Renovation Gives Historic Conference Center Fresh New Look

Alcoa’s Badin Conference Center has a fresh new look, thanks to a renovation project nearing completion.

The center, owned by Alcoa, is benefiting from $45,000 in improvements, including restoration of the building’s single-pane windows, fresh paint on the interior, and an exterior pressure wash.

The work was performed by Stokes Construction Co. of Albemarle.

“The Badin Conference Center provides an important service to the community, in addition to supporting Alcoa’s need for meeting space,” said Mark Stiffler, Director of Asset Management for Alcoa. “This project protects this historic building and ensures it will be available for years to come.”

The conference center was built by Alcoa in 1916 and operated as the Badin Hospital.  After the Hospital stopped operating, Alcoa utilized the facility for various office and administrative purposes. In 1988, Alcoa spent $288,000 to complete a historically correct renovation to the facility and converted it into a conference center and training facility.

Since that time, various Alcoa, Town of Badin and retiree group meetings have been held there.  During the Town of Badin’s Strategic Planning project in 2009, funded by an Alcoa Foundation grant, monthly planning meetings were held in the Badin Conference Center.

Remaining work on the restoration project, expected to be completed in the coming weeks, includes repointing and sealing bricks on the exterior of the building.

Alcoa Power Generating to Challenge State’s Effort to Revoke Water Quality Certificate

Alcoa Power Generating Inc. is disappointed and surprised by the state’s plans to start proceedings to revoke the Yadkin Project’s 401 Water Quality Certificate and will immediately challenge the state’s effort, the company announced today.

The certificate, which lays out a plan for APGI’s Yadkin Project to meet water standards, was issued in 2009 by the North Carolina Division of Water Quality and is currently under appeal by APGI and other parties.

“Our team of experts developed a comprehensive plan to improve water quality and we are already seeing improvement,” said Rick Bowen, president of Alcoa Energy. “We do not believe the state’s decision is justified or appropriate.

“We believe that rather than continue litigation, it would be better to work together toward an outcome that protects the environment and promotes economic development and jobs for residents of North Carolina.”

APGI, a subsidiary of Alcoa, is currently applying to the Federal Energy Regulatory Commission for a new operating license for the Yadkin Project. FERC will not issue a license until a 401 Water Quality Certificate is granted by the state of North Carolina. 

In May 2009, the state’s Division of Water Quality issued a certificate that included a plan to install new technology at APGI’s Yadkin Project to improve dissolved oxygen (DO) levels. The installation is not yet complete, but already DO levels are meeting the state’s standards much of the time. At the Falls Dam, for example, DO standards were met 97 percent of the time in 2009

“This same technology is widely and successfully used in the hydropower industry, including more than 15 locations in North Carolina and surrounding states,” Bowen said.

Throughout the 401 application process, APGI worked with state officials, supplying information in the form of monitoring data and other reports to document our approach to meeting water quality standards. No material information was withheld from the state of North Carolina.

“Alcoa Power Generating understands that meeting water quality standards is not optional,” Bowen said. “If the state of North Carolina is concerned that this technology is not adequate, the current 401 certificate contains a ‘reopener’ that allows new conditions to be imposed.

“The state’s decision to revoke our current certificate is unreasonable and was taken without adequate notice or opportunity for response. We plan a vigorous response.”

FORTUNE: Alcoa and the great North Carolina power grab

The December 6 issue of FORTUNE hits newsstands this week with an article about the "great North Carolina power grab." 

The article describes the issues surrounding the Yadkin Project relicensing.  You can read the article here: 

http://features.blogs.fortune.cnn.com/2010/11/30/alcoa-and-the-great-north-carolina-power-grab/

Update on 401 Hearing

The hearing regarding the 401 Water Quality Certificate is currently in recess and will resume in Raleigh on Monday, November 15. The hearing is expected to conclude in February 2011.

Since the hearing began on September 27, Administrative Law Judge Joe Webster has heard three weeks of testimony regarding the NC Department of Environment and Natural Resources' May 2009 decision to issue a water quality certificate for the Yadkin Project.  

