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HomeMy WebLinkAbout1982-04 April Hydropower Commission Report l 'WER HYDROPO COMMISSION REFERENCE -PO Do Not Remove or Circulate RE R-T Planning & Development Library APRIL 1982 i HYDROPOWER COMMISSION' RE-PO. . ' R-T .._.... ..................a....... ........,.....,........,.. ..a.a..,.a.a...........a.....,...........a. .....,........ ....................... aY,.... .....•..•. ......a... .1:ia:•.:•1.:a, .:S1t7a;•.1•Y•:..:f>i>a. MEMORANDUM To: Mayor William R. Shaw James Dennis, Chairman, Planning & Development Committee Common Council Members From: - Joey Pierce Re: Proposed Fall CreekHydropower Plant: Report of the Hydropower Commission Date: April 219 1982 ' On March 3, 1982, Common Council created the Ithaca Hydropower Commission in response to proposals to construct a hydropower facility at Ithaca Falls. The Commission was charged with studying the hydro issue and reporting its findings and recommendations to the Planning and Development Committee on or before April 28. This memo and the enclosed information constitutesthe report of the Commission; a verbal presentation of the highlights of the Commission's findings and recommen- dations will be made to the Planning and Development Committee and to the full Council . The Commission met for the first time on March 16 in what was primarily an organizational meeting. If was decided that four individual reports were needed: 1 . an analysis of the regulations governing the hydropower licensing process in an effort to understand the alternatives for City response 2. an analysis of the environmental impacts of a hydropower plant on the Ithaca Falls area 3. an analysis of the existing proposals to identify strengths, weaknesses, and possible desired design modifications 4, an analysis of various options for City involvement in the construction of the hydropower plant. During the following six weeks, the Commission heard and discussed the above reports. The review culminated in a meeting on April '20 during which the Commission reached a consensus on its recommendations for Council . The following is a brief statement of the recommendations, with greater discussion and detail provided later in this report: 1 . Common Council should authorize the submission of a protest to the Federal Energy Regulatory Commission (FERC) in response to the two proposals currently on file. The protest will identify concerns of the Commission and weaknesses in the applications, and then will suggest appropriate modifications in design and operation of the plant to satisfy the concerns. 2. Common Council should file a notice of intent to file a license application with FERC. This notice of intent is a non-binding action which will allow the City 120 days to prepare and file an ' ! application. 3. Common Council should authorize the initiation of a -search for an engineering consultant capable of preparing the pre- liminary design of a hydropower plant necessary for the sub- mission of the license application. A contract. with the consultant should not be signed until the'Council makes .a decision to actually prepare the license application. 4. Common Council should initiate, or authorize an agent to initiate, negotiations with both Cornell University and Synergics. Topics for negotiation include cost of land and water rights, economic return to the City,: royalty pay- ments in lieu of property taxes, a possible joint venture with the City as a partner, etc. The Hydropower Commission believes that these actions constitute positive steps which should be taken at this time but which maintain maximum flexibility for Council in terms of reaching a final decision concerning the issue. Please find enclosed the following information for your review: 1 . Resolution creating the Hydropower Commission S 2. Membership of the Commission 3. Chronology of major events in the hydropower issue 4: Statement of basic findings 5. Statement of recommendations 6. Statement -of City options at this time 7. Report on the federal regulations governing hydropower 8. Preliminary report of the environmental committee 9. Preliminary report of the proposals committee 10. Comparison of existing applications 11 . Report of the City involvement committee 12. Minutes .of the Hydropower Commission meetings The Commission has generated much information about the proposed hydro- power plant. Members- have worked diligently during the past six weeks, .often meeting two to three times a week for committee work in addition to the weekly Commission meetings. While this report officially completes the work of the Commission as set forth in the March 3 Council resolution, many members have expressed a willingness to continue to be involved in the process if Common Council desires. If you have any questions or comments about the enclosed information, or if you would like to get together to discuss the project, please feel free to call me. JP/mc Enclosures Main Motion as Amended WHEREAS, a hydropower plant has been proposed at Ithaca Falls on Fall Creek, and WHEREAS, the City of Ithaca will be .required to take a position con- cerning the construction of such plant ; NOW; THEREFORE, BE IT RESOLVED, That Common Council., acting upon the recommendation of its Planning and Development Committee , does hereby create and establish the Ithaca Hydropower Commission, and BE * IT FURTHER RESOLVED, That said Commission shall consist of a representative from each of the following organizations , said repre- sentatives to be appointed by the President or Chairman of each organization unless othe.rwise noted; Planning and Development Committee* Planning and Development Board City Energy Commission (.2 representatives) Conservation Advisory Council Ithaca -lrandmarks Preservation Commission Fall Creek Civic Association Trout Unlimited Ecology Action - Circle Greenway Committee Board of Public Works Community at-large , with expertise in hydropower or hydrodynamics (2 representatives to be recom- mended by Chairman of the Planning and Develop- ment Committee for approval by Common Council) and BE IT FURTHER RESOLVED, That the Ithaca Hydropower Commission be charged to perform the following tasks : _ 1. To make the Planning and -Development Committee and :Common _ Council aware of relevant information and developments re- garding the proposed hydropower plant. 2. To review and analyze the current proposals for . constructing the plant and to inform Council of the major aspects and impacts of each. r HYDROPOWER COMMISSION MEMBERSHIP 1 . James Dennis, Chairman Planning and Development Committee of Common Council 2. Martin Sampson Planning and Development Board 3. Benjamin Nichols City Energy Commission Professor of Electrical Engineering and Director of the Division of Basic Studies. in the College of Engineering, Cornell University 4. Jeanne Fudala City Energy Commission Coordinator of the Home Energy Assistance Program Energy Educator/Coordinator in the Economic Opportunity Corporation 5. Richard Banks Conservation Advisory Council Associate Bursar at Cornell University 6. Frank Moon Ithaca Landmarks Preservation Commission Professor and Chairman of the Department of Theoretical and Applied Mechanics at Cornell University 7. Dan Peterson. Fall Creek Civic Association Research Associate at Synchrotron, doctorate degree in high energy physics 8. Donald Henderson '} Trout Unlimited Acting Assistant Professor in Department of Materials Science and Engineering President of Trout Unlimited 9. Richard Berg Ecology Action 10. Bill Schmidt Circle Greenway Committee Former Council Member; local businessman 11 . Clarence Cleveland Board of Public Works 12, Donald Zwiebel Community-at-large President of North Country Energy Systems (.energy conservation products) ; degree in Design and Environmental Analysis Staff assistance provided by Joey Pierce, Planning and Development, and Bob Dowski , student intern in environmental studies FALL CREEK HYDROPOWER PLANT PROPOSAL Chronology July 9, 1981 MacLeod Hydropower filed application for preliminary permit to. study feasibility of proposed facility Nov. 23, 1981 Cornell University, Synergics, and Western Hydropower : r submitted notices of intent to file applications for . license; Ithaca Gun submits notice of intent to file an application for a preliminary permit Jan. 15, 1982 Synergics filed an application for a license with FERC Jan. 26, 1982 Joey Pierce discussed the licensing procedure with the City Planning Board Jan. 27, 1982 Joey Pierce discussed the hydropower plant issue and the licensing procedure with the Planning and Development Committee 'j Jan. 29, 1982 Cornell: University filed an application for a license with FERC Feb. 3, 1982 Common Council referred the idea of creating a Hydropower Commission to the Planning and Development Committee Feb. 8, 1982 Cornell University met with the Fall Creek Civic Association to discuss the proposal Feb. 24, 1982 Planning and Development Committee recommended to. create a Hydropower Commission Mar. 3, 1982 Common Council voted to create a Hydropower Commission Mar. 8, 1982 Synergics met with the Fall Creek Civic Association to discuss the proposal Mar. 16, 1982 Hydropower Commission met for first time Mar. 23, 1982 Commission members toured the existing Cornell power plant Apr. 5, 1982 Common Council accepted recommendation of Commission to file for an extension of time Apr. 9, 1982 Request for an extension of .time mailed to FERC Apr. 14, 1982 Joey- Pierce and Bob Dowski met with DEC officials in Albany Apr. 20, 1982 Hydropower Commission prepared report and recommendations for Common Council . . ............... ........................... ............................................................................ ?:: I STATEMENT OF BASIC FINDINGS I'. 