Some fairly stunning admissions regarding SCDC (South Coast Development Council) emerged at last week’s BOC meeting. First, for those who may not know the history, SCDC is an offshoot of FONSI (Friends of New Sustainable Industry), which focused upon old 19th century unsustainable industry. FONSI directors, many of whom are now involved with SCDC, proudly take credit for talking the public into building the $51 million 12″ county gas pipeline completed in 2003 that was supposed to usher in an era of prosperity and new companies that only needed access to gas to settle here and produce 2,900 new jobs in Coos County. Sadly, the companies and jobs never materialized and the pipeline is barely used and millions of dollars later the environmental damage is still being mitigated.
Replacing Jon Barton, the new chairman of the SCDC board of directors is John Knutson of Knutson Towboat Company. Knutson, along with Barton is also a founder of the Coos County Alliance for Progress (CCAP) political action committee that raised more than $40K to influence the last commission elections and tried to impose a radical governance change that would hire a county administrator through a ballot measure. The measure was handily defeated. CCAP also rewarded Hillsboro Senator Bruce Starr for introducing legislation that benefited Knutson by putting a competitor out of business.
In June, Sause Bros Towing contributed $10,000 to the PAC which in turn immediately distributed $5,000 to Starr’s campaign for state labor commissioner. Dale Sause, owner of Sause Bros has close ties to John Knutson, a founding PAC board member and his company will effectively have a monopoly in Coos Bay. This act alone defines the character of the people manipulating local politics, but there is more. The CCAP board attempted to take over the board this election and to ramrod through unsavory and unpalatable changes that would have centralized control of the county. The latter move was defeated in every precinct and its primary ideological standard bearer, Fred Messerle, also lost his bid for a seat on the commission.
CCAP PAC co-founders Jon Barton and Joe Benetti sit on the airport board and we can thank them for that $40 to $50 million boondoggle catering to Bandon Dunes clientele that forces most of us to drive to Eugene or Portland to catch a reliable flight. Now, Knutson, hat in hand, with the assistance of port CEO David Koch is asking the county to contribute additional economic development funds to SCDC so the very same cabal who have wasted so much taxpayer money can reorganize and refocus, whatever that means. In doing so, Koch who is paid specifically to bring new industry to the area, plainly admits that SCDC has been ineffective and also acknowledges the port, as an economic development agency administering tens if not hundreds of millions of dollars, is also a failure and just “can’t do it alone”.
KOCH: We’re looking at South Coast Development Council very closely as a kind of new partner, we’ll say, and I know SCDC has been around for a while but has lost its focus, and, and there are a number of us that have been working to get that focus back to the organization, really get them homed in on servicing those traded sector industries and businesses, and I know that the County’s getting ready to review applications for funding for your economic development dollars – the County was a partner with the Port and a number of other local municipalities many years ago when SCDC was originally founded um, and we’re looking for the County to help us step back in and reposition and refocus and re-energize that organization to serve the needs that our region has for an entity that can bring it all together – and, and that’s really what we need – no one entity here can do it alone – the Port can’t do it alone, the cities can’t do it alone – the County can’t do it alone.
Ah, and even entities like, um, CCD and the college and the Chambers can’t do it alone. We all have individual pieces to play but a regional organization like SCDC helps us to bring it all together. Our focus for that organization, um, to get things back on track, is going to be on business retention and expansion, not going out and trying to, to bring in that, you know, that that that big heavy hitter and multi-million, you know, dollar investment but to focus on the industries that we do have here, the businesses we do have, help them figure out what they need in order to stay here and expand their operations here, hire more employees, whether it’s access to financial markets, whether it’s creative financing or funding, whether it’s workforce development and training, ah, or marketing in order to extend our market reach outside the traditional markets they serve. Those are the types of things that, that a refocused SCDC is going to be looking at over the next couple of years and it’s ah – I believe that the focus of the application that you’ll be seeing before you, that you’ll be reviewing and would hope that we can count on the County being another partner with us as we get that organization back on trackKoch speech in word cloud [click to enlarge]
![Koch speech in word cloud [click to enlarge]](http://mgx.com/blogs/wp-content/uploads/2013/11/Screen-shot-2013-11-03-at-6.35.47-AM-e1383489293604.png)
Knutson, ever the elitist, and I am told has a reputation as a horrible employer, also hurls a jab at the local workforce. Apparently, few people want to work for Knutson and his various operations and has jobs paying in the “high teens” that are unfulfilled and he attributes this in part to a “lack of interest in our population to go back to work”.
