Will Katrina Ease Lumber Trade War?

Hurricane Katrina may be able to do what years of squabbling, negotiations and trade panel rulings have failed to do…lift the duties on imports of Canadian softwood lumber to the U.S. The Great Lakes Radio Consortium’s Dan Karpenchuk explains:

Transcript

Hurricane Katrina may be able to do what years of squabbling, negotiations, and trade panel rulings have failed to do: lift the duties on imports of Canadian softwood lumber to the U.S. The Great Lakes Radio Consortium’s Dan Karpenchuk explains:


There are concerns in the U.S. that the huge job of rebuilding New Orleans in the wake of the hurricane could lead to spikes in the cost of construction materials.


The U.S. Treasury Department says it will monitor the situation, and if it’s in the best public interest, then it could drop the tariffs on Canadian lumber. Jamie Lim is with the Ontario Forest Industries Association. Lim says it would be the best move for all.


“Katrina was a natural disaster, but the illegal tariffs that have been put on lumber over the last twenty years is a man-made disaster, and it’s U.S. consumers who’ve been paying the price.”


Canada provides up to a third of the softwood lumber used in construction in the U.S., but for the past four years, Canadian producers have been paying more than twenty-five percent in tariffs and punitive duties.


That’s estimated to have increased the average cost of a house by about a thousand dollars.


For the GLRC, I’m Dan Karpenchuk.

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Billions Needed for Water Infrastructure

  • In order to provide safe drinking water for a community, water pipelines have to be properly maintained. (Photo by Keith Syvinski)

The Environmental Protection Agency says it will cost more than a quarter trillion dollars over the next 20 years to ensure safe drinking water in the U.S. The Great Lakes Radio Consortium’s Steve Carmody reports:

Transcript

The EPA says it will cost more than a quarter trillion dollars over the next twenty years to ensure safe drinking water in the U.S. The Great Lakes Radio Consortium’s Steve Carmody reports:


Benjamin Grumbles is the assistant EPA administrator for water. He says
the primary obstacle faced by most communities to providing safe drinking
water is the age of the pipes and other infrastructure through which the water
must pass.


Grumbles says replacing transmission lines and distribution pipes accounts
for two-thirds of the 277 billion dollars the EPA estimates will need to be
spent between now and 2025.


“Sometimes the materials will just break down due to age or other stresses.”


The biggest obstacle communities will face is paying for upgrades of their
existing infrastructure.


The federal government only provides a small amount of seed money for
upgrading local water utilities, amounting to only 850 million dollars this
year.


For the GLRC, I’m Steve Carmody.

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New Insulating Material Could Save Energy

  • From lighter, thinner ski boots and other cold-weather clothing... (Photo by Adam Fowler)

A new insulating material could cut down on home heating
costs and save on materials in construction. The Great Lakes Radio Consortium’s Katherine Glover tells us about Aerogels:

Transcript

A new insulating material could cut down on home heating costs and save
on construction materials. The Great Lakes Radio Consortium’s Katherine Glover
tells us about Aerogels:


Aerogels look like frozen smoke, and feel like styrofoam. Up to ninety-nine
percent of an aerogel is empty space. This makes it an excellent insulator. Last
year, the first aerogel jacket hit the market. And aerogel footwear inserts are used
by the U.S. military and the Canadian National Ski
Team. Ed Hogan is the marketing manager of Aspen Aerogels.


“Everybody knows how much cold feet can spoil an outing, right? And this stuff
is so thin, you can put it in a shoe or put it in a boot, and you hardly notice it.”


Because they’re new, aerogels are still expensive relative to other materials. The
company says once they gain in popularity and the price goes down, they could be used
as insulation in walls and the clear form could be used in windows. This could cut down
dramatically on heating costs. And, because aerogels are so thin, the company says
houses could be built with less lumber. That’s because less lumber would be needed
to make room for aerogel insulation.


For the Great Lakes Radio Consortium, I’m Katherine Glover.

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The Debate Over Mobile Home Parks

  • Because mobile homes can be transported they're not taxed the way permanent homes are. They're taxed like vehicles (when they're bought and sold). Mobile home owners pay a small tax for the small plot of land they sit on. (Photo by Chris McCarus)

People who live in mobile homes might be seeing their property taxes going up. Some government officials say it’s an attempt to tax for the services used and to discourage mobile home parks from sprawling across former farm fields. But others wonder if higher taxes aren’t a form of discrimination against this kind of affordable housing. The Great Lakes Radio Consortium’s Chris McCarus reports:

Transcript

People who live in mobile homes might be seeing their property taxes going up. Some government officials say it’s an attempt to tax for the services used and to discourage mobile home parks from sprawling across former farm fields. But others wonder if higher taxes aren’t a form of discrimination against this kind of affordable housing. The Great Lakes Radio Consortium’s Chris McCarus reports:


(sound of expressway traffic)


The Capital Crossings mobile home park sits on rolling farmland near an Interstate highway. The residents of the 15 homes have moved here either to retire or to make the 30 minute daily commute to nearby Lansing, Michigan. And more mobile homes are being pulled in.


