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Home My WebLink About20150579 Ver 1_FERC Application Document_20140127Federal Energy Regulatory Commission Application Document for a Subsequent License For a Minor Water Power Project DRAFT — January 27, 2014 Ward Mill Dam — Project #9842 by Mr. Ray F. Ward Watauga County, North Carolina Agent for Mr. Ray F. Ward: Andrew C. Givens Cardinal Energy Service, Inc. 620 N. west St. Raleigh NC 27603 919-834-0909 acaivens(a)cardinalenerzy.com Ward Mill Dam License Application DRAFT FERC Project # 9842 Ward Mill Dam FERC Project #9842 Application Document for a Subsequent License Table of Contents Section Page Application Data and Initial Statement 1-5 Application Data 5 6 Consultation with Agencies 5 7 Brief Description of the Project 6 8 Federal Lands Affected by the Project 6 9 PURPA Benefits 6 10 Initial Statement 6 Exhibit A - Project Description A.1 Project Facilities A.1.1 Number of Generating Units A. I A.1.2 Turbine Manufacturer A.1. A.1.3 Mode of Operation A.1. A.1.4 Annual Generation A.2. A.1.5 Plant Head A?. A.1.6 Reservoir Description A.2. A.1.7 Hydraulic Capacity and Flow A.4. A.1.8 Size and Construction Materials of Project A.5 A.1.9 Project Cost A.6 A.2 Purpose of the Project A.6 A.3. Recreation. A.6 A.4 Existing License Provisions A.6 Exhibit E - Environmental Report E.1 Project Location E.1 E.2 Description of the Watauga River Basin E.2.1 General Description E.2 E.2.2 General Description of the Plants and Animals E.2 E.2.3 General Description of the Fishery Resources E.2 E.2.4 General Description of the Water Quality £.4 E.:3 Environmental Description at the Ward Mill Elam E.3.1 Location and Flow information E.5 E.3.2 History of Ward Mill Dam Operation E.5 E.3.3 Fish Vegetation and Water Quality at the Site E.6 E.3.4 Wild And Scenic River E.9 E.3.5 Wilderness Act E.9 E.3.6 Threatened and Endangered Speoies E.10 e E.3.7 Recreation E.10 1/27/2014 Page 2 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 EA Environmental Impacts and Mitigation Measures E.4.1 Expected Environmental Impacts E.4.2 US Fish & Wildlife Study E.5 Consultation with Agencies and Interested Parties E.5.1 Exhibit F General Drawings Exhibit G Maps Exhibit H - Plans and Ability to Operate Appendices License Application DRAFT E.11 E.11 E.11 F.l — F.l 1 G.I H. l Appendix A Effects of Ward's Mill Dam on Fishes, Mussels, and Hellbenders in the Watauga River, Watauga County, North Carolina By Gangloff, Perkins, Holcomb, & Pugh Appendix B Ward Mill Dam Hydropower Project — Run of River Operation by Cantrell, Goudreau, & Tarver The Following Documents are included by reference and were filed in this docket August 31, 2011. Watauga River Basinwide Water Quality Plan, January 2007 - Division of Water Quality, NC Dept. of Environment and Natural Resources Baseline Assessment Report Watauga River Basin, April 2005 - Division of Water Quality, NC Dept. of Environment and Natural Resources Classifications and Water Quality Standards Assigned to Waters of the Watauga River Basin, Neve:nher 1, 2007 - NC Environmental Management Commission, l --?C Dept. of Environment and Natural Resources Soil Survey of Watauga County, - Naiural Resources Conservation Service, US Dept. of Agricuiture 1/27/2014 Page 3 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT FEDERAL ENERGY REGULATORY COMMISSION APPLICATION FOR LICENSE FOR A MINOR WATER POWER PROJECT Initial Statement 1. This is the application of Mr. Ray F. Ward to the Federal Energy Regulatory Commission for a license for the Ward Mill Dam waterpower Project # 9842-000, as described herein. 2. The location of the project is: State: North Carolina County: Watauga Nearby Town: Boone NC Stream: Watauga River 3. The exact name, address, and telephone number of the applicant is: Mr. Ray F. Ward 443 Old Watauga River Road Sugar Grove, North Carolina 28679 (704) 297-3213 4. The exact name, address, and telephone number of each person authorized to act as agent for the appiicant: Andrew C. Givens Cardinal Energy Service, Inc. 620 N. West St, Suite 103 Raleigh, North Carolina 27603 919-8340909 ac ig_vensgcardinalenergy.com 5. The applicant is a citizen of the United States and is not claiming preference under section 7(a) of the Federal Power Act. 6. Ccnsultation with A,,encies - The =�lorih Carolina State Ciearinghouse, a section of the North Carolina Department of Adrnimetration, has theresponsibilit;r to coordinate the agency reviews related to the regulatory requirements of state agencies regarding hydropower projects. Copies of this application are being provided to the State Clearinghouse for their distribution to the agencies. in addition, an electronic copy of this application and the related material are being provided to each of the state agencies that are included on the contact list. As a FERC licensed project, a dam safety permit issues by the State of North Carolina is not required under the North Carolina Dam Safety Law. 1/27/2014 Page 4 Cardinal Energy Service, Inc 1112 Ward Mill Dam License Application DRAFT FERC Project # 9842 The project will be licensed and operated as a run -of -river project. Therefore, a discharge permit pursuant to the National Pollution Discharge System will not be required. There will be no construction involving discharge and fill of streams or wetlands related to the relicensing. The US Army Corps of Engineers has indicated that there is no requirement for a 404 Certificate for this project. It will be necessary to obtain a 401 Water Quality Certificate from the Division of Water Quality of the North Carolina Department of Environment and Natural Resources. The application for the 401 certificate will include a copy of the FERC license application, and will be made after the FERC license application is filed. A Certificate of Public Convenience and Necessity was issued to Ward Mill Dam on March 31, 1987 by the North Carolina Public Utilities Commission in docket SP -64, Sub 1. The State Historic Preservation Office of the North Carolina Department of Cultural Resources has reviewed the project pursuant to Section 106 of the National Historic Preservation Act. They have stated that they are aware of no historic resources that would be affected by this project. 7. Brief Description of the Project -The Ward Mill Dam is located on the Watauga River in the western portion of Watauga County, North Carolina. The Ward Mill dam was rebuilt in 1963 with a new rock and concrete dam. The dam is 130 feet long; it is 20 feet high from the bedrock base to the top of the dam, and 16 feet from the river bed to the top of the dam. The base of the dam is 21 feet thick. There are two turbine/ generator units at the facility. One unit has a capacity of '75 k W and one unit has a capacity of 93 kW for a total installed capacity is 168 kW. The turbines are connected to the generators via shafts and a belt drive. The powerhouse is integrated into the south end of the dam and the flow through the generators returns to the riverbed at the toe of the dam. The generation at Ward Mill Dam is manually operated with manual starting and operation, and automatic shutdown. The plant is operated in a run -of -river mode at all times, and is not used for peaking. 8. FEDERAL LANDS AFFECTED BY THE PROJECT: None 9. PURPA BENEFITS: We believe that the Ward Mill Dam satisfies the requirements for qualifying hydroelectric small power production facilities in §292.203 of PURPA, and seek the to continue to receive the benefits under section 210 of PURPA. Further, we believe ti.at t he project unucr the 13 86 license the project vr'as tr; a"d as if racatcd at a n ;�� darn as defined by §292.2C2(p), and this treatment should be continued. 