To: Board of Directors, Sonoma County Water Agency
Department or Agency Name(s): Sonoma County Water Agency
Staff Name and Phone Number: Pam Jeane, 521-1864
Vote Requirement: Majority
Supervisorial District(s): All
Title:
Title
Authorize the Chair to execute the Second Amended Planning Agreement for the Potter Valley Project.
End
Recommended Action:
Recommended action
Authorize the Chair to execute the Second Amended Planning Agreement for the Potter Valley Project.
end
Executive Summary:
The Parties desire to enter into this Second Amended Planning Agreement to continue their collaborative efforts toward obtaining a new license for the Potter Valley Project that advances the Two-Basin Solution, and to establish operating protocols for those efforts.
Discussion:
Pacific Gas and Electric Company (PG&E) is the licensee for the Potter Valley Project (Project). The current license for the Project expires on April 14, 2022. The Project diverts water from the Eel River Basin into the Russian River Basin. The Project, including its operations and facilities, affects environmental quality, ecosystem services, native anadromous fisheries, and beneficial uses of water in both basins. On April 6, 2017, PG&E filed a “Pre-Application Document and Notice of Intent” to file a new license application for the Project. Since mid-2018, the Parties have participated in a collaborative process convened by U.S. Representative Jared Huffman (Huffman Ad Hoc Committee) to develop stakeholder recommendations on the terms of any new license for the Project.
On January 25, 2019, PG&E filed a notice withdrawing its Notice of Intent and Pre-Application Document, stating that it would not seek or hold a new license for the Project. On March 1, 2019, the Federal Energy Regulatory Commission (FERC) issued a “Notice Soliciting Applications” from any entity interested in filing a new license application for the Project. The notice further directs that any entity must file an application for license by April 14, 2022. On May 17, 2019, Sonoma County Water Agency (Sonoma Water), California Trout, Inc., and Mendocino Inland Water and Power Commission entered into a “Planning Agreement to Undertake Feasibility Study of a Potential Licensing Proposal for the Potter Valley Project” (Planning Agreement). On June 18, 2019, the Planning Agreement was amended to add the County of Humboldt as a party to the Planning Agreement (Amended Planning Agreement). On June 28, 2019, the Parties filed a “Pre-Application Document and Notice of Intent to File an Application for a New License” for the Project. This was the only such notice filed in response to FERC’s “Notice Soliciting Applications.”
On August 1, 2019, FERC issued a “Notice of Continuation of Relicensing Proceeding,” authorizing the Parties to proceed as a proxy for a new regional entity that would become the successor licensee. The Amended Planning Agreement was subsequently amended to add the Round Valley Indian Tribes as a party to the Amended Planning Agreement (First Amendment to the Amended Planning Agreement). Pursuant to the schedule in their Notice of Intent, the Parties prepared and filed a Feasibility Study Report on May 13, 2020. This report contains a Project Plan that will advance all of the Shared Objectives as developed by the Huffman Ad Hoc Committee and also proposes modifications to the FERC-approved Study Plan. On June 3, 2020, FERC sent a letter to the Parties establishing a revised Process Plan and Schedule. FERC revised the Process Plan and Schedule again and included in its Scoping Document 3 issued on July 28, 2020.
In June and July 2020, the Parties undertook a process to select joint consultants to manage the relicensing process. In August 2020, the Parties selected such consultants. Pursuant to the First Amendment to the Amended Planning Agreement, and on behalf of all Parties, Sonoma Water entered into a contract with the relicensing consultants. The relicensing consultants have subsequently assisted the Parties in completing three FERC-required steps in the relicensing process. On September 14, 2020, the Parties filed an Initial Study Report. Two weeks later, the Parties held an Initial Study Report Meeting with Project stakeholders. An Initial Study Report Meeting Summary was then filed on October 14, 2020. Several more steps in the relicensing process are scheduled through mid-January 2021.
The Parties desire to enter into this Second Amended Planning Agreement to continue their collaborative efforts toward obtaining a new license for the Project that advances the Two-Basin Solution. This Second Amended Agreement is updated to reflect the current status of the Parties in the relicensing proceeding, and establishes operating protocols for those efforts.
Prior Board Actions:
06-11-2019:Authorized the Chair to Execute the Amended Planning Agreement to Undertake Feasibility Study of a Potential Proposal for the Potter Valley Project with Mendocino County IW&PC and California Trout; and to execute future amendments to add additional parties
05-14-2019: Authorized the Chair of the Board of Directors to execute the Planning Agreement to Undertake Feasibility Study of a Potential Licensing Proposal for the Potter Valley Project.
11-13-2018: Adoption of a concurrent resolution affirming the Boards’ support for the concept of a Two-Basin Solution
Fiscal Summary
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FY 22-23 Projected |
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Narrative Explanation of Fiscal Impacts:
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Narrative Explanation of Staffing Impacts (If Required):
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Attachments:
Second Amended Planning Agreement
Related Items “On File” with the Clerk of the Board:
None.