UNITED STATES OF AMERICA

FEDERAL ENERGY REGULATORY COMMISSION

)
Millennium Pipeline Company, L.L.C. ) Docket No. CP16-486-000
)

MOTION TO ANSWER AND ANSWER OF

MILLENNIUM PIPELINE COMPANY, L.L.C. TO COMMENTS ON
THE ENVIRONMENTAL ASSESSMENT

Pursuant to Rules 212 and 213 of the Federal Energy Regulatory Commissions

(FERC or Commission) Rules of Practice and Procedure, 1 Millennium Pipeline

Company, L.L.C. (Millennium) hereby moves to answer and answers certain comments

filed regarding the Commissions Environmental Assessment (EA) prepared for the

Eastern System Upgrade (ESU Project or Project). 2 On March 31, 2017, the

Commission issued the EA for the ESU Project, which addresses numerous comments

received in response to the Notice of Intent. 3 The EA properly concludes that approval of

the ESU Project, with appropriate mitigating measures, would not constitute a major

federal action significantly affecting the quality of the human environment, and

recommends that the Commission issue an order contain[ing] a finding of no significant

impact. 4 In this Answer, Millennium responds to a number of the comments on the EA

filed by environmental organizations, landowners, local governments, and concerned

citizens. 5

1
18 C.F.R. 385.212& 385.213 (2016).
2
Millennium Pipeline Co., L.L.C., Environmental Assessment for the Eastern System Upgrade Project,
Docket No. CP16-486-000 (Mar. 31, 2017) (EA).
3
EA at 4.
4
Id. at 179.
5
This Answer addresses comments filed by Delaware Riverkeeper Network, Stephen Metts, Pramilla
Mallick, George Billard, Karen London, Paula Israel, and Sullivan County, NY.
 I.
EXECUTIVE SUMMARY

Millennium owns and operates a natural gas pipeline system in southern New

York that transports natural gas in interstate commerce from an interconnection with

National Fuel Gas Supply Corporations interstate pipeline facilities at Independence,

New York to an interconnection with Algonquin Gas Transmission, L.L.C.s

(Algonquin) facilities at Ramapo, New York. The ESU Project includes approximately

7.8 miles of 30-inch and 36-inch diameter pipeline loop in Orange County, New York

(the Huguenot Loop); a new compressor station in Sullivan County, New York;

additional compression at the existing Hancock Compressor Station in Delaware County,

New York; modifications at the Ramapo Meter Station in Rockland County, New York;

additional appurtenant facilities at the Huguenot and Westtown Meter Stations in Orange

County; and an auxiliary interconnection with the 16-inch Valley Lateral at milepost 7.6

of the Project. 6

The ESU Project is designed to provide approximately 223,000 dekatherms

(Dth) per day of additional firm transportation service from Millenniums Corning

Compressor Station to an existing interconnect with Algonquin in Ramapo, New York.

Almost all of the capacity created by the Project, 202,500 Dth per day, is already

subscribed under long-term, firm contracts with local distribution companies (LDCs)

and municipalities delivering gas to their communities (Project Shippers). The ESU

Project also will enable Millennium to maintain current operating pressures at existing

6
Abbreviated Application of Millennium Pipeline Company, L.L.C. for a Certificate of Public
Convenience and Necessity at 1 (July 29, 2016) (Application).
2
delivery points after construction of the Project, continue to meet customer demand on

Millenniums system particularly during summer months, and ensure continued deliveries

to interconnecting pipelines, such as Algonquin.

Commenters, including the Delaware Riverkeeper Network (DRN), present

unfounded assertions that Millenniums Valley Lateral Project and the ESU Project are

connected actions and that the Commission is, therefore, improperly segmenting its

environmental review of the two projects. This is incorrect. The Valley Lateral Project

and the ESU Project are separate projects with distinct purposes. The purpose of the

Valley Lateral Project is to supply the natural gas capacity to a new natural gas-fired

power plant, approved and under construction. The purpose of the ESU Project is to

create new, incremental natural gas transportation capacity to meet the market demand of

the Project Shippers. As demonstrated herein, both projects have substantial independent

utility, and each would go forward in the absence of the other.

DRN and other commenters argue that Millennium is overbuilding the ESU

Project and planning a future expansion using the ESU Project facilities that Millennium

has not told the Commission about. This is patently false. Millennium designed the

Project to meet the specific market demand for new natural gas transportation capacity, as

required by the Project Shippers, as well as to provide continued system reliability

following the construction of the Project. Millennium has no commitment or plans to

utilize any of the Project facilities for a future expansion project. The fact that the

Huguenot Loop is comprised of 36-inch pipeline, rather than 30-inch pipeline, is not

evidence of overbuilding. Rather, the 36-inch Huguenot Loop is required to meet the

Project demand. Using smaller diameter pipeline would not create the necessary capacity
3
for the Project without requiring Millennium to either increase the length of the Huguenot

Loop or install additional horsepower to the Project at the Hancock or Highland

Compressor Station, both of which would increase the environmental and landowner

impacts of the Project.

Commenters arguments that the Commissions EA is inadequate are similarly

without merit. The Commission is not required to evaluate the impacts of upstream

natural gas production or downstream natural gas combustion as alleged indirect impacts

of the Project because such impacts are neither casually connected nor reasonably

foreseeable impacts of the Project. The EA properly addressed the potential cumulative

impacts, alternatives, and health impacts of the Project. The Commissions fulsome

environmental review and EA is, therefore, consistent with the requirements of the

National Environmental Policy Act (NEPA).

II.
MOTION TO ANSWER

Although answers to comments are not prohibited under the Commissions Rules

of Practice and Procedure, out of an abundance of caution Millennium requests leave to

answer comments filed on the EA. 7 This Answer will help to ensure a complete record

upon which the Commission can base its decision on the merits of Millenniums

Application and will aid the Commission in its disposition of issues raised in this

proceeding. 8 For these reasons, Millennium submits this Answer and respectfully

7
18 C.F.R. 385.213(a).
8
See Millennium Pipeline Co., 157 FERC 61,096, at P 8, n.11 (2016) (allowing answer and noting that
Rule 213(a)(3) permits answers to any pleadings not specifically prohibited under paragraph (a)(2).), stay
denied, 158 FERC 61,086 (2017). See also Columbia Gas Transmission, LLC, 157 FERC 61,247, at
P 5, n.4 (2016) (allowing answer to comments because it would not delay the proceeding, [and it would]
4
requests that the Commission permit Millennium to respond to certain comments filed

with respect to the EA to aid the Commission in its decision-making process.

III.
ANSWER

A. The Commission Is Not Improperly Segmenting Its Review of Millenniums

Projects.

DRN argues that the Commission violated NEPA by purportedly segmenting

the environmental review of the ESU Project and Valley Lateral Project. 9 DRN

speculates that the projects appear to be part of a unified whole with functional

interdependence, common timing, and geographic proximity. 10 This speculation is

incorrect. Each project has a distinct and independent purpose; each project can stand on

its own without the other project; and in the absence of the other project each project

would go forward in a form substantially the same as currently conceived. DRNs

unfounded assertions should be flatly rejected by the Commission.

The proximity of the two projects is immaterial. It is axiomatic that the only way

for natural gas to be transported over long distances is through the nations vital and

dynamic natural gas pipeline network. 11 The Commission recognizes that this network is

both vast and tightly interconnected such that any expansionby definitionbuilds upon

assist[] the Commission in understanding the issues raised, and ensure a complete record); Algonquin Gas
Transmission, LLC, 157 FERC 61,164, at P 10 (2016) (allowing answer to comments that provides
information that [would] assist [the Commission] in [its] decision-making process).
9
The Valley Lateral Project was approved by the Commission on November 9, 2016. Millennium Pipeline
Co., 157 FERC 61,096.
10
Comments of Delaware Riverkeeper Network at 6 (May 1, 2017) (DRN Comments) (emphasis added).
11
Thatcher v. Tenn. Gas Transmission Co., 180 F.2d 644, 647 (5th Cir. 1950) (vast reserves of natural gas
are located in States of our nation distant from other States which have no similar supply, but do have a
vital need of the product; and that the only way this natural gas can be feasibly transported from one State
to another is by means of a pipe line.).
5
previous pipeline expansions. 12 Although there may be instances where one Commission

action is dependent upon another for action and it is appropriate for the Commission to

find that certain pipeline projects must be combined into a single environmental review, 13

that is not the case here.

