In a surprise announcement late this past Friday Entergy of Louisiana released a statement announcing that ownership of Vermont Yankee would be transferred to a newly created entity. In an unusual move Entergy has resurrected a previous plan that had been abandoned years ago. The new version is still to shift Vermont Yankee’s ownership to a small shell corporation, but now it has an innovative funding twist.  

A spokesman explained:

the new corporation, dubbed  Enexus EB-5 would, as the name implies,become an aggressive participant and seek investment “partners” through the federal EB-5 program. As part of the restructuring Vermont Yankee’s new owner Enexus EB-5 will immediately be officially classified under federal EB-5 as a “troubled business”.

This federal classification would enable the new company to tap into the growing rush for EB-5 money from foreign investors. Any foreign investor can put up $500,000 or more in an approved project that creates or preserves at least ten jobs. After two years the foreign investor receives a green card and US citizenship.  

Entergy claims this funding source will put to rest fears that the spin-off could be woefully under-capitalized and unable to meet burgeoning decommissioning obligations. Longtime VY opponents say that Entergy, under the earlier plan, could leave Vermont “holding the bag” for the aging plant’s decommissioning costs by transferring ownership and clean-up related liability to Enexus EB-5.

Vermont State officials expressed displeasure that they had no advance warning of Friday’s announcement. As luck would have it, and in a touch of irony Governor Shumlin, along with Jay Peak owner and EB-5 promoter Bill Stenger, are currently in Miami Florida to attend the National EB-5 Finance Seminar. Unofficially known as the Do your Business in the Sun Tour, this event is sponsored by the International EB-5 Investment Group (IEBIG) an industry trade group composed of dozens of investment bankers and immigration lawyers.

When contacted by phone one high level state office holder- a longtime opponent of Vermont Yankee – off the record expressed caution over the willingness of foreign investors to support an aging nuclear power plant – even for a green card immigration visa.  However, the same high level state office holder volunteered the following enthusiastic support for any utilization of the EB-5 program,

“It [EB-5 funding ]beats going for the highest building I could possibly find and jumping off”.

Asked for comment, some Vermont’s business community leaders, expressed admiration at Entergy’s innovative use of the increasingly versatile federal EB-5 program. This local support may indicate Entergy’s revived outreach and campaign style listening tour with state business leaders may start to pay dividends. Two websites,YesEEB-5VY.com and IamVYEnexusEB-5.com are currently in operation as part of the charm offensive. This overdue attempt to come to terms with Vermont’s social and political culture notably included a week long winter-time retreat by Entergy Louisiana executives at Jay Peak. This past winter the executives reportedly enjoyed “real”Vermont by skiing, touring a local brew pub, staying at a state of the art resort hotel and visiting an indoor water park.  

Foreign investors seeking green cards now have an expanding range of investment options here in the Green Mountain State. More than living up to its “quirky” image, Vermont offers green card- visa- seeking-foreign-investors opportunities in everything from brew pubs, artificial organ manufacturing, elegant retirement villages, to water theme parks. Now a “vintage” nuclear power plant has been added to the portfolio of Vermont’s unique EB-5 investment opportunities.  

Well this feels as if “the future” really has arrived.  

The lobbying firm K & L Gates (Bill Gates’ father’s former firm) secured former Congressman Burt Gordon (D-Tennessee) and tasked him with

“monitoring" NASA's asteroid-related activities and looking for an opportunity to form a partnership between the U.S. government and Planetary Resources.

Former Congressman Gordon was for many years chairman of the U.S. House Science Committee which had oversight of NASA while the budget and mission dwindled. The lobbying group has alerted Congress it will be advocating on behalf of Planetary Resources Inc., specifically

“on issues related to quarrying the celestial bodies, but not on any particular legislation.”

K & L Gates also handled lobbying for the Commercial Spaceflight Federation and SpaceX.

Because nothing says “the future” more than an asteroid mining company planning some good old fashioned Congressional lobbying.

