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elPor:Am <br /> RESOLUTION No. 5586 <br /> A RESOLUTION Concerning the FERC Administrative Process for <br /> Relicensing Of the Jackson Hydroelectric Project. <br /> WHEREAS,Public Utility District No. 1 of Snohomish County, Washington(the <br /> "District") and the City of Everett(the"City")jointly hold Federal Energy Regulatory <br /> Commission("FERC") License No.2157 for the Jackson Hydroelectric Project(the <br /> "Project"), which Project provides electric energy and water supply for the residents of <br /> Snohomish County; and <br /> WHEREAS, FERC License No. 2157 expires in 2011 and the District and City <br /> (together,the"Project Licensees")have commenced activities preparatory to application <br /> for a new Project License; and <br /> WHEREAS, for the conduct of activities required to obtain a license for a hydroelectric <br /> project, the FERC has required prospective applicants to utilize one of three processes <br /> established by regulation: the"Traditional Licensing Process; the Alternative Licensing <br /> Process; and the Integrated Licensing Process; and <br /> WHEREAS, the City and the District recognize the importance of the process to be <br /> selected for use in Project relicensing because it may impact the relationships between <br /> the Project Licensees and "Stakeholders,"the manner and order in which important <br /> issues may be addressed, Project environmental review, costs and outcome, among other <br /> things; and <br /> WHEREAS,in view of the foregoing, the District and the City staff have separately <br /> undertaken a careful due diligence review of the licensing processes authorized by FERC; <br /> and staff, senior management, representatives of elected officials of the City and the <br /> District and outside FERC counsel of the City and the District, have met to exhaustively <br /> discuss, compare and analyze the relative benefits, shortcomings,risks and uncertainties <br /> associated with each of the processes; and <br /> WHEREAS,based upon the report and recommendation of City staff following their <br /> review and analysis of the licensing processes and discussion between the City and <br /> District; recognizing that the Integrated Licensing Process is the"default"process <br /> preferred by FERC at this time; and acknowledging the uncertainties that must be <br /> associated with selection of any process in advance of commencement of formal <br /> licensing activities, the City Council finds that the Integrated Licensing Process should be <br /> utilized in the conduct of activities for application for a new Project License; <br /> 1 <br />