The McNary Fisheries Compensation Committee Is Restoring Fish Habitat, 1 Grant at a Time

When Northern Wasco County PUD partnered with Klickitat County PUD in the 1990s to build a 10-megawatt hydroelectric generator at McNary Dam, they created more than just clean energy for our community. They also established 1 of the region’s most effective, yet lesser-known, conservation funding sources, the McNary Fisheries Compensation Committee.
A Partnership Born From Environmental Responsibility
The story of MFCC begins with a challenge. In 1990, Northern Wasco County PUD launched an effort to build a 10-MW hydroelectric power plant on the north shore of McNary Dam, using the Auxiliary Water Supply System that supplements flow at the fish ladder entrance. However, the water system intake is 80 feet below the reservoir forebay elevation, near the bottom of the dam, and cannot be easily screened to prevent juvenile fish from entering.
As a condition of the license, the Federal Energy Regulatory Commission required NWCPUD to reach an agreement with fishery managers to mitigate the potential loss of fish resulting from an unscreened turbine intake. Rather than viewing this as an obstacle, NWCPUD saw an opportunity to create lasting environmental benefits for the Columbia River system.
In July 1991, NWCPUD formally agreed to establish a fund that the power plant owners would pay into each year of facility operations. That money funds projects above McNary Dam that benefit anadromous fish—those that migrate from freshwater rivers to the ocean and back to spawn in their natal streams. When Klickitat PUD joined as a partner in 1994, the collaborative approach to fish habitat restoration was strengthened even further.
How MFCC Works
The committee has 8 members, including representatives from the Oregon Department of Fish and Wildlife, the Washington Department of Fish and Wildlife, U.S. Fish and Wildlife Service, Yakama Nation, 2 from the Columbia River Intertribal Fish Commission, NWCPUD, and the National Marine Fisheries Service, whose representative serves as the committee’s chair. The NWCPUD representative serves as the committee coordinator.
Under the agreement, NWCPUD is required to invest in a trust fund controlled by MFCC. The amount is indexed annually to inflation and has grown from an initial investment of $110,000 to about $250,000 a year. This consistent funding stream, in addition to unspent funds carried over from previous years, has created a substantial resource for fish habitat restoration projects throughout the Columbia River Basin.
Grant Opportunities: Open to Everyone
What makes MFCC particularly unique is its accessibility. Anyone—individuals or groups—can apply for grants. Affiliation with a state resource management agency is not necessary. Grants are awarded to applicants whose projects best meet the goals of the settlement agreement and the committee’s mission: “To fund and support sustainable long-term, cost-effective projects that protect or restore fish and their habitat above the McNary Dam.”
Under several guiding rules, the grant process is designed to be straightforward and flexible:
- No funding limits. The amount requested has no bearing on the decision, as there is no minimum or maximum allowed.
- Continual review. The grants are reviewed on an ongoing basis and do not have to be submitted during a specific cycle.
- Preliminary proposals welcome. A preliminary proposal can be submitted if an applicant is unsure if the project meets the required criteria. The committee will review the proposal and contact the applicant either to request a full application, additional information or offer feedback.
Each application is evaluated on the same criterion: that the project’s potential impacts on anadromous fish stocks above McNary Dam are consistent with the Northwest Power and Conservation Council’s Columbia River Basin Fish and Wildlife Program.
A Track Record of Success
Since 2011, the committee has awarded $2,900,000 in grants for 23 projects. The projects range from lamprey habitat restoration and fish tracking studies to large-scale river restoration efforts. 1 of the most effective projects funded by the committee is habitat restoration on the Cle Elum River, where engineered logjams and structures were placed using helicopter assistance. Within hours of the structural placement, fish were using some of them for habitat.
Getting Involved
For community members, organizations, or agencies with ideas for fish habitat improvement projects above McNary Dam, MFCC represents a unique opportunity to turn a conservation vision into reality. The committee’s preference is to be a co-sponsor of a project, partnering with other funding sources rather than serving as the sole grantor on a project.
As our region continues to balance energy production with environmental stewardship, the McNary Fisheries Compensation Committee stands as a testament to what’s possible when utilities, regulatory agencies, and communities work together toward a common goal.
The MFCC proves that sometimes the most effective conservation efforts happen behind the scenes, 1 funded project at a time, creating a legacy that extends far beyond the original mitigation requirement into lasting benefits for fish, wildlife, and the entire Columbia River ecosystem.