Subject: Wallowa Falls Hydroelectric Project (FERC Project No. 308) Filing of Initial Study Report for Integrated Licensing Process

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Electronically filed January 2, 2013 Kimberly D. Bose, Secretary Federal Energy Regulatory Commission 825 First Street, N.E. Washington D.C 20426 Subject: Wallowa Falls Hydroelectric Project (FERC Project No. 308) Filing of Initial Study Report for Integrated Licensing Process Dear Secretary Bose: Pursuant to the regulations of the Federal Energy Regulatory Commission (FERC) for the Integrated Licensing Process (ILP), 18 CFR 5.15(c)(1) (2009), PacifiCorp Energy (PacifiCorp) hereby submits an Initial Study Report for PacifiCorp s Wallowa Falls Hydroelectric Project, FERC Project No. 308 (Project), located on the East and West Forks of the Wallowa River, and Royal Purple Creek in Wallowa County, Oregon. PacifiCorp has elected to use the FERC ILP to provide the framework for the Wallowa Falls Project relicensing. In accordance with the process plan and schedule established for the Project in the FERC Scoping Document I, PacifiCorp completed a study planning process in consultation with interested parties and proposed a total of 16 studies in a Revised Study Plan filed with FERC on December 2, 2011. FERC issued a Study Plan Determination on January 3, 2012 approving eleven of the Revised Study Plans as filed and approving five with modifications. In a comment letter on PacifiCorp s Revised Study Plans, submitted to the FERC on December 21, 2011, the US Fish and Wildlife Service (USFWS) asked FERC to include ten additional data collection requests to the Water Resources Study Plan. The additional data requested related to substrate and sediment transport within the bypassed portion of the East Fork Wallowa River that may be affected by proposed forebay flushing. Prior to the December 21, 2011 letter, these studies had not been proposed by PacifiCorp or requested by either project stakeholders or FERC. Although the additional data requests were not included in the FERC Study Plan Determination, in an effort to be responsive to the USFWS request, PacifiCorp collected sediment, substrate and water quality data during the 2012 field season. The objective of this data collection was to determine baseline sediment, substrate, and water quality conditions and obtain information to help assess potential effects of forebay flushing within the bypass reach. PacifiCorp believes the study results will provide information necessary for consultation under Section 7 of the ESA for potential effects to bull trout and their designated Critical Habitat under a new license.

Distribution List Wallowa Falls Hydroelectric Project (FERC Project No. 308) Initial Study Report Honorable Ron Wyden, United States Senate, 223 Dirksen Senate Office Building, Washington, DC 20510-3703 FERC Portland Regional Office, Attn: Matt Cutlip, 805 SW Broadway, Suite 550, Portland, OR 97205 Confederated Tribes of the Colville Reservation, Tribal Chairman, P.O. Box 150, Nespelem, WA 99155 Confederated Tribes of Umatilla, Tribal Chairman, Pendleton, OR 97801 Nez Perce, Tribal Chairman, P.O. Box 365, Lapwai, ID 83540-0365 Bureau of Indian Affairs, Northwest Regional Office, Attn: FERC Coordinator, 911 Northeast 11th Avenue, Portland, Oregon 97232-4169 Bureau of Indian Affairs, Umatilla Agency, P.O. Box 520, Pendleton, OR 97801 Nez Perce, Tribe, Keith Patrick Baird, P.O. Box 365, Lapwai, ID 83540-0365 Confederated Tribes of the Colville, Guy Mora, Interim Program Manager, P.O. Box 150 Nespelem, WA 99155 Confederated Tribes of Umatilla, Catherine Dixon, Principle Investigator, 46411 Timine Way, Pendleton, OR 97801 EPA Region 10, Oregon Operations Office, 805 SW Broadway, Suite 500, Portland, OR 97205 NMFS, Eastern Oregon Habitat Office, Attn: Spencer Hovekamp, 3502 Highway 30, LaGrande, OR 97850 NMFS Northwest Regional Office, Hydropower Division, Attn: Keith Kirkendall, 1201 NE Lloyd Blvd, Suite 1100, Portland, OR 97232 U.S. Army Corps of Engineers, PO Box 2870, Portland, OR 97208-2870 U.S. Bureau of Land Management, State Director, PO Box 2965, Portland, OR 97208-2965 U.S. Bureau of Reclamation, Klamath Basin Area Office, 6600 Washburn Way, Klamath Falls, OR 97603-9365

