ACE Nuclear Energy Act of 2026
- Sponsor
- Sen. McCormick, David [R-PA]
- Committees
- Banking, Housing, and Urban Affairs Committee (primary)
- Last action
- Mar 26, 2026
Bottom line
The bill aims to enhance U.S. competitiveness in civil nuclear exports and improve EXIM's operational flexibility by adjusting how its default rate is calculated for nuclear projects and allowing market-competitive compensation for key staff.
What it actually does
This bill makes two key changes to the Export-Import Bank of the United States (EXIM). First, it mandates that EXIM exclude financing for civil nuclear facilities, materials, or technology from the calculation of its default rate. Second, it allows EXIM to compensate up to 100 employees without being subject to certain federal civil service pay provisions, enabling market-competitive salaries for specialized staff.
Proponents argue
Proponents argue that excluding civil nuclear financing from EXIM's default rate will encourage more robust support for U.S. nuclear energy exports, which are crucial for national security, global energy independence, and combating climate change. They also contend that allowing market-competitive salaries will help EXIM attract and retain top talent, improving its effectiveness in supporting complex U.S. export transactions.
Opponents contend
Opponents might argue that excluding certain financing from the default rate could mask the true risk profile of EXIM's portfolio, potentially leading to less prudent lending decisions and increased taxpayer exposure to high-cost nuclear projects. Concerns could also be raised about the fairness and transparency of exempting certain EXIM employees from federal pay scales, potentially creating an elite class within the agency and undermining federal civil service principles.
The bill is very short and can be read quickly, making it accessible for immediate understanding of its provisions.
Section 2, amending Section 8(g) of the Export-Import Bank Act of 1945 (12 U.S.C. 635g(g))
Exclusion of Civil Nuclear Financing from EXIM Default Rate
This provision mandates that the Export-Import Bank of the United States (EXIM) must exclude financing provided for transactions related to civil nuclear facilities, materials, or technology, or financing provided pursuant to section 2(l) of the Export-Import Bank Act, from its calculation of the default rate. This change is intended to prevent potential defaults on large, long-term nuclear projects from negatively impacting EXIM's overall reported default rate metric.
Supporters argue
Supporters argue this provision is essential to enable EXIM to compete effectively with state-backed export credit agencies from countries like Russia and China, which aggressively finance nuclear projects without similar default rate constraints. They contend it will level the playing field for U.S. nuclear exports, supporting high-tech jobs, national security interests, and climate goals.
Critics contend
Critics might argue that this exclusion creates an artificial picture of EXIM's financial health by selectively removing high-risk assets from its reported default rate. This could lead to a lack of transparency and potentially encourage EXIM to take on excessive risk in the nuclear sector, ultimately increasing the burden on taxpayers if projects fail.
Tradeoffs
The provision balances the desire to promote U.S. civil nuclear exports and compete internationally against concerns about transparency in financial risk reporting and potential increased taxpayer exposure to high-cost, long-term projects.
Section 3, amending Section 117 of the Export Enhancement Act of 1992 (Public Law 102-429; 12 U.S.C. 635a note)
Market-Competitive Compensation for EXIM Employees
This section authorizes the Board of Directors of the Export-Import Bank to compensate not more than 100 employees without being subject to certain federal civil service pay provisions (specifically, chapters 51, 53 subchapter III or VIII of title 5, U.S. Code). This allows EXIM to offer market-competitive salaries to a limited number of its staff, particularly those with specialized skills in finance, engineering, or international trade, to attract and retain top talent.