(sound of construction)


Workers are building porches and attaching the skirting between the ground and the house. It’s supposed to show permanence, like a foundation. But mobile homes are not permanent. And mobile homes are not taxed the same way as other houses. They’re taxed like vehicles. Taxed when they’re purchased. Taxed when they’re sold. Still there are no property taxes on the homes. Only on the tiny lots on which they sit.


Some government officials say the $3 a month that these park residents have been paying for property taxes don’t cover the costs of police and fire protection or other government services. They want a tax hike to give local governments more money. Dave Morris is a farmer and the local township supervisor.


“We all have to pay our fair share for services such as sheriff, ambulance, fire department as well as schools. Schools is a big issue of course. And they aren’t paying their share. That’s all.”


But advocates for affordable housing say hiking taxes on mobile home residents is more likely just an attempt to discourage that kind of housing. They say zoning mobile homes out of existence has been tried, but taxing them out is a new idea. Higher taxes will likely lead to mobile home parks closing.”


John McIlwain is with the Urban Land Institute. He says as mobile home parks become more expensive to operate, their owners will sell off to subdivision or big box store developers.


“The numbers are going to be so attractive that the people who own mobile home parks are going to be much more interested in selling the land to a housing developer than in continuing to run the mobile home park. So in time the parks are probably going to disappear on their own anyway and trying to raise the taxes on them specifically is simply going to make that day come earlier.”


In Michigan there is a proposal to raise the taxes on mobile home sites four times higher. State Senator Valde Garcia says the $3 a month that mobile home park owners pay for each home site is not nearly enough.


“What we are trying to do is really change the tax structure so it’s fair to everyone. The system hasn’t changed in 45 years. It’s time we do so but we need to do it in a gradual manner.”


Senator Garcia’s colleagues in the state house have voted to raise the tax to $12 a month. He’d like to raise it to at least $40 a month. The mobile home park industry has hired a public relations firm to produce a video criticizing the tax increase.


“Site built homes pay sales tax only the materials used in their homes and don’t pay tax on resale. Manufactured home owners pay sales tax on materials, labor, transportation profit of a home and they pay sales tax every time a home is resold. ”


The two sides don’t agree on the math. Tim Dewitt of the Michigan Manufactured Housing Association says $3 a month sounds low because it doesn’t show hidden costs. The biggest cost comes when park owners have to pay the higher commercial property tax instead of the lower homestead tax. Dewitt says the park owners then pass the tax to the home owners whose average family income is only about $28,000 a year.


“That’s our worst fear. It could put people who could least afford any type of tax increase into a tough position.”


15 million people live in mobile home parks around the country. And different local governments have tried to find ways to increase taxes on mobile home parks. But Michigan is one of the first states to propose hiking taxes this much. State Senator Garcia says he is not trying to hurt the mobile home industry or make life harder for mobile home park residents. He dismisses the idea that he’s being pressured by wealthier constituents who don’t like to see the mobile home parks being developed.


John McIlwain of the Urban Land Institute says a bias against mobile home parks is part of the mentality that leads to sprawl. When people from the city and the suburbs move a little further into rural areas they want the look and feel of suburbia.


“The mobile home parks are no longer things that they want to see. And so they find ways to discourage those mobile home parks. The ones that are there try to see if they can be purchased, turned into stick built housing or otherwise discourage them and encourage them to move on elsewhere.”


But often the people who move in also want the shopping centers, restaurants and conveniences they once had instead of the mobile home parks.


For the Great Lakes Radio Consortium, I’m Chris McCarus.

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Homeland Security to Remove Hazmat Placards?

Officials at the Department of Homeland Security are considering removing hazardous material placards from freight trains. They say doing so will help protect people from terrorists. The Great Lakes Radio Consortium’s Mark Brush has more:

Transcript

Officials at the Department of Homeland Security are considering removing
hazardous material placards from freight trains. They say doing so would help
protect people from terrorists. The Great Lakes Radio Consortium’s Mark Brush has more:


Because of the September 11th terrorist attacks, officials see the potential for a
lot of things to be used as weapons. One of their latest fears is that shipments of
hazardous materials could be used by terrorists. In order to protect people from this
threat, the Department of Homeland Security says it might require the removal of the
diamond shaped placards from rail cars. Emergency workers use the placards to quickly
identify a hazard after an accident.


Richard Powell is the Executive Director of the Michigan Association of Fire Chiefs.
He says while the Department of Homeland Security is well-intentioned, removal of the
placards would put more people at risk:


“We need to protect our citizens. We need to keep that system in place. If we don’t know something is there, our people could not evacuate perhaps, as quick as we normally would.”


