County delegation creates response to economic crisis

The most serious economic threat to Washington County of any event in our lifetimes," say Senator Kevin Raye and the county legislative delegation, speaking of the idling of the Domtar pulp mill in Baileyville. In a memo dated March 26 and addressed to the governor, the elected officials laid out a plan for addressing the crisis that began with Domtar's announcement in early March laying off some 300 employees.

Mill workers began the shutdown process in earnest last weekend in anticipation of the May 5 date for suspending operations. Spokesman Scott Beal says a skeleton crew will remain on duty, numbering about 15 hourly employees initially and a still undecided number of management personnel.

Fulghum Fibres, the wood chip mill that contracts with Domtar to supply material for pulping, has followed the lead of its only customer and is in the process of idling its plant, also for an "undetermined period." Manager Mark Seavey says 23 workers were laid off after the last chipping on April 10, leaving a crew of eight for a few more days to complete shutdown procedures.

When fully operational, Fulghum had employed 44 workers on a 24/7 schedule. Seavey says he expects a minimal crew to be "on standby," ready to start up within 24 hours if ordered to do so by the home office in Augusta, Ga. Representatives from the company's human resources department met with employees in Baileyville on April 13 to answer questions concerning company benefits, and state personnel were present to provide information about retraining opportunities, unemployment insurance and other government benefits.

Two potential tenants

On a hopeful note, Dorothy Johnson, Baileyville acting town manager, confirms that the town has received expressions of interest from two potential new tenants at the Baileyville Industrial Park. Discussions are still in the early stages, so she would not identify the companies. Both of the sites in question are permitted until August, she says, and the interested parties know they would have to commit by then. One company would transfer employees from their present location, but the other would probably create a dozen new jobs at first, with the possibility of more later, she adds.

Johnson says Domtar has recently taken steps to help the town keep taxes down, an indication, she believes, that the corporation envisions a future in the community. For example, they recently donated a storage unit for inflammables to the fire department and agreed to lease their helipad to Downeast EMS ambulance service.

Actions recommended

Calling for "swift and decisive action on multiple fronts," the legislators' memo outlines a five-point approach that would remove potential obstacles to Domtar reopening or another company using the mill; encourage re-use of the vacant Louisiana-Pacific mill in Baileyville; support and protect the interests of those people who lose their jobs; assist Baileyville and the region in pursuing other job-creating opportunities; and strengthen the position of the port of Eastport in order help it achieve its full potential as a catalyst for job creation in Washington County.

Specific recommendations are wide-ranging and include a review of current regulations for licensing hydro dams, ensuring water quality, defining hazardous waste and other environmental issues; exploration of a waste-to-energy facility or a pellet operation at the former Louisiana-Pacific mill in Baileyville; support for tidal and wind energy projects and for LNG development; development of a conveyor system at Estes Head to allow the port to compete for bulk shipping business; restoration of the rail connection to Perry via Ayers Junction to improve cargo transport to and from the port.