Jnofflclal FERC-Generated PDF of 20040315-0078 Received by FERC OSEC 03/12/2004 in Docket#: P-2004-000 Nell J. Mo~arty, Jr. ORIGINAL Francs J. Hoe/. III RoOett H. GIfffln James M. Lavel~ sas I electric I stearn I ~ecom HAND DELIVER Y =rj r"l N I"i) c.'.) March 12, 2004 O (Public Version) i" - ¢'rq O-: "vl - ~P.;r--" C~.:" 1 _?,~1 ~, The Honorable Magalie Roman Salas Secretary r-rl Federal Energy Regulatory Commission C. ° ...~ 888 First Street, N.E. Washington, D.C. 20426 Re: The City of Holyoke Gas & Electric Department Project No. 2004 - Offer of Settlement Contains Critical Energy Infrastructure Information - Figures 1 and 3 - Please Do Not Publicly Release Sealed Attaehrnent Dear Ms. Salas: Pursuant to the Federal Energy Regulatory Commission's (Commission) Rules and Regulations in lg CFR §385.602 (cXi), the City of Holyoke, Gas & Electric Department CHG&E") hereby files an original and eight copies of a Settlement Agreement ("the Settlement") and supporting appendices A through H, and Figure 2 for the Holyoke Hydroelectric Project, FERC No. 2004. A CD-ROM containing these documents in Adobe Acrobat is also included with this filing for the Commission's convenience in posting to the E-library. per the Commission's rules under 18 CFR §385.602 (c)(ii), HG&E is also hereby filing an original and eight copies of the Explanatory Statement supporting the Settlement. Figures 1 and 3 of the Settlement contain detailed design drawings of the Project referenced above and contain Critical Energy Infrastructure Information ("CEIl"), pursuant to Section 388.113 of the Commission's Regulations, as described in the Commission's Order No. 630. Therefore, pursuant to Section 388.112 of the Commission's Regulations, HG&E requests that Figures 1 and 3 be protected as CEIl. Accordingly, HG&E is providing herewith an original and two (2) copies of this cover letter with the CEll materials in a sealed envelope, and is providing an original and eight copies of this letter and a public version of the Settlement, with a sheet attached only referencing the CEIl materials where Figures 1 and 3 would be inserted. The Settlement addresses issues presented in pending requests for rehearing of the Commission's August 20, 1999, "Order Issuing New License and Denying Competing Jnofflclal FERC-Generated PDF of 20040315-0078 Received by FERC OSEC 03/12/2004 in Docket#: P-2004-000 Magalie Roman Salas March 12, 2004 Proiect No. 2004. Offer of Settlement (Public Version) Pa~e 2 Application,''| for this Project. The Settlement is being filed jointly by HG&E, U.S. Department of the Interior, through U.S. Fish and Wildlife Service ("FWS"); U.S. Department of Commerce, National Oceanic & Atmospheric Administration, National Marine Fisheries Service ("NOAA Fisheries"); Commonwealth of Massachusetts, Department of Environmental Protection ("MADEP"); Commonwealth of Massachusetts, Division of Fisheries and Wildlife; Trout Unlimited; Connecticut River Watershed Council; and the Town of South Hadley, Massachusetts (referred to herein jointly as "Settling Parties"). This Settlement is uncontested; all key parties to the relicensing proceeding -- with the exception of MADEP -- have signed the Settlement. HG&E expects MADEP's signature page within the next few days and will file MADEP's signature page with the Commission as a supplement to the Settlement upon receipt. The Settlement is intended to resolve pending issues with respect to the operation and maintenance of the Project sufficient for those Settling Parties that filed requests for rehearing of the 1999 License Order to withdraw their respective requests once Commission approval of the Settlement is final and no longer subject to appeal. However, as discussed in the "Accordingly" clause and explained in detail in Section 2.4 of the Settlement, the Settling Parties request that the Commission defer issuance of such an order approving the Settlement until NOAA Fisheries issues a Biological Opinion based on the Settlement and withdraws the August 2000 Biological Opinion, and the Settling Parties complete the procedures set forth in Section 2.4. Accordingly, as explained in the Settlement, the Settling Parties request that after the Commission has been notified that the Biological Opinion has been issued and that the Settlement is not to be reopened, the Commission then issue an order approving this Settlement and incorporating the terms and conditions therein into modified license articles for this Project, without material change or modification. Proposed Settlement License Articles are included with this filing in Appendix A for the Commission's convenience. The Settling Parties have worked very diligently and cooperatively to reach agreement on a numerous complex and challenging issues. HG&E deeply appreciates the conscientious efforts of the parties and the patience and support &the Commission staff during the Settlement process. If there are any questions concerning this filing, please do not hesitate to contact me at (413) 536-9340. Sincerely, Paul S. Ducheney Superintendent of Hydro Operations Enclosures CO: All patties on the official service list for Project No. 2004 Allan Creamer (FERC) (w/encls.) I 88 FERC ¶ 61,186 (1999) (referred to herein as "1999 License Order"). Jnofflclal FERC-Generated PDF of 20040315-0078 Received by FERC OSEC 03/12/2004 in Docket#: P-2004-000 MagalieRoman Sales March 12, 2004 ProjectNo. 