Making the Difference
Lane Report article leads to economic expansion in Union County

There is one area in which The Lane Report staff is unabashedly biased. We are very much in favor of healthy economic development in Kentucky. Entrepreneurship and intelligent, ethical business practices almost always combine to create good jobs and a better standard of living.

So it’s kind of pleasing to see positive things happen when an intelligent economic development official reads The Lane Report. For about a decade, a 30,000 square foot “spec” building, constructed by the Union County Economic Development Foundation, had sat empty, awaiting a new business. The building, which is in the industrial park near Sturgis, the county seat, is adjacent to the airport there.

According to Jerry Ruark, the executive director of the Union County Economic Development Foundation, his office learned about the Martin Tire Recovery company’s search for a new location from a Lane Report article. The Marion, Ky.-based firm manufactures tire-derived fuel (TDF) from castoff tires and high sulfur bituminous coal. Business has been good and the company needed to expand quickly.

It turns out that Martin Tire Recovery and Union County’s spec building are a perfect match. The new facility was dedicated on July 25th. The political and economic development leadership in Union County not only had the building, but were able to negotiate the deal quickly with Martin Tire, effectively knocking at least two other communities out of consideration in the process.

And Union County’s success all started because someone read The Lane Report. Between 30 and 40 new jobs have been created as a result. By the time you read this, the plant should be in production. Martin Tire’s specialty, manufacturing TDF, utilizes coal, which means a boost for that Kentucky-based industry as well. So there’s a nice economic benefit created for that part of the state.

It’s an honor to have played a small part in this Western Kentucky success!

Leadership
The highly-publicized news of Paul Chellgren’s resignation from the Ashland Inc.’s CEO spot also brings to mind other recent scandals. Wisely, Ashland Inc. has a policy prohibiting office romances. After it became clear that Chellgren violated that policy, he resigned.

It’s always sad to see one’s personal problems result in excess publicity (of which this article might be a part) but this is one cloud that might have a silver lining. Unlike other leaders in recent memory, Chellgren did not lie about his actions, thus endangering the organization of which he was a part. Neither did the CEO defraud stockholders of millions of dollars, as apparently the top officers of Enron, WorldCom and other companies did. What he did was a simple violation of company policy. He resigned as a result. That’s it.

With Ashland’s stock prices artificially low resulting from investor overreaction to asbestos-related claims against the company, James O’Brien, the new COO, has his work cut out for him. If his past performance as head of the company’s Valvoline division is any indication, he’ll meet the challenge well.

And despite Chellgren’s personal challenges, it is to his credit that he took responsibility for his actions. That is something that too few leaders in both public and private sectors are willing to do.

It’s still a war
Over the last month, I’ve had the privilege to hear a number of important Kentuckians discuss national security. These have included Gov. Paul Patton, Sen. Mitch McConnell, U.S. Rep. Ernie Fletcher and Maj. Gen. Jerry Humble (a Russellville native who happens to be one of the top officers in the Marine Corps).

Of course, we remember the attacks on our country one year ago. But after the victories in Afghanistan over Al Quaeda and Taliban forces, it seems the attention of most of the nation has turned toward other subjects. None of these leaders, from the governor to the general, are fooled into believing that the war on terror is complete. There are still people out there that hate America’s tolerance, prosperity and free market and who want to destroy us.

I was pleased to hear each of these Kentucky leaders declare America’s economic system to be a vital factor in this battle. The Patton administration has, in its economic development efforts, recognized the fact that government doesn’t create jobs – but that it needs to create an environment conducive to business and entrepreneurship. That realistic attitude will help keep our country strong.

At a recent luncheon of the Greater Lexington Chamber of Commerce, Sen. McConnell stressed the importance of private enterprise in the war on terror. In a town meeting held at an American Legion post in Fayette County late last month, Rep. Fletcher warned against letting “terrorists control your business.”

Each of these leaders remind us that there’s still fighting to do. There will be a lot of debate as to just how to accomplish the military side of this war. But these Kentuckians all agree – a strong capitalist system and a growing economy continue to be invaluable weapons.

Claude Hammond is editorial director of The Lane Report.
editorial@lanereport.com

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