Why is FERC asking for comments on headwater benefit payments again?

What the form actually does

A headwater benefit is not a subsidy. It is a calculation.

When an upstream reservoir regulates river flow, a downstream hydropower plant can generate more energy than it would under natural conditions. Section 10(f) of the Federal Power Act requires the downstream licensee to reimburse the upstream owner for an equitable portion of that extra production. FERC-521 is the information collection that makes the calculation possible. The Commission uses data filed under 18 CFR Part 11 to determine the benefit amount. The form itself does not set the payment. It supplies the numbers that feed the formula.

This collection has been in place for years. The current notice seeks a three-year extension with no changes to the reporting requirements. The OMB control number is 1902-0087. A 60-day comment period preceded this notice. No comments were received during that earlier window.

Who files and what the burden looks like

Three respondents file each year. The respondents split into two categories. Federal owners include the U.S. Army Corps of Engineers and the U.S. Department of Interior Bureau of Reclamation. Non-federal owners cover any municipal or non-municipal hydropower project holder.

Each respondent submits one response annually. The Commission estimates 40 hours per response. At $102 per hour — derived from the FERC FY 2026 average salary plus benefits of $213,003 — that equals $4,080 per respondent. Total annual burden across all three respondents: 120 hours and $12,240.

Burden is defined as the total time, effort, or financial resources expended by persons to generate, maintain, retain, or disclose or provide information to or for a federal agency. The hourly cost estimate assumes industry costs are similar to the Commission's own average. The notice does not report whether any headwater benefit payments were actually assessed or paid during the current cycle.

How to comment and what the agency wants to hear

Comments are due October 19, 2026. They go to OMB through reginfo.gov or by email to DataClearance@FERC.gov with docket number IC26-36-000 and collection number FERC-521. A copy must also go to the Commission.

If electronic filing is not possible, comments may be sent by U.S. Postal Service to Federal Energy Regulatory Commission, Secretary of the Commission, 888 First Street NE, Washington, DC 20426. All other delivery methods go to 12225 Wilkins Avenue, Rockville, MD 20852.

The agency asks for input on four points: whether the collection is necessary for Commission functions, whether the burden estimate is accurate, how to improve quality and clarity, and how to minimize burden through automation or technology. This is a routine renewal under the Paperwork Reduction Act of 1995. The notice does not propose rule changes. For further information contact Kayla Williams at (202) 502-6468 or DataClearance@FERC.gov. The notice was dated September 15, 2026 and signed by Debbie-Anne A. Reese, Secretary.

The legal backdrop and what happens next

The Paperwork Reduction Act requires agencies to seek OMB approval every three years for any information collection that imposes a burden on the public. FERC published a related notice on July 13, 2026 opening the 60-day comment period. That period drew zero responses. This second notice opens the 30-day window.

After the comment period closes, FERC will compile any submissions and forward the package to OMB for review. OMB can approve, modify, or disapprove the collection. If approved, the current reporting requirements continue unchanged for another three years. The docket number is IC26-36-000. The Federal Register citation is 91 FR 59123. The document number is 2026-19200.