20080915 Ver 3_More Info Received - Email_20170117

Strickland, Bev
From: Oakley, Mark <[e-mail]>
Sent: Tuesday, January 17, 2017 1:46 PM
To: Higgins, Karen
Subject: RE: Catawba-Wateree 401
Attachments: 080915CatawbaWatereeHydroProject(Multi)_401_IC_DRAFT with Duke Energy review
comments.docx
Karen, thank you very much for the review opportunity. Duke Energy has reviewed internally and I have included
comments and suggested edits in track changes in the attachment. I do not feel our suggestions are disruptive, but may
need some background information. I am available at your convenience to discuss further at your discretion and after
you have had a chance to review our feedback. Thanks again.
From: Higgins, Karen[mailto:[e-mail]]
Sent: Thursday, January 12, 2017 12:13 PM
To: Oakley, Mark
Subject: RE: Catawba-Wateree 401 - Public Notice Payment
Mark -
Thanks for sending this, we've been able to get this deposited into the correct account.
Attached you'll find a draft of the revised 401. You'll see some new conditions that are standard to our
approvals now. If you have any questions or want to discuss anything in the draft 401, please let me know by
COB on Tuesday, January 17.
Thanks -
Karen
Karen Higgins
401 & Buffer Permitting Branch Supervisor
Division of Water Resources
Department of Environmental Quality
919 807-6360 office
karen.higgins(a)ncdenr.gov
512 N. Salisbury Street, Suite 942-E, Raleigh, NC 27604
1617 Mail Service Center, Raleigh, NC 27699-1617
Email correspondence to and from this address is subject to the
North Carolina Public Records Law and may be disclosed to third parties.

From: Oakley, Mark [mailto:[e-mail]]
Sent: Thursday, January 12, 2017 9:50 AM
To: Higgins, Karen <[e-mail]>
Subject: Fwd: Catawba-Wateree 401 - Public Notice Payment
Hi, Karen. I am out -of -office and can't readily check the payment info we provided last time, but is the screen shot below
what you need to track down the destination of the public notice reimbursement payment we recently made?
Also, what status information can you provide regarding the certification application? Thanks.
Sent from my iPhone
Begin forwarded message:
From: "Caps Payment [e-mail]" <[e-mail]>
Date: January 12, 2017 at 9:30:42 AM EST
To: "Walker, Cayce" <[e-mail]>
Cc: "Oakley, Mark" <[e-mail]>
Subject: RE: Catawba-Wateree 401- Public Notice Payment
Below is what we usually send for this request.

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Plwc 704,382-7265
704,382-8747

From: Walker, Cayce
Sent: Thursday, January 12, 2017 9:12 AM
To: Caps Payment [e-mail]
Cc: Oakley, Mark
Subject: FW: Catawba-Wateree 401 - Public Notice Payment
Good morning—
Is there any way you can provide proof of payment (ACH) for the invoice # 010617JCW-LSI?
Please reply to all. Thank you!
D
Cayce Walker I Senior Administrative Specialist
Duke Energy I Lake Services
526 S. Church Street I Charlotte, NC 28202 1 E�IEC12Q
2: [phone]
WA Please consider the environment before printing this e-mail.
From: Oakley, Mark
Sent: Wednesday, January 11, 2017 2:45 PM
To: Walker, Cayce
Subject: RE: Catawba-Wateree 401 - Public Notice Payment
Is a screen shot of the actual payment processing available for us to send to NC like we did last time?
From: Oakley, Mark
Sent: Friday, January 06, 2017 12:28 PM
To: Walker, Cayce
Subject: Re: Catawba-Wateree 401 - Public Notice Payment
Directly. Thanks.
Sent from my iPhone
On Jan 6, 2017, at 11:25 AM, Walker, Cayce <[e-mail]> wrote:
Can this go directly to NC DENR, or do you need it to come to you?
<image001.png>
Cayce Walker I Senior Administrative Specialist
Duke Energy I Lake Services
526 S. Church Street I Charlotte, NC 28202 1 < rnage003.png> EC12Q
2: [phone]

