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Link Re-Elected to Visalia City Council
Shuklian Leads Lane in Squeaker

By Steve Pastis

Visalia - City Council Member Bob Link was re-elected to his third term on the Visalia City Council and Amy Shuklian has a slight lead over Mike Lane for the other city council seat in the election night count. Because Shuklian's lead is only 59 votes and there are still about 500 absentee ballots to process and another 250 provisional ballots to process, the race is not over.

“We didn't get the absentees until today,” said Hiley Wallis, Tulare County Chief Deputy Treasurer who is overseeing the election. She added that the signatures must be verified before the votes are processed.

“There are steps we have to take,” she said. “And the provisional ballots can't be counted until the absentee ballots are counted. We're going to certify by November 22nd. That's what we're hoping to do, but we're updating the vote count on Friday.”

Link, who won his third four-year term, was asked what made his campaign successful. “I think that people have been pleased with my past eight years,” he said. “I think also I ran a positive campaign and our family has good name recognition.”

He has goals in place for his third term. “One of the things I want to focus on are water issues,” he said. “Also, we need to work on the gang problem.”

When the first numbers were posted at www.tularecoelections.org on election night, the results showed Shuklian running a close third at the time for the two open seats. She was optimistic about her chances at that time.

“It ain't over until the fat lady sings, and I ain't singing yet,” she told the Voice.

The final election night vote count showed Link with 5,811 votes, Shuklian with 4,280 votes, Lane with 4,221 votes, Timothy Fosberg with 1,507 votes, Mary Wheeler with 960 votes, Roland Lee Soltesz with 684 votes, and Rusty Barker with 311 votes. There were 11 write-in votes.

Visalia Unified School District Results

Challenger Bill Fulmer, whose campaign expressed concerns about school safety, won a seat on the VUSD School Board. The other two seats went to incumbents who pointed to the recent improvements in VUSD test scores. Robert Stephenson was unsuccessful in his re-election bid. The final election night vote count showed Donna Baker Martin with 5,719 votes, Fulmer with 5,497 votes, Larry Jones with 4,972 votes, Stephenson with 4,742 votes and Adam F. Valencia with 4,338 votes.


Voice to Go Weekly

Visalia - Starting with our Wednesday, December 5th issue, the Valley Voice will be a weekly newspaper.

“We'll be better able to serve our readers by providing more local news and features, delivered more than twice as often,” said Steve Pastis, editor. “Starting next month, you'll be able to get your copy of the Voice every Thursday, allowing you to get an early start on your weekend.”

Voice publisher, John Lindt, remarked that “it should be fun.”

“I don't know any other publication that watches the communities of Tulare and Kings Counties like we do,” he added. “Being able to cover news as soon as it happens rather than waiting will benefit our readers and our circulation.”

First published in November 1979, the Valley Voice will enjoy 29 years of community service this coming year. “It's about time we went weekly,” says Lindt after publishing the Voice for years as a monthly before going to twice a month in 1992.

The newspaper is owned by a community-based group of investors including founder John Lindt, Brian Blain, Russ Doe, Lloyd Pace, Mel Heier and a 10-member Tulare investor group represented by Bob Reynolds.


Still Hope for Water Bond on February Ballot

California - The state’s water supply problem can be graphically observed on this NASA photo of the massive wildfires that turned Southern California into a scorched war zone late last month.

Suffering from one of the driest periods on record, the tinderbox dry hillsides of Southern California simply burned away while some area water districts were “running out of water to fight the fires,” says Tim Quinn, executive director for the Association of California Water Agencies (ACWA).

Ironically, the images of this disaster may be just what it takes to forge a compromise water bond that the state’s electorate can vote on as soon as February. “It’s sad it appears to take a tragedy like this to make things happen,” says Ron Jacobsma of Friant Water Users.

Democrats and Republicans failed again to come up with a compromise by an October 16 deadline to get one ballot measure before voters by February but now sources say key leaders are quietly working on a plan to come up with a compromise by November 16 that would still allow the measure to come to voters this February using a supplemental ballot.

The goal is to avoid “dueling water bond measures,” says Quinn, that would have good chance of confusing the voters and both going down to defeat. “The key players are talking behind the scenes like it’s going to happen,” predicts Quinn.

Without some action, it appears Democrats and Republicans would have a tough time facing the voters as both the Bay Area and Southern California suffer through water rationing that could fuel anger among the voters who want Sacramento to get something done, sources say.

Both Oakland Democrat Don Perata’s bill and Governor Schwarzenegger’s water bonds are close enough to forge a compromise if the matter of surface storage can be agreed upon, says Jacobsma, who has been on the inside of same discussions. Friant is urging the state to include the Temperance Flat Dam above Millerton in the bill. In fact, the revised Schwarzenegger proposal includes this dam as well as Colusa area Sites Reservoir and Los Vaqueros expansion in the Bay Area.

