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.