United States Department of the Interior 

FISH AND WILDLIFE SERVICE 

Mr. Gerardo C. Rios 

Chief, Permits Office 

New Mexico Ecological Services Field Office 

2 I 05 Osuna NE 

Albuquerque, New Mexico 87113 

Phone: (505) 346-2525 Fax: (505) 346-2542 

June 20, 2014 

Cons. #02ENNM00-2014-I-0338 

U.S. Environmental Protection Agency (Air-3) 

75 Hawthorne Street 

San Francisco, CA 94105 

Dear Mr. Rios: 

Thank you for the Biological Assessment (BA) provided on May 19, 2014, and email requesting 

consultation under section 7 of the Endangered Species Act of 1973, as amended (ESA; 16 

U.S.C. § 1534 et seq.) for the proposed issuance of a U.S. Environmental Protection Agency 

(EPA) air quality permit allowing Four Corners Power Plant (FCPP), in San Juan County, New 

Mexico, to increase emissions of sulfuric acid mist (SAM). Because of their plan to install 

selective catalytic reduction (SCR) on Units 4 and 5 of the FCPP, the operator, Arizona Public 

Service Company (APS), has submitted an application to EPA for a federal air quality permit 

allowing it to increase emissions of SAM. The installation of SCR will significantly reduce 

emissions of oxides of nitrogen (NOx) from FCPP. Interrelated and interdependent actions 

include the installation and operation of the SCR, including associated buildings, such as storage 

silos, which will occur within the existing footprint of the FCPP, and in the middle of disturbed 

areas or within existing buildings. In addition, although delivery of reagents necessary for 

operation of SCR (and any additional controls that EPA requires as BACT for SAM) will 

increase truck traffic to FCPP, the deliveries will occur on existing roads and paved areas within 

the existing fence line of the facility. The Federal Action under consideration for this 

consultation is a Federal Prevention of Significant Deterioration (PSD) permit for SAM under 

the Clean Air Act. 

On August 24, 2012, EPA promulgated a Federal Implementation Plan (FIP) that requires FCPP 

to reduce emissions ofNOx by 80 to 87 percent under the Best Available Retrofit Technology 

(BART) requirement of the Clean Air Act and the Regional Haze Rule. The FIP requires APS to 

implement one of two options to reduce emissions ofNOx: (1) install SCR on Units 1-5 by 

October 2017 (BART), or (2) close Units 1-3 by January 1, 2014, and install SCR on Units 4 and 

5 by July 31 , 2018, (BART Alternative). To comply with the FIP, APS has elected to implement 
Mr. Gerardo C. Rios 

the BART Alternative, and accordingly, APS permanently retired Units 1-3 at FCPP by January 

1, 2014, resulting in substantial emission reductions of numerous air pollutants from FCPP, 

including NOx and sulfur dioxide (S02). However, the operation of SCR on Units 4 and 5 will 

result in an increase in emissions of SAM; therefore, APS must apply for a permit under the PSD 

program and install Best Available Control Technology (BACT) to control emissions of SAM. 

The U.S. Fish and Wildlife Service, New Mexico Ecological Services Field Office (Service) has 

reviewed the information provided in EPA's Biological Assessment for this project entitled 

Biological Assessment for the Four Corners Power Plant SCR Retrofit Project and email 

correspondences received from EPA dated May 19, 2014, June 10,2014, and June 13,2014. The 

proposed action and potential effects of the proposed action are described in that documentation 

and that information is incorporated here, by reference, and will not be repeated except to the 

extent needed to support our conclusions. 

The EPA is requesting concurrence on the determination of "may affect, is not likely to adversely 

affect" for the endangered Southwestern willow flycatcher (Empidonax traillii extimus), the 

threatened Mexican spotted owl (Strix occidentalis Iucida), the proposed threatened Yellowbilled cuckoo (Coccyzus americanus), the endangered Colorado pikeminnow (Ptychocheilus 

lucius), the endangered Razorback sucker (Xyrauchen texanus), the endangered Mancos milkvetch (Astragalus humillimus), the threatened Mesa Verde cactus (Sclerocactus mesae-verdae), 

and on designated critical habitats of these species that may occur within the Deposition Area 

(see pages 23-26 ofthe BA). The EPA is requesting concurrence on the determination of"may 

affect, is not likely to adversely affect" for the candidate species Canada lynx (Lynx canadensis) 

and Roundtail chub (Gila robusta). Candidate species have no legal protection under the ESA, 

therefore, the Service has no authority to concur with EPA's findings for the candidate species. 

