20150759 Ver 1_Application for Surrender of License_20170522

Strickland, Bev
From:
Andrew Givens <[e-mail]>
Sent:
Monday, May 22, 2017 10:19 AM
To:
[e-mail]; [e-mail]; [e-mail];
[e-mail]; State Clearinghouse; Goudreau, Chris J.; Gledhill-earley, Renee;
Mcmillan, Ian; Burdette, Jennifer a; Higgins, Karen; Tarver, Fred;
[e-mail]; [e-mail]; [e-mail];
[e-mail]; [e-mail]; [e-mail];
[e-mail]; [e-mail];
[e-mail]; [e-mail]; [e-mail];
[e-mail]
Cc:
[e-mail]
Subject:
Application to Surrender the license for the Ward Mill Dam
Attachments:
Application for Surrender of License .pdf
Good Morning,
Today, on behalf of Mr. Ray Ward, I filed the Application for the Surrender of the License of the Ward Mill Dam
hydroelectric project. A copy of the application is attached.
Due in part to requirements of the subsequent license issued by FERC in February, 2017, and operational concerns, Mr.
Ward expects to cease operation of the project this summer and requests that FERC issue an order to that effect by
September 1, 2017. With the termination of the generation and the surrender of the license, the river will remain a run -
of -river stream, the environment will remain as it has, and the features such the canoe portage route will remain in
place.
If you have any questions regarding this matter, please contact me so that we can discuss the application.
Thanks,
Andy Givens
919-605-6125

Ward Mill Dam APPLICATION FOR SURRENDER OF A HYDRO LICENSE
FERC Project # 9842
FEDERAL ENERGY REGULATORY COMMISSION
APPLICATION FOR SURRENDER OF A LICENSE
FOR A MINOR WATER POWER PROJECT
Ward Mill Dam — Project #9842
Initial Statement
1. This is the application of Mr. Ray F. Ward to the Federal Energy Regulatory
Commission for the surrender of a license for the Ward Mill Dam Project # 9842-000, as
described herein.
2. The location of the project is:
State:
County:
Nearby Town:
Stream:
North Carolina
Watauga
Boone NC
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
[phone]
4. The exact name, address, and telephone number of each person authorized to act as
agent for the applicant:
Andrew C. Givens
2308 Wheeler Rd.
Raleigh, North Carolina 27612
919-605-6125
ac ig vensA,cardinalenergy.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. CONSULTATION WITH AGENCIES — The applicant consulted with the federal
state, and local agencies as well as other interested parties throughout the licensing application
process 2011 through 2016. Early in 2017 the licensee informally discussed the possibility of
surrendering the license and decommissioning the plant with the primary state agencies that
participated in the licensing process. On or about March 30, the licensee distributed a draft of this
application to these agencies as well as other parties listed on Page 7.
May 19, 2017 Page 1

Ward Mill Dam APPLICATION FOR SURRENDER OF A HYDRO LICENSE
FERC Project # 9842
Recommendations regarding the content of this application were received directly from two
agencies; the Hydropower & Special Projects Coordinator for the NC Wildlife Resources
Commission; and the Basin Planning Branch of the Water Resources Division of the NC
Department of Environmental Quality (DEQ). The recommendations have been incorporated in
this application.
Written comments were received from the Basin Planning Branch of DEQ, (pages A.2 — A.3);
and from the NC State Environmental Review Clearinghouse, (pages A.4 — A.16). The comments
of the Natural Heritage Program of the Department of Natural and Cultural Resources (pages A.9
— A.13) submitted through the clearinghouse lists the Species of Concern that may be in the
project area or within 1 mile. These species were studied in the license process and the
Environmental Assessment conducted by the FERC staff, and none were found to be in the
project area.
The response of May 1, 2017 the State Historic Preservation Office on page A.14 indicates that
they have no comment regarding this application. This is consistent with the comments to the
license application dated October 3, 2011, from that office indicating; "We have conducted a
review of the project and are aware of no historic resources which would be affected by the
project." On this basis, and on reflection of the rather common nature of the equipment involved,
the licensee believes that the plant does not meet the criteria for historic preservation.
We have had other verbal consultation with agencies and interested parties. One party provided
written comments regarding the request, and subsequently requested, in writing, that the comment
be withdrawn from the filing. Those comments are not included here.
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. FERC has determined that the Ward Mill Dam is a low
hazard dam. There are two turbine/generator units at the facility. One unit has a capacity of 75
kW 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 turbines 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. RECENT RELICENSING: In 1986 the licensee received a 30 years license to operate
through August 31, 2016. The licensee prepared and filed the license application in August 2014.
The 1986 license expired on August 31, 2016 without a new license, and on September 7, 2016
FERC issued an annual licensee to continue operating until the new license was issued. The
ORDER ISSUING THE SUBSEQUENT LICENSE was issued on February 2, 2017. By letter of
March 4, 2017, the licensee declined the new license and is now filing to surrender the license
entirely. The declining of the new license was acknowledged by a letter dated March 31, 2017,
from Mr. Steve Hocking, Chief of the Environmental and Project Review Branch.
May 19, 2017 Page 2

