ELKHART, Ind. - In the empty factories and laid-off workers in this struggling section of the Rust Belt, entrepreneur Wil Cashen sees "unimaginable potential.”
Seeking to capitalize on the trend toward more-energy-efficient vehicles, Cashen has a plan to retrofit pickup trucks with electric motors at several of Elkhart County’s large, dormant manufacturing facilities and sell them to utility companies.
A native of neighboring St. Joseph County, Cashen would like to see this hard-hit area — which touts itself as “the RV capital of the World” — become the country’s capital for electric vehicles.
"There's a real opportunity," Cashen said while walking through his field of dreams — a quarter-mile stretch of dormant industrial buildings around the monster Monaco motorhome factory in Wakarusa that closed last fall.
Opportunity, yes, but no guarantees.
Across the country, state and local officials, entrepreneurs like Cashen and even some of the nation’s biggest companies see dollar signs when they look at so-called “green” industries.
Add in an estimated $85 billion in federal stimulus funds earmarked for clean energy and transportation projects, and you have a mad dash of sorts to gain a competitive edge.
“There’s no question that a growing number of states, cities and companies are jockeying to expand their share of America’s clean energy economy, and they see the stimulus monies as pivotal to that goal,” said Lori Grange, deputy director at the Pew Center on the States, a research group.
In a recent study, Grange’s organization found that the number of “clean energy” jobs — which range from weatherizing homes to building 300-foot-tall wind turbines — increased more than twice as fast as all other jobs from 1998-2007.
Now, with so much federal money flowing into these sectors, Grange expects to see “explosive growth.”
That’s certainly the hope in Elkhart County, where Cashen is seeking federal funds along with others. Among them: a startup that wants to assemble huge wind turbines here and across the Rust Belt; and a company that wants to put electricity-producing turbines in large water pipelines across the country.
An early beneficiary of the clean-energy stimulus funds are efforts to weatherize buildings, saving money and energy. The city of Elkhart got $500,000 to bundle up its 100-year-old City Hall and assess needs at other city sites, while La Casa, a nonprofit serving low-income residents, is going after similar grants after obtaining some funding to remove lead-based paint from homes.
‘Green’ ambitions
Cashen thinks the time is right for his company, Electric Motors Corp., —based in Malibu, Calif. — to dip into the electric vehicle sector, but his vision to transform the Elkhart region into the Detroit of the 21st century faces lots of competition.
For example, auto heavyweights Ford and Nissan and electric car startup Tesla in late June got $8 billion in loans from the U.S. Department of Energy to launch new hybrid and electric vehicles.
Also, Chrysler has made a pitch for $224 million in matching federal grants to produce a demonstration fleet of hybrid minivans and pickup trucks. Up to 165 vehicles would go to the U.S. Postal Service to test whether they are suitable for mail delivery.
In neighboring Michigan, Gov. Jennifer Granholm has vowed to make the state "the renewable energy hub of North America and the advanced-battery capital of the world." She's also built a "No Worker Left Behind" program that provides a $5,000 tuition voucher to retrain workers for "emerging" jobs like those in clean energy.
"Green is not the only sector we're going after, but it's really such a big deal," she told business executives who gathered for a National Summit in Detroit in June. "We intend to lead the nation into energy independence."
Ohio, another Indiana neighbor, also has “green” ambitions. U.S. Sen. Sherrod Brown is pushing for a $30 billion fund to help small auto parts companies, many of which are located in Ohio, borrow money to retool. His goal? To turn the state into “the Silicon Valley of clean energy manufacturing.”
With so much activity on this front, even some proponents urge caution when it comes to embracing still-small industries, such as hybrid vehicle production, as the key to an economic turnaround.
“It is a smart move if we don’t push it too fast,” said Dave Cole, chairman of the nonprofit Center for Automotive Research in Ann Arbor, Mich. “It has to have a strong economic foundation and that will take a few years.”
He added: “There’s a tendency for people to underestimate the cost and the competition involved.”
