Salt Lake City Area Integrated Projects Firm Power, Colorado River Storage Project Transmission and Ancillary Services Rates-Rate Order No. WAPA-137, 858-860 [E7-25459]

Download as PDF 858 Federal Register / Vol. 73, No. 3 / Friday, January 4, 2008 / Notices (requiring fill of an estimated 20 acres of wetlands). Direct effects by removal of approximately 120 acres for pine and hardwood forested areas. (5) Direct effects by movement of approximately 250,000 cubic yards of earth and resulting direct and/or indirect effects from erosion and sedimentation. The proposed Combined Arms ARea (CAA) reconfiguration in this FEIS would result in a 4,300 acre reduction in the amount of unavoidable impacts associated with forest clearing/thinning from the scope of the CAA last addressed and approved for construction in the 1994 SUP EIS. Also associated with the CAA is the proposed Combined Arms Collective Training Facility (CACTF), which would be colocated within the CAA maneuver areas to be cleared and/or thinned and would not require any further significant timber removal. This reduction of approximately 4,300 acres of impacts is an improvement from an environmental standpoint over the original plan and it still meets military training requirements. The No Action alternative has two subsets, one related to the SUP and the other to actions associated with mission support (construction in the cantonment area and the range and training area). In regards to the SUP, this is defined as renewal of a 10-year SUP for ‘‘continuation of military activities as presently permitted.’’ This alternative does not allow for improved and future mission requirements, future military construction funding, improved management practices, and a 20-year SUP permit. A copy of the FEIS can be found at the following Web site: http:// www.ngms.state.ms.us/env/Natural%20 Resources/nat_resources_06.htm. Following the 30-day waiting period, a Record of Decision will be signed. Dated: November 13, 2007. Addison D. Davis, IV, Deputy Assistant Secretary of the Army, (Environment, Safety, and Occupational Health). [FR Doc. 07–6286 Filed 01–03–08; 8:45 am] jlentini on PROD1PC65 with NOTICES BILLING CODE 3710–08–M VerDate Aug<31>2005 16:42 Jan 03, 2008 Jkt 214001 DEPARTMENT OF ENERGY Western Area Power Administration Salt Lake City Area Integrated Projects Firm Power, Colorado River Storage Project Transmission and Ancillary Services Rates—Rate Order No. WAPA–137 Western Area Power Administration, DOE. ACTION: Notice of Proposed Power Rates. AGENCY: SUMMARY: The Western Area Power Administration (Western) is proposing adjustments to the Salt Lake City Area Integrated Projects (SLCA/IP) firm power rates and the Colorado River Storage Project (CRSP) Transmission and Ancillary Services Rates. The SLCA/IP consists of the CRSP, Collbran, and Rio Grande projects, which were integrated for marketing and ratemaking purposes on October 1, 1987, and two participating projects of the CRSP that have power facilities, the Dolores and Seedskadee projects. The current rates, under Rate Schedule SLIP–F8, expire September 30, 2010, but are not sufficient to meet the SLCA/IP revenue requirements. The proposed rates will provide sufficient revenue to pay all annual costs, including operation, maintenance, and replacements (OM&R), interest expenses, and the required repayment of investment within the allowable period. The only proposed changes to the CRSP Transmission and Ancillary Services Rates are to change the expiration dates to September 30, 2010, in alignment with the SLCA/IP firm power rates. Western will prepare a brochure that provides detailed information on the rates to all interested parties. The proposed rates under Rate Schedules SLIP–F9, SP–PTP7, SP–NW3, SP–NFT6, SP–CF1, SP–SD3, SP–RS3, SP–EI3, SP– FR3, and SP–SSR3 are scheduled to go into effect on October 1, 2008. Publication of this Federal Register notice begins the formal process for the proposed rates. DATES: The consultation and comment period begins today and will end April 3, 2008. Western will present a detailed explanation of the proposed rates at a public information forum to be held on February 5, 2008, at 1:30 p.m. Western will accept oral and written comments at a public comment forum to be held on March 4, 2008, at 1:30 p.m. Western will accept written comments any time during the consultation and comment period. ADDRESSES: Send written comments to Mr. Bradley S. Warren, CRSP Manager, PO 00000 Frm 00020 Fmt 4703 Sfmt 4703 Colorado River Storage Project Management Center, Western Area Power Administration, 150 East Social Hall Avenue, Suite 300, Salt Lake City, UT 84111–1580, (801) 524–5493, e-mail CRSPMCadj@wapa.gov. Western will post information about the rate process on its Web site under the ‘‘FY 2009 SLCA/IP Rate Adjustment’’ section located at: http://www.wapa.gov/CRSP/ ratescrsp/default.htm. Western will post official comments received by letter and e-mail to its Web site after the