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HomeMy WebLinkAboutMahoney Lake Hydro Propsal for Engineering Feasibility 1993Proposal for Engineering, Feasibility, and Licensing Services Mahoney Lake Hydroelectric Project — Submitted to: The Cape Fox Corporation March 31, 1993. HDR Engineering, Inc. 500 - 108th Ave. NE, Suite 1200 Bellevue, Washington 98004 (206) 453-1523 March 31, 1993 Cape Fox Corporation Attn: Doug Campbell as PO Box 8558 Ketchikan, AK 99901 Subject: Proposal For Engineering, Feasibility and Licensing Services For The Mahoney Lake Hydroelectric Project Dear Doug: HDR is pleased to provide you with our proposal to perform engineering, feasibility and licensing services for the Mahoney Lake Project. Three copies of our proposal are attached. We have assembled a very well qualified and experienced team to perform this work for you and believe that we will be very effective from both a cost and schedule standpoint. We have proposed to do the work in phases in order to help firm-up the initial project costs and to provide Cape Fox Corporation with a means to review and re-authorize on-going work at several points along the development path. We have also made a strong attempt to keep up front development costs as low as possible while still developing the needed project information to support feasibility and licensing work. We are confident that by the end of the first phase of the work, financial feasibility will be firmly established and that any environmental or regulatory issues affecting the project will have been identified. Please review our proposal and let us know how you would like to proceed. We would be pleased to make a presentation to you or your Board if you think that would be necessary or helpful. We have also included proposed contract terms for your review and comment. If you have any questions, please contact me at (206) 453-1523. We look forward to working with you again on this project in the near future. AaZ C Neil Macdonald John J. "Jack" Snyder, PE Vice President Senior Project Manager Sincerely, DR Engineering, Inc. ce file, M. Stimac N. Macdonald B. Ryan (Anch) D. Howe HDR Engineering, Inc. Suite 1200 Telephone 500 108th Avenue, N.E. 206 453-1523 Bellevue, Washington 98004-5538 Table of Contents Section 1 Introduction 1 Section 2 Project Team 3 Section 3 Scope of Work 10 Section 4 Fee 23 Section 5 Proposed Contract Forms 24 Appendix A Site Surveying Services Proposal- R&M Engineering Appendix B Geotechnical Proposal- Shannon & Wilson Appendix C FERC License Application Regulations Attachments HDR Statement of Qualifications Cape Fox Corporation MAHONEY LAKE HYDROELECTRIC PROJECT Proposal for Engineering Services Feasibility Studies and FERC Licensing March 31, 1993 HDR Engineering, Inc. 500 - 108th Ave. NE, Suite 1200 Bellevue, WA 98004 SECTION 1 - INTRODUCTION In October 1992, HDR Engineering was first retained by the Cape Fox Corporation to make an assessment of the feasibility of constructing a hydroelectric project between Upper and Lower Mahoney Lakes, on lands owned by both the Cape Fox Corporation and the U.S. Forest Service (USFS), near Ketchikan, Alaska. Based on the results of that reconnaissance- level study, HDR assisted the Cape Fox Corporation and the City of Saxman in preparing a FERC Preliminary Permit Application, which was filed on March 12, 1993. Filing of the Preliminary Permit Application is the first step in the complex and lengthy FERC licensing process (applicable federal regulations are included in Appendix C). HDR is very experienced in preparing FERC License Applications, and we believe this experience will translate into cost and time savings for the Cape Fox Corporation. This proposal is being prepared at the request of the Cape Fox Corporation and includes consulting services in support of the preparation of a FERC License Application for this project. The work will consist of the following main components: (1) site visit and confirmation of major assumptions in the reconnaissance study, (2) site surveying and base map production, (3) site geotechnical and geological assessment, (4) confirming feasibility study and project cost estimate, (5) prepare initial and final consultation document, (6) conduct first stage agency consultation process, (7) perform environmental and other studies required for license application, (8) prepare draft license application and conduct agency consultation, (9) prepare and file final FERC License Application, and (10) prepare and file other required project permit applications needed to support the license application. HDR will also provide project management for HDR staff and all subcontractors to maintain the project schedule and to control expenditures. HDR will prepare and file all required FERC six-month progress reports and will also provide monthly written progress reports to the Cape Fox Corporation. We believe our proposal will provide a complete package of services that will result in a timely and very complete FERC License Application. This proposal is divided into four major sections, describing the proposed project team, the scope of work, the cost of the work, and the proposed contract arrangements. e:\nydro\props\mahoney 1 HDR has developed the following information and scope of work based on our understanding of the project. We welcome your close review and are prepared to discuss any aspect of the proposed services. It is our goal to provide the Cape Fox Corporation and the City of Saxman with the highest quality and most cost-effective engineering services. SECTION 2 - PROJECT TEAM The HDR Mahoney Lake Hydroelectric Project team will provide the Cape Fox Corporation with the best functional balance between cost and effective work products. Our very experienced team was selected for the project based on individual qualifications and experience, which are briefly discussed below. A proposed organization chart is also shown below. The project team consists of both HDR staff and two subcontractors, R&M Engineering, of Ketchikan, Alaska for surveying services and Shannon & Wilson, Inc., for geotechnical engineering services. HDR staff will be primarily located in our Bellevue, Washington office, with some support staff from our Anchorage, Alaska office. Anchorage staff will be particularly useful in coordinating with state resource agencies and the AEA. Shannon & Wilson is a full service geotechnical engineering firm located in Seattle, Washington with offices in Anchorage, Alaska. HDR has worked with Shannon & Wilson on a variety of hydroelectric projects in the past and believes it to be one of the most experienced and cost-effective firms for performing small hydroelectric project site reconnaissance. Shannon & Wilson has also provided geotechnical engineering input to many FERC License Applications in the past, and this experience helps make the firm both efficient and cost effective. R&M Engineering is a land surveying firm located in Ketchikan. It is one of the largest local firms and has considerable experience in producing the kind of mapping required for this project. R&M Engineering has worked in the Mahoney Lakes area in the past during previous feasibility studies and may be able to provide some information from those previous studies in support of this project. All communications about the project for the HDR team will be through a single point of contact, Project Manager Jack Snyder. We have found in the past that having a single point of contact for communications ensures important information passes back and forth between client and consultant with a minimum of problems. Throughout the work, the HDR project team will communicate regularly with the Cape Fox Corporation staff to be sure that they are kept fully informed on all project issues and their status. All agency communications by HDR will be documented by HDR in writing with copies provided to the Cape Fox Corporation. HDR will make sure all decisions about licensing strategies and other related project development decisions will be made by the Cape Fox Corporation with support and advice from HDR. Mahoney Lake Hydroelectric Project Proposed Project Organization Chart Cape Fox Corporation Project Manager Doug Campbell HDR Engineering, Inc. Project Principal Neil Macdonald, VP HDR Engineering, Inc. Project Manager Jack Snyder Surveying Geotechnical Engineering R&M Shannon & Wilson Don Thompson, P.E. Engineering : Inc. - Lead Mal Menzies William LaPrade Scott Mahnken, P.E. Paul Berkshire, P.E. Grady Stephens Regulato: i aoe Environmental P.E. Mike Sti , P.E. - mca Jon K. Dueker - Robert Butera Lead Lead Deborah Howe ! David Des Voigne Lisa Fortney A. Sonny Paz Suzanne Zolfo Mark Dalton e\hydro\props\mahoney KEY STAFF John J. "Jack" Snyder, P.E. - Project Manager/National Hydropower Technical Director Mr. Snyder has 19 years of experience in project management, project design, construction management, feasibility studies and project licensing, specializing in the design, operation and maintenance of hydropower generation projects, process plant equipment, and heavy rotating machinery. Mr. Snyder recently managed the construction, plant startup, equipment inspections and efficiency testing of several hydroelectric facilities, including a 13 MW project with 1,640 feet of head. Other recent assignments include management of final design on the 7.5 MW high head Youngs Creek hydroelectric project in Washington State and preliminary design of hydroelectric projects on Prince of Wales Island, in King Cove, Alaska and Valdez, Alaska. Mr. Snyder has also managed FERC License application preparation on seven different projects. He has been responsible for project planning, design, equipment selection, construction supervision, turbine installation, startup and testing, and establishing operation and maintenance programs. From 1986 through 1991 he was responsible for bringing the high- head 12-MW Koma Kulshan Project and the low-head 20-MW West Enfield Project through final design and construction management to online status, both ahead of schedule and under budget. On both projects, Mr. Snyder acted as onsite project manager through construction and startup, and setup the plants’ operation and maintenance programs. Neil H. Macdonald, Vice President - Project Principal Mr. Macdonald has more than 29 years of energy management and development experience including 14 years of national experience in working with federal and state fisheries agencies, and the U.S. Forest Service to license, design, and permit hydroelectric projects. He has coordinated FERC environmental studies, engineering feasibility, and licensing activities for over 100 different hydroelectric projects, and has specific management experience in the successful licensing of over $32.5 million of Northwest projects. Most recently he managed the HDR team in its design upgrade effort and licensing support for Puget Power’s 73 MW Snoqualmie Falls Hydroelectric Project relicensing activities. He has been the project manager for the 4 MW Enloe Project, the 5 MW Black Bear Lake Project on Prince of Wales Island in Southeast Alaska, and the 13 MW high head Koma Kulshan Project near Mt.Baker, Washington. He serves on the Washington State Hydro Task Force, is a member of the Washington State Wildlife Council, and is President of the Northwest Hydroelectric Association. Mr. Macdonald is an HDR Vice President and Corporate Officer, he is the National Program Manager for Hydropower. In this capacity, he has the ability to directly focus the resources of the company on any specific project under his authority. Donald J. Thompson, P.E. - Civil Engineering, Pipeline & Intake Diversion Mr. Thompson has 18 years of professional experience in planning, analysis, engineering design, and construction of power and water resource projects. He has been involved in the planning, design and construction management of small to medium-scale hydroelectric projects, including technical, environmental, economic and regulatory investigative studies, preparation of plans and specifications, and administering construction contracts. He has designed hydraulic structures such as power intakes, spillways, outlet works, and power conveyance facilities and has conducted flood encroachment studies and spillway raising \hydro\props\mahoney 5 sequence analyses. Recently, Mr. Thompson was project manager for planning, design and construction management for the Nacimiento Hydroelectric Project in California, where a 4.3 MW powerhouse was added to an existing water supply and flood control dam and reservoir. In addition, Mr. Thompson has been involved in all aspects of the FERC licensing process and is experienced in facilitating effective communication between government agencies, the public, engineers of varying disciplines, contractors, attorneys, economists, public and private utilities, and private developers. Mr. Thompson is currently involved with the preliminary design phase of upgrades to the Snoqualmie Falls Hydroelectric Project and the design of the replacement White River Diversion Dam and Intake. Grady Stephens, P.E. - Structural Engineering Mr. Stephens has more than 23 years of experience in the planning, design, and construction of concrete, steel and wood structures, pipelines, canals, and structure rehabilitation. He was the senior structural engineer on the Snoqualmie Falls Hydroelectric project and historical building restoration, where he was responsible for performing structural evaluation of existing and new structures and the design of powerhouse additions and related facilities. He recently completed the structural engineering for the dam and intake at the 7.5 MW Youngs Creek Hydroelectric Project. Paul Berkshire, P.E. - Civil Engineering, Pipeline Mr. Berkshire’s background includes civil and structural design, construction management, and system design. His experience includes civil planning, design and construction management, shop drawing, review, field inspections, and project management. Mr. Berkshire’s strong engineering background is combined with extensive computer and system design experience. His computer experience includes finite element analysis, simulation modeling, and software development. Mr. Berkshire has recently performed several structural stability analyses, including a three-dimensional finite stress analysis of a concrete arch dam. Scott Mahnken, P.E. - Civil Engineer Mr. Mahnken has more than 10 years of experience in engineering for hydropower, water resources, drainage, and flood control projects. Most recently, he reviewed shop drawings for powerhouse construction, designed an earth filled dam, gabion spillway and pipeline for a 450 kW hydro project in Alaska; was cofferdam inspector for tendon installations in a concrete dam, and performed powerhouse design and construction inspection for the Koma Kulshan Hydro project. He also assisted in the development of designs and plans of a fish passage facility at an existing dam. Michael V. Stimac - Regulatory and Environmental Team Leader During Phase 1 efforts, Mr. Stimac will lead HDR’s efforts on regulatory matters, agency meetings, and license amendment preparation and legislative start of construction, as necessary. Mr. Stimac will oversee all environmental efforts in both phases, if those services are required. Mr. Stimac has more than 24 years of engineering/environmental/licensing experience, the last 12 of which have included hydropower projects. He served as Puget Sound Power & Light Company’s Manager of Licensing and Regulation for a decade. In that capacity, he was responsible for management of license compliance, coordination of 5, 3, and 1 year €:\hydro\props\mahoney 6 inspections, and FERC liaison. Mr. Stimac directed the early phases of the relicensing process for the Snoqualmie Falls Project and the development, implementation, and annual testing, of the Emergency Action Plans for the Baker River and White River projects. He also managed basin screening studies and the development of license applications and on-going activities associated with the White River, Thunder Creek, Swift Creek, Park Creek, Noisy Creek, Koma Kulshan, Bear Creek, Tye River, Sandy Creek, and Nooksack Falls projects. Mr. Stimac’s experience includes coordination and liaison with the Washington State Departments of Fisheries, Wildlife, and Ecology, FERC, U.S. Fish and Wildlife Service, National Marine Fisheries Service, Corps of Engineers, and Northwest Power Planning Council. He also served as a member of the Washington State Hydropower Task Force. He is currently the project manager for the licensing activities associated with the Warm Creek, Skookum Creek, and Sullivan Creek projects. Deborah A. Howe - Environmental, Regulatory Coordinator Ms. Howe has prepared numerous FERC license exhibits and permit compliance plans and has worked directly with the designers to ensure that agency and permit requirements are incorporated into final designs. She is experienced in FERC regulations and highly proficient in acquiring and assembling information from various public agencies. She has worked on environmental studies and has conducted agency consultation for numerous hydroelectric projects in Alaska, Washington, Oregon, California, Idaho, and Montana. Ms. Howe participated in the preparation of environmental reports and compliance plans for a 30 MW high-head hydroelectric project located on the Pit River in northern California. She coordinated the preparation of the FERC licenses and prepared the Exhibit E’s for the Black Bear Lake Project in southeast Alaska and the Enloe Hydroelectric Project in eastern Washington. Ms. Howe also assisted in the preparation of major sections of the Relicense Application for the 73 MW Snoqualmie Falls Project in King County, Washington. She is currently conducting environmental studies and three-stage agency consultation process as part of the FERC License Application for two hydroelectric projects totalling over 13 MW in western Washington. Lisa Fortney - Regulatory Specialist Ms. Fortney has provided assistance in the agency consultation process by collecting data, coordinating agency meetings, and report writing. She is responsible for coordinating the production and distribution of all reports, correspondence, FERC License Applications, specifications, spreadsheets, and project filing for the HDR Seattle Hydropower Engineering Group. She was the regulatory/licensing coordinator for the 11.4 MW Sullivan Creek Hydroelectric Project in Pend Oreille County, Washington. Responsibilities include initiating first stage consultation and assisting in preparing license amendments. Suzanne Zolfo - Regulatory Specialist As a regulatory specialist and geologist, Ms. Zolfo’s experience includes permitting, licensing and geologic evaluation of a variety of hydroelectric projects. She has performed agency coordination, mitigation and enhancement planning and scheduling, geologic hazard and erosion analysis, and report writing for a broad range of environmental studies. She is experienced in local, state and federal regulatory agency permitting procedures, including SEPA/NEPA compliance and FERC procedures. €:\hydro\props\mahoney 7 Jon K. Dueker - Environmental For 20 years Mr. Dueker has designed, managed, and conducted numerous environmental studies and impact statement in the Pacific Northwest and Alaska. Projects include NEPA and SEPA EISs, fish and wildlife habitat utilization and mapping, wetland evaluations, wildlife management, and mitigation plans for more than $20 million in contracts for government and industry. These projects were as diverse as EISs for hydroelectric and nuclear powered generation facilities, and open-pit mines to the development of computerizable wetlands evaluation system and design of a national wildlife refuge. Mr. Dueker has also been responsible for project management, wildlife and terrestrial ecology studies, and habitat evaluation and management. He has contributed expertise in environmental impact studies, including NEPA and SEPA EISs for construction development projects, dams and other power generation facilities, mines, marinas, transmission lines, and solid waste disposal sites. He has also directed studies for, and preparation of, many permit applications, including U.S. Army Corps of Engineers Section 404 Permits, shoreline permits, and water quality and hydraulic permits. A senior Certified Wildlife Biologist, he has conducted more than 200 major studies involving wildlife management, habitat utilization, water impoundment fluctuations, wetland evaluations, mitigation plans, and habitat evaluation procedures. A. Sonny Paz - Wildlife Biologist Mr. Paz has more than 8 years of experience as a Wildlife Biologist. His experience includes NEPA and associated regulations, biological assessments for compliance with the Endangered Species Act, wildlife field techniques and methodology, as well as database application development. He organized and implemented a wildlife resource program for 300,000 acres of National Forest land. He has prepared and drafted NEPA documents, and biological assessments and evaluations. Mr. Paz initiated consultation and conferences with state and federal agencies, corporate land owners, and special interest groups. He served as interdisciplinary team member for 90 percent of USFS, North Bend district projects for proposed timber sales, land exchanges, land use permits, and capital investment projects. David M. Des Voigne, Ph.D - Environmental Science Mr. Des Voigne is an experienced project manager specializing in environmental impact analysis, water quality evaluations, EIS preparation, and permitting and mitigation planning. He managed and prepared environmental assessments and EISs for projects including a major marine construction facility for arctic offshore drilling; port facilities; marinas; a shopping center; a maximum security facility; a 26,000-acre pumped irrigation project; airport expansions; and subdivisions. Prior to construction of the Jackson Hydroelectric Project, Dr. Des Voigne served as project manager for hydrologic and water quality monitoring for the Sultan River Basin in Washington. Dr. Des Voigne managed numerous acute, chronic, and in situ bioassays for pulp mill effluents, geothermal power plant condensates, and dredged materials. He evaluated Idaho’s water quality standards relative to existing conditions and made recommendations for the redrafting of the standards. Dr. Des Voigne evaluated the impacts of geothermal development in northern California on salmonid species and completed an inventory of Columbia River hatcheries for the Bonneville Power Administration to evaluate the existing and potential production of salmonid species. :\hydro\props\mahoney 8 Robert Butera - Civil Engineering, Hydrology Mr. Butera is a civil engineer specializing in hydrology. He was responsible for collection and