Relicensed

FILE | Laker Weekly

Appalachian Power Company received a 30-year license Tuesday to continue operating Smith Mountain (above) and Leesville dams.

A seven-year, $5.5 million process for Appalachian Power Company ended Tuesday night when it received a new 30-year license to operate the Smith Mountain Project, the hydroelectric powerhouse comprised of Smith Mountain and Leesville dams.

"[The timing] came as a complete surprise to us," said Todd Burns, a spokesman for Appalachian Power.

He said the utility expected to receive the new license sometime in March, closer to the March 31 expiration date for the 50-year license. The license was issued by the Federal Energy Regulatory Commission, the government agency that monitors and oversees utilities nationwide.

Burns said the new license strikes a balance between protecting the interests of the project, such as recreation and scenery, and providing a source to generate power.

The new license also came as a surprise to members of the Tri-County Relicensing Committee, which filed an Offer of Settlement with FERC on Dec. 9.

"We didn't even see this on the docket," said Russ Johnson, chairman of TCRC and Franklin County's Gills Creek supervisor.

He said the committee put together the 100-plus-page document to try to resolve issues TCRC still has with the Environmental Impact Statement.

The EIS was filed by FERC staff in August and recommends to the final FERC board what environmental actions Appalachian would be responsible for over the course of its new license.

"We still weren't satisfied with some of the decisions," said Johnson.

The Offer of Settlement explains TCRC's position on those issues and provides solutions for each. It also lays out what TCRC and the Tri-County Lake Administrative Commission will do if FERC and Appalachian comply.

Johnson said the hope was for FERC to consider TCRC's filing and grant a settlement hearing with Appalachian where decision makers from the two organizations could sit down together, discuss the issues and come to a resolution.

The new license addresses the Offer of Settlement, saying, "for the most part, it simply reiterates the Tri-County Committee's comments in its previous filings." It further states, "any delay in issuing this license is not warranted."

Johnson said TCRC's attorney is looking into whether FERC could still schedule a settlement hearing even though the license already has been issued.

Johnson said if the Offer of Settlement is completely off the table, TCRC's members -- Bedford, Campbell, Franklin and Pittsylvania counties -- and their attorney will discuss whether to proceed with one final effort to shape the license requirements: a lawsuit.

"That would involve a whole lot of discussion because it would involve a whole lot of money," said Johnson.

He said the major issues that TCRC contends were not properly analyzed by FERC were what to do about invasive weeds, debris and sediment and erosion. FERC recommended Appalachian Power treat portions of each.

"In terms of both weeds and debris, we believe that the staff erred in their decision by saying that only spots need to be picked up or only spots need to be treated," said Johnson.

The EIS says that Appalachian would be responsible for treating invasive aquatic vegetation only at public boat ramps and other public areas deemed appropriate. It also says debris would be cleaned up from April through October in the main channel.

In the past several years, TLAC has taken on those responsibilities because none was laid out as responsibilities for Appalachian in the original 50-year license issued in 1960.

Chuck Neudorfer, TLAC chairman and TCRC vice chairman, said he's concerned about the language in the EIS, wherein the FERC staff says Appalachian Power would work with TLAC and other stakeholders on review committees to define the best course of action for various projects.

"FERC has control only over the license," said Neudorfer. "They don't have control over TLAC."

He said TLAC would be willing to work with Appalachian Power on the various committees and serve as a paid contractor for the utility, but first the lines of responsibility must be defined.

"We'd like to know going into this what the rules of the road are," said Neudorfer.

Johnson said they want the stakeholders to actually serve as decision makers on the committees rather than as recommenders.

"If these committees aren't going to make the decision or can be overruled by AEP, we don't want to participate in them," said Johnson.

But the fate of that and other requests will be unknown until TCRC hears back from its attorney on whether its Offer of Settlement has been dismissed. Either way, Johnson said TCRC will continue to work toward a resolution. He said the new license doesn't nullify what TCRC is trying to accomplish.

"We were never fighting the license," said Johnson. "Our issue is we wanted to establish what we considered to be a stewardship relationship between the two lakes and who pays for what. We'll still try to work with AEP."

To read the new license, TCRC's Offer of Settlement or other relicensing filings, visit www.ferc.gov or smithmtn.com.