Droughts Conditions Developing along the Yadkin River

People who like to spend time fishing, boating and playing on the lakes along the Yadkin River have enjoyed consistently high water levels throughout the summer recreation season.  But now comes news that the Yadkin-Pee Dee River Basin is beginning to experience drought conditions. 

The NC Drought Monitor has classified more than 10% of the region as “Moderate Drought.” The National Weather Service has indicated that, based on low stream flows in the Upper Yadkin, drought conditions could worsen. 

We are closely monitoring the developing drought conditions and taking steps to minimize the impact of a drought before it even arrives.

To protect the water supply and downstream environment, Alcoa Power Generating Inc. (APGI) will reduce the amount of water it sends downstream (targeting a weekly average release of 1,000 CFS) and begin working with the Yadkin Drought Management Team to identify how to minimize the impact of drought conditions.  The team – comprised of state and federal agencies, hydropower operators, local homeowners, business interests and others – will meet on September 30 to discuss drought conditions, including factors such as actual and forecasted stream flow, precipitation, and ground water levels.

Stay tuned for further information about drought conditions, or visit the NC Drought Monitor for the latest news and updates. 

Alcoa responds to Senate committee

Alcoa has delivered a letter to Sen. Fletcher L. Hartsell, Jr., chairman of the Senate Judiciary II committee, defending the company’s safety and environmental record in North Carolina.

“Alcoa has been a good corporate citizen for more than 120 years, including nearly 100 years in North Carolina, is proud of both its environmental and worker safety records and wants to ensure there is a fair exposition of the matters discussed by your Committee,” wrote William J. O’Rourke, Alcoa vice president of sustainability, environment, health and safety.  The letter responded to questions raised during a meeting of the Senate Judiciary II committee on July 6, 2010. 

Click here to read the entire letter.

UNC-TV Releases Emails Between Reporter, Former Board Member

UNC-TV has released additional copies of unredacted emails between reporter Eszter Vajda and Bruce Thompson, a Stanly County lobbyist who served as a member of the UNC-TV Board of Trustees during the development of Vajda’s controversial series on Alcoa.  The UNC-TV segments have been widely criticized by journalism professors as slanted, unsupported by the facts and failing to meet accepted journalism standards.  The additional emails shed even more light on how the production was influenced by those outside of UNC-TV.


Thompson is one of several Alcoa opponents -- including former House Speaker Richard Morgan, political consultant Carter Wrenn and Stanly County banker Roger Dick -- who worked closely with Vajda as part of a coordinated effort to support a government takeover of Alcoa Power Generating Inc’s Yadkin Project. The recently released emails indicate that Vajda asked for feedback from Thompson on drafts of stories about Alcoa and forwarded to him internal UNC-TV emails about the station’s resistance to produce a documentary about Alcoa.  


Thompson resigned his seat on the UNC-TV board on September 7. He requested that UNC-TV make available unredacted copies of his email correspondence with Vajda.  Click here to view the emails.


Click here to read more about the UNC-TV issue and view the complete set of public records originally provided by UNC-TV.

NC Division of Public Health: PCBs in Badin Lake fish can’t be directly linked to Alcoa

Alcoa has received a memo prepared by the NC Division of Public Health (DPH) in July 2010 that casts a great shadow of doubt over contentions that Alcoa is solely responsible for PCBs found in Badin Lake.


The memo, provided to Alcoa as a public record from Stanly County, indicates that Alcoa cannot be identified as the source of PCBs found in Badin Lake fish.   


“It is possible that the PCBs in Badin Lake have been contributed from sources other than the Alcoa facility.  As far as DPH knows, upstream sources of PCBs have not been evaluated,” the memo states.


Click here to read the entire memo.


Alcoa has long believed that upstream sources of PCB contamination deserve closer scrutiny.  The NC Division of Water Quality has reported that fish in the Yadkin River near Mocksville – well upstream of Badin Lake – have PCBs levels similar to the fish in Badin Lake.


