Glebe Mountain Wind Energy, LLC

Vermont Superior Court·Decided August 3, 2006·No. 234-11-05 Vtec·Published

Opinion

STATE OF VERMONT

ENVIRONMENTAL COURT

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Glebe Mountain Wind Energy, LLC } Docket No. 234‐11‐05 Vtec (Appeal of JO #2‐227) } }

Revised

Decision on Cross‐Motions for Summary Judgment

Glebe Mountain Wind Energy, LLC (“Appellant” or “GMWE”) appealed from Jurisdictional Opinion (JO) #2‐227 of the Acting District 2 Environmental Coordinator, issued on October 6, 2005, concluding that a “proposed wind energy project represent[s] material and substantial changes to existing Act 250 permits and thus require[s] an [Act 250 permit] amendment.” Appellant is represented by Christopher D. Roy, Esq.; Interested Person Glebe Mountain Group, Inc. (GMGI) is represented by Robert E. Woolmington, Esq.; Interested Person Vermont Electric Power Co. (VELCO) is represented by Stephen A. Reynes, Esq.; Interested Person Central Vermont Public Service (CVPS) is represented by Carolyn Brown Anderson, Esq.; Interested Person Town of Windham and Intervenor Town of Windham Planning Commission are both represented by David Grayck, Esq.; Intervenor Department of Public Service (DPS) is represented by Aaron Adler, Esq.; Intervenor Natural Resources Board is represented by Melanie Kehne, Esq.; and Intervenor Windham Regional Planning Commission is represented by Richard D. Perra, Esq.

Now pending before this Court are cross‐motions for summary judgment filed by Appellant, by Interested Person Glebe Mountain Group, Inc., and jointly by Interested Person Town of Windham and Intervenor Town of Windham Planning Commission. Intervenor Windham Regional Commission also filed a motion for summary judgment, advising that it joined in the motion filed on behalf of Glebe

Mountain Group, Inc. Memoranda in support of Appellant’s motion for summary judgment have been filed on behalf of VELCO and DPS.

Factual Background

The parties have stipulated to the material facts in this case, which are as follows:

1. Appellant is developing plans for a wind power generation facility on Glebe Mountain in the Towns of Londonderry and Windham (the “Project”).

2. The Project includes the construction of up to twenty‐seven wind turbines and associated roads and accessory structures.

3. The Project is proposed to be located on two parcels of land (the “Tract”)

owned by the McGraw Family Partnership and Magic Mountain, LLC. The Tract, or portions of it, is encumbered by a number of Act 250 permits and amendments previously issued to other projects on the same parcels. There are five sets of permits and amendments thereto, dating back to 1971. The various permits are referenced in JO #2‐227, at ¶¶ 12–36.

4. Appellant has installed one temporary wind measurement tower on the Project site. This tower was approved by the Vermont Public Service Board (PSB) pursuant to 30 V.S.A. § 248(j) on January 29, 2004, in PSB Docket No. 6786. In that proceeding, on October 8, 2004, the PSB also approved the installation of two additional temporary wind measurement towers on the Project site. These two additional towers have not yet been installed.

5. The Project is an “electric generation facility” subject to review by the PSB pursuant to 30 V.S.A. § 248.

6. Appellant has not finalized the project’s design, and has not yet filed a petition for a certificate of public good with the PSB pursuant to 30 V.S.A. § 248.

7. Appellant sent the Windham Regional Planning Commission and the Towns of Londonderry and Windham a formal notice of intent to file a petition for a certificate of public good with the PSB pursuant to 30 V.S.A. § 248.

8. The Parties have agreed by stipulation, for the purposes of this appeal only, that if the analysis typically employed under Environmental Board Rule 34 were to apply to the Project as currently planned, it can be assumed that the Project would constitute a material and/or substantial change to the previously approved development on the Project site under one or more Act 250 criteria found in 10 V.S.A. § 6086.

Discussion

At issue in this appeal is a jurisdictional conflict between Act 250 review under a concept known as “amendment jurisdiction,” see former Environmental Board Rule 341 (EBR 34), and PSB jurisdiction over power generation facilities under 30 V.S.A. § 248. The conflict arises because a power generation facility is being proposed on lands that are already encumbered by multiple Act 250 permits, amendments thereto and the many conditions contained therein.2 It is undisputed that if the wind power generation facility were proposed on land unencumbered by Act 250 permit conditions, then jurisdiction over the proposed facility would rest solely with the PSB. Electric generation or transmission facilities that require a certificate of public good under 30 V.S.A. § 248 are defined out of the term

1 The former Environmental Board Rules have been supplanted by the Act 250 Rules promulgated by the Natural Resources Board, effective May 1, 2006. We look to the former Environmental Board Rules as they existed on October 6, 2005, because we are required to apply the substantive standards that were applicable before the tribunal appealed from, pursuant to 10 V.S.A. § 8504(h). The Legislature ratified former EBR 34, along with all other Environmental Board rules pertaining to the administration of Act 250, by Public Act 52, § 5 (1985), and the Rule therefore “has the same effect as would any law passed by the Legislature in the first instance.” In re Spencer, 152 Vt. 330, 336 (1989).

See Vermont Commission on Wind Energy Regulatory Policy: Findings and Conclusions, Attach. A to 2

Appellant’s Mot. for Summ. J., at § 4.2.1(7):

There are conflicting opinions and there is currently no definitive answer for how to deal with the potential for overlapping jurisdiction between Section 248 and Act 250 (e.g., on land that already falls under an existing Act 250 permit). For example, some wind turbines may be proposed on lands that are already subject to the jurisdiction of Act 250 with permit conditions that may be difficult to resolve without going through two regulatory processes. Section 248 should have jurisdiction in these cases but provide for consideration of the existing Act 250 permit conditions.

“development” by 10 V.S.A. § 6001(3)(D)(ii), and therefore do not trigger Act 250 jurisdiction.

The question before the Court is not whether the Project constitutes “development” under Act 250 (as it clearly does not), but whether the Project will cause material or substantial changes to previously permitted development, and thus require the holders of the pre‐existing permits to seek a permit amendment under EBR 34. EBR 34(A), effective January 12, 2004, required a permit amendment “for any material or substantial change in a permitted project.”

Appellant argues that, although EBR 34 would require a permit amendment “if the analysis typically employed . . . were to apply,” Stipulation of Facts at 2, that requirement would be at odds with the Legislature’s grant to the PSB of exclusive jurisdiction over § 248 projects. Appellant reasons that since power generation facilities do not constitute development in the context of Act 250, the construction of such facilities cannot trigger amendment jurisdiction under EBR 34 because “material or substantial change,” as that term is used in EBR 34, is a subset of “development.” See EBR 2(A)(1)(e) (“‘Development’ means . . . (e) Any construction of improvements which will be a substantial change of a pre‐existing development, and any material or substantial change to an existing development over which the board or a district commission has jurisdiction”). Intervenor DPS offered its concurrence at the motion hearing by asserting that amendment jurisdiction is a derivative of development jurisdiction and not an independent source of jurisdiction.

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