# Petition for Writ of Certiorari — Scenic Hudson Preservation Conference v. Federal Power Commission

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## Record

- **Collection:** Supreme Court brief
- **Document type:** Petition for Writ of Certiorari
- **Published:** January 1, 1972
- **Citation:** 407 U.S. 926

## Text

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Pee COURT, U. S. 73 - 1990

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IN THE

Supreme Court of the United State

OcrosEr Term, 1971

THe Criry or New York,
Petitioner,
—against—

FrperaL Power Commission, ConsoLipateD Epison CoMPaNy
or New York, Inc., Town oF CoRNWALL, VILLAGE OF
CornWaLt and Pauisapes INTERSTATE Park CoMMISSION,

Respondents.

PETITION FOR A WRIT OF CERTIORARI TO THE
UNITED STATES COURT OF APPEALS
FOR THE SECOND CIRCUIT

J. Lee Rankin - ' -
Corporation Counsel of the
City of New York,

Attorney for Petitioner,
Municipal Building ©
New York, New York 10007

Peter C. DEMETRI
EVELYN J. JUNGE,
Of Counsel

.
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INDEX

PAGE

Fa ai ernie d nee re ea ROR ae eae SR Rants ae De 2

ition Belew eran

Questions Presented .........02...-....-..e---e-eee- sini Sipescstisieeiee _ =
Pertinent Statutes 2.0220... EBV) Rieiceneeetee, te Te .

Statement of the Case 20.02.0002... RSs asses SEEN 6 4

A. Description of the Project -....20.00.022222eeee eee 4

B. Reasons for the City’s Opposition -...0..0.0.20.......-- 6

1. The “Aqueduct. siidattant diet canes ia sec 6

2. Increased Air Pollution —................:.. 9

3. Damages to the Hudson Highlands Cae

C. The Court of Appeals Opinion ita joensen 10

Reasons Why the Writ Should Be Granted -:....000000....... 13

I. The failure of the Court below to recognize
the Commission’s lack of expertise resulted in
erroneously limiting the scope of its review ...... 13

-A. The Danger to the Aqueduct is Not-a -
Highly Complex Technological Issue En-
trusted by Congress to the F.P.C. ............. . 16

B. The Extent to Which a Reviewing Court
Must Defer to Ageucy. Expertise .................. 17

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NE OT OP ae Fe

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PAGE

II. The Court below erred in finding compliance
with NEPA «.,..-.ccc.0- iiaeoasusbeticnciasaenetaesdaicnacan ciate 20

A. The Commission’s Final Opinion Was Not
a Sufficient -Environmental Impact State-
SIR eeisiachsapaieltttesecrecencaentnntencchdeateeseebiceeco sega 20

L. The Commission’s Consultations With Other
Agencies Failed to Meet the Requirements

oes Poa a 21
III. This license is precluded by Section 27 of ‘the
FE Pe ing ee 25

A. Section 27 Is Applicable to This License ..... 25°

B. Relief Under §27 Is Not Limited to Com-
pensation for State-Conferred Water Rights 26

CONCLUSION .....0...-:.- See Pe eee At Cr hr 28
Ce Bp erneprer gerne doe nc nan ea eR At Us MORE Ren A la
pT aT OR TR PEN NRE PORES 63a
TE ccicctes cece: , SEE SEE eR: 202a
_ APPENDIx D ose nd ON OU ETO TSO EIT TO 205a

Cirations |

Cases: | |

Burlington Truck Lines v. United States, 371 U.S. 156

(1962) .. piieriaioddanaeencdonic pcumubetiie SSE reer 19

Calvert Cliffs Coordinating Committee. v. Atomic
Energy Commission, 449 F.2d 1109 (D.C. Cir. 1971) 24

itl
PAGE

Citizens to Preserve Overton Park, a. v. Volpe, 401
U.S. 402 (1971) ; PRT a ON WER ES oe 14

Consolidated Edison Co. of ine tut v. eel Hud-

' son Preservation Conference, 384 U.S. 941 gilding 2

‘a
Ely v. Velde, 451 F.2d 1130 (4th Cir. 1971) eS
Federal Power Commission v. Florida Power & Light
Co., 40 U.S. Law Week 4141 (1972) AS ete re 16, 18
Federal Power Commission v. Niagara Mohawk Power
Corp., 347 U.S. 239 (1954) x 26":
First Iowa Hydro-Electric Coop. v. Federal Power
' Commission, 328 U.S. 152 (1946) ... a 17, 27-28

Gainesville Utilities Department v. Florida Power Cor-
poration, 402 U.S. 515 (1971) ........ ecdicailaasietasinn Oe

Greater Boston Television Corp. v. Federal Com-
munications Commission, 444 F.2d 841 (1570), cert.
denied 403 U.S. 923 (1971) .........-..- 15, 18, 19

Greene County Planning Board v. Federal Power Com-
mission,. Docket Nos. 71- 1991, 71-1996 (2nd Cir.

1972) Seren 13, 20-21

roan Ford & Son, Inc. v. Little Falls Fibre Co., 280
U.S. 369 (1930) _ uns 26

Lathan v. Volpe, 3 ERC 1362 (9th Cir. 1971)... 18

National Labor Relations Board v. Brown, 380 U.S..
278 (1965) Saditekpiincecadeinisieacmamaudedibes 19

' Permian Basin Area Rate Cases, 390 U.S. 747 (1968) 16

~~ :

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ROT RIC Rize sats Cam meeseus — .
cieeieenatinn - SPL HOSMER NIE eres none ieuccohonanige

iv
PAGE

Portland General Electric Co. v. Federal Power Com-
mission, 328 F.2d 165 (9th’ Cir. 1964) oe 26

Scenic Hridson Preservation Conference v. Federal
Power Commission, 354 F.2d 608 (2nd Cir. 1965) .2...° 2

Udall v. Federal Power Commission, 381 U.S. 428 ©

PIO Fai ecaset snccs putt gelato caca gutta enencion alice coined 13
United States ex rel. Chapman v. Federal Power Com-

mission, 191 F.2d 796 (4th Cir. 1951) oe 16
Universal Camera v. National Labor Relations Board,

340 U.S. 474 (1951) ee Ma hale tiated ieecttaoubaats 15
Statutes:

Administrative Procedure Act

Section 10(e), 15 U.S.C. §706 (2)(A)(B)(C)(D) .. 14

Federal Power Act

Section 10(c), 16 U.S.C. §803(¢) vanced O7

Section. 27, 16 U.S.C. §821 o..ecceccceccssoeeceseoe- 11, 25, 26, 27

Section 313(b), 16 U.S.C. §825(1)(b) .. 7 2
National Environmental Policy Act ;

Section 101, 42 U.S.C. §483 oo... cccccccececccceccececceseeeeee 3
- Section 101(b){2), 42 U.S.C. §4831(b) (2) ...---o---e--- 94

Section 101(b) (3), 42 U.S.C. §4331(b) (3) ........--.-- 24

Section 102, 42 U.S.C. §4832 oo. eccceccceceeeees 3,11, 20, 21

Reclamation Act

Section 8, 43 U.S.C. §383 ccccccccccccccclccecssiccsssssseseeee 26
8 U.S.C. §1254(1) cece "coeceerceceenlectennsene 2

a

IN THE

Supreme Court of the United States

OcTOBER Term, 1971

THe City or New York,
Petitioner,

—against—

FrpERAL PowER Commission, CONSOLIDATED [}pISON COMPANY
oF New York, Inc., Town or CorRNWALL, VILLAGE OF
CorNWALL and Pauisapes INTERSTATE PARK CoMmMISSION,

Respondents.

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6
state Park.* Except as otherwise noted, the discussion
herein is limited to the Storm King site.

B. Reasons for the City’s Opposition

A pumped storage facility has obvious benefits not only
for Con Edison but for its major area of service, New York
City. It is impossible: to conceive of a viable future for
the City whether as a hub of business and industry, or as a
cultural center, or as a major residential community with-
out an adequate and reliable supply of electricity. And it
is undisputed that the project is a means of bringing ad-
ditional peaking power and reliability to the Con Edison
system. In light of these facts, it is obvious that the City’s
opposition would not be, and is not, lightly undertaken.**

1. The Aqueduct

The primary reason for the City’s opposition to the proj-
ect is its concern for the safety of its water supply. This
concern is caused by the fact that the massive powerhouse
previously described will be excavated only 140 feet from
the Moodna Tunnel Section of the City’s Catskill —
duct.***

* Rejected by both the Commission and the Hearing Examiner
was a third site, also within the Palisades Interstate Park, referred
to as “Site 2A” or “Site 2CT.” It is not discussed herein.

** In 1966, after Con Edison had changed its plans for the project
in order to avoid the possibility of danger to the Aqueduct, the
City voiced its support of the project (contingent upon Con Edi-
son’s ability to meet objections concerning the possible destruction
of marine life and the impairment of the natural beauty of the
area) in a Memorandum of Understanding with the utility.

*** The City’s concern about damage to its Aqueduct caused by
the project dates back to 1963 when the project was first proposed.
The powerhouse would have been partially above ground and
there would have been an excavation far smaller than that now pro-

7

The importance of the Catskill Aqueduct to the City’s
water supply system must not be underestimated. Except
for a portion of Queens, all of the City’s water supply is
carried into the City from upstate watershed areas. The
Catskill, one of the three water systems, supplies approxi-

mately 40 percent of the City’s water requirements. While .

for most of its length the Catskill Aqueduct is “eut and
cover” (i.e., a concrete tunnel covered by earth conveying
the water by gravity), in order to cross the Hudson River

at Storm King Mountain it becomes a series of pressure

tunnels known collectively as the Moodna-Hudson-Break-
neck Pressure Tunnel. The Moodna section is the -west
bank portion of tunnels which convey the water in an east-
erly direction from the surface until, by a series, of drops,
it reaches a point 1,111 feet below sea level, where the water
enters the Hudson tunnel and crosses to the east bank of
the river. When it was first constructed in 1913, the Moodna
Tunnel section consisted primarily of a long, gradually
descending tunnel from which the water fell to the Hudson
Tunnel in one precipitous drop. However, the last 900 feet
ofthe Moodna Tunnel had to be abandoned because it had
broken and was leaking. To correct the situation, the Sup-
plementary Moodna Tunnel was sunk 400 feet beneath the

posed 175 feet away from the Aqueduct. As a consquence of the
City’s objections, Con Edison changed the plans in order to avoid
interference with the Aqueduct. After the remand in Scenic Hud-
son I Con Edison decided to put the powerhouse entirely under-
ground, thereby bringing the powerhouse within 140 feet of the
Aqueduct. This of course was far worse from the standpoint of
possible damage to the Aqueduct than the original proposal that
was opposed in 1963. In October 1968, after negotiations with the
company to relocate the project had failed the City petitioned to
intervene before the F.P.C. The petition. was granted and the
record was reopened to consider the issues of danger to the Aque-
duct and possible alternate sites.

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8

900-foot portion which had failed, and as a result today the -

water reaches the Hudson Tunnel by two drops rather than

the original one drop. Operation was resumed in 1918 and
the tunnels have been in constant use since then. Needless
to say, with each passing year the City has become increas-
ingly dependent on the Catskill Aqueduct to help meet its
water requirements. It is that portion of the Moodna Tun-
nel which immediately precedes the 900 foot portion which
failed and was hence abandoned, which will be only 140
feet away from the massive powerhouse excavation. At this
point the tunnel is 14 feet in diameter. —

The City’s concern for the safety of its Aqueduct is based
upon several interrelated factors. First, there is the fact
that the evidence is uncontradicted that excavation of the
powerhouse will cause stress changes in the rock of Storm
King Mountain. What those stress changes will be and what
effect they will have is unknown and a subject of contro-
versy among experts. .

Second, there is the fact that the present condition of the
Moodna Tunnel is unknown. The tunnels have been in ¢on-
stant use since 1918. Thus no one: not the City, not the

F.P.C., not Con Edison—knows the present condition’ of
_ the Moodna tunnel. All that is known is that the tunnel

continues to operate. It is probable that even though the
tunnel was sunk with the greatest care, cracks and fissures,
masked by the constant hydrostatic pressure, have de-
veloped. But the number and extent of these faults, if any,
are simply not known and thus no one can judge how the
Aqueduct will react to changes in stress in the surrounding
rock caused by the massive powerhouse excavation.

Finally, there is the historical evidence that the rock in
the area of the proposed powerhouse excavation is under

9

high stress, prone to stress relief and consequently unstable.
Although Storm King Mountain is generally sound rock—

- indeed this is why it was chosen as the Aqueduct crossover -

point—two facts concerning the area of excavation indicate
lack of homogeneity and instability : first, failure of the
last section of the Moodna Tunnel (now replaced by the

Supplementary Moodna Tunnel) which occurred at the

depth of the portion still in use, and which was attributed
in part to stress relief; and, second, the incidence of “pop-
ping” (spontaneously scaling) rock in excavation of the
access shaft to the Supplementary Moodna Tunnel.

