PO Box 531  •  Durham,NC 27702  •  Telephone: (919) 419-8311  •  Fax: (919) 419-8315

Thursday, March 27, 2008

Federal court orders Siegelman freed pending appeal

Former Alabama Gov. Don Siegelman is to be released from prison tomorrow on the orders of a federal appeals court in Atlanta. The ruling by the U.S. Court of Appeals for the 11th Circuit said his larger appeal had raised "substantial questions," the New York Times reports:
Mr. Siegelman, a Democrat, had been taken to prison immediately following his sentencing last year, an unusual move by federal authorities in a white-collar case. His lawyers said Thursday that he never should have been imprisoned while he appealed his conviction.
Earlier today, a House committee called for Siegelman's release to testify before Congress about the politics of the case. In the meantime, the FCC is investigating an alleged technical glitch that resulted in one Alabama TV station blacking out a national CBS report on Karl Rove's reported involvement.

Labels: , ,

posted by Sue Sturgis at 9:14 PM | Email this post

House seeks Siegelman release for testimony

From the Associated Press:
The House Judiciary Committee has asked the Justice Department to temporarily release former Alabama Gov. Don Siegelman from prison to testify before Congress in early May about possible political influence over his prosecution.

A spokeswoman for the committee said Thursday that Siegelman, who is serving more than seven years in a Louisiana prison, would travel to Washington under guard of the U.S. Marshals Service. She said Committee Chairman John Conyers, a Michigan Democrat, wants to hear directly from Siegelman because lawmakers are having trouble getting information elsewhere, including from the Justice Department.
Some are already wondering aloud whether this development will cause any more Alabama TV stations to experience technical difficulties.

Labels: , ,

posted by Sue Sturgis at 2:34 PM | Email this post

Wednesday, March 05, 2008

FCC opens inquiry into Siegelman report blackout

Remember the curious glitch that prevented a CBS affliliate in northern Alabama from airing the recent 60 Minutes' report -- and that report only -- on the politics behind the controversial prosecution of former Gov. Don Siegelman? Well, the Federal Communications Commission has launched an inquiry into the incident, Reuters reports:
The FCC issued a "notice of inquiry" to WHNT, a CBS affiliate in Huntsville, Alabama, in connection with an outage that cut off a segment of the February 24 broadcast of "60 Minutes," an FCC spokeswoman said.

WHNT, which has blamed the black-out on equipment failure, has 30 days to respond with an explanation of what happened in the incident.
The inquiry came at the request of Commissioner Michael Copps, one of two Democratic appointees on the five-member body. The agency's chairman, Kevin Martin, is a Republican.

WHNT is owned by an investment firm whose founder's family has close ties to the Bushes, and it's managed by Local TV, a company headed by a former Clear Channel Communications executive and major Bush contributor. After initially blaming the blackout on a CBS transmission problem, the station management has since maintained that the problem was caused at the receiving end by an equipment failure that cut off the feed. The station later re-aired the segment twice.

The FCC inquiry comes amid mounting calls from across the political spectrum for Siegelman to be freed from prison and for the case to be investigated. Last week former Former Reagan Treasury official and Wall Street Journal editor Paul Craig Roberts joined the chorus, writing in CounterPunch that Siegelman "was framed in a crooked trial ... and sent to Federal prison by the corrupt and immoral Bush Administration."

Labels: , , , , , ,

posted by Sue Sturgis at 10:31 AM | Email this post

Monday, March 03, 2008

Remembering Rev. James "Shackdaddy" Orange

Hundreds of people gathered recently at Morehouse College's King Chapel for a homegoing ceremony honoring the Rev. James Orange. The noted civil rights leader and native Alabamian died in Atlanta on Feb. 16 following gall bladder surgery. He was 65.

Orange started out in the movement as a field organizer with the Southern Christian Leadership Conference, and his jailing in Alabama in 1965 sparked a deadly protest that led to the famous march from Selma to Montgomery and the Voting Rights Act. A close associate of the Rev. Martin Luther King Jr., Orange was standing at the bottom of the stairs at the Lorraine Motel in Memphis, Tenn. when King was assassinated on April 4, 1968. He later went on to work for the AFL-CIO, helping with some 300 union organizing campaigns.

