flow from storage at site, and from storage upstream, each item shown separately.

(10) Investment costs:

(1) The total investment cost of the headwater improvement project at the close of the fiscal period, or at a date during the fiscal period. Specify the date.

(ii) The investment cost of joint-use facilities' on the date specified in (1) immediately above. Specify the items

included as joint-use facilities.

(iii) The allocation of such investment cost of joint-use facilities to power and to each of the other project purposes to which costs have been allocated, such as flood control, navigation, irrigation, and recreation.

(iv) The cost of land included in the investment cost of joint-use facilities allocated to power.

(11) Annual costs:

(1) Annual cost of interest, maintenance, and depreciation on the jointuse facilities (each item shown separately). Show the annual interest rate and the method used to compute the depreciation charge, or the interest rate and period used to compute amortization if used in lieu of depreciation.

(ii) Annual cost of interest, maintenance, and depreciation on joint-use facilities allocated to power and to each of the other project purposes (each item shown separately).

(iii) Estimated long-term average, or average of representative years, of the annual costs requested in subdivisions (i) and (ii) of this subparagraph, stating the years used in obtaining the averages.

(12) Other data considered relevant by the party.

(b) Data to be supplied by the owner of each hydroelectric power plant, having an installed capacity greater than 2,000 horsepower, downstream from a

The headwater improvement project, as used in §§ 11.26(a) and 11.27(a), comprises specific facilities and joint-use facilities. A specific facility serves a single purpose only. An example is the at-site powerhouse which provides at-site power benefits only. A jointuse facility serves more than one purpose. As used herein, at-site power benefits and downstream power benefits are separate purposes. Therefore, a dam and reservoir providing only power benefits would be a jointuse facility if the benefits were provided to a downstream power plant in addition to the at-site power plant.

storage reservoir of a licensee, or permittee, or of the United States. (1) Name and location of the hydroelectric power plant, including the name of the stream on which located.

(2) Total name plate rating of the installed generating capacity of the plant expressed in kilowatts.

(3) The critical period and the estimated average net head at each plant during the critical period.

(4) The estimated average over-all water use in cubic feet per second per kilowatt, corresponding to the estimated average net head during the critical period, and estimates of the electric energy that would be produced at the downstream power plant during the critical period from storage from each storage reservoir upstream. For the latter estimate, explain fully if any spillage of upstream storage releases is assumed.

(5) Other data considered relevant by the party.

[Order 268, 28 F.R. 4177, Apr. 27, 1963] § 11.27 Computation of headwater benefit charges for billings rendered without a hearing.

Annual charges will be assessed or determined and fixed by the Commission, for billings rendered without a hearing only, against each owner of a non-federal power project, having an installed capacity in excess of 2,000 horsepower, which is directly benefited by a storage reservoir or other headwater improvement of the United States or its licensees or permittees, on the following basis:

(a) Whenever power generating facilities are installed at such headwater storage reservoir or improvement, and the principal power benefits from streamflow regulation are derived from use of power storage, and the owners of downstream power developments have assurance of scheduled storage releases, then the portion of the average annual cost of interest, maintenance and depreciation on the joint-use facilities of each headwater improvement project to be borne by power, both at site and downstream, is to be apportioned to storage and at-site

For those items where data for the current fiscal period are the same as date furnished for a prior fiscal period, make this notation and give the fiscal year for which the data were reported. When needed, special requests will be made for additional data. As defined in § 11.25.

head functions. The amount of such cost to be apportioned to the storage function shall be determined by multiplying such annual cost to be borne by power by the ratio of the electric energy that would be produced during the critical period (at site and downstream) from at-site storage to the sum of the electric energy that would be produced during the critical period (at site and downstream) from at-site storage and the electric energy that would be produced at site during the critical period from natural flow and from at-site and upstream storage. The amount of such annual cost of the headwater improvement thus apportioned to the storage function shall be apportioned to the atsite power plant and to each downstream plant in direct proportion to the electric energy that would be produced at each plant during the critical period from atsite storage. The average annual cost thus apportioned to a downstream nonfederal power plant shall be the annual billing to be made for headwater benefits.