Most Democrats, with the exception of those from the San Joaquin Valley, oppose new dams in lockstep with environmentalists as expensive and unnecessary. But Schwarzenegger and the Republicans have vowed that no water bill would be approved unless surface storage was included in the package.

Now it appears that surface water storage dams would be part of a compromise package that includes monies for the three larger projects with statewide impacts as well as regional projects.

Jacobsma and Friant are arguing that the addition of Temperance Flat above Fresno will allow water storage not dependent on moving water through the weakened Delta increasing the overall state supply of water. Additional storage can restore the San Joaquin River while keeping valley farmers and communities from blowing away. Valley water table levels have been declining in the past few years and farm land has been fallowed as a result.

Democrats have been arguing that the state can accomplish more by conservation. Both Democrats and Republicans point to problems in the Delta as reason enough to pass a water bond.

Public Benefits

Perata has in the past argued against Temperance Flat, saying it largely benefits private interests ignoring the widespread benefit that the Friant Kern Canal has for the entire east side of the valley and its economy of mostly small farms and towns. As to the restoration of the San Joaquin River as well as new flood protection, there is clearly public benefits there as well, supporters argue.

The recent crackdown by a federal judge over movement of water through the Delta produced another reason to build Temperance Flat, says Jacobsma. With the Delta a choke point where pumps have been shut down to protect fish, building additional capacity south of the Delta will help move drinking water to urban areas and thirsty water districts in southern California.

“Right now we can’t move water around California because the plumbing is broken,” remarks Jacobsma.

Most observers agree a long term need besides more storage is finding added ways to convey water, including around the fragile Delta area that is the source of water for 20 million people.

With water rationing pending in his own backyard and the clock ticking for a February ballot measure, there is a good chance Mr.Perata will allow monies to be spent for above ground storage—perhaps not as much has proponents want but enough to allow the project to move forward.

It won’t be soon enough for Fresno County who declared a state of emergency over decreased water supplies, or all the towns that have been forced to dig deeper to get good water, or all the small “colonias” which have high nitrates and need surface water to drink, or Metropolitan Water District which faces a cut off of 30% of its supplies because of the shutdown of Delta pumps, or the City of Long Beach who has recently implemented rationing, or San Diego County suffering from the need to supply their burned-out populace. One town ran out of tap water after the fire, forcing trucks to bring in emergency drinking water.

More Fires?

The catastrophic fires that swept Southern California appear to be consistent with predictions of climate change, says a USDA Forest Service bioclimatologist, Ron Neilson. “As the planet warms, more water is getting evaporated from the oceans and all that water has to come down somewhere as precipitation,” said Neilson. “That can lead, at times, to heavier vegetation loads popping up and creation of a tremendous fuel load. But the warmth and other climatic forces are also going to create periodic droughts. If you get an ignition source during these periods, the fires can just become explosive.”

The problems can be compounded, Neilson said, by El Nino or La Nina events. A La Nina episode that’s currently underway is probably amplifying the Southern California drought, he said. But when rains return for a period of years, the burned vegetation ay inevitably re-grow to very dense levels.

“In the future, catastrophic fires such as those going on now in California may simply be a normal part of the landscape,” said Neilson.

The Bay Area is suffering drought conditions as well and has its own recent history of catastrophic fires. In this way, the pain appears to be spreading far and wide enough to force a compromise that will include dams. Above ground systems are needed to store water in wet years to save up for the dry ones. California’s intricate system of dams and canals from Northern California to the south has shown how important the statewide system is in capturing the more plentiful water in Northern California and spreading it around the state. Without a bond to help fix the Delta and build more storage —supporters say the entire state is threatened because water can’t be moved where it is needed.


Builders Cut Back
Reynen & Bardis Halts New Construction

Tulare County - Tulare County’s top builders have tightened their belts cutting back drastically on the number of units they are building with some exceptions. Information from the Construction Monitor permit report shows that Centex continues to lead the pack during the first 10 months of 2007 as the county’s top builder with 493 units permitted this year countywide compared to 563 during the same period a year ago.

Number two builder, McMillin Homes, is second with 156 units compared to 204 for the same period last year. Woodside Homes is third with 125 units—the same number as last year. Next is Cambridge Homes (Lennar) permitting 105 units compared to a whopping 325 the same period a year ago. Also dropping even further is Reynen and Bardis who was the number four builder in the county during this period in 2006, permitting 150 homes but permitting just two homes during the same 10-month period in 2007, essentially halting all new home building here. Like a few others, Reynen and Bardis came to this market late in the development process only to have the bottom of the market fall out this year.

Likewise with Richmond America Homes, which was number five last year with 104 homes in the county but permitted just 22 so far this year.

D.R. Horton is the number six home builder in 2007 permitting 86 homes  up from just 56 in 2006 when the company, the nation’s number one builder entered the Tulare County market.

