ML063030542

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E-Mail: (PA) Fyi: Letter to Oc from State of Nj Regarding Licensing Renewal
ML063030542
Person / Time
Site: Oyster Creek
Issue date: 07/13/2006
From: Mcnamara N
NRC Region 1
To: Virgilio R
NRC/FSME
References
%dam200611, %dam200612, TAC 8261
Download: ML063030542 (16)


Text

MarcFerdas-"YI: Letter to 00 from State-6f NJQRgarding6 Ucesing n ewal Page 1 From: Nancy McNamara To: Rosetta Virgilio Date: 7/13/2006 2:17:17 PM

Subject:

FYI: Letter to OC from State of NJ Regarding Licensing Renewal Hi Rosetta, attached is a letter that was issued to Oyster Creek from the NJ Depart of Environ.

Protection's Division of Land Use, Bureau of Coastal Regulation. As you know, OC has applied for a license renewal. This letter addresses their coastal permit they are renewing in accordance with the NJ Coastal Area Facility Review Act. The point of interest is that the letter states (page 7) the NJ Bureau of Nuclear Engineering is requiring a security related exercise prior to the decision to renewal the permit. It further states that for decommissioning, Exelon is to commit to full financial responsibility and reimbursement for cleanup costs at and beyond the plant site, to NJ clean up standards (both rad and chem) when decommissioning occurs (Page 7). Any questions, please feel free to contact me.

(Ed Miller, please forward this messaqe to the responsible individual in Financial Assurance for their information). Thank you!

CC: Diane Screnci; Ed Miller; Karl Farrar; Marc Ferdas; Marjorie McLaughlin; Neil Sheehan; Raymond Lorson; Robert Kahler; Ronald Bellamy; Steve LaVie

PAGWIP0001 -TMP Pa e1 1 Page 1 I c:\temp\GW}QOOO1 .TMP Mail Envelope Properties (44B68E18.F88 : 24: 55786)

Subject:

FYI: Letter to OC from State of NJ Regarding Licensing Renewal Creation Date 7/13/2006 2:16:56 PM From: Nancy McNamara Created By: NTM@nrc.gov Recipients nrc.gov OWGWPOO4.HQGWDOO1 REK CC (Robert Kahler) nrc.gov TWGWPO01 .HQGWDO01 GXM CC (Ed Miller)

SFL CC (Steve LaVie) nrc.gov TWGWPO04.HQGWDOO1 ROV (Rosetta Virgilio) nrc.gov kpl-po.KP.DO DPS CC (Diane Screnci)

KLF CC (Karl Farrar)

MMM3 CC (Marjorie McLaughlin)

MSF2 CC (Marc Ferdas)

NAS CC (Neil Sheehan)

RKL CC (Raymond Lorson)

RRB 1 CC (Ronald Bellamy)

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.OCNGS etter.doc Page 1 I June 1, 2006 Timothy Rausch, Site Vice President Oyster Creek Nuclear Generating Station AmerGen Energy Company LLC P.O. Box 388 Forked River, New Jersey 08731 RE: State Guidance for Forthcoming Federal Consistency Request for License Renewal of AmerGen's Oyster Creek Nuclear Generating Station Applicant: AmerGen Energy Company LLC An Exelon Company Project: Oyster Creek Nuclear Generating Station NRC License Renewal Location: Lacey Township, Ocean County

Dear Mr. Rausch:

The New Jersey Department of Environmental Protection's Division of Land Use Regulation (Division) acting pursuant to Section 307 of the federal Coastal Zone Management Act of 1972 (P.L.92-583) as amended, and the Coastal Zone Management Act Federal Consistency Regulations (15 CFR Part 930) as amended to February 6, 2006, hereby provides guidance to the applicant pursuant to 15 CFR 930.56 with regard to New Jersey's federally approved, enforceable, and applicable Coastal Zone Management Rules (Rules, N.J.A.C. 7:7E-1.0 et. seq.) for the above referenced activity.

