20031113 Ver 6_Other Agency Comments_20100528

NCDENR
North Carolina Department of Environment and Natural Resources
Division of Water Resources
Beverly Eaves Perdue Thomas A. Reeder
Governor Director
May 28, 2010
Mr. John Dorney
Division of Water Quality
Non-Discharge Branch
2321 Crabtree Boulevard, Suite 250
Raleigh, NC 27604
Subject: Application for Section 401 Water Quality Certification
West Fork Hydroelectric Project (FERC No. 2686)
Duke Energy Carolinas, LLC - Jackson County
DWQ Project Number 2003-0110 version 6
Dear Mr. Dorney:
Dee Freeman
Secretary
The Division of Water Resources (NCDWR) has reviewed the application for a 401 water
quality certification submitted by Duke Energy Carolinas, LLC in conjunction with the license
application submitted to the Federal Energy Regulatory Commission (FERC) for Duke's West
Fork Tuckasegee Hydroelectric Project. NCDWR has been an active participant during the
relicensing process and our involvement has included: scoping and refining issues to be
addressed; reviewing and/or designing plans for technical studies; participating in field studies;
active membership in various technical work groups; reviewing and commenting on the results
of technical studies; and suggesting and evaluating various project alternatives.
The North Carolina Department of Environment and Natural Resources (NCDENR) signed a
Settlement Agreement in October 2003 - along with other resource agencies, Duke, and other
stakeholders involved in the relicensing process. Components of the Settlement include
agreements that: provide for enhanced instream flow regimes for the West Fork and mainstem
Tuckasegee River; manage downstream releases during drought conditions; restrict reservoir
drawdowns; improve public access to stream flow and reservoir level information; and provide
for other aquatic ecosystem enhancements.
We recommend that the attached conditions be included in the 401 certification. These
recommendations are drawn from the appropriate sections of the Settlement Agreement. The
entire Agreement can be viewed at:
http://www.duke-energcom/pdfs/saatuck-TCST Settlement Agreement ORIGINAL2 pdf
1611 Mail Service Center, Raleigh, North Carolina 27699-1611 One
Phone: [phone] FAX: [phone] Internet: www.ncwater.org NorthCaytroliina
An Equal Opportunity \ Affirmative Action Employer- 50% Recycled 110°! Post Cons urner Paper Natu iviL y

Letter from J. Mead to J. Domey, 5/28/10
Duke West Fork 401 Certification, Page 2
We also recommend that the 401 certificate for this Project include the standard 401 conditions
used in response to other hydropower relicensing submittals, including re-opener provisions.
The Low Inflow Protocol and Hydro Project Maintenance & Emergency Protocol (attachments B
and C, respectively, of the Settlement Agreement) should be incorporated by reference in the 401
certificate.
The Settlement Agreement includes provisions such that NCDENR's execution of the Settlement
Agreement places no restrictions on the Division of Water Quality (NCDWQ) in terms of review
of the 401 application and what conditions can be included.
Where necessary, these comments include revisions to reporting requirements and review and
approval authority to reflect the Division of Water Quality's responsibilities under section 401 of
the Clean Water Act (as opposed to FERC's authority subject to the New License). The word
"Licensee" from the Settlement Agreement was replaced with "Applicant" - meaning Duke
Energy Carolinas or its successors.
Unless expressly stated otherwise, references to the "License" in the attached recommended
conditions are to the new FERC license for which NCDWQ is considering issuing a 401
certificate, and the reference includes the New License and all annual licenses thereafter. These
references to the new FERC license were retained in large part because the issuance and term of
this New License determines the schedule and duration of subsequent enhancements.
If you have questions regarding these recommendations, please contact me at 919-715-5428 or
Jim.Meadgncdenr. ov .
Sincerely,
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Jim Mead
attachments
cc: Tom Fransen and Steve Reed - NCDWR
Chris Goudreau - NCWRC
Kevin Barnett - NCDWQ
Marc Bernstein - NCDOJ
Mark Cantrell - USFWS
Steve Johnson, Duke Energy
Letter from J. Mead to J. Dorney, 5/28/10
Duke West Fork 401 Certification
1.0 Reservoir Level Agreements
(A) The Applicant shall use the existing float-operated gages or suitable replacement
gages to monitor the actual levels of the project reservoirs. The Applicant shall calibrate
these reservoir stage level gages within 60 days following its acceptance of the New
License and at least once every two years thereafter.
