Ignore political scare tactics; EPA’s Clean Power Plan will be good for Kentucky in the long run

August 9, 2015

Here’s some advice for Kentucky politicians freaking out about the Environmental Protection Agency’s new Clean Power Plan: Calm down, take a deep breath and face reality.

On second thought, maybe they shouldn’t take that deep breath. Kentucky has some of America’s dirtiest air, and most of that pollution comes from the coal-fired power plants those politicians are trying to protect.

Kentucky leads the nation in toxic air pollution from power plants, according to a 2012 study by the Natural Resources Defense Council. Those plants also are the main source of man-made greenhouse gasses that are causing climate change.

The Clean Power Plan, unveiled in final form last week, is the Obama administration’s better-late-than-never attempt to fight climate change. Its goal is to cut carbon dioxide emissions from the nation’s power plants by 32 percent from 2012 levels by 2030. That is tougher than the 30 percent in an initial proposal, but states would be given more flexibility and two additional years to meet their targets.

Still, the EPA’s goal is modest by international standards. Many European nations have pledged to do more, and scientific studies show carbon emissions must be cut dramatically if the world hopes to curb the disastrous effects of climate change.

Despite the politicians’ howling, Kentucky was on track to meet its initial EPA target of an 18 percent cut in carbon emissions. That’s because utilities already were planning to phase out old coal plants or convert them to natural gas to save money.

The final plan calls for Kentucky to cut emissions by nearly 30 percent — a tougher goal, but still one of the least-stringent among the states. In addition to phasing out coal-fired power plants, Kentucky can meet its target by adding more renewable power sources and improving the energy efficiency of buildings, two areas where it lags behind many other states.

As with previous environmental rules, segments of corporate America and the politicians they sponsor are fighting back.

Kentucky is one of 16 states suing to block the Clean Power Plan, with Attorney General Jack Conway taking a lead. Senate Majority Leader Mitch McConnell has urged states to simply ignore the EPA’s requirement to submit a compliance plan — and risk having one imposed on them if the new rules are upheld in court.

It is no coincidence that Kentucky, West Virginia and other states leading opposition to these rules are places where the coal industry dominates the economy or politics, or where energy-intensive manufacturers have long enjoyed cheap electricity subsidized by damage to the environment and public health.

It will be up to the federal courts to decide whether the EPA’s modest and long-overdue plan to cut carbon emissions, clean the air and water, and improve public health will take effect next year.

But Kentuckians should ignore the scare tactics of politicians, who know they must toe the coal industry’s line if they want to get campaign contributions and votes.

The EPA’s Clean Power Plan won’t ruin the economy or “kill jobs.” It will require some difficult transition. But a number of studies predict that, in the long run, the move toward cleaner, renewable power will create a stronger economy with more jobs. At least for those states that embrace inevitable change rather than fight it.

Think about it: Since environmental laws first were enacted 40 years ago, each new regulation, from cutting automobile emissions to curbing acid rain, has been met with corporate and political opposition and dire predictions of economic disaster.

Those predictions have never come true. In fact, just the opposite. That is because environmental regulations have stimulated innovation, creating jobs and growing the economy. Since 1970, air pollution nationwide has been cut by 70 percent and the size of the U.S. economy has tripled.

Regardless of your views on climate change, cleaner air and water mean a better quality of life, a stronger work force and better public health. Those are not small issues in a state like Kentucky, which has some of the nation’s highest cancer and asthma rates.

Kentucky and its leaders have a simple choice. They can cling to the past and fight a losing battle to preserve pollution. Or they can face reality and realize that change is inevitable, pollution is unhealthy, global warming is a threat, renewable energy is the future, and innovation will create a stronger economy.


She wanted classic style, he wanted a net-zero energy house.

July 26, 2015
Jamie Clark, a Lexington energy consultant and contractor, renovated an older home in Chevy Chase to see if he could create a "net zero" energy house that looks like a typical house most people in Lexington want to own. So far, his project has been a success.  Photo by Tom Eblen | teblen@herald-leader.com

Jamie Clark, a Lexington energy consultant, renovated a circa 1958 house in Chevy Chase to see if he could create a “net zero” energy house that looks like a typical Lexington house. Photos by Tom Eblen

The solar panels that help power Jamie Clark's renovated house in Chevy Chase are hidden on the back roof, visible only from the very back of his back yard.  Photo by Tom Eblen | teblen@herald-leader.com

The solar panels that help power Clark’s renovated house in Chevy Chase are hidden on the back roof, visible only from the very back of his back yard.

 

When Jamie and Haley Clark decided to move closer to town and Christ the King School, where their two young daughters are students, they each knew what kind of house they wanted. Trouble was, they didn’t want the same thing.

“She wanted a very Southern Living house,” Jamie Clark said, referring to the lifestyle magazine. “I wanted a net-zero house.”

Kentucky doesn’t have many net-zero houses, which use insulation, solar power and other technology to create as much energy as they use over the course of a year. And few of them look like the traditional homes that most Lexington buyers want.

Jamie Clark of Lexington is an energy-efficiency consultant and contractor.  Photo by Tom Eblen | teblen@herald-leader.com

Jamie Clark

Clark, who works as an energy-efficiency consultant and sells geothermal systems for Climate Control Heating & Air, took that as a challenge.

“Part of my goal was to prove that you could build net zero in Chevy Chase,” he said as he stood outside the house they bought two years ago and drastically renovated. “This would fit in in any neighborhood in Lexington.”

Clark searched Chevy Chase for a house for sale with the right orientation to the sun. He found a one-story ranch on Prather Road, built in 1958 with salvaged brick, and began renovations. Haley Clark sketched what she wanted, and architect Van Meter Pettit turned her ideas into construction drawings.

The Clarks rearranged the existing house and added about 1,000 square feet. The result was 2,978 square feet of living space above ground, plus 1,856 in the finished basement.

They put the master suite on the first floor and added a second story with Cape Cod dormers in the bedrooms of their daughters, Alexandra 8, and Catherine, 5. The girls’ double bathroom was designed with their teenage years in mind.

“I just turned 40 and I never plan to move again,” Clark said. “We were really mindful of growing in this house.”

The first step in creating a net-zero house is insulation; less energy used means less must be generated. The Clarks’ contractors installed Icynene spray-foam insulation and energy-efficient Anderson 400 Series low-E windows.

Clark drilled five, 200-foot wells and put in a geothermal system for heating, cooling and hot water. He installed a Climate Master Trilogy 45 heat pump and a highly insulated iGate water tank.

Clark said he spent about $900 on LED light bulbs, whose light quality is comparable to traditional incandescent bulbs. LEDs cost 10 times more than traditional bulbs but use 1⁄10 the electricity and last 10 times longer.

The only incandescent bulbs in the house are on chandeliers that look better with “pretty” bulbs. And there are motion sensors in the girls’ playroom to turn lights on and off automatically.

Jamie Clark installed a super-insulated water heater that works off the geothermal system.

Clark installed a super-insulated water heater that works off the geothermal system.

“It makes a lot more sense to just conserve than to put more solar panels on the roof,” Clark said. “Back in February, when we hit minus 18, I was using less power than the microwave at Super America to heat my house.”

Clark installed new Energy Star-rated appliances. The only natural gas the house uses is for the kitchen stove, and Clark said his monthly meter fee is much higher than the cost of the gas.

To create electricity, Clark installed 20 solar panels on the back roof. They are on the Kentucky Utilities grid, so the house draws power on cloudy days and adds power on sunny days.

Clark wired the system for 40 panels and plans to add more if he needs them. “I’m trying to talk my wife into a Tesla (electric car), and if we do that then I’ll put 20 more panels up there for charging it,” said Clark, who drives a Toyota Prius.

Like other energy systems in the house, the solar panels aren’t visible. “The only place you can see them is if you stand at the back fence line,” he said.

The Clarks moved in last Thanksgiving, so it will be at least a few more months before they know if their house is net zero. Early results are encouraging. The electric bill in December, when there were only six days with more than six hours of sunshine, was $153. But the bills were $11 in March, $30 in April and $9 in May.

Clark did some of the work himself, and he has good contacts in the industry. For an average consumer working with a contractor, Clark’s energy-efficiency measures would cost about $50,000 more than conventional systems, adding about $200 a month to a 30-year mortgage.

“They will more than pay for themselves,” he said, adding that federal tax credits for solar and geothermal systems would reduce costs further.

Over time, savings will be even greater. Electricity costs in Kentucky typically double every decade, but as utilities move away from high-pollution coal, rates could rise more sharply.

“It’s a dream home, that’s for sure,” Clark said of the project that has made him and his wife happy. “It’s everything we wanted.”

A state-of-the-art geo-thermal heating and cooling unit in the basement is a big reason Jamie Clark's renovated house in Chevy Chase is close to net-zero energy usage over the course of the year.  Photo by Tom Eblen | teblen@herald-leader.com

A state-of-the-art geo-thermal heating and cooling unit in the basement is a big reason Clark’s renovated house in Chevy Chase is close to net-zero energy usage over the course of the year.

Jamie Clark's wife wanted a "Southern Living" house, and the energy consultant and contractor wanted a super energy-efficient house. So his renovated house in Chevy Chase has both high style and almost no net energy use over the course of the year, thanks to solar panels, geo-thermal heating and cooling and high-level insulation. Photo by Tom Eblen | teblen@herald-leader.com

Clark’s wife wanted a “Southern Living” house, and the energy consultant and contractor wanted a super energy-efficient house. So his renovated house in Chevy Chase has both high style and almost no net energy use over the course of the year, thanks to solar panels, geo-thermal heating and cooling and high-level insulation.


Kentucky priest thankful for Pope Francis’ environmental message

July 18, 2015
Father Al Fritsch, a Jesuit priest with a doctorate in chemistry and a long history of environmental activism, stands on the porch of the rectory at St. Elizabeth Catholic Church in Ravenna. Photo by Tom Eblen | teblen@herald-leader.com

Father Al Fritsch, a Jesuit priest with a doctorate in chemistry and a long history of environmental activism, on the porch of the rectory at St. Elizabeth Catholic Church in Ravenna. Photo by Tom Eblen

 

RAVENNA — Pope Francis’ pronouncements about the immorality of social injustice and environmental degradation have rattled economic conservatives worldwide, and nowhere more than in King Coal’s Appalachia.