1 . After discussion with state and federal officials and after much research, the' Commission has concluded that the City does not have the legal authority to prevent the construction of a hydropower plant on Fall Creek if a license is awarded. .2. The construction of a hydropower plant will generate a substantial amount of energy, displacing 4,000 tons of coal per year or 10,800 barrels of oil per year. 3. The construction of the facilitywill have several potential environ- mental impacts on' the Ithaca Falls area. The three most important �`. concerns are the aesthetic changes in the Falls, the possible adverse effects on fishing and aquatic life below the Falls, and the guarantee of public access to the Falls area after the plant is constructed. 4. There are several modifications which can and should be made to the proposals submitted by Cornell University and .Synergics which would eliminate or at least minimize nearly all of the environmental im- pacts of the project. 5. The best way for the City to insure that it has control over the design of the facility is to .receive the license to. construct from FERC. 6. There is economic gain to be made from the operation of a hydropower plant on Fall Creek. Since Ithaca Falls is a public resource it seems appropriate that the public should be compensated for the use of the resource. Consequently, the City should attempt to maximize public return from the plant. STATEMENT OF RECOMMENDATION 1 . Protest/Comments It is recommended that Common Council authorize the submission of a protest to the Federal Energy Regulatory Commission in response to the two proposals currently on file. The protest would not protest the construction of a hydropower plant per se, but rather would protest the construction of a facility as currently designed and proposed. The submission would identify the concerns raised by the Hydropower Commission during its study and would focus on the aesthetic nature of the falls .area, the impacts on aquatic life, the availability of public access to the creek and falls, the safety and noise of the power plant, and the protection of. historical and archeological resources. The' report of the Proposals Committee, as modified by the full Commission (included in packet) , is recommended as the basis for the protest/comments to FERC. It is important that such submission be filed with FERC so that the City will have some say in how the plant is built if the City does not con- struct the plant. If at a later time the City decides to build the plant, then it would also have to abide by the above comments. 2. Notice .of Intent It is recommended that Common Council authorize the submission of a notice of intent to file an application for a license with FERC. This notice of intent allows the City 120 days to then prepare and file the application. The filing is a non-binding action which the City could decide to abandon at a later time. However, if the City is at all inter- ested in constructing the plant, in investigating a possible financial arrangement or joint venture with a second party, or in having more time to study the possibility of City involvement in the plant, it should file the notice of- intent to maintain a maximum .number of options. 3. Consultant Search If Common Council decides to file a notice of intent, then it is recom- mended that Council should authorize the initiation of a search for an engineering consultant capable of _preparing the preliminary plant design and cost estimates necessary for the submission of a license application. The Department of Public Works or the Department of Plan- ning and Development appear to be the most appropriate for conducting such a search. It is recommended that a contract with the consultant not be signed until Council reaches at least a preliminary decision to move ahead with City construction. The search for a consultant now while that issue is being discussed will save up to 30 days of the 120 day period for application preparation. 4. Negotiation It is recommended that Common Council initiate, or authorize an agent to initiate, negotiations with both Cornell University and Synergics. Such negotiations must be substantially completed before an application is submitted to FERC at the end of the 120 days,. thus the recommendation for early authorization. Many issues must be addressed, including the cost of land and water rights, the possibility of litigation, the possi- bility of royalty payments ,in lieu of taxes, the option of a joint venture with the City as a possible partner, and others. Information on these options is needed before Council can fully assess the feasibility of City construction of the plant. The Mayor, the City Attorney, the Director of Planning and Development; or a coalition of Hydropower Commission members may be an appropriate agent if Council members prefer not to negotiate themselves. RECOMMENDED COMMENTS TO FERC III (taken from the Proposals Committee report) A. Impact on Aquatic Life 1 . The minimum rate of flow proposed to be.maintained over Ithaca Falls is inadequate to fully mitigate impacts on aquatic life and to maintain a scenic quality of the falls satisfactory to City.residents'. It is recommended that both the initial minimum flow rate and the flow necessary for turbine start-up be increased at least 30% of the current proposals. 2. It is recommended that studies be initiated prior to the time of plant operation to determine the full impact of reduced natural flow over .the falls on the aquatic life. A before-operation and after-operation com- parsion should be made to determine the impact of the hydropower plant on fish mortality and aquatic habitats. The ultimate minimum rate of flow should be subject to modification if necessary to mitigate impacts identified in the studies. 3. The "best available technology", as identified by New York State Department of Environmental Conservation, should be incorporated in the design of the facility to reduce the number and mortality of migrating salmon smolts entering the penstock. 4. The tailrace shall be designed to enter Fall Creek above Plumbers Pool at an attitude so as to minimize negative impacts on streambed morphology and the character of the pool . B. Impact -on Aesthetic Quality of Site 1 . The increased rate of flow indicated in M . will reduce the damage to the aesthetic quality of Ithaca Falls. 2. , The power house should be located as close as possible to the hillside in the southwest corner of the development site, as far removed .from the stream bed as possible. 3: The powerhouse should receive exterior facade. treatment so as to blend the facility into the natural surroundings. Landscaping should also be used to restore the naturalness of the area. Said facade treatment and landscaping plan should be subject to review by the City Design Review Board. 4. The penstock from the end of the tunnel to the powerplant should be buried to prevent vandalism and defacement. 5: The switching yard should be built as an attachment to the powerplant, with appropriate exterior treatment and landscaping as identified in 5.3. 6. All transmission lines from the powerhouse should be placed underground to reduce intrusion into the natural area. Ir 7. The developer should be required to create a scenic distribution of water . over the dam and over the falls. Appropriate engineering design should be incorporated to minimize the amount of equipment in sight. C. Preservation of Public Access insure safe and easy access for the general -public blic to 1 . The developershall Y 9 P the stream banks and to the falls. 2. The tailrace should be covered at grade to allow public access to the stream on- both sides of the race. 3. Access to the powerhouse and to the intake structure should be unimproved and should be incorporated into the landscape design plan for the area. No permanent parking on the site is to be provided. 4. All land surrounding the powerhouse and associated development and at the falls itself should be deeded to or otherwise formally reserved -for the City residents as a public scenic and recreational resource. 5. The developer should be responsible for the enhancement of the recreational potential of the area, with all plans for recreation subject -to approval by the City of Ithaca. D. Public Safety 1 . The open channel upslope of the powerplant should be replaced by penstock to minimize safety concerns. 2. The tunnel constructed by Ezra Cornell should be utilized rather than filled, with appropriate provisions to prevent unauthorized access to the tunnel . 3. The tailrace should be buried, with appropriate provisions at its terminus to prevent unauthorized access into the tailrace. 4. An automatic bypass system should be incorporated into the design of the powerhouse to prevent a surge of water over the dam or through the overflow channel in the event of an automatic turbine shutdown. 5. An appropriate warning system should be installed to warn-area users of ex- pected increased flow rates associated with plant shutdown. 6. The powerhouse and all associated development should be designed in such a way as to minimize the possible adverse impacts of flooding in Fall Creek. E. Noise 1 . The "best available technology" should be incorporated into the design of the powerhouse and tailrace to minimize the noise emanating from the development. The City noise ordinance standards will be enforced on the site. 2. The powerhouse shall be designed so that the noise which escapes the building does so in a direction away from the residences near the site. F. Historical and Archaelogical Resources 1 . Negative impacts to potential archaelogical resources should be mitigated techniques as prescribed b the State I' through appropriate constructionq p Y DEC. Artifacts should be salvaged where possible and preserved. 6 f r E i i . i I OPTIONS FOR CITY INVOLVEMENT IN THE FALL CREEK HYDROPOWER PLANT APPLICATION PROCESS 1 . Do Nothing. The City could decide to do nothing,. to not get involved in the process and to leave the decision to the FERC. 2: Intervention. The City may file a petition to intervene on behalf of the. citizens and residents of- the City. If granted, the petition to intervene would .allow the City to be a party at any official hearing concerning the hydropower plant and to make official comments on the record. 