Demand for cement drops, but production shift helps Durkee plant

Ash Grove Cement’s plant in Durkee is one of Baker County’s larger private employers. (Baker City Herald/Ed Merriman)

Terry Kerby, manager of Ash Grove’s Durkee plant about 25 miles southeast of Baker City, said production of clinker material used to make cement is being shifted from the Inkom, Idaho, plant to Durkee.

That shift in production will help keep the Durkee plant running closer to its optimum capacity and keep the plant’s 116 workers on the payroll earning base pay of $19 to $26 an hour, or $32 to $40 per hour with benefits, Kerby said.

Most of those workers live in Baker County, with a smaller number commuting from neighboring Malheur County.

Media reports citing recession have risen to unprecedented volume during past three years

Baker County business owners criticized the national media last week for a barrage of reports which some contend is contributing to a decline in consumer and business confidence, and deepening the recession.

 Numbers compiled from a Google Internet search for the words “economic recession” lend credence to the concerns raised by Baker City business owners Marilyn Shollenberger of Marilyn’s Music; Denzil Robbins of Robbins Farm Equipment; Ted Hausotter of Natural Structures; Ryan Chaves of Kicks Sports Wear; and others, including Jake Jacobs, business retention specialist with the Baker City and County economic development staff.

So far, business owners say, Baker County has avoided the worst effects of the national economic downturn

Ryan Chaves, owner of Kicks Sports Wear in Baker City, holds a Christmas ornament that shows the building where his business is located. Chaves contends businesses can thrive even during recessions if they stock merchandise that local customers want. (Baker City Herald/Ed Merriman)

“Baker City is really fortunate in that we haven’t been hit near as hard as bigger communities because we have that home town feeling. We try to help each other,” said Ken Gross, manager of the Home Furnishings Liquidator store in Baker City.

While sales are down a little this fall, Gross said business at the furniture store always drops off this time of year and then picks up again between Thanksgiving and Christmas.

“A lot of people in this community own their own businesses or work for locally owned businesses,” Gross said.

A $2 million grant could create new markets for Baker County private forest owners

A $2 million grant is breathing life into planning for a new sustainable wood products industry in Baker County capable of providing income for woodland owners and low-cost power, heat, wood pellets and firewood to the community.

During a meeting of Baker County Small Woodlands Association Thursday, Nils Christoffersen, executive director of Wallowa Resources, presented a preliminary report and recommendations for using the anticipated $2 million in grant money to help fund development of a wood-fired gasification plant, a wood pellet mill and firewood production.

The preliminary cost estimate for all three options totals about $9 million.

Payments to woodland owners who supply the material are projected at about $1 million per year, based on a price of $25 per green ton for wood delivered to a site in Baker City, plus a $10 tax credit per green ton for the renewable energy portion of the projects.

Steve Brocato will go over the city’s books with the 14-member budget board on Thursday evening

The city of Salem’s general fund is more than 10 times the size of Baker City’s.

Yet at $1 million apiece, each city has about the same size ending-fund balance — the city’s savings account.

That’s an example of the message — conservative budgeting leads to good results — that Baker City Manager Steve Brocato wants the Budget Board to hear Thursday when the board, which is composed of the seven city councilors and seven appointed members, meets for its fall budget update.

The public meeting begins at 6 p.m. in council chambers at Baker City Hall, 1655 First St.

Despite dire economic forecasts in the national and global financial sectors, job creation is up and unemployment is down in Baker County, making the 2008 recession seem tame, so far, compared to some past recessions, according to the November Eastern Oregon Labor Trends report.

While job losses typically pile up during a recession, so far in 2008 the total number of people employed in nonfarm jobs is up slightly in Baker County compared to 2007, which was a record year for job expansion in the county, according to Jason Yohannan, regional economist at the Oregon Employment Division’s La Grande office, and author of Eastern Oregon Labor Trends report.

Hospital turned a profit for the first time in awhile

St. Elizabeth Health Services turned a profit during the previous fiscal year, one of the few times the hospital’s been in the black the past seven years.

The hospital’s annual report for the fiscal year ending June 30 shows net income of $126,350 on revenues of $26,538,017 and expenses totaling $26,411,667.

St. Elizabeth’s governing board president Bob Moon said there are at least two reasons for the hospital’s improved financial performance.

The sign should be in place near Exit 302 within a week to 10 days

A new billboard encourages travelers to get off the freeway and visit Baker City and its historic downtown, which the sign proclaims is “Far From Ordinary, Close To Home.”

“What all the excitement is about is the logo chosen by the Baker County Development Corporation featuring the branding we have used,” said Ann Mehaffy, executive director of Historic Baker City Inc., which has led downtown historic preservation efforts since 1981.

“We are trying to get people off the freeway. If we get them off the freeway to visit Historic Baker City, it will get them to explore the rest of Baker County,” Mehaffy said.

Susan Daggett, a Wallowa County native, will head reconfigured district

Wallowa County native Susan Daggett has been named as the Northeastern Oregon District Manager for the Oregon Trail Chapter of the American Red Cross.

The newly configured Northeastern Oregon District includes Baker, Union, Wallowa, Umatilla and Morrow counties.  According to a prepared release, the new district will allow the Red Cross to strengthen services, maximize community resources and increase administrative efficiency across the region.  

As district manager, Daggett will be responsible for raising funds for programs and services, pursuing new health and safety training opportunities, developing and implementing emergency preparedness plans, building partnerships with community leaders and organizations, and recruiting and retaining volunteers. 

Daggett will oversee staff in the district’s Pendleton, La Grande and Baker City offices, and ensure that counties without physical offices are well-served and represented.

“As a native Northeastern Oregonian, I appreciate the caring and compassionate attitude of the people of our region, and I am excited to combine these qualities with the Red Cross’ excellence in volunteerism, disaster response and health and safety education,” Daggett said. “Maintaining the vitality of rural Oregon’s communities is extremely important to me, as this is home for my family, friends and neighbors.”

Beef Northwest employees to vote Nov. 6, 7, 8

Baker County rancher Dean Defrees, left, along with Beef Northwest employees, Barry Kane, center, and Mike Phelps, met Tuesday with workers at Beef Northwest’s feedlot in Nyssa. (Baker City Herald/Ed Merriman)

“I think everybody will be happy to vote and get it over with,” said Javier Conchas, a Beef Northwest feedlot worker who attended the meeting where ranchers Dean Defrees of Baker City and Dan Howard of Idaho handed out packets containing election notices, sample ballots and information about why Country Natural Beef got involved in organizing secret ballot elections for feedlot workers to vote on whether or not they want to be represented by United Farm Workers.

Elections are scheduled at Beef Northwest feedlots in Nyssa, Boardman and in Quincy, Wash.