Delta Airlines Refining Oil Doesn’t Solve The Problem

Psst: Don’t tell anybody, but the worst-kept secret in  Pennsylvania is that the natural gas industry --- the only economic salvation our dying state had--- is leaving in droves, replaced by job loss, budget holes and despair.

Like most tragedies, this one was preventable. Only common sense and foresight were required. But those traits were pumped dry long ago, so instead of experiencing a booming economy rooted in the rebirth of American manufacturing, Pennsylvania is now witness to yet another long exodus of our best and brightest.  And the Commonwealth’s march toward permanent mediocrity is accelerating.

Natural Gas Industry Exiting PA

As with most things, our elected officials couldn’t see the forest for the trees, and now that the gas industry is packing up their mobile rigs and making for greener pastures, (or, more accurately, black pastures, as in Black Gold), the recently passed gas “impact” tax will be as impactful as Mitt Romney’s Position-du-jour.

Why is the gas industry leaving? Simple. They are losing money hand over fist, as natural gas is sitting at a ten-year low due to lack of demand.  So let’s get this straight.  We ignore cheap, abundant and clean natural gas while continually getting hosed at the pump from record-setting oil prices. And as a direct result of soaring gasoline prices, inflation is rising unchecked and true economic growth is vaporizing before our eyes.

Only in America --- literally.

No other country on the planet would permit this kind of self-destruction, willfully sending hard-earned money to overseas adversaries while doing everything in its power to bite the (domestic) hand that feeds it. And that paralyzing incompetence comes from being fat, dumb and lazy while aggressive competitors do whatever is necessary to gain an advantage.

Because of this choice, the U.S. remains dependent on others for its energy needs.  In addition to the obvious national security concerns (we wouldn’t be expending blood and treasure in the Middle East if we drilled domestically), we are willfully engaged in the greatest transfer of wealth in the history of mankind, as hundreds of billions go to China and Middle Eastern oil barons because we refuse to harness our limitless natural resources.

The way out of the recession --- permanently --- is to keep American petro dollars here.  And by the way, “here” doesn’t mean Canada, since it too is a foreign nation. So Republicans need to stop their grandstanding about the Keystone XL pipeline, which, if approved, would only re-direct American money to our Canuck friends.  By definition, that neither achieves energy independence nor creates large-scale American jobs. But never let the facts stand in the way of a good political gimmick.

America will never compete with Chinese labor costs, but the untold story is that we don’t have to.  We beat them by having the world’s cheapest energy costs, and that, along with reworked trade policies, would level the manufacturing playing field and get America making things again.

Just look at Proctor and Gamble’s manufacturing plant in Pennsylvania.  An energy bill in the tens of millions was virtually eliminated after the discovery of natural gas under the plant.  Saving that much money leads to company expansion, additional jobs, more service industries, and a larger tax base. 

But instead of embracing that kind of success, our leaders have punted the ball. Why haven’t all state buildings and vehicles been mandated to operate on natural gas? Why haven’t tax incentives been offered to private sector companies willing to invest in natural gas refueling stations? Why haven’t efforts been made to rescind job-killing and innovation-stifling regulations? Why weren’t the success stories of companies like Proctor and Gamble told and sold by our top political leaders? 

No vision, and no gameplan. And now it’s getting late in the fourth quarter.

Converting the refineries

But there is an opportunity that could provide the same type of boom on a much greater scale: convert the Sunoco and ConocoPhillips refineries in Philadelphia to process natural gas rather than the much more expensive crude oil.

(Note: While a Delta Airline’s subsidiary just bought the Conoco refinery to make its own jet fuel, we’ll see whether that high-altitude idea flies, since airlines have a hard enough time staying in the air financially.  An airline getting into the fuel business has the right idea, as lower fuel prices will make their bottom line take-off.  But given the industry’s track record, that type of diversification could send Delta into a tailspin, possibly ending in a crash-and-burn scenario. And that would occur for much the same reason that the oil companies themselves are divesting themselves of their refining operations --- wild fluctuations in the price of oil and mindboggling regulations make it inherently unprofitable.)

However, if Delta really wanted to lower costs over the long-haul, it might consider retooling its refinery to convert abundant natural gas from 100 miles away to jet fuel ---rather than relying on oil shipments in a volatile market from across the world.

Sure, converting a refinery to process natural gas rather than oil takes a significant investment, but it is one that would pay huge dividends given that America’s insatiable appetite for energy (and in Delta’s case, jet fuel) will only increase.  And that’s a good thing, because increased energy demand means companies are thriving, jobs are being created, people are traveling and the economy would be truly gaining strength (unlike the disingenuous “recovery” claims now made by government and the media).

How to do it? After the refinery conversion (and elimination of many energy-sector regulations that drive up costs), immense amounts of “dry” natural gas, primarily from northeastern Pennsylvania, would be piped down to the refinery, utilizing the right-of-way alongside the Northeast Extension of the Turnpike.

The dry natural gas would then be converted to gasoline, diesel, and jet fuel --- at a consumer price point that may well be under $2 per gallon.  Fuel that inexpensive becomes an instant win-win: the rebirth of manufacturing, big job gains, fewer foreclosures, and the satisfaction of knowing that national security is bolstered every time you hit the pump.

In addition to Philadelphia’s refineries being in an ideal location for disbursement of those refined products, there is yet another opportunity for economic growth.  To meet what would surely be increased domestic and overseas demand, a pipeline could be constructed down the Delaware River, terminating offshore so that tankers could safely take on their loads out at sea.

(A liquefied natural gas tanker explosion, whether accidental or deliberate, would be akin to a small nuclear weapon. While extremely unlikely, that possibility would nonetheless present huge political challenges in allowing large LNG tankers in the Delaware River.)

Refine Our Way Of Thinking

Despite their good intentions trying to save the refineries, some politicians have missed the boat by only pushing the idea of exporting natural gas from Philadelphia.  That won’t create jobs, as we would merely be shipping the gas to be refined elsewhere.  How ironic that would be, watching Pennsylvania export its lifeblood in the shadow of three refineries, any and all of which could keep all of the economic benefits here, and none of which will likely be profitable refining oil as currently outfitted.

Failure to convert the refineries may well kill off the gas industry altogether, making us ever more dependent on foreigners for our vital energy needs while prices continue to soar.

But if we rekindle that slumbering can-do American spirit and put America first for a change, the possibilities would be limitless, and we would no longer be bent over a barrel.

And what a gas that would be.

An accredited member of the media, Chris Freind is an independent columnist, television/radio commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com  His self-syndicated model has earned him the largest cumulative media voice in Pennsylvania. He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Second in a series on how retooled refineries can save jobs and revitalize manufacturing

“Thank you for trying to get those who should understand the urgency of energy independence, jobs, and our future…to do so.  (We are) loading up the SUV almost every day to give away household items to Neighborhood Services and friends…and preparing to relocate if necessary.  You are right… finding middle class wages here in Pennsylvania is challenging if not impossible.  The blood, sweat and tears of years planning and building our dream home only to sell it in a bad housing market is like adding salt to the wound….”

This heartbreaking message was sent by a distraught wife of a 19-year Sunoco refinery worker, as that company’s two refineries (Philadelphia and Marcus Hook) are slated for closing, as is the ConocoPhillips refinery in Trainer, Delaware County, if no buyers are found.  Making the sin mortal, there are reports that the ConocoPhillips plant might be dismantled, shipped overseas, and resurrected in a foreign—potentially adversarial — country.  But this is nothing new, as America’s abandonment of its manufacturing base has often included shipping entire facilities overseas for the benefit of our competitors.

Can it be reversed? Is it possible not only to save these refinery jobs but at the same time create a rebirth of American manufacturing — mandatory for the nation’s future since no country has ever survived without an industrial base?  Many “experts” will arrogantly claim “no,” that America can’t compete with Chinese labor costs, and smugly proclaim that manufacturing is passé anyway— unnecessary in a modern 21st century economy.

Unfortunately, the wrong people here are losing their jobs.  The backbone of America shouldn’t be facing the unemployment lines. The so-called experts, including the politicians from both Parties who got us into this mess, should be the ones getting canned.

