[Federal Register Volume 79, Number 95 (Friday, May 16, 2014)]
[Notices]
[Pages 28546-28549]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-11319]
-----------------------------------------------------------------------
DEPARTMENT OF THE INTERIOR
Bureau of Reclamation
[RR03250000, XXXR4079V4, RX.12256210.2029600]
Notice of Intent To Prepare an Environmental Impact Statement and
Notice of Public Scoping Meetings for the Navajo Generating Station-
Kayenta Mine Complex Project, Arizona
AGENCY: Bureau of Reclamation, Interior.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: The Bureau of Reclamation, as the lead Federal agency, and the
Bureau of Indian Affairs and Office of Surface Mining Reclamation and
Enforcement as key cooperating agencies, are initiating preparation of
an Environmental Impact Statement for the proposed Navajo Generating
Station-Kayenta Mine Complex (NGS-KMC) Project (Project). The Proposed
Action would provide Federal approvals and/or decisions necessary to
continue the operation and maintenance of NGS-KMC facilities through
December 22, 2044.
DATES: Submit written comments on the scope of the Environmental Impact
Statement on or before July 7, 2014.
Ten public scoping meetings will be held to receive comments on the
scope of the Environmental Impact Statement. See the SUPPLEMENTARY
INFORMATION section for meeting dates and times.
ADDRESSES: Send written comments on the scope of the Environmental
Impact Statement to the Phoenix Area Office, Bureau of Reclamation
(ATTN: NGSKMC-EIS), 6150 W. Thunderbird Road, Glendale, AZ 85306-4001;
via facsmile to (623) 773-6486, or email to [email protected].
Please see SUPPLEMENTARY INFORMATION section for meeting locations.
FOR FURTHER INFORMATION CONTACT: Ms. Sandra Eto, (623) 773-6254, or by
email at [email protected]. Additional information is available
online at http://www.ngskmc-eis.net.
SUPPLEMENTARY INFORMATION: Pursuant to the National Environmental
Policy Act (NEPA) of 1969, as amended, 42 U.S.C. 4231-4347; the Council
on Environmental Quality's Regulations for Implementing the Procedural
Provisions of NEPA, 40 CFR Parts 1500 through 1508; and the Department
of the Interior's (DOI) regulations, 43 CFR Part 46, the Bureau of
Reclamation (Reclamation) intends to prepare an Environmental Impact
Statement (EIS) on the NGS-KMC Project. The Proposed
[[Page 28547]]
Action would provide Federal approvals and/or decisions necessary to
continue the operation and maintenance of NGS-KMC facilities through
December 22, 2044, including, but not limited to:
a. Peabody Western Coal Company's (PWCC) proposed revision to the
Surface Mining Control and Reclamation Act of 1977 (SMCRA) Permit and
life-of-mine (LOM) plan to identify the timing and sequence of
continued coal mining operations through December 22, 2044, to
incorporate existing shared support facilities from the former Black
Mesa Mine into the Kayenta Mine, and to relocate a portion of an
existing road;
b. A proposed amendment to the NGS site lease and right-of-way
issuances or renewal(s), as approved by the Navajo Nation Council, to
provide continued economic benefits to the Navajo Nation and the
generation of long-term, reliable, and cost-effective power on a timely
basis by NGS (using reliable and readily accessible fuel, transmission
systems and water conveyance facilities) through December 22, 2044;
c. Federal consents and other approvals needed to continue the
United States' participation in NGS to supply power and energy to
operate the Central Arizona Project (CAP) pumps, and Reclamation's
continued sale of NGS power (surplus to CAP needs) to produce revenues
that are deposited to the Lower Colorado River Basin Development Fund
(Development Fund); and
d. Other Federal approvals needed to continue the operation of NGS
after 2019, including, but not limited to, Federal approvals relating
to rights-of-way, electric transmission lines and related facilities,
water service and water conveyance facilities.
