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New River
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New River
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James M. Cannon Files (Ford Administration)
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The original documents are located in Box 22, folder "New River" of the James M. Cannon
Files at the Gerald R. Ford Presidential Library.
Copyright Notice
The copyright law of the United States (Title 17, United States Code) governs the making of
photocopies or other reproductions of copyrighted material. Gerald Ford donated to the United
States of America his copyrights in all of his unpublished writings in National Archives collections.
Works prepared by U.S. Government employees as part of their official duties are in the public
domain. The copyrights to materials written by other individuals or organizations are presumed to
remain with them. If you think any of the information displayed in the PDF is subject to a valid
copyright claim, please contact the Gerald R. Ford Presidential Library.
Digitized from Box 22 of the James M. Cannon Files at the Gerald R. Ford Presidential Library
THE WHITE HOUSE
WASHINGTON
March 25, 1976
MEMORANDUM FOR :
DICK CHENEY
FROM :
JIM CANNON Jun
SUBJECT :
New River Decision
The effect of the decision by the Federal Court
of Appeals yesterday was to nullify Secretary
Kleppe's designation of parts of the New River
for inclusion in the Wild and Scenic Rivers
System.
Interior received the decision late today, and
has not yet made a detailed analysis. But it
appears certain that the court ruling, if not over-
turned by the Supreme Court, would allow the con-
struction of two hydro-electric dams on a part of
the New River which is in Virginia.
Since the effect of the dams would be to flood
parts of North Carolina, the Attorney General of
North Carolina has announced he will appeal the
decision.
Interior is considering the pros and cons of entering
the case as a friend of the court.
Kent Frizzell tells me that Interior's counsel
does not feel the Department has any legal basis for
appealing, but can enter the case if the President
wants the Department to do SO.
Congressman Stephen Neal (N.C.) and Ken Hechler (W. Va.)
have stated their intention to seek Congressional action
to keep the New River in the Wild and Scenic System.
GROGE-
THE WHITE HOUSE
WASHINGTON
74!
September 8, 1976
MEMORANDUM FOR:
JIM CANNON
June
FROM:
MAX FRIEDERSDORF
SUBJECT:
New River Signing Ceremony
I am advised by Bill Nicholson that the signing ceremony for
the New River legislation has been moved from the Oval Office
to the Rose Garden for noon on Saturday, September 11th.
Due to this move, we can now expand our invitation list to
include the appropriate environmental and other outside
interest groups. Nicholson advises me that George Humphreys
of your staff will be the focal point for this ceremony.
CC: Jack Marsh
Jim Lynn
Bill Baroody
Bill Nicholson
George Humphreys
Bill Kendall
Charlie Leppert
Bob Wolthuis
190805
THE WHITE HOUSE
WASHINGTON
SIGNING CEREMONY
H.R. 13372 - TO INCLUDE THE NEW RIVER INTO THE NATIONAL
WILD AND SCENIC RIVERS SYSTEM
SATURDAY, SEPTEMBER 11, 1976
12:00 Noon
The Rose Garden
From: James M. Cannon
girl
I.
PURPOSE
To highlight publicly your support and approval of H.R. 13372,
a bill "To amend the Wild and Scenic Rivers Act" (82 Stat.
906; 16 U.S.C. 1271).
II. BACKGROUND, PARTICIPANTS, PRESS PLAN
A.
Background: On August 30, Congress passed the bill
to (1) include a 26.5 mile segment of the New River
(North Carolina) within the National Wild and Scenic
Rivers System, and (2) prohibit Federal licensing of
water resource development projects adversely
impacting the designated area.
For over a decade, the New River has been the subject
of proposals for hydroelectric development. On
June 14, 1974, following extensive hearings, the
Federal Power Commission granted a license to the
Appalachian Power Company to construct a hydro-
electric project, known as the Blue Ridge Project,
on the upper New River. The project would provide
1.8 million kilowatts of power for peak load demands
on the American Electric Power Service Corporation
system. As a result, over 94 miles and 42,000 acres
would be inundated displacing some 3,000 local
residents.