In 2007, locally owned Smee Builders has picked up their pace building just 18 homes during the period in 2006 and 72 so far in 2007. Ennis Homes of Porterville is cutting back from 139 homes in 2006 to just 64 so far this year. Pacific Union Homes is number nine, building at roughly the same volume and K Hovnanian is the number 10 builder in 2007 with 38 permits having just entered the marketplace in 2007.

Meanwhile, most builders show a drastic cut in the average value of homes with Centex falling about $30,000 over the year’s period to about $180,000 and D.R. Horton average home priced at $259,000 in 2006, falling to $179,000 in 2007  an $80,000 decrease.


County Unplugs from Power Group...But Could Reconnect

by Miles Shuper

Tulare County - Concerns over the potential financial risk of being a major member of the San Joaquin Valley Power Authority, Tulare County has pulled in its horns and exited the agency formed to offer lower utility rates to Valley consumers.

The 3-2 vote last week to leave the SJVPA comes only a few months after Tulare County agreed to join the authority which hopes to offer customers, including the county, commercial users and residential customers a 5 percent savings on power bills and capped rate increases. There have been indications the county could re-join the SJVP when questions about potential financial liability issues become clear. Board Chairman Allen Ishida confirmed this week that he could support reconnecting “once all the issues of the county’s financial liability and risks” are answered to his satisfaction.

Those concerns are based on the uncertainty over just how much the county and others would potentially have to pay in “exit fees” if they opted out of the authority, along with the potential financial liability if the venture fails. The term “off-ramp” has frequently been used during board discussions on the SJVPA issue, referring to when a member can pull out without financial penalties.

Earlier last month, the board expressed growing doubts when they were unable to get enough information to mitigate fears of potential fiscal liability, especially when newly seated County Administrative Officer Gene Rousseau, a fiscal expert, cited concerns over unanswered questions.

The board put off a decision at that time hoping to be reassured that the county wouldn’t be sticking its financial neck too far out by remaining in the joint powers authority.

Near the end of an hour-long discussion last Tuesday among leaders of the Kings River Conservation District, the power authority legal counsel, a PG&E representative and county counsel, Supervisor Phil Cox posed the key question to Rousseau. Asking for a yes-or-no answer, Cox asked the county executive if all his earlier concerns had been satisfactorily answered. Rousseau said “No.”

Tulare County would have represented 40 percent or the SJVPA customer base and its weighted voting power would have been about 20 percent. The other jurisdictions are Clovis, Corcoran, Dinuba, Kings County, Dinuba, Hanford, Kerman, Kingsburg, Lemoore, Parlier, Reedley and Sanger. Earlier this year, the City of Fresno voted against joining the group. In recent months, PG&E has been aggressive in opposing the new power authority, citing potential financial risks and a lack of guarantees for SJVPA authority members.

That lobbying by PG&E has sparked even more concern and potential legal battles over the issue which already is confusing to county and city officials struggling to get firm answers on complicated financial matters. (See related article.)

Cox, who previously voted to join the authority, expressed concern over too many unknowns saying, “I don’t like going into thing with my eyes closed.”

Cox, Ishida and Supervisor Mike Ennis voted to unplug the county from the authority. Supervisors Steve Worthley and Connie Conway voted to keep the county in the SJVPA. Ishida is the only Supervisor who didn’t back the proposal last June when the board voted to join the authority. Before both votes, Ishida expressed concerns about the county getting into the energy business or any business venture without having the prerequisite expertise. A long-time farmer, Ishida compared farmers getting into financial trouble by branching out into processing and other facets of agri-business instead of sticking with what they do best, producing the crop or commodity.

Ishida said the potential financial benefits simply don’t stack up well compared to the risk to the county, as well as to commercial and residential consumers. “I’m not sure I’m ready to take that risk,” he said.

Worthley was the most vocal in opting to keep the county in the power authority, saying there is “a risk in everything,” even staying with “the status quo.” Nothing is ever gained, he said, without risk, adding that it was his understanding that the county could still have a way out “if it goes sideways.”

KRCD and SJVPA officials obviously were not happy with Tulare County’s pullout but claim they can still go ahead with the program. Thomas Haglund, SJVPA board chairman, said after the meeting, “We’re obviously disappointed” but hopeful that the county might eventually consider rejoining the authority when more specific financial and risk mitigation issues are ironed out.

County Executive Rousseau conceded that the county might reconsider rejoining the SJVPA when financial structuring, costs, risks and other financial mitigation issues are finalized. “I would hope that Tulare County’s exit is not a deal killer,” adding the county could join as a “second tier” member, a consideration the cities of Visalia and Tulare and possibly others, are studying.

Tulare County Supervisors, among others involved in the Community Choice Aggregation (CCA) issue, have pointed out that many Valley residents who might be impacted by the power authority have little, if any, understanding of how the authority works.