interpretation of meteorologic, hydrologic, and limnologic data for glacial lake temperature studies associated with the Susitna Hydroelectric Project. He conducted hydrologic studies for the Grant Lake Hydroelectric Feasibility Project and Akutan Hydroelectric Project. Mr. Butera also located and designed roads to material sites for development of the Bradley Lake Hydroelectric Project. Mr. Butera is located in HDR’s Anchorage office. Mark Dalton - Environmental Planning Mr. Dalton has more than 10 years of natural resources management, planning, and permitting experience in Alaska. His experience includes baseline wildlife surveys, hydrology research, revegetation and erosion control, and terrestrial ecology. He has worked closely with the Alaska Department of Environmental Conservation, Alaska Department of Fish and Game, U.S. Environmental Protection Agency, U.S. Fish and Wildlife Service, U.S. Corps of Engineers, and National Marine Fisheries service staff in conducting permitting, environmental impact assessments, and in developing mitigation measures. Mr. Dalton is also located in HDR’s Anchorage office. ¢:\hydro\props\mahoney 9 SECTION 3 - SCOPE OF WORK The following outlines the scope of work by task for conducting reconnaissance and updated feasibility analysis, licensing, and permitting for the proposed Mahoney Lake Hydroelectric Project. PHASE 1 - INITIAL STUDIES TASK 1 - SITE RECONNAISSANCE This task will involve a visit to the site by a team of qualified specialists to better assess the geological and physical conditions found at the site. The team will consist of the project manager, a geotechnical engineer, and a civil engineer. The site visit is anticipated to involve visiting the upper lake outlet and proposed powerhouse location, walking parts of the penstock route, and flying the access road/transmission line route. Videos and photographs will be taken of the project area during the site visit to fully document site conditions, to help reduce site visit requirements in the future, and to brief other team experts. The primary goal of the visit is to refine the proposed locations of the project features based on actual observations of field conditions and to confirm assumptions made during the reconnaissance study. The surface geology will be assessed to refine the proposed location of structures. At the same time, right-of-way requirements and potential environmental issues can be better assessed. The product of this task will be a site visit report. This report will be prepared immediately following the site visit and will include a discussion of preliminary findings and identification of potential problem areas. Any fatal flaws in the project or any revised project development plans that come to light as a result of the site visit will be identified in this report. Three copies of the site visit report will be submitted to the Cape Fox Corporation. TASK 2 - SURVEYING To perform additional feasibility studies and to prepare the FERC License Exhibit F drawings, survey maps of the project area need to be produced. Before performing any new ground surveys, a search of available survey records will be made to identify information that can be used for our work. Once all available records have been collected and analyzed, a survey program will be established to fill in any gaps in the information we need to continue with the project work. The program, including any existing data and new survey data as needed would meet the following criteria: e The project area, including areas around all proposed project facilities and access roads, lakes, drainage courses, will be surveyed. The method of survey will e:\hydro\props\mahoney 10 include setting ground control and flying the area for collection of photogrammetric data. e The surveyor will establish permanent benchmarks at the powerhouse site and at the lake outlet. Benchmarks will be tied to the global coordinate systems with both elevation and coordinates. ° The horizontal tie-in to global positioning will be done via satellite or other approved method. A high degree of accuracy for relative vertical elevation will be provided between the Mahoney Lake water surface, the powerhouse site, and the lower lake elevation. e Base maps will be developed using aerial photographic methods. They will include the project area between the north end of Mahoney Lake and the west end of Lower Mahoney Lake. Mapping will be tied into the global coordinate system. Appropriate levels of ground proofing will be performed to ensure accuracy at the locations where specific project structures will be located. Maps will be created in both hard copy ink on vellum and in digital form, on floppy disk. Final digital formats will be in AutoCAD using HDR layering and symbol conventions. Base maps will be 22-inch by 34-inch format with borders and title blocks. They will be prepared at a 1" = 100’ scale with 5-foot contour intervals. HDR has obtained a proposal from R&M Engineering from Ketchikan to perform a complete survey program as outlined above (see Appendix A). This program will result in survey information sufficient to support the FERC License Application, but will not be sufficient for use in final design. It is anticipated that at the time the License is issued, more funds will be available to perform additional surveying at that time, rather than spending considerably more money at this time to obtain data that will not be needed until final design. If the Cape Fox Corporation wishes to perform complete site surveying work now, this work task can be revised. TASK 3 - GEOTECHNICAL INVESTIGATION This task will be performed by a qualified Geotechnical Engineer and will include the following: e During the site visit, discussed under Task 1, soil and rock grab samples will be obtained for lab testing as necessary to support reporting requirements below. ° A literature search will be conducted to locate existing geologic and geotechnical information about the site. This will include a review of the several studies conducted by the U.S. Army Corps of Engineers, R. W. Beck, and others. In addition, any studies that have been conducted for the many mines in the area will be obtained and reviewed. e:\hydro\props\mahoney 1 1 ° A preliminary geotechnical report will be prepared to include: - assessment of the suitability of the dam site at the lake outlet, abutments, and foundation; - assessment of penstock route, suitability, rock and soils types, and erosion potential; - assessment of powerhouse site, foundation, soils, groundwater, etc.; - assessment of site hazards such as susceptibility to landslide, avalanche, earthquake, etc.; - assessment of access road/transmission line route, constructability, soils and rock types, and problem areas; - results of the literature search; and - estimates of engineering properties for each soil and rock type encountered, such as density, permeability, allowable bearing pressure, gradation and coefficient of friction. Also, shear strength and modulus of elasticity for rock types will be estimated. Possible sources of earthen and rock construction materials and locations of spoil areas in the project area will be identified. Estimates will be based on the site reconnaissance and test results from grab samples. These will be general estimates used for preliminary design. The geotechnical report will be presented to the Cape Fox Corporation as a separate, stand- alone report. HDR has obtained a proposal from Shannon & Wilson geotechnical engineers to perform this task. See Appendix B for details. TASK 4 - FEASIBILITY STUDY Following the site visit, the reconnaissance feasibility study, prepared by HDR in October 1992, will be updated to create a Feasibility Report. The Feasibility Report will include: e refinement of project features and proposed locations and a more detailed project description based on field observations and the geotechnical investigation; e update of the project’s costs, estimated energy production and constructability, based on field observations, the geotechnical investigation, and refined project features; e drawings of the major project features, in FERC drawing format so they may be re-used in both the Initial Consultation Document (ICD) package (Task 5) and in the License Application Exhibit F (Tasks 6 & 7). Drawings produced will include: (1) Cover Sheet/Site Location Map, (2) Site Plan and Profile, (3) Dam and Intake Plan and Sections, (4) Powerhouse Site Plan and Sections, (5) Pipeline Plan and Profile (est. 6 sheets), (6) Access Road and Transmission Line Plans; e stream hydrology studies, including production of a simulated flow record for the stream with 30 to 40 years of record to improve energy modeling accuracy, and an analysis of flood frequency on the stream, including prediction of the 100-year flood event for use in structure design. A tailwater rating curve will be developed; e a preliminary assessment of fisheries and identification of potential or known barriers to upstream fish migration and any environmental or regulatory concerns; ° a preliminary assessment of wildlife and biological concerns, including potential impacts to threatened or endangered species; and e recommendations to reflect any changes resulting from the field observations, the geotechnical investigation, updates of the projects features, and estimated energy production. Three copies of the Feasibility Study will be provided to the Cape Fox Corporation. TASK 5 - First STAGE CONSULTATION Per Title 18, Code of Federal Regulation, paragraph 4.38(b), an applicant must contact all appropriate agencies and tribes and provide them with specific information concerning the project and confer with them on project design, project impacts, and studies to be conducted e:\hydro\props\mahoney 13 leading to the License Application. Regulations also require a joint agency/tribal meeting, including informing and inviting the public to attend the joint meeting. A draft ICD will be prepared. It will include detailed maps, general engineering design, a summary of the proposed operational mode of the project, potential environmental impacts and mitigation to the extent known at that time, hydrology information, and a statement as to whether the applicant will seek PURPA benefits. The draft ICD will also include draft study plans that will provide descriptions and methodologies of proposed studies. The draft study plans will be developed based on known information concerning the site and previous experience in conducting studies for other hydroelectric projects. The draft ICD will be submitted to the Cape Fox Corporation for approval prior to distribution. The ICD will include the following sections. Introduction and Location General Engineering Design Operational Mode Environmental Considerations Streamflow and Water Regime PURPA Benefits Study Plans References Cited Consultation Mailing List NOP OD ESIC EC a2 A distribution list of all agencies and Native corporations to be consulted will be developed. Relevant agencies and Native corporations will be telephoned to schedule a joint meeting. The draft ICD will be sent to all agencies/Native corporations with a cover letter requesting their review and comment. The letter will also include the time and place of the joint meeting and agenda of the meeting. Written notice of the time and place of the meeting and a written agenda of the issues to be discussed at the meeting will also be submitted to FERC. A public notice will be published in the local newspaper informing the public of the proposed project and inviting them to the joint meeting. The joint meeting will be held between 30 and 60 days following distribution of the ICD. The meeting will be held in Ketchikan and will consist of morning and evening sessions, with the opportunity for a site visit in the afternoon or the next day. The site visit will most likely consist of a fly over of the site with interested agencies. The joint meeting is held to develop written agency responses, understanding, and requirements and need for studies. During this meeting and field visit, we expect to be able to negotiate agreed upon studies, methodologies, and anticipated results. In accordance with the regulations, audio recordings will be made of the joint meeting and submitted to FERC. Draft meeting notes will be prepared for distribution to those who attended the meeting. Following their comments, these notes will be finalized and sent to all agencies and Native corporations on the distribution list. e\hydro\props\mahoney 14 At the conclusion of the comment period (60 days following the joint meeting), the ICD will be finalized to reflect comments received concerning the project’s design and environmental impacts. The study plans, included in the ICD, will be modified to reflect the comments and agreements from the agencies/Native corporations. Where necessary, telephone conversations and written correspondence will be used to gain additional information on particular agency concerns and to gain full agreement on the scope of studies. The final study plans will be used as the scope of work for studies that will be conducted for the project. A Final Consultation Document (FCD) will be distributed to all agencies/Native corporations for their records. Throughout Phase 1, as well as during Phases 2 and 3, HDR will prepare and file FERC required. six-month progress reports with the FERC. END OF PHASE ONE :\hydro\props\mahoney 15 PHASE 2 - DRAFT LICENSE APPLICATION TASK 6 - PROJECT STUDIES AND DRAFT LICENSE APPLICATION For this task, all reasonable and agreed upon studies, as outlined in the FCD, will be conducted and a Draft License Application will be developed for distribution to all agencies and Native corporations on the distribution list. Due to field season restrictions resulting from weather and the timing of the studies, this task may take from one to two years to complete. This is the period when the details of the project and its environmental impacts are studied and worked out in detail to support the application production. Potential Studies and Reports The following identifies the normal and anticipated environmental studies and reports generally required by Title 18, Subpart E, Section 4.41 (regulations are included in Appendix C). Water Use and Water Quality Existing Resources/Uses Water Quality and 401 Certification Impacts and Mitigation Consultation Fisheries Barrier Identification Species - Presence/Absence Aquatic Resources, Habitat & Mitigation Impacts and Mitigation Consultation Wildlife Existing Resources-Game-Nongame Threatened, Endangered & Sensitive Species Impacts and Mitigation Consultation Botanical Resources Existing Resources Threatened, Endangered & Sensitive Species Impacts and Mitigation Consultation Historic, Archeological, & Cultural Resources Existing Resources Verification Impacts and Mitigation Consultation e:\hydro\props\mahoney 16 Artifact Recovery Plan Socioeconomic Impacts Existing Demographics Identification of Socioeconomic Impact Area Fiscal Impact Analysis Impacts Consultation Geology and Soils Existing Geological Features and Soils Geologic, Soils Hazards & Seismicity Construction and Operation Impacts Erosion and Sedimentation Control Plan Mitigation and Impacts Consultation Recreation Resources Existing Recreation Demands/Needs Recreation Potential Impacts Consultation Aesthetic Resources Existing Aesthetic/Visual Characteristics Potential Project Impacts Mitigation of Impacts Consultation Land Use Description and Identification of Land Use in Area Ownership in Project Area Proposed New Land Uses Consultation Draft License Application The Draft License Application will consist of the following parts: Initial Statement - Will state the names and addresses of the applicant and their agent(s), evidence of appropriate legal authority, the name and location of the project, citizenship status, and statement of compliance with state law. Exhibit A - Will consist of information on: (1) a physical description of the project, (2) surface area/elevation and impoundments, (3) turbines or generation, (4) transmission e:\hydro\props\mahoney 17 =) lines, (5) additional electrical, mechanical and transmission equipment, and (6) identification and tabulation of all U.S. lands within the project’s boundaries. Exhibit B - Will discuss project operation and resource utilization. More specifically, the following subparts will be included: (1) powerplant operation in terms of river flow; (2) estimation of annual energy production and its dependableness, including items such as recorded flows, estimated hydraulic capacity, capacity curves, and tailwater rating curves; (3) anticipated use of power generation; and (4) explanation of future development plans for that project or other projects whose development is planned on nearby water bodies. Exhibit C - Will present a construction history and schedule. The information contained in this section will include proposed schedule for the construction of facilities. Exhibit D - Will provide a statement of project costs and financing. The elements to be covered comprise: (1) a tabulated statement of the original cost, including water rights, (2) an estimation of the amount payable if the license expired and the project was taken over, (3) an estimated cost of any new development, (4) an estimate of average annual cost of the proposed project, (5) an estimate of the annual value of the energy generated, and (6) a statement of the sources and extent of financing available to complete the project. Exhibit E - Will be a report on the environmental resources, the impacts of the project on these resources, and the proposed mitigation measures. This report will be prepared under close consultation with agencies, Native corporations, and the public. The HDR team will prepare the Exhibit E portion of the FERC License Application according to specifications outlined in subsection 4.41(f) of FERC’s Application Procedures for Hydropower Licenses. Exhibit E is an environmental report normally consisting of the following sections: (1) General Description of the Locale (2) Report on Water Use and Quality (3) Report on Fish, Wildlife, and Botanical Resources (4) Report on Historic and Archaeological Resources (5) Report on Socioeconomic Impacts (6) Report on Geological and Soil Resources (7) Report of Recreational Resources (8) Report on Aesthetic Resources (9) Report on Land Use (10) Alternative Locations, Designs, and Energy Sources (11) List of Literature The sections will be prepared using existing data and information and results from studies. Appendices will include agency letters and consultation documentation, application for Section 401 Water Quality Certification, and relevant technical supporting material. €:\hydrolprope\mahoney 18 Exhibit F - Will be the general design drawings of the facilities mentioned in Exhibit A. The drawings will show plans, elevations, and sections. Exhibit G - Will be a map(s) showing the project boundary, project features and property ownership. The transmission line and interconnection points will also be detailed. A preliminary Draft License Application will be prepared for review by the Cape Fox Corporation. Following review by the Cape Fox Corporation, any revisions will be incorporated into a Draft License Application. The Draft License Application will be distributed to agencies and Native corporations for their review and comment. PHASE 3 - FINAL LICENSE AND PERMIT APPLICATIONS TASK 7 - FINAL LICENSE APPLICATION AND SUPPORTING DESIGN REPORT Final License Application Under FERC regulations, agencies have 90 days to review the Draft License Application. Mid-way through this review period, a meeting will be held with interested agencies and Native corporations to review the Draft License Application, answer any questions or concerns, and clear up any potential misunderstandings concerning the project. Although this meeting is not required under FERC regulations, it has been found to be very helpful to discuss and resolve any issues that may arise prior to finalization of the License Application. This meeting would most likely be held in Ketchikan. Meeting notes would be prepared and distributed to all agencies and Native corporations on the distribution list to document the discussions and understandings. Following receipt of agency and Native corporation comments, the Draft License Application will be finalized. All comments received will be addressed and incorporated into a Final License Application. An original and eight copies of the Final License Application will be submitted to FERC. The Final License Application must be received by FERC before expiration of the Preliminary Permit. Copies of the Final License Application will also be distributed to all agencies and Native corporations on the distribution list. Supporting Design Report A Supporting Design Report will be prepared according to regulation requirements and submitted to FERC as a separate report to the License Application filing. The Supporting Design Report will include: (1) An assessment of the suitability of the site based on geological and subsurface investigations, including investigations of soils and rock borings and tests for €:\hydro\props\mahoney 19 evaluation of all foundations and construction materials sufficient to determine the location and type of diversion structure suitable for the site. (2) Copies of boring logs, geology reports, and laboratory test reports. (3) An identification of all borrow areas and quarry sites and an estimate of required quantities of suitable construction material. (4) Stability and stress analyses for all major structures and critical abutment slopes under all probable loading conditions, including seismic and hydrostatic forces induced by water loads up to the Probable Maximum Flood as appropriate. (5) The bases for determination of seismic loading and the spillway Design Flood in sufficient detail to permit independent staff evaluation. Two copies of the Supporting Design Report will be submitted to FERC. TASK 8 - PROJECT PERMITS/APPROVALS This task would involve the acquisition of permits and approvals. Permits/approvals that may be required for the Mahoney Lake Hydroelectric Project are shown in Table 1. e:\hydro\props\mahoney 20 Coastal Zone Consistency Determination Water Rights Application Water Quality Certification Land Use Permit Section 404 Permit General Waterway/Waterbody Application Special Use Permit National Pollutant Discharge Elimination System TABLE 1 Alaska Division of Governmental Coordination Alaska Department of Environmental Conservation Alaska Department of Natural Resources Alaska Department of Natural Resources U.S. Army Corps of Engineers Alaska Department of Fish and Game U.S. Forest Service U.S. Environmental Protection Agency Required under Coastal Zone Management Act Required under Clean Water Act, 401 Certification required