Ed Gaunch Story Archives - West Virginia Public Broadcasting

Justice Appoints New Commerce Secretary

Gov. Jim Justice has appointed James Bailey as the new Secretary of the West Virginia Department of Commerce.

Bailey has served as Acting Secretary of the Department of Commerce since July 2022, following the retirement of Ed Gaunch.

“James Bailey has spent his career in public service, and his passion for serving West Virginians is exactly the trait I look for in my Cabinet members,” Justice said. “I have all the confidence in the world that he will do a tremendous job as our new Secretary of Commerce.”

Previously, Bailey was the Deputy Secretary of the Department of Commerce and served as the General Counsel for the Departments of Commerce, Tourism, and Economic Development from August 2021 until his appointment as Acting Secretary.

“I look forward to serving the governor and state in this new role,” Bailey said. “We will continue the wonderful momentum we have generated under the leadership of Gov. Justice. It is an honor to be chosen to continue the outstanding work of Secretary Ed Gaunch and the team here at the Department of Commerce.”

Bailey holds two degrees from West Virginia University, a B.S. in Journalism from the Reed School of Media and a J.D. from the College of Law. He resides in Charleston, West Virginia with his wife Megan and their two sons, Jack and Henry.

His appointment is effective Wednesday.

The West Virginia Department of Commerce’s mission is to promote and preserve the well-being of the citizens of West Virginia by providing a cooperative, interagency system that stimulates diverse economic growth, encourages the appropriate use of our state’s abundant natural resources, improves the safety and productivity of our workforce and promotes the beauty and desirability of our state as a world-class tourism destination.

The Department of Commerce includes the following agencies: Division of Forestry, Division of Labor, Division of Natural Resources, Geological & Economic Survey, Office of Miners’ Health, Safety and Training, WorkForce WV, and The Division of Rehabilitation Services.

Retiring W.Va. Commerce Secretary Reflects On Accomplishments, Challenges

The former state senator and longtime insurance agency CEO led the multi-bureau Commerce department for three and half years.

West Virginia Secretary of Commerce Ed Gaunch will retire effective July 15.

The former state senator and longtime insurance agency CEO led the multi-bureau Commerce department for three and half years.

Government Reporter Randy Yohe spoke with the 75 year old Gaunch about his accomplishments and the challenges he sees for West Virginia moving forward.

Yohe: You’ve decided to retire from your position as Secretary of Commerce by saying it seems like the right time. I know you and your wife are dealing with some health challenges. How are you both doing?

Gaunch: Actually, we’re doing great. My wife likes to say we’re in good shape for the shape we’re in. But cognitively I feel great. I still feel like I have a grasp of everything. But I don’t have the stamina I once had and that kind of goes with my age. And I believe the state deserves somebody who can give it 100 percent.

Yohe: You ran for the state senate after a long and successful career in the insurance industry. What prompted you to run for political office?

Gaunch: I tried retiring once, at the end of 2004. But I didn’t do very well at retirement. And I think my wife got tired of me getting in the way. My habit was to get up, read the paper every morning, and listen to a news show. And invariably, I was saying something like, ‘when is somebody going to do something’? And one day, she said, ‘you are somebody and rather than wait for somebody else to do it, why don’t you try to do something’? So I did. I ran for the state senate and the rest is history.

Yohe: Many say they’ve learned much from you during your service to the state of West Virginia. What are some things that you learned about state government?

Gaunch: The primary thing I’ve learned is the broadly held misconception about state employees not working hard, not being good at their job, perhaps being lazy. Totally untrue. I know that among the agencies that report to me as Commerce Secretary, there are over 2,000 employees in that group. And I’ve found some of the most dedicated, best equipped and best workers that I’ve ever encountered.

Yohe: What about any challenges that you see still need to be accomplished under Commerce?

Gaunch: Occupational licensing is something that I’ve been very interested in, trying to remove obstacles that are in the way from young entrepreneurs, any entrepreneur actually being successful starting up a business in the State of West Virginia. Last time I looked, we had close to 200 boards and commissions that provide guidance for those businesses. Do we need 200 boards and commissions? Are we in fact placing obstacles in front of people that don’t need to be there? The other thing I’ve observed is kind of getting back to the basics when it comes to southern West Virginia – that we need to look at infrastructure in 2022. There’s no reason people shouldn’t be able to go into their kitchens and bathrooms and turn on a faucet and get clean running water. There’s no reason that people shouldn’t be able to flush with the understanding that what they’re flushing doesn’t go into the local creek or river.

Yohe: You are chair of West Virginia’s Public Energy Authority. And I believe you were tasked with developing the next generation of coal plants in West Virginia. Is there a viable next generation? Or do we truly need to continue working towards full diversification from a coal based economy?

Gaunch: We currently have, I believe, eight coal fired power plants still in West Virginia. And they provide most of the electricity that we consume here. So it’s important to us, not only for the jobs that they create on the sites of those eight plants, but for the coal miners who mined the coal and get it to those plants. The companies we’ve pursued to come to West Virginia, Nucor being one of the latest, it’s always a subject that they’re interested in alternative energy or at least providing a part of the energy necessary to run those plants. We’ve seen Toyota, for example, in Buffalo, establish their own solar array behind their facility. And so it’ll provide part of the energy they need. Problem is, the battery technology for alternative energy just hasn’t developed strong enough to take care of not just the baseload needs, but particularly the peak needs.