In 1981,
Southern Exposure magazine published an interview with Orange by Institute for Southern Studies founder Bob Hall titled "With the People." During a wide-ranging discussion of his life and work, Orange talked about being dispatched to Chicago in the mid-1960s to continue the organizing work he had been doing in Alabama:
Then they wanted somebody to go to Chicago, and [SCLC's Director of Direct Action and Nonviolent Education Rev. James] Bevel called me and asked me would I come up to Chicago, and the people in Marion, [Ala.] didn't want me to leave. That's when Dr. King started calling me Shackdaddy. He made a speech, saying that we were shacking with the community, we wasn't there to live, we weren't gonna marry the community. Our job was to get stuff started and then move on and get stuff started in other areas. I guess more people know me, man, as Shackdaddy than they do as James Orange.

So I left and went to Chicago in the fall of '65. We had never seen those type of conditions, and the first tenant council was organized by us in '65. We had a rent strike and told people don't pay no more rent to the landlord, pay rent to yourself. We got 10 to 12 thousand dollars taken up in rent. We just took that money, went out and bought some building materials, and put it in each person's apartment and told them to fix their apartment. And the landlord of that building saw the difference in the attitude of the people who lived there because they was interested in helping their own selves. He gave us that building, gave that building to Dr. King and SCLC.

We went from that part in Chicago to saying, "Okay, we don't have a right to live in a certain place," and that's what brought the marches on open housing.

They said they needed someone to organize the gangs and I went out and started talking with some of the kids and went to the South Side. A couple of kids were fighting and I didn't know it was a gang fight. I went over there, say, "Hey man, brothers ain't got no business fighting. Y'all oughta be trying to fight the system and here y'all fighting each other." And both of 'em turned on me and I guess what surprised them was I didn't fight back.

I went to the doctor and just had a busted nose, busted lip. The next morning I went back to the area with Jimmy Collier, who was a guitar player, and a white fellow named Eric Kimburg who was on staff. When I got out of the car, about 25 guys started walking towards Eric. I said, "Hey, hold it, man, now wait a minute. I done took that last whipping y'all gave me last night, but we're not gonna keep taking whippings. If y'all want to talk about how do you get out of the slum," I said, "that's what we here for." And Jimmy Collier took out his guitar and started singing. The song he sung was "The Ghetto" -- we have that on our record, "Jimmy Collier and Friends," that came out of Chicago.

During the whole Movement, see like, whenever we wanted to get control of people, we started singing freedom songs, that was the best way to get attention and get control. Because whoever was leading that freedom song, at the end of that freedom song, he had everybody's attention, and that was the way we kept control of people, even on marches. Like if we saw the police coming, the first song we'd strike out with, "Ain't Gonna Let Nobody Turn Us Around" -- ain't gonna let no police officer turn us around, ain't gonna let no dogs -- and that song would go on even if people was being whupped.

So this was the Blackstone Rangers. Then we went over to the Vice Lords, the Roman Saints, the Cobras, and there was a white gang up in Uptown Chicago that Rennie Davis was working with and we got to them, and to the Puerto Rican gangs. We got them together at a gang convention, and Dr. King came to the hotel where we had it. Those guys just sat down and started talking about working together. From that period on, we worked with these guys. We was talking about marching in Gage Park, and I said the best thing to do is get them guys to be marshals. Nobody could see them being nonviolent, but we started having workshops, freedom songs, and taught them the songs that we did in Birmingham. They started out bad, in so many words, but ended up good. And they said, "Okay, we'll be your marshals."

The first day we went out there, they had shotguns and everything. So we said, "All right, anybody that's too afraid to go with no weapons, we don't want you to go because we don't want no scared people with us." That irritated everybody, because we was telling them that they was chicken. We collected their weapons, weapons we didn't even know they had, four or five boxes full. So all of the Rangers said, "Okay, we're gonna take care of this side."

So I said, "The worst thing that can happen is to let the gang kids get together. Why don't we separate them, put a Ranger, Vice Lord, Roman Saint, Cobra -- you know, we just pair them off." That's what we did, and they got to know each other. After the first two or three marches, after they saw who the enemy was, we didn't hear no more on radio or TV about violence with the gangs versus gangs. They tell me that they are just starting back to using that type of violence. Like Chicago was quiet from about '65 maybe up until about '73 or '74, before gangs just really got reorganized, and that was Chicago.

(In the above photo taken by Pat Bryant for Southern Exposure in 1980, James Orange is on the right, talking with a marshal during a march for poultry workers in Laurel, Miss.)

