HomeMy WebLinkAboutRedelegation Advisement 061411
City and Borough of Sitka
Electric Department
105 Jarvis Street
Sitka, Alaska 99835
(907) 747-1870, FAX (907)747-3208
chrisb@cityofsitka.com
Christopher Brewton, Utility Director
June 15, 2011
Mr. Steve Hocking, Chief
Environmental Review Branch
Division of Hydropower Administration and Compliance
Federal Energy Regulatory Commission
Washington, DC 20426
Subject: Roadless Rule Resolution, Blue Lake Hydro Project (FERC No. 2230) Expansion
Dear Mr. Hocking:
This communication describes final resolution of the "Roadless Rule" issues for the Subject
Project. As described in the following sections, the City and Borough of Sitka Electric
Department ("City") has received a copy of a Decision Memorandum (Attachment I) showing
approval of the Secretary of Agriculture ("Secretary") which represents final action on this issue.
In the following sections, we describe background information and various actions leading up to
this decision.
BACKGROUND
Roadless Rule issues have arisen from a 2001 US Department of Agriculture Forest Service
(USFS) policy designating Inventoried Roadless Areas (IRA's) on USFS lands. Within these
IRA's, certain actions, such as road-building, would be prohibited as being inconsistent with the
area's roadless character. Among other actions prohibited under the Roadless Rule would be
certain aspects of hydroelectric project development including access road construction and
timber clearing. The Roadless Rule has affected FERC licensing of several hydroelectric
projects in Alaska.
CITY ACTIONS
The City and Borough of Sitka Electric Department ("City") was directed by Nick Jayjack of
your office, dated June 24, 2010, to meet with USFS in Alaska to discuss Roadless Rule issue
relative to the Takatz Lake hydroelectric project ("Takatz Project", FERC No. 13234). The City
met with representatives from the USFS Sitka Ranger District on September 10, 2010. At that
meeting, the City discussed Roadless Rule issues as they pertained to both the Takatz Project (an
Roadless Rule Resolution
Blue Lake Hydro Project (FERC No. 2230)
Page 2 of 5
original licensing for which the City holds a Preliminary Permit) and to the Blue Lake Project
Expansion ("Expansion", FERC No. 2230-044) for which the City has submitted a Final
Application for a capacity-related amendment to the existing Project license. The Expansion
would consist, among other actions, of raising the existing project dam by 83 feet and increasing
generating capacity from 6.0 to 15.9 megawatts (MW). Raising the dam would inundate over
360 acres of USFS-managed land, all of which is in an IRA.
At the September 10 meeting, USFS representatives said that authority to authorize actions in an
IRA had been reserved by the Secretary of Agriculture (Secretary). On a project-by-project basis,
the Secretary would consider approving actions and project(s) in the relevant IRA.
By letter dated October 21, 2010, the City responded to Mr. Jayjack, explaining the proceedings
of the September 10 meeting and the City's current understanding of the Roadless Rule issues as
they related to both the Takatz Project and the Expansion
In December, 2010, City representatives met in Washington D.C. with Department of
Agriculture and USFS representatives to discuss the Roadless Rule restrictions in light of the
pressing need to begin construction on the Expansion. It was explained that, while the City
wished to resolve Roadless Rule issues for both the Takatz Project and the Expansion, the
schedule for the Expansion was more critical because of unexpected Sitka electrical load growth
and the need to avoid costly and polluting diesel generation.
USDA and USFS in Washington DC (USFS DC) attendees were receptive to the City's
presentation and committed to expedite resolution of Roadless Rule issues on the Expansion.
USDA/USFS ACTION
The City was copied on a Decision Memorandum (DM) dated March 22, 2011 (See Attachment
I) from USDA. Signatures on the DM indicated passage of the matter from USFS DC through
the Undersecretary of Agriculture to the Secretary of Agriculture, Thomas Vilsack. In the DM,
Secretary Vilsack redelegated authority to issue the roadless-related SUA for the Expansion
back to USFS in Alaska (USFS Alaska). Secretary Vilsak's initials on the DM were his approval
of the redeligation.
In the DM, the USFS DC recommended support for the redelegation because: 1) final license
amendment decisions and authorizations would be made by FERC acting under the Federal
Power Act (FPA) Section 4(e) which would assure inclusion of all USFS recommendations in
the amended license; and 2) USFS Alaska, throughout the amendment process, has "has taken all
measures available to preserve the character of the roadless area".
In the DM, USFS DC went on to give three reasons why the Expansion should go forward:
• "Sitka operates an isolated electrical system and is not connected to other communities by
an intertie; it generates all of its electrical needs from hydropower.
Roadless Rule Resolution
Blue Lake Hydro Project (FERC No. 2230)
Page 3 of 5
• The enlargement of the dam is necessary to meet the current and future energy needs of
Sitka.
• The alternative for power generation would be the use of more costly and
environmentally harmful diesel powered generators."
It is the City's understanding that the re-delegation applies only to the Expansion and does not
address roadless-rule issues for the Takatz Lake or any other Alaskan hydro Project.
In subsequent discussions between the City and USFS Alaska, the parties have agreed that:
1) The re-delegation represents final Department of Agriculture action on the Expansion;
2) Roadless Rule issues will be addressed through mandatory Terms and Conditions
submitted under FPA Section 4(e) and by conditions in the SUA; and
3) All action on License Amendment Terms and Conditions and on conditions in the
SUA will be taken by USFS Alaska from the offices of the Regional Forester, the
Tongass National Forest Supervisor and the Sitka Ranger District, as appropriate.
SCHEDULE
The Roadless Rule-related SUA will be issued after FERC issuance of the capacity-related
license amendment. Issuance of the roadless-related SUA will not interrupt or extend the
existing amendment process schedule.
If you have questions or concerns about this summary, don't hesitate to contact me at 907-747-
1870 or via email at chrisb@cityofsitka.com.
Thanks for your continued guidance and participation on the Blue Lake Project Expansion.
Sincerely,
Christopher Brewton
Utility Director
Roadless Rule Resolution
Blue Lake Hydro Project (FERC No. 2230)
Page 4 of 5
ATTACHMENT I
Roadless Rule Resolution
Blue Lake Hydro Project (FERC No. 2230)
Page 5 of 5