But the message isn’t new for Catholics in some parts of Kentucky, where Albert Fritsch — Jesuit priest, scientist and activist — has been writing, preaching and teaching for nearly four decades.

“I call myself a true conservative,” Fritsch, 81, said when I visited him at his home beside St. Elizabeth Catholic Church in Estill County. “I am fiscally and socially conservative.”

But the jovial minister with a shock of white hair, who most people call Father Al, has always been a critic of economic conservatism. Now, he has some powerful backup.

Pope Francis, the Argentine cardinal elected pope in March 2013, issued an encyclical, or statement of church doctrine, last month that sharply criticized capitalism, consumerism, pollution and denial of human-induced climate change.

These are not political issues, the leader of the world’s 1.2 billion Roman Catholics said, but moral and religious issues. Christians must start behaving differently, he said, or risk destroying the Earth.

Father Al Fritch, a Jesuit priest with a doctorate in chemistry and a long history of environmental activism, stands on the porch of the rectory at St. Elizabeth Catholic Church in Ravenna. Photo by Tom Eblen | teblen@herald-leader.com

I thought this would be a good time to visit Fritsch. As expected, he is pleased with Pope Francis’ leadership. “What he says is, to me, great stuff,” he said. “We need him in this age very badly.”

Fritsch said his interest in the environment began on his family’s farm near Maysville, where his father grew their food and cared for the land. His love of nature led him to science.

Fritsch earned bachelor’s and master’s degrees from Xavier University and a Ph.D. in chemistry at Fordham. He did post-doctorate research at the University of Texas.

But Fritsch became disillusioned that advances in chemistry were being used and abused for corporate profit. He went back to school to become a priest, studying theology at Bellarmine and Loyola universities.

Fritsch threw himself into advocacy, first as a science adviser with Ralph Nader’s Center for the Study of Responsive Law and then, in 1971, as a co-founder and co-director of the Center for Science in the Public Interest in Washington, D.C.

By 1977, Fritsch decided he could have more impact in Kentucky. He moved to Mount Vernon and started Appalachia Science in the Public Interest, which focused on environmental issues.

Since 2002, Fritsch has ministered to Catholic congregations in Frankfort, Somerset and, currently, Ravenna and Stanton. But half his time is still spent on environmental work through his non-profit Earth Healing Inc.

He has authored or contributed to dozens of books and articles. Berea College Special Collections recently came to get his personal papers for preservation.

Fritsch writes daily reflections and records videos for his website, Earthhealing.info. His website manager thinks that Francis, before his election as pope, was among Fritsch’s online readers.

laudato-si400-255x363By focusing on wealth and its moral consequences, the Pope has made a lot of powerful people nervous. “The system that we have today, the capitalistic system as such, is really a state religion,” Fritsch said.

Pope Francis’ message is especially tough to hear in Kentucky, where the coal industry has a big influence in politics and the economy.

“A lot of Catholics are not taking this too well,” Fritsch said. “So many of them are committed to their way of life. One fellow got up and called me a communist and walked out.”

The man came back, Fritsch said, and asked him to lead a series of congregational meetings to discuss the encyclical. They begin next month.

Fritsch said one of the things that frustrates him most is that environmentalism has been politicized.

“When I started in environmental work in 1970, both Democrats and Republicans were in favor of the environment,” he said, noting that Republican Richard Nixon presided over creation of the Environmental Protection Agency. “Only after Reagan and with time did it become a partisan issue.”

The real issue is money, which is why Fritsch thinks politicians in both parties and institutions that depend on corporate money are dragging their feet. Renewable energy threatens investments in fossil fuels.

The Pope’s encyclical doesn’t offer solutions. Rather, Fritsch said, it calls for society to change and for people to frankly discuss these problems and seek solutions.

“We need to do a lot of talking in Kentucky,” he said. “This is a new frontier in theology, that we have a duty to save an earth that is threatened with destruction. Our grandparents didn’t have this. It’s a secular thing, but it’s also deeply religious.”

The biggest challenge, Fritsch thinks, is that the pace of climate change leaves us no time to waste.

“Things are changing, and we’ve got to be prepared for these changes,” he said. “I think that’s what Pope Francis is trying to say. And I think people are listening, because there’s a whole world out there that knows something is deeply wrong.”


When candidates talk about prosperity, whose do they mean?

May 10, 2015

Have you ever wondered why Kentucky is always near the bottom when states are ranked by economic health and well-being?

There are several reasons. But one is that many of our politicians are either wealthy business executives who fund their own campaigns or people who suck up to wealthy business executives to fund their campaigns.

Either way, the interests of wealthy business executives are what become priorities, and they have as much in common with the interests of average Kentuckians as, well, night and day.

This is why politicians perpetuate several economic myths, and why many policies that would improve the economy and lives of many Kentuckians are rarely enacted. What are these myths?

To start with, business executives are not “job creators.” In fact, executives often make more money and Wall Street rewards their companies when they cut jobs rather than create them.

The real job creators are average people who buy the goods or services businesses produce. Consumer spending accounts for 70 percent of all economic activity and indirectly drives much of business capital spending and investment. The more money people have to spend, the more jobs will be created.

Many successful executives also keep wages for everyone but themselves as low as possible to boost “efficiency” and profits. That’s why average people should beware of politicians who are against raising the minimum wage, which has declined in value for decades as executive compensation has soared.

Opponents always argue that raising the minimum wage would do more harm than good, but decades of experience has shown otherwise. Raising the minimum wage also leads to higher pay for other low-wage workers, giving more people more money to spend and boosting the economy.

Beware of politicians who advocate so-called “right to work” laws. These laws aren’t really about protecting anybody’s “right to work”; they are about weakening unions and protecting big employers’ “right” to pay workers as little as possible.

Beware of politicians who rail against government regulation. Sure, you can always find examples of over-regulation. But regulation keeps business executives from cheating and hurting the rest of us and ruining the environment we all share.

It is no coincidence that America’s economy was most prosperous in the decades when average workers’ wages were higher, unions were stronger and government was a watchdog of business instead of a lapdog.

Things started changing in the 1980s with “pro-business” policies and “trickle-down” economic theories that resulted in the highest level of wealth inequality in nearly a century, not to mention the greatest economic crisis since the Great Depression and a slow, uneven recovery.

Beware of politicians who want to abolish “Obamacare.” They want to take health care away from several hundred thousand Kentuckians with no plan to replace it other than vague promises of “free-market” solutions.

The free market has never provided good health care for low-wage people. Most hospitals and clinics began as charities, not businesses. Almost every other industrialized nation has a health care system run largely by government, delivering better care at less cost than our private insurance-based system.

Beware of politicians who are “friends of coal.” Kentucky will continue mining and burning coal for decades, but coal is the past, not the future. Most coal jobs will never return. Repairing coal’s damage to Kentucky will be a huge, costly challenge, and we don’t need to make the mess any bigger than it already is.

Renewable energy is the future, and the more Kentucky politicians deny climate change and cling to the past to protect coal-industry profits, the further behind this state will fall.

What Kentucky needs are leaders willing to invest in education, entrepreneurship, economic infrastructure beyond just highways and the social services necessary to keep average people healthy and able to work.

We need leaders with enough courage to create a modern tax system that grows with the economy and eliminates special-interest loopholes that sap government of the resources needed to address Kentucky’s many challenges.

As you listen to the candidates for governor seek your vote in the May 19 primary and Nov. 3 general elections, ask yourself this question: When they promise prosperity for Kentucky, whose prosperity are they talking about? Yours or theirs?


Workshop offers businesses ideas for saving green by going green

March 15, 2015

Businesses are taking more interest in environmental sustainability, and not just because it is popular with customers and good for the planet. It also can help their bottom line.

Bluegrass Greensource, a non-profit organization that works to promote sustainability in 18 Central Kentucky counties, expects a good crowd March 20 for its sixth annual awareness workshop, Go Green, Save Green.

“The workshop is designed to give you ways to save money,” said Schuyler Warren, the Lexington-based organization’s outreach specialist. “It’s not just about doing it because it’s the right thing to do. It’s a smart business decision.”

BGGreenPosterThe full-day workshop, which about 100 people attended last year, features speakers on a variety of topics, such as improving energy efficiency, storm water management, recycling and waste reduction and sustainable construction and landscaping.

It will include information about grants available to help cover the cost of some sustainability efforts.

Because the workshop is sponsored by Lexington-Fayette Urban County Government, the cost of attending is only $25 for adults and $5 for students, which includes a “zero waste” breakfast and lunch from Dupree Catering and a drink ticket for a social event afterward at Blue Stallion Brewery. (Day-of registration is $40.)

For registration and more information, go to: Bggreensource.org.

“This workshop is a great way to get inspired,” Warren said. “You can get some ideas, and then we can work with you to implement those things.”

The focus of this year’s workshop is energy efficiency, where the costs of improvements can be recouped through lower utility bills. There also will be a presentation by people who have been working on some remarkable energy-saving projects as part of West Liberty’s reconstruction from a devastating tornado three years ago.

Other speakers will focus on less-obvious topics, such as how companies can make it easier for employees to bicycle to work. That reduces traffic, pollution and oil consumption for society, but it also can help businesses cut absenteeism and health care costs by helping employees become more physically fit.

The workshop will be at the new campus of Bluegrass Community and Technical College on Newtown Pike. Included are tours of BCTC’s LEED-certified classroom building and nearby Lexmark facilities.

Last year’s workshop inspired Good Foods Co-op on Southland Drive to plan a renovation of its parking lot this summer to incorporate permeable paving, said Rob Walker, a store manager.

The new paving should help solve the parking lot’s storm water drainage issues, Walker said, as well as help protect Wolf Run Creek, which runs behind the store and has been the focus of extensive neighborhood efforts to improve water quality.

“That’s going to be a great improvement,” he said, adding that the store also is looking at money-saving strategies with energy-efficient lighting he learned about. “It’s an excellent workshop.”

Katie Pentecost, a landscape architect with Integrated Engineering, said last year’s workshop gave her new information about sustainability grants, which some of her clients have been able to get for their construction projects.

“I got way more out of it than I ever thought I would,” she said.

The workshop is part of a city-sponsored program called Live Green Lexington, which includes free year-around consulting services in Fayette County provided by Bluegrass Greensource.

