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McAuliffe meets with McDonnell on Franklin mill

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The guy who ran for governor is turning to the guy who won for help on a jobs project for economically ravaged Southside.


Terry McAuliffe, defeated for the 2009 Democratic nomination, met privately with Gov. Bob McDonnell today to discuss McAuliffe's gambit to purchase a soon-to-close paper mill in Isle of Wight County, refitting it as a wood-fired power plant.


"The new governor and the would-be governor want to create jobs," McAuliffe said after his unannounced 45-minute session with Republican McDonnell. "This is not a partisan issue."


However, at a drinks party Monday night at a Shockoe Bottom restaurant for about 70 supporters from last year's campaign, McAuliffe scolded McDonnell for recommending deep cuts in education spending. McAuliffe said such reductions would slow economic recovery.


"We should be investing in education," said McAuliffe.


Advancing as a private investor the green-jobs theme he pressed in the primary campaign, McAuliffe is among the bidders for International Paper's Franklin mill, which will close later this year, idling 1,100 workers. The company is closing the plant because of the recession and over-capacity in the paper industry.


McAuliffe was accompanied by his partner, Peter O'Keefe, and two technical advisers, Donald W. Sholl and Jim Michael. McDonnell was joined by the secretary of commerce and trade, James S. Cheng, and Jeffrey M. Anderson, director of the state economic-development office.


McDonnell spokesman J. Tucker Martin described the meeting as "very positive," adding, "Terry has a lot of ideas and the governor welcomed the opportunity to hear them."


McAuliffe and his associates said that should Memphis-based International Paper sell them the plant -- they've not disclosed their offering price -- they will need McDonnell's assistance securing state airand water-pollution permits.


McAuliffe, former chairman of the Democratic National Coommittee, and the others met with McDonnell at the Patrick Henry Building immediately after the governor returned from a session in Washington with the state's congressional delegation.


"You can't keep DNC chairman out of here," said Martin, referring to McDonnell's predecessor as governor, Timothy M. Kaine, the current head of the national party.


Contact Jeff E. Schapiro at (804) 649-6814 or jschapiro@timesdispatch.com.


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