10. INITIAL STATEMENT: The family of the applicant has lived along the Watauga River for over 100 years, and they have harnessed its power for the development and progress in the Sugar Grove area of Watauga County, North Carolina. The Wards continue to live less than 100 yards from the dam, they own and manage much of the wooded hillsides along the river, and they continue to farm in the valley above the impoundment. Mr. Ward and his family respect the environment and value of the river to his community. They also recognize the benefit of the 1/27/2014 Page 5 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT generation of renewable energy in a way that requires little new capital and does not foul the land. They have a commendable record operating the power plant at Ward Mill Dam under a Federal license since 1985, and propose to get a subsequent license to continue operating the plant. The licensing process has involved the consultation with the government agencies, interested organizations, and individuals. With this process, the applicant is committed to the stewardship of this resource, to discovering and review of all necessary information related to the license renewal and project operation, to working with all parties to identify reasonable options, and to implementation of the proper course of action for this site. We look forward to working with FERC, the governmental agencies, all interested groups, and individuals to this end. 1/27/2014 Page 6 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 PROJECT DESCRIPTION "EXHIBIT A" A. 1) PROJECT FACILITIES A.I. l) NUMBER OF GEN- ERATING UNITS: There are two turbine/ generator units existing at the facility. One unit has a capacity of 75 kW and one unit has a capacity of 93 kW. There are no provisions or plans to install future units. Total installed capacity is 168 kW. The turbines are connected to the generators via shafts and a belt drive. A.1.2) TURBINE MANU- FACTURER: Both turbine/generator units utilize 30 inch Samson turbines built by Leffel and Co. A.1.3) MODE OF PLANT OPERATION: The Ward Mill Dam is a manually operated dam which is designed License Application DRAFT Exhibit A — Project Description for manual starting and operating, and automatic shutdown. Typically, the operator will inspect the plant daily, and if the water level is sufficient, will turn the plant on, or let it continue to run. In the ward Mill Dam FERC Project #9842 event that the plant goes off-line due to January, 2013 electrical, mechanical, or b4ing tripped by the low-water cutoff, the plant will remain off-line until the operator determines the plant is ready to operate and the water level is sufficient, and he may manually start the units. The plant is operated in a run -of -river mode at all times, and is not used for peaking. Water flowing into The reservoir equals wator flowing oil*. The pmverhouse is integrated into the dart, and the generation Flow returns to the riverbed at the toe of the darn. There is no canal or reach. Wl::-n the now is sufficient to flow over the dam, the generation flow and the flow over the darn join at the toe ef. the dam and is the same as the flow entering the reservoir. An automatic cut-off float and switch have been added to the generation to automatically shut of} the generation is the water level drops below the 1_Pve1 of the top of the dam. This prevents the drawdown of the reservoir during low flow periods. It also means that the fluctuations in the reservoir level are the result of the fluctuations in the river flow. In the 25 years of operation of the project since the trash racks were improved in 1987, it has not been necessary to drop the lake level significantly. During that period, there has been no long-term silt build up, 1/27/2014 Page A. 1 Cardinal Energy Service, Inc 1112 Ward Mill Dam License Application DRAFT FERC Project # 9842 Exhibit A - Project Description and no need to remove sand from the reservoir. It appears that during floods or other periods of high water any sand that may accumulate gets washed past the dam. A.1.4) ANNUAL GENERATION: This plant has been operated for 25 years and the annual generation level has varied from below 290,000 kWh to over 599,000 kWh, based primarily on the variation of the stream flow. The generation in the period 2006 through 2010 is shown in the table below. A.1.5) PLANT HEAD: The average head of the plant is 1.6 feet. The elevation of the headwater elevation is 2,608 ft and the tailwater elevation is 2,592. General drawings of the project are included in Exhibit F. A.1.6) RESERVOIR DESCRIPTION: The reservoir has an estimated surface area of 4.6 acres. With an estimated gross storage capacity of 16.3 acre-feet. The reservoir is approximately 130 wide at the dam, and is approximately 100 feet for much of its length. The dam normally backs up water approximately 2,500 feet. The project map are included in Exhibit G. The site of the dam is at a point where the Watauga River flows between two high, wooded hills, creating a narrow reservoir. Old Watauga River Road runs along the south side of the river for the entire length of the reservoir, providing access to the darn and the public fui the full length of the reservoir. The Ward reside. -.Cc. lumber raill and workshop are tozated in the v.cinity of the dam on the south side of the river. Mr. Ward owns the area between the ri-ver and 'the road along the entire south side Cif the reservoir and much of the wooded hillside south of tie read. This area has remained primarily undeveloped and the river is accessible to wildlife as well as the public. 1/27/2014 Page A. 2 Cardinal Energy Service, Inc 1112 Ward Mill Dam Total kWh Generation - 2006 to 2012 2006 2007 2008 2009 2010 2011 2012 January 60,672 60,096 26,304 39,744 43,008 28,416 57,600 February 55,872 47,524 43,776 39,744 46,848 38,208 53,952 March 30,152 54,144 51,456 ,51,648 43,776 51,072 56,256 April 52,032 53,952 41,664 57,984 51,456 51,264 56,064 May 54,912 27,456 23,424 60,864 44,160 67,968 64,894 June 30,336 8,832 13,824 50,112 19,584 24,192 33,216 July 22,080 19,008 14,976 14,784 1,535 12,864 16,128 August 2,355 384 8,256 21,312 12,096 4,224 16,704 September 29,952 3,264 17,664 22,848 2,496 17,664 13,248 October 23,232 8,256 960 19,968 25,344 _ November 46,080 3,840 _8,256 V 14,016 _29,3_76_ 41,472 191 31,296 21,696 December 45,120 15,936 42,816 43,776 21,888 43,008 16,512 Annual Total kWh 460,795 306,692 306,432 473,664 287,998 1 390,144 431,616 A.1.5) PLANT HEAD: The average head of the plant is 1.6 feet. The elevation of the headwater elevation is 2,608 ft and the tailwater elevation is 2,592. General drawings of the project are included in Exhibit F. A.1.6) RESERVOIR DESCRIPTION: The reservoir has an estimated surface area of 4.6 acres. With an estimated gross storage capacity of 16.3 acre-feet. The reservoir is approximately 130 wide at the dam, and is approximately 100 feet for much of its length. The dam normally backs up water approximately 2,500 feet. The project map are included in Exhibit G. The site of the dam is at a point where the Watauga River flows between two high, wooded hills, creating a narrow reservoir. Old Watauga River Road runs along the south side of the river for the entire length of the reservoir, providing access to the darn and the public fui the full length of the reservoir. The Ward reside. -.Cc. lumber raill and workshop are tozated in the v.cinity of the dam on the south side of the river. Mr. Ward owns the area between the ri-ver and 'the road along the entire south side Cif the reservoir and much of the wooded hillside south of tie read. This area has remained primarily undeveloped and the river is accessible to wildlife as well as the public. 1/27/2014 Page A. 2 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit A — Project Description Ward Mill Dam and Reservoir The north side of the reservoir is also primarily undeveloped and Mr. Ward owns the land for approximately 1,500 ft above the dam and necessary water rights for the remainder of the reservoir. On that side of the reservoir, the banks are heavily wooded and the reservoir is accessible to wildlife along its full length. Oid vi atauga kiver Rd (.unpaved) Ward Mill Dam Reservoir and Old Watauga River Road Approximately 200 Yards Above the Dam 1/27/2014 Page A. 3 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit A — Project Description Ward Mill Dam Reservoir From Old Watauga River Road on the South Side Approximately 200 Yards Above the Dam Watauga River at the Upper End of the Reservoir From the Rominger Road Bridge A.1.7} I� �'DRAULIC CAPACITY AND FLOW: The maxim. urn estimated hydraulic capacity of the project is 158 cfs. The drainage area of the Watauga River basin at the dam is estimated to be 92.6 square miles. The USGS in conjunction with the Tennessee Valley Authority maintains USGS gage 03479000 at the convergence of Cove Creek and the Watauga River, approximately 200 feet upstream from the impoundment. The annual average flow at this gage during the period 1990 through 2010 was 176 cfs. In the most recent 10 year period of 2001 through 2010, the average flow was 159 cfs. This gage has been in place since 1939 and the peak discharge recorded is 50,800 cfs, and the minimum discharge was 13 cfs. 1/27/2014 Page A. 4 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit A — Project Description 4'/9000 Ward Mill Dam and Reservoir The north side of the reservoir is also primarily undeveloped and Mr. Ward owns the land for approximately 1,500 ft above the dam and necessary water rights for the remainder of the reservoir. On that side of the reservoir, the banks are heavily wooded and the reservoir is accessible to wildlife along its full length. 