Labels: , , , , , , ,

posted by Sue Sturgis at 12:32 PM | Email this post

Friday, February 29, 2008

The most convenient eight-minute TV glitch ever?

Sue here at Facing South reported on Wednesday about the sudden "glitch" that befell WHNT TV in Huntsville, Alabama last weekend -- precisely at the moment that a 60 Minutes expose was airing which argued that the prosecution of former Alabam Gov. Don Siegelman (D) was politically motivated.

As the New York Times reports today, WHNT officials are sticking to their story:
In an attempt to clear up questions about how an Alabama television station lost its signal at the start of Sunday’s edition of “60 Minutes” on CBS, the management of the station, WHNT-TV, issued a statement Thursday citing equipment failure.

The station, in Huntsville, said that after a review, it had concluded that the blackout was related to a similar interruption during a basketball game the day before.
WHNT has been furiously responding to an avalanche of questions about the eight-minute blackout (which we had reported as lasting 12 minutes); here's one such response from sent to a blogger at DailyKos from WHNT's news anchor Elise Morgan:
If you're at all interested in the details of what happened, I can tell you. At first we thought the problem was on CBS's end because we'd had some problems with their feed during basketball Saturday night. Even worse, it's the weekend and there's no engineer in the building to fix it. It took 8 minutes to figure out what in the world was going on... skeleton crew and all... and fix it. But the fact that it just so happened to occur during this story that is filled with allegations of a conspiracy, feeds the conspiracy theorists themselves that this is no accident at all. No it doesn't look good. That's why we call it a P.R. nightmare. But I can assure you it was nothing more than a problem with our receiver. That's why other stations across the country could get the program even if we couldn't.

CBS bent over backwards to allow to us re-air the story again on our 10 pm newscast that night and at 6:00 pm the next day, commercial-free, so everyone in our area could see it. The story actually got more attention and air time than if it had aired as scheduled.
Sounds like it could have been an honest glitch to me. And either way, the blackout probably brought more attention to the story than if they had aired as usual.

Labels: , , , ,

posted by Chris Kromm at 2:35 PM | Email this post

Wednesday, February 27, 2008

Alabama TV station blasted for Siegelman report "glitch"

A top executive at WHNT in Huntsville, Ala. denies that his TV station intentionally blacked out the CBS "60 Minutes" report about the politically motivated prosecution of former Gov. Don Siegelman -- even though the 12-minute blackout came just as the report started, and ended just as the report drew to a close. The New York Times reported yesterday:
"We know what our license means to us," said Stan Pylant, the chief executive at the station. "There were no political motives in this."
Pylant blamed the mysterious blackout on a signal receiver, which strangely enough had no problems receiving CBS's feed up until the report started or after it ended. Somehow it managed to malfunction only during the report on Siegelman.

As we previously noted, WHNT is owned by Oak Hill Capital Partners, an investment company managed by prominent supporters of President Bush, whose former advisor Karl Rove was implicated in the "60 Minutes" Siegelman investigation. But as the New York Times notes, the station is managed by a separate company, Local TV -- whose chief executive, Robert "Bobby" Lawrence, is a former Clear Channel Communications executive and also a major Bush contributor.

In an editorial in today's paper, the New York Times sounds skeptical about WHNT's explanation. The paper points out that in 1955, when Mississippi NBC affiliate WLBT didn't want to run a network report about desegregation, it hung up a sign that said, "Sorry, Cable Trouble." The editorial concludes:
In 1969, the F.C.C. revoked the license of WLBT in Jackson after the commission established a systematic effort by the broadcaster to suppress information about the civil rights movement. Today, broadcast rules have changed, giving stations more leeway to decide what to air. Dropping a single report is unlikely to set the regulators in motion. Still, it would be deeply troubling if a partisan broadcaster could suppress information on the public airwaves and hide behind a technical fig leaf.

In this case, if the blackout was intentional, it may also have been counterproductive. Rather than take attention away from allegations that Mr. Siegelman was the victim of a partisan campaign, WHNT’s technical glitch seems to lend support to the charge.

Labels: , , , ,

posted by Sue Sturgis at 3:43 PM | Email this post

Monday, February 25, 2008

Owners of Ala. station where Siegelman report blacked out have close Bush ties

WHNT -- the CBS affiliate for northern Alabama where the "60 Minutes" report on former Gov. Don Siegelman's controversial prosecution was blacked out last night -- is owned by Oak Hill Capital Partners. The investment firm was founded by billionaire Texan Robert Bass, the son of oilman Perry Richardson Bass. Robert's brother Ed was a Yale classmate and personal friend of George W. Bush, and along with brother Lee they put up $25 million to finance Harken Oil in the late 1980s while George W. Bush was serving on the board of directors.

