Before the FERC Application for New License for the Annex Creek ...

William A. Corbus, Manager
Alaska Electric Light and Power Company
134 N. Franklin Street
Juneau, Alaska 99801
Dear Mr. Corbus:
August 5, 1985
File No. 470
Salmon Creek Water Supply
Annex Creek/Salmon Creek
Hydroelectric Project
The City and Borough of Juneau has reviewed your application for
relicensing of Annex Creek and Salmon Creek and offers the
following comments:
Under Exhibit 0 Severance Damages, it would seem appropriate to
the CBJ to mention the impact on the local water utility given
the worst circumstance that AEL&P not have their license renewed,
and as a result would no longer maintain the dam and/or
penstocks.
If it is as sumed another en ti ty were to take over the Sa lmon
Creek project, and if the other entity did not honor the current
agreement between AEL&P and the CBJ, then the CBJ has an investment
approximately $3,500,000 in 1984 dollars that would require
rep1acemen t. Es tima tes to provide an a 1 terna te source 0 f high
quali ty wa ter a t the head prov ided by Salmon Creek vary from
$11,470,700 at Montana Creek to $12,843,700 at Nugget Creek. See
April, 1983, edition of the CBJ Water Plan/Study.
While this is not a severance damage to AEL&P directly, nor is it
necessarily an item AEL&P would be required to reimburse the CBJ
for, it is a cost item that could result, should AEL&P no longer
maintain or operate the dam and associated penstocks.
Under Exhibit E Section 2.2.1, it is suggested you again state
the agreement with the CBJ provides for 4.64 cfs to be delivered
to the CBJ for domestic water out of the penitock, and to allow
--------155 South Seward Street, Juneau, Alaska 99801--------""'·