3. Protest A. The City could file a protest objecting to the construction of a hydropower plant per se on Fall Creek. It could seek a ruling by FERC that the Ithaca Falls area would be substantially impacted by the facility and that the impacts cannot be mitigated suffici- ently. It would be necessary to discuss in great detail the environmental impacts anticipated and their long-term effect on the City. B. The City could file a protest objecting to the construction of a hydropower plant on Fall Creek as currently proposed by Ithaca Falls Development Association and Cornell University. It would be necessary to identify the weaknesses/problems in the two applica- tions and to point out more appropriate design parameters. The Commission and the Common Council would have to decide exactly how the plant should be designed. The report of the Proposals Committee will in all likelihood form the basis for this "preferred design." . II� - P n." .9 I page 2 f 4. Pre-emption f'. A. The City could decide to construct the hydropower plant itself. I- In this case, the City would need to go through the following process: j 1 . File a Notice of Intent with FERC. 2. Hire an engineer to begin preliminary design on the plant; the selected engineer should identify expected construction costs as soon as possible to allow a true economic feasibility study to be conduc- ted. 3• The Department of Planning and Development could pre- pare the application for the license. 4. Common Council would have to pass local law establish- ing the method of construction, financing and operation, as well as a maximum and estimated cost of construc- tion. This local law would .not take effect until approved by the City voters- -in a mandatory referendum held at least 60 days after passage of the local law. 5. Once the license is granted, the City must complete project design and begin construction within 24 months. B. The City could attempt to delay the project completely by filing a Notice of Intent, receiving the license from .FERC, but not initiating construction within the required-period of time. The City would then lose its license, and the licensing process would begin ,agai.n.-. The delay could cause currently involved parties to lose interest. C. The City could attempt to arrange a deal with a developer of its choice. The FERC regulat-ions make provision- for the transfer of a license to another developer, subject to FERC approval . The page 3 transferee must meet all the qualifications of the original licensee, and it must be in the public interest to make the trans- fer. The transfer can be contested and a rehearing held. Notwith- standing the potential problems, the City could secure. the license for itself,- 'work out an arrangement with- a developer of' its choice, then attempt to transfer the license to the developer. The City must also transfer all property rights necessary for the project at the same time. The legal issues involved in this option could be considerable, but so could the economic return to the City. MEMORANDUM To: Hydropower Commission r From: Bob Dowski Joey Pierce Re: Federal Regulations Governing Small. Scale i Hydropower Development Date: March 30; 1982 In order to fully understand the process in 'which the City of Ithaca is currently involved concerning the proposed hydropower plant, it is necessary to understand the federal laws and regulations which govern the licensing and development of hydropower facilities. Following is a discussion of these laws, their background, their implementing regulations, and their effects on the City relative to the existing situation. Historical Background i American legal attitudes concerning waterpower can be traced back to the riparian doctrine and its roots in English Common Law. Under riparian doctrine, ownership of the water is conceptually separated from the right to use the water. The water is owned by the state, on behalf of the public. The right to use the water is vested primarily.-in the individual owners whose land abuts, or is . riparian to, the watercourse. Because of these concurrent ideas of public owner- ship and private use rights, riparian law was developed with explicit reference to the often conflicting private and public aspects of water resource use. Contemporary involvement in water power regulation is based on the paramount authority of Congress to regulate interstate commerce under the commerce clause of the United States Constitution. The U. S. Supreme Court has interpreted the reach of this authority in an expansive manner. It has also accepted a highly inclusive definition of what constitutes navigable waters for purposes of federal law. Enabling Federal Legislation Current government regulation of water power development is authorized by two primary statutes - the Federal Power Act of 1920 (FPA) , and the Public Utilities Regulatory Policies Act of 1978 (PURPA) . The FPA created -and empowered the Federal Power Commission, now known as the Federal Energy Regulatory Commission (FERC) , to develop a 'comprehensive and effective administrative scheme for developing the energy potential of our water resources. The FPA has. been amended numerous times since its inception in an effort to improve its effectiveness and provide increased development of water power potential . k -2- In its role as coordinator of_waterpower development, FERC, through the FPA and subsequent court decisions, appears to have been given preemptive authority over state and local government actions. The FPA estab- lishes a dual system of control , under which state regulations may function only if they can be enforced without impairing the federal superintendence of the field. In 1978 PURPA,.removed barriers. that Congress .believed were inhibiting the development of small hydro projects. , Section 202 of PURPA authorized FERC to require that private utilities connect their transmission facilities- with qualifying hydro facilities. Section 210 requires utilities to purchase electricity generated by hydro and other small producers and prescribes rules governing the price that utilities :must pay the developers. Also, under Section 210 FERC may wholly or partly exempt qualifying hydr6. facilities with a maximum capacity of 30MW from federal and state laws and regulations governing rates, finances, and organization of utilities. In 1980, the Energy Securities Act (ESA) amended several sections of PURPA, giving FERC discretion- to exempt projects of 5MW or less from all or part of the licensing process. A recent federal court decision has struck down some of the rules. FERC has issued pursuant. to PURPA concerning the rate utilities have to pay developers for their power and the requirements pertaining to interconnection. The full impact of the court's action is not yet clear. In addition to these primary statutes, FERC must respond to the provisions of -at least five other major federal statutes in the process of reviewing license applications. Licensing Procedure for Small Scale Hydroplants FERC, under the statutory authority of the Federal Power Act and PURPA, has promulgated comprehensive regulations governing the licensing of hydro- power projects. The following description outlines the process for small scale hydropower projects of less than 5MW. 1 . File declaration' of intention - Failure to inform FERC of potential development of a site subjects the developer to the penalty provisions - of the FPA if construction proceeds without a license. 2. Determination of jurisdiction - FERC reviews the declaration of intention to determine whether - it has: jurisdiction over the project. 3. Preliminary permit (optional ) - A preliminary permit allows a prospective developer to study a potential hydropower site for up to three years while maintaining priority to file an application for license. 4. License application .- The license application describes in greater detail the dimensions and potential impacts of the proposed develop- ment. Consultation with a variety of federal , state and ,3- local resource agencies is required prior to submittal of an application. r, 9 q 5. Exemption application - If a potential developer has sufficient real property interests; he may file for an exemption from .all or part of the licensing process. Exemption applications, all other things being equal , have the highest priority in the licensing process. F 6. Filing applications with FERC - Potential developers may file fora preliminary permit, license application or an exemption application. A number of regulatory provisions encourage applicants to file the "best plans" they can the first time they file. The timing and type of application filed affect the applicant's initial standing. Notice of all filings iare published in the Federal Register and in local news- papers. A public comment period extends for 60 days from the date of issuance of the notice. 7. Processing and review of applications - FERC reviews the application and the issues raised by consulted agencies and in public comment. FERC may require a developer to address the issues raised during consultation and comment. Technical analysis of the advantages and disadvantages of competing applications by the potential developer is encouraged. Within the review process, FERC must respond to the mandates raised by seven other federal statutes ensuring protection of environmental values. 8. Commission acts on license application - '; FERC seeks to ensure comprehensive development of a given t water resource, consistent with protection of environ- mental values. Competing applications are judged on the relative merits of development plans, nature' of application, time of filing of application, and ability to develop. The project deemed "best adapted" to develop the "full waterpower potential of a site" will prevail . FERC may issue a license with conditions attached in order to satisfy some of the concerns raised by consulted agencies or interested parties. The issuance of the license is an authorization to proceed, assuming other necessary permits are obtained. City Options for Involvement There are several options for City action in the licensing process, depending upon the outcome which the City desires. The following is an outline of the various alternatives for .City involvement. 