A Please consider the environment before printing this e-mail.
From: Oakley, Mark
Sent: Wednesday, January 04, 2017 10:39 AM
To: Walker, Cayce
Subject: FW: Catawba-Wateree 401 - Public Notice Payment
Cayce, will you please process the attached payment request from NC. It should be
identical information to the last one we did to pay the processing fee to the state. As
before, they have requested a screen shot of the completed payment so they can then
internally direct it to the appropriate account. Charge to CFCWRELC/INSTALL. Thanks.
From: Higgins, Karen[mai Ito: karen.higgins(a)ncdenr.Qov]
Sent: Wednesday, January 04, 2017 9:33 AM
To: Oakley, Mark
Subject: Catawba-Wateree 401 - Public Notice Payment
*** Exercise caution. This is an EXTERNAL
email. DO NOT open attachments or click links
from unknown senders or unexpected email. ***
Mark -
I wanted to follow up with you re payment for the public notice. When we spoke
last month, you had not received our payment request. I've attached a copy to
this email, and here's a link to all the affidavits of publication. We received one
comment, which can be found at this link. If you could please send me a screen
shot like you did last time when payment is made, that would be much
appreciated.
Once we receive payment for the public notice, I should be able to send you the
draft 401 for review.
Thanks -
Karen
Karen Higgins
401 & Buffer Permitting Branch Supervisor
Division of Water Resources
Department of Environmental Quality
919 807-6360 office
karen.higgins(a)ncdenr.gov
512 N. Salisbury Street, Suite 942-E, Raleigh, NC 27604
1617 Mail Service Center, Raleigh, NC 27699-1617
<image004.png>
5

Email correspondence to and from this address is subject to the
North Carolina Public Records Law and may be disclosed to third parties.

ROY COOPER
NSM D �� U � Governor
WILLIAM G. ROSS, JR.
Environmental Acting secretary
Quality
January XX, 2017
DWR # 08-0915 v3
Alexander, Burke, Caldwell, Catawba, Gaston, Iredell,
Lincoln, McDowell and Mecklenburg Counties
Duke Energy Carolinas, LLC
Water Strategy, Hydro Licensing and Lake Services
Attn: Mr. Mark Oakley
526 S. Church Street / EC12Y
Charlotte, NC 28202
Subject: Approval of Individual 401 Water Quality Certification with Additional Conditions -
Modification
Catawba-Wateree Hydropower Project – FERC Project No. 2232
Dear Mr. Oakley:
Attached hereto is a copy of Certification No. 767 issued to Duke Energy Carolinas, LLC, dated
January XX, 2017. This Certification replaces the Certification issued on November 14, 2008.
Please note that you should get any other federal, state or local permits before proceeding with
the subject project, including those required by (but not limited to) Solid Waste, Sediment and
Erosion Control, Stormwater, Dam Safety, Non -discharge, and Water Supply Watershed
regulations.
This approval and its conditions are final and binding unless contested. This Certification can be
contested as provided in Articles 3 and 4 of General Statute 150B by filing a written petition for
an administrative hearing to the Office of Administrative Hearings (hereby known as OAH)
within sixty (60) calendar days.
A petition form may be obtained from the OAH at http://www.ncoah.com/ or by calling the
OAH Clerk's Office at [phone] for information. A petition is considered filed when the
original and one (1) copy along with any applicable OAH filing fee is received in the OAH during
normal office hours (Monday through Friday between 8:00am and 5:00pm, excluding official
state holidays).
The petition may be faxed to the OAH at [phone], provided the original and one copy of
the petition along with any applicable OAH filing fee is received by the OAH within five (5)
business days following the faxed transmission.
—Nothing Compares
State of North Carolina I Environmental Quality I Water Resources
1617 Mail Service Center I Raleigh. North Carolina 2 7 699-161 7
919-707-9000

Catawba-Wateree Hydropower Project
D(� /1 DWRcation 1567
�(J^U1[/r(-�`\j Individual Certification #3767
Page 2 of 6
Mailing address for the OAH:
Ifsending via Us Postal service: If sending via delivery service (UPS, FedEx,
eke tc.
Office of Administrative Hearings Office of Administrative Hearings
6714 Mail Service Center 1711 New Hope Church Road
Raleigh, NC 27699-6714 Raleigh, NC 27609-6285
One (1) copy of the petition must also be served to Department of Environmental Quality:
Sam M. Hayes, General Counsel
Department of Environmental Quality
1601 Mail Service Center
Raleigh, NC 27699-1601
Unless such a petition is filed, this Certification shall be final and bindi
This certification completes the review of the Division under section 401 of the Clean Water Act
and 15A NCAC 02H .0500. Contact me at 919-807-6360 or [e-mail] if you
have any questions or concerns.
cc:
pervisor
nitting Branch
ion, 888 First Street NE,
Fred Tardier, DWR — Basin Planning Branch (via email)
Corey Basinger, DWR Mooresville Regional Office (via email)
Kevin Barnett, DWR Asheville Regional Office (via email)
Chris Goudreau, North Carolina Wildlife Resources Commission (via email)
File Copy (Laserfiche)
Fi I ena me: 080915Catawba W atereeHyd roProject(M u Iti )_401_IC_M od. docx