Ward Mill Dam APPLICATION FOR SURRENDER OF A HYDRO LICENSE
FERC Project # 9842
During the five year long relicensing process, the licensee conducted the required consultations
with the governmental agencies and other interested parties, and conducted biological and
environmental studies to identify the impact of the current run -of -river operation of the project.
The filed information provides a complete record of the current facilities and the environmental
impact of the project.
On Sept 8, 2016, the licensee received a 401 Water Quality Certificate from the NC Water
Resources Division. The licensee recognizes the need for responsible compliance with the
environmental requirements of the 401 certificate. To a significant extent, the provisions for the
401 certificate relates to the maintenance of the run -of -river status of the dam. With the
decommissioning of the plant, the river will not be controlled, and the flow at the dam will be
run -of -river, as proposed by the agencies.
9. INITIAL STATEMENT REGARDING THE SURRENDER OF THE LICENSE:
The licensee has operated this project for the generation of electricity for over 30 years. In filing
the license application, the licensee had hoped that it would be possible for the operation to be
turned over to a family member who could operate the plant. This has not been the case. Further,
it would not be acceptable to the licensee for the license to be transferred to an unknown operator
because of the close proximity of the project to the licensee's home, and the fact that the
generating facility is integrated with the machine shop and other facilities owned and operated by
the licensee.
In addition, the extra record keeping requirements as well as the additional capital expenses
required by the new license make the continued long term operation economically infeasible. For
these reasons the licensee desires to surrender the existing license, and intends to end the
operation of the project no later than August 31, 2017.
PROJECT DESCRIPTION
1) PROJECT FACILITIES: The August 2014 Application for a Subsequent License includes
comprehensive information regarding the project. The information below may be supplemented
with the information previously provided.
1.1) NUMBER OF GENERATING UNITS: There are two generator units at the facility.
One unit has a capacity of 75 kW and one unit has a capacity of 93 kW for a total installed
capacity of 168 kW. The generators are AC motors that have been converted to serve as induction
generators. The Francis type turbines with 30 inch reaction runners and vertical draft tubes are
connected to the generators via shafts and a belt drive. The turbines were installed in the 1940s to
power the sawmill. The generators and electrical equipment were installed between 1983 and
1986.
1.2) POWERHOUSE: The electric generation is integrated into the licensee's farm
workshop and lumber mill facility. The building is along the south bank of the river and atop the
south end of the dam. The decommissioning of the project would not require any changes to the
workshop building. The power is sold to Blue Ridge EMC. The utility interconnection point and
May 19, 2017 Page 3

Ward Mill Dam APPLICATION FOR SURRENDER OF A HYDRO LICENSE
FERC Project # 9842
the retail point of service to the shop and home are located on the southern wall of the shop
building. It will be necessary for Blue Ridge EMC to make changes to the meter installation, but
the existing distribution system is expected to remain.
1.3) OPERATION: The Ward Mill Dam is a manually operated project which was designed for
manual starting and operating, and automatic shutdown. The plant is operated in a run -of -river mode at all
times, and is not used for peaking. This plant has been operated for 30 years and the annual generation
level has varied from below 290,000 kWh to over 599,000 kWh. The variation is based primarily on the
variation of the annual stream flow.
1.4) 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.
1.5) HYDRAULIC CAPACITY AND FLOW: The maximum 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.
1.6) SIZE AND CONSTRUCTION OF PROJECT: 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
2) DECOMMISSIONING PLAN — The licensee expects to discontinue operation of the
generation on the earlier of September 1, 2017, or the issuance of the order of the Commission
permitting the surrender of the license. With the issuance of the order of the Commission
permitting the surrender of the license, the licensee will carry out the following steps to
decommission the plant:
2.1) Disconnection of the ,generator controls from the utility interconnection point. This
will include the opening of interconnection switches which tie the generation to the retail delivery
point; the removal of the generation breaker(s) from the panel in the vicinity of the
interconnection point; the removal of the control panel adjacent to the generators; and the removal
of wiring connecting the generation to the utility interconnection point. All of this is inside the
powerhouse/workshop building. With the removal of this equipment there can be no power
delivered to the grid. The interconnection will be opened by the earlier of September 1, 2017, or
following the issuance of the order of the Commission granting the surrender of the license. The
licensee will offer the generators, control equipment, and wiring for sale following
decommissioning.
2.2) The removal of both generators from the system. After the generators are
disconnected from wiring and the drive belts will be removed. The equipment will be offered for
May 19, 2017 Page 4

Ward Mill Dam APPLICATION FOR SURRENDER OF A HYDRO LICENSE
FERC Project # 9842
sale following the decommissioning. The generators may remain in place until sold and removed
by the buyer.
2.3) Removal of the turbines. The turbines and related equipment will be offered for sale
or scrapped. The turbines may remain in place until they are sold.
2.4) Building Changes. All anticipated changes will be within the existing shop and
power house, and there will be no changes to the exterior of the existing buildings or structures.
2.5) Interconnection with the Utility. The plant is connected to Blue Ridge Electric
Cooperative at a 220/480v retail delivery point which is at the end of a 14.4kV primary
distribution line on the Cooperative's distribution system. This distribution line and the
secondary facilities that serve the generation plant, also serves the licensee's shop facilities and
the licensee's home. With the termination of the generation, the utility will not have to change
any of the existing distribution facilities, although Blue Ridge EMC may at some point modify
the meter and interconnection facilities.
2.6) Recreation Facilities. The canoe portage and access to the river for fishermen and
others will be maintained as described in the existing license and the recently declined license.
ENVIRONMENTAL MATTERS
3.1) GENERAL:
The licensee filed an Application for a Subsequent License on August 29, 2014, and the
subsequent license was issued February 2, 2017. Due to the circumstances of the licensee, and the
change in the requirements of the license, the licensee declined to accept the license in a letter for
FERC dated March 4, 2017.
In the licensing process, the licensee and participating agencies reviewed the environmental issues
related to the project. Included with the application was the report entitled, Effects of Ward's Mill
Dam on Fishes, Mussels, and Hellbenders in the Watauga River, Watauga County North
Carolina by Dr. Michael M Gangloff, Michael Perkins, Jorden Holcomb, and M. Worth Pugh.
Also included with the application was the report, Ward Mill Dam Hydropower Project, Run of
River Operation by Mark A. Cantrell, US Fish and Wildlife Service; Chris Goudreau, NC
Wildlife Resources Commission: and Fred Tarver, NC Division of Water Resources. These
reports and significant additional environmental information is included in this docket in the
license application filings, and a portion of the information is included below. The information in
Exhibit E of the license application is relevant to this filing, to the extent applicable.
Under the original 1986 license, the project has been operated as a run -of -river project, with the
project outflow matching the project inflow. With this operating procedure, when the inflow is
insufficient to flow over the dam while operating, the generators are shut off and the flow over
and past the dam is the same as the inflow. This requirement remains in place under the annual
authorization of September 7, 2016.
May 19, 2017 Page 5