if there is discharge of water Required for projects within DNR property, land below the high water line of streams, rivers and lakes, or tidelands Federal Water Pollution Control Act, required for discharge of dredge or fill materials into waters or wetlands of the U.S. Required for construction in streams Conditions will need to be adhered to for use of property For construction if disturbs more than 5 acres Projects within the Alaska Coastal Boundary, such as the Mahoney Lakes Project, are subject to the Alaska Coastal Management Program consistency review process. With this process, the Alaska Division of Governmental Coordination (ADGC) is responsible for obtaining a e:\hydro\props\mahoney 21 finding of consistency with the Alaska Coastal Zone Management Program. Additionally, the ADGC is responsible for coordinating all local and state agency review of the project. The Water Rights Application and 401 Water Quality Certification should be submitted prior to filing the Final License Application. Normally, the Alaska Coastal Management Program consistency review process and initiation of other permit applications and approvals would begin following filing of the Final License Application. This scope of work does not include specific assistance with power sales negotiations for the sale of the project electrical output. It is expected that documentation and information developed by HDR will be used in power sales negotiations, and consultation and advice on power sales negotiations will be provided by HDR under this scope of work. If travel to Ketchikan or attendance at power sales negotiations is requested by the Cape Fox Corporation, the above scope of work can be revised to include this activity. e:\hydro\props\mahoney 22 SECTION 4 - FEE The following outlines the estimated costs for the tasks outlined in Section 3. At this time only ranges of costs are given for tasks in Phases 2 and 3. A better estimate of the costs for Phase 2 can be made following completion of the First Stage of Consultation, performed in Phase 1. Costs estimates for Phase 3 will be defined following completion of Phase 2. Estimated Cost Phase 1 - Initial Studies Task 1 - Site Reconnaissance (includes airfares & helicopter) $9,500 Task 2 - Surveying $28,500 Task 3 - Geotechnical Investigation $16,400 Task 4 - Feasibility Study $28,500 Task 5 - First Stage Consultation $36,000 Phase 1 Total: $118,900 This fee is guaranteed not to be exceeded for the scope of services offered. Actual cost will be invoiced at HDR standard rates on a time and materials basis, but in no event will the above cost be exceeded. HDR will make attempts to reduce costs by carefully planning the work, reducing the scope of necessary site surveying, and with such actions as booking airfares in advance to get better rates. At the end of Phase 1, a budget will be prepared for Phase 2 for review and approval by the Cape Fox Corporation. HDR will not proceed with Phase 2 work until this budget is reviewed and approved by the Cape Fox Corporation. Estimated ranges of costs for Phases 2 & 3 are shown below. Phase 2 - Draft License Application *Estimated Range of Costs Task 6 - Project Studies and Draft License Application $150,000-$300,000 Phase 3 - Final License and Permit Applications Task 7 - Final License Application and Supporting Design Report $40,000-$80,000 Task 8 - Project Permits/Approvals $15,000-$30,000 * Assumes no significant opposition to the project, no need for dispute resolution with agencies, and that schedule does not become protracted. SECTION 5 - PROPOSED CONTRACT FORMS Proposed Contract Forms covering the work are attached. These are standard HDR forms of contract and are very similar to the Contract Forms executed with the Cape Fox Corporation for previous work. The scope of work in this proposed contract, Exhibit A, is the same scope of work found in Section 3 of this report. HDR would be pleased to discuss any part of the proposed contract with the Cape Fox Corporation and to negotiate any of the terms and conditions if necessary. Once the contract form is acceptable to the Cape Fox Corporation, HDR can provide two original copies in final form for execution by both parties. We are looking forward to a successful project and a successful long-term relationship with the Cape Fox Corporation. Thank you for the opportunity to provide you with this proposal. AGREEMENT FOR ENGINEERING SERVICES THIS AGREEMENT is made as of this day of April, 1993, between Cape Fox Corporation ("OWNER") an Alaska corporation, with principal offices at P.O. Box 8558, Ketchikan, Alaska, 99901, and HDR ENGINEERING, INC., ("ENGINEER") a Nebraska corporation, with principal offices at 500 108th Ave NE, Suite 1200, Bellevue, WA 98004, for services in connection with the project known as feasibility assessment and FERC licensing for the Mahoney Lake Hydroelectric Project ("Project"); WHEREAS, OWNER desires to engage ENGINEER to provide professional engineering consulting services ("Services") in connection with the Project; and WHEREAS, ENGINEER desires to render these Services as described in SECTION I, Scope of Services; NOW, THEREFORE, OWNER and ENGINEER in consideration of the mutual covenants contained herein, agree as follows: SECTION I. SCOPE OF SERVICES ENGINEER will provide Services for the Project, which consist of the Scope of Services as outlined on the attached Exhibit A. SECTION Il. RESPONSIBILITIES OF OWNER OWNER shall provide the information and services described in paragraph 6 of the attached "HDR Engineering, Inc. Terms and Conditions of Engineering Services" to the ENGINEER, with the exception that soils/geotechnical consulting services necessary for the Project shall be provided by a qualified subconsultant to the ENGINEER. SECTION Il. COMPENSATION Compensation for ENGINEER’S services under this Agreement shall be on the basis of per diem rates, as shown in Exhibit B. Hourly labor rates are subject to revision once per year by the ENGINEER in January of each calandar year to reflect actual annual salary adjustments made to ENGINEER’ staff labor rates. Compensation for the three phases of work under this Agreement, as described in Exhibit A, "Scope of Services", shall be as follows: For Phase One, including Site Reconnaissance, Surveying, Geotechnical Investigation, Feasibility Study and First Stage Consultation Tasks, compensation shall be at per diem rates plus reimbursable expenses and shall not exceed a total compensation of One Hundred Eighteen Thousand Nine Hundred Dollars and no cents ($118,900.00). For Phase Two, including Project Studies and Draft License Application Tasks, compensation shall be at per diem rates plus reimbursable expenses and the total Mahoney Lake Project fq Agreement For Engineering Services compensation shall be based upon an estimated budget that is prepared by the ENGINEER and approved by the OWNER at the completion of Phase One. Budget shall be based upon actual studies and reports required by the State and federal agencies to be produced by the ENGINEER as agreed upon at the end of First Stage Consultation performed in Phase One. For Phase Three, including Final License Application, Supporting Design Report and Other Project Permits and Approvals Tasks, compensation shall be at per diem rates plus reimbursable expenses and the total compensation shall be based upon an estimated budget that is prepared by the ENGINEER and approved by the OWNER at the completion of Phase Two. Budget shall be based upon agency comments and requirements received after their review of the Draft License Application performed at the end of Phase Two. The amount of any sales tax, excise tax, value added tax (VAT), or gross receipts tax that may be imposed on this Agreement shall be added to the ENGINEER’S compensation as Reimbursable Expenses. Compensation terms are defined as follows: Per Diem shall mean an hourly rate equal to Direct Labor Cost times a multiplier of three and one tenth (3.1) to be paid as total compensation for each hour an employee works on the project, plus Reimbursable Expense. Direct Labor Cost shall mean salaries and wages, (basic and overtime) paid to all personnel engaged directly on the Project, as shown in Exhibit B. Reimbursable Expense shall mean the actual expenses incurred directly or indirectly in connection with the Project for transportation travel, subconsultants, subcontractors, computer usage, telephone, telex, shipping and express, and other incurred expense. ENGINEER will add ten percent (10%) to invoices received by ENGINEER from subconsultants and subcontractors to cover supervision, administrative, and insurance expenses. SECTION IV. TERMS AND CONDITIONS OF ENGINEERING SERVICES The "HDR Engineering, Inc. Terms and Conditions of Engineering Services," which are attached, are incorporated into this Agreement by this reference. SECTION V. PERIOD OF SERVICE Upon receipt of written authorization to proceed, ENGINEER shall perform the services described in Exhibit A within a reasonable period of time. The FERC License 6-month progress reports and the completed FERC License application must be completed within the statutory time limits in accordance with the FERC Preliminary Permit for the Project. Unless otherwise stated in this Agreement, the rates of compensation for ENGINEER’S services have been agreed to in anticipation of the orderly and continuous progress of the project through completion. If any specified dates for the completion of ENGINEER’S services are exceeded through no fault of the ENGINEER, the time for performance of those services shall be automatically extended for a period which may be reasonably required for their completion and all rates, measures and amounts of ENGINEER’S compensation shall be equitably adjusted. Mahoney Lake Project 2 Agreement For Engineering Services IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first written above. Mahoney Lake Project CAPE FOX CORPORATION "OWNER" By: Name: Title: Address: P.O. Box 8558 Ketchikan, Alaska 99901 Phone: 907-225-5163 Fax: 907-225-3137 HDR ENGINEERING, INC. "ENGINEER" By. Name Title Address: 500 108th Ave NE, Suite 1200 Bellevue, WA 98004 Phone: 206-453-1523 Fax: 206-453-7107 Agreement For Engineering Services 1. HDR Engineering, Inc. Terms and Conditions of Engineering Services LIMITATION OF LIABILITY. Notwithstanding any other provision of these Terms and Conditions, and unless otherwise subject to a greater limitation, ENGINEER’s total liability to OWNER for any loss or damage, including but not limited to special and consequential damages arising out of or in connection with the performance of services or any other cause, including ENGINEER’s professional negligent acts, errors, or omissions, shall not exceed the total compensation received by ENGINEER hereunder, and OWNER hereby releases and holds harmless ENGINEER from any liability above such amount. . INSURANCE ENGINEER agrees to purchase, at its own expense, Workers’ Compensation, Employer's Liability, Automobile and Commercial General Liability insurance and will, upon request, furnish insurance certificates to OWNER: ENGINEER agrees to indemnify OWNER for the claims covered by ENGINEER’s insurance subject to the limitation of liability contained in Section 1. ENGINEER agrees to purchase additional insurance if requested by OWNER (presuming such insurance is reasonably available from carriers acceptable to ENGINEER), provided the costs for additional insurance are reimbursed by OWNER. OPINIONS OF PROBABLE COST (COST ESTIMATES) Opinions of probable Project Cost and Construction Cost provided for herein are to be made on the basis of ENGINEER’s experience and qualifications and represent their judgment as experienced and qualified professional engineers. However, since ENGINEER has no control over the cost of labor, materials, equipment or services furnished by others, or over the contractor(s’) methods of determining prices, or over competitive bidding or market conditions, ENGINEER cannot and does not guarantee that proposals, bids or actual Project or Construction Cost will not vary from opinions of probable cost prepared by ENGINEER. CONSTRUCTION PROCEDURES ENGINEER’s monitoring or review of portions of the work performed under construction contracts shall not relieve the contractor from his responsibility for performing the work in accordance with applicable contract documents. ENGINEER shall not be responsible for construction means, methods, techniques, sequences or procedures and shall not manage, supervise, control or have charge of construction; nor shall ENGINEER implement or be responsible for health and safety precautions, procedures or programs. Further, ENGINEER shall not be responsible for the acts or omissions of contractors or other parties on the Project. CONTROLLING LAW This Agreement is to be governed by the law of the state where ENGINEER’s services are performed. OWNER PROVIDED SERVICES AND INFORMATION OWNER shall provide all criteria and all information as to OWNER'’s requirements for the Project, including design objectives and constraints, space, capacity and perform- ance requirements, flexibility and expandability, and any budgetary limitations; and shall provide copies of OWNER furnished Standard Details, Standard Specifications, or Standard Bidding Documents which are to be incorporated into the Project. OWNER shall furnish the services of soils/geotechnical engineers or other consultants when such services are deemed necessary by ENGINEER and will include reports and appropriate professional recommendations. The OWNER agrees to bear full responsibility for the technical accuracy and content of OWNER furnished documents and services. The OWNER or OWNER‘s representative will examine all studies, reports, sketches, drawings, specifications, proposals and other documents prepared by ENGINEER, obtain advice of an attorney, insurance counselor and other consultants as OWNER deems appropriate for such examination and render to ENGINEER, in writing, decisions pertaining thereto within a reasonable time so as not to delay the services of ENGINEER. . SUCCESSORS AND ASSIGNS OWNER and ENGINEER, respectively, bind themselves, their partners, successors, assigns, and legal represen- tatives to all covenants of this Agreement. Neither OWNER nor ENGINEER shall assign, sublet, or transfer any interest in this Agreement without the written consent of the other. . RE-USE OF DOCUMENTS All reports, original final reproducible drawings, plans, specifications, calculations, studies, software program tapes, models, notes and memoranda, assembled or prepared by ENGINEER (and ENGINEER’s affiliates, subsidiaries, independent professional associates, consult- ants and subcontractors) pursuant to this Agreement are instruments of service in respect of the Project, and ENGINEER shall retain an ownership and property interest therein, whether or not the Project is completed. OWNER may make and retain copies for information and reference in connection with the Project; however, such documents are not intended or represented to be suitable for re-use by OWNER or others on extensions of the Project or on any other project. Any reuse without written verification or adaptation by ENGINEER for the specific purpose intended will be at OWNER’s sole risk and without liability or legal exposure to ENGINEER or ENGINEER’s affiliates, subsidiaries, independent professional associates, consult- ants, and subcontractors with respect to any and all costs, expenses, fees, losses, claims, demands, liabilities, suits, actions, and damages whatsoever arising out of or resulting therefrom. Any such verification or adaptation will entitle ENGINEER to further compensation at rates to be agreed upon by OWNER and ENGINEER. . TERMINATION OF AGREEMENT OWNER or ENGINEER may terminate the Agreement, in whole or in part, by giving seven (7) days written notice, if the other party substantially fails to fulfill its obligations under the Agreement through no fault of the terminating party. Where method of payment is “lump sum,” or cost reimbursement, the final invoice will include all services and expenses associated with the Project up to the effective date of termination. An equitable adjustment shall also be made to provide for termination settlement costs ENGINEER incurs relating to commitments that had become firm before termination, and for a reasonable profit for services performed. 10. 1: 12. 13. 14. SEPARABILITY In the event any provision of this Agreement shall be held invalid and unenforceable, the remaining provisions shall be valid and binding upon the parties. One or more waivers by either party of any provision, term, condition or covenant shall not be construed by the other party as a waiver of a subsequent breach of the same by the other party. INVOICES ENGINEER shall submit invoices for services rendered at monthly intervals. OWNER shall make prompt payments in response to ENGINEER’s invoices. Where invoices are based in part reimbursable expenses, ENGINEER shall collect and maintain receipts for said expenses and shall make the receipts available for inspection by OWNER’s auditors upon OWNER’s request. The requirement to retain receipts shall generally follow the established rules of the Federal Internal Revenue Service regarding what type of expenditures must be supported by receipts for income tax purposes. If any items in any invoices submitted by ENGINEER are disputed by OWNER for any reason, including the lack of supporting documentation, OWNER shall temporarily delete the disputed item and pay the remaining amount of the invoice. OWNER shall promptly notify ENGINEER of dispute and request clarification and/or remedial action. After any dispute has been settled, ENGINEER shall include the disputed item on a subsequent regularly scheduled invoice or on a special invoice for the disputed item only. OWNER recognizes that late payment of invoices results in extra expense to ENGINEER; therefore, for invoices that are not paid in full by forty-five (45) days after the date of invoice, ENGINEER shall have the right to assess an additional charge of one percent (1.0%) per month, but not to exceed the maximum amount allowed by law in the state indicated in OWNER’s address, of the unpaid amount, prorated by days, until payment is received by ENGINEER. In addition, if OWNER does not make necessary and timely payments on undisputed amounts, ENGINEER may, after giving seven (7) days written notice to OWNER, suspend services under this Agreement until ENGINEER has been paid in full all amounts due them for services and expenses. CHANGES The parties agree that no change or modification to this Agreement, or any attachments hereto, shall have any force or effect unless the change is reduced to writing, dated, and made part of this Agreement. The execution of the change shall be authorized and signed in the same manner as for this Agreement. Adjustments in the Period of Service and in Compensation shall be in accordance with applicable paragraphs and Sections of this Agreement. CONTROLLING AGREEMENT These Terms and Conditions shall take precedence over any inconsistent or contradictory provisions contained in any proposal, contract, purchase order, requisition, notice- to-proceed, or like document regarding ENGINEER’s services. EQUAL EMPLOYMENT AND NONDISCRIMINATION In connection with the services under this Agreement, ENGINEER agrees to comply with the applicable provisions of Federal and state Equal Employment Opportunity statutes and regulations. 15. 