financial assurance requirements that would increase the thresholds triggering these obligations and related decommissioning plan requirements. The NRC also proposes creating five technology-specific “general licenses” that could allow qualifying entities to avoid the expense and administrative burden associated with applying for and obtaining specific, or individual, licenses.

Additional proposed changes would streamline reporting requirements and harmonize possession limits across NRC regulations. Collectively, these changes could significantly reduce compliance and administrative burdens for some byproduct material users.

Reduction of Decommissioning Financial Assurance Requirements

The proposed rule would substantially revise the decommissioning financial assurance requirements in 10 CFR Parts 30 and 70 by updating the radionuclide activity values used to determine when licensees must provide financial assurance or submit decommissioning funding plans.

Currently, the NRC ties these requirements to the values in Part 30, Appendix B. The NRC determined that those values are overly restrictive and impose financial and regulatory burdens that are not commensurate with the risks associated with these possession limits. The NRC therefore proposes replacing the current Appendix B values in Part 30 with generally less restrictive radionuclide values in Part 20, Appendix C.

This change would also:

  • Add radionuclides not currently listed in Part 30, Appendix B that are associated with emerging medical and industrial technologies; and
  • Remove radionuclides with half-lives of 120 days or less from decommissioning financial assurance consideration in Part 30 and Section 70.25.

The proposed changes to the decommissioning financial assurance requirements will also address the issues raised in the Organization of Agreement States’ 2017 Petition for Rulemaking (PRM-30-66). In particular, the NRC proposes to provide specific possession values for naturally occurring and NARM radionuclides not currently listed in Appendix B so that licensees, particularly medical licensees, using these isotopes would not have to calculate decommissioning funding requirements.

Creation of a New Standard General License

The NRC proposes adding a new subpart C to 10 CFR Part 31 that would create a standard general license (SGL) framework and five technology-specific SGLs. A “general license” is issued by regulation and grants authority to entities conducting the activities specified in that regulation, without the need for the user to file an application with the NRC or obtain a licensing document issued to a particular person or entity.

As proposed, the SGLs would authorize commercial and industrial firms, research, educational and medical institutions, individuals in the conduct of their business, and federal, state, or local government agencies to possess, use, or transfer byproduct material in:

  • Fixed gauges
  • Portable gauges
  • Certain medical uses
  • Analytical equipment
  • In-vitro testing

The SGLs would be granted by regulation but would require registration with the NRC, the payment of fees, and ongoing compliance with programmatic controls.

Entities operating under an SGL would be required to keep inventories of byproduct materials below thresholds that would otherwise trigger the need for a specific license, although entities could elect to remain specifically licensed.

Compared to specific licenses, the SGLs would involve lower application and annual fees and would eliminate certain licensing correspondence requirements, such as amendment requests. SGL holders would nevertheless remain subject to NRC inspection programs comparable to those applicable to specific license holders.

In conjunction with the proposed rule, the NRC released for public comment Interim Staff Guidance on SGLs to provide criteria for the NRC staff and Agreement State regulators to implement an SGL program and evaluate SGL registrations.

Changes to the Agreement State Program

The NRC is proposing several changes intended to streamline reciprocity requirements and NRC oversight of certain low-risk activities involving special nuclear material. Most notably, the proposed rule would eliminate Section 150.14, thereby removing the requirement that Agreement State licensees possessing special nuclear material of low strategic significance comply with the physical protection requirements in Section 73.67. Oversight of those materials would remain with the Agreement States.

The proposed rule would shorten the filing deadline for reciprocity requests under Section 150.20 from three days before the work begins to the first day of activity. The proposed rule would also modify reciprocity provisions to recognize SGLs issued by Agreement States. If adopted, those changes would allow SGL licensees to conduct activities in an NRC jurisdiction for up to 180 days without obtaining a specific license from the NRC.

The NRC also released draft Interim Staff Guidance on Reciprocity with questions and answers about the changes to reciprocity requirements.

Changes to the General License in 10 CFR 31.5

The proposed rule would make several updates to the general license in Section 31.5 for byproduct material contained in certain measuring devices and devices that produce light or an ionized atmosphere. The NRC proposes allowing electronic submission of registration information and address changes to reflect current communication practices.

