What would happen if the FERC license for the Yadkin River Hydroelectric Project was held in Trust for the people of North Carolina?

The key concept is for the State to establish a Trust with respect to the ownership and management of the Yadkin River Project on behalf of the citizens of North Carolina. The Trust would obtain and secure the License issued by the Federal Energy Regulatory Commission (“FERC”) for the Yadkin River Hydroelectric Project currently held by Alcoa Power Generation, Inc. The Trust could do this through the current relicensing process before FERC and through other available legal means. A vital component of such an arrangement would be for the Trust to honor aspects of the Relicensing Settlement Agreement (RSA) negotiated by public and private entities including, but not limited to:

1. installing state-of-the-art aeration technology to increase dissolved oxygen levels and improve water quality in the Yadkin River.
2. operational changes that will keep more water in High Rock Lake and provide a consistent flow of water to downstream water users.
3. implementing a comprehensive drought management plan (known as the “Low Inflow Protocol”) that requires the Trust to reduce power generation and send less water downstream when certain drought-related triggers are reached.
4. extending the recreation season at High Rock Lake by three months — from April 1 to October 31 — and adjusting its operations to keep more water in the lake.
5. the development and maintenance of new or expanded public recreation facilities across the Yadkin Project, including a new public swim area in Rowan County, new tailwater fishing access areas, two new reservoir fishing piers and 10 new camp sites.
6. the use of proceeds from power generation to acquire and donate land to the Town of Badin for a new public park.
7. allowing the City of Albemarle to increase water withdrawals up to 30 million gallons per day.
8. the use of proceeds from power generation to acquire and donate land to Rowan County for the continued protection and public access to the Eagle Point Nature Preserve.
9. the use of proceeds from power generation to make a $40,000 donation to the Yadkin-Pee Dee River Trail Fund.

Essentially, the parties who signed the RSA will get everything that has already been promised to them by Alcoa.

However, having the license placed in trust for the people of North Carolina provides so much more that Alcoa has never offered to our citizens:

1. A Trust will give priority consideration to local needs, with the intent of restoring and improving the environmental and economic considerations in and around the Yadkin River.
2. A Trust could be authorized by the State to delegate the licensing, operations, and management on a daily basis of the Project to a utility or utilities subject to the regulatory jurisdiction of the State and consistent with the purposes of the Trust.
3. Power generated from the Yadkin River Project will be used for the benefit of the electricity consumers of North Carolina, not a multinational company answerable to no one in North Carolina.
4. All Alcoa properties in Stanly County will be tested for public health purposes.
5. Contamination at the former Badin Works smelter will be cleaned up over and above the minimum levels that Alcoa is required to perform under current law; the objective would clearly be to restore the land and/or water to multiple use purposes.
6. A remediation fund will be established to perform necessary testing and remediation of hazardous waste sites in the Yadkin River Basin.
7. The Trust will apportion a percentage of electricity from the Yadkin Project output for use by a newly established Regional Economic Development Entity; to the extent that there are green credits flowing from such output, such credits shall belong to the Regional Economic Development Entity.
8. The Trust will use a portion of the proceeds from power generation to create a Yadkin River Basin Clean Water Trust Fund to acquire land for water quality improvements, innovative storm water strategies, state of the art waste water improvements and aquatic habitat improvements.
9. The Trust will use a portion of the proceeds from power generation to acquire additional land for conservation purposes.
10. The Trust will be able to provide funding mechanisms with a focus on assisting local governments to make water quality improvements throughout the Yadkin River Basin.
11. The Trust will cooperate fully with the Governor on any and all drought emergencies throughout the State of North Carolina.
12. The people of North Carolina would once again be in control of their water as the Trust would be answerable to the citizens.