Application One activity requiring a federal consistency determination is for a Federal license or permit', which also includes renewals and major amendments which affect any coastal use or resource. (15 CFR 930.51) The applicant, AmerGen Energy Company LLC, a subsidiary of Exelon Corporation has applied to the federal Nuclear Regulatory Commission (NRC) for the relicensing of Oyster Creek Nuclear Generating Station (OCNGS) in Lacey Township, Ocean County for a period of twenty years. Therefore, the applicant needs a federal consistency determination under the federal Coastal Zone Management Act of 1972 and Coastal Zone Management Act Federal Consistency Regulations for the proposed relicensing.

Marc Ferdas - .ONGS Guidance Letter.doc Page 2 Timothy Rausch Page 2 Site Location The site is located on both sides of Route 9 in Lacey Township, Ocean County. To the west of Route 9 lies the nuclear electric generating facility; a combustion turbine electric generating facility owned by First Energy; and the Garden State Parkway (GSP). To the east and bounded by Forked River and Oyster Creek, the applicant owns a large undeveloped tract of land known as Finnenger's Farm, which extends from Route 9 to Barnegat Bay. The site contains both uplands and wetlands. In addition, the site contains some air monitoring devices and a disposal area from a prior dredging of Oyster Creek. There is also a residential community and recreation area to the northeast of the farm accessed by Beach Boulevard. Finally, the applicant owns an approximate 12 acre tract of land just south of Oyster Creek along Route 9 known as the "Barge Landing".

The site is bounded on the north by the Forked River, which provides the intake water for the plant's cooling system. Land uses north of Forked River consist of residential, commercial, light industrial.

Oyster Creek lies along the site's southern boundary and is utilized for the discharge of heated water from the plant's cooling system. Land uses include residential and commercial facilities to the south of Oyster Creek.

New Jersey's Coastal Zone Management Rules The Division utilizes New Jersey's Coastal Zone Management Rules (Rules) in making decisions on applications submitted under New Jersey Coastal Area Facility Review Act (CAFRA), the Wetlands Act of 1970, and the Waterfront Development Law. In addition, these Rules apply to decisions on the consistency or compatibility of proposed actions by Federal, State, and local agencies within or affecting the coastal zone, including, but not limited to, determinations of Federal consistency under Section 307 of the Federal Coastal Zone Management Act, 16 U.S.C. 1451 et seq., determinations of consistency or compatibility under the Coastal Zone Management Act, comments on Draft and Final Environmental Impact Statements prepared under the National Environmental Policy Act, 42 U.S.C. 4321 et. seq., and comments on other public and private plans, programs, projects and policies. (N.J.A.C. 7:7E-1.2 c, d, & e)

Based on the available information, the applicant will need to demonstrate compliance with the applicable sections of the following Rules. In some instances, the Division has provided specific questions to be addressed by the applicant.

Although not included in the list below, both the eight (8) Basic Coastal Policies, which

.summarize the direction of the specific rules and guide the coastal decision-making process (N.J.A.C. 7:7-1.5(a)) and the Basic Location Rule (N.J.A.C. 7:7E-6.2) may be utilized in the decision making process.

_arc Ferdas -,OCNGS Guidance Letter.doc -Page3 Timothy Rausch Page 3 Please note, that for brevity, the Division did not reproduce all the Rules listed below in their entirety. The applicant should review the entire Rule to insure the consistency request will contain a complete and appropriate discussion of the facility's degree of compliance with each Rule's criteria.

Finally, the Division understands the applicant has applied for a NJPDES Permit from the Department. A Draft NJPDES Permit was issued on July 19, 2005. It appears, that some of the Rules or portions of those Rules listed below, may be met or partially met by the applicant's acceptance of and compliance with a Final NJPDES Permit and its conditions. However, the Division reserves the right to condition a federal consistency determination to insure compliance with the Rules under the terms at 15 CFR 930.62(d).