1 . Complaint The City may file a complaint with the FERC regarding anything done or omitted to be done by any licensee, P public utility or natural gas company .in contravention of an act, rule, regulation or order.-administered or issued by the Commission. For example, if the plant is built by a developer but not in strict accordance with the approved design, the City could file a complaint to force compliance. -4- 2. Petition The City may file a petition for relief under any statute or authority delegated to the FERC for .any of the following . .purposes: a. for the issuance, amendment, waiver or repeal of a rule by the Commission b. for the issuance, in the discretion of the Commission, of a declaratory order to terminate a controversy or. remove uncertainty c. for the appeal from the actions of staff which would other- wise be final . The City could, for example, file a petition that the FERC make a declaratory ruling that the Ithaca Falls area not be developed for hydropower use because of the environmental impacts involved. 3. Intervention The City may file a petition for intervention on the grounds that the City is a consumer of electrical energy from NYSEG and that it is a protector of the public interest through land use and zoning control . If granted, the petition to intervene would allow the City to be a party at any official hearing concerning the hydroplant and to make official comments on the record. 4. Protest Any person, group or municipality objecting to the approval of- an application, etc. , under review by the Commission may file a protest. The City could, for example, file a protest to the construction of the power plant, or it could protest the proposed design- and suggest modifications or conditions which should be attached. It should be noted that the filing of a protest -does not make the protestant a party to any legal proceeding; a separate petition to intervene is required for that. 5. Preemption The City, as a municipality, is provided the opportunity to preempt a private developer and receive the license itself. The City would have to file its own application for a license, have its plans considered at least "equally well adapted" to the site, prove its legal ability to develop such a site, and be prepared to proceed with construction within a designated time period, usually 24 months. A notice of intent to file an application for a license should be submitted by May 6, 1982 if this option .is pursued; the City would then have 120 days to develop its application. -5= 6. Extension The City could file for an extension to the 60nday public review period currently going on. Application for exten- sions must be filed before 4/5 of the time period in question has expired. Action. by the Commission typically requires 2-3 weeks. A 30- or 45-day extension might be possible for the City. FERC does not usually grant extensions except under extenuating circumstances; on-the other hand, the Commission has recognized that municipalities require a 'longer period to act than .does a private citizen. If an extension of time is not granted, then any action by the City must occur on or before May 6, 1982. 1 PRELIMINARY REPORT AND RECOMMENDATIONS OF THE ENVIRONMENTAL SUBCOMMITTEE OF THE ITHACA HYDROPOWER COMMISSION April 6, 1982 The Environmental Subcommittee was charged with evaluating the environmental impact of the construction and operation of a hydropower electricity generating plant below Ithaca Falls. Though the Falls -area is privately owned, its use as a public park and .fishway resource and its status as one of Ithaca's major natural landmarks makes the future of the Falls area development of great concern to the citizens of Ithaca. The Committee recognizes the contribution such a plant would make to the national and state goal of securing clean energy sources. These benefits are summarized in an appendix to this report. The benefits of such a plant however must be weighed against the possible environmental costs. The Committee ha's identified three major concerns, as, well as other environmental issues that should be considered in any decision regarding the building of,a hydroplant at Ithaca Falls. These major concerns are i) aesthetic and scenic impact on the Falls, J i) the possible adverse effects on fishing and aquatic life below the falls, and iii) the guarantee of public access to the Falls area and safety should a plant be built. . These issues are discussed in the Appendix of this report. On the basis of site visits of the Committee to the existing Cornell hydro plant and the Falls area itself and discussion with local fishing experts and local Conservation and landmark representatives the Committee makes the following recommendations: 1 . The Committee believes that the proposed flow. rates-of 30-32 cubic feet per second (cfs) by the two potential developers will signi- ficantly affect the scenic quality of the Falls for nearly 200 days each year. The Committee recommends that if a plant is built that -the minimum flow be no lower than 50 cfs during plant operation. 2. The Committee believes there is cause for concern- for the effect of a decreased flow rate on- the passage over the Falls of land locked salmon and rainbow trout smolts from a major State frye stocking program in the spring and early summer of the year. 3. There is also reason to believe that low flow rates in the winter months will increase the amount of frazzle and anchor ice between the Falls and the plant outflow which might threaten the insect population that is necessary for the production of fish in the Falls area. -2- 4. The Committee recommends that, if a plant is built, it not be located along the edge of Fall Creek. A creek edge plant site would detract from the scenic beauty of the Ithaca Falls gorge entrance and would prevent the movement of people along the creek. 5. The Committee was also concerned that public access to the Falls by crossing an open channel with fast moving water, might-eventually lead to fencing and closing public access due to insurance require- ments on the developer. The Committee recommends that any outflow channel be covered to avoid unsightly fencing and insurance problems. For example, the plant might be able to use the old outflow tunnel . 6. The Committee recommends that the City explore ways to guarantee permanent public access to the Falls and to maintain this site as a natural scenic and recreation area such as through long-term lease,- purchase of easements or outright purchase of the property by the City or State. 7. Finally, the -Committee recommends that for the best protection of . the Falls scenic and ecological environment, that if a hydroplant is built, there be some degree of community ownership or control . -3- DISCUSSION Uniqueness: A Scenic Landmark_Within The City What is not made clear to the Federal Energy Regulatory Commission by the two potential developers in their application is .the fact that Ithaca Falls and its gorge is located within the City and adjacent to a residential neighborhood. The views of the Falls and fishing are within easy walking- distance of the young and the elderly as well as others in the Fall Creek neighborhood. Low Flow Impact: The primary impact of the operation of a hydroplant will be the decrease of water flow over the falls. Low flow days of less than 40 cfs will increase for both the Synergics and Cornell plans by from 190-200 days ra-ising the sub 40 cfs to 270 days or about 9 months of the year. This can be seen in three graphs (Figures 1 , 2, 3. ) The horizontal axis gives the flow rate and the vertical axis represents the number of days at a given flow rate, Figure 1 shows the natural distribution (based on data from the last five years) and Figures 2, 3 show the Cornell and Synergics operation respectively. What is immediately clear is that the occurrence of the flows over the falls between 80 and 600 cfs will de- crease sharply under the operation of either hydroplant and the number of sub 40 cfs days increases in both plans. What this plan does not show- is that periodic surgency of the falls -and the plunge pool in the summer, due to scattered heavy rain storms, will not occur under either plan. One plan that has been discussed by the Committee is for a plant, if built, not to operate during the summer months for both tourist reasons and to allow high flows to purge the falls area on those rare days if greater than 50 cfs. .Fishing: There are at least three areas of concern as regards the effects of a hydroplant on fishing along Fall Creek. With the dredging of the north end of the creek bed for flood control , the best fishing will remain near the falls above the Lake Street bridge. The location of the plant and its outflow can affect access of fisherman and movement along the creek. For this reason, the Committee recommends that ,a plant not be built directly alongside-the creek edge. The second concern is the effect the low flow over the falls will have on the passage of land-locked salmon and rainbow. trout down Fall Creek, over the falls, and into Lake Cayuga. The State DEC has a major frye stocking program up- stream along the tributaries of Fall Creek. An estimated 200,000 frye are stocked each year. An estimated 20,000 smolt survive to come down Fall Creek in late spring to go over the falls on their journey to Lake Cayuga. -Low flow over the falls of 32 cfs during late April , May and each June, when normal flows might range from 50-200 cfs, might mean a higher mortality rate of the. smolt in trying -4- to get over the rocky cliffs of the Falls. The Committee was unable to obtain definitive data on survival rate of fish over the falls for different flow rates, but the matter is an important one for study and concern. Another possible effect on the fishing is the low flow rates over the falls during the winter months. There is some speculation that a lower flow _ might result in a higher amount of frazzle ice in' the plunge pool and that ice could eventually increase the anchor ice lining the rocks beneath the- creek bed below the plunge pool . A build up of anchor ice might affect the insect ecology in this area .and deplete part of the food chain