There are 4,500 square miles that drain into the Yadkin Project and more than 100 industrial users and municipalities are permitted to release discharges into the Yadkin River upstream of Badin Lake.

Judge denies motions for summary judgment

A planned hearing on whether the N.C. Division of Water Quality properly issued a water quality certificate for the Yadkin Hydroelectric Project will move forward on September 27, following today’s ruling by Administrative Law Judge Joe Webster to deny all motions for summary judgment.

We look forward to a full hearing on these issues and are fully prepared to present our case at trial.  It has been more than 16 months since the Division of Water Quality announced that the Yadkin Project met the standards for Section 401 certification, and we are eager for these issues to be resolved so FERC will act on our relicensing application.

Alcoa begins modernization project in western North Carolina

Alcoa announced the kickoff of a $110 million modernization project at Cheoah Dam, one of four hydroelectric dams that make up Alcoa Power Generating Inc.’s Tapoco Project.  This modernization effort demonstrates Alcoa's commitment to follow through on its relicensing commitments in a timely manner.


Alcoa kicks-off Cheoah Dam Modernization Project: 
New generators, turbines, transformers to increase efficiency

Alcoa today kicked off a $110 million modernization project at Cheoah Dam, one of four hydroelectric dams that make up Alcoa Power Generating Inc.’s Tapoco Project.  The modernization effort will increase the dam’s efficiency and energy output and increase the life of the dam by at least another 40-50 years.

“Hydropower is clean, renewable, reliable and efficient,” said Rick Bowen, Alcoa Energy President. “These attributes equal sustainability – sustainable energy and sustainable jobs. That’s why we are looking forward to replacing the four 90-year-old Francis turbines with four new high-efficiency turbines, generators, and transformers which will provide an additional 22 megawatts of generating capacity at APGI’s Tapoco Cheoah plant.”

The modernization follows the recent relicensing of the Tapoco project by the Federal Energy Regulatory Commission. The new 40-year license was effective March 1, 2005 and outlines protection, mitigation, and enhancement measures for the Project that address ecological resources as well as other beneficial uses of the Cheoah and Little Tennessee Rivers, including hydropower generation, watershed protection, endangered species enhancement, fish passage and recreational opportunities.

Click here to read the complete press release.

When the Cheoah Dam was completed in 1919, it was the world’s highest overflow dam at 225 feet.  The dam was made famous by serving as the backdrop of the jump scene in the 1993 major motion picture, The Fugitive, starring Harrison Ford.

YES!Weekly revisits the Eszter Vajda case

Here's an interesting take on the UNC-TV stories from Eszter Vajda by YES!Weekly reporter Keith Barber. 

After reviewing the public records from UNC-TV, Barber writes: "It appears the pressure placed on UNC-TV management didn’t come from Alcoa, but from politicians like Basnight. Therefore, if UNC-TV management laid a finger on Vajda’s Alcoa segments, state legislators, Gov. Beverly Perdue’s administration and every single Alcoa opponent would’ve cried foul."

Revisiting the Eszter Vajda case

By Keith Barber

The Society of Professional Journalists Code of Ethics dictates that journalists must be accountable to their readers. “Admit mistakes and correct them promptly,” the code of ethics states. That is why I want to revisit the case of Eszter Vajda, the former UNC- TV reporter who was fired by the public broadcasting station on Aug. 17.

In my column published in the Aug. 18 edition of YES! Weekly, I harshly criticized the management of UNC-TV for a series of blunders over the past seven weeks. When I filed my story, it appeared the station’s management team was building a case against Vajda.

My instincts proved correct. But now I realize that UNC- TV was completely justified in dismissing Vajda.

Two face-to-face meetings with Vajda, a six-year veteran of UNC-TV, and her researcher/collaborator Martin Sansone had left me with the impression that the station had purposefully distanced itself from Vajda’s documentary, The Alcoa Story, and her three-part series about Alcoa’s efforts to re-license the water rights to a 38-mile stretch of the Yadkin River for another 50 years. The series aired on “North Carolina Now” last month. But I only heard one side of the story in those meetings.