But Bluegrass Greensource doesn’t just work with businesses, and it doesn’t just work in Fayette County.

For example, the organization has a series of workshops from April to June for residents of Clark, Scott, Woodford, Jessamine, Madison and Bourbon counties to help them learn how to install low-maintenance “rain gardens” to handle storm water runoff. The workshops are free, and residents of those counties may be eligible for $250 grants to purchase native plants for their rain gardens.

“The goal is to put a lot of options on your radar,” Warren said. “Things change so fast. I’m a sustainability professional, and every year there are a couple of new things for me that I didn’t know about.”


New MACED president says timing right for new ideas in E. Ky.

March 14, 2015

Peter Hille first came to Eastern Kentucky the day after he graduated from high school. He and other members of his Missouri church youth group piled into vans and drove to Breathitt County to run a summer camp for kids.

“I had this image in my head, probably from watching CBS documentaries on the War on Poverty, that Appalachia was black and white,” he said. “I got down here, and, of course, it was green.

“It was the first week in June,” he said. “You know how the mountains are the first week in June: fireflies all over the hillsides and locusts singing. I thought, I love this place!”

Hille, 59, has nurtured that love for more than four decades, and he is now in a unique position to express it: as the new president of the Mountain Association for Community Economic Development, a non-profit organization based in Berea that works throughout southern Appalachia.

Hille, a graduate of Swarthmore College in Pennsylvania, moved to Eastern Kentucky in 1977 and spent more than a dozen years as a woodworker, cabinetmaker and home builder. It gave him an appreciation for the challenges so many Appalachians face.

“They know this is where they want to be,” he said. “But it’s real challenging to figure out how to earn a living.”

150315PeterHilleHille got into community work and spent 22 years at Berea College’s Brushy Fork Institute, which develops community leaders.

He served nine years on MACED’s board and was chairman until he joined the staff three years ago as executive vice president. He was named president last month, succeeding Justin Maxson, who left after 13 years to become executive director of the Mary Reynolds Babcock Foundation in Winston-Salem, N.C.

Hille is currently chair of the Eastern Kentucky Leadership Foundation, a board member of the Central Appalachian Institute for Research and Development and an advisory board member for the Institute for Rural Journalism. In the 1990s, he was facilitator for the Kentucky Appalachian Task Force.

“I do feel like everything I’ve done up to this point has been leading up to this,” said Hille, who lives with his wife, artist Debra Hille, in a passive solar house on a wooded farm near Berea.

Founded in 1976, MACED has become a respected voice in discussions about Appalachia’s economic transition. It promotes enterprise development, renewable energy and sustainable forestry. MACED also has become an influential source of public policy research through its Kentucky Center for Economic Policy.

“We are at such an exciting time in Eastern Kentucky,” Hille said. “The challenges are as great as they’ve always been, but I think we’ve got some opportunities now that we haven’t always had.”

Perhaps the biggest opportunity, Hille said, is the bipartisan Shaping Our Appalachian Region initiative launched by Gov. Steve Beshear and U.S. Rep. Hal Rogers in 2013.

“It is the kind of clarion call for unity that we so badly need in the region,” he said.

Another opportunity is the Obama administration’s proposal to release $1 billion in Abandoned Mine Lands funds for environmental reclamation and economic development in mining regions.

“We would have to scramble to figure out how to make good use of that money,” he said. “But I think there are a lot of ways to do it.”

While coal will continue to be important to Eastern Kentucky for decades, it will never be what it was, Beshear and Rogers have said. That acknowledgment creates an opening for new and creative thinking, Hille said.

More emphasis should be put on developing renewable energy sources and focusing on energy efficiency. MACED has worked on home energy-saving retrofits for years.

“However much we can scale that up, that is money that is invested in the region, that stays in the region, that is paid back from the savings in the region,” he said.

But the biggest goals should be creating more entrepreneurs and businesses in Eastern Kentucky, and attracting more investment capital. Hille thinks the place to start is by looking at the region’s needs, such as better housing and health care.

“All of those needs represent economic development opportunities,” he said. “What are the opportunities to meet those needs in the region? Or is the first step in health care getting in the car and driving to Lexington?”

Another focus should be on regional assets, such as forested mountains that could be sustainably managed for long-term jobs in timber, forest products, agriculture and tourism. “We haven’t invested in enough possibilities,” he said.

Part of the challenge is changing century-old attitudes about work.

“Instead of trying to find somebody to give you a job, it’s about creating a job for yourself,” he said. “It’s about feeding that entrepreneurial spirit in young people, and then creating the entrepreneurial ecosystem that is going to support those budding entrepreneurs and encourage them to stay here.”

When a region is economically distressed, it means markets are broken in fundamental ways. Government and non-profit assistance may be needed to fix them. But long-term success will only come with the development of strong markets and capital within Eastern Kentucky.

“With economic development, you’ve always got to ask, ‘Where does the investment come from? What kind of jobs are being created?'” Hille said. “In the long run, if we’re only creating jobs and we’re not building assets, if we’re not creating durable capital in the region, if we’re not building sustainable businesses and industries, then outside investments may or may not serve the needs of our communities.”


Plans for East Kentucky future must include repairing coal’s damage

February 10, 2015

130214MountainRally0378 copyHundreds will march to the state Capitol  Thursday for the 10th annual I Love Mountains Day protest of destructive strip-mining, as they did in this 2013 photo. Below, Gov. Steve Beshear and U.S. Rep. Hal Rogers attend the first SOAR summit, Dec. 9, 2013. Photos by Tom Eblen

 

Two large public gatherings are planned in the next week by groups trying to create a brighter future for Eastern Kentucky.

They come from different sides of the “war on coal” debate that has polarized discussion of these issues, but they have more in common than you might think.

The first event, Thursday in Frankfort, is the 10th annual I Love Mountains Day, organized by the citizens’ group Kentuckians For The Commonwealth. (Information and registration: Kftc.org.)

In what has become an annual rite, hundreds of people will march to the Capitol steps and urge the governor and General Assembly to stop the coal industry’s most destructive surface-mining practices. And they will be ignored.

Few legislators will come out to hear them. Neither will the governor, nor any candidate for governor who has any chance of being elected. Most politicians think they must be unequivocal “friends of coal” to get elected, regardless of the toll on Kentucky’s land, air, water and public health.

131209SOAR-TE0093 copyThe other event, Monday in Pikeville, is the second summit meeting of Shaping Our Appalachian Region. SOAR is a bipartisan effort to improve life in Eastern Kentucky that was launched in 2013 by Gov. Steve Beshear and U.S. Rep. Hal Rogers. (Information and registration: Soar-ky.org.)

Eastern Kentucky’s coal industry has been eliminating jobs for decades as mines were mechanized, coal reserves depleted and deep mining replaced by “mountaintop removal” and other forms of surface mining.

But the job losses have mounted in recent years because of cheap natural gas, cheaper coal from elsewhere and the Obama administration’s better-late-than-never actions to fight pollution and climate change.

Politicians and business leaders have had to admit that most of Eastern Kentucky’s coal jobs are never coming back, and that new strategies are needed to diversify the economy.

That led to the creation of SOAR, whose 12 working committees have spent the past year conducting more than 100 “listening sessions” throughout the region to hear public comments, gather ideas, assess needs and set priorities.

Strategy Summit attendees will review the committees’ findings and discuss next steps. How those discussions play out could determine whether SOAR can build enough public credibility to make change.

An early criticism of SOAR was that its leadership was drawn almost exclusively from Eastern Kentucky’s power elite. There was little or no representation from coal industry critics or grassroots groups such as KFTC.

The question hanging over SOAR is whether leaders who have done well in Eastern Kentucky’s status quo can be expected to change it. We should get some indication of that Monday, when there will be at least a couple of elephants in the room.

Eastern Kentucky is one of America’s least-healthy places, with high rates of cancer, heart disease, diabetes and drug abuse. Smoking, obesity, poverty, poor eating habits and lack of exercise are to blame for much of it. But not all of it.

One of the biggest concerns citizens expressed in the health committee’s listening sessions was the health effects of surface mining. Scientific studies have increasingly found high rates of cancer, birth defects and other problems in mining areas that can’t be dismissed by other factors. Will SOAR explore that issue, or ignore it?

Another elephant in the room will be President Barack Obama’s Feb. 1 proposal to release $1 billion in abandoned mine land funds to create jobs on environmental cleanup projects.

The long-overdue action could be a huge boost for Eastern Kentucky. But many politicians have reacted cautiously, since it comes from a president they love to hate. This proposal should be a big topic of discussion at the summit. But will it be?

Eastern Kentucky needs many things to have a brighter future: better schools, better infrastructure, less-corrupt politics, more inclusive leadership and a move diverse economy. And, as much as anything, it needs a healthier population and a cleaner environment.

Coal mining has done some good things for Eastern Kentucky over the past century. Although its role will continue to diminish, coal will be an important part of the economy for years to come. But the coal industry’s damage must be reckoned with. The best way to start cleaning up a mess is to stop making it bigger.


Robert F. Kennedy Jr.: clean environment is good economic policy.

January 17, 2015

KennedyRobert F. Kennedy Jr. speaks at Transylvania. Photo by Mark Mahan.

 

It was a breath of fresh air, especially after an election in which Kentucky politicians of both parties competed to see who could be the biggest sock puppet for the coal industry.

Robert F. Kennedy Jr. spoke at Transylvania University on Wednesday about “Green Capitalism: Why Environmental Policy Equals Good Business Policy.”

Kennedy, 61, son of the slain presidential candidate and nephew of the slain president, is an accomplished environmental lawyer, anti-pollution activist and partner in a renewable-energy investment firm.

Kennedys are like Bushes; most people either love them or hate them on principle, without actually listening to what they say. But this talk was worth listening to, because Kennedy clearly explained our nation’s biggest problem, what could be done to solve it and why that isn’t happening.

Surprisingly, his message had as much appeal for libertarians as liberals. Conservatives could find a lot to agree with, too, if they care about conserving anything besides the status quo.

Kennedy’s main point was that Americans don’t have to choose between a clean environment and a strong economy. In fact, the only way to have a strong economy in the long run is to take care of our nation’s air, water and land.

The best way to do that, he said, is a combination of true democracy and free-market capitalism. Trouble is, polluters have used their money and influence to corrupt the political process and distort free markets.

