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COMMENTS OF U.S. ENVIRONMENTAL PROTECTION AGENCY RESPONSES TO U.S. ENVIRONMENTAL PROTECTION AGENCY <br />EPA -17 The RDEIS does not indicate that any coordination on <br />EPA -18 <br />potential 404 issues between FERC and the Corps Omaha District <br />(cont.) has occurred. In order to ensure that the supplemental measures <br />for habitat restoration can be constructed as described in the <br />RDEIS, FERC should coordinate with the Corps prior to release of <br />the final EIS and identify how the general permit being developed <br />by the Corps will be consistent with construction of the proposed <br />habitat restoration areas. <br />v <br />O� <br />In anticipation of an increase in activities involving <br />habitat restoration on the Platte River system, the Corps <br />initiated discussions in October 1993 with governmental and <br />nongovernmental groups about the feasibility of developing a CWA <br />section 404 general permit (GP). Discussions to date have <br />involved federal and state regulatory agencies in Nebraska as <br />well as representatives from the National Audubon Society, the <br />Platte River Whooping Crane Trust, CNPPID, and NPPD. <br />Based on review of the RDEIS it is evident that certain <br />supplemental measures proposed for the Platte River are either <br />not addressed in the draft GP or may run counter to conditions <br />currently developed in the GP. For example, wet meadow <br />restoration would likely involve the placement of fill materials <br />to restore hydrology. However, the draft GP is focused on <br />restoration activities restricted to the channel(s) of the <br />Platte. These actions would require section 404 authorization. <br />This example demonstrates the importance of Corps /FERC <br />coordination to ensure alignment between activities identified in <br />the RDEIS and the requirements of section 404. <br />3. Priorities of Supplemental Measures <br />FERC concludes that the maximum present value of the costs <br />of relicensing should not exceed $45 million in order to maintain <br />an economically viable project with its benefits to irrigation <br />and recreation. According to FERC, subtracting the estimated <br />$5.9 million cost of changing the hydropower operating regime <br />leaves $39.1 million as the maximum cost of supplemental and <br />enhancement measures. FERC concludes this would be sufficient to <br />fund all Priority 1 and 2 measures. <br />EPA -18 The economic analysis presented in the RDEIS is based on a <br />30 -year period using 5 percent inflation and an a percent <br />discount factor. The Office of Management and Budgets Circular <br />A -94 addresses private power projects and recommends a discount <br />rate of 74. In light of Circular A -94, we believe that the <br />analysis should be re- examined. <br />The supplemental measures are an integral part of the <br />implementation of whatever preferred alternative is finally <br />chosen as a result of this relicensinq process. As identified in <br />15 <br />The economic analysis has been extensively modified to reflect <br />current Commission policy. <br />