Section 1.674 - How will the Forest Service analyze a proposed alternative and formulate its modified condition?(a) In deciding whether to accept an alternative proposed under § 1.671 or § 1.672 , the Forest Service must consider evidence and supporting material provided by any license party or otherwise reasonably available to the Forest Service, including:(1) Any evidence on the implementation costs or operational impacts for electricity production of the proposed alternative;(2) Any comments received on the Forest Service's preliminary condition;(3) Any ALJ decision on disputed issues of material fact issued under § 1.660 with respect to the preliminary condition;(4) Comments received on any draft or final NEPA documents; and(5) The license party's proposal under § 1.671 or § 1.672 .(b) The Forest Service must accept a proposed alternative if the Forest Service determines, based on substantial evidence provided by any license party or otherwise available to the Forest Service, that the alternative: (1) Will, as compared to the Forest Service's preliminary condition:(i) Cost significantly less to implement; or(ii) Result in improved operation of the project works for electricity production; and(2) Will provide for the adequate protection and utilization of the reservation.(c) For purposes of paragraphs (a) and (b) of this section, the Forest Service will consider evidence and supporting material provided by any license party by the deadline for filing comments on FERC's NEPA document under 18 CFR 5.25(c) .(d) When the Forest Service files with FERC the condition that the Forest Service adopts as its modified condition under § 1.673(a)(2) , it must also file:(1) A written statement explaining:(i) The basis for the adopted condition;(ii) If the Forest Service is not accepting any pending alternative, its reasons for not doing so; and(iii) If any alternative submitted under § 1.671 was subsequently withdrawn by the license party, that the alternative was withdrawn; and(2) Any study, data, and other factual information relied on that is not already part of the licensing proceeding record.(e) The written statement under paragraph (d)(1) of this section must demonstrate that the Forest Service gave equal consideration to the effects of the condition adopted and any alternative not accepted on:(1) Energy supply, distribution, cost, and use;(6) Preservation of other aspects of environmental quality.