5. Environmental Review

The California Environmental Quality Act (CEQA), Pub. Resources Code §§ 21000-21176, requires the Commission, as the designated lead agency, to assess the potential environmental impact of a project in order that adverse effects are avoided, alternatives are investigated, and environmental quality is restored or enhanced to the fullest extent possible. The Commission uses the Proponent's Environmental Assessment, required by Rule 17.1 of the Commission's Rules of Practice and Procedure, to focus on environmental impacts and to prepare an initial study to determine whether the project will need a Negative Declaration or an Environmental Impact Report.

Staff of the Environmental Projects Unit of the Commission's Energy Division (staff), with the assistance of an environmental consultant under contract to the Commission, Environmental Science Associates (ESA), conducted three agency meetings and one field visit prior to commencing the initial study. Thereafter, staff oversaw the preparation by ESA of a Mitigated Negative Declaration and Initial Study (draft MND) which describes the project and its potential environmental effects.

5.1 MND

The draft environmental document is considered to be a mitigated negative declaration because, although the initial study identified potentially significant impacts, staff determined that the implementation of specific mitigation measures will reduce any impacts to a less than significant level. Since PG&E agreed to the specific mitigation measures, a draft MND could be prepared instead of an EIR. Therefore, staff prepared it and published it for public review. (Pub. Resources Code § 21080(c)(2).)

In compliance with CEQA, staff prepared a Notice of Publication of Mitigated Negative Declaration and distributed it to various city and county planning agencies and to public libraries throughout the state; the notice ran in newspapers throughout California, as well. Staff also submitted copies of the Draft MND to the Governor's Office of Planning and Research for circulation to affected state agencies for review and comment. The public review process was extended from October 30, 2001 to December 10, 2001.

Staff received 10 written comments and one verbal response from the following agencies and organizations: Department of Fish and Game; State Water Resources Control Board; Department of Transportation; Department of Parks and Recreation; PG&E; CWA; McArthur Resource Management Association; Fall River Big Valley Cattleman Association; California Indian Legal Services (Pit River Tribe); Fall River Chamber of Commerce.

All comments are addressed in the Final MND. Because of its volume, the Final MND is not appended to this decision. As noted above, the document has been identified as Reference Exhibit A in the formal file for each application.

5.2 Mitigation Measures

Mitigation measures generally are designed to protect resource categories such as biology, hydrology and water quality, geology, cultural, air quality, visual aspects, noise and traffic impacts. The Draft MND indicates that PG&E's proposed divestiture would have potentially significant impacts in the areas of air quality and cultural resources but that each identified impact can be mitigated to avoid the impact or reduce it to a less than significant. The Final MND contains the final statement of all mitigations.

In summary, the mitigation measures listed in the Draft MND and Final MND include a number of use conditions and best practices aimed at controlling dust and particulate emissions from the properties and seven specific requirements to ensure the protection of cultural resources at McArthur Swamp and the Glenburn Dredge Site.

The Final MND also provides for a Mitigation Monitoring and Reporting Program (MMRP). Of course, because we dismiss these consolidated applications, the MMRP will not be implemented. However, its requirements may provide a useful threshold in any subsequent environmental review.

Based upon their independent environmental review, staff have concluded that PG&E's proposed project would have no have significant effects on the environment, provided PG&E were to comply with all mitigation measures outlined in the Final MND.