The ESU Project and the Valley Lateral Project are not connected actions under

NEPA. NEPA regulations require that the scope of the Commissions environmental

review include all (1) connected actions, (2) cumulative actions, and (3) similar

actions. 14 Actions are connected if they: (i) [a]utomatically trigger other actions which

may require environmental impact statements[;] (ii) [c]annot or will not proceed unless

other actions are taken previously or simultaneously[;] (iii) [a]re interdependent parts of a

larger action and depend on the larger action for their justification. 15 The Commission

applies the so-called independent utility test in evaluating whether there are connected

actions between proposed projects. 16 Projects, like the Valley Lateral and ESU Projects,

that have independent utility are not considered connected actions, and therefore

need not be considered in the same environmental review document on that basis. 17 The

12
Transcon. Gas Pipe Line Co., 155 FERC 61,016, at P 68 (Every natural gas pipeline project before the
Commission can be found to be interconnected with another by virtue of the fact that the entire interstate
pipeline grid is a highly integrated transportation network.), stay denied, 155 FERC 61,246), rehg
denied, 157 FERC 61,095 (2016).
13
See e.g., Elba Liquefaction Co., 155 FERC 61,219, at P 18 n.12, rehg denied, 157 FERC 61,195
(2016).
14
40 C.F.R. 1508.25(a).
15
Id. 1508.25(a)(1).
16
See Tenn. Gas Pipeline Co., 158 FERC 61,110, at P 75 (2017); Algonquin Gas Transmission, LLC, 158
FERC 61,061, at P 79 (2017); Millennium Pipeline Co, 157 FERC 61,096, at P 58 (2016).
17
Utahns for Better Transp. v. U.S. Dept of Transp., 305 F.3d 1152, 1182-83 (10th Cir. 2002) (citing
Custer Cnty. Action Assn v. Garvey, 256 F.3d 1024, 1037 (10th Cir. 2001) (Put simply, projects that have
independent utility are not connected actions under 40 C.F.R. 1508.25(a)(1)(iii))), modified by, 319
F.3d 1207 (10th Cir. 2003); see also Great Basin Mine Watch v. Hankins, 456 F.3d 955, 969 (9th Cir.
2006) (When one of the projects might reasonably have been completed without the existence of the other,
6
key to determining whether multiple projects have independent utility is whether one

project will serve a significant purpose even if a second related project is not built.18

The Valley Lateral and ESU Projects have independent utility.

DRN suggests that the ESU Project and the Valley Lateral Project are connected

actions, asserting that Millennium has improperly split the overall expansion of its

natural gas pipeline system into smaller components. 19 Rather, Millennium planned the

Valley Lateral Project and the ESU Project as two separate and distinct projects to meet

the express customer need for new natural gas pipeline capacity. The Commissions

separate review of these projects is entirely consistent with NEPA.

As stated in the order approving the Valley Lateral Project, [t]he purpose of

[that] project is to provide 127,200 Dth per day of firm natural gas transportation service

via the lateral to the Valley Energy Center, a new natural gas combined-cycle electric

power generator currently under construction in the Town of Wawayanda, New York, as

contracted by the developer of the Valley Energy Center, CPV Valley, L.L.C. (CPV).20

The purpose of the ESU Project is to provide the necessary pipeline infrastructure to

provide [LDCs] and a municipality with firm transportation service to meet their express

market demand for natural gas. 21 Millennium determined that the best way to achieve

the Project purpose was to construct and operate the Huguenot Loop, the new Highland

Compressor Station, and new compression at the existing Hancock Compressor Station.

the two projects have independent utility and are not connected for NEPAs purposes.) (citing Native
Ecosystems Council v. Dombeck, 304 F.3d 886, 894 (9th Cir. 2002)).
18
Coal. on Sensible Transp, Inc. v. Dole, 826 F.2d 60, 69 (D.C. Cir. 1987).
19
DRN Comments at 7.
20
Millennium Pipeline Co., L.L.C., 157 FERC 61,096, at PP 113, 4.
21
Application at 17.
7
The purpose for each project and the projects themselves are independent from each

other. Each project is supported by separate contracts from different shippers. The

shipper on the Valley Lateral Project is CPV, the owner and operator of the Valley

Energy Center. The ESU Project shippers are eight LDCs and a municipality that

requested the natural gas pipeline expansion capacity to serve their customers. In

addition, each project would go forward in the absence of the other project. Millennium

will build the Valley Lateral Project, whether or not the ESU Project is ultimately

approved and constructed; Millennium will build the ESU Project, even if the Valley

Lateral Project is not ultimately constructed. Furthermore, the scope of each project

would be essentially the same even in the absence of the other project. 22 Finally, when

planned the original timing of the two projects were very different. Millenniums

original in-service date was April 2017 for the Valley Lateral Project; the ESU Project

has a targeted in-service date of September 2018. Therefore, each project will serve a

significant purpose even if a second related project is not built 23 and the projects have

independent utility.

DRN ignores that the rule against improper segmentation of projects is meant to

prevent an agency from avoiding a finding of significance by breaking [a single project]

down into small component parts. 24 In this way, the Commission may not segment its

review of a single project in order to allow it to be analyzed separately so as to conceal

22
Obviously, if the Valley Lateral Project is not constructed, Millennium would not build an auxiliary
interconnect to the 16-inch-diameter Valley Lateral as part of the ESU Project, but that would be a minor
change that would not otherwise affect the proposed scope of the ESU Project.
23
Coal. on Sensible Transp., Inc. v. Dole, 826 F.2d at 69.
24
40 C.F.R. 1508.27(b)(7).
8
the environmental significance of the project as a whole. 25 The purpose of this rule

against segmentation is to prevent agencies from dividing one project into multiple

individual actions each of which individually has an insignificant environmental impact,

but which collectively have a substantial impact. 26 With this project, rather than trying

to hide the impacts of the two projects, the Commissions EA actually fully disclosed the

impacts of the both projects.

The Commission performed an extensive review of the cumulative impacts of the

ESU Project and the Valley Lateral Project in the EA. The EA identifies the Valley

Lateral Project as a project with the potential to have cumulative impacts with the ESU

Project. 27 The EA then analyzed the potential cumulative impacts the two projects would

have on different environmental resources. Specifically, and as described in greater

length below, the EA reviews the cumulative impacts of the two projects on geology and

soils, water resources and wetland, vegetation and wildlife, land use and visual resources,

and air quality. In each case, the EA concludes, that the ESU Project, when considered in

conjunction with the Valley Lateral Project and other projects, would not result in

cumulatively significant impacts. 28 The Commission addressed, rather than concealed,

any cumulative impacts from the two projects.

DRN cites Delaware Riverkeeper Network v. FERC to support its position, but

that case is clearly distinguishable from the facts in this case. In that case, the court

described the facilities at issue as consisting of four connected, contemporaneous,

25
Coal. on Sensible Transp., Inc., v. Dole, 826 F.2d at 68.
26
Natural Res. Def. Council v. Hodel, 865 F.2d 288, 297-98 (D.C. Cir. 1988) (quoting Thomas v. Peterson,
753 F.2d 754, 758 (9th Cir. 1985)).
27
EA at 153.
28
Id. at 166.
9
closely related and interdependent projects 29 with a clear physical, functional, and

temporal nexus between the projects. 30 As noted by DRN, the court explained that

[t]he new pipeline is linear and physically interdependent; gas enters the system at one

end, and passes through each of the new pipe sections and improved compressor stations

on its way to extraction points beyond the [portion of the pipelines system]. The

upgrade projects were completed in the same general time frame, and FERC was aware

of the interconnectedness of the projects as it conducted its environmental review of the

[project under review]. 31 The court also noted that [t]he pipeline is linear and

physically interdependent, and it contains no physical offshoots. 32 The court held that

the Commission improperly segmented four pipeline projects where the end result [was]

a single pipeline running from the beginning to the end of [a portion of a pipeline

system]. 33 Therefore, the court concluded, the project under review was indisputably

related and significantly connected to the other three pipeline upgrade projects. 34 The

facts in this case are entirely distinguishable from Delaware Riverkeeper Network.

