[Federal Register Volume 68, Number 142 (Thursday, July 24, 2003)]
[Notices]
[Pages 43779-43782]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-18797]


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TENNESSEE VALLEY AUTHORITY


Patriot Pipeline Crossing of the South Fork Holston River, Fort 
Patrick Henry Reservoir, Sullivan County, TN

AGENCY: Tennessee Valley Authority (TVA).

ACTION: Record of decision and adoption of final environmental impact 
statement for the Patriot Project prepared by the Federal Energy 
Regulatory Commission (FERC).

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SUMMARY: This notice is provided in accordance with the Council on 
Environmental Quality's regulations (40 Code of Federal Regulations 
[CFR] Sections 1500 to 1508) and TVA's procedures implementing the 
National Environmental Policy Act (NEPA).
    On June 17, 2003, the TVA Board of Directors decided to grant a 30-
year easement over 0.3 acre of Tract No. FHR-1032 to East Tennessee 
Natural Gas Company (ETNG). TVA would issue the easement under terms 
provided in the Mineral Leasing Act (30 United States Code (U.S.C.) 
185). The easement would allow the company to install a new 24-inch-
diameter natural gas pipeline loop on federal land managed by TVA as 
part of Fort Patrick Henry Reservoir. The natural gas pipeline loop 
proposed across TVA land in Sullivan County is part of a pipeline 
expansion and new pipeline construction project known as the Patriot 
Project. The environmental impacts of the Patriot Project were assessed 
in a 2002 Environmental Impact Statement (EIS) prepared by FERC. TVA 
was a cooperating agency in the preparation of this EIS. TVA has 
independently reviewed the EIS prepared by FERC and found that the EIS 
adequately addresses the environmental impacts of the Patriot Project. 
Accordingly, pursuant to 40 CFR 1506.3(c), TVA is herewith adopting 
FERC's EIS for the Patriot Project. TVA has also determined that the 
alternatives considered in the EIS and the decision based on them will 
further the policies set forth in Sections 101 and 102(1) of NEPA.

FOR FURTHER INFORMATION CONTACT: Harold M. Draper, NEPA Team Leader, 
Environmental Policy and Planning, Tennessee Valley Authority, 400 West 
Summit Hill Drive, WT 8C, Knoxville,

[[Page 43780]]

Tennessee 37902-1499; telephone (865) 632-6889 or e-mail 
[email protected].

SUPPLEMENTARY INFORMATION:
    Background: On July 26, 2001, ETNG filed an application with FERC 
for a Certificate of Public Convenience and Necessity under the Natural 
Gas Act for authorization to construct and operate pipeline facilities 
in Tennessee, Virginia, and North Carolina. the proposed facilities 
would involve an expansion of ETNG's existing mainline facilities in 
Tennessee and Virginia and an extension of a new pipeline across 
southwestern Virginia and north-central North Carolina. Activities 
related to the mainline expansion would include compressor station 
construction and modifications, pipeline uprates, pipeline loop 
construction, and abandonment at numerous locations between Perry 
County, Tennessee, and Wythe County, Virginia. The Patriot Extension 
would involve construction of 99.7 miles of new pipeline and associated 
meter stations and taps in Wythe, Carroll, Floyd, Patrick, Henry, and 
Pittsylvania Counties in Virginia, and Rockingham County in North 
Carolina. The Patriot Project would provide natural gas to Duke Energy 
electricity generation facilities in Murray County, Georgia, and Wythe 
and Henry Counties, Virginia. In addition, gas would be provided to NUI 
Energy Brokers, Progress Energy, Public Service Company of North 
Carolina, and United Cities Gas Company for distribution to 
residential, commercial, and industrial customers in Virginia and North 
Carolina. The project would interconnect with the existing 
Transcontinental Gas Pipeline Corporation (Transco) facility in 
Rockingham County, North Carolina.
    FERC issued a Notice of intent to prepare an EIS for the proposed 
Patriot Project on October 2, 2001. Meetings to inform local citizens 
about the project and to identify environmental issues to be addressed 
in the EIS were held in Stuart, Wytheville, Hillsville, and 
Martinsville, Virginia, and in Bristol and Chattanooga, Tennessee, in 
October and November 2001. TVA responded to the notice informing FERC 
that TVA would likely have a land use approval action related to the 
project. Because of its land use jurisdiction, TVA was subsequently 
included as a cooperating agency in the Draft EIS (DEIS). The 
Environmental Protection Agency (EPA) published Notice of Availability 
(NOA) of the DEIS in the Federal Register on May 3, 2002. Public 
meetings to receive comments on the DEIS were held in Martinsville, 
Stuart, and Hillsville, Virginia, and in Signal Mountain and Bristol, 
Tennessee, in May 2002. As a cooperating agency, TVA provided comments 
on the DEIS. During the DEIS public comment period, ETNG filed an 
amendment to the Patriot Project to add facilities previously included 
in a FERC certificate for another TVA project. The TVA project 
facilities had been previously reviewed by FERC when considering 
construction of a proposed TVA power plant in Franklin County, 
Tennessee. FERC completed an Environmental Assessment and issued a 
certificate for the proposed pipeline loops and other improvements 
needed for the TVA project on December 21, 2001. TVA completed a Final 
EIS (FEIS) on the proposed Franklin County Power Plant in August 2001 
(EPA published NOA of the FEIS on August 31, 2001), but in 2002, 
decided not to proceed with construction. ETNG subsequently decided to 
incorporate certain previously approved facilities into its Patriot 
Project and to request that the previous certificate be vacated upon 
approval of the Patriot Project. ETNG also requested a realignment of 
the pipeline loop in the vicinity of the South Fork Holston River to 
minimize impacts to the Smith Shoals Subdivision and to provide for a 
shorter river crossing. This and other route variations were evaluated 
in more detail prior to completion of the FEIS. After considering 
comments on the DEIS, FERC published the FEIS in September 2002. EPA 
published NOA of the Patriot Project FEIS in the Federal Register on 
September 27, 2002. FERC issued its certificate on November 20, 2002, 
authorizing construction of facilities for the Patriot Project subject 
to certain conditions to minimize impacts to the environment. FERC 
denied all requests for rehearing on February 27, 2003.