“You show me a polluter, and I’ll show you a subsidy,” he said. “I’ll show you a fat cat using political clout to escape the discipline of the free market and forcing the public to pay his production costs. That’s all pollution is.”

Kennedy told how he started his environmental career working for commercial fishermen on the Hudson River in New York. Their industry was devastated by General Electric, which for three decades dumped more than a million pounds of cancer-causing PCBs into the Hudson.

“They saw their fishery destroyed, not because they had a bad business model, but because somebody had better lobbyists than they did,” he said.

“One of the things I learned from them was this idea that we’re not protecting the environment so much for the sake of the fishes and the birds; we’re protecting it for our own sake,” he said. “Nature is the infrastructure of our communities.”

Kennedy said we are now seeing a struggle between rich, old-energy industries that create a lot of pollution — coal, oil, gas and nuclear — and new, renewable-energy technologies that are cleaner and increasingly cheaper.

Pollution destroys our natural infrastructure and creates huge public health costs, both in terms of dollars and lives. “It’s a way of loading the costs of our generation’s prosperity onto the backs of our children,” he said.

Fossil fuel industries also receive more than $1 trillion in annual taxpayer subsidies, ranging from direct payments and tax breaks to the huge military presence in the Middle East to secure oil-production assets. Meanwhile, these industries lobby to eliminate the small subsidies offered to encourage alternatives.

If a truly free market forced the oil industry to internalize its costs, gasoline would sell for $12 to $15 a gallon. “You’re already paying that,” he said. “You’re just paying it from a different pocket.”

Kennedy argued for more market-based systems, such as cap-and-trade, to account for the hidden costs of fossil fuels. That would expose their inefficiencies and waste and level the playing field for solar, wind and geothermal.

“You need to devise rules for a marketplace that allows actors in the marketplace to make money by doing good things for the public, rather than forcing them to make money by doing bad things to the public,” he said.

Kennedy likened it to the abolition of slavery in Britain and the United States in the 19th century, a moral decision that helped spark an explosion of innovation in labor-saving technology and wealth that we now know as the Industrial Revolution.

The biggest barrier to renewable energy replacing fossil fuels is the lack of a modern national electric grid, he said. Government investment in that grid would create opportunities for entrepreneurs to flourish, just as previous investments in the Internet, interstate highways, railroads and canals did.

A good way to start would be laws to allow homeowners and businesses to profit, rather than just break even, from electricity they generate with solar panels and wind turbines and sell to utilities.

“It will turn every American into an energy entrepreneur, every home into a power plant, and power this country based on American imagination and effort and innovation,” he predicted.

It also would be good for national security. “A terrorist can blow up one power plant,” Kennedy said, “but he would have a hard time blowing up a million homes.”

Replacing fossil fuels with renewable energy will be complicated. “But it’s not as complicated as going to war in Iraq,” Kennedy said. “It’s something that we can do. We just need the political will.”


Election showed Lexington voters the best and worst of politics

November 8, 2014

grayMayor Jim Gray gave his acceptance speech on election night Tuesday. Gray and his opponent, Anthany Beatty, ran gentlemanly races and campaigned on real issues. Photo by Pablo Alcala

 

Voters in Lexington have seen the best and worst of American politics over the past few months.

The worst was the U.S. Senate race between 30-year incumbent Sen. Mitch McConnell and his Democratic challenger, Secretary of State Alison Lundergan Grimes.

Their campaign was one TV attack ad after another, funded by huge sums of special-interest money. McConnell and Grimes were both zinged by fact-checkers for lies and half-truths.

The main narrative of this campaign was the phony “war on coal” — the myth that Eastern Kentucky coal-mining jobs, which have been disappearing for three decades because of mechanization and market forces, will be saved if only the industry is allowed to inflict more pollution and environmental damage on this state.

The candidates agreed to only one debate, and even then rarely strayed from their talking points. Grimes wouldn’t admit she voted for President Barack Obama, her party’s nominee, and McConnell wouldn’t acknowledge the overwhelming scientific consensus about climate change. It was an absurd spectacle.

The race for Lexington mayor was a much different story. Mayor Jim Gray and his challenger, former Police Chief Anthany Beatty, behaved like gentlemen and, more importantly, campaigned on real issues grounded in fact.

They also appeared together in so many debates and public forums that voters had plenty of opportunities to assess them and their positions.

For the most part, Urban County Council candidates also ran issues-oriented campaigns and behaved responsibly.

Why the contrast between local and national politics? The biggest factor, I think, is that races in Lexington’s merged city-council government are non-partisan. That prevents every person and idea from having to be labeled and put at odds.

Since the 1980s, America’s two-party system has become increasingly nasty and counterproductive. We have devolved into a culture of winner-take-all politics where big money, ideology and partisan gamesmanship often trump common sense and the common good.

Of course, Lexington government isn’t completely free of those influences. But the more voters and elected leaders can keep them at bay, the more progress this city will continue to make.

I think Gray was re-elected by a wide margin because most voters could not fault his performance. His administration has combined progressive leadership with good management and fiscal responsibility. And the mayor is the first one to admit that having a good re-election challenger kept him on his toes.

But the race also showed that Beatty is someone who would bring a lot of skill, experience and wisdom to public service should he seek elected office again.

Lexington lost a lot with the retirement of Vice Mayor Linda Gorton, a talented legislator who has a gift for bringing people to consensus. Fortunately, Gorton will be succeeded by someone with similar skills. Steve Kay, the new vice mayor and only returning at-large council member, is a professional facilitator with a reputation for integrity and fairness. Like Gray, he also is not afraid to tackle tough issues others have avoided.

As for the other council members who won races Tuesday, there are no obvious weak links. Kevin Stinnett moved up from a district to an at-large post, while Richard Moloney and Fred Brown returned to council after previous service.

Jake Gibbs is new to public office, but his background and demeanor could make him a model for a constituent-focused district council member. Another newcomer, Susan Lamb, was formerly the council’s clerk. She brings to her new job valuable knowledge of how city government really works.

I hated to see Harry Clarke lose re-election, because the retired University of Kentucky music professor did a great job in his one term. But Amanda Mays Bledsoe has a background in government policy that could make her an able successor.

The same is true for state lawyer Angela Evans, who was elected to the district seat Stinnett left. Jennifer Mossotti, Shevawn Akers and Jennifer Scutchfield are good district council members who deserved re-election.

Urban County Council members come from a variety of backgrounds, experiences, party affiliations and political beliefs. But because Lexington’s government is non-partisan, citizens hold them to a higher standard. People expect them to work together, reach consensus and move the city forward.

As in the past, Lexington’s mayor and council members have the opportunity to show politicians in Frankfort and Washington how to rise above petty politics and get things done for the greater good.


Second Sunday event previews design for Legacy Trail completion

October 7, 2014

2ndSunday 2014 Handout-R1This rendering shows the proposed design for completing the Legacy Trail along Fourth Street between Jefferson and Shropshire streets. One-street parking would be eliminated to create a 10-foot, two-way bicycle land and 10-12 foot lanes for cars and trucks. People can test the concept 3 p.m. to 5 p.m. Sunday during the annual Second Sunday event. Photo Provided

 

This year’s Second Sunday event will offer a preview of what planners propose as the design for finishing Lexington’s popular Legacy Trail: a two-way path along Fourth Street separated from automobile traffic.

The free public event is 3 p.m. to 5 p.m. Sunday, beginning at the corner of West Sixth and Jefferson Streets, at the Bread Box building and Coolivan Park. Festivities will include kids’ activities, but the main event will be bike riding, running, walking and skating on a coned-off lane of the south side of Fourth Street for 1.6 miles between there and the Isaac Murphy Art Garden under construction at East Third Street and Midland Avenue.

Eight miles of the Legacy Trail between the Northside YMCA and the Kentucky Horse Park were finished in 2010. But bringing the trail into town has been more complicated. The city secured $2.4 million in federal transportation funds to finish the trail, but it has taken time to work out all the details of bringing it into town.

Keith Lovan, a city engineer who oversees trail projects, said the cheapest and safest way to extend the trail across the Northside is what is known as a two-way cycle track on the street, separated from car and truck traffic by flexible posts.

To make room for the 10-foot-wide cycle track, on-street parking would be eliminated. Each car lane would still be 12 to 14 feet wide.

Sunday’s ride will extend to Shropshire Street, but Lovan said Elm Tree Lane and Race Streets also are being considered as ways to connect the Legacy Trail along Fourth Street to the art garden trailhead.

A citizens advisory committee of about 30 people has been mulling this design and other Legacy Trail issues. Detailed work will be done this winter and construction is to begin in the spring.

Lovan expects some controversy, because some on-street parking will be lost and because adding the trail will make street entry and exit from some driveways a little more complicated for drivers.

“I expect we’ll start hearing some of that Sunday,” Loven said of the Second Sunday event, when the trail will be marked off with orange cones. “We intend for this to reflect what the cycle track will look like.”

The hardest part of finishing the Legacy Trail, he said, “Will be getting the support to do this. We’ve had a lot of stakeholder meetings already.” Public meetings will be scheduled later this fall, and planners are going door-to-door talking with residents and businesses on affected streets, Lovan said.

The only other Lexington trail that uses this design is the short section of the Legacy Trail on the bridge over New Circle Road. In addition to cost-savings and improved safety, Lovan said, the two-way cycle track design has been shown in other cities to increase bicycle usage.

“These have been introduced across the country with great success,” said Loven, who oversaw design and construction of the rest of the Legacy Trail. “It provides the user a little more security. You don’t feel like you’re riding in traffic. But it’s more of a visual barrier than a protective barrier.”

I have ridden on cycle track in several American and European cities, and it feels safer for both cyclists and automobile drivers, because they are separated from each other.

When this is finished, there will be only one section of the original Legacy Trail left to do: a short connection between Jefferson Street and the YMCA. Lovan said the city has acquired an old rail line for part of that and is negotiating with the Hope Center to complete the connection. He expects that to be done next year.

The Legacy Trail demonstration marks the seventh year Lexington has participated in Second Sunday, a statewide effort to use existing built infrastructure to promote exercise and physical activity. In most communities, that has meant closing a street for a few hours so people can bike, walk, run or skate there.

The University of Kentucky’s Cooperative Extension Service started Second Sunday and has coordinated activities. The service plans to do several Second Sunday events next year, depending on grant funding, said spokeswoman Diana Doggett.

