Letter to County Commissioners re: proposed Oregon LNG pipeline

October 10, 2010

Washington County Board of Commissioners
155 N 1st Ave # 300
Hillsboro, Oregon, 97124

Dear Commissioners:

The gas pipeline disaster in San Bruno is a stark reminder that even a small accident on the proposed Oregon LNG pipeline through Washington County during periods of high fire danger could trigger another great Tillamook Burn.  The proposed pipeline alignment is less than a mile from where the last Tillamook Burn ignited from industrial activity in the forest.

Oregon LNG has insufficient assets and insurance to compensate for such a loss.  It has submitted no fire hazard management plan.  It is assuming that the State Department of Forestry and local fire districts will assume all fire fighting responsibilities with no fiscal compensation from Oregon LNG even though all local government is facing funding shortfalls.  Oregon LNG is appealing the approval asking that few conditions be applied to the approval.  Oregon LNG has not responded to the Oregon Department of Forestry concerning these insufficiencies and by its appeal is asserting that it is not bound by limitations placed on other industrial users of the State's forests.

The 2005 Energy Act placed much of the review of these proposals with FERC, but local governments can impact proposals by the requirement that the Coastal Zone Management Act review be completed on a local level.  Local governmental approvals are necessary before FERC can approve the project.  Clatsop County has this responsibility.  Washington County can participate in this review and should assert the need for a reviewed and approved fire management, fire protection funding, and indemnification plans for the proposal.

The fact that the San Bruno pipeline disaster has revealed that PG&E had a billion dollar in insurance coverage (which is proving to be insufficient), and that Oregon LNG has even less are 'De Novo' events and allow Washington County to still participate in the review.  The 'De Novo' hearing notice attached presents Washington County with a final chance to demand that the interest of its citizens be protected by not approving the proposal until the applicant has meaningfully responded to the requests of the ODF and that detailed and approved plans have been prepared that allow for seasonal shutdowns of the line during periods of high fire danger, and a commitment to stay in compliance with the Oregon Forest Practices Act.

Washington County has been silent in the review of this proposal that has large impacts on the western portion of Washington County and the potential to severely impact revenues coming from the Tillamook forest.  Current proposals shift huge fire protections costs and liabilities to our rural fire districts who can ill afford it.  We are writing to urge Washington County to submit concerns under the 'de novo' rules and demand that no approval be granted until its concerns have been addressed.

Sincerely,