2004. Offer of Settlement(Public Version) Pa2¢ 3 John Katz (FERC-OCK~)(w/encls.) J. Warner (USFWS) (w/cncls.) J. Stolfo (USDOI) (w/encls.) P. Scida (NOAA Fisheries) (w/encls.) J. Crocker (NOAA Fisheries) (w/encls.) C. Lynch (NOAA) (w/encls.) J. Williams (NOAA) (w/encls.) R. Kubit (MADEP) (w/encls.) D. Desmond (MADEP) (w/ends.) C. Slater (MADFW) (w/encls.) D. Pugh (TU) (w/encls.) T. Miner (CRWC) (w/encls.) P. Vinchesi (So. Hadley) (w/encls.) J. Lavelle (HG&E) (w/encls.) N. Skancke (GKRSE) (w/encls.) F. Szufnarowski (Kleinschrnidt) (w/encls.) K. Schaeffer (Kleinschmidt) (w/ends.) Jnofflclal FERC-Generated PDF of 20040315-0078 Received by FERC OSEC 03/12/2004 in Docket#: P-2004-000 . ORIGINAL UNITED STATES OF AMERICA I BEFORE THE FEDERAL ENERGY REGULATORY COMMISSION I Holyoke Gas & Electric Department ) Project No. 2004 I I .-.m kml i Settlement Aereement ! -- , ._.p 0"~"¢1 (': • I *" O I i i m i I I i March 12, 2004 i M I Jnofflclal FERC-Generated PDF of 20040315-0078 Received by FERC OSEC 03/12/2004 in Docket#: P-2004-000 Ill Ill HOLYOKE GAS & ELECTRIC DEPARTMENT PROJECT No. 2004 SETTLEMENT AGREEMENT II TABLE OF (~ONTENTS m Part i Definitions Part !1 Overview of the Settlement m Section 2.1. Scope of the Settlement Section 2.2. Relationship between Settlement and 1999 License Order D Section 2.3. Relationship between Settlement and 2001 WQC Section 2.4 Coordination with a NOAA Fisheries Biological Opinion Section 2.5. Integrated Nature of the Settlement aim Section 2.6. Enforceability of the Settlement Provisions Section 2.7 Appendices to the Settlement i Part III General Provlslons Section 3.1. Effective Date and Term m Section 3.2. Amendment to the Settlement Section 3.3. Consultation on Plans/Work under the Settlement I Part IV Technical Agreements I Section 4.1. Modified Run-of-River Operations Section 4.1(a). Objective Section 4.1(b). Test of modified run-of-fiver operations m Section 4.1(¢). Permanent modification to run-of-river operations Section 4.2. Bypass Flows ma Section 4.2(a). Objective Section 4.2(b). Bypass Zone-of-Passage Flows Section 4.2(¢). Channel modifications mt Section 4.2(d). Interim Bypass Habitat Flows Section 4.2(0). Permanent Bypass Habitat Flows Section 4.3. Canal System Flows Section 4.3(a). Objective Section 4.3(b). Interim Canal System minimum flows I Section 4.3(c). Permanent Canal System minimum flows Section 4.3(d). Interim Canal System Outage Section 4.3(e). Permanent Canal System Outage Section 4.3(0. Full depth louvers and exclusion racks Section 4.3(g). Effectiveness study for full depth louvers (surface migrants) I i Jnofflclal FERC-Generated PDF of 20040315-0078 Received by FERC OSEC 03/12/2004 in Docket#: P-2004-000 i Section 4.4. Flow Prioritization and Low Flow Contingency Plan I Section 4.4(a). Objective Section 4.4(b). Project flows - flow prioritization g Section 4.4(c). Low Flow Contingency Plan Section 4.5. Upstream Fish Passage - Phase 1 U Section 4.5(a). Objective Section 4.5('o). Operation ofFish Lifts Section 4.5(c). No. 2 Overflow Ilm Section 4.5(d). Work prior to Spring 2003 Upstream Passage Season Section 4.6. Upstream Fish Passage - Phases 1I Section 4.6(a). Objective Section 4.6(5). Plans and Schedule Section 4.6(c). Contents of detailed plan I Section 4.6(d). Effectiveness of upstream fish passage facilities Section 4.6(e). Annual Report and monitoring of upstream fishway operations Section 4.6(0. Further Consultation m Section 4.7. Downstream Fish Passage Section 4.7(a). Objective I Section 4.7(b). Operation of Existing Downstream Fish Passage Plan Section 4.7(c). Enhancements to Downstream Fish Passage Plan I Section 4.8. Upstream and Downstream Eel Passage Section 4.8(a). Objective Section 4.8(b). Upstream eel passage II$ Section 4.8(c). Downstream eel passage Section 4.9. Annual Plans for Fishway Construction Illl Section 4.10. Consultation with the Town of South Hadley I Section 4.11. Compliance Plans pursuant to the 1999 License Order and the 2001 WQC Section 4.1 l(a). Shoreline Erosion Remediation Plan Section 4.110a). Water Quality Monitoring Plan Section 4.1 l(c). Threatened and Endangered Species Protection Plan Section 4.1 l(d).