Under California law (AB 117), the CCA allows cities, counties or joint power agencies to implement a program to aggregate the electric loads of all electrical customers within their jurisdictional boundaries. The SJVPA will make wholesale purchases of electricity from KRDC on behalf of the constituents of the authority,

SJVPA will only procure the electric energy which will still be delivered by the investor-owned utilities, PG&E and Southern California Edison. Edison and PG&E will still provide all non-generation-related services, including delivery, metering, billing, customer service and traditional retail services.

In the current electric marketplace, the investor-owned utilities, (PG&E and Edison) no longer own a substantial amount of generation, with the exception of hydroelectric and nuclear assets. They purchase the rest of their electric needs from the wholesale market place and are the monopoly providers of transmission and distribution services. Under the CCA program, the power authority (SJVPA) chooses the types and amounts of generation it buys from its customers. Transmission and distribution continue with the investor-owned utility.

Both PGE and SCE supported AB117 and by law, must assist local governments in setting up the CCA programs.


Home Sales Decline 41% in Local MLS Since 2005

Tulare County - The number of existing homes sold in the Tulare County MLS has declined some 41% the past two years according to the Tulare County Association of Realtors. Through October 31 of this year just 1,762 existing homes were sold, compared to 2,515 during the same period a year ago and 2,885 in 2005.

The numbers reflect a statewide drop in home sales of 29% during the first quarter of 2007, according to Dataquick. Homes sales dropped by over 40% statewide in September in California.

This past week, Dataquick reported on record foreclosure activity statewide clustered more heavily in parts of the Central Valley and the Inland Empire. In Tulare County, notice of defaults as of the third quarter of 2007 were 595 compared to 268 during the same period the year before, a 112% increase below the state average of a 166% increase. Trust deed records showing the actual loss of homes are up 600% statewide and 695% in Tulare County where 167 were recorded compared to 21 the year before.

“We’re going into the slowest time of the year,” says Visalia realtor Brad Maaske, noting that the inventory of existing homes for sale in the MLS region is historically high at 2,153, down from around 2,300 earlier this summer. Those numbers compare to 1,936 in October 06 and 924 in October 05. Maaske says prices have tumbled to 2004 levels and suggests if houses are priced right they are still selling.

Local realtor Ed Evans says home prices have been falling an average of 1% per month since June 2005. He blames the crisis in housing on “mortgage companies out of control” in the past lending without proper criteria or standards. He says mortgage lenders have now tightened their standards and still the bigger problem remains that potential home buyers don’t want to buy “because they think the prices are still going down.”

Evans says in October 07, the median sale pending is $209,900  by comparison, the October 06 median sale pending was $236,250 and the October 05 median sale pending was $264,900. These numbers were published by the Tulare County Multiple Listing Service in a report to the National Association of Realtors. This is sale pending, which is based on the ask price at time of sale. You can see a 20.76% difference in 24 months. This represents all residential properties including single family, PUD, and rural residential.

New home sellers have definitely gotten the message, says local Centex manager Cliff Ronk. “We are all discounting the heck out of our inventory,” says Ronk and are concentrating on new home sales at the $200,000 level home they know they can sell. We have models priced at $180,000 and “we are still making money on selling these homes,” says Ronk. (See builder story.)

New home builders in Tulare have lowered the price of their homes in recent months with several around $180,000 and less in the rest of the county. Zillow says the median price of a Tulare County home in now $191,000, compared to a Visalia level of $211,000.

Evans says over-building by the national builders in our area has helped glut the Tulare County market, pushing existing home prices down because supply far exceeded demand. Now the best that could happen is for some of those companies “to leave town,” he says.

At the Bottom?

Suggesting the market is at or near the bottom is long time mortgage lender Greg Sherman of AG Mortgage who recently sent out a letter to his database that “now is the right time to buy,” given declining mortgage rates for the past few months and the bargain price of homes here. “Interest rates are in the low 6%,” says Sherman and it looks like they could go into the 5%’s in the next few months.”

Sherman notes that even jumbo mortgage rates for loans over $417,000 have come down from 8% a few months ago to about 6.5%. That trend should help much of the rest of California where home prices are higher where sales have been falling dramatically in part due to the scarcity of jumbo loans. “Investors have given more confidence helping to reduce jumbo rates recently,” he says.

Most important locally, says Sherman, is the likelihood that Congress will change FHA rules on the amount they will lend on the value of the home from the current $247,000 to $320,000 or higher, “helping a lot of borrowers that can’t qualify under conventional loans.” He says. FHA rules may also be changed to allow 100% financing for the first time also helping a market like Tulare County, he says. He expects to see something happen in Congress by February.

Lower interest rates, added FHA coverage and bargain home prices could mean a turn-around for the real estate market here next spring.


Quad Knopf Lays Off 65 Workers

by Steve Pastis

Visalia - There has been a rumor going around town that Quad Knopf, a Visalia-based architecture, environmental planning, civil engineering, surveying and land development company, has laid off a lot of its employees this year.

“Sadly, that rumor is true,” said Mike Knopf, president, who corrected the numbers that were circulating. 