(See Freindly Fire’s Sunoco Refinery Part One:)

http://blogs.phillymag.com/the_philly_post/2011/12/21/save-philadelphias-sunoco-refinery-jobs/

But if we are to save jobs by retooling the refineries to process God’s gift to Pennsylvania (and the nation) — Marcellus Shale natural gas — it is imperative to stop the blame game and halt the tendency, while natural in a time of such high emotion,  to conveniently point fingers at whatever “boogeyman of the day” caused this unfortunate situation. Likewise, the fly-by-night ideas proposed by some shortsighted politicians must be seen for what they are: either clueless suggestions or a naked pandering for votes.

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Who Didn’t Cause The Problem

Sunoco

A million dollars is a lot of money — who hasn’t thought about having that much cash? You could do a lot with a mil per year, even more if you made that per week, and would be king of the world if you raked in seven figures per day, especially if that that was the case for three straight years. Life would be sweet — unless, of course, you happened to be in the sweet crude oil refining business in a deteriorating market.

So let’s be consistent. If making a million a day is desirable, losing that amount on a daily basis would be, in professional financial nomenclature, very, very bad. Common sense tells us that anyone losing a million a day for three years would do everything possible to stop the hemorrhaging. Welcome to Sunoco’s plight.

Ask any student unschooled in economics what the primary objective of business is, and he will invariably answer, “to make money.” Wrong.  Making money is easy.  Earning a profit by taking in more than you spend — the correct answer — is the hard part.

Despite the misguided “Occupy” mentality that profits are nothing more than gluttonous greed, the truth is quite different. They are necessary to expand operations, hire more personnel, pay salaries and benefits, and contribute to the overall health of a company —and the entire economy.  (Not that Wall Street greed doesn’t exist in numerous other forms, much of which should be regulated/outlawed, but that is another column).

Sunoco and ConocoPhillips are not in the “business” of losing money, and their past profits and payouts to shareholders are completely irrelevant to the fact that the outlook for the refining business is bleak.  They are under no moral, ethical or financial obligation to keep the doors open. Keeping people employed inefficiently—READ: subsidized — in a business with no possibility of profit is anathema to the Free Market and would eventually collapse the entire entity.  This is not speculation but economic certainty.

And if you want to see what happens when this course is recklessly pursued, pull up a chair because you’re in luck. You have a ringside seat watching such an implosion in action: the unsustainable economic policies of the United States Government.

It is also important to note that in 2009, Sunoco announced a significant worker layoff in an attempt to improve company competitiveness — and all were white collar, with no unionized personnel getting pink slips.  Closing the refineries is anything but anti-labor.

Unions

The refinery shutdowns have nothing to do with “greedy unions sucking too much money” from the companies’ bottom lines, as some critics of organized labor incorrectly state. Many of those in refinery operations are highly- skilled union workers who have made a solid living over the last several decades. But a look at the market conditions shows such a minefield ahead for the companies that no amount of concessions would come close to solving the problem.  In the big picture, the significant obstacles facing Sunoco and ConocoPhillips are infinitely greater than any “high” labor costs associated with operating the refineries.

Just like “evil empire” rich oil company executives make inviting targets for blame, so do “pillaging” unions who “want more for doing less.” Is either side perfect? Of course not, since there is no such thing. But while both make good scapegoats, it is simply counterproductive to continually throw darts at them.  Insults don’t solve problems. Strategic vision and genuine partnerships do. The only thing that matters is solving the problem — and quickly.

Obama

Some find it convenient to blame the President for everything from high gas prices to their children getting a bad test grade. While he certainly has his faults, he extended his hand to the Republicans on the single most important issue of our time — moving America towards energy independence.  If some of his suggestions had been enacted (which, in reality, are part of the Republican platform), they would have quite possibly made the refining outlook much brighter for Sunoco and Conoco, and the shutdowns may not have occurred.

And the GOP response? No bills were introduced, and they absolutely refused to work with the President, with many stating that “he didn’t really believe what he was saying.”  What a brilliant, mature response.

For the disbelievers who need proof, just watch the President’s 2010 State of the Union speech, when, in front of the entire nation, he urged Congress to expand our offshore drilling ventures, and freed up millions of acres of coastal water for exploration and development. In addition, he called for an increase in nuclear power plants across America and pursued loan guarantees for new facilities (even one year later in light of the Japanese disaster).

Which was interesting, not only because he went against one of his strongest constituencies (the environmental lobby), but also because Obama’s move threw a wrench in the conspiracy that he was a closet Muslim who wanted to weaken America. Pushing for energy independence would be the polar opposite way to achieve that goal.

Granted, Obama has not been stellar in following up on his domestic drilling initiatives after the BP spill, and has yet to authorize the critical Keystone XL Pipeline project, but those shortcomings pale in comparison to the other Party’s inaction.

What did oilman George W. Bush or his Halliburton-affiliated sidekick Dick Cheyney do to increase domestic production? Zero.

Or the patriarch of the Bush family, George Herbert Walker Bush?  Well, it was the elder Bush who signed the moratorium on offshore drilling. His son W. left it in place for seven years, despite having sizable majorities in both Houses of Congress. Only after fuel costs skyrocketed to over $4.50 per gallon in 2008 did he call for the lifting of the moratorium. But it was too little, too late. And it never happened.

What could have prevented those crippling spikes at the pump? Offshore drilling — both off the continental shelves and in ANWR (the Arctic National Wildlife Refuge) — and the construction of new refineries, given that the last one was built in 1976.

And what better time to have pushed it through than right after the September 11 attacks. In addition to having a Republican congress and nearly 100 percent of the nation behind him, Bush had the world’s goodwill in his corner.

Instead, this nation’s reliance on foreign oil — which is a nice way of saying we are pumping billions of petro dollars into the coffers of some who are hell bent on destroying us — has only increased.

And this week, gas hit another all-time high for this time of year.

Both Parties are guilty of forsaking America’s security and economic well-being. It is only right that they atone by eliminating the red tape, bureaucracy and onerous regulations placed upon the energy industry, as well as rescind the economy-killing taxes on fuel.  Those steps would make it infinitely more palatable for entrepreneurs to convert the refineries, keeping those strategic assets and jobs exactly where they belong: in America.

Parts Three and Four will detail solutions for how refinery conversions can jumpstart the economy through specific uses of dry and wet natural gas — while NOT making Philadelphia a port for Liquefied Natural Gas. 

Chris Freind is an independent columnist, television/radio commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com  His self-syndicated model has earned him the largest cumulative media voice in Pennsylvania. He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Although Freindly Fire has never been known for sarcasm and negativity, it feels compelled as a civic duty to point out this year’s biggest losers. 

So with very little pleasure (okay, maybe a little), here are some of 2011’s notable wankers:

Philadelphia Phillies

A colossal failure. Period. End of story.

But this being Philadelphia, further explanation is, of course, warranted. Yes, they won the (ridiculously weak) National League East Division for the fifth time in a row. Yes, they set a franchise record for regular season wins. Yes, there was one World Series Championship three years ago. And yes, they will probably win the Division again in 2012. So what?  All meaningless. 

And for anyone who actually believes any of those achievements mean squat, well, you’re delirious from being an Eagles fan. 

The team --- the only one in the nation’s top four markets which does not share its city with another franchise --- was billed as having the best rotation in baseball history and a powerhouse lineup of battle-tested veterans.  But when you enter Yankee territory, as they claimed they did, anything short of a Championship must be viewed a total failure, as there are no points for second place.

The blame should be laid at the feet of the players, several of whom refused to hustle and play fundamental baseball, and more importantly, the coaches who didn’t address those problems.

So while the Phils are still a dangerous team, their window of opportunity is closing fast. Time to lose the ‘tude and play ball the way Little Leaguers and consistent World Series Champs do. Otherwise, Charlie Manual will become the city’s next Andy Reid. (Alright, that’s a stretch. Andy’s in a class by himself.)

NBA

Speaking of sports, shame on the NBA for ending the lockout.  If they really cared about Fan Appreciation, they would have continued the impasse for the next decade. It was leaps and bounds more exciting than anything the 12 people watching a typical NBA game will see.