(B) The Applicant shall maintain the elevation of Lake Glenville between the Normal
Minimum and Normal Maximum Elevations ("Normal Operating Range") indicated in
the table below, except when the Applicant is permitted to vary from the Normal
Operating Range as established below. All elevations are relative to the top of the dam
(including the flood gates, fuse plugs and flashboards where applicable), with 100.0 ft =
Normal Full Pond Elevation. The elevations shown are for the first day of the given
month. Elevations for other days of the month are determined by linear interpolation.
The Normal Operating Range for Lake Glenville is established as follows:
Normal Full Pond Elevation = 100.0 ft = approximately 3491.7 ft (USGS datum)
Month Normal
Minimum
Elevation ft Normal Target
Elevation (ft) Normal
Maximum
Elevation ft
Jan 85 90 94
Feb 85 90 94
Mar 88 91 94
Apr 90 93 96
May 95 97 99
Jun 95 97 99
Jul 95 97 99
Au 93 95 98
Se 90 93 94
Oct 90 93 94
Nov 86 90 94
Dec 85 90 94
(C) The Tuckasegee Lake level shall be maintained as needed to provide for the
minimum flows required by condition 3.0 of this certificate.
(D) The Applicant shall endeavor in good faith to achieve the Normal Target Elevations
at Lake Glenville.
(E) The Applicant may temporarily vary from the Normal Operating Range at Lake
Glenville as identified above if required by conditions beyond the Applicant's control or
by operating emergencies or maintenance needs as defined in Attachments B and C. Such
temporary variances shall be in accordance with the Low Inflow Protocol or the Hydro
Letter from J. Mead to J. Dorney, 5/28/10 4
Duke West Fork 401 Certification
Project Maintenance & Emergency Protocol, incorporated into this certificate by
reference as Settlement Agreement Attachments B and C, respectively.
(F) As long as the actual reservoir levels of the West Fork Project reservoirs are
maintained within the Normal Operating Ranges as identified above for each reservoir or
appropriately within the boundaries as identified in the Low Inflow Protocol (Attachment
B) or the Hydro Project Maintenance & Emergency Protocol (Attachment C), then the
Applicant will be in compliance with reservoir level conditions of this certificate.
(G) The Applicant shall fully comply with these conditions when specified by the New
License.
2.0 Stream Gages
(A) The Applicant shall reimburse the United States Geological Survey (USGS) on an
annual basis for its cost to maintain USGS Gage # 03510500 located downstream of the
Highway 441 Bridge at Dillsboro, NC near River Mile 31.0 on the Tuckasegee River (or
a suitable replacement gage in this vicinity as determined by USGS) to enhance public
access to information concerning river flow conditions.
(B) The Applicant shall provide information in a timely manner on its website for the
West Fork Project reservoirs (the Normal Operating Range, actual reservoir level, recent
reservoir level history, near-term reservoir level projections and special messages), high
flow releases (West Fork (Glenville) Bypassed Reach flow release schedules and special
messages); and a hotlink to USGS Gage # 03510500 on the main stem of the Tuckasegee
River (or a suitable replacement gage in the vicinity of this location as determined by
USGS).
(C) The Applicant shall provide information in a timely manner on its telephone system
for each West Fork Project reservoir (actual reservoir level and special messages) and
high flow releases (West Fork (Glenville) Bypassed Reach flow release schedules and
special messages);
(D) The Applicant shall ensure that special messages on its website and telephone system
include but not be limited to those conveying changes in reservoir levels and scheduled
high flow releases due to implementation of the Low Inflow Protocol and/or the Hydro
Project Maintenance & Emergency Protocol, incorporated by reference into this
certificate as Settlement Agreement Attachments B and C, respectively.
(E) The Applicant shall evaluate future communications technology advancements over
the term of the New License for the West Fork Project and implement cost effective
technologies that enhance the delivery of reservoir and flow information.
4
Letter from J. Mead to J. Dorney, 5/28/10
Duke West Fork 401 Certification
5
3.0 Minimum Flows in the Tuckasegee River Main Stem and Bypassed Stream Reaches
(A) The Applicant shall provide minimum flows of 20 cfs or inflow into Tuckasegee
Lake, whichever is less, from Tuckasegee Lake into the West Fork of the Tuckasegee
River at Tuckasegee Dam from January 1 to December 31 of each year. These flows will
begin upon acceptance of the New License by the Applicant.