The Bass brothers' political action committees donated more than $200,000 to Bush's gubernatorial campaigns, while their personal donations topped $270,000, according to UTWatch.org. Lee Bass was also among the Bush Pioneers in 2000 and 2004, raising at least $100,000 for the presidential campaign in each election cycle, according to Texans for Public Justice.

Meanwhile, Harper's Scott Horton -- who has been following the Siegelman story closely -- reports that the station's general manager initially gave an incorrect explanation for the broadcast failure, blaming it on "network problems." He also notes that the station "was noteworthy for its hostility to Siegelman and support for his Republican adversary."

Labels: , , , ,

posted by Sue Sturgis at 12:36 PM | Email this post

CBS Siegelman report blacked out in Alabama

Last night the CBS show "60 minutes" aired a powerful report on what appears to be the politically motivated prosecution of former Alabama Gov. Don Siegelman. Unfortunately, viewers in northern Alabama who tuned in to watch the show found a black screen during most of the Siegelman piece. Reports Facing South reader mooncat:
Strange coincidence, but WHNT, the local CBS affiliate in Huntsville AL which covers the northern part of the state, had "technical problems" during the Siegelman segment of 60 Minutes tonight. They showed a black screen for the first 12 to 13 minutes of the show, including most of the Siegelman story.

They caught a lot of flack from viewers and did rebroadcast that segment in its entirety at about 10:20 pm.
The station said the problem was at its end and blamed it on a failed satellite receiver.

Labels: , , , ,

posted by Sue Sturgis at 11:04 AM | Email this post

Friday, February 22, 2008

"60 Minutes" to report on Karl Rove's quest to ruin former Alabama governor

This Sunday, the CBS news show "60 Minutes" will report on an alleged five-year secret campaign spearheaded by former White House advisor Karl Rove to bring down Don Siegelman, who served as Alabama's governor from 1999 to 2003 after previous stints as Secretary of State, Attorney General and Lieutenant Governor.

Rep. Bob Riley defeated Siegelman for re-election in November 2002 by about 3,000 votes. A voting machine glitch in a single county put Riley over the top, with votes in no other races affected. Coincidentally, all of the elections officials in that county were Republicans, and they conducted the recount after midnight when the Democratic Party observers had gone home. Democrats' requests to repeat the recount were rejected by Alabama courts and then-Attorney General William H. Pryor Jr., who were all Republicans or appointed by Republicans.

In 1999, Alabama's U.S. Attorneys began a criminal investigation into controversial accusations of corruption involving Siegelman. He was indicted in 2004, convicted in 2005, and is now serving a seven-year federal prison sentence. Click here for more details on the case from TPMMuckraker.com.

But last year, Dana Jill Simpson -- a Republican attorney and political activist from Rainsville, Ala. -- signed a sworn statement that she had been on a Republican campaign conference call in which she heard GOP operative Bill Canary say not to worry about Siegelman because his "girls" and "Karl" would make sure the Justice Department took care of him. His "girls" allegedly included his wife, Leura Canary -- the U.S. Attorney for the Middle District of Alabama. Simpson has said that she spoke out because Siegelman's prosecution and imprisonment bothers her conscience.

For more on the upcoming "60 Minutes" story -- including a clip of Simpson talking to reporter Scott Pelley, as well as Pelley's discussion of his report -- click here.

Labels: , , ,

posted by Sue Sturgis at 4:21 PM | Email this post

Friday Dogblogging: Alabama fox hunters make their case for a controversial and endangered sport

The Alabama Conservation Advisory Board this month heard the pleas of fox hunters who are seeking a change in state rules to preserve a version of their sport that uses packs of scent hounds to track foxes or sometimes coyotes inside large enclosures.

It's currently against Alabama law and wildlife regulations to import, trap, transport, possess or sell a live fox or coyote due to concerns about the spread of disease. The restrictions came about after a 1993 incident in which coyotes imported into the state from Texas were linked to the introduction of the Texas strain of rabies into Covington County. The following year, the same strain was found in Alachua County, Fla. The incidents wiped out the coyotes and foxes inside two enclosures and led to 24 people in Florida having to receive rabies treatments. Other diseases of concern include distemper and a tapework -- Echinococcus multilocularis -- that can infect foxes and coyotes and is sometimes fatal in humans.

