SCHMID: LOOKING BACK FROM THE LEFT COAST - APRIL 25, 2016
CONTRARIAN VIEW “The industry is preparing for the world's oil supply to come into balance by the end of 2016 or the first half of 2017” -- Lynn Helms, ND Director of Mineral Resources. He anticipates that once that happens, the price could double "virtually overnight." He said, “This is going to come back pretty hard and pretty rapidly. And we'll be back running to stay ahead of it." Helms told Williston leaders they should prepare for a population of 80,000 by 2050.
ROADS COME FIRST ND’s budget woes are not slowing road construction. In fact, the state will spend more this year ($680 million) than it did last year ($615 million). One of the biggest projects is completion of a bridge across the Missouri River at Williston. The bulk of spending will be in the western part of the state.
WYOMING has been hit harder than ND by the drop-off in the coal industry. Two of Wyoming’s leading coal producers have declared bankruptcy (Peabody and Archer) and released many workers. Coal mined in Wyoming largely goes out-of-state where it is being displaced by natural gas. ND’s inexpensive lignite feeds power plants located near the mines. North American is ND’s largest coal producer and has thus far avoided extreme financial problems.
SPRING CLEANING "When the cycle comes back and money comes back, we invest in the future, not play catch-up for what we did in past years." -- Acting UND President Ed Schafer explaining why budget adjustments at UND are so difficult. UND needs to correct historical overspending, as well as incorporate mandated state budget reductions. Schafer wants to clear the decks for his successor Mark Kennedy.
LAST GUY OUT THE DOOR Forum columnist Mike McFeely claims UND is feeling extra pain because “UND's budget was a trainwreck, thanks to now-departed president Robert Kelley and his administration.“ Columnist Mike Jacobs hinted in the same direction when he referred to “a bad bet by the previous administration.”
DON’T TINKER “Total enrollment at the nine small colleges doesn't approach that of either of the research institutions. Yet each of the colleges has its own president and other administrative officers.” -- Mike Jaobs believes ND’s college and university system needs more than budgetary tinkering. He believes the entire system needs reexamination to reduce duplication and promote greater efficiency.
OOPS! It was a fabulous deal -- Twin Cities-based Ultra Green was coming to Devils Lake to take over an empty noodle plant and use it to convert wheat straw into biodegradable food containers. Devils Lake had wheat straw. UG projected employment of 300 to 350 in a few years. Devils Lake couldn’t get enough of the deal and invested $2 million. Employment never went beyond 40 and the plant had only 20 employees when it closed. The city commission is suing.
DISQUIETING Much is made of the potential of the UAS (unmanned aerial systems) industry in ND. The UND Aerospace school and UAS operations at the GFAFB are said to offer promising growth and job opportunities for the state. What is puzzling is how infrequently ND is mentioned outside the state in articles about the UAS industry. A GF Herald article mentions that of the first 3,100 UAS exemptions approved nationally, only 12 were from ND. California, Texas and Florida each averaged about 300 exemptions; Minnesota had 55. ND will need to devote continuing attention and resources to the UAS industry if it hopes to be a leader.
THE JAMESTOWN AREA (Stutsman County and the four adjacent counties of Barnes, Foster, Kidder and LaMoure) had 61,000 residents in 1960, but the population declined and now holds steady at about 42,000 (31% loss). During the same period, the state population climbed from 634,000 to 757,000 (19% gain) with most of the growth taking place the last five years in western oil-producing counties and the four largest cities. The Jamestown area had expected a shot in the arm from a planned multi-billion dollar nitrogen fertilizer plant, but it was canceled.
FARM ROMANCE Columnist Lloyd Omdahl says ND’s long romance with farming has resulted in many special benefits for farms. One example, farm homes and improvements are exempt from property tax. He said those advantages have slowed, but not stopped the decline of the farm population. Omdahl opposes Measure 1 which loosens ND restrictions on corporate farming.