“In the current round, there were 60 whose positions were eliminated,” he said. “One took a scheduled family leave early, three resigned and one took early retirement.”

The total of 65 people who no longer have their positions, however, is a combination from the five Quad Knopf offices: Bakersfield, Fresno, Reno, Roseville and Visalia. Twenty-eight people, including four corporate administrators lost their jobs in the Visalia office, the company’s corporate headquarters, in the current round of layoffs. The other office that was hardest hit was Fresno, where 21 people lost their jobs. The current round includes the layoffs that occurred in October.

“We did a staff reduction in January-February of this year,” Knopf said. “We were fairly conservative. We underestimated the decline at the time. Things were stable until early October.

“I don’t think we’re going to be making any other adjustments,” he said. “We pretty much had the low point of our workload.”

The company is focusing on restructuring and improving its operations. It has also been consolidating its offices into smaller spaces.

“We made a lot of effort to analyze other areas of our business that need to be improved,” he said. “These are just things you need to do when you have a downturn.”

Knopf explained the causes of the downturn that affected his company.

“It’s a combination of things,” he said. “Basically, the main reason is that the economy has been impacted by a housing downturn. It has also impacted other client groups who have been generating works and projects.”

Even after a rough year, Knopf is optimistic about the future.

“Early next year, we should see some changes,” he said. “There are a lot of projects that the private sector will be putting out next year.

“We’ve changed some managers and hired some additional technical folks to better serve our clients,” he added. “We’re positioning ourselves to rebuild the company when the economy comes back. Like every other downturn, we’ll use this one to make the company stronger.”


What's New

Cilion Inc., the biofuel company whose corporate office has been in Goshen for the past year since it was formed, will likely be moving its headquarters to Chicago, confirms chair of the board Kevin Kruse. The biofuels company is made up of investors form Kruse’s Western Milling Company of Goshen, Bay Area-based Khosla Ventures, Virgin Fuels, Yucaipa Corp and Amyris Biotech. In California, Cilion has plans for a 50-million-gallon ethanol plant projects near Famoso on Highway 99 and in Livingston. They also have several projects planned back east.

City of Visalia has asked for a request for proposals from developers who would agree to build a four-story office building on city land at Oak and Tipton. Three proposals are expected  two from out of town and one from the Allen Group. The city has agreed to lease two floors for five years helping to increase the financibility of the project. RFPs for the firm are due to the city later this month. This would be the second major office complex in the new East Visalia masterplan besides the new Buckman Mitchell.

California “rack” diesel prices have gone up 50 cents since September, the California energy commission reports, with retail price in Central California reaching $3.50 this week, higher in Northern California. The record price statewide will translate into higher costs to consumers since much of the state’s goods are transported by diesel trucks and trains. Farmers too are big users of diesel pushing up their costs. Growing demand for diesel in China is listed as a key reason why we are feeling this pain at the pump.

Visalian Brian Hyde has started his own commercial real estate firm Hyde Commercial Real Estate. Brian had been with Doug Burr for the past six years. “It just seemed like the right time to set up my own shop,” said Hyde. The office is located at Hyde Park, 3330 W. Mineral King in Visalia. Phone 739-9900. Find him on the web at hydecommercial.com.

Proposed plan to cut pollutants of diesel emissions from heavy duty truck vehicles could hurt “the little guy” including farms that operate one ton or larger trucks, says Nisei Farm League President Manuel Cunha Jr. ARB released draft rules last month that would require the replacement of what they call the dirtiest trucks on the road. Cunha says the threat is too ambitious replacing pre-1992 trucks by 2010. Many farms use these trucks sparsely , sometimes a few times a year, says Cunha and can’t afford to replace them. The proposed rule covers trucks above 1400 GVWR. Cunha says he figures the cost of the plan at $12 billion. The ARB has vowed to include millions in incentive monies to replace the trucks. One plan would be to crush older trucks once they are taken out of service to ensure they won’t be used again.


Appeal Could be First for New City Council

Visalia - Visalia Council Member Greg Collins has personally appealed a planning commission decision that approved a 52,000-square-foot complex on Plaza Dr. for Fresno Pacific University. Collins opposed the project when it was presented in conceptual form to the council many months ago, but the project moved forward at that time on a 2-to-1 vote. Collins says a preferable location would be in Downtown or East Visalia and notes the development is actually the first step on a 328,000-square-foot business park.

At that time, Bob Link rescused himself because his wife works with the university. Mr. Gamboa was not at the meeting at the time.

Now the project is coming to the city council on a formal appeal, perhaps toward the end of this month and Collins' appeal as a citizen will mean he can't vote when the matter is heard. Assuming Mr. Link wins another seat, he too will have to refrain from voting because of the conflict of interest.

That puts it up to the three remaining council members.

Depending on who wins this week's council race, the outcome of the vote is very much in doubt.