(b) Whenever power generating faciliities are installed at such headwater storage reservoir or improvement, and the principal power benefits from streamflow regulation are derived from storage other than power storage, or the owners of downstream power developments do not have assurance of scheduled storage releases, then the portion of the average annual cost of interest, maintenance, and depreciation on the joint-use facilities of each headwater improvement to be borne by power, both at site and downstream, is to be equitably apportioned among the power plants benefited, and the annual cost thus apportioned to each downstream power plant shall be the annual billing to be made for headwater benefits.

(c) Whenever power generating facilities are not installed at such headwater storage reservoir or improvement: the value of the power gains at each downstream plant together with the value of

If the critical period is in excess of 12 months and the storage reservoir is operated during the critical period to provide seasonal storage, the at-site storage shall be considered to be the sum of the seasonal storage releases during the critical period. Seasonal storage is storage held over from the annual high-water season to the following low-water season.

benefits for other purposes, such as flood control, navigation, irrigation, and recreation, resulting from the headwater improvement will be used in allocating the annual costs of the headwater improvement project to power and other purposes. The average annual costs of interest, maintenance, and depreciation thus apportioned to power shall be apportioned to each downstream plant in direct proportion to the average annual power gain at each plant. The average annual cost thus apportioned to each downstream power plant shall be the annual billing to be made for headwater benefits.

[Order 268, 28 FR. 4177, Apr. 27, 1963] § 11.28 Effective date.

All annual charges, except those imposed under section 10 (f), shall commence upon the effective date of the license unless some other date or dates are fixed in the license.

[Order 268, 28 F.R. 4178, Apr. 27, 1963] § 11.29 Adjustment of annual charges.

All annual charges, except those imposed under section 10 (f), shall continue in effect as fixed unless changed as authorized by law.

[Order 268, 28 F.R. 4178, Apr. 27, 1963] § 11.30 Average annual payments for headwater benefits.

After an average annual payment for headwater benefits has been determined, a bill in that amount will be submitted annually until a revision is warranted by a change in the operation of the projects, in the development of the river basin, or in the costs to be apportioned under section 10(f). The costs of Commission staff studies made for the purpose of estimating annual headwater benefit charges shall be included as a separate item in bills rendered to beneficiaries of headwater improvements. [Order 268, 28 F.R. 4178, Apr. 27, 1963] § 11.31 Time for payment, protest or request for hearing, penalties.

(a) Payment of annual charges. Annual charges shall be paid within 45 days of rendition of a bill therefor by the Commission, except that annual charges for headwater benefits shall be paid within 60 days of rendition of a bill therefor.

(b) Billings for headwater benefits. Copies of bills rendered to downstream owners for annual charges for headwater benefits shall be served on all other parties in the area, and shall specify the parties served.

(c) Protest or request for hearing. Any protest against an assessment for headwater benefits, or request for a hearing thereon, must be filed within 60 days from the date of the billing and a copy thereof shall be served on all other parties in the area. The burden to adduce evidence at any hearing will be on any party or parties requesting a hearing. At any hearing which is requested by the owner of a downstream plant in connection with annual charges for headwater benefits, the burden will be on such owner to adduce evidence that the amount billed exceeds the value of the benefits received for power purposes unless such owner has paid, under protest, the amount billed within the time provided in paragraph (a) of this section.

(d) Accounting for headwater benefit payments pending protests and requests for hearing. All payments received for headwater benefits charges from billings rendered pursuant to this section shall be retained by the Commission in a special deposit account, and disbursements therefrom shall not be made until the expiration of the 90th day from the date of the billing. If a protest or request for hearing is filed by any party in the area, no disbursements shall be made from payments received from parties in the area until directed by the Commission.

