November 30, 2010 

Contact: Anne Woiwode, 517-484-2372 

Statement on Governor Elect Rick Snyder’s
Quality of Life cluster announcement

From the Sierra Club Michigan Chapter Director Anne Woiwode

Protecting the health, water and air quality, natural resources and food systems for the state ofMichigan are among the most important responsibilities of the Governor of Michigan.  While the directors of the agencies overseeing these key issues are important, the most important job the Governor has is to clearly articulate the values that he/she expects these directors to embody in their day to day decision making.

The announcement by Governor-elect Rick Snyder of plans to create a Quality of Life cluster of agencies (including the re-split Department of Natural Resources and Environment and Department of Agriculture) and appointment of Dan Wyant as both the executive of this cluster and Director of the re-created Department of Environmental Quality is a surprising one. These agencies touch every person in Michigan virtually everyday, and are critical to our well-being and economic stability as a state. Long term, connecting these agencies with the goal of enhancing protection of health and the environment could be a positive step. However, the re-splitting of the DNRE just a year into its reorganization, the loss of large numbers of staff through early retirement and the  substantial and growing funding shortfalls that threaten their legally mandated requirements to implement federal and state laws, will likely add to the huge hurdles faced by the agencies in the next year or more.

The choices of Rodney Stokes as the Director of the re-created Department of Natural Resources and of Keith Creagh as the Director of the expanded Department of Agriculture puts individuals with long histories and experience in their respective agencies at the helm. Their respective experience will help direct these agencies at a time when overwhelming uncertainty will be a way of life.

The appointment of Dan Wyant as Director of the recreated Department of Environmental Quality and executive of the Quality of Life cluster raises a number of critical questions that Governor-elect Snyder must address.  Mr. Wyant was a major player in the strategy executed by the administration of Governor John Engler to remove all environmental, land use and public health policy protections from concentrated animal feeding operations (CAFOs) during the 1990’s.  In the 1980’s Michigan was respected as the state with the best tools for protecting the health of rural residents, and preventing contamination of fisheries, drinking water and recreational waters, but by 1999 the state was notorious for having the worst program in the nation regarding CAFO pollution.

In 2002, the US Environmental Protection Agency under George W. Bush came within a day of beginning proceedings to remove Michigan’s authority over the Clean Water Act because of the decisions made by Mr. Wyant and his colleagues in the Engler Administration. Specifically, the Engler Administration’s decision to transfer authority over water quality from regulation under the DEQ to voluntary compliance under the Department of Agriculture and to resist requiring water quality permits for even badly polluting CAFOs led to a citizen petition to USEPA in 1999 asking for the federal agency to revoke Michigan’s delegation under the Clean Water Act.

The impact of the Engler Administration’s refusal to regulate water and air pollution from CAFOs was largely responsible for the extraordinary difficulty the state of Michigan has even today with forcing the clean up of badly polluting CAFOs, including the Vreba Hoff Dairy CAFOs in Hillsdale and Lenawee County.  Mr. Wyant’s statements as recently as 2005 regarding his belief that the state should not require permits for CAFOs raises important questions about Governor-elect Snyder’s policy direction with regard to implementing, enforcing and complying with federal environmental laws.

We look forward to Governor-elect Snyder sharing with the people of Michigan his intentions regarding these issues, and look forward to the public having a substantial role in shaping the policies that will affect our public health, food quality and resources in the coming years.

Sierra Club Michigan Chapter Statement on Vreba-Hoff Transfer

November 23 , 2010

Sierra Club Michigan Chapter Statement on Vreba-Hoff Transfer

LANSING, MI - Last week, Rabo AgriFinance, Inc., informed Michigan DNRE officials they have taken possession of the three Vreba-Hoff Concentrated Animal Feeding Operations, Vreba Hoff1 and 2, and Waldron Dairy. They are seeking to have the “operation permits” transferred to their wholly owned subsidiary, Southern Michigan Dairies, LLC.