If Mr. Gamboa opposes the project and Mr. Landers supports it, the deciding vote will come from the new council member, likely either Mike Lane or Amy Shuklian. Ms. Shuklian's views aren't known yet, but Mr. Lane says he would support the project since the land is property zoned for such a venture as Business Research Park and notes the college has approved the location. Lane says he doesn't believe he faces a conflict issue just because his father is the civil engineer on the project, but says he will ask for an opinion by the city attorney.

City Attorney Alex Peltzer, says in general if a relative from the same household is involved with a project, such as a spouse in Mr. Link's case, it holds more weight than a father/son relationship where there is no direct financial stake.

If Lane were conflicted, there would be only two council members voting, lacking a quorum to make a decision. In such a case, the city could waive the conflict issue pointing to the “rule of necessity” that allows a jurisdiction to allow voting anyway because a decision needs to be made. Peltzer says he hasn't had any chance to study the case law.


San Joaquin River Settlement Legislation
Introduced in Congress

Tulare County - After months of being on hold over congressional budget rules, legislation that supports the settlement of the contentious San Joaquin river issues will be introduced in Congress this week in a mark-up session at a House committee.

The issue has been stuck over congressional “pay go” issues that demand that about half the cost of the federal project estimates that are at least $500 million be offset by new savings or additional revenue. The federal funding will help complete the settlement process over a lawsuit that dates from 1988 that was ended by the parties, NRDC, Friant and the U.S. government, in 2006.

“We have a conceptual plan we are looking at that may satisfy pay-go rules,” says the general manager for Friant Water Users. However, our members want some time to look over the financial implications,” says Friant General Manager Jacobsma. The plan is go to “mark-up” on Wednesday (November 7) at the House Resources Committee. But the agreement would allow 30 to 60 days for the Friant analysis of the plan before the legislation goes any further, he says. “Hopefully sooner.”

Jacobsma says since Friant contractors owe capital cost for the CVP project that must be repaid by 2030, the new plan would speed up those repayments that could eliminate bonds employed now and partially satisfy the pay-go saving rules.

One Friant member called the plan “fiscal gymnastics.” Chair of the Friant group, Kole Upton, says “Friant is split over this,” concerned he will have the pledge monies on his private land to back a public project.

Jacobsma says the Friant members are assured that there is no additional cost to contractors and the issue is one of cash flow.

Jacobsma and other Friant contractors say they have no choice but to go down this road to enforce the settlement or go back to court to continue the fight with the NRDC.

Jacobsma said he and others met with Congressman Devin Nunes last week but failed to earn his support for the legislation. Nunes has said the settlement doesn't provide enough assurance that Friant districts will be made whole on their water supply.

Both the congressional members Costa and Radanovich are backing the legislation and are members of the House committee. Jacobsma says current bill (HR-24) may be altered in the process to accomplish the goal.


Exeter Company to Add 50 Jobs

Exeter - Hobbs Container of Exeter, a labeler of clamshell produce containers, will add an additional 50 jobs starting at the beginning of next year as it increases production five-fold. So says owner Bradley Hobbs, noting the company purchased the labeling equipment that had been owned by Alcoa Reynolds Packaging of Visalia earlier this year.

“We will be able to go from our current 126 million units labeled to 540 million units by the end of next year,” says Hobbs.

The company has some 200,000 square feet under roof along 2nd Street in Exeter with rail access.

The company has customers all over North America who need their own branded color labels attached to popular clear clamshell containers seen in supermarkets.

Hobbs says his business now has 15 full time employees and that the new equipment will allow his firm to become the largest labeler of clamshell containers in the U.S.

Clamshell containers are those rigid clear plastic containers popular for supermarket sales of strawberries, grapes, berries, tomatoes, mandarins and other produce.

“Retailers like the container because they travel well, are sanitary and don't allow the handling by customers that exposed produce does.” Clamshell containers can stack three high and allow product to be in better shape to eastern markets, for example, he says.

Hobbs says the demand for this product goes year-round since he ships product to Chile, Mexico and Canada, as well as the San Joaquin Valley.

Hobbs gets some of their clamshell produce for Peninsula Packaging of Exeter who specializes in using recycled PET plastic used in those popular plastic drinking water bottles. Finally, a way to get rid of those containers. Hobbs also buys from about 15 other manufacturers.


County Opposes Plan to Abandon Rail Line

Tulare County - Opposition to a plan to abandon or rip out a 30-mile segment of rail between Strathmore and Jovista near the Kern County line is picking up steam.

Tulare County Supervisors Tuesday passed a resolution strongly opposing the abandonment of the only available rail line in southeastern Tulare County.

The San Joaquin Valley Railroad Co. which owns the line is filing a petition with the Surface Transportation Board (STB) to abandon the line. There reportedly are plans by another company, Tulare Valley Railroad, to buy rights of way, rails and ties and other salvageable materials.