Other Federal and tribal actions also would be needed under the
proposed action. Reclamation has invited the following Federal and
tribal action agencies to become cooperating agencies: the Bureau of
Indian Affairs (BIA), Office of Surface Mining Reclamation and
Enforcement (OSMRE), Bureau of Land Management, Fish and Wildlife
Service, and National Park Service (collectively, DOI); U.S.
Environmental Protection Agency; U.S. Department of Agriculture, Forest
Service; Department of Labor Mine Safety and Health Administration;
U.S. Department of Energy, Western Area Power Administration; the
Navajo Nation; and the Hopi Tribe. Federal, tribal, state, and local
agencies, along with other stakeholders that may be interested in or
affected by the Federal agencies' decisions on the Project, are invited
to participate in the scoping process and, if eligible, may request or
be requested by Reclamation to participate as a cooperating agency.
Background
The NGS is a coal-fired power plant located on Navajo Reservation
trust land near Page, Arizona. NGS provides baseload power to over 1
million customers in Arizona, California and Nevada. It is the primary
source of electricity for operation of the CAP. The CAP, a Federal
reclamation project constructed by Reclamation, delivers Colorado River
water to tribal, agricultural, municipal, and industrial water users in
Maricopa, Pinal, and Pima counties, Arizona. The Salt River Project
Agricultural Improvement and Power District (SRP) is the operating
agent of NGS and holds a 21.7% ownership interest in NGS on its own
behalf. SRP also holds a 24.3% ownership interest in NGS for the use
and benefit of the United States of America. NGS's other owners are
Arizona Public Service Company, the Department of Water and Power of
the City of Los Angeles, Nevada Power Company, and Tucson Electric
Power Company. These owners, SRP, and the United States are
collectively referred to as the ``NGS Participants.''
The Co-Tenancy Agreement for the NGS, dated March 23, 1976, (Co-
Tenancy Agreement) among the NGS Participants establishes the terms and
conditions relating to the NGS Participants' interests in NGS and its
related facilities, and establishes certain rights and obligations of
the parties. In general terms, the Co-Tenancy Agreement allows the
United States to participate in the decisions that affect Federal
interests at NGS, and requires consent from the United States
concerning agreements and actions that affect the Federal interest at
NGS.
Federal Authority for NGS Contracting. The source of the United
States' legal authority to enter into agreements to participate as an
NGS Participant is the Colorado River Basin Project Act of 1968 (82
Stat. 885). The Colorado River Basin Project Act provides that the
United States ``may enter into agreements with non-Federal interests
proposing to construct thermal generating powerplants whereby the
United States shall acquire the right to such portions of their
capacity, including delivery of power and energy over appurtenant
transmission facilities to mutually agreed upon delivery points, as . .
. required in connection with the operation of the Central Arizona
Project.'' Current operation of NGS specifically includes contracts
entered into by the Secretary of the Interior to provide a source of
power and energy to operate the CAP, and to provide a source of revenue
for the Development Fund, to implement Indian water rights settlements
described in the Arizona Water Settlements Act of 2004 (118 Stat.
3478), and for other statutory purposes. The Secretary of the Interior
has delegated the authority to carry out NGS contracts to Reclamation.
Reclamation also serves as the Contractor for the existing Water
Service Contract supplying Colorado River water to NGS, which expires
on December 31, 2033. Pursuant to the Colorado River Storage Project
Act of 1956 (70 Stat. 105), and other Federal reclamation laws,
Reclamation must negotiate and approve the terms of any extension of
the Water Service Contract after this date.
Current NGS Operation. SRP operates NGS on the Navajo Reservation
pursuant to an Indenture of Lease with the Navajo Nation for the plant
site, which has been in effect since December 23, 1969 (the NGS Lease).