Each time I solicited input from UNC-TV, I was told to speak with the station’s spokesman, Steve Volstad. Typically, I would leave voicemail messages and Volstad would respond via e-mail. Volstad was responsive but would not comment on personnel matters. Vajda’s disciplinary review on Aug. 13 fell under that category.

And then there was the disclaimer that UNC-TV added to the beginning and ending of parts two and three of the “North Carolina Now” series. “For the first time in its network’s history, UNC-TV has made the decision to refrain from exercising its customary editorial review over an individual reporter’s project,” the disclaimer read. “The reason for this unusual step is to alleviate any concerns surrounding unfounded and untrue allegations of inappropriate suppression by UNC-TV management of the reporter’s ability to tell this important story.”

The disclaimer threw me for a loop; I was not alone.

A panel of three professors from the UNC School of Journalism and Mass Communication blasted UNC-TV for its “ill-advised” decision to abdicate its editorial responsibilities. But once I learned the whole story, I understood the unorthodox move by the station’s management.

On Aug. 18, I traveled to Research Triangle Park to pick up a DVD that contained more than 5,800 internal documents from UNC-TV as part of a public-records request by YES! Weekly. When I began sifting through the internal e-mails and memos (many of which had been entirely redacted), my heart began to slowly sink.

In one e-mail message, Vajda thanked Roger Dick, a Stanly County community activist and one of Alcoa’s most outspoken critics, for taking her to dinner. The SPJ Code of Ethics states, in part,

“Refuse gifts, favors, fees, free travel, and special treatment.”

Vajda’s e-mails also reveal her alliances with politicians, state officials and special-interest groups adamantly opposed to Alcoa’s bid for another 50 years of control over the Yadkin River. Richard Morgan, the former NC Speaker of the House and a paid consultant for the NC Water Rights Committee, paid Sansone $3,000 for his consultancy services. Considering Sansone and Vajda’s close personal and professional relationship, this represented a major conflict of interest for Vajda.

“Avoid conflicts of interest, real or perceived,” the SPJ Code of Ethics states. “Remain free of associations and activities that may compromise integrity or damage credibility.”

UNC-TV’s internal documents depict a power struggle between Vajda and station management over how the Alcoa story should be presented. Vajda lobbied hard for a full-length documentary, while Shannon Vickery, the station’s director of programming, and news anchor Mitchell Lewis maintained that the station simply didn’t have the resources to produce a lengthy piece on Alcoa.

It appears Vajda attempted to go over the heads of her direct supervisors and make her plea to UNC-TV Director and General Manager Tom Howe. But Vickery canceled the April 23 meeting and gave her a protocol warning. On at least two occasions, Vickery and Lewis reminded Vajda that her request to produce a documentary had been denied, and she should not give the impression UNC-TV was going forward with a long-form story. UNC-TV Production Manager Karen Pearce also complained about Vajda’s reluctance to follow station protocol, saying that Vajda pulled resources assigned to “Legislative Week in Review” for her story on Alcoa, and then canceled the shoot at the last minute.

On June 28, NC Secretary of Commerce Keith Crisco arrived at UNC-TV headquarters and met with Vickery to discuss the status of the Alcoa story. Crisco brought a release form that would allow for the Department of Commerce to take possession of Vajda’s tapes and incorporate the footage into a documentary production. Sansone composed the release form with Vajda’s full knowledge. The release form included language that would have allowed Vajda to edit her footage as a third party at some point in the future.

Vajda admitted she did not divulge her actions to Vickery, Lewis or anyone at UNC-TV. This end-run around management was orchestrated by Vajda, and constitutes insubordination on her part. Insubordination is grounds for dismissal.