In light of these factors—the fact that stress relief will
occur; the fact that the condition of the Moodna Tunnel
is unknown; and the fact that there is historical .evidence
of stress relief and hence instability of rock in the area of
the. powerhouse excavation—it is the judgment of the en-
gineers entrusted with the safety of the water supply that
the risk of damaging the 14 foot diameter Aquedutt tun-
nel, which carries 40 percent of the City’s daily water sup-
ply, caused by an excavation only 140 feet. away and re-
sulting in the removal of 580,000 tons of rock should not
be taken.

2. Increased Air Pollution

The City is further opposed to ‘his project because it
will cause increased air pollution in the City even though
the City cannot now, and will not for the foreseeable future,
be able to meet acceptable air quality standards. Even after
this was pointed out, the F.P.C. refused to require that the
energy used to pump Storm King originate outside New
” York City.

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10

The Commission has asserted that the plant will con-
tribute to the abatement of air pollution in the City,* based
on its assumption: that “very little” City generated power
will be used to pump the project [Appendix B, 983, at 91a-
92a]. Unfortunately. this assumption is baseless both in
the record and in the “economic realities” supposedly re-
lied on. The facts are that retirement of Con Edison’s
older, inefficient plants is not tied to this project; that it
is more economical (and efficient) for Con Edison to run its
generating plants in the City around the clock than to buy
power; that Con Edison’s nuclear capacity is too small and
unreliable to pump this project for the foreseeable future;
and that even Con Edison’s most efficient conventional
generating units cause substantial pollution, ‘particularly
in light of shortages of low sulfur fuels and natural gas for
industrial purposes. . |

3. Damage to the Hudson Highlands

The City also opposes this project because the unique
scenic beauty and other natural resources of the area have
not been safeguarded. This fact assumes particular im-

portance because this largely unspoiled area is unique in

its close proximity to a major metropolis.

C. The Court of Appeals Opinion

‘Bya2 to 1 decision, the Court of Appeals approved the
F.P.C.’s grant of a license for the Storm King project.
Writing for the majority, Judge Hays found: compliance
with the Court’s earlier remand in Scenic Hudson I; sub-

* For a time this misapprehension was shared by the City. See,
e.g., its 1968 Petition to Intervene.

11
stantial evidence supporting the F.P.C.’s conclusions; and
compliance with applicable statutes.* [App. A at. 7a].

On the issue of danger to the City’s Aqueduct, the ma-
jority found that §27 of the Federal Power Act did not pre-
clude licensing the Storm King project; that in any event, —
$27 protected only the right to compensation for holders
of state-conferred water rights; and that the Commission’s
finding that the remoteness of probability of damage to the
Aqueduct was supported by substantial evidence. [App. A
at 3la-35a]. The Court never considered the City’s objec-
tions to the F.P.C.’s analysis of the air pollution conse-
quences of the project, but merely summarized the F.P.C.’s
findings. [App. A at 19a-20a]. The Court further found
_ that NEPA applies to this proceeding, and that the proce-
dural requirements of §102 of that Act were met by the
F.P.C.’s requests for comments and by its final opinion.
. [App. A at 36a-38a].

Judge Oakes dissented. He found that the F.P.C. al-
though purporting to follow the mandate of Scenic Hudson
I, had actually acted arbitrarily and capriciously in licens-
ing the project. Since he found that the F.P.C. had twice
failed in its obligation to analyze and consider all aspects
of the license for the Storm King project, Judge Oakes
recommended that there would be no useful purpose in
further remand and that pete tiie the F.P.C. showd
be reversed.

Specifically he was particularly disturbed that the F.P.C.
had decided the Aqueduct issue without benefit of relevant
expertise and contrary to the recommendations of its staff.

* Only those areas of the decision specifically raised by this peti- -
tion will be discussed herein.

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12.

[App. A at 47a]. In commenting that the F.P.C.’s findings
as tothe Aqueduct while contradictory and insufficient
nevertheless showed that the project does present a risk
to it, he noted:

“... there is a world of difference between no danger
and a ‘remote’ danger. If a danger is ‘remote’ the de-
gree of remoteness assumes importance in proportion
to the magnitude of the danger. Here the danger is
obviously great,-and there is no finding as to the de-
gree of remoteness.” [App. A at 49a] (Emphasis in
original) - |

Furthermore he found that the F.P.C. had misconstrued the
burden of proof, noting that it was not the City’s task to
show that the Aqueduct would break, but rather, Con Edi-
son’s burden to prove and the F.P.C.’s task to find that the
project would not endanger the public health, life and
property. [App. A at 49a].

Judge Oakes was also disturbed by the Commission’s con-
clusions on the air pollution consequences of the project,
finding them to be incomplete and insufficient. He found
that by failing’ to require that pumping energy originate
outside the City, the F.P.C. had failed in its statutory re-
sponsibility to avoid adding to air pollution. [App. A at
54a]. Finally, with respect to NEPA he found that there
had in fact been no compliance with the statute. [App. A
at 57a-6la].

_ Because the judges of the Second Circuit were evenly

divided, a petition for rehearing in bane was denied. Judge
Timbers filed a written dissent.

.

13

Reasons Why the Writ Should Be Granted

The F.P.C. has concluded that this project will neither
cause the Aqueduct to break nor cause increased air pollu-
tion in New York City. Should such conclusions be wrong
in law and in fact, as the City contends, the health and
safety of at least 8.5 million people will have been wrong-
fully put in jeopardy. For this reason alone, apart of the
errors specifically discussed below,. this petition presents
an important question which should be decided by this
Court. —

Additionally, this petition affords the Court an oppor-
tunity to speak definitively as to what constitutes compli-
ance with NEPA.

Finally, this case requires interpretation of §27 of the
Federal Power Act arising in a novel fact situation, but
one to which the section clearly applies.

POINT I

The failure of the Court below to recognize the Com-

mission’s lack of expertise resulted in erroneously limit- ©

ing the scope of its review.

In Scenic Hudson II, the Court was reviewing the license
for the Storm King project for the second time. While
the role of the reviewing court after remand is no different
from that of the reviewing court in the first instance, the
"very fact of remand in this and similar cases* points up

*For example, failure to gonsider environmental impact has
been adjudged an element requiring remand. See, e.g., Udall v.
F.P.C., 387 U.S. 428 (1966). Cf. cases remanded for failure to
comply with NEPA, e.g., Greene County Planning Board v. F.P.C.
(Docket Nos. 71- 1991, 71- 1996, 2nd Cir., 1972); Ely v. Velde, 451
F.2d 1130 (4th Cir., 1971) ; Lathan v. ’ Volpe, 3 ERC 1362 (9th
Cir., 1971).

14

the fact that the record developed by the agency has been
found to be lacking in areas where the agency may have
some peripheral experience*with the field, but no expertise
in it. It is submitted that in such a case, the court must
be especially careful not to let mere length of the record
substitute for meaningful consideration of the issues raised,
for to hold otherwise would cause remand to be a vain
gesture, resulting only in delay.

The issue squarely raised by the decision in Scenic Hud-
son II is: can a court properly defer to agency expertise
when the agency is called upon to make judgments in areas
where it is not expert? It is submitted that petitioners
in Scenic Hudson II did not, as the Court alleged, urge a
“new standard of judicial review,” [App. A at 10a], but
rather they sought to assure that the findings of the Com-
mission would be subject to searching and careful judicial
review mandated by the Administrative Procedure Act.

Although the Federal Power Act specifically provides
that findings of the Commission as to facts where supported
by substantial evidence shall be conclusive, [§16(b), 16
U.S.C, §825 1 (b) (1964) ], this provision does not preclude
the applicability of the Administrative Procedure Act.
Citizens to Preserve Overton Park, Inc. v. Volpe, 401 U.S.
402, 410 (1971). Indeed in all eases where judicial review
is permitted, the administrative action must be reviewed
to determine whether it was “‘arbitrary, capricious, an
abuse of discretion or otherwise not in accordance with
law’ or if the action failed to meet statutory, procedural, or

constitutional requirements.” Jd. at 413-14 citing §10(e) of

the Administrative Procedure Act, 5 U.S.C. §706 (2) (A)
(B) (C) (D) (Supp. V). And even though agency action
often involves areas of specialization committed by Con-

15

gress to the jurisdiction of that agency, the court would
be derelict in its duty if it failed to study the evidence on
technical and specialized matters to determine not only
whether the agency's findings are supported by substan-
tial evidence, but also whether it has exercised “a rea-
soned discretion.” Greater Boston Television Corp. Vv.
F.C.C., 444 F. 2d 841, 850 (1970), cert. denied 403 US.
923 (1971).

However, the scope of such review is narrow, since within
an agency’s area of expertise the courts will ordinarily
defer to an agency’s expert judgment, even where the court
might justifiably have chosen differently had it determined
the issue de novo. Universal Camera v. N.L.R.B., 3A0 US.
474, 488 (1951). See also Citizens to Protect Overton Park,
Inc. v. Volpe, supra, at 416.

The Court in Scenic Hudson II after reciting the evi-
dence concerning danger to the City’s Catskill Aqueduct
(consisting solely of conflicting expert opinion), stated:

“It is clear that the resolution of highly complex tech-
nological issues such as these was entrusted by Con-
_gress to the Commission and not to the courts. Where

the Commission’s conclusions are supported by sub-
. stantial evidence, the Courts must accept them. [App.
A at 34a] (Emphasis supplied).” .

It is submitted that this statement is erroneous in “concept
as well as in fact.

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16

A. The Danger to the Aqueduct Is Not a Highly
Complex Technological Issue Entrusted by
Congress to the F.P.C.

Merely because the question of danger to the Aqueduct
from excavation of the Storm King project is a “highly
complex technological issue” does not necessarily put it
within the purview of the F.P.C.’s area of expertise. It
involves two highly complex areas of expert judgment:
the nature and effect of stress relief in rock and the evalu-
ation of a risk presented to a water supply system.

The F.P.C. has been adjudged expert in-many areas
directly related to the regulation of conventional sources
of energy.* But, as Judge Oakes cogently pointed out in
his dissent, while the F.P.C. may have some familiarity with
geology, its general familiarity does not cof&titute exper-
tise on the effects of stress relief on aqueduct pressure |
tunnels in rock. Furthermore, whatever expertise it did
have was ignored: the Commission overrode the recom-
mendation of its own staff that some precautionary measure
be taken to protect the Aqueduct.** [App. A at 47a].

* Thus for example it has been held to be expert in-resolving
highly complex issues of natural gas rate regulation [Permian
Basin Area Rate Cases, 390 U.S. 747, 767 (1968)]; in hydraulic

ineering [United States ex rel. Chapman v. FPC, 191 F2d
796, 808 (4th Cir. 1951)); in determining the necessity and condi-
sions of interconnections between electric utilities [Gainesville
Utilities Dep't v. Florida Power Corp., 402 US. 515 (1971); and,
in the flow of electricity within a transmission line [F.PC. v.
Florida Power & Light Co., 40 U.S. Law Week, 4141, 4145 (1972)].

°° It must be noted that the City opposed the two precautionary
measures considered—building a bypass or lining the Moodna
Tunnel with steel—because of the extensive shutdown of the Aque-
duct required and the resulting risk to the water supply and to the
integrity of the Aqueduct.

17

Had the procedures of NEPA been complied with, the
Court might have had more cause for comfort in relying
upon the F.P.C.’s determination. It is possible that in the
circulation of the required environmental impact statement
there could have resulted some relevant analysis of the
evidence by an agency of government with expertise (e.g.,
the Bureau of Mines). But all that we have here is a bare
assertion by a federal agency which, in the name of elee-
tric power as being the “lifeline of the city” [ App. B, 53,
at 8la} has abrogated to itself an expertise, which it plainly
does not have, and puts 40 percent of the City’s water sup-
ply in jeopardy. This point is most clearly underscored
by the Commission’s licensing of the alternate Palisades
Park Site without any investigation as to its geological
feasibility or as to the subsurface conditions. [App. B,
{317 at 165a]. Furthermore, not only are the F.P.C.’s find-
ings as to the danger internally meonsistent (see the dis-
cussion in Judge Oakes’ dissent, App. A at 47a-50a), but
they miss the essential point that the question is not one
of whether a risk exjsts but rather the judgment as to
whether the risk should be taken at all. Again, this re-
quires an expertise—this time in matters of water supply
—which the Commission clearly does not have.

B. The Extent to Which a Reviewing Court Must
Defer to Agency Expertise :

The City is not urging that because 40 percent of its
water supply is at stake, it thereby has the right to “‘veto”
this project. Scenic Hudson II, App. A at 34a-35a citing
First Iowa Hydro-Electric Coop. v. F.P.C., 328 U.S. 152,
164 (1946). Rather, it urges that a reviewing court may
not, simply because highly complex and technological is-
sues are at the crux, abdicate its role of review by hiding

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18

behind the veil of agency expertise, particularly where that
expertise is not relevant to such issues. It does not urge
a new standard of review, or a higher burden of proof.
The City simply asks the courts to recognize the undeniable
fact that agencies are not necessarily expert in all aspects
of the decisions they are called upon to make, and that
where an agency has no particular expertise (and hence
where: the reviewing court is not justified in deferring to
the agency), the court may not stop at the determination
of substantial evidence, but must probe further to deter-
mine whether the agency has exercised the “reasoned dis-
cretion” demanded of it. Greater Boston Television Cor-
poration v. F.P.C., supra.