The possibilities of asteroid mining flooding the market with large amounts of a formerly rare metal make the economics iffy, yet Planetary Resources Inc is headed forward. And heavy hitting investors Larry Page (Google CEO), moviemaker James Cameron, and a retired US Air Force Joint Chiefs of Staff General, among others, are headed forward. All of them want to keep an eye on Congressional actions that might help or hinder their new enterprise.

Dreams of harvesting minerals from space have been kicking around in science fiction and elsewhere for years when Planetary Resources announced last April they planned to undertake asteroid mining. However, international laws governing ownership and rights to commercial exploitation remain ill defined and uncertain.  

The high-minded U.N.'s Outer Space Treaty of 1967 states that the use of outer space shall be for the benefit of all mankind, but any specific application to private ownership and mining is under question.

[…], it is clear that there is no international regime explicitly governing asteroid mining. "Planetary Resources are in a rather grey zone," says Joanne Wheeler, a lawyer on the U.N.'s Committee on the Peaceful Uses of Outer Space Wheeler. "This is no legal certainty over whether they can do it or not."

So this is “the future”: wealthy investors, congressional lobbyists and mining rights … well, space-rock mining rights. But didn’t I read that in “the future” everyone would have jet transportation packs, or maybe it was just Tang? That must be a different future.

My knowledge of  Rhode Island politics doesn’t extend much beyond headlines about the high unemployment, state pension reform, and of course former Providence Mayor Buddy Cianci. So I am likely not the best person to wonder about this, but there’s an interesting intersection with Vermont’s gov …

As head of the Democratic Governors Association Governor, Peter Shumlin followed the lead of Rhode Island’s Democratic congressional delegation and former US rep. Patrick Kennedy in urging Independent Governor (and former Republican Senator) Lincoln Chafee of Rhode Island  to join the Democratic Party.

DGA Chairman Gov. Peter Shumlin, of Vermont, this week described Chafee as "a very thoughtful person" with strong ties to Democratic governors and President Barack Obama. Shumlin told The Associated Press, "We would welcome him to the Democratic Party."  

This effort at conversion seems a simple and expected conclusion to Chafee’s long slow slide away from the National Republican Party. Way back in 2004 Chafee was a VIP at Bush’s 2004 RNC Convention. Yet just few years later he supported Obama for president and eventually bolted the party to become the Independent governor of Rhode Island in 2010. By 2012 he spent “a couple of nights” as a welcomed guest at the Democratic National Convention. At present there are 19 Democratic governors, 30 Republicans, and one independent. So bringing Chafee on board means maybe Dems can pick up a state house, right?  

Well maybe not. Independent Chafee’s 2014 hopes for reelection currently look pretty grim with recent polls showing an approval rating of just 26 percent. Other polling in late 2012 showed that

Overall 57% of voters don't want Chafee to seek reelection next year. 20% want him to run as an independent and 18% think he should run for election again as a Democrat

Two Democrats Chafee might face – either in a reelection battle or perhaps as opponents in a three-way Democratic primary race – both poll much better approval ratings by a substantial margin: Mayor Angel Taveras of Providence polled at 64 percent approval rating, and State Treasurer Gina Raimondo showed a 56 percent approval. (Of course, approval ratings in the current office have limited application to judging future face-offs for the next job up the ladder.)

As a U.S. senator, Chafee  did occasionally side with Democrats, and he supported Obama, so the welcoming solicitation from the DGA may be a nice big thank you note of sorts. Early positioning and general pre-election subterfuge are perhaps a larger factor.

But I gotta wonder: isn’t courting a centrist Republican with a 26 percent approval rating outside the job description of the DGA – to support Democratic governors and candidates across the nation?

Or is Shumlin just looking for more like-minded govs in supporting some social issues (marriage equality) and protecting himself and other one percenters from pitching a fair share into the budget pool?

