Malisani_dh.doc

August 28, 2000

Don Malisani
Avista Corporation
MSC-25
PO Box 3727
Spokane, WA 99220-3727

Re: Abandonment of the Camas Prairie’s Grangeville Line

Dear Mr. Malisani:

Pursuant to our telephone conversation last week, I have enclosed for your information three documents regarding the abandonment of the Camas Prairie Grangeville line. First, the large document is the Railroad’s net liquidation value (NLV) appraisal for its right-of-way. As we spoke on the telephone, the Railroad believes that it owns 1,039 acres “in fee.” The second document is labeled “Idaho Protest Exhibit 2” which are copies of the “Schedule of Property” tables contained on the first nine right-of-way maps for the Grangeville line from Spalding to near Craigmont. It is the state of Idaho’s position that land parcels acquired either under the Act of March 3, 1875 (e.g., Parcel No. 1 on page V-7(1)) would revert to the underlying or adjacent property owner. Other parcels (e.g., Parcel No. 2 on page V-7(1)) where the property title is retained in the “Records of the Secretary of the Interior” are reversionary property that may be retained by the Secretary of the Interior for the benefit of the Nez Perce Tribe.

The third document shows an updated and more detailed Exhibit A, “Estimate of Land Parcel Areas” providing a detailed schedule of property the Railroad believes it owns. Again, Idaho maintains that the property denoted in the “Deed Instrument” column as an “Act of Congress” or “Sch of Damages” are probably reversionary and not owned in fee by the Railroad.

I hope you find this information helpful. If I can provide additional information, please contact me.

Sincerely yours,

Donald L. Howell, II
Deputy Attorney General

Enclosures

Vld/LMalisani:_dh