Ward Mill Dam APPLICATION FOR SURRENDER OF A HYDRO LICENSE
FERC Project # 9842
With the surrendering of the license, there will no generation and no control of the flow of the
river. Thus, the site will remain run of river. The environmental impact of the dam will be
essentially the same as under the terms of the current annual license. With the surrender of the
FERC license, the licensee will submit the necessary information to the Dam Safety Program of
NC Department of Environmental Quality — Division of Energy Materials, and Land Resources to
determine if the dam will be exempt, or under the jurisdiction of that agency.
3.2) ENVIRONMENTAL DESCRIPTION AT THE WARD MILL DAM
3.2.1) 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. This is
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.
The dam is considered a low hazard dam by FERC. The impoundment 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. 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.
3.2.2) RECREATION: The primary recreational pursuits include fishing, canoeing, and
rafting in the immediate vicinity of the project will remain with the surrender of the license. The
maintenance of the natural habitat and undeveloped character of the area as well as the
recreational access will remain.
For boaters that are traveling along the river, there is a portage trail that begins at the cleared
takeout on the southwest side of the river, approximately 150 feet above the dam. This trail will
remain after the license is surrendered.
3.3) EXPECTED ENVIRONMENTAL IMPACTS
No construction, rehabilitation, alteration or repair of any site facilities is expected at this
time. The elimination of the generation will eliminate the control of the water flow at this site and
improve the run -of -river attributes of the site.
There is no known critical habitat, or endangered or threatened species in the area. No known
recreational resources would be impacted. The surrender of the license should not affect the
fishery resources, including trout, in the immediate vicinity of the project or in the river basin.
May 19, 2017 Page 6

Ward Mill Dam
FERC Project # 9842
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
Contacts and Consultation List
Surrender of the FERC License for Ward Mill Dam
FERC Project # 9842
Organization
Contact
Email Address
US Army Corps of Engineers
Mr. George Piner
George.A.Piner(q),usace.army.mil
Wilmington Office
910-251-4762
Federal Energy Regulatory
Commission
Mr. Randy Pool
randal.pool(a),ferc.gov
Atlanta Office
678-245-3079
Washington Office
Mr. Steve Hocking
steve.hocking_(&fea� rc.gov
202-502-8753
US Fish and Wildlife Service
Mr. Bryan Tompkins
brvan_tompkins(gfws.gov
Asheville NC Office
828-258-3939 x240
National Forest Service
Ms. Julie Moore
juliepmoore(&fs.fed.us
Asheville NC Office
828-257-4859
North Carolina Environmental
Ms. Shelia Green
state.clearinghouse(&doa.nc.gov
Clearinghouse
919-807-2425
NC Wildlife Resources Commission
Mr. Christopher Goudreau
chris.goudreau(gncwildlife.org
828-652-4360
NC Dept. of Cultural Resources NC
Ms. Renee Gledhill -Earley
renee.gledhill-earlev(&ncdcr.gov
Historic Preservation Office
919-807-6583
NC DEQ
Ian McMillan
Ian.mcmillan(a)ncdenr.gov
919-707-9026
NC DEQ
Jennifer Burdette
jennifer.burdette(a)ncdenr.goy
Division of Water Resources
919- 807-6364
401 & Buffer Permitting Unit
NC DEQ
Karen Higgins
Karen.higgins(gncdenr.gov
Division of Water Resources
919-807-6360
401 & Buffer Permitting Unit
NC DEQ
Mr. Fred R Tarver III
fred.tarveramcdenni4ov
Division of Water Resources
919-707-9029
Watauga County
Mr. Joseph Furman
joe.f u-man(a)wat og v.org
[phone]
Town of Boone
Mr. Rick Miller
Rick.millergtownofboone.net
-
Utility Director
High Country Council of
Mr. Rick Herndon
rhemdon(&regiond.org
Governments
Blue Ridge Electric Membership
Mr. Lee Layton
lla)ton(a)blueridgeemc.com
Corporation
828-759-8939
Watauga River Keeper
Mr. Andy Hill
[e-mail]
Appalachian Voices
828-278-9821
Trout Unlimited -
Mr. Michael Smith
saueaksmith(aOearthlink.net
NC Representative
828-584-2848
American Whitewater
Kevin Colburn
Kevin&americanwhitewater.org
Mark Singleton
[e-mail]
American Rivers
Ms. Erin McCombs
emccombskamericanrivers.org
Appalachian State University
Mr. Joe Carter
carter))&appstate.edu
Dr. Michael Gangloff
angloffmmOa-ppstate.edu
Dr. Dennis Scanlin
828-262-6361
scanlindmgqppstate.edu
May 19, 2017 Page 7

Ward Mill Dam APPLICATION FOR SURRENDER OF A HYDRO LICENSE
FERC Project # 9842
Attachment — Agency Comments
May 19, 2017 Page A. 1