While the idea of fox hunting typically evokes the image of red-coated gentry pursuing animals on horseback, fox hunting in the rural South was part of a more informal tradition where local hunters gathered at a good vantage point primarily to listen to their dogs on the chase. As fox hunter Kyle Blakeley told the Conservation Board: "It’s all about the sounds of the hounds." When fox hunting is done in the open, there's less chance of the dogs having direct encounters with the quarry. Alabama currently permits hunting dog field trials under the condition that the dogs not come in contact with live animals.

But changes in the fabric of rural Southern communities have increasingly led to conflicts between landowners and hunters that inspired the use of enclosures -- plots of land anywhere from 100 to 1,000 acres in size surrounded by a wire fence usually at least 8 feet tall. A 1995 article in Mississippi Folklife titled "Going Inside: Transformation of Fox Hunting in Mississippi" documented the changes that led to this practice:
The specific time varied with each locality in Mississippi but sometime in the 1970s fox hunting in the open countryside became almost impossible. The fox hounds often disappeared while chasing deer, succumbed to cars while crossing highways, or followed their game onto lands posted against trespass where their masters could not retrieve them. Large numbers of fox hunters left the sport, some took up deer hunting or raccoon hunting, but others attempted a solution through the development of large fenced enclosures where they might run their hounds without fear of deer, cars, or irate property owners. Fenced enclosures or "fox pens" sprung up all over the South in response to the problems of hunting "outside." Leon Canoy, a Fred Pevey Association fox hunter and successful hound breeder, described the sometimes desperate situations that drove fox hunters "inside." "The pens, for now days, was the greatest thing that happened to fox hunters," Canoy explains. "It wasn't by choice. It was just that something had to be done, you know. And that's why fox pens was built. But it had gotten to the point you couldn't hardly run outside with any pleasure. Either somebody was threatening to shoot you or your dogs 'cause they was goin' across an acre of land or something, you know. Or either he's on a highway or somebody leased up a deer club for deer, and they didn't want your dogs on there... A lot of people in town moved out and bought nine acre lots or two acre lots, and they [these lots] became their 'Ponderosa.' And if anything walked across their place they wanted to kill it or call the law. And it put a damper on a lot of things because folks would shoot at you. They'd come out on the road and cuss you out. So the pen really was our salvation."
But what some see as salvation, others regard as a sporting sin. Because many traditional fox hunters embrace the concept of "fair chase," they regard running pens with disdain.

Hearkening back to the problems that led to enclosures in the first place, the current controversy in Alabama over fox pens is taking place in a broader context involving proposals to limit open deer hunting with dogs and to increase fines for violations in response to landowners' complaints that the sport as it's often practiced represents a nuisance. At its meeting next month, the state's Conservation Advisory Board is expected to consider a motion to limit deer hunting with dogs in Coffee, Butler and Pike counties, Outdoor Alabama reports.

Meanwhile, fans of enclosed fox hunting are fighting for the very survival of their controversial sport -- and some are even stepping outside the bounds of the law to pursue it. Last November, a two-year, multi-state investigation dubbed "Operation Foxote" [PDF] resulted in the arrest of 18 people from Alabama, North Carolina and Florida for the illegal trade, importation and possession of live foxes, coyotes and other wildlife. The animals seized had been slated for fox hunting enclosures.

(Foxhunters in front of Crystal Cafe in Crystal Springs, Miss. from Mississippi Folklife courtesy of Bill Pevey.)

Labels: , , ,

posted by Sue Sturgis at 2:50 PM | Email this post

Tuesday, August 14, 2007

GO Zone tax incentives abused?

The Associated Press reported yesterday that federal tax incentives for Gulf Coast reconstruction are being used for luxury sports accommodations:
With large swaths of the Gulf Coast still in ruins from Hurricane Katrina, rich federal tax breaks designed to spur rebuilding are flowing hundreds of miles inland to investors who are buying up luxury condos near the University of Alabama's football stadium.

About 10 condominium projects are going up in and around Tuscaloosa, and builders are asking up to $1 million for units with granite countertops, king-size bathtubs and 'Bama decor, including crimson couches and Bear Bryant wall art.

