Save The Lakes Coalition
Annual Meeting Minutes
June 10, 2006

George Fisher, President, called the annual meeting to order at 1:OO PM. It was held at the Fire Station 1, District 18 community room/disaster center. Twenty-nine were present.

George Fisher introduced the current STLC officers and directors as well as our attorney, Steve Goodman. Directors present: Rick Anderson, Donald Cortright, Nancy Cortright, Eileen Fisher, George Fisher, Audrey O'Connor, Dennis Rohn, Pamela Tiede and Tom Tiede.

The reading of the minutes of the previous annual meeting was made available and the reading was waived. There were no corrections or additions to the minutes.

The Treasurer's report stated that there are 345 families and businesses and 607 members so far this year in the Save the Lakes Coalition. Currently there is $7,721.02 in the checking account and $6,432.23 in the Legal Defense Fund. There is $2,047.94 in the savings account. Our total assets are $16,201.19. We have received a total of $17, 850.00 in Legal Defense fund donations to date for 2006. To date we have paid out $ 18,086.19 in attorney fees in 2006. It was noted that our attorney and STLC Vice President Dennis Rohn attended the hearing in Washington, D.C. in March, 2006. Preparation for the hearing, filings and travel expenses were included in the expenditure of funds. A MOTION was made to accept the Treasurer's report. It was seconded and passed with none opposed

A slate of Directors was presented and nominations from the floor were requested, however there were none. Duane Landsverk, representing the Lake Cushman Company, was not present, however, it was suggested that he continue to serve as a Director since he has been supportive of STLC. Laurie Golden, wife of Director Dr. Tom Golden advised that he would consent to serving as Director again. A MOTION was made to accept the current slate of Directors. The motion was seconded and the vote passed with none opposed. These Directors will serve 2006-2007.

Old business

George Fisher said he continues to attend the Watershed Resource Inventory Area 16 meetings and had information available on their current recommendations.

New business

George Fisher stated the lake level Friday, June 9,2006 was 734 feet. Most docks are floating at this time.

Attorney Steve Goodman stated that the issue of the licensing of the Cushman Hydroelectric Project is still under review by the D.C. Circuit Court of Appeals. He noted the State and Federal Agencies as well as The City of Tacoma and Save The Lakes Coalition were disappointed in the Federal Energy Regulatory Commission's (FERC) order and terms of the license previously issued. Many of the Agencies felt the required flow conditions were not adequate to protect the salmon and bull trout. The flow conditions could impact homeowners in our community. The order stated that the lesser of 240 cubic feet per second (cfs) or what flows in would be released from Lake Cushman. The full lake level elevation is 738 feet and is to be maintained Memorial Da] to Labor Day. Agencies were to be consulted regarding maintaining minimum flows. Save The Lakes Coalition (STLC) felt the Environmental Impact Study done in 1994 wa inadequate. STLC received an intervenor status and has a voice in any modification to the license terms and flows stated hi the license. This means we have a voice in the process and balancing the flows to bring the lake level up by Memorial Day. This will be especially important in low flow years when rainfall and snowpack may be below average. This will be important in the future with the 40 year life of the license. The lake level fluctuations will impact homeowners and businesses.

The deficiencies of the Environmental Impact Statement (EIS) has been of concern to STLC. With regard to how the license terms would impact on homeowners and businesses, the EIS gave little notice to our community. (More recently, the Administrative Law Judge, Peter Young, remarked homeowners "would get used to" an> changes or impacts as a result of increased flow conditions.) The EIS was deficient on the impact to our community if Tacoma Power rejects the license terms. There was no plan on what would happen to the dam in that event.

In 2005 the disappointed parties appealed the order and the City of Tacoma won their plea to have the matter taken before the D.C. Circuit Court of Appeals. STLC took part in the appeal process. We felt the EIS failed to study the impact to homeowners if Tacoma Power rejected the terms of the license and what impacts a decommissioning mode would have on our community. It was not evident if the dam would remain in a flood control mode or if the dam would be removed and the impacts of either were not addressed. The license terms also included some open ended conditions that could impact homeowners. These terms included a concern that FERC could require a release of more than a 240 cfs from the project. STLC moved to be a consulted party due to the impacts on homeowners.

