Section 15-1707. Procedure on application for license

1.  Each  applicant  for  a  license  shall submit to the department a
  written  verified  application  in  such  form  as  the  department  may
  prescribe  and  containing  such  data or information of the applicant's
  project as the department  may  require.  It  shall  be  accompanied  by
  proposed  plans  and specifications showing the nature and extent of the
  applicant's proposed  development  and  estimates  of  cost  as  may  be
  required  for  a  full understanding of the proposed project. Such maps,
  plans and specifications when approved by the department shall be made a
  part of the license; and thereafter no changes shall  be  made  in  such
  maps,  plans  or  specifications  until  such  changes  shall  have been
  approved and made a part of such license by the department. Applications
  shall be filed with the department in the order of their receipt.
    2. Each license covering water power sites  or  lands,  the  title  to
  which  is vested in the state, shall require the payment by the licensee
  of an annual charge measured by a fair rental value  thereof;  in  other
  cases,  except where the state has no proprietary interest, an equitable
  annual charge may be made, in determining  which  the  department  shall
  give  consideration  to  the  cost  of  producing  power  by  others  in
  competition with the licensee;  and  every  license  shall  require  the
  payment  by  the  licensee  of  an  annual  charge  for  the  purpose of
  reimbursing the state for the cost of administration of  the  provisions
  of  title  17  of this article. The department, by resolution, shall fix
  and determine such annual charge, and the time or stage  of  development
  from  which  rentals  are  to  be  computed,  whereupon  if  one or more
  applicants signifies his readiness, and establishes to the  satisfaction
  of  the  department  his ability, to construct and maintain the proposed
  project, to pay the charge  or  rental  fixed  by  the  department,  and
  otherwise  to  comply with the provisions of title 17 of this article in
  the use of such water  and  property,  it  shall  give  notice  of  such
  determination and of a time, not less than fifteen days from the date of
  the  first  publication  of the notice, and of the place of a meeting of
  the department to take action on such application or applications.
    3. A copy of such determination and notice shall be served  upon  each
  applicant  for  the  license  not less than fifteen days previous to the
  date set for the hearing. If the application applies to  or  may  affect
  any  canal  or  canal feeder waters, a like notice shall be given to the
  Commissioner of Transportation. The department  shall  also  cause  such
  notice to be published as provided in subdivision 1 of section 15-0903.
    4.  At  the time and place designated in such notice, or at a time and
  place to which the  meeting  may  be  adjourned,  the  department  shall
  determine  whether  the  plan  or  plans set forth in the application or
  applications on file with the department, or any such plan, is or may be
  consistent with the proper development, conservation and utilization  in
  the  public  interest  of  power  resources of the water shed, stream or
  localities to be affected by the determination. If  it  shall  determine
  that  any of the plans is consistent with such development, conservation
  and utilization and that there is no reason why the water power involved
  should at the time be withheld in the public interest  from  development
  by  private  interests, it may grant the application. If there be two or
  more such applications it shall  decide  which  of  the  plans  is  most
  suitable for the proper development, conservation and utilization in the
  public  interest  of the water power resources of the water shed, stream
  or locality affected.
    5. The department in granting the license shall accord a preference to
  the  applicant  whose  plans,  being  approved   under   the   preceding
  subdivision,  are  best adapted to properly develop the water power site
  or sites covered by the application, provided that it is satisfied  that

  such  applicant  is reliable and responsible and capable of consummating
  the project; and provided further that as  between  two  or  more  plans
  equally  well  adapted to such purpose, a preference may be given to the
  application  of  a  municipal  corporation,  if an order shall have been
  previously  made  by  the  Public  Service  Commission   approving   the
  installation  of  a  municipal  power plant which it proposes to install
  under the license, or in default of such an application  to  a  riparian
  owner,   and,  otherwise,  to  the  application  first  filed  with  the
  department; and provided further that the department  may  impose  as  a
  condition  of  granting the license that the plan be modified to improve
  the development or otherwise conserve the  public  interest  or  protect
  private rights.
    6.  The department from time to time, either before or after a license
  is granted, may permit minor changes and corrections to be made  in  any
  map,  plans  or  specifications filed by an applicant for the purpose of
  improving the same. It may also permit changes to be  made  therein  for
  the purpose of better adapting the same to the development, conservation
  and  utilization  in the public interest of the water power resources of
  the water shed, stream or locality affected.  No  correction  or  change
  shall  be made under this subdivision until the same has been authorized
  by a resolution adopted by the department.