Doug Bereuter: “This Member rises out of concern that because of reported executive action that is currently being contemplated by the…”

“This Member rises out of concern that because of reported executive action that is currently being contemplated by the President, the American taxpayer may soon be required to assume billions of dollars of liability for potential North Korean nuclear accidents. Under the Korean Energy Development Organization program, KEDO, the United States Government committed to the construction of two light-water nuclear reactors in North Korea with major financing from Japan and South Korea. These reactors are designed to diffuse the nuclear development program of the Democrat People's Republic of Korea, the DPRK, that it had operated and, presumably, used to divert weapons grade nuclear material. The new reactors are to be owned and operated by North Korea. Because North Korea is not known for its nuclear safety, some of the essential American construction firms have, quite understandably, refused to participate in the KEDO effort without insurance. Private insurance companies, sensing a lousy risk, want nothing to do with the KEDO program. As a result, the KEDO program could collapse under its own weight. In an effort to keep the KEDO program moving forward, some in the executive branch have proposed that the United States provide insurance guaranties for the KEDO program. Mr. Chairman, this is an enormous legal liability that is being contemplated by Executive Order.”