(e) Penalties. In case of failure on the part of any person to pay annual charges within the periods specified in paragraph (a) of this section, a penalty of 5 percent of the total amount so delinquent is assessed and added to the total charges which shall apply for the first month or part of month so delinquent with an additional penalty of 3 percent for each full month thereafter until the charges and penalties are satisfied in accordance with law: Provided, however, That for good cause shown, the Commission may, by order, waive any penalty imposed by this Subsection.

[Order 268; 28 F.R. 4178, Apr. 27, 1963, as amended by Order 272, 28 FR. 12796, Dec. 8, 1963]

12.4

12.5

Responsibility for inspections.

Report of inspections, recommendations.

12.6 Initial inspection, time for reporting. AUTHORITY: The provisions of this Part 12 issued under secs. 10(c), 304(a), 309, 49 Stat. 842, 855, 858; 16 U.S.C. 803(c), 825c(a), 825h.

SOURCE: The provisions of this Part 12 contained in Order 315, 30 F.R. 16199, Dec. 29, 1965, unless otherwise noted.

§ 12.1 Applicability.

Unless otherwise ordered by the Commission, the provisions of this part shall apply with respect to projects licensed under Part I of the Federal Power Act having a dam exceeding 35 feet in height above stream bed or having a gross storage capacity in excess of 2000 acre feet. § 12.2 Periodic inspections.

Notwithstanding any other terms and conditions of the license, the licensee shall cause a complete inspection of the projects works, excluding transmission lines and generating equipment, to be made at least every 5 years, in order to determine whether there are any deficiencies or potential deficiencies in the condition of project structures, quality and adequacy of maintenance or methods of operation which might endanger public safety. Such inspections shall provide pertinent data with respect, but not limited, to such matters as settlement, movement, erosion, seepage, leakage, cracking, examination of internal conditions of stress and hydrostatic pressures in structures, their foundations and abutments, functioning of foundation drains and relief wells, and stability of critical sections of reservoir shorelines and backslopes above structures. It is contemplated that the inspections may involve the use of special equipment, instrumentation, procedures and inspection staff. In the planning of the inspection and the preparation of the reports required by § 12.5, the licensee and the consultant responsible under § 12.4 shall give due consideration to pertinent reports made by or under the direction of Federal or State

agencies, prior reports submitted under this regulation, and reports made by other consultants.

§ 12.3 Additional inspections.

When an inspection by the licensee or the Commission's staff reveals conditions of concern regarding the safety of any project structure or the operation of the project works, the licensee shall cause such additional inspection and investigation to be made as may be found by the Commission to be warranted under the circumstances.

§ 12.4 Responsibility for inspections.

The inspections provided for by §§ 12.2 and 12.3 of this part shall be performed by or under the responsibility and direction of qualified independent consultants.

§ 12.5 Report of inspections, recommendations.

The arrangement between the licensee and the consultants shall provide that:

(a) A report shall be made by or under the direction of the consultants who shall certify approval thereof. It shall include a review of any and all items relating to the safety of the project, including records of observations of pressures, stresses, settlements and similar data, and recommendations, if any, as to corrective measures required. The report shall also include any recommendations considered appropriate on instrumentation or periodic observations of the behavior of any features of the project. If, during the course of an inspection, conditions are disclosed which indicate the need for emergency corrective measures, the situation shall be reported to the Commission at once.

(b) Three copies of the report shall be filed with the Commission immediately upon its issuance.

(c) Within 30 days following submission of the report or within such other time as the Commission may direct, the licensee shall submit to the Commission any plan of action it proposes to take, which may include further investigation, for design and implementation of any corrective measures recommended in the report or design and implementation of any additional remedial measures which the licensee considers may be required.

§12.6 Initial inspection, time for reporting.

(a) Licenses issued subsequent to the effective date of this part. The initial inspection required by this part with respect to projects licensed after the effective date hereof shall be made so that the report required by § 12.5, together with licensee's proposal for remedial work, if any, can be submitted to the Commission within 5 years of the date of the first commercial operation of projects constructed under license and within 2 years of the date of the issuance of license for constructed projects.

