Ref: Newberg paper mill and use of eminent domain

The Oregon Progressive Party calls for use of the State’s eminent domain power to return the WestRock Newberg newsprint mill to operating for the benefit of the people of Oregon and the environment. Now that China is refusing to accept waste paper from the United States, we need to process our paper waste into pulp and paper products. The Newberg mill can do that.

A recent Op-ed in The Portland Tribune stated that Oregon’s congressional delegation and Governor Kate Brown should apply pressure to WestRock Co., current owner of the Newberg paper mill, to ensure that it returns the mill to production of paper goods. The question is not one of whether the mill’s production can find a market; it appears that there is international demand with interest expressed by companies in China and India.

In order to ensure the well-being of the former workers, the Newberg economy and the environment (Oregon is in need of a facility to recycle its waste paper, which China now refuses to accept), the State of Oregon should immediately investigate the use of the ultimate weapon – the use of the State’s eminent domain power - to acquire the property and reopen the mill immediately. While a trial would be required to establish the property’s value, we have a good estimate of the property’s value. WestRock Co. had already agreed to sell the property for $8.4 million, in this case on condition that the mill equipment be destroyed.

If the State of Oregon used its power of eminent domain, the mill equipment would not be destroyed.

A public purpose is needed for the State of use this power, but that purpose is easily established – job creation (or retention) and environmental protection by allowing Oregon’s waste paper recycling program to continue.