“We have a community that is willing and interested,” she said. “We just have to nudge that along.”


Lessons for Appalachia in Wales’ recovery from coal’s collapse

September 29, 2014

SouthWalesThe Tower Colliery near the village of Hirwaun, in Glamorgan, South Wales, in 2009. Tower Colliery was the oldest continuously worked deep-coal mine in the United Kingdom, and possibly the world. Photo by Kirsty Wigglesworth/Associated Press. 

 

People in the remote hills and valleys were subsistence farmers before the mining industry came. For generations afterward, King Coal provided most of the decent jobs and dominated almost every aspect of life.

But mechanization gradually eliminated tens of thousands of mining jobs. When economic and political conditions suddenly changed, most of the coal industry shut down. Communities were left with high unemployment, a ravaged landscape and an uncertain future.

This is the story of Eastern Kentucky. It also is the story of South Wales.

These two regions separated by the Atlantic Ocean share many traits and experiences. Community leaders working to create a post-coal economy in Central Appalachia think there are lessons to be learned from Wales, which has been dealing with many of the same challenges for three decades.

Two longtime coal community leaders from Wales will be in Eastern Kentucky on Oct. 7 to speak about their experiences. The 7 p.m. program at Appalshop Theatre, 91 Madison Avenue in Whitesburg, is free and open to the public.

Hywel Francis and his wife, Mair, are no strangers to Kentucky. They have been coming here for years as part of a community exchange program started in the 1970s by Helen Matthews Lewis, a well-known Appalachian scholar and activist.

“The interest between these two areas has been there for a long time, but it has really picked up as we’ve seen the sudden decline of mining jobs here,” said Mimi Pickering of Appalshop. “We think this is an exciting opportunity for folks to talk with people from another place who have been though this.”

Francis is a member of the British Parliament, a college professor and labor historian. His wife is a founder of Dulais Opportunity for Voluntary Enterprise, known as the DOVE workshop, a women’s education and job-training organization.

South Wales was a few decades ahead of Central Appalachia, both in the development and collapse of its coal economy.

Beginning in the early 1800s, coal mines in South Wales fueled Britain’s industrial revolution and, in many ways, the British empire. At the industry’s peak just before World War I, more than 250,000 men labored in nearly 500 Welsh deep mines and open pits.

As in Appalachia, mechanization steadily reduced mine employment. After World War II, British mines were nationalized. In the mid-1980s, Prime Minister Margaret Thatcher closed unprofitable mines, sparking a bitter miners’ strike. The industry all but collapsed and 85,000 miners lost their jobs. Only a few hundred miners still dig coal in South Wales.

Tom Hansell, a filmmaker and professor at Appalachian State University in Boone, N.C., is finishing After Coal, a documentary comparing the experiences of coal communities in South Wales and Central Appalachia. He said it will be shown on Kentucky Educational Television next year or in 2016.

Hansell also helped organize a program in Elkhorn City two weeks ago about what Eastern Kentucky could learn from Wales’ tourism industry, which now employs 30,000 people.

A third forum will be at 6 p.m. on Oct. 28 at the Harlan campus of Southeastern Kentucky Community and Technical College. Richard Davies of College Merthyr Tydfil in Wales will lead a conversation about the role of youth and the arts in preserving vibrant coalfield communities.

While working on his film, Hansell said he made three trips to Wales. He noted that some of its circumstances are different than in Central Appalachia.

Because Welsh mines were owned by the government, laid-off miners got good severance payments to help them start businesses or train for new jobs. Britain also has a stronger social safety net than the United States, including a public health care system.

But Hansell said there is one smart thing Britain did that the United States could emulate: the government invested heavily in environmental reclamation, cleaning up the mess from generations of coal mining.

“There were jobs created with that, but more importantly it provided a foundation for future economic development,” he said.

Another good strategy: community funds have been created around major industrial investments, such as a wind turbine farm built by a Swedish company. The funds are similar in some ways to Kentucky’s coal severance tax, but transparently managed by local community boards rather than state and local politicians.

Wales has a focus on entrepreneurship and small-business development, which organizations such as Kentucky Highlands Investment Corp. have done here. Everyone realizes that the future is lots of small employers rather than a few big ones, Hansell said.

“It would be misleading to say that Wales has solved all their economic problems,” he said, noting that unemployment remains high and many people in former mining communities commute to jobs in coastal cities. “But towns have found ways to survive and find creative ways to re-invent themselves.”


Eastern Kentucky jobs outlook: health care and more broadband

August 11, 2014

crouch1Ron Crouch is the director of research and statistics for the Education and Workforce Development Cabinet in Frankfort. He says a growing health care industry in Eastern Kentucky should help offset jobs lost to coal’s decline. Photo by Mark Mahan

 

There is more talk than usual about the need to create jobs and a more diverse economy in Eastern Kentucky because of the coal industry’s decline.

It made me wonder: what are the latest trends? For some answers, I called Ron Crouch, director of research and statistics for the Education and Workforce Development Cabinet. He previously headed the Kentucky State Data Center for two decades and is better than anyone I know at analyzing this sort of information.

People are alarmed because coal-industry employment in Eastern Kentucky has dropped to about 7,300 — half what it was five years ago. Coal-mining jobs have been important to the region because they pay well: about $65,000 a year.

President Barack Obama’s critics have blamed stricter environmental regulations for the sudden drop in coal employment. But the biggest factors have been cheap natural gas and the fact that Eastern Kentucky’s best coal seams have been depleted over the past century; the coal that is left is more costly (and environmentally damaging) to mine.

But Crouch notes that coal employment in Eastern Kentucky has been declining steadily for more than six decades — even accounting for periodic booms and busts — mainly because of mechanization. Coal production peaked in 1990, but coal employment peaked in 1950, when there were 67,000 miners.

Some Eastern Kentucky leaders have pursued manufacturing as a source of new jobs. But Crouch says the long-term prospects for manufacturing aren’t too good, either, also because of automation.

“Manufacturing is coming back to the United States, but not necessarily manufacturing jobs,” he said. “We’re producing far more goods, but with far fewer workers.”

Still, Crouch sees hopeful signs for Eastern Kentucky.

While the region still lags the state in college degrees, high school graduation rates have improved significantly, as have the number of people completing other levels of training between high school and a bachelor’s degree. Many new, good-paying jobs are for people with that level of education.

Those areas include health care as well as professional, scientific and technical services. Some of these jobs pay well. For example, the number of registered nursing jobs, which pay about $55,000, is growing significantly.

Eastern Kentucky’s health care industry should see big growth in coming years. One reason is demographics. Baby Boomers are now entering their 60s and 70s and will require more health services. Another reason is the Affordable Care Act.

“You’re going to see a huge increase in the number of people in East Kentucky who have health insurance,” Crouch said.

Because Eastern Kentucky families are smaller than in the past, there will be less pressure for young people to leave.

“You now have a population with more people in their 40s, 50s and 60s than in their teens and 20s,” Crouch said. “If those young people can get the education and training they need after high school, there will be jobs for them in East Kentucky.”

But many of the growing economic sectors in the region, such as health care, have traditionally been dominated by women, while shrinking sectors, such as mining and manufacturing, have been mostly male. In some Eastern Kentucky counties, women now have higher employment rates than men.

“The good news is the economy has been transitioning to a broader economy,” Crouch said. “But how do you transition a population of males who have been involved in mining and manufacturing to jobs in professional, technical services and food services and health care, which have largely been female?”

Crouch said improving broadband service in Eastern Kentucky, which has the state’s poorest connections to the Internet, is vital.

“That would accelerate the growth in higher-skilled jobs,” he said.

Crouch is troubled that many Eastern Kentucky counties have high percentages of working-age people not in the formal labor force. He thinks many are “getting by” in the cash and barter economy, some of which is illegal.

He also is concerned that much of the job growth has been in low-wage service industries. Because the legal minimum wage hasn’t kept pace with inflation, full-time work in many low-wage jobs doesn’t produce a living wage for a family.

“The good news is that East Kentucky is not having a brain drain, despite what people think; it’s having a brain gain,” he said. “But, as the saying goes, we’re halfway home and have a long way to go.”


Kentucky needs leadership for change, not the politics of fear

June 8, 2014

I have had mixed emotions since the U.S. Environmental Protection Agency announced its long-awaited plan to reduce coal-fired power plant pollution, setting a goal to cut carbon dioxide emissions 30 percent by 2030 from 2005 levels.

I felt happy that my government was finally taking some action to fight manmade climate change, which threatens humanity’s safety, prosperity and future.

But I felt sad as I watched a bipartisan majority of Kentucky politicians fall all over each other to condemn this long-overdue action. Pandering to public fear may be good politics, but, in this case, it is an irresponsible failure of leadership.

SenateCandidatesRepublican Sens. Mitch McConnell and Rand Paul called the EPA’s plan illegal and vowed to repeal it. (It is legal, according to a 2007 U.S. Supreme Court ruling.)

Not to be outdone, McConnell’s Democratic challenger, Allison Lundergan Grimes, launched an ad blitz repeating the coal industry’s “war on coal” talking points.

“The Obama administration has doubled down on its war on Kentucky coal jobs and coal families,” said another industry parrot, U.S. Rep. Andy Barr, a Republican from Lexington.

State House Speaker Greg Stumbo, a Democrat from Prestonsburg, called the pollution-cutting plan “a dumb-ass policy.”

Let us review the facts:

An overwhelming majority of climate scientists think manmade carbon pollution is contributing significantly to climate change. We are already seeing the disastrous results: more frequent killer storms, droughts, shrinking glaciers and rising seas.

Public opinion polls show that a substantial majority of Americans, even in coal-dependent states, understand these realities and want stricter carbon limits.

In addition, health experts say the EPA plan will reduce cancer, heart disease and lung disease through fewer emissions of mercury, nitrogen oxide and sulfur dioxide. The American Lung Association says the plan will prevent as many as 4,000 premature deaths in its first year alone.

So why all the political nonsense? It’s simple: the coal, utility and business lobbies that fund these politicians’ campaigns will see their profits suffer, at least in the short term.

The coal industry’s disinformation campaign portrays the desire for cleaner air and water as a “war on coal.” In reality, there are two “wars” on coal, and environmental regulation has only a minor role in each.

