MACHIAS – Three proposals to introduce liquefied natural gas to Washington County present challenges and opportunities and would boost the region’s economy, concludes a report on options for Down East Maine prepared for Gov. John Baldacci.

Tapped by the governor to assess economic options for Washington County, David Flanagan, former president of Central Maine Power Co., detailed 70 recommendations in his report. Baldacci will unveil the report in visits to Machias and Calais today.

In his recommendations, Flanagan advises that the state should take steps to fulfill its leadership role on LNG, which has become a point of contention in coastal Washington County communities.

The proposed energy projects involve shipping LNG from overseas to Passamaquoddy Bay, then unloading it to facilities where it would be gasified and shipped by pipeline to regional markets. Some oppose the projects on safety, environmental and aesthetic grounds.

“Washington County will benefit directly from the construction and operating jobs and the tax revenues, and possibly reduced energy costs such new development can bring,” Flanagan says in his report to Baldacci, which was obtained Wednesday.

Even though the energy proposals lack details and the demonstration of financial capacity that the $400 million LNG projects would require, formation of an LNG “working group” could be one step toward coordinating administrative policy in advance of the projects gaining permitting by federal authorities, Flanagan notes.

The report further tackles a range of components of Washington County’s economy, including tribal issues, second-home development, defense and homeland security. It addresses manufacturing, infrastructure, education, financial incentives and government organization.

Flanagan’s 70 recommendations will go to the Washington County Economic Development Task Force, a group of 20 men and women from the area and three more from elsewhere named by the governor last summer to work along with Flanagan.

Flanagan was appointed Baldacci’s special representative to Washington County in June. He interviewed more than 100 Washington County business owners and individuals.

Today his findings go public when Baldacci presents them at the Washington County Economic Summit at the University of Maine at Machias.

The Sunrise County Economic Council, which has organized the daylong event, envisioned having Flanagan present his own work. But Flanagan ended his official duties for Washington County in September, when U.S. Sen. Susan Collins, R-Maine, chose him to work with her as counsel for the U.S. Senate investigation of Hurricane Katrina and its aftermath.

“Washington County has some extraordinary assets that offer tremendous potential for its economic revitalization,” Flanagan notes in his preliminary comments.

“There is much about Washington County that makes it a wonderful place to live, work and visit,” Flanagan writes. “Its vast natural resources, its unique historical and cultural resources, its proximity to Canadian Maritimes, and its access to the cold water resources of the Atlantic Ocean. These are the strengths that I draw on in this report.

“But assets which are not marshaled, advantages which are not used, and priorities which are not chosen, through an overall strategy, are unlikely to produce material change.”

He recommends that Washington County initiatives focus on four key areas:

. Attracting visitors and retirees.

. Strengthening natural resources-based industries.

. Developing needed energy resources.

. Providing resources and support for local economic development initiatives and leadership at the state level.

Flanagan acknowledged those in Washington County who offered him their thoughts and opinions on county issues and opportunities as its leaders craft strategies for economic rejuvenation Down East.

“Their love for their home and their hope for their children is the most compelling reason I know for why we should undertake this effort,” Flanagan writes.

Copies of Flanagan’s report will be available at today’s summit and at www.maine.gov.