7:7E-3.2 Shellfish habitat Shellfish habitat is defined as an estuarine bay or river bottom which has a history of production for hard clams (Mercenaria mercenaria), soft clams (Mya arenaria), eastern oysters (Crassostrea virginica), bay scallops (Argopecten irradians), or blue mussels (Mytilus edulis), or otherwise listed below in this section. A shellfish habitat areas is defined as an area which meets one or more of the four criteria found at 7:7E-3.2(b)1-4. Any area determined by the Department to be contaminated by toxins is excluded from this definition. The Final Short List, prepared by the Department pursuant to the Federal Clean Water Act 33 U.S.C. 1313(c)(1), identifies these known contaminated areas. Also excluded from this definition are those sites for which the Department is presented with clear and convincing evidence that the sites lack the physical features necessary for the support of a shellfish population, excluding those waterways listed at N.J.A.C. 7:7E-7.3(d)10 and (j).

The Division requests the applicant address any impacts of the facility, since it's construction, on the adjacent shellfish beds in Barnegat Bay.

7:7E-3.4 Prime fishing areas Prime fishing areas include tidal water areas and water's edge areas which have a demonstrable history of supporting a significant local quantity of recreational or commercial fishing activity. The section of this Rule applicable to the facility is: "Disposal of domestic or industrial wastes must meet applicable State and Federal effluent limitations and water quality standards."

The applicant needs to demonstrate compliance with this Rule.

7:7E-3.5 Finfish migratory pathways Finfish migratory pathways are waterways (rivers, streams, creeks, bays and inlets) which can be determined to serve as passageways for diadromous fish to or from seasonal

Mar Frda -OCNGS Guildance Letter.doc _Pg spawning areas, including juvenile anadromous fish which migrate in autumn and those listed by H1.E. Zich Timothy Rausch Page 4 (1977) "New Jersey Anadromous Fish Inventory" NJDEP Miscellaneous Report No. 41, and including those portions of the Hudson and Delaware Rivers within the coastal zone boundary.

Species of concern include: alewife or river herring (Alosa pseudoharengus), blueback herring (Alosa aestivalis), American shad (Alosa sapidissima), striped bass (Monroe saxatilis), Atlantic sturgeon (Acipenser oxyrhynchus), Shortnose sturgeon (Acipenser brevirostrum) and American eel (Anguilla rostrata).

Development, such as dams, dikes, spillways, channelization, tide gates and intake pipes, which creates a physical barrier to the movement of fish along finfish migratory pathways is prohibited, unless acceptable mitigating measures such as fish ladders, erosion control, or oxygenation are used. Development which lowers water quality to such an extent as to interfere with the movement of fish along finfish migratory pathways or to violate State and Delaware River Basin Commission water quality standards is prohibited.

It is the Division's understanding that some of the aforementioned species are impinged and/or entrained at the facility. In addition, the heated effluent may act as a barrier along the bay and/or act as trap in Oyster Creek. The applicant should discuss the impact of the facility on applicable species listed above.

7:7E-3.6 Submerged vegetation Submerged vegetation special area consists of water areas supporting or documented as previously supporting rooted, submerged vascular plants such as widgeon grass (Ruppia maritima), sago pondweed (Potamogeton pectinatus), horned pondweed (Zannichelli palustris) and eelgrass (Zostera marina). Development in upland or water areas adjacent to submerged vegetation habitat or in submerged vegetation habitat which results in erosion or turbidity increases in the waters supporting submerged vegetation or prop or hull scour through use of the development is prohibited unless mitigating measures are provided. Compensation for unavoidable, permanent significant impacts to submerged vegetation habitats, when required, shall consist of the establishment of self-sustaining habitat for the appropriate species in accordance with scientifically-documented transplanting methods.

The 1979 Forked River Submersed Aquatic Vegetation Distribution Map indicates the presence of eelgrass along the bay both north and south of the mouths of Forked River and Oyster Creek. The applicant should address impacts of the facility on this Special Area as per 3.6(c) and (d).

7:7E-3.27 Wetlands Wetlands or wetland means an area that is inundated or saturated by surface water or groundwater at a frequency and duration sufficient to support, and that under normal circumstances does support, a prevalence of vegetation typically adapted for life in saturated soil

Marc Ferdas - O.NGS Guidance Letter.doc _.............Page 5 conditions, commonly known as hydrophytic vegetation. Coastal wetlands are wetlands regulated under the Wetlands Act of 1970. The Department has produced promulgated maps delineating the extent of coastal wetlands. Freshwater wetlands are wetlands regulated under the Timothy Rausch Page 5 Freshwater Wetlands Protection Act. The State's mapping of these wetlands are not promulgated and are used as a planning tool. The Division will review an application to determine the extent of freshwater wetlands on a site and issue a Letter of Interpretation (LOI) to acknowledge the extent of wetlands and its resource classification.

