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WildLaw
A Non-Profit Environmental Law Firm
8116 Old Federal Road; Suite C
Montgomery, AL 36117
334-396-4729


June 1, 2006 
                                

Board of Directors
Tennessee Valley Authority
400 W. Summit Hill Dr.
Knoxville, TN  37902-1499

Dear TVA Board of Directors:

WildLaw has recently become aware of the Board’s decision to institute a moratorium on land actions, including the selling of TVA property and issuing easements for private development.  We are thankful for, and appreciative of, the Board’s decision to reexamine TVA’s policies regarding how its lands are used and conveyed.  This marks an important step toward reconciling the controversy that has surrounded previous TVA land use decisions.

However, since no time limit has been imposed on the moratorium, we realize that it could be lifted at any time.  Wildlaw has been working to oppose the Elk River Resort project, which involves a proposed 91-acre easement from TVA to a private developer.  Even if the moratorium is lifted, this project still should not be allowed to proceed.  

Approval of this project would violate the TVA Act of 1933, which states in pertinent part that the Tennessee Valley Authority shall provide for “the economic and social well-being of the people living in the Tennessee River basin.” 16 U.S.C. § 831(v)(1994).  Congress gave TVA the power of eminent domain to acquire lands for dams, reservoirs, power production, navigation projects, public recreation, and industrial development for “the economic and social well being of the people.”  16 U.S.C. § 831(c).  The sale of public lands for a private marina/resort is entirely inconsistent with Congress’s mandate that TVA only convey public lands “for the economic and social well-being of the people living in the Tennessee river basin.”  See 16 U.S.C. §§ 831(c) and (v).  Additionally, the community surrounding the proposed site opposes the creation of this resort.

TVA’s approval of this project would also violate the National Environmental Policy Act (NEPA) because the agency has failed to prepare an environmental impact statement (EIS) for this project.  An EIS is required for “all major Federal actions significantly affecting the human environment.”  In determining the significance of a proposed action’s effects on the environment, an agency must evaluate “[t]he degree to which the effects on the quality of the human environment are likely to be highly controversial.”  40 C.F.R. § 1508.27(b)(4).  There is a substantial public controversy in this case.  TVA received comments from 93 individuals who were opposed, and only 19 who were in favor of the proposal.  EA at 3.   A petition in opposition to the proposal was also submitted containing 259 signatures.  Id.  Over the past several months, the local newspaper has published several articles about the controversy surrounding this project.  Last month, a local citizen group organized a flotilla protesting the proposed action.  In response to the public’s concern over this project, the comment period was extended by TVA.  The public continues to express their opposition.  In view of this outpouring of public protest, a substantial dispute exists and an EIS is warranted for this project.  

The community does not support the proposed marina, nor does economic demand justify its creation.  There are at least six other marina and camping facilities located within close proximity to the proposed site, and according to the EA, are all under-utilized.  See EA at 25.  Even if the proposed marina would serve a purpose for the area, alternative sites that may have a less detrimental effect to the environment are available, but have not been examined by TVA or the applicant.  The Council on Environmental Quality describes the alternatives requirement as the “heart” of the environmental impact statement.  40 C.F.R. § 1502.14.  The alternative sites were listed and summarily disregarded as they were not a “perfect fit” with the applicant’s ideal plan.  “[A]n alternative may not be disregarded merely because it does not offer a complete solution to the problem.”  Citizens Against Toxic Sprays v. Bergland, 428 F. Supp. 908, 933 (D. Or. 1977).  These alternative sites should have been given more consideration, even if the adoption of such site would cause the applicant to amend his plan.

There are also environmental concerns surrounding the project that legally must be given further consideration.  One such issue is water quality.  The Elk River embayment downstream of Anderson Creek is listed as a Section 303(d) impaired waterway under the Clean Water Act because it does not fully support its designated uses (public water supply, swimming and fishing) due to low pH and organic enrichment/ dissolved oxygen.  The assessment of the project’s effect on the Elk River is insufficient because it does not take into consideration all the direct and indirect effects of the project on the river, including the effects of fuel discharges, cleaning products, increased usage by visitors, sewage concerns, and non-point sources.  It also was not appropriately analyzed whether there will be any indirect effects on the wetlands in the proposed area.  This deficiency in the EA must be reconciled, along with other similar potential environmental harms that were not properly evaluated.

The EA is replete with broad, conclusory statements backed with little or no investigation or factual support.  The cumulative effects of all five phases of the project are only minimally examined.  The CEQ regulations warn that a NEPA document is not to be used to justify a decision already made.  40 C.F.R. § 1502.2(g).  However, it looks as if this is precisely what has happened here.  

There is no community support for this project, there is no sound economic justification for its inception and the Environmental Assessment that was filed by the applicant fails to meet the legal requirements of the National Environmental Policy Act (NEPA).  We also feel that TVA’s finding of “no significant impact” was wrongly decided, and therefore, an Environmental Impact Statement must be prepared.  If the Board approves this project, Wildlaw is prepared to bring suit against TVA.

If you decide to proceed with the Elk River Resort you must review the EA and prepare an EIS to ensure that all potential effects on the environment and the surrounding community are taken into consideration before the decision to grant the easement is made.  We appreciate the difficult position that the Board is in when forced to decide between what is best for the people and what is best for the environment.  However, in this case, the community and environment will both benefit from the denial of this easement.  We are optimistic that the Board’s decision to institute a moratorium on land action is a positive indicator of changing priorities within TVA, and trust that the Board will make the right decision about the Elk River Resort and deny the proposal.

Thank you for your time and consideration.

Yours truly,

Sandra S. Nichols
Counsel for the Shoals Environmental Alliance and Wild South