Path to the Pipeline
This article was in Sunday’s (July 2nd, 2017) Herald and News
Written By: Holly Dillemuth, H&N Staff Reporter
The proposed Jordan Cove liquid natural gas pipeline that will travel 235 miles from Malin to Coos Bay, could pump an estimated $5 million a year in tax revenue into the Klamath County economy, according to county officials.
County Commission Vice-Chairman Derrick DeGroot, who testified in support of the project Thursday with Federal Energy Regulatory Commission (FERC), is working with the Klamath County Tax Assessor and the Oregon Department of Revenue to verify estimated figures on expected revenues for special districts located in the path of the pipeline.
DeGroot was one of more than 80 to comment on the proposed project Thursday at Oregon Tech. Klamath County Economic Development Association Executive Director Greg O’Sullivan also supports the project.
“Our general fund that goes toward public safety would receive $854,000 (annually),” DeGroot said. “It really is a shot in the arm for a lot of different service districts that help provide services to the county.”
Tax revenue could be distributed to the following special districts in the county: Klamath Community College, Klamath County Library, Klamath Fire Districts No. 1 and 4, Malin Fire, Merrill Fire, Keno Fire, paying down the Klamath Falls City Schools and Klamath County School bonds, Basin Transit, Klamath 9-1-1 Emergency, Klamath Vector, Malin Cemetery, Malin Park, Klamath County Museum levy, Klamath County Extsenion Service, Klamath County Predatory District, and Southern Oregon Education Service District.
Some of the largest benefactors of the pipeline in the county include Klamath County Schools with an estimated more than $1.9 million in annual revenue, the county library at $241,521 and KCC with $202,927 per year in income. (The full list of estimated tax revenues is available at www.heraldandnews.com).
“You hear lots of stories of Klamath County passing up opportunities,” DeGroot said. “This is another one of those opportunities, and we need to change our focus and start capitalizing on them when they do present themselves. They don’t come very often.”
DeGroot said the county will treat the project as an “economic development driver” that has the potential to take the county to the next level of economic development.
“It is one of those times for us to start thinking forward about real economic development for Klamath County,” DeGroot said. “This would be part of it.”
Jim Bellet, a former county commissioner, also backs the project.
“I’m a firm supporter of this project, it really helps Klamath Falls,” Bellet said. “In economic development, the ability to get gas into Merrill, we’ve negotiated that and the tax money that the county’s going to get, and the special districts.
“The county is scraping by to get our money,” Bellet added. “The county timber receipts just aren’t there anymore…If we can get another company to come in here and we can get inexpensive natural gas to help production, I think that can really help.
“There’s maybe some environmental issues that you might have to mitigate, but I just don’t think that Klamath County has a major issue. We’ve got a gas pipeline drilling already.
“There might be some cultural issues,” Bellet added. “We just can’t stop being progressive (economically) around Klamath County just for certain issues that come up.”
DeGroot also acknowledged there are differing perspectives on the proposed pipeline, and expressed a desire to listen to those views.
“I wanted to make sure that I took the time to listen to folks that had strong feelings, either in support, or those that opposed, and make sure that we listen, and if applicable, address those concerns,” DeGroot said.
“Obviously there were folks that have environmental concerns, and I’m sympathetic to those. I don’t necessarily share those concerns. We have miles and miles of natural gas pipes in the ground in Klamath County now, and we have for many years without incident, and it seems to be a very safe way to transport this product.
“I know there are some cultural concerns with the Tribes that the pipeline travels through the ground,” DeGroot said. “I would encourage the Tribes to work with the project managers to make sure that they are sensitive to those. We still believe that it’s in the best interest of the county for the pipeline to go in.”
DeGroot also sees the possibility for permanent jobs to monitor the pipeline as well as multiple temporary construction jobs.
“The construction phase of the project (if approved) is going to be two years of high labor, well-paid individuals having to be in Klamath County, spending their money here,” DeGroot said. “That’s going to be an economic boost as well and that cannot be ignored.”
Proposed Taxing district revenues:
Klamath County (general fund): $854,001
Klamath Community College: $202,927
Klamath County Library: $241,521
Klamath Fire District No. 1: $183,400
Klamath Fire District No. 4: $762.37
Klamath Falls City Schools (bond): $37,712
Klamath County Schools bond: $37,712
Klamath County Schools: $1,901,643
Basin Transit: $333.80
Klamath Vector: $32,259
Klamath County Museum Levy: $24,645
Southern Oregon Education Service District: $173,698
Klamath 9-1-1 Emergency: $75,956
Klamath County Extension Service District: $73,935
Malin Cemetery: $8,787
Malin Park: $110,363
Merrill Fire: $34,986
Merrill Fire Capitol Project: $15,488
Keno Fire: $57,846
Mt. Laki Cemetery: $6,266
Figures obtained from Klamath County
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