(B) The Applicant may temporarily vary from the minimum flows identified in Paragraph
(A) if required by conditions beyond the Applicant's control or by operating emergencies
or maintenance needs as defined in Attachments B and C. Such temporary variances shall
be in accordance with the Low Inflow Protocol or the Hydro Project Maintenance &
Emergency Protocol, incorporated into this certificate by reference as Settlement
Agreement Attachments B and C, respectively.
(C) The Applicant shall calibrate the existing staff gage located just upstream of the
Tuckasegee Powerhouse tailrace within 60 days following acceptance of the New
License and at least once every two years thereafter.
(D) The Applicant shall continue providing each minimum flow for each release point as
specified by the current license, even after expiration of the current license, until the new
minimum flow, pursuant to the New License, for any specific release point is required to
be implemented under terms of the New License.
4.0 Scheduled High Flow Releases to West Fork Tuckasegee Bypassed Reach
(A) Beginning at the later of. (1) when construction of the parking areas and any portage
trails at a suitable put-in and take-out point on the West Fork (Glenville) Bypassed Reach
are complete; or (2) within one year following its acceptance of the New License, the
Applicant shall provide the following high flow release schedule using a Tainter Gate at
Glenville Dam except during periods of temporary variance as noted herein. The target
flows and times are for flows and flow arrival times at the put-in point. Actual release
amounts from the Tainter gate need to be large enough that when combined with other
tributary and accretion flows, the total is as close as possible to the target flow rates.
When Dates Targe
t
Flow Hrs Times
f
s
One Spring Saturday 250 6 10 am to 4 m
Between April 1 and 30
One Spring Sunday 250 6 10 am to 4 pm
Five Weekend Days Between
May 1 and September 30 250 6 10 am to 4 pm
5
Letter from J. Mead to J. Dorney, 5/28/10
Duke West Fork 401 Certification
6
(B) The Applicant may temporarily vary from the scheduled high flow releases from
Glenville Dam as identified above if required by conditions beyond the Applicant's
control or by operating emergencies or maintenance needs as defined in Attachments B
and C. Such temporary variances shall be in accordance with the Low Inflow Protocol or
the Hydro Project Maintenance & Emergency Protocol, incorporated by reference into
this certificate as Settlement Agreement Attachments B and C, respectively.
5.0 Other Resource Enhancements
Duke Power Nantahala Area (DPNA) hydro projects refers to the Nantahala, East and
West Fork Tuckasegee, Mission, Bryson, and Franklin hydroelectric projects.
(A) The Applicant shall provide a one-time funding contribution, in-kind services or a
combination of the two, at the Applicant's option, not to exceed a total cost of $40,000 to
support US Fish & Wildlife Service (USFWS) and North Carolina Wildlife Resources
Commission (NCWRC) studies to determine the range and distribution of the sicklefin
redhorse in the Little Tennessee, Hiwassee and Tuckasegee Rivers.
(B) The Applicant shall provide a one-time funding contribution, in-kind services or a
combination of the two, at the Applicant's option, not to exceed a total cost of $40,000 to
support a project by the USFWS, NCWRC and the US Forest Service (USFS) to restore
the native strain of brook trout to a selected stream in the vicinity of the Tennessee Creek
Hydro Station.
(C) The Applicant shall within 1 to 15 years following its acceptance of the new licenses
for the DPNA Hydro Projects, provide Cherokee, Clay, Jackson, Macon and Swain
counties $40,000 each to implement the Applicant-selected initiatives from a prioritized
list identified by each county's Soil and Water Conservation District board as of July 1,
2005 that (1) make physical improvements that protect soil or water resources, (2)
educate landowners or school children on proper soil or water conservation practices,
and/or (3) improve soil or water conservation programs that affect lands that drain to any
of the DPNA Hydro Projects or the river sections between the DPNA Hydro Projects and
reservoirs belonging to the Tennessee Valley Authority (TVA).
(D) The Applicant shall within 1 to 15 years following its acceptance of the new licenses
for the DPNA Hydro Projects, provide a total of $200,000 for the purpose of supporting
Applicant-selected riparian habitat enhancement projects on lands that drain to any of the
DPNA Hydro Projects or the river sections between the DPNA Hydro Projects and
reservoirs belonging to the Tennessee Valley Authority (TVA) where such projects (1)
protect or enhance fish or wildlife habitat directly or (2) educate landowners or school
children about the importance of healthy riparian areas for fish and wildlife habitat. The
Applicant will utilize the process outlined in the Attachment I of the Settlement
Agreement in selecting the projects to be funded.