The portion of the site know as Finnenger's Farm contains both mapped coastal wetlands and freshwater wetlands. The Division is not aware of any proposal by the applicant under the forthcoming federal consistency request to conduct regulated activities within either coastal or freshwater wetlands, other than a possible footpath for public access to the waterfront.

The Division is aware of and would support a wetlands a mitigation/restoration program under a NJPDES-DSW Permit. However, this may be a regulated activity. The Division offers General Permits under the Coastal and Freshwater Wetland Programs for habitat restoration, and recommends the applicant review N.J.A.C. 7:7-7.29 and N.J.A.C. 7:7A-5.15 to ascertain the applicability of these permits to the applicant's potential mitigation/restoration program. Should the applicant not be able to utilize these General permits, the applicant would need to apply for Individual Permits under the Coastal and Freshwater Wetland Programs.

Should the wetland mitigation/restoration occur, the Division suggests the applicant work with New Jersey colleges/universities to determine if they are interested in conducting research at the mitigation/restoration site.

7:7E-3.28 Wetlands buffers Wetlands buffer or transition area means an area of land adjacent to a wetland which minimizes adverse impacts on the wetlands or serves as an integral component of the wetlands ecosystem (see Appendix, Figure 7). Wider buffers than those noted below may be required to establish conformance with other Coastal Rules, including, but not limited to, 7:7E-3.38 and 3.39.

A wetlands buffer or transition area of up to 150 feet in width shall be established adjacent to all wetlands defined and regulated under the Freshwater Wetlands Protection Act.

(Refer to the Freshwater Wetland Protection Act Rules, N.J.A.C. 7:7A, for further guidance).

For all other wetlands, including wetlands regulated under the Coastal Wetlands Act of 1970, a wetlands buffer of up to 300 feet shall be established.

The Division is not aware of any proposed activities within a wetlands buffer under than the forthcoming federal consistency request other than the creation of public access to the waterfront and possible restoration/mitigation activity. Regulated activity in a coastal wetlands buffer associated with public access to the waterfront could be approved under a federal consistency request. Regulated activity in a coastal or freshwater wetland for enhancement would be reviewed under their associated general or individual permits referenced above.

Marc Ferdas-

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MacFrds-OCNGS Guidance Letter~doc ____ _ __ Page 7 Timothy Rausch Page 6 7:7E-3.38 Endangered or threatened wildlife or plant species habitats Endangered or threatened wildlife or plant species habitats are areas known to be inhabited on a seasonal or permanent basis by or to be critical at any stage in the life cycle of any wildlife or plant identified as "endangered" or "threatened" species on official Federal or State lists of endangered or threatened species, or under active consideration for State or Federal listing. The definition of endangered or threatened wildlife or plant species habitats include a sufficient buffer area to ensure continued survival of the population of the species. Absence of such a buffer area does not preclude an area from being endangered or threatened wildlife or plant species habitat.

The facility periodically impinges a sea turtle on the federal endangered and threatened species list. Under this Rule, the applicant needs to demonstrate compliance with federal requirements for the taking of these sea turtles.

In addition, there are federal and State endangered and threatened species on or in close proximity to the facility. "The Division requests the applicant submit a list and mapping of all properties owned or under the control of Exelon, AmerGen or other subsidiaries in order to provide additional guidance with regard to this Rule.

7:7E-3.39 Critical wildlife habitats Critical wildlife habitats are specific areas known to serve an essential role in maintaining wildlife, particularly in wintering, breeding, and migrating.

There appears to be Critical wildlife habitats on or within close proximity of the facility.

The Division requests the applicant submit a list and mapping of all properties owned or under the control of Exelon, AmerGen or other subsidiaries in order to provide additional guidance with regard to this Rule.