close of the comment period. Western must receive written comments by the end of the consultation and comment period to ensure consideration in Western’s decision process. The public information forum and public comment forum will be held at the Radisson Hotel Salt Lake City Airport, 2177 West North Temple, Salt Lake City, UT 84116–3196. FOR FURTHER INFORMATION CONTACT: Ms. Carol A. Loftin, Rates Manager, Colorado River Storage Project Management Center, Western Area Power Administration, 150 East Social Hall Avenue, Suite 300, Salt Lake City, UT 84111–1580, (801) 524–6380, e-mail loftinc@wapa.gov. SUPPLEMENTARY INFORMATION: The proposed rates for SLCA/IP firm power are designed to return an annual amount of revenue to meet the repayment of power investment, payment of interest, purchased power, OM&R expenses, and the repayment of irrigation assistance costs as required by law. The Deputy Secretary of Energy approved Rate Schedule SLIP–F8 for firm power service on August 1, 2005.1 Rate Schedule SLIP–F8 became effective on October 1, 2005, for a 5-year period ending September 30, 2010. Under Rate Schedule SLIP–F8, the energy rate is 10.43 mills per kilowatthour (mills/ kWh), and the capacity rate is $4.43 per kilowattmonth (kWmonth). The composite rate is 25.28 mills/kWh. The Deputy Secretary of Energy also approved a rate extension for the CRSP Transmission and Ancillary Services Rates through September 30, 2010.2 1 Rate Order No. WAPA–117, 70 FR 47823, August 15, 2005. FERC confirmed and approved the rate schedules on June 13, 2006, under FERC Docket No. EF05–5171–000 (115 FERC 62,271). Approved Rate Schedule SLIP–F8 became effective on October 1, 2005, for a 5-year period ending September 30, 2010. 2 Rate Order WAPA–132, 72 FR 37758, July 11, 2007. Extended Rate Schedules SP–PTP6, SP–NW2, SP–NFT5, SP–SD2, SP–RS2, SP–E12, SP–FR2, and SP–SSR1 for transmission and ancillary services were previously submitted as Rate Order No. WAPA–99, 67 FR 60656 (September 26, 2002), and approved by FERC on November 14, 2003 (105 FERC 62,093). E:\FR\FM\04JAN1.SGM 04JAN1 859 Federal Register / Vol. 73, No. 3 / Friday, January 4, 2008 / Notices Firm Power Rates The proposed rates are expected to become effective October 1, 2008. The proposed rates revenue requirements are based on the FY 2009 work plans for Western and the Bureau of Reclamation (Reclamation). These work plans form the bases for the FY 2009 Congressional budgets for the two agencies. The most current work plans will be included in the Rate Order submission. The FY 2006 historical data are the latest available for the rate proposal. The final ratesetting study will include the FY 2007 historical data as it becomes available. The rate increase results primarily from the increase in the operation, maintenance, purchase power expense, and interest expense from the continued drought in the Upper Colorado River region. As in the prior rate adjustment for firm power, Western will determine firming energy purchase expense by using Median Hydrology. The table below displays the current and proposed firm power rates. COMPARISON OF CURRENT AND PROPOSED FIRM POWER RATES Current rate October 1, 2006–September 30, 2010 SLIP–F8 Rate schedule Base Rate: Energy: (mills/kWh) .......................................................................................... Capacity: ($kW/month) ..................................................................................... Composite Rate: (mills/kWh) ................................................................................... jlentini on PROD1PC65 with NOTICES Cost Recovery Charge (CRC) In setting its firm power rate, Western forecasts generation available from the SLCA/IP units and projects the firming energy purchase expense over the ratesetting period. These firming expense projections are included in the annual revenue requirement of the firm power rate. Over the last several years, both hydropower generation and power prices have been highly volatile. This volatility has caused actual purchased power expenses to be significantly higher than forecasted and has resulted in cost recovery issues for the SLCA/IP. To adequately recover expenses in times of financial hardship, Western will continue to calculate the cost recovery charge as in the current rate (SLIP–F8). The CRC is an additional charge on all Sustainable Hydropower energy deliveries (long-term SLCA/IP hydropower capacity with energy) that may, at times, be applicable when cost recovery is at risk due to low hydropower generation and high prices for firming power. The conditions that would trigger the CRC, as well as a more detailed formula methodology of how and when the CRC would apply, will be discussed in further detail in the rate brochure and at the information forum. An environmental impact statement is being conducted by Reclamation for ‘‘Colorado River Interim Guidelines for Lower Basin Shortages and Coordinated Operations for Lakes Powell and Mead’’ is in process, and the preferred alternative will more than likely result in less water releases during certain drought criteria. Therefore, Western has also included a mechanism that allows Western to re-calculate the CRC if the annual water release from Glen Canyon Dam falls below that of 8.23 million acre-feet. VerDate Aug<31>2005 16:42 Jan 03, 2008 Jkt 214001 10.43 4.43 25.28 Transmission and Ancillary Service Rates Western is not proposing at this time to change the formula-based rate for Firm Point-to-Point, Network, and nonfirm Transmission Services or Ancillary Services that have been offered in both the WACM and the WALC control areas. These are being included in this rate process, however, to extend these formula rates through September 30, 2013, along with the firm power rates. Legal Authority Since the proposed rates constitute a major rate adjustment as defined by 10 CFR Part 903, Western will hold both a public information forum and a public comment forum. After reviewing public comments and making possible amendments or adjustments to its proposed rates, Western will recommend the Deputy Secretary of Energy approve the proposed rates on an interim basis. Western is establishing firm electric service rates for SLCA/IP under the Department of Energy Organization Act (42 U.S.C. 7152); the Reclamation Act of 1902 (ch. 1093, 32 Stat. 388), as amended and supplemented by subsequent laws, particularly section 9(c) of the Reclamation Project Act of 1939 (43 U.S.C. 485h(c)); and other acts that specifically apply to the projects involved. By Delegation Order No. 00–037.00, effective December 6, 2001, the Secretary of Energy delegated: (1) The authority to develop power and transmission rates to Western’s Administrator; (2) the authority to confirm, approve, and place such rates into effect on an interim basis to the Deputy Secretary of Energy; and (3) the authority to confirm, approve, and place PO 00000 Frm 00021 Fmt 4703 Sfmt 4703 Proposed rate October 1, 2008–September 30, 2013 SLIP–F9 Change (percent) 11.95 5.08 28.85 15 15 14 into effect on a final basis, to remand, or to disapprove such rates to the Federal Energy Regulatory Commission (FERC). Existing Department of Energy (DOE) procedures for public participation in power rate adjustments (10 CFR Part 903) were published on September 18, 1985 (50 FR 37835). Availability of Information All brochures, studies, comments, letters, memorandums, or other documents that Western initiates or uses to develop the proposed rates are available for inspection and copying at the Colorado River Storage Project Management Center, 150 East Social Hall Avenue, Suite 300, Salt Lake City, Utah. Many of these documents and supporting information are also available on its Web site under the ‘‘FY 2009 SLCA/IP Rate Adjustment’’ section located at http://www.wapa.gov/CRSP/ ratescrsp/default.htm. Ratemaking Procedure Requirements Environmental Compliance In compliance with the National Environmental Policy Act (NEPA) of 1969, 42 U.S.C. 4321, et seq.; the Council on Environmental Quality Regulations for implementing NEPA (40 CFR Part 1500–1508); and DOE NEPA Implementing Procedures and Guidelines (10 CFR Part 1021), Western has determined that this action is categorically excluded from the preparation of an environmental assessment or an environmental impact statement. Determination Under Executive Order 12866 Western has an exemption from centralized regulatory review under Executive Order 12866; accordingly, no E:\FR\FM\04JAN1.SGM 04JAN1 860 Federal Register / Vol. 73, No. 3 / Friday, January 4, 2008 / Notices clearance of this notice by the Office of Management and Budget is required. Dated: December 5, 2007. Timothy J. Meeks, Administrator. [FR Doc. E7–25459 Filed 1–3–08; 12:05 pm] BILLING CODE 6450–01–P ENVIRONMENTAL PROTECTION AGENCY [ER–FRL–6694–7] Environmental Impact Statements and Regulations; Availability of EPA Comments Availability of EPA comments prepared pursuant to the Environmental Review Process (ERP), under section 309 of the Clean Air Act and Section 102(2)(c) of the National Environmental Policy Act as amended. Requests for copies of EPA comments can be directed to the Office of Federal Activities at 202–564–7167. An explanation of the ratings assigned to draft environmental impact statements (EISs) was published in FR dated April 6, 2007 (72 FR 17156). jlentini on PROD1PC65 with NOTICES Draft EISs EIS No. 20070388, ERP No. D–FHW– F40440–00, Blue Water Bridge Plaza Study and Improve to the I–94/1–69 Corridor, To Provide Safe, Efficient and Secure Movement of People and Goods across the Canadian—U.S. Border, Port Huron Area, St. Clair County, MI. Summary: EPA expressed environmental concerns about impacts to air quality and further recommends the creation and implementation of a sustainable building implementation plan. Rating EC2. EIS No. 20070404, ERP No. D–NRC– H06006–KS, GENERIC—License Renewal of Nuclear Plants Regarding Wolf Creek Generating