19910326 Ver 1_Staff Notes_19940519 (2)

Note for John Dorney
From: Boyd DeVane on Thu, May 19, 1994 1:39 PM
Subject: Lake Gaston Loss
To: Greg Thorpe; John Dorney; Ron Ferrell; Steve Tedder
Cc: Alan Clark; Beth McGee; Coleen Sullins; David Harding;
Dennis Ramsey; Don Safrit; Ken Eagleson; Ruth Swanek
Phillip Allen, an attorney helping Allen Hirsh on the Lake
Gaston - Va Beach Pipeline case, just called to let John and I
know about a decision made this morning on the pipeline issue.
The Decision was made by the Department of Commerce (NOAA) and
was a considerable setback to NC. We had denied consistency on
the project through CAMA and Va. Beach appealled to the Sec. of
Commerce on the technical merits of the case. (They had also
sued through the courts that NC couldn't make a consistency call
but that has not been decided.) Anyway, the sec. of Commerce
said that our technical basis for denying consistency was not
sound. It seems that this avenue is now dead. Phillip said
that it would be sometime next week when the AG decided what to
do next. One option, which Phillip talked to Dorney and I about
this morning, is a possible 401 requirement for the FERC
liscense amendment on the Roanoke Rapids reservoir. He said
they may decide to hit this issue hard next week or they may get
out of the fight. He would let us know.
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