Jim Shetler, head of the negotiating team of the Sacramento Municipal Utility District (SMUD), on November 16 announced a historic "agreement in principle" between federal and state agencies, NGOs and the public utility over the terms and conditions of its 50-year license for its Upper American River Project.

"The agreement addresses the gaps between the agency/NGO and SMUD proposals," said Shetler at the SMUD Board meeting. "We will be able to deal to meet our energy needs while providing additional flows for fish and recreation. It will provide recreational flows below Ice House Reservoir and Chili Bar Dam while at the same time preserving SMUD's flexibility regarding hydroelectricity generation."

The agreement came after a series of marathon negotiating sessions between the agencies, NGOs and SMUD over the past two weeks. The negotiations were prompted by intense pressure by recreational boaters, anglers, business leaders and conservation groups at SMUD board meetings over the past three months for SMUD and the agencies to get back to the negotiating table after negotiations broke down.

Photos