The 3000 remaining cows are now at Vreba-Hoff II in Hillsdale County. But the manure and other animal waste remains at VH-I and Waldron, millions of gallons of it sitting in pits. Under previous court order, the water is to be treated and it must meet permit standards before it is applied to the land. Unfortunately, the “treated water” has never met the permit standards. Instead, the more solid manure and animal waste in the pits is being land-applied as a slurry. It’s unknown what will happen to all thefilthy water that doesn’t meet the permit water quality standards.

Will Rabo AgriFinance, Inc,, or Southern Michigan Dairies, LLC, suddenly be able to treat and dispose of all that filthy water safely, without triggering yet more environmental violations? No matter who owns the leftovers, it all must be safely disposed. Plus, those3000 remaining cows are still producing milk, and they’re still producing yet more manure and other waste. Lots and lots of it.

To add more confusion and uncertainty to this whole situation, a Memorandum of Option Agreement, without any details made public, was signed between Southern Michigan Dairies, LLC(Cedar Falls, Iowa) and Nova Lait, LLC (Waseon, Ohio). Southern Michigan Dairies LLC has granted to WHM Van Bakel certain rights and options to purchase their interest in the real property, ie. the CAFOs. So Mr. Van Bakel has an option to buyback the same properties that AgriFinance has taken over.

What can Michigan residents expect with these dairies’ management in flux? The first two failed, with literally hundreds of environmental violations related to manure and other animal waste that was discharged to waters of the state. First the Vander Hoffs, then Willy Van Bakel, and they each had several different managers in succession. None of them ever brought the dairies into compliance with clean water laws. The state long ago threw up their hands in frustration, and sued. Though many court battles have ensued, nothing has changed, the violations continue to accrue. For the whole long list, check out http://nocafos.org/news.htm.

It’s as yet unknown what Rabo AgriFinance, Inc. plans to do. The Sierra Club sincerely hopes that whatever happens, and who ever owns the CAFOs, that they’re made to do what has not yet been possible - either clean up this operation, or shut it down for good.

DTE’s Dirty Expansion: Illegal Effort to Avoid Coal Plant Clean Up

Sierra Club, NRDC Join U.S. Environmental Protection Agency in Action Against Detroit Edison’s Dirty, Dangerous Monroe Power Plant

(DETROIT, MI)—The Sierra Club and Natural Resources Defense Council intervened as plaintiffs in an ongoing U.S. Environmental Protection Agency (EPA) Clean Air Act enforcement action against DTE Energy September 28th. EPA’s lawsuit alleges that DTE unlawfully extended the life of Unit 2 of its dirty and dangerous Monroe coal-fired power plant in Michigan without installing the pollution controls needed to protect public health.

“DTE Energy tried to sneak around their responsibility to control the harmful pollution from the expansion of its Monroe plant,” said James Gignac, Midwest Director of Sierra Club’s Beyond Coal Campaign. “The Clean Air Act exists to protect people from potentially deadly pollution. By trying to side-step these rules, DTE is putting people in Michigan in harm’s way.”

Additional pollution from this plant simply adds insult to injury for southeastern Michigan residents. A September 2010 report published by the Clean Air Task Force identifies Monroe as the most harmful coal-fired power plant in the entire country, estimating that 278 deaths, 206 hospital admissions, and 445 heart attacks can be attributed to Monroe<’s pollution in 2010.

“It is long past time that this nearly 40-year-old dinosaur is cleaned up or shut down,” said Shannon Fisk, Senior Attorney in the Midwest Office of the Natural Resources Defense Council. “Unit 2 of the DTE Monroe coal plant is the single largest emitter of harmful sulfur dioxide and nitrogen oxides in all of Michigan.”

In March of 2010, DTE began a major modification to its Monroe plant in order to extend the operating life of the aging facility. The Monroe plant is in an area that EPA has classified as being “out of attainment” with national public health based air quality standards, and the major modifications at Monroe should have triggered a Clean Air Act requirement for DTE to install modern pollution controls, which would protect people from harmful pollution coming from the plant.