Ward Mill Dam
FERC Project # 9842
Water Resources
Environmental Quality
Andrew C. Givens
Cardinal Energy Service
2308 Wheeler Road
Raleigh, NC 27612
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
April 11, 2017
Subject: Agency Consultation, Project License Surrender Application
Ward Mill Hydroelectric Project, FERC No. P-9842, Watauga River,
Watauga County, North Carolina 28679
Mr. Givens:
ROY COOPER
Governor
MICHAEL S. REGAN
Secretary
S. JAY ZIMMERMAN
Director
The NC Division of Water Resources (NCDWR) has reviewed and offers the following
comments on the draft application for surrender of the Federal Energy Regulatory Commission
(FERC) license recently issued for the Ward Mill Hydroelectric Project, which is owned and
operated by Mr. Ray Ward.
L The surrender of a FERC -issued license is the decision of the licensee with the approval
of the FERC. NCDWR worked with Mr. Ward and other resource agencies during
relicensing of the project to craft terms and conditions for the new, 30 -year license that
allowed continued, economic power generation while providing for the monitoring of
both project operations and natural resources commensurate with the scale of the project
and its impacts.
2. Section 3. 1, page 5 states:
"With the surrendering of the license, there will no generation and no control of
the flow of the river. Thus, the site will remain run of river. The environmental
impact of the dam will be essentially the same as under the terms of the current
annual license. At that point, the project will fall under the NC Division of Water
Resources and the Wildlife Resources Commission."
NCDWR does not anticipate having any authority over the unlicensed Ward Dam
should the FERC approve the surrender beyond enforcement of water quality
standards. Removal of the dam would require a Clean Water Act Section 404 permit
from the US Army Corps of Engineers and a 401 Water Quality Certification from
Nothing Compares!: --
State of North Carolina I Environmental Quality
1611 Mail Service Center )Raleigh, North Carolina 27699-1611
919-707-9000
May 19, 2017 Page A. 2

Ward Mill Dam
FERC Project # 9842
NCDWR Uccnse Surrender Application Comments
Wird Mili ttydroelectzic Prcieri, FERC No. t'-9842
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
the 401 & Buffer Permitting Branch. NCDWR also recommends consulting with the
Division regarding any plans to open the dam's sand gate.
North Carolina's authority over the inspection and safety of dams lies with the
Department of Environmental Quality's Division of Energy, Mining, and Land
Resources (DEMLR). Mr. Ward should consult with DEMLR-Dam Safety to
determine if the dam meets jurisdictional conditions.
3. NCDWR supports the removal of dams that exhibit significant safety concerns or no
longer serve their intended purpose. NCDWR is not recommending the removal of
Ward Dam as a condition of license surrender. One option for Ward Dam that may be
considered, if license surrender is approved, is to serve as a water supply source for
the Town of Beech Mountain. The Town's water supply reservoir on Buckeye Creek
has difficulty meeting demand during droughts, and they are considering the Watauga
River as a future water supply source.
The Watauga River Gorge, downstream of Ward Dam, is a regionally significant
whitewater boating destination and is included in Benner and Benner (1993).1
Removal of the dam would provide a longer float without the need for a portage.
Thank you for the opportunity to provide comments. I can be contacted with questions and
comments at [e-mail], or 919-707-9029.
Sincerely,
4�
Fred R Tarver III
Basin Planning Branch
cc, Jennifer Burdette, NCDWR-401 & Buffer Permitting Branch
Bryan Thompkins, USFWS-Asheville RO
Chris Goudreau, NCWRC
1 Benner, B. and D. Benner. 1993. Carolina Whitewater: A Canoeist's [Paddler's] Guide to the
Western Carolinas. Menasha Ridge Press. Birmingham AL. 300pp.
21 Page
May 19, 2017 Page A. 3

Ward Mill Dam
FERC Project # 9842
ROY C©OPER
GOVEt3.0IG
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
STATE OF NORTH CAROLINA
May 18, 2017
Mr. Andrew Givens
Cardinal Energy Service, Inc.
620 N. West Street, Suite 103
Raleigh, North Carolina 27603
MACHELLE SANDERS
SECRETARY
Re. SCH File # 17-E-0000-0424; Surrender of license for the Ward ]Hill Dam, FERC
Project #9842.
Dear Mr. Givens:
The above referenced environmental impact information has been submitted to the State
Clearinghouse under the provisions of the National Environmental Policy Act. According to
^ G.S. 113A-10, when a state agency is required to prepare an environmental document under the
provisions of federal law, the environmental document meets the provisions of the State
Environmental Policy Act. Attached to this letter for your consideration are comments made by
the agencies in the course of this review.
If any further environmental review documents are prepared for this project, they should be
forwarded to this office for intergovernmental review.
Should you have any questions, please do not hesitate to call.
sincerely,
Crystal Best
State Environmental Review Clearinghouse
Attachments
cc: Region D
,t 01mg Address. Tdephom: [phone]
NC DEPARTMENT OF ADMMTRATTON Location:
MAILFax: (919) 733-957] 116 WEST JONES STREET
1301 IGH, SERVICE
,CENTER- COURIER 951-07-00 RALEIGH, NORTH CAROLINA
RAl-S7GFI, NC 27699-1301 Efiw s€ate.rlenrirsg{ro�,se{aj�loa.ncgrn,
Webs0. 'I",.Iib'admw :nc.ggy
May 19, 2017 Page A. 4