Despite the cabal’s dubious record and, in my opinion, questionable business ethics the commission is likely to vote unanimously to partner with SCDC. If they do, I think you can forget any further efforts by John Sweet to work toward resolving the timber tax inequities because Knutson is proudly declaring that along with CEDCO, the area is looking to expand log exports with a new dock owned by the tribe. Remember, SCDC exists solely to help businesses socialize risk through taxpayer subsidies like enterprise zones. Knutson claims there are plenty of logs to satisfy China and local mills but you can bet no one will be asking the timber operators to pay their fair share in taxes if the commission goes through with this “partnership”.
Phil Thompson summed up the entire discussion best when he told the commission if they want to donate money they may as well just give it to him for a new fishing boat because nothing will come of donating to SCDC.
The entire spectacle is reminiscent of a battered wife, wherein the serial batterer, in this case the economic development cabal, declares undying love, begs forgiveness and promises never to strike again if only the battered, as in the taxpayer, will give them one more chance. Alas, the commissioners bought every line.
Watch the unedited exchange and the entire meeting at PEG Central
If you don’t want to see the county in cahoots with the cabal, please contact them and tell them to save the economic development money for people without a long history of abuse and failure or even just give it back to the lottery where the money was once supposed to help schools.
Bob Main
(541) 396-7540
John Sweet
(541) 396-7541
Melissa Cribbins
(541) 396-7539
Next time Knutson shows his face in public, he should be required by law to have to turn around, face the public and explain to them what happened to Charlie Yates’ job. Charlie Yates, who never, as far as I have read or heard did anything to deserve what John Knutson and Sause did to him. That is the power behind this local cabal, and Kronsteiner. My humble opinion only boys, I’ve seen what you do to others. But Karma is still a bitch, and karma never forgets. Some are saying it is already happening. I wish no being ill-will, but I do believe the wrongs done to innocent ones is never forgotten.
I think Koch is pimping, not pumping.
SCDC has been very successful for some SCDC members. We watched the last two(SCDC)commissioners hand over a sweet deal to waste connections, and we watched them get sweetheart deals for ORC on county land. These two moves were SCDC organized and implemented. They have made very solid moves for some of their members. Yes Jon Barton and Ron Opitz’s baby has delivered for some of them very well indeed. Look at all the appointed members that they have managed to get seated at the port (Governor appointed), look at how they have took over our local media, the airport board, almost all the local non-profits in the area and they have CONvinced or placed most of the people sitting on all our local various community boards to publicly support Jordan Cove. They also have the full support of the people running our schools. This is the most egregious example of stupidity and greed ruling over logic and education and shows the depth of corruption they have managed to attain in this community. Yes Indeed, SCDC has been very successful at taking over this area for the sponsors of Jordan Cove!
If these same people would have put this kind of effort into making this area a player in the growing renewable energy business sector and not purposely promoted the idea that renewables are a waste of time and resources, they could have been having the full support of their community and not be the villians that they have become. They will not only be judged wrong by future generations, they will be judged corrupt because they refused to open their eyes and change course.
Koch is pumping financial services, someone behind the scenes steps on every transaction & gets their cut. Local attorneys are on example. Lots of money to be made skimming…
Before we spend another dollar I think we need an accounting of what is being SPENT ALREADY on these economic groups and what all they do exactly. That is not an unreasonable question to be asking.
For example, the Port’s Business Center at the South Coast Regional Airport. You know, the one with an e-mail contact of bec@portofcoosbay.com… What exactly do these people do and how much is it costing us? Is it money well spent?
The same holds true for the CCD Business Development Corp and the SBDC at SWOCC.
How much is being invested and paid into all these economic programs in our community and what all do these groups actually accomplish and do? Are we getting our money’s worth…?
If SCDC was the “entity that can bring it all together” as Koch indicates above, perhaps that isn’t what is needed.
Coos County already has the third lowest property tax rates in the state. $1.08 per $1,000 compared to the $2.80 state average. This ought to be incentive enough for companies to locate here but NO, we have to fund economic development agencies headed by self appointed business leaders to give away even more.
Albert Einstein once said, “We can’t solve problems by using the same kind of thinking we used when we created them.”
You pretty much nailed it MGX. It doesn’t matter what excuses or reasons these guys give, we have been down this road before. FONSI got such a bad name for squandering tax money and dividing the community that these same individuals decided to regroup under the SCDC umbrella. We can all see how well that worked.
Throwing more money at more of the same is ridiculous and hasn’t worked before so why would it work now?