Station, (WCGS) Unit 1. Supplement 32 to NUREG 1437, Implementation, Coffey Country, KS. Summary: EPA expressed environmental concerns about the potential ecological effects of increased concentrations of tritium in Coffee County Lake and the potential tritium contamination of groundwater resources. Rating EC2. EIS No. 20070437, ERP No. D–NPS– K65334–HI, PROGRAMMATIC EIS— Ala Kahakai National Historic Trail Comprehensive Management Plan, To Provide Long-Term Direction for Natural and Cultural Resource, Island of Hawaii, HI. VerDate Aug<31>2005 16:42 Jan 03, 2008 Jkt 214001 Summary: EPA does not object to the proposed project. Rating LO. EIS No. 20070473, ERP No. D–FHW– J40179–MT, US–212 Reconstruction Project, from Rockvale to Laurel, Proposes to Improve Safety for Local and Regional Traffic Area, Yellowstone and Carbon Counties, MT. Summary: EPA expressed environmental concerns about impacts to water quality, wetlands, farmland, wildlife habitat, and wildlife movement. EPA recommends that features be designed into the new highway, such as bridges and culverts that facilitate safe wildlife passage under the roadway to allow wildlife movement to and from the Yellowstone River riparian area. Rating EC2. EIS No. 20070383, ERP No. DA–BLM– J65418–UT, Price Field Resource Management Plan, Supplemental Information for Non-Wilderness Study Area (WSA) Lands with Wilderness Characteristics. Implementation, Carbon and Emery Counties, UT. Summary: EPA expressed environmental concerns about potential impacts or further decline in function of already impaired lands in Areas of Critical Environmental Concern which overlap non-WSA lands and along suitable river segments for possible wild scenic or recreational designation within non-WSA lands unless management prescriptions to protect wilderness characteristics are applied. Rating EC2. Final EISs EIS No. 20070423, ERP No. F–AFS– K61165–00, Great Basin Creek South Rangeland Management Projects, Management of 12 Livestock Grazing Allotments, Bridgeport Ranger District, Humboldt-Toiyabe National Forest, Lyon and Mineral Counties, NV and Mono County, CA. Summary: EPA continues to have environmental concerns about potential and continued impacts to rangelands and with the lack of specificity of the analyses, monitoring, and mitigation needs discussed in the final EIS. EPA recommends that the ROD include a schedule for the development of revised allotment management plans. EIS No. 20070427, ERP No. F–AFS– K65316–CA, SPI Road Project, Construction of an Access Road Across National Forest Land, Special Use Permit, Six Rivers National Forest, Lower Trinity Ranger District, Trinity County, CA. Summary: EPA continues to have environmental concerns about potential PO 00000 Frm 00022 Fmt 4703 Sfmt 4703 cumulative impacts to air quality, water quality, hydrology, fish and wildlife in conjunction with the SPI Timber Harvest Plan and effects of project implementation on proposed the Northern California Coastal Wild Heritage Wilderness Act. EIS No. 20070466, ERP No. F–FHW– F40436–WI, TIER 1—FEIS—United States Highway 8 Project, Construction from Wis 35(N)to USH 53, Selected the Preferred Segment Alternative, Funding and Right-ofWay Permit, Polk and Barron Counties, WI. Summary: EPA does not object to the Tier 1 stage of the proposed project. EPA intends to provide further input in subsequent NEPA analyses done on the project corridor. EIS No. 20070485, ERP No. F–AFS– K65297–CA, Kirkwood Mountain Resort, Proposed 2003 Mountain Master Development Plan, Implementation, Eldorado National Forest, Amador, Alpine and EL Dorado Counties, CA. Summary: EPA continues to have environmental concerns about potential adverse impacts to water quality and habitat for the yellow-legged frog. EPA recommends consideration of Alternative 3–Limited Emigrant Valley Development, because it minimizes cumulative watershed effects and avoids impacts to Mountain yellow-legged frog caused by the expansion of recreation into known habitat. EIS No. 20070491, ERP No. F–AFS– J65472–CO, Bull Mountain Natural Gas Pipeline, Construct, Operate and Maintain Natural Gas Pipeline, Issuance of Right-of-Way Grant and Temporary Use Area Permits, Gunnison, Delta, Mesa, Garfield Counties, CO. Summary: The final EIS addressed EPA’s request for information on impacts to wetlands. However, EPA continues to have environmental concerns about the potential environmental impacts to fens, riparian resources, upland areas, and air quality, including project emissions. The ROD should consider adding more detailed information on the monitoring and mitigation measures. EIS No. 20070493, ERP No. F–AFS– L65533–ID, Sun Valley Resort (Bald Mountain) 2005 Master Plan—Phase I Project, Implementation, Special-UsePermits, Sawtooth National Forest, Blaine County, ID. Summary: EPA’s concerns were addressed by selection of a modified Alternative 3 as the Preferred Alternative. EPA provided recommendations regarding the E:\FR\FM\04JAN1.SGM 04JAN1