6
Letter from J. Mead to J. Domey, 5/28/10
Duke West Fork 401 Certification
7
(E) For the purposes of Paragraphs (A) through (D) above, the contribution amounts
required therein represent the total amount for which the Applicant is liable pursuant to
these paragraphs, notwithstanding that identical language may appear in the certificates
for the East Fork and Nantahala projects (FERC Project Nos. 2698 and 2692,
respectively). For the purpose of construing these paragraphs, the identical Paragraphs
(A) through (D) may have been included in the certificates for FERC Project Nos. 2698,
and 2692 for informational purposes and not to provide for cumulative obligations.
6.0 Shoreline Management
(A) The Applicant shall implement its Shoreline Management Program including the
Shoreline Classification Maps, Lake Use Restrictions, Vegetation Management
Requirements and the Shoreline Management Guidelines as filed with its license
application to aid the Applicant in its lake use permitting program.
(B) The Applicant shall, upon issuance of this certificate, provide support to others that
may organize an annual "Reservoir-Wide Clean Up" on Lake Glenville and/or an annual
"River Clean Up" on the main stem of the Tuckasegee River by removing collected trash
during the week following the clean-up from pre-designated collection sites around the
reservoir and river.
7.0 Sediment Management
(A) The Applicant shall operate the project so as to minimize the need to draw the
reservoirs down to mechanically remove sediment. When sediment must be
mechanically removed, or the reservoirs must be drawn down, the Applicant shall consult
and reach agreement with the NCWRC, USFWS, NCDWR, USACOE (United States
Army Corps of Engineers) and the NCDWQ concerning any reasonable and necessary
measures to minimize the impact of the drawdown and sediment removal on the affected
environment. This consultation and measures identification shall be completed prior to
operating in any way that would be expected to allow sediment from upstream of the
Glenville Dam or Tuckasegee Dam to enter the downstream reaches.
8.0 Monetary Value Agreements
(A) Unless otherwise indicated, all costs or payment amounts specified in dollars in
conditions 1 through 7 of this certificate shall be deemed to be stated as of the year 2004,
and the Applicant shall escalate such sums as of January 1 of each following year
(starting in January 2005) according to the following formula:
7
.
Letter from J. Mead to J. Dorney, 5/28/10
Duke West Fork 401 Certification
AD=Dx GDP
IGDP
8
WHERE:
AD = Adjusted dollar amount as of January 1 of the year in which the adjustment
is made.
D = Dollar amount prior to adjustment.
IGDP = GDP-IPD for the third quarter of the year before the previous adjustment
date (or, in the case of the first adjustment, the third quarter of the year
before the effective date of the New License).
NGDP = GDP-IPD for the third quarter of the year before the adjustment date.
"GDP-IPD" is the value published for the Gross Domestic Product Implicit Price Deflator
by the U.S. Department of Commerce, Bureau of Economic Analysis in the publication
Survey of Current Business, Table 7.1 (being on the basis of 1987 = 100), in the third
month following the end of the applicable quarter. If that index ceases to be published,
any reasonably equivalent index published by the Bureau of Economic Analysis may be
substituted. If the base year for GDP-IPD is changed or if publication of the index is
discontinued, the Applicant shall promptly make adjustments or, if necessary, select an
appropriate alternative index to achieve the same economic effect.
9.0 Compliance Monitoring and Reporting Requirements
(A) Beginning in the first calendar year following its acceptance of the New License, the
Applicant shall provide annually to the NCDWR, NCWRC and the USFWS and shall file
with NCDWQ, not later than May 31, a report containing: (1) a table of the elevations of
Lake Glenville on a daily basis during the previous calendar year, (2) certification by the
Applicant that the minimum flow release requirements of condition 3.0 were met during
the previous calendar year, and (3) certification by the Applicant that the scheduled high
flow release requirements from the Glenville Dam of condition 4.0 were met during the
previous calendar year.
(B) If during the previous calendar year there were any deviations of reservoir levels
above or below the Normal Operating Range for each reservoir (condition 1.0), the
minimum flow release requirements (condition 3.0), or the scheduled high flow release
requirements from the Glenville Dam (condition 4.0), then the Applicant shall include in
the report described in Paragraph (A) above an explanation of each incident during the
previous calendar year when the deviations occurred, together with information sufficient
to explain the reasons for each such incident.
Letter from J. Mead to J. Dorney, 5/28/10 9
Duke West Fork 401 Certification
Settlement Agreement Attachments Incorporated by Reference
B. Low Inflow Protocol (LIP) for the West Fork Project
C. Hydro Project Maintenance & Emergency Protocol (HPMEP) for the West Fork
Project
9