Ward Mill Dam
FERC Project # 9842
VIEW
Environ rr,cn W,i
�R:oiRy
MEMORANDUM
To: Crystal Best
State Clearinghouse Coordinator
Department of Administration
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
From: Lyn Hardison
Division of Environmental Assistance and Customer Service
Environmental Assistance and Project Review Coordinator
Washington Regional Office
RE: 17-0424
Environmental Review
Surrender of license forthe Ward Mill Dam, FERC Project #9842
Watauga County
Date: May 12, 2017
ROY COOPER
MICHAEL S REGAN
The Department of Environmental Quality has reviewed the proposal for the referenced project. The
comments are attached for the applicant's review.
The Department's agencies will continue to be available to assist the applicant through the
environmental review processes.
Thank you for the opportunity to respond.
Attachments
&me orNodh Ca, -olio" _',--ironmental Qua€jcv
17 West ,tones Street:, IW t,!.%iI Service Center I Rateijn. Niorih Carolina 37099-1 GOl
Vtazhintron R.egionat tJffice 943 Washingion 5cuare Mull. Wasninglon-Nosh Cara€in"7889
May 19, 2017 Page A. 5

Ward Mill Dam
FERC Project # 9842
.State of North Carolina Department of Environmental Quality
INTERGOVERNMENTAL REVIEW PROJECT COMMENTS
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
Reviewing Regional Office: WSRO
Project Number: 17-0424 Due Date: 05/08/2017
County: Watauga
After review ofthis project it has been determined that the DEQ permits) and/or approvals indicated may need to be obtained in order for this
project to comply with Norfh Carolina Law. Questions regarding these permits should be addressed to the Regional Office indicated on the reverse
of the form, All applications, information and guidelines relative to these plans and permits are available from thesame Regional Office.
DEQ INTERGOVERNMENTAL REVIEW PROJECT Form Page 1 of 3
January 20:7/lbh
May 19, 2017 Page A. 6
Normal Process
PERMITS
SPECIAL APPLICATION PROCEDURES or REQUIREMENTS
Time
(statutory time
lin ill
Permit to construct & operate wastewater
❑
treatment facilities, non-standard sewersystem
ts- 90 days before begins constriction -st-ap d construction
30 days
y
extensions &sewersystemsthat do not
contracts-
ontra -site inspection may be required- post -application
ca
technical
(90 days)
discharge into state sur€ace. waters.
technical conference usual.
Con
Permit to construct & operate, sewer extensions
involving gravity sewers, pump stations and
Fast -Track Permitting program consists of the submittal of an
30 days
force mains discharging into a sewer collection
g� g
application and an engineer's cerrificetion that project meets all
UN/A)
system
applicable State rules and Division Minimum Design Criteria.
NPDES - permit to discharge into surface water
Application 180 days before begins activity. Or-ite inspection. Pre-
_ ❑
and/or permit to operate and construct
application conference usual. Additionally, obtain permitio construct
90-120 days
wastewater facilities discharging into state
w astewater treatment facility -granted after NPOES, Reply time, 30 days
(N/A)
surface waters.
after receipt of plans or issue of NPDES permit -whichever is later.
❑
Water Use Permit
Pre -application technical conference usually necessary.
30 days
(N/A)
' Complete appli titian must be received and permit issued prior to the
❑
Well construction Permit
installation of a groundwaterrronitoring well located on property not
7 days
owned by the applicant, and fora large capacity (>100,000 gallons per
(15 days)
day) water supply well.
Application copy must be served on each adjacent riparian property
❑
Dredge and Fill Permit
owner. On-site inspection. Pre -application conference usual. Filling may
SS days
l
require Easement to Fill from N.C. Department of Administration and
(90 days)
Federal Dredge and Fill Permit.
Pernot to construct &. operate Air Pollution
Application must he submitted and perm Ir received prior to
pp
©
Abatement facilities and/or Emission Sources a5
construction and operation a` the source. If a permit is required
local
90 days
11
per i5 A NCAC (2Q.0100 thru 2Q.03OO)
in an area without zoning, then there are additional
requirements and timelines (20.0113{.
Any open burning associated with subject
❑
proposal must be In compliance with 15 A NCAC
N/A
60 days
2D.1900
(90 days}
Demolition or renovations of structures
please Note, The Health Hazards Control Unit (HHCU) of the N.C.
i
containing asbestos material must be in
Department of Health and Human Services, must be notified of plans to
❑
compliance with 15 A NCAC 20.1130 (a) (1)
demolish a building, including residences for commercial or industriat
I 60 days
11
which requires nptification and rerrcval priorto
expansion, even if no asbestos is present ir, the building.
(90 days)
demolition,. Contact Asbestos Control Group
919-707-5950
The Sedimentation Pollution Control Act of 1973 must he properly addressed for any land disturbing activity. An erosion &
sedimentation control plan will be required if one ormore acres are to be disturbed. Plan must be fi€ed with and approved
0
by applicable Regional Office (Land Quality Section) at least 30 days before beginning activity. A NPDES Construction,
20 days
Stormwater permit INC501"O) is also usually issued should design features meet minimum requirements. A fee of $65
(30 days)
for the first acre or any part of an acre. An express review option is available with additional fees.
Sedimentation and erosion control must be addressed in accordance with NCDOVs approved program. Particular attention
❑
should be given to design and installation of appropriate per, meter sed I ment tra aping devices as well as stable Stormwater
(30 days)
conveyances and outlets.
Sedimentation and erosion ccr€troi must be addressed in accordance with approved program.
❑
Particular attention should be given to design and installation of appropriate perimeter sedim l as
nt trapping devices as well
Based on Local
stable Stormwater conveyances and outlets.
Program {
❑
Compliance with 15A NCAC 211 .0126 - NPDES Stormwater Program which regulates three Types of activities: Industrial,
30-60 days
Municipal Separate Storm Sewer System & Construction activities that disturb 21 acre.
(90 days)
Compliance with 15A NCAC 2H 1000 -State Stormwater Permitting Programs regulate site development and post-
❑ [
construction stormwater runoff control. Areas subject to these permit programs include all 20 coastal counties, and various
,
45 -'days
othercounties and watersheds throughout the state.
(90 days)
DEQ INTERGOVERNMENTAL REVIEW PROJECT Form Page 1 of 3
January 20:7/lbh
May 19, 2017 Page A. 6

