PG&E may be in violation of its license to operate the Potter Valley Project if it moves ahead with plans to leave the spillway gates at Scott’s Dam this spring and in the future. The utility says increased risk of seismic activity motivated the decision to leave the spillway open, however, the Federal Energy Regulatory Commission has stated in a letter to PG&E, that decision could violate its mandate to protect federally endangered species by reducing water storage in Lake Pillsbury.