The Service concurs with the EPA's determination that the proposed action "may affect, not 

likely to adversely affect" the federally listed, proposed species, or designated critical habitats 

described above, because the effects are discountable and insignificant for the following reasons. 

Based on analysis provided in EPA's final Biological Assessment, and based on additional 

analysis provided on June 13, 2014, the increase in SAM emissions are not expected to alter the 

pH of soils, the pH of surface water, or result in plant foliar injury within the Deposition Area. 

The acid deposition rates of sulfur and nitrogen are also expected to be below critical load 

guidelines. Therefore, the Service concurs with EPA's findings that issuance of a PSD permit to 

FCPP to install and operate SCR on Units 4 and 5, and the increase in emissions of SAM, is not 

likely to adversely affect federally-listed species or their critical habitats, in accordance with 50 

CFR 402.13 and 402.14(b ). Note that our concurrence is based on the "worst case" emission 

limit for SAM that EPA may propose in the final PSD permit. If EPA proposes a final emission 

limit for SAM in the final PSD permit that is either equal to, or more stringent than, the "worst 

case" emission limit considered in the BA, then EPA does not need to consult with the Service 

again on the selected emission limit (BACT) for SAM determined in the final PSD permit. 

2 
Mr. Gerardo C. Rios 

However, please contact the Service to verify the above determination and concurrence are still 

valid if: 1) future surveys detect listed, proposed, or candidate species in habitats where they 

have not been previously observed; 2) the project is changed or new information reveals effects 

of the action to the listed species or their habitats to an extent not considered in these evaluations; 

or 3) a new species is listed that may be affected by this project. 

This concludes section 7 consultation on the proposed issuance of a Federal PSD permit for 

SAM emissions by FCPP under the Clean Air Act. Thank you for your efforts to protect the 

endangered fish and wildlife ofNew Mexico. In future communications regarding this 

correspondence or the proposed project please refer to consultation #02ENNM00-2014-I-0338. 

Ifyou have any questions, please contact Joel Lusk of my staff at (505) 761-4709. 

Sincerely, 

Field Office Supervisor 

cc: 

Manager, Navajo Nation Department ofFish and Wildlife, Window Rock, AZ (Attn. 

gtom@nndfw.org and jcole@nndfw.org) 

Program Supervisor, Navajo Nation Air Quality Control Program, Window Rock, AZ (Attn. 

edithsnyder@navajo-nsn.gov) 

Environmental Manager, Four Comers Power Plant, Arizona Public Service Company, Fruitland, 

NM (Attn. Richard.Grimes@aps.com) 

Interim Director, New Mexico Department of Game and Fish, Santa Fe, NM 

(Attn. matt.wunder@state.nm.us) 

3 

Regional NEPA Coordinator, Navajo Regional Office, U.S. Bureau oflndian Affairs, Gallup, NM 

(Attn. harrilene.yazzie@bia.gov) 

Manager, Indian Program Branch, Western Region, U.S. Office of Surface Mining, Denver, CO 

(Attn. rlwilliamson@osrnre.gov and mcalle@osrnre.gov) 

Alexander Smith, Chief, Environmental Resource Management Division, U.S. Bureau of 

Reclamation, Glendale, Arizona (alexandersmith@usbr.gov) 

Chief, Branch of Air Quality, U.S. Fish and Wildlife Service, Lakewood, CO (Attn. 

sandra_ v _silva@fws.gov) 

Field Supervisor, U.S. Fish and Wildlife Service, Arizona Ecological Services Field Office, Phoenix, 

AZ (Attn. brenda_smith@fws.gov and carrie_marr@fws.gov)