Daily Report

'Business Report' planner: Workshop focuses on starting and financing new businesses in Denham Springs … BBB Small Business Trade Show is Thursday … LSU has certification course on lead renovations

Mon, 20 May 2013 15:34:00 EST

Wednesday — The Louisiana Small Business Development Center hosts a workshop on starting and financing a business idea. The free workshop takes place at the Denham Springs/Walker branch of the Livingston Parish Library, 8101 U.S. 190 in Denham Springs, from 9 a.m. to noon. Register here.

Thursday — The Better Business Bureau presents the
B2B 2013 Small Business Trade Show, to be held at the Belle of Baton Rouge Atrium, 103 France St., from 10 a.m. to 6 p.m. Complete details for those wishing to host a booth or attend can be found here.

Thursday — The LSU AgCenter LaHouse Resource Center will host a Lead Certified Renovator Training course Thursday, May 23, from 8:30 a.m. to 5:30 p.m. After completing this course, attendees will take the RRP certification test, administered through the National Center for Healthy Housing, a nationwide EPA-accredited RRP training provider. Louisiana residential contractors also can earn eight continuing education units (CEUs) for participating. The event will take place at the resource center, 2858 Gourrier Ave. Cost is $200. Get complete details and a registration application here.

The Business Report planner is open to events of general interest to the Capital Region business community. Items must be submitted no later than noon Friday before the event occurs. Email ssanoski@businessreport.com with information.

For the full list of upcoming events, click here.

Lawmaker says Arkansas Obamacare model can work here

David Jacobs — Mon, 20 May 2013 15:28:00 EST

Sen. Ben Nevers, D-Bogalusa, spoke today in support of a bill that would allow low-income Louisiana residents to buy health insurance with federal Medicaid money. Meanwhile, a few blocks away at the Capitol, lawmakers voted to defer the bill, potentially killing it for the session. However, a similar bill, which Nevers promises to support, is expected to be heard on the House side Tuesday. The basic idea, modeled on a bipartisan proposal created in Arkansas, is to take federal dollars available to states to expand Medicaid under the Affordable Care Act, or "Obamacare," and instead use that money to pay premiums and supplemental cost sharing for private policies purchased through the federal exchange. "To turn down this opportunity for 290,000 people [to get insurance] is almost insane" and amounts to "raw politics," Nevers says. The fiscal note to the Senate bill projects up to $323 million in state savings over four years until the law sunsets on July 1, 2017. The Jindal administration, which opposes Medicaid expansion, also has issues with the Arkansas model. The feds have "made it clear that they will not provide states with any real flexibility in implementing Medicaid expansion," says interim DHH Secretary Kathy Kliebert. She says any Medicaid expansion approved by the Legislature will "increase costs to the state, crowd out private insurance and diminish services for existing Medicaid beneficiaries." —David Jacobs

Capitol Views: Another Medicaid expansion bill down; one more to go

John Maginnis — Mon, 20 May 2013 15:24:00 EST

Yet another legislative effort to mandate the expansion of Medicaid failed today when the state Senate Finance Committee turned aside a bill by Sen. Karen Carter Peterson, D-New Orleans. Her Senate Bill 125 would have the state adopt the Arkansas model, whereby Medicaid dollars are used to help low-income citizens purchase private health insurance. An earlier Senate bill and House resolution have failed to get through committee in face of opposition from the Jindal administration. Though the first three years of the expansion would be paid for by the federal government, the administration contends it will cost the state in the long run. The last such bill standing is scheduled for debate Tuesday on the House floor, as House Bill 233 by Rep. Pat Smith, D-Baton Rouge, squeaked through the House Health Committee.

—With hopes of raising an extra $23 million to $36 million over the next year, a state Senate panel advanced a bill today to set up a debt collection office within the Department of Revenue. House Bill 629 by Rep. Chris Broadwater, R-Hammond, would establish the Office of Debt Recovery to assume debt collections from state agencies that do not already have contracts with the attorney general. State Treasurer John Kennedy joins with the Jindal administration in support of the bill. It was initially opposed by Attorney General Buddy Caldwell, who removed his objections after the author agreed to maintain the AG's current contracts. The fiscal note calls for Revenue to add 23 new positions and total administrative costs of $4.4 million in the next fiscal year and $7.6 million in fiscal year 2015. Broadwater says the new office would pursue more robust collection efforts than are currently used by agencies to collect debts before they age, resulting in the estimated revenue increase.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

News roundup: Jindal orders review of all Texas Brine permits in La. … Shale gas prompts $72B in planned chemical investments … High court upholds FCC power in cell tower disputes

Daily Report staff — Mon, 20 May 2013 15:19:00 EST

That sinking feeling: Gov. Bobby Jindal issued an executive order today instructing the Commissioner of Conservation to conduct a complete review of the permits issued to Texas Brine in connection with its operations of salt cavern wells in Assumption Parish, as well as all permits issued to Texas Brine throughout the state. Jindal issued the order because he says the company has not yet offered buyouts to homeowners in Assumption Parish affected by a sinkhole as it agreed to do in mid-March. The governor has more on the situation at his website here.

