Economic fallout immediate in Klamath Basin communities
by Kehn Gibson, The Tri-County Courier, posted July 6, 2003

The economic impact of the reported shut down of the Klamath Project was immediate, despite the reversal of the decision four hours later.

Several farmers reported receiving calls from their lenders seeking assurance that they would be able to bring their crops in, and processors of onions and potatoes called Basin suppliers asking if they needed to go elsewhere to secure deliveries this fall.

"They are bracing for something that hasn’t happened, but that’s how they are being forced to react," said Stephanie Bailey. "I can almost hear the economic engine grinding to a halt."

Tony Giacomelli, whose family has owned a grocery store in Tulelake since the 1950s, said business remained brisk yet that was not a good indicator for the damage done by the announcement.

"People are buying for camping, there is a wedding reception today, but that isn’t what scares me the most," Giacomelli said. "Agriculture is the lifeblood of this community, and without it we disappear. All of the good work done by so many people will be for nothing if this uncertainty continues."

In 2001, Giacomelli testified in Sacramento and before the U.S. Congress on the impacts faced by his hometown, and he pulled out a transcript of that testimony.

"If the water situation is not corrected, and I mean corrected, because it is a scientific, bureaucratic travesty, Tulelake will become a ghost town," the transcript says in part..

On Monday, Giacomelli looked at the transcript and shook his head.