On April 13, 1976, Secretary Kleppe approved North
Carolina application to include the New River segment
within National Wild and Scenic Rivers System. You
publicly supported this decision. However, in light
of Court of Appeals decision validating the Appalachian
Power Company's license for the Blue Ridge Project,
the issue of a free-flowing river remained open.
2
The enrolled bill is intended to resolve this problem
by providing specific statutory recognition of the
Secretary's earlier designation of the 26.5 mile
segment of the New River as a component of the
National Wild and Scenic Rivers System. H.R. 13372
also expressly invalidates any existing or future
FPC license issued for projects which would inundate
or adversely affect this river segment.
Attached at Tab A is the OMB memorandum giving a
fuller discussion of the bill with agency comments.
B.
Participants: Governor Holshouser, Under Secretary
Kent Frizzell, Members of Congress, citizen activists,
public interest group representatives. See list
attached at Tab B.
C.
Press Plan: To be announced.
III. TALKING POINTS
1.
I know many of you have come a long way on short
notice. You have won a great victory and I share
with you the excitement of this occasion.
2.
It is particularly good to be here with Jim Holshouser
and your Congressional leaders who have stood with
you in the effort to save the New River.
3.
I'm sorry Tom Kleppe could not be here, but repre-
senting him is Under Secretary Kent Frizzell, along
with Doug Wheeler and others from the Department of
Interior. Administrator Russ Train from EPA is a
long time advocate of New River protection, and I'm
happy to see him join us today.
EXECUTIVE OFFICE OF THE PRESIDENT
OFFICE OF MANACEMENT AND BUDGET
WASHINGTON D.C. 20503
MEMO RANDUM FOR THE PRESIDENT
Subject: Enrolled Bill H.R. 13372 - Wild and Scenic
Rivers Act Amendment (New River)
Sponsor - Rep. Neal (D) North Carolina and
14 others
Last Day for Action
September 13, 1976 - Monday
Purpose
Amends the Wild and Scenic Rivers Act to (1) include
a segment of the New River within the National Wild
and Scenic Rivers System and (2) prohibit Federal
licensing of water resource development projects
adversely impacting the designated area.
Agency Recommendations
Office of Management and Budget
Approval
Department of the Interior
Approval
Department of Agriculture
Approval
Council on Environmental Quality
Approval
Federal Power Commission
No objection
Federal Energy Administration
No objection
Discussion
Under provisions of the Wild and Scenic Rivers Act
of 1968, certain rivers in the nation possessing
outstanding scenic, recreational, geologic, fish
and wildlife, historic, cultural, or other similar
values, are to be preserved in free-flowing con-
cition, and their immediate environments protected
for the benefit and enjoyment of future generations.
FORD LIBRARY is 028470
2
Eight rivers were originally designated to compose
the National Wild and Scenic Rivers System.
Additional rivers, meeting these criteria, may be
included within the system by (1) Acts of Congress
in the case of rivers to be administered in whole
or in part by a Federal agency, or (2) by approval
of the Secretary of the Interior in the case of
rivers proposed for State administration by the
Governor and State legislature. As of June 6, 1976,
a total of six rivers have been added to the original
system, four by Acts of Congress and two by
administrative action.
The New River flows from North Carolina through
Virginia and West Virginia eventually merging with
tributary waters of the Ohio River. The channel
of the New River is estimated by ceologists to
be the oldest in western hemisphere. Largely
undeveloped, the river basin supports a rich variety
of plant and animal life, including several rare
species. Current recreational uses include
canceing, hiking and fishing. In addition, there
are indications that the basin contains sites and
artifacts of great significance to the study of
early American Indian life.
For over a decade, the New River has been the
subject of proposals for hydroelectric development.
On June 14, 1974, following extensive hearings,
the Federal Power Commission granted a license to
the Appalachian Power Company to construct a hydro-
electric project, known as the Blue Ridge Project,
on the upper New River. The project would provide
1.8 million kilowatts of power for peak load demands
on the American Electric Power Service Corporation
system. As a result, over 94 miles and 42,000
acres would be inundated displacing some 3,000 local
residents.