The Sierra Club and NRDC’s intervention adds substantial value to the EPA case against DTE. As two of the leading environmental advocacy organizations in the country, with active membership in Michigan, the Sierra Club and NRDC will work with EPA to ensure the appropriate process is observed and that DTE is not allowed to unlawfully endanger people in Michigan by increasing the pollution emitted from the Monroe plant. Please contact David Graham-Caso or Josh Mogerman (contact information provided above) for a copy of the intervention filing.

For more information about the Sierra Club’s Beyond Coal campaign in Michigan, please visit http://www.sierraclub.org/coal/mi/ For more information about the Natural Resources Defense Council, please visit http://www.nrdc.org

Citizens Win after Controversial Coal Plant in Holland is Denied

Friday, Aug. 20, 2010

Changing energy economy means Michigan must grow clean energy sector

“The citizens of Holland and across West Michigan repeatedly made our voice clear: We don’t want a coal plant that puts people and our future at risk, and today, that voice was heard,” said Holland resident Jill Henke . “Today’s victory is the result of sustained public pressure, and a reminder to Big Coal and utilities everywhere that the writing is on the wall. Michigan wants to move toward a clean energy future that can jumpstart our economy, protect our Great Lakes , and create local jobs that cannot be outsourced.”

The Michigan Department of Environmental Quality today denied a permit to Holland Board of Public Works for an expansion to its coal plant. The MDEQ cited a Public Service Commission report that said, among other things, the BPW hadn’t shown it really needed the 78 megawatt expansion. The MPSC report also said HBPW hadn’t fully explored all its energy generation options, including renewable and clean energy alternatives.

“Citizens across Michigan applaud the MDEQ for making this common sense decision, and also the people of West Michigan who stood up for a strong clean energy future,” said Jan O’Connell the Sierra Club. “More energy efficiency and renewable energy will save money for consumers in the long run and bring in new investments that are creating local jobs. Holland is already leading the way in clean energy, such as advanced auto battery technology. This is an opportunity to send an even stronger message that Holland is the community of the future, built on clean energy and not coal.”

Michigan Coal Rush Brought to a Halt!

Friday, Aug. 20, 2010

Contacts: Anne Woiwode,  Tiffany Hartung, Jan O'Connell 

With the denial of the Holland Board of Public Works proposed air permit to expand their coal plant, all of the eight coal plants discussed or proposed in Michigan have been denied, withdrawn or stalled! 

Here is the status:

• Northern Michigan University withdrew coal from their proposed biomass plant in May 2009 after a challenge by Sierra Club.
• LS Power's MidMichigan proposed Midland coal plant withdrew their air permit in May 2009 after their partner Dynegy pulled out and public input pointed out major flaws.
• Wolverine Power Supply Cooperative's air permit for a Rogers City plant was denied by DNRE in May 2010 because there was no need and alternatives to meet future electric needs exist. An appeal has been filed, and DNRE has been joined the Sierra Club and Natural Resources Defense Council in defending the permit denial in court.
• Consumers Energy received an air permit for the expansion of the Karn-Weadock plant in Essexville, but in May 2010 announced plans to put the plant on the shelf indefinitely. The air permit is being challenged in court by Natural Resources Defense Council and Sierra Club.
• Lansing Board of Water and Light drops plans for a new coal plant, choosing to build a combined cycle natural gas plant that will be more flexible and mesh with renewable energy sources in July 2010.
• Holland Board of Public Works' proposed air permit to expand their coal plant was denied in August 2010. They have recently filed an appeal of that decision.
• Two plants that had been discussed in the press (M&M Energy in Alma and Tondu Corporation's TES Filer Plant) have not sought permits and there is no indication either plans to move ahead.
• There is still more to do to assure that Michigan is moving away from coal and toward clean energy sources that produce jobs and energy right here in the Great Lakes State. Learn more about the fight to move Michigan Beyond Coal here or contact our Beyond Coal staff: Tiffany Hartung, Anne Woiwode, and Jan O'Connell (Holland).