7:7E-3.41 Special hazard areas Special hazard areas include areas with a known actual or potential hazard to public health, safety, and welfare, or to public or private property, such as the navigable air space around airports and seaplane landing areas, potential evacuation zones and areas where hazardous substances as defined at N.J.S.A. 58:10-23.1lb-k are used or disposed, including adjacent areas and areas of hazardous material contamination. Coastal development, especially residential and labor-intensive economic development, within special hazard areas is discouraged. All development within special hazard areas must include appropriate mitigating measures to protect the public health and safety.

Please provide details on the applicant's participation in the radiological emergency response plan, including its degree of cooperation with the New Jersey State Police and the Department's Bureau of Nuclear Engineering.

Marc

'Ferdas-' O)CNGS Guidance Letter.doc Page 8 Timothy Rausch Page 7 DRAFT The Department's Bureau of Nuclear Engineering (BNE) has provided the following items as issues that need to be resolved. Please provide a response of the applicant's willingness to comply with the BNE's requests.

Issue 1: Testing of Security and Emergency Plans Nuclear emergency preparedness and response is a critically important issue, especially in light of September 11, 2001. It is essential that nuclear power plant owners' procedures for security response are integrated into the plans of state and local officials for response to security events involving a potential release of radioactivity from the site. Additionally, this interface should be exercised. For public assurance, the Department requires that a security exercise be conducted prior to the decision on the federal consistency determination.

Issue 2: Ground Water Surveillance and Reporting The identification and subsequent remediation of radioactive liquids in groundwater has been initiated by Exelon in response to leaks at other operating nuclear power plants in their fleet. The NRC has assembled a group of experts to examine the issue of inadvertent, unmonitored releases of radioactive liquids from commercial nuclear power plants. These are positive initiatives. In support of these initiatives, the Department requires Exelon to split all on-site ground water samples with the DEP as part of a routine monitoring program. The DEP will perform analyses for radioactive constituents in a subset of these ground water samples.

Additionally, Exelon must report all on-site measurements as part of the site's radiological environmental monitoring program (REMP).

Issue 3: Financial Responsibility for Cleanup from Decommissioning The Department is concerned about adequate funding for the eventual decontamination and decommissioning of the Oyster Creek facility. While a decommissioning trust fund has been set up, this covers only radioactivity generated by the operation of Oyster Creek to clean the site to NRC's acceptable levels. It would not cover any chemical contamination or radioactive contamination that was below NRC standards. The Department requires Exelon to commit to full financial responsibility and reimbursement for cleanup costs at and beyond the plant site, to New Jersey clean up standards (both radiological and chemical), when decommissioning occurs.

7:7E-5.0 Subchapter 5. Requirements For Impervious Cover And Vegetative Cover For General Land Areas And Certain Special Areas This subchapter sets forth requirements for impervious cover and vegetative cover on sites in the CAFRA area, as defined at N.J.A.C. 7:7E-5.2. The applicant does not need to demonstrate compliance with this subchapter at this time, as the applicant is not proposing any new impervious structure. There have been informal discussions with regard for a CAFRA Permit for

arFerdas - OCNGS Guidance Lette-r.doc----- ________ ae9 a new onsite parking area, and the need to demonstrate compliance with this subchapter, when the CAFRA Permit Application is submitted.

Timothy Rausch Page 8 7:7E-7.4 Energy facility use rule Energy facilities include facilities, plants or operations for the production, conversion, exploration, development, distribution, extraction, processing, or storage of energy or fossil fuels. Energy facilities also include onshore support bases and marine terminals. Energy facilities do not include operations conducted by a retail dealer, such as a gas station, which is considered a commercial development.

Criterion (b) of this rule restricts the siting of new energy facilities, including all associated development activities in some Special Areas. As such, this criterion is not applicable.

Criterion (c) requires that coastal energy facilities construction and operation shall not directly or indirectly result in net loss of employment in the State for any single year. Further, Coastal energy facility construction and operation which results in loss of 200 or more person-years of employment in jobs in New Jersey directly or indirectly related to the State's coastal tourism industry in any single year is prohibited. The applicant needs to address this criterion.

Criteria (d) through (q) and (s) are not applicable.