While theré is no ruling directly on point, it is submitted
that the treatment of agency expertise by the courts has
constituted a de facto recognition of this distinction. Con-
sequently, the extent to which the courts must defer to
agency expertise has been narrowly construed. Thus in
the Florida Light and Power case, this Court said in speak-
ing of the nature of the flow of electricity in a transmission
line:

“Particularly when we consider a purely factual ques-
tion within the area of competence of an administra-
tive agency created by Congress, and when resolution
of that question depends on ‘engineering and scientific’

considerations, we recognize the relevant agency’s
technical expertise, and defer to its analysis unless it
is without substantial basis in fact.” Supra at 4144.

This statement must be contrasted with the case at Bar

which does not involve “purely factual question[s] within

the area of competence” of the F.P.C., but revolves around
>

\

ay.

19

matters about which the F.P.C. does not have relevant tech-

_ neal expertise and its experience is at best limited. More-

over, lacking such expertise, the F.P.C. nevertheless chose
to ignore the urgings of its own staff.

Where 40 percent of the water supply of the nation’s
largest city is at stake, and where the F.P.C.’s decision as
to a source of additional electric power for that city must
necessarily involve a judgment as to the safety of that
water. supply, it is submitted that it is especially important
that a reviewing court take a hard look at the Commis-
sion’s conclusions to determine whether they constituted

an abuse of discretion or were arbitrary and capricious,

lest expertise become “a monster with no practical limits
on its discretion.” Burlington Truck Lines vy. U.S., 371

U.S. 156, 167 (1962).

It is submitted that in areas outside an agency’s expertise,
the courts are not to be reduced to mere “rubber stamps”
but rather, as this Court said in the context of statutory
interpretation, in such areas the courts would “abdicate
their responsibility” if they did not, in addition to finding

_ substantial evidence, determine whether a reasoned discre-

tion had been exercised, V:L.R.B. v. Brown, 380 U.S. 278,
291 (1965); Greater Boston Television Corp. v. F.C.C.,
supra. .

1A A DORR REN MEM MPRIRCT INN Nm Fe RS me ART TEEN RR RR eNO QRnERI

:
4
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3
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esi tata i to inca atlaisblbab Rpia

22

consultations which did take place were inadequate to assess
the scope of the project’s impact, and in any event failed
to take into aceount recent-developments.

As to the issue of danger to the Aqueduct, the only com-
ments which might possibly have had relevance were made
by the Army Corps of Engineers in 1963 and 1964. These
comments were made before project plans were changed so
as to locate the powerhouse underground, and in any event
concerned only the navigational impact of the project. It is
therefore apparent that the F.P.C. relied entirely on its

_ own judgment in evaluating the risk presented to the City’s

water supply.

_ With respect to the issue of the air pollution consequences
to New York City of project operation,, tlie Commission
had found the following: that the project would permit
retirement of Con Edison’s older, inefficient plants; that
the project would be pumped primarily by energy from non-
polluting sources outside the City; that to the extent in-
City pumping power was used, this would be from Con
Edison’s more efficient generating units using relatively
pollution-free fuels. On this basis, it was concluded that
the Storm King project would have air pollution benefits

for the City. This analysis was not questioned in the ma-

jority opinion below. [App. A at 20a].

In its petition for rehearing (and subsequently in its
briefs before the Court) the City pointed out the inade-
quacies and inaccuracies of the foregoing analysis. In par-
ticular it noted that the F.P.C. should have known from Con
Edison’s 10 Year Plan, filed with the Commission, that re- .
tirement of Con Edison’s older, inefficient plants is not
linked to the Storm King project. It was shown that the

23

Commission’s confidence that the project would be pumped
by energy from non-air-polluting sources outside the City
was misplaced since for the foreseeable future Con’Edison’s
nuclear capacity will be too small and unreliable to pump
this project. Furthermore, the “economic realities” (sup-'
posedly relied on by the Commission in its analysis) do not
support its conclusion that power generated outside the
City will be used, since Con Edison’s conventional generat-
ing capacity outside of the City will be similarly limited,
and those “realities” actually dictate that it is cheaper to
run conventional generating plants in New York City
around the clock than to buy power. Nor, as it was further
pointed out, is there comfort if only Con Edison’s more
efficient units are used because even these generate sub-
stantial amounts of pollution and will -be creating it at a
time when there: is the least likelihood of dispersién.*
Moreover, the least polluting fuels—low sulfur content oil
and natural gas—are in short supply. Finally, it was shown —
‘that the Commission did not consider pollution from par-
ticulates or nitrogen oxides, and the Commission’s analysis
of pollution from sulfur dioxide .was clearly inadequate.

It is submitted that had the F.P.C. solicited the comments
of other agencies (e.g., the National Air Pollution Control
Administration, “NAPCA”) prior to issuing its opinion,
at least some of these errors might have been noted. In any
event, at the least the Commission might have been -bettér

* Pumped storage projects utilize off-peak hour pumping energy.
As a rule this means that the energy used to pump water will be
generated ‘during the late evening and early morning hours. While
these hours are optimum from an economic point of view, they are
the worst from the standpoint of air pollution because the stillness
of the air at these hours decreases the likelihood of dispersing the
pollutants.

-

2

24

able to evaluate the consequences of project operation on
the basis of current data showing the severe air pollution
problem in New York City,and in particular the City’s dif-
ficulty in meeting the air quality criteria which had been
proposed by NAPCA. The only “consultation” on air pollu-
tion which appears in the record—the testimony of an em-
ployee of the Public Health Service in 1967—was clearly
inadequate to aid'the Commission in assessing the present-

day consequences of the project. ,

Among the purposes of NEPA are assurance of “safe,
healthful surroundings” and attainment of the widest range
of beneficial uses of the environment without “risk to health
or safety”. [42 U.S.C. §4331(b)(2), (3)]. It is submitted
that this project insofar as it endangers the safety of the
water supply of 8.5 million people and will cause increased
air pollution in the already dirty atmosphere of the City
where these people live and work, presents the kind of risk
to health and safety NEPA was designed to avoid. At the
very least, the consultation required by NEPA might have
resulted in a provision, advocated by the City,.that Con

_ Edison be banned from using City-generated power to pump
* the Storm King project. Minimally, relevant expertise

should have been applied to the problems of the risk to the
water supply and air. quality of the nation’s largest city.

In Calvert Cliffs’ Coordinating Committee v. A.E.C.,
449 F. 2d 1109 (D.C. Cir., 1971), the Court found that the
procedural requirements of NEPA are “not discretionary”,

_but in fact “establish a strict standard of compliance”,

which is not substantially altered by the phrase “to the full-
est extent possible.” Jd. at 1112. It is submitted that the
case at Bar dramatically points up the fact that unless the
procedural requirements of NEPA are followed—including

25

~ consultation with other agencies—the purpose of NEPA
will be effectively thwarted.

POINT III

This license is precluded by Section 27 of the Federal
Power: Act. |

The words of Section 27 of the Federal Power Act are .-
clear and unequivocal:

“Nothing contained in this Chapter shall be con-
strued as affecting or intending to affect or in any way
interfere with the laws of the respective States relat-.
ing to the control, appropriation, use, or distribution

- of water used ... for municipal or other uses, or any
vested right acquired therein.” 16 U.S. C. $821. (Em-
phasis supplied.) .

It is submitted that the Court below was in error when it
determined that §27 did not preclude the license for the
Storm King project. It was also in error in holding that
the “only purpose” of $27 is to preserve the right to com-
pensation for holders of state-conferred water rights.
[App. A at 3la-32a].

A. Section 27 Is Applicable to This License

One need not go beyond a plain reading of the statute to
determine that §27 is applicable to this license. By state
law there is imposed upon the City responsibility for meet-
ing the water requirements of New York City, as well as
for making available water from its supply system to com-
munities in certain upstate counties. It is submitted that
when, despite its concession that the project would pre-
- sent some risk to the Catskill Aqueduct, the F.P.C. issued

~~.

the license for the Storm King project in disregard of the
City’s objections, the F.P.C. was interfering with the City’s
control of water used for municipal uses, thereby bringing
this case squarely within the language of $27. The type of
control here referred to is perhups best illustrated by the
restrictive covenant in the deed by which the City conveyed
the larid above the Aqueduct to the Palisades Interstate
Park Commission. That covenant bans drilling at depths
greater than 200 feet from the present surface, thereby
leaving a rock cover of over 200 fect to protect the Aque-
duct.

B. Relief Under §27 Is Not Limited to Compensation
for State-Conferred Water Rights

The statement of the Court below that 627 protects only
the right to compensation for state-conferred water rights
quotes dictum from an opinion of the Ninth Cireuit, Port
land General Electric Co. ©. F.PC., 223 F. 2a 165, 176 (9th
Cir. 1964). This dictum in turn is based upon two deci.
sions of this Court construing 68 of the Reclamation Act
(43 U.S.C. (383). Whether the Ninth Circuit is correct
in so interpreting (8 of the Reclamation Act is not at ix ‘s . 3 . Pen,
¥ ~
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APPENDIX A

Opinion of the United States Court of Appeals for the

Second Circuit, Dated October 22, 1971
UNITED STATES COURT OF APPEALS

For THE Seconp Circuit

_—_—
—

Nos. 1033-1038—September Term 1970.

(Argued June 9, 1971 Decided October 22, 1971.)
Docket Nos. 35678, 35676, 35677, 35683, 35688, 35689
>

Scenic Hupson Preservation Con rerence, Pavisapes-Lyter-
staTe Park Commission, Crry or New Yorn, Tae Srerra
Civus anv 1ts AtLantic Cuaprer, Toe Wi_perness So-
ciety, Ture Izaak Wattow Leacve or America, Nation aL
Avovson Society anp Nationat Parks anp Conserva-
TION ASSOCIATION,

Petitioners,

v.

FeperaL Power Com Miss‘ox,

Respondent,
and

Conxsotipatep Episoxn Company or New York, Iwc.,
Towns or CorNwat anp Vittace or CornwalL,

Intervenors.

Before:
Faienpiy, Chief Judge,
Hays and Oakes, Circuit Judges.

ee

Petitions for review filed pursuant to Section 313(b) of
the Federal Power Act, 16 U.S.C. §825(b) (1964) seek-
ing to set aside an order of the Federal Power Commis-

O cure woe

2a

sion granting a license to Consolidated Edison Company
of New York, Inc. to construct a pumped storage powe er
plant on the Hudson River.

Petitions denied. ,

_—_

Luoyp K. Garrison (Albert K. Butzel, Paul
Weiss, Goldberg, Rifkind, Wharton & Gar-
rison, New York, N.Y., on the brief), for
Petitioner Scenic Hudson Preservation Con-
ference.

Puriuip Wernsers, Ass’t Attorney General (Louis
J. Lefkowitz, Attorney General of the State
of New York.

Samuet A. Hirsnowrrz, First Assistant Attorney
General, Cyril H. Moore, Jr., Assistant At-
torney General, on the brief), for Petitioner
Palisades Interstate Park Commission.

Evcene Marcouis (J. Lee Rankin, Corporation
Counsel, City of New York, Evelyn Junge,
on the brief), for Petitioner City of New
York. |

Luoyp K. Garrison (David Sive, Sigmund
Anderman, Bertram Braufman, Winer,
Neuburger & Sive, New York, N.Y., on the
brief), for Petitioner The Sierra Club and
its Atlantic Chapter.

Liuoyp K. Garrison (James Marshall, Henry
Winestine, Marshall, Bratter, Greene, Al-
lison & Tucker, New York, N.Y., on the
brief), for Petitioner The Wilderness So-
ciety.

3a

Luoyp K. Garrison (Angus Macbeth, John H.
_ Adams, National Resources Defense Coun-
cil, Ine., on the brief),-for Petitioners Izaak
Walton League of America, National Au-
dubon Society and National Parks and Con-
servation Association.

Gorpon Goocn, General Counsel (J. Richard
Tiano, Assistant Solicitor, Leonard D.
Eesley, Assistant General Counsel, John D.
Lane, Raymond E. Hagenlock, Charles K.
Barrow, Attorneys, Federa] Power Com-
mission, Washington, D.C., on the brief),
for Respondent.

Cameron F. MacRak (Carl D. Hobelman, G: S..

Peter Bergen, Sheila H. Marshall, Jeffrey
E. Silver, LeBoeuf, Lamb, Leiby & Mac-
Rae, New York, N.Y., on the brief), for
Intervenor Consolidated Edison Company
of New York, Inc.

