Who is Charah Solutions, inc?

Charah Solutions, the new owner of Avon Lake’s historic power plant, has begun the process of decommissioning and demolishing our historical landmark using out-of-state contractors and workers. It’s obvious that Charah is replacing skilled, trained, and proven Ohio workers with cheap and exploitable labor from other states.

Is Charah the Safe Choice?

Charah is rushing through the dangerous asbestos abatement portion of the project and endangering our parks, our lake, our water, and our people. This is a company that just recently had one worker die after falling into a drainage collection system at Big Rivers Electric Corporation’s Sebree Station in Kentucky.¹

In Chatham County, North Carolina, the company failed to follow state environmental regulations regarding stormwater permits, neglected to install proper erosion-control devices before starting grading work,² and unsafely deposited 7 million tons of coal ash.3 Charah was under investigation by the North Carolina Department of Environmental Quality for polluting the county’s groundwater 4 as a five-year legal battle raged to try and stop them, before ultimately receiving an $80 million settlement check.5

Charah then turned around and claimed this project was a great success which was completed ahead of schedule.6 This is not a company we want doing business in Avon Lake.

Net Losses

Far from being a responsible corporate partner, Charah’s business record shows a continued record of poor financial performance 7 and recent cost overruns on delayed projects.8, Communities should also question Charah’s financial capacity to complete projects as it has lost money for two years in a row and has continued losing money in 2022.

Specifically, Charah Solutions ended 2021 with a $5.8 million net loss as compared to a $54.7 million net loss for the year ended December 31, 2020.9 Net loss increased $10.8 million, or 893.6%, to $12.0 million for the three months ended March 31, 2022 as compared to $1.2 million for the three months ended March 31, 2021.10

Dangerous Subcontractors?

Charah’s subcontractors at the plant also are cause for alarm. ARC Abatement, Charah’s asbestos remediation contractor, has exhibited a rampant disregard for the kind of rigorous safety practices that are critical to completing this work in a manner that protects workers on-site and the surrounding community.11

ARC comes to this asbestos abatement project with OSHA safety violation fines totaling almost $16,000.12 ARC, a multi-million dollar company, has a record of cutting corners on basic asbestos containment practices like proper labeling 13 and disposal,14 exposing their workers and a Texas community to this toxic material.15 We cannot let them get away with that in Avon Lake. ARC’s indifference to safety goes hand in hand with its despicable labor standards. They are paying its workers as little as $16 per hour – half of area standards that our local union workers have fought long and hard to achieve for such hazardous work.

Charah’s demolition contractor, Trifecta Services, follows the same disturbing pattern. Tragically, this company’s appalling carelessness resulted in a worker’s falling death from a coal conveyor in Pennsylvania.16 Trifecta’s failure to establish a proper fall protection system,17 ensure stability of the steel structure,18 and provide adequate training 19 led to a fatality that should have never occurred. To review, both Charah and Trifecta have a track record of violating health and safety regulations and having workers tragically die on the job while ARC’s misconduct quietly exposed a deadly substance to communities and workers alike. Are these the kinds of companies we trust to operate in Avon Lake?

Ohio Jobs for Ohio Workers

Local Ohio tradesmen and women have for generations worked long hours and sacrificed valuable family time training to keep our power plant operational and safe. But now, Charah is turning its back and profiting off our community’s hard work and sacrifice and exploiting our city’s legacy. Charah has continued to mislead our city’s officials on local hiring,20 even given Lorain County’s unemployment rate of over 5%.21 This project could be used to put our local workers back to work, but instead, it’s an excuse for an out-of-state company to rake in absurd profits at our community’s expense.

Please join us in telling Charah Solutions that we demand respect for our city and local workers by signing our petition and showing your support.

tell charah to shape up and give ohio jobs to ohio workers!

Sources

  1. https://www.tristatehomepage.com/news/local-news/two-men-have-fallen-in-a-hole-at-big-rivers/; https://www.courierpress.com/story/news/2022/06/10/eric-williams-phillip-hill-died-big-rivers-electric-corporation-fall/7558252001/ 
  2. https://www.wfmynews2.com/article/news/local/state-investigating-possible-violations-at-proposed-coal-ash-reuse-site/83-223923530; https://www.bizjournals.com/charlotte/blog/energy/2015/06/n-c-regulators-cite-proposed-duke-energy-coal-ash.html 
  3. https://chapelboro.com/town-square/chatham-environmentalists-finally-stopped-coal-ash-dumping; https://ncpolicywatch.com/2018/01/25/put-ncs-coal-ash-court-appeals-asked-rule-legality-high-profile-option/; https://pulse.ncpolicywatch.org/2020/12/17/under-court-settlement-no-coal-ash-for-colon-mine-in-lee-county/#sthash.1cLYTEVm.MerlwcDV.dpbs 
  4. https://www.wral.com/deq-seeks-answers-for-leaky-chatham-coal-ash-landfill/18473144/; https://ashtracker.org/facility/422/brickhaven-no2-mine-tract-a#:~:text=levels%20of%20lithium.-,Brickhaven%20No.,the%20area%20of%20301%20acres
  5. https://www.sec.gov/Archives/edgar/data/1730346/000119312519235377/d759737d8k.htm  
  6. https://chapelboro.com/town-square/chatham-environmentalists-finally-stopped-coal-ash-dumping 
  7. https://charah.com/charah-solutions-inc-reports-first-quarter-2022-results/
  8. https://www.yahoo.com/now/charah-solutions-inc-reports-first-223000640.html
  9. 2021 Form 10k – Annual Report. https://www.sec.gov/ix?doc=/Archives/edgar/data/0001730346/000173034622000002/chra-20211231.htm
  10. 2022 Form 10Q – Quarterly Report. https://www.sec.gov/ix?doc=/Archives/edgar/data/0001730346/000173034622000017/chra-20220331.htm
  11. https://www.osha.gov/pls/imis/establishment.inspection_detail?id=1404551.015&id=1345083.015&id=1294782.015&id=1006863.015&id=828441.015; ​​https://www.dshs.texas.gov/asbestos/pdf/ComplianceActions/AsbestosCurrentActions.doc?terms=1410210795
  12. https://www.osha.gov/pls/imis/establishment.inspection_detail?id=1404551.015&id=1345083.015&id=1294782.015&id=1006863.015&id=828441.015
  13. https://www.osha.gov/pls/imis/establishment.violation_detail?id=1294782.015&citation_id=01003 
  14. https://www.osha.gov/pls/imis/establishment.violation_detail?id=1294782.015&citation_id=01004 
  15. https://www.osha.gov/pls/imis/establishment.inspection_detail?id=1294782.015; ​​https://www.dshs.texas.gov/asbestos/pdf/ComplianceActions/AsbestosCurrentActions.doc?terms=1410210795
  16. https://www.osha.gov/pls/imis/establishment.inspection_detail?id=1479398.015 
  17. https://www.osha.gov/pls/imis/establishment.violation_detail?id=1479398.015&citation_id=01002
  18. https://www.osha.gov/pls/imis/establishment.violation_detail?id=1479398.015&citation_id=01001
  19. https://www.osha.gov/pls/imis/establishment.violation_detail?id=1479398.015&citation_id=01003 
  20. https://www.morningjournal.com/2022/06/14/avon-lake-power-plant-developer-fires-back-at-union-critics/ 
  21. https://www.bls.gov/eag/eag.oh_cleveland_msa.htm