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HomeMy WebLinkAboutMinutes 01/31/1992 2183 CITY COUNCIL I~H~G Port Angeles, Washington January 31, 1992 CALL TO ORDER - The City Council met in special session at 2:45 p.m., to meet with Congressman Al SPECIAL MEETING: Swift and to discuss matters pertinent to the Proposed "Elwha River Ecosystem and Fisheries Restoration Act". ROLL CALL: Members Present: Mayor Hallett, Councilwoman Sargent, Councilmen Braun and Wight. Members Absent: Councilmen Nicholson, Ostrowski and Schueler. Staff Present: Manager Pomeranz, Attorney Knutson, Clerk Upton, and B. Titus. Others Present: Congressman Al Swift Cindy Kelly, D~ Creek Water Association Jeff Rosbach, ITT Rayonier Royce Daniel, ITT Rayonier Orville Campbell, James River Mike McInnes, Clallam County P.U.D. Ted Simpson, Clallam County P.U.D. Joe Michalczik, Daishowa An~rica Jay Crowe, Trans Mountain Pipe Line Diane W. Kaufman, Congressman Swift's Staff Shaven Hanson, Congressman Swift's Staff David Flodstrom, Daishowa America Dorothy Duncan, Clallam County Elwha River Ecosystem Mayor Hallett opened the meeting by advising Congressman Swift this group has and Fisheries been meeting on an on-going basis in order to consider the ~Elwha River Ecosystem Restoration Act and Fisheries Restoration Act" and to formulate proposed changes to the January 3 draft. The group feels the legislators are aware of the various concerns expressed by the representatives in the group; however, there is consensus that the matter of long-term funding must be addressed. City Attorney Knutson referenced a draft letter of January 27, 1992 to Senators Bradley and Adam.% noting the first page had wording that it would be appropriate to obtain the written approval of the Office of Management and Budget for the required future appropriations. Further, a special fund could be established with a sufficient initial appropriation to cover the long-term financial impacts. Mayor Hallett advised Congressman Swift that the City of Port Angeles has not taken a formal position for or against the proposed legislation; however, some Councilmembers have individually expressed the desire to take action opposing the removal of the dams. Congressman Swift indicated the means of reducing the risk may not be as simple. He felt it would be advisable to receive formal acceptance of the plan from the President, particularly since the Office of Management and Budget is part of the White House staff. The President's acceptance must take place before the legislation would allow the plan to commence. In addition, Congressman Swift felt it necessary to 'flush out~ any individuals in the Administration who may, at some point, have a reluctance about the funding. It is not enough to have the Parks on board; one cannot assume OMB automatically supports the plan. Congressman Swift suggested replacement language in the letter requesting formal approval by top Administration officials prior to taking any irrevocable action. Councilwoman Sargent emphasized the fact there is concern over long-term funding, not just that for the first year. Councilman Wight indicated the legislation references a guaranteed electric rate to BPA for forty (40) years. He noted this is, indeed, a long-term commitment, but how can one reasonably hold the expectation that such a commitment can be honored over such a lengthy period of time? -1- 2184 CITY COUNCIL MEETING January 31, 1992 Elwha River Ecosystem Congressman Swift indicated he sees things differently since, in the overall scheme and Fisheries of things concerning BPA, there is not much power affected. Therefore, there Restoration Act should not be a huge financial burden. In his opinion, the resistance is coming forth (Cont'd) from the utilities based more on the precedent. He felt there should not be too much concern on this particular issue, as the proponents of the legislation will have to address the precedent-setting nature of the matter. Councilwoman Sargent inquired of Congressman Swift as to whether there is anyone else who should be contacted to be made aware of the concerns with the proposed legislation. Congressman Swift suggested Congressman Norm Dicks, who is extremely interested in this issue from a different perspective - appropriations. In addition, it may be helpful to contact the other members of the delegation, as it is not unusual for members of the committee to talk to members from the State in order to obtain more pertinent information. Also, he suggested including those individuals presently running for office, such as, Sid Morrison and Rod Chandler. John Miller will be leaving office; those running as his replacement might also be contacted. Congressman Swift indicated it would be advisable to keep as many people as possible apprised of the situation. City Light Director Titus posed a question about the cost of dam removal and Congressman Swift responded the cost factor is not viewed as insignificant. He has heard costs ranging from $50 million to $200 million for the entire project. Director Titus noted the legislation does not contain any language wherein the project would be disallowed due to high cost. Attorney Knutson advised Congressman Swift that one of the group's suggestions is to change wording beyond engineering studies; it would be beneficial to have a cost benefit analysis. Councilman Wight added that engineers would be inclined to take out the dams if told to do so without other important considerations being made. Removal should not be based solely on engineering input, and one of Senator Adams' staff members previously agreed the wording needed to be changed in this regard. However, thus far, no changes have been brought forward. Congressman Swift expressed the opinion that Senator Adams is trying to achieve the goal of taking the dams out, but not without consideration of the needs of all concerned. County Commissioner Dorothy Duncan expressed concern with the transfer of ownership which would be irrevocable and would result in the County's loss of in excess of $250,000 per year in tax revenues. Steps to recover this loss should be taken before engineering and economic feasibility studies are done. Congressman Swift inquired as to what type of response has been