Homeland Security officials say they’ll consider other options that would help disguise the rail cars, but would still allow emergency workers to know what’s inside.


For the Great Lakes Radio Consortium, I’m Mark Brush.

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From Industrial Waste to Raw Materials

  • A Conesville, OH smokestack. The Cuyahoga Valley Initiative has found a way to turn potential pollutants into money. (Photo by Kenn Kiser)

The Rust Belt regions of the United States are looking at new ways to make industrial prosperity and environmental recovery work hand-in-hand. The Great Lakes Radio Consortium’s Shula Neuman reports on an effort that could be a model for industrial areas throughout the nation:

Transcript

The Rust Belt regions of the United States are looking at new ways to make industrial
prosperity and environmental recovery work hand-in-hand. The Great Lakes Radio
Consortium’s Shula Neuman reports on an effort that could be a model for industrial
areas throughout the nation:


(sound of birds)


This area of Cleveland near the Cuyahoga River is where John D. Rockefeller first set up
his Standard Oil empire. The Cuyahoga is infamous for being the river that caught fire in
1969 and it became a symbol of the nation’s pollution problem.


Cleveland businesses and industries still live with that legacy. But through a new effort
called the Cuyahoga Valley Initiative, they’re trying to overcome it – although on the
surface it doesn’t look like there’s much happening.
Today, smoke stacks from steel plants still tower above head … below, like a jumble of
twisted licorice sticks, railroad tracks run through the meadows alongside the Cuyahoga.
Silos and old brick buildings line the banks of the river.


For Paul Alsenas, it’s an amazing place — not so much for what it has now, but for what it
can become. Alsensas is the director of planning for Cuyahoga County, the lead
organizer of the Cuyahoga Valley Initiative. The idea of the initiative is not to abandon
industry, he says, but to incorporate environmental and social principals into industry,
which could attract new businesses.


One of the more progressive aspects of the Initiative is something called “industrial
symbiosis.” Alsenas says industrial symbiosis works like natural ecology…


“An ecology of industry where nutrients flow from one form of life to another and make
it tremendously efficient and so therefore we have a competitive advantage. The
Cuyahoga Valley Initiative is not just about sustainability; it’s also whole systems
thinking, it’s also competitive strategy.”


Here’s how it works: waste from one company—a chemical by-product perhaps—is
used by a neighboring company to create its product. And that company’s product is then
sold to another company within the valley—and so on.


Alsenas says it’s already started: some companies located in the Cuyahoga Valley have
been sniffing out opportunities for sharing resources before anyone heard of the
Cuyahoga Valley Initiative. Joe Turgeon, CEO and co-owner of Zaclon, a chemical
manufacturer in the valley, says the Initiative sped things up.


“We pull all the members together and say, ‘OK, this is what I’ve got, this is what you’ve
got; here are some of the materials I need, here are some of the assets I have.’ And an
asset can be anything from a truck scale to a rail siding to by-product energy to
chemicals.”


Zaclon and its neighbor General Environmental Management have already begun their
symbiotic relationship. GEM now buys a Zaclon by-product, sulfuric acid, and in turn
Zaclon purchases a GEM byproduct. GEM president Eric Loftquist says the benefits go
beyond simply saving his company money.


“You know, we do business all over the country… but when you look around you see that
for every dollar you keep in this county, that generates taxes, generates jobs and the
benefits just keep rolling down. So you always want to look within.”


Loftquist says the Cuyahoga Valley Initiative encourages that effort. He says it’s
remarkable that it’s all coming together at the right time and with the right stakeholders.
It brings businesses together with government and area non-profits—including some
environmental groups—in a way not thought possible by industry and environmentalists
in the past.


Catherine Greener is with the Rocky Mountain Institute, a non-profit think tank that
studied the Cuyahoga Valley and is helping to get the initiative off the ground. She says
this area of the river—known as the regenerative zone could put Cleveland on the world’s
radar as a new business model.


“Cleveland has been known for being one of the seats of the industrial revolution and
what we’re seeing is a new industrial model that can emerge. How can you create
manufacturing jobs, industry jobs without jeopardizing the health and welfare of all the
people involved and also, to overuse a word, to ‘green’ the area around it?”


Greener says industrial symbiosis is a workable, practical solution because it makes
business sense… not just environmental sense…


“Sometimes I think about it as finding money in your pocket after you’ve washed your
pants. It’s always a bonus and you’ve always had it. And the resources that you have
here you’re just reinvesting in them and finding them and looking at them differently.”


The participants agree that “industrial symbiosis” won’t solve all the waste problems, but
it’s one part of a movement that’s making industrial cities re-think their relationship with
business and the environment.


For the Great Lakes Radio Consortium, I’m Shula Neuman.

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