Yohe: As Commerce Secretary, what are your proudest accomplishments?

Gaunch: I’m obviously proud of the businesses we’ve been able to attract to the state of West Virginia. I’m proud of the businesses who have expanded their operations here in the state and hired more good West Virginians. I’m also proud of what I would call the cultural change that I think I brought, at least to the commerce agencies, where we play offense more than we play defense. In other words, I’ve tried to create an atmosphere where commerce can become a catalyst for change.

I hope I’ve left the Department of Commerce in a mindset and a situation where that culture has changed. That we continue to start to govern the state of West Virginia by looking through the windshield, and what’s positive, and what’s possible for us, as opposed to governing by looking through the rearview mirror.

Gaunch: Reinstated Energy Board To Explore, Promote Ideas

West Virginia’s newly reinstated Public Energy Authority Board will work to explore and promote ideas, according to its chairman.

West Virginia Department of Commerce Secretary Ed Gaunch leads the potentially powerful board according to state statute and told the Charleston Gazette-Mail that he envisions the panel as one that will be a springboard for ideas.

“We see ourselves, I think, maybe as a catalyst to recommend actions in the future,” he said. “Right now, I have no idea what those might be.”

State code gives the board powers that would include entering contracts with other parties to operate energy-related projects, the newspaper reported. That includes financing electric power or natural gas transmission projects. It could also use eminent domain to take property.

“I don’t see us doing any of that,” Gaunch said. “I think we’ll get organized, kind of learn the lay of the land, where we are, and then move forward.”

The board went dormant in the 2010s and Gov. Jim Justice reactivated it last year.

West Virginia Residents Warned Of Site Outages Amid Claims

West Virginians applying for unemployment benefits online could experience intermittent outages because the number of businesses closing or scaling back operations due to the coronavirus outbreak has sent claims surging, the state’s commerce chief said Thursday.

A total of 3,435 West Virginia residents applied for unemployment assistance last week, compared with 865 claims in the previous week, the U.S. Labor Department reported.

That number is destined to go higher. Gov. Jim Justice ordered nonessential businesses to close Monday.

It’s the highest number of claims since 3,791 claims were made the week of Jan. 9, 2016, when economists said the state was in a recession, mostly due to job losses in the coal industry.

The highest numbers of claims this century in West Virginia was in January 2010 when weekly claims peaked at 5,445, the Labor Department said.

Unemployment claims can be completed online or by phone at 1-800-252-5627. Local WorkForce West Virginia offices are closed during the coronavirus outbreak.

State Commerce Secretary Ed Gaunch said the agency’s website is interfaced with the federal government and isn’t always working properly.

“We have had a few systems issues,” he said. “Sometimes the system can get overloaded.”

The system’s website says applicants who are filing weekly certifications might receive a message that they have no outstanding benefits to claim, but this means that the agency is still in the process of reviewing their application.

“If you file late in the week, it’s possible that you won’t get your benefits the very next week,” Gaunch said. “That’s just the way the system works.”

Gaunch said WorkForce West Virginia has 148 members handling claims. As of Thursday morning, the agency has processed 41,549 initial claims for benefits, including more than 10,000 claims for low-wage earners and partial unemployment.

“Our staff has really done yeoman’s work and I have to say they’re heroes to me,” Gaunch said.

Justice reassured worried residents and small businesses at his daily briefing Thursday that help is coming from the federal government. Struggling workers and the unemployed should get another cash boost from the $2.2 trillion emergency package that is nearing final approval in Congress. But Justice urged residents to heed his plea to work from home.

“There’s going to be an incredible amount of dollars that are going to flow to West Virginia,” Justice said. “There’s going to be many, many, many opportunities for our small businesses, provided that they continue to employ our workers.”

Justice’s executive order says people can leave their homes for food, medicine and other essential items. Businesses deemed essential — hospitals, take-out or delivery restaurants, banks and grocery stores — were allowed to stay open, while places such as hair salons, gyms and theaters were told to close.

Outgoing W.Va. Lawmakers Gaunch and Upson to Head State Offices

A pair of West Virginia Republican lawmakers who lost reelection bids in November will fill two open cabinet positions.

Gov. Jim Justice appointed outgoing House of Delegates member Jill Upson to fill the position of executive director of the Herbert Henderson Office of Minority Affairs. That office was previously headed by Bill White, who said the governor fired him after he was accused of sexual harassment this fall.

Upson is from Jefferson County. She was the first Republican African-American woman to be elected to the House and was the Vice Chair of the House Banking committee. She also served on the Joint Select Committee on the Prevention and Treatment of Substance Abuse.

Justice also appointed outgoing state Senate member Ed Gaunch of Kanawha County to fill the position of state Secretary of Commerce. That office has had an interim leader since Woody Thrasher stepped down in June amid controversy about the RISE flood recovery program.

Gaunch chaired the Senate Government Organization committee and was Vice Chair on the Finance, Transportation and Infrastructure, and Pensions committees.

Both Upson and Gaunch were defeated in the November midterm election by Democrats. They will assume their new roles in January.

**Editor’s Note: The headline and story were edited to clarify Gaunch and Upson as “outgoing” state lawmakers. The story incorrectly stated they were “former” state lawmakers.