Much to her credit, Vickery denied Crisco’s request. Vajda’s raw tapes remain in UNC-TV’s possession. Other e-mails reveal Vajda’s inappropriate reaction to her tapes being subpoenaed by NC Sen. Fletcher Hartsell for review by the Senate Judiciary II Committee. In an e-mail to

WUNC-FM reporter Laura Leslie, Vajda stated, “This is something I’m happy with!… Hartsell is saving my ass!” Critics called Hartsell’s action a violation of the First Amendment, but inexplicably, Vajda was pleased by the development.

Meanwhile, Howe and Vickery were fighting to protect Vajda’s privileged materials from the clutches of the Senate committee. While Vajda was ecstatic, UNC-TV management was pleading with UNC System President Erskine Bowles to persuade Hartsell to cease and desist. Bowles offered no support, and simply told UNC-TV management to follow their lawyers’ advice. There was no unanimity on the legal issues, and it wasn’t clear if North Carolina’s Shield Law applied to UNC-TV, but the laws regarding state agencies certainly did. With great reluctance, UNC-TV turned over Vajda’s footage. A dangerous precedent had been set, but it would be unfair to blame UNC-TV’s management for the reckless actions of politicians and state officials.

A June 25 letter from Howe to state Sen. Marc Basnight sheds light on the disclaimer. After a phone conversation with Basnight, Howe composed a letter denying any pressure from Alcoa or anyone else leading to decisions regarding the format and timing of the Alcoa segments.

“I am completely confident that no impropriety of any sort exists in regard to the editorial or production processes associated with this project,” Howe states.

It appears the pressure placed on UNC-TV management didn’t come from Alcoa, but from politicians like Basnight. Therefore, if UNC-TV management laid a finger on Vajda’s Alcoa segments, state legislators, Gov. Beverly Perdue’s administration and every single Alcoa opponent would’ve cried foul.

The SPJ Code of Ethics is a living document, and each story brings with it a unique set of ethical challenges. Vajda should be commended for diving into the Alcoa story, and telling the human drama behind the political battle. But Vajda found herself in over her head, and in her quest to make a name for herself she crossed the line time and time again. Vajda’s actions also set off a chain of events that led to a dangerous precedent, which has caused irreparable damage to UNC- TV’s credibility. In the end, the station’s management had no choice but to fire her.

Questions about the future of UNC-TV linger:

Can UNC-TV regain the trust of its audience and therefore, enable its reporters to tell important stories? Can the state’s Shield Law for journalists be extended to state agencies?

In the name of public enlightenment and the protection of our democracy, I pray the answer to both questions is a resounding “yes.”

UNC -TV Email Records Raise Questions about Anti-Alcoa effort

Public records provided by UNC-TV show that a video by Eszter Vajda was part of a coordinated campaign by groups opposed to Alcoa Power Generating Inc.'s effort to obtain a new operating license for the Yadkin Project.  Although the records provided by UNC-TV are heavily redacted, the emails uncovered:

* A $3,000 payment by opposing groups to a researcher working with Vajda on the UNC-TV story.  That revelation – breaking what UNC journalism professor Leroy Towns called the cardinal sin of journalism – has raised concerns about the credibility and integrity of the reports and the efforts to discredit Alcoa.

* Vajda was coordinating her actions with political adversaries of Alcoa Power Generating.

* Vajda told those adversaries to by-pass her work email and use her personal email address.

Emails indicate that Vajda and researcher Martin Sansone frequently joined APGI's opposition –including former House Speaker Richard Morgan, political consultant Carter Wrenn, Stanly County banker Roger Dick and Stanly County lobbyist Bruce Thompson – to coordinate their efforts.
                                
Morgan is involved in developing strategy for the NC Water Rights Committee, a group that was created by Thompson to oppose APGI's relicensing effort. Coincidentally, Thompson is a board member at UNC-TV.

Click here to the view a copy of the public records and click on articles below to learn more about this issue:
                                                    
Laura Leslie: Isaac Hunter’s Tavern (August 18, 2010)
Vajda out 
UNC-TV Production Director Shannon Vickery confirmed today that Senior Legislative Correspondent Eszter Vajda “is no longer employed” by the station.  Vickery couldn’t comment further, citing confidentiality reasons. 
Sources at the station say Vajda was the subject of a disciplinary hearing late last week, even before Saturday’s news stories that revealed she’d taken money from former House Co-Speaker Richard Morgan.

