^ Steel Communities Coalition

Transcription

1 ^ Steel Communities Coalition \ 918 Youngstown Rd., Suite B \ Niles, Ohio / Ph. (216) Minutes of the Founding Meeting of The Steel Communities Coalition An Ad Hoc Committee of local public officials from steel communities met in the Washington, D.C. office of the U.S. Conference of Mayors, National League of Cities, at 11:00 A.M., September 8, The Committee convened at the call of Mayor Jack C. Hunter, City of Youngstown; County Executive Edward V. Regan, Erie County, New York; Commissioners James Flaherty and Thomas Foerster, Allegheny County, Pennsylvania; Commissioner Thomas Barrett, Mahoning County, Ohio; and William A. Sullivan, President of the Western Reserve Economic Development Agency, Niles, Ohio. Present in addition to those calling the meeting were representatives of the cities of Portsmouth, Ohio; Cleveland, Ohio; Steubenville, Ohio; Conshohocken, Pennsylvania; Middlctcwn, Ohio; Weirtcn, West Virginia; East Chicago, Indiana; Buffalo, New York; Gary, Indiana; Johnstown, Pennsylvania; Lorain, Ohio; Granite City, Illinois; Aliquippa, Pennsylvania; Steelton, Pennsylvania; Martins Ferry, Ohio; Bethlehem, Pennsylvania; Ashland, Kentucky; Donora, Pennsylvania; Monesson, Pennsylvania; and Farrell, Pennsylvania. The cities of Canton and Massillon, Ohio, were unable to attend because of fog at the Akron-Canton Airport. The Mayor of Detroit was unable to attend because of a prior committment as host of the Governors' Conference. William A. Sullivan, President of the Western Reserve Economic Development Agency, Niles, Ohio, called the meeting to order as temporary chairman. Mr. Sullivan presented four goals to be pursued at this meeting: 1. To identify problems common to eastern and midwestern steel cities; 2. To agree on the broad outlines of an approach to those common problems; 3. To organize to pursue that common approach; 4. To formulate a limited number of immediate short term goals. Upon acceptance of the goals, Erie County Executive Edward V. Regan of New York led the discussion of common problems. Mayor Gordon Mowrer of Bethlehem, Mayor Francis Petrillo of Farrell, Pensylvania, Larry Quinn of

2 -2- Erie County, New York, Mayor Pastrick of East Chicago, Indiana, Mayor Delsandro of Donora, Pennsylvania, and Mayor William Crabbe of Steubenville, Ohio, contributed to the discussion as did two observers: New York Lieutenant Governor Mary Anne Krupsak and Congressman Joseph Gaydos, who were invited to comment by discussion leader Regan. The following general consensus was reached: "The decline of the American steel industry presents a common threat to the economic base of steel cities and counties in the northeast and midwest and to the jobs of their people. "Contributing to this common threat are: 1. The inequitable impact upon cities with older steel facilities of federal regulations relating to the steel industry. 2. The loss of the jobs of workers in cities with older steel facilities to workers in other nations as a result of increased imports. 3. The concentration of older technologically inefficient steel mills in the northeast and midwest. A. The loss of jobs in the steel cities as a result of unrealistic pricing which undercuts the economic stability of the industry and forces the closing of so-called marginal steel facilities. 5. The increasing technological obsolescence of steel mills in the northeast and midwest as a result of the severely limited capital available to modernize and/or rebuild such facilities. 6. The clear and present danger of the financial ruin of individuals and the bankruptcy of communities as a result of the bankruptcy and closing of additional steel companies 1. 1 Mayor Jack C. Hunter of Youngstown, Ohio, then led a discussion of approaches to the common problems. After presentation of a proposed approach by Mayor Hunter, Allegheny County Commissioner Robert Peirce; Allegheny County Commissioner Thomas Foerster; Larry Quinn of Buffalo and United Steelworkers representative Frank Leseganich suggested additions and refinements which resulted in the following consensus of the approach to be pursued:

3 -3- "1. The rebuilding of the American steel industry should be a clear national goal both to preserve the economies of America's steel cities and to prevent a future national dependence upon foreign steel. 2. The rebuilding of the American steel industry will require a comprehensive effort with both short and long term programs and objectives. 3. The short term objective must be an immediate end to steel company financial failures, facility closings and capacity reductions. 4. The long term objective must be the rebuilding of the industry to a point where it is at least as modern, efficient and competitive as the steel industries of Japan and the European common market. 5. The program should include: a. immediate import relief b. immediate pricing relief c. immediate regulatory relief on a case-by-case basis where such relief can be given without endangering the public health d. immediate emergency financial relief to prevent imminent corporate failures e. an early program to infuse new and additional capital into the industry f. regulatory, tax and pricing reform sufficient to permit the orderly formation of capital within the industry in the future. 6. The program should: a. insure that reinvestment occurs at or near existing steel facilities to meet the goal of saving the nation's steel cities. b. insure adequate safeguards against diversion of capital and windfall profits. c. recognize that import and environmental relief are stop gap 'first aid 1 measures which, if relied upon exclusively, could do irreparable damage to the nation's economy and the public health. d. establish as the final goal, a 'clean 1 steel industry competing effectively in an increasingly barrier-free international economy."

4 -4- Commissioner Thomas Foerster then led a discussion of how the group should organize to implement the approach which had been agreed to: "A consensus was quickly reached: The steel cities and counties of the northeast and midwest, having defined their common problems and established a common approach to the solution of those proposed problems, shall organize for the common pursuit of those solutions and shall seek the cooperation of additional steel cities and counties, the steel states, the Congress and the Administration in that effort." Commissioner Foerster then proceeded to a consideration of specific organizational matters: 1. Upon a proper second and the unanimous affirmative vote of the body, the motion of Mr. Farag of Gary, Indiana, was adopted that the organization be called "The Steel Communities Coalition" and that those convening the meeting serve as a Steering Committee to act for the group until such time as it becomes fully organized. 2. Upon the motion of Mayor Hunter of Youngstown, Ohio, the body resolved that a full report of the day's proceedings be forwarded to concerned parties as determined by the Steering Committee. 3. Mr. Flaherty moved and the body resolved that the Steering Committee exercise the functions which normally rest with an Executive Committee including the appointment of such committees and subcommittees as may, from time to time, be necessary or appropriate. Commissioner Barrett and Mayor Hunter offered the services of Mr. Sullivan and his staff to act as interim staff for the organization and the offer was accepted. The meeting was then turned over to Mahoning County Commissioner Thomas Barrett for purposes of discussing immediate objectives. The following immediate objectives were adopted: 1. (On a motion of Commissioner Flaherty of Allegheny County) That testimony on behalf of the coalition be presented to the House Public Works Committee hearings on amendments to the Water Pollution Control Act of 1972.

5 -5-2. (On a motion of Mr. Kelly of Conshohocken) That the imminent closing of Alien Wood Steel Company be made a priority concern of the coalition. 3. (On a motion of Mayor Dalfonso of Monesson) That the environmental problems of Wheeling-Pittsburgh Steel be made a specific concern of the coalition. 4. (On a motion of Mr. Sullivan) That from this day forth, the steel-related problem of any member of the coalition shall be considered to be the problem of all members of the coalition. 5. (On a motion of Mayor Jones of Portsmouth) That coalition support for continuation of speciality steel import protection be conveyed to the International Trade Commission. 6. (On a motion of Mayor Mowrer of Bethlehem) That a meeting be requested with EPA Administrator Costel. 7. (On a motion of Mayor Mowrer of Bethlehem) That a list of members of Congress from steel communities be assembled and meetings with them be arranged. The meeting was then turned over to Commissioner Flaherty for summation, Commissioner Flaherty emphasized the common interest of the participants and called for immediate action and a tenacious dedication to the task of saving the nation's steel communities. Mr. Sullivan called upon Father Edward Stanton of the Diocese of Youngstown to close the meeting with a prayer and the meeting adjourned at 2:35 p.m.