The initial term of the NGS Lease is 50 years (i.e., through December
22, 2019). Additionally, a Grant of Right-of-Way and Easement issued by
DOI (323 Grant) encompasses the plant site, and another 323 Grant and
Easement was issued for an adjoining railroad. The initial term of the
323 Grant for the NGS plant site expires at the end of 2019, while the
initial term of the 323 Grant for the railroad expires in 2021. NGS is
served by the western and southern transmission systems, each of which
is supported by a 323 Grant. Off-reservation, these systems are
supported by grants of easement from other agencies. The southern
transmission system extends south from NGS to just north of Phoenix,
Arizona; the western transmission system extends west from NGS to near
Las Vegas, Nevada.
Because of the expiring leases and rights-of-way, continued
operation of NGS beyond December 22, 2019 requires approval from
multiple Federal agencies, including the BIA. 25 U.S.C. Part 415(a)
provides for the lease of lands on the Navajo Reservation, with
approval of the Secretary of the Interior, for ``. . .business
purposes, including the development or utilization of natural resources
in connection with operations under such leases,'' for up to 99 years.
In accordance with Federal regulations, 25 CFR Part 169, renewal or
reissuance of the grants is sought through application to the BIA.
Current Kayenta Mine Operation. Coal that fuels NGS is supplied by
the Kayenta Mine, operated by Peabody Western Coal Company (PWCC) and
located on the Navajo Reservation and
[[Page 28548]]
former Joint Use Area of the Navajo and Hopi Reservations. Like NGS,
the operation of the Kayenta Mine requires approval from multiple
Federal agencies. PWCC currently holds an active SMCRA Permit (Federal
Permit Number AZ-0001E) that authorizes PWCC to mine within the Kayenta
Mine permit area. PWCC is seeking to revise its SMCRA Permit and LOM
plan for the Kayenta Mine in order to adjust and identify the timing
and sequence of mining operations in certain coal resource areas
through 2044 and to relocate portions of an existing road. PWCC is
currently authorized to continue mining at the Kayenta Mine post-2019,
but the proposed revisions to the SMCRA Permit and LOM plan permit
would increase operational efficiency. Additionally, PWCC is seeking to
modify the existing permit boundary to incorporate into the Kayenta
Mine permanent program permit area facilities located on the adjacent
and now closed Black Mesa Mine that are currently being used to support
the Kayenta Mine operations. Upon incorporation of these mining support
facilities into the Kayenta Mine permit area, the future operation, if
approved, would be identified as the KMC. The proposed KMC permit
boundary expansion does not propose future mining of the coal resources
remaining at the Black Mesa Mine.
In addition to the NGS Lease, 323 Grants, the KMC permit, and LOM
plan, many of the agreements and approvals for the current operations
at NGS and the Kayenta Mine will require reauthorization or revision in
the near future. Multiple Federal decisions must be made in order for
the needs currently served by NGS and NGS-related activities to
continue to be met. Further, as provided in the Co-Tenancy Agreement,
SRP must obtain the prior written consent of the United States for
actions that would affect the interest in NGS held by SRP for the use
and benefit of the United States.
Purpose and Need for the Proposed Federal Actions. As an NGS
Participant, Reclamation needs to respond to the expiring arrangements
for the continued operation of NGS. Reclamation's purpose for the
proposed action is to secure, after 2019, a reliable source of power
and energy that would be continuously available to operate the CAP
pumps and sold as surplus power. Reclamation is authorized to sell NGS
power that is excess to its needs and deposit revenues from sale of
this ``surplus'' power to the Development Fund; these revenues are used
annually to assist in the repayment of the CAP and defray costs of
Indian water rights settlement-related projects. Consistent with the
Federal reclamation laws, Reclamation also must negotiate and approve
the terms of any extension of the Water Service Contract after 2033.
The OSMRE is responsible for carrying out the requirements of SMCRA
in cooperation with States and Tribes. As the regulatory authority on
Indian Lands, OSMRE is responsible for ensuring that the operation of
the KMC would be in accordance with all SMCRA requirements, including
all applicable environmental performance and reclamation standards.