Here, the Valley Lateral and ESU Projects are physically and functionally

independent. The Valley Lateral will be an offshoot from the Millennium mainline

system and will not routinely receive gas from the new ESU Project facilities. Although

there will be an interconnection between the Valley Lateral and the ESU Project, that

29
De. Riverkeeper Network v. FERC, 753 F.3d 1304, 1308 (D.C. Cir. 2014) (De. Riverkeeper); see also,
Minisink Residents for Envtl. Pres. & Safety v. FERC, 762 F.3d 97, 113 n.11 (D.C. Cir. 2014) (discussing
application of De. Riverkeeper).
30
De. Riverkeeper, 753 F.3d at 1308
31
Id., 753 F.3d at 1308-9; DRN Comments at 8.
32
De. Riverkeeper, 753 F.3d at 1316.
33
Id. at 1314.
34
Id.
10
interconnection is only for reliability and redundancy, in the event that that the lateral

cannot be supplied off the existing 24-inch diameter pipeline. The interconnection

between the two projects is a prudent way to increase reliability and facilitate

maintenance, but not a core component of either project. The mere physical proximity of

the two projects does not demonstrate that the projects are connected. Millennium had no

control over the location and siting of CPVs Valley Energy Center. The Valley Lateral

Project was designed to tie into Millenniums system at the closest location to the Valley

Energy Center, which is near the end of the existing 24-inch pipeline segment. The ESU

Project facilities are located in this area because the existing 24-inch segment under the

Neversink River is the only remaining stretch of 24-inch, lower MAOP mainline pipeline

on Millenniums system between Corning and Ramapo. To facilitate the capacity

required for the Project shippers, the Huguenot Loop proposed as part of this Project is

intended, in part, to relieve what would otherwise be a bottleneck from the existing 7.2

miles of 24-inch pipeline between the Huguenot and Westtown Meter Station. This

factual situation is distinct from the facts in Delaware Riverkeeper Network, where the

court found the segmented projects were a single pipeline running from the beginning to

the end. Therefore, the Valley Lateral Project and the ESU Project are not connected

actions and the Commission cannot be said to be improperly segmenting its review of

these projects.

B. Millennium Designed the Project to Meet the Independent Needs of Each

Projects Shippers.

The ESU Project is not overbuilt, as baselessly asserted by DRN. DRN simply

speculates without support that certain design features of the ESU Project indicate that

11
Millennium plans further expansion. 35 However, DRNs assertions, based on a report

prepared by Accufacts, Inc. (Accufacts Memo), that the proposed pipeline diameter or

operating pressures are not appropriately scaled for the Project, are based on unfounded

conjecture. Similarly, the argument that Millenniums existing 24-inch, 7.2-mile pipeline

segment between the Huguenot and Westtown meter stations (Huguenot-to-Westtown

segment) 36 is destined for a different service is baseless speculation. 37 Millennium

designed the ESU Project to construct and operate the pipeline infrastructure necessary to

deliver the required volumes to Ramapo at the appropriate pressure under design

conditions to provide the Project Shippers with the firm transportation service to meet

their express market demand for natural gas. Millennium specifically designed each

project to meet the respective needs of each projects shippers. Millennium has no

current commitments or plans to further expand its system that would utilize any of the

ESU Project facilities or in the vicinity of the ESU Project. Therefore, there is no basis to

conclude that the Commission would be improperly segmenting its review of the ESU

Project from other alleged future projects.

1. The Proposed Pipeline Diameter and Operating Pressure Are

Appropriate for the Projects Design.

DRN argues that neither the proposed pipeline diameter nor the operating

pressure is necessary to support the ESU Project, which purportedly indicates that

Millennium is planning further expansions. 38 DRN is simply incorrect, as both the

35
DRN Comments at 12, 13.
36
In its comments, DRN refers to the existing 7.2-mile section of the Millennium mainline pipeline
between the Huguenot and Westtown meter stations as the Neversink segment.
37
DRN Comments at 9 (quoting Accufacts Memo (attached to DRN Comments)).
38
Id. at 12.
12
proposed pipeline diameter and the operating pressure are appropriate to serve the

purpose of the Project.

The primary purpose of the ESU Project is to provide the necessary pipeline

infrastructure to provide the Project customers, LDCs and a municipality, with firm

transportation service to meet their demand for natural gas. 39 Specifically, the ESU

Project would allow Millennium to transport approximately 223,000 Dth per day of

natural gas from its Corning Compressor Station to an existing interconnect with

Algonquin to serve these customers. 40 The Project is also designed to provide continued

system reliability following the construction of the Project by maintaining current

operating pressures at intermediate delivery points, continuing to meet customer demand

on Millenniums system particularly during summer months, and ensuring deliveries to

interconnecting pipelines. 41 Both the proposed pipeline diameter and the MAOP serve

these purposes.

With respect to diameter, Millennium proposes to construct approximately 0.1

mile of new 30-inch and 7.7 miles of new 36-inch diameter pipeline looping along its

existing right-of-way in Orange County, New York, also called the Huguenot Loop.42

According to DRN, 36-inch diameter pipeline is larger than needed and Millennium

has not adequately justified their proposing a 36-inch diameter pipeline for the Huguenot

39
Application at 17; EA at 2.
40
Application at 6; EA at 2.
41
Application at 6-7.
42
EA at 10.
13
Loop. 43 DRN ignores the fact that a 30-inch pipeline would not create enough capacity

to meet the Project purpose.

DRNs conclusion that a 30-inch pipeline is sufficient for the Huguenot Loop is

simply not correct. Hydraulic pipeline modelling clearly shows that a 30-inch pipeline

will not meet the project objective of delivering 223,000 Dth per day to Algonquin,

whereas a 36-inch diameter line will suffice. If Millennium installed a 30-inch pipeline

rather than the proposed 36-inch pipeline, either additional looping or compression would

need to be included in the Project in order for Millennium to meet the Project Shippers

express market demand. The proposed Project consisting of the 36-inch Huguenot Loop,

in combination with the horsepower additions at the compressor stations, provides the

optimal mix to maintain design pressures and deliver the increased flows during peak

conditions, which include temporary weather-related events.

Regarding operating pressure, the design pressure for the proposed loop is 1,350

psig even though the current system MAOP is 1,200 psig. The design pressure exceeds

regulatory design requirements for the MAOP and adds a margin of reliability and safety

exceeding what Department of Transportation regulations require. 44 As noted above,

Millennium has no current commitments or plans to use the higher operating pressure for

any expansion.

DRN also asserts, through the Accufacts Memo, that the delivery pressure of 750

psig to Algonquins system needs to be independently justified, and that without such

justification, it appears as though the current proposal is anticipating additional

43
DRN Comments at 3-4 (quoting Accufacts Memo).
44
49 C.F.R. 192.619.
14
upgrades. 45 This assertion is unfounded. The Projects proposed delivery pressure of

750 psig is fully justified by the operational necessities of Millenniums interconnection

with Algonquin. Algonquin has recently increased the MAOP of one of its two pipelines

at the interconnection with Millennium at Ramapo to 750 psig, and the other line is in the

process of being upgraded to an even higher MAOP. To ensure that Millennium can

continue to make reliable deliveries into Algonquin, Millennium has designed the ESU

Project so that delivery pressures will meet a minimum delivery pressure of 750 psig.

Therefore, Millennium properly designed the ESU Projects pipeline diameter and

operating pressure.

2. The Huguenot-to-Westtown Segment Will Continue to Function as an

Important Part of Millenniums System.

DRN and the Accufacts Memo also allege without support that Millenniums

approximately 7.2-mile Huguenot-to-Westtown of 24-inch diameter, 920 psig MAOP

pipeline is out of character with the design of the rest of the newer Millennium

transmission pipeline and is of little value to the mainline Millennium Pipeline system

except to serve as a delivery supply line to customers on that segment, essentially the

proposed CPV power plant. 46 From this conjecture, DRN concludes incorrectly that the

Huguenot-to-Westtown segments purpose must be for a different service, such as to

serve as a much lower gas flow delivery supply gas line to the proposed CPV power

plant. 47 In fact, the 24-inch Huguenot-to-Westtown segment will remain an essential

part of the system after the Valley Lateral and ESU Projects are complete.