necessary for.fish production. Insect larvae and other aquatic life live among the rocks along the bottom during the winter months. For certain species such as the small mouth bass, the plunge pool in Fall Creek provides a significant supply of fish for the southern end of Lake Cayuga. Public Assess: Continued public access to the Fall Creek gorge from the Lake Street bridge to the base of the falls is a major concern of the Committee. As was I already mentioned, the proximity of the falls area to a city neighborhood and school enables the young "Huck Finn" to find fishing and adventure within easy walking or biking from many parts of downtown Ithaca. Access not only means the present Youth Park along Lake Street but the ability to walk along the creek right up to the base of the falls. As one Committee member put it, "If we can't get our face wet, we're not close enough." The falls are part of the bicentennial Circle Greenway hiking trail and the ability to walk into the gorge up to the base is a unique attraction of this hiking trail . The Committee was particularly worried that the construction of a tailrace open channel from the plant to the creek would prompt City and insurance officials to require fencing around the channel . Fencing and a single foot bridge over the channel was deemed unsightly and aesthetically unacceptable to the Committee. Thus we recommend that a covered channel be used or. that the developer explore the use of the old tunnel that parallels Lake Street. Some members of the Committee were also worried about required fencing along the open channel above the falls which might detract from the- lovely falls overlook area off of Willard Way. Liability and insurance threats to close or restrict public access to the falls area, if it is used for industrial purposes, was another worry of the Committee since similar cases have occurred in the City's Six Mile Creek Water- shed area. k To guarantee public access to the falls over the life of the hydroplant, the Committee believes some arrangement with a potential developer (if not the City itself) should provide for public use of the area without legal liability or in- surance restrictions. One member'has .suggested that the developer (private or public) deed the site to the City*or State for a natural recreation area as a ...... .. ... .. ... . ........ ............................... ..>,:,......,.,.,..,,>,:..,.........,... -5- "quid pro quo" for losing the year .round scenic beauty of the falls. Other arrangements could involve long-term lease of the land to the City for natural scenic area or park. It was also agreed that the land now designated as a Youth Park be cleaned up. Noise: Another potential problem .is plant noise. The Committee during its visit to -the present Cornell plant, measured 100 decibels at the generator and over 90 decibels sound level inside the building housing the turbine and generator. This condition was with only one turbine in "operation. Since both proposed- plants are closer to Lake Street than they are to the falls, the possibility of noise leaking out of the building through ventilation duct"s or windows or through the building itself could detract from the natural ambiance of the gorge setting. Noise control should be addressed in any plant design proposal . Architectural Compatibility: Some members of the Committee felt strongly that the plant building should be aesthetically compatible with the natural beauty of the gorge setting and should not stick out visually. Several members have suggested stone or brick facing material be used, particularly if the building is placed alongside r the south wall of the gorge. i DIS'T,ACEMENT OF FOSSIL FUELS--THE POSITIVE ENVIRONMENTAL IMPACT . Is the proposed hydroelectric facility at Ithaca Falls worth the sacrifice, at .least in part, of a•major scenic and recreational resource in the City of Ithaca? At first blush it may appear not because the- 1.75 to 3 Megawatts peak power it would generate under current proposals is small compared with the approximately 25MW drawn by each of the City of Ithaca or Cornell University,alone. 'By the same token, the 8 to 8.6 million kilo-watt hours (kwh) it would produce on the average annually seems small compared with the 150 million kwh (approx) used by each of the city or university,alone. However,small scale hydroelectric facilities have a number of virtues and benefits. These include: 1. The fact that such plants can be developed and controlled on "a local scale-- by "a city,university/institution or business industry. 2.Locally controlled hydroelectric plants are not vulnerable to the policies and politics ofoutside suppliers; the resource cannot be depleted or delieberately with- held. 3. Small scale_hydroplants avoid the* large scale land use impacts of large nuclear_, fossil and hydro facilit:4es. - 4. Small hydroplants, though each indivdually displacing only a small fraction of i, fossil/nuclear-generated power can have a significant cumulative impact in displacing these health and environmentally hazardous sources. 5. The development of a small hydroplant by one community/instituU on/business can serve as both an example and incentive to others, and help set in motion more serious consideration of energy alternatives in general by federal/state governments and utilities. 6 In its application, Cornell University stated that its" proposed facility t; would displace 4000 tons of coal annually that NYSEG would otherwise have had to burn. Over the approximate (low side) 30 year lifespan of the plant, 30x4000-12000O tons of coal would be displaced--another "cumulative" benefit. Synergics, the "Ithaca . Falls Development Assoc." describes its proposal in terms of .oil displa cement--10800 barrels annually or 324,000 over 30 years would potentially be displaced. CU (Application p Eiv-Ella,EII-Ella) states: "The most beneficial environmental effect of the proposed hydroelectric plant is the reduction in coal-fired pollution. The I{ plant will produce approximately 8,600,000 kilowatt hours a year, using a method of generation that,along with solar power, is considered the "cleanest" type of energy. This clean energy will directly replace about 4000 tons of" coal that New York State Electric and Gas would have to burn to supply this amount of energy. Although the energy the hydroplant would produce is only a small percentage of NYSEG's total output, it is environmentally significant z'eductioa in coal use and its associated sulfur, ._ nitrogen oxides and carbon monoxide pollution./new para. The proposed hydropower plant would produce enough electri(ity to equal about 5% of the University's consumption. Togehher with the upstream Cornell University Hydroplant I, the electricity generated by hydropower at Fall Creek, would supply almost 10% of the University's consumption." P Synergics states:"If the project is not approved, the additional power generated from the proposed installation would be generated from fossil fuel. The proposed plant will 4ave approximately 10,800 barrels of oil per year". In a letter to Henry Doney dated 12/31/81 City Planning Director H.M Van Cort stated: "Anything that promises to reduce dependency on non-renewable resources deserves to be given a chance - to prove itself". Alderman Dan Hoffman (5th Ward) in a statement before the Ithaca City Energy Commission's January 21 meeting noted: "Most of our electricity in New York State. . .is now generated by large coal,oil and nuclear-powered plants. . Coal and nuclear especially have devastating health and environmental impacts associated with their mining and use as 'fuels. . I 'bel`ieve we must find safer alternatives that can reduce our dependence on fossil fuels--the sooner the better. .. -I think the future of- fossil fuels as a reliable, affordable energy source is uncertain,at best,due to economic-,political and supply questions beyond our control. Development" of. local,renewable power sources could give our community a new measure of self-reliance and security that could be invaluable in. the event of major disruptions of energy supply". Hoffman ended his statement by noting that while Fall Creek may not .be the right or- best location for hydroelectric power,"we should guard against an attidtuee that fails to take- into account the big picture, that' _protects our own backyards for now, but which avoids the unpleasant consequences of our present energy path".. Problems Associated With Fossil Fuels 1. Carbon Dioxide. (CO2) Build tip--considered by some experts to be the worst and least manageable problem associated with coal combustion. "The Greenhouse Effect"--C62 content in the atmosphere has increased 7% since 1958 and 15-25% since 1800 (the begin- ning roughly of the- Industrial Age). The greenhouse effect is when CO2 allows incoming shortwave radiation to pass through thethe earth and traps outgoing infrared heat radia- ted by the earth. Unless this is offset by other climate-related factors, increased stmos_ pheric concentration of CO2 will eventually raise average temperatures of *the earth's surface. It is estimated that a doubling of atmospheric -CO2 combustion could raise average global temperatures almost 3 degrees C (5.4F). and increase the winter average in the north polar region 7-10 degrees. CO2 build up could cause changes in wind direction and speed,ocean currents and precipitation patterns. Polar ice could melt,sea levels rise forcing gradual evacuation of heavily populated coastal areas. Agricultural patterns could change as well. According to the New York State Energy Office in its March 1980 State Energy Master I Plan (chart attached), the generation of 1000 kwh of electricity by coal would result in the emission of .42 lbs of Carbon Monoxide CO), and by oil ­36 lbs. CU's 8,600,000 kwh would displa4be .3612 lbs of CO( I:8"-tons�'cr�E-ited-bY -boar and-3092_(1.5 tons_ ) .created by oil. For Synergies, the CO emission displacements for coal and oil are 3360 and 2880, rrspectively. Those are annual figures;multiplied by a 30 year lifespan, a yet more significant is obt gures n d. (fi A aTn 00 by dividing 8600000 qnd 80000 by 1000 and multiplying the ,; results, 8600 and 8000 by the amounts given in the State Energy Master Plan--SEMP). .2. Acid Rain. Effects on aquatic ecosystems,soil systems,vegetation ,buildings and sculptures;also heavy metals released by acid rain may effect human health. (EPA 14-18; . 