The first “war” is one on coal-company profits. It is being waged largely by natural gas companies, whose fracking technology has produced cheaper energy and hurt coal sales. Solar, wind and other renewable energy sources pose another threat.

The second “war” is being waged by coal companies and their political allies against miners and their communities. Kentucky lost about 30,000 coal mining jobs between 1979 and 2006, mostly because of industry mechanization. Add to that a historic disregard for mine safety. Kentucky legislators recently cut the number of state safety inspections at mines from six per year to four.

It is worth noting that the EPA’s new rule could have hit Kentucky much harder had it not been for the coal-friendly administration of Gov. Steve Beshear, a Democrat. Energy Secretary Len Peters pushed a plan, which the EPA adopted, to give states flexibility in achieving carbon-reduction goals. It set different targets for each state. Kentucky will be required to cut power-plant emissions by 18 percent, much lower than the national average of 30 percent.

Kentucky now gets more than 90 percent of its electricity from coal. The state has some of the nation’s cheapest power because the true cost of coal mining and burning to our health and environment has never been reflected in the rates.

America is gradually moving away from coal toward cleaner energy sources. This will happen no matter how loud and long Kentucky politicians scream. Unless this state acts aggressively to develop alternative energy sources to eventually replace diminishing coal reserves, Kentucky will be left behind — again.

Entrenched business interests have always predicted that each new environmental regulation would destroy the economy. It has never happened. Instead, regulation has sparked innovation that created new jobs and economic opportunities and made America a healthier place to live.

More limits on pollution will raise electricity rates in the short term. But Kentuckians will be rewarded with better health, a less-damaged environment, more innovation and a stronger economy in the future.

Change is hard, but it is necessary. Forward-thinking business people and citizens must demand that our politicians stop pandering to fear and become the leaders we need to make this inevitable transition as painless as possible. A brighter future never comes to those who insist on living in the past.


Alltech’s business strategy is to embrace change, not fight it

May 20, 2014

Alltech1Alltech founder and president Pearse Lyons, left, presented the Humanitarian Award to Lopez Lomong at Alltech’s symposium Monday. Lomong was kidnapped by soldiers in his native Sudan at 6, but eventually became two-time Olympic runner. Photo by Tom Eblen

Nobody likes change — it’s human nature. Kentuckians seem especially averse to it, which is ironic considering our heritage.

Two centuries ago, the pioneering risk-takers who came to Kentucky seeking a better life were on the cutting edge of change in America. But their adventurous spirit was soon replaced by a cautious, conservative mindset.

Too many Kentuckians fear innovation, mistrust higher education, deny science and instinctively oppose new ideas and ways of doing things. That is one reason I attend the Alltech Symposium each May. It is always an eye-opener.

The 30th annual Alltech Symposium, which began Sunday and ends Wednesday, brought 1,700 people from 59 nations to Lexington Center. The theme was “What If?”

The discussions — simultaneously translated into four languages — revolved around a question no less audacious than how a world of 9 billion people will feed itself in the year 2050.

Alltech began in a suburban Lexington garage in 1980. The privately held animal nutrition, food and beverage company now has operations in 128 countries and annual sales of $1 billion. The company’s energetic founder and president, Pearse Lyons, who turns 70 in August, has set a sales goal of $4 billion through growth and acquisition during his lifetime.

Lyons is not a native Kentuckian, but perhaps the next closest thing: an Irishman. Alltech has been wildly successful because Lyons and his wife, Deirdre, have used their complementary skills to create a company that tries to embody the strengths and avoid the shortcomings of both cultures.

“Sometimes I think we’re our own worst enemies,” Lyons said, noting that both Kentuckians and the Irish have often been stereotyped as backward.

Alltech’s often-contrarian approach to business is about problem-solving through science, education, innovation, sustainability, creativity, challenging boundaries and anticipating global needs. “We’ve built a business by walking the road less traveled,” he said.

Alltech’s science is based on natural ingredients and processes. That has been controversial, because many corporate agriculture models rely heavily on artificial chemicals. But the strategy has become a plus with consumers who worry about food safety and nutrition.

Lyons said Alltech’s stand against the routine use of antibiotics in food animals has cost it customers, but is simply common sense in light of scientific evidence of the problems caused by antibiotic abuse. “My mum used to say common sense is the rarest sense out there,” he said.

Lyons is equally forthright about the scientific evidence of man’s role in climate change. “The carbon footprint issue is with us to stay,” he said. “Those of us who embrace it will be successful.”

Because he spends so much time traveling around the world, Lyons brings valuable international perspectives to an often insular state. That has made him more open to new ideas, and, he thinks, more cognizant than most Kentuckians of the state’s unrealized economic potential.

Kentucky is already a globally recognized brand, thanks to Kentucky Fried Chicken, the Kentucky Derby and bourbon whiskey. Lyons thinks it is the best state brand in the nation. “The name that resonates, the name that people like, is Kentucky,” he said. “It’s open. It’s warm.”

That has certainly been true for Kentucky Ale, which Alltech began producing in Lexington in 2006 and is now sold in 20 states and four other countries.

Alltech this week unveiled big plans for Eastern Kentucky: a brewery and distillery in Pikeville, whose waste heat and grain byproducts will then be used for raising fish in tanks. Alltech has been studying this at its Nicholasville headquarters.

“The question is this: What are we going to do when we can’t get all those fish from the oceans?” he said. “Where poultry is today, many predict the aquaculture industry will be in five, 10, 15 years, and we propose to be right out there.”

Alltech plans to produce trout, chickens and eggs in Eastern Kentucky and brand them to the region. “We don’t need to be in Kentucky,” Lyons said, noting that 98 percent of Alltech’s revenues come from outside the state. “But Kentucky’s still a great place to do business.”

Alltech embraces big problems, Lyons said, because the flip side of every problem is a business opportunity for solving it.

“I’m a scientist at the end of the day, and scientists look for solutions,” he said. “If we put our heads in the sand, we’re never going to achieve anything.”


War on Poverty vets see lessons for today’s Appalachia reformers

May 13, 2014

BEREA — The War on Poverty’s 50th anniversary has reignited debate about its effect on places such as Eastern Kentucky, where President Lyndon B. Johnson famously came to launch the “war” from a Martin County laborer’s front porch.

Like the real wars in Vietnam, Iraq and Afghanistan, it is easy to declare the War on Poverty a costly failure. America still has plenty of poor people. Eastern Kentucky continues to lag the nation in education, health care and job prospects beyond a boom-and-bust coal industry where little of the wealth ever trickles down.

Declaring failure is easy, but it isn’t accurate. The National Bureau of Economic Research recently published a study that estimated without the government anti-poverty programs since 1967, the nation’s poverty rate would have been 15 percentage points higher in 2012.

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Bob Shaffer of Berea holds a photo of himself with a mule presented to the Republican Governors Conference in Lexington in May 1969 by Wanita Bain, Knox County, Secretary of the Kentucky Poor People’ s Coalition, which he organized and advised. Photos by Tom Eblen

Eastern Kentucky is significantly better off than it was a half-century ago, thanks largely to government-funded infrastructure and assistance. But the question remains: Why wasn’t the War on Poverty more successful?

I recently posed the question to two aging veterans of that war. Their observations offer food for thought as Gov. Steve Beshear and U.S. Rep. Hal Rogers ramp up their Shaping Our Appalachian Region (SOAR) initiative, the latest in a long series of efforts to “fix” Eastern Kentucky’s economy.

Robert Shaffer, 84, is retired in Berea. In 1963, he accompanied his father to the March on Washington for Jobs and Freedom and was inspired to public service by the Rev. Martin Luther King Jr.’s “I have a dream” speech.

The next year, after the Economic Opportunity Act was passed, Shaffer began working with poor people in new community action agencies in his native New Jersey. He was recruited to Washington, but wanted to work on the front lines instead. After reading Harry Caudill’s book,Night Comes to the Cumberlands, he told federal officials, “I’ll take the job if you’ll send me to Kentucky.”

Hollis West, 83, is retired in Lexington. A coal miner’s son from southern Illinois, he served in the Air Force and went to college on the G.I. Bill. He worked in community action and job-training agencies in Michigan, New York and West Virginia before coming to Knox County in 1965.

Although the War on Poverty is often portrayed as welfare, Shaffer said, “It wasn’t welfare. It was using social services for economic development and ownership.”

West and Shaffer worked with community groups to start small, worker-owned companies, mostly in furniture, crafts and garment-making and train workers to do those jobs. They said they created hundreds of jobs, although many were later lost as U.S. manufacturing jobs moved overseas.

Their biggest accomplishment was creating Job Start Corp. in 1968. It evolved into Kentucky Highlands Investment Corp., which has created more than 18,000 jobs and is recognized as one of the most enduring legacies of the War on Poverty.

“I think we made a significant change in parts of Eastern Kentucky,” West said. “I brought the toughness, and Bob brought the brains.”

Toughness was important. West said he often traveled with an armed bodyguard. A key principle of War on Poverty programs was that poor people should have a voice in decisions that affected them. Local politicians and power brokers saw that as a threat.

Hollis West

Hollis West

“These people weren’t used to other people having money to work with that they didn’t control,” Shaffer said. “It was a pretty hostile environment.”

Shaffer said Gov. Louie B. Nunn stymied War on Poverty efforts and tried to get West fired. Officials resisted giving poor people a voice on the Area Development District boards that allocated federal money. Then, as now, many of those boards were controlled by good ol’ boy networks.

Shaffer and West think the War on Poverty would have had a bigger impact had Richard Nixon, a Republican, not been elected president in 1968 and scuttled his Democratic predecessor’s programs. But the ideas behind the War on Poverty still have value today, they said.

“You’re never going to change the culture of Appalachia until you have a legitimate organization of the poor and their allies,” Shaffer said. “The majority of the people in the mountains are just as capable as anyone else if they have the same education and economic opportunities as anyone else.”

What are the lessons of the War on Poverty? Not that poverty can’t be overcome, or that government efforts won’t work. It is that change will never come from people with a vested interest in the status quo.


If SOAR wants to get off the ground, it needs diverse leadership

March 25, 2014

When Gov. Steve Beshear and Rep. Hal Rogers launched their Shaping Our Appalachian Region (SOAR) project last year, they promised it would be different.