1/27/2014 Ward Mill Dam Reservoir and Old Watauga River Road Approximately 200 Yards Above the Dam Page A. 3 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit A — Project Description Ward Mill Dam Reservoir From Old Watauga River Road on the South Side Approximately 200 Yards Above the Dam Watauga River at the Upper End of the Reservoir From the Rominger Road Bridge A.1.7) 11YDRAULIC CAPACITY AND PLOW: The maxi aura estimated hydraulic capacity of the project is 158 cfs. The drainage area of the Watauga River basin at the dam is estimated to be 92.6 square miles. The USGS in conjunction with the Tennessee Valley Authority maintains USGS gage 03479000 at the convergence of Cove Creek and the Watauga River, approximately 200 feet upstream from the impoundment. The annual average flow at this gage during the period 1990 through 2010 was 176 cfs. In the most recent 10 year period of 2001 through 2010, the average flow was 159 cfs. This gage has been in place since 1939 and the peak discharge recorded is 50,800 cfs, and the minimum discharge was 13 cfs. 1/27/2014 Page A. 4 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit A - Project Description Monthly Mean Discharge - cfs Measured At USGS Gage 03479000 2006 2007 2008 2009 2010 2011 2012 January 256.5 255..0 82.3 170.6 427.0 103.0 270.3 February 189.0 104.8 131.5 99.2 284.3 140.2 169.1 March 117.5 192.2 316.2 158.4 433.7 368.5 193.7 April 202.2 119.9 109.0 192.1 177.5 384.1 312.4 May_ 140.5 68.1 67.0 273.9 113.5 183.4 201.0 June 139.4 59.1 62.3 205.5 71.2 76.2 99.7 July 78.5 80.6 71.5 71.3 38.4 79.8 103.2 August 57.1 38,7 73.5 109.5 68.4 41.4 79.8 September 130.8 31.0 67.7 159.3 27.8 194.7 149.1 October 75.7 71.1 52.9 165.3 28.3 102.2 119.3 November 266.3 42.9 61.0 296.9 40.9 228.7 76.5 December 195.0 72.0 141.1 395.7 128.4 308.9 130.3 Annual 147.3 124.1 97.3 141.4 208.4 147.2 184.8 On October 15, 1987, FERC issued an order amending article 6 of the original license for the project, eliminating the requirement for a, flow recording gage at the dam. This was made in recognition of USGS gage upstream from the impoundment, that the project is operated in a run - of -river mode, that the plant includes controls to shut off the generation at low levels, and that the small impoundment makes any other mode of operation impractical. A.1.8) SIZE A,NTD CONSTRUCTION MATERIALS OF PROSECT: The Ward Mill dam was rebuilt in 1963 with a new rock and concrete dam, reinforced with one inch diameter vertical steel rods placed approximately 4 foot apart across the interior structure of the dam. These rods are imbedded 2 and 1/2 feet into the bedrock with reinforced steel running horizontally through the interior of the dam. The dam is 130 feet long; it is 20 feet high from the bedrock base to the top of the dam. The base of the dam is 21 feet. The intake structure consists of trash rack with four segments, a penstock, and a vertical head gate. One segment of the trash rack is 19 feet long and between 3 and 5 feet high with a service area of 75 ft2. The second rack is 8 feet long and between 9 and 10 feet high with a service area of 66 ft2. The third trash rack is 9 feet long and approximately 10 feet high with a service area of 77 ft2. The fourth trash rack is 19 feet long and 9 feet high with a service area of 137 ft2. The total area of the trash racks is 355 ft2 . Each of these trash racks are made of '/4 " steel bar at 1 '/4 " centers with 1 inch spacing. Diagrams of these racks are included in Exhibit F. The penstock is approximateiy 14 feet long, 5 feet wide, and 7 and 1/2 feet tall and is trade of rock, co ncrete, and reinforced with steel. The vertical head gate, which controls water from the penstock into the powerhouse, is made of 1/2 inch plate steel and is 8 feed tall and 6.5 feet wide. The base of the powerhouse, including the water room, is made of rock, and concrete and reinforced with steel rods. The water room is approximately 14 feet long, 8 feet wide and 23 feet deep. It contains two turbines each of which is 30 inches in diameter. Wicket gates that are activated by the pneumatic gate control in the powerhouse regulate the flow through the turbines. The upper portion of the powerhouse is approximately 60 feet long and 20 feet wide, is made of 1/27/2014 Page A. 5 Cardinal Energy Service, Inc 1112 Ward Mill Dam License Application DRAFT, FERC Project # 9842 Exhibit A — Project Description block, and opens into the machine shop area of an adjoining building. The powerhouse contains two generators. The smaller unit has a capacity of 75 kW and the larger unit has a capacity of 93 kW. There is no tailrace or bypassed area. Once water passes through the turbines, the draft tubes return the water back into the stream at the toe of the dam through a 6 foot wide and 5 foot tall hole in the wall beneath the water room. The facility is connected to the distribution system of Blue Ridge Electric Membership Corporation through a three phase, 12 kV line. The generation is metered by, and sold to Blue Ridge Electric Membership Corporation at the powerhouse. A.1.9) PROJECT COSTS; The hydropower facilities are in good operating condition and no changes or additions are planned at this time. The original facilities were inherited or build by Mr. Ward. Any subsequent improvements which have been recorded as capitalized expenditures have been fully depreciated. A.2) PURPOSE OF PROJECT: The purpose of the project is use the renewable energy' resource at the site to generate electricity. That power is currently being sold to Blue Ridge Electric Membership Corporation. This power replaces the fossil -fueled generation -in the Duke control area and the SERC region. With this generation, the production of CO2 and other, byproducts is thereby reduced. In addition, the project earns Renewable Energy Certificates under the North Carolina Renewable Energy and Energy Efficiency Portfolio Standard. A.3) RECREATION: The primary recreational pursuits in the immediate vicinity or the project include fishing, hunting, canoeing, and rafting. While the reservoir at Ward Mill dam is less than 5 acres, it is a suitable site for each of these pursuits. The primary focus has been on the maintenance of the natural habitat and undeveloped character of the area. The river is accessible from the Old Watauga River Road, which runs along the south side. There are many sites along the road where fishermen and boaters can get suitable access to the water. Some recreational users will access the reservoir and paddle or fish within the reservoir. For boaters that are traveling along the river, there is a cleared takeout for boat portage approximately 150 feet above the darn with a return to the river along a path below the dam. A. 4) THE IE X ISTI�TG LICENSE: The existing licer_se Was issued September 9, 1956. Arnono the specific provisions of the license are the following - Article 202 required the licensee to keep the reservoir clear of timber, brush, and other debris. The licensee has met this requirement and protected the natural streamside environment. Article 401 required the licensee was required to operate the plant in a run -of -river mode. Mr. Ward installed a float gage and cut off switch on the turbines so that the generation 1/27/2014 Page A. 6 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit A — Project Description would be taken off line at any time that the water level dropped below the top of the dam. This ensures the operation in a run -of -river mode. -'Article 402 required the installation of trash racks that had sufficient surface area and spacing of the bars that fish impingement and entrapment would not be a problem. Trash racks were subsequently installed which have a horizontal spacing of 1 inch and a total surface of approximately 355 ftz. At the design maximum capacity of the turbines of 157 6fs, the maximum flow rate would be .44 ft per second. i 1 On October 15, 1987, FERC issued an order eliminating the requirement of Article 6 of the license which had mandated the installation and maintenance of a stream gage at the dam. In the order, the Commission acknowledge that; the project was operated as a run - of -river project; that there was no bypassed reach; that the small capacity of the reservoir provide little opportunity for peaking operation; that the licensee had added an automatic cut=off system to prevent operating when water was below the crest of the dam; that USGS maintained a gage about 200 feet above the reservoir; and that agencies had no objections to the change. The revised Article 6 requires the licensee to install a gage in the event that USGS no longer operated the gage 03479000 above the project. - On April 16, 2002 FERC issued a letter in P-9842-003 in response to a request by the licensee for an exemption from the filing of the annual Recreation Report, Form No. 80. The FERC letter order stated: Available information indicates there is little potential for recreational use at the project. Wherefore, in accordance with section 8.11(c)of the Commission's regulations, you are exempted from further filing of the Form 80 for the above-cited project until further order of the Commission. With regard to Articles 202, 401, and 402, the Applicant has complied with the 1986 license provisions and will continue to operate consistent with