45
Accufacts Memo at 3.
46
Id. at 4.
47
Id.
15
 The Huguenot-to-Westtown segment was originally part of Columbia Gas

Transmission, LLCs system before it was abandoned and certificated as part of

Millenniums system. 48 The Huguenot Loop is intended, in part, to ease what would

otherwise become a bottleneck on the system due to the 24-inch pipeline segment. DRN

is correct that once the Huguenot Loop goes into service, the existing Huguenot-to-

Westtown segment will not normally be operated in tandem with the new 36-inch line.

The Huguenot-to-Westtown segment will continue to serve current delivery points along

its path, and provide a critical reliability function during maintenance and emergencies.

Contrary to the speculations of the DRN, Millennium has no commitments or

plans for future expansion or abandonment of facilities associated with the ESU Project,

at this time. If additional demand for natural gas requires expansion in the future,

Millennium will seek the appropriate authorization from the Commission and other

applicable federal, state, and local agencies at that time. The Commission is simply not

required to include in its environmental review a potential or future project concept that is

so speculative, like the future project alleged by DRN, that it is based on generalized

assumptions rather than reasonably specific information that will not meaningfully

assist the Commission in its decision making. 49

C. The Commission Adequately Assessed Cumulative Impacts of the ESU

Project and the Valley Lateral Project.

DRN also alleges that the Commission violated NEPA by failing to provide a

meaningful analysis of the cumulative impacts of the interdependent and interconnected

48
Millennium Pipeline Co., 100 FERC 61,277 (2002).
49
Natl Fuel Gas Supply Corp., 158 FERC 61,145, at P 163 (2017).
16
ESU and Valley Lateral Projects. 50 However, the Commission not only considered

potential cumulative impacts associated with the ESU and Valley Lateral Projects, but

also identified 14 other energy projects and one transportation infrastructure project

within the ESU Projects region of influence. 51 The Commission nevertheless concluded

that although the Project could contribute to cumulative impacts, Millennium would

minimize adverse Project impacts by implementing mitigation measures and by

collocat[ing] the Huguenot Loop within its existing right-of-way. 52 The Commissions

analysis was thus fully consistent with its NEPA responsibilities and its obligation to take

a hard look at the environmental impacts of its actions. 53

The Council on Environmental Quality (CEQ) defines a cumulative impact as

the impact on the environment which results from the incremental impact of the

[proposed] action when added to other past, present, and reasonably foreseeable future

actions. 54 The Commissions cumulative impact analysis generally follows the

methodology set forth in relevant guidance from CEQ and EPA. 55 Consistent with such

guidance, the Commissions analysis identified impacts on environmental resources

from other projects that would directly or indirectly result in similar effects as the

Project. 56 For each environmental resource potentially affected by the Project, the

50
DRN Comments at 16.
51
EA at 152-154, Table B-26, Existing of Proposed Projects with Potential Cumulative Impacts in the
Region of Influence.
52
EA at 156.
53
Mo. Coal. for the Envt v. FERC, 544 F.3d 955, 958 (8th Cir. 2008) (quoting Mayo Found. v. Surface
Transp. Bd., 472 F.3d 545, 549 (8th Cir. 2006)); see also Balt. Gas & Elec. Co. v. Nat. Res. Def. Council,
Inc., 462 U.S. 87, 97 (1983).
54
40 C.F.R. 1508.7; EA at 151.
55
EA at 151.
56
Id.
17
Commission identified a specific geographic scope of analysis. 57 The analysis then

considered past, present, or reasonably foreseeable actions expected to affect similar

resources during similar timeframes with the Project. 58

With respect to the Valley Lateral Project, the Commission specifically

considered cumulative impacts to geology and soils, water resources and wetlands,

vegetation and wildlife, land use and visual resources, as well as air quality. Regarding

geology and soils, the Commission noted that [b]ecause direct effects of geologic

hazards would be highly localized and limited primarily to the period of construction,

cumulative impacts from geologic hazard impacts would only occur if other projects are

constructed at the same time and place as the proposed facilities. 59 The Commission

observed that the geologic setting of the Project poses minimal geologic hazards, and

applicants for the other FERC permitted projects [including the Valley Lateral] would

employ best management practices to limit effects on soils. 60 The EA, therefore,

reasonably concluded that cumulative impacts would be minor.

DRN asserts that the EA contains little to no analysis of the impact of the

construction and operation of each of the projects on the same sub-watersheds and

tributary basins. 61 However, the EA defines the geographic scope for assessing

cumulative impacts on water resources and wetlands as including each of the seven

HUC-12 subwatershed crossed by the Project. 62 The EA recognizes that several other

57
Id. at 152.
58
Id. at 151.
59
Id. at 156.
60
Id.
61
DRN Comments at 18.
62
EA at 157.
18
projects, including the Valley Lateral Project, are within the same subwatersheds as those

crossed by the ESU Project, and that the ESU Project, when considered with other

projects in the vicinity, would therefore result in cumulative impacts on water resources

and wetlands. 63 However, impacts to surface waters, including sedimentation from

construction, would be temporary. Additionally, although three wetlands would be

affected by both the ESU and Valley Lateral Projects, these wetlands would be restored

such that no permanent impacts would occur. 64 Thus, the EA properly concludes that

because both projects would be required to comply with mitigation requirements and

other conditions in the New York State Clean Water Act Section 401 certification and the

Nationwide Permit 12 as issued by the U.S. Army Corps of Engineers, and because

incremental impacts would be temporary and minor, the cumulative impacts would not

be significant. 65

With respect to vegetation and wildlife, including threatened and endangered

species, the EA specifically considers the combined total acreage impact of the ESU and

Valley Lateral Projects. 66 The EA also observes that although cumulative impacts are

additive, [s]imilar habitats . . . adjacent to and near construction activities . . . are

expected to be sufficient to support wildlife displaced during construction, and that

Millennium would minimize impacts on vegetation and wildlife habitat by collocating

the Project within existing right-of-way where practicable and by implementing measures

63
Id.
64
Id.
65
Id.
66
Id. at 158 ([T]ogether, the Project and the Valley Lateral Project would affect a total of about 249.5
acres of vegetation during construction and 91.3 acres during operation.).
19
in its [Environmental Construction Standards]. 67 Further, the Endangered Species Act

consultation process would ensure that impacts to threatened and endangered species are

minimized.

Regarding land use and visual resources, the EA identified projects within one

mile that may contribute to cumulative impacts, including the Valley Lateral Project. 68

Both the ESU Project and the Valley Lateral Project would result in some permanent

impacts, including conversion of open, agricultural, and forested land to maintain rights-

of-way and provide access for aboveground facilities and access roads. However, most

of the land use impacts associated with these projects would be temporary and most land

would revert to its prior uses following construction. 69 Visually, both the ESU and

Valley Lateral Projects will have some impact in the geographic scope of the Project, yet

the incremental impact to visual resources would be relatively minor given the majority

of the facilities would be buried (i.e. pipeline) or adjacent to existing facilities in

industrial settings. 70 Further, most disturbed areas would be restored following

construction, which would limit and minimize permanent visual impacts.

In addition to asserting that the EA does not adequately analyze the cumulative

impacts of the Projects, DRN specifically alleges that the EA excludes the construction

and operation of the related gas power plant from its environmental review. 71 However,

the EA specifically includes the CPV Valley Energy Center in its analysis of cumulative

67
Id.
68
Id. at 159.
69
Id.
70
Id. at 160.
71
DRN Comments at 18.
20
impacts on air quality, including a summary of estimated construction emissions. 72 The

EA evaluated cumulative impacts on air quality to due construction based on projects

occurring within 0.25 mile of the ESU Project, as construction emissions are highly

localized. 73 For cumulative impacts due to operation, the EA identified projects within

31 miles of the ESU Project. Both analyses include the Valley Lateral Project. The EA

notes that the cumulative construction emissions from the CPV Valley Energy Center,

Valley Lateral Project, and concurrent construction of the [ESU] Project . . . would be

below the applicable general conformity thresholds. 74 Concurrent construction may

occur in 2017, with the Valley Lateral and CPV Energy Center anticipated to be

completed in 2017. Thus, [a]ny potential cumulative impacts from construction would

be limited to the duration of the construction period, and would be temporary and

minor. 75 However, both Projects would be required to meet all applicable federal and

state air quality standards that are designed to avoid significant impacts on air quality.76

The EA thus reasonably conclude[s] that the Project would not result in significant

cumulative impacts on regional air quality. 77

D. Impacts From Upstream Natural Gas Production Are Neither Causally

Connected to the ESU Project nor Reasonably Foreseeable.

