To The Editor:
The role of the Vermont state government should be to govern the state of Vermont. State government shouldn't be in the power generation business.
TransCanada is considering the sale of Connecticut River dams, possibly to help finance a merger with Columbia Pipeline Group. In 2005, TransCanada bought these dams from the then bankrupt USGen New England for $505 million, the lone credible offer for the properties. This was considered an exceptionally low price for properties that USGen had paid $1.2 billion for a few years earlier. TransCanada isn't likely to have a similar low-cost sale now.
At a time that Vermont is scrounging up every dollar, raising seemingly every tax and fee just to meet the current $4.4 billion spending budget, it makes no sense to spend time or money evaluating the costly purchase of an aging power generation infrastructure. For example, the Wilder Dam was built in 1950. Its federal operating license expires in 2018, along with those of the Bellows Falls and Vernon dams. Should Vermont purchase this complex, aging infrastructure, the state would become responsible for their maintenance, liable for any casualty or other losses and remove them from the tax rolls.
All in all, this is a very bad idea.
The Vermont state government should work on ways to eliminate the excessive taxation and overregulation now rampant in the state. There will never be a base for sustainable taxation until the state changes its attitude toward business. Vermont has relatively low unemployment but has a dearth of good paying (manufacturing, technical) jobs. The American Legislative Exchange Council rated Vermont's 2014 economic outlook as No. 49 of the 50 states. Forbes rates VT as No. 47 in being friendly to business, No. 45 in business costs and No. 47 in regulatory environment. Companies are leaving Vermont instead of coming. IBM paid another company $1.5 billion to get out from under their Burlington facility. Good paying companies are running for the doors!
If the state government would work on the primary job, state government, finding ways to cut business taxes and regulations, better jobs and more tax revenues would be available. In the meantime, please refrain from buying any dams or any bridges in Brooklyn.
George J. Schaefer
Warren