THE HOFF BROTHERS DID THEIR SHARE Joseph and Ottilia Hoff raised nine children on their farm near Richardton. Six were boys, all of whom had military service which combined to 82 years. The brothers served in three wars (WWII, Korea and Vietnam), two retired as majors and one as lieutenant colonel. Cornell (78), Joseph (83) and Richard (88) are still living.
CAUSE AND EFFECT? Minneapolis is experiencing a violent crime wave -- in mid-April, 74 people had been shot, an 85 percent increase over last year -- 55 of the shootings took place in north Minneapolis. The president of the Police Officers Federation blames the surge on a shrinking police force and greater scrutiny of police. In north Minneapolis, proactive police stops this year are half of those last year.
ST. PAUL will not be left behind. Last Sunday, police logged 30 reports of shots fired -- two men were killed and six injured in a variety of incidents.
RACIAL DISPARITIES Minnesota is troubled by the state of its black population. Blacks represent six percent of the state’s population, but 37 percent of its prison population. American Indians in Minnesota have an equally lopsided prison population -- they are one percent of total residents and seven percent of prisoners. Asians, on the other hand, are five percent of residents, but a much smaller percentage of prisoners. The Star Tribune says there is “no easy answer” as to why these disparities have been so pervasive.
L. A. OR PHILLY? The Wall Street Journal pictured NDSU quarterback Carson Wentz in full stride. The subject: “Small-School Guys Come Up Big in the NFL Draft.” Wentz was again pictured in an article in the Philadelphia Inquirer. The Los Angeles Rams and the Philadelphia Eagles, respectively, have the No. 1 and No. 2 overall picks in next week’s NFL draft -- Wentz is considered a possibility for each along with U. C. Berkeley quarterback Jared Goff.
DAKTOIDS A large influx of workers to the ND oil industry came from mountain states, such as Idaho and Utah. Many are Mormon -- an LDS church in Watford City with a congregation of 450 has only one locally-born member . . . Red Trail Energy, a nine-year-old, 65-million gallon Dickinson ethanol plant, has retired all of its debt, $50 million in just the last five years . . . Hospitals in Bismarck, Carrington, Devils Lake, Dickinson, Garrison, Mandan, Minot, Turtle Lake and Washburn will be united under the name CHI St. Alexius Health.
ROADS COME FIRST ND’s budget woes are not slowing road construction. In fact, the state will spend more this year ($680 million) than it did last year ($615 million). One of the biggest projects is completion of a bridge across the Missouri River at Williston. The bulk of spending will be in the western part of the state.
WYOMING has been hit harder than ND by the drop-off in the coal industry. Two of Wyoming’s leading coal producers have declared bankruptcy (Peabody and Archer) and released many workers. Coal mined in Wyoming largely goes out-of-state where it is being displaced by natural gas. ND’s inexpensive lignite feeds power plants located near the mines. North American is ND’s largest coal producer and has thus far avoided extreme financial problems.
SPRING CLEANING "When the cycle comes back and money comes back, we invest in the future, not play catch-up for what we did in past years." -- Acting UND President Ed Schafer explaining why budget adjustments at UND are so difficult. UND needs to correct historical overspending, as well as incorporate mandated state budget reductions. Schafer wants to clear the decks for his successor Mark Kennedy.
LAST GUY OUT THE DOOR Forum columnist Mike McFeely claims UND is feeling extra pain because “UND's budget was a trainwreck, thanks to now-departed president Robert Kelley and his administration.“ Columnist Mike Jacobs hinted in the same direction when he referred to “a bad bet by the previous administration.”
DON’T TINKER “Total enrollment at the nine small colleges doesn't approach that of either of the research institutions. Yet each of the colleges has its own president and other administrative officers.” -- Mike Jaobs believes ND’s college and university system needs more than budgetary tinkering. He believes the entire system needs reexamination to reduce duplication and promote greater efficiency.