DRN asserts that the EA is deficient because it lacks an analysis of impacts to

the environment[ ] that will result from induced new natural gas drilling development

72
EA at 162, Table B-27.
73
Id. at 160-61.
74
Id. at 161.
75
Id.
76
Id. at 162.
77
Id. (noting that [d]uring operation, emissions from the Valley Lateral Project and [ESU] Project in
Orange County, New York would be limited to fugitive emissions of CO2e and VOCs.).
21
caused by the Project. 78 However, it is the individual states, and not the Commission,

that regulate activities associated with the exploration and production of natural gas. 79

Further, a review of upstream natural gas development is not required under NEPA

because the impacts of such drilling are not causally connected to the ESU Project or

reasonably foreseeable. The EA thus properly excluded impacts from upstream natural

gas production as outside the scope of issues to be considered in the environmental

review.

As the Commission recently explained, the environmental effects resulting from

natural gas production are generally neither caused by a proposed pipeline (or other

natural gas infrastructure) project nor are they reasonably foreseeable consequences of

our approval of an infrastructure project, as contemplated by the CEQ regulations. 80

The EA appropriately noted that upstream and downstream emissions are not causally

connected to the Project, 81 which is consistent with Commission and court precedent.

Federal appellate courts have consistently upheld the Commissions orders

declining to consider so-called induced shale gas production when conducting its

78
DRN Comments at 51. DRN also argues in passing that the EA includes no analysis of impacts from
the installation and operation of a new gas distribution system that will be caused by the Project, without
providing any details or facts pertaining to such distribution system. Id. Nevertheless, DRN is incorrect.
Despite recognizing that downstream emissions are not casually connected to the Project, the EA includes
an analysis of estimated downstream GHG emissions using EPA-developed methodology. See EA at 165-
66.
79
See, e.g., Constitution Pipeline Co., 154 FERC 61,046, at P 137 (2016) (The Commission does not
have jurisdiction over natural gas production.); Dominion Transmission, Inc., 156 FERC 61,140, at P 44
(2016) (same), rehg denied, 158 FERC 61,029 (2017); Tenn. Gas Pipeline Co., 156 FERC 61,156, at
P 83 (2016) (same).
80
Dominion Transmission, Inc., 153 FERC 61,203, at P 24 (2015) (citation omitted), rehg denied, 155
FERC 61,234 (2016).
81
EA at 165.
22
NEPA review. 82 The Commission has found that, rather than pipeline projects causing

natural gas drilling, the opposite causal relationship is more likely, i.e., once production

begins in an area, shippers or end users will support the development of infrastructure to

move the produced gas. 83

The Commission has further explained that the impacts from the development of

upstream natural gas resources are not reasonably foreseeable. 84 In Central New York

Oil and Gas Co., the Commission found that:

To require the Commission to guess whether or when permitted wells may

be drilled, when additional wells may be permitted, and where additional
infrastructure such as compressor and gas processing stations, gathering
lines, etc. will be placed, would at best amount to speculation as to future
events and would be of little use as input in deciding whether to approve
the [project]. 85

On review, the United States Court of Appeals for the Second Circuit upheld the

Commissions determination regarding induced natural gas production, holding that

FERC reasonably concluded that the impacts of that development are not sufficiently

causally-related to the project to warrant a more in-depth analysis. 86 Consistent with

82
See e.g., Cent. N.Y. Oil & Gas Co., LLC, 137 FERC 61,121 (2011), order on rehg, 138 FERC 61,104
(2012), upheld by the Second Circuit in Coal. for Responsible Growth & Res. Conservation v. FERC, 485
Fed. Appx. 472, 474 (2nd Cir. 2012) (Central N.Y. Oil and Gas Co.); Sierra Club v. FERC, 827 F.3d 59,
69 (D.C. Cir. 2016).
83
Nw. Pipeline, LLC, 157 FERC 61,093, at P 32 (2016) (noting that [t]o date, the Commission has not
been presented with a proposed project that the record shows will cause the predictable development of gas
reserves, and that the opposite causal relationship is more likely); Dominion Transmission, Inc., 153
FERC 61,203, at P 24.
84
Central N.Y. Oil and Gas Co., 137 FERC 61,121, at P 95.
85
Id. at P 100. See also Nw. Pipeline, 157 FERC 61,093, at P 33 (observing that the Commission
generally does not have sufficient information to determine the origin of the gas that will be
transported[,] and that a meaningful analysis of production impacts would require more detailed
information[.] . . . Accordingly, the impacts of natural gas production are not reasonably foreseeable
because they are so nebulous that [the Commission] cannot forecast their likely effects.) (citing Habitat
Educ. Ctr. v. U.S. Forest Serv., 609 F.3d 897, 902 (7th Cir. 2010) (impacts that cannot be described with
sufficient specificity for meaningful consideration need not be included in environmental analysis)).
86
Coal. for Responsible Growth & Res. Conservation, 485 Fed. Appx. at 474.
23
this opinion and the Commissions precedent, the Commission is not required to look at

the impacts of upstream natural gas drilling in its review of the ESU Project. The EA

properly declined to consider impacts from upstream natural gas production.

E. The EA Adequately Addresses Greenhouse Gas Emissions and Climate

Change.

DRN asserts that the EA fails to undertake a meaningful analysis of greenhouse

gas (GHG) emissions and the effects of such emissions on climate change. 87

However, the EA adequately analyzes the GHG emissions attributable to the construction

and operation of the Project and includes an analysis of these emissions and their sources.

Consistent with Commission precedent, the EA also addresses cumulative impacts of

GHG emissions from the Project and concludes that GHG emissions have been

sufficiently minimized. 88

The EA estimates the GHG emissions associated with construction and operation

of the Project, evaluates the potential impacts of such emissions, and presents the

mitigation proposed by Millennium to minimize impacts. No further analysis is

necessary to inform the Commissions decision making under NEPA. 89 The EA

recognizes that construction of the Project would result in some intermittent and short-

term increases in emissions, including GHG emissions. 90 Construction-related emissions,

however, would return to current levels once construction activities are completed, and

thus would be temporary in nature and not cause, or significantly contribute to, a

87
DRN Comments at 60.
88
EA at 166.
89
See Dominion Transmission, Inc., 158 FERC 61,029, at P 5 (finding that the Commissions
consideration of greenhouse gas emissions was sufficient under NEPA).
90
EA at 127. See id at 128-29, Table B-16, Summary of Estimated Emissions from Construction of the
Eastern System Upgrade Project (summarizing emissions by facility and year of construction).
24
violation of any applicable ambient air quality standard. 91 Operational GHG emissions

will mainly be attributable to emissions at the Highland and Hancock Compressor

Stations and the Ramapo Meter Station, as well as fugitive and vented emissions [(i.e.

blowdowns)] at the compressor stations and pipeline facilities. 92 The EA notes that

Millennium has committed to implement mitigation measures to reduce construction and

operational emissions, including those to reduce fugitive, venting, and combustion

emissions. 93 The EA concludes that the estimated emissions from construction and

operation of the ESU Project would continue to comply with ambient air quality

standards, which are designed to protect human health, including children, the elderly and

sensitive populations. 94

With respect to cumulative impacts, the EA, to the extent practicable . . .

presents the direct and indirect GHG emissions associated with construction and

operation of the [ESU Project] and the potential impacts of GHG emissions in relation to

climate change. 95 As discussed above, although upstream and downstream emissions

are not causally connected to the Project, the EA estimates GHG emissions from end-use

combustion of the natural gas to be transported by the Project using EPA-developed

methodology. 96 However, such methodology assumes the maximum design capacity is

transported 365 days per year, which may represent a significant overestimation of

91
EA at 130.
92
Id.
93
Id. at 132.
94
Id.
95
Id. at 165.
96
Id. at 165-66 (noting that the Project can deliver up to 223,000 D/th, which can produce 4.3 million
metric tons of CO2 per year from end-use combustion).
25
emissions as it is unlikely that this total amount of GHG emissions would occur.97

The EA also notes that burning natural gas emits less CO2 compared to other fuel

sources, such as oil or coal. 98 Importantly, with respect to climate change, alleged

impacts from the Project must be caused by the proposed project and be reasonably

foreseeable to be part of a NEPA analysis. 99 Because there is no scientifically-accepted

methodology available to correlate specific amounts of GHG emissions to discrete

physical effects of the global environment, the EA is unable to determine the precise

contribution of the Project to cumulative impacts on climate change. 100 Therefore,

considering Millenniums commitments, the EA reasonably concluded that GHG

emissions from the construction and operation of the Project would be sufficiently

minimized.