James R. Lors, Rider, Weiner & Loeb, New-
burgh, N.Y., on the brief, for Intervenor
Town of Cornwall,

a
Hays, Circuit Judge:

By Opinion No. 584, dated August 19, 1970, the Fed-
eral Power Commission granted a license to Consolidated
Edison Company of New York, Inc., to construct, operate,
and maintain a pumped storage project along the western
shore of the Hudson River at Cornwall, New York. Eight
parties’ have filed petitions pursuant to Section 313(b) of

1 All of the petitibners except Palisades Interstate Park Commission
object to the licensing order of the Federal Power Commission in toto.
The Palisades Interstate Park Commission opposes only the site 2 alter-

Se 1 ee opr ee an

4a

the Federal Power Act, 16 U.S.C. §825 1(b) (1964) seek-
ing to set aside this order on-various grounds. The is-
sues raised by these petitions are both complex and im-
portant, involving, as they do, the conflict between the
needs of a highly technological sociéty and the increased
awareness of environmental considerations:

The opinion and order. of the Federal Power Commis-
sion presented here for review follow by five years the
earlier remand by this court in Scenic Hudson Preserva-
tion Conference v. Federal Power, Commission, 354 F.2d
608 (2d Cir. 1965), cert. denied sub nom., Consolidated
Edison Co. of New York v. Scenic Hudson Preservation
Conference, 384 U.S. 941 (1966), in which the petitions
challenged three 1965 orders of the Commission licensing
the project and refusing to reopen proceedings and take
additional evidence on various issues. In the intervening
period extensive hearings have been held, two decisions
have been rendered by a Hearing Examiner and the Com-
mission has issued its own opinion.

The new proceedings have produced a project that is
different in some ways from the project that was before
this court in 1965. .

The functional elements of the project remain the same.
It is still to be the largest pumped storage plant in the
world and its principal function, to provide energy for
peak load periods, is unchanged. The proposed location is
the same as that previously proposed, the Hudson River at
approximately river mile 56.5, about 40 miles north of

native which calls for the location of the powerhouse within Palisades
Interstate Park. The objection of petitioner (ity of New York is based
on the aqueduct and air pollution question alone. The Izaak Walton
League of America rests its objection primarily on the fisheries ques-
tion and other environmental factors. All other petitioners raise vir-
tually all the issues discussed in this opinion. Intervenor Consolidated
Edison Company of New York, Inc., supports the Commission's order,
as does intervenor Town of Cornwall.

. . . da

New York City at Storm King Mountain near Cornwall,
New York, “an area of unique beauty and major histor-
ical significance.” Scenic Hudson, supra at 613. The
project would consist, as did the earlier version, of an
upper reservoir, a tunnel between the reservoir and the
powerhouse, and the powerhouse itself, a pumping-gen-
eration station located at the riverside containing eight
reversible pump-turbine and motor generation units as
well as switching gear and primary transmission lines.
However, unlike the project presented in 1965, which pro-
vided for a powerhouse that was 80 per cent underground,
the powerhouse now licensed by the Commission is to be
entirely underground.

The upper reservoir would be situated approximately
10,000 Yeet south and west of the powerhouse in a natural
mountain basin behind Storm King Mountain. When filled
to its maximum elevation it would have a surface area of
240, acres. It would be formed and enclosed by five earth
and rock dikes. The lower reservoir would be the Hudson
River itself.

The capacity of the eight pumping-generating units in
the powerhouse would be 2,000 megawatts, or 2,000,000
kilowatts. However, the project would be constructed in
a manner which would permit enlargement to a maximum
of 3,000 mw. Eight discharge tunnels from the reversible
pump-turbine and motor generation units would convey
water between each turbine ard an open tailrace leading
to the river. The tailrace with abutments at both ends
would run 685 feet along the river. A fish protective de-
vice is to be located in front of the tailrace intake.

The third major facet of the project relates to trans-
mission facilities. Submarine cable installations and spare

2 One megawatt (me) equals 1 million watts; one kilowatt (kw) equals
one thousand watts. We will use the megawatt terminology throughout
this opinion. . 6

2-—eee C:—””—“—Ot——”—

a ii entettiacacnntncscernateadl

ers

6a

pipes would transmit the energy generated in the power-

house under the Hudson River and would continue under-

ground on the east side of the river for approximately 1.6 ©
miles to a point out of sight of the river. At this point
overhead transmission. would commence and would con-
tinue for approximately 9.2 miles through Putifam County
to Con Edison’s existing Pleasant Valley-Millwood-Sprain
Brook transmission right of way. Changes have been
made in the proposed route and the towns of Cortlandt,
‘Putnam Valley and Yorktown, which challenged the route
before this court in 1965, no longer do so.

The project would function in the manner described
in our earlier opinion. Scenic Hudson, supra at 612. The
units in the powerhouse would use off-peak energy gener-
ated not at the project but at other facilities in the Con
Ed system to pump. water from the Hudson River to the
upper reservoir. When needed for peak power produc-
tion, that is,-during hours of highest kilowatt demand,

_ the units would reverse direction of rotation and provide

power derived from the fall of the water released into the
river from. the upper reservoir. This power would then
be transmitted through the transmission system described
above. “The water in the upper reservoir may be regarded
as the equivalent of stored electrical energy; in effect,
Consolidated Edison wishes to create a huge storage bat-
tery at Cornwall.” Scenic Hudson, supra at 612.

A visitor’s information center and picnic and parking
facilities, proposed in the original project for the power-
house site, have been eliminated. In their place, a 57
acre, mile-long park is to be constructed along the river-
front. Additional recreational facilities are to be pro-
vided at a 36 acre scenic overlook inland from the project
with access from the existing State Highway 9-W.

As an alternative the Commission has licensed the
powerhousé aspect of the project at a location within

7a

Palisades Interstate Park, approximately one and one-
half miles downstream from the Storm King Mountain
site. Construction at the Palisades site is to be consid-
ered approved by the Commission only if construction
at the Storm King Mountain site “shall be precluded on a
- petition to review this order.”

The petitions in this case are occasioned by the “grave
concern” aroused among conservationist groups by the
Storm King project. Scenic Hudson, supra at 612. The
petitions allege lack of compliance with the terms of our
earlier remand, absence of substantial evidence to sup-
port the Commission’s findings, and failure to comply with
statutory mandates. We find, however, that the Commis-
sion has fully complied with our earlier mandate and with
the applicable statutes and that its findings are supported
by substantial evidence. In view of the extensive powers
delegated to the Commission and the limited scope of re-
view entrusted to this court, it is our duty to deny the
petitions.

I.

Congress has given the Federal Power Commission broad
responsibility for the development of national policies in
the area of electric power. In Section 4(e) of the Fed-
eral Power Act, 16 U.S.C. §797(e) (1964), the Commission
is authorized |

“To issue licenses . . . for the purpose. of construct-
ing, operating, and maintaining dams, water conduits,
reservoirs, power houses, transmission lines or other
project works necessary or convenient for the develop-
ment and improvement of navigation and for the de-
velopment, ‘transmission, and utilization of power
across, along, from, or in any of the streams or
other bodies of water over which Congress has juris-
diction....” °

——s ee ee ne ee ee

EE

There are statutory limitations on the issuance of such
licenses. Section 10(a) of the Act, 16 U.S.C. $803 (9)

(1964), requires |

“That the project adopted . . . shall be such as in the
judgment of the Commission will be best adapted to
a comprehensive plan for improving or developing a

waterway or waterways for the use or benefit of in-

and utilization of waterpower development, and for

mental Policy Act, 42US.C $§4321 ef seq. (Supp. 1971).
In the Federal Power Congress granted the Commis.
vinty 2 ePing authority and a specific planning responsi

would promote the comprehensive development of the na.
tion's water resources.” Scenic Hudson, supra at 613 and
authorities cited there. -

The scope of review of the Commission's exercise of its
authority and responsibility is narrowly limited. The Act,

“Insofar ax the Court of Appeals’ opinion implies that
there was not substantial evidence to

-

49a

. The comment above in Footnote 25 to Finding 287 is

revealing, moreover, in that it seems to imply that there
is some duty on the part of the City to make a substantial
showing that the Aqueduct will break. If the structural
integrity is unknown to the City or any of its witnesses,
presumably it is also unknown to the commission and to

‘Consolidated. Edison’s witnesses. The burden is not on

the City to prove that the Aqueduct will not break, but
on the applicant to prove and the commission to find no
danger to public “life, health and property.” " The com-
mission’s reliance in its Footnote to Finding 287 on trouble-
free operation for fifty years under entirely different
circumstances seems’ to me insufficient to support the
required finding of safety.

Finding 290 contains the conclusion “that the evidence
in the record indicates that the probability of damage to
the aqueduct is remote and that a by-pass is not required.”
Even if this in and of itself be supported by the evidence,
Finding 295 that “construction of the powerhouse will not
endanger the aqueduct” is inconsistent with it and not
based on the evidence: there is a world of difference be-
tween no danger and a “remote” danger. If a danger is
“remote” the degree of “remoteness” assumes importance .
in proportion to the magnitude of the danger. Here -the
danger is obviously great, and there is no finding as to
the degree of remoteness.

11 “Further, the project must be safe so as not to endanger life, health

and property.” Commissioner Ross, dissenting in Consolidated Edison
Co. of New York, Inc. (FPC March 1965), rev’d in Scenic Hudson
Preservation Conf. v. FPC, 354 F.2d 608 (2d Cir. 1965), cert. denied,
384 U.S. 941 (1966). See also Section 10(c) of the Federal Power Act,
16 U.S.C. §803(¢), requiring a licensee to “conform to such rules and
regulations as the Commission may from time to time prescribe for the
protection of: life, health and property,” and rendering the licensee liable
“for all damages occasioned to the property of others by the construc-
tion... of the project works. . . .”

|

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50a

The commission’s Added Findings 33 and 34 are not
based upon the earlier findings and in turn are not based
on the evidence when they say (1) that the constfuction
will not constitute a hazard to the aqueduct and (2) that
the site does not constitute a hazard to the aqueduct.

The most compelling statement in the record evaluating
the problem is that of City’s witness Thomas W. Fluhr,
an engineering geologist who is a consultant for the City
of New York Board of Water Supply:

The geologic risk is that during construction of the

- project or during construction of the proposed bypass,

stresses already present in the rock may be triggered

and cause failure of the aqueduct. Moreover, even if

the bypass were successfully constructed and placed

in operation, and the pump-generator and transformer

_ galleries also completed, there would be no assurance

that orogenic stresses would not build up and cause |

failure of the aqueduct even after a lapse of many
years.

The risk of failure of the aqueduct cannot be re-
garded as imminent but it represents a definite hazard.
When the Moodna Tunnel was first constructed and
failed, ample time was available to rebuild it since
there were no consumers dependent on it for water

supply. At present there is no substitute for the
Catskill Aqueduct; its failure could have catastrophic
consequences. , |

Evaluation of the risk involved in constructing the
power plant near the aqueduct tunnel cannot be made
on an actuarial basis. The risk might be taken as a
calculated business risk if only money were involved;
however, a failure of this water supply system might
jeopardize the lives and welfare of millions of persons

5la

in the city and the upstate communities served by
the Catskill Aqueduct. Fluhr, 110/16,837-38,"2

On this record and on the commission’s findings and in
the light of the commission’s own staff recommendation,
I would dissent as to the Storm King site even if the
aqueduct were the only factor involved. But there are
other points on which it seems to me the commission was
only paying lip service to the mandate of this court in
Scenic Hudson, supra.

The first of these is air pollution? While the extent
to which the FPC possesses any particular expertise on
air pollution may be doubted, we may assume some
familiarity with the subject in the light of the commission’s.
comments’ in, and experience in preparing, the 1970
National Power Survey." Unfortunately, one generating
plant after another has been constructed in the past with-
out much attention to this problem'*—one that by contrast
is perhaps more readily visible for a visitor to New York

12 Mr. Fluhr was originally engaged by the consultants to Consolidated
Edison Co. and later by,Consolidated Edison directly, with the under-
standing that the interests of the City of New York would take priority.
He thought the original surface plant, rejected in Scenic Hudson,
supra, safe and “geologically sound.”

13 “Air is our mést vital resource, and its pollution is our most serious
environmental problem.” President Nixon’s Message to Congress, re-
ported in 21 BNA Environmental Reporter 0201, 0204 (Feb. 10, 197Q).

14 See pt. IT, at IT-2-61-62.

15 “Industries, power plants, furnaces, incinerators—these and other so-
called “stationary sources’ add enormously to the pollution of the air.
In highly industrialized areas, such pollution can quite literally make
breathing hazardous to health, and can cause unforeseen atmospheric
and metéorological problems as well.” President Nixon’s Message to
Congress, 21 BNA Environmental] Reporter at 0204 (Feb. 10, 1970).

-

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— wet gata >

. Sth pectin Smee. cat.

52a

than it may be to full-time citizens of the city..° The
Cornwall project as an alternative to other generating
methods on its face is more conducive to eliminating air
pollution, except for one catch: in order to pump water
from the river to the reservoir at Cornwall, Consolidated
Edison may, as the commission order now reads, pollute

_ the city during pumping hours, which are usually at

night,’? when the air is most still and the pollutants sit

low over the city. In other words, there is no requirement.

that Consolidated Edison refrain from using its - present
generating facilities for pumping purposes; most of those
facilities are, according to fhe commission’s Finding 82,
relatively inefficient and burn relatively expensive, de-

pletable fossil fuels, and some of them are outmoded."

16 New York City is subject to pollutants emitted in both a gaseous
and particulate form from a wide variety of sources, including power
generating plants. Finding 75.