Catawba-Wateree Hydropower Project
D (� /1 FU DWR# tion H3 v3
��J^U1[/r(�`\j Individual Certification #3767
Page 3 of 6
NORTH CAROLINA 401 WATER QUALITY CERTIFICATION
CERTIFICATION #3767 is issued in conformity with the requirements of Section 401, Public Laws
92-500 and 95-217 of the United States and subject to North Carolina's Regulations in 15 NCAC
02H .0500, to Duke Energy Carolinas, LLC, to continue operation of hydropower dams at
Bridgewater Development, Rhodhiss Development, Oxford Development, Lookout Shoals
Development, Cowans Ford Development, Mountain Island Development and Wylie
Development, as described within your application received by the N.C. Division of Water
Resources (Division) on September 12, 2016, with additional information received September 19,
2016, October 27, 2016 and January 12, 2017, and by Public Notice issued on November 13, 14,
16, and 18, 2016.
The State of North Carolina certifies that this activity will not violate the applicable portions of
Sections 301, 302, 303, 306, 307 of the Public Laws 92-500 and PL 95-217 if conducted in
accordance with the application, the supporting documentation, and conditions hereinafter set
forth.
This approval requires you to folio conditions listed in the certification b
Conditions of Certification:
1. No waste, spoil, solids, or fill of any kind shall -occur in wetla r waters -beyond -the _ _ _ _ , - Formatted: Not Highlight
footprint of the impacts (including temporary an r incl to impacts) depicted in the
application. No removal of vegetation or other impacts o y kind shall occur to state
regulated riparian buffers beyond the footprint of impacts approved in a Buffer
Authorition or Variance or as listed as an exe t activity in the applicable riparian buffer
rules.
2. All activities shall be in compliance with any applicable State Regulated Riparian Buffer
Rules in Chapter 02 of Title 15A.
3. Sediment and erosion control measures shall not be placed in wetlands or waters.
Exceptions to this condition require application submittal to and written approval by the
Division. If placement of sediment and erosion control devices in wetlands and waters is
unavoidable, then design and placement of temporary erosion control measures shall not
be conducted in a manner that may result in dis-equilibrium of wetlands, stream beds, or
banks, adjacent to or upstream and downstream of the above structures. All sediment and
erosion control devices shall be removed and the natural grade restored within two (2)
months of the date that the Division of Energy, Mineral and Land Resources (DEMLR) or
locally delegated program has released the specific area within the project.
4. The Applicant shall identify and report in writing existing and proposed consumptive water
uses to the Division. The Applicant shall report the existing or projected (as appropriate)

