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Friday, January 19, 2024

Rural Tennessee communities want agreements to ensure that they will benefit from Ford's big electric vehicle complex

Ford and SK's mega EV complex in Tennessee is nearly six square miles.
(BlueOval City photo)

Named after Ford's iconic logo, Blue Oval City is a burgeoning electric vehicle development in Stanton, Tennessee, a rural town of 615 residents, many of whom are working to ensure the massive operation provides regional community advantages.

"The joint venture, between Ford and Korean company SK Innovation, promises 6,000 good-paying jobs for residents of the small, rural communities. . . . Development on such a large scale will, [residents] fear, change the community, suck up water and electricity, and prompt an influx of newcomers and development," reports Katie Myers of Grist. "The towns orbiting Stanton are sitting down with Ford and SK to negotiate a binding agreement that will ensure they benefit from Blue Oval City as much as the companies do."

Community advocates wanted residents to have a say in what benefits the companies provided, including youth facilities and support for road maintenance, alongside binding assurances for responsible plant waste disposal. To empower regional voices, they formed a coalition, which "drafted a list of stipulations, called a community benefits agreement, that it wants Ford/Blue Oval SK to abide by," Myers explains. "CBAs are a contract between a corporation and a coalition of local organizations that gives the community, through binding arbitration, leverage to ensure the commitments are kept."

In Los Angeles, the entertainment industry used CBAs to negotiate for a large sports arena, but a CBA's purpose and power can be broadly applied. Vonda McDaniel, the president of the Central Labor Council of Nashville and Middle Tennessee, "is helping to formulate Blue Oval agreement and plan town halls," Myers reports. "The process has been lively." McDaniel told her: "We haven't had a whole lot of wilting flowers that have shown up at our meetings. . . . The community is feeling a bit squeezed; there's heavy equipment up and down the road every day."

The "squeeze" is understandable. Blue Oval City is a 3,600-acre campus covering nearly six square miles. The complex is slated to open in 2025 and will employ at least 5,700 people. The surrounding towns of Covington, Brownsville and Stanton have an estimated population of 19,015.

Kathleen Mulltigan, who leads the National Labor Leadership Initiative at Cornell University, told Myers: "What we're really trying to do is bring real democracy into the economic realm, because a lot of the work of shaping the economy happens without workers having any voice in it."

The coalition will need Ford and SK to come to the negotiation table. The group plans to "take a complete draft of the agreement in hand early in the new year," Myers reports. "Even if the effort is not immediately successful, community members say, the relationships they've built with one another will only get stronger, leaving possibilities for further organizing open down the road."

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