Alternatives Considered

    The EIS prepared by FERC considered use of other pipeline systems 
(System Alternatives), Major Route Alternatives, and Route Variations, 
in addition to No Action. The most likely System Alternative would 
involve obtaining gas to meet the project purpose and need from 
Transco. However, this alternative would involve extensive pipeline 
construction along routes similar to those required by the Patriot 
Project. A Mainline Expansion Route Alternative was evaluated in the 
Signal Mountain area, but was determined to increase impacts to forest 
land and would not have avoided impacts to nearby residences. The EIS 
evaluated 13 major route variations that could potentially deliver gas 
from the existing ETNG system to the area of Eden, North Carolina 
(Henry County Power, LLC), and Wytheville (Duke Energy North America 
Wythe, LLC), Virginia. None of the major route variations offered any 
environmental advantages over the proposed delivery system, and many of 
these variations augmented the length of the pipeline, increasing the 
potential for environmental impacts. The EIS evaluated 8 minor route 
variations to minimize impacts to specific sensitive resources or 
nearly residences. Six of these variations were not recommended due to 
increases in environmental impacts, but two were found to offer 
environmental advantages. A site variation that offered environmental 
advantages was the South Fork Holston River variation involving TVA 
land. Finally, the EIS also evaluated eight site alternatives for 
aboveground facilities, such as compressor stations. None of these site 
alternatives were found to offer environmental advantages over the 
proposed route.
    For the proposed crossing of the South Fork Holston River (the 
action that requires an easement from TVA), FERC and TVA considered a 
route variation that would require the new loop to follow a slightly 
longer course than that currently followed by the existing pipeline. 
Since the route originally proposed would have run parallel to the 
existing pipeline, there would not be enough space for a drill rig and 
associated staging area. The route variation would allow additional 
space by moving the river crossing 2,000 feet downstream of the 
existing river crossing. The route variation is 0.58 miles longer, 
would increase the land affected during construction by 7.3 acres, and 
would increase impacts to forest lands by 3.2 acres as compared to the 
expansion of the existing route across TVA land. However, the 
variation, by avoiding the widening of the current pipeline crossing 
through Smith Shoals Subdivision, would cause lesser traffic and noise 
impacts to nearby residents. Further, drilling along the original 
pipeline route would also have involved crossing land managed by the 
Tennessee Wildlife Resources Agency and could have potentially impacted 
an archaeological site. Impacts to these sensitive resources would be 
avoided with the route variation. TVA agrees that the FERC alternatives 
would achieve the purposes of Sections 101 and 102(1) of NEPA because 
they seek to minimize impacts to important natural features and public 
land, while allowing energy resources to be transported to end users.
    On November 20, 2002, FERC released an order issuing a certificate 
for the Patriot Project. The certificate issued by FERC on November 20, 
2002,