these provisions under the subsequent license. The Applicant requests that the Commission continue the provisions of the amended Article 6 whereby the Applicant will not be required to install and maintain a stream gage the as long as; the project was operated as a run -of --river project; that the licensee maintains an automatic cut-off system to prevent operating when water was below the crest of the dam, and that USGS maintains a gage about 200 feet above the reservoir. The Applicant requests that the Commission continue the provisions of the April 16, 2002 exemption from the filing of the annual Recreation Report, Forim 80, for this project. As in the past. the project will remain accessible to recreational activities, particularly boating, and fishing. However, it is expected to remain at the historically low level at the site. 1/27/2014 Page A. 7 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 ENVIRONMENTAL REPORT "EXHIBIT E" License Application DRAFT Exhibit E — Environmental Report E. 1) PROJECT LOCATION The Ward Mill Dam hydroelectric project is located on the Watauga River in Watauga County , approximately 10 miles west of Boone, North Carolina, approximately 3000 feet downstream from the confluence of Cove Creek with the Watauga River, approximately 7 miles from the North Carolina -Tennessee State Line. The project is located in the Laurel Creek Township, Northern Latitude 36 degrees, 14 minutes, 20 seconds and Western Longitude 81 degrees, 49 minutes, 20 seconds. The project boundaries remain as in the 1986 license. There is no federal land in the vicinity of the project and the US Forest Service and the National Park Service have indicated that they have no direct interest in this project. The Ward Mill Dam is located on the Watauga River in the western portion of Watauga County, North Carolina. The river flows northwesterly from the Eastern Divide and the slopes of Grandfather Mountain flowing into the Watauga Lake in the Tennessee, eventually into the Holston River a tributary of the Tennessee River. The J site is in the community of Sugar Grove, and approximately 10 miles from Boone North Carolina, the county seat of Watauga County. ®Flo ?noes ft v. RMrBeets Now RNm Been QYe R-BaeN CalesMa nW BaeN - -Riven 6 C—" Pehnery RoaE1 BNa RWV ft—, 1/27/2014 Page E. 1 Cardinal Energy Service, Inc 1112 Ward Mill Dam License Application DRAFT FERC Project # 9842 Exhibit E — Environmental Report E.2) DESCRIPTION OF THE WATAUGA RIVER BASIN E.2.1) GENERAL DESCRIPTION OF THE WATAUGA RIVER BASIN: The Watauga River is the principle stream in the Watauga River Basin. This river basin is the second smallest river basin in the State of North Carolina. It encompasses 210 square miles in the western half of Watauga County and the northern half of Avery County. The general topology is one of high and low mountains and elevations ranging from less than 3,000 feet to 6,000 feet above mean sea level. The lower reaches of the Watauga River have a constant gradient averaging 41 feet per mile. The lowest elevation, at the North Carolina/Tennessee state line, is 2,130 feet above sea level. The Watauga River rises on the north slope of Grandfather Mountain in Avery County. From its source, the river flows northeasterly for about six miles then turns to a northwesterly direction and flows for about 20 miles to the North Carolina -Tennessee State Line. The river continues into Tennessee joining the Holston River, a tributary to the Tennessee River, about 10 miles northwest of Johnson City, Tennessee. The Elk River is the principal tributary to the Watauga River. It rises on the slope of Hanging Rock Mountain in Avery County and flows westerly to the North Carolina -Tennessee State Line. It joins the Watauga about 11 miles into Tennessee at Watauga Lake. Forests, including farm woodland, cover approximately 60 percent of ' the watershed. The average annual rainfall over the watershed is 57 inches, which is above the North Carolina State-wide average. Hay is grown to support the live stock production. There is very little manufacturing in the area. The greatest economic resource of the watershed is the tourist industry. Fishing, hunting, skiing, mountain scenery, summer camps, and camping areas offer the major tourist attraction. E.2.2) GENERAL DESCRIPTION OF PLANTS AND ANIMALS OF THE WATAUGA RIVER BASIN: In all sections of the Watauga River Basin small game, such as rabbit, squirrel, raccoon, grouse, quail, and opossum are abundant, including the fur bearers, such as muskrat and mink, which are trapped. Also, some bear and deer are found in the area. A much more detailed lists of trees, birds, insects. %vildfloiverS, reptiles, mushu:^omms, ?i;.mgmr:als, amphibians, and butterflies and moths indigenous to the general area is included in the table below. E.2.3) GENERAL DESCRIPTION OF FISHERY RESOURCES OF THE WATAUGA RIVER BASIN: There are 32.4 miles in the Watauga River basin, including the section at the Ward Mill Dara, which ore classified as Higb Qrzalily Water, or HQ`vv'. The wirer mar►agertleni. strategies are designed to prevent degradation of the water quality below the present levels. The Watauga River Bashinvi le Water Quality Plan, dated January 2007, was prepared by the Division of Water Quality of the NC Department of Environment and Natural Resources. A copy of this report was provided with the Pre -Application Document in August 2011. This provides comprehensive information about the water and fishery resources in the Watauga River Basin, including the Elk River which joins the Watauga River in Tennessee, well below the Ward Mill Dam. 1/27/2014 Page E. 2 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E — Environmental Report Section 1.4.8 of the Watauga River Basinwide Water Quality Plan discusses the specific segment of the Watauga River that includes the Ward Mill Dam; AU # 8-(1), as included below; 1.4.8 Watauga River [AU# 8-(1) and 8-(16)] Current Status The Watauga River, from source to the North Carolina -Tennessee state line (26.3 miles), is Supporting in the aquatic life category due to Good and Excellent benthic bioclassifications at sites LB 14 (Foscoe), LB 13 (NC 105), LB 12 (Sugar Grove) and LB 11 (Peoria). The river also received a Good -Fair fish bioclassification at site LF9 (Shull Mills). Overall, instream habitat throughout the watershed is good; however, there is evidence of increased development activities throughout the entire area resulting in narrow riparian corridors, sediment, and periphyton growth along the river's edge. In the upstream section near Foscoe (LB 14), substrate is a good mix of bedrock, boulder and rubble. Located below a cluster of small permitted WWTP facilities, the river also receives runoff from agricultural and residential properties and areas under development in and around the Town of Seven Devils. The entire length of the Watauga River is given the supplemental classification for high quality waters (HQW). The HQW designation is assigned to those waters that are Excellent based on DWQ chemical and biological sampling. Since 1985, this site has fluctuated between Excellent and Good - Fair. The most recent Good bioclassification is an improvement from the Good -Fair rating in 1999; however, the Watauga River is not consistently meeting the criteria of an Excellent bioclassification for HQW. Out of the ten fish samples monitored in the subbasin, site LF9 has the second highest number of species (16) and total number (469) collected, which resulted in a Good -Fair bioclassification. Wildlife Resources Commission (WRC) manages this section of the Watauga River as delayed harvest trout waters. From March to May, approximately 3,500 rainbow, brook and brown trout are stocked with 600 more added in July followed by another 2,200 in October and November. Despite the abundance of species and numbers, the river is not meeting the criteria of an Excellent bioclassification for HQW. At site LB 12 (Sugar Grove), the river is 17 meters wide, encompasses 92 square miles, and receives runoff from several forested, agricultural and residential areas as well as discharge from several minor NPDES facilities. The velocity of the river is also slower in this doumstream section: Consequently, fine sediments tend to settle out near the streambanks. The habitat score was sli_aht1v lower in this section of the river due to infrequent riffles, minimal shadii^, and narrow riparian corridors. Conductivity was higher at site LB12 (100 µrnhos./ci�i) indicating arir.crea.se, in watershed disturbance (i.e., development and land clearing activities). Biologists noted heavy periphyton growth along the river's edge. Periphyton algal growth is often an indication of nutrient enrichment from both point and nonpoint sources. In the recreational use support category, the Watauga River is Supporting due to no criteria exceeded for fecal coliform bacteria levels at sites LAI, LA2, LA3, and