◼ The Headwaters Fund -- a story of desertion and betrayal - Tim Martin/Here's a Thought/Times-Standard
The bankruptcy of PALCO and the sale of Headwaters cost Silva and many other timber workers their jobs. As part of the settlement and purchase agreement the state and federal governments awarded Humboldt County $18 million as compensation. In March of 2007 then-Rep. Virginia Strom-Martin and then-Gov. Gray Davis posed for a photo on the steps of the Humboldt County Courthouse, holding a giant check for $12 million. On the memo line it read: “For jobs and job retraining for displaced workers.”
That check offered ex-PALCO workers and their families a glimmer of hope, at least for a short time. Then it became a nightmare.
At the recommendation of Supervisors Bonnie Neely and John Woolley, the Humboldt County Board of Supervisors adopted a Headwaters Fund Charter to outline its purpose and structure and to justify the emptiness of their impending actions. The money would be used to “support the growth of industry clusters; to increase the number of sustainable jobs that pay at or above the median income; and to enhance the quality of life for residents of Humboldt County through projects that promote healthy communities and protect and enhance the natural environment.”
In other words it was going into a private slush fund. This seemed to be a good all-purpose way for local representatives and moneyed nobility to tell PALCO workers and gyppo loggers, “We're taking your money. Deal with it or don't.”
...Headwaters funds have since been spent on an upgrade at Buckhorn Summit on State Route 299, an expansion of air service from the Arcata-Eureka Airport to Los Angeles, and loans to various local businesses. $750,000 went to a Forestry Products Initiative aimed at convincing California residents to choose redwood over wood-plastic composite lumber when building decks. What about job retraining for displaced PALCO employees? Why, that money was being used to “offset job losses.”
...Humboldt County Economic Development Coordinator Jacqueline Debets also told (Bert Silva of Rio Dell) that Headwaters money had never been reserved for jobs and job retraining. Evidently, there were more important places for it, like the Orick rodeo grounds restroom facility ($50,000), Internet access for the Hoopa Valley Tribe ($35,000), and septic improvement for Willow Creek ($35,000)....