It should be noted that serious air pollution episodes resulting from
inversions have occurred in New York City in 1953, 1963, and 1966.
An “inversion” occurs in periods of little or no wind when a layer
of cold air covers a layer of warm air to prevent it from rising.
Without an: upward current of air or wind the pollutants cannot be
dispersed. As a result, the pollutants mass in a thickening stagnant
cloud above the area affected and they diffuse down to the ground
line. While inversions are not very frequent, they can last for several
days and can be present day and night. A typical episode, to which
are attributed 168 deaths, occurred during the Thanksgiving holiday,
November 22 to 26, 1966. Finding 76.

17 By utilizing energy surplus to system needs during night-time and
_ week-ends, or purchasing low cost surplus energy. from interconnected
systems, ‘Cornwall is designed to convert low cost surplus energy into

high value energy during periods of peak demand. Finding 70.

18 Consolidated Edison’s eleven fossil fuel plants contributed in 1969

34 percent of the sulphur dioxides and 9.1 percent of the fly ash and

"other “particulate matter” that is so evident to the senses of sight and
smell in New York City. skies.

The United States Public Health Service estimates that in 1969
approximately 400,000 tons of sulphur dioxide and approximately
70,000 tons of “particulate matter” were emitted in New York City.
Of that total, Con Ed’s eleven fossil fuel plants accounted for ap-

53a

Since by FPC calculations it will take 1.4 KWH of pump-
ing energy supplied during non-peak periods to produce
1 KWH of project energy, Finding 71, it is obvious that
additional air pollution will result if the pumping energy
comes from those old fossil fuel plants.’® If, as Finding
83 says, “[vJery little city generated power will be used
to pump Cornwall, particularly as Con Ed’s interconnec-

_ tions and_nuclear generated capacity increase with time,”

why would it not be proper to order that only the most
efficient and least polluting fossil fuel generating units
be utilized for pumping purposes now ??° Indeed, Finding

proximately 156,000 tons of sulphur dioxide and approximately 6,400 -
tons of fly ash and other particulates, primarily from the combustion
of bituminous coal and residual oil for the generation of electricity.
Although Con. Ed’s emissions are less than half of what they were a
_ few years ago, and are expected to be even less with the planned
elimination by 1972 of coal and a further reduction in ‘sulphur content
of residual oil, Con Ed is likely to continue to be a substantial con-
tributor to air pollution in the City so long as fossil fuel generating
facilities comprise the greater part of its system. Finding 77 (em-
phasis supplied). :

19 If the energy necessary to pump Cornwall comes from polluting
power plants in New York City that would otherwise be idle, little or
nothing would be gained in reducing the air pollution problem. Based
on the assumption that Cornwall would go into operation in 1972 a
Staff study introduced in evidence showed that by 1980 approximately
89 percent of its pumping requirement could be met by virtually non-
polluting sources of generation. Cornwall, to the extent that its water
is not pumped by power from Con Ed low cost nuclear plants will
be powered primarily from sources in areas adjacent to the Con Ed
service area, and perhaps by imported Canadian hydroelectric power.
Findig 82. -

20 The FPC argues this is impractical, because electrical energy “flows
through a system like Con Edison’s in a unitary fashion.” But surely
the Commission’s great expertise in transmission matters ean come into
play here: experience must have shown what the minimum safe loading
parameters are for night-time base-load plants to assure the necessary
system stability and to provide the necessary load service; operation —
above such limits, with possible exceptions for emergency situations,
could be prohibited as a condition to the license.

-

S4a

84" seems to suggest that gas plants will be used for
pumping but the order does not require their use. Of
course, it may be that Consolidated Edison will be pro-
hibited from using its old fossil fuel plants for pumping
or otherwise under the Clean Air Amendments of 1970*
to the Clean Air Act, 42 U.S.C. §§1857-18571. But this
does not absolve the FPC of its responsibilities to avoid
adding to air pollution under its own governing Act
or under NEPA, supra note 3. Consolidated Edison's own
studies made in 1966-67 show that Storm King will result
in more fossil fuel usage in New York City than would
certain other alternatives. While this study has been ques-
tioned by the FPC itself, one of the justifications made
by the company for the Storm King plant bas been that it
would permit otherwise idle large base-load plants in the
city to generate at night.

ry
i
i
F
it
i

4

Ht
ibe
hte
ait
et
vatettis
ili

E
itty
He -
pifte
ite |
iiiatt
ith

:
|

See. 111(4)), 1
wre

’ (1970)

¢

Our customers’ demands for electricity are high when .

they are awake and at work. Conversely, during the
night time when most are sleeping, their need for elec-

tricity is at a low level—much below the capability of .

our most modern and efficient generating capacity.
We plan to use this otherwise idle but efficient eapecity
to pump and store water in the upper reservoir at
times of ligt customer demand. 32/4191.

Beyond this, we are told that Consolidated Edison gen-
erating facilities in the City produced 113,700 ton» of
nitrogen oxides, constituting about 38 per cent of ‘otal
emissions of those compounds in the City.” Yet there is
no mention of these in the Commission findings, «scent
perhaps by implication in Finding 76° To my mind. re-
mand is required not only on the strength of the provent
record and Scenic Hudson, supra, for insufficiency of ‘nd.
ings, but also in view of the changes which have occurred
in Congressional policy 6n air pollution control,” an) in

22 hee City Petition for Rebearing p. 19 (R. 276, 694). Nitregen decide,
ome of the oxides, le apparently « compenrst of eeeg, HT! ore

more than three days are dengerwes te bealth, eoele of © oa
(4 be. avetage) promote ecg formations Thee levels ote sooty
vxcecded im the city. With the thought that operation of th = ity.
located plants will be im the relatively still night-time cit, Ger bee
vistons of evonoméiral and ficient pemping at Storm King eb) Nee
Vortere rough and gacp for treath

24 «= The Comeniesion’s brief argues from the testimony of EPA © ‘oem
Lowgeker thet “the exe of eulfer oxide eerved a6 & more ieper ant
‘parameter or index of pollution from large stationary sources ‘has
particelate emissions,” as if te tell the court that the index of @'" ere
otrde «mLemon me

SS ee OPP PSR s-oe eng + enone”
' ’
>

eo ge ee

_ .o-

*
nS . eo ow

a |
he te et eh

Le +

mee |

*--s

- plans to eliminate air pollution in New York City.” It

is no answer to say that the City may invoke its own
police power, if necessary, to regulate the dispersions from
Consolidated Edison fossil fuel plants; Consolidated Hdi-
son would be the first to cite, indeed it already relies upon,
First lowa Hydroelectric Coop. v. FPC, 328 US. .152
(1946), to avoid undue inhibition of its rights under any
license granted for Storm King.

The final matters which, to my mind, tip the scales for
a reversal rather than simply a reversal and remand are
two. The first concerns what may broadly be called ae«thet-
ies,” impairment by the project of the mountain's scenic
grandeur. The commission's Finding 148 refers to the
mountain “swallow|ing|)” the “sear of the highway, the
intrusive railroad structure and fills and tolerat{ing} both
the barges and scows which pass by it and the thoughtless
humans [sic] who visit it without sewing it... .” The
finding goes on to say that just ax the mountain «wallows
present day intrusions, “it will «wallow the structures
which will serve the needs of people for electric power.”
This argument borders on the outrageous; it can be used
to justify every intrusion on nature from strip mining to
ocean oil spills, riz., “the Santa Barbara coastline already
has an ocean-side highway, numerous offshore oil rigs,
and a lot of flotsam and jetsam comes on to Wie beaches,
ete... .” Two scenic wrongs do not necessarily make a
right. On the basis of the commission's thesis, wherever

57a

one overhead transmission line you can put another, you
can add blight to blight to blight. That a responsible fed-
eral agency should advance that proposition in the form
of a finding and in the teeth of the NEPA seems to me
shockipg. The commission’s finding overlooks the fact
that we are considering here a power station which above
ground will consist of a concrete tailrace with abutments
32 feet high and 685 feet long, cutting back existing
shore line from 195 to 260 feet, exclusive of any access
road.” This location, as the commission concedes, is on a
small riverbottom foothill which “is visually a part of
Storm King Mountain ....”** The mountain may “swallow”
the project, but the concrete tailrace and abutments, as
long as a good-sized football stadium—over an eighth of a
mile—and three stories high, will surely be stack inv its
craw. .

The second point which tips the scales for reversal, I
believe, is the commission’s treatment of environmental
impact, a treatment required under the National Environ-
mental Policy Act of 1969 (“NEPA”)." This Act requires
“all agencies” to “include in every recommendation or re-
port on .. . other major Federal actions significantly af-
fecting the _— of the human environment, a detailed
statement” on

(i) the environmental impact of the proposed action,

(ii) any adverse environmental effects which cannot
be avoided should the proposal be implemented,

(iii) alternatives to the proposed action,

28 Finding 191.
29 Finding 189.
30 © Finding 156.
31» Pub. L. 91-190, 83 Stat. 852, 42 U.S.C.A. §§4321-47, off. Jan. 1, 1970.

ar

38a

(iv) the relationship between local short-term uses
of man’s environment and the maintenance and en-
hancement of long-term productivity, and °*

(v) any irreversible and irretrievable commitments
of resources which would be involved in the proposed
action should it be implemented. Section 102(c), 42
U.S.C.A. §§43832(2)(C)(i)-(v).

In a very real sense this Act is a legislative response to
and embodiment of the far-sighted and significant Scenic
Hudson decision of this court™ where the commission was
directed in Judge Hays’ words to “include as a basic concern
the preservation of natural beauty,” 354 F.2d at 624, and
to give proper consideration to “the totality of a project’s
long-range effects.” Id. at 620.

The commission properly included a series of eight find-
ings (2211-18) purportedly dealing with NEPA, even
though the record had closed before the Act became effec-
tive. In measuring those findings (and other findings)
avainst the Act, to determine whether they constitute the
detailed statement the Act requires, it seems to me we
must bear in mind some of the declared goals of NEPA:

In order to carry out the policy set forth in this —
chapter, it is the continuing responsibility of the Fed-
eral Government to use all practicable means, consistent
with other essential considerations of national policy,
to improve and coordinate Federal plans, functions,
programs, and resources to the end that the Nation
may—

——————

32 “Scenic Hudson, by placing a positive responsibility on the FPC to
consider less environmentally damaging alternatives, laid a foundation
for the obligation to develop alternatives imposed by NEPA.” Council
on Environmental Quality, Favironmental — Second Anygual

Report 160 (Aug. 1971).

59a

(1) fulfill the responsibilities of each generation as

trustee of the environment for succeeding generations;

(2) assure for all Americans safe, healthful, produc-
tive, and esthetically and culturally pleasing surround-

INgS ;

(3) attain the widest range of beneficial uses of the |

environment without degradation, risk to health or
safety, or other undesirable and unintended conse-
quences .... 42 U.S.C.A. §4331(b)(1)-(3).

As recently pointed out by the Court of Appeals for the
District of Columbia, “the very purpose of NEPA was to
tell federal agencies that environmental protection is as
much a part of their responsibility as is protection and pro-
motion of the industries they regulate. Whether or not the
spectre of a national power crisis is as real as the commis
sion apparently believes, it must not be used to create a
blackout of environmental considerations in the agency re-
view process.” Calvert Cliffs’ Coordinating Committee,
Inc. v. AEC, 40 U.S.L.W. 2067 (D.C. Cir., July 23, 1971).

Here the commission’s Finding 217 says, incomprehensi-
bly, “[a]ny short term adverse impact on the natural en-
vironment is more than offset by the enhancement of long
term productivity which will result from the project”. This
is supposed to be a commission finding under NEPA, but I
think the finding indicates that the commission did not read
the Act very carefully. Section 102(2)(C) (iv), 42 U.S.C.A.
$4332, requires a statement of “the relationship bétween
local short-term uses of man’s environment and the mainte-
nance and enhancement of long-term productivity” ( empha-
sis supplied). Not the short-term impact on the natural
environment, but the short-term uses of it in relation to

33 The Court was of course speaking of the AEC, but the language of
the opinion is equally applicable to the FPC.

ys he a

te

60a

long-term productivity, is the statement required. Here we
are considering permanent structures, a long-term and sub-
stantial use of an area of great natural beauty, “unique
beauty,” in the words of Scenic H udson, supra, 354 F.2d at
613, involving an “irreversible and irretrievable commit-
ment of resources” in the proposed project if licensed, to
use the language of Section 102( C)(v) of NEPA.

Finding 213 Says that “there is essentially no conflict
concerning alternative uses of available resources because
with the exception of the small part of the Black Rock
Forest to be flooded by the reservoir practically none of the
other parts of the project preclude alternative uses of avail-
able resources.” This finding, as the brief of the Scenic
Hudson Preservation Conference suggests, completely omits
the conflicting alternative use of preserving the area free
from any utility installations, tailraces, abutments and ac-
cess roads.

In Finding 215, the commission concludes under NEPA,
and the majority opinion here relies upon the finding, that
none of the most likely proposed alternatives “could be sited
within one hundred miles of New York City with any less
physical impact on the environmental aspects of the affected
area than the Cornwall project.” In this day of high volt-
age transmission, what is so magic about one hundred
miles?** Are all areas within one hundred miles of New
York City to be treated alike for electric generating pur-
poses? Or are they all to be made to look alike, so that we
will no longer have to be concerned how they are treated?

