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FORT COVINGTON SUN Fort Covington, N.V. 12937 Second class postage paid at Fort Covington, NY. 12937 01m H Established 1885 Fort Covington, New York 12937 Price 30c USPS 205-680 Edition 329 August 14,1986 G.IVL Plant Phase-out PASNY Chairman to Meet with GM MAS SENA — New York Power Authority Chairman Richard M. Flynn said Friday that the Power Authority intends to meet soon with General Motors Corp. officials to determine the company's future power needs in light of the planned cutback at its Central Foundry plant here. The plant receives 12,000 kilowatts (kw) of hydroelectric power from the Power Au- thority's St. Lawrence- Franklin D. Roosevelt Project under a contract that expires in 1992. At a cost of about a half-cent per kilowatt hour, the electricity is some of the least expensive in the nation for industry. \The Power authority is extremely concerned about the effects of the GM cutback on the North Country,\ Flynn said. \We will do everything we can to help the region overcome this setback.\ Flynn said no date has yet been set for a meeting, but that Power Authority staff members have had preliminary contacts with General Motors officials. The Rjwer Authority pro- vides hydropower from the St. Lawrence-FDR Project to twotother Massena indus- tries—the Aluminum Com- pany of America and Reynolds Metals Company. Alcoa and Reynolds also receive allo- cations from the James A. FitzPfttrick Nuclear Plant near Oswego, the Power Author- ity's next cheapest source after its hydro projects here and near Niagara Falls. A Real Power Struggle By Pat Musante At a press conference last week following the news of the recent GM phase-out, the question of whether the cheap hydroelectric power being supplied to GM from New York Power would be kept in Massena was generally side- stepped. Mr. George John- ston, Central Foundry Div- ision manager based in Saginaw, Michigan, however, did state that since GM had a contract with the authority that the company would like to see the excess power used by other facilities. Doesn't a contract, by nature, necessitate at least two parties? You can read in Sen. Dan Moynihan's very irate state- ment that he was present when the contract was signed and it was his understanding that GM would receive that nice cheap power rate (the least expensive on earth, he says) in return for a long term com- mitment to create and main- tain jobs in the North Coun- try. The contract was to be in effect until 1992. Was New York \con- cerned,\ the senator asks, or were the negotiators so naive as to formulate a contract which is binding on one party but not the other, we ask. The decision as to the allo- cation of the power is up to the power authority which has been making efforts to meet with GM. We hope that the decision-makers both from the authority and our political representatives-will be able to withstand the pressure to transfer the excess power. To the People of the North Country To the People of the North Country: I believe not only that a TASK force should be formed in Massena but should be formed in every town and village where the lay-offs from General Motors will affect the residents. I propose that the communities should unite from Platsburgh to Ogdensburg and the residents in force will have the strength to contact every major politician regarding this devastating phase-out. Our petitions can be directed not only at General Motors but also the NYPA and assure that the availability of that power stays in Massena for future industry. I believe that it is important that we are all willing to make the necessary conces- sions and convey this message to the industry whether it be at the state, local or personal levels. Time is of the essence and action must be taken now. The Fort Covington Town Hall will be available for meetings. Joha Cushman, Councilman, Town of Fort Covington Local Reactions A Contributing Factor? * A Question of Corporate Integrity* by Sen. Daniel Patrick Moynihan I was Assistant Secretary to Governor Averell Harriman on August 14, 1957, when the Power Authority of the State of New York signed a contract with General Motors to receive 12,000 kilowatts of electricity from the St. Lawrence Power Project, which would open the fol- lowing summer. I was present when the Governor called the head of GM and said we will give you the cheapest electrical power on earth if you will come to the North Country, hook up your casting operation with the oncoming aluminum smelting operation and produce real jobs over a long, long period. GM agreed. They took the power from the only St. Lawrence River we have. Now they are break- ing what I certainly thought at that time was a commitment to come and to stay. It is a breach of that understanding, that contract, if you will. New York sold the cheapest power available to GM, at less than one-half cent per kilowatt hour. Nearly 30 years hence, GM still gets from New York the cheaptest power available anywhere, still at less than one-half cent per (Continued on pg. 8) By Jennie Bartlett Since it was confirmed last Wednesday that General Mo- tors was closing out its op- eration and eliminating all but 100 jobs, leaving more than 1,200 area residents jobless, rumors have been rampant that GM was doing this