Ward Mill Dam
FERC Project # 9842
r11
State or North Carolina Department of Environmentai Quality
INTERGOVERNMENTAL REVIEW PROJECT COMMENTS
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
Reviewing Regional Office: WSRO
Prosect Number: 17-0424 DueDate:O_5J08/20;.7
County: Watauga
DEQ INTERGOVERNMENTAL REVIEW PROJECT Form Page 2 of 3
January 2017/ibh -
May 19, 2017 Page A. 7
Normal Process
PERMITS
SPECIAL APPLICATION PROCEDURES or REQUIREMENTS
1'
Ill lme 1
('statutorytime
limit)
Or -site inspection usual. Surety bond filed with 0€Q Bond amount
❑
Mining Permit
varies with type mine and number or acres of affected land. Affected
30 days
area greater than one acre must be permitted. The
g p appropriate bond
(60 days)
must be received before the Dermi t can be Issued.
I
If penmit required, application 60 days before begin construction.
Applicant must hire N.C. qualified engineer to: prepare plans, inspect
construction„ and certify construction is according to DEQ approved
❑
Dam Safety Permit
plans. Mayalso require a permit under mosquito control program. And
j 30 days
a 404 permit from Corps of Engineers. An inspection ofshe is necessary
(60 days)
to verify Hazard Classification. A minimum fee of $200.00 mast
accompanythe app€:cation- An additional processing fee based on a
percentage or thetotal project cost will be required upon completion.
❑
oil Refining Facilities
- N/A
90-120 days
(NIA)
file surety bond of $5,000 with DEQ running to State of NC conditional
❑
Permit to drill exploratory oil or gas well
that any well opened by drill operator shall, upon abandonment, be
ID days
Plugged according to DEQ rules and regulations-
NIA
❑
ueophysical Exploration Permit
Application flied with DEQ at least 10 days prior to issue of permit
10 days
Application by letter. No standard application form.
N/A
Application fee based on structure size is charged. Must include
❑
State Lakes Construction Permit
descriptions & drawings of Structure & proof of ownership of riparian
I 15-20 days
Property
i NIA
compliance with the T15A 02H .0500 Certifications are required
E]401
Water Quality Certification
whenever construction or operation of facilities will result Ina
60 days
discharge into navigable water as described In 33 CFR part 323.
(130 days)
Compliance with Catawba, Goose Creek, Jordan Lalce, Randleman, Far Pamlico or Neuse Riparian Buffer Rules is required.
Bufferrequiremen[s ..- -..0 ' a - , at - - c->.-t.3r-resrn.rce_-pe'r7ttsi �a•ieiae.�. b -r-..r "
❑
vderiana•buffe'-pe
1
Nutrient Offset: Loading requirements for nitrogen and phosphorus in the Neuse and lar -Pamlico River basins, and in the
Jordan and Falls Lake watersheds, as part of the nutrient -management strategies in these areas- DWR nutrient offset
❑
in'emeaten,
❑
CAMA Permit for MAJOR ch—el.11
$250-00-$475.00fee must ac.a mpanyapplicatlon
75 days
J
(150 days)
❑
GJ MA Permit for MINOR development
$100.00 fee must accompany application
22 days
(25 days)
❑
Abandonmentof any wells, if required must be in accordance With T itle 15A. Subchapter 2C.0100.
®
Notification of the proper regional office is requested f "orphan" underground storagetanks (USTS) are discovered during
any excavation operation.
Pians and specifications for the construction, expansion, or alteration of a public watersystem must be approved bythe
Division of Water Resources/Public Water Supply Section prior to the award of a contract orthe initiation of construction as
©
per 15A NCAC 18C -0300 et. seq., Plans and specifications should be submitted to 1634 Mail Service Center, Raleigh,. North
30 days
Canctura27699.1634. At public wazersupplysystams must connuly with state and federal drinking water monitoring
requ iremerits. For more information, contact the Public Water Supply Section, (919) 707 -91(s) -
If existing waterlines will be relocated during the constroction, plans for the water line relocation must be submitted to the
❑
Division of Water ResogrceslPubric Water Supply Section at 1634 Mail Service Center, Raleigh, North Carolina 27699-1634.
30 days
For more information, contact the Public Water Supply Section, [phone].
Pians and specifications for the construction:, expansion, or alteration of the _ water system must be approved through
❑
the delegated plan approval authority. Please contact them at for further information.
DEQ INTERGOVERNMENTAL REVIEW PROJECT Form Page 2 of 3
January 2017/ibh -
May 19, 2017 Page A. 7