However, in order to preserve the existing character
or the area, the North Carolina legislature in 1974
included 26.5 miles of the river in the wild and
scenic rivers system administered by the State.
In a subsequent suit brought by the State of North
Carolina, to block construction or the project, the
Court of Appeals for the District of Columbia
The
March
2:
19761
Ioral
GERALD FORD VIBRARY
Power Commission license. In support of its
cetermination to proceed with the project, the
power company has cited significant existing
investment in preliminary planning and land
acquisition as well as the estimated additional
costs of constructing an alternate coal-fired
facility.
Subsequently, pursuant to the Wild and Scenic Rivers
Act, application was made to the Secretary of the
Interior to designate the river as a component of
National Wild and Scenic Rivers System. Upon a
full review of the suitability of the river for
inclusion in the system, the Secretary formally
approved the application on April 13, 1976.
However, in light cf the Court of Appeals decision
validating the Appalachian Power Company's license
for the Blue Ridge Project, the issue of a free-
flowing river remained open.
The enrolled bill is intended to resolve this
problem by providing specific statutory recognition
of the Secretary's earlier designation of the 26.5
mile segment of the New River as a component of
the National Wild and Scenic Rivers System.
H.R. 13372 also expressly invalidates any existing
or future FPC license issued for projects which
would inundate or adversely affect this river
segment.
In its enrolled bill letter, Interior indicates
its strong support of H.R. 13372 noting that its
enactment will ensure that this valuable resource
is preserved for future generations of Americans.
The Federal Power Commission reports no objection
to the bill stating that:
"Under the Wild and Scenic Rivers Act,
there is no question that the
Congress and the President may in
effect nullity the Commission's
license by doclarins the affected
reach of the New River a Wild and
Scenic River. the Commress has
FORD
is
GERALD
LIBRARY
4
addressed the issues between the develop-
ment of the water power and preserving
this unusual river # in its natural state. "
James Assistant Director m. Trey for
Lecislative Reference
Enclosure
FORD is LIBRARY GERALD
United States Department of the Interior
OFFICE
WASHIN in. DC 2.00
S -197.
Dear Mr. Iven:
this x this to your request 505 tie visas of this Possect
CT. P.M. 13372, an enrolled bill "CO arend the and Scinic
Fivers Act (82 Stat. CLF: 16 U.S.C. 1271), and for other purposes.'
To recorrend that the President specific this MILL.
.... 13372 would designate streets a 26.5 nile secret of the
Yes Fiver in Pate and AY Cre tics C. Hearth Camilina is a
car count c 5 = Patienal 316 are Somic 35 125 N.F. 13372
provides that SV license C experier issued Ly the
Federal Feter Corrission affective the Yes Rever shall continue
to be effective only for that crtien of the river thich is net
included in the National VIIC atC conic Pivere oten. of the
Act and that rc project Cr undertable so licer ed shall be
perritted to invada, anundate or currende FOTHE vis effect the
designated river segment.
On Anril 23, 1976, the Secretary of the Interici designated this
26.5 mile cerrent of the - is E Custo administed crent
of LC National MIN and Service Invers System. F.E. 33372 world
statutorily recognize and affirm the Secretary's action, which
is authorized by section 2(c) ii of the Wild and Scenic Rivers Ict.
Inspite the Secretary's designation cf the 26.5 mile segment of the
Nov River as a component of the Tild and Scenic Rivers Syster, the
preservation of this segnent of the River in its natural, free-flowing
state is uncertain, because ce legal issues surrending the reCeral
Power Commission's issuance of = license which would [erit the
construction of a two dar hycroclectric [CVEr project on the liver.
Cr. March 24, 1976, in State of North Carolina V. Federal Fower
Commission, C.A. No. 74-20-2, li.. car. ....., the Court C...
:.. the District Credit is quick the valicity
of the Federal Fever Corrission license.
rulling
the
Page care BANK in :: address the
( 1 thich rend cruse importion finance to
in completed .0.5 1210 (*)
112 excess (: U.S. ..11 :- inc! Providence
to in u.d. C: the 1.0% Par over ii... Foral lower
Corrission
FORD
is
GERALD
LIBRARY
This Department corres this Industrion which
will proceive the integrity of the Secretary " cc. irration of
the New River by protecting DI designated comment from intriation
which is authorized by the Decrd Currission license.