A number of commenters argue that the EAs estimate of two full station

blowdowns a year to estimate emissions from the compressor stations is unreasonable. 101

The commenters argue the Commission cannot rely on two blowdowns a year because

based on operational experience over the last several years at the Minisink and Hancock

97
Id. at 166.
98
Id.
99
40 C.F.R. 1508.8(a), (b) (Indirect effects . . . are caused by the action and are later in time or farther
removed in distance, but are still reasonably foreseeable). See also Columbia Gas Transmission, LLC,
158 FERC 61,046, at P 104 (2017) (noting that reasonably foreseeable indirect effects are those that are
sufficiently likely to occur [such that] a person of ordinary prudence would take it into account in reaching
a decision (quoting Sierra Club v. Marsh, 976 F.2d 763, 767 (1st Cir. 1992)).
100
See Columbia Gas Transmission, LLC, 158 FERC 61,046, at P 104 (An agency is not required to
engage in speculative analysis or to do the impractical, if not enough information is available to permit
meaningful consideration (quoting N. Plains Res. Council, Inc. v. Surface Transp. Bd., 668 F.3d 1067,
1078 (9th Cir. 2011)).
101
Comments of Stephen Metts, FERC EA Blowdown Discrepancies at 2 (Apr. 25, 2017) (Metts
Blowdown Comments); Comments of Paula Israel at 1 (Apr. 28, 2017).
26
Compressor Stations, blowdowns occur more than twice a year. A deeper analysis of the

comments and the data they rely upon demonstrates the EAs analysis is appropriate.

Commenter Stephen Metts argues that the frequency of blowdown events at the

existing Minisink and Hancock Compressor Stations is higher than two full blowdowns a

year. Mr. Metts cites data in the Environmental Protection Agency (EPA) GHG

Facility Reporting program that in 2015 the Minisink Compressor Station had 8

blowdown events whereas year 2014 featured 46 events from Unit 1; and 51 events

from Unit 2. 102 In addition, Mr. Metts cites data showing that in 2015 the Hancock

Compressor Station had 4 blowdown events directly connected to the station

compressor; 2 emergency events and 29 blowdown events generally and in 2014 there

were 11 blowdown events. 103 Millennium does not dispute these numbers, but notes that

they are not inconsistent with the EAs estimated number of blowdowns. Moreover, a

closer look at the data reveals the reasonableness of the Commissions GHG emissions

estimates.

Although the number of blowdowns reported for Minisink and Hancock

Compressor Stations appear high, those numbers represent compressor unit blowdowns

and not full station blowdowns. This distinction is important because unit blowdowns

consist of the venting of a minimal amount of gas from the suction valve to the discharge

valve of the compressor unit and nothing more. A full station blowdown includes

venting the gas from all the units plus all yard and station piping. The piping contains the

largest volume of gas and, therefore, would account for the larger portion of the vented

102
Metts Blowdown Comments at 3.
103
Id.
27
natural gas. Although there were more unit blowdowns than expected at Minisink and

Hancock in 2014 and 2015, as explained in the EA, Millennium will be installing new

equipment as part of the Project at Hancock and Highland Compressor Stations that will

minimize the need for venting during emergency shutdown (ESD) events and ESD

testing. Millennium plans to install valves on the vent lines to allow for a blocked

vents test which means Millennium will not need to vent any gas when testing the ESD

system. As standards for this modification have just recently been adopted, Millennium

will also be installing this equipment at the Minisink Compressor Station later this year.

These measures will further reduce emissions from the compressor stations.

As the Commission explains in the EA, the annual estimated carbon dioxide

equivalents (CO2e) emissions will be approximately 105,086 CO2e from the Highland

Compressor Station and approximately 173,659 CO2e from the Hancock Compressor

Station. 104 This includes both operational and fugitive emissions from the stations. In

the EA the Commission prepared for the Minisink Compressor Station, the Commission

estimated that the total operational emissions of CO2e from the station would be

approximately 61,751 CO2e a year. 105 And in the EA for the Hancock Compressor

Station the Commission estimated the total operational emissions to be 70,438 CO2e a

year. 106 Based on the actual emissions from both of these stations, these numbers are, in

actuality, conservative over-estimates. The actual GHG emissions reported to EPA for

104
EA at 131, Table B-17.
105
Millennium Pipeline Company, LLC, Environmental Assessment for the Minisink Compressor Project,
at 27, Docket No. CP11-515-000 (Mar. 2012) (Minisink EA). It appears this estimate does not include
vented emissions from blowdowns.
106
Millennium Pipeline Company, LLC, Environmental Assessment for the Hancock Compressor Project,
at 50, Docket No. CP13-14-000 (Mar. 2013).
28
the Minisink Compressor Station was 48,444 CO2e in 2014 and 49,424 CO2e in 2015, 107

both of which are lower than the estimates in FERCs EA. Additionally, the actual

reported GHG emissions for the Hancock Compressor Station was 31,992 CO2e in 2014

and 50,672 CO2e in 2015, 108 also lower than the Commissions estimates in the EA for

that project. Despite a number of unanticipated unit blowdowns for both stations, the

actual emissions are significantly lower than the estimates the Commission made as part

of its environmental review for both projects. Therefore, the actual reported data only

serves to reinforce the reasonableness of the Commissions determination with respect to

the estimated GHG emissions for the ESU Project.

F. The EA Correctly Did Not Include Analysis of the Impractical Wagoner

Alternative.

A number of commenters also suggest that Millennium and the Commission

should have considered the so-called Wagoner alternative that the Commission

considered during the Minisink Compressor Station Project proceeding as an alternative

to the ESU Project. 109 However, the Wagoner alternative is not a viable or reasonable

alternative to the ESU Project and is, therefore, appropriately excluded from

consideration.

NEPA requires the Commission to identify and analyze reasonable alternatives

during its review of a proposed action. 110 NEPA does not define what constitutes a

107
See https://ghgdata.epa.gov/ghgp/service/facilityDetail/2014?id=1011615&ds=E&et=&popup=true.
108
See https://ghgdata.epa.gov/ghgp/service/facilityDetail/2014?id=1011561&ds=E&et=&popup=true.
109
Comments of Stephen Metts, ESU Project EA Failure to consider viable alternative (May 1, 2017);
Comments of Pramilla Mallick (May 1, 2017); Comments of George Billard (May 1, 2017); Comments of
Karen London (May 1, 2017).
110
See 42 U.S.C. 4332(2)(C)(iii) (2012); 40 C.F.R. 1502.1, 1502.14, and 1502.16 (2016). See also
Minisink Residents for Environmental Preservation and Safety v. FERC, 762 F.3d at 102.
29
reasonable alternative; however, CEQ provides that a reasonable range of alternatives

depends on the nature of the proposal and the facts in each case. 111 The Commission is

not required to consider alternatives that are not consistent with the purpose and need of

the proposed project. 112

At the time it was considered an alternative to the Minisink Compressor Project,

the Wagoner alternative consisted of the construction of a 5,100-horsepower compressor

station at a site adjacent to Millenniums existing Wagoner Meter Station facility in

Sparrowbush, New York and the replacement of the 7.2-mile-long Huguenot-to-

Westtown segment beneath the Neversink River. 113 The Minisink EA concluded that,

although the Wagoner Compressor Station site had some advantages over the Minisink

location, when combined with the impacts associated with replacing the Huguenot-to-

Westtown segment, the Wagoner alternative would not provide a significant

environmental advantage over the proposed project. 114 The Commission fully considered

the Wagoner alternative, adopted the findings of the EA, and authorized the Minisink

Compressor Station. 115 This issue was discussed and affirmed by the Court of Appeals

for the District of Columbia Circuit, which found that the Commission amply

considered alternatives to the Minisink Project, devoting especially thorough attention to

the Wagoner Alternative. 116

111
Forty Most Asked Questions Concerning CEQs National Environmental Policy Act Regulations, 46
Fed. Reg. 18,026, 18,027 (1981).
112
See, e.g., Pac. Coast Fedn of Fishermens Assns v. Blank, 693 F.3d 1084, 1100 (9th Cir. 2012).
113
Minisink EA at 2.
114
Id. at 54.
115
Millennium Pipeline Company, L.L.C., 140 FERC 61,045, order on rehg, 141 FERC 61,198 (2012).
116
Minisink Residents for Envtl. Pres. & Safety v. FERC, 762 F.3d at 107 (it seems clear that FERC duly
considered the Wagoner Alternative (and other alternatives), and cogently explained its rationale in finding
the Minisink Project properly approved under the NGA).
30
 In this case, the Wagoner alternative is not an alternative to the ESU Project

because, from a system design and hydraulics standpoint, it would be sited too close to

the existing Minisink Compressor Station and would create operational deficiencies in

Millenniums system. The proposed Highland Compressor Station, on the other hand, is

located in the hydraulically ideal location situated approximately midway between the

Hancock and Minisink Compressor Stations. The location of the Highland Compressor

Station is an efficient location to obtain the most benefit for least amount of new

compression. The Wagoner alternative may have been an alternative to the Minisink

Compressor Station when it was originally proposed, but is not a reasonable Project

alternative to the ESU Project that the Commission is required to evaluate here.