24-27). According to The Energy Factbook (p,39) by California University::Professor of Electrical Engineering Richard C. Dorf, the U.S. produced 650 million metric tons of coal in 1977. For that same year, the Environmental Protection Agency (EPA) in its booklet "Acid Rain--ref. above) stated that 27000000 metric tons of Sulfur Oxides(SOX), one of the two primary ingredients of acid rain,were put into the atmosphere by U.S. "man-made" .. sources. 70% of that, or 18,900,000 metric tons resulted from coal combustion. (6 % of that was electric generating stations--12,285,000 tons--slightly u&der half). Petr�um combustion as responsible for 16% of SOX emissions approximately 4,320,000 metric tons. Sate Energy Office figures show that 1060 kwh of coal-generated electricity. caused 'emissions of 30,18 lbs of SOX; of oil generated, 11,58 lbs of SOX. Again,multiplied :by 8600, the CU displacement figures are 259,548, lbs(130 tons) for coal; 99,588 (50 tons) of SOX for oil. For Synergies, yearly SOX displacement figurs for coal and oil,respectively, are 241,000lbs and 92,640 lbs. ( A metric ton is 2,205 lbs or 1000 kilograms;a ton is .907 metric tons). The EPA states that 56% of all NOX emissions in the U.S. were from "stationary" as - opposed to mobile sources (44%); one-half of the emissions from stationary sources were i. fossil-electric plants, or 28% of the total. This comes out to a total of 6,400,000 metric tons out of a total of 23000000 metric tons of NOX. For NOX emissions per 1000 kwh, the SEO gives the same figures for coal and oil, , 7.64 lbs._ Displacement of either by CU's planned generation would prevent 65,704 lbs of emissions (appro 33 tons) and 61,126 for Synergies. emEff cts of sulfur oxides on human respiratory systems -contributory to lung cancer, emphya e c For every ondo coa urn sm fcufistFeetml,Z grleee a sposoalof coal waste afterwards, 3 5. Coal mining is one of the most hazardous of occupations. Coal miners have suffered 2 times as many disabilities as other high-injury industries. At the rate of fatal accidents occurring in the 19601s, a person working a lifetime in an underground mine has a Lin 10 chance of being killed on the job. Black Lung contributes to 3000-4000 deaths in the U.S a year. Nuclear--briefly Although nuclear generation would not be directly displaced by the proposed facility, there are 5 nuclear plants currently "operating" in NYS (3 are shut down for varying periods of time ranging from a month to a year) and 2 being built--both of which have had vast cost overruns. NYSEG owns 18%, of the under construction(and .controversial Nine Mile Two. 1. Proliferation--it is increasingly being seen as doubtful as to whether the "peaceful -and "warlike" atom can ever be completely separated. Related concerns are nuclear diversion, theft, getting into the hands of terrorists etc. 2. Radioactive waste disposal--longevity of toxicity of fission products, incertainty regarding best geologic medium,wate encapsulation storage etc. 3. Accident possibilities--Three Mile Islan�,Brown's Ferry, RE Ginna. Smaller mishaps tesulting sometimes in "small" radioactive release. Long outage periods etc. 4. Low level radiation in nuclear fuel cycle from mining and milling to transportation of waste from reactor. R. Pohl has done work showing Radon : gas"decayed" from Thorium causes lung cancer. 5. occupationa l exposure. Incidents of radioactive spills, "hot" areas, deaths of* Uranium miners--not same magnitude as coal but lung cancer has taken or is expected to take 600-1100 according to Union of Concerned Scientists. Small Hydro Potential In NYS The State Energy Master Plan (SEMP) states that the potential for small scale hydro in NYS is 725MW according to its Base Plan,with an additional potential mf 325 MW, for a total of 1050MW, the size of one large power plant. According to the New York State Energy Research& Development Authority (NYSERDA), 1129 MW of hydro can be developed j at 05¢hour or less. The NYS Energy Office estimated that 1050 MW of small hydro can be developed by 1996 at a cost of 7.5¢/kwh. Among the potential sites listed in a study by the Polytechnic Institute of New York were 7 in Tompkins County including.the .Beebe Lake hydro plant,which has been re-activated, and the Ithaca Falls site, the largest of the 7. The PINY study was used as a basis by NYSERDA and the NYSEO. I 'REFERENCES NEW YORK STATE ENERGY MASTER PLAN AND LONG-RANGE ELECTRIC AND GAS REPORT:Final Report March 1980 NYS Energy Office--James L. Larocca , Commissioner NEW YORK STATE ENERGY MASTER PLAN: Master Plen II DRAFT Report August 1981 THE ENERGY FACTBOOK Richard C.' Dorf,University of California 1981 ENVIRONMENTAL QUALITY: THE ELEVENTH ANNUAL REPORT OF THE COUNCIL ON ENVIRONMENTAL QUALITY December 1980 ENERGY: THE NEXT TWENTY YEARS--A Report Sponsored by the Ford Foundation and Administered' by Resources for the Future 1979 OUR ENERGY:REGAINING CONTROL Marc H Ross and John H Ailliams 1981 ANEW ALTERNATIVE TO COMPLETING NINE MILE POINT UNIT 2 NUCLEAR STATION: Economic and Technical Analysis Environmental Defense Fund 11/81 BEFORE THE FEDERAL ENERGY REGULATORY COMMISSION COMPETING APPLICATION FOR LICENSE FOR A MAJOR WATER POWER PROJECT, 5 MEGAWATTS OR LESS Cornell University 1/28/82 Ithaca Falls Development Association (Synergies) 1 :/82 AIM FIGURE.V-F-29 IMPACT OF ELECTRIC GENERATION PLAN ON ENVIRONMENTAL RESIDUALS A f 1978 1984 1994 Non-Radiological ? Sox (1 55 tons) 5.520 5.527 6.61' NOx(10s tons) 2.687 2.412 3.22 AA 0 CO (104 tons) 1.418 1.344 1.9a Particulates (104 tons) 4.698 5.403 8.32, 4.953 4.573 6.18, J Hydrocarbons (103 tons) Solid Waste-Ash'(105 tons) 8.340 17.26 44.17 • Solid Waste-Sludge(10s tons) -- 1.607 40.30 Solid Waste-Land Use (acres) 15.85 35.91 161.2 Thermal Rejection-Air(1014 Btu) 1.505 1.371 2.29( ` Thermal Rejection-Water(10" Btu) 6.390 6.172 7.58 Radiological Liquid Effluents' (102 curies) 17.64 18.79 21.29 Atmospheric Gaseou52(103 curies) 67.32 69.54 82.41 Atmospheric Particulates(curies) 5.694 4.891 .7.49 Lowy-level Waste, Volume(103 cubic meters) 3.817 3. .82' Low-level Waste, Activity(104 curies) 1.618 1.5448 2.04, Spent Fuel, Volume (cubic meters) 73.20 73.38 90.78 Whole Body Dose (102 Man-rem) 3.547 3.560 4.39 f - 'Tritium and non-tritium. 2Tritium, C-14, Radioiodine, Noble Gases (Krypton-85 and others). FIGURE V-F-30 ENVIRONMENTAL RESIDUAL FROM GENERATION OF 1000 KWH ELECTRICITY i Fossil j Coala RDF- Oilb Wood 1 2 3 Coal 1 2 3 Water-Thermal (106-BTU) 6.0 5.0 4.7 5.0 5..2 5.1 4.4 - Atmospheric Particulates (Ibs) .38 2.24 ,3 2.3 .32 .94 .66 .6 NOx(Ibs) 7.52 7.64 5.87 7.64 5.54 7.64 2.78 8.2( Sox (Ibs) .92 30.18 5.87 16.24 6.50 11.58 7.40 1.7( HC (Ibs) 3.1 .12 .12 .12 - .1 .1 .61 CO (Ibs) 3.1 .42 A_ .42 - .36 .32 1.81 Thermal (106 BTU) - 2.0 1.7 2.0 - 2.2 1.4 11.7 Solid Wastes Ash (Ibs) 52.9 108.0 102.0 108.0 178.0 - - - Sludge(Ibs) - - 342.5 - 298.1 - - - - Nuclearc 1 2 Radiological Liquid Effl.-Tritium & Non-H3(10-6 curies) 12.2 11.9 59.2 Low-level waste volume (10-4 cubic meters) 1.4 1.4 0.6 Spent Fuel Volume (10-b cubic meters) 1.7 1.7 1.7 Atmospheric Gases (10-4 curies) 10.4 10.2 19.2 Atmospheric Particulates(10-8 curies) 3.5 3.5 0.8 Dose-Whole Body-Population (10-6Man-rem) .8.5 8.3 8.5 Thermal-Atmospheric (106 BTU) 6.8 - - -Water(106 BTU) .12 6.7 6.7 'Coal Plants: 1-Existing;2-New Source Performance Standards;3-Conversions from oil. boll Plants: 1-Existing Steam; 2-Old NSPS; 3-Gas Turbines. cNuclear Units: 1-BWR;Cooling Towers, New; 2-BWR, Once Through, New; 3-PWR, Once Through, New. dH3, C14, Radioiodine, Krypton-85, Other Noble Gases. 159 Energy and the Environment 181 D ANNUAL EMISSIONS OF A 1,000 MEGAWATT COAL-FIRED POWER PLANT USING EASTERN U.S.COAL Cast Gaseous and Liquid r of Dollars) Carbon Monoxide(Tons/Year) 640 Carbon Dioxide(Tons/Year) 6,710,000. 5 Sulfur Oxides(Tons/Year) .7 No Controls 111,000 Wet Limestone Scrubbers 15,000 7 Aritrogen'Oxides(Tons/Year) 9 No Controls 20,300 Wet Limestone Scrubbers 17,900 r 16 Released Particulates(Tons/Year). 32 No Controls 45,200 Precipitator 5,226 Solid Fly Ash or Slag(Tons/Year) brced draft No Controls 280,000 it and cool- Wet Limestone Scrubber 89.7,000 ' y climates. Thermal ugh finned Waste Heat (Megawatts) ive-to con- No Controls 1,560 to the cost Wet Limestone Scrubbers 1,860 360 a 340 f 87 Billion 00 0 � 00 o go 320 c A v c During the past decades, the combustion of _ fossil fuels has increased the atmospheric con- 3 00 centration of carbon monoxide from 300 parts per million (ppmy.to 320 ppm in 1970. The dotted line projects the increase of the mean rojected) value of CO2 in the atmosphere.A debate con- tinues regarding the effects on the earth's ' climate of this increase of CO in the atmo for fossil 1955 1965 1975 1985 1995 sphere. L. 77 ... ;..,.... HYDROPOWER COMMISSION Preliminary Report of the Proposals Committee 1 Introduction• The Proposals Committee reviewed the Environmental Committee's report on the proposed hydroelectric facility at Ithaca Falls and identified five primary areas of concern. These. concerns were reviewed and mitigating measures were dis- cussed. A "Best Possible Design" plan was formulated, incorporating the most desirable mitigating measures identified. Each proposal was then compared to this "Best Possible Design" and the specific areas of -concern raised by the Environmental Committee. Proposals were assigned a numeric value of 1 , 3, or 5, depending on the extent the areas of concern were addressed in each, proposal . A value of 1 indicates the proposal does not address a given area of concern at all . A value of 3 indicates the proposal does address a given area, but not, in our opinion, sufficiently. A value of 5 indicates the proposal addressed a given area of concern as well as the "Best Possible_ Design". Proposals are evaluated only once for each concern, even though the concern may be expressed under several topical