16. HAZARDOUS SUBSTANCE INDEMNIFICATION ENGINEER hereby states, and OWNER acknowledges, that neither ENGINEER nor ENGINEER’s consultants have any professional liability (errors and ommissions) or other insurance, and neither is able to reasonably obtain such insurance, for claims or claims expenses arising out of the performance of or failure to perform professional services, including but not limited to the preparation of reports, designs, drawings, and specifications, related to the investigation, detection, abatement, replacement, or removal of parts, materials, or processes containing asbestos or relating to the actual, alleged or threatened discharge, dispersal, release or escape of pollutants (defined herein as any solid, liquid, gaseous, or thermal irritant or contaminant, including smoke, vapor, soot, fumes, acids, alkalis, chemicals, and waste). Accordingly, OWNER hereby agrees to bring no claim for negligence, breach of contract, indemnity, or other action against ENGINEER, its principals, employees, agents, and consultants, if such claim in any way would relate to asbestos or pollutants in the Project. OWNER further agrees, to the fullest extent permitted by law, to defend, indemnify, and hold harmless ENGINEER, its principals, employees, agents, and consult- ants from and against all claims, damages, losses, and expenses, direct or indirect, or consequential damages, including but not limited to fees and charges of attorneys and court and arbitration costs, arising out of or resulting from the performance of ENGINEER’s services hereunder, or claims brought against ENGINEER by third parties and arising from ENGINEER’s services or others’ services and/ or work related to asbestos and/or pollutant activities. EXECUTION This Agreement, including exhibits and schedules made part hereof, constitute the entire Agreement between ENGINEER and OWNER, supersedes all prior written or oral understandings and may be amended, supplemented or modified only by a written instrument duly executed by the parties. (5/89) EXHIBIT A - SCOPE OF WORK The following describes the scope of work by task for conducting reconnaissance and updated feasibility analysis, licensing and permitting for the proposed Mahoney Lake Hydroelectric Project. PHASE 1 - INITIAL STUDIES TASK 1 - SITE RECONNAISSANCE This task will involve a visit to the site by a team of qualified specialists to better assess the geological and physical conditions found at the site. The team will consist of the project manager, a geotechnical engineer, and civil engineer. The site visit is anticipated to involve visiting the upper lake outlet and proposed powerhouse location, walking parts of the penstock route, and flying the access road/transmission line route. Videos and photographs will be taken of the project area during the site visit to fully document site conditions and to help reduce site visit requirements in the future and to brief other team members. The primary goal of the visit is to refine the proposed locations of the project features based on actual observations of field conditions and to confirm assumptions made during the reconnaissance study. The surface geology will be assessed in order to refine the proposed location of structures. At the same time, right-of-way requirements and potntial environmental issues can be better assessed. The product of this task will be a site visit report. This report will be prepared immediately following the site visit and will include a discussion of preliminary findings and identification of potential problem areas. Any fatal flaws in the project or any revised project development plans that come to light as a result of the site visit will be identified in this report. Three copies of the site visit report will be submitted to Cape Fox Corporation. TASK 2 - SURVEYING To perform additional feasibility studies and to prepare the FERC License Exhibit F drawings, survey maps of the project area need to be produced. Before performing any new ground surveys, a search of available survey records will be made to identify information that can be used for our work. Once all available records have been collected and analyzed, a survey program will be set up to fill in any gaps in the information we need to continue with the project work. The program, including any existing data and new survey data as needed will meet the following criteria: . The project area including areas around all proposed project facilities and access roads, lakes, drainage courses, etc. needs to be surveyed. The method of survey will include setting ground control and flying the area for collection of photogrammetric data. . The surveyor will establish permanent benchmarks at the powerhouse site and at the lake outlet. Benchmarks will be tied to the global coordinate systems with both elevation and coordinates. : The horizontal tie-in to global positioning will be done via satellite or other approved method. A high degree of accuracy for relative vertical elevation will be provided between the Mahoney Lake water surface, the powerhouse site and the lower lake elevation. Mahoney Lake Project Agreement For Engineering Services Base maps will be developed using aerial photographic methods. They will include the project area between the north end of Mahoney Lake and the west end of Lower Mahoney Lake. Mapping will be tied into the global coordinate system. Appropriate levels of ground proofing will be performed to ensure accuracy at the locations where specific project structures will be located. Maps will be created in both hard copy ink on vellum and in digital form, on floppy disk. Final digital formats will be in AutoCAD using HDR layering and symbol conventions. Base maps will be 22-inch by 34-inch format with borders and title blocks. They will be prepared at a 1" = 100° scale with 5-foot contour interval. TASK 3 - GEOTECHNICAL INVESTIGATION This task will be performed by a qualified Geotechnical Engineer and will include the following: During the site visit, discussed under Task 1, soil and rock grab samples will be obtained for lab testing as necessary to support reporting requirements below. A literature search will be conducted to locate existing geologic and geotechnical information about the site. This will include a review of the several studies conducted by the Army Corps of Engineers, RW Beck and others. In addition, any studies that have been conducted for the many mines in the area will be obtained and reviewed. A preliminary geotechnical report will be prepared to include: a) Assessment of the suitability of the dam site at the lake outlet, abutments and foundation. b) Assessment of penstock route, suitability, rock and soils types, and erosion potential. c) Assessment of powerhouse site, foundation, soils, groundwater, etc. d) Assessment of site hazards such as susceptibility to landslide, avalanche, earthquake, etc. e) Assessment of access road/transmission line route, constructability, soils and rock types, and problem areas. f) Results of the literature search. g) Estimates of engineering properties for each soil and rock type encountered, such as density, permeability, allowable bearing pressure, gradation and coefficient of friction. Also, shear strength and modulus of elasticity for rock types will be estimated. Possible sources of earthen and rock construction materials and locations of spoil areas in the project area will be identified. Estimates will be based on the site reconnaissance and test results from grab samples. These will be general estimates used for preliminary design. The geotechnical report will be presented to Cape Fox Corporation as a separate stand alone report. TASK 4 - FEASIBILITY STUDY Following the site visit, the Reconnaissance Feasibility Study, prepared by HDR in October 1992, will be updated to create a Feasibility Report. The Feasibility Report will include: Refinement of project features and proposed locations and a more detailed project description based on field observations and the geotechnical investigation. Mahoney Lake Project Agreement For Engineering Services . Update of the project’s costs, estimated energy production and constructability, based on field observations, the geotechnical investigation, and refined project features. a Drawings of the major project features, in FERC drawing format so that they may be re-used in both the Initial Consultation Document (ICD) package (Task 5) and in the License Application Exhibit F (Task 6 & 7). Drawings produced will include: 1) Cover sheet/site location map 2) Site Plan and Profile 3) Dam and Intake Plan and Sections 4) Powerhouse Site Plan and Sections 5) Pipeline Plan and Profile (estimate 6 sheets) 6) Access Road and Transmission Line Plans a Stream hydrology studies, including production of a simulated flow record for the stream with 30 to 40 years of record to improve energy modeling accuracy, and an analysis of flood frequency on the stream, including prediction of the 100-year flood event for use in structure design. A tailwater rating curve will be developed. a A preliminary assessment of fisheries and identification of potential or known barriers to upstream fish migration, and any environmental or regulatory concerns. a A preliminary assessment of wildlife and botanical concerns, including potential impacts to threatened or endangered species. . Recommendations to reflect any changes resulting from the field observations, the geotechnical investigation, updates of the projects features, and estimated energy production. Three copies of the Feasibility Study will be provided to Cape Fox Corporation. TASK 5 - FIRST STAGE CONSULTATION Per Title 18, Code of Federal Regulations, paragraph 4.38(b) an applicant must contact all appropriate agencies and tribes and provide them with specific information concerning the project and confer with them on project design, project impacts and studies to be conducted leading to the License Application. Regulations also require a joint Agency/Tribal meeting, including informing and inviting the public to attend the joint meeting. A draft Initial Consultation Document (ICD) will be prepared. It will include detailed maps, general engineering design, a summary of the proposed operational mode of the project, potential environmental impacts and mitigation to the extent known at that time, hydrology information, and a statement as to whether or not the applicant will seek PURPA benefits. The draft ICD will also include draft study plans which will provide descriptions and methodologies of proposed studies. The draft study plans will be developed based on known information concerning the site and previous experience in conducting studies for other hydroelectric projects. The draft ICD will be submitted to Cape Fox Corporation for approval prior to distribution. The ICD will include the following sections. Mahoney Lake Project Agreement For Engineering Services 1. Introduction and Location 2. General Engineering Design 3. Operational Mode 4. Environmental Considerations 5. Streamflow and Water Regime 6. | PURPA Benefits 7. Study Plans 8. References Cited 9. Consultation Mailing List A distribution list of all Agencies and Native Corporations to be consulted will be developed. Relevant Agencies and Native Corporations will be telephoned to schedule a joint meeting. The draft ICD will be sent to all Agencies/Native Corporations with a cover letter requesting their review and comment. The letter will also include the time and place of the joint meeting and agenda of the meeting. Written notice of the time and place of the meeting and a written agenda of the issues to be discussed at the meeting will also be submitted to the FERC. A public notice will be published in the local newspaper informing the public of the proposed project and inviting them to the joint meeting. The joint meeting will be held between 30 and 60 days following distribution of the ICD. The meeting will be held in Ketchikan and will consist of morning and evening sessions, with the opportunity for a site visit in the afternoon or the next day. The site visit will most likely consist of a fly over of the site with interested Agencies. The joint meeting is held to develop written agency responses, understanding, and requirements and need for studies. During this meeting and field visit we expect to be able to negotiate agreed upon studies, methodologies, and anticipated results. In accordance with the regulations, audio recordings will be made of the joint meeting and submitted to the FERC. Draft meeting notes will be prepared for distribution to those who attended the meeting. Following their comments these notes will be finalized and sent to all Agencies and Native Corporations on the distribution list, forming the required documentation of the "First Stage Consultation Meeting". At the conclusion of the comment period (sixty days following the joint meeting), the ICD will be finalized to reflect comments received concerning the project’s design and environmental impacts. The study plans, included in the ICD, will be modified to reflect the comments and agreements from the Agencies/Native Corporations. Where necessary, telephone conversations and written correspondence will be used to gain additional information on particular agency concerns and to gain full agreement on the scope of studies. The final study plans will be used as the scope of work for studies that will be conducted for the project. A Final First Stage Consultation Document (FCD) will be distributed to all Agencies/Native Corporations for their records. Throughout Phase 1, as well as during Phase 2 and 3, HDR will prepare and file FERC Mahoney Lake Project Agreement For Engineering Services required 6-months progress reports with the FERC. PHASE 2 - DRAFT LICENSE APPLICATION TASK 6 - PROJECT STUDIES AND DRAFT LICENSE APPLICATION For this task, all reasonable and agreed upon studies, as outlined in the FCD, will be conducted and a Draft License Application will be developed for distribution to all Agencies and Native Corporations on the distribution list. Due to field season restrictions, weather and the timing of the studies, this task may take from one to two years to complete. This is the period when the details of the project and its environmental impact are studied and worked out in detail in order to support the application production. Potential Studies and Reports The following identifies the normal and anticipated environmental studies and reports generally required by the FERC Regulations pursuant to Title 18, Subpart E, Section 4.41 (copy of regulations are included in Appendix C) Water Use and Water Quality Existing Resources/Uses Water Quality and 401 Certification Impacts and Mitigation Consultation Fisheries Barrier Identification Species - Presence/Absence Aquatic Resources, Habitat & Mitigation Impacts and Mitigation Consultation Wildlife Existing Resources-Game-Nongame Threatened, Endangered & Sensitive Species Impacts and Mitigation Consultation Botanical Resources Existing Resources Threatened, Endangered & Sensitive Species Impacts and Mitigation Consultation Historic, Archeological, & Cultural Resources Existing Resources Verification Impacts and Mitigation Consultation Artifact Recovery Plan Socioeconomic Impacts Existing Demographics Mahoney Lake Project Agreement For Engineering Services Identification of Socioeconomic Impact Area Fiscal Impact Analysis Impacts Consultation Geology and Soils Existing Geological Features and Soils Geologic, Soils Hazards & Seismicity Construction and Operation Impacts Erosion and Sedimentation Control Plan Mitigation and Impacts Consultation Recreation Resources Existing Recreation Demands/Needs Recreation Potential Impacts Consultation Aesthetic Resources Existing Aesthetic/Visual Characteristics Potential Project Impacts Mitigation of Impacts Consultation Land Use Description and Identification of Land Use in Area Ownership in Project Area Proposed New Land Uses Consultation Draft License Application The Draft License Application will consist of the following parts: Initial Statement - Will state the names and addresses of the applicant and their agent(s), evidence of appropriate legal authority, the name and location of the project, citizenship status, and statement of compliance with State law. Exhibit A - Will consist of information on (1) a physical description of the project, (2) surface area/elevation and impoundments, (3) turbines or generation (4) transmission lines, (5) additional electrical, mechanical and transmission equipment, (6) identification and tabulation of all U.S. lands within the project’s boundaries. Exhibit B - Will discuss project operation and resource utilization. More specifically, the following subparts will be included: (1) powerplant operation in terms of river flow; (2) estimation of annual energy production and its dependableness, including items such as recorded flows, estimated hydraulic capacity, capacity curves, and tailwater rating curves; (3) anticipated use of power generation; (4) explanation of future development plans for that project or other projects whose development is planned on nearby water bodies. Exhibit C - Will present a construction history and schedule. The information contained in this section will include proposed schedule for the construction of Mahoney Lake Project Agreement For Engineering Services facilities. Exhibit D - Will provide a statement of project costs and financing. The elements to be covered comprise: (1) a tabulated statement of the original cost, including water rights, (2) an estimation of the amount payable if the license expired and the project was taken over, (3) an estimated cost of any new development, (4) an estimate of average annual cost of the proposed project, (5) an estimate of the annual value of the energy generated, (6) a statement of the sources and extent of financing available to complete the project. Exhibit E - Will be a report on the environmental resources, the impacts of the project on these resources and the proposed mitigation measures. This report will be prepared under close consultation with Agencies, Native Corporations, and the public. The HDR team will prepare the Exhibit E portion of the FERC License Application according to specifications outlined in subsection 4.41(f) of the FERC’s Application Procedures for Hydropower Licenses. Exhibit E is an environmental report normally consisting of the following sections: (1) General Description of the Locale (2) Report on Water Use and Quality (3) Report on Fish, Wildlife, and Botanical Resources (4) Report on Historic and Archaeological Resources (5) Report on Socioeconomic Impacts (6) Report on Geological and Soil Resources (7) Report of Recreational Resources (8) Report on Aesthetic Resources (9) Report on Land Use (10) Alternative Locations, Designs, and Energy Sources (11) List of Literature The sections will be prepared using existing data and information and results from studies. Appendices will include Agency letters and consultation documentation, application for Section 401 Water Quality Certification and relevant technical supporting material. Exhibit F - Will be the general design drawings of the facilities mentioned in Exhibit A. The drawings will show plans, elevations, and sections. Exhibit G - Will be a map(s) showing the project boundary, project features and property ownership. The transmission line and interconnection points will also be detailed. A preliminary Draft License Application will be prepared for review by Cape Fox Corporation. Following review by Cape Fox Corporation any revisions will be incorporated into a Draft License Application. The Draft License Application will be distributed to Agencies and Native Corporations for their review and comment. PHASE 3 - FINAL LICENSE AND PERMIT APPLICATIONS TASK 7 - FINAL LICENSE APPLICATION AND SUPPORTING DESIGN REPORT Final License Application Under FERC regulations, Agencies have ninety days to review the Draft License Application. Mid-way through this review period, a meeting will be held with interested Agencies and Native Corporations to review the Draft License Application, answer any Mahoney Lake Project Agreement For Engineering Services questions or concerns, and clear up any potential mis-understandings concerning the project. Although this meeting is not required under FERC regulations, it has been found to be very helpful to discuss and resolve any issues that may arise prior to finalization of the License Application. This meeting would most likely be held in Ketchikan. Meeting notes would be prepared and distributed to all Agencies and Native Corporations on the distribution list to document the discussions and understandings. Following receipt of Agency and Native Corporation comments, the Draft License Application will be finalized. All comments received will be addressed and incorporated into a Final License Application. An original and eight copies of the Final License Application will be submitted to FERC. The Final License Application must be received by the FERC before expiration of the Preliminary Permit. Copies of the Final License Application will also be distributed to all Agencies and Native Corporations on the distribution list. Supporting Design Report A Supporting Design Report will be prepared according to regulation requirements and submitted to the FERC as a separate report to the License Application filing. The Supporting Design Report will include: (1) An assessment of the suitability of the site based on geological and subsurface investigations, including investigations of soils and rock borings and tests for evaluation of all foundations and construction materials sufficient to determine the location and type of diversion structure suitable for the site. (2) Copies of boring logs, geology reports, and laboratory test reports. (3) An identification of all borrow areas and quarry sites and an estimate of required quantities of suitable construction material. (4) Stability and stress analyses for all major structures and critical abutment slopes under all probable loading conditions, including seismic and hydrostatic forces induced by water loads up to the Probable Maximum Flood as appropriate. (5) The bases for determination of seismic loading and the spillway Design Flood in sufficient detail to permit independent staff evaluation. Two copies of the Supporting Design Report will be submitted to the FERC. TASK 8 - PROJECT PERMITS/APPROVALS This task would involve the acquisition of permits and approvals. Permits/approvals which may be required for the Mahoney Lake Hydroelectric Project are shown in Table 1 below. Projects within the Alaska Coastal Boundary, such as the Mahoney Lake Project, are subject to the Alaska Coastal Management Program consistency review process. With this process, the Alaska Division of Governmental Coordination (ADGC) is responsible for obtaining a finding of consistency with the Alaska Coastal Zone Management Program. Additionally, the ADGC is responsible for coordinating all local and state agency review of the project. Mahoney Lake Project Agreement For Engineering Services TABLE 1 Permit or Approval Agency Comment | Coastal Zone Consistency Alaska Division of Required under Coastal Determination Governmental Zone Management Act Coordination Water Rights Application Alaska Department of Environmental Conservation Water Quality Certification Alaska Department of Required under Clean Natural Resources Water Act, 401 Certification required if there is discharge of water Land Use Permit Alaska Department of Required for projects Natural Resources within DNR property, land below the high water line of streams, rivers and lakes, or tidelands Section 404 Permit U.S. Army Corps of Federal Water Pollution Engineers Control Act, required for discharge of dredge or fill materials into waters or wetlands of the U.S. General Alaska Department of Required for construction Waterway/Waterbody Fish and Game in streams Application Special Use Permit U.S. Forest Service Conditions will need to be adhered to for use of roperty National Pollutant Discharge | U.S. Environmental For construction if Elimination System Protection Agency disturbs more than 5 acres The Water Rights Application and 401 Water Quality Certification should be submitted prior to filing of the Final License Application. Normally the Alaska Coastal Management Program consistency review process and initiation of other permit applications and approvals would begin following filing of the Final License Application. This scope of work does not include specific assistance with power sales negotiations for the sale of the project electrical output. It is expected that documentation and information developed by HDR will be used in power sales negotiations, and consultation and advise on power sales negotiations will be provided by HDR under this scope of work. If travel to Ketchikan or attendence at power sales negotiations is requested by Cape Fox, the scope of work above can be revised to include this activity. Mahoney Lake Project Agreement For Engineering Services EXHIBIT B HDR ENGINEERING, INC. STANDARD PER DIEM COMPENSATION FOR PROFESSIONAL SERVICES FOR THE MAHONEY LAKE HYDROELECTRIC PROJECT Effective April 1, 1993 PROFESSIONAL STAFF HOURLY RATE INCLUDING 3.1 MULTIPLIER ($) Principal (N. Macdonald 140.00 Project Manager (J. Snyder) Senior Engineer/Scientist (M. Stimac 110.42 Project Engineer/Scientist (D. Thompson Staff Engineer/Scientist I Planner (S. Mahnken Staff Engineer/Scientist II Planner (P. Berkshire, D. Howe, and Others Technician/Environmental Planner (L. Fortney, S. Zolfo and Others Senior Technician 73.50 Draftsman 42.00 CAD Operator 47.80 Steno/Word Processor IN-HOUSE EXPENSES Computer Time (no computer charges for word processing) 10.00/hr-Engineering 15.00/hr-CAD Station Xerox Copies 0.10/ea Blueline Copies 2.10 €a Mileage 0.28/mile Notes: All third party expenses are charged at cost plus 10% for insurance, B&O tax, coordination and processing. These expenses include: Hired Services (subconsultants, typing/drafting services, etc.); Travel (meals, lodging and transportation); Miscellaneous Supplies (publications, equipment rental, etc.). Compensation will be based on per diem rates which are defined as Labor Rate times a multiplier of 3.10 to be paid as total compensation for each hour an employee works on the project, plus reimbursable expense. Salary cost shall mean salaries and wages (basic and overtime) paid to all personnel engaged directly on the project. HDR labor rates for the Mahoney Lake Project are subject to adjustments on January 1 each year during the term of this Agreement to account for changes in salaries and overhead costs. Mahoney Lake Project Agreement For Engineering Services Appendix A. Site Surveying Services Proposal R&M Engineering MAR 26 ’93 @9:24AM R&M ENGINEERING P.2 PO. BOX 347: . JUNEAU, ALABKA 99803, 2 PHONE 907-780-6060 AGM ENGINEEEBING, INC. Me ucenent . "= pellets ENGINEERS GEoLoGiaTS SURVEYORS March 25, 1993 H.D.R. Engineering Inc. Suite 1200, 500 - 108th Ave. N.E. Bellevue, WA 98004-5538 Attn: Mr. Jack Snyder, P.E. 5 Project Manager : Re: Mahoney Lake Hydroelectric Project RFP Response Surveying/Mapping Ladies and Gentlemen: This letter is in your response to your RFP to our Ketchikan’s office cavern aerial photography, ground control surveys and photogrammetric mapping for a strip of land between lower and upper Mahoney Lakes. The strip of land to be mapped is outlined on a sectional map furnished us in your correspondence of March 24, 1993. The survey/mapping request is for the following data to be provided. 