OOPS! It was a fabulous deal -- Twin Cities-based Ultra Green was coming to Devils Lake to take over an empty noodle plant and use it to convert wheat straw into biodegradable food containers. Devils Lake had wheat straw. UG projected employment of 300 to 350 in a few years. Devils Lake couldn’t get enough of the deal and invested $2 million. Employment never went beyond 40 and the plant had only 20 employees when it closed. The city commission is suing.
DISQUIETING Much is made of the potential of the UAS (unmanned aerial systems) industry in ND. The UND Aerospace school and UAS operations at the GFAFB are said to offer promising growth and job opportunities for the state. What is puzzling is how infrequently ND is mentioned outside the state in articles about the UAS industry. A GF Herald article mentions that of the first 3,100 UAS exemptions approved nationally, only 12 were from ND. California, Texas and Florida each averaged about 300 exemptions; Minnesota had 55. ND will need to devote continuing attention and resources to the UAS industry if it hopes to be a leader.
THE JAMESTOWN AREA (Stutsman County and the four adjacent counties of Barnes, Foster, Kidder and LaMoure) had 61,000 residents in 1960, but the population declined and now holds steady at about 42,000 (31% loss). During the same period, the state population climbed from 634,000 to 757,000 (19% gain) with most of the growth taking place the last five years in western oil-producing counties and the four largest cities. The Jamestown area had expected a shot in the arm from a planned multi-billion dollar nitrogen fertilizer plant, but it was canceled.
FARM ROMANCE Columnist Lloyd Omdahl says ND’s long romance with farming has resulted in many special benefits for farms. One example, farm homes and improvements are exempt from property tax. He said those advantages have slowed, but not stopped the decline of the farm population. Omdahl opposes Measure 1 which loosens ND restrictions on corporate farming.
THE HOFF BROTHERS DID THEIR SHARE Joseph and Ottilia Hoff raised nine children on their farm near Richardton. Six were boys, all of whom had military service which combined to 82 years. The brothers served in three wars (WWII, Korea and Vietnam), two retired as majors and one as lieutenant colonel. Cornell (78), Joseph (83) and Richard (88) are still living.
CAUSE AND EFFECT? Minneapolis is experiencing a violent crime wave -- in mid-April, 74 people had been shot, an 85 percent increase over last year -- 55 of the shootings took place in north Minneapolis. The president of the Police Officers Federation blames the surge on a shrinking police force and greater scrutiny of police. In north Minneapolis, proactive police stops this year are half of those last year.
ST. PAUL will not be left behind. Last Sunday, police logged 30 reports of shots fired -- two men were killed and six injured in a variety of incidents.
RACIAL DISPARITIES Minnesota is troubled by the state of its black population. Blacks represent six percent of the state’s population, but 37 percent of its prison population. American Indians in Minnesota have an equally lopsided prison population -- they are one percent of total residents and seven percent of prisoners. Asians, on the other hand, are five percent of residents, but a much smaller percentage of prisoners. The Star Tribune says there is “no easy answer” as to why these disparities have been so pervasive.
L. A. OR PHILLY? The Wall Street Journal pictured NDSU quarterback Carson Wentz in full stride. The subject: “Small-School Guys Come Up Big in the NFL Draft.” Wentz was again pictured in an article in the Philadelphia Inquirer. The Los Angeles Rams and the Philadelphia Eagles, respectively, have the No. 1 and No. 2 overall picks in next week’s NFL draft -- Wentz is considered a possibility for each along with U. C. Berkeley quarterback Jared Goff.
DAKTOIDS A large influx of workers to the ND oil industry came from mountain states, such as Idaho and Utah. Many are Mormon -- an LDS church in Watford City with a congregation of 450 has only one locally-born member . . . Red Trail Energy, a nine-year-old, 65-million gallon Dickinson ethanol plant, has retired all of its debt, $50 million in just the last five years . . . Hospitals in Bismarck, Carrington, Devils Lake, Dickinson, Garrison, Mandan, Minot, Turtle Lake and Washburn will be united under the name CHI St. Alexius Health.
DakotaBeacon