By Roger Straw, September 15, 2020
The Valero Benicia PAC reported on September 12 that it has paid $20,000 to WINNING CONNECTIONS of Washington, D.C. for election polling data and live phone calls.
Brace yourself – OIL INDUSTRY MONEY is about to phone you… LIVE from Washington, D.C.!
A friend asked me, “Do you know whether Valero has yet spent its $250,000 and in what way?”
The Valero PAC reported that it spent $8,468 as of June 30 on legal and accounting expenses (Semi_Annual_Form_460_2.pdf.)
AND MUCH MORE IMPORTANTLY…
The Valero PAC reported last Saturday Sept 12 that they have laid out their first BIG campaign expense of $20,000, for “LIVE CALLS & DATA, WINNING CONNECTIONS, 317 Pennsylvania Ave, 2nd Floor, Washington, DC” (Form_496_1.pdf_Redacted.pdf)
NOTE that Valero and friends used this same company to provide data and make offensive and disparaging phone calls against Kari Birdseye in 2018. The company had to defend itself against charges of orchestrating a PUSH POLL. Documentation: see p. 7 of this 2018 Valero PAC campaign report.
Emergency flaring at Valero Benicia Refinery, May 5, 2017. (Chris Riley/Times-Herald)
By Grant Cooke, Benicia resident and President, AgTech Blends, September 14, 2020
Grant Cooke
During the 2016 resistance to Valero’s horrendous attempt to bring crude oil by rail into Benicia, I urged the city council to rethink its dependence on Valero for the bulk of its tax support. I suggested then that we move away from being a “company town” to one that embraced a more knowledge-based economic model with a diversified tax base.
I pointed out that as the world’s industrial nations shift from carbon-driven economies that threatened severe climate disruption and environmental catastrophe to a clean energy driven model, those mega-trend shifts would have significant impact on our little town.
I noted that the era of the Bay Area’s refineries was drawing to a close and that most—including Valero—would be closed before mid-century.
It was not a popular observation, even though at the time there was a rumor that all five Bay Area refineries were for sale, but title couldn’t change hands because the environmental cleanup was prohibitive. Besides, the oil industry’s business model of ever-increasing demand was suspect.
Well, then the nation’s leadership banked a hard right, the Environmental Protection Agency was gutted, the heavy oil interests broke free, and the carbon boys rode tall as the U.S. became a net exporter and one of the world’s major oil producers.
2019 saw the highpoint. Production was up 11 percent to new historic U.S. highs of over 12 million barrels per day. In 2018 Brent Crude’s price was over $70 per barrel. It slipped to $65 per barrel in 2019, but production was at a fever pitch.
And then it all collapsed. The Saudis and the Russians did a circular firing squad, OPEC stumbled, supply burgeoned, the novel coronavirus hit, and the U.S. economy tanked. At this spring’s lows, Brent Crude dropped to about $34 per barrel.
Now that the Saudis and Russians have given up their battle, Brent has budged a bit to $44 per barrel.
With the economic collapse so too has the demand for gasoline. Storage is full, demand is way down, supply is way up.
Valero as a refiner makes money when oil prices slide. As long as supply increases and oil prices drop but demand for gas is constant, money is made, profits are up, bonuses and dividends are paid.
Back in June 2018, Valero was in its glory, and the stock price was a couple of cents under $127 per share. The fall was ugly. By April 2020, it broke down to around $31. It has since rebounded a bit—what the financial folks colorfully describe as a Dead Cat bounce—to the mid-$50s. Most likely, it will turn down again and the dividend will be reduced.
What’s equally as devastating to Valero and the oil industry, is that Covid-19 and the subsequent economic collapse has pushed clean energy forward into the nation’s recovery plans. A huge national infrastructure plan is on the horizon, much of it encompassing renewable energy.
This is the TESLA tsunami with its market cap of $144 billion, and the growing consumer recognition that e-vehicles are better, faster, and cleaner than gas-powered cars. E-vehicles and hybrids are the growing segment of the auto market.
About 13 percent of California’s vehicles are e-vehicles or hybrids, and the percentage is growing with the state’s goal of 5 million zero emission vehicles on the road by 2030.
Pickups and commercial vehicles like trucks and forklifts are turning to electric motors for their increased power and torque. Even in the mining industry, electric, autonomous vehicles are being phased in to reduce costs and improve efficiency.
Eventually, there won’t be any more diesel trucks idling in Oakland’s port, and the incidence of asthma will drop significantly in nearby neighborhoods.
The oil industry needs to look no further for discouraging news than the recent announcement by General Motors, the largest U.S. automaker, that it is converting most of its fleet to electric power. Led by Cadillac, GM intends to have 20 electric nameplates by 2023, including an electric Hummer and a rumored Corvette that will hit 200 mph to compete with the 2021 Ford Mustang Mach-E.
Further, Southern California’s Hyperion just introduced the XP-1, a mind-blowing mega car powered by hydrogen with a top speed over 220 mph and a range of 1,000 miles on a tank of hydrogen. Europe already has hydrogen-powered buses, and hydrogen fuel cell technology will only hasten the development of carbon-free vehicles.
Finally, and what really should worry Valero and Benicia, is that Phillips 66 just announced that they are converting the Rodeo facility from refining crude oil to a renewable fuels plant using cooking oil and food wastes to produce motor fuels. The conversion should be finished in 2024.