LA4. Physical and chemical parameters are also evaluated at these ambient sampling sites to assess potential water quality stressors and impacts to aquatic life. Data from these 1/27/2014 Page E. 3 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E — Environmental Report ambient stations indicate that temperature is a water quality stressor at sites LAI (Shull Mills), LA3 (Valle Crucis) and LA4 (Sugar Grove). Narrow and sparsely vegetated riparian corridors offer little shade to these wide river sections. New development activities throughout the entire watershed increases the amount of impervious surface cover, potentially raising the temperature of stormwater entering tributaries that lead to the Watauga River. The dam, or its predecessors have been a feature of the river for over one hundred years and this section has the HWQ classification and is considered trout fishing waters. The benthic bioclassification of the sites Sugar Grove (LB 12) above the Ward Mill Dam backwater, and at Peoria (LB 11) which is below the dam are both excellent. E.2.4) GENERAL DESCRIPTION OF THE WATAUGA RIVER BASIN WATER QUALITY: The report "Classification and Water Quality Standards Assigned to the Waters of the Watauga River Basin" dated November 1, 2007, was filed with the Pre - Application Document in August 2011. This report was produced by the North Carolina Environmental Management Commission in the NC Department of Environment and Natural Resources. As this document indicates, classifications are assigned to the waters in the river basins in North Carolina. The streams are evaluated periodically and the ratings revised as appropriate, The vast majority of streams within the Watauga River Basin have a "c" classification, indicating that they are favorable for fish and wildlife propagation, secondary recreation, agriculture. Also, the report shows that some stretches of the Watauga River and its tributaries are considered trout waters. From a fish habitat standpoint, water quality tends to deteriorates as one moves from the head waters and upper tributaries of the Watauga to the lower reaches of the Watauga toward the North Carolina -Tennessee State i Line. Higher carbon dioxide levels, heavier silt, higher water temperatures. and higher alkalinity are apparent. This deterioration of fish habitat is probably due to intensive farming in the lower valleys of the basin, such as Bairds Creek, Bushy Fork, Beaver Dam Creek, and Cove Creek, where cleared land exposes the water to light, thus higher temperatures, and farm and pasture land ru 1/27/2014 Page E. 4 Subbasin 04-02-01 at a Glance /from; Watauga River Basin wide Water Quality Plan — January 20071 Land and Water Area Total area: 205 mit Land area: 203 mit Water area: <2 mi2 Population (County) 2000 Est. Pop.: 233,675 people Pop. Density: 115 persons/mi2 Land Cover (percent) Forest/Wetland: 87% Water: <1% Urban: <1% Cultivated Crop: <1% Pasture/ Managed Herbaceous: 13% Counties Avery and. Watauga Municipalities Beech Mountain, Banner Elk, Sever Devils, Elk Park, Sugar Mountain, and (Western) Boone Aquatic Life Monitored Streams Summary Total Streams: 90.0 mi Total Supporting: 79.4 mi Total Impaired: 5.9 nii n off enters the streams. Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E — Environmental Report E.3) ENVIRONMENTAL DESCRIPTION AT THE WARD MILL DAM E. 3.1) LOCATION: The Ward Mill Dam is located on the Watauga River in the western portion of Watauga County, North Carolina. The river flows northwesterly from the Eastern Divide and the slopes of Grandfather Mountain flowing into the Watauga Lake in the Tennessee, eventually into the Holston River a tributary of the Tennessee River. The site is in the community of Sugar Grove, and approximately 10 miles from Boone North Carolina, the county seat of Watauga County. The impoundment at the darn site is approximately 4.6 acres. A United States Geological Survey Gaging Station, Watauga River near Sugar Grove, North Carolina (03479000), is located 1/2 mile upstream of the dam and has been recording stream flow data since 1939. The drainage area at the Gaging Station is 92.1 square miles, and the drainage area at the dam is estimated to be 92.6 square miles. Thus, records do not need to be adjusted for a difference in drainage area. At the gage the peak discharge.is 50,800 cfs; the minimum daily discharge is 13 cfs; and the average daily discharge in the prior 10 years has been 158 cfs. The USGA Water - Data tables for the period 2006 through 2012 are shown on page A.S. These include the average daily flow data at the gage # 03479000. E.3.2) HISTORY OF WARD MILL DAM OPERATTONS: Mechanical energy production by the Ward Mill Darn site began in 1892 when a Pelton Wheel was installed to power a gristmill. This set up was washed away in the May flood of 1901. In 1906, construction of a hemlock log dam and wooden penstock was completed and a 26" Samson hydroturbine installed. The turbine was initially used to power a gristmill and was later hooked to a sawmill. In 1932, the wooden penstock was reworked and a 17" Samson hydroturbine was added. A small generator (37.5 KVA) was connected to the turbine. In 1934, with approval of the North Carolina Utilities Commission, power lines were extended and electric service was provided to t'vvelve. local homes. Service was provided until 1940: In 1940, a flood demolished the wooden penstock enclosure. By 1941, a concrete penstock had been constructed adjacent to the log dam. The turbines were reinstalled; the 26" turbine being connected to a band mill and the 17" turbine connected to the electric generator. Electric energy produced was used to power the owner's residence and machine shop. in 1947. two 30" Sa.Tnson turbines were installed, repiacing drte existing turbines. In i 963, a 16 foot concrete Barr: was constructed immediately dovaistrearn of the log warm. Other equipment was unchanged. In June of 1982, work was begun to overhaul the 30" turbines and install new generating equipment. A 93 kW generator was installed and went on line in November of 1982. The power produced was sold to the Blue Ridge Electric Membership Corporation. Later, a 75 kW generator was installed and went on line in May of 1983. Generated power was sold to Blue 1/27/2014 Page E. 5 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E — Environmental Report Ridge EMC until July 22, 1985, when the site was shut down. A published historical documentation of the site is included below E.3.3) FISH, VEGETATION AND WATER QUALITY AT THE SITE: Prior studies, including the Watauga River Basinwide Water Quality Plan referred to above, shows that the section of the Watauga River which includes the dam, is classified as class B, Trout and HOW. The Aquatic Life Assessment of the river at stations LB 12 above the dam, and LB I below the dam is Excellent. The applicant, in consultation with the US Fish and Wildlife Service and the NC Wildlife Resources Commission, engaged Dr. Michael Gangloff to conduct a study titled "ffLects o Ward's Mill Dam on Fishes. Mussels, and Hellbenders in the Watauga River Watauga County, North Carolina." A copy is included with this application as Appendix A. The Summary of the Gangloff study states: No freshwater mussels were detected alive in the Watauga River adjacent to Ward's Mill although weathered green floater mussel (Lasmigona sub viridis) shell fragments were found lkm downstream from the dam. Anecdotal reports from anglers suggest that hellbenders are occasionally seen near the dam but rock -turning surveys did not detect any individuals at sites up or downstream from the dam. Substrates in the river immediately downstream from the dam (tailrace) were comprised of large boulders and cobbles reflecting decades of scouring and sediment starvation downstream for the dam. Beginning 100 m downstream from the dam, substrates become more heterogeneous and appear more suitable for freshwater mussels. Fish habitats were excellent downstream from the dam and we encountered a relatively diverse fauna, comprised of 16 taxa. No federally -listed fishes were detected, but we did find a robust population of tangerine darters in the mill tailrace. It appears that the effects of this dam on mussels and hellbender populations are negligible. The dam may be improving the habitat conditions for tangerine darters and other sensitive fishes by retaining finer substrates entering the river from adjacent farmlands near Valle Cruces as well as from. highly agricultural tributaries including Cove Creek. The draft of the Gangloff study was circulated to the US Fish and Wildlife Service, and the NC Wildlife Resources Commission. for comments. Comments were received from the agencies and supplemental effort was completed and documented to address the further concerns of the agencies. !he final report, which addresses the agency comments, Nvas issued o^ November 5, 2013. The Discussion, section