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May 11, 2009
CA: Obama's Budget includes $105 million to finish two federal prisons including one in Mendota
May7, 2009: The $17 billion worth of cuts proposed Thursday accompanied the administration's overall budget package, which expands on a budget outline released in February. For instance, the overall budget includes $105 million to finish two new federal prisons, including a long-stalled facility in the town of Mendota.
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Obama's budget contains $49.4 million for Mendota federal prison
By Michael Doyle
McClatchy Newspapers
WASHINGTON — A long-delayed federal prison in the economically troubled town of Mendota will be equipped starting next February with the help of $49.4 million in the Obama administration's proposed new budget.
Local residents say it's about time.
"This is something we've been waiting for," Mendota Mayor Robert Silva said in a telephone interview Monday. "This is going to mean a lot for our community."
The funding for Federal Correctional Institution Mendota is part of a $105 million package included within the Bureau of Prisons' proposed fiscal 2010 budget. The $105 million would be split more or less equally between Mendota and another new facility in West Virginia.
Construction is still underway on the 960-acre, 1,152-bed Mendota prison, located several miles west of the Fresno County town. The $49.4 million in so-called activation funding will pay for everything else that's needed.
"(It) would be used to support the hiring of staff, the purchase of furniture and equipment, and obtaining all vehicles necessary to safely patrol and accommodate the needs of a new institution," Bureau of Prisons spokeswoman Felicia Ponce said.
The prison would also open next year, though a formal opening date has not yet been set.
With total completion costs now approximately a quarter of a billion dollars, the Mendota prison is far more expensive than originally estimated. It is also smaller. The Bureau of Prisons dropped earlier plans for an accompanying minimum-security camp and associated prison-industry facility.
Stop-and-start funding and a rise in material costs delayed completion and contributed to a final price tag that's 45 percent above original estimates, the non-partisan Government Accountability Office reported last year. Restoring the minimum-security camp and prison-industry facilities would add about $33 million to the total cost, the Bureau of Prisons estimates.
The medium-security Mendota prison that remains will employ roughly 350 workers. While upward of half of the workers may be brought in from other federal facilities, the prison's job potential has attracted many local allies in a town where the current unemployment rate is a staggering 41 percent.
"It's not a total cure-all for the community, but we will benefit," Silva said.
With pay incentives, designed to help the federal facility compete with higher-paying state prison jobs, guard salaries will start at about $44,000 a year, the Bureau of Prisons estimates.
In addition to direct employment benefits, Silva said area vendors will gain business by selling food and supplies to the prison once it opens. The Mendota facility should have an annual operating budget of between $15 million and $25 million, congressional offices have been told.
On Capitol Hill, the Mendota prison has its champions. The city of Mendota this year has paid $10,000 to the lobbying firm DPV Solutions to help secure final funding, lobbying records show.
Two years ago, lawmakers including Reps. Dennis Cardoza, D-Merced, and Jim Costa, D-Fresno, had to lean on the Bush administration to secure final construction funding. In January, Costa met again with top Bureau of Prisons officials to press for the final activation money.
"This is a step in the right direction," Costa's press secretary, Bret Rumbeck, said of the administration's budget request.
The prison funding still must be approved by Congress, following release of the Obama administration's 2010 budget late last week. Rumbeck said he is not aware of any opposition.
http://www.miamiherald.com/news/politics/AP/story/1043204.html
McClatchy Newspapers 2009
Valley towns struggle to break dependency on ag
Published online on Saturday, May. 09, 2009
By Tim Sheehan / The Fresno Bee
MENDOTA -- Less than two miles from downtown, a section of flat-as-a-pancake farmland is giving way to a concrete monolith that eventually will house about 1,200 federal prison inmates.
That's just about the only tangible effort to create nonagriculture jobs in this farming town of about 10,000 people -- and it's nowhere near enough to help employ the thousands who have lost work amid an unprecedented crisis.
For years, Mendota and other west side farm towns have sought to broaden their job base and wean themselves from the vagaries of irrigated agriculture -- the very basis of their existence. But geographically and economically, the deck has been stacked against them.
The new Federal Correctional Institution-Mendota, scheduled to open sometime in 2010, will be staffed by about 314 employees. How many of those jobs will -- or can -- be filled by west side residents?