They said SOAR would succeed in bringing economic vitality and diversity to long-troubled Eastern Kentucky, where so many past efforts have failed, because it would seek new ideas and leadership from a broader representation of the region’s people.

So far, it isn’t looking much different. Beshear and Rogers announced a leadership team Monday to guide the SOAR process. The list raised eyebrows not so much because of who was included as who was excluded, which was pretty much everybody outside Eastern Kentucky’s establishment power structure.

“It was a missed opportunity, for sure,” said Justin Maxson, president of the Berea-based Mountain Association for Community Development, which has been working on innovative economic development strategies in Central Appalachia since 1976.

SOAR_logoMaxson would seem a logical choice for SOAR’s 15-member executive committee or to chair one of its 10 working groups. But the only person with ties to MACED on the SOAR leadership team is Haley McCoy of Jackson Energy, an electric cooperative in Jackson County, who also happens to serve on MACED’s board.

Maxson praised McCoy’s selection, and that of SOAR’s interim executive director, Chuck Fluharty, president of the Rural Policy Research Institute. “He understands that a region needs a diverse set of economic development strategies,” Maxson said of Fluharty. “But it’s unclear what his role will be.”

If Beshear and Rogers really want new ideas, MACED would be a good place to look. “We’re not afraid to say hard things,” Maxson said. “Most of the solutions the region needs are not going to be easy.”

Excluded from SOAR’s leadership is anyone from Kentuckians for the Commonwealth, a citizens group with more than 8,000 members statewide. KFTC has been working effectively in coal-dominated Eastern Kentucky since 1981.

“I’m trying to be nice about this, but everything they do, it seems like it’s the same old, same old bunch,” said Carl Shoupe of Harlan, a KFTC executive committee member. “We’re a little bit too progressive for them, maybe.”

In addition to McCoy, SOAR’s executive committee, co-chaired by Beshear and Rogers, includes coal executive Jim Booth of Inez; Pikeville banker Jean Hale; Rodney Hitch of Winchester, economic development manager for East Kentucky Power; entrepreneur Jim Host of Lexington; Tom Hunter of Washington, D.C., retired executive director of the federal Appalachian Regional Commission; Ashland lawyer Kim McCann; and Bob Mitchell of Corbin, Rogers’ former chief of staff and a board member of the Center for Rural Development that Rogers created in Somerset.

Four elected officials are ex-officio members: House Speaker Greg Stumbo of Floyd County; Senate President Robert Stivers of Clay County; and county judge-executives Albey Brock of Bell County and Doc Hardin of Magoffin County.

Former Gov. Paul Patton, 76, of Pikeville, leads the Futures Forum committee “responsible for framing and advancing the long-term vision of the region.”

Among the 10 people appointed to chair working groups is Phil Osborne, a Lexington public relations executive. He chairs the Tourism, Including Natural Resources, Arts & Heritage group. Osborne is a talented marketing executive, but his appointment to head that group sends a strong message of its own.

Osborne was a key leader in Faces of Coal, the coal industry’s multimillion-dollar propaganda campaign to block federal enforcement of environmental laws related to mining. The “war on coal” divisiveness that campaign fueled in the region is one of many obstacles SOAR must overcome.

In an interview, Shoupe of KFTC read key passages from the report by SOAR’s consultant on takeaways from a public forum Dec. 9 in Pikeville, where more than 1,500 people gathered to launch the initiative:

“People appreciate the governor and congressman, but fear entrenched interests will wait them out. … Folks want the dialogue deepened and broadened. … Next generation leadership is essential. The young men and women of this region must feel a stronger sense of SOAR engagement than is currently evident, moving forward. Specific leadership attention to this dimension of governance and program design and delivery is so critical to SOAR’s mission achievement.”

“And what did they do?” Shoupe said of the leadership appointments. “They did everything backwards.”

Maxson and Shoupe said they have been assured that SOAR working groups will listen to everyone’s ideas and perspectives. That’s not good enough, and Beshear and Rogers should know it.

If they want new ideas and the broad public support and credibility SOAR needs to succeed, they must be willing to give some seats at the decision-making table to people besides Eastern Kentucky’s Old Guard. Otherwise, SOAR won’t be any different than the failed efforts of the past.

 


Voters should push back against pro-pollution politicians

February 17, 2014

Politicians say a lot of dumb things. What’s puzzling, though, is how much we listen to them.

Some of the dumbest things politicians say these days involve criticism of the U.S. Environmental Protection Agency and other state and federal environmental watchdogs. These politicians are indignant that “regulators” are enforcing the laws they and their predecessors passed to keep air fit to breathe and water safe to drink.

The Democrats and Republicans who passed those environmental laws and created the watchdog agencies during the last half of the 20th century were smart enough to realize that pollution spoils our nation, makes us sick and, in the long run, is bad for business.

So why are many politicians today fighting for more pollution? It’s really very simple: Companies pay them to.

If you look at these politicians’ campaign funds, you will see big contributions from polluters: coal companies, chemical companies, electric utilities and other corporations that make more money when they can push the environmental costs of their businesses off on the public.

The politicians who complain loudest about environmental regulation tend to get the most money from polluters. Funny how it works that way.

When these politicians can’t repeal or ignore environmental laws and regulations, they argue that they should be enforced by state rather than federal agencies. That’s easy to understand, too: the smaller the watchdog, the easier it is to muzzle.

Federal prosecutors last week launched a criminal investigation into the relationship between North Carolina regulators and Duke Energy after 82,000 tons of coal ash and 27 million gallons of contaminated water spilled into the Dan River on Feb. 2. It was the third-largest coal ash spill in U.S. history.

The Associated Press reported last week that North Carolina regulators repeatedly thwarted attempts by environmental groups to use the federal Clean Water Act to force Duke to clean up leaky coal ash dumps near its power plants.

Two recent incidents in West Virginia, another state where politicians are frequently hostile to environmental regulation, also has raised questions about cozy political relationships with polluters.

The water supply for more than 300,000 people in nine counties around Charleston hasn’t been right since Jan. 9. That’s when storage tanks owned by Freedom Industries leaked as much as 7,500 gallons of coal-processing chemicals into the Elk River.

Freedom Industries has filed for bankruptcy protection to avoid lawsuits. The spill will cost taxpayers millions of dollars.

Then, last Tuesday, a pipe ruptured at a Patriot Coal processing plant about 18 miles from where the chemical spill occurred. It sent more than 100,000 gallons of coal and chemical slurry into Fields Creek, a Kanawha River tributary. State officials said the spill “wiped out” six miles of stream, causing “severe, adverse environmental impact.”

We’ve heard these stories many times before. Remember the 2008 coal ash pond collapse in East Tennessee that released 5 million cubic yards of ash and cost $1.2 billion to clean up? Or the spill in Martin County, Ky., in 2000 that sent 306,000 gallons of coal sludge into two tributaries of the Tug Fork River? And there are many more smaller incidents that never make headlines.

Does this sound like environmental regulation that is too strict, or too lax?

Many Kentucky politicians like to complain about the “war on coal” — a phrase coined for a well-financed industry propaganda campaign. But the real war is being waged against Kentucky’s land, water, air and public health by companies that want more freedom to blast mountains, bury streams and release toxins into the environment.

Many people support polluters because they buy into the argument that you can’t have both a strong economy and a clean environment.

Sure, sometimes environmental regulation does cost jobs and raise costs in the short run. But history has shown that it has always been good for the economy in the long run because it creates a healthier environment and sparks job-creating innovation. Perhaps the best example is government fuel-efficiency standards for automobiles, which over several decades have given us better cars and cleaner air.

How long will some politicians keep fighting for more pollution? As long as polluters keep paying them to. And as long as we keep listening to and re-electing them.


Could Eastern Kentucky’s coalfields learn from Eastern Germany?

January 25, 2014

140123Doering12

An old mine in eastern Germany is used for a film screening.  The metal construction is the retooled front end of an overburden spreader that will function as a pier once the lake in the former mining pit has filled.  Photo by Frank Doering

 

Coal is still mined in this region, but the industry employs only a fraction of the people it did for more than a century. Huge tracts of damaged land must be reclaimed. Leaders struggle to build a new economy, create jobs and keep young people from leaving.

Eastern Kentucky? No, eastern Germany.

Frank Doering, a German-born freelance photographer who has lived in Lexington for nearly two decades, spent three years documenting the land and people of eastern Germany’s Lausitz region.

Except for the flat topography, this area the size of Rhode Island has much in common with the coal-rich mountains of Central Appalachia. And it could offer a few ideas for Kentucky leaders grappling with the same issues, Doering said.

Coalscapes, an exhibit of Doering’s compelling photographs, opened last Thursday at Institute 193, the small, nonprofit gallery at 193 N. Limestone. The free show continues through Feb. 26.

140123FrankDoering0006Doering, 55, grew up in western Germany and earned degrees in German literature, history and philosophy. He came to this country to earn a Ph.D. at Princeton University, where he met his wife, Wallis Miller, an architectural historian.

They lived for several years in Europe, where Doering worked as a cognitive science researcher at the École Polytechnique in Paris. Miller was hired in 1994 by the University of Kentucky, where she is an associate professor of architecture.

Doering taught philosophy at Johns Hopkins University and the University of Cincinnati before quitting in 2000 to pursue photography, a hobby since his youth. He now works on personal projects between commercial commissions.

The Coalscapes project grew out of a 2004 trip to Canada, where the couple visited a huge, open-pit asbestos mine.

“It was visually overwhelming,” Doering said. “I’ve always been interested in the industrial underpinnings of society and the scale on which it happens. This was a chilling landscape because it was all manmade.”

The experience made Doering want to photograph large surface mines in Eastern Kentucky, but the mountain topography and lack of access made that difficult.

When Miller made a research trip to Berlin, Doering discovered the Lausitz region, less than two hours away. It had been an industrial powerhouse of the former East Germany, but state-owned industries there all but collapsed after German reunification in 1990.

Only three of 17 former mines still operate there, he said, but they are vast. More than 136 villages have been obliterated by mining, and more are targeted by Germany’s decades-long mine-planning process.

The region has some of the world’s richest deposits of lignite coal, used primarily to fuel nearby electric power plants. Despite Germany’s ambitious commitments to solar and wind energy, it uses a lot of coal and will for decades.