Finding 217 says “[t]he resources which will be com-
mitted to this project are the acreage it will necessarily
encompass and the fuel resources which will be committed
to pumping energy” which are “many times over” out-
weighed by “the electric energy resources which will be
generated by the commitment of such resources.” But this

34 See, ¢.g., note 1 supra.

_ a i RiNaalacia ki

6la ;
Finding overlooks both points mentioned earlier in this
dissent, the risk to the Aqueduct and the increase, however
temporary, of air pollution in the City to generate pumping
power. To view plant-citing at Storm King Mountain as
only a commitment of “acreage,” rather than as a com-
mitment of a scenic wilderness area—albeit with some past
intrusions and some present fairly easily rehabilatable de-
facements—to a massive, if partially hidden, power struc-
ture, is to beg the question of environmental preservation.

The extent to which the commission has in this proceed-
ing too readily rubber-stamped Consolidated Edison’s plans
is indicated by its authorization of an alternative project
within Palisades Interstate Park. The commission over-
ruled its own examiner in this regard and the choice of an
alternative site flies in the teeth of the Park Compact that
the lands included within the Park “shall be used only for
public park purposes.” 50 Stat. 719, Section 3.

It would seem that the Specific authority of Congress is
needed for the development, transmission or utilization of
power within the limits of a national park. See 16 U.S.C.
§797(a).** Citizens to Preserve Overton Park, Inc. y. Volpe,

35 See also Finding 188:

.. . Limiting the external features at the powerhouse site to the portal
entrance tailrace, and access road, totalling approximately 3 or 4
acres—out of Storm King’s total of over 400 acres—should reduce
to a minimum the visual impact on the scenic vistas of Storm King
Mountain or the Highland Gorge of the Hudson River and thereby
preclude any material scenic impairment or detriment.

See also Commission Brief p. 56.

105a

119. If the growth of system load projected by Con Ed
is realized, Con Kd contends that combined operating and
fixed costs of the system with an all nuclear alternative to
the Cornwall project would cost in exeess of $192,000,000
more than for the system with the Cornwall project for the
years 1972-1991 inclusive, with the annual cost differential
growing in the later years. If the exponential growth of
load assumed by Staff occurs, the magnitude of this differ-
ential would be considerably greater for the same period.

120. Although in support of a combination nuclear-gas
turbine unit as its primary and preferable alternative to
Cornwall, Scenic Hudson's witness adopted Con Ed's nu-
clear cost estimates, its witness in support of an all nuclear
alternative did not adopt such cost estimates. Instead, his
estimates were primarily based on bids to TVA in 1966.

121. In its Brief on Exceptions, Seenie Hudson, while
paying lip service to an all nuclear alternative, does not
attempt to support its witness’s nuclear alternative esti-
mates. Because of the adverse economies of an all nuclear
alternative, as well as the reliability and outage problems
inherent in such units, there is now no serious support for
such alternative. For these reasons, we find that an all
miclear unit is not a feasible alternative to Cornwall.

Alternative Conventional or Pumped-Storage
ITydroelectric Sites

122. Both Con Ed and Staff conducted extensive sur-
veys for conventional hydroeleetrie or pumped storage
sites within a radius of approximately 100 miles from
New York City. All of their witnesses coneluded that
there are no suitably located alternative conventional

.

106a

hydroelectric or pumped storage sites available. All of
the potential sites were deemed to be not as economic, or
economic only for local needs but not, when combined with
extensive transmission costs, for New York City.

125. None of the intervenors presented any evidence
on alternative hydroelectric sites.

124. The record is uncontradicted, and we find. that
there is no feasible hydroelectric alternative to Cornwall.

Availability of Purchased Power
as Alternative to Cornwall

125. The parties also considered the practicality and
cost of purchasing firm power from generating sources
on other utility systems as an alternative to construc tion
of the Cornwall project.

126. The electric systems which could have available
some excess power for sale to Con Ed are the New England
Power Pool, the Pennsylvania-New Jerseyv-Maryland Pool
(P-J-M) and the Upstate New York System.

127. The Upstate New York System and the South-
eastern New York Companies (SENY) constitute the New
York Power Pool.

128. Staff witness Jessel analysed the projected loads
and power supplies of utility systems within practicable
transmission distance of applicant’s system, and concluded
that there would not be sufficient excess firm power avail-
able for use as an alternative to the’ Cornwall project.

107a

129. Although the diversity between peak loads suggests
that as much as 1130 mw could be exchanged seasonally
by the systems in SIENY and those in Upstate New York,
the requirements for maintenance of generating capacity
are such that only about 500 mw could be exchanged be-
tween these two groups in 1975.

130. Another opportunity is the purchase of summer
power from New England and winter power from the
P-J-M Power Pool.

131. The record indicates that the maximum amount of
purchases that could be made in a useful manner would
be 1080 mw in summer from New England and the same
amount from P-J-M in the winter in order to have a bal-
anced, year-around, power supply. But allowing for main-
tenance of generating equipment, only about 43 per cent
of the seasaqnal diversity would be available for sale to
the New York Power Pool Systems. This means that if
it obtained all of the energy sold to the New York Power
Pool at best Con Ed would receive 465 mw on a two- way
purchase basis from the New England Power Pool and
the P-J-M Power Pool. |

132. To accomplish such purchases would require the
construction of additional transmission facilities from the
Con Ed System to the New England Power Pool and also
‘from Con Ed to P-J-M. This would require twice as much
transmission capacity as would be necessary if purchases
were made from only one power pool, even if they are
actually available in the amount indicated.

133. Our Bureau of Power’s review of Con Ed's Ss power
supply pretnane and ten-year expansion plans, issued in

10S8a

December 1969, points out that power purchases are often
specifically or tacitly conditioned on availability. Gen-
erally, these arrangements give the delivering svstem the
option of reducing the amount of delivery, after due no-
tice, if that system finds itself in short supply. Thus there
is no real assurance that the power will actually be ayail-
able when needed.

154. Another considered alternative to the Cornwall de-
velopment is the possibility of purchased power from
Canada, namely from Churchill (Hamilton) Falls project,
now under construction. To be a proper source of power
supply, the energy from Canada would have to be taken
substantially: 24 hours per day: otherwise this would not
be an economic source. The transmission distance in-
volved and the relatively high ¢ost of transmission facili-
ties makes Churchill Falls power comparable to base load
nuclear power or base load iine-nouth power or other
sources of base load power outside of New York City,
rather than an alternative to the Cornwall development.
There is no indication when, if ever, Churchill Falls Power
might be available to electric svstems outside of Canada.
In addition, there is no assurance that it would be avail-
able upon system separation.

135. The Northfield Mountain Pumped Storage Project
may help answer some of the problems of reliable economic
supply in western New England but it is not a reasonable
alternate to the construction of Cornwall to serve Con Ed's
requirements, That is so hecause it would require addi-
tional transmission capacity in Massachusetts, and the need
to enlarge the upper reservoir at Northfield Mountain
whether a long or short term sale were contemplated.

109a

Even an enlarged reservoir would provide the equivalent
of only 814 hours of dependable capacity at 500 megawatts,
which is less adequate for applicant’s relatively flat daily
peak than Cornwall, which will provide the equivalent of
approximately 11.5 hours of operation at 2000 megawatts.
The spinning reserve function of Cornwall would not be
served by a purchase of power from Northfield either in
quantitv of reserve (Cornwall provides 750 mw) or in
ready availability. There is also a risk that Northfield
might separate from Con Ed.

156. The foregoing indicates that Con Ed would not
have available from its neighbors 2000 mw of purchased
capacity on a reliable and economic basis.- Although about
465 mw additional might be obtained by making summer
seasonal purchases from New England and winter sea-
sonal purchases from P-J-M, this power supply would be
much less reliable and much more expensive beeause of
required duplicate investment. in transmission facilities.
The power from New England and from P-J-M would
have to come over substantial transmission distances, and
in the event of separation-loss of such supply would agera-
vate the stability problem in an isolated SENY network.
Finally, if load growth exceeds plant expansion, present
sellers may themselves become seckers of purchasable
power. :

137. The entire capacity potentially available through
purchases would be slightly in excess of 1000 mw, sub-
stantially less than the amount that Cornwall would pro-
vide. Scenic Tudson does not contend that an all purchases
power alternative to Cornwall would be feasible, but argues
oy brief that an alternative consisting of 810 mw of pur-

.

110a

chased power should be considered, In view of the assump.
tion inherent in this suggestion by Scenic Hudson that
the gas turbines would not operate as a spinning reserve,
the spinning reserve would have to come from the pur-
chase sources if this alternative is to be comparable to
Cornwall. Accordingly this possibility cannot be deemed
reliable, since such purchases would not be available in
the event of a separation, the very time they would be
most needed.

Other Alternatives

138. In addition to the foregoing, a number of other
methods of generation that might provide a feasible alter-
native to Cornwall were considered, including minemouth
generation and conventional thermal units, as well as fuel
cells and other éxotie methods of generation.

beh

139. Minemouth generation, as previously mentioned, is
not suitable to provide load protection or spinning reserve.
In the case of Con Ed it would require long transmission
lines from Pennsylvania or West Virginia vulnerable to
separation, and necessitating extensive undergrounding as
they approached or crossed urban areas west of the city.
The'air pollution inherent in minemouth operations while
created in a more rural area is nevertheless a negative en-
vironmental factor when compared with pumped storage
generation at Cornwall.

140. For various reasons, including poor spinning: re-
serve responses and load protection, air pollution, and in-
ability to meet power requirements, we find that none of
the other methods are feasible alternatives. None of them
are seriously advocated by any of the intervenors, and no

llla

useful purpose would appear to be served by setting out in
detail the deficiencies of these alternatives whieh the record
developed.

Aesthetic and Recreational
Resources of the Region

141. Finding as we do that the record in this proceed-
ing clearly establishes that the project offers more reliable,
ceaner, and cheaper electricity than any other feasible al-
ternative, we now consider whether, and if so to what de-
gree, the project will create detrimental aesthetic and en-
vironmental conditions.

142. Pursuant to the Court of Appeals’ direction that
the Commission carefully consider “the preservation of
natural beauty and of national histerie shrines”, extensive
evidence was presented hearing upon the effect of Corn-
wall on the aesthetic and recreational resources and on thie
historic significance of the Hudson River Valley and the
Hudson Highlands. Part of that testimony constitutes a
manual, as it were, for counsel and courts on how to try the
issue of environmental effects of works or facilities which
require a license or permit from a publie ageney charged
to consider environmental factors in making its decision to
grant or withhold.

143. The environmental testimony began with a strong
witness, appropriately qualified. Mir. Charles H. Callison,
the executive viee-president of the Audubon Society, was
experienced, well-travelled, and a leading conservationist.
He was furnished the Court of Appeals Opinion, and di-
rected to the key language in it. In clear and straightfor-
ward language, he defined the ¢ourt’s term “natural

li2a

beauty” as he understood it, and furnished a methodology,
which he believed could be used to appraise natural be aunty,
This was followed by word-pictures painted by a master,
then-by reference to photographs, and finally by a series
of comparisons. One section illustrates how any reader
might be persuaded to identify with the witness's evoca-
tive descriptions:

“Moreover none of the other rivers has the history, the
drama of the Hilson. None has been as much the very
waterway of history, the gateway to the north and
west, the ‘nortlwest passice’ to an empire, if not to
the Orient as Henry Hudson thought it might be. In
short, the Hichlaml.
agely out of the water, While Breakneck Ridlee acer -«
the river resembles the winged hill of tilted stroia
that looms into the Gulf of Corinth near Caledon ”
(33/4888)

Professor Seully was particularly disdainfal of the eo -
pany’s reereation proposal, as temling toward the “euler.
tanization of the mountain”.

Ee ————— New
Windsor Cantonment, the United States Military Academy,
and Stony Point Battlefield, all important historic land-
marks. However, as the Sierra Club stated “It is not
daimed that from the peak of Storm King Mountain was
launched a major war, or that at its base was fought a
noteworthy duel .

19%. There are Revolutionary War sites from Staten
Island, in New York Bay, to Lake Champlain and beyond.

197. The NENYIAC Report” states that the best pre-
served Revolutionary fortification in the Highlands are on
Constitution Island. It continues:

The ultimate transfer of Constitution Island to the
National Park Service for. development as a historic

” Report on the Land and Water Resources of the New England-
New York Region, Sen. Doc. No. 14, 85th Cong. Ist. Sess. (1957),
a part of the record.

1JSa

site deserves serious study. The National Park Ser.
vice now administers the Saratoga National Park,
commemorating the defeat of Burgoyne in 1777, by
there is no area under any jurisdiction where the vital
significance of the Hudson Valley throughout the whole
war of the Revolution is illustrated adequately. Cop.
stitution Island js proposed for study as probably
meeting this need. Interpretation here could include
reference to Stony Point, Fort Clinton, Fort Mont.
gomery, the Newburgh area, and related sites up and
down the Hudson, making them into a colorful and
stimulating tour.