Accordingly, OSMRE needs to respond to PWCC's SMCRA Kayenta Mine permit
revision application and proposed mine plan and determine whether to
approve, approve with special conditions, or disapprove the
application, in accordance with the requirements of SMCRA. OSMRE's
purpose for the proposed action is to implement the environmental
protections, reclamation standards, and other permitting requirements
under SMCRA while balancing the United States' need for continued
domestic coal production with protection of the environment. (See 30
U.S.C. Sec. 1202.)
The BIA must decide, consistent with the requirements of 25 U.S.C.
Part 415(a) and 25 CFR Part 169, and subject to the consent of the
Navajo Nation, whether or not to approve the NGS Lease amendment and
other right-of-way issuances or renewal(s), which would allow for the
continued operation of the NGS on Navajo Nation land through December
22, 2044.
Each of the Federal decisions at issue must be consistent with
Federal Indian policies, including, but not limited to, a preference
for tribal self-determination and promoting tribal economic
development, for all tribes affected by these Federal decisions.
Project Proponents' Interests. The non-Federal NGS Participants
seek to continue operation of the NGS beyond the current lease
agreement termination date of December 22, 2019, through December 22,
2044. The NGS provides continuous, long-term, reliable, and cost-
effective baseload power to its customers in the southwestern United
States using a reliable and readily available fuel source, coal from
the Kayenta Mine. PWCC desires to continue to provide an uninterrupted
coal supply to NGS in order for NGS to continue power plant operations
through December 22, 2044.
Alternatives and Related Impacts Under Consideration. Following are
some alternatives that are currently being considered for inclusion in
the EIS. These alternatives are preliminary and may be modified or
eliminated following scoping. Additional alternatives may be added for
consideration after scoping.
Proposed Action--Under the Proposed Action, Reclamation
and other Federal agencies would provide Federal approvals and/or
decisions necessary to continue the operation and maintenance of the
NGS-KMC facilities through December 2044. NGS operations would be in
compliance with the forthcoming Federal Implementation Plan for Best
Available Retrofit Technology under the Clean Air Act, and applicable
law.
Partial Federal Replacement Alternative--Under this
alternative, the Federal actions described above for the Proposed
Action would occur; some portion of the United States' share of energy
generated by NGS would be replaced by energy generated from renewable
resources or generation that reduces emissions from existing levels.
NGS operations would be in compliance with the forthcoming Federal
Implementation Plan for Best Available Retrofit Technology under the
Clean Air Act and other applicable law. The degree to which this
alternative may be able to generate revenue for the Development Fund
would need to be analyzed.
Total Federal Replacement Alternative--Under this
alternative, the United States' total share of energy generated by NGS
would be replaced by energy generated from renewable resources or
generation that reduces emissions from existing levels. The degree to
which this alternative may be able to generate revenue for the
Development Fund would need to be analyzed.
No Action Alternative--Under this alternative, Reclamation
and other Federal agencies would not provide the Federal approvals and/
or decisions necessary to continue the operation and maintenance of the
NGS and Kayenta Mine facilities through December 2044. NGS would cease
operation on December 22, 2019, and would not provide a source of power
and energy to operate the CAP pumps or provide revenues for the
Development Fund. The plant lease amendment and associated rights-of-
way would not be approved by the BIA and other Federal agencies. The
proposed revisions to the SMCRA Permit and LOM plan would not be
approved by OSMRE. Reclamation would not enter into a water service
contract to provide water service through December 22, 2044.
Currently topics being considered for inclusion in the EIS include,
but are not limited to, the following:
Air quality;
[[Page 28549]]
Biological resources, including traditional culturally
sensitive species;
Climate change;
Cultural and historic resources, traditional cultural
properties, and sacred sites;
Environmental justice;
Indian Trust Assets;
Public health;
Socioeconomic resources; and
Water resources including surface and groundwater quantity
and quality.
