Tribe, Wash. Utility Agree On New Dam License

Built without fish ladders, the dam caused a sharp decline in the bull trout that Indians ate. The tribe, which has more than 400 members, sought to restore those fisheries.

The utility applied for a new license in 2000, and the Federal Energy Regulatory Commission relicensed the 67-megawatt dam in 2005. But FERC included environmental restoration conditions the utility estimated would cost $250 million and quadruple power rates.

The PUD challenged the license requirements, and a federal mediator was eventually used to strike the compromise. Negotiations also included Ponderay Newsprint, whose paper mill in Usk buys 90 percent of the dam's power; the U.S. Forest Service, U.S. Fish and Wildlife Service and Bureau of Indian Affairs.

While the new deal will cause power rates to rise, the PUD said, it was impossible to know how much at this time because the full costs of the work are not yet known.

"This was a team effort and we are glad that we were able to reach an agreement," said Bob Geddes, PUD general manager.

The agreement for the 50-year license, valid until 2055, must still be approved by FERC, which can take up to six months.