198. Constitution Island is located at approximately
river mile 33 and the proposed scenie overlook, affording
a view toward Constitution Island as well as to the north,
is located inland from about river mile 52.75. We believe
that views of this historic spot should be available in order
to impress upon visitors its. strategie location and im-
portance in the infant days of our republic. The Bear
Mountain Section of the Palisades Interstate Park is al-
ready making known the historic sites of the area. A scenic
overlook which enhanced the viewer's appreciation of this
historic area is in the public interest. It seems inappro-
priate to applaud scenic overlooks of historic sites when
constructed on park lands by public agencies while depre-
eating a similar facility situated on private lands, but
equally dedicated to the public. .

199. The Highlands also gave birth to the Hudson River
School of American Art which has been called one of the
most important of all schools and chapters in the history
ot American art.

1a

90). Similarly, a number of important literary figures
lived and worked in the Highlands, of which Washington
Irving and James Fennimore Cooper are perhaps the best
known. .

1. In addition, a number of mansions and villas were
puilt along both shores of the Hudson throughout the High-
lands, some of which remain and have historical and arehi-
tectural significance.

202. Despite the fact that the area is one of historical
significance, no significant historical event has ever actually
taken place in Cornwall or closer than Constitution Island
and West Point (river mile 52.5) or Forts Clinton and
Montgomery at Bear Mountain (river mile 46.75). In any
event, the Cornwall site would not be visible from West
Poin: or Constitution Island though environs Constitution
Islax-d would be visible from the scenic overlook. It is
apparent, and we find, that the project would not cause the
destruction of any historical site.

Advisory Council on Historic Preservation

203. Scenic Hudson objects to any consideration by the
Commission of the findings of the Advisory Council on
Historic Preservation, adopted on May 8, 1969, that “Plans
L Il, and Alternate II presently under consideration by
the Federal Power Commission are almost identical in
their minimal adverse effect on the scenie values for which
the Park was initially established. None of the plans
affects adversely the cooperative effort that permits the
continuation of the Park as a conservation area.”

204. It claims that the statement is not only contrary
to the evidence but that it is ex parte in that Scenie Hudson

130a

Was not permitted to participate in the deliberations of the
Advisory Council whereas Staff attended and the Council
previously had the benefit of Staff's brief opposing excep.
tions, dated October 28, 1968.

205. We disagree with Scenic Hudson. We believe that
should the Commission fail to obtain, or ignore, the views
of the Advisory Council on Historic Preservation, it might
be construed as a violation of statutory requirements. See
Historic Preservation Act of 1966 (80 Stat. 915).

206. Contrary to’ Scenic Hudson's contention, the sub-
mission to the Advisory Council of Staff's brief would not
appear to be a violation of procedure since the Council
does not conduct proceedings within the APA; Staff is not
an advocate for the applicant; and the Council’s views are,
in any event, advisory only and not conclusive on the issue.

207. Scenic Hudson, while complaining of its non-par-
ticipation, does not actually accuse Staff of participating,
merely stating that “Staff Counsel attended” (Scenic Hud-
son Brief Opposing Exceptions, p. 5, March 3, 1970).
Scenic Hudson is, or should be, aware that witness Wirth.
whose environmental viewpoint Scenic Hudson has strongly
supported in this proceeding, was invited to express his
views before the Advisory Council at the May 7, 1969 meet-
ing but did not appear. Further, the Advisory Council is
the sole arbiter of the proceedings before it. The Commis-
sion is not precluded from considering the views of the
Advisory Council merely because Scenic Hudson's views
were not presented to the Council. Scenic Hudson has had
ample opportunity to present evidence in this proceeding

13la

and make its views known. There ‘is no failure of due
process in the premises.

208. The findings of the Advisory Council are not, de-
spite Scenic Hudson's contention, contrary to the evidence,
which is that the continuation of the Park as a conservation
area is not precluded by the project. We find that the
facilities proposed would provide expanded recreational
opportunity and use of the project area by the publie. Our
finding is made on the basis of record evidence, independent
of consideration of the findings of the Advisory Council,
which simply confirms our Gonclusion.

209. The overlook unquestionably will enable visitors to
enjoy the scenic vistas of the Iludson River. The external
aspects of the project, as visible from the river, comprise
only a very small proportion of the project as a whole.
They do not seriously er substantially impinge on the
scenic, historic or environmental qualities of the area. The
beauty of the Highlands will not only remain, but the
cdean-up of the riverfront area and creation of a fine park
will contribute substantially to those qualities. It may not
be possible to prevent scars during construction, but these
are of relatively short duration. The evidence amply
demonstrates a desire on the part of the Applicant not only
to minimize the man-anade impact of the project on the
natural scene but to restore it as much as possible.

210. The issue involving the project reservoir and its
impact on the scenic, historic, and environmental qualities
of the area will be discussed separately, but insofar as it
relates to the overall scenic, lristoric, and environmental
issue we incorporate it in our finding that the project will
not have a substantial or material adverse effect on the
scenic, historic, or environmental qualities of the area,

132a

National Environmental Policy Act of 1969

211. There is a heightening concern with the effects of
energy utilization on the environment. The proper use of
resources to improve man’s standard of living while pre.
serving the quality of man’s environment is a major goal,
Our ability to meet future requirements while avoiding
further deterioration of our natural environment will very
much depend on the means we seleet to meet those re.
quirements.

212. Since the close of the record, the National Environ-
mental Policy Act of 1969 was enacted. S83 Stat. 852 (Pub.
L. No. 91-190, approved Jan. 1, 1970). That act recognizes
the profound inupact which proposed activities may liave
on all components of the natural environment,and declares
that it is the poliey of the Federal Govermment to ereate
and maintain conditions under which man and nature ean
exist in productive harmony, and fulfill the social, econdmie
and other requirements of Americans. To that end Section
102(2)(C) of the Aet seis forth that Federal actions affeet-
ing the quality of the environment shall include a statement
on (1) the environmental impact of the proposed action,
(2) any adverse environmental effects which cannot be
avoided should the proposal be implemented, (3) alternae
tives to the proposed action, (4) the relationship between
local short-term uses of man’s environment and the main-
tenance and enhancement of long-term productivity, and
(5) any irreversible and irretrievable commitment of. re-
sourees which would be involved in the proposed action
should it be implemented.

213. The Sierra Club points ont that Section 102(D) of
the Act requires Federal agencies to “study, develop, and

ha

deseribe appropriate’ alternatives to recommended courses
of action in any proposal which involves unresolved con-
flicts concerning alternative Uses of available resources.”
The point missed by Sierra Club im its opposition to the
project i& that there is essentially no confliet concerning
alternative uses of available resources because with the
exception of the small part of the Black Rock Forest to be
flooded by the reservoir practically none of the other parts
of the project preclude alternative uses of available re-
sources. The space. taken by the seenie overlook does nof
preclude any alternative use of the vast remaining re-
courees which are available. Nor does the project in any
way preclude the development of the Storm King section
of the Palisades Interstate Park.

214. It is not a question of “either-or” but rather a situa-
tion of compatibility of utilization of available resources.
In terms of utilization it would appear that the under-
ground aspects of the project cannot reasonably be said to
conflict with any alternative use.” In terms of rehabilita-
tion of the waterfront area and construction of a water-
front park, the utilization of available resources weighs
overwhelmingly in favor of aesthetic and environmental
improvement which the project brings to bear on the avail-
able resource. Indeed so far as the waterfront park is con-
cerned, one would be hard put to think of a better example
of what is intended by the clause “other beneficial public
uses, including recreational purposes.” The scenic, aes-
thetic, and environmental objections raised in this proceed-
ing are largely muted regarding this aspect of the project.

In this connection it should be noted that the Park Commis-
sion does not object to the subterranean utilization of park lands
for the power tunnel and penstocks. (Tr. 120 18.049-50; 18,056-
57; Park Commission Br. Op. Ex., p. 16, Mareh 4, 1970).

134a

215. Still another = ae to weighing “alternatives to
the proposed action” from an environmental standpoint js
to compare the operational consequence to the environment
of the Cornwall project with similar’ consequences which
would result from any reasonable alternative project. We
conclude that none of the most likely proposed alternatives,
including an all-nuclear unit or the mixed nuclear and gas
turbine combination, could be sited wi ithin 100 miles of.
New York City with any less physical impact on the en-
vironmental aspects of the affected area than the Corn-
wall project.

“16. Although the proceedings herein were prior to the
Act the reeord amply demonstrates that full and careful
consideration was given to all the concerns Which the Aet
embodies.

217. The evidence in this proceeding establishes that the
project as now designed is compatible with the natural en-
vironment and will have no adverse effect on the ecology
of the area. No water pollution or damage to the fishery of
the river will be created by the project. No diminution of
the water quality in the river will result f rom the project.
Air pollution. by reason of the project will be less than
would otherwise be possible in meeting the needs for elec-
trie energy. New recreational resources will be created by
the project. None of the numerous alternatives considered
in detail can meet the social, economie and environmental
requirements of our society as well as the proposed project.
Its potential contribution to reliable electric energy to in-
sure the health, safety, and convenience of millions of peo-
ple is unique and unequalled by any other alternative. The
capability of the proposed project to meet the peaking

135a

energy requirements is not exceeded by any alternative
and its capability to do so in a more economie manner is
also established by the record in this proceeding. Any
short-term adverse impact on the natural environment is
wore than offset by the enhancement of long-term produe-
tivity which will result from the project. The resources
which will be committed to this project are the acreage it
will necessarily encompass and the fuel resources which
will be committed to pumping energy. But the electric
energy resoureés which will be generated by the commit-
ment of such resources will many times over “foster and
promote the general welfare” and “fulfill the social, eco-
nomic and other requirements of present and future gen-
erations.” Section 101 (a).

218. Accordingly, we are licensing this pumped storage
project because the record in this proceeding establishes
that this is the best use of available resources to meet the
requirements for electrie energy with the minimum
adverse impact on our environment. The record establishes
that no alternative can so well meet the requirements with
lesser detriment to our environment.

Fishery Resources

“19. We were directed by the Court of Appeals on
remand to give consideration to the question whether the
Cornwall project will have an adverse effect on.the fish
life of the Hudson River. The Court was concerned with
lack of evidence on the major spawning grounds of striped
bass and also stated that the record would be more fully
developed on the issue whether eggs and larvae subject to
influence of the project would be threatened with destrue- °

136a

tion and whether any screening device would protect these
early stages of fish life.

220. Toward this same end a three year Hudson River
fishery study, commeneing in 1965, has been conducted.
This study, under the field direetion of a technical advisor
of the U.S. Bureau of Sport Fisheries and sponsored by the
New York State Conservation Department and the U. §,
Fish and Wildlife Service, was financed by Con Ed.
Although earlier portions of the study are part of the
record, the complete report was not available at the close
of the remanded proceedings. Since then the Hudson River
Policy Committee issued the study report entitled: Hudson
River Fisheries, Investigations 1965-1968. The Commis-
sion takes official notice thereof.

221. The investigation and its evaluation of the project
in relation to the fish in the Hudson River is a most
comprehensive study of the problem and as definitive a
development of the issues raised by the Court as is ever
likely to be achieved within the realm of practicality. It
conchided that the proposed project would have no
significant effect on most fish life, although additional
studies should be made after the plant is: constructed in
order to establish actual effects. The report found that
although substantial numbers of striped bass eggs and
larvae would be drawn into the plant, less than 0.7 percent
of the tetal number of eges produced in the river and 2.9
pereent of the larvae would be vulnerable to removal.
Further, although young striped bass are vulnerable until
they reach secreenable size, and up to 6.2 percent of these
young in the Cornwall area could be withdrawn, this per-
centage is negligible when related to the total population
of this species in the Hudson River. The investigation
studies in 1967 of 8 locations ranging from river mile 35 to
river mile 123 revealed that the heaviest concentration of

137a :

striped bass eggs was at Saugerties (river mile 102.5),
with the next heaviest at Hyde Park (river mile 82) and
the third heaviest at Cornwall (river mile 56.5). In 1966,
however, Saugerties had ranked only fifth whereas Peek-
skill (river mile 45.5), which tied for fifth in 1967, was
first. Cornwall in 1966 ranked fourth. The fluctuations in
concentration of striped bass eg¢s would seem to indicate
that the spawning grounds in the river are not only far
reaching but also not consistently more favorable in one
location than another. To this effect, a 1955 study revealed
that the concentration of eggs was highest at river mile 51,
_with river mile 61 second and river mile 53 third. Yet this
study which found the highest coneentration in the Corn-
wall area found practically no eggs in the vicinity of river
miles $2, 100 and 44, all of which in the 1966 and 1967
studies ranked first or second in egg concentration.

222. Dr. Perlmutter, a witness for Con Ed, pointed out
that the area in the vicinity of Cornwall-is only a smal!
part of the IIudson River spawning area for striped bass
which covers about 80 miles of the river. His testimony, in
this respect, is supported by the results of the Fisheries
Investigation. Dr. Raney for Scenic Hudson was of the
opinion that the greatest amount of spawning was in that
0 mile area 25 miles above and below Cornwall, and Mr.
Dagon for the Hudson River Fishermen’s Association was
of the opinion that the critical range for spawning of
striped bass is no more than a 15 mile stretch of the river
with the geographical center somewhere around West
Point (river mile 48.25). Yet the 1967 fish studies showed
the second highest concentration of eggs at river mile 82,
with the highest concentration at river mile 100.