Catawba-Wateree Hydropower Project
D (� /1 FU DWR# tion H3 67
MD FU
Individual Certification #3767
Page 4 of 6
average consumptive water withdrawal and maximum capacity for each withdrawal. �he
applicant shall report existing consumptive water uses to the Division within 60 calendar
days of the acceptance of the License and shall report proposed new or expanded , - Commented [EM01]: This has been completed following
consumptive water uses to the Division within 30 calendar days of receiving a request for I issuance of license 11/25/15.
the proposed new or expanded withdrawal and before submitting any requests to FERC.
5. This Certification neither grants nor affirms any property right, license, or privilege in any
waters, or any right of use in any waters. This Certification does not authorize any person
to interfere with the riparian rights, littoral rights, or water use rights of any other person
and this Certification does not create any prescriptive right or any right of priority regarding
any usage of water. This Certification shall not be interposed as a defense in any action
respecting the determination of riparian or littoral rights or other rights to water use. No
consumptive user is deemed by virtue of this Certification to possess any prescriptive or
other right of priority with respect to any other consumptive user regardless of the quantity
of the withdrawal orthe date on which the withdrawal was initiated or expanded. This
Certification is issued with the express understanding of DEQ that pursuant to the Federal
Power Act Section 27, 16 U.S.C. § 821, the License does not establish or determine a
proprietary right to any use of wfter. It establishes the nature of the use to which a
proprietary right may be put under the Federal Power Act.
6. Duke Energy Carolinas, LLC shall conduct its activities in a manner consistent with State
water quality standards) (including any requirements resulting from compliance with section ,
- Commented[EM02]: The State water quality standards 1
303(d) of the Clean Water Act) and any other appropriate r quirements of State and
applicable to this certification are dissolved oxygen (I
Federal law. if the Division determines that such standards or laws are not being met
and temperature in project discharges. J
(including the failure to sustain a designated or achieved use) br that State or federal law is ,
- Commented[EMOs]:The applicability ofthe failure to
being violated, or that further conditions are necessary to assure compliance, the Division
meet state standard or to sustain a designated or
may reevaluate and this Certification. Beforemodi In the Certification, the
y y modifying
lure is
achievedletoDukeEnergyuse to Duke yiotcomps when uingwich a thcon
attributable to Duke Energy not complying with conditions
Division shall notify Duke Energy Carolinas, LLC and the Federal Energy Regulatory
of the subject certification.
Commission (FERC), provide public notice in accordance with 15A NCAC 02H .0503 and
8. �he Catawba-Wateree CRA is hereby incorporated into this Certification by reference. If
provide opportunity for public hearing in accordance with 15A NCAC 02H .0504. Any new
Comprehensive Relicensing Agreement (CRA, as
referenced in this condition), which is reiterated in
or revised conditions shall be provided to Duke Energy Carolinas, LLC in writing, shall be
provided to FERC for reference in any Permit or License issued by that agency, and shall also
become conditions of the FERC License for the project.
7. compensatory mitigation shall be completed as outlined in the Catawba-Wateree
Comprehensive Relicensing Agreement, Rev. 1, dated December 22, 2006, modified by
Revision 2, effective August 6, 2016 (hereby known as the CRA), Subsection 4.5 and as
outlined below. �he Division shall be copied on the property transfer, lease, and any
, -
Commented[EM04]: The compensatory mitigation
related conservation easements for the property outlined in the CRA.
referenced in this condition relevant to NC is that
mitigation defined in Sections 4.5 of the Catawba-Wateree
8. �he Catawba-Wateree CRA is hereby incorporated into this Certification by reference. If
Comprehensive Relicensing Agreement (CRA, as
referenced in this condition), which is reiterated in
Duke Energy Carolinas, LLC believes that any items of the CRA are not pertinent to water
Condition 8. Section 4.6 applies to South Carolina.

