H.R. 2880 — what changed

Part I of the Federal Power Act (16 U.S.C. 792 et seq.) is amended by adding at the end the following:

“34. Closed-loop pumped storage projects

changed “(a) Definitions—In this section:Expedited licensing process for closed-loop pumped storage projects

changed “(1) Closed-loop pumped storage project—The term In general—As provided in this section, the Commission may issue and amend licenses and preliminary permits, as appropriate, for closed-loop pumped storage project means a project—projects.

changed “(A) in which “(2) Rule—Not later than 180 days after the upper date of enactment of this section, the Commission shall issue a rule establishing an expedited process for issuing and lower reservoirs do not impound or directly withdraw water from navigable waters; oramending licenses and preliminary permits for closed-loop pumped storage projects under this section.

changed “(B) that is not continuously connected “(3) Interagency Task Force—In establishing the expedited process under this section, the Commission shall convene an interagency task force, with appropriate Federal and State agencies and Indian tribes represented, to a naturally flowing water feature.coordinate the regulatory processes associated with the authorizations required to construct and operate closed-loop pumped storage projects.

changed “(2) Federal authorization—The term Federal authorization—“(4) Length of Process—The Commission shall ensure that the expedited process under this section will result in final decision on an application for a license by not later than 2 years after receipt of a completed application for such license.

changed “(A) means “(b) Dam safety—Before issuing any authorization required under Federal law with respect to an application license for a license, license amendment, or exemption under this part; andclosed-loop pumped storage project, the Commission shall assess the safety of existing dams and other structures related to the project (including possible consequences associated with failure of such structures).

changed “(B) includes any permits, special use authorizations, certifications, opinions, or “(c) Exemptions from other approvals as may be required under Federal law to approve or implement the license, license amendment, or exemption under this part.requirements

changed “(b) “(1) In general—As provided in general—In issuing or amending a license or preliminary permit pursuant to the expedited process established under this section, the Commission may issue and amend licenses and preliminary permits, as appropriate, for grant an exemption from any other requirement of this part with respect to any part of the closed-loop pumped storage projects.project (not including any dam or other impoundment).

changed “(c) Dam safety—Before issuing any license for a closed-loop pumped storage project, “(2) Consultation—In granting an exemption under paragraph (1), the Commission shall assess consult with the safety of existing dams United States Fish and other structures related to Wildlife Service and the project (including possible consequences associated with failure State agency exercising administration over the fish and wildlife resources of such structures).the State in which the closed-loop pumped storage project is or will be located, in the manner provided by the Fish and Wildlife Coordination Act (16 U.S.C. 661 et seq.).

changed “(d) License conditions—With respect to a closed-loop pumped storage project, the authority of “(3) Terms and conditions—In granting an exemption under paragraph (1), the Commission to impose conditions on a license under sections 4(e), 10(a), 10(g), and 10(j) shall not apply, and any condition included include in or applicable to a closed-loop pumped storage project licensed under this section, including any condition or other requirement of a Federal authorization, shall be limited to those that are—such exemption—

changed “(1) necessary “(A) such terms and conditions as the Fish and Wildlife Service, National Marine Fisheries Service, and the State agency described in paragraph (2) each determine are appropriate to protect public safety; orprevent loss of, or damage to, fish and wildlife resources and to otherwise carry out the purposes of the Fish and Wildlife Coordination Act; and

changed “(2) reasonable, economically feasible, “(B) such terms and essential conditions as the Commission deems appropriate to prevent loss of or damage to, or ensure that such closed-loop pumped storage project continues to mitigate adverse effects on, fish and wildlife resources directly caused by comply with the construction and operation provisions of the project, as compared to the environmental baseline existing at the time the Commission completes its environmental review.this section and terms and conditions included in any such exemption.

changed “(e) Transfers—Notwithstanding section 5, and regardless of whether “(4) Fees—The Commission, in addition to the holder requirements of section 10(e), shall establish fees which shall be paid by an applicant for a preliminary permit license for a closed-loop pumped storage project claimed municipal preference that is required to meet terms and conditions set by fish and wildlife agencies under section 7(a) when obtaining paragraph (3). Such fees shall be adequate to reimburse the permit, fish and wildlife agencies referred to in paragraph (3) for any reasonable costs incurred in connection with any studies or other reviews carried out by such agencies for purposes of compliance with this section. The fees shall, subject to annual appropriations Acts, be transferred to such agencies by the Commission may, to facilitate development for use solely for purposes of a closed-loop pumped storage project—carrying out such studies and shall remain available until expended.

added “(d) Transfers—Notwithstanding section 5, and regardless of whether the holder of a preliminary permit for a closed-loop pumped storage project claimed municipal preference under section 7(a) when obtaining the permit, the Commission may, to facilitate development of a closed-loop pumped storage project—

“(1) add entities as joint permittees following issuance of a preliminary permit; and

added “(2) transfer a license in part to one or more nonmunicipal entities as co-licensees with a municipality, if the municipality retains majority ownership of the project for which the license was issued.

added “(e) Interagency communications—Interagency cooperation in the preparation of environmental documents under the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.) with respect to an application for a license for a closed-loop pumped storage project submitted pursuant to this section, and interagency communications relating to licensing process coordination pursuant to this section, shall not—

added “(1) be considered to be ex parte communications under Commission rules; or

added “(2) preclude an agency from participating in a licensing proceeding under this part.

added “(f) Developing abandoned mines for pumped storage

added “(1) Workshop—Not later than 6 months after the date of enactment of this section, the Commission shall hold a workshop to explore potential opportunities for development of closed-loop pumped storage projects at abandoned mine sites.

added “(2) Guidance—Not later than 1 year after the date of enactment of this section, the Commission shall issue guidance to assist applicants for licenses or preliminary permits for closed-loop pumped storage projects at abandoned mine sites.

added “(g) Qualifying criteria for closed-loop pumped storage projects

added “(1) In general—The Commission shall establish criteria that a pumped storage project shall meet in order to qualify as a closed-loop pumped storage project eligible for the expedited process established under this section.

added “(2) Inclusions—In establishing the criteria under paragraph (1), the Commission shall include criteria requiring that the pumped storage project—

added “(A) cause little to no change to existing surface and groundwater flows and uses; and

added “(B) is unlikely to adversely affect species listed as a threatened species or endangered species under the Endangered Species Act of 1973.”

removed “(2) transfer a license in part to one or more nonmunicipal entities as co-licensees with a municipality.”