It should be noted, in this connection, that H.F. 13372 (ces not
purport :- invalidate ir its the Federal Door Convission
license If the Name Picge project. Pather it would leave undepaired
the authority of the Federal Icter Corrission to license a hyere-
electric project which done TOL adversely affect tit outstanding
natural qualities of the signature.
the Nov Fiver which flows through With Cardina, Viminia and
last Virginia is = are mindlie rantrol resorrce. It is
TE of the eldest in the : : rid and the designated segment
is cre of a yer, for rivers in the testern United Sustes which
renains hasically in its natural state, undisturbed LY the works
di TEN. It has been found II the Secretary to I est the criteria
of rational significance establiched by the Wild ard Scchic livers
Act, and its preservation has been usiged by citizens in every
region of the country. the signing into Inv C: R.F. 13372 will
insure that this valuable resource 16 your for future
generations of Americans.
Supperaly curs, Good of
- Secretary of the Interior
Fonorable James T. Lynn
Director
Office of Management and Budget
Washington, D. C. 20503
FORD is LIBRARY GERALD
DEPARTMENT OF AGRICULTURE
Nonorable James T. Lynn
Director, Office of Management
September 2 1978
and Cudnet
Dear Mr. Lynr
is requested by your office, here is the report of the Department of
toriculture cn the enrolled enactment H.2. 13372, "To amend the Hild
and Scenic Rivers Act (82 Stat. 906; 16 U.S.C. 1271), and for other
purposes."
Since the State of North Carolina has confirmed its determination to
preserve the free-flowing nature of the New River and since this
Department has no conclusive data to indicate the impacts on energy
development, the Department of Agriculture reluctantly recommends the
President approve the enactment.
The enactment provides that the secrent of the New River in "orth
Carolina extending from its confluence with Dog Creek downstream to
the Virginia State line will be added to the National Wild and Scenic
Rivers System upon application of the Governor of North Carolina. It
further protects the designated segment of the New River from any
action which would invade, inundate or otherwise adversely affect such
river segments.
The Department recognizes, in this Act, the hard choice between the
energy benefits and the environmental and preservation aspects associated
with this segment of the New River: Although the Federal Power Commission
gave long consideration to the hydroelectric power potential involved,
we are concerned that the trade-offs between designation of the river as
a component of the National System and the development and use of the water
resources have not been adequately identified and assessed. However,
if the New River is designated a unit of the National Wild and Scenic
Pivers System, we anticipate no direct conflicts with programs administered
this Department. The river appears to meet the criteria for such
designation, and the State of "orth Carolina's management and development
Pan for the river confirms the intent of the State and local governments
preserve and protect the free-flowing river values.
Sincerely,
Jun
1
Qui
FORD & LIBRARY 028ALD
FEDERAL POWER COMMISSION
WASHINGTON D.C 20426
ENROLLED BILL, H.R. 13372 " 94th Congress
To amend the Wild and Scenic Rivers Act
(82 Stat. 906; 16 U.S.C. 1271), and for
other purposes.
SEP 1 1975
Honorable James T. Lvnn
Director, Office of Management and Budget
Executive Office of the President
Washington, D. C. 20503
Attention: Miss Martha Ramsey
Legislative Reference Division
Room 7201, New Executive Office Building
Dear Mr. Lynn:
This letter responds to Mr. Frey's request of August 31,
1976, for the Commission's views on H.R. 13372, an Enrolled
Bill, designating as a Wild and Scenic River a segment of
New River, North Carolina, and invalidating any past or
prospective license issued by the Federal Power Commission
affecting the portion of the New River which is included in
the National Wild and Scenic Rivers System.