And it's an even greater challenge now.
A national recession, three years of drought and severe cuts in farm water deliveries this year to the sprawling Westlands Water District have driven Mendota's unemployment rate to 41%. Never has the city's jobless rate been higher, according to state employment data.
The same thing is happening in Firebaugh, San Joaquin and Huron.
"These are strictly agricultural working communities," said Richard Howitt, a professor of agricultural and resource economics at the University of California at Davis. "The effects ripple all the way through the system."
It's not that there isn't any nonfarm commerce. But the merchants, restaurants, insurance and real estate offices and almost every other business rely on farmers or their workers and families spending money on goods and services, Howitt said. Between direct employment on farms and jobs in agriculture-related businesses such as packinghouses and processing plants, nearly every facet of life in these communities depends on farming.
It doesn't help that the cities are isolated in the vast acreages between California's asphalt arteries Interstate 5 and Highway 99.
Unhitching from the plow
In 1996, the nonprofit I-5 Business Development Corridor was created by the cities of Firebaugh, Mendota, Kerman and San Joaquin, the community of Tranquillity and Fresno County to promote economic development.
"We want to bring in other jobs, some other industries or anything that's not related to agriculture," said Danny Wade, one of the group's board members and general manager of the Tranquillity Irrigation District. "We want to be prepared for times when the agriculture economy turns upside down -- like it is now."
Economic diversification "is something we've been talking about out here for many years," said Bob Tharp, owner of Tharp's Farm Supply in Firebaugh. "Sure, it would be good, but how do you do it without money we don't have?
"Everyone around here has something to do with farming," he added. Though not a farmer himself, Tharp and nearly everyone else in Firebaugh and other west side towns depend on farmers and their workers for their livelihoods.
But what's happening now, as west side farmers fallow acreage and hire fewer workers, is something Mendota businessman Alan Hansen has never seen to such a degree.
"I think the only thing that's reasonably close is back in the '30s, after my grandfather started this business," said Hansen, general manager of Sorensen Machine Works and Auto Parts. "But even during the Depression, farming was doing well."
The 84-year-old business is a machine shop, parts house and hardware store that serves both farmers and farmworkers. Hansen said sales now are down perhaps 30% from last year.
"The only reason we're still here is because everything's bought and paid for, and we run very lean," he said. "But it's bad enough that we've had to let someone go, and everyone's job is in jeopardy."
Aside from the prison, the only other source of potential economic development is Interstate 5, Howitt added. "These communities might want to reproduce Modesto's trucking and warehouse industry," he said. "But all of these towns are quite a distance from I-5, and it's much better to do it right along the highway."
The west-side freeway is the key to efforts by the I-5 Business Development Corridor because trucking and warehousing are exactly the types of businesses the group is after.
But a crippled economy has stymied any would-be opportunities. "Our property out here is cheaper compared to other areas of the state," Tranquillity's Wade said. "But industries aren't doing anything to move or expand right now."
The new Federal Correctional Institution-Mendota, scheduled to open sometime in 2010, will be staffed by about 314 employees. How many of those jobs will -- or can -- be filled by west side residents?
And a lack of funds has forced the organization to lay off its executive director this month, Wade added. Mendota's Silva holds out hope for the eventual construction of State Route 180 as a four-lane, east-west freeway linking I-5 and Highway 99.
"There's federal money and [Fresno County] Measure C money, so it's going to get done someday," Silva said. "Freeway 180 would be a straight shot from Mendota to I-5 and Fresno, and I believe we're going to have warehousing along the way."
There are other signs of progress, as well. A solar-energy company, Cleantech America Inc., is ready to begin construction on a 40-acre, 5-megawatt "solar farm" in Mendota. The company has pledged money to train solar installers and will eventually create 65 installation and maintenance jobs, and as many as 100 manufacturing jobs.
And Mendota has prepared to accommodate hoped-for industrial growth by improving its infrastructure in recent years.
"You can invite people in," Silva said, "but without the infrastructure. you're not going to get anywhere."
http://www.fresnobee.com/local/story/1392168.html
Posted by lois at May 11, 2009 10:39 PM