received to this particular concern. Commissioner Duncan indicated the authors of the legislation have said this would be resolved, and Congressman Swift encouraged members of the group to stay in constant communication regarding concerns of this type. He felt it appropriate to make telephone calls to monitor the status of the suggested changes to the proposed legislation. He also indicated he would give this matter his personal attention. Mayor Hailett indicated the matter of transfer of ownership does not appear to be one which can be argued. He questioned the time element involved in dam removal. Congressman Swift indicated he did not have a sense of time, but didn't feel it would happen this coming year. He was unsure as to how long it would take to put the entire plan together. Orville Campbell, James River, pointed out the dams cannot be removed until an appropriations bill has been acted upon. Mayor Hallett advised Congressman Swift the question has been asked as to why this legislation should go any further, particularly in view of the lack of financing. Until the entire matter is more organized, why not expend funds elsewhere? Congressman Swift noted there is nothing wrong with presenting that point of view; however, he offered a word of caution due to the likelihood of the matter being argued in court. The proponents, thus far, feel progress is being made legislatively and, for that reason, have chosen not to file suit as yet. Orville Campbell reviewed the fact that FERC is in the final stages of the Environmental Impact Statement with a preferred option where a recommendation might come forward for the dams not to be relicensed. It was his opinion this may occur later this year unless Congress is seriously considering the legislation. If not, action will have to be taken in the 9th Circuit Court which is presently on a fast track and has an environmental ~bent'. Congressman Swift indicated, in terms of needed achievements (power and water), if these are lost, there will be nothing remaining to require appropriations. Additionally, he noted a judge does not have to address his opinion to the needs of '2- 2185 CITY COUNCIL MEETING :~ ~.~ ~,~..; :~g January 31, 1992 Elwha River Ecosystem Port Angeles. It may be better to seek a solution legislatively as opposed to and Fisheries judicially. Restoration Act (Cont'd) Mayor Hallett asked Congressman Swift if the legislation is moving in the direction to meet Port Angeles' needs. Congressman Swift felt Senator Adams is sincerely trying to address the issues; he also felt Senator Adams to be extremely flexible. Light Director Titus asked if there is a way to legislate a process, if problems are found, where the FERC process could be halted pending some studies. Congressman Swift indicated an effort in this manner would be extremely complicated. Councilman Wight reviewed his concerns with the order of the process, i.e., acquire, study, and proceed. There is an opinion that a more logical approach would be to study, acquire, and proceed. He cited a possible scenario of the Government taking ownership of the dams only to later determine such an action was not appropriate. - What about a conditional transfer of the dams based on some predetermined criteria? Congressman Swift indicated that, if this were a situation where there was no other process taking place, his point would be extraordinarily well taken. However, he noted action would be easier if the Gove~t took ownership of the dams. Jeff Rosbach, ITT Rayonier, indicated the language in the legislation sets the stage for the Secretary of the Interior to renegotiate water rights for in-stream flow. The legislation should not be allowed to affect City or industrial water rights. Congressman Swift indicated he had been impressed with how the Senators have concerned themselves with the needs of the area, and this matter should be clarified with both Senators Adams and Bradley. Attorney Knutson added Mike Weland had emphasized the fact they are not trying to take anything away, but he wanted to be assured that this group was not asking for more than the status quo. Commissioner Duncan, on behalf of the Economic Development Council, impressed upon Congressman Swift the fact that the two industries are the major employers in this area. It is critical to maintain the water for these industries in order to assure the continuation of employment. Congressman Swift acknowledged the concern expressed in this regard. Councilwoman Sargent indicated it is important for this group to share this pertinent information with those who will be involved in the decision-making process throughout the country. Congressman Swift praised the members of the group by citing the workmanlike and professional approach to the issue. He acknowledged the impetus for this legislation came from out of town and agreed it is important to educate everyone concerned about the potential problem Ted Simpson, Clallam County P.U.D., inquired as to the process if the legislation failed. Congressman Swift indicated the entire matter would revert back to the FERC process and would likely result in lawsuits being filed. In responding to a question about the possibility of the Parks taking ownership, he indicated he had no answer. He noted the environmental groups have taken issue with the initial legality of the licensure of the dams. Orville Campbell indicated the courts must decide who has jurisdiction to license the dams. Congressman Swift reiterated the need for this group to meet with Congressman Norm Dicks in order to share all of the information on this matter. Congressman Dicks will be the representative for this area as of January, 1993. In reviewing the schedule in the immediate furore, Congressman Swift indicated the legislation will probably not be introduced until late February or early March. Senator Bradley was planning on conducting heatings on the matter; however, it is typical to hold such hearings after the introduction of the legislation. Therefore, the hearings could be held as early as March. After brief closing comments, Mayor Hallett expressed the group's appreciation for Congressman Swift's visit and willingness to discuss the issues. ADJOURNMENT: The meeting adjourned at 3:45 p.m. Clerk -3-