because it was in deep trouble with the Environmen- tal Conservation Department. In a news release this week, Ward Stone, a wildlife pa- thologist with the New York State Department of Envi- ronmental Conservation stated that GM's Massena Central Foundry landfill is polluting the St. Lawrence River and the St. Regis Mohawk Reservation. A shrew found near the landfill site was found to contain more than 11,000 parts per million of PCB's. The federal government has ruled that chicken which contains more than three parts per million of PCB's (polych- lorinated biphenyls) has been linked with cancer in lab- oratory experiments and is, therefore, unfit for human consumption. Stone stated that \The river (St. Lawrence) is the heart of the Akwesasnc. Mohawks utilize the river as a source of protein. Much of what the people are eating is unsuitable for human consumption.\ One of the mainstays of the St. Regis Reserves' fishing industry is its famous sturgeon which, when smoked, is a delicacy unrivaled in this local. Tribal chief, Rosemary Boneparte said that the con- cern for the health of the Mohawk people is an ever increasing concern. The director of the Cana- dian St. Regis Environmental Division, Henry Lickers, has added words of advice to fish and game clubs stating that they too \should be concerned with the levels of contam- inants,\ and that problem, \doesn't only affect the Mo- hawk people.\ Stone joined with the tribal leaders to demand that GM stop the operation of the landfill site which was named in 1983 to the EPA Superfund list as a hazard waste facility. James Ransom, tribal coun- cil environmental health con- sultant said that the Envi- ronmental Protection Agency had received a request to discontinue the use of the landfill and that it be capped as a protective measure. A GM spokesman stated that only sand, at a rate of about one truckload per day is being placed in the landfill. However, Stone showed slides of pipes and an oily substance going into the site. He stated that M Within a seven day period, the dump grew by 15 feet. By Pat Musante The local area was stunned last Wednesday by the announcement of GM officials that approximately 1,200 of its employees at the Central Foundry in Massena may lose their jobs. Massena foundry plans to convert die casting and per- maaent mold aluminum cast- ing operations ta a new \lost foam\ process which produces cylinder heads using a plastic foam-like mold utulizing pol- ystyrene panicles. By using this particular process, which is the only one in the world, GM hopes to increase produc- tion. Also cited for the phase- out was overproduction of aluminum parts and the ineffi- ciency of the Massena operations. Also according to company spokesman, the phase-out program is projected to extend over a two year period. Workers will be either trans- ferred to GM's Bedford, Indi- ana plant, retrained for other GM jobs, retired early or laid-off. Company officials said that their contract with the United Auto Workers union would require them to provide assist- ance to those workers who have to relocate, provide job placement and training assist- ance and a subsistance allo- wance for laid-off employees. Several Fort Covington business owners expressed chagrin at the situation. Most seemed to feel that the small towns would feel the loss more than Massena. While Bruce Anderson, of Anderson Insu- rance, thought it encouraging that some people can at least be transferred, he expressed regret that the small towns will be affected by the loss of so many families. It will also be difficult for people with family ties and homes to just pick up and relocate. \Right now, just off the top of my head,\ said John Mulvana of Mulvana's Liquor, \I can think of at least 35 people ir the area employed by GM anc I know there are more.' \Where will all this end?' commented Dawn Mainville \Is this going to be a ghos town? Everyone and every* thing will be affected...businer real estate, school enroilmen and on and on.\ The Main villes will be doubly hit since they own businesses in towr and Loren is employed b^ GM. Most people agreed witl John Cushman of Fish's IG/ and Rick Ellis of Ellis Ford Businesses will definitely fee the crunch, starting with thos that sell main ticket items an* luxury goods. \I presume tha many GM employees proba bly drove GM products although we sold quite a fe\ used cars,\ stated Rick Ellii \I wonder if GM may be hurt ing itself. However, this is nc to say that the trickle-dow effect won't be felt by all c us.\ John Cushman, who is als Fort Deputy Supervisot commented, \I know it is eas to criticize in hindsight, bi couldn't Massena have see this coming four or jive yeai ago ?i I recall attending a worf shop at the Town Board Cor vention where a man froi Troy, N.Y. told of how the cit invested part of its budg< money to create a fund whic was used to invite and lu businesses into the area with promise of a subsidy. Tr small towns just don't ha< those kind of resources b Massena should. Howeve this doesn't mean that v should do nothing. We a thinking about the proble now.\ (See Letter to t? people). Bruce Anderson added ft notes of encouragement: hope we can keep the power? here and convert it into a fac ity to keep jobs and just rx haps the \ioast foam\ will an applicable process.