Even in the greater Elkhart area, Cashen’s initiative faces significant competition. A Canadian company, Azure Dynamics, has quietly been contracting with Utilimaster to assemble dozens of hybrid delivery vans in Wakarusa.
"We actually build them," said Jay Sandler, Azure’s vice president of sales. "They" — referring to Cashen’s company — "talk about them."
Like Electric Motors Corp., Azure is seeking stimulus money to further develop hybrid systems, according to chief operating officer Curt Huston. Hybrid RVs? "That's very interesting to us," he said.
Fast cars a path to hybrids
Cashen, for his part, took a roundabout path to the hybrid field.
He graduated from Penn High in Mishawaka, then spent much of his career around cars, usually fast ones: servicing, racing and selling Porsches in Germany and the United States. He later founded — and eventually sold — an automotive software company before semi-retiring in Malibu, where he builds replica Porsche 550 Spyders and became a Porsche guru to celebrities like Jay Leno and Kevin Dillon.
His vision for northern Indiana came into focus more than a year ago when he recalled his early days working at Holiday Rambler, an RV manufacturer that was later acquired by Monaco, where he says he saw firsthand the area’s strong work ethic.
With so many RV manufacturers scaling back or shutting down, Cashen realized he could find plenty of able-bodied workers and empty factories to help implement his unusual plan to transform Ford F-150 pickups into hybrids by replacing their engines.
Cashen hopes to sell the vehicles to utility companies, which would take advantage of the battery packs on the hybrids to supply line crews with on-the-spot electricity in areas where power is out, without noisy generators.
Cashen won’t talk about his conversations with specific potential customers, but Dave Meisel, director of transportation services at Pacific Gas & Electric Co. in California, believes the plug-in hybrid idea has some merit.
“We think the technology has real potential,” said Meisel, who manages a fleet of 8,900 vehicles.
Most of PG&E’s 350 alternative fuel vehicles are hybrids or plug-in hybrids, Meisel added, and that should grow to become “a significant portion” of the overall fleet. But how big, he said, is still a big unknown given that the technology is still being tested.
In May, Cashen lined up a critical partner: Gulf Stream Coach Inc., a major motorhome manufacturer in Elkhart, which has agreed to spend $10 million to retrofit a massive, shuttered building for the assembly line.
Cashen and Gulf Stream estimate that the enterprise could create 1,600 new jobs by 2011 — making it by far the biggest potential new employer in an area where unemployment is near 20 percent.
Jerry Conover, director of the Indiana Business Research Center at Indiana University, likes the electric vehicle idea but adds that "it shouldn't be the only job growth in the area," since demand is dependent on government incentives and high gas prices — both of which aren’t guaranteed to last.
One key to Cashen’s venture is obtaining tens of millions of dollars in federal stimulus funds from the Energy Department to develop electric motors for the drivetrains and, not insignificantly, money from the Labor Department to train workers in handling high-voltage systems.
Cashen’s strategy for dealing with uncertain federal funding is to ramp up his project slowly. But that also means there is little to show so far: No properties had been acquired through early July, and Gulf Stream does not yet have any F-150 plug-in hybrid prototypes available for viewing.
Still, many laid-off workers are hopeful that Cashen’s project will bring new jobs to RV-centered towns like Wakarusa, where many industrial parks look like cemeteries, replete with well-kept lawns but not a soul or a sound around.
Marv Burns, a Vietnam vet with 32 years in the RV industry, is among the 2,000 people who've applied for a spot with Electric Motors Corp. — even though he's not really sure how the hybrid technology works.
That doesn’t matter, he said, "I do know that it's brought hope."
As a resident of the Mahoning valley of which Youngstown is the largest community, I have lived through the decline and fall. Youngstown is no longer viable as a metropolitan city. We can't support any of the arts or civic resources that were once strong here. We need to turn to Pittsburgh or Cleveland for arts and entertainment now.