While many of the buyers are Crimson Tide alumni or ardent football fans not entitled to any special Katrina-related tax breaks, many others are real estate investors who are purchasing the condos with plans to rent them out.
According to the article, 10% of recent condo sales in Tuscaloosa involve "GO Zone" tax incentives, which provide huge tax savings through accelerated depreciation.

Meanwhile, people still living in FEMA trailers would be happy with "temporary" emergency housing that doesn't make them sick or burst into flames, and would like to move home if there were homes for them to move to, even if they don't have granite counter tops and king-size bathtubs.

In other news, politicians begin their now annual anniversary tours of the "hurricane-ravaged" Gulf Coast for photo ops and to dispense more promises to residents still waiting for relief.

Labels: , ,

posted by R. Neal at 12:54 PM | Email this post

Monday, July 09, 2007

Trial begins for Alabama coal company accused of human rights abuses in Colombia

In a civil trial set to open today in a federal courtroom in Birmingham, a jury will hear evidence that an executive with an Alabama-based coal company paid a right-wing paramilitary unit to kill union leaders who were organizing mine workers in Colombia.

The suit was sparked by a 2001 incident in which a bus carrying several dozen workers from the Drummond Company's La Loma coal mine was stopped by 15 gunmen -- some in Colombian military uniforms -- who forced off two union leaders. The gunmen shot union local president Valmore Locarno Rodriguez in the head and kidnapped deputy Victor Hugo Orcasita, who was tortured and killed.

Lawyers representing the Sintramienergetica union has presented affidavits from two people who say they were present when Drummond's chief executive in Colombia, Augusto Jimenez, handed over $200,000 in cash to associates of the local right-wing paramilitary leader, the Associated Press reports. Jimenez has since resigned.

Drummond's largest U.S. customer for Colombia coal is the Atlanta-based Southern Co., according to the Web site Drummond Watch. Drummond began relocating its mining operations from Alabama to the civil war-torn South American company in 1994.

The suit (PDF) was filed in 2002 under the Alien Tort Claims Act, Torture Victim Protection Act and state tort law. It alleges that Drummond "hired, contracted with or otherwise directed paramilitary security forces that utilized extreme violence and murdered, tortured, unlawfully detained or otherwise silenced" leaders of the union representing workers at Drummond facilities in Colombia. The murders occurred while contract negotiations with Drummond were underway.

The incident was also the topic of a June 28 congressional hearing held by the Foreign Affairs Subcommittee on International Organizations, Human Rights and Oversight chaired by Rep. Bill Delahunt (D-Mass.), who said in a statement:
"If we are a nation that respects the rule of law, we cannot countenance injustice, no matter where it occurs, or who commits it. If American investors and companies have played a role -- even an unwilling one -- in Colombia's violence, we can't look the other way."
Drummond has repeatedly denied the charges. In a statement (PDF) released in response to the congressional hearing, it called the allegations "completely without merit" and said they had "no basis in facts."

Among those scheduled to testify at the trial is Garry Neil Drummond, a former University of Alabama trustee and president of the company founded by his father in 1935, the Birmingham News reports.

Here in the United States, Drummond and other members of his family exercise considerable political clout: In the past year alone, they have donated more than $19,000 to the Republican National Committee, according to the Center for Responsive Politics' contribution database.

Labels: ,

posted by Sue Sturgis at 12:23 PM | Email this post

Thursday, July 05, 2007

Southern drought continues: "Nobody alive has ever seen it like this."

Severe drought conditions -- the worst in more than a hundred years -- continue around the South, with widespread total crop losses reported in Alabama. Recent heavy rains reduced drought severity in some areas, and this six-week animiated map shows some improvement. But D2 (severe), D3 (extreme) and D4 (exceptional) drought conditions continue to affect areas in eight Southern states.

The drought is still centered over Northern Alabama, extending north up the Tennessee Valley through East Tennessee and into Southeastern Kentucky, into Georgia to the east and Mississippi to the west. According to the U.S. Drought Monitor, "The impact of the drought on farmers remains extremely serious, with Alabama corn still rated 88 percent poor to very poor, and soybeans at 85 percent poor or worse."

On Monday, the entire state of Alabama was declared a drought disaster area by the US Department of Agriculture. The New York Times reports that many farmers have gone through their cash reserves and are facing bankruptcy. Others are selling off cattle herds because there's nothing to feed them. A farmer's trade group director said "Nobody alive has ever seen it like this." The governors of Georgia and Alabama are calling for divine intervention through prayer.

