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Xcel Energy' Yt41U MSIDtr YY NAiIl Nf' 414 Nicollet Mall Minneapolis, Minnesota 66401-1993 ' September 23, 2010 [Name] (Address] RE: Request for Comments of Proposed Orono Substation Expansion and ' New 115kV Transmission Line Project City of Orono Zoning Application#10-3486 PUC Docket No.E002/LR-10-957 ' Dear [Name]: Northern States Power Company,a Minnesota corporation(Xcel Energy), is requesting a Conditional Use Permit(CUP) from the City of Orono to expand the existing Orono Substation and construct a new 115 kilovolt(kV)transmission tine to connect the expanded substation to an existing Xcel Energy 115kV transmission Line 0831 (see Figure 1). The expansion and upgrade will include a complete rebuild of the existing substation,an increase in operating voltage from 691cV to 115kV, and a new 115kV transmission line(Project). Attached is a fact sheet with additional Project information. ' The purpose of this letter is to request your comments on the Project and on the scope of the Environmental Assessment(EA)that will be prepared for the Project. The EA is required as part of the ' approval process for the Project. A draft of the table of contents of the EA is attached for your reference. The EA will address items listed in the attachment. Should you have other questions,comments or suggestions regarding the contents of the EA,please provide those to me at the address indicated below. ' The following provides further information regarding the Project. Orono Substation The Orono Substation is located at 3960 Sixth Avenue North, Orono, Hennepin County,MN 55356. The Project site consists of approximately 16 acres and is located in the SW 1/4 of the SW1/4 of Section 29 and the NW 1/4 of the NW '/ of Section 32,Township 118 North,Range 23 West. The Project area is ' bounded by State Highway 12 (Wayzata Boulevard) and the Burlington Northern Santa Fe Railroad to the north, County Road 6(6th Avenue North)to the south and east,with a residential property boundary to the west. The property contains an existing substation in the southwest corner of the property that is ' surrounded by open meadow with scattered trees. The remainder of the property is comprised of wetland.Adjacent land use consists of large-lot,single-family homes to thewest and south,wetland to the north,and a highway interchange to the east. ' Project Need The Project is needed to increase system reliability and reduce the risk of overloads. The increase in ' voltage from 69kV to 115kV is needed to improve local reliability and to allow for additional load growth in the future.