In Los Angeles and surrounding cities it's more than just jobs leaving, caused by incompetent city leaders, corruption and greed. It's also the massive influx of immigrants over the past 3 decades who lack the skills and education necessary for skilled, hi-tech jobs. L.A. and S. Calif seems to attract a lower class of immigrants, primarily from latin countries deeply entrench in old fashioned biblical philosophy and religious intolerance. To be competitive in today's economy you have to be flexible, accommodating, and well versed in the sciences and the English language, which has become the standard around the world for technology and business. In Asia, Europe and Africa, young students must learn English and one other language in order to graduate secondary school. Even in aviation, English is the spoken language used by airliners all over the world. Add to that a crumbling public education system in California caused by massive budget cuts, tax cuts and wasteful spending on behalf of school boards.
If the people are not educated, the jobs will not come. If the jobs don't come the cities crumble. It doesn't take a rocket scientist to figure that out, but then, where will you find a rocket scientist in the big cities like L.A?
Youngstown's future is as the administrative & entertainment centre of the Mahoning Valley . As an outsider , my objective opinion is that racism is still an impediment to the regional unity that is needed . Racism is the unspoken code for continuing the inefficient local government structures in the Valley that are stopping progress . There is a lot happening that gives hope & the Downtown recovery to date is very tangible . There is still a lot of potential if the river can be integrated with the City . I disagree with Chris's view that arts & entertainment can only be found in Pittsburgh now . Relative to its size , Youngstown does as well in these areas as most cities . The privately funded Butler Institute of American Art has one of the finest collections of this type in the country - & entry is free . Pittsburgh's Carnegie Museum is larger , but entry is $15 + parking . I like it too , but in a different way .
Once the Valley sorts itself out & removes the political roadblocks that are turning investors away , Youngstown , like Pittsburgh before it , can be transformed into a "very liveable city" .
Youngstown, Elkhart and other cities that are facing the current economic problems can be traced to corruption and lack of effective political intellect to roll with the economics's and the times. Cities such as Gary, Indiana,. Detroit, Michigan,. Milwaukee, Wisconsin,. and various parts of Chicago have been facing this type of social and economical digression for sometime. I don't blame the current Presidential or Mayoral administrations but a multitude of administrations and agencies for their overall lack of foresight and vision. I blame these multitudes for becoming corrupt by excepting bribes and kick backs for services not rendered for allowing democracy to be bought sold and traded like junk bonds and AIG stock issues. We in the United states are now feeling the ill effects of this growing and infectious blend of dirty politics and big business meddling in what has become a vile of destructive form escapism mixed with theology rather than democracy. Those of us whom were born before 1968 have witnessed the slow but ruinous erosion of our government and the very destruction of the system of democracy in front of our eyes without actually witnessing or having the common sense of collecting evidence against those whom were responsible for the various forms of criminality and treasonous acts against the Government of the People and for the People. Instead we through the false pretense of the Bush era's patriotism and flag waving have allowed for those responsible to not only take the reins of government but to allow them to steal, buy sell and trade the government by means of the purchase of Treasury Notes and selling them not only to allied nations but prospective enemy and terrorist nations as well. We have allowed these various forms of organized criminals on Wall Street to lower our academic and scholastic abilities by denial of funds and support; were forty years ago the United States ranked as one of the best or better nations in mathematics and science we have dropped below Croatia and the Cameroon. Medical attention and services rendered the United States forty years ago use to rank within the single digit rated best providers now we sit at 39Th place just below the Kingdom of Morocco in North Africa. I as well as others in the United States whom were born in this era have witnessed a slow but steady erosion of being a United nation, socially, politically and economically. We are witnessing an even greater divide within our society not solely on economics, social status but now by Theological and Political as well. I as well as others born of that era are seeing an ever increasing weakened government, weather the government is Federal, State, County or Municipal. We are also witnessing an ever over bearing form of government were our rights, freedoms are slowly but surely also being eroded until the very foundations of our governments are nothing more than paper lion administrations owned operated and sponsored by open corporate entities. I have more than once warned of what can become immanent impairment and impalement of the very form of government which was established by our forefathers two hundred and thirty three years ago coming next Friday. We can either learn to read about and learn the true meanings of American democracy and the very contents of what our government stands for, and learn that the United Sates of America is a nation of the People and for the people as well as learn that the various levels in the political forefront are employed by the Common Men and Women of this nation and demand that they either do what they are told by the People and do their jobs en which they have been hired for in the first place or come next election they will be fired systematically. Or we can can continue to allow for our nation to follow it's present course and in a matter of time face the same fate as the Roman Empire, The Bysantine Empire, the Mesopatanian Empire or as recent as the Ottoman and Austro-Hungarian Empire, at first to become splintered then face utter destruction at our own hand.