Commission precedent demonstrates a reluctance on the Commissions part to substitute

its own judgment for pipeline companies own business decisions on whether particular

project alternatives would be cost-effective and timely options. 117 The Commission,

therefore, is not required to consider this previously-identified Wagoner alternative since

it is not a reasonable alternative to the Project.

G. The EA Adequately Assessed the Health Impacts of the Project.

A number of commenters suggest the Commission has not properly assessed the

health impacts of the Project on the community. 118 The EA addressed the health impacts

of the compressor stations and concluded, that based on the Commissions own air

modeling, the emissions of criteria pollutants, particularly NOX and CO, would be within

117
Tex. E. Transmission, LP, 146 FERC 61,086, at P 41 (2014).
118
See Comments of Pramilla Malick; Comments of Jessica Irish (May 1, 2017); Comments of Sullivan
County, NY (May 1, 2017).
31
the levels established by EPA to be protective of human health. 119 In addition, the EA

concluded that although small quantities of hazardous air pollutants can form from

combustion or blowdowns, the EA found that the applicable National Emission Standards

for Hazardous Air Pollutants would limit such emissions.120 Finally, the EA noted that

all toxic air pollutants assessed were below New York States annual and short-term

guideline concentrations at both the Highland and Hancock Compressor Stations. 121 The

EA reasonably concluded, therefore, that the health risks from operation of the Project

would not be significant. 122

On February 10, 2017, Millennium filed with the Commission a Human Health

Risk Assessment Report (Health Report) for air emissions associated with the ESU

Project, prepared for Millennium by TRC Environmental Corporation. 123 The Health

Report evaluates the potential human health impacts associated with the proposed

Highland Compressor Station and the upgrade proposed to the existing Hancock

Compressor Station. The Health Report quantifies the potential operational and

blowdown emissions from the compression associated with the Project, models those

emissions under conservative conditions, and estimates the health risk of those modeled

emissions. Based on this process, the report concludes that emissions of hazardous air

pollutants from operations at full capacity and releases of natural gas from venting from

the compressor stations, utilizing conservative assumptions, are below a level of health

119
EA at 132.
120
Id. at 133.
121
Id.
122
Id.
123
Supplemental Information Human Health Risk Assessment Report (Feb. 10, 2017) (Health Report).
32
concern. 124 The Health Report also compares the hazardous air pollutants attributable to

the Highland Compressor Station and the upgrade at the Hancock Compressor Station to

the ambient concentrations of pollutants already in the air, concluding that the Project

emissions would be below what is typically in the ambient air. 125 The Health Report

further supports the conclusion in the EA that health risks from the Project would not be

significant.

H. No Timber Rattlesnake Dens Have Been Identified in the Project Area.

Another commenter argued and presented purported evidence of a potential

timber rattlesnake (a state-listed rare species) den near the Highland Compressor Station

site. 126 However, that information is incorrect. As detailed by Millenniums

herpetologist in correspondence with the New York State Department of Environmental

Conservation, attached hereto as Attachment A, the area identified by the commenter is

not a timber rattlesnake den and does not warrant further consideration by the New York

State Department of Environmental Conservation.

124
Id. at 24.
125
Id. at 21.
126
Comments of Stephen Metts, Public Disclosure of evidence of Potential Timber Rattlesnake Den at 1
(Apr. 28, 2017).
33
 IV.
CONCLUSION

WHEREFORE, for the foregoing reasons, Millennium respectfully requests that

the Commission (1) accept this Answer, (2) reject the Commenters comments, and (3)

issue certificates of public convenience and necessity for the ESU Project by July 31,

2017.

Respectfully submitted,

/s/ Georgia Carter

Georgia Carter
Vice President and General Counsel
George Flugrad
Counsel
Millennium Pipeline Company, L.L.C.
109 North Post Oak Lane, Suite 210
Houston, TX 77024
carter@millenniumpipeline.com
flugrad@millenniumpipeline.com

A. Gregory Junge
Michael R. Pincus
Van Ness Feldman, LLP
1050 Thomas Jefferson Street, NW
Seventh Floor
Washington, D.C. 20007
202-298-1800
agj@vnf.com
mrp@vnf.com

Attorneys for Millennium Pipeline Company, L.L.C.

May 16, 2017

34
ATTACHMENT A
 Kathy Michell, Wildlife Biologist
KT Wildlife, LLC
42 School St
Narrowsburg, NY 12764
845-252-3501

May 16, 2017

Lisa Masi, Wildlife Biologist

Division of Fish, Wildlife, and Marine Resources
New York State Department of Environmental Conservation
21 South Putt Corners Road
New Paltz, NY 12561

Re:
Response to Public Comment Regarding Timber Rattlesnakes
Eastern System Upgrade - FERC Environmental Assessment
Millennium Pipeline Company LLC
FERC Docket No. CP16-486-000

Dear Ms. Masi,

The intent of this letter is to address the comments and inaccuracies detailed within the
public comment submitted on April 28, 2017 by Stephen Metts to the Federal Energy
Regulatory Commission (FERC) regarding the Draft Environmental Assessment for the
proposed Eastern System Upgrade (Project). Mr. Metts primary concern in this letter
relates to potential Project-related impact on timber rattlesnake habitat within the
Highland Compressor Station property. The issues raised within the comment letter are
addressed below in the order in which they appear in the letter.

Mr. Metts falsely states that no evidence is offered to the public to support FERCs final
declaration that Project would not have an adverse effect on the timber rattlesnake,
including the Privileged and Confidential study, Timber Rattlesnake Habitat and Occurrence
Survey previously submitted by Millennium to both FERC and the New York State
Department of Environmental Conservation (NYSDEC). Studies of this nature contain
specific locations of critical den, basking, and gestating habitat and cannot be disclosed to
the public. Confidentiality of this location data is critical to the protection of the species,
especially of species which have a limited range and specific habitat requirements such as
the timber rattlesnake. A den location cannot be changed or moved, and once a site is
extirpated, intentionally or inadvertently, it is gone forever. These confidential reports are
reviewed by knowledgeable people from the appropriate agencies, in this case NYSDEC,
who then make informed management decisions.
Mr. Metts proceeds to state that he will review actual facts of this matter to show
deficiencies in FERCs no adverse effect finding provided within the Draft Environmental
Assessment. He claims that the Delaware River Network has brought to the attention of the
NYSDEC evidence and GIS mapping of a potential den and/or rookery site in very close
proximity of the proposed compressor station site. He further comments that this site is
not the location known as the Sunrise Den which he claims is slightly northeast of the
proposed site. In reality, the Sunrise Den is southeast of the site. Much of the remainder of
Mr. Metts letter attempts to present a case for this potential den being a critical habitat.