1. An interest expressed of R&M conducting the survey/mapping work. 2. A cost not to exceed for the aerial photography; ground contro] surveys and photogrammetric mapping; 3. The estimated time necessary to complete the work from an anticipated notice-to-proceed on or about June 1, 1993. TASK 1_- SURVEYING © - have read your Task 1 - Surveying statements 1 through 5 and understand em, We have also read your survey and map requirement item 1 on page 2 of your RFP. We understand your needs and can perform the ground control surveys; aerial Deen and photogrammetric an of the site meeting your specifications. Attached to this you will please find R&M's data sheet. It relates to you our firms background and capabilities. We have been ANCHORAGE FAIRGANKS JUNEAU KETCHIKAN MAR 26 ’93 89:24AM R&M ENGINEERING H.D.R. Engineering Inc. March 25, 1993 Page 2 conducting photogrammetric surveys in Southeastern Alaska since 1963. The following is applicable; 1. Using Temsco Helicopters as a transportation mode, we will set aerial panels within the mapping area. - 2. We will use as horizontal/vertical geodetic control, the global positioning stations established oY the United States Coast and Geodetic Survey and the Bureau of Land Management within George Inlet. We have used this data before and will expand on the existing networks. 3. Using our Juneau based aircraft and our Wild RC8 aerial mapping camera, we will obtain aerial photography for mapping purposes. 4. We will prepare photogrammetric mapping meeting your project specifications. Normal horizontal scale photogrammetric mapping with a-5° contour interval 1s 1"*200'. We understand that your desire the horizontal scale to be 1"=100' with the 5‘ contour interval. We further understand that you want both an ink on mylar map as well as floppy disks. The base will be "AutoCAD". The work would be performed to third order, horizontal/vertical survey accuracy. The resulting photogrammetric map will be to National Mapping Standards with the understanding that the ground is heavily vegetated with oe western hemlock, and cedar trees. The cost for the work is as follows: A. Ground Control Survey ..... $14,000 min.* to $17,000 max.* — $9,000 of incurred cost for transportation and equip- men B. Aerial Photography. ..............08. $6,000 C. Photogrammetric Mapping ...... 1... 0 ewes $2,850 TOTAL COST RANGE. ..... $22,850 to $25,850 Please be advised that we have given you a cost range on the ground - control surveys. We would prefer to do this work on a time and materials basis with a cost not to exceed the later figure. This control survey is principally the only variable for the project. Ground control is based on weather, efficiency in aerial photography, helicopter rates and other items. If a LUMP SUM figure is used, please use the higher figure. Lae] MAR 26 793 @9:25AM R&M ENGINEERING P.4 H.D.R. Engineering Inc. March 25, 1993 Page 3 We can begin this work the first week in June as you desire. An earlier start-up would be more pc ah as the vegetation would not be as heavy. The ground control and aerial pnotagrapny would be weather dependent and would take up to three weeks to do. The photogrammetric ey would take an additional three weeks.: The work could be accomplished within.a six week period. Should there be questions, or if we may be of further assistance, please do not hesitate to contact us at your convenience. Sincerely, R_& M ENGINEERING, INC. ak enzies, P.E., L.S. Maleolm A. Attachments ysh MAR 26 793 @9:25AM R&M ENGINEERING P.S . R & M ENGINEERING, INC. CIVIL ENGINEERS, ENGINEERING GEOLOGISTS, AND LAND SURVEYORS ORIGINS: Malcolm A. Menzies, Registered Land Surveyor - Juneau - 1965 Southeastern Consultants, Inc. - Juneau - 1966-1968 R & M Engineering & Geological Consultants - Fairbanks - 1968-1970 R & M Engineering & Geological Consultants - Fairbanks and Juneau - 1970-1972 R & M Engineering & Geological Consultants - Fairbanks, Juneau, and Anchorage - 1972-1974 R & M Consultants, Inc. - Fairbanks, Juneau, Anchorage - 1974-1984 _ R & M Engineering, Inc. - Juneau - 1984 to present: And R & M Engineering - Ketchikan, Inc. - 1989 to present MEMBERSHIPS: American Society of Civil Engineers National Society of Professional Engineers/Alaska Society of Professional Engineers Consulting Engineers Council - Alaska American Society of Foundation Engineers Alaska Society of Professional Land Surveyors American Congress of Surveying and Mapping American Society for Photogrammetry and Remote Sensing International Conference of Building Officials Structural Engineers Association of Alaska AFFILIATES: R & M Consultants, Inc. - Anchorage (7% shareholder) R & M Engineering Consultants, Inc. - Fairbanks (15% shareholder) R & M Engineering - Ketchikan, Inc. (51% shareholder) LICENSES: Board of Registration for Architects, aes | and Land Surveyors, Corporate Authorization _ No. C4S6 Alaska Business License No. 045166 Employer Identification No. EIN 92-0103146 Dun & Bradstreet DUNS No. 14-440-3730 EMPLOYEES: IUNEAU KETCHIKAN ‘Number of Employees - 16 Number of Employees - 12 With degrees - 8 With degrees - 6 Registered Engineers - 4 Registered Engineers - 2 Registered Engineering Geologist - 1 Reg. Land Surveyors - 3 Registered Land Surveyors - 4 ; : Registered Land Surveyors in Training - 2 DEPARTMENTS: Civil Engineering Structural Engineering Geotechnical Engineering Engineering Geology Land and Engineering Surveys Graphics Soils Drilling ICBO Certified Inspectors Aerial Photography for Displays and Mapping Local, State & Federal Permitting Soils, Asphalt, Concrete Testing Facilities Construction Management/Inspection SRM MAR 26 ’93 @9:25AM R&M ENGINEERING Pie DESCRIPTION OF FIRM EXPERTISE; OFFICES; FIELD, LABORATORY, AND COMPUTER EQUIPMENT CAPABILITIES; SPECIAL (AERIAL) EQUIPMENT; AND WORK EXCELLENCE AWARDS General: R&M Engineering, Inc. maintains civil, geotechnical, surveying, and testlab personnel and equipment in two Alaskan communities - Juneau and Ketchikan. In Southeastern Alaska, our private surveying, engineering, and testing effort began in 1965. This affords us an “historic-records” advantage in this region of Alaska. To augment i our engineering, cadastral, land and subdivision survey services, our firm has the resources of the below listed engineering and surveying equipment available to aid and assure efficient and accurate work employing proper procedures as required by individual projects. Olfice Description: Our Juneau office consists of a ground and partial second floor space of our own building located at 6205 Glacier Highway. The engineering work area consists of 3,400 square feet of space divided into; 300 square feet of reception area; 400 square feet of executive office/conference area; 1,000 square foot seven-station drafting area; 400 square feet of library/office area; 500 square feet of computer area with CADD computer terminal areas for engineering layout and design; 400 square feet of geological offices; 600 square feet of soils, concrete, and asphalt laboratory facilities; 150 square foot conference room; and 250 square feet of business computer space. Additionally, we have a 1,000 square foot warehouse/hangar space at Juneau International Airport. In this area, we keep our aircraft, Mobile B40H and CME 45 drill rigs. Field Survey Equipment: 1 Hewlett-Packard (HP) 3820A Total Station (electronic theodolite and distance meter); 3 TopCon "Guppy GTS 200 total stations; 3 Wild T2e theodolites; 2 Wild T1 repeating theodolites; 2 K&E Paragon transits; 2 Zeiss Ni2 levels; 2 Hilgar-Watts self-indexing levels; 1 Rhodes reducing area; 2 HP'3800 electronic distance measuring instruments; 1 HP 3805 electronic distance measuring instrument; 1 HP 3808 electronic distance measuring instrument; 5 HP 41CV calculators; 4 HP 45 calculators; 1 HP 65 programmable computer; 2 HP 9815S computers with HP 3871 printer/plotters. Five vehicles (crew cabs, panels, and pick-ups); 2 All-Terrain vehicles; 1 snow machine; 1-19’ boat; 1-15’ boat; 1 Cessna 180 airplane (wheel, specially equipped for aerial photography); 1 Wild RC8& 6" focal length aerial camera (USGS calibrated) 1 Park 6” focal length USGS calibrated) aerial camera; 1 K&E 8 1/4" focal length aerial camera; 1 Cessna 185 amphibian aircraft for personnel and equipment transport throughout Southeast Alaska. Soils and Laboratory Testing: Maintained at our offices are complete ASTM soils, concrete, and asphalt quality control testing laboratories that include limited water testing. R&M recognized the need for a private testing laboratory in Southeast Alaska in 1970. We maintain, for soils sampling, a Mobile B40H drill rig; a CME 4SC drill rig (skid-trailer mounted); 1 Soiltest A-Frame; 1 Mark IX diamond core drill; and a concrete core drill. Our experience includes on-land drilling by normal and airborne transport as well as over-water drilling. Computer Capabilities: 1 HP 9816 computer with HP 225A Think-Jet printer/plotter; 1 Compag 286 Desk-Pro . computer (IBM compatible) with Okidata Microline 192 printer/plotter; 4 IBM compatible 386 and 1-486 based computers ranging in processing speed from 16-33 Mbz; 1 HP "Vectra" business computer (IBM compatible) with Epson FX8S printer/plotter. R&M’s Hewlett-Packard Series 80-HP85 computer supports such software as HP 38042C, Surveying Volume C, HP 38042F, Surveying Volume F - Plotting, HP 38042H, Surveying Volume H - Earthwork Volume Computations, and PacSoft’s Topography -Digital Terrain Modeling software programs. These programs allow a second and/or third operator to perform nearly all of the functions as have been explained above in order to insure prompt completion of any project. This computer also has installed software to perform conversions of State Plane Coordinate Systems to Geodetic Position or vice versa as is required by many firms and organizations. Computer Software Capabilities: R&M’s in-house capabilities consist of HOLGUIN ADC2S0, Version 3.8, Real World Solution software utilized for design of highways, urban streets, access roads, railways, canals, airstrips, earth dams, and stockpiles; PACSOFT, INC. Cogo-200 Engineering Design Software utilized in conjunction with the HOLGUIN software to perform the required reduction of field generated data and design of virtually any civil engineering project. These two software are supported by our HP 9816 Series 200 computer. MAR 26 ’93 @9:26AM R&M ENGINEERING Rad Software supported by our IBM compatible computer systems include the latest versions of WordPerfect, Aldus PageMaker, Microsoft Windows 386, CIVILSOFT’s Advance Designer Series Cogo-PC (utilized for clvil applications such as field survey problem/solutions, mapping, highway and roadway design, subdivision design, parce] and tract maps, map checking, utilities design and alignment, construction layout and staking and subterranean mapping). This software is augmented by the use of CIVILSOFT’s contour programs that enable us to input and edit data, calculate contour lines, generate a contour plot, both in 2-D and optional 3-D rotated contour and mesh pilots, along with i Highway Design Program that automatically performs required calculations and operations of highway and railway design, computations of earthwork quantities for not only highways, but also borrow pits and stockpiles. The program also has the capability of design and computation of preferred alignments based on balanced earthwork quantities. Engineering Data Systems surveying system and RoadCalc software package working interactively with AutoCad to produce all the above functions and capabilities. All of this. software has the capability of producing transfer files that are interactive with the latest release of Autodesk, Inc.’s Autocad Release 11. In addition, installed utility programs enable the transfer of all information into autocad produced drawings to the Civilsoft-Cogo-PC Plus program for that software’s use as may be required. Autodesk’s Autocad Release 11 is the industry leader in its field and has capabilities such as producing architectural and civil engineering drawings, interior design and facilities planning, work flow charts and organizational diagrams, virtually any type of graph, drawing for such applications as electronic, chemical, mechanical, automotive and aerospace engineering uses, topographic maps and nautical charts, plots and other representation of mathematical and scientific functions, technical illustrations and assembly diagrams, logos, card and line drawing for fine arts use. Special Equipment (Aerial): The Cessna 180 aircraft in Juneau is specially equipped for aerial photogrammetric surveys by special "underbelly” structural modification for aerial photogrametry and mapping cameras. We have a Wild RC8 6” focal length camera (USGS calibrated), The aircraft is fitted with long-range tanks (8 hours). We also maintain a Cessna 18S amphibian aircraft for personnel transport to communities outside Juneau. An aerial film library library having photographic records of all Southeast Alaska communities and Southeast remote areas are available dating from 1976 to present is available. Awards R & M Engineering, Inc. has been fortunate in the last several years to be honored by various societies/conferences with project excellence awards, The following awards have been presented by our firm by the professional societies American Society of Civil Engineers - Juneau Chapter/Alaska Society of Professional Engineers - Juneau Chapter * 1988 Project of the Year Award: Jointly given to City and Borough of Juneau, Engineering Department, and R&M for the analysis, design, construction inspection of Calhoun Avenue retaining wall replacement project in Juneau. This work was an 18’ high retaining wall over 200’ in length constructed _ Within 20’ of a higher residence on a 1:1 hillside slope. * 1987 Project of the Year Award: Jointly given to City and Borough of Juneau, Engineering Department, and R&M for the replacement project of the Juneau International Airport, Jordan Creek culvert. The work included permitting, surveys, soils, and design as well as construction management/inspection. * 1986 Honorable Mention Award: Mendenhall Wetlands State Game Refuge Survey. A 3,500(+) acre . boundary survey which included aerial photography and photogrammetric mapping as well as boundary survey retracement and special exhibits. * 1979 Project of the Year Award: Given to R&M for their geotechnical review and analysis of — settlement at the Auke Bay Elementary School, Juneau. work included project historic r research, topographic surveys and mapping, subsurface exploration/testing, and a complete geotechnical analysis. MAR 26 ’93 @9:27AM R&M ENGINEERING P.8 Alaska Surveying and Mapping Conference (sponsored by Alaska Society of Professional Land Surveyors; Alaska - Society of Photogrammetry and Remote Sensing; American Congress of Surveying and Mapping - Alaska Section), the following awards have been received. * 1991 Project of the Year (Runner Up) Award: For the research, planning and m of the i erates Can Manse aA catdan ont Annee Adee tients Ane + 1990 Project of the Year (Runner-Up) Award: For the research, monument r » boundary retracement of eight mineral and six dias "tore of thn catury? survape ot tas Comet hie, Kendlegion, Alaska (47 miles north of Juneau). The survey delineated Tongass National Forest lands from private patented “in-holding” lands. * 1986 Project of the Year Award: For the boundary retracement, boundary establishment (+200 monuments), aerial photogrammetric mapping, and display documents necessary for creation and Jand line definition/management of the MENDENHALL WETLANDS STATE GAME REFUGE in Juneau. * 1979 Project of the Year Award: For the retracement (di of a GLO fraudulent sectional survey) and boundary establishment of the CHILKAT STATE PARK, The following awards have been made by the Alaska Surveying and Mapping Conference for plat/map preparation; * 1991 - Topographic Mapping (2nd Place): Mendenhall Center and Shopping Mall - Juneau. - 1990 - Final Subdivision of Plat (2nd Place): Whitcomb Heights II Subdivision in Sitka * 1990 - Final Subdivision Plat (2nd Place): Point Lode Subdivision at Funter Bay, i —_ el Mapping (1st Place): Hydaburg Subdivision for Tlingit & Haida Regional Housing ui : * 1990 - Topographic Mapping (2nd Place): Johnstone Point facilities for Alascom, Inc. * 1990 - General Plat of Survey (2nd Place): Nugget Mall Shopping Center “As-Built" Survey (Juneau) * 1988 - Subdivision Plat Award - Subdivision of lands to be "traded" between Goldbelt, Inc. and the City and Borough of Juneau — i Se iii Center topographic and land line platting uneau * 1987 - Photogrammetric Survey Award - Mt. Edgecumbe and Island Community College Survey (Sitka) . 1987 - Topographic Survey Award - Juneau’s Marine Park * 1986 - Plat of Survey Award - ASLS 85-173, Ketchikan land selection survey * 1985 - Topographic Survey Plat of Excellence Award - Juneau's Auke Lake Campus (University of Alaska) * 1985 - General Survey Plat of Excellence Award - Juneau Motors topographic survey * 1985 - Topographic Survey Plat - Juneau's McDonald's facilities at McNugget Intersection, Mendenhall Valley (Juneau) Appendix B. Geotechnical Proposal Shannon & Wilson [|] SHANNONEWILSON. INC. ee AND ENVIRONMENTAL CONSULTANTS FAIRBANKS, GEOTECHNICAL ee SAINT LOUIS March 26, 1993 HDR Engineering, Inc. 500 - 108th Avenue N.E., Suite 1200 Bellevue, Washington 98004-5538 Attn: Mr. Jack Snyder, P.E. RE: PROPOSAL FOR ENGINEERING GEOLOGIC RECONNAISSANCE AND REPORT, MAHONEY LAKE HYDROELECTRIC PROJECT, KETCHIKAN, ALASKA Thank you for the opportunity to submit a proposal for the Mahoney Lake Hydroelectric Project near Ketchikan, Alaska. We are most interested in working with you on this interesting project. This proposal presents a summary of a scope of work and a cost estimate for that work. We understand that a decision has already been made that the water conveyance system for the project will be a surface penstock. The purpose of Shannon & Wilson’s work will be to help HDR complete a hydropower license application to the Federal Energy Regulatory Commission (FERC). As described in your letter to Shannon & Wilson dated March 23, 1993, the scope of our services will consist of a three-day site reconnaissance, literature search and review, a site reconnaissance report, preparation of soils and geologic maps, assessment of construction material availability, and preparation of the E.6 section of the license application. The HDR letter detailing the scope items is enclosed. We have assumed that the borrow report can be included in the reconnaissance report. As discussed with you yesterday, we have also included time to review the ’supporting design report’ that will be prepared by HDR. At your suggestion, we have also added time for a meeting at your Bellevue office and a trip to Ketchikan to meet with the client after completing the studies. We estimate that the cost of our services will be $14,911, a figure that we would not exceed unless authorized by you. A breakdown of the services and costs is enclosed on the Job Cost WP-5809-1 400 NORTH 34TH STREET * SUITE 100 P.O. BOX 300303 SEATTLE, WASHINGTON 98103 206*632*8020 FAX 206*633*6777 HDR Engineering, Inc. SHANNON & WILSON. INC. Attn: Mr. Jack Snyder March 26, 1993 Page 2 Estimate. Our work would be performed on a time and expense basis and in accordance with the attached Agreement for Professional Services. Invoices would be sent to HDR as our client. Based on our expected work load, the two required reports would be completed within about three weeks of the completion of the site visit. Oral information could be provided to HDR during that three-week period to facilitate their preliminary layout of the project components. Again, we appreciate the opportunity to propose on this project and look forward to working with you on it. Sincerely, SHANNON & WILSON, INC. Zee nae 4 William T. Laprade, aA Associate WTL:WPG/wtl Enclosures: Job Cost Estimate HDR letter to Shannon & Wilson dated March 23, 1993 Agreement for Professional Services, GH-93 (1/93) Important Information About Your Geotechnical Engineering Report WPS5809-1.LTR/WPS5809-Ikd/Ikd WP-5809-1 JOB COST ESTIMATE FERC LICENSE/GEOLOGIC REPORT Rate uantit Subtotal |FIELD SERVICES |Services Site Visit $91.00 |/hr 34| hr $3,094 Reimbursables Ground Transportation $40.00 |ea 1|total $40 Subsistence $100.00 |/day 3| day $300 Air Fare $615.00 | each 1} total $615 Photos 4 Markup on reimbursables Field Subtotal $4,247 LABORATORY TESTS Gradation $50.00 |/test 2| test $100 Limits $50.00 |/test 2| test $100 Unit Weight $25.00 |/test 4| test $100 Laboratory Subtotal $300 ENGINEERING & REPORT Geologic Lit. Review Information Specialist $35.00 |/hr 2| hr $70 Associate $91.00 |/hr 6| hr $546 Analyses & Report Rock Mechanic $91.00 |/hr 6| hr $546 Associate $91.00 |/hr 48} hr $4,368 Supporting Design Review Associate $91.00 |/hr 4| hr $364 Review Principal $125.00 |/nr 7| br $875 Client Meeting Associate $91.00 |/hr 20| hr $1,820 Ground Transportation $30.00 |ea 1 |total $30 Subsistence $100.00 |/day 2| day $200 Air Fare $615.00 | each 1} total $615 Markup on Reimbursables 15% $127 Miscellaneous Drafting $40.00 |/hr 8|hr $320 Typing $35.00 |/hr 6|hr $210 Reproduction $33.00 |/hr 1|hr $33 Computer Usage $8.00 |/hr 30|hr $240 Engineering Subtotal $10,364 TOTAL $14,911 Page 1 SHANNON & WILSON, INC. March 23, 1993 Shannon and Wilson, Inc. Attention: Bill LaPrade 400 N. 34th Street, Suite 100 Seattle, WA 98103 RE: Mahoney Lake Hydroelectric Project Request For Proposal- Geologic and Geotechnical Site Reconnaissance Program Dear Bill: HDR is preparing a proposal to prepare a FERC License application for a the Mahoney Lake Hydroelectric Project located near Ketchikan, Alaska. If you are interested in proposing on this project with HDR, please provide us with a scope of work, not to exceed cost and estimated schedule to complete the following work: 1) Site Reconnaissance- Attend a site trip in late May or June with HDR and the Client. Allow two days in the field plus travel time. HDR will handle arrangements for the required helicopter at our cost. We will spend time at the upper lake outlet and at the proposed powerhouse location (See attached map) and walk parts of the penstock route. We intend to fly the access road/transmission line route (5.5 miles) and may be able to land along this route in a few places. HDR will shoot video during the trip and provide a copy to you. During site visit, take soil and rock grab samples for lab testing as necessary to support reporting requirements below. 