of the Final Reports states: No elevated conservation -concern (at either the state or federal level) aquatic species were encountered in study reaches. Therefore it is unlikely that any sensitive aquatic species are or will be in imminent danger of extirpation from Ward Mill Dam's continued operations or its removal. Despite significant effort in this and other recent studies, searches for mussels (Unionidae) in the Watauga River in NC have failed to document their continued persistence (Gangloff unpublished data). Surveys by Fraley and Simmons last detected green floaters (Lasmigona sub viridis) in the Watauga River 1/27/2014 Page E. 6 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E — Environmental Report during summer 2004 (Fraley and Simmons 2005, NCWRC 2013). Factors contributing to the loss of this species are unknown but may be a result of changing land use and cover in the drainage. Hellbender salamanders are patchy in distribution but locally abundant in the upper Watauga River drainage. However, the majority of their populations are relegated to more pristine headwater reaches including the main stem Watauga River upstream of US Highway 105 and Boone Fork Creek. Degraded habitat and water quality associated with river valley agricultural activities and ex -urban development likely impair hellbender populations and recruitment downstream of Valle Crucis (Pugh et al. in Preparation) and our surveys failed to detect hellbenders at sites up and downstream from Ward's Mill Dam. Additionally, surveys in 2011 and 2012 did not find hellbenders further downstream in the Watauga River near the Guy Ford Bridge. There are currently no known populations of fish of conservation concern at either the state or federal level in the Watauga River in NC (Holcomb and Perkins unpublished data, NCWRC 2013, NCDENR 2013). The tangerine darter, Percina aurantiaca, is a species of conservation concern in several states throughout its range. Though considered vulnerable by NC Natural Heritage Program, Tangerine darters remain abundant across their historic range in NC, including the Watauga River (Holcomb and Perkins unpublished data, NCWRC 2012, NCDENR 2012). Although not commonly sampled during fish surveys, numerous tangerine darters were observed during visual searches for mussels and the tailrace of Ward's Mill dam appears to support ideal habitat (deep, rocky runs with swift currents) for these darters. Surveys conducted in the Fall of 2012 detected two flat bullhead catfish (Amieurus platycephalus) individuals 200 m and 1.5 km downstream of Ward's Dam, respectively (Holcomb and Perkins unpublished data). The flat bullhead is currently experiencing a significant range expansion and should be considered a potentially invasive species in the upper Watauga River drainage (Wayne Starnes, personal communication). The ecologic effects of flat bullheads as an invader species are currently poorly documented. Fay kire to detect flat bullheads upstream of Ward's Dam or in subsequent s»ryPv� suggests that Ward's Dam may act as a barrier to upstream movement of the species and invading populations may not be permanently established. The role of Ward's Dam as a spatial constraint to the expansion of A. platycephalus should be carefully considered prior to its removal. The Gangioff report provides specific data at the four sites studied. Beiow are three tables from the study which sl.o.v the location of the sites and the chemistry paraineters; the physical liabitat parameters of the stream; and the species encountered and additional relevant information. 1/27/2014 Page E. 7 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E - Environmental Report Table 1. Mean stream physical 'habitat parameters measured at four sites in the Watauga River, Watauga County, northwestern North Carolina during summer 2013 surveys. Sites are arranged from down to upstream (US Highway 194) of the dam. Downstream Dam Roming US Highway from Dam Tailrace Road 194 Depth (m) 0.478 0.714 0.655 0.422 Flow (m/s) 0.395 0.504 0.447 0.448 X Particle Rominger US Highway from Dam (m m) 246 465 79 116 Gravel 59.7 70.6 65. 70.7 Sand 16.3 13.4 15.5 21.7 Wood 0.6 1.6 0.8 1.7 Bedrock 5.6 13.4 11.2 2.7 Org 17.8 0.3 7.2 2.3 Silt <0.1 0.6 0.3 <0.7 Clay <0.1 <0.1 <0 <0.3 Table 2. Location and stream water chemistry parameters measured at four sites in the Watauga River, Watauga County, northwestern North Carolina during summer 2013 surveys. Sites are arranged from down to upstream (US Highway 194) of the dam. Downstream Dam Rominger US Highway from Dam Tailrace Road 194 Latitude 36.24732 36.24195 36.23870 36.21654 Longitude -81.83097 -81.83106 -81.82350 -81.78379 DO ( saturation) 94.2 94.6 99.5 101.0 DO (mg/L) 9.06 8.90 9.35 9.61 pH 8.22 7.68 8.21 8.01 Water Temp (OC) 1 17.7 17.6 18.5 17.7 Air Temp (OC:) 16.7 16.7 16.7 16.7 Specific Conductance 77.2 '3.€3 58.8 57.1 Conductivity h.ls/cm) I 66.3 6 3. 3 51.5 49.1 Salinity (0) 1 0.04 0.03 0.03 0.03 1/27/2014 Page E. 8 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E— Environmental Report 'fable 3. Species encountered and their abundance as well as total abundance, species richness, Shannon's and Simpson's diversity indices, and CPUE at each study site. (Excludes data from 31 October 2013 sampling.) Taxa Down stream Mill Reach Rominger Road US Hwy 194 Total Catostomidae (Suckers) Northern hog sucker Hypentillium nigricans 2 3 1 7 13 Blacktail red horse hloxostoma duquesni 1 I 1 Centrarchidae (Sunfishes) Rock bass Ambloplites rupestris 23 19 24 11 77 Redbreast sunfish Lepomis auritus 4 15 7 14 40 Small mouth bass Micropterus dolomieu 4 6 4 2 16 Cyprinidae (Minnows) Central stoneroller Campostoma anomalum 3 3 28 34 Whitetail shiner Cyprinella galactura 4 3 4 15 26 Warpaint shiner Luxilus coccogenis 4 1 5 River chub Nocomis micropogon 5 7 41 3 56 Tennessee shiner Notropis leuciodus 9 9 26 19 63 Creek chub Semotilus atromaculatus 1 1 Ictaluridae (Catfishes) Margined madtom Noturus insignis 24 12 16 12 64 Percidae (Perches) Greenfin darter Etheostoma chlorobranchium 5 7 7 7 26 Tangerine darter Percina auran6ca 1 1 2 Salmonidae (Trout) Rainbow trout Onchorhynchus mykiss 1 2 Brown trout Salmo trutta 1 2 3 Abundance (n) 82 86 138 123 429 Species Richness 11 12 12 14 16 "n_r.. IJP vera.-nvii � n . 04 n '?n 2.LV 4 no 1.,:;,, n 7 2.214- f1 2.30 Simpson (1 -SDI) 0.82 0.88 0.83 0.88 0.88 Effort (sec) 1121 1286 1313 1767 5487 Fish CPUF (n per hr) 2633 240.7 373.4 250.6 281.5 A �' "vTD SCE'`vTC P�IVEP r. 4-c i— :� its the vicinity of the E.3. WILD t"1 i i 1..Crl arc iio at as `vViuitii, i project area which have been included in, or have been designated for study for inclusion in, the National Wild and Scenic Rivers System. however, Watauga River is in an inventory as a potential wild and scenic river. E.3.5) WILDERNESS ACT: There are no areas within the project area, that under the Wilderness Act, have been (i ) designated as wilderness area; (ii) recommended for designation as wilderness area; or (iii) designated as wilderness study area. 1/27/2014 Page E. 9 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E — Environmental Report E.3.6) THREATENED OR ENDANGERED SPECIES: According to the Gangloff study, and prior U.S. Fish and Wildlife Service information, there are no listed threatened or endangered species in the project vicinity. The US Fish and Wildlife Service information indicates that the hellbender salamander and the green floater muscle are both considered Federal Species of Concern. None of these species were found in the recent studies. E.3.7) RECREATION: The primary recreational pursuits in the immediate vicinity or the project include fishing, hunting, canoeing, and rafting. While the Impoundment at Ward Mill Dam is less than 5 acres, it is a suitable site for each of these pursuits. The primary focus has been on the maintenance of the natural habitat and undeveloped character if the area. The river is accessible from the Old Watauga River Road, which runs along the south side. There are many sites along the road where fishermen and boaters can get suitable access to the water. Some recreational users will access the impoundment and paddle or fish within the reservoir. For boaters that are traveling along the river, there is a cleared takeout for boat portage approximately 150 feet above the dam with a return to the river along a path below the dam. E.4) EXPECTED ENVIRONMENTAL IMPACTS AND MITIGATION MEASURES EA. 1) EXPECTED ENVIRONMENTAL IMPACTS No construction, rehabilitation, alteration or repair of any site facilities is expected, including the hydroelectric equipment, the dam, the intake structure, the powerhouse, distribution lines and interconnections, or any other project feature. Thus, there will be no dredging and filling and no disturbance of water flow or wetlands in the vicinity of the project. Electrical or mechanical power has been generated at the site periodically since the late 1800s, as indicated in the historical description. Because no alterations or disturbances of any kind are proposed at -the site, it is anticipated that any cultural or historical resources which might be present would not be impacted. The hydroelectric facilities of the site release water at the toe of the dam. As a consequence, no downstream reach of the river is bypassed by any of the river's flow. The project has in the past, and would continue to be operated in a run -of -river mode. Further, the hydroelectric facility has an automatic cut off system which shuts the facility off when the water level of the slam's impoundment falls below the crest of the dam. When river flow is low, this prevents flow disturbances do :vmtream of the darn The operation of the project has had a positive impact on the socioeconomic development of the region through the production of sawed lumber and ground grain in the past, and the production of power and now Renewable Energy Certificates from the power generation today. While the volume of power and RECs is small compared to the total generation in North Carolina, we believe that the need for renewable energy must come from a variety of diverse sources, and this project plays a roll in meeting these socioeconomic goals. 