The oil industry is not known for its vision and if Phillips sees that the carbon era is over, most likely it is.
As the world transitions away from carbon energy, the remaining crude-based Bay Area refineries will suffer, and some will lock their gates. The money isn’t there for the environmental cleanup, so the cities—Benicia, Martinez, Pinole, Richmond—will be left without tax revenue and worse, holding the bag for the hazardous waste.
The November election is critical for our nation, and equally important for our town. Some city council candidates are being funded by the oil industry, in a last-ditch effort to cement political power and influence, preserve profits, and probably re-introduce a Crude-by-Rail agenda.
The oil industry and union Political Action Committee, or PAC, has in fact set aside $250,000 this year to steer the 2020 election to their chosen candidates. It would be tragic for Benicia’s if they succeed.
The future for Benicia is not in clinging to the century-long carbon industry that is in decline. Benicia’s future is, or at least should be, in the knowledge-based economy. Science, technology and innovation are the drivers that create wealth and municipal security in the Bay Area. That is where the future is, not in the gas pumps.
Benicia is facing a severe challenge. The carbon-based tax structure that supported its amiable lifestyle with a full range of municipal services is ending.
Allowing a last gasp effort by the oil industry to control the city’s future is a terrible idea. That game is, and should be, over.
I’m voting for and supporting Steve Young for mayor. (And no, Steve has not approved this message.)
Grant Cooke is a Benicia resident and co-author of two books:
By Woodrow Clark II and Grant Cooke, published by Elsevier and available at Amazon:
FAIRFIELD, Calif. – A Fairfield nursing home is dealing with a Covid-19 outbreak, amid criticism from some staff and families.
Parkrose Gardens is a 102-bed facility that specializes in memory care: dementia and Alzheimer’s disease.
“I would like to figure out a way to talk to my mom,” said the daughter of one resident, who is among 31 to test positive for coronavirus,” she said.
The daughter preferred to stay anonymous, to protect her mother, 69, diagnosed with dementia while in her mid-50’s.
“I’ve been told she is okay and doesn’t show symptoms, but I want to see that for myself, I want to talk to her, it worries me,” she said.
She is also concerned that many employees she has come to know over two years are gone.
“I know they’re completely understaffed right now, a lot of people left, probably scared, I wouldn’t want to work somewhere that everyone has COVID.
Outside the facility Monday, employees declined to describe conditions inside.
“I don’t want to lose my job,” shrugged one.
Off-camera, one health care worker at Parkrose told KTVU that proper protocols were not followed, leading to the outbreak.
“I haven’t hugged my dad since March,” admitted one woman, arriving to retrieve her elder father’s belongings after his death at Parkrose.
He had been in 2-week quarantine after testing positive, but she believes his death was from other causes.
“As far as I know my dad did not die of the virus, he died because he was 94 years old with dementia and was ready to go, and died in his sleep, peacefully.”
Parkrose Gardens is owned by Meridian Senior Living, which owns 11 congregate living facilities in California and dozens more across the country.
In a statement, it responded, in part: “We are continuing to monitor and adjust out precautions…we will continue to implement the stringent infection control policies and practices.”
But communication remains a sore spot.
“I’m used to talking to my mom every other day,” said the daughter, who feels certain her mother is distressed and confused at her isolation and change in routine.
“She doesn’t understand what’s going on, she doesn’t even understand there’s a coronavirus going on.”
Her mom has an iPad but the last time they were able to speak on Facetime was prior to her positive test.
“They say not they can’t give her the iPad because of risking contamination, or the Wi-Fi doesn’t reach to her room, so there are all these obstacles.”
She hopes for direct contact and more details about the scope of the outbreak.
“I’m not blaming anyone, I just want some answers.”
CITY OF BENICIA UPDATE ON COVID-19
FOR SEPTEMBER 15, 2020
Benicia Firefighter Tests Positive for COVID-19
Benicia, CA (September 15, 2020) — On September 15, 2020, a Benicia Fire Department firefighter informed the City of Benicia that they received a positive test result for COVID-19. The source of the infection has not yet been determined, but the Benicia Fire Department is working with the Solano County Public Health Department and is following and exceeding their guidance.
Fire Chief Josh Chadwick has been in close contact with Solano County Public Health and has determined that, based on the firefighter’s last shift on duty and the date of onset of symptoms, there was no direct exposure to the community during the firefighter’s infectious period.
“We are fortunate that during the period of infection, the firefighter did not have direct contact with members of the public in the City of Benicia. The Benicia Fire Department is committed to preventing the spread of COVID-19 and ensuring the safety of the residents of Benicia,” said Benicia Fire Chief Josh Chadwick.
The Benicia Fire Department has standing operating guidelines in place and abides by county protocols to limit or prevent the infection between patients and fire personnel. Fire personnel follow these guidelines and protocols during treatment and interaction with residents. The affected Firefighter is in self-quarantine at home and has not required hospitalization.
All Benicia fire stations remain fully staffed and the City does not anticipate any disruption to service delivery.
Due to health privacy rights, the City is prohibited from providing any information about the identity of the affected firefighter. This is the third member of the Fire Department and the sixth City employee to test positive for COVID-19. We are facilitating testing for all employees who may have been exposed.
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