The Consequences Of Overregulation

New Obama Admin Regulation Jeopardizes 200 Jobs At An Ohio Paper Mill, ‘Will Put 230,000 Jobs At Risk’ Nationwide
LOCAL CONSEQUENCES: 200 Jobs At Ohio Paper Mill“The city may lose more manufacturing jobs as SMART Papers announced Thursday it’s selling the business or closing up shop. Employees there were given notice the company will begin winding down operations now and will cease operations by the first quarter of next year. At stake are about 200 jobs, as well as tax and utilities revenue for the city.” (“SMART Papers For Sale; 200 Jobs At Risk,” Dayton Daily News, 10/14/11)

“Smart Papers, the Hamilton-based paper maker, said Thursday it has begun winding down operations... new federal pollution rules contributed to the decision...” “The company, which is the last North American manufacturer of premium coated printing papers used for everything from packaging to corporate reports, employs about 200. … uncertainty surrounding new federal pollution rules contributed to the decision, said Tim Needham, Smart Papers’ chairman.” (“Hamilton's Smart Papers Closing,” The Cincinnati Enquirer, 10/13/11)

“… as written today, Needham said the rules would require his company to essentially replace its existing boilers. Smart Papers uses electricity from its own generating plant to run the steam boilers, which in turn run the three paper-making machines at the plant. Beyond the cost of new boilers, Needham said, current boiler technology doesn’t exist to comply with the EPA standards. ‘When I talk to prospective purchasers, they say, “Can you guarantee us that we won’t end up spending twice what it costs to buy the business to comply with the rules?” No, I can’t, he said.”(Ibid)

NATIONAL CONSEQUENCES: ‘230,000 Jobs At Risk,’ Including 20,000 ‘Paper Industry Jobs’
A new study has found that more than 20,000 primary pulp and paper industry jobs and as many as 36 mills around the United States would be at risk of elimination if the boiler MACT and other are regulators are implemented. (“Boiler MACT Threatens Industry Jobs,” Pallet Enterprise, 10/1/11)

“Finch Paper has six boilers, five of which burn natural gas or oil, and another that burns wood waste. All could require investments under the EPA rule, said company spokesman John Brodt. … ‘Given the state of the economy today and the tremendous competitive pressures we face in a global paper industry, this rule would pose serious challenges to our long-term ability to be competitive and provide more than 700 jobs,’ he said.” “Lawmakers, Companies Fret New Boiler Rules,” The Post-Star [Glens Falls, NY], 8/17/10)

NATIONAL ASSOCIATION OF MANUFACTURERS: “During this critical time in our nation's economic recovery, manufacturers simply cannot afford another costly and burdensome regulation that will put 230,000 jobs at risk, according to the Council of Industrial Boiler Owners. The Boiler MACT rule will cost manufacturers more than $14 billion in valuable capital that could be spent on investments to create jobs. Manufacturers thank the House members who stood up today for jobs and voted in support of this important legislation to rein in the EPA. We will continue to work to stop the EPA's aggressive agenda. Today's vote was another step to protect jobs and competitiveness, and we strongly urge the Senate to act on the EPA Regulatory Relief Act as soon as possible.” (National Association Of Manufacturers, Press Release, 10/13/11)

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