see http://www.sierraclub.org/coal/mi/default.aspx

Electric Company’s Lawsuit Would Bring Rate Hike

August 12, 2010

Wolverine’s Challenge To State’s Decision On Proposed Rogers City Coal Plant
Threatens Clean Energy Jobs, Revives Financial Risk For State

LANSING, MI—A lawsuit filed this week challenging the state’s denial of a Clean Air Act permit for a proposed costly and unneeded coal-fired power plant for Rogers City seeks to revisit a decision that ended the threat of a nearly 60-percent electric rate hike for Michigan consumers.

Wolverine Power Supply Cooperative on Wednesday appealed the Michigan Department of Natural Resources and Environment’s (“MDNRE”) rejection of the company’s application for an air permit for its proposed coal-fired power plant in Rogers City. The appeal was filed in the 28th Circuit Court of Missaukee County.

“Wolverine’s stubborn quest for an unnecessary coal plant in Rogers City is an outrage,” said Jean Veselenak, a Rogers City resident. “We need clean energy jobs and the opportunity to transition to better ways to produce energy, not more rate hikes to support dirty coal. Experts and regulators evaluated this proposed plant and said it was too costly and we don’t need it. Rogers City residents agree. Instead of now pursuing a better strategy for consumers, Wolverine officials want to spend their members’ money on a lawsuit to convince a judge that they are right and everyone else is wrong.”

In evaluating the Wolverine project, the Michigan Public Service Commission found that the proposed coal plant would increase electricity rates for consumers by 59.2% to 20.7 cents per kilowatt-hour, and would cost the average residential customer $76.95 more every month. Environmental, consumer and energy groups had all opposed the proposed plant.
MDNRE denied the permit in May, stating that there is no need for the proposed power plant and that alternative methods are available that would supply the customers of the four electric cooperatives that make up Wolverine with electricity at a much cheaper rate than the cost of building a new coal plant.

“Despite road bocks and warning signals by major credit ratings agencies across the nation that new coal plants are expensive and likely to be plagued by long-term regulatory and financial problems, Wolverine has continued to support the project,” said Anne Woiwode, State Director of Sierra Club of Michigan. “In the face of all these risks, it is unwise to spend Coop member money on developing a risky, expensive and unnecessary coal plant.”
Since 2001, 132 proposed coal plants around the country have been cancelled due to rising costs, financial riskiness and the existence of better alternatives.

The few new coal plant projects that are moving forward are incurring huge cost overruns. The Peabody Energy Prairie State Plant in Illinois under construction now has doubled in cost, leaving ratepayers on the hook to pay for $2 billion in cost overruns so far, and similar cost escalations have been experienced in Ohio, Indiana, Wisconsin and other states throughout the country.

“It is common sense that before authorizing a nearly $2 billion coal plant, MDNRE would evaluate whether there was a need for or better alternatives to that plant,” said Shannon Fisk, Senior Attorney for the Midwest Office of the Natural Resources Defense Council. “Wolverine’s continued pursuit of an unnecessary, costly and dirty coal plant is not good for ratepayers or Michigan’s economy.”

In June, Traverse City area ratepayers raised concerns and questions about the cost of the plant during the Cherryland Electric Cooperative’s annual meeting. The ratepayers asked the board to fully disclose the estimated costs for participation in the Wolverine coal plant proposal before final decisions were made to appeal the permit decision, but that request was not granted. Ratepayers ran a series of TV and radio ads encouraging Coop members to vote for candidates who oppose the coal plant and support clean energy options as better, more responsible business. The ads can be viewed at http://www.youtube.com/watch?v=_GtqyhGkMhg

“We don’t need to waste millions on dirty, unnecessary coal plants,” said Faith Bugel, Senior Attorney for the Environmental Law & Policy Center. “The DNRE made the right decision for Michigan’s ratepayers, for Michigan’s workers and for Michigan’s environment.”
Others who challenged the proposed Rogers City coal plant also reacted strongly to news of Wolverine’s lawsuit.