Supervisors were adamant in stressing that not only is it important to keep the line but to use its existence as an economic development tool. Acknowledging the financial burden of maintaining a rail line which doesn’t reap financial substantial financial return, board members cited a need to be more proactive in using rail transportation as a tool in attracting and expanding economic development.

Supervisor Steve Worthley said having rail service often is the deciding factor when industry and commercial users make choice of where to locate. Supervisor Chairman Allen Ishida cited the two Exeter area companies, Peninsula Packaging and Weyerhauser Tri-Wall, which launched major expansions with rail service being a major factor in those plans.

Ed Byrne, general manager of Peninsula, whose company makes customized plastic packages for bakeries, fruits and vegetables and other perishable items, told the Voice that the rail line plays a major role in the daily operation, especially in the shipment to the plant of raw materials used in its manufacturing. Peninsula is an industry leader in alternative energy usage. In addition to using recycled drink bottle material to form its products, the company is also is in the process of adding fuel cells to its energy infrastructure, along with solar energy. The reduced trucking to and from the plant plays a big part in the company’s clear air campaign, Byrne said.

The county’s resolution states the rail section “is the only available rail line in Southeastern Tulare County, leaving many businesses without the ability to move goods on the rail line. The communities of Ducor, Richgrove, Strathmore and Terra Bella and the City of Porterville will lose rail service.” It further states that the absence of the line will adversely affect business in this region by disrupting their operations and likely force them to move their goods by truck thus affecting the county’s air quality because goods previously shipped by rail will have to be trucked to their destinations. That, the resolution states, will further strain local roads, streets and highways.

In other actions, Supervisors:

·  Authorized the acceptance of $450,000 from the Office of Community Oriented Policy Services (COPS) for expanding the Tulare County District Attorney’s office prosecution of methamphetamine cases. The board also authorized the addition of two deputy district attorneys levels I-V.

·   Okayed a proclamation honoring Gabe Cano for organizing the Latino Peace Officers Association statewide convention this year.

·   Settled a property abatement case for a property in the Pixley area for a total of $3,885. Property owners Albert A., Fredrica M., Audie E. and Morty Remmer had been fined $9,000 for failing to clean up the three-acre property. A lien was placed on the property. The owners had requested a waiver of the fine and the $300 appeal fee.

The property was cleaned up in a cooperative effort by county agencies and Community Services and Employment Training (CSET) which used the cleanup as a training project.

Supervisors agreed to reduce the fine to a level to cover the county “hard cost” of about $3,500 but denied the waiver of the $300 appeal. The lean is now $3,885 but supervisors approved the waiver of interest and allowed the owners, to make partial payments on the total.

·   Approved on a 4-0 vote the enlargement of an existing Farmland Security Zone for 19.82 acres southwest of Visalia. The applicants were Derrick and Judith Gray. Supervisor Cox did not vote because of a potential conflict of interest.


Remembering ‘Hoot’ Macklin

by Dave Adalian

Visalia - Visalia resident Hugh Robertson “Hoot” Macklin, who died Oct. 18 following an accident in his home, was in the words of his wife, Bobbie, the “perfect husband, the perfect father and the perfect grandfather.” But, he was also a respected executive in national farm credit circles, a revered friend, cattle rancher, U.S. marine captain and cowboy poet who brought U.S. agriculture back from the brink of ruin in the mid-1980s.

“He came from rags to riches, at least to our eyes,” said Macklin’s son Ken who now owns and operates H.R. Macklin & Sons, the company his father founded in 1980. “He did it on his own, and he practiced the philosophy you didn’t have to climb over other guys to do it. He took great solace in working hard.”

Hoot Macklin was the son of Gwyndolyn and Albert Macklin, a machinist who came to Bakersfield from Canada and took up farming until the pressure of the Great Depression cost the family their small farm on Kern County’s west side.

“My dad remembered the day the sheriff came and took them to the tent camp in Shafter,” Ken Macklin recalled.

The family soon relocated to Wasco, where Hoot Macklin grew up, attending local schools until he graduated from Wasco High in 1940. A year later, he interrupted his studies at the University of California, Davis, to join millions of other young Americans who enlisted to fight World War II.

Macklin joined the Marine Corps, serving as a lieutenant during that conflict and eventually becoming a captain in charge of training other recruits during the Korean Conflict.

In the decade between the end of WWII and his return to duty for service in Korea, Macklin attended classes at the University of Southern California before completing his degree, a bachelor’s of science in animal husbandry, at UC Davis in 1947. It was also in that year he married Dorothy “Bobbie” Barrows, his high school sweetheart. The couple moved to Visalia where Macklin began his career in the farm credit industry as an appraiser and loan officer for the Federal Land Bank, a career path that would eventually lead to him overseeing the bailout of the agricultural credit system, the largest undertaking of its kind in history at the time.

