Bill would aid marina owners

By CHRIS HARRIS, CJ Staff Writer
Commonwealth Journal

Somerset June 12, 2009 07:30 pm

— Earlier this year, local government entities challenged the U.S. Army Corps of Engineers, claiming that the region was done harm econ-omically in the effort to shore up the ailing Wolf Creek Dam.
Now, it appears the power of politics has stepped in to save the day. Along with U.S. Rep. Ed Whitfield, who represents some counties surrounding Lake Cumberland, inclu-ding Russell County, Somerset’s own Congress-man Harold “Hal” Rogers has introduced legislation designed to aid marina owners whose operations have been hurt by the lowered lake level over the last couple of years.
Down about 40 feet below normal pool level, Lake Cumberland was lowered to ease pressure on the dam while construction efforts are underway. The result has been a drastically-different looking lake, one that has completely dried up in some local recreational hotspots, and has necessitated astronomical expenses in such changes as ramp extensions and even moving whole marinas — not to mention waning tourism numbers, which has an economic ripple effect for almost every business in the region.
“Scenic Lake Cumberland has been the hub of economic development in our area of southern Kentucky for years,” said Rogers. “Many marinas have had to incur tremendous expenses to accommodate the lower pool, such as relocation and investments in additional infrastructure, and these unanticipated expenses have significantly disrupted their cash flow.”
The legislation, H.R. 2821, would assist counties and marinas adversely affected by the dam rehabilitation project by suspending lease payments for marina owners on Lake Cumberland until higher water levels are restored. It would reimburse these businesses for losses in revenue, costs of relocating on Lake Cumberland and interest payments on loans undertaken as a result of the project. To ensure county governments surrounding Lake Cumberland do not lose funding they otherwise would have received from marina lease payments, the legislation directs the Corps of Engineers to reimburse the counties for lost revenue.
“The U.S. Army Corps of Engineers has been tasked and is hard at work with correcting structural issues with the dam, and Congress has diligently provided vital funds for the continuation of this project. I have no argument with this work or the funding,” said Rogers. “However, insufficient relief has been made available to those who have tied their livelihoods to this lake and who, through no fault of their own, are enduring a government-induced hardship. The bill introduced today will correct this and provide some measure of relief to the hardworking small business owners scattered along beautiful Lake Cumberland.”
In March, the Pulaski County Fiscal Court and Burnside City Council both announced resolutions seeking more help from the Corps since the efforts made to repair the dam, beginning in 2007, have had such a monumental impact on the local economy.
Burnside Mayor Chuck Fourman said that this bill is “a good first step” but that more “could possibly be done” to help the troubled lakeside communities.
Pulaski County Judge-Executive Barty Bullock said, “We really appreciate (Rogers’) interest and him stepping up for the local folks.”
J.D. Hamilton, owner of Lee’s Ford Marina, had also been critical of the Corps of Engineers, telling the Commonwealth Journal in April that they cost him $2.5 million while ignoring his pleas for assistance. The Corps owns the land on which Lee’s Ford Marina operates.
Hamilton is pleased with the legislation, although he’s not about to declare it a cure-all for his woes and those of so many others dependent upon tourism.
“We think (this bill) is very necessary,” said Hamilton. “You have people going broke on this lake through no fault of their own. We’re really victims of the rehabilitation. I take no issue with the rehabilitation, but I think there should be some assistance.”
As an example of his troubles, Hamilton noted that in one year, his gross sales revenue dropped 34 percent — a significant loss. Hamilton also pointed to some marinas which have changed hands, and others which have moved — which, for Buck Creek Boat Dock, resulted in the destruction of the entire facility earlier this spring.
“We’re all going to suffer through this,” he added, “but we want to survive, and this legislation will help us (do that). It won’t get us whole, but it will put us in a position to survive.”
An estimated 4 million visitors travel to Lake Cumberland every year to take advantage of the lake’s many attractions, including world class bass fishing and boating. Visitors contribute $70 million annually to the local economy, benefiting a wide array of businesses in the surrounding counties, including almost a dozen marinas. Hamilton noted that 78 percent of all lake visitation comes through the marinas.
“Lake Cumberland is a vibrant party of the Kentucky culture and a vital part of the local economies surrounding the lake,” said Whitfield. “During tough financial times, we need to do all that we can to protect small businesses and help spur economic growth. This legislation will help safeguard the critical tourism industry in the Lake Cumberland region, ensuring a bright and prosperous future for the entire region.”

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