What Mr. Metts fails to recognize is the critical difference between a timber rattlesnake den
and a potential den site. Timber rattlesnakes require specific geological, thermal, and
hydrological conditions for hibernation. Some of these are apparent to surveyors in terms
of slope, aspect and rock formations. The formations in which dens are located have an
exposure within an arc from SE to SW, generally more towards the SE. However, there are
many other factors not visible which make most rock formations unsuitable for rattlesnake
denning. Timber rattlesnakes recolonized the northeastern states, including New York
State, following the retreat of the Laurentide Ice Sheet, which was part of the last glacial
period, the Wisconsin glaciation. Most rattlesnake dens in New York are considered to be
continuously occupied for the past 4,000 to 7,000 years, thus they are called ancestral dens.
Snakes hibernate at these specific den sites, ranging 1.5 to 2.5 miles during their active
season but always returning to the same den in the fall for hibernation. They do not move
from den to den or go into other areas identified by surveyors as potential denning sites.
When conducting initial surveys, herpetologists determine what areas have the potential to
be dens and then focus their surveys during the appropriate time and weather conditions
on those sites, either confirming or negating them.

Survey protocols for the Highland compressor site followed NYSDEC and USFWS Timber
Rattlesnake Conservation Action Plan guidelines, as presented in the confidential report.

Mr. Metts claims that two prior studies were used by FERC in their decision. He states that
both of these studies are deficient in both substance and conclusions and are not publicly
defensible as they do not address known and obvious evidence of a potential den located
on the Millennium parcel itself. Yet he previously stated that one report was not available
for public review so he could not make such a statement. And indeed the area which he
proceeds to describe in the Exhibits were specifically addressed in the report.

Another statement made by Mr. Metts claims that two dens were located within 900 feet of
a segment of the Huguenot Loop and the Ramapo M&R Station, apparently hearsay
information since that was not in the report. He also claims that the Highland site was
surveyed yet again and reported on in the January 26th, 2017 submission. This
supplemental submission was limited to two additional sections associated with the
Huguenot loop.
The letter next mentions the 15.73 acres of foraging habitat which will be permanently lost,
but does not mention the mitigation measures for this or the fact that a net conservation
benefit to the timber rattlesnake will be generated as a result of the Project.

In an attempt to prove that a potential den on Millenniums property is actually a critical

habitat, Mr. Metts provides a photograph (Figure 1) of a rock formation that he alleges was
taken from the current Millennium Pipeline ROW. He states that the rock formations faces
southwest. Millennium authorized a photograph from the exact same location on their
ROW looking almost due south which is presented here for comparison in Figure 2.

Figure 1. Photo of ledge from Mr. Metts letter dated April 28, 2017. Taken from ROW
Figure 2. Photo of same ledge taken from the ROW 5-2-17.

The site in the photograph submitted within the comment letter is not within the
Millennium-owned property. It is actually within property owned by the Excelsior Hunting
Club. The ledge in this picture is not only off Millenniums property, but has a NW
exposure, which is incompatible with rattlesnake denning. Two maps are attached here,
one being an aerial map (Figure 3) showing the ROW, and ledge which is not as visible. The
other map is a GIS terrain map (Figure 4) showing the ledge itself. As can be observed on
this map, the rock formation faces predominantly west to northwest, an unfavorable
exposure for denning. Only about 25% of this rock formation is located within Millennium
property. Due to rumors among local residents of a possible den on this site, surveys were
conducted with special attention given to the portion of this ledge on Millenniums
property. No permission was given by the other property owner to survey their property;
therefore that portion of the rock ledge was not surveyed.

Other factors which contribute to the conclusion that this area is not a den site include the
very limited basking adjacent to the site. Aerial mapping shows no significant basking other
than the cleared pipeline ROW which has some windrow rock from the 2008 construction.
One of the major criteria for a den is to have some naturally occurring permanently open
rocky area for post-emergence basking and gestation.

During emergence surveys this rock on the ROW was surveyed for the presence of post-
emergent basking snakes, and none were found. On 2 May 2017, when the photograph of
the ledge was taken, a survey of the potential basking rock on the ROW was conducted with
no snakes observed. In 2016, a late spring survey was conducted during the time
rattlesnakes are undergoing ecdysis (shedding) to determine if snakes from other dens
would use that part of the ROW. One adult male was located on that portion of the ROW.
Anecdotal reports of seeing snakes near that ledge are certainly possible during the active
season, when snakes may be up to two miles from their dens, which may have led people to
believe the formation was a den. However, on this same date, 2 May 2017, numerous
snakes were seen basking along the ROW at other areas where dens are located near the
ROW. If this were a den, at least one snake would have been observed basking in close
proximity.

Mr. Metts then provided several hearsay accounts with no associated references which
should be considered totally irrelevant. However, to address them briefly, the first Exhibit
#2 has one person saying to another that he poked around and found where they go down
into their dens (did it in the winter). One cannot poke into a crevice and find snakes in the
winter. Even if one were to go to the actual entrance the snakes use, telemetry studies
have shown that the snakes are at least 10 feet and as many as 40 feet from the opening as
they work their way down rock crevices and talus to an area with sufficient moisture and
well below the frost line. He also reports someone saying 151 rattlesnakes were killed
there while digging for the 1901 Rockefeller line. Interior forest dens of similar size to the
ledge he is questioning do not support that size population especially since there is no type
of adjacent basking formation even present. The Bronx Zoo reference is obviously Raymond
Ditmars whose books indicate most of his collecting was done at two now extirpated dens
in the Town of Bethel.

The second Exhibit#2 shows a hand drawn map of a den which, when placed on an aerial
map to scale, covers an area of approximately 1.5 miles by 0.5 miles. This massive polygon
extends far to the north and south of the proposed project and may well encompass an
unknown den since the areas are private property and not accessible.

Exhibit #3, which Mr. Metts presents, is somewhat difficult to interpret, not the GIS part of
it, but the point he is trying to make. He has created three maps the first of which is a
simple terrain map similar to Figure 4 of this letter, only zoomed in much farther. It does
however show how westerly facing the ledge is making it very marginal, at best, for
denning. The heavy lichen coverage which was noted on the rocks during the surveys is
consistent with a western and northern exposure, generally considered incompatible with
denning. So this map does not support his claims.

The slope map apparently shows that the area has a steep slope which he states steep
slope is an important terrain criteria for timber rattlesnake dens. At the end of this letter
are several references from the most widely recognized timber rattlesnake experts which
discuss the phenology of timber rattlesnakes. Mr. Metts statement is simply not accurate.

The paragraph about the aspect map states that immediately adjacent to the site is a
southern-facing plateau and smooth, flat rock surfaces. There may be flat rock surfaces
under the wooded upland habitat as part of the subsurface geology but there are no
exposed ones in the vicinity of the site in question.
 Millennium believes that the Timber Rattlesnake Habitat and Occurrence Survey Report
addressed all possible habitat and rattlesnake issues thoroughly and that none of the
information in Mr. Metts letter of April 28, 2017 has merit sufficient to warrant additional
consideration.

Respectfully,

Kathy Michell

Relevant References

Brown, W.S. 1992. Emergence, ingress, and seasonal captures at dens of northern timber
rattlesnakes, Crotalus horridus. p. 251-258 in J.A. Campbell and E.D. Brodie, Jr. (eds.).
Biology of the pitvipers. Selva, Tyler, Texas.

Brown, W.S. 1993. Biology, status, and management of the timber rattlesnake (Crotalus
horridus): a guide for conservation. SSAR Herpetol. Circ. No. 22:1-78.

Clark, A.M., P.E. Moler, E.E. Possardt, A.H. Savitzky, W.S. Brown, and B.W. Bowen. 2003.
Phylogeography of the timber rattlesnake (Crotalus horridus) based on mtDNA
sequences. J. Herpetol. 37:145-154.

Martin, W. H 1992. Phenology of the Timber Rattlesnake (Crotalus horridus) in an unglaciated

section of the Appalachian Mountains. In J. A. Campbell and E. D. Brodie Jr. (eds.),
Biology of the Pitvipers, pp. 259-277. Selva Press, Tyler, Texas.

Martin, W. H 1996. Crotalus horridus. Reproductive Phenology. Herpetological

Review. 27:144-145.
Figure 3 Aerial
Figure 4 Terrain
 CERTIFICATE OF SERVICE

I hereby certify that I have this day served the foregoing document upon each

person designated on the official service list compiled by the Federal Energy Regulatory

Commission in this proceeding.

Dated at Washington, DC this 16th day of May 2017.

/s/ Marco Bracamonte

Marco Bracamonte, Paralegal
Van Ness Feldman, LLP
1050 Thomas Jefferson Street, NW
Washington, DC 20007