The proposal would also extend the allowable holding period for unused devices from two years to 36 months and reduce inventory requirements for standby devices from quarterly to semi-annually.

Increase to Activity Limits for In Vitro Testing

The proposed rule would revise the general license in Section 31.11 governing the use and possession of radionuclides for in vitro clinical and laboratory testing. The NRC proposes increasing the prepackaged limits for the following radionuclides:

  • Carbon-14, selenium-75, and cobalt-57 from 10 microcuries to 100 microcuries
  • Hydrogen-3 (tritium) from 50 microcuries to 1,000 microcuries

If finalized, these changes would allow some entities currently operating under a specific license to transition to a general license. The revisions would also align Section 31.11 limits with the labeling and exempt quantity thresholds in Part 20, Appendix C and Section 30.71, Schedule B.

Elimination of Annual Reporting Requirements for Exempt Consumer Products

The NRC proposes to eliminate the annual reporting requirements that apply to distributors of exempt consumer and commercial products containing small quantities of byproduct or source material (e.g., smoke detectors). Under the proposal, licensees who distribute products under Sections 32.11, 32.14, 32.22, 32.26, 32.30, and 40.52 would no longer be required to submit annual transfer reports to the NRC.

Instead, they would be required to maintain transfer records and make them available to the NRC upon request. The NRC found that this reporting data was inconsistent and infrequently used, yet imposed a significant administrative burden on licensees and the agency.

Expanding Distribution Pathways for Microsources

The proposed rule would amend 10 CFR Part 32 to expand regulatory pathways for the preparation and distribution of radioactive microsources, including radioactive microspheres used in medical procedures such as intravascular brachytherapy.

The NRC proposes revising Section 32.72 to include microsources within its scope and allow commercial radiopharmacies and other authorized applicants to manufacture, compound, prepare, or distribute microsources under the same framework used for radioactive drugs. The proposed rule would also revise Section 32.74 to expressly address microsources and clarify that they may be distributed to any licensee authorized for medical use under Part 35.

Flexibility for Industrial Radiography Standards

The NRC proposes to replace the current requirement that industrial radiography equipment comply with ANSI N432-1980, which has since been superseded, with a more flexible performance-based framework.

Under the proposal, the NRC would remove prescriptive references to outdated ANSI standards and instead require radiography devices, source assemblies, and sealed sources to be evaluated and registered through the Sealed Source and Device Registry (SSDR). Equipment not evaluated under the SSDR would be required to comply with applicable manufacturer specifications.

Streamlining Well Logging Regulations

The proposed rule would streamline requirements for well logging operations involving radioactive material.

The NRC proposes to:

  • Extend the required calibration interval for radiation survey instruments from six months to 12 months;
  • Revise sealed source leak-testing requirements to permit testing frequencies consistent with the applicable SSDR certificate rather than a fixed six-month interval; and
  • Eliminate the requirement that licensees notify the NRC and obtain approval before implementing previously approved abandonment procedures for irretrievable sources.

Request for Comments

Comments on the proposed rule must be submitted by July 2, 2026.

The NRC is particularly interested in comments on the following:

  • The number of entities currently operating under a specific license for portable gauge activities, fixed gauge activities, limited medical uses, analytical equipment uses, and in vitro testing that would transition to using an SGL.
  • The costs and benefits associated with the proposed SGL framework.
  • Potential impacts of the proposed rule on small entities defined in Section 2.810.
  • The burden, content, and required timeframes associated with all event reporting and notification requirements in Parts 30–34 and 39.
  • Whether inoperable fixed gauges that operate with open shutters but have shutters stuck in the open position—posing no radiation hazard—warrant reporting and notification to the NRC. If reporting and notifications are warranted, the NRC is seeking comments on the appropriate timeline and content of the reports and notifications. Additionally, the NRC is seeking comments on what criteria related to fixed gauges with stuck shutters should be included to determine whether there exists a hazard to the workers, the public, or the environment as a result of the stuck shutter.

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