Macklin’s work with the Federal Land Bank led to a job as an agricultural appraiser and loan officer for Northwestern Mutual Life Insurance’s Visalia office. Two years later in 1966, Macklin became Northwestern’s regional manager for ag lending in the San Francisco office, and two more years after that Macklin and his family, which now included son Ken and daughter Carrie, moved to Milwaukee, where he became Northwestern’s vice president in charge of farm and commercial credit, making him one of seven executive officers in what was one of the 10 largest companies in the world.

When the chance for further advancement in Northwestern’s ranks came in 1972, Hoot Macklin declined the offer, instead opting to return to his agricultural roots as the CEO of the Ceres Land and Cattle Company. He later headed the Arizona Land and Cattle Company and finally the Western Farm Management Company, overseeing that firm’s growth from four to 40 offices.

Finally, in 1980, Macklin returned to Visalia founded H.R. Macklin & Sons. Six years later, while still at the reins of his own company, Macklin was tapped by the Reagan Administration to head the Capital Corporation, a private company chartered by Congress to oversee disbursement of $7 to 8 billion to shore up the sagging Farm Credit System.

“It was the biggest bailout in history,” Ken Macklin said. “Basically, the government bailed (agricultural lenders and farmers) out—they were going broke.”

“He was keeping it going. That’s what he did,” said Gordon Bergthold, Macklin’s nephew. “Out of that organization came Farmer Mac, a lending organization that operated through local banks. It’s still going today.”

After his stint with the Capital Corporation, Macklin returned to his work at H.R. Macklin & Sons, selling the business to Ken Macklin in the mid-1990s but continuing work at Chimney Springs, his cattle ranch outside of Elderwood.

“He never wanted to say he was retired,” Ken Macklin said. “He ran his cattle company and was very active in Rotary (Club) and the community.”

His work in the community included helping found the Visalia Rotary Community Foundation with fellow Rotarians Byron Riegal and Phil Hornburg, and acting as chairman for Tulare County Sheriff Bill Wittman’s election campaigns.

“He was one of the first persons I talked to when I decided to run,” Wittman said, adding that Macklin helped him reach more deeply into the community than he might otherwise by bringing in local activist Manuel Hernandez to aid in running the elections. “Hoot was right there with encouragement and brought a lot of people into the campaign.”

Despite failing in his first attempt to win office, Wittman said Macklin stuck with him, as he had done for many people over the years.

“Hugh Macklin was a legend when I was growing up,” Wittman said. “When people like Hugh tell you they’ll support you, they give you their name and confidence in you and they believe you’ll do a good job. Throughout the years, he was a great mentor to me.”

At least part of Macklin’s success was in the way he treated people, his son said.

“Everyone was special to him,” said Ken Macklin. “He saw everyone as equals, from a janitor up to the top guy. He treated them all the same.”

To his nephew, Macklin was a man who commanded attention, but also returned it.

“He’d look you right straight in the eye and let you know you were important,” Bergthold said.

Despite suffering from cancer during the last years of his life, Macklin continued to remain active. A boxer during his days at UC Davis, Macklin was also a runner and enjoyed hunting and fishing.

“He was as active as he could be until his final days,” said Bergthold. “He was tough. When he had colon cancer, he’d get his chemo then come to the office and say, ‘Let’s go to lunch!’”

He also refused to let his battle with cancer consume all his attention.

“He was always a forward thinker. He was always thinking of the future,” remembers his daughter Carrie Macklin-Ritz. “When he had cancer and the doctor told him the average was two years, he was thinking I have five years, what can I do?”

She remembers her father as a sedate man who was involved in his children’s lives during the family’s time on their small farm on Tulare Avenue near what is now Pinkham Avenue.

“He was a great dad. He was very calm,” Macklin-Ritz said. “We did stuff every weekend. We also did our share of chopping cotton and planting trees.”

Macklin also had an artistic side.

“He wrote some cowboy poetry and loved to recite others’ poems,” his daughter said.

Now that he’s gone, Wittman hopes his mentor’s memory will be kept alive by those whose lives he touched.

“Many people didn’t know Hugh was out there doing things for the community, but there he was,” Wittman said. “I can’t say enough about him.”

Ken Macklin hopes the world will remember his father for the work he did to preserve agriculture, and as a man with simple tastes who enjoyed life.

“He was a square guy,” Macklin said.


Decision on Success Dam Delayed until Spring

Porterville - US Corps of Engineers has delayed a decision on the extent of the rebuilding of Success Dam above Porterville until spring, says Dave Killam, public affairs officer in Sacramento. After gathering a select group of experts to look at the situation, “we're hoping to make a decision in October, but now we want to get external peers to review all of our alternatives.”

The Corps had recently looked at a plan that could drastically cut the cost of the proposed fix for the dam, given concern over its seismic safety.

Killam says public meetings with home owners below the dam will be held November 15 to discuss the Corps' plans. The most recent reports have suggested the seismic remediation project could begin in 2010.


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The above stories are the property of The Valley Voice Newspaper and may not be reprinted without explicit permission in writing from the publisher. 

 

November 7, 2007

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