Ward Mill Dam
FERC Project # 9842
/"1
State of North Carolina Department of Environmental Quality
INTERGOVERNMENTAL REVIEW PROJECT COMMENTS
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
Reviewing Regional Office: WSRO
Project Number: 17-0424 Due Date: 05/08/2017
County: Watauga
Other Comments (attach additional pages as necessary, being certain to comment authority)
Division
Initials
INC
i
comment
Cornrnents
Date
Review
iDAQ
UDE
®
5/2/17
DWR-WQROS
(Aquifer & Surfa,-e)
GSS
&
®
&
4/18/17
DWR-PWS
EAH
4/18/17
0EMLR(LQ &5W)
MF,G
4/19/17
DWM - UST
SBW
Li
See Above. No UST or Non -UST incidents identified at this location. No spills
I or releases have been reported at this location.
5/4/17
Other Comments
REGJONAL OFFICES
Questions regarding these permits should be addressed to the Regional Office marked below.
❑ Asheville Regional Office
2090 U.S. 70 Highway
Swannanoa, NC 28 7 78-8 2 11
Phone: [phone]
Fax:[phone]
❑ Raleigh Regional Office
3800 Barrett Drive,
Raleigh, NC 27609
Phone: [phone]
Fax: [phone]
DEQ INTERGOVERNMENTAL REVIEW PROJECT Form
January 2017/lbh
❑ Fayetteville Regional Office
225 Green Street, Suite 714,
Fayetteville, NC 2 83 01-50 4 3
Phone: [phone]
Fax: [phone]
❑ Washington Regional Office
943 Washington Square Mall,
Washington, NC 27839
Phone: [phone]
Fax: [phone]
❑ Winston-Salem Regional Office
450 Hanes Mill Read, Suite 300,
Winston-Salem, NC 27105
Phone: [phone]
Fax: [phone]
❑ Mooresville Regional office
610 East Center Avenue, Suite 301,
Mooresville, INC 28115
Phone: [phone]
Fax: [phone]
❑ Wilmington Regional Office
127 Cardinal Drive Ext.,
Wilmington, NC 28405
Phone: [phone]S
Fax: [phone]
Page 3 of 3
May 19, 2017 Page A. 8

Ward Mill Dam APPLICATION FOR SURRENDER OF A HYDRO LICENSE
FERC Project # 9842
NGR'TH CM C Iiw!NA STATE. Ci,FWUNGHOUSE
IiEPARTI� OF ADMINISTRATION
1NTERGQVE€"MNTAL REV1E116'
�\
COUNTY. Ell 1: EUERCY -P=A"_'ED STATr kVUMB2R, E.-117C^i-+=
AC-ENCY RESPONSE,. 0`10R,202-,
aPZVItV Ci.05En:
FSR. RODNE"s BUT,-. E ,
DJC - =r. T TIER= hCF DKo -xV
wEpu_CE CZN' S"� .
REVTE--W DISTRYBUTION
DEPT _ OF ACF7_­r7L .;RZ
-- -
DEPT �WS DCLRT T- CST
ENC=. - ?T -._U__-,- '-i P_, -"S C ?RoD;R N
RIGY CG_zjNCCS_
PROJECT INFORMATION
TYP'F; ?+z=ion-al :`miroT_1ineThal Pclicl it
"3R ix'OT,M213t �..{. RSVi EW'
DES:._ Sia="__ndeel o. .srd Nell Dam, _'RC Prc-"ec L. #59F42,
r1
The attacizied.. 3.D ojecz_ F,as Heen stli"iwdtted 7o the t.T. C. state C-lear_nghouse ror
go'Lc.rx'LTi..._...a. w:'L'i e+s,. ,.iEa;32 rE,TJew 8r,, submit YCV._ __.sperosE V the above
av-d"ca -..- Ca.:el -_1 Service Center', Raleli g , '4r 2'76444 30-.
1i: aaditio-.,al _eviev, time Is swede_, pleas© con _c_ ..,.1.s office at
May 19, 2017 Page A. 9

Ward Mill Dam
FERC Project # 9842
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
Roy' COOPER
sUsia. ULMILTO
NCNHDE-3372
April 21, 2017
Andrew Givens
Agent for Applicant Ray F Ward
2308 Wheeler Rd
Raleigh, NC 27612
RE: Surrender of license for the Ward Mill Dam, FERC Project #9842
Dear Andrew Givens:
The North Carolina Natural Heritage Program (NCNHP) appreciates the opportunity to provide information
about natural heritage resources for the project referenced above.
A query of the NCNHP database indicates that there are records for rare species, important natural
communities, natural areas, or conservation/managed areas within the proposed project boundary. These
results are presented In the attached 'Documented Occurrences'tables and map.
The attached 'Potential Occurrences' table summarizes rare species and natural communities that have been
documented within a ane -mile radius of the property boundary. The proximity of these records suggests that
these natural heritage elements may potentially be present in the project area if suitable habitat exists and Is
included for reference. Tables of natural areas and conservatienlmanaged area within a one -mite radius of the
praject area, if any, are also included in this report.
Please note that natural heritage element data are maintained for the purposes of conservation planning, project
review, and scientific research, and are not intended for use as the primary criteria for regulatory decisions.
Information provided by the NCNHP database may not be published without prior written notification to the
NCNHP, and the NCNHP must be credited as an information source in these publications. Maps of NCNHP
data may not be redistributed without permission.
Also please note that the NC Natural Heritage Program may follow this letter with additional correspondence if a
Dedicated Nature Preserve (DNP), Registered Heritage Area (RHA), Clean Water Management Trust fund
(CWMTF) easement, or an occurrence of a Federalty-listed species is documented near the project area.
If you have questions regarding the information provided in this letter or need additional assistance, please
contact Rodney A. Sutler at r� rev.but§ar; r;c tiri , or 919.707.8603.
sincerely,
NC Natural Heritage Program
May 19, 2017 Page A. 10

Ward Mill Dam
FERC Project # 9842
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
Q
May 19, 2017 Page A. 11
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Ward Mill Dam
FERC Project # 9842
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Ward Mill Dam
FERC Project #9&2
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APPLICATION FORsRRENO£k O w @Yoko LICENSE
m7 I% 2017 Page w 13

