In a baffling move, the Idaho Senate approved two bills to entice a French-controlled firm to Idaho so it can import processed uranium to convert it into nuclear fuel for export out of state. Now the bills are headed to the governor’s desk for approval. This signature will determine whether the taxpayers foot the bill on a huge tax break to a firm that is supported by the French government. I hope Gov Otter brings some sense to this effort to support a company that has no stake in the well-being of Idahoans especially at a time when tax receipts for the state are headed steeply downwards. If signed by the governor, Idaho would be in play among the four or five states trying to lure the nuclear services giant Areva and its toxic operations to their states.

The following is an excerpt from the Idaho Energy Update that I learned about this from. Fyi, I have encouraged the author of that regular update to post this information on SunValleyOnline to alert voters to these issues.

H562 would cap Areva’s property taxes in Bonneville County to the first $400 million the company invests in its uranium enrichment centrifuge project so long as it spends at least $1 billion on the project. H561 would give Areva a sales tax exemption for production equipment. Both are losers for taxpayers, let alone for the environment and the health and safety of Idahoans. Legislators supporting the bills said they’re important as economic development tools. Critics questioned the wisdom of showering a foreign-subsidized company with even more Idaho giveaways, particularly given the dearth of information about what the plant is designed to do. The Snake River Alliance has a bulletin on its site at www.snakeriveralliance.org.

While H561 flew though the Senate committee in a 7-2 vote. The more contentious H562 passed in a close 5-4 vote, with Assistant Majority Leader Joe Stegner of Lewiston saying the tax break for Areva was inequitable given that it will be TWICE the exemption granted to Boise-based Micron. In 2005, legislators capped Micron’s property tax valuation for its semiconductor plant at $800 million. H562 would let Areva – a complete unknown to Idaho and a company already heavily subsidized by the French government – grab a property tax exemption twice that given to Micron.

“If I was Micron and saw this, I’d be back here next year to get my taxes reduced,” said Boise Sen. David Langhorst, echoing similar warnings made by bill opponents in the House. Added Sen. Stegner: “Idaho doesn’t need to race to the bottom to attract any and all business to compete with some unknown. This proposal is too good a deal. We’re reaching too far.”

I hope Gov Otter won’t join the crowd of “Socialists” declaring more nuclear welfare against Americans.

 

This entry was posted on Monday, March 24th, 2008 at 6:22 am by Dave Chase and is filed under Uncategorized. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.