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Wednesday, July 28, 2021

SCHMID: LOOKING BACK FROM THE LEFT COAST - JULY 26, 2021

OIL GIVETH AND TAKETH  If oil prices hold up, they will have a very favorable effect on the ND two-year 2021-2023 budget.  Oil prices were plugged in the budget at $50 a barrel; right now prices are $65 a barrel.  Every dollar of oil price represents $40 million to the state treasury.  Officials expect some of the gains to be taken back next year when the higher price of oil will be reflected in road contracts.

OIL PRODUCTION IS STALLED  "I'm not sure what it's going to take. Obviously, it's going to take some incentives.”  — Oil and Gas Director Lynn Helms commenting on how the extreme shortage of oil workers in ND is limiting the state’s rebound.  Many of the frack crews that left ND during the pandemic remained in places like Texas where work is abundant, the winters aren’t as severe and work is less seasonal.  Helms said companies will have to offer higher wages and housing incentives to get enough frack crews to get back on track.

PREPOSTEROUS was the word used by Gov. Doug Burgum to describe the federal decision to extend restrictions on nonessential Canadian travelers to August 21.  Vaccinated Americans can begin visiting Canada on August 9.  Burgum said the restrictions will “continue to hold the economy down” and hurt ND’s retail and tourism.  The president of the Grand Forks Chamber hopes the border will open sooner, “We're obviously very anxious to see that happen.”

COAST GUARD?  The BNSF Railway wants to replace the 138-year-old Bismarck-Mandan Rail Bridge.  The decision must be approved by the Coast Guard which decides on projects proposed along that part of the Missouri River.  An environmental impact statement is part of their approval process for the bridge.  The process is complicated by groups who want to retain the old bridge for historical and recreational reasons.  The BNSF would like to demolish the old bridge; however, the Coast Guard must consider alternatives under which a new bridge is built and the old bridge retained.

THE BAKKEN RESTART is a $6 million ND program to plug abandoned oil wells.  These are wells from periods before the state introduced tougher bonding laws to cover costs of closing wells.  The RESTART program is midway, meanwhile, ND congressmen are working on a $4.7 billion national program similar to RESTART.  A major objective of the national program, in addition to capping wells, would be to provide jobs for oilfield workers who lost jobs because of the pandemic.

FORGIVENESS BASED ON RACE  “All this critical race theory and PC stuff going on, it’s just gone too far.” — A Minnesota farmer who is part of a group of farmers in Minnesota and ND who have sued the USDA alleging a relief program for “socially disadvantaged” farmers discriminates on race.  Groups of white farmers in multiple states have filed lawsuits targeting USDA loan assistance based on race.  Judges in earlier cases have issued injunctions temporarily halting payments to the minority farmers.  The lead attorney for the case filed in ND says the court has two options: "They either include everyone in this program or strike down the entire program and say if Congress wants some forgiveness, they’ve got to go back to the drawing board and do it in a race-neutral way.”

HE’S  NOT TALKING  On April 1, 2019, the co-owner of RJR Maintenance and Management Robert Fakler and three of his senior employees were sharing early morning coffee in Mandan when they were attacked and killed.  Chad Isaak, a sullen Washburn chiropractor, is accused of the attack.  No motive has been established for the killings.  The defense asked the court to sequester witnesses because the high-profile trial has been delayed four times.  The witnesses have been instructed to not talk to each other or follow news coverage of the trial.  RJR Maintenance managed and collected rent on the lot where Isaak’s mobile home was located.

AN ECONOMIC LEADER  A GF Herald editorial summarized the recent trauma of Altru Health: “There was news of the health care provider’s on-and-off construction project that had been delayed and scaled back, the firing of two of its top executives, the sudden death of its board chairman, months of stress associated with the pandemic and numerous layoffs that came during the 2020 financial slowdown.”  The Herald quickly pivoted to a more chipper message: “Lately, though, there’s a different vibe coming from Altru – one of hope, optimism and, especially, community inclusion.”  The Herald sees Altru becoming more market oriented and an economic driver for the community.  With 3,600 employees, the Herald indicated Altru can further Grand Forks as a regional destination.

LINE 3 OPPOSITION  Jane Fonda threatened “We are going to Standing Rock this place.”  Winona LaDuke promised similar tactics to halt the Enbridge Line 3 pipeline in Minnesota.  So far, the pipeline is moving steadily toward completion.  Activists and attorneys maintain protests and appeals against the pipeline, but it’s over 70% complete.  Once completed, the pipeline will  move 760,000 barrels of oil per day from Alberta, Canada to an Enbridge terminal in Superior, Wisconsin.

WINONA LADUKE, Honor the Earth Executive Director, was one of a number of women arrested Monday for trespassing on and refusing to leave critical public service facilities in Minnesota.  The women were protesting in front of the pending Line 3 replacement near the Shell River.

TOOK THEIR EYE OFF THE BALL  “Turning so much attention, even justifiably, to the COVID-19 response had consequences.” — An outbreak of 17 cases of HIV (considered the tip of the iceberg) in Duluth is being blamed on the pandemic because it diverted the attention of people who would normally monitor and control HIV.

DAKTOIDS:  All of ND is in at least moderate drought, 91% of the state is in severe, extreme or exceptional drought . . . Only half of ND adults are vaccinated — the average is pulled down by Oil Country counties such as McKenzie and Williams which are only one-third vaccinated.

 

 

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