Still, Lausitz is economically depressed. Since the Berlin Wall fell, many former miners have been employed by the government, which has spent billions to dismantle old industrial plants and reclaim former surface mines.

“Many people there feel they have gotten the short end of the stick since reunification,” Doering said, adding that the region has a stigma within Germany similar to what Appalachia has in this country. “There is a distrust of outsiders.”

But the more trips Doering made to Lausitz, where he rented an apartment, the more locals opened up to him and the better his pictures got. The project was supported by a grant from the Graham Foundation in Chicago.

Although initially attracted by the raw landscape, he said, “The project took on much more of a human side. The industrial history and the people’s life stories are unbelievably interesting.”

Doering’s photographs document efforts to restore old mine pits as lakes that will attract tourists. Former mines have even been used for concerts and film screenings, and even public art installations.

There is also a push for “industrial” tourism — with mining companies building observation platforms so visitors can watch the mining process, which Doering said is fascinating because it is done on such a super-human scale. For example, the conveyor assemblies that remove soil above the coal seams are twice as long as the Eiffel Tower is tall.

“People from different backgrounds come and look at stuff they wouldn’t normally look at,” he said. “It starts some unexpected conversations” about balancing energy needs and the environment — conversations that rarely happen in an Appalachia polarized by “war on coal” rhetoric.

One metal fabricating company, which used to make industrial buildings, now makes innovative housing for locals and vacation rentals. It reminds Doering of the UK College of Design’s efforts to retool idled houseboat factories near Somerset to make energy-efficient modular housing.

Doering said his photos have been used in Germany to both document and promote the sparsely populated region, where leaders realize they must rebuild to high standards. “It had better be cutting-edge stuff, because that’s the only way to attract outsiders who might pour some money into the area,” he said.

Doering said he doesn’t know enough about Eastern Kentucky to say what lessons its leaders might learn from Germany. But he said the keys to progress there have been locals and outsiders overcoming traditional fault lines to find creative solutions.

“They have forged some odd alliances,” he said. “They have found a way to work together and get stuff done.”

 

If you go

  • What: Coalscapes, a photography exhibit
  • Where: Institute 193, 193 N. Limestone.
  • When: Now until Feb. 26. The gallery is open 11 a.m.-6 p.m., Wednesday through Saturday, and by appointment. Admission is free.
  • More information: Institute193.org, Coalscapes.com, Doeringphoto.com
Read more here: http://www.kentucky.com/2014/01/25/3052745/tom-eblen-eastern-germany-eastern.html#storylink=cpy

 

Click on each photo to see larger image and read caption:


A few Kentucky business highlights; poetry not included

December 29, 2013

By newspaper tradition, each year at this time, business news highlights were recounted in rhyme. Well, maybe I’m dull. Maybe I’m lazy. But to read a whole column in verse makes me crazy.

So here are some things that made news in Kentucky, but none of them will rhyme, so count yourselves lucky:

■ Toyota announced in April that it would build Lexus vehicles in the United States for the first time on a new line at its 6,000-employee Georgetown assembly plant. The company plans to produce 50,000 Lexus ES 350 luxury sedans a year, beginning in 2015, adding 750 more jobs.

■ Kentucky’s hottest commodity in 2013 was bourbon, as more drinkers around the world developed a taste for this state’s native spirit. Especially popular were high-end boutique bourbons: single barrels, small batches and specially finished recipes.

Distillers put up more than 1 million barrels a year for the first time since 1973 and were expanding their facilities in every direction. Nine craft distilleries either were licensed or announced plans to build.

All of this fueled the popularity of tourism along Central Kentucky’s Bourbon Trail. The Evan Williams Bourbon Experience opened in Louisville, while Wild Turkey built a new visitors center that will open in 2014.

Bourbon’s popularity had some distillers worried about supply. Maker’s Mark ignited a customer backlash — and a lot of free publicity — when it announced in February that it would water down its bourbon a little, then quickly changed its mind.

Bourbon also figured into one of Kentucky’s most highly publicized crimes of 2013: the theft of $26,000 worth of coveted Pappy Van Winkle from a warehouse at the Buffalo Trace Distillery in Frankfort.

■ Kentucky farm cash receipts hit a record $6 billion in 2013, just a year after topping $5 billion for the first time. Much of that was the result of the rebounding horse industry. Sales of Thoroughbred yearlings at Keeneland were up 28 percent in September, while sales of bloodstock were up 38 percent in November. Kentucky breeding rebounded for the first time since 2007, the Jockey Club said.

Also in agriculture, the local food movement gained more traction. St. Catharine College in Springfield launched a sustainable agriculture program, joining similar programs at the University of Kentucky and Kentucky State University aimed at training a new kind of Kentucky farmer.

The Lexington Farmers Market expanded its calendar, and chef Ouita Michel, perhaps Central Kentucky’s highest-profile local food entrepreneur, opened her fifth restaurant, Smithtown Seafood, at the Bread Box development on West Sixth Street. Some of Smithtown’s fish and greens are raised in the next room by Food Chain, a sustainable agriculture non-profit.

■ R.J. Corman started a dinner train from Lexington to Versailles in August. Sadly, soon afterward, the Nicholasville railroad magnate and philanthropist died at age 58 following a long battle with cancer.

■ Lexington saw several new stores in 2013, the biggest of which was a 159,000-square-foot Costco warehouse at Hamburg.

The city also got some innovative new restaurants, including National Boulangerie, a French-style bakery; Coba Cocina, a Mexican-inspired restaurant with Las Vegas-style architecture; and Athenian Grill, a former food truck. Alfalfa, the downtown restaurant that was organic before organic was cool, celebrated its 40th year.

But as the year ended, the venerable retailer Sears was having a liquidation sale at Fayette Mall and preparing to leave Lexington after 80 years. Before moving to the new mall in 1971, Sears was on Main Street, where the Chase bank tower now stands.

Miller & Woodward Jewelers, a Lexington institution since 1931, was closing its doors at the end of the year so owner Russell Pattie could retire. And Talbots Outlet, a popular women’s clothing store that moved from Victorian Square to Hamburg, announced that it would be closing in 2014.

■ Lexmark, Lexington’s biggest technology company, spent much of 2013 trying to show that it isn’t just a printer manufacturer anymore. The company is working to reinvent itself as a leader in various kinds of digital data manipulation services.

■ Lexington’s huge hospital industry saw the opening in September of a new $129 million, 300,000-square-foot Eastern State Hospital off Newtown Pike at the Coldstream Research Campus. It was a long-overdue replacement for one of the nation’s oldest mental hospitals, which had been located on Newtown Pike between Fourth Street and Loudon Avenue for nearly 200 years. That site is now the new campus for Bluegrass Community and Technical College.

 


Will SOAR be a new beginning, or just more talk about Appalachia?

December 8, 2013

You have to wonder: Will the Shaping Our Appalachian Region summit Monday in Pikeville be the start of something big, or just another feel-good effort that doesn’t amount to much?

More than 1,500 people have registered to attend the conference called by Gov. Steve Beshear and U.S. Rep. Hal Rogers, who said they wanted ideas from throughout Eastern Kentucky for strategies to diversify the region’s economy.

There have been dozens of conferences on this topic over the years, but this one offers some hopeful signs. For one thing, it is the first high-level, bipartisan effort. Politicians who usually dance to the tune of the all-powerful coal industry are actually asking other people what they think.

But once the talking is over and the reports are written, will leadership, public investment and private capital get behind the good ideas? Will anything really change?

soarlogoCreating a sustainable, broadly prosperous economy in a region that has never really had one will be a monumental challenge.

Eastern Kentucky has never lacked for intelligent, hard-working people. But it has been handicapped by isolation, lack of education and opportunity, corrupt politics and powerful economic forces beyond its borders and control.

Since the late 1800s, the region has gone from subsistence farming to large-scale timber extraction to increasingly destructive methods of coal mining. The result has been a classic colonial economy, where most of the wealth flowed out of the region, or to a small local elite, while a large underclass survived on welfare and charity.

This cycle of poverty and dependence has led to hopelessness, drug abuse and other social problems, as was outlined in the most recent chapters of the excellent series Fifty Years of Night, by Herald-Leader reporters John Cheves and Bill Estep.

Can a new and different chapter be written for Eastern Kentucky?

In calling this summit, Beshear and Rogers cited the loss of more than 6,000 coal jobs over the past two years. But they wisely avoided their usual “war on coal” rhetoric, which blames the industry’s problems on long-overdue environmental regulation and enforcement.

The main reasons for declining coal production are cheaper Western coal and even cheaper natural gas. Besides, coal employment in Eastern Kentucky has been falling for three decades, from a high of 37,505 in 1981, primarily because of industry mechanization and a shift from deep to surface mining.

Eastern Kentucky’s current coal employment is 7,951, the lowest in generations, and that is unlikely to improve much. Coal will continue to be a presence. But because the large, easy-to-mine reserves are gone, most of the coal jobs will never return.

There are no “magic bullet” solutions to replacing Eastern Kentucky’s coal-based economy. (Not that coal itself was ever a magic bullet. Even when coal employment and production were at their peaks, the coal counties were still among the nation’s poorest.)

The citizens group Kentuckians for the Commonwealth has some good ideas about what a new Eastern Kentucky economy should aspire to. Those principles would be a good starting point for Monday’s conversations.

KFTC’s vision calls for a “just” transition that promotes “innovation, self-reliance and broadly held local wealth.” It urges more citizen participation in decision-making, and calls for restoration and protection of the environment and public health. It also urges leaders to “consider the effects of decisions on future generations.”

Tourism and outdoor recreation are often mentioned as potential economic opportunities, but that will require cleaning up some of strip mining’s environmental damage. Kentucky should lobby for money to do that work from the federal Abandoned Mine Lands fund, which could keep thousands of former coal miners employed for years.

Home-grown entrepreneurship and technology jobs are other often-mentioned possibilities to building Eastern Kentucky’s middle class, but they will require serious state investments in education and infrastructure to attract private capital. Kentucky’s tax-phobic politicians and the citizens who elect them have never been willing to make such serious investment, and that must change if anything else is to.

Shaping a new Eastern Kentucky economy will require a lot of creativity, commitment and hard work, not to mention leadership, inclusion and accountability.

There will be many obstacles to overcome, not the least of which is cynicism. It will be a long process. But Monday in Pikeville is as good a time and place to start as any.