“Wolverine Coops were told that there was no need to spend billions of dollars to build this plant,” said Tom Karas of Michigan Energy Alternatives Project, “but management of these utilities won’t pull the plug on the Rogers City coal plant. They want to gamble with their members’ money. Appealing the state’s decision would only make a bad economic story worse for coop members”

“Wolverine should invest in energy efficiency and energy sources that will serve their member cooperatives better by developing cleaner electricity generation and keeping costs lower,” said Susan Harley, Policy Director for Clean Water Action.

Consumers Energy Hides Coal Ash Leaks, Puts People at Risk

July 21, 2010

FOIA request shows Consumers Energy violated state rules

BAY CITY – A controversial Bay City coal plant violated state law when it failed to monitor hazardous coal ash at its two landfills in the Saginaw-Bay area and report leaks that potentially endangered people, the citizens group Lone Tree Council said today.
The coal ash landfills belong to Consumers Energy, which operates the Karn-Weadock facility near Bay City. Coal ash leachate containing arsenic, boron, lithium and sulfate – all toxic chemicals linked to serious illnesses –have been previously discharged into Saginaw Bay from the sites.

“Consumers Energy’s coal ash cover-up only puts local families at greater risk, highlighting the fact that Michigan must slam the brakes on coal and turn to more clean energy,” Lone Tree Council President Terry Miller said. “Coal is killing Michigan jobs and coal ash is poisoning our water, land and air. Michigan must invest in more clean energy and energy efficiency now to protect our families, end our dangerous dependence on coal and create good-paying jobs for our working families.”

The Lone Tree Council obtained documents through the Freedom of Information Act (FOIA) showing that Consumers Energy received a notice of violation July 1, 2010. The notice from the Michigan Department of Natural Resources and Energy read, in part: “Unfortunately, the inaction by Consumers Energy to notify the Department of sampling challenges, and lack of first quarter sampling, and lack of monitoring of potentiometric levels, are all violations of each landfill’s approved HMP and operating license.” (Emphasis is in the original DNRE letter)

According to the DNRE, Consumers Energy’s Karn-Weadock complex failed its first quarter 2010 reporting requirements to monitor discharges from its toxic ash landfills. Consumers Energy had reached agreement with the state to monitor locations where groundwater from the ash landfills mixes with water in Saginaw Bay. Consumers Energy failed to comply with its hydrogeological monitoring plan, which is part of its operating license. Consumers Energy was also cited for failure to notify the DNRE that it couldn’t meet its requirements.

Consumers Energy has two landfills on Saginaw Bay: a 292-acre site and a 172-acre site. These landfills contain bottom ash and fly ash from decades of coal burning on the mouth of the Saginaw River. The ash was converted to slurry and piped to the landfills. Historically the landfills were unlined and the utility failed to create a barrier between bay water and groundwater from the sites. The utility received several variances to allow creation of these landfills in coastal marshes and state bottom lands. Testing ordered by the state in 2002 showed levels of arsenic that exceeded water quality levels leaching from the landfills into the bay, as well as other contaminants. The utility has since negotiated a response that included a barrier at the Weadock site and additional monitoring. A barrier at the Karn landfill is presently being explored by the company and the state.

“We applaud the DNRE for holding Consumers Energy accountable,” Miller said. “We cannot allow Consumers Energy to brazenly sweep its toxic coal ash problems under the rug.”

The notice of violation comes on the heels of national pressure to put coal ash residues under federal law as hazardous waste. The U.S. Environmental Protection Agency has recently issued two approaches: one would regulate coal ash as toxic waste and another would essentially leave the level of regulation up to individual states. The EPA is conducting hearings in locations around the country as well as taking comments.