Thursday, April 13, 2017
Kinkisharyo's is a light rail car assembly facility at Plant 42. It recently celebrated in its production of its 78th rail car for the Los Angeles Metro Authority. This completes their first contract with LA Metro and moves them onto a new beginning. All the manufacturing is done at the Plant 42 plant in Palmdale with about four hundred workers. It is part of an almost billion dollar contract to deliver over 200 rail cars. The recent completion triggers a new phase and new agreement with LA Metro to produce more cars, and to expand the plant. If you recall several years ago there was a big legal disagreement. The unions accused Kinkisharyo of violating environmental acts. This forced the company to consider a move to Phoenix Arizona where other manufacturing is done. The disagreement would have killed jobs in Palmdale, which the city desperately needed. The company felt the union move was ruse by the union to force the company to use its workers. The company decided to drop their factory expansion, but they later won an agreement to use an existing building once operated to make the B-1B bomber. A swords to plowshares change. Additionally the company agreed to not fight unionization. The Palmdale workers are now represented by the International Brotherhood of Electrical workers. This success provides security and jobs in the valley, and it is not just as airplane bomber producing area, but an environmentally conscious area as it is combined with the BYD electric bus manufacturing in Lancaster. This keeps workers in the area, which busts the local economy and areas growth.
Saturday, April 1, 2017
California Marijuana Law may save Insolvent Cities. Lancaster Approves Marijuana Cultivation in City Limits
The city of Lancaster has given the final approval March 2017 in allowing commercial cultivation of marijuana for medical purposes, but it banned commercial growing or selling it for recreational use. They approved five as the limit on businesses allowed to grow within the city limits. This will be allowed on Lancaster industrial zoned land according to reports. Places like Desert Hot Springs in the Coachella Valley has been inundated by marijuana growers and developers. Buyers are buying land without utilities or even roads. Some brokers are getting calls from all over the world. The Mayor is all for it. He wants parks, roads, sidewalks and he is looking for the tax revenue to do it. The medium household income is under $35k, and the city declared a financial emergency a few years ago. They have since pushed for dispensaries and cultivation. It seems the city planner will be open to new farmers. Growers in California will be able to apply for state licenses by 2018. The catch is these growers will need to get a local license before the state offers the permit. Will this frenzy also be a growth opportunity to farm land in Antelope Valley? The valley has a long history of farming, so it would be a likely target area and it is closer to customers in Los Angeles than Desert Springs. The city of Lancaster says no currently to recreational use farming, but not sure what LA County approves. There are other issues as some utility firms indicate that the power needs may not be enough in some rural areas, and water is a big issue in southern California. Some of these issues may require an infrastructure study. Perhaps larger operations could use brown water as the water source. There has been a push to use the expansive Antelope Valley as a brown water aquifer. Let nature clean the water and maybe water the buds along the way. Other cities like Cathedral City, and Adelanto have recently accepted applications for growers. The competition for land and permits may spur growth, but first you have to get that permit and then talk to land sellers. Adelanto was also almost insolvent. This seems to be the push for some California cities in desperate need for revenue then they will be lenient with permits. The penalties for cultivating marijuana or operating a grow house illegally (a property used primarily for the cultivation of marijuana) can vary depending on the specific circumstances of the case. Usually the penalties can include heavy fines and incarceration in prison for up to 3 years.