Combined with the Easter Freeze, which damaged many fruit and vegetable crops, the drought is shaping up to be a widespread economic disaster for agriculture all over the South.

Labels: , , ,

posted by R. Neal at 1:41 PM | Email this post

Thursday, May 31, 2007

Is landing ThyssenKrupp plant really a win for Alabama?

That's the question the folks over at Citizens for Tax Justice pondered recently on their Talking Taxes blog. Louisiana also tried to lure the German company's $3.7 billion steel plant, which instead will be built north of Mobile in the community of Mount Vernon.

The plant will employ 2,700 people and generate at least 38,000 indirect jobs in the region over the next 20 years, according to the company.

But as Talking Taxes points out, the cost to Alabama will be considerable: $461.1 million in direct financial aid, including land acquisition, site preparation, worker training and road improvements; and $350.3 million in "abatements of sales, property and utility taxes by state and local governments."

In addition, the steel giant won't have to pay any state income tax for the next 30 years unless its tax liability exceeds $185 million in any year -- pretty unlikely considering that the tax for the entire state brought in a total of only $484 million in fiscal year 2006.

Keep in mind that all this taxpayer-funded assistance is going to a company whose second-quarter earnings announced earlier this month were $769 million -- even after being hit with a $646 million fine by the European Union for its involvement in an illegal elevator cartel.

Talking Taxes concludes:
So if Louisianans are looking for consolation in the wake of "losing" this smokestack-chasing contest, try this on: maybe this is a race they couldn't have afforded to win. And maybe Alabama will find they can't afford it either.

Labels: , , ,

posted by Sue Sturgis at 1:53 PM | Email this post

Thursday, April 19, 2007

Alabama aims to fuel nuclear revival

After Three Mile Island, Chernobyl, and the industry's failure to deliver on promises of providing energy "too cheap to meter" (even with over $115 billion in federal subsidies since 1947), the future of nuclear energy had looked grim. A new reactor hasn't come on line in over 10 years.

But Alabama and the Tennessee Valley Authority are about to change all that, as The Birmingham News reports:
One day next month, workers at Browns Ferry Nuclear Plant near Athens will start a chain reaction in the Unit 1 reactor and begin making enough electricity to power 650,000 homes.

It will be the first reactor to come online in America in more than a decade.

The Tennessee Valley Authority's decision to restart the reactor it shut down 22 years ago puts Alabama at the forefront of a nuclear-power resurgence in the United States.

"I'll regard this as another milestone in a journey of nuclear power toward securing its place as an energy source for the future of America," Dale E. Klein, chairman of the Nuclear Regulatory Commission, said.
The Browns Ferris plant puts Alabama and the South at the forefront of a hoped-for national nuclear revival, the News notes:
Utilities have announced plans to seek federal licenses in the next two years to build up to 30 reactors. They are lining up to take advantage of federal incentives for the first few projects completed.
One interesting point: Alabama doesn't need the extra power. The new facility is for export of energy to rapidly-growing nearby Southern states like Georgia -- a demand that critics believe could be headed off by greater efforts at conservation:
Alabama already produces more electricity than it uses, with the excess going to power other areas in the fast-growing South.

Net electricity generation in Alabama in 2005 was 137.9 million megawatts, according to a report released in March by the federal Energy Information Administration. The same year, 89.2 million megawatts were sold in the state, meaning state power companies produced 55 percent more electricity than their customers needed.

Sara Barczak, safe energy director for the Southern Alliance for Clean Energy, said Alabama and the rest of the Southeast could delay the need for new power plants for years by conserving power.

"If you're in a different state that's in a major supply crunch, that's one thing," she said. "But I don't see that Alabama is there and, secondly, they've got a long way to go in terms of energy efficiency."

Labels: ,

posted by Chris Kromm at 3:11 PM | Email this post

Southern News Update

Who Are These Folks?

CHRIS KROMM blogs three days a week for Facing South. He is Executive Director of the Institute for Southern Studies and publisher of the Institute’s award-winning magazine, Southern Exposure.

R. NEAL blogs two days a week for Facing South. Based in Knoxville, TN, R. Neal formerly ran the popular blog South Knox Bubba. He is now coordinator of KnoxViews.

SUE STURGIS blogs three days a week for Facing South. The editorial coordinator of the Institute's Gulf Coast Reconstruction Watch website, she is a freelance reporter who lives and works in Raleigh, NC.

Previous Posts

Archives

Site Feed