During the past month there
have been two major developments on the LEAPS Project that are likely
related. First, in late September, EVMWD's
law firm, Best Best & Krieger, sent a
draft Memo of Understanding (MOU) to the California Public Utilities
Commission (CPUC). The draft MOU covers a new arrangement between EVMWD
and the CPUC on how these
two organizations will work together to prepare the necessary Environmental
Impact Report for the LEAPS Project. Significantly, both Best Best &Krieger's
forwarding letter to the CPUC and the MOU emphasized that EVMWD will
be the "Operator" of the LEAPS Project (power plant and power
lines) when built. This is a major change from the terms in the old 1997
Development Agreement which specifies that Nevada Hydro would operate
LEAPS. Also significant is the fact that the draft MOU downplays Nevada
Hydro's role in the LEAPS Project.
Since it is now well recognized
that the power plant portion of the LEAPS Project is not economically
viable, one may presume that the intent
of the above MOU is make EVMWD the "operator" of the high voltage
power line that will run through the Cleveland National Forest.
Then, on October 9th, Nevada
Hydro made an application
(PDF 2.4mb) directly to the CPUC
for a Certificate to build the LEAPS high-voltage power line. Interestingly,
this application downplayed EVMWD's role in the power line project.
Based on reviewing these two
different filings with the CPUC, it appears that EVMWD and Nevada Hydro
may be starting to work at cross purposes
and, specifically, they have not yet been able to reach an agreement
on how to divide the potential "spoils" that will be generated
after building the LEAPS Power Line.
It is unfortunate that a public agency like EVMWD has continued to be
so secretive about most all aspects of the LEAPS Project for the past
five years. That forces their rate-payers (like me) to speculate about
their motives and objectives. EVMWD's actions also subvert the intent
of the Brown Act that requires full public disclosure of such matters.
However, one urgent matter has been made very clear by the CPUC. If
anyone cares to protest Nevada Hydro's application for a Certificate
to build the LEAPS Power Line, the protest must be filed within 30 days
of the CPUC's
Notice of Application for a Certificate that is dated October
17, 2007.