U.S. Coast Guard, MSO Portland, 6767 N Basin Avenue, Portland, OR 97217-3929 USDA FS Pacific Northwest Region, Attn: Dan Gonzalez, 3160 NE 3 rd St., Prineville, OR 97754 USDOI NPS, Pacific West Region, Outdoor Recreation Planner, Attn: Susan Rosebrough, 909 1 st Avenue, Seattle, WA 98104-1059 USDOI, Office of Environ Policy & Compliance, Attn: Allison O Brien, Acting Environmental Officer, 620 SW Main Street, Portland, OR 97205 USFWS, La Grande Fish & Wildlife Office, Attn: Gretchen Sausen, 3502 Hwy 30, LaGrande, OR 97850 Wallowa-Whitman National Forest, Attn: Steve Ellis, Forest Supervisor, P.O. Box 907, Baker City, OR 97814-3840 Wallowa-Whitman National Forest, Attn: Tony King, Zone Archaeologist, 201 E 2 nd Street, Joseph, OR 97846 ODEQ, Water Quality Division, Attn: Marilyn Fonseca, 811 SW 6 th Avenue, Portland, OR 97204 ODEQ, Water Quality Division, Attn: John Dadoly, 700 SE Emigrant Ave - Suite 330, Pendleton, OR 97801 Oregon Dept of Agriculture, Attn: Jim Johnson, Natural Resources Division, 635 Capitol Street NE, Salem, OR 97301-2564 ODFW, Attn: Ken Homolka, 3406 Cherry Avenue, NE, Salem, OR 97303 ODFW, Attn: Tim Hardin, 3406 Cherry Avenue, NE, Salem, OR 97303 ODFW, Energy, Infrastructure & Eco, Systems Services Division, Attn: Joe Zisa, Division Supervisor, 2600 SW 98 th Avenue, Ste 100, Portland, OR 97266-1325 ODFW, Attn: Elizabeth Moats, Hydro Coordinator NE Region, 107 20 th St., La Grande, OR 97850 ODFW, Enterprise Field Office, Attn: Jeff Yanke, 65495 Alder Slope Road, Enterprise, OR 97828 Oregon Dept of Land Conservation and Development, Attn: Paul Curcio, Director, 635 Capital Street NE, Ste. 150, Salem, OR 97301 Oregon State Marine Board, 435 Commercial Street, NE, Salem, OR 97310-0001

OPRD, State Historic Preservation Officer Roper Roper, 725 Summer St NE, Suite C, Salem OR 97301 OPRD, Attn: Jim Hutton, NE District Manager, 65068 Old Oregon Trail, Meacham, OR 97895 OPRD, Attn: Jim Morgan, 725 Summer Street NE, Suite C, Salem, OR 97301-1266 OPRD, Attn: Kammie Bunes, 725 Summer Street NE, Suite C, Salem, OR 97301-1266 OSU Extension Services, Attn: Director, Extension Administration 101 Ballard Hall, Corvallis, OR 97331-3606 Water Resources Department, Attn: Mary S. Grainey, 725 Summer Street NE, Suite A, Salem OR 97301 Public Utility Commission of Oregon, Attn: Secretary, P.O. Box 2148, Salem, OR 97308-2148 Wallowa County Planning Dept., Attn: Harold Black, 101 S. River St., Room B-1, Enterprise, OR 97828 City of Baker City, Attn: Planning Department, P.O. Box 650, Baker City, OR 97814 City Administrator s Office, 108 N.E. 1 st St., Enterprise, OR 97828 City of Haines, P.O. Box 208, Haines, OR 97833 City of Joseph, Attn: Donna Warnock, City Recorder, PO Box 15, Joseph, OR 97846 City of La Grande, Planning Division, P.O. Box 670, La Grande, OR 97850 City of Lostine, 128 Highway 82, Lostine, OR 97857 City of Wallowa, Attn: Lori Waters, P.O. Box 487, Wallowa, OR 97885 Joseph Chamber of Commerce, P.O. Box 13, Joseph, OR 97846 Wallowa Lake Rural Fire Protection District, Attn: Chief Matt Walker, P.O. Box 922, Joseph, OR 97846 Wallowa Soil and Water Conservation District, Attn: Cynthia Warnock, 401 N.E. 1 st Street Suite E, Enterprise, OR 97846 Mid-West Electric Consumers Ass n, Attn: Thomas P. Graves, 4350 Wadsworth Blvd Suite 330, Wheat Ridge, CO 80033-4641

National Rural Electric Cooperative, Wallace F. Tillman, General Counsel, 4301 Wilson Blvd, Arlington, VA 22203 Southwestern Power Resources Commission, Attn: Ted Coombes, Exec. Director, PO Box 471827, Tulsa, OK 74147-1827 Advisory Council on Historic Preservation, John Eddins, Program Analyst, Old Post Office Building, 1100 Pennsylvania Avenue, NW, Suite 803, Washington, DC 20004