Progress Report: Hydro Relicensing Agreement

The Federal Energy Regulatory Commission (FERC) issued licenses to Consumers Power for operation of eleven dams on the Au Sable, Manistee, and Muskegon Rivers in July, 1994. A condition of the licenses was a precedent setting agreement between Consumers Power and state and federal resource agencies. Under this agreement, the company must reduce the environmental impact of the dams, and is required to spend approximately $50 million over the period covered by the new licenses for mitigation and enhancement activities at the eleven projects. Projects include the study and construction of recreational facilities and facility improvements, fish protection devices at the dams, fisheries habitat restoration, water quality enhancement, archaeological resource evaluation, and soil erosion control.

Although not a signatory to the agreement, the Michigan Hydro Relicensing Coalition (MHRC) was involved with the development of the agreement since its inception. Members of the MHRC include the Anglers of the Au Sable, Great Lakes Council of the Federation of Fly Fishers, Michigan Council of Trout Unlimited, and the Michigan United Conservation Clubs.

The coordination and implementation of the settlement and license conditions is being overseen by a bi-level management structure: the Consumers Power & Resource Agencies Steering Committee (Steering Committee), and the Manistee-Muskegon-Au Sable Coordination Team (MMAC Team).

The Steering Committee is responsible for the resolution of any disputes and meets at lest once annually to review the progress of the overall implementation of the Settlement. Members of the Steering Committee are Consumers Power, DNR, US Forest Service, and US Fish & Wildlife. The MHRC, FERC, and the National Park Service are ex-officio advisory members.

The MMAC Team is responsible for ongoing coordination and implementation of the settlement and license requirements. Members of the MMAC Team are representatives of the members of the Steering Committee. The MHRC serves on the MMAC Team in an ex-officio advisory capacity. The MMAC Team has met fourteen times in the past year and recently reported its progress to the Steering Committee.

Land Management Plans
Consumers has developed Land Management Plans (LMPs) for each river basin. Each LMP contains five major components: buffer zone management; wildlife and forest management; bald eagle management; recreation development; and land lease program. Public consultation meetings were held in August and public comments and resource agency reviews were completed by the end of the year. The final LMPs were submitted to FERC in January.

The recreation development plan contains MDNR and USFS recreational O & M funding provisions and provides for capital improvements at forty-five of the sixty-three candidate recreation sites listed in the Settlement. The total planned investment is $2.5 million, distributed as follows: Au Sable projects (24 sites) $1.2 million; Manistee projects (10 sites) $450,000; Muskegon projects (11 sites) $650,000; Contingency and future needs, $250,000. If FERC approves these plans by July 1, nine projects will be initiated this year.

Downstream Fish Protection
Consumers will provide capital costs to a maximum of $5 million to study, plan, design, and construct fish protection devices or measures. Operation and maintenance costs related to these devices and measures are not included in the $5 million.

An evaluation was completed in close consultation with the MMAC Team. The report recommends staged installation of stoplog screens wherever it is cost-effective. The first stage is to design, construct, install and test the effectiveness of such a screen at Foote Dam. If this screen is effective, screens will then be installed at Five Channels. If these are effective, screens will at Cooke, Mio, and/or Croton. If the screens are not effective, a seasonal barrier net at Foote and/or Five Channels. will be evaluated.

Consumers must submit a fish protection plan and schedule to FERC by July, 1996. The plan will be implemented upon FERC approval.

Annual Fish Contributions
Annual contributions of $601,252 were made for the 1995-96 fiscal year. The MDNR has proposed ten projects for this year. Six projects are continuations of studies began in 1995: Fisheries Geographic Information System, $50,000 ($28,000 was spent in 1995); brown trout and walleye study between Mio and Alcona impoundments, $18,661 ($5,740 was spent in 1995); Stronach Dam background data collection, $25,800 ($10,080 was spent in 1995); Impoundment habitat improvement plan for Mio, $25,000; Impoundment habitat improvement plan for Foote and Cooke, $60,000; Transfer of juvenile channel catfish for stocking in Au Sable impoundments, $5,000; and Watershed Assessment Plans, $22,000.

Four new projects include: USFS partnership agreement, $50,000; High Banks stabilization below Foote, $40,000; Historical analysis study, $44,300; and Potamodromous fish study for lower Au Sable, Manistee, and Muskegon rivers, $140,000.

River Management Plans
Draft assessments for the Muskegon and Au Sable were submitted for public review in July and August. The Manistee assessment has yet to be published. The MDNR plans to bring the assessments into final form and begin development of comprehensive management plans during 1996.

Water Quality Limits Evaluation Plans
FERC approved these plans (which include temperature and dissolved oxygen limits) in February. The plans will be fully implemented in the near future upon installation and operation of water quality monitoring instruments in each river basin.

Cultural Resources
Management plans for each river were approved by FERC in September. The first annual report was approved in February.

Soil Erosion Control
Plans for each river were approved by FERC in November. Under the Agreement, Consumers is to spend a total of $1 million for erosion site control. Up to $200,000 can be spent in any given year within the next ten years. The Soil Erosion Control Committee, consisting of the MMAC Team, the Timberland RC&D Council, the Northwest Michigan RC&D Council, and the Huron Pines RC&D Council, will be responsible for the review of funding requests for specific projects. Their first meeting was in January.

Stronach Dam Removal
A removal plan was approved by FERC in March. Implementation of the plan is expected to start in the near future.

Dam Operation
Consumers operates Rogers, Mio, Alcona, Croton, Hodnpyl, Foote, and Tippy dams as run-of-river projects. These dams have riverine tailwaters. Hardy, Loud, Five Channels, and Cooke dams operate as modified-peaking facilities. However, steps must be taken to minimize impacts on reservoir habitat through limitation of maximum fluctuations during daily operation and any necessary drawdowns.

In conclusion, the MMAC Team will be active this year in implementing the above plans, and the MHRC will continue its involvement in the process to assure the goals of the Settlement Agreement are satisfied.

RWOL

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