John Locke Foundation (August 18, 2010)
Alcoa Documentary “Researcher” Lied to WFAE?
Latest twist in the UNC-TV documentary on Alcoa and its North Carolina operations involves a globe-trotting “researcher” getting $3000 from an anti-Alcoa activist (and former best-bud of Jim Black, Richard Morgan.)
That researcher/aspiring filmmaker, Martin Sansone, yesterday told WFAE that the $3000 from Morgan was needed to help get him back in the country following the volcano eruption in Iceland which shut down air travel from Europe earlier this year.
But UNC radio Laura Leslie notes that the eruption did not happen until after Sansone and Morgan worked out the payment plan.

WFAE Radio (August 17, 2010)
$3,000 Payment Lands UNC-TV, Reporter More Scrutiny
If you're a reporter, you don't accept payment from sources or the people you're covering. It's a basic tenet of journalism ethics. 
But the e-mails that Alcoa received from UNC-TV show that money did change hands. A researcher received $3,000 from former House Speaker Richard Morgan for his work on the series. 
That's significant because Morgan now works for the North Carolina Water Rights Coalition, which is the most vocal opponent of Alcoa's hydropower operation on the Yadkin River.
“It’s further confirmation that the TV report was part of the opposition's effort to seize Alcoa Generation's property,” says Alcoa spokesman Mike Belwood.

The News & Observer (August 14, 2010)
Alcoa foe paid worker on TV story
A researcher who worked on UNC-TV news stories critical of the aluminum company Alcoa took money from a consultant fighting the company's control of dams on the Yadkin River.
Former House Speaker Richard Morgan, who works for the N.C. Water Rights Committee, gave $3,000 to Martin Sansone, a long-time friend of Eszter Vajda, the UNC-TV correspondent who reported stories about Alcoa that aired last month.

UNC Journalism Professors Critical of UNC-TV Series

Journalism experts have criticized a three-part series about Alcoa that was broadcast on UNC-TV on July 6-8, saying the segments did not meet universally accepted journalism standards and should not have been accepted for broadcast.

Alcoa has obtained a draft memorandum prepared by a panel of three journalism professors from the UNC School of Journalism & Mass Communication.  The review by Leroy Towns, Andy Bechtel and Jim Hefner cites a “breakdown in the editorial process” that resulted in “an unbalanced and slanted view” of these issues that is “unsupported by the facts.”

Because the UNC-TV series is being distributed widely by Alcoa’s opponents, it is important for people to understand that independent journalism experts have raised serious concerns about the credibility of the stories.  Viewers need to know the series has serious flaws and should not be taken at face value. 

For more analysis about the UNC-TV series, click here to read a related blog post by Leroy Towns.

“Sources are stacked on one side, statements about health risk and environmental damage are made without credible sources, 40-year-old documents are made to look modern, and a lawyer for people suing Alcoa dominates. Additionally, Alcoa projects in other states are slid into the program so that they appear to reflect on the Yadkin project and facts favorable to Alcoa were ignored,” Towns writes.  “Any UNC journalism student producing this kind of “story” would get a failing grade.”

Read more about this story from WRAL TV or the Carolina Journal.

Report from the Legislature

In the waning hours of this year's legislative session, the NC General Assembly passed a bill to create a Uwharrie Regional Resources Commission that will "encourage quality growth and development while preserving the natural resources of the Uwharrie region of North Carolina." 

                                               

The Uwharrie Commission is an advisory group with a broad scope and no regulatory authority.  It is very different from the Yadkin River Trust bill that was defeated last year.

                                               

Efforts during the legislative session to resurrect the Yadkin River Trust legislation were unsuccessful. 

                                               

Thank you to all those who supported us during this legislative session as we worked to prevent a government takeover of our property.

Video: The Facts About Alcoa

There's been a lot of discussion about Alcoa.  We want to make sure you hear the truth.


