Western Colorado Area Office, Grand Junction, Colorado

DEPARTMENT OF THE INTERIOR

Bureau of Reclamation

Western Colorado Area Office, Grand Junction, Colorado

AGENCY: Bureau of Reclamation, Interior.

ACTION: Notice of intent to prepare a supplemental environmental impact

statement.

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SUMMARY: Pursuant to the National Environmental Policy Act (NEPA) of

1969, as amended, the Bureau of Reclamation (Reclamation) intends to

prepare a supplemental environmental impact statement on the AB Lateral

Hydropower Project. The project would be located in Montrose County,

Colorado. The purpose of the hydropower project is to economically

develop the energy potential of water flows from the Gunnison River

through the existing Gunnison Tunnel to the Uncompahgre River.

DATES: The Supplemental EIS is expected to be available for public

comment in 1998.

ADDRESSES: For information concerning the supplemental NEPA work, or

information or suggestions concerning the work, contact Mr. Steve

McCall, Environmental Specialist, Western Colorado Area Office, Bureau

of Reclamation, P.O. Box 60340, Grand Junction CO 81506.

FOR FURTHER INFORMATION CONTACT:

Mr. Steve McCall at (970) 248-0600.

SUPPLEMENTARY INFORMATION:

Background

A final environmental impact statement (FEIS 90-25) was filed on

[[Page 53653]]

August 28, 1990. The FEIS described four alternatives for the proposed

construction and operation of a hydropower project using features of

Reclamation's Uncompahgre Valley Reclamation Project (UVRP).

Reclamation is considering executing a lease of power privilege (a type

of contract) with a private company to use facilities for this project.

A Section 404 Permit under the Clean Water (Act) is also required for

the project.

The alternatives described in the FEIS provided for additional

water diversions from the Gunnison River through the existing Gunnison

Tunnel to a penstock and powerplant near Montrose, Colorado. The

significant issues addressed in the FEIS included the impacts of

reduced flows in the Gunnison River, increased flows in the Uncompahgre

River, economic impacts in local counties, and impacts on wetlands.

Since publication of the FEIS, additional information has become

available concerning proposed bank stabilization plans along the

Uncompahgre River, endangered species, resources along the Gunnison

River, and power sales.

Hydropower development in association with the UVRP was authorized

by the Act of June 22, 1938 (Pub. L. 75-698, Stat. 941). Under the Act,

the hydropower facility would be constructed and operated under a lease

of power privilege with Reclamation. This lease would provide for cost

reimbursement fees, Reclamation's role as overseer, and the Sponsor's

obligations, including environmental commitments. Funding for the

hydropower studies is provided by the project proponents. Reclamation

serves as the lead Federal agency responsible for ensuring compliance

with NEPA.

Potential Federal Action

Two major Federal actions are pending on the project: execution of

a lease of power privilege by Reclamation and issuance of a Section 404

Permit under the Clean Water Act by the Corps of Engineers.

Dated: October 7, 1997.

Charles Calhoun,

Regional Director, Upper Colorado Region.

[FR Doc. 97-27231 Filed 10-14-97; 8:45 am]

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