Jerry Sandusky, His Wife Dottie, Penn State, Tom Corbett, Joe Paterno, and Mike McQueary

At the very least, all failed the test of moral leadership, permitting small, defenseless children to live a nightmare from which they may never awaken --- because no one would help. How could Happy Valley seem more like Yemen, where child sex trafficking and molestation is an accepted fact of life?  Even if Penn State turns into the State Pen for those who may have done wrong, it will be little solace to the victims.

And all the folks on this list, whether directly or indirectly, have blood on their hands. For shame.

Mitt Romney

Is Romney the most intelligent candidate running for President? Probably. Is he a successful businessman? Undoubtedly.  But what does it tell you when, after campaigning for five years and spending hundreds of millions, Romney still can’t even muster 30 percent of the GOP base? In other words, seven of ten Republicans simply don’t like him.

And it’s not rooted in his issue positions (though his Romneycare law in Massachusetts doesn’t help), but that he has no core convictions on…anything.  The man is the very embodiment of an articulate politician without a soul, one who will say whatever it takes to get elected.   So prevalent is his flip-flopping that he couldn’t even decide whether to campaign in Iowa. Contrast that to Congressman Ron Paul, whose support is surging for the opposite reason --- because he has been steadfastly consistent throughout his entire political career.

It’s a lesson totally lost on Mitt.  He’s so out of touch that he doesn’t understand the peoples’ yearning for a leader who stands for something and sticks to his guns.  Instead, Romney’s “be all things to all people” approach has him foundering, and will make him an inviting target for Obama should he win the GOP nomination.

Romney is the best Christmas present the GOP could give the Democrats.

Hollywood Movie Studios

Fewer Americans went to the movies this year than at any point in the last 16 years. Sure, the economy is in the toilet, tickets are expensive, and you need to take out a second mortgage to buy Raisenets, but they are all symptoms of a much greater illness: Hollywood’s product continues to decline.

Most flicks are flat-out horrible, but Hollywood execs don’t care. Their formula of hiring a star and throwing in some special effects is enough to dupe Americans into opening their wallets.  And despite the dismal box office numbers, don’t look for that to change anytime soon.  As long as they can make enough money to get near breakeven in North America, they’re still be laughing all the way to the bank because the foreign box office is providing the big haul. In fact, it was a record year for overseas profits. Which means that folks in Indonesia who are still starstruck will ensure more of Hollywood’s mediocrity for the foreseeable future.

Or here’s an idea: maybe Hollywood could stop looking for the easy way out of making remakes of remakes and using the same musical score ad nauseam ---just listen to Pirates of the Carribean (2003), Gladiator (2000), and The Rock (1996) --- and reinvent itself.  Sure, it takes effort to be creative, but that’s what made Hollywood the most powerful force in the world.

Most people couldn’t name one U.S. Senator, nor do they care.  But when Hollywood produces a creative, classic movie, it touches the soul, inspires, motivates, and enlightens (Remember the Titans meets all that criteria and then some).  It makes people think in a way they normally wouldn’t, and more often than not, produces a smile.  When was the last time Congress did that?

The slogan of the G4 network is playing “Movies That Don’t Suck.” Since that list is growing thin, let’s hope Hollywood regains its footing and returns to its glory days by putting blood, sweat and tears ahead of the easy buck.

Jim Matthews, Joe Hoeffel, and Montco Residents

Even in its most creative mode, Hollywood couldn’t have scripted this soap opera. Four years ago, the GOP won control of the County Commissioners, but Jim Matthews forsaked loyalty for power and sided with Democrat Joe Hoeffel, giving the Chairmanship to himself and power, effectively, to the Democrats. Top vote getter Bruce Castor was left out in the cold.

So (in)effective was the dynamic duo of Matthews-Hoeffel that both got the boot from their respective Parties and were forced into retirement.  And for the first time ever, the Democrats took control of Montgomery County.  So once again, Castor will be the only voice of reason as the Dems will most certainly raise taxes and get cozy with the unions.

But in a most fascinating twist, Matthews was recently arrested on perjury and false swearing charges for allegedly lying to a Grand Jury about his relationships with county vendors.  The Grand Jury found that “Matthews lied with such ease and frequency, that he acted as though, as Chairman of the Montgomery County Board of Commissioners, he is above the law.”

When you’re arrogance knows no bounds, what goes around comes around. And for Jim Matthews, the red and green colors of the season may well turn to jumpsuit orange.  So in the spirit of giving, Freindly Fire will send Jim a belated Christmas present, just to be safe: Soap-On-A-Rope. 

Pennsylvanians

Maintaining the status quo simply isn’t good enough when the state has an effective unemployment rate above ten percent. So to solve that problem, what did Republican Governor Tom Corbett and the GOP-controlled legislature achieve? Pretty much zilch.

Sure, the budget wasn’t increased, but that wasn’t due to political courage but the fact that the federal stimulus funds had evaporated. And yet, despite many good programs going on the chopping block, the “fiscally conservative” Republicans still spent money on a lavish union deal, the Yankees’ AAA stadium, a bailout of the Philadelphia Shipyard to build ships with no buyers, and ---while not ultimately spent --- a grant to Jerry Sandusky’s Second Mile Foundation.

What of the signature issues that will be ignored in the upcoming election year? School Choice? Dead as Marley’s Ghost. Liquor privatization? Forget it. Reducing the second highest corporate tax in the nation --- a certified job killer? Not going to happen.

And how about the virtually limitless cheap natural gas under Pennsylvania? It still hasn’t dawned on the Governor to mandate that state buildings and vehicles utilize that gift --- which would be an economically and environmentally sound policy.

So because the demand for natural gas remains so low, the industry will cap their wells and move out of state, and we won’t have them to use as a convenient punching bag anymore. Brilliant.

So Pennsylvanians will suffer as more opportunities to bring the state into the 21st century are squandered.  The politicians change, but the dismal results stay the same.

Happy New Year!

Chris Freind is an independent columnist, television/radio commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com  His self-syndicated model has earned him the largest cumulative media voice in Pennsylvania. He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Part 1 of a series on saving refinery jobs and getting America working again

For the tens of thousands whose livelihoods depend on the Sunoco and Conoco-Phillips oil refineries in Philadelphia, Marcus Hook and Trainer, the Grinch arrived early this Christmas, announcing that all three facilities would be closing in the near future.

But unlike the Grinch who delighted in causing misery for the sake of misery, the oil companies seemed to have no choice.  Their hand was forced by a combination of market forces that saw them losing millions every single day.

And now, short of the companies finding buyers, those workers will be thrown out into the cold, unemployed in an America that is plunging further into the abyss. An America that doesn’t make a bloody thing anymore.  An America with the highest corporate taxes in the world.  And an America with trade policies that sell out its own citizens.

Making matters worse, most of the workers will be seeking new jobs in Pennsylvania, one of the least competitive states in the nation when it comes to attracting new companies.

Doom and gloom? No, just the hard truth.  And here’s another one. Short of packing up and moving to refinery-laden Louisiana, most of the laid off workers will never find a job in this region close to the pay scale and skill level which they are leaving.

Welcome to The New America, one that too often puts the interests of its competitors --- and even its adversaries --- ahead of its own citizens.

Compounding the problem even further (if that’s possible) is the unwanted involvement of those who caused our economic mess in the first place --- the politicians.  And, as they continue to demonstrate, they don’t have the slightest clue as to how to right the ship.

Politicians need to be taken out of the equation. Pandering for votes by holding pointless meetings with refinery and union officials isn’t solving anything.  It only gives false hope (while providing them with 30-second sound bites).

But here’s the good news.  There is hope, more than can be imagined. Those refinery workers could not be sitting on a better spot on Earth to reap the rewards of a massive opportunity --- the correct utilization of the Marcellus Shale natural gas bonanza. If the politicians do their most important job --- and the only one they should be doing --- of cutting bureaucratic red tape and slashing stifling regulations, the free market will take hold, creating jobs and wealth of unprecedented proportions.

But that’s a tall order.