All petitions were filed before the end of 2005. STLC joined the City of Tacoma in a petition.

In March, 2006 a hearing was held in the D.C. Circuit Court of Appeals. Our attorney and STLC Vice President Dennis Rohn attended the hearing. Our attorney and Dennis Rohn felt STLC arguments went well. Attorney Steve Goodman stated he cannot predict the outcome. There was a three judge panel and they listened attentively to our arguments. 

The City of Tacoma argued that the terms of the license conditions were so costly due to requirements of fish ladders and the recovery of salmon and that it would impact on power production. They stated they could not accept the license conditions. It was felt they did an adequate job in their written brief.

At least one judge observed that the study appeared to be inadequate and the impacts of the license terms were not studied, especially when it applies to the impact on homeowners in our community.

The opinion of the case heard just prior to our case was just published on the D.C. Circuit of Appeals web page and it is possible the opinion on our case may be issued in about a month or so.

Attorney Steve Goodman discussed the process of what happens next in the process.

The Court may remand the license to FERC to "get it right" and study the impacts of the license requirements. In that event, FERC will be required to restudy the decision and this could be a two year process. In this event, STLC needs to be motivated to participate by staying informed and involved during the study.

The other possibility is that if the D.C. Circuit Court affirms the license conditions two options are:

a. If Tacoma Power accepts the terms STLC will still be a consulted party and STLC will still need to stay involved in studies and inform those making decisions of the impact to our community.

b. If Tacoma Power rejects the license and the project goes into a decommissioning mode, STLC will be involved in the two year process and involved in the impacts to our community.

Our community wants and believes in a balance with the environment and there are others who want the dams removed. The Skokomish Tribe admitted in court in the March hearing that they ultimate desire of the Tribe is to have the dams removed Therefore, it was stated that under normal circumstances, we are looking at least another two years of involvement of staying informed and aware of decisions with a consulted party status. The final license would be a 40 year license.

The issue of flushing flows to remove sediment was discussed. That is an area where more water might be required to be released and the license terms might be modified. Dennis Rohn discussed the dredging issue and the impacts of scouring the riverbed so the water will have a place to go.

Popular Mechanics Magazine has a current article on the 4-5 year process of the removal of the Elwha dam project.

It was stated that we are in a precedent setting mode with our Lake Cushman Hydroelectric Project situation. "We are inventing the wheel" in this situation and sixty-six other projects will come up for relicensing in Washington State within the next 10 years.

Several questions were answered by those in attendance including "Is there a chance we won't have a lake?" Attorney Steve Goodman said he can't predict that. He said the most likely situation is that we would have a status quo situation, but stressed we need to keep involved to keep it that way. A question regarding the Skokomish Tribe's $6 billion lawsuit was answered by saying the lawsuit against Tacoma Power was dismissed by the Supreme Court. A question regarding why the lake level is dropped in the fall and winter was answered by stating that it is mandated by FERC. The problem of wells failing due to water pressure problems was discussed as the lake level decisions may impact wells. The Skokomish Valley involvement in the process has been fairly limited.

Dennis Rohn advised that letters are going out to our politicians and they are being given up-to-date material regarding the licensing process. He said he advises them we want our lakes left along and to maintain the lake levels as they are.

Those in attendance were thanked for coming and asked to advise neighbors of the meeting discussions. Not everyone is aware of the need to stay involved in the process and the financial support required to continue our efforts if we are to "put a face" on our community when decisions are made. Updates to the court decision will be provided to the Lake Cushman Booster Club and will be made available on the STLC website.

The meeting was adjourned at 2:30PM.

Respectfully submitted,

Eileen Fisher. Secretary

Following the STLC Annual Meeting the Save The Lakes Coalition Directors elected th following officers for 2006-2007:

President: George Fisher Vice President: Dennis Rohn Treasurer: Pamela Tiede Treas. Backup: Audrey O'Connor Secretary: Eileen Fisher