Agencies

[Federal Register Volume 73, Number 3 (Friday, January 4, 2008)]
[Notices]
[Pages 858-860]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E7-25459]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF ENERGY

Western Area Power Administration


Salt Lake City Area Integrated Projects Firm Power, Colorado 
River Storage Project Transmission and Ancillary Services Rates--Rate 
Order No. WAPA-137

AGENCY: Western Area Power Administration, DOE.

ACTION: Notice of Proposed Power Rates.

-----------------------------------------------------------------------

SUMMARY: The Western Area Power Administration (Western) is proposing 
adjustments to the Salt Lake City Area Integrated Projects (SLCA/IP) 
firm power rates and the Colorado River Storage Project (CRSP) 
Transmission and Ancillary Services Rates. The SLCA/IP consists of the 
CRSP, Collbran, and Rio Grande projects, which were integrated for 
marketing and ratemaking purposes on October 1, 1987, and two 
participating projects of the CRSP that have power facilities, the 
Dolores and Seedskadee projects. The current rates, under Rate Schedule 
SLIP-F8, expire September 30, 2010, but are not sufficient to meet the 
SLCA/IP revenue requirements. The proposed rates will provide 
sufficient revenue to pay all annual costs, including operation, 
maintenance, and replacements (OM&R), interest expenses, and the 
required repayment of investment within the allowable period.
    The only proposed changes to the CRSP Transmission and Ancillary 
Services Rates are to change the expiration dates to September 30, 
2010, in alignment with the SLCA/IP firm power rates.
    Western will prepare a brochure that provides detailed information 
on the rates to all interested parties. The proposed rates under Rate 
Schedules SLIP-F9, SP-PTP7, SP-NW3, SP-NFT6, SP-CF1, SP-SD3, SP-RS3, 
SP-EI3, SP-FR3, and SP-SSR3 are scheduled to go into effect on October 
1, 2008. Publication of this Federal Register notice begins the formal 
process for the proposed rates.

DATES: The consultation and comment period begins today and will end 
April 3, 2008. Western will present a detailed explanation of the 
proposed rates at a public information forum to be held on February 5, 
2008, at 1:30 p.m. Western will accept oral and written comments at a 
public comment forum to be held on March 4, 2008, at 1:30 p.m. Western 
will accept written comments any time during the consultation and 
comment period.