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Former Governor Ed Rendell, while certainly an affable chap, was never mistaken for a genius, especially when it came to getting Pennsylvanians working again.  His mentality was that a paternalistic government knows best, derived no doubt from the fact that he virtually never held a private sector job in his life. Thus, he was wholly incapable of understanding the difficult decisions that businesses must make to maintain profitability.

So it was no surprise when, in 2009, Rendell inserted his nose where it didn’t belong, publicly excoriating Sunoco for its decision to lay off some of its salaried workforce.  Sunoco officials had stated the move was geared towards remaining competitive, as the company was anticipating a “more difficult economic reality” moving forward.

Taking his criticism even further, Rendell flatly rejected the decision-making of Sunoco’s Chairman and CEO Lynn Elsenhans, arrogantly saying he couldn’t take her at her word. Incredibly, he went so far as to state the “real” reason for the layoffs: “They are solely intended to make a profitable company more profitable and helping pad the dividends paid to shareholders.”

So if Ed was correct (which is always the case – just ask him), Sunoco’s recent decision to shut down its refineries --- permanently --- must be because it’s just making too much money. 

Or…

Maybe the folks at Sunoco had a slightly better idea than Ed Rendell of the deteriorating market conditions coming down the pike, and maneuvered accordingly to keep its head above water.  Despite their best efforts though, Sunoco did not meet with success, as the closures clearly indicate.

Now the big questions loom --- can the refineries be saved, will a buyer be found, can they be converted to refine natural gas, and, of course, what will be the fate of the thousands of families whose livelihoods depend on the refineries?

While Rendell is out of the picture, the involvement of other elected officials still leaves a lot to be desired.

Earlier this week, members of Congress emerged, extremely frustrated, from a meeting with refinery officials, complaining that the company wouldn’t reveal details about highly confidential strategic negotiations with potential buyers.

Earth to Congress: Have We Met? Who do these guys think they are that Sunoco owes them an explanation for anything, let alone sharing privileged information of the highest magnitude? And do we even have to mention that Congress hasn’t been able to keep anything secret in 200 years?

And last month, a bipartisan congressional delegation called on the U.S. Energy Information Administration (along with the U.S. Department of Energy and the Federal Energy Regulatory Commission) to conduct an impact analysis on the potential of the refineries’ closure.

Uh, here’s a not-so-humble message to each member of that delegation: your proctologist called.  He found your head.

Are they serious? Another Blue-Ribbon study to tell us what any sixth-grader already knows? 

It will be bad.  Very, very bad. Jobs will be lost, families thrown into chaos, houses foreclosed, businesses shuttered.  The refining capacity for the East Coast will suffer tremendously (not helped, of course, by the fact that we haven’t built a new refinery in America since 1976). Prices will increase. Volatility will spike. And America will, yet again, find itself bent over the barrel, spending billions more petro dollars buying oil from hostile nations because we (READ: Congress)  will not do the obvious --- implement a policy of energy independence.

So let’s save the tens of millions of taxpayer dollars on an absolutely meaningless study, and do something novel: solve the problem!

And to reiterate Step One, the politicians woefully short on private sector experience and who lack the necessary vision to turn an unfortunate situation into a positive one need to get out of the way and let business-savvy entrepreneurs do what they do best: create opportunity.

Energy is the single most important industry in getting America back on her feet again.  And retooling the refineries here in our backyard ---the right way, for the right product, to fulfill the right vision --- is the blueprint to make that a reality.

And what a Christmas present that would be!

(Part Two will specifically examine what should be done to save the refineries and their jobs).

Chris Freind is an independent columnist, television/radio commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com  His self-syndicated model has earned him the largest cumulative media voice in Pennsylvania. He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Long oppressed by their strongman leader, the rebels finally had their day. With immense military and political help from the West, they first toppled the regime, and later, the dictator himself.  At long last, “freedom” was theirs, although as we have come to know, one person’s freedom is another’s hell.

And how did the rebels show their appreciation to their liberators? By showering them not with roses, but roadside bombs, bullets and vitriol. Their message? “Thanks --- now get out.”

So it was in Iraq, and so it will be in Libya.

Amazingly, Western leaders either don’t read history, or, more likely, do so and arrogantly think they can avoid the same mistakes.

They can’t.

The objective of the US and NATO was to remove Gaddafi. Well, mission accomplished. But once again, the age-old adage applies: Be careful what you wish for…you might just get it. And get it they did, but now what? How much more blood and treasure will be expended to maintain a presence in a country that was a) stable, b) a Muslim “ally” of the West, and therefore c) didn’t need an occupying Western presence?

Sadly, too much.

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There was no question why the U.S. became involved in Libya.  It wasn’t about stopping a dictator or civilian deaths.  And it’s wasn’t about democracy and freedom.  It was because Libya produces a lot of oil. Period.

Need proof?  Among numerous examples, just look at Syria.  They continue to massacre their citizens and foment terrorism, but their petroleum production is but a fraction of what Libya pumps out annually. Case closed.

So America once again did much of the heavy lifting, giving its imprimatur for the airstrikes which led to the rebels taking down Gaddafi.  

But it seems that we have forgotten one small thing.  Those rebels --- who brutally and gleefully executed Gaddafi in full view of cameras, and are now “running” the country --- are the same folks who comprised the largest fighting force outside of Iraq to engage the United States military in that country.

That bears repeating.

We just backed the very same people who have been shooting at us for the past eight years.  A naïve question, to be sure, but did anyone in charge actually bother to think about this before participating in the regime change of a sovereign nation?
 
The rebels, who are no longer rebels but now governmental “leaders,” have tasted power. They are getting used to carrying out the law ---their law --- on the spot, administering justice as they see fit. To think that they are just going to lay down their weapons (which we provided) and obey orders from a civilian politician is a fairy tale. Just look at the recent revelation that upwards of 20,000 portable surface-to-air missiles, each capable of downing a jetliner, are missing and feared to be in unfriendly hands. What a shock.

The result will be chaos and armed factions roaming the country.  And when they are pressed further, look for car bombs and oil pipelines to start exploding.

Kind of like…Iraq. 

But the West can’t have that, so by its own admission, it will be sending in ground troops.  And as history shows, that is never a short-term proposition. 

Of course, since European countries are broke and wholly incapable of sustaining any military operation, the United States will inevitably be drawn further into the Libyan quagmire.

In the hope of not repeating past mistakes, there are two lessons that should be heeded by what will hopefully be a new Administration next year:

1) Credibility is everything.  Nowhere is a nation’s word more important than on the world stage. If a country that prides itself on being of high moral character lies and betrays, it’s credibility is shot.  Period. It’s a lesson the United States still hasn’t learned.

For example, America urged the Kurds to rise up against Saddam Hussein at the conclusion of Gulf War I, pledging support to help them overthrow the dictator. But the U.S. reneged on that promise, leading to the needless slaughter of many. Because of our credibility gap, we were forced to expend enormous effort to convince the Kurds to join the coalition in the Gulf War II. 

Fast forward to the present, and it is apparent that lesson has gone unheeded, as the Libyan debacle clearly illustrates.

Moammar Gaddafi was never an angel, not in the beginning of his forty-year reign, nor at the end.  But he showed himself to be a leader with whom the West could effectively work, even if his transformation was rooted in self-preservation.

In no uncertain terms, Gaddafi was told to shape up or face the consequences.  To his credit, he did, and then some.  He admitted complicity in the Pan Am 103 bombing and paid reparations, dismantled his WMD/nuclear program, and stopped harboring terrorists.  As a result of his positive actions, Gaddafi’s nation was removed the Terrorism List by the George W. Bush Administration, with Secretary of State Condoleezza Rice stating Libya was rewarded for its "renunciation of terrorism and the excellent cooperation Libya has provided to the U.S." in the war on terror.

And yet, despite U.S. assurances to Libya that the two nations would be conditional allies, that “excellent cooperation” wasn’t good enough.  America broke its word by helping to eliminate a leader who had done everything the United States had asked of him.  With that kind of “credibility,” is it any wonder why many leaders have chosen a path at odds with America? Venezuelan General Hugo Chavez comes to mind.