 Thursday in the Upper Valley we experienced what turned out to be a real live sonic boom – not a train crash, propane explosion or all the snow and ice dams falling off the roof at once. I got calls from friends miles north and south wondering about the noisy jolt.

WCAX found the cause was a F-15C at 20 thousand feet that broke the sound barrier, thus creating noise and a sensation felt from Topsham VT to Lyme and Hanover NH. The Massachusetts Air guard said they never intended to cause any “undue concern”.  

So because of the F-15C’s unintended boom I had been thinking of the Burlington Airport and the future F-35 squadron anyway when I read on TPM that the troubled fighter has been grounded.

The Defense Department has suspended flight operations for all three variants of the F-35 as a “precautionary measure,” officials said. The suspension comes after a crack was discovered in an F-35 engine blade, according to Kyra Hawn, a spokeswoman for the F-35 Joint Program Office.

The project is seven years behind schedule and 70% over budget at almost $400 billion, according to Bloomberg

Too soon for any reaction yet from those in and round Burlington who have organized to stop the troubled fighter from arriving in Burlington or word from newly elected adjutant general of the Vermont National Guard, Brigadier Gen. Steven Cray who called the new fighter critically important to the future of the air guard.

Well the F-35 project has also been called “too big to fail” but they are working on it .

Seven Days' Off Message reports an embarrassing but not a surprising oversight: Governor Shumlin failed to reimburse taxpayers for part of a day-long series of flights on Vermont’s state-owned airplane that directly involved his re-election campaign. The entire day of the Governor’s barnstorming around the state cost $322.76, while a whole $65.80 was charged to his campaign for the electioneering portion of the trip.  

But the real news for me lands toward the end of the Seven Days article: a plan has been under consideration for the state to spend $117,600 per year over the next ten years on a new Beechcraft Baron airplane to replace the Cessna currently in use.

The state-owned airplane has been the subject of some discussion in the Statehouse for the past week-and-a-half, since lawmakers caught wind of a budget request from the AOT [Agency of Transportation] to replace the 1962 Cessna with a 2013 Beechcraft Baron.

Given the administration’s ongoing cutting, juggling and general budget skimping, Governor Shumlin is downplaying that little budget item for the time being.

At a press conference last Thursday good Ol’ Governor Shumlin made a point that by the AOT’s reckoning the new plane purchase would have to happen “someday,” and the aging Cessna would have to be dealt with. Shumlin admitted,

“We don't have to do it this year, but at some point we're going to have to deal with it …”

Aw Shucks Shumlin continued in his new, meant-to-be-reassuring just-plain-beer way, stressing that he didn’t mind the ol’ Cessna ‘cause:

“You know, I don't have the fear gene, so I'm alright […]”

But still, Ol’ Governor Aw Shucks Shumlin  managed to point out that, you know, a door did pop open once, and the gas gauge is a bit finicky (although it does seem to respond to a good Gubernatorial thumping), and you know, he doesn’t mind but gosh [!] his staff gets sooo nervous whenever he uses that ol’ state airplane.  

Of course, if Aw Shucks were really the “regular Vermonter” he pretends to be, he’d be paying attention to the way the rest of us live, as in the old Vermont saying Use it Up, Wear it Out, Make it Do, or Do Without.

And then there is the more recent Vermont adage: Don’t buy a new airplane for the state until you raise taxes on them that can afford to pay ’em.  

 Here from a couple days ago is some news some may find easy to unlike. According to the group Citizens for Tax Justice:

Facebook is reporting a $429 million net tax refund from the federal and state treasuries. And it’s not because they weren’t profitable.

And just how profitable were they? Well Facebook reported almost $1.1 billion in profits in 2012. However, by giving non-cash stock options as compensation to executives, the company can deduct $429 million from its profits – as if the options were cash payments, like a salary.

That tax break reduced Facebook’s federal and state income taxes by $1,033 million [$1.033 billion in US terms] in 2012, including refunds of earlier years’ taxes of $451 million.

