[California Energy Commission Letterhead]


OF THE                                )     DATA ADEQUATE
MAGNOLIA POWER PROJECT                )     SEPTEMBER 25, 2001



On August 16, 2002, the Applicant and Energy Commission staff filed a Stipulated Schedule that sets the release date for the Final Staff Assessment on September 30, 2002. We approve and modify the Stipulated Schedule with the caveat that the Prehearing Conference and Evidentiary Hearings cannot be scheduled at this time.


On September 25, 2001, this Application for Certification (AFC) was accepted for review under the six-month review process established in Public Resources Code section 25550. On January 10, 2002, Energy Commission staff (Staff) released its Preliminary Staff Assessment (PSA), which found that additional information was necessary before Staff could recommend certification. On February 11, 2002, we issued a Notice of Prehearing Conference and a Revised Scheduling Order extending the six-month schedule by ten weeks due to Applicant's request for more time to submit necessary data. We also postponed the Prehearing Conference upon Applicant's request and conducted a Scheduling Conference on March 11, 2002, to consider further schedule delays.

At the March 11, 2002, Scheduling Conference, the parties discussed the project's wastewater discharge requirements and whether a draft revised National Pollutant Discharge Elimination System (NPDES) permit would be necessary prior to certification. We indicated that Applicant would be required to either obtain the draft NPDES permit prior to certification or to provide an analysis of an alternative proposal to resolve the wastewater discharge issue. Since additional time was needed for Applicant to provide certain critical path items, such as the Air District's Final Determination of Compliance (FDOC) and the alternative wastewater discharge proposal, the parties agreed to remove the AFC from the six-month review process. On March 29, 2002, we issued an Order Approving the Stipulations to Remove AFC from Six-Month Process and to Adopt Twelve-Month Schedule.

Our twelve-month schedule anticipated that all critical path items would be submitted by mid-June 2002, and that the Final Staff Assessment (FSA) would be filed by July 15, 2002. Since the FDOC was not released until July 23, 2002, the FSA filing date was delayed. The draft revised NPDES permit process was also delayed due to circumstances beyond Applicant's control. Consequently, Applicant withdrew the wastewater discharge option and proposed instead to implement the zero liquid discharge alternative. On August 16, 2002, the Applicant and Staff filed a new Stipulated Schedule ("MPP and Staff Stipulated Schedule") that sets the FSA filing date on September 30, 2002.


Under the Stipulated Schedule, the Applicant:

  1. Withdraws its proposal to return process wastewater to the existing City of Burbank reclaimed water stream pursuant to an existing NPDES permit;

  2. Agrees to use reclaimed water delivered by the City of Burbank Reclamation Plant and to manage process wastewater with a zero liquid discharge (ZLD) system;

  3. Withdraws its request to license the NPDES option, requests the Energy Commission to license the ZLD option, and agrees that Staff will include the NPDES option in its analysis of wastewater discharge options; and

  4. Agrees that scheduling of the Prehearing Conference and Evidentiary Hearings cannot be finalized at this time but will work in good faith with Staff to achieve a final decision in February 2003.

Second Revised Scheduling Order

The parties acknowledge that delays in the schedule for this AFC have resulted in the reassignment of administrative resources to process other applications pending before the Energy Commission. The remainder of the schedule will be established at the Prehearing Conference.

Second Revised Schedule



July 23, 2002

Air District releases FDOC

August 23, 2002

Close of FDOC comment period

September 18, 2002

Parties file Status Reports re FDOC comments and all other pending issues

September 30, 2002

Staff publishes FSA

After FSA is published

Parties have the option of filing testimony and Prehearing Conference Statements at any time prior to deadlines set in Notice of Prehearing Conference

To Be Noticed

Notice of Prehearing Conference will establish deadlines for filing testimony and Prehearing Conference Statements

Last date to Intervene

At the Prehearing Conference as indicated in the Notice of Prehearing Conference

To Be Noticed

Notice of Evidentiary Hearings will establish deadlines for supplemental testimony and set the Evidentiary Hearing Schedule


The "MPP and Staff Stipulated Schedule" filed August 16, 2002, is approved as modified herein, with the caveat that the Prehearing Conference and Evidentiary Hearings cannot be scheduled at this time.

Dated August 22, 2002, at Sacramento, California.

Commissioner and Presiding Member
Magnolia AFC Committee

Commissioner and Associate Member
Magnolia AFC Committee

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