This results in needless roadblocks in diplomatic, political and economic negotiations around the world. The damage from one thoughtless decision can take years to repair, with Libya the latest example.

2) It is time for energy independence.  Despite the inherent common sense of energy independence, both from economic and security perspectives, it remains a policy neither Party chooses to advance.  Sure, the rhetoric is there, but that is where it ends.

Rather than tap into the largest natural gas deposits in the world (the Marcellus and Utica Shales), the vast oil reserves in Alaska, the Bakken Formation in North Dakota, the reserves under the Rockies that may be the largest on the planet, and drill offshore, the politicians continue the disastrous policy of relying on petroleum from hostile nations.

Put another way, if Libya, and the entire Middle East for that matter, wasn’t sitting on huge reserves, America wouldn’t give it a second thought, with the exception of its security guarantee to Israel.

But because neither Party will pursue energy independence in a meaningful manner, job creation suffers, inflation rises, and America’s fighting forces remain in the crosshairs.

So once again, America is involved in yet another conflict with no clear objectives, which will only create more uncertainty in world markets that are already on the verge of collapse.

Common sense is such that America should stop playing policeman to the world, become energy independent, put the interests of its citizens before the people of other nations, and, above all, keep its word.

Don’t hold your breath. As Voltaire said, “Common sense is not so common.”

Chris Freind is an independent columnist, television/radio commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com  His self-syndicated model has earned him the largest cumulative media voice in Pennsylvania. He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

And there they were, in all their glory, basking in the attention gained from protesting Marcellus Shale drilling.

Sure, those who were angrily denouncing the gas industry during the Marcellus Shale Coalition Conference in Philadelphia got the attention of the local media. But by far, their biggest cheering section, the folks who were happily paying the closest attention, weren’t even in Pennsylvania.

They’re in the Middle East.

The leaders of those oil nations could not be more thrilled to have such a passionate cadre of protestors, who do everything in their power to ensure the United States remains bent over the foreign oil barrel.  And as an added bonus, American petro dollars are used to fund extremist anti-American programs in those very same Middle Eastern nations, resulting in a new generation of well-funded terrorists.

About the only thing missing is the Middle Eastern oil barons not paying the protestors to be their registered lobbyists, because that’s exactly what they are.

                                                                                         *****

We are witnessing the greatest transfer of wealth in the history of mankind as America needlessly sends trillions to China and the Middle East.  The standard of living in those countries continues to rise, as does their global power, while the United States slowly devolves into a second-world nation with --- at least for now --- a first-world military.

And here’s the part no one wants to admit but is unequivocally true: it will never again be the way it was, and the American way of life simply cannot improve until the people remove their heads from their derrieres and demand that we utilize our own domestic energy resources.

Absent that, the demise is unstoppable.

A look at any port tells the story: tankers and freighters come to America fully laden, but leave U.S. shores virtually empty. And the reason is simple. We make nothing.  No nation can survive, let alone prosper, if it abandons its manufacturing base. But that is exactly what we did.

Of course, we will never be able to compete with the lowest labor costs in the world. So the only way to offset that is to have the lowest energy costs in the world.  And more than any nation on Earth, America can do that.  How? By utilizing the greatest concentration of energy resources on the planet --- a level which dwarfs that of any other nation.

There are vast --- almost immeasurable --- yet untapped oil reserves off both coasts and in the Gulf of Mexico, in Alaska (especially in the ANWR), under the Rocky Mountains, and in the Bakken Formation in North Dakota.

And that’s just for starters.

America has also been blessed with an overabundance of natural gas, including the Marcellus Shale, which just happens to be the second largest gas deposit in the world. Ironically, many of the gas protestors who describe themselves as “environmentalists” (whatever that means) are opposing the cleanest fuel available.

Natural gas produces virtually no emissions, which not only is good for the environment, but its low price and limitless supply are lessening use of more emission–producing fossil fuels.  It’s a no-brainer.

And since it is less than half the price of gasoline, the wider utilization of natural gas can power the economy in an unprecedented way.

As companies like UPS have realized, lower fuel costs give them a competitive edge, and that means greater commerce and more jobs.

And speaking of jobs, take a look at just one glowing example right here in Pennsylvania of how natural gas can get the economy moving again.  Proctor and Gamble has a substantial manufacturing plant in the state, and as with any such facility, energy costs are always one of the priciest budget items.

Upon discovering natural gas under the plant, the company invested in several gas wells on the property --- money that was quickly recouped since their energy bill is now dramatically less.  Businesses in that situation can now take the millions in savings and expand operations, hire more workers at good salaries, and keep its manufacturing doors open in America.

But that’s just the beginning.  It’s all the ancillary effects that result from gas that can jumpstart the economy: homes are built and bought (driving down foreclosures), restaurants thrive, many small businesses no longer face closure, and untold new businesses spring to life.  Estimates are that 100,000 jobs have already been created because of Pennsylvania’s (fledgling) gas industry, and billions in tax revenue have filled municipal and state coffers.

And that is but a mere preview of what’s to come.

Yet the protestors would rather kill all that off, content to keep the status quo of $4 gasoline, rising inflation, and a stagnant economy. Oh, and one more thing: their actions jeopardize the safety of every American by keeping the nation in a state of begging, totally reliant on foreign oil. To say our national security is weakened would be a gross understatement.

Here’s the bottom line. Two plus two always equals four, whether or not one chooses to believe that.  Likewise, black gold and natural gas are the lifeblood of every economy, and that unequivocally will not change for scores of decades, if ever.  Those countries with petroleum resources thrive, while those reliant on rival nations for their energy needs are always at a substantial disadvantage.  It is survival of the fittest, and no amount of fairy-tale fluff will change that fact.

The most ignorant aspect of Shale protestors is that they only harp on the “horrors” of natural gas and oil (most of which are easily debunked myths, but that’s another column), yet offer no alternatives --- at least none grounded in the real world.  If they ever do, they will be taken seriously.  But until then, they will be laughed off as extremists trying to achieve a relevance that is simply unattainable.

Solar? Wind? Hydro? Love them all.  And we should continue to utilize them so long as they are cost efficient.  But they do not make even the smallest dent in meeting America’s energy needs. Attempts to argue the contrary are folly.

Nuclear is a different ballgame, and we should be doubling our plants, but in the wake of Japan’s (avoidable) crisis, combined with zero political leadership from either Party in Washington, that’s a pipe dream.

Which brings us back to gas. If not gas and oil, then what?  More reliance from hostile foreign nations while out global competitors gain yet another foothold on America? That’s not a solution. It’s a death sentence.

Natural gas, and the industry itself, are not perfect, but they are most certainly the best option we have to keep our communities safe and prosperous, and our people’s dignity intact.  Criticism for the sake of criticism --- with no viable solutions --- is simply irresponsible.

Of course, so is cooking one’s meal with propane stoves while protesting a natural gas conference --- as some hypocritical protestors actually did.  And that says it all.

It’s high-time the United States of America stops using Chinese as its official language and asking permission from Middle Eastern oil barons.

So come up with something better and get your fracking facts straight, or go pass gas somewhere else. 

An accredited member of the media, Chris Friend is an independent columnist, television commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com

Readers of his column, “Freindly Fire,” hail from six continents, thirty countries
and all fifty states. His work has been referenced in numerous publications including
The Wall Street Journal, National Review Online, foreign newspapers, and in Dick
Morris' recent bestseller "Catastrophe."

Freind, whose column appears regularly in Philadelphia Magazine and nationally in
Newsmax, also serves as a frequent guest commentator on talk radio and state/national
television, most notably on FOX Philadelphia.  He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

In what amounted to a complete non-surprise, Pennsylvania was just ranked near the economic bottom of the nation. Forty-third, to be exact.

Why the dismal showing for what was once the major industrial powerhouse, not just of the country, but the world?

More than anything else, crushing taxes and a hostile business climate.

Shackled with the nation’s second-highest corporate income tax, it is also 15th in personal income tax, 30th in property tax burden, and number one in estate and inheritance tax.  Those figures are bleak enough in their own right, but because Pennsylvania rolls over to organized labor and trial lawyers, it comes in dead-last last in labor competitiveness.