Facebook CEO and co-founder Mark Zuckerberg currently owns 29.3 percent of the company’s shares. This gives him approximately $16.9 billion in stock-based wealth.

Facebook is not unlike other corporations the CTJ has a report on: over a hundred large corporations exploit this tax loophole. But after the publicity surrounding Facebook the movie, and the real-life drama over Facebook the IPO, this tax-shift may get a little extra attention. Senator Carl Levin has taken steps to close off these excessive corporate tax loopholes. His effort is called the Cut Unjustified Tax Loopholes Act, and it may get a little publicity boost from the CTJ report.  

But for the time being at least, Facebook remains remarkably unburdened by certain taxes. So what’s not to unlike about that? And for those who are wondering, both Citizens for Tax Justice and Senator Levin can be found on Facebook here and here. Be sure to “like” their pages.

 I read today that the nascent domestic drone industry is under serious threat! From where might these threats come? Is it foreign agents or even terrorists going after the domestic drone industry?  

Well, according to The Hill.com, there is a two-pronged attack on the nascent industry coming from over a dozen states and from lawmakers on Capitol Hill, as various state legislatures and Senator Leahy’s Senate Judiciary Committee weigh restrictions on domestic drone use. The tone of the drone industry seems to be one of surprise (!) that unmanned aerial surveillance by government might stir privacy and civil liberty protection concerns among the citizenry, let alone state and national leaders.  

The industry’s Association for Unmanned Vehicle Systems International (AUVSI) – which is headed by a Northrop Grumman Executive – sees no problems.

“It would really deny law enforcement agencies this extra tool they can use to do their jobs more efficiently and effectively,” said Gretchen West, the executive vice president of Association for Unmanned Vehicle Systems International (AUVSI).

This  newest “extra” tool offered up for law enforcement can be as small as a hummingbird and camera equipped, or be the 55 pound Shadow Hawk and carry a 40mm grenade launcher and 12ga shotgun.  

The AUVSI’s West is not insensitive to certain Orwellian implications of the domestic drone but prefers to deflect attention about the all seeing Big-Brother-in-the-sky feature. For her, it’s more a language thing.

West said she doesn’t use the word “drone” when talking about the domestic variety because it only feeds the idea that the military versions of the aircraft are coming to America.  “There really is a sensationalism connected to the word ‘drone,’ so we don't use it,” she said.

AUVSI’s West also says they are efficient to operate and not capable of persistent surveillance. And in these tough budget times some drones can be flown for as little as $25.00 per hour.

So, in other words, just relax! Privacy and civil liberties may be violated on the cheap,but taxes remain low and it will only persist until the batteries run out.  

Entergy Black-out XLVII gets 107 million viewers and it was thirty minutes of must wait and see TV. The ratings are in for Super Bowl XLVII and it was the third most watched broadcast of all time. It averaged 109 million viewers, slightly less than the last two games. And what is now the fourth most watched broadcast of all time?  

Nielsen separated out viewer numbers for the blacked out portion of the game which they are calling “Super Bowl XLVII Delay” but let’s give credit where credit is due so call it “Entergy’s Super Bowl Delay” and found it averaged 107 million viewers. That’s slightly more viewers than saw the final episode of M*A*S*H and almost twice as many as saw the Grammy Awards last year.  

[Entergy’s] “Delay” has been trimmed to 30 minutes in Nielsen’s records: 8:41-9:11 p.m., a.k.a. not long after the end of Beyonce’s halftime show — and lasting twice as long as her performance, BTW.  

The 107 million people who sat through a whole lot of nothing and ad breaks is a bigger crowd than watched the Super Bowl in 2009 and all Super Bowls before that. […]

Turns out, broadcast-network execs for years have wrongheadedly been following their Super Bowl broadcasts with very special episodes of some prime-time show they want viewers to sample.

Damn I missed it all! Is “Delay” on You Tube, NetFlix, anyone?