headings. Major Areasof Concern: 1. Scenic Impacts a. Reduced flow rates over the Falls b. An increase in the number of days of reduced flow c. Uniqueness -of the Falls within the City d. Design, placement, and external appearance of the powerhouse 2. Aquatic Life a. Increased mortality of migrating salman smolts b. Decrease in quality of habitat in plunge pool and adjacent stream bed C. Reduced access by aquatic life to plunge pool through the. riffles area due to lower flow rates d. Increase in anchor ice formation and subsequent negative impacts on aquatic invertebrates 3. Public Access a. Siting of plant away from streambank to minimize negative impacts b. Access over tailrace by visitors and fishermen c. Access to plumbers pool and streambank area to east .and west of pool d. Formal assurances of continued public access 4. Safety and Noise a. Open tailrace and open channel upslope at� powerplant, use of Ezra's tunnel b. Placement and design of powerhouse c. Variable flow rates of water over dam; water surges d. External noise levels at powerhouse during operation -2- 5. Historical Archeological Resources a. - Preservation of the historical character of the area b. Sensitivity to archeological potential of area and- preservation of� any artifacts found during development "Best Possible Design" 1 . Scenic a. Flow rates increased from a' minimum of.32 cfs to 50 cfs to mitigate adverse scenic and aquatic impacts associated with low flow conditions CU - 3. Syn. - 3 I b. Powerhouse located as close as possible to embankment in southwest corner of development site CU - 3 Syn. - 1 c. Exterior treatment and landscaping used to blend facility into natural. surroundings, Architectural and landscape designs should be subject to review and approval of City Design Review Board t J PP Y 9 CU - 3 Syn. - 3 d. Penstock from the end of Ezra's tunnel to the should powerplant be buried to prevent vandalism and defacement CU - 3 Syn. - .3 e. Switchyard should be built as an appendage to the plant, with exterior treatment and landscaping CU - 1 Syn. - 5 f. Transmission Line from the switchyard to utility interconnection should be underground CU - 3 Syn, - 1 g. Low flow release weir should be placed to maximize distribution of Water over falls during low flows. Associated structures may be used on creekbed between dam and fall 's edge to ensure even dis-. tribution of low flow water over falls CU - 1 Syn. - 1 2. Aquatic a. "Best available mitigating technology" be used to reduce mortality of migrating salmon smolts through hydro facility, based on NYSDEC recommendations CU - 3 Syn. - 3 r � b. Continued monitoring and research of facility's impact on fisheries resource. Subsequent changes in design and operation based on re- search findings and NYSDEC recommendations, CU - 1 Syn. - 1 c. Increased flow to 50 cfs will mitigate impacts on plunge pool and downstream riffle zone and those associated with anchor ice d. Tailrace shall be designed to enter stream above plumbers pool at an altitude so as to minimize negative impacts on streambed morphology -3- and. character of pl.umber's pool CU - 5 Syn, - 1 3. Public Access a, Siting of powerhouse as close as possible to embankment will minimize access restrictions b. Tailrace should be covered and buried below grade, or area regraded to accomplish the same, to eliminate access problems of safety P concerns CU - 1 Syn. - 1 c. Access road to powerhouse and. to intake structure (if needed) should be unimproved and incorporated into landscape design plan of area, subject to review and approval by City Review Board. No parking lots are recommended CU - 3 Syn, - 5 d. All land area surrounding the powerhouse, associated developments and the Falls itself should be deeded or otherwise formally trans- ferred to the city as ,a public scenic and recreational resource { CU - 1 Syn. - 1 i e. The area between the Falls and the Lake Street bridge should be improved and subsequently maintained by the developer to increase I its recreational potential , accessibility and safety CU - 3 Syn. - 3 4. Safety and Noise a. Open channel upslope of powerplant should be replaced by penstock to minimize safety concerns CU - 1 Syn. - 5 b. Ezra's tunnel should be utilized, with appropriate provisions to deny unauthorized access, to preserve historic character of site CU - 5 Syn. - 3 c. Tailrace should be buried, with appropriate provisions at its terminal end to prevent unauthorized access and to minimize safety concerns associated with an open.tailrace d. "Best available control technology" be used to minimize noise eminating from the powerhouse in order to meet city noise ordinance requirements CU - 3 Syn. - 3 Ir e. Automatic bypass system be used to prevent a surge of water over the -dam in the event of an automatic turbine shutdown CU - 5 Syn. - 1 f. An audible warning system be installed to warn area users of in- creased flow rates associated with plant shutdown CU - 5 Syn. - 1 COMPARISON OF PROPOSED HYDROPOWER PROJECTS Issue Cornell University. Ithaca Falls Development Association' , I. Project proposal 1. Plant energy capacity 1. 3 Megawatts 1. 1.75 Megawatts 2. Estimated annual .energy production 2. 8,600,000 kilowatt hours 2. 8,000,000 kilowatt hours 3. Generating units 3. Two generating units: 3. Two generating untis: a. 2000 - KW capacity synchronous unit a. 750 _ KW capacity unit b. 1000 - KW capacity synchronous unit b. 1000 - KW capacity•unit' 4. Turbines 4. Two turbines, a Francis horizontal type 4. Two turbines, both Ossberger crossflow types and a crossflow type S. Design head 5. 145 feet net _ 5. 1 150 feet net 6. Hydraulic capacity 6. 300 cfs;.minimum operating flow is 6. 197 cfs; minimum operating flow is approx- approximately 20 cfs imately 8 cfs 7. Use.of existing tunnel and walkway 7. Tunnel would be cleaned, deepened and 7. Tunnel entrance will be sealed and penstock utilized; a new intake structure will laid in tunnel; existing intake structure be installed; walkway will be rebuilt will be modified to connect with penstock; . walkway will be removed 8. Use of.open channel 8. The channel will be widened from existing 8. The penstock will lay .in the open channel 6-foot width to-10 feet; new gate structure will be constructed at end of channel 9. Penstock 9. . 670 feet in length; diameter of 4.75 feet; 9. 1065 feet in length; diameter of 5 feet; supported above ground by anchor blocks flexible as to whether to bury penstock and saddle supports or leave above ground 10. Power plant building 10. 59 ft. wide, 28 ft. long, 38 ft. high; 10. 60 ft. wide, 30 ft. long, 16 ft. high; much of building underground; located located at junction of creek and hillside; against adjacent.hillside behind park willing to consider an alternate location; will design observation deck on roof of building i Issue Cornell University Ithaca Falls Development Association Environmental Impacts 1. Rate of flow over Ithaca Falls 1. Minimum flow of 32 cfs; would not remove 1. . Minimum flow of 30 cf's; would not any water from creek when flow 'is less remove any water from creek when flow is than 52 cfs; would remove 300 cfs at less than 38 cfs; would remove 187 cfs maximum capacity at maximum capacity . 2.. .Water quality 2..` States that "no significant impact on 2. States that "the proposed operation of dissolved oxygen and temperature in the. hydrolectric project will not re- the stream pools below the Falls is duce the waste assimilitative capacity expected. Preliminary determination or significantly lower the existing by the NYSDEC is that water quality dissolved oxygen content of the creek." will, not be a project related issue." 3. Vegetation 3. Very slight impact; most impact during 3. Anticipates no impact beyond construction construction; some trees would be re- short-term impacts moved as a ,result of construction access, access road, and parking area; land- scaping proposed 4. Aquatic life 4. Potential for negative impacts exists; 4. Anticipates no significant effect on habi- entrainment, reduction of river flow tat conditions; may install screen to from Plunge Pool to Plummers Pool, and reduce entrainment; will work with possible changes in temperature and NYSDEC to reduce impacts DO are primary problems; plans in- stallation of"baffles or screens during peak periods of smelt outmigration and return of water to creek upstream of Plummers Pool to minimize impacts 5. Non-aquatic life 5. No significant effect expected 5. No displacement anticipated 6. Aesthetic quality of area 6. Primary impacts are reduction in flow over 6. . Indicates impact to be-primarily a result falls and introduction of building into of reduction of flow over falls, which it area. Reduction in flow partially mitigated proposes to mitigate by maintaining min- by maintaining minimum flow of 32 cfs. In= imum flow of 30 cfs. Building originally troduction of building offset by an unob- placed in a very prominent location with trusive siting, landscaping and exterior roof designed as an observation deck treating of building. Switchyard, fence and parking area will be additional intrusions Issue Cornell University Ithaca Falls Development Association 7. Fishing 7. Access of fishermen will be enhanced by 7. Access of fishermen not fully addressed; construction of bridge across tailrace; fishing quality may be reduced in Plunge fishing quality may be reduced in Plunge Pool but improved in tailrace and Pool but may be improved in tailrace and Plummers Pool Plummers Pool 8. Other recreational activities 8. Sightseeing would be affected by reduction 8. Sightseeing would be affected by reduction in flow over falls; use of Youth Park may in flow over fal.ls but improved if obser- be reduced by construction of access road vation deck constructed; use of Youth and parking area Park will be enhanced by construction of facilities at developer's expense 9. Historical integrity 9. Site has history of hydropower use; would 9. Site has history of hydropower use; would utilize existing tunnel and improve the close existing tunnel; willing to work with walkway City to document historical resources during construction; willing to develop exhibits comparing past use and future use of site 10. Noise 10. Soundproofing of building to be implemented 10. Soundproofing of building to be implemented 11. Energy production 11. 