1/27/2014 Page E. 10 Cardinal Energy Service, Inc 1112 Ward Mill Dam License Application DRAFT FERC Project # 9842 Exhibit E — Environmental Report There is no known critical habitat, or endangered or threatened species in the area. No known recreational resources would be impacted. The project should not affect the fishery resources, including trout, in the immediate vicinity of the project or in the river basin. It appears that the significant water quality issues, including water temperature. carbon dioxide levels, sedimentation, alkalinity, and dissolved oxygen, arise from the more extensive farming in the reach of the Watauga near the site, and that, relatively speaking, the hydroelectric facilities at the Ward Mill Dam would have little impact on water quality. E.4.2) US Fish & Wildlife Study - The US Fish & Wildlife Service, in conjunction with the NC Wildlife Resources Commission and the NC Division of Water. Quality, monitored the operation of the project over a period of months in 2011, 2012, and 2013. This was done during periods of routine operation, and during operational tests to determine the impact of the operation. The results of this study are in the report titled Ward Mill Dam Hydropower Project - Run of River Operation`, completed in November 2013. The Discussion section stated the following; Discussion. Based on the results of our study of the run -of -river operation of the Ward _Mill Project, the Project should be operated in run -of -river mode. Although we measured differences in dissolved oxygen and temperature during drawdown and refill, these differences were slight, and temporary. Extra caution should be used when operating the Project when the USGS gage reads less than 60 cfs in order to avoid drawdown of the pond and to protect tailwater resources from dewatering. Refill following maintenance or emergency drawdown should be done when inflows are greater than 60 cfs. The applicant previously installed appropriate controls to terminate the generation during low flow periods, and has operated the project as a run -of -river project as required under Article 401 of the existing license. The subsequent license is requested with the same operating provisions. E,S., NST_TI_TATION WITH FEDERAL, STATE, -CAI: AGENCIES, AND OT 4ER INTERESTED PARTIES. E.5.1 The applicant has maintained contact with Federal, State, and local government agencies and well as other interested parties throughout the licensing process. In the Phase 1 consultation, information, including the PAD and the reference documents were sent to over 31 agencies, organizations, and individuals. Substantive comrments were received from 8 recipients. This was followed by a pubiic meeting and a site visit on December 8, 2011. Lased on the comments received and subsequent consultation with the interested agencies, the applicant undertook the studies discussed above. Table 4 below shows the Phase 1 contact list. 1/27/2014 Page E. 11 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E — Environmental Report Ward Mill Relicensing FERC Project # 9842 Contacts and Consultation List — Phase 1 Organization Contact Address US Army Corps of Engineers Mr. George Piner 69 Darlington Ave. Wilmington Office 910-251-4762 Wilmington NC 28403 Geon e.A.Piner usace.arm .mil US Army Corps of Engineers Mr. John Ferguson Room l OM 15, 60 Forsyth St S W South Atlantic Division I 404-562-5111 Atlanta Ga. 30335-6801 'ohn.d.fer uson usace.arm .mil Federal Energy Regulatory Mr. Randy Pool 3700 Crestwood Pkwy NW Suite Commission 678-245-3079 950 Atlanta Office Duluth GA 30096-7155 randal.poolkferc. gov Washington Office Michael Spencer 202-502-6093 Michaels encerferc. ov US EPA — Water Protection Div Mr. James Giattina 61 Forsyth St. SW 404-562-9345 Atlanta GA 30303-3104 G iattina. j im(2epa.gov Ms Wanda Hudson hudson.wanda e a. ov EPA — Lisa Perras Gordon, Atlanta, Georgia Water Quality Planning Branch, Environmental Scientist Gordon. lisa-perraskepamail.epa.gov Water Protection Division 404-562-9317 US Dept of Interior Mr. Shawn Alam Office of the Secretary, MS 2462 -MIB Office of Environmental Policy 202-208-5465 1849 C Street NW and Compliance Washington DC 20240 Shawn alan ios.doi. ov US Fish and Wildlife Service Mr. Mark Cantrell 160 Zillicoa St. Asheville NC Office 828-258-3939 Asheville NC 28801 (m) 828-2105-1739 Mark A Cantrell fws. ov US Fish and Wildlife Service Mr. Jerry Ziewitz 2639 N Monroe St Southeastern Office 850-553-3646 Tallahassee FL 32303 Added 9/15/11 Jera ziewitz fws. ov National Park Service Mr. Jeff Duncan 175 Hamm Rd. Suite C ! 423-987-6127 I Chattanooga TN 37405 Jeff Duncan n s. ov National Forest Service Ms. Julie Moore National Forest Service Asheville NC Office 828-257-4859 160 Zillicoa St. Asheville NC 28801 iulie moore fs.fed.us North Carolina Environmental Ms Shelia Green I NC Dept of Administration Clearinghouse 9J9-80-/-2425 1301 Mail Service Center j Raleigh N`TC 27699.1301 ! __ NC Wildlife Resources I -Mr. Christopher Goudreai. state. clearinahouse&doa.nc.gov _ NC Wildlife Resources Commission_ Commission , 828-652-4360 645 Fish Hatchery Road Marion NC 27652 chris.ggudreau[&_ncwildlife.org NC Dept of Cultural Resources Ms. Renee Gledhill -Earley NC Historic Preservation Office 919-807-6583 4617 Mail Service Center Raleigh NC 27699-4617 renee. ledhill-earle ncdcr.gov 1/27/2014 Page E. 12 Cardinal Energy Service, Inc 1112 Ward Mill Dam FERC Project # 9842 License Application DRAFT Exhibit E - Environmental Report The draft of .-Ahis application has been sent to the list_ to the above agencies, organizations and individuals, as well as any others that have expressed interest. The Phase 2 contact list and any responses and cotr�rnents concerning the application will1 be included with the license application made to FERC. 1/27/2014 Page E. 13 Cardinal Energy Service, Inc ' 1112 NC DENR Ian McMillian 2321 Crabtree Blvd. Suite 250 Division of Water Quality Raleigh NC 27604 Mr. John Dorney Ian. mcmillanp_ncdenr.gov 919-733-9646 john.dorney ncdenngov Ms. Cyndi Karoly cyndi.kamly awncmail.net 919-806-6380 NC DENR Mr. Jim Mead 1611 Mail Service Center Division of Water Resources 919- 715-5428 Raleigh NC 27699 - 1611 ncdenr. 'im.mead ov _ I NC DENR Mr. Fred Tarver �- _ 1611 Mail Service Center Division of Water Resources 919-707-9029 Raleigh NC 27699 - 1611 fred.tarver ncdenr. ov Watauga County Mr. Joseph Furman 331 Queen St. Suite A Dir. of Planning and Boone NC 28607 Inspections ioe.furmangwat og v org 828 265-8043 Town of Boone Mr. Rick Miller 567 West King St. Utility Director Boone NC 28607 Rick.miIler townofboone.net High Country Council of Mr. Rick Herndon PO Box 1820 Governments Boone, NC 28607 rhemdon re iond.or Blue Ridge Electric Membership Mr. Lee Layton PO Box 112 Corporation 828-759-8939 Lenoir NC 28645-0112 Ilavton bluerid eemc.com Watauga River Keeper Ms. Donna Lisenby 19i Howard St Appalachian Voices Ms. Erin Savage Boone NC 28607 828-2621503 donna(&,qpgyqigeLs.or Trout Unlimited - Mr. Michael "Squeak" PO Box 1612 NC Representative Smith Morganton NC 28680 828-584-2848 s ueaksmith earthlink.net American Whitewater Kevin Colburn PO Box 1540 Mark Singleton Cullowhee NC 28723 Kevin(aamericanwh itewater.org Mark americanwhitewater.or • American Rivers Mr. Peter Raabe 331 IN'. Naa_n St. Durham NC 27701 raabe americanrivers.or Appalachian State University Mr. Joe Carter carterjrAgppstate.edu Dr. Dennis Scaniin scanlindmkgppstate.edu 8 ' 8-262-6361 The draft of .