Criterion (r) discusses standards relevant to electric generating stations including the siting of the various types of electric generating facilities. The one criterion applicable states:

"The construction and operation of a nuclear generating station shall not be approved unless the proposed method for disposal of the spent fuel to be produced by the facility will be safe, conforms to standards established by the United States Nuclear Regulatory Commission, and will effectively remove danger to life and the environment from the radioactive waste material. This finding is required under present State law (N.J.S.A. 13:19-11) and will be made consistent with judicial decisions (see Public Interest Research Group v. State of New Jersey, 152 N.J. Super.

191 (App.Div.,certif Den., 75 N.J. 538 (1977)) and Federal law. The applicant needs to address this criterion."

7:7E-7.7 Industry Use rule This Rule includes electric power production. However, the Division has determined this rule is not applicable as it mainly concerns the siting of facilities.

7:7E-8.2 Marine Fish and Fisheries Under this Rule, the key section is 7:7E-8.2(b), which states: "Any activity that would adversely impact on the natural functioning of marine fish, including the reproductive, spawning and migratory patterns or species abundance or diversity of marine fish, is discouraged." Marine

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Marc Fardas - 0CM Sý(j-'u'i-da-n-c"'e--Lette-r.doc-- iPage i,01 fish are marine and estuarine animals other than marine mammals and birds.

The applicant is presently undertaking impingement and entrainment studies for the Section 316(b) regulations for Phase II facilities where Section 316(b) is incorporated into a NJPDES Permit. The applicant will likely utilize the data collected from these studies to attempt Timothy Rausch Page 9 to demonstrate compliance with this Rule. If the applicant does utilize the data, then the data should represent a minimum of one year of data taken during an average weather year.

Under an agreement with the Department's Division of Water Quality for the NJPDES Permit, the applicant is assessing impingement and/or entrainment effects to 11 species of fish and invertebrates. Those species are: Atlantic menhaden (Brevoortia tyrannus), Atlantic silversides (Menidia menidia), Bay ancovy (Anchoa mitchilli), Blue crab (Callinectes sp.),

Blueback herring (Alosa aestivalis), grass shrimp (Palaemonetes sp.), northern pipefish (Syngnathus fuscus), sand shrimp (Crangon sp.), and winter flounder (Psuedopluonectes americana). The Division accepts this list, as these species are probably the most valuable in terms of forage species and recreational/commercial value and deserve this recognition.

The applicant has requested guidance as to whether it is necessary to conduct fisheries studies in Barnegat Bay similar to the ones previously conducted by Ichthyological Associates (IA) and Ecological Associates (EA) to aid in demonstrating compliance with this Rule and the Finfish Migratory Pathways Rule. As stated above, the applicant is currently conducting impingement and entrainment studies for compliance with the Section 316(b) regulations for Phase II facilities. In the event that the applicant chooses to offset losses to the marine and estuarine species through a mitigation/habitat enhancement program, such a program will likely include restoration of the some of historic estuarine and freshwater wetlands on Finnenger's Farm and other locations. Should this habitat enhancement occur, the extent of the heated plume emanating from OCNGS may change given the likelihood of tidal inundation to a portion of Finnenger's Farm.

Since it is likely the heated effluent plume will change, either through cooling towers, a habitat enhancement program, or cessation of electric generation, this Division prefers the applicant commit to conducting studies associated with either the cooling tower or habitat enhancement scenario it would be operating under in the future. Any such study requirements would be a requirement of the NJPDES permit and a federal Consistency determination.

7:7E-8.4 Water Quality The applicant's successful attainment, acceptance, and compliance with a Final NJPDES Permit will allow the applicant to meet this Rule. The applicant should submit a copy of the permit and a copy of an acceptance form/statement with regard to the Final NJPDES Permit and its conditions.

7:7E-8.5 Surface water use

Marc Ferdas - QONGS Guda'nce Lete'r'.do'c " 1J Page----

Surface water is water in lakes, ponds, streams, rivers, bogs, wetlands, bays, and ocean that is visible on land. Coastal development shall demonstrate that the anticipated surface water demand of the facility will not exceed the capacity, including phased planned increases, of the local potable water supply system or reserve capacity, and that construction of the facility will not cause unacceptable surface water disturbances, such as drawdown, bottom scour, or alteration of Timothy Rausch Page 10 flow patterns.