ADDRESSES: Send written comments to Mr. Bradley S. Warren, CRSP 
Manager, Colorado River Storage Project Management Center, Western Area 
Power Administration, 150 East Social Hall Avenue, Suite 300, Salt Lake 
City, UT 84111-1580, (801) 524-5493, e-mail CRSPMCadj@wapa.gov. Western 
will post information about the rate process on its Web site under the 
``FY 2009 SLCA/IP Rate Adjustment'' section located at: http://
www.wapa.gov/CRSP/ratescrsp/default.htm.
    Western will post official comments received by letter and e-mail 
to its Web site after the close of the comment period. Western must 
receive written comments by the end of the consultation and comment 
period to ensure consideration in Western's decision process. The 
public information forum and public comment forum will be held at the 
Radisson Hotel Salt Lake City Airport, 2177 West North Temple, Salt 
Lake City, UT 84116-3196.

FOR FURTHER INFORMATION CONTACT: Ms. Carol A. Loftin, Rates Manager, 
Colorado River Storage Project Management Center, Western Area Power 
Administration, 150 East Social Hall Avenue, Suite 300, Salt Lake City, 
UT 84111-1580, (801) 524-6380, e-mail loftinc@wapa.gov.

SUPPLEMENTARY INFORMATION: The proposed rates for SLCA/IP firm power 
are designed to return an annual amount of revenue to meet the 
repayment of power investment, payment of interest, purchased power, 
OM&R expenses, and the repayment of irrigation assistance costs as 
required by law.
    The Deputy Secretary of Energy approved Rate Schedule SLIP-F8 for 
firm power service on August 1, 2005.\1\ Rate Schedule SLIP-F8 became 
effective on October 1, 2005, for a 5-year period ending September 30, 
2010. Under Rate Schedule SLIP-F8, the energy rate is 10.43 mills per 
kilowatthour (mills/kWh), and the capacity rate is $4.43 per 
kilowattmonth (kWmonth). The composite rate is 25.28 mills/kWh. The 
Deputy Secretary of Energy also approved a rate extension for the CRSP 
Transmission and Ancillary Services Rates through September 30, 
2010.\2\
---------------------------------------------------------------------------

    \1\ Rate Order No. WAPA-117, 70 FR 47823, August 15, 2005. FERC 
confirmed and approved the rate schedules on June 13, 2006, under 
FERC Docket No. EF05-5171-000 (115 FERC 62,271). Approved Rate 
Schedule SLIP-F8 became effective on October 1, 2005, for a 5-year 
period ending September 30, 2010.
    \2\ Rate Order WAPA-132, 72 FR 37758, July 11, 2007. Extended 
Rate Schedules SP-PTP6, SP-NW2, SP-NFT5, SP-SD2, SP-RS2, SP-E12, SP-
FR2, and SP-SSR1 for transmission and ancillary services were 
previously submitted as Rate Order No. WAPA-99, 67 FR 60656 
(September 26, 2002), and approved by FERC on November 14, 2003 (105 
FERC 62,093).

---------------------------------------------------------------------------

[[Page 859]]

Firm Power Rates

    The proposed rates are expected to become effective October 1, 
2008. The proposed rates revenue requirements are based on the FY 2009 
work plans for Western and the Bureau of Reclamation (Reclamation). 
These work plans form the bases for the FY 2009 Congressional budgets 
for the two agencies. The most current work plans will be included in 
the Rate Order submission. The FY 2006 historical data are the latest 
available for the rate proposal. The final ratesetting study will 
include the FY 2007 historical data as it becomes available.
    The rate increase results primarily from the increase in the 
operation, maintenance, purchase power expense, and interest expense 
from the continued drought in the Upper Colorado River region. As in 
the prior rate adjustment for firm power, Western will determine 
firming energy purchase expense by using Median Hydrology. The table 
below displays the current and proposed firm power rates.

                               Comparison of Current and Proposed Firm Power Rates
----------------------------------------------------------------------------------------------------------------
                                                                                   Proposed rate
                                                         Current rate October    October 1, 2008-       Change
                     Rate schedule                         1, 2006-September    September 30, 2013    (percent)
                                                           30, 2010  SLIP-F8          SLIP-F9
----------------------------------------------------------------------------------------------------------------
Base Rate:
    Energy: (mills/kWh)................................                 10.43                 11.95           15
    Capacity: ($kW/month)..............................                  4.43                  5.08           15
Composite Rate: (mills/kWh)............................                 25.28                 28.85           14
----------------------------------------------------------------------------------------------------------------

Cost Recovery Charge (CRC)