Ward Mill Dam
FERC Project # 9842
COUNTY: WATAUGA
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
NORTH CAROLINA. STATE CLEARINGHOUSE
DEPARTMENT OF ADMINISTRATION
INTERGOVERNMENTAL REVIEW
X11;ENERGY RELATED
FACILITIES/ACTIVITIES
STATE NZ1VMBR; 17-E-0000-0424
DATE RECEiVHD: 08/12/2017
AGENCY RESPONSE; 05/08/2017
REVIEW? CLOSED: 05/12/2017
MS RENEE GLEDHILL-EARLEY
CLEARINGHOUSE COORDINATOR
DEPT OF NATURAL & CULTURAL RESOURCE _:•''.s'
STATE HISTORIC PRESERVATION OFFICE
-
MSC 4G17 - ARCHIVES BUILDING
RALEIGH NC
P=EW DISTRIBUTION
C
DEPT OF AGRICULTURE
DEPT OF ENVIRONMENTAL QUALITY
[.
L�qt,�
DEPT OF NATURAL & CULTURAL RESOURCE
DEPT OF TRANSPORTATION
DNCR -- NATURAL HERITAGE PROGRAM
DPS - DIV OF EMERGENCY MANAGEMENT
HIGH COUNTRY COG
PROJECT INFOMdATION
APPLICANT: Ray F. Ward
TYPE: National Environmental Policy Act
Environmental Review
DESC: Surrender of license for the Ward Mill Dam, FERC Project
#9842.
The attached project has been submitted to the N. C. State Clearinghouse for
intergovernmental review. Please review and submit your response by the above
indicated date to 1301 Mail Service Center, Raleigh NC 27699-1301.
If additional review time is needed, please contact this office at [phone].
AS A RESULT OF THIS REVIEW THE FOLLOWING IS SUBMI'T'TED: NO COMMENT F] COMMENTS ATTACHED
SIGNED BY: LL DATE: e
'17CI
Nk 0 4 2611
Office
DOA
✓"1
APR 12017
May 19, 2017 Page A. 14

Ward Mill Dam APPLICATION FOR SURRENDER OF A HYDRO LICENSE
FERC Project # 9842
NORTH CAROLINA STATE CLEARINGHOUSE
DEPARTMENT OF ADMINISTRATION
INTERGOVERNMENT°AL REVIEW
COUNTY: WATAUGA H11; ENERGY RELATED STATE NUMBER: 17-E-0000-0424
FACILITIES/ACTIVITIES DATE RECEIVED: 04/12/2017
AGENCY RESPOWSE: 05/08/2017
REVIEW CLOSED: 05/12/2017
MS CARRIE ATKINSON
CLEARINGHOUSE COORDINATOR
DEPT OF TRANSPORTATION
STATEWIDE PLANNING - ITSC #1554
RALEIGH NC
REVIRW DISTRIBUTION
DEPT OF AGRICULTURE
DEPT OF ENVIRONMENTAL QUALITY
DEPT OF NATURAL & CULTURAL RESOURCE
DEPT OF TRANSPORTATION
DNCR - NATURAL HERITAGE PROGRAM
DPS - DIV OF EMERGENCY MANAGEMENT
HIGH COUNTRY COG
PROJECT INFORMATION
APPLICANT: Ray F. Ward
TYPE: National Environmental Policy Act
Environmertal Review
DESC: Surrender of license for the Ward ?ill Dam, FERC Project 09842.
The attached project has been submitted to the N. C. State Clearinghouse for
intergovernmental review. Please review and submit your response by the above
indicated date to 1301 Mail Service Center, Raleigh NO 27699-1301.
If additional review time is needed, please contact this office at [phone].
AS A RESULT OF THIS REVIEW TUR FOLLOWING IS SUBMITTED: b70 COMMENT F-1 COMMENTS .ATTACHED
STONED BY. DATE:
PELF® Y ED
Secretary's
,4NI 0 4 107
mice
OOA
May 19, 2017 Page A. 15

Ward Mill Dam
FERC Project # 9842
COUNTY: WATAUGA
APPLICATION FOR SURRENDER OF A HYDRO LICENSE
NORTH CAROLINA STATE CLEARINGHOUSE
DEPARTMENT OF ADMINISTRATION
INTERGOVERNMENTAL REVIEW
HllsENERGY RELATED
FACILITIES/ACTIVITIES
MS DEIRDRE HAMAN
CLEARINGHOUSE COORDINA`T'OR
BPS - DIV OF EMERGENCY MANAGEMENT
FLOODPLAIN MANAGEYIENT PROGRAM
4218 MAIL SERVICE CENTER
RALEIGH NC
RZVIEW DISTRIBUTION
DEPT OF AGRICULTURE
DEPT OF ENVIRONMENTAL QUALITY
DEPT OF NATURAL & CULTURAL RESOURCE
DEPT OF TRANSPORTATION
DNCR - NATURAL HERITAGE PROGRAM
DPS - DIV OF EMERGENCY MANAGEMENT
HIGH COUNTRY COG
PROJECT INFOR2,TATION
APPLICANT: Ray F. Pard
TYPE; National Environmental Policy Act
Environmental Review
STATE NIMER: 17-E-0000-0424
DRTE RECEIVW: 04/12/2017
AGENCY RESPONSE: 05/08/2017
REVIEW CLOSED: 05/12/2017
Sect ar 'D
tRrys
APR 212017
�01k
n DESC: Surrender of license for the Ward M4 11 Dam, FERC Project #9842.
g�C[? f I i
The attached project has been submitted to the N. C. State Clearinghouse =or
intergovernmental review_ Please review and submit your response by the above
indicated date to 1301 Mail Service Center, Raleigh NC 27699-1301.
If additional review time is needed, please contact this office at [phone].
AS A RESULT OF THIS REVIEW THE FOLLOWING IS SUBMITTED: MNO COMMENT [—] COMMENTS ATTACHED
SIGNED BY: Vi DATE: Ij" At Lc �
May 19, 2017 Page A. 16