I am hopeful that we as a nation can recover fully from our economic downturn, but yet I think this has shown the rest of the World that we have a certain amount of vulnerablities, and they the world will take full advantage of these weaknesses and will first want to cash in their Treasury notes then we will not be able to pay in full and they will take what they want as a form of collateral payment, once this occurs we will no longer be able to dictate our own destinies and we will become enslaved servants to foreign investors far worse than what we are currently facing in today's society. That is what I meant by Wake Up America. But when a nation is slowly but surely diminished of her academic and scholastic prowess and knowledge then it is hard for what is deemed to be socially acceptable intelligence of the period to comprehend the meanings written between the lines. I will say this once and once more. WAKE UP AMERICA!
You notice all of these towns were heavily dominated by unions who decided to show management who had the power. Unions are the death vampire of cities and states.
The unions had nothing to do with the cities decline. The Management and Board of Directors who want bigger profits are the culprits. All of this outsourcing to "save money" is a flag word that says we're not getting big enough profits. This thinking is foolish and narrow minded when you look at in the light of logic. They (businesses) went overseas to increase their profits and didn't think about who or how the goods they make would stand up due to the job losses that would make its effect on the markets due to their laying off all of these people here. Every company that left here was really cutting into their profits but they didn't see it. If I lose my job, it means a cut back in purchases; less taxes for the cities, state and federal government which has cut into them having funds available to do their thing with. The domino effect is in full swing now and the unions didn't cause it no matter what business says. Look at the differences in employee and management pay over the last thirty years. Management's greed has cost the employees and the company untold amounts of money. Management has turned into modern day Robber Barons. They rape and pillage the companies and get ridiculous bonuses and fees and then toss out fairy lies to the blind public saying that unions are the cause. How many union workers can afford a $500 hair cuts or wear $5000 suits. How many fly on corporate jets and have personal assistants and barbers at their beck and call. That CEO is the wizard behind all of the BS floating around about unions. If there were no unions there would be a lot of workers out there in worse shape than they already are. Businesses going out trying to make that bigger profit has put this country and others on their knees. They use up areas and then look around for more fresh meat. A lot of these factories overseas is one step up from slave labor and we act as if they have the same benefits and privileges as us. Bull. If a company goes overseas to make a product then the products they make should be required to stay over there for that country's consumption. But they would just change their name and say they're a Chinese company and ship it to us anyway. The United States should set laws that protect the American people from companies that move overseas and ship the goods back. Those goods should be handled as if from a foreign country. No favorite nations status anymore for those countries where businesses fled to. Their selfish, narrow mindedness has caused these cities to suffer not unions or cities management . Business wants something for nothing.
