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Pipelines boost taxes, economy
Keystone construction set to begin this summer
by Joe Blumberg
Wednesday, June 17, 2009

The total tax value of two new gas and oil pipelines will come close to the values of the local electric and phone utilities in Buchanan County.

One pipeline alone contributed about $425,000 to the St. Joseph School District last year, and a total of $732,983 to schools, fire districts and governments throughout the county.

That’s the ongoing counterpart to the one-time boost in hotel rooms, meals, gas and supplies that businesses welcome with open arms.

Construction should begin here this summer for TransCanada’s Keystone Oil Pipeline. It will follow the same route as the Rockies Express West natural gas pipeline, which was constructed in 2007.

Woody’s Grocery felt the boost two years ago, as the Rockies gas line extended near the store in Agency, Mo. The crews quickly learned that the handmade cheesy Woody Burgers can take a while to cook.

“It was definitely a steady increase in business, when you go from two people to staff your lunch to four,” said Tawnya Chambers, an owner of the store. “They were even starting to call in their lunch at 9 a.m.”

Woody’s will see an even bigger boost this time around. TransCanada plans to open its local construction “staging” area across from the store on State Route FF.

The pipelines are taxed as utilities. The state of Missouri calculates the total mileage and value, then assigns tax values in each county based on the mileage through each county, said Buchanan County Clerk Pat Conway.

The total taxable property value for Rockies Express was $10.8 million in 2008. For comparison, Aquila’s utility here was valued at $12 million.

The pipeline here takes an west-east route from near Contrary Creek at the Missouri River, following south of Agency to the east county line near U.S. Highway 169 South.

This year’s Keystone pipeline begins in Hardisty, Alberta, Canada, and comes south to Steele City, Neb. There it splits in two. Buchanan County is along the east leg, which carries the crude to a Conoco-Phillips refinery and a storage facility in Illinois.

The Rockies Express carries natural gas from Weld County, Colo., to Monroe County, Ohio.

Joe Blumberg can be reached at joeblumberg@npgco.com.

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insideout June 17, 2009 at 2:25 a.m. (Suggest removal)

I guess that explains at least 425,000 dollars that the SJSD had not planned to receive that ended up in the reserve. This is a perfect example of why you cannot argue that the SJSD reserve was completely compromised of money earned from the prior levy. Unfortunately, there is not a formula the district can use to determine what new streams or sources of money might be available over a four year period. This why it is so important that they have the levy to depend on...at least it can be estimated fairly closely year in and year out.

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JAFO June 17, 2009 at 2:51 a.m. (Suggest removal)

well, if they hadn't lied about it being a forever tax, it may have passed. now don't you sit there and tell me that it wasn't. it was. it said so right in the wording of the ballot question. people don't like being lied to, and that is what was happening. dr smith wanted progress without accountability, and she lost. next time, speak the truth, and see what happens.

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insideout June 17, 2009 at 11:04 a.m. (Suggest removal)

JAFO - If we're going to speak truths then it should be the entire truth. I believe that Dr. Smith did suggest to the school board that a sunset remain on the levy...it is the school board that made the final decisions as to what would appear on the ballot. Therefore, it is the school board who you should hold accountability. If you do not like their decision to remove the sunset clause, then vote against them in the next school board election. They were very arrogant by not listening to their own superintendent or the outcries from the community and that placed them in the position they are in today

Second off, I don't believe the SJSD ever hid from the fact that this would be a permanent tax so where was the lie?

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bdog June 17, 2009 at 5:17 p.m. (Suggest removal)

it does not matter that the school system will get around
$850,000.00 windfall a year from the 2 pipelines, it will be the same as the money they get from the boats, the more they get the more they want to raise taxes, they are never satisfied

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insideout June 17, 2009 at 10:16 p.m. (Suggest removal)

Shall I remind you that there were two separate issues on the ballot of which the most important, the levy, was not asking for a single cent more?