The result?  A mass exodus.  Businesses, and the Pennsylvanians who work for them, flee the state for the greener pastures of employer-friendly states.

And as our children and grandchildren --- indeed our future --- leave, so too does our political clout.

In the latest census, Pennsylvania has lost yet another electoral vote, giving it just 20. But again, this is nothing new, as the state has seen at least two electoral votes disappear in every census since 1960.

Pennsylvania is not alone in its demise.  Neighboring states such as Ohio, Michigan, New Jersey and Illinois are in the same boat, with millions voting with their feet to escape ever-escalating taxes and an overbearing government.

While some businesses are outsourced overseas, many relocate to states that believe in welcoming rather than hindering. It is no coincidence that the recipients of Pennsylvania’s brain drain are primarily located in the south and west, states that are free of entrenched, business-as-usual politicians who would rather fall on the sword than make the effort to change the system.

And no state more so than Texas exemplifies the fruits of the strategy to attract the best and brightest. 

Despite America experiencing one of the worst recessions in its history, the Lone Star state is booming. Huge numbers of people seeking opportunity are migrating to Texas, so much so that it just gained a whopping four seats in the Electoral College, bringing its total to 38 --- second only to California’s 55.  In stark comparison to its rust belt competitors, Texas has experienced a period of nonstop growth, gaining at least one electoral vote in every census since 1930. (It is interesting to note that California’s economy shrank faster than all but three states over the last ten years; for the first time since 1920, it failed to pick up an electoral vote).

A look at the numbers tells the story:

- The Texas economy, nearly $1.3 trillion in output, ranks 13th --- in the world. Some analysts see it eventually eclipsing California in that category.
- Texas leads the nation in overseas exports, its railroads are ranked at the top, it has more miles of highway than any other state, and has state-of-the-art shipping ports and cargo airports.

- In Forbes Magazine’s “Best Cities for Jobs” list, Texas cities topped the lists for best big, mid-size and small cities.

- Nearly 40 percent of all jobs created in the current “recovery” are in Texas, and it is one of only three states have more jobs now than when the recession began in December 2007. The others are North Dakota, Alaska --- all, not coincidentally, big energy states.

- Texas leads the nation with six cities on the top 20 Overall Strongest-Performing Metro Areas, according to the Brookings Institute’s "MetroMonitor" quarterly report.

Texas innately understands that fostering a business-friendly atmosphere pays big dividends.  So it has paved the way for achieving that goal: it is a Right To Work state (where it is not compulsory to join a union as a condition of employment), has no state income tax, and ranks 8th best for business tax climate. And its regulatory environment is not nearly as onerous to business as in many other states.

It has also aggressively passed legal reform measures (reducing litigation costs to historic lows), which is credited as a major factor in the unparalleled job growth Texas is experiencing.

Industries in Texas are quite diversified, from energy and mining, to timber, health care, bio-medical and tourism --- industries that parallel those in Pennsylvania.

So why then does the Keystone State, despite its many similarities to Texas, continue to stagnate, seemingly content to limp along while its competitors are thriving?

Because the people, through the politicians they keep electing, are satisfied with mediocrity. Rhetoric aside about wanting to make the state great again, nothing of significance changes in Pennsylvania, no matter what Party controls the Governorship and Legislature.

Tax rates? Among the highest in the nation, especially for businesses, with reductions almost nonexistent. Legal reforms? Few and far between, with no attempt made to pass what is desperately needed: caps on runaway jury awards.  (While the Fair Share Act was just signed into law, limiting liability to one’s responsible share in a lawsuit, it took nine years just to revisit the issue after it passed in 2002 but was thrown out on a technicality).

Regulations? More burdensome than ever.  Educational achievement for the future workforce?  Nearly half of all public school 11th graders cannot pass basic proficiency tests in reading and math.

And of course, Pennsylvania has made absolutely no attempt to rein in the out-of-control public sector unions.

Year after year, teachers’ unions strike more than in all other states combined, with children becoming the victims in the unions’ never-satiated appetite for more taxpayer largesse.  The mere discussion of eliminating collective bargaining was taken off the table by Gov. Corbett prior to entering into negotiations with the state workers’ unions --- while getting nothing in return.  And in an era where private sector employees are lucky to keep their jobs, with raises out of the question for most, Corbett just gave the public sector workers an 11 percent raise over four years with lavish benefits and no furloughs.

As far as becoming a Right To Work state, that possibility ended with the Corbett Administration stated it could never pass in Pennsylvania.  Which was true --- with Ed Rendell as Governor and a Democratic House.  But with Corbett as leader and major GOP majorities in both chambers, a strong push could well have made that economic godsend a reality.  But it died before it even began.  (And for the naysayers who say it couldn’t pass, just look to Wisconsin for what can be achieved with real leadership.  In arguably one of the most liberal state in the country, collective bargaining was recently eliminated).

The saving grace for Pennsylvania is that it’s sitting atop the second largest natural gas deposit in the world.  Just as energy leads the way it Texas, it could also do so in the Keystone State, as responsible drilling of the Marcellus Shale could pave the way for an unprecedented economic boom.

But given Pennsylvania’s history of chasing away business, the natural gas industry is still (wisely) hedging, waiting to see what the ground rules (no pun intended) will be.  Corbett is right not to impose an extraction tax, as that only would serve to drive a nail into the coffin, but there are many other issues that need to be addressed.  And if the highly-mobile industry does decide to pack it up either because of a hostile business climate or low demand, Pennsylvania, unlike Texas, has no fallback position, pushing it that much closer to the abyss.

Perhaps the most telling difference between the states is not a statistical one, but an intangible.  When in Texas, there is an unbridled sense of pride, a feeling that the American pioneering spirit is thriving, and that nothing is unattainable.

And you see the symbol of that pride everywhere: the Lone Star is embedded in concrete pillars of the modern infrastructure, in buildings, on car bumpers, and even in airport restaurants.  That vibrancy, which is downright palpable, is not just because of Texas’ rich history, but comes from the security that only a booming economy can generate.

Sadly, that feeling has been nonexistent to most Pennsylvanians for decades. Whether we ever regain it will be decided over the next four years.

                                                                                *****

To Texans, everything they do is not just bigger, but better.  That may seem arrogant to folks in the other 49 states, but as the old adage says, “arrogance ain’t arrogance if you can back it up.”

And looking at the Lone Star State’s success story, it most certainly backs it up.

Chris Friend is an independent columnist, television commentator, and investigative reporter who operates his own news bureau, www.FreindlyFireZone.com

Readers of his column, “Freindly Fire,” hail from six continents, thirty countries
and all fifty states. His work has been referenced in numerous publications including
The Wall Street Journal, National Review Online, foreign newspapers, and in Dick
Morris' recent bestseller "Catastrophe."

Freind, whose column appears regularly in Philadelphia Magazine and nationally in
Newsmax, also serves as a frequent guest commentator on talk radio and state/national
television, most notably on FOX Philadelphia.  He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

There’s good news and bad news for the New York Yankees.

The bad news is that their payroll --- always the biggest in baseball --- hasn’t produced.  Hey, they haven’t won a World Series in over a year.  Remember, these are the Yankees --- the most well-known, most loved (by some), most hated (by many), and wealthiest sports franchise in America. They are the only team on the planet whose season is a complete failure if they don’t win a world championship.

Maybe the recession is finally taking such a toll that even the Yanks are too cash-strapped to bring in new talent. But that’s where the good news comes in.  Turns out they will have extra money to spend after all, now that they won’t be shelling out big bucks to renovate the stadium of their AAA minor league team in Scranton/Wilkes Barre. 

It is not without irony, though, that the Bronx Bombers’ financial home run comes at the expense of Phillies fans.

Literally.

You see, the Yanks’ windfall is courtesy of Pennsylvania taxpayers, who are on the hook for $20 million to upgrade the stadium. And who authorized such an expenditure at a time when the state is facing a $4.2 billion deficit?

Republican Governor Tom Corbett.

The same person who, during his campaign last year. championed fiscal restraint and the need for government to return to its core functions.