The Division understands the facility was sited and constructed prior to the effective date of these Rules, and there has been an alteration of the flow patterns in Forked River, Oyster Creek, and adjacent Barnegat Bay. However, one alteratiofi of flow pattern, the heated effluent discharge from the facility, needs to be discussed by the applicant to ascertain if it is acceptable.

The applicant should address present day impacts of the heated discharge on the biota of the adjacent waterways and include methods the applicant intends to utilize to eliminate or ameliorate those impacts.

7:7E-8.6 Groundwater Use Groundwater is all water within the soil and subsurface strata that is not at the surface of the land. It includes water that is within the earth that supplies wells and springs. Coastal development shall demonstrate, to the maximum extent practicable, that the anticipated groundwater withdrawal demand of the development, alone and in conjunction with other groundwater diversions proposed or existing in the region, will not cause salinity intrusions into the groundwaters of the zone, will not degrade groundwater quality, will not significantly lower the water table or piezometric surface, or significantly decrease the base flow of adjacent water sources. Groundwater withdrawals shall not exceed the aquifer's safe yield.

The applicant needs to demonstrate compliance with this Rule.

7:7E-8.10 Air quality The protection of air resources refers to the protection from air contaminants that injure human health, welfare or property, and the attainment and maintenance of State and Federal air quality goals and the prevention of degradation of current levels of air quality. Coastal development shall conform to all applicable State and Federal regulations, standards and guidelines and be consistent with the strategies of New Jersey's State Implementation Plan (SIP).

See N.J.A.C. 7:27 and New Jersey SIP for ozone, particulate matter, sulfur dioxide, nitrogen dioxide, carbon monoxide, lead, and visibility. Coastal development shall be located and designed to take full advantage of existing or planned mass transportation infrastructures and shall be managed to promote mass transportation services, in accordance with the Traffic rule, N.J.A.C. 7:7E-8.14.

The applicant should demonstrate its degree of compliance utilizing the data collected

Marc7F dFerdas

-QNGSGuiýd'ýa"n'ce L~e~tter.docPae1 from the applicant's and the BNE's nearby monitoring stations.

7:7E-8.11 Public Access to the Waterfront This Rule calls for coastal development adjacent to all coastal waters, including both natural and developed waterfront areas, shall provide permanent perpendicular and linear access Timothy Rausch Page 11 to the waterfront to the maximum extent practicable, including both visual and physical access.

Development that limits public access and the diversity of the waterfront experiences is discouraged.

The Division has had informal discussions with the applicant on this Rule. While the Division recognizes the need to prohibit access to the waterfront from Route 9 to the west for security reasons, the Division recognizes a unique opportunity to provide public access to the east of Route 9 on the Finnenger's Farm portion of the site. Indeed, public access to both Forked River, Oyster Creek, and Barnegat Bay could provide areas for fishing, crabbing, birding, and nature walks. In addition, these public access areas could provide an outdoor classroom for elementary and high school students. The Division expects to continue the dialogue with AmerGen to develop a public access plan prior to the submittal of the forthcoming request for federal consistency determination.

Summary The above list and discussion is provided as guidance, based on existing information, and is not to be construed as a final list of Rules or issues that may need to be discussed by the applicant. The reason for this is simple. The Division can not predict what issues might be raised by the public or other DEP and/or State agencies during the review of the forthcoming consistency request.

Should you have any questions or wish to discuss this matter further, please do not hesitate to contact me at the above address or at 609-984-0288.

Sincerely, Andrew Heyl, Supervisor Bureau of Coastal Regulation

c. William Mayer, AmerGen Energy Company, LLC 200 Exelon Way, Kennet Square, PA 19348 Michael Gallagher, AmerGen Energy Company, LLC 200 Exelon Way, Kennet Square, PA 19348 Brian Weeks, DAG

acerdas -.OCNGS Guidance Letter.doc .. .Page 13 Kevin Broderick, DLUR Susan Rosenwinkle, NJPDES Karen Tucillo, BNE Kent Tosch, BNE Paul Schwartz, BNE Thomas McCloy, DFW James Joseph, DFW