As part of its consideration of impacts of the proposed Project on
threatened and endangered species, Reclamation will conduct formal
consultation with the Fish and Wildlife Service pursuant to Section 7
of the Endangered Species Act, 16 U.S.C. 1536, and its implementing
regulations, 50 CFR Part 400. Formal consultation will consider direct
and indirect impacts from the proposed Project, including continued
operation and maintenance of NGS, KMC, and their associated facilities
and existing transmission systems, as well as cumulative impacts.
Reclamation will conduct compliance with Section 106 of the
National Historic Preservation Act, 16 U.S.C. 470f, as provided for in
36 CFR 800.2(d)(3) concurrently with the NEPA process, including public
involvement requirements and consultation with the State Historic
Preservation Officer(s) and Tribal Historic Preservation Officer(s).
Native American tribal consultations will be conducted in accordance
with applicable laws, regulations, and DOI policy, and tribal concerns
will be given due consideration, including impacts on Indian Trust
Assets.
Public Scoping Meeting Information. Ten public scoping meetings
will be held to provide an overview of the project and allow public
comment and discussion:
1. Tuesday, June 10, 2014, 4 p.m. to 7 p.m., Navajo Nation Museum,
Resource Room, Highway 264 Postal Loop Road, Window Rock, Arizona.
2. Wednesday, June 11, 2014, 4 p.m. to 7 p.m., Forest Lake Chapter
House, 14 miles north of Pinon on Route N-41, Arizona.
3. Thursday, June 12, 2014, 4 p.m. to 7 p.m., Monument Valley High
School, Cafeteria, 2 miles north of Highway 160 on Highway 163,
Kayenta, Arizona.
4. Friday, June 13, 2014, 4 p.m. to 7 p.m., Shonto Chapter House,
Building S001-001, E. Navajo Road 221, Arizona.
5. Saturday, June 14, 2014, 1 p.m. to 4 p.m., Hopi Day School,
Multipurpose Room, Half mile East of Village Store on Highway 254,
Kykotsmovi, Arizona.
6. Monday, June 16, 2014, 4 p.m. to 7 p.m., LeChee Chapter House, 5
miles south of Page off of Coppermine Road, LeChee, Arizona.
7. Tuesday, June 17, 2014, 4 p.m. to 7 p.m., City Hall Townhouse,
605 S. Navajo Drive, Page, Arizona.
8. Wednesday, June 18, 2014, 4 p.m. to 7 p.m., Tuba City High
School Cafeteria, Warrior Drive, Tuba City, Arizona.
9. Thursday, June 19, 2014, 4 p.m. to 7 p.m., Phoenix Convention
Center, Room 129AB, 100 N. Third Street, Phoenix, Arizona.
10. Friday, June 20, 2014, 4 p.m. to 7 p.m., Marana High School
Cafeteria, 12000 W. Emigh Road, Tucson, Arizona.
Navajo interpreters will be present at meetings on the Navajo
Reservation and at Kykotsmovi, and Hopi interpreters will be present at
meetings in Kykotsmovi and Tuba City, AZ.
Special Assistance for Public Scoping Meetings
If special assistance is required at the scoping meetings, please
contact Ms. Sandra Eto at (623) 773-6254, or email your assistance
needs to [email protected], along with your name and telephone
number. Please indicate your needs at least 2 weeks in advance of the
meeting to enable Reclamation to secure the needed services. If a
request cannot be honored, the requestor will be notified.
Public Disclosure
Before including your address, phone number, email address, or
other personal identifying information in your comment, you should be
aware that your entire comment--including your personal identifying
information--may be made publicly available at any time. While you can
ask us in your comment to withhold your personal identifying
information from public review, we cannot guarantee that we will be
able to do so.
Dated: May 12, 2014.
David Palumbo,
Deputy Regional Director, Lower Colorado Region.
[FR Doc. 2014-11319 Filed 5-15-14; 8:45 am]
BILLING CODE 4310-MN-P