[[Page 43781]]

authorizes ETNG to construct the pipeline along the applicant's 
proposed route, as modified by the South Fork Holston River and Reeds 
Creek Route Variations. The consultation process under Section 7 of the 
Endangered Species Act was completed on March 7, 2003, with the 
issuance of a Biological Opinion by the U.S. Fish and Wildlife Service. 
The consultation process under Section 106 of the National Historic 
Preservation Act was completed with the execution of a Programmatic 
Agreement (PA) between FERC and the Virginia and Tennessee State 
Historic Preservation Officers on April 29, 2003. FERC was the lead 
agency in these consultation processes. TVA was a concurring party to 
the PA.
    Decision: TVA has decided to issue a 30-year term easement to ETNG 
for pipeline purposes under the Mineral Leasing Act (30 U.S.C. 185). 
The easement would allow ETNG to implement the South Fork Holston Route 
Variation and to cross 0.3 acre of TVA Tract No. FHR-1032 on Fort 
Patrick Henry Reservoir at South Fork Holston River Mile 16. In 
reaching its decision, TVA has reviewed the environmental impacts and 
public and agency concerns expressed for the entire pipeline project in 
Tennessee, Virginia, and North Carolina. TVA believes that the EIS 
process has enabled a thorough review of potential impacts and resulted 
in modifications and safeguards that would minimize adverse 
environmental impacts, while still allowing a needed energy supply 
project to proceed. The choice of the South Fork Holston River Route 
Variation and the use of directional drill, along with successful 
implementation of the 69 specific environmental safeguards contained in 
the November 20, 2002, FERC order, would minimize potential adverse 
environmental impacts of the proposal.

Environmentally Preferable Alternative

    The proposed Patriot Project, as modified by the route variations 
and environmental protection measures approved by FERC, would avoid 
impacts to significant environmental resources, while accomplishing the 
applicant and FERC's goal of additional competitive natural gas supply 
for Georgia, North Carolina, and Virginia customers. Other 
alternatives, including the No Action Alternative, may result in 
greater impacts elsewhere as these energy demands are met through other 
energy supply system upgrades. Therefore, TVA concludes that the 
proposed Patriot Project route is an environmentally preferable 
alternative for supplying natural gas to Tennessee, Virginia, and North 
Carolina customers.

Environmental Consequences and Commitments

    The Patriot Project would affect terrestrial and aquatic resources 
in a corridor stretching across parts of Tennessee, Virginia, and North 
Carolina. A total of 2,707 acres of land would be affected by new 
construction. The mainline expansion portion of the project generally 
would follow existing pipeline rights-of-way and would have minimal 
environmental impacts. However, construction would take place within 50 
feet of 254 residences. A new pipeline corridor (the Patriot Extension) 
would be cleared for the pipeline extension and lateral lines between 
Wytheville, Virginia, and Eden, North Carolina. The Patriot Extension 
would affect an additional 28 residences. Recreational and public land 
would be crossed in four locations. In addition to the 0.3 acre of TVA 
land, the project would cross the Appalachian National Scenic Trail, 
New River Trail State Park, and Blue Ridge Parkway. Impacts to these 
properties would be minimized by time-of-year restrictions and the use 
of horizontal directional drill as opposed to open-trench construction. 
In exchange for a right-of-way easement to cross the Appalachian 
National Scenic Trail, the National Park Service would be provided 
title to 2 acres adjacent to the trail in Smyth County, Virginia. A 
billboard on Interstate 81, which is visible from the trail, would be 
removed. The crossing of the Blue Ridge Parkway in Patrick County, 
Virginia, would take place by horizontal directional drill that enters 
and exits outside National Park Service land.
    About 34 percent of the proposed route is now forested and would be 
cleared for pipeline construction. A total of 922 acres of forested 
habitat would be cleared; of this, 404 acres would be permanently 
converted to herbaceous habitat or industrial use at compressor 
stations. The project would cross 367 surface water bodies. Major 
rivers along the route, including the South Fork Holston River, New 
River, and Smith River, would be crossed by horizontal directional 
drill to minimize impacts. Dry-crossing methods would be used for other 
stream crossings. A total of 71 wetland totaling 12.6 acres would be 
crossed. Of this, about 4.5 acres of forested wetlands would be 
permanently cleared. The project would not likely adversely affect the 
gray bat, Indiana bat small whorled pogonia, and large-flowered 
skullcap, but may affect the small-anthered bittercress and James 
spinymussel. No direct impacts to small-anthered bittercress plants are 
expected, and no reasonable and prudent measures (RPMs) were identified 
by the U.S. Fish and Wildlife Service to minimize ``incidental take.'' 
A number of RPMs, including time-of-year restrictions, will be 
implemented to minimize ``take'' of the James spinymussel. Construction 
activities and operation of compressor stations would have minimal air 
emissions. Compressor stations would be constructed in such a manner 
that would minimize potential noise impacts and would be limited to an 
average day/night level of 55 decibels (dB) on the A-weighted (dBA) 
scale. Three archaeological sites would likely be adversely affected by 
pipeline construction.
    FERC has adopted mitigation measures to avoid or minimize 
environmental harm. TVA believes that the measures required by FERC in 
its November 20, 2002, order would substantially reduce the 
environmental impacts of this project. These include detailed 
construction Best Management Practices, use of environmental 
inspectors, compliance with Section 106 of the National Historic 
Preservation Act by adherence to the PA, and surveys of properties 
along the expansion route for the bog turtle, James spinymussel, and 
small-anthered bittercress. The endangered species surveys have been 
completed, and formal consultation under the Endangered Species Act has 
been concluded. The project is not likely to jeopardize the continued 
existence of the small-anthered bittercress and James spinymussel. 
Potential adverse effects to cultural resources would be resolved by 
treatment plans outlined in a PA with the Virginia and Tennessee State 
Historic Preservation Officers.
    In its order issuing a certificate for the project, FERC provided 
69 environmental protection-related conditions to minimize project 
impacts. For the South Fork Holston River crossing at Fort Patrick 
Henry Reservoir, FERC required (condition no. 67) that the crossing be 
made by horizontal directional drill. In addition, ETNG was required to 
submit a site-specific construction and contingency plan for the 
crossing. The plan was required (1) to identify how construction noise 
would be reduced during the directional drill, (2) to include projected 
daytime and nighttime noise levels at nearby residences, and (3) to 
provide mitigation measures that would be used to minimize noise at the 
residences if the noise levels would exceed an average level of 55 dBA 
at any residence.
    TVA has reviewed the construction and contingency plan required by 
FERC condition No. 67. To reduce

