NEWS The Michigan Daily - Thursday, September 8, 2005 - 9A Research reactor causes concern among regulators COLUMBIA, Mo. (AP) - For Uni- versity of Missouri tailgaters, the name of the new parking lot down the hill from Memorial Stadium is little more than a curiosity: Reactor Field, a nod to the nearby nuclear research reactor. The nation's largest university-based reactor keeps an intentionally low local profile, despite its cutting-edge research into promising cancer drugs. But among regulators and nuclear energy watchdogs, it has a troubling distinction: The reactor is one of only two university reactors still unable to convert highly enriched uranium - an ingredient crucial to building nuclear weapons - to a safer fuel. "These things have been used for education for so long, the operators don't seem to accept they can be used for nuclear weapons," said George Bunn, a professor at Stanford Univer- sity's Center for International Security and Cooperation who helped negotiate the 1968 global Nuclear Nonprolifera- tion Treaty. As little as 25 kilograms (about 55 pounds) of highly enriched uranium is needed to build a nuclear bomb on the scale of the one dropped on Hiroshima 60 years ago. Smaller bombs could use as little as 12 kilograms, experts say. The Missouri reactor's federal license limits to five kilograms the amount of unirradiated, or "fresh" highly enriched uranium. The nation's other university reactor with fresh HEU is at the Massachusetts Institute of Technology. MIT officials declined to disclose the amount stored there, though previously published reports suggest at least nine kilograms are in the reactor at any given time. The distinction between irradiated and unirradiated fuel is significant. Once uranium-based fuel is doused with radiation, the number of isotopes rap- idly increases, making the fuel highly radioactive and unsuitable as a weapon. Research reactors sprouted worldwide in the wake of President Eisenhower's "Atoms for Peace" program in 1953, including at dozens of American colleg- es. But by 1978, Cold War tensions and security concerns prompted a Depart- ment of Energy initiative to convert the fuel at research reactors to the low- enriched alternative more commonly found at commercial power reactors. "Domestic and international security concerns dictate very strongly that we halt the use of research reactor fuels which contain highly enriched uranium because of its nuclear explosive proper- ties," then-Nuclear Regulatory Com- missioner Victor Gilinsky wrote to the MIT reactor director on Oct. 7, 1983. "Universities, especially, should make every effort to shift away from nuclear explosive fuels." At least 40 research reactors world- wide have already been converted, including those at the University of Michigan, Ohio State University and the Georgia Institute of Technology. The University of Florida and Texas A&M are scheduled to convert their reactors next year, and more federal money is budgeted to speed the work at the University of Wisconsin, Washing- ton, Purdue and Oregon State. The emphasis on conversion of Amer- ican research reactors only increased after the 2001 terrorist attacks, when the U.S. Nuclear Regulatory Com- mission ordered enhanced security at nuclear sites in the wake of concerns that terrorists would target such power supplies. That leaves Missouri and MIT among the 31 research and test reactors world- wide that cannot switch from highly enriched uranium because of technical limitations, primarily because of small- er reactor core sizes. The Department of Energy has set a target date of 2014 to convert the remaining reactors. At MIT, officials have set aside $50,000 to expedite the conversion process, said reactor director John Ber- nard. "If that fuel does get through its test phase, we're in a position to move rap- idly at that point," he said. "There's no reason not to convert." At Missouri, though, officials hope to upgrade the 10-megawatt reactor to 20 megawatts - an increase contingent on continued use of highly enriched uranium. Katrina's economic . effects assessed WASHINGTON (AP) - Hurri- cane Katrina will have a greater eco- nomic impact than previous killer storms, though the energy price spikes, slower growth and job losses will not be enough to push the country into a recession. That's the view of the Congressional Budget Office, which provided the gov- ernment's first assessment Qf the eco- nomic impact from the country's worst natural disaster yesterday. The CBO predicted the aftermath of Katrina would see job losses of - 400,000 in coming months, a reduc- tion in growth of as much as a full per- centage point in the second half of this year and that September gas prices will average about 40 percent higher than before the storm. These impacts were described as "significant but not overwhelming." Still, the CBO cautioned that the econ- omy could suffer a more serious blow if energy supply disruptions along the Gulf Coast last longer than expected. "Last week, it appeared that larger economic disruptions might occur, but despite continued uncertainty, progress in opening refineries and restarting pipelines now makes those larger impacts less likely," CBO Direc- tor Douglas Holtz-Eakin wrote in a letter to Senate Majority Leader Bill Frist (R-Tenn.) and other congressional leaders. The CBO gave a ballpark estimate that gasoline prices will peak in Sep- tember at about 40 percent higher than levels in effect in midsummer. That peak could be near, given that the aver- age retail price of regular unleaded gasoline climbed by 46 cents last week to $3.07 per gallon, 34 percent above the July nationwide average. The spurt in the cost of gasoline will reduce overall economic growth by 0.4 percent in the current July-September quarter and by 0.9 percent in the Octo- ber-December period as consumers cut back on spending in other areas by around $38 billion at an annualized rate, CBO estimated. CBO said overall economic growth, as measured by the gross domestic product, could be reduced by between 0.5 percentage point and a full percent- age point for the second half of this year but this downshift in growth should be temporary as long as gasoline prices retreat to pre-Katrina levels. Before the hurricane, private economists were forecasting growth in the second half would come in between 3 percent and 4 percent fol- lowing growth of 3.6 percent in the first half of this year. There have been some promising signs on the energy front in recent days with crude oil prices dropping as more Gulf Coast production resumes. The Energy Department said yesterday that domestic oil production and refinery output should return to pre-hurricane