Ada-945217, You are exactly correct when it concerns the down turn of these cities. I am originally from a Great Lakes Midwest city. I for one have withnessed the destructive and aloof thinking of upper and corporate managers and the effects that are caused by such stupidity. I would recommend to Richard Rohde to read the book entitled Rusted Dreams, Hrad Times in a Steel Community, by David Bensman and Roberta Lynch. Copyright 1987 Mc Graw Hill publishing Company. This book is about the fall of the Steel Industry in the 1980's in the United States in particular the Wisconsin Steel Works in South Chicago, Illinois. Richard, I would like for you to read how it was management and Union both, but more Management whom through pipe dreams and greed then utterly destroyed our nations ability to produce and ship quality made products to other nations abroad. I would also like for you to read the particual chapter about how market anyalists and researchers advised those at the Corporate level to improve and update production methods and how to switch from the open hearth coke burning system to electrical and natrual gas furnaces and to the then fledgling computer technology to monitor production and production capacity and how these greedy individuals ignored their findings and basically allowed the steel industry to die. While i'm on the subject Richard I also advise you to read the various articles about the Penn Central Railroad and how this was another tactic used to not only destroy the nations Railroad and transportation sector of industries, but how this tactic was used to set the United States back into a transportation state of regresssion. Richard, I think but studying the events of the past which led to the current, you can get a better understanding on how things got more worse today. I point my finers at hose whom have utterly corrupted and bought and sold our nation a thousand fold, I blame those of the past whom instead of providing a plan to repair the problem once and for all and keep our nation in the economic forefront they fixed the problem instead with bailing wire, bubble gum and band aids. Richard because we as the citizens of the United States whom have been and will continue to be blind sided by the same old same old, instead of drawing a line in the sand and telling these robber barons enough is enough and taking back Our Government, The Government of the People and by the People and for the People. We have long since allowed for our Nations Flag to become a Corporate Flag, We have long since allowed the slogan of our nation E PLURIBUS UNUM, translated from Roman Latin to English means: Together As One, to becoming a catch phrase or a sales pitch. I live in a Democracy, I was Born in Democracy. I do not wish to see my Country become a Hypocracy or a Theological Empire owned and operated by every major Fiduciary, Brokerage or Banking House on both sides of the street. I wish not to see the literacy and scholastic achievements of my nation slip into oblivion are used by mindless political hacks and greedy blue bloods as a means to obtain their power or achieve their goals. I would rather for the United States prove to the World that we are much much more intelligent than what these greedy low lifes want us to become but what we can achieve by hardwork and perservance. I am utterly fed up at watch fellow citizens led to believe that division is good while those at the top laugh at the ants in the ant farm. I am not an ant, I'm a human being, I am not an insect, I am a human being, I will not allow for myself to be led like a sheep to slaughter. I am a human being and a independent minded American Citizen, the type of citizen en-which the like of George Washington, Ben Franklin and Thomas Payne would be proud of. But Richard I have one question for you. Wheres the pride when you sell your soul for a pocket full of Gold? Richard, they can take my job, they can take my money. But they sure as hell will not take my pride or principles.
Funny how everyone is looking to blame something or someone when times are bad, it's the Unions, it's the President ?? really? I don't remember him coming up with these financial products. Unfortunately all these problems are a result of our Capitalistic structure with laxed oversight. It obviously could not be sustainable. And, everyone is to blame. The bankers that came up with these financial vehicles, the government who turned a blind eye to regulating them, and Joe (main street) who borrowed his way into debt and/or living beyond his means. When your personal income does not triple in 5 years but your house mortgage affordability with no money down triples, then there's something wrong. Do the math, it does not compute! Alot of this comes down to lack of financial education. Joe/Jane Main street signing mortgages not even knowing the costs or terms involved. Why does mortgage paperwork have to be so complicated to figure out anyway. This is something the government can help out with -establish easy to understand paperwork sort of like the New Cars Window Stickers which are easy to look at and easy to understand -no funny business. When you can have middle men (Mortgage Brokers) that can write mortgages, take their cut but not be responsible for collecting that debt we end up having this kind of scenario. It's unfortunate) but human nature to take advantage of these loopholes in a system. This should not have happened especially considering we just had this same problem in the 80's with the savings and loans crisis. Joe/and Jane mainstreet getting screwed and losing all their money they worked to save up for. It's pathetic and an outrage that this Scam -and it is a scam people was able to take root. My advice -educate yourselves and when money comes into play -trust noone, always do the math yourself. There will be another scam, it's guaranteed to happen. The financial folks dream up this stuff. They will find something new to exploit. - My 2 cents
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