The Yakama Nation suggests a company hoping to build a pump-storage power plant in south-central Washington pay at least $40 million to compensate for destroying tribal cultural and natural resources.

The money could acquire and preserve sacred sites, and collect and cultivate native plants, according to a letter from Tribal Council Chairman Gerald Lewis to the Federal Energy Regulatory Commission.

A Rye Development spokeswoman said Tuesday the company was committed to working with the tribes and state and federal agencies to protect historical and culturally significant sites. The company declined further comment.

The Florida-based company proposes to build Washington’s first large pump-storage power plant along the Columbia River near John Day Dam, 110 miles east of Portland.

Electricity would be generated by releasing water stored in an upper reservoir through an underground powerhouse. The water would empty into a lower reservoir and be pumped back up to the upper reservoir.

Rye promotes the $3.3 billion project as a cornerstone of Washington’s clean-energy future. The Yakama Nation, historic preservationists and environmental groups object to the project’s impacts on tribal culture.

FERC’s staff recommends licensing the project as a cost-effective source of on-demand renewable energy, but acknowledges it will unavoidably harm tribal resources. 

Constructing the reservoirs will remove five archaeological sites and intrude on off-reservation tribal gathering places, including a rock formation called Pushpum, according to a FERC report.

Rye has said it’s willing to adopt a historic preservation plan, which includes using dogs to search for gravesites and halting construction if artifacts are unearthed.

In a letter dated Nov. 1 to FERC Secretary Debbie-Anne A. Reese, Lewis proposed an agreement calling for the tribe to receive $40 million or 1% of the total construction cost, whichever was greater.

At least $30 million should be spent on buying and managing property sacred to the Yakama Nation, according to Lewis. “This requires staff, access to earnest money, closing costs and stewardship programs,” the letter reads.

The other $10 million should be committed to collecting and rehabilitating native plants and seeds, Lewis said.

The payment would not fully compensate the tribe for the loss of sacred sites, he said. “In this case, the significance of the Yakama Nation’s resource cannot be overstated,” the letter reads.

The federal Advisory Council on Historic Preservation in July told FERC the pump-storage project could expand damage to tribal cultural caused by Columbia River dams. The council advises the White House and Congress.

The Danish investment firm Copenhagen Infrastructure Partners owns Rye Development.