HomeMy WebLinkAboutMN-HDPC-1989-01-17 MINUTES
Hydropower Commission
January 17 , 1989
Present : Daniel Hoffman, Edward Brothers , Elizabeth Mulholland ,
Helen Jones , Cathy Emilian, Therese Araneo, Martin
Sampson, Alex Skutt , Michael Sprague , Ellen Harrison;
seven members of the public .
The meeting was called to order to 7 : 40 p .m. by D. Hoffman,
Commission Chairperson. Minutes of the previous meeting were
reviewed and adopted with revisions .
Discussion:
Sixty Foot Dam - Common Council , at its previous meeting ,
had supported the proposal to surrender the license held for
the Sixty Foot Dam . A petition to surrender had been
written and submitted to FERC by Helen Jones . It was noted
that if the City were successful in obtaining an exemption
of the Ithaca Falls from development , efforts would be made
to extend that same protection to Sixty Foot Dam.
Van Natta Dam - There was discussion of the referendum
requirement and the urgency of moving ahead before the
construction deadline . Helen Jones will draft an RFP to be
distributed to developers . Hydro projects of 2 MW or less
are still eligible to negotiate an energy plus capacity
credit contract with NXSEG .
Stipulations which might be made with respect to requested
development proposals include project exterior appearance ,
possible use of upper pump house building by other City
groups ( such as Circle Greenway) and restoration of the
lower building which is currently a hazard.
Questions were raised as to whether the pump station complex
could be taken by a developer through eminent domain if the
City ' s terms for conveyance were unacceptable.
Ithaca Falls - FERC has granted the City ' s request for
exemption from the Emergency Action Plan filing requirement .
However , a report certifying our eligibility to retain this
status must be filed each year .
Veitch Associates have been hired to develop the fish
screen, fish passage and stream flow gauging plans required
under the license. To date they have undertaken a site
inspection and initiated agency consultation. They also
have an alternative design plan for the plant they wish to
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Minutes — 1/ 17/89 —2—
present to the Commission, which they believe will remove
many of the environmental and aesthetic concerns associated
with the project . The consultants believe they will be
finished with their work within a month and will make a
presentation at the February Hydro Commission meeting . An
extension of the original deadline for filing the report has
been requested of F .E . R. C .
The letter received from the U. S .G . S . office regarding
placement of a gauging station was reviewed. U. S . G. S .
indicated they could not install a station in the by—pass
segment of the stream and suggested placing it below the
Lake Street bridge . The board of Public Works should be
informed of any plans for instrumentation they will be
responsible to maintain. Michael Sprague , Commission
liaison to the BPW, agreed to report on these plans at their
next meeting .
Power Sale Negotiations — NYSEG ' s request to end contract
negotiations with small scale power producers was granted by
the PSC . Any party desiring to sell power to NYSEG will
have to follow the bidding procedure . NYSEG will be
requesting proposals for a total of 100 MW of new capacity
to be brought on line by 1994. The City would be competing
with other small producers to provide pieces of that block .
The request is for "peaking" power- Proposals from outside
New York State may also be considered.
The City could also place a bid with other New York State
utilities . However , we would have to pay NYSEG to wheel
that power to them. Each utility has its own individual
bidding plan. It appears the City might not fare well under
bidding .
The possibility of reducing the size the Ithaca Falls plant
to 2 MW was discussed . Doing this would require a new
engineering design. It was not clear whether a new
application for license would also be required.
Using the power for municipal energy needs was viewed as
possibly the most plausible alternative . City facilities
within a mile of the site would be exempt from the NYSEG
franchise restrictions . Candidate facilities for using the
power include the Sewage Treatment Plant and BPW barns .
Estimates for usage by those facilities , and requirements
for switching and interface equipment are not yet available .
It is not yet known what the cost of running our own lines
will be . If this proves prohibitive we might pay NYSEG to
wheel the power across their lines for a fee . Either
alternative is subject to P . S . C . review. Demand charges to
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Minutes - 1/ 17 /89 -3-
be paid by the City for back up power will be a major
economic subject in evaluating the viability of using the
energy ourselves .
Private Developer Interest - Synergics called last week
expressing strong interest in the Ithaca Falls site and in a
possible joint venture with the City . They are not
intimidated by the bidding procedure . They indicated that
there are ways to structure a joint agreement which would
not jeopardize the City ' s municipal preference. The terms
would have to be worked out in accordance with FERC ' s rules .
Helen has requested copies of similar agreements they have
entered into .
Site Protection - A member of the public felt the City had
not adequately investigated this option in the past and
should examine it more carefully . It was proposed and
passed that in light of the changing economic picture for
sale of hydropower , Common Council be asked to request that
the City Attorney investigate legal options for long-term
protection of the Ithaca Falls and Sixty Foot Dam sites from
development . A motion was also passed to ask that Council
request Matt McHugh to report on legislative options for
protecting these sites from hydro development .
Discussions with Cornell - Helen Jones has written a memo to
the Mayor asking that he open discussions with Cornell
regarding possible purchase of the power or joint venture
with the City. Alderman Nichols indicated that Council ' s
resolution requesting specific concessions from Cornell had
been withdrawn because the Mayor had indicated he was
already involved in negotiations with Cornell and would
report on them . A motion was passed that Dan Hoffman, as
Commission Chairperson, request a report on the status of
these negotiations from the Mayor .
Sale of Power to Other Utilities - D. Hoffman and others
felt that the City should contact other New York State
utilities as possible buyers of the energy .
Fisheries Update - The updated fisheries study prepared by
Ichthyological Associates had been revised . Ed Brothers had
reviewed the changes and found them acceptable . Copies of
the report will be sent out to all Commission members .
Next Meeting - Tuesday , February 21 , 1989 , 7 : 30 p .m. , Common
Council Chambers .
Adjournment - 9 : 45 p .m.
O-HJ-Minutes . J17