    In setting its firm power rate, Western forecasts generation 
available from the SLCA/IP units and projects the firming energy 
purchase expense over the ratesetting period. These firming expense 
projections are included in the annual revenue requirement of the firm 
power rate. Over the last several years, both hydropower generation and 
power prices have been highly volatile. This volatility has caused 
actual purchased power expenses to be significantly higher than 
forecasted and has resulted in cost recovery issues for the SLCA/IP. To 
adequately recover expenses in times of financial hardship, Western 
will continue to calculate the cost recovery charge as in the current 
rate (SLIP-F8).
    The CRC is an additional charge on all Sustainable Hydropower 
energy deliveries (long-term SLCA/IP hydropower capacity with energy) 
that may, at times, be applicable when cost recovery is at risk due to 
low hydropower generation and high prices for firming power. The 
conditions that would trigger the CRC, as well as a more detailed 
formula methodology of how and when the CRC would apply, will be 
discussed in further detail in the rate brochure and at the information 
forum.
    An environmental impact statement is being conducted by Reclamation 
for ``Colorado River Interim Guidelines for Lower Basin Shortages and 
Coordinated Operations for Lakes Powell and Mead'' is in process, and 
the preferred alternative will more than likely result in less water 
releases during certain drought criteria. Therefore, Western has also 
included a mechanism that allows Western to re-calculate the CRC if the 
annual water release from Glen Canyon Dam falls below that of 8.23 
million acre-feet.

Transmission and Ancillary Service Rates

    Western is not proposing at this time to change the formula-based 
rate for Firm Point-to-Point, Network, and non-firm Transmission 
Services or Ancillary Services that have been offered in both the WACM 
and the WALC control areas. These are being included in this rate 
process, however, to extend these formula rates through September 30, 
2013, along with the firm power rates.

Legal Authority

    Since the proposed rates constitute a major rate adjustment as 
defined by 10 CFR Part 903, Western will hold both a public information 
forum and a public comment forum. After reviewing public comments and 
making possible amendments or adjustments to its proposed rates, 
Western will recommend the Deputy Secretary of Energy approve the 
proposed rates on an interim basis.
    Western is establishing firm electric service rates for SLCA/IP 
under the Department of Energy Organization Act (42 U.S.C. 7152); the 
Reclamation Act of 1902 (ch. 1093, 32 Stat. 388), as amended and 
supplemented by subsequent laws, particularly section 9(c) of the 
Reclamation Project Act of 1939 (43 U.S.C. 485h(c)); and other acts 
that specifically apply to the projects involved.
    By Delegation Order No. 00-037.00, effective December 6, 2001, the 
Secretary of Energy delegated: (1) The authority to develop power and 
transmission rates to Western's Administrator; (2) the authority to 
confirm, approve, and place such rates into effect on an interim basis 
to the Deputy Secretary of Energy; and (3) the authority to confirm, 
approve, and place into effect on a final basis, to remand, or to 
disapprove such rates to the Federal Energy Regulatory Commission 
(FERC). Existing Department of Energy (DOE) procedures for public 
participation in power rate adjustments (10 CFR Part 903) were 
published on September 18, 1985 (50 FR 37835).

Availability of Information

    All brochures, studies, comments, letters, memorandums, or other 
documents that Western initiates or uses to develop the proposed rates 
are available for inspection and copying at the Colorado River Storage 
Project Management Center, 150 East Social Hall Avenue, Suite 300, Salt 
Lake City, Utah. Many of these documents and supporting information are 
also available on its Web site under the ``FY 2009 SLCA/IP Rate 
Adjustment'' section located at http://www.wapa.gov/CRSP/ratescrsp/
default.htm.

Ratemaking Procedure Requirements

Environmental Compliance

    In compliance with the National Environmental Policy Act (NEPA) of 
1969, 42 U.S.C. 4321, et seq.; the Council on Environmental Quality 
Regulations for implementing NEPA (40 CFR Part 1500-1508); and DOE NEPA 
Implementing Procedures and Guidelines (10 CFR Part 1021), Western has 
determined that this action is categorically excluded from the 
preparation of an environmental assessment or an environmental impact 
statement.

Determination Under Executive Order 12866

    Western has an exemption from centralized regulatory review under 
Executive Order 12866; accordingly, no

[[Page 860]]

clearance of this notice by the Office of Management and Budget is 
required.

    Dated: December 5, 2007.
Timothy J. Meeks,
Administrator.
 [FR Doc. E7-25459 Filed 1-3-08; 12:05 pm]
BILLING CODE 6450-01-P