2) Perform a literature search to locate existing geologic and geotechnical information about the site. Several studies by the Army Corps of Engineers and others have been conducted in the past. There are many mines in the area, and RW Beck and others have studied the site in the past for AEA and Ketchikan Public Utilities (KPU). 3) Prepare a site reconnaissance report that provides the following: a) assessment of the suitability of the dam site at the lake outlet (approx. 10’ high), abutments and foundation. b) assessment of penstock route, suitability, rock and soils types, erosion potential. c) assessment of powerhouse site, foundation, soils, groundwater, etc. d) assess site hazards such as susceptibility to landslide, avalanche, earthquake, etc. e) assessment of access road/transmission line route, constructibility, soils and rock types, identify problem areas. f) results of the literature search. g) provide estimates of engineering properties for each soil and rock type encountered, such as density, permeability, allowable bearing pressure, gradation and coefficient of HDR Engineering, Inc. Suite 1200 Telephone 500 108th Avenue, N.E. 206 453-1523 Bellevue, Washington 98004-5538 friction. Also, estimate shear strength, modulus of elasticity for rock types. Base estimates upon site reconnaissance and test results from grab samples. These should be general estimates only suitable for use for preliminary but not final design. 4) Prepare two maps, a soils map and a geologic map of the project area, using a contour map background provided by HDR. Maps can be hand drawn and will be put onto CAD by HDR. Identify major soil and rock types in the project area. 5) Assess possible sources of earthen and rock construction materials in the project area. Sources for pipe bedding material, road base and top course material, and rip rap will need to be identified eventually. In this report, potential sources need only be identified and a general assessment made, as well as an assessment of use of local materials and re-use of excavated materials. Locations of potential spoil areas need to also be identified. 6) Prepare the "Geological and Soil Resources" section of the Exhibit E in the FERC License application according to FERC guidelines. This will be a major unconstructed project. At the present time, no work on the Erosion and Sedimentation Control Plan by Shannon & Wilson is planned, but this could change in the future. This project is just in the kick-off phase, with the preliminary permit just applied for last week. We are trying to get as much packed into this first site visit as possible to keep the cost of the field work under control. Keeping up front and licensing costs as low as possible are very important to this private client, and we hope Shannon & Wilson’s experience in performing this type of work will help control these costs. We are trying to have a complete proposal ready for submittal to the client by next Tuesday, March 30. If you could get me something by Friday this week, it would be very helpful. Please give me a call and we can discuss further. Thanks. Sincerely, HDR ENGINEERING, INC. DWbuyb— Jack Snyder, P.E. Project Manager f:\hyd\market\mahoney\geotech.rfp WP-5809-1 sane SHANNON & WILSON, INC. Attachment to and part of Proposal == (i) Geotechnical and Environmental Consultants Dated: March 26, 1993 === To: HDR Engineering, Inc. AGREEMENT FOR PROFESSIONAL SERVICES Re: Mahoney Lake Hydroelectric Proje: On the Basis of General Hourly Rates for Projects with No Known Hazardous Substances From:__William T. Laprade, C.E.G. i: PROLLESSIONAL. SERMICES BY STAFF a OFFICERS for services are based on the time expended on the project, including travel, by professional, technical, and clerical personne!) The fee will be computed by multiplying the number of hours worked by each class of personnel by the hourly rate listed below for that ease Officer $125.00 Eng./Geol./Hydro. - IV $59.00 Sr. Technician/Drafter $49.00 gree Staff Consultant 110.00 Eng./Geol./Hydro. - 0,00 54.00 Technician/Drafter II 40.00 48.00 Senior Associate 104.00 Eng./Geol./Hydro. - I 46.00 Clerical 35.00 42.00 Associate 91.00 Technician I 30.00 36.00 Sr. Princ. ./Geol./Hydro. 85.00 SP! Princ. & Sr. ./Geol./Hydro. 69.00 iter Science : 104.00 These rates are for Shannon & Wilson's current fiscal year Inform. Resources Spec. 91.00 (FY). At the end of each FY (December 31) rates wi! Sr. Principal Analyst 91.00 reviewed and adjusted for the next fiscal year. be 2. ABLE E) Expenses other than salary costs that are directly attributable to our professional services will be invoiced at our cost plus 15 percent. Examples include but are not limited to expenses for out-of-town travel and living, information processing equipment, instrumentation and field equipment rental, special fees and permits, premiums for additional or special insurance where required, long distance telephone charges, local mileage and parking, use of rental vehicles, taxi, reproduction, local and out-of-town delivery service, express mail, photographs, film, laboratory equipment fees, and job-related shipping charges and supplies. When we engage a contractor(s) for drilling or other exploration, testing, and/or other contract services, we will invoice you for the contractor's services plus 15 percent. An exception would be work performed by a wholly-owned subsidiary of Shannon & Wilson, Inc. Their invoices will be included in our invoice without markup. Borings, geophysical surveys, pile loading tests, plate bearing tests, in situ tests and other field tests conducted using our equipment and aia a be billed for labor as computed under the first paragraph of this schedule, plus the usage of our equipment at our current equipment usage rate. Laboratory tests performed using our equipment and personnel will be billed at either (1) the charge for labor, as computed under the first paragraph of this schedule, or (2) current unit prices, if specified in the proposal. 4. E IN: INSULT. It is agreed that Shannon & Wilson, Inc. will not issue subcontracts to subconsultants and/or consultants exceeding $10,000 for and as part of its work hereunder without your prior written consent, which consent shall not be unreasonably withheld. When subconsultants and/or consultants are used, the total cost of their services will be marked up 15 percent. Mr. William L. Shannon, although retired from the firm, is available as a consultant at a rate, without markup, of $125 per hour, or at an otherwise agreed rate. RIGHT. OF ENTRY nless otherwise agreed, you as the “Client” will furnish us with applicable permits and right-of-entry on the land and be responsible for the propriety of the time, place and manner of our entry to the site where we are to make borings, surveys and other explorations. We will take reasonable precautions to minimize damage to the site from use of equipment, but have not included in our proposed fee the cost of restoration of the site. If you desire us to restore the site to its approximate former condition (i.e. compaction of backhill, pavement patching, restoring lawns, vegetation, etc.), we will accomplish this by contract services and add the cost plus 15 percent to our fee. We will give you an estimate for such restoration, if requested. In the absence of an agreement for such restoration, you agree to defend, hold harmless, and indemnii from any loss suffered by Shannon & Wilson, Inc. arising in connection with or related to our access to, entry upon, or the restoration of the site, for the purposes described in this paragraph. 6. BURIED STRUCTURES AND UTILITIES If there are any buried structures and/or utilities such as sewer, electric, etc., on land where exploration(s) is to be made, you will provide us with a plan showing their existing locations. We and our subcontractors will use reasonable care and diligence to avoid contact with buried structures and/or utilities as shown. You will defend, hold harmless, and indemnify us, your “Consultant,” consisting of Shannon & Wilson, Inc., and our subconsultants and subcontractors, from any loss resulting from inaccuracy of the plans, or lack of plans, relating to the location of buried structures and/or utilities. 7. WORKERS’ C! N: IN_IN: ANCE We shall provide workers’ compensation insurance (and/or employer's liability insurance) as required by applicable state statute. 8. GENERAL LIABILITY: LIMITATION innon n, Inc. agrees to indemnify and hold you harmless on account of that liability due to bodily injury or property damage arising directly out of our negligent operational acts, but our liability under these indemnity and hold harmless obligations will be limited to the coverages available under our comprehensive general liability insurance, and not otherwise. We carry comprehensive general liability insurance, which, subject to its limits, terms, and conditions, provides protection against liability arising out of bodily injury and property damage that is the direct result of our operational negligence. At your request, we will provide certificates evidencing such coverage. At your request, we will also purchase those additional limits of liability insurance that you may require, as a separate cost item to be borne by you. 9. PROFESSIONAL LIABILITY: LIMITATION hannon & Wilson, Inc.’s liability arising in connection with this contract, including for breach of contract, consequential or incidental damages, and for all its ag igent acts, errors, or omissions in the performance of professional services hereunder, shall not exceed Fifty Thousand Dollars ($50,000.00) or ten percent (10%) of our total invoice amount, whichever is greater, for injuries or loss to you or for which you become legally liable, including any claims for costs of defense or other incurred costs. In the event that you are unwilling or unable to limit our professional liability to these sums, we will negotiate the amount of limitation and its cost. You must notify us FY 93 Form No. GH-93 (1/93) Page 1 of 2 10. aS 12. 13. 14. 15. in writi it the time you our proposal your intention to so negotiate the amount of limitation and its cost. Absent your prior vane waned Son $0 tan antibneg, ee Wl odlerviae proceed on the basis that our total liability is limited to $50,000 or 10 percent of our total invoice, whichever is greater. WARRANT! SIT] R HAZARDO SUBSTANCE: You hereby guarantee that you do not know or have reason to know of the presence of hazardous, toxic, or radioactive substances, includin; waste, or other contaminants on or under the project site or sites or on or in property which must be crossed to conduct our work. It s be your duty to advise us immediately of any discovery of hazardous, toxic or radioactive substances, including waste, or other contaminants, or threatened release of same, on or near the site or sites upon which work is to be performed by us, our employees, subconsultants, or subcontractors. If hazardous, toxic or radioactive substances, including waste, or other contaminants are discovered during the course of or in connection with our work, it is hereby agreed that the scope of services, sobbed ley anss (ie coranaten, Decree core au be reconsidered and that this contract shall immediately become subject to renegotiation or, in the sole discretion of Shannon ilson, Inc., subject to suspension or termination. In the event we terminate this a; ent because hazardous, toxic or radioactive substances, including waste, or other contaminants are discovered, it is agreed that we shall be paid for our total charges for labor performed to the termination notice date, plus our reimbursable charges, plus termination expenses. Termination expenses are defined as fifteen percent (15%) of our total charges for ir and reimbursables accumulated to our time of termination, plus labor and reimbursable charges related to: 1) complying with federal, state, or local laws regarding hazardous, toxic or radioactive substances, including waste, or other contaminants, and 2) decontamination or replacement of contaminated equipment or consumables. D F P All samples of unpolluted soil and rock may be discarded 30 days after submission of our final report unless you advise us to deliver the samples to you, at your sole expense, or to store them for an agreed storage charge. In the event that samples, materials, tools or equipment contain or come in contact with substances or constituents hazardous or detrimental to health, safety, or the environment as defined by federal, state, or local statutes, regulations, or ordinances, we will, at your (Client’s) expense, return such samples and materials to Client. All tools, equipment, and consumables contaminated in performing our services will be decontaminated, or disposed of and replaced, at Client’s expense. iz ENGI R Invoices will be submitted periodically for prior services. Payment will be due upon receipt of invoice. An account will become delinquent 30 days after date of billing. It is agreed that a late charge will be added to delinquent accounts at the rate of one-and-one-half percent (1-1/2%) for each 30 days from the date of billing (provided the rate of such late charge shall not exceed the maximum allowable by the laws of the state in which our office submitting the invoice is located; and in that case, then the highest legal rate). If you fail to make payments to us within 30 days of receipt, we may, after giving seven days written notice to you, suspend services. N-! RESPONSIBILITY It is understood and agreed that Shannon & Wilson, Inc. will not be responsible for contractors’ means and methods of construction, nor has it been retained to provide, nor will it be compensated for providing professional services relating to the personal safety of anyone on-site other than Shannon & Wilson, Inc. employees and its authorized agents, and that Shannon & Wilson, Inc. will not be assuming any responsibility for providing such services. ER PROVISION Neither party shall hold the other responsible for damages or delay in performance caused by weather and other acts of God, strikes, lockouts, accidents, or other events beyond the control of the other or the other’s employees and agents. This agreement shall be construed pursuant to the laws of the state in which our office submitting the proposal (confirming letter) is located. In the event any provision of this agreement is found to be unenforceable, illegal, or contrary to public policy, the remaining portions of this agreement shall remain in effect and enforceable. One or more waivers by either party of any provision, term, condition, or covenant, shall not be construed by the other party as a waiver of a subsequent breach of the same by the other party. In the event there is a dispute between Shannon & Wilson, Inc. and yourself concerning the formance of any provision in this agreement, the losing party shall pay the prevailing party all reasonable costs incurred in connection with the dispute, including staff time, court costs, attorneys’ fees, and other dispute-related expenses. In the event of any other dispute, if Shannon & Wilson, Inc. provides expert or fact witness testimony arising out of the performance of any provision in this agreement, whether at your request or that of any other party, you will be responsible and pay for all our reasonable related costs, including staff preparation and testimony time, at the above stated rates. An opinion of construction cost prepared by us represents our judgment as a design professional and is supplied for your general guidance only. Since we have no control over the cost of labor and material, or over competitive bidding or market conditions, we do not guarantee the accuracy of our opinion as compared to other sources, such as, contractor bids of actual cost to the owner. Where tests are performed within a borehole (such as a borehole logger, Goodman jack, seismic compression, and shear wave), it is possible that damage to or loss of the borehole may occur. In such event, you agree to release us from all liability for loss of borehole from any cause while or after our services are performed. It is agreed that a reasonable attempt to recover the equipment will be made at your expense beyond which we agree to accept the risk of loss or damage to our equipment while inserted in a borehole. Test borings and test pits are an accepted and informative means of subsurface exploration. However, in the nature of things, they cannot indicate with absolute certainty the nature of the subsurface conditions between and below the test explorations. Therefore, a report based on test borings, test pits, or other exploration method cannot guarantee the nature of the subsurface conditions between and below the test explorations. If conditions different than are indicated in our report come to your attention after you receive the report, it is recommended that you contact Shannon & Wilson, Inc. immediately to inform Shannon & Wilson, Inc. completely of what you have discovered and to authorize further evaluation, if appropriate. IN This agreement may be terminated by cither party by seven days’ written notice. If this agreement is terminated, it is agreed that we shall be paid for our total charges for labor performed through the termination notice date, plus reimbursable charges, plus reasonable termination expenses to account for our costs for rescheduling, adjustments, reassignment of personnel, and related costs incurred due to termination. Termination because hazardous substances are discovered is covered under Paragraph 10. FY 93 Form No. GH-93 (1/93) Page 2 of 2 Wr-a5U9-4 i eeeeal SHANNON & WILSON, INC. Attachment to Proposal Page 1 of 2 _——_ Geotechnical and Environmental Consultants Dated: March 26, 1993 ae To: HDR Engineering, Inc. —Attn: Mr, Jack Snyder __ Important Information About Your Geotechnical Engineering/ Subsurface Waste Management (Remediation) Proposal More construction problems are caused by site subsurface conditions than any other factor. The following suggestions and observations are offered to help you manage your risks. i HAVE REALISTIC EXPECTATIONS. If you have never before dealt with geotechnical/subsurface issues, you should recognize that site exploration identifies actual subsurface conditions at those points where samples are taken, at the time they are taken. The data derived are extrapolated by the consulting geotechnical/civil engineer and/or scientist, who then applies judgment to render an opinion about overall subsurface conditions, their reaction to construction activity, and/or appropriate design of foundations, slopes, impoundments, recovery wells, and other construction and/or remediation elements. Even under optimal circumstances, actual conditions may differ from those inferred to exist, because no geotechnical/civil engineer and/or scientist, no matter how qualified, and no subsurface program, no matter how comprehensive, can reveal what is hidden by earth, rock, and time. DEVELOP THE SUBSURFACE EXPLORATION PLAN WITH CARE. The nature of subsurface explorations - the types, quantities, and locations of procedures used - in large measure determines the effectiveness of the geotechnical/waste management report and the design based upon it. The more comprehensive a subsurface exploration and testing program, the more information it provides to the engineer/scientist, helping to reduce the risk of unanticipated conditions and the attendant risk of costly delays and disputes. Even the cost of subsurface construction may be lowered. Developing a proper subsurface exploration plan is a basic element of geotechnical/subsurface waste management (remediation) design which should be accomplished jointly by the engineer/scientist and the client (or designated professional representatives). This helps assure that the parties involved recognize mutual concerns, and that the client is aware of the technical options available. Clients who develop a subsurface exploration plan without the involvement and concurrence of a geotechnical/waste management consultant may be required to assume responsibility and liability for the plan’s adequacy. READ GENERAL CONDITIONS CAREFULLY. Most geotechnical engineers/waste management professionals include their standard general contract conditions in their proposals. One of the general conditions most commonly employed is to limit the geotechnical/waste management consultant firm's liability. Known as a “risk allocation” or "limitation of liability," this approach helps prevent problems at the beginning and establishes a fair and reasonable framework for handling them, should they arise. Various other elements of general conditions delineate your geotechnical/waste management consultant’s responsibilities. These are used to help eliminate confusion and misunderstandings, and thereby help all parties recognize who is responsible for different tasks. In all cases, read your geotechnical/waste management consultant’s general conditions carefully and ask any questions you may have. HAVE YOUR CONSULTANT WORK WITH OTHER DESIGN PROFESSIONALS. Costly problems can occur when other design professionals develop their plans based on misinterpretations of a geotechnical engineering report. To help avoid misinterpretations, retain your geotechnical/civil engineer and/or scientist to work with other project design professionals who are affected by the geotechnical/waste management report. This permits an engineer/scientist to explain report implications to design professionals affected by them, and to review their plans and specifications so that geotechnical/waste management issues can be dealt with adequately. Although some other design professionals may be familiar with geotechnical/waste management concerns, none knows as much about them as a competent geotechnical engineer and/or waste management professional. Page 