8.6 million KW hours would displace 4,000 11. 8 million KW hours would displace 10,800 tons of coal per year barrels of oil per year I. External issues 1. Taxes to City 1. No taxes paid; recently a mention that per- 1.' Assuming an assessed value of $2.5 haps a payment in lieu of taxes could be million and a City tax rate of provided $12.50/1000, annual taxes would 'be $31,250. Possibility exists for a royalty payment in lieu of taxes which could generate more revenue 2. Zoning approval required 2. Special permit required 2. Variance or re-zoning required 3. Jobs created 3. No new jobs anticipated 3. One part-time position anticipated ' 4 Issue Cornell University Ithaca Falls Development Association 11. Tailrace 11. Excavated area 100 ft. long, 30,40*ft. wide, 11. Very small tailrace shown; water dis- and 10 ft. deep would serve as tailrace; charged directly into Fall Creek concrete walls likely along sides; wooden footbridge proposed for pedestrian access across tailrace .12. Maintenance accessibility 12. Access road provided; entrance to power 12. No access road provided; entrance to plant through roof hatches power plant by doorway on 'south side of-building .13. Switchyard 13. Separate switchyard to be located adjacent 13, Switchyard made an.appendage to to parking lot; enclosed by fence to prevent building trespassing; transformer to be provided 14. Transmission lines 14. 8.3-KV cable to be placed underground be 14. 8.3-KV cable to be placed underground tween power plant and switchyard, and be- between power plant and Lake St. tween switchyard and Lake St.; utility pole to be placed on east side. of Lake St., where above-ground connection will be made to NYSEG grid on west side of - Lake St. 15. Parking 15. Access road and parking lot adjacent to 15. No access road or parking area provided power plant to be.provided; parking for for power plant 4 cars 16. Landscaping - 16. Landscaping will be used to screen building 16. Landscaping to screen building and to ' and parking area; no plan included enhance park to be provided; no plan included 17. Project cost 17. $3,800,000 17. $3,000,000 (does not include acquisition of rights to develop) 18. Construction period 18. Approximately 18 months after issuance of 18. 24 months after issuance of license license April 13, 1982 TO: Hydropower Commission FROM: City Involvement Committee Our committee has 'considered various issues concerned. with City involvement in hydropower development in Fall Creek. In particular we have considered the economic consequences to the City of development by Synergics, or .Cornell, or direct City ownership.' We have had communications from Synergics and Cornell and a luncheon meeting with Henry Doney, Director of Facilities-Engineering at Cornell. We have also communicated with George Oliger of the engineering consulting firm of Parsons, Brinckerhoff, Quade, and Douglas. We have also consulted with the City controller. It is our conclusion that it would be financially feasible for the City to build and own the hydropower plant. Further, even if the City decided at some later date not to exercize that option, its bargaining position relative to the other developers is considerably strengthened if it proceeds towards such owner- ship. Consequently we recommend that the City file with FERC a letter of intent. to apply for a license. We further recommend that the City begin formal negotia- tions immediately with Cornell University to see what possible mutually satisfactory arrangements can be made for ownership and operation of a hydropower plant in Fall Creek. City Hydropower Commission April 13, 1982 Cost and Payback Considerations-: City Owned Plant City construction of a hydropower plant would require a cash invest- , ment 'in our estimation of between $3.5 . and $4:0 million . We base these estimates on the Cornell plan , which we feel to be reasonable and representative of such an undertaking. In our cash flow and pay- back analyses we used both the $3.5M and $4.OM. figures as ` the.. cost of construction , including any land purchase price . The design and licensing costs are not included in these estimates . According to the City Controller' s Office, the most reasonable method of financing the project would be through a bond issue . The Local Finance Law sets the useful life of- a utility project at 30 years ; hence the bonds would be retired over a 30 year period. The interest rates for such bonds vary weekly, with the most recent City issue i` done in late January at a rate of 9 .4%. The Controller' s Office estimates that current rates would fall between 9 . 5% and 10. 07o.: At the present time, the City is at 50% of its bonding capacity ; however it may not be necessary. to include a hydroplant issue within this limit due to the revenue producing nature of the project . The attached schedules are simple models of estimated cash flows and 'payback periods for plants costing $3. 5M and $4. OM with a flow rate of. 32 cfs and 50 cfs . In order to produce these schedules the follow- ing assumptions were made : 1. The chart for energy production developed by Ben Nichols was used for obtaining the power generated at the two flow rates. The 32 cfs power generated is assumed to be 8, 600 ,000 kWh annually and the 50 cfs power is assumed to be f 7,962, 500 kWh annually. 2 . Power generated is assumed to be constant through -the life of the project. 3. The selling price is assumed to be 60 per kWh. 4. Water rights' are priced at 5% of gross revenues. 5 . Operating costs are set at $25,000 per year ; fixed through the life of the project. 6. Inflation (and the time value of money) is not considered in these . schedules. It is assumed that any change in variable costs will be offset by changes in the selling price of power. Schedules I and II reflect 'a project where the bonds are repaid on a level annual basis of $133, 333 principal paid per year plus interest. This was the method suggested by the City Controller's Office. The breakeven points noted show where the project ceases to cost any additional money and shows a cumulative profit. ........ ... .................. ....... ...... ...\................\...1.I.......,...\.............................\........\...\..i.J\)\).•\>.):1:i.1:):),I:1:1.1.1:>:1f\!).\.1.\..\I\:.\e\n.\.\.\...\..n\.\.\.\...:\)::Q A second form of payback analysis was also done where no additional money was expended by the City after the initial costs of construction . I.n this method, after water rights and operating expenses were deducted and the annual bond interest was paid, the balance of the revenue was used to retire as much principal as possible. Since the interest costs are so high in the beginning pf the payback period a relatively small principal payment is all that can be made, making the total interest cost over the life of the bond issue larger. The $3.5M plant begins to show a profit in year 14 .at 32 cfs and in year 18 at 5.0 cfs. The $4 . OM plant shows a profit in. year 19 at 32 cfs and in year 28 at 50 cfs. .. ..... ..............• .........................................v.................J..............v................i........... ..... a.....�...a....J._..•..J.......v.ala..a..a.a.a...a.a.v.a...a..:(i.)a)a)a)an,a..a.a..a.a. --32 ci s P�r�r _ .5p-�>rs P�R�.� - ii37cls &-ss �v; 5t�,00 cis Gross N_\j . 46(, sso 3 VOooD 11� + 367333. ;(3S-4bO or 1 i �I o i, I 3 2 8 � 52G '' 3 EA►: � 3Z c�== li Z�.i!33�.. _ .01S3 9Z i '2 ou'Uo7 I z53.3 ': li - --.. . ��--. -. -. � '� ?z8cx� . - i� . � ► 0.38� 1 � �2143 __ _ i 1 — . �I �• li � i . -�'• l i ;(q 0 voa: � i� ' I�-l i�� Z �p � �!�L I� i _ JI So c)s �I �T.733 I I i ji it 1 I (,�1Zob I t S2:vo r �i ! l l q,�-73 i •1 �zi��D � oS► Z i i . � !° �114!Oo1 I Iz I 7i 4e, i t! G-7 1 4.3'zo$ � 14 o LL -47 li U O -9 s I. I �; i (ASS i ii3LAC-Toss L'i �SIc-,two --- -�- - -- . - — I' ii K cvs PlPro sacFS PLAisT 5b-�s G,vss I %I,SSD III►SicRE � 'i�C i 1�1E l OSTI- 3 CUSS i I I 6' / I ----- --- —13 0�33 �2-C6 its i I Il I �h 5 5. � -7; Z I Z3Z'7S3' 41 12 13 15 - ---r-- ,� �� I-3 SSoi ---------- 17 ,> - ------- -- --- ----- - 14 Pe9 21 ZZ-t 1 Draft David Zwiebel April 6, 1982 Economic consequence to city of Ithaca- from hydropower plant development at Ithaca Falls I . Cornell University owns and operates plant 1 . University exempt from taxes - no tax gain 2. In lieu of taxes, as a aood neighbor, university makes some contribution to city.- 3. University improves and maintains recreational facility - Youth park, senic area, parkina lot, paths, fishing areas. NET : A. Smallest economic. gain for city B.- most limited ability to -influence design and .construction criteria. Problems: University in strongest bargining position all other factors beinq equal. II .Synergics or other pri-ate developer owns and operate(s/ plant. 1 . Developer pays significant taxes. �� ^" 2. Huge tax advantage for investors allows developer margin a��d to improve and maintain recreational area. 3. With chance in tax .benefits for investors after seven years, developer has great interest in selling the facility to the city at a good price in direct exchange for city bonds (no marketing fee) 4. developer needs city support in challenge to Cornell application. NET : A. Largest economic gain for city B. Strong position to influence design, construction, and operation criteria.. - -C. City. ends up with plant at lowest possible cost. Problems : Developer fails to complete contract or is sig- nificantly delayed by extended litigation with Cornell . ITI .City owns and operates plant 1 . City receives all revenues after costs - small short term _ gain - substantial long term gain. 2. City in complete control of balance between economic incentives and environmental impacts. NET : A. Si.anificant more gain than by Cornell development - sliahtly less gain than by private development. b. Greatest ability by a large margin to influence design, construction. and operation criteria. Problems : Land ownership litigation with Cornell QSSump{wn a� "Si` by C'�y