We will never have success here until we get rid of all the corruption created by these people who insist on running the place like a bunch of mafia kingpin thugs. More of their same way of doing things doesn’t work nor does it justify Jordan Cove or any other left over junk industry trying to locate here that no one else wants.
Time for our leaders to do less talking and more listening to the people. The people know what we have and what we want here. These industry shills who call themselves leaders haven’t a clue…
They are pretty brazen to be coming back and asking for even more money but remember, the rat PAC(K) donated to both Cribbins and Sweet’s campaigns and Sweet is listed as a liaison to SCDC
Ummm… Rocky Point on the Coquille has a good bite if you bounce salmon eggs off the bottom while drifting!
Dear Knutson, Koch, Bennetti, Barton, Sauce, Messerle, Wallworth, etc… Kindly F$%@ OFF!
BTW anyone know what came of Waddworth getting the boot? Where did he land? Could they be bucking to replace Messerle’s Hen with Waddworth to lead SCDC? I bet it’s possible…
Ran into him at Farr’s a few weeks back. He had traded in his tweed and billycock for baggy shorts and a baseball cap
I suppose anything is possible
Hmmm…” it is much easier in Oregon to get higher paying disability or unemployment and then go fishing instead of go to a job.”
Well, the ongoing oceanic die-off, added to the pollution from the coming LNG tankers, will put an end to their fishing in this bay, at least.
Doggone moochers.
If you had a crime board set up with all the pictures of our port, boc, chamber leaders, local politicians and SCDC members, you would find all the stings connecting these individuals directly to the Jordan Cove Project from its inception. From the governor right down to his last appointees to sit at the port, these people have all put their eggs into SCDC and for them to let it fail, would be like killing their child even if it is Frankenstein.
David Koch is a very busy fellow trying to save SCDC. He spent all his time talking at the last port meeting about how the port and the county need to give more money to save that corrupt organization.
Of course the BOC is going to give SCDC some more tax money, because they were put there by SCDC. Cribbins and Sweet owe loyalty to this corrupt group and they’re probably not smart enough to see that giving SCDC this money will stain them permanently and prove that they were bought. They are about to load arrows into the quiver of MGX, and that is bad news for them.
Wim I watched the presentation to the board after I posted my message. I too wanted to puke. The last comment about using Lottery dollars not taxpayer dollars; what does Mr. Tugboat think Lottery dollars are? Is there not a better use for these dollars? It’s sad that these SCDC/CCAP/FONSI folks want to mount a costly effort to convince people to stay here. Maybe the port could start parking the ugly rail cars away from the boardwalk. Maybe they could spend a few dollars to remove the razor wire around the local Ford dealer that give a wonderful impression to visitors.
WASSUP: That’s “Tot Ziens”, not “Tot Zeins”. And I worry about your point that getting the “right person” with the right connections is the key. In theory, yes, but during all of these past forty years they’ve brought in new Port Managers and new SCDC directors and new managers of Economic Revitalization, one after another, and always with huge hopes, at great cost, and for no results. That’s why I wrote in my op-ed in The World (September 30) that we need to quit waiting for Superman to save us.
I don’t know what was more sickening, watching the multiple admissions by this pair of JOB Messiahs that SCDC has not achieved anything, or the commissioners’ craven, obsequious attitude toward these hustlers for public money. . . public money that the Port itself refused to give SCDC, not long ago. Phil Thompson said it well: we didn’t get nuthin’ for the money we’ve already given them. But horse sense is in short supply at the Courthouse. Why, if this (SCDC) has not worked, we just have to do more of it!! It’s a song we’ve heard for forty years, from a mighty chorus of close to twenty economic development agencies.
Interesting that the guy who brought us the 10 MPH railroad has the answers to all that ails us. More money from the taxpayers in a county that these same fellows claimed was nearing fiscal failure at this time last year, is not the answer Mr. Railroad man. Also, being a CEO or business owner does not translate into being a jobs creator. SCDC will NEVER be a success until it, or a similar effort, is led by an experienced jobs creating person who has succeeded before. And then, somebody out there must start with a reason why any business should locate here. There are none except for those businesses like an LNG factory that were chased away from other communities. One person is correct, it is much easier in Oregon to get higher paying disability or unemployment and then go fishing instead of go to a job. The SCDC leader sitting in the office waiting for the phone to ring will accomplish nothing. That person must know who to contact and where and then be gone most of the time recruiting business. SCDC has spent more than $2 million to create two jobs; their two employees. It’s looking more and more like Sweet and Cribbins are trying to convince the voters that they are one term commissioners. Teaming with SCDC would be the final reason to say Tot Zeins.