2 of 2 OBTAIN CONSTRUCTION MONITORING SERVICES. Most experienced clients also retain their consulting geotechnical/civil engineer and/or waste management professional to serve during the construction phase of their projects. Involvement during the construction phase is particularly important because this permits the engineer/scientist to be on hand quickly to evaluate unanticipated conditions, to conduct additional tests if required, and, when necessary, to recommend alternative solutions to problems. In addition, the geotechnical/waste management consultant can monitor the geotechnical/waste management-related work performed by contractors. It is essential to recognize that the construction recommendations included in a report are preliminary, because they must be based on the assumption that conditions revealed through selective exploratory sampling are indicative of actual conditions throughout a site. Because actual subsurface conditions can be discerned only during earthwork and/or drilling, the design consultant needs to observe those conditions in order to finalize their recommendations. Only the consultant who prepared the report is fully familiar with the background information needed to determine whether or not the report’s recommendations are valid. The consultant submitting the report cannot assume responsibility or liability for the adequacy of preliminary recommendations if another party is retained to observe construction. REALIZE THAT ENVIRONMENTAL ISSUES MAY NOT HAVE BEEN ADDRESSED. If you have requested only a geotechnical engineering proposal, it will not include services needed to evaluate the likelihood of the site being contaminated by hazardous materials or other pollutants. Given the liabilities involved, it is prudent practice to always have a site reviewed from an environmental viewpoint. A consultant cannot be responsible for failing to detect contaminants when the services needed to perform that function are not being provided. ONE OF THE OBLIGATIONS OF YOUR CONSULTING ENGINEER/SCIENTIST IS TO PROTECT THE SAFETY, PROPERTY, AND WELFARE OF THE PUBLIC. A geotechnical engineering/subsurface waste management (remediation) investigation will sometimes disclose the existence of conditions that may endanger the safety, health, property, or welfare of the public. Your consulting engineer/scientist may be obligated under tules of professional conduct, statutory or common law, to notify yourself and others of these conditions. RELY ON YOUR CONSULTING GEOTECHNICAL ENGINEER/WASTE MANAGEMENT PROFESSIONAL FOR ADDITIONAL ASSISTANCE. Your consulting geotechnical engineering/waste management firm is familiar with several techniques and approaches that can be used to help reduce risk exposure for all parties to a construction project, from design through construction. Ask your consulting geotechnical engineer and/or waste management professional, not only about geotechnical and subsurface waste management issues, but others as well, to learn about approaches which may be of genuine benefit. The preceding paragraphs are based on information provided by the ASFE/Association of Engineering Firms Practicing in the Geosciences, Silver Spring, Maryland 1/93 Appendix C. FERC License Application Regulations LF | § 4.41 Contents of application. Any application under this subpart must contain the following ° information in the form eeennttadh (a) Initial statement. BEFORE THE FEDERAL ENERGY REGULATORY COMMISSION Application for License for Major Unconstructed Project or Major Modified Project . i ~ ) (Narne of applicant] applies to the Federal Energy Regulatory ‘ommission for a [license or new license, as appropriate] for the [name of project] water power project, as described in the attached exhibits. Specify any previous FER project number designation.] 2) The location of the proposed project is: tate or territory: County: Township or nearby town: Stream or other body of water: (3) The exact name, business address, and telephone number of the applicant are: (4) The applicant is a (citizen of the United States, association of citizens of the United States, domestic corporation, municipality, or State, as appropriate) and (is/is not) claiming preference under section cyt of the Paeral Power Act. See 16 USC. 106. (5)(i) The statutory or regulatory requirements of the state(s) in which the project would be located and that affect the project as proposed with respect to bed and banks and to the appropriation, diversion, and use of water for power purposes, and with respect to the right to engage in the business of developing, transmitting, and distributing power and in any other business necessary to accomplish the purposes of the license under the Federal Power Act, are: [provide citation and brief identification of the nature of each requirement; if the applicant is a municipality, the applicant must submit copies of applicable state or local laws or a municipal charter or, if such laws or documents are not clear, any other appropriate legal authority, evidencing that the municipality is competent under such laws to engage in the business of developing, transmitting, utilizing, or distributing power. (ii) The steps which the applicant has taken, or plans to take, to comply with each of the laws cited above are: [provide brief description for each requirement (b) Exhibit A is a description of the project. If the project includes more == a FERC's Hydropower Licensing Regulations (Continued) than one dam with associated facilities, each dam and the associated component parts must be described together as a discrete development. The description for each development must contain: (1) The physical composition, dimensions, and general configuration of any dams, spillways, penstocks, powerhouses, tailraces or other structures proposed to be included as part of the project; (2) The normal maximum water surface area and normal maximum water surface elevation (mean sea level); gross storage capacity of any impoundments to be included as part of fhe project; (3) The number, type and rated capacity of any proposed turbines or enerators to be included as part of the project; 4) The number, length, ie interconnections of any primary transmission lines proposed to be included a part of the project [See 16 U.S.C. 796(11)]; (5) The description of any additional mechanical, electrical, and transmission equipment a] Rarenens to the project; and (6) All lands of the United States, panne lands patented subject to the provisions of section 24 of the Act, 16 U.S.C. 818, that are enclosed within the project boundary described under paragraph (h) of this section (Exhibit G), identified and tabulated E legal subdivisions of a public land surve' by the best available legal description. The tabulation must show the total acreage of the lands of the United States within the project boundary. {c) Exhibit B is a statement of project operation and resource utilization. f the project includes more than one dam with associated facilities, the information must be provided separately for each discrete development. The exhibit must contain: (1) A description of each alternative site considered in selecting of the roposed site; f3) A description of any alternative facility designs, processes, and operations that were considered. (3) A statement as to whether operation of the power plant will be manual or automatic, an estimate of the annual plant factor, and a statement of how the project will be operated during adverse, mean, and high water years; (4) An estimate of the dependable and average annual energy production in kilowatt-hours (or mechanical equivalent), supported by the following data: (i) The minimum, mean, and maximum recorded flows in cubic feet per second of the stream or other body of water at the powerplant intake or point of diversion, with a specification of any adjustment made for evaporation, leakage minimum flow releases (including duration of releases) or other reductions in available flow; a flow duration curve indicating the period of record and the gauging stations used in deriving the curve; and a specification of the critical streamflow used to determine the dependable capacity; F-25 LF ] (ii) An area-capacity curve showing the gross storage capacity and usable storage capacity of the impoundment, with a rule curve showing the proposed operation of the impoundment and how the usable storage capacity is to be utilized; fin) The estimated hydraulic capacity of the powerplant in terms of ow and efficiency (cubic feet per second at one-half, full and best ate), and the corresponding generator output in kilowatts; iv) A tailwater rating curve; and v) A curve showing powerplant capability versus head and specifying maximum, normal, and minimum heads; (5) A statement of system and regional power needs and the manner in which the power generated at the project is to be utilized, including the sncaat of power to be used onsite, if any, supported by the following ata: f Load curves and tabular data, if eppreptints; ii) Details of conservation and rate design programs and their historic and projected impacts on system loads; aad (iii) The amount of power to be sold and the identity of proposed urchaser(s); and Fé) A statement of the applicants plans for future development of the project or of any other existing or proposed water power project on the affected stream or other body of water, indicating the approximate location and estimated installed capacity of the proposed developments. (4) Exhibit C is a proposed construction schedule for the project. The information eee may be supplemented with a bar chart. The construction schedule must contain: (1) The proposed commencement and completion dates of any new construction, modification, or repair of major project works; (2) The proposed commencement date of first commercial operation of each new major facility and generating unit; and (3) If any portion of the proposed project consists of previously constructed, unlicensed water power structures or facilities, a chronology of original completion dates of those structures or facilities specifying dates of those structures of facilities specifying dates eppronima tia dates must be identified as such) of: i) Commencement and completion of construction or installation; ii) Commencement of first commercial operation; and iii) Any additions or modifications other than routine maintenance. e) Exhibit D is a statement of project costs and financing. The exhibit must contain: (1) A statement of estimated costs of any new construction, modification, or repair, including: (i) The cost of any land or water rights necessary to the development; (ii) The total cost of all major project works; (iii) Indirect construction costs such as costs of construction equipment, camps, and commissaries; FERC's Hydropower Licensing Regulations (Continued) iv) Interest during construction; and v) Overhead, construction, legal expenses, and contingencies; 2) If any portion of the proposed project consists of previously constructed, unlicensed water power structures or facilities, a statement of the original cost of those structures or facilities specifying for each, to the extent possible, the actual or approximate total costs (approximate costs must be identified as such) of. i) Any land or water rights necessary to the existing project works; ii) Al major project works; and iii) Any additions or modifications other than routine maintenance; 3) If the applicant is a licensee applying for a new license, and is not a municipality or a state, an estimate of the amount which would be ayable if the project were to be taken over pursuant to section 14 of the Foderal Power Act, 16 U.S.C. 807, upon expiration of the license in effect including: i) Fair value; ii) Net investment; and iii) Severance damages; 4) A statement of the estimated average annual cost of the total project as proposed, specifying any projected changes in the costs (life-cycle costs) over the estimated foanting or licensing period if the applicant takes such changes into account, including: i) Cost of capital (e 7 and debt); ii) Local, state, and Federal taxes; wy Depreciation or amortization; and iv) Operation and maintenance expenses, including interim replacements, insurance, administrative and general expenses, and contingencies; (5) A statement of the estimated annual value of project power based on a showing of the contract price for sale of power or the estimated average annual cost of obtaining an equivalent amount of power (capacity an energy) from the lowest cost alternative source of power, specifying any projected changes in the costs (life-cycle costs) of power from that source over the estimated financing or licensing period if the applicant takes such changes into account; i (6) A statement describing other electric energy alternatives, such as gas, oil, coal and nuclear. fueled powerplants and other conventional an pomeed storage hydroelectric plants; (7) A statement and evaluation of the consequences of denial of the license application and a brief perspective of what future use would be a of the proposed site if the proposed project were not constructed; ani (8) A statement specifying the sources and extent of financing and annual revenues available to the applicant to meet the costs identified in aragraphs (e)(1) and (4) of this section. fH Exhibit E is an Environmental Report. Information provided in the F-26 LF] report must be organized and referenced according to the itemized subparagraphs below. See § 4.38 for consultation requirements. The Environmental Report must contain the following information, commensurate with the scope of the project: (1) General description of the locale. The applicant must provide a eneral description of the environment of the proposed project area and its immediate vicinity. The description must include location and gencral information helpful to an understanding of the environmental setting. (2) Report on water use and quality. The report must discuss water quality and flows and contain oleae data sufficient to determine the normal and seasonal variability, the impacts expected during construction and operation, and any mitigative, enhancement, and protective measures proposed by the applicant. The report must be prepared in consultation with the state and Federal agencies with responsibility for management of water quality and quantity in the affected stream or other body of water. The report must include: (i) A description of existing instream flow uses of streams in the project arca that would be affected by construction and operation; cotimaned quantities of water discharged from the proposed — for power roduction; and any existing and proposed uses of project waters for Irrigation, domestic water supply, industrial and other purposes; (ii) A description of the seasonal variation of ee wey quality for any stream, lake, or reservoir that would be affected by the proposed project, including (as appropriate) measurements of: significant ions, chlorophyll a, nutrients, specific conductance, pH, total dissolved solids, total alkalinity, total hardness, dissolved oxygen, bacteria, temperature, caasansal sediments, turbidity and vertical illumination; (iii) A description of any existing lake or reservoir and any of the proposed project reservoirs including surface area, volume, maximum depth, mean depth, flushing rate, shoreline length, substrate classification, and gradient i streams directly affected by the proposed roject; fivy A quantification of the anticipated impacts of the proposed construction and operation of project facilities on water quality and downstream flows, such as temperature, turbidity and nutrients; (v) A description of measures recommended by Federal and state agencies aut the applicant for the purpose of protecting or improving water quality and stream flows during project construction and operation; an explanation of why the applicant has rejected any measures recommended by an agency; and a description of the applicant's alternative measures to protect or improve water quality stream flow; . (vi) A description of groundwater in the vicinity of the pesgoesd gxpject, including water table and artesian conditions, the hydraulic gradient, the degree to which groundwater and surface water are hydraulically FERC's Hydropower Licensing Regulations (Continued) connected, aquifers and their use as water supply, and the location of springs, wells, artesian flows and disappearing streams; a description of anticipated impacts on groundwater and measures proposed by the - licant and others for the mitigation of impacts on groundwater; and ( } Repott on fish, wildlife, and Botanical resources. ‘The applicant must provide a report that describes the fish, wildlife, and botanical resources in the vicinity of the proposed project; expected impacts of the project on these resources; and mitigation, enhancement, or protection measures proposed by the applicant. The report must be prepared in consultation with the state agency or agencies with responsibility for these resources, the U.S. Fish vo Wildlife Service, the National Marine Fisheries Service (if the proposed project may affect anadromous, estuarine, or marine fish ee and any state or Federal agency with managerial authority over any part of the proposed project lands. The report must contain: (i) A description of existing fish, wildlife, and plant communities of the proposed project area and its vicinity, including any downstream areas that may be affected by the proposed project and the area within the transmission line corridor or right-of-way. A map of vegetation types should be included in the description. For species cece loeal important because of their commercial or recreational value, the information provided should include temporal and spatial distributions and densities of such species. Any fish, wildlife, or plant species proposed or listed as threatened or endangered by the U.S. Fish and Wildlife Service or National Marine Fisheries Service [see 50 CFR 17.11 and 17.12] must be identified; (ii) A description of the anticipated impacts on fish, wildlife and botanical resources of the proposed construction and operation of project facilities, including possible changes in size, distribution, and reproduction of essential population of these resources and any impacts on human utilization of these resources; (ii A description of any measures or facilities recommended by state or ‘ederal agencies for the mitigation of impacts on fish, wildlife, and botanical resources, or for the protection or enhancement of these resources, the impact on threatened or endangered species, and an explanation of why the applicant has determined any measures or facilities recommended by an agency are inappropriate as well as a description of alternative measures proposed by applicant to protect fish, wildlife and botanical resources; and (iv) The following materials and information regarding any mitigation measures or facilities, identified under clause (iii), proposed for implementation or construction: A) Functional design drawings; B) A description ih proposed operation and maintenance procedures ‘or any proposed measures or facilities; (C) An implementation, construction and operation schedule for any F-27 [F ] roposed measures or facilities; oy An estimate of the costs of construction, a and maintenance of any proposed facilities or implementation of any measures; (E) A statement of the sources and amount of financing for mitigation measures or facilities; and ‘ (F) A map or drawing showing, by the use of shading, crosshatching or o~ symbols, the identity a location of any proposed measures or cilities. (4) Report on historic and archaeological resources. The applicant must provide a report that discusses any historical and archaeological resources in the proposed project area, the impact of the propose project on those resources and the avoidance, mitigation, and protection measures proposed by the applicant. The report must be papared in consultation with the State Historic Preservation Officer fs PO) and the National Park Service of the U.S. Department of Interior. The report must contain: (i) A description of any discovery measures, such as surveys, inventories and limited subsurface testing work recommended by the specified state and Federal agencies for the purpose of locating, identifying, and assessing the significance of historic and —— resources that would be affected by construction and operation of the proposed project, together with a statement of the applicant's position regarding the acceptability of the recommendations; (ii) The results of surveys, inventories, and subsurface testing work recommended by the state and Federal agencies listed above, together with an explanation by the applicant of any variations from the survey, inventory, or testing procedures recommended; (iii) An identification (without providing specific site or property ae of any historic or archaeological site in the proposed project area, with particular emphasis on sites or properties either listed in, or recommended by the SHPO for inclusion in, the National Register of Historic Places that would be affected by the construction of the roposed project; fivy} A description of the likely direct and indirect impacts of proposed project construction or bs ay ig on sites or properties either listed in, recommended as eligible for, the National Register of Historic laces; (v) A management plan for the avoidance of, or mitigation of, impacts on historic or archaeological sites and resources Sonal upon the recommendations of the state and Federal agencies listed above and containing the applicant's explanation of variations from those recommendations; and (vi) The following materials and information regarding the mitigation measures described under paragraph (f)(4)(v) of this section: (A) A schedule for implementing the mitigation proposals; FERC's Hydropower Licensing Regulations (Continued) C) A statement of the sources and extent of financing. vii) The applicant must provide five copies (rather than the fourteen copies required under § mei) of the Commission's Pa ame: | of any survey, inventory, or subsurtace testing reports containing specific site and property information, and including maps and photographs showing the location and any required alteration of historic “a mbitlogical resources in relation to proposed project facilities. (5) Report on socio-economic impacts. The apglichee must provide a report which identifies and quantifies the impacts of constructing and operating the penpote! project on employment, population, housing, personal income, local governmental services, local tax revenues an: other factors within the towns and counties in the vicinity of the roposed project. The report must include: i) description of the socio-economic impact area; ii) A description of employment population