Catawba-Wateree Hydropower Project
D (� /1 FU DWRcation 1567
�[J^U1[/r(�`\j Individual Certification #3767
Page 5 of 6
quality, then they shall so notify the Division in writing for the Division's written
concurrence.
- -
Commented [EM05]: The CRA covers a wide range of
operating and resource topics and parties, some of which
In articular, the following sections of the CRA are hereby incorporated b reference into
p p
are tments
nothave
g y y
NC,are
Duke Energy, are not relevant to NC, or have already been
Duke E ergy, are notwaterrelevant already been
this Certification —
completed.. The water quality certification should be
based only on the applicable sections of the CRA as listed
a. 2.0 Reservoir Elevation Agreements (excluding subsection 2.2)
in items a. through m. below as edited by Duke Energy to
show subsections currently applicable to North Carolina.
b. 4.0 Habitat Flow Agreements (excluding subsections 4.4, 4.6, 4.8, and 4.91
c qPF**a ; 4 5 and A. 69 ^F'"^ G�^, regarding compenory mitigation
d. 6.0 Low Inflow Protocol Agreements (excluding subse tion 6.6)
e. 7.0 Maintenance and Emergency Protocol Agreements
f. 13.0 Water Quality Agreements
g. 15.0 Gauging and Monitoring Agreements, Sections 15.1 through 15.5
h. Appendix A: Proposed License Articles Sections A-1.0, A-3.0, A-4.0, A-5.0 and A-6.0
i. Appendix A: Proposed License Articles Section A-2.0 for Minimum Flows, Wylie High
Inflow Protocol, Flows Supporting Public Water Supply and Industrial Processes, and
Flow and Water Quality Implementation Plan.
j. Appendix C: Low Inflow Protocol (LIP) for the Catawba-Wateree Project
k. Appendix D: Maintenance and Emergency Protocol (MEP) for the Catawba-Wateree
Project
aa_Appendix F: Water Quality Monitoring Plan t- - - Formatted: Indent: Left: 0.5"
Vim. Appendi and Water Quality Implementation Plan
As noted above, r sections of the CRA are a so incorp ted unless Duke Energy
Carolinas, LLC noti I e Division that they are not pertinent and the Division concurs in
writing.
9. The Division shall e notified in writing within five (5) days bf any deviations to the CRA , -
proposed flow rates and lake level fluctuations. Decreased flow shall be restored as soon as
practical to the written satisfaction of the Division.
10. This approval is for the purpose and design described in your application and as described in
the Public Notice. The plans and specifications for this project are incorporated by reference
and are an enforceable part of the Certification. If you change your project, you must notify
the Division and you may be required to submit a new application package with the
appropriate fee. If the property or project is sold or transferred, the new Licensee must be
given a copy of this Certification and is responsible for complying with all conditions. Any new
Licensee must notify the Division and request the Certification be issued in their name.
Commented [EM06]: The new license contains a
combination of 5 day and 10 day notoifcation requirements.
Typical language for reservoir level and continuous flows is:
"The Licensee mustnotify the Commission, the resource
agencies and other interested parties ofsuch temporary
modifications in accordance with the Low Inflow Protocol or
the Maintenance and Emergency Protocol, or within 10 days
ofany unplanned event, whichever is earlier. "Our
interpretation is an "unplanned event" is one not covered
by either the LIP or MEP. Duke Energy respectfully requests
NCDEQadopt the same language as the new license to
enhance consistency of compliance with all requirements
and conditions.
- Formatted: Not Highlight
11. All mechanized equipment operated near surface waters should be inspected and
maintained regularly to prevent contamination of waters from fuels, lubricants, hydraulic
fluids or other potential toxic chemicals.

Catawba-Wateree Hydropower Project
D (D /1 (�� DWR# H3
Individual Certificati tion on #376767
Page 6 of 6
12. In accordance with 143-215.85(b), the applicant shall report any petroleum spill of 25
gallons or more; any spill regardless of amount that causes a sheen on surface waters; any
petroleum spill regardless of amount occurring within 100 feet of surface waters; and any
petroleum spill less than 25 gallons that cannot be cleaned up within 24 hours.
13. If an environmental document is required under the State Environmental Policy Act (SEPA),
then this General Certification is not valid until a Finding of No Significant Impact (FONSI) or
Record of Decision (ROD) is issued by the State Clearinghouse. If an environmental
document is required under the National Environmental Policy Act (NEPA), then this
General Certification is notvalid until the Final Environmental Assessment or Environmental
Impact Statement is published by the lead agency.
14. This Certification does not relieve the applicant of the responsibility to obtain all other
required Federal, State, or Local approvals.
, ,
- Formatted: Highlight
_ _
15. �he applicant/licensee and their authorized agents shall conduct all activities in a manner
consistent with State water quality standards (including any requirements resulting from
compliance with §303(d) of the Clean Water Act), and any other appropriate requirements
of State and Federal Law. If the Division determines that such standards or laws are not
being met, including failure to sustain a designated or achieved use, or that State or Federal
law is being violated, or that further conditions are necessary to assure compliance, then
the Division may reevaluate and modify this Water Quality Certification.[ ,
-
commented [EM07]: This content is duplicated in the
`
first half of Condition 6.
16. This certification grants permission to the Director of the Division, or an authorized
- Formatted: Highlight
representative of the Director, upon the presentation of proper credentials, to enter the
property during normal business hours, with such entry implemented in a manner_ ,
- Formatted: Not Highlight
commensurate with the Licensee's established safety and security practices.:
This approval to proceed with your pr osed impacts or to conduct impacts to waters as
depicted in your application shall( )i on expiration of the FERC License.
Non-compliance with orviolati4of the conditions herein setforth may result in revocation of
this Certification and ma also result in criminal and/or civil penalties.
This the xx day of January, 2017
Karen Higgins, Supervisor
401 & Buffer Permitting Branch
3767