Then there's the fantasy of the money coming from the boats. This one you can thank your leaders at the state level for...yes the schools receive the money from the boats. Unfortunately, there's not much of formula to it. See, the state simply replaced the old funds set aside for the schools with money from the boats...rather than adding the revenue from the boats to the old fund. "The fund" is used to help every district in the state. Now, here's the real gotcha because St. Joe does not meet the levy minimum set by the state, the state no longer provides matching funds. Therefore, St. Joe is getting even less of the money from the fund (the boats) than other communities and St. Joe has a boat!

Also, I would be interested to know where you got 850k per year. First off, none of us know how much this second pipeline is going to contribute...it could be more or less than the first. Secondly, I believe this was a onetime boost of this amount and therefore just because they received 425k last year from the first pipe does not mean that they will receive another 425k this year from the same pipe.

Just because we think things are one way or should be one way doesn’t mean they are. When you cast aside the grapevine and preconceived notions and do the research, then you find the truth in the matter.

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peoplerule June 17, 2009 at 11:05 p.m. (Suggest removal)

With the $5,000,000 from the stimulus and the $450,000 from the first pipeline and the possible $400,000 from the second pipeline, the school district should be good to go for the coming year despite the loss of the levy. Only problem is several school personnel think the stimulus money is for special pet projects instead of for saving jobs. They don't seem to know how to spend it to benefit students.
They can hire teachers for 1 year if they are probationary teachers and they can hire retired teachers part-time. They do not need to crowd any classroom.

What did they do first? They announced hiring administrative trainees and part-time secretaries.

If Melody Smith does not run the school board, let's say she has undue influence. The board president, two new board members and former principal do pretty much whatever she wants and the other three vote yes too. (response to a blog last week)

The board really needs some citizens to show up to the committee meetings this Friday, June 18 at 11:30 AM in district offices (2nd floor of the downtown public library) and also at the budget meeting at 5:30 p.m. Monday June 22 [you'll have to ask for a copy of the budget proposal on Friday or during the day Monday and be prepared to comment at the beginning of the meeting --you must fill out a speakers form by 5:29 and give it to the board secretary before the meeting starts.) They might open the floor for questions and comments but remember the school board does not function like the city council. Most of the discussion will happen on Friday anyway. Few people usually show up to the budget meeting, but that is where they decide on spending $111,000,000 or more of your money.

I started writing about stimulus money--it will save more jobs if it pays for saving the jobs of teachers and teacher aids than administrators and pet programs.

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insideout June 18, 2009 at 3:06 a.m. (Suggest removal)

Peoplerule - I agree with your thoughts on the usage of the stimulus money. However, it's a leap to say the extent of the stimulus money was known at the time the levy/bond was placed on the ballot. However, like much of the stimulus money to other sectors of society (and much of the money the district receives through state funds) it is often marked for specific use by the provider. I'm not knowledgeable on the stimulus money to the SJSD…do you know if was marked specifically for employees, building improvements, or anything else related to the district?

As for Melody Smith, I think it's safe to assume that given her position she does have undue influence on the board. However, influence is greatly different than control. If she had control, then the board would have followed her suggestions about placing the levy/bond on the ballot. From the sounds of things, if the board would have listened, then the SJSD would still have a levy. In my opinion, at the time, the bond measure was basically a fishing expedition. The SJSD was hopeful for a catch but it was the end of world if they didn't receive it. The levy, sunset clause or not, was of much greater importance.

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peoplerule June 18, 2009 at 8:14 p.m. (Suggest removal)

Whoops! The committee meetings were today, the 18th, Thursday. Hope someone made it. The district is on summer 4-day schedule.
The board does meet to discuss the budget on Monday June 22nd. The proposed budget and other matters are on the school district web site www.sjsd.k12.mo.us under School board Board DOCS.

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Jmomma June 22, 2009 at 1:31 p.m. (Suggest removal)

Funny how a comment of put here never nade it for others to read, Hum was it because I nwork for the SJSD and had info they didn't want anyone to know about??

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