and personal income trends in the impact area; (iii) An evaluation of the impact of any substantial in-migration of people on the impact area's governmental facilities and services, such as lice, fire, health and educational facilities and programs; fv) Onsite manpower requirements and payroll date and after pple construction, including a ae of total onsite employment and construction payroll provided by month; v) Numbers of project construction personnel who: 3 Currently reside within the impact area; B) Would commute daily to the construction site from places situated outside the impact area; and C) Would relocate on a temporary basis within the impact area; vi) A determination of whetlar the existing supply of available housing within the impact area is sufficient to meet the needs of the additional opulation; Pi) Numbers and types of residences and business establishments that would be displaced by the proposed project, procedures to be utilized to acquire these properties, and types and amounts of relocation assistance Perera that would be paid to the affected property owners and usinesses; and (viii) A fiscal impact analysis evaluating the incremental local government expenditures in relation to the incremental local government revenues that would result from the construction of the Ror project. Incremental expenditures may include, but are not be imited to, school operating costs, road maintenance and repair, public er and public utility costs. (6) apert on geological and soil resources. The applicant must provide a report on the geological and soil resources in the proposed Project area and other lands that would be directly or indirectly affected y the proposed action and the impacts of the proposed project on those ( An estimate of the cost of the measures; and F-28 | F | FERC's Hydropower Licensing Regulations (Continued) resources. The information required may be supplemented with maps showing the location and description of conditions. The report must contain: (i) A detailed description of geological features, including bedrock lithology, stratigraphy, structural features, glacial features, unconsolidated deposits, and mineral resources; (ii) A detailed description of the soils, including the types, occurrence, physical and chemical characteristics, erodability and potential for mass soil movement; (iii) A description showing the location of existing and potential geological and soil hazards and problems, including earthquakes, aults, seepage, subsidence, solution cavities, active and abandoned mines, erosion, and mass soil movement, and an identification of any large landslides or potentially unstable soil masses which could be aggravated by reservoir fluctuation; (iv) A description of the anticipated erosion, mass soil movement and other impacts on the polcgiadl aa soil resources due to construction and operation of the proposed project; and (v) A description of any proposed measures of facilities for the mitigation of impacts on soils. (7) Report on recreational resources. The applicant must prepare a report containing a proposed recreation plan describing utilization, design and development of project recreational facilities, and public access to the project area. peta of the plan should include consideration of the needs of the physically handicapped. Public and private recreational facilities provided by others that would abut the project should be noted in the report. The report must be prepared in consultation with appropriate local, sasha state and Federal recreation agencies and planning commissions, the National Park Service of the U.S. Department of the Interior, and any other state or Federal agency with managerial responsibility for any part of the roject lands. The report must contain: i) A description of any areas within or in the way of the proposed a boundary that are included in, or have been designated for study or inclusion in: (A) ‘The National Wild and Scenic Rivers Systems (see 16 U.S.C . 1271); B The National Trails System (see 16 U.S.C. 1241); or CA wilderness area designated under the Wilderness Act (see 16 .C. 1132); (ii) A detailed description of existing recreational facilities within the project vicinity, and the public recreational facilities which are to be provided by the applicant at its sole cost or in cooperation with others no later than 3 years from the date of first commercial operation of the proposed project and those recreation facilities planned for future Hasetepeitat kasd on anticipated demand. When public recreation facilities are to be provided by other entities, the applicant and those entities should enter into an agreement on the type of facilities to be provided and the method of operation. Copies of agreements with cooperating entities are to be appended to the plan; (iii A provision for a shoreline buffer zone that must be within the project boundary, above the normal maximum surface elevation of the project reservoir, and of sufficient width to allow public access to project lands and waters and to protect the scenic, public recreational, cultural and other environmental values of the reservoir shoreline; (iv) Estimates of existing and future recreational use at the project, in daytime and overnight visitation (recreation days), with a description of the methodology used in developing these data; (v) A development schedule and cost estimates of the construction, operation, and maintenance of existing initial, and future public recreational facilities, including a statement of the source and extent of financing for such facilities; (vi) A description of any measures or facilities recommended by the agencies consulted for the purpose of creating, preserving, or enhancing recreational opportunities at the proposed project, and for the purpose of ensuring the safety of the public in its use of project lands and waters, including an explanation of why the applicant has rejected any measures or facilities recommended by an agency; and (vii) A drawing or drawings, one of which ‘al es the entire project area, Clearly ewe: (A The location of project lands and the types and number of existing recreational facilities and those proposed = initial development, including access roads and trails, and facilities for camping, pricking, swimming, boat docking and launching, fishing and unting, as well as provisions for sanitation and waste disposal; (B) The location of project lands and the type and number of recreational facilities planned for future development; (C) The location of all pacha lands reserved for recreational uses other than those included in paragraphs (f)(7)(vii) (A) and (B) of this section; and (D) The project boundary (excluding surveying details) of all areas designated for recreational development, sufficiently referenced to the appropriate Exhibit C drawings to show that all lands reserved for existing and future public recreational development and the shoreline buffer zone are included within the project boundary. Recreational cottages, mobile homes and year-round residences for private use are not to be considered as public recreational facilities, and the lands on which these private facilities are to be developed are not to be included within the proposed project boundary. (8) Report on aesthetic resources. The applicant must provide a report that describes the aesthetic resources of the proposed project area, the expected impacts of the project on these resources, and the mitigation, F-29 [F ] enhancement or protection measures proposed. The report must be repared following consultation with Federal, state, and local agencies is managerial responsibility for any part of the proposed project lands or lands abutting those lands. The report must contain: (i) A description of the aesthetic character of lands and waters directly and indirectly affected by the proposed project facilities; (ii) A description of the anticipated impacts on aesthetic resources from construction activity and related equipment and material, and the subsequent presence of proposed project facilities in the landscape; (iti) A description of mitigative measures proposed by the applicant, including architectural design, landscaping, and other reasonable treatment to be given project works to preserve and enhance aesthetic and related resources during construction and operation of proposed roject facilities; and Fy Maps, drawings and photographs sufficient to provide an understanding of the information required under this paragraph. Maps or drawings may be consolidated with other maps or drawings required in this exhibit and must conform to the specifications of § 4539, (9) Report on land use. The applicant must provide a report that describes the existing uses of the proposed project lands and adjacent property, and those aos uses which would occur if the pean is constructed. The report may reference the discussions of land uses in other sections of this exhibit. The report must be prepared following consultation with local and state zoning or land management authorities, and any Federal or state agency with managerial responsibility for the proposed project or abutting lands. The report must include: (i) A description of existing land use in the proposed project area, includin identification of wetlands, floodlands, prime or unique farmland as designated by the Soil Conservation Service of the US. Department of Agriculture, the Special Area Management Plan of the Office of rat Management, National Oceanic and Atmospheric Administration, and lands owned or subject to control by government agencies; (ii) A description of the proposed land uses within and abutting the project boundary that would occur as a result of development and operation of the project; and (iii) Aerial photographs, maps, drawings or other graphics sufficient to show the location, extent and nature of the land uses referred to in this section. (10) Alternative locations, designs, and energy sources. The applicant must provide an environment assessment of the following: (i) Alternative sites considered in arriving at the selection of the roposed project site; i Alternative facility designs, processes, and operations that were considered and the reasons for heir rejection; FERC's Hydropower Licensing Regulations (Continued) (iii) Alternative electrical energy sources, such as gas, oil, coal, and nuclear-fueled power plants, purchased power or diversity exchange, and other conventional and pumped-storage hydroclectric plants; and iv) The overall consequences if the license ee is denied. 11) List of literature. Exhibit E must include a list of all publications, reports, and other literature which were cited or otherwise utilized in the preparation of any part of the environmental report. (g) Frhibit F consists of general design drawings of the principal or a works described under paragraph (by of this section pone A) an supporting information used as the basis of design. If the exhibit F submitted with the application is preliminary in nature, applicant must so state in the application. The drawings must conform to the specifications of § 4.49. (Hh) The drawings must show all major project structures in sufficient detail to provide a full understanding of the project, including: i) Plans (overhead view); ii) Elevations (front view); iii) Profiles (side view); and iv) Sections. 2) The applicant may submit preliminary design drawings with the application. The final Exhibit F may be submitted during or after the licensing process and must show the precise plans and specifications for proposed structures. If the project is licensed on the basis of preliminary designs, the applicant must submit a final Exhibit F for Commission approval prior to commencement of any construction of the project. (3) Supporting design report. The applicant must furnish, at a minimum, the following supporting information to demonstrate that existing and proposed structures are safe and adequate to fulfill their stated Sicotices and must submit such information in a separate report at the time the application is filed. The report must include: (i) An assessment of the suitability of the site and the reservoir rim stability based on geological and subsurface investigations, includin investigations of soils and rock borings and tests for the evaluation o all foundations and construction materials sufficient to determine the location and type of dam structure suitable for the site; , ii) Copies of boring logs, geology reports and laboratory test reports; iii) An identification o! all borrow areas and quarry sites and an estimate of required quantities of suitable construction material; (iv) Stability and stress analyses for all major structures and critical abutment slopes under all probable loading conditions, including seismic and hydrostatic forces induced by water loads up to the Probable Maximum Flood as appropriate; and \») The bases for determination of seismic loading and the Spillway ome Flood in sufficient detail to permit independent staff evaluation. (4) The applicant must submit five copies (not fourteen copies as required under § 4.31(b) of this nal a ¢ supporting design report F-30 — m= | F | FERC's Hydropower Licensing Regulations (Continued) described in paragraph (g)(3) of this section at the time prelimin and final design drawings are submitted to the Commission for review. If the report contains preliminary drawings, it must be designated a need Supporting Design Report. (h) Exhibit C is a map of the project that must conform to the specifications of § 4.39. If more than one sheet is used, the sheets must be numbered consecutively, and each sheet must bear a small insert sketch showing the entire project and indicating that portion of the project depicted on that sheet. If at any time after the application is filed there is any change in the project boundary, the applicant must submit, within a reasonable period following the completion of project construction, a final Exhibit C showing the extent of a changes. The map must show: (1) Location of the project and principal features. The map must show the location of the project as a whole with reference to the affected stream or other body of water and, if possible, to a nearby town or any other permanent monuments or objects, such as roads, transmission lines or other structures, that can be noted on the map and recognized in the field. The map must also show the relative locations and physical interrelationships of the principal project works and other features described under paragraph (b) of this section (Exhibit A). (2) Project boundary. The map must show a — boundary enclosing all project works and other features described under paragraph (bh at this section (Exhibit A) that are to be licensed. If accurate survey information is not available at the time the license application is filed, the applicant must so state, and a tentative boundary may be submitted. The boundary must enclose only those lands necessary for operation and maintenance of the project and for other project purposes, such as recreation, shoreline control or rotection of environmental resources (see paragraph (f) of this section Exhibit E)). Existing residential, commercial, or other structures may be included within the boundary only to the extent that underlying lands are needed for project purposes (e.g for flowage, public recreation, shoreline control, or protection of environmental resources). If the boundary is on land covered by a public survey, ties must be shown on the map at sufficient points to permit accurate platting of the position of the boundary relative to the lines of the public land survey. If the lands are not covered by a public land survey, the best available legal description of the position of the boundary must be provided, including distances and directions from fixed monuments or physical features. The boundary must be described as follows: (i) Impoundments. (A) The boundary around a project impoundment must be described by one of the following: 1) Contour lines, including the contour elevation (preferred method); 2) Specified courses and distances (metes and bounds); 3) If the project lands are covered by a public land survey, lines upon or parallel to the lines of the survey; or {B Any combination of the above methods. B) The boundary must be located no more than 200 feet (horizontal measurement) from the exterior margin of the reservoir, defined by the normal maximum surface elevation, except where deviations may be necessary in describing the boundary according to the above methods or where additional lands are necessary for project purposes, such as public recreation, shoreline control, or protection of environmental resources. (ii) Continuous features. The boundary around linear ("continuous") project features such as access roads, transmission lines, and conduits may be described by specified distances from center lines or offset lines of survey. The width of such corridors must not exceed 200 feet unless ‘ood cause is shown for a greater width. Several sections of a continuous eature may be shown on a single sheet with information showing the quence of contiguous sections. (iii) Noncontinuous features. (A) The boundary around noncontinuous project works such as dams, spillways, and powerhouses must be described by one of the following: 1) Contour lines; 2) Specified courses and distances; | 3) If the poet lands are covered by a public land survey, lines upon or parallel to the lines of the survey; or tS Any combination of the above methods. B) The boundary must enclose only those lands that are necessary for safe and efficient operation and maintenance of the project or for other specified project purposes, such as public recreation or protection of environmental resources. 3) Federal lands. Any public lands and reservations of the United tates ("Federal lands“) [see 16 U.S.C. 796 (1) and (2)] that are within the project boundary, such as lands administered by the U.S. Forest Service, Bureau of Land Management, or National Park Service, or Indian tribal lands, and the boundaries of those Federal lands, must be identified as such on the map by: (i) Legal subdivisions of a public land survey of the affected area (a pean ov identified township and section lines is sufficient for this urpose); an fi) he Federal agency, identified by symbol or legend, that maintains or manages each identified subdivision of the public land survey within the project boundary; or (iii) In the absence of a public land survey, the location of the Federal lands according to the distances and directions from fixed monuments or physical features. When a Federal survey monument or a Federal bench mark will be destroyed or rendered unusable by the construction of project works, at least two permanent, marked witness monuments or Pench marks must be established at accessible points. ‘The maps K-31 [F ] show the location (and elevation, for bench — of the survey monument or bench mark which will be destroyed or rendered unusable, as well as of the witness monuments or bench marks. Connecting courses and distances from the witness monuments or bench marks to the original must also be shown. (4) Non-Federal lands. For those lands within the project boundary not identified under paragraph (h)(3) of this section, the map must identify by legal subdivision: (i) Lands owned in fee by the applicant and lands that the applicant lans to acquire in fee; and fii) Lands over which the applicant has acquired or plans to acquire rights to occupancy and use other than fee title, including rights acquired to be required by easement or lease. [Order 184, 46 FR 55936. Nov. 13, 1981; 48 FR 4459, Feb. 1, 1983, as amended by Order 413, 50 FR 11684, Mar. 25, 1985; Order 464. 52 FR 5449, Feb. 23,1987] — F —Application for License for Major Project—Existing am AUTHORITY: Federal Power Act, as amended (16 U.S.C. Teo Public Utility — Policies Act of 1978 (16 U.S.C. 2601-2645). Department of Energy Organization Act (42 U.S.C. 7101-7352); E.0. 12bo8, 42 FR 46267 Pub. L. 96-511, 94 Stat. 2812 (44 U.S.C. 3501 et seq. ° Source: Order 59. 44 FR 67651 Nov. 27, 1979, unless otherwise noted. § 4.50 Applicability. (a) Applicability. (1) Except as provided in paragraph (a)(2) of this section, the provisions of this subpart apply to any application for either an initial license or new license for major project—existing dam that is proposed to have a total installed capacity of more than 5 megawatts. 2) This subpart does not apply to any major project—existing dam see § 4.40) that is proposed to entail or include: i) Any repair, modification or reconstruction of an existing dam that would result in a significant change in the normal maximum surface area or normal maximum surface elevation of an existing impoundment; or (ii) Any new development or change in project operation that would result in a significant environmental impact. (3) An applicant for license for any major project—existing dam that would have a total installed capacity of 5 megawatts or less must FERC's Hydropower Licensing Regulations (Continued) submit application under Subpart C (§§ 4.60 and 4.61). (b) Cubiaan from Commission staff. A prospective applicant for a major license—existing dam may seek ania from the Commission stalf regarding the applicability of these sections to its project (see § 4.32 ), including the determinations whether any proposed repair or reconstruction of an existing dam would result in a significant change in the normal maximum surface area or the normal maximum surface elevation of an existing impoundment, or whether any proposed new development or change in project operation would result in a significant environmental impact. Order 59, 44 FR 67651, Nov. 27, 1979, as amended by Order 184, 6 FR 55942, Nov. 13, 1981: Order 413, 50 FR 11684, Mar. 25, 1985; Order 499, 53 FR 27002, July 18, 1988] § 4.51 Contents of application. An application for license under this subpart must contain the following information in the form specified. As provided in paragraph(f) of this section, the appropriate Federal, state, and local resource agencies must be given the opportunity to comment on the proposed project, prior to filing of the application for license for major prea lam. Information from the consultation process must e included in this Exhibit E, as appropriate. (a) Initial statement. BEFORE THE FEDERAL ENERGY REGULATORY COMMISSION Application for License for Major Project—Exzisting Dam D (Name of applicant) applies to the Federal Energy Regulatory commission for a (license or new license, as appropriate) for the (name of project) water power project as described in the attached exhibits. Specify any previous FERC project number designation.) ah The location of the project is: tate or territory: County Township or nearby town: Stream or other body of water: (3) The exact name and business address of the applicant are: F-32