-Ahis application has been sent to the list_ to the above agencies, organizations and individuals, as well as any others that have expressed interest. The Phase 2 contact list and any responses and cotr�rnents concerning the application will1 be included with the license application made to FERC. 1/27/2014 Page E. 13 Cardinal Energy Service, Inc ' 1112 Ward Mill Dam FERC Project # 9842 Exhibit r General Drawings DRAFT Application Exhibit F — General Drawings The drawings of the dam, powerhouse, and equipment are the most complete as -built drawings of the Ward Mill Dam facilities. These facilities were built, and the equipment was installed by, or under the direction of the Applicant, Mr. Ray Ward. No other drawings of these facilities exist. These are the drawings that were provided to the Commission with the 1986 license and when the trash racks were added following the issuance of the license. The Applicant requests a waiver of any requirement for more detailed drawings on the grounds that it would be burdensome to produce these drawings, and it would serve no useful purpose. Further, the Applicant requests that the Commission accept these drawings on the 8%2" x 11" format included in the following Exhibit F. The following drawings are included: 1/27/2014 Page F 1 Cardinal Energy Service, Inc. 1112 Drawiniz Name Pam 1. Plan View of Ward Mill Dam F 2 2. Elevation View of Ward Mill Dam F 3 3. Profile View of Ward Mill Dam F 4 4. Section View of Ward Mill Dam F 5 5. Section View of Powerhouse and Equipment F 6 6. Plan View of Gate Area and Trash Racks F 7 7. Trash Rack - View of Section A F 8 8. Trash Rack — View of Section B F 9 9. Trash Rack — View of Section C F 10 10. Trash Rack — View of Section D F I 1 1/27/2014 Page F 1 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 DRAFT Application Exhibit F — General Drawings Diagram 1 W G Q 1/27/2014 Page F 2 Cardinal Energy Service, Inc. 1112 LU <; F i Q = _ w r�F- �F— Z S Ziz°r`� ZLjLu W C)'`OC ¢ Y CO F— �IIM,`x'`c,¢;QQ i�iN1�1�t in�9 DRAFT Application Exhibit F — General Drawings Diagram 1 W G Q 1/27/2014 Page F 2 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 DRAFT Application Exhibit F —General Dra�%ings <C W IY V) z Y Q LL L:) LU �S w to LU -.d ;..1 Ll 1/27/2014 Page F 3 Cardinal Energy Service, Inc. 1112 Ward Mill Dam DRAFT Application - FERC Project # 9842 Exhibit F— General Drawings 1/27/2014 Page F 4 Cardinal Energy Service, Inc. 1112 I S LEJ LOP Lu Lu I f r f !I � Mz- "" ED r ^--.. Lam[, < LU LO > 4 1/27/2014 Page F 4 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 W 6.1 V1 v z ='4- wW 3CL DRAFT Application Exhibit F — General Drawings 1/27/2014 Page F 5 Cardinal Energy Service, Inc. 1112 Lei z CO of a < 0 � w< Q t=ip Z L/) (6 S2Z LAJ LLS � Q Lu 4 LL Q 3 0 Q aO F W =C3Yao y3 w1�-=31—Mzri DRAFT Application Exhibit F — General Drawings 1/27/2014 Page F 5 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 R2:- DO —!•y DRAFT Application, Exhibit F — General Drawings REINFORCED CONCRETE' ANL> SToluF i flILWAU-R,, �k , 2 S 52 SECTION Vi F W - DA M- S -C A i- L „ z 4' 0' r 1112 Ward Mill Dam FERC Project # 9842 L L C DRAFT Application Exhibit F — General Drawings 1/27/2014 Page F 7 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 DRAFT Application Exhibit F - General Drawings Peir-Forced ConcrefQ /- Yq bars 14 ( celiQr-s 36 i I _ @ose Rock fJv4h' c I I � 83 Y, w U no 6s �rLtc+e of )?cack Space = ?.S -4,+e 1/27/2014 Page F 8 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 104 I Y4 n ce"+C'S •Re.into��¢ot ConCr�Te t5as e, 34 4- VI r= w B DRAFT Application Exhibit F — General Drawings To+,,I Uno65tructeW Rack Spc,, = 66f_� 1/27/2014 Page F 9 Cardinal Energy Service, Inc. 1112 Ward Mill Dam DRAFT Application FERC Project # 9842 Exhibit F — General Drawings „ �einiorcec! ConCre+e III IQ`s II 10� A I tease 9' - V1�v� C O+01 Uhokf-fuCted Rack Space = 77-Ff' 1/27/2014 Page F 10 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 1/27/2014 !S9 �Pei,-Fofce� C�.,�fele View D DRAFT Application Exhibit F — General Drawings 'To � 0' I 0n0bsf -VC+ed Pack Space z: 137_rf2 Page F 1 1 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 Exhibit G DRAFT Application' Exhibit G — Maps The Ward Mill Dam and its predecessors have been at the current location on the Watauga River for a period of more than 100 years. This small dam has a total generation capacity of 168 kW and the annual generation of approximately 400,000 kWh. The Applicant requests that the Commission accept the following maps as meeting the requirements of Section 18 CFR, Section 4.61(f), Exhibit G. The Applicant states that they have not made a map specifically of the project and that to make such a map would be burdensome, and not serve any useful purpose. A project map was not required for the license granted in 1986. In addition, the only project facilities are contained in a small footprint at the dam/powerhouse site and there is no federal land within the project area. Map of Ward Mill Dam Project #9842 Source: Watauga Cnnnty GIS The Ward Mill Dam is located on the Watauga River in the western portion of Watauga County, North Carolina. The river flows northwesterly from the Eastern Divide and the slopes of Grandfather Mountain, eventually flowing into the Holston River in the Tennessee. The site is in the community of Sugar Grove, and approximately 10 miles from Boone North Carolina, the county seat of Watauga County. 1/27/2014 Page G I Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 DRAFT Application Exhibit G — Maps State of North Carolina with Watauga highlighted Watauga County, showing the location of the Ward Mill Dam. ® Flood Zane. r_.� Wak.apa RNO, Basin New RNx Basin O Ym&Jn Rivsr Basin Cal—ba Rk— Basin RNe2 d Creeks Primary Roads Bis. Rklpe P.rkwey 1/27`2014 Page G 2 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 Exhibit H Operational Plans DRAFT Application' Exhibit H — Operational Plans PLANT OPERATION: The Ward Mill Dam is a manually operated dam, designed for manual starting and operating, and automatic shutdown. Typically, the operator will inspect the plant daily, and if the water level is sufficient, will turn the plant on, or let it continue to run. In the event that the plant goes off-line due to electrical, mechanical, or being tripped by the low-water cutoff, the plant will remain off-line until the operator determines the plant is ready to operate and the water level is sufficient, and he may manually start the units. In accordance with Article 401 of the existing license, the plant is operated in a run -of -river mode at all times, and is not used for peaking. Water flowing into the reservoir equals water flowing out. The powerhouse is integrated into the dam and the generation flow returns to the riverbed at the toe of the dam. There is no canal or reach. When the flow is sufficient to flow over the dam, the generation flow and the flow over the dam join at the toe of the dam and is the same as the flow entering the reservoir. An automatic cut-off float and switch have been added to the generation to automatically shut off the generation is the water level drops below the level of the top of the dam. This prevents the drawdown of the reservoir during low flow periods, It also means that the fluctuations in the reservoir level are the result of the fluctuations in the river flow. This mode of operation is consistent with the operation considered in the study competed in November, 2013 by the US Fish and Wildlife Service and reviewed by the NC Division of Water Quality and the NC Wildlife Resources Commission. This report is referred to in Exhibit E, at E.4.2, and attached to this Application. In the 25 years of operation of the project since the trash racks were improved in 1987, it has not been necessary to drop the lake level significantly. During that period, there has been no long- term silt build up, and no need to remove sand from the reservoir. It appears that during floods or other periods of high water any sand that may accumulate gets washed past the dam. 1/27/2014 Page H 1 Cardinal Energy Service, Inc. 1112 Ward Mill Dam FERC Project # 9842 Appendices Application DRAFT Appendix A Effects of Ward's Mill Dam on Fishes, Mussels, and Hellbenders in the Watauga River, Watauga County, North Carolina, By Gangloff, Perkins, Holcomb, & Pugh Appendix B Ward Mill Dam Hydropower Project — Ran of River Operation, by Cantrell, Goudreau, & Tarver The Following Documents are included by reference and were filed in this docket August 31, 2011. Watauga River Basinwide Water Quality Plan, January 2007 - Division of Water Quality, NC Dept. of Environment and Natural Resources Baseline Assessment Report Watauga River Basin, April 2005 - Division of Water Quality, NC Dept. of Environment and Natural Resources Classifications and Water Quality Standards Assigned to Waters of the Watauga River Basin, November 1, 2007 - .NC Environmental Management Commission, NC Dept. of Environment and Natural Resources Soil Survey of Watauga County, - Natural Resources Conservation Service, US Dept. of Agriculture 12/15/2013