(b) Licenses issued prior to the effective date of this part. The initial inspection required by this part with respect to the projects under license on the effective date hereof shall be made so that the report required by § 12.5, together with licensee's proposal for remedial work, if any, can be submitted to the Commission within the time specified in the following schedule:

Henceforth, licensees and permittees with headwater improvements providing power benefits to downstream non-Federal power developers may file contracts entered into with such parties so benefited agreeing to the amount of annual payments for headwater benefits. The aforesaid contracts will be accepted for filing subject to subsequent review and approval by the Commission. When possible, such contracts should be filed prior to the incurring of expense by the Commission for headwater benefit investigation with respect to a particular project pursuant to section 10 (f) of the Federal Power Act.

(49 Stat. 858, 60 Stat. 239; 16 U.S.C. 825h, 5 U.S.C. 554) [Order 237, 26 F.R. 10795, Nov. 18, 1961]

PART 16-PROCEDURES RELATING TO TAKEOVER AND RELICENSING OF LICENSED PROJECTS

Sec.

16.1

16.2

16.3

16.4

16.5 16.6

16.7 16.8

16.9

16.10

16.11

Commission recommendation to Congress.

Motion for stay by Federal department or agency. Procedures upon congressional authorization of takeover. 16.12 Renewal of minor

or minor part licenses not subject to sections 14 and 15.

16.13 Acceptance for filing or rejection of application.

AUTHORITY: The provisions of this Part 16 issued under Federal Power Act, secs. 7(c), 14, 15, 309; 16 U.S.C. 800, 807, 808, 825h.

SOURCE: The provisions of this Part 16 contained in Order 384, 34 F.R. 12272, July 25, 1969, unless otherwise noted.

§ 16.1 Purpose and coverage.

This part implements the amendments of sections 7(c), 14, and 15 of Part I of the Federal Power Act, as amended, enacted by Public Law 90-451, 82 Stat. 616, approved August 3, 1968. It applies to projects subject to sections 14 and 15 of the Federal Power Act including projects for which a nonpower license may be issued. Procedures are provided for the filing of applications for either power or nonpower licenses for projects whose licenses are expiring. A license for a power project issued to either the original licensee or another licensee is referred to in this part as a "new license" and a license for a nonpower project as a "non-power license". Also provided are procedures for the filing of recommendations for takeover by Federal departments or agencies and applications for renewal of licenses not subject to section 14.

plications for a license, the Commission's Secretary will give notice of the expiration of license of a project (except transmission line and minor projects) 5 years in advance thereof in the same manner as provided in section 4(f) of the Act. The Secretary shall upon promulgation of the rules herein give notice, as provided in section 4(f) of the Act, of all whose license terms have expired since January 1, 1968, or which will expire within 5 years of the effective date of this rule. In addition, the Commission each year will publish in its annual report and in the FEDERAL REGISTER a table showing the projects which will expire during the succeeding 5 years. The table will list these licenses according to their expiration dates and will contain the following information: (a) License expiration date; (b) licensee's name; (c) project number; (d) type of principal project works licensed, e.g., dam and reservoir, powerhouse, transmission lines; (e) location by State, county, and stream; also by city or nearby city when appropriate; and (f) plant installed capacity.

(a) An existing licensee must file an application for a "new license" or "nonpower license" or a statement of intention not to file an application for a "new license" no earlier than 5 years and no later than 3 years prior to the expiration of its license, except that, where the license will expire within 31⁄2 years of the issuance of this part, such applications or statements shall be filed within 6 months from the effective date of this part. Applicants which have applications pending which were filed under previous Commission regulations shall supplement their applications in accordance with pertinent provisions of this part within 6 months of the effective date of this part.

(b) Any other person or municipality may file an application for a "new license" or "non-power license" within 5 years of the expiration of the license, but in no event, unless authorized by the Commission, later than 6 months after issuance of notice of the filing of an application or statement by the licensee under § 16.4 or 22 years before the expiration of the license, whichever is earlier.