[[Page 43782]]

construction noise at the directional drill entry and exit sites, ETNG 
would install a temporary noise barrier system at both the entry and 
exit points. The barrier would consist of \3/4\-inch-thick plywood with 
2-inch-thick fiberglass duct board attached to 50 to 60 percent of the 
inside surface. This should provide an 8 to 12 dB reduction of the 
noise associated with drilling equipment.
    No surface disturbance is proposed on the federal property. The 
property would be used for an underground pipeline to be installed by 
directional drill from adjacent private property. The subsurface 
geology of the area where the drill is proposed is limestone. The 
estimated directional drill success rate for this type of geology is 
estimated at 80 percent or greater. The three possible modes of failure 
are estimated to be Pilot-Hole Failure, Reaming Failure, and Pullback 
Failure. These failures occur when soil or rock collapses on the 
drilling pipe. To minimize the possibility of failure, a casing pipe 
will be installed during the pilot-hole operation to ensure that gravel 
and cobbles will not fall onto the drill string and increase the torque 
needed to operate the drill pipe. This casing pipe would also reduce 
teh chance of drilling fluids being released into the environment if a 
failure occurs.
    If directional drill failure does occur, the crossing of the South 
Fork Holston River would take place by traditional open-cut pipeline 
construction methods. A backhoe would work off of floating barges in 
the river. In this contingency, TVA would require further environmental 
reviews, including compliance with Section 106 of the National Historic 
Preservation Act due to the possible presence of an archaeological 
site. The FERC approval contains enforceable conditions that will 
minimize impacts of the pipeline construction across the TVA land and 
across other Tennessee Valley private land. Further, the RPMs 
identified in the Biological Opinion of March 7, 2003, could be 
independently enforced by the Secretary of the Interior under the 
Endangered Species Act.
    These conditions require:
    1. ETNG to adhere to its Erosion and Sedimentation Control Plan of 
July 20, 2001, contained in Appendix C-1 of the FERC EIS.
    2. ETNG to adhere to its Spill Prevention Control and 
Countermeasure Plan and Preparedness, Prevention, and Contingency Plan 
of May 7, 2001, contained in Appendix C of the FERC EIS.
    3. ETNG to adhere to U.S. Department of Transportation Pipeline 
Safety Requirements.
    4. ETNG to comply with the 69 measures appended to FERC's Order 
Denying Rehearing, Authorizing Abandonment, and Issuing Certificate of 
November 20, 2002 (Docket Nos. CP01-415 and CP 01-375).

TVA Commitment List

    1. ETNG will install a temporary noise barrier system at both the 
entry and exit points of the directional drill. The barrier will 
consist of \3/4\-inch-thick plywood with 2-inch-thick fiberglass duct 
board attached to 50 to 60 percent fo the inside surface.
    2. A casing pipe will be installed during the directional drill 
pilot-hole operation to ensure that gravel and cobbles will not fall 
onto the drill string and increase the torque needed to operate the 
drill pipe.
    3. If directional drill failure occurs, work will stop and 
additional approvals will be needed from TVA for open-cut construction.
    With implementation of these commitments, TVA believes that the 
impacts of its right-of-way approval under the Mineral Leasing Act will 
be minimized.

    Dated: July 17, 2003.
Kathryn J. Jackson,
Executive Vice President, River System Operations & Environment.
[FR Doc. 03-18797 Filed 7-23-03; 8:45 am]
BILLING CODE 8120-08-M