For twelve years, the Federal Power Commission had before
it the proposal to build a hydroelectric pumped storage
project on certain portions of the New River. In Appalachian
Power Company Project No. 2317, 51 FPC 1906, issued June 14,
1974, the Commission approved the granting of a license for
the modified Blue Ridge. Project to the Appalachian Power
Company. There, we decided that the modified project met the
requirements of Section 10(a) of the Federal Act: "that the
moject adopted * ::- * shall be such as in the judgment of the
Commission will be best adapted to a comprehensive plan for
improving or developing a waterway or waterways * * X" and
FORD & LIBRARY QERALD
Nonorable James T. Lynn
:- 2 --
that the environmental consequences of building the project,
while profound, would on balance be beneficial. The Commis-
sion's opinion found that the Blue Ridge upper powerhouse
would be a significant and desirable source of energy that
would pr ide 6 to 8 hours a day of pumped storage in a
range of 1,600,000 to 1,800,000 kilowatts of generating
capacity depending upon available head.
The license for Project 2317 became effective January 2,
1975.
Under the Wild and Scenic Rivers Act there is no
question that the Congress and the President may in effect
nullify the Commission's license by declaring the affected
reach of the New River as Wild and Scenic River. The
Congress has addressed the issues between the development
of the water power and preserving this unusual river in
its natural state.
The Commission has no objection to the enactment of
the Enrolled Bill.
Sincerely yours,
Richard Dunhan
Richard L. Dunham
Chairman
GERALD FORD LIBRARY
TAB B
LIST OF ATTENDEES
Department of Interior
Kent Frizzell, Under Secretary
Loren J. Rivard, Executive Assistant
John Kyl, Assistant Secretary
Nathaniel P. Reed, Assistant Secretary
Douglas Wheeler, Deputy Assistant Secretary
John W. Crutcher, Director, Bureau of Outdoor Recreation
Mary Lou Grier, Deputy Director, Bureau of Outdoor Recreation
John Griggs, Attorney Adviser, Solicitors Office
Robert Eastmen, Chief, Division of Resource Area Studies
Council on Environmental Quality
Warren Eisenberg, Director, Public Information
Helen Redholz, Secretary for Public Information
Robert Smythe, Staff Member
Special Interest Groups
Hamilton Horton, President, National Committee for the New River
Cynthia E. Wilson, National Audubon Society
Rita E. Molyneaux, National Parks and Conservation Association
Constance E. Everett, Conservation Council on Natural Resources
Thomas R. Garrett, Friends of the Earth
Donald Kanak, National Committee for the New River
Arthur T. Wright, Wilderness Society
John Robbins Lorenz, Izaak Walton League
Michael Lee Horn, Editor, "Outdoor America" - Izaak Walton League
Marian Herr Holbrook, Environmental Associate - Izaak Walton Leagu
Joe C. Matthews, National Committee for the New River
Edmund I. Adams, Attorney, Ashe and Alleghany Counties
Louis S. Clapper, National Wildlife Federation
Frank C. Champon, American Conservation and Rivers Association
Charles M. Clusen, Sierra Club
Environmental Protection Agency
Russell E. Train, Administrator
Plus 40 - 45 additional citizen activists and public officials
from North Carolina, Virginia and West Virginia.
House
Ike Andrews
L. H. Fountain
James Haley
Ken Heckler
Robert Kastenmeier
Robert Lagomarsino and wife
Stephen Neal and wife
Piper Neal (daughter)
Steve Neal, Jr. (Son)
Ray Madden
Wilmer Mizell
Jerry Pettis
Roy Taylor
Senate
Jesse Helms
Frank Church
Congressional Staff
Christine Allwine
Evelyn Bertorello
Charles Conklin
William Crosby
Jonna Cullen
Carl Gullick
Harold Hatfield
Lee McElvain
Tom Mallonee
Michael Marden
Patricia Murray
Betty Nevitt
Gregory Nicosia
Janet Niebel
Clay Peters
Cleve Pinnix
Steve Steinbach
Ed Stump
Thomas Williams
White House Staff
Congressional Relations
Max Friedersdorf
Bob Wolthuis
Charlie Leppert
Tom Loeffler
Pat Rowland
Bill Kendall
Joe Jenckes
Domestic Council
Jim Cannon
Art Quern
George Humphreys