And the same person, who, a day after announcing the deal, talked about why the state is in such a fiscal mess:

"(Ed Rendell) said yes, yes, yes," Corbett said of his predecessor, "and that's why we are where we are…. in the times we are in we have to be able to say no."

Come again?

He just spent money on something taxpayers shouldn’t be funding in good times, let alone in a recession when the state’s finances are in really bad shape.

So Corbett’s curveball will keep his approval rating at 30 percent --- a great percentage for a hitter but not so good for a politician --- and a far cry from the 55 percent he received just six months ago.

Here’s a look at why the stadium giveaway is such bad policy --- and bad politics:

1) People are “stadium fatigued,” having put up money to construct arenas across the state, including facilities for the Eagles, Phillies, Steelers, Pirates and soccer franchise Philadelphia Union.  All told, $1 billion in taxpayer money was used to finance stadium construction since 1999.  And here’s the kicker: the real amount will be almost three times that, because the money usually comes from bonds, which, like mortgages, are paid back over time (20 or 30 years) with interest. Millionaire owners increasing their fortunes on the backs of taxpayers just isn’t right.

Corbett gets the worst of both worlds.  Not only is he viewed as hypocritical for spending money on a stadium, but he loses the game by doing it for the benefit of the richest of the rich, and the victor over the Phillies in the 2009 World Series (not to mention 1950). Don’t underestimate that sentiment come election time.

2) Blaming Rendell for the state’s fiscal mess is certainly on target, as spending under his eight year watch skyrocketed.  But Corbett’s message increasingly rings hollow since his rhetoric doesn’t meet his actions.

Rendell attempted to bail out the Philadelphia Shipyard (a private entity) so that it could build ships with no buyers, but left office before completing the deal.  Corbett bailed it out anyway. So much for fiscal restraint and getting government out of the private sector.
And it was Rendell who initially wanted to fund the Yankees’ stadium, but again, it was Corbett who came in from the bullpen to get the taxpayer-funded “win.”

Corbett continues to pursue a policy perceived as “spending cuts for you, but not me.” He raised the salaries of his executive staff (who now average $13,000 per year more than their counterparts under Rendell), and increased the budget of the Lt. Governor’s office by 46 percent.
Cuts are inherently unpopular, but people will support a leader who leads by example and mandates that “everybody feels the pain --- no exceptions.” That hasn’t happened in Pennsylvania.  Hence the basement-dwelling approval rating.

3) The stadium funds, which local officials say could actually end up being $25 million, come from a bond used to fund building projects.  In a state as large as Pennsylvania, there are an infinite number of possibilities that would provide a better return to the state and its taxpayers.

Pre-eminent among them would be building natural gas fueling stations for the state fleet of vehicles that will --- hopefully --- soon be powered by that fuel. (The management of these stations could then be leased to private companies to maximize private-sector efficiencies). Additionally, state buildings should be converted to run on natural gas (with gas being mandated in all new construction), since Pennsylvania is sitting atop of the second-largest gas field in the world --- the Marcellus Shale.  It is clean (virtually no emissions); extremely cost effective (currently one-seventh the cost of gasoline); limitless; creates jobs; and sets the national model for how to achieve energy independence (bolstering national security).

And here’s an added bonus: it can solve a looming problem no one wants to discuss: keeping the gas industry in Pennsylvania.  Despite all the advantages of natural gas, demand is so low that gas companies are finding it extremely difficult to be profitable.  It’s to the point that companies may start capping their wells and rolling out of state to pursue other interests (as it is a very mobile industry).  Such a situation would be catastrophic to all Pennsylvanians.

Bottom line: Tom Corbett is giving Democrats all the ammunition they need to wage effective campaigns against Republican legislators next year. The Governor’s increasing lack of credibility could potentially endanger the GOP majorities in both chambers, particularly in a presidential election year which always generates a significant Democratic turnout.

Core, common sense and consistency are the hallmarks of effective leadership, and all have been in short supply from the Governor’s office.

Just this week, the Governor underwent successful back surgery. We wish him well in that regard, but now it’s time to get his head in the game.

Chris Freind is an independent columnist, television commentator, and investigative
reporter who operates his own news bureau, www.FreindlyFireZone.com

Readers of his column, “Freindly Fire,” hail from six continents, thirty countries
and all fifty states. His work has been referenced in numerous publications including
The Wall Street Journal, National Review Online, foreign newspapers, and in Dick
Morris' recent bestseller "Catastrophe."

Freind, whose column appears regularly in Philadelphia Magazine and nationally in
Newsmax, also serves as a frequent guest commentator on talk radio and state/national
television, most notably on FOX Philadelphia.  He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Last November, Pennsylvanians elected Tom Corbett to solve the state’s problems. But instead of leadership, they’ve received task forces and blue ribbon panels.  In just three months, commissions have been formed to deal with Marcellus Shale natural gas (with a whopping 31 members), explore the core functions of government, and figure out how to privatize liquor.

Sorry, but isn’t that why people elect politicians?  Isn’t it their job to solve these problems? 

Commissions and task forces are simply code-speak for passing the buck and kicking the can down the road.  We might as well just hang a sign that reads, “Welcome to Pennsylvania, Blue Ribbon State.”  And if GOP leaders don’t start following through on campaign promises, the only “Red” they’ll see is voter anger when the state turns Democratic Blue.

                                                                          *****

Since privatizing liquor is one of the only issues which enjoys a large consensus, and would provide billions to balance the ballooning budget deficit, it’s baffling why Corbett would punt away such political capital when he needs it most. Delaying the privatization initiative by instituting yet another study commission was a move that left many observers scratching their heads --- and state store union employees punch-drunk with elation.

Even more perplexing is that Corbett has a solid ally in House Majority Leader Mike Turzai, who had been spearheading privatization legislation for years. Turzai had a right to expect that, with strong GOP majorities in both Houses, the Governor would come charging out of the gate on an issue that was a cornerstone of his campaign. Instead, Corbett felt compelled to reach into the “Business As Usual” drawer and pull out another meaningless commission, which looks increasingly like a bad political calculation.

                                                                          *****

Sometimes you have to walk out your door to realize that the grass really is greener somewhere else. For Pennsylvanians, that “green” is all the money saved by consumers in other states because they aren’t gouged when purchasing alcohol. 

For the uninitiated, following is a primer for how the Pennsylvania alcohol monopoly works:

Pennsylvania is the largest purchaser of booze in the world.  The state government, through the Liquor Control Board (LCB), controls the purchase, distribution and sale of all wine and liquor.  You might think that with such immense purchasing clout, its citizens would have outstanding selection and competitive pricing.  But as any Pennsylvanian knows, that’s clearly not the case.

Interestingly, the LCB is charged with two distinct, and inherently contradictory, roles.  While it is responsible for raising revenue through the sale of wine and liquor, it is also charged with controlling the sale of booze throughout the state.  By definition, if the LCB is succeeding at one, it must be failing at the other.

Every bottle of liquor bought in the state comes with an added bonus: an 18% "temporary" tax, which is in addition to the 6% sales tax.  So a $10 bottle jumps to $11.80 before the sales tax is calculated, culminating in a whopping $12.50.  In all fairness, the 18% tax was well intentioned --- it was passed by the legislature to rebuild Johnstown after a devastating flood that destroyed the town.

In 1936.  So much for “temporary” taxes. 

Anyone who has traveled outside Pennsylvania knows how refreshing it is to enter a grocery store, and, remembering that you need a bottle of wine for dinner, walk two aisles over to the plethora of vino at your fingertips. Since others accomplish this with little difficulty, it’s incomprehensible that the nation’s sixth largest state can’t --- or, more correctly, won’t --- do the same.

It is infinitely more efficient when a private company, responsive to the needs of the free market (instead of bureaucrats), stocks its shelves with items that consumers want, at a fair market price.  It is the core principle on which America was founded.

But Pennsylvania remains stuck in the Dark Ages, and what makes the sin mortal is that it chooses to remain there. It hasn't dawned on the politicos in Harrisburg that they are losing untold revenue because of their Draconian system, with millions of residents crossing state lines to fill their liquor cabinets.  (No offense to Governor Christie, but anytime New Jersey offers a better alternative, you know you have major problems). 