Please take 3 minutes to watch this short video to hear the facts about Alcoa.  From Stanly County residents.  From elected officials.  And from the people who live along the lakes of the Yadkin River.

Click here to watch the video.

Brockovich Comes to North Carolina

Erin Brockovich traveled to North Carolina yesterday to discuss her life as an environmental activist and weigh in on the Yadkin River Trust.  Alcoa is proud of its environmental stewardship of the Yadkin River and is continuing to invest in improvements that will improve water quality.

You can click here to read an interesting story about Brockovich’s visit in the Carolina Journal.

Half Truths... The Most Cowardly of Lies

Mark Twain said it best: A half truth is the most cowardly of lies.

The recent ads being put out from the NC Water Rights Committee are filled with half truths about Alcoa’s environmental track record.

Here is what the ads don’t tell you:

Alcoa began testing Badin Lake for PCBs in late 1996.  This data was shared with the NC Department of Health and NC Department of Environment and Natural Resources in early 1997.  The NC Department of Health’s prompt conclusion: the PCBs should not pose a significant health risk. 

The ads also don’t tell you that the state has found similar levels of PCBs in fish in portions of the Yadkin River near Mocksville, well upstream of the Badin Works plant, or that some of the highest levels of PCBs in fish in Badin Lake were also upstream of Badin Works.

Don't be distracted by the scare tactics of the NC Water Rights Committee.  This is simply an attempt by them to mislead people about their support for a costly government takeover of Alcoa's property.  

Tax Day: A Good Time To Consider How Our Tax Dollars Are Spent

When you file your tax return today, it’s a good time to stop and think about how your tax money is being spent.

In Stanly County, the Commissioners have already spent more than $3 million of tax revenue – without any public debate – on lawyers, lobbyists and other expenses related to its push for a government takeover of Alcoa’s property.  In the first two months of 2010, the Commissioners have spent more than $300,000.  They are on pace to spend an additional $2 million this year alone.

Meanwhile, Gov. Perdue supports a costly government takeover despite the financial crisis facing our state.  With lagging revenue projections, North Carolina predicts a budget shortfall of almost $800 million this year. But that hasn’t stopped Gov. Perdue from continuing to push for a government takeover that could cost taxpayers up to a half billion dollars.

The Wall Street Journal reported in January that Americans have grown increasingly opposed to government intervention in private businesses.

Learn more at www.HowManyMillion.com.

Moving Forward with Badin Works Redevelopment

Alcoa announced this week that it will permanently close two idle smelting plants, including the Badin Works plant in Badin, North Carolina.  This is a positive step that will allow Alcoa to continue moving forward with its ongoing plans to redevelop the Badin Works site to attract new industry and new jobs to Badin and Stanly County.

 

The decision to officially close the plant helps pave the way for redeveloping the site by removing the need to preserve equipment and permits for a potential restart of the plant.  Alcoa officials are currently evaluating future plans for the site, including the potential demolition of buildings. 

 

Alcoa has a successful track record of redeveloping former smelter sites to attract new investment and new jobs that benefit the local community.  For example, a former smelter in Oregon is now a thriving industrial park and the redevelopment of a smelter in Washington state is creating up to 1,900 construction-related jobs. 

 

Alcoa will continue to work closely with state and federal officials to determine the appropriate steps to manage environmental issues associated with the site.

 

Built in 1917, Badin Works was one of the oldest and smallest aluminum smelters in the nation.  Changing economic conditions led Alcoa to reduce the plant’s production in 2002 and formally curtail operations in 2007.

 

This announcement does not impact Alcoa’s hydroelectric operations or the relicensing of the Yadkin Project.  The company continues to employ more than 30 people in Stanly County and remains the county’s largest taxpayer.

How Many Million? Alcoa and the Stanly County Commissioners

While many people know that the Stanly County Commissioners are pursuing a government takeover of Alcoa’s Yadkin Project, they may not realize the excessive amount of tax dollars the county has spent on lawyers, lobbyists, PR firms and other consultants associated with the attempted takeover of our business.