, 138a

.

223. The studies and expert testimony on behalf of both
proponents and opponents of the project lead to the con.
clusion that bass spawn substantially in the Hudson River
over an 80 mile reach, including the Cornwall area, and
that no part thereof is distinguished as a major spawning
area. |

Fish Protection Devices

- 224. The fish protective facilities as redesigned and now

proposed provide that the tailrace will be crossed by a
railroad trestle so situated as to permit mounting of
stationary fish screens with *.” square openings hung on
vertical members which allows escape for small fish. The
redesign of the tailrace included increasing the screening
surface in order to reduce intake velocity. The protective
device is comprised of 48 screens each having two sections
22 feet high and a total length of 560 feet. The 96 screen
section can be lifted for cleaning, after prior insertion of a
backup section. It is anticipated that these screens will
not need to be cleaned more than once a month.

P°5. Trash racks are mounted on the same removable

frame as the sereens. The top of the fish sereen is located
six feet below mean sea level, above which a flat steel plate,
acting as an ice barrier, presents a continuous place
surface where there will be no inward flow of water during
a pumping evcle, thereby making it easier for small fish
near the surface to rest or swim away from or along the
tailrace. A velocity of slightly over one foot per second
appears to be critical in relation to the ability of small
fish to swim away from a screen of this nature. The
(‘ornwall average pumping velocity would be slightly less
than one foot per second one foot in front of the screens,
increasing to 1.68 fps at two or three inches in front when
the plant is pumping at maximum capacity.

139a

226. No witness suggests that eges and larvae and fish
wider 14% inches in length could be sereened from the plant.
The issue was the amount of eges and larvae which would
be drawn in and the effect thereof. There was testimony
that the survival rate would approximate 80 per cent.
Basically this relates to striped bass because their eges

and those of shad are not adhesive, but the shad spawn
far enough upstream so that their eves and larvae are not
affected. The eggs of all other species adhere to whatever
they are laid on.

227. The fragility of striped bass eves is in dispute.
Mr. Walburg, a fish biologist fer the Department of
Interior, ‘testified that eges in a glass jar had been killed
by vibrations caused by striking that jar with a ring. Also,

SA he oD SRE Spee Ts

eges struck by stirring rods of fine material pop. Dr.-

Raney, for Scenic Hudson, stated that striped bass eres are
iragile in the sense that all fresh eges are more fragile
than a young juvenile or an adult fish. and that eges are
more fragile at some stages than they are at others. The
record also reveals, however, that exe samples have been
successfully recovered hy means of towed nets. have been
handled in hateheries, have survived spawning in rapids
and turbulent water, and have survived water pressures
similar to those which would be encountered in the project.
As fsh eges go, the evidence is that striped bass eges are
not particularly fragile, but are susceptible to damage in
many ways. .

228. Pressure changes within the plant will range from
0 to 540 psi. In order to determine the effect on fish life
drawn into the plant, pressure tests indicated that fish ean
withstand extreme changes in pressure, and hydraulie

140a

pressures as such are not a major factor in destroying
“eges or small fish. Nor does velocity in itself represent a

«

hazard to eggs and larvae passing through the plant.

229, The effects of turbulence were not established. Dr.
Perlmutter, for Con Id, testified that striped bass eggs
are frequently laid in turbulent water and therefore have
a high resistance to turbulence, whereas testimony by
witnesses Walburg and Massman is to their fragility, .
Similarly, damaging effects of abrasion are disputed.
Abrasion would be mitigated by the smooth design of the
surfaces of the intakes and tunnels and adhering layer of
water. There is not much in the record on abrasion. Dr.
Perlnutter testified that an occasional egg might be
affected by abrasion. The Examiner concluded, and we
concur, that abrasion would not present a_ significant
hazard.

230. Regarding the hazard of impact with turbine blades,
experiments relating to the passing of salmon fingerlings
and yearlings at dams on the Coliuniyia and Elwha Rivers
indicated that ‘the contact with turbine blades was not
a mortality factor. At one point, 89 per cent of the fish
passing through the plant survived; at the other, 100 per
cent survived, Professor Bel, witness for Con Ed, testified
that overall hazards of plant operation would result in an
80 per cent rate of survival of fishes of sizes 1.3 inches to-
1.5 inches in length.

931, Scenic Hudson’s witness Raney contends that any-
thing resulting in destruction of eggs, larvae or young fish
might have an important effect upon the number of adults
in the fishery. And he asserts that the cumulative effect of

l4la

this operation could enhance the risk to a point where there
would no longer be a substantial fishery.

93°. However, Staff’s witness Hlauck testified that while
the mortality rates of fish, fish eges, and larvae inhabiting
the water which will be drawn through the screen and the
plant cannot be measured short of actual measurement
during project operation, in his opmion the losses to the
fishery caused by the operation of the project: would not
significantly affeet the Hudson River fishery resources.
233. We find that the evidence indicates a reasonably
high rate of survival of eves, larvae, and young fish of the
vear drawn into the plant.

234. Debris against the screen is also a potential hazard
toeggs and larvae in that it creates changes in velocity and
pressure. Seenic Hudson contends that not only at maxi-
mum pumping will velocities at the screen itself exeeed
one fps but that blockage of the screens by trash will
increase these velocities. :

23). Again, the evidence is minimal regarding this
hazard. The Examiner agreed “admittedly no practical
screen vet devised will sereen out either eges, or larvae.
or very small fish.” However, since model studies at
maximum ebb tide indicated that velocities just in front
of the screens are less than one fps the Examiner con-
cluded: “Nevertheless, with a velocity in front of the
proposed screens of 0.75 to 0.925 fps?! small fish including
early juvenile striped bass and shad should be able to

Sr

* Velocities varying by reason of distance ranging from 1 foot.

to 2 or 3 inches and pumping rates ranging from 18,000 efs:to—
21,600 efs.

12a -

move freely to the quiet areas in front of the ice barrier
and piers and-even directly away from the screen...” In
so far as debris is coneerned, generating eyeles would serye
to: remove debris by the back washing. effeet of the dis.
charge. Further, the design calls for the installation of
water jets in the fish protection structure to permit the
cleaning of slinie from the mesh sereens. Accordingly, we
find that accumulation of debris would not be a. major
hazard to fish life.

236. Stranding of eges and larvae in the reservoir is a
problem in that they tend to sink so that they may smother
or die on the bottom. Also, young fish might evade the
withdrawal: current and thus remain in the reservoir
instead of returning to the river. The Examiner suggested
that pumping and generating cycles in the spawning season
of May and June could be adjusted to an adequate distribu-
tion of egg and larvae and thus minimize or compensate for
any descent to the lower levels of the reservoir and entrap-
ment in the pool. In order, however, to overcome possible
losses by impoundment in the reservoir or from other
aspects of plant operation, Con Ed proposes replacement
by means of a hatchery.

Hatchery Operations

237. Testimony on the fishery issue also considered the
pros and cons of hatchery operation as a means of replacing
any losses caused by operation of the project.

258. Striped bass hatcheries have been operated on the
east coast by the Department of the Interior and_ the
States of North Carolina and South Carolina. Suecessful —
artificial’ propagation of striped bass is a problem of

a

-

143a -

substantial magnitude. The hatchery must be located close
to spawning grounds. Procurement of ripe males and
gravid females within two to three weeks to natural spawn-
ing? holding and conditioning the fish for ovulation, in-
cubating the eggs and the holding cf larvae until free
swimming may be a process of some three months.

939. Staff witness Stevens, an employee of the Depart-
ment of Interior’s Bureau of Sport [Fisheries and Wildlife,
and a former director of the Moncks Corner, 8S. C. hatchery
from its inception in 1961 through 1965, is a pioneer in the
development of large seale artificial propaation of striped
bass. He testified that techniques and procedures developed
and utilized at Moncks Corner had been successfully used
in 1967 in the Roanoke River, N. C. and on the Staunton
River in Virginia. In his opinion, striped bass could be
artificially ovulated on the Hudson River.

240. In recent years there has also been a breakthrough
in the rearing of striped bass to the finge ‘rling stage, i.e.,
about the length of a finger. The plantine of fingerlings
instead of larvae would greatly reduce loss to predators.

241. On the issue whether such fingerlings upon maturity
would be able to spawn successfully in the Iludson River
witness Stevens was of the opinion that they would be she

‘to do so.

242. Witness Hauck, Staff fishery biologist, was of the
opinion that artificial propagation of striped bass is
feasible, and obtaining an adequate stock of adult fish in

* The obtaining of an adequate supply of brood fish without
damage is apparently the most critical step.

I4tta

the Hudson as proposed by applicant appears to be pos-
sible. Ile stated that the State of South Carolina is doing
a commendable job with their striped bass hatchery and it
is his belief that their methods are equally applicable, at
reasonable costs, to the Hudson River stocks. Using only
adult fish which spawn above Cornwall and returning their
egys and larvae to the river below Cornwall, artificial prop.
agation could be expected to increase the survival rates of
eges and larvae over those rates which would be experienced
in the Hudson River under natural conditions. The in.
creased: production to the river could offset any losses
‘caused by the project. ,

245. Scenic Hudson's position on hatcheries is that they
are generally not feasible at all; that if feasible elsewhere,
they are not feasible in the Hudson; that hatchery fish are
sterile; and that costs are prohibitively high. Seenie Hud-
son contends not only. that the difficulty of securing an
adequate supply of breeding fish in the necessary quantities
at the precise times when they would be ripe for hatching
operations but that reliance on hatcheries in saving fish in
an estuary has never been tried and would be a forlorn
hope. It argues that while no absolute conclusions can be
drawn from the evidence, the hazards ought not be incurred
in the absence of positive necessity. -

244. In this regard it is joined by the Tzaak Walton
League which asserts that operation of a fish hatchery isa
far more difficult matter than is realized by Con Id in its
offer to replace lost fish eggs and larvae; and it expresses
doubt about Con Ed being able to make good on its pro-
posal. Jt-also claims that the myriad problems relating to
total ecology of the river have not been considered.

145a
945, Witness Raney’s fears as to what might or could
happen are counterbalanced by testimony based’ on sam-
pling studies which relating egg producing capacity of the
striped bass to volumes of water involved in plant operation
indicates that the impact on Hudson fishery would not be

stibstantial. Thus even if none of the fish and eggs at
Cornwall survived, the total impact woud be small. The:

evidence, however, is to the effect that no such disaster
would befall the Cormwall segment. Kees, larvae and fish
entering the plant would have a survival rate in the area of
80 per cent. Further, hatchery operations elsewhere indi-
cate the feasibility of an operation in the Hiudson which
would be capable of replacing any losses attributable to the
project.

246. The record shows, and we find, that striped bass
hatcheries, while still continuing experimental procedures,
have been suecessful and striped bass fingerlings can be
hatched from Hudson River stock and upon re aching
maturity should be the equal of river born.. The record
supports a finding that there ts no substantial adverse
effect on the fishery. In fact enhancement of the fishery
ean be accomplished by artificial propagation in the state
of the scientific art as it now exists.

247. Assertions by Scenic Hudson, the Nature Con-
servency, the Citizens’ Cemmittee on Natural Resources,
and the Hudson River Fishermen’s Association — that
material ecological detriment will result is not supported
by evidence which is susceptible of reasonable measure-
ment. The evidence on which Scenie Hudson relies in its
exceptions to refuté the Examiner’s findings that no such
detriment will result are the following generalities set

145, Sabet OEY LAE

l46a

forth by its witness Raney, “anything that is done with a
substantial amount of water which would result in the
destruction of eges or larvae or young or juvenile might
have an important effect upon the number of adults: that
- were available in the fishery...” “Anything that man does
is substantially opposed to nature. So if you build any sort
of a structure vou will have situations which are not found
naturally in the environment so here vou have an additional
situation where you have fishes drawn up into an artificial
impoundment, eggs crawn up, larvae drawn wp, possibly
thirty species upon which they feed. So it is a very compli-
cated business to try to evaluate the overall effect this will
have. But basically the effect will be harmful to the fishes,”

248. But Raney also testified that he was not prepared
to testify to the degree of that effect. “I think that any-
thing that affects any substantial nwuber of ewes, larvae,
young or adult, could ultimately have a substantial effect
on a fishery. But the degree of the effect 1 don't know.”

249. We are aware that there has been a substantial
destruction of fish at Con Ed's nuclear plant at Indian
Point (river mile 42.5). The record, however, does not set
forth with any particularity the cause thereof. It has been
surmised that the fish are attracted to the warmer water
discharged close to the conduit, especially in’ unusnally
cold weather, and that the intake screens in close proximity
to the discharge conduit became clogged because of the
large numbers of fish so attracted. As a consequence, they
are thought to have suffocated. In any event there is no
evidence or reason to believe that the causes of the fish
damage at the nuclear plant at Indian Point are applicable
to a pumped storage project at Cornwall.

147a

950. We find that the evidence susceptible of scientific
measurement is that the probabilities are that fish of a
given size have the capability to resist being drawn into the
system; that some of the fish life drawn into the system
will surv

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Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40385606_0811%3A1. Public record. Not legal advice.