And despite the Interstate Commerce Clause of the U.S. Constitution, if you are caught bringing alcohol into Pennsylvania, it’s a criminal offense.  In fact, such "criminals" used to have their cars confiscated for doing so.

To be fair, today's LCB has made substantial progress in its operations and "customer service.” Not too long ago, all of its locations were "counter" stores, meaning that customers had to know exactly what they wanted before placing their order, since browsing was not permitted.  The clerk would then disappear into the bowels of the store, only to return five or ten minutes later, more often than not stating that they were "out of stock" and asking for a second choice.  Now imagine this scene playing out at Christmas time, with twenty five people in line.

But that's not all.

Nothing in the store was chilled. No ancillary items such as tonic water were sold. No employees were permitted to offer advice.  And no LCB stores accepted credit cards.  

And all this because former Governor Gifford Pinchot, who as a young man became violently sick while imbibing in Germany, became bound and determined to make alcohol as difficult as possible to obtain. 

But the LCB's improvements amount to being valedictorian of summer school.  The whole system has to be scrapped.

The ultimate irony is that the Keystone State, birthplace of American democracy and cradle of liberty, continues down the path of state control and government regulation, to the detriment of its twelve million citizens. 

And what are liquor privatization’s chances?  Dead for the spring session, possible in the fall, and virtually nonexistent for 2012. With the make-up of the legislature sure to change next year, the time to take a “shot” is undoubtedly now.

The people have awakened from their stupor, demanding change.  Instead, all they get is a (Pabst) “Blue Ribbon” commission.

Time for another drink.

 
Chris Freind is an independent columnist, television commentator, and investigative
reporter who operates his own news bureau, www.FreindlyFireZone.com

Readers of his column, “Freindly Fire,” hail from six continents, thirty countries
and all fifty states. His work has been referenced in numerous publications including
The Wall Street Journal, National Review Online, foreign newspapers, and in Dick
Morris' recent bestseller "Catastrophe."

Freind, whose column appears regularly in Philadelphia Magazine and nationally in
Newsmax, also serves as a frequent guest commentator on talk radio and state/national
television, most notably on FOX Philadelphia.  He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Recently on Good Morning America, Congresswoman and presidential contender Michele Bachmann was asked, “What is America’s number one vital interest in the Middle East.”

She answered, “…our safety and security of people in the United States is always number one.”

Not only was Bachmann’s response a non-descript talking-point, but it didn’t even answer the question.  Unfortunately, Bachmann missed a softball that she could have, and should have, knocked out of the park, one that would have separated her from her colleagues.

Here’s the correct answer:

America’s vital interest in the Middle East can be summed up in three words: oil, oil and oil.  That’s it.  If that region wasn’t sitting on such huge reserves, America wouldn’t give it a second thought, with the exception of its security guarantee to Israel.

As a Republican and Tea Party leader, Bachmann should have instinctively talked of America’s unholy reliance on foreign oil, much of it from hostile nations in the Middle East, and aggressively pushed for energy-independence. 

She could have talked about how the largest natural gas deposits in the world remain virtually untapped (the Marcellus and Utica Shale); the vast oil reserves in Alaska that are closed to drilling; the Bakken Formation in North Dakota that holds over 4 billion barrels; the petroleum reserves under the Rockies that could well be the largest on the planet; the fact that we’re not drilling offshore, and that production has not yet resumed in the Gulf.

She could have then explained that, if we focused on these domestic sources, we wouldn’t be paying $4/gallon and watching inflation rise, nor would we be fretting about the Middle Eastern uprisings, and who we should be supporting. 

But she didn’t.  And that’s too bad, because otherwise, Bachmann’s voice on the national stage is an important one.

The fact is that if a leader doesn’t understand, or can’t articulate, solutions to the single-biggest problem facing America --- being bent over a barrel because of our energy dependence --- then their effectiveness is extremely limited.

And because neither Party, nor current and past Administrations, has done anything to achieve energy independence, America is now involved in yet another Middle Eastern conflict with no clear objectives.  The only things being accomplished are creating more uncertainty in world markets and placing American military personnel in danger. And for what?

Several points to consider:

1) There is no question why the U.S. is involved.  It’s not about stopping a brutal dictator, nor is it about civilian deaths.  And it’s not about democracy and freedom for the Libyans.  It’s simply because Libya produces a lot of oil.  If it was really about any of the aforementioned reasons, we’d be forcefully engaged in most countries around the globe, since democracies are the exception.  Just look at the Rwandan conflict: 20 percent of the population was slaughtered, but it had no oil.  Result: no intervention.  A little truth for why we are in Libya would go a long way.

2) So much for Obama’s campaign pledges of “no more wars of choice,” and “no blood for oil.”

3) Gaddafi, while certainly no angel, has not been the thorn in America’s side he once was.  He admitted complicity in the Pan Am 103 bombing and paid reparations, dismantled his nuclear weapons program and, understanding the new world order after the 9/11 attacks, stopped harboring terrorists.  As a result, Libya was taken off the U.S. government’s State Sponsor of Terrorism list by the Bush Administration, with then- Secretary of State Condoleezza Rice stating Libya was being rewarded for its "renunciation of terrorism and the excellent cooperation Libya has provided to the United States" in the war on terror. And the flow of Libyan oil has been unimpeded. So much for the brutal dictator theory.

4) Who exactly are the rebels we are supporting by bombing the country and establishing the No Fly Zone?  Are they all James Madison-types looking to establish a democratic Republic? Or are they the Muslim Brotherhood--- or worse? Given many Middle Easterners’ track record of viewing the United States as the Great Satan, the odds probably aren’t favorable that we’ll be singing Kumbaya with them a few months from now, especially since reports now state that eastern Libya (home of the rebels) sent more fighters to engage the U.S. in Iraq than anywhere else.

5) A No-Fly Zone does not make a democracy.  Okay, we are preventing Gaddafi from using his aircraft.  But what happens when he starts whipping the rebels anyway?  Do we bomb his troops and tanks?  Do we send in Special Forces?  What happens when a pilot is shot down--- as just happened?  More important, what happens when a similar situation arises in Saudi Arabia, and civilians get mowed down --- as they will, since the King isn’t going quietly.  Do we establish a No Fly Zone over The Kingdom?  Do we bomb them, too?  Not a chance in the world.

Despite all the questions, there are no answers, and the coalition, if you can call it that, has already begun splitting apart.

6) We lose no matter how you slice it.  The majority of Libyan oil is sold to Italy and France, yet America has been roped in to do their heavy lifting.  Why?  And as more Libyans die from allied airstrikes, America will get blamed on the Arab Street.  Gaddafi’s claim of another “Crusade ” against a Muslim nation will hit home to millions of Muslims across the world, vastly undermining any goodwill that may have been generated over the last several years and bolstering terrorist recruitment.  And the support of the worthless Arab League, whose officials are already back-tracking, means nothing.  It’s not their planes doing the bombing, but ours.  We get all the negatives and none of the positives while the Arab League gets the best of both worlds.

The United States’ involvement in Libya, a nation that in no manner attacked America or caused it harm, sets an extremely dangerous precedent. Ironically, this effort, executed with no foresight and one that has absolutely no endgame, further endangers our national security.   Playing into the mentality of millions of Muslims that the U.S. seeks to dominate their countries will only enflame anti-American feelings.

George Washington could not have been more right when he advised against foreign entanglements and intervening in the internal affairs of sovereign nations. That wisdom is proof that modern advances will never be a substitute for old-fashioned common sense.

Chris Freind is an independent columnist, television commentator, and investigative
reporter who operates his own news bureau, www.FreindlyFireZone.com

Readers of his column, “Freindly Fire,” hail from six continents, thirty countries
and all fifty states. His work has been referenced in numerous publications including
The Wall Street Journal, National Review Online, foreign newspapers, and in Dick
Morris' recent bestseller "Catastrophe."

Freind, whose column appears regularly in Philadelphia Magazine and nationally in
Newsmax, also serves as a frequent guest commentator on talk radio and state/national
television, most notably on FOX Philadelphia.  He can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it