Stanly County’s financial records indicate that it has already spent more than $3.1 million tax dollars on this effort, including $1.6 million last year alone.  Stanly County has spent $349,360 in the first two months of 2010 and is on pace to spend more than $2 million this year.

At the same time, the county has eliminated 12 jobs and cut spending on education, seniors and other vital services due to the tight economy.  Imagine what Stanly County schools could do with an extra $3 million … 

As the largest taxpayer in Stanly County, Alcoa is concerned that a handful of people are driving the county’s spending.  Through this campaign, we want to start a dialogue about how the county commissioners are spending our tax money and how it should be spending that tax money.  Does the county’s spending match the priorities of its residents?  That’s a question we’ll be asking in newspaper ads, billboards and other communications, beginning this week.

When the county manager submitted the 2009-2010 budget, he said “We must invest in effective economic development strategies to grow our tax base…”  But the county budget doesn’t reflect those priorities.  It includes $532,000 for economic development efforts – less than 1/3 what the county spent last year trying to take Alcoa’s property.

To learn more about this campaign, visit www.HowManyMillion.com.

Another Misleading Attack from the Yadkin Riverkeeper...

The Yadkin Riverkeeper is at it again.  He attacked Larry Jones of the High Rock Lake Association last week, accusing him of a having a conflict of interest that compromised his advocacy for High Rock Lake during the relicensing process.

Anyone who was involved in the relicensing negotiations knows just how absurd that claim is.  Larry Jones was, and continues to be, one of the strongest advocates that High Rock Lake has ever known.

The Yadkin Riverkeeper’s allegations stem from a property agreement that APGI made with Larry Jones in October 2009.  Larry received ownership of the driveway to his home and property in exchange for his agreement to relinquish all pasture, cultivation and water withdrawal rights. 

Marshall Olson, environmental and natural resources manager at APGI, said the agreement offers important environmental benefits for High Rock Lake because it will reduce the potential for fertilizer in the lake and reduce erosion along the shoreline.

The High Rock Lake Association released a statement this weekend condemning the Yadkin Riverkeeper’s attacks and reiterating its support for the Relicensing Settlement Agreement.

“No one has or is fighting harder for the users of High Rock Lake and the rest of the Yadkin Project than Larry Jones and the Association,” the statement says.  “When the license is issued by FERC, we will have a binding agreement to operate the Yadkin Project for the benefit of all stakeholders. Jones, under the direction of the Association, was a primary negotiator to get these desired changes.”

“There is nothing wrong with the actions of Larry Jones, either in his capacity as an officer of the HRLA or in the manner he has conducted his personal affairs.”

Marshall Olson shared a similar perspective:

“Alcoa’s dealings with Larry Jones and his property have been straightforward and unrelated to his role with the High Rock Lake Association.  This transaction took place more than 2½ years after the High Rock Lake Association signed the Relicensing Settlement Agreement in support of a new license for Alcoa, and with the full knowledge and support of the High Rock Lake Association’s Board of Directors,” Olson said.  “Routinely, Alcoa must address issues involving historical easements and property line issues, such as those with Larry Jones, and this transaction is no different from the others.” 

This latest attack from the Yadkin Riverkeeper has absolutely no merit.  It is simply another attempt to drum up support for a costly government takeover of the Yadkin Project.  

Alcoa responds to FERC ruling

On Thursday, the Federal Energy Regulatory Commission (FERC) denied a request by Alcoa Power Generating Inc. (APGI) to reconsider its October 15, 2009 order finding that the State of North Carolina acted within the required timeframe when it issued a water quality certificate for the Yadkin Project. The company had argued that the State failed to issue an effective certificate within one year.

APGI remains committed to improving water quality in the Yadkin River and stands firmly behind the environmental protections in the Relicensing Settlement Agreement.

While the company is disappointed in FERC’s decision to deny APGI’s rehearing request, it remains confident that it will receive a new license for the Yadkin Project as FERC staff has previously recommended.