When you drill down to it: As many as 46,000 permanent jobs in the chemical industry will be created if all of the chemical and plastics projects that have been announced to take advantage of plentiful and low-cost supplies of natural gas are built, according to a study released today by the American Chemistry Council. The report examined 97 announced chemical and plastics projects, totaling $71.7 billion in potential investment in the United States. The Houston Chronicle has the full story here.

Up in the tower: The Supreme Court has affirmed the authority of federal regulators to try to speed local government decisions on proposals to build or expand cell phone towers. The court voted 6-3 today to uphold an appeals court ruling in favor the Federal Communications Commission. The case involves complaints to the FCC by telecommunications companies and the wireless industry that local authorities are delaying the placement and construction of wireless service facilities. The FCC said that local jurisdictions generally should act on applications within three months for existing structures and within five months for new towers. Several cities challenged the FCC's authority.

Audit says LDOE skipped steps in monitoring charters

Daily Report staff — Mon, 20 May 2013 15:13:00 EST

The state Department of Education had gaps in its monitoring of the academic and contractual performance of Louisiana charter schools last year, according to a legislative audit released today. The review by Louisiana Legislative Auditor Daryl Purpera's office says the department didn't verify that school-reported data used to grade performance was reliable, couldn't prove it tracked the legal obligations required of charter schools, and didn't make sure eight charter schools put on probation in 2010 met the standards to remain open in 2012. The audit looked at charter school monitoring activities during the 2011-12 budget year that ended June 30. Auditors say the education department complied with state requirements for monitoring the schools' financial performance. "However, LDOE did not perform all required academic monitoring activities. … In addition, we found that LDOE could not provide evidence that it comprehensively monitored the legal/contractual performance of these charter schools," the audit says. In a written response submitted by Superintendent of Education John White, the education department says it uses the same data verification process for traditional public and charter schools. White disagrees with the need for data audits of charter schools to double-check school performance scores, saying that would be an ineffective use of resources. Nonetheless, he says the agency will "continue to revisit and improve [its] data validation processes year after year." White's response says the department has updated its method this year for ensuring that legal obligations of the charter schools are met. You can find the full audit here.

Loan demand rising in Capital Region, Whitney market president says

Stephanie Riegel — Mon, 20 May 2013 14:50:00 EST

Whitney Bank has approximately $80 million in pent-up loan demand in the Capital Region, according to Troy Hebert, Baton Rouge market president. That represents about 25% more loan requests than the bank had in its pipeline last year at this time, which suggests the economy is continuing to improve, albeit slowly. "We are starting to see more and more demand," says Hebert, adding that the requests for financing are coming from all sectors—industrial and petrochemical, real estate, and a variety of small and medium-size businesses. "A lot of companies are coming into this market or expanding into this market." Between 60% and 75% of deals in Whitney's pipeline, on average, will receive approval, says Hebert. Included among them will be a small amount of loans for speculative building, something this market hasn't seen in a long time. "We aren't telling builders to go out and build 50 spec homes," Hebert says. "But there are some select projects where it makes sense." In 2011 Whitney was acquired by Hancock Holding Co., thus creating the 32nd-largest bank in the U.S. Branches of the merged banks continue to operate under the Whitney brand name in Louisiana. Earlier this month, the bank announced plans to close 45 branches across its five-state region. Hebert says the move is designed to reduce expenditures by some $50 million and increase efficiencies. Three branches in Baton Rouge are among those slated for closure, pending FDIC approval. —Stephanie Riegel

New residential development planned at Pecue and Perkins

April Castro — Mon, 20 May 2013 14:41:00 EST

Plans for a new 34-lot residential development at the intersection of Pecue Lane and Perkins Road is up for consideration at today's meeting of the Planning and Zoning Commission. Audubon Parc, a development by Spear Contractors, is one of several proposals before the commission. Another is for a second 13th Gate Park location, planned as a 75-acre haunted house and recreational park complete with a corn maze, outdoor laser tag field, a zombie run and cemetery, near Joor and Mickens roads. Here's a look at some of the other items up for consideration:
• Plans for 100 new homes at The Settlement at Willow Grove
• A second filing at Hoo Shoo Too Lakes, proposing to create 41 single-family, residential lots
• A zoning change to the old Stella Boutique, at 3033 Perkins Road, to allow alcohol to be sold at the location, which is slated to become a new pizza joint
• Plans to add and renovate residential housing at Heritage Ranch, a Christian children's home that serves boys ages 13-17, providing family-style housing, counseling and comprehensive case management, with the goal of family reunification
• Plans for Burbank Apartments, a 235-unit complex at Nicholson and Burbank
• Final development plan approval for the Greens at Millerville
• A zoning revision to the Harveston concept plan at Nicholson Drive and Bluebonnet Boulevard.
The meeting begins at 5 p.m. on the third floor of City Hall, 222 St. Louis St. You can see the full agenda here. —April Castro

Gas prices slowly inching up in B.R.

Daily Report staff — Mon, 20 May 2013 10:40:00 EST

For the past three weeks now, the average price for a gallon of regular, unleaded gas has been slowly rising. As of this morning, a gallon was selling for $3.30 on average in the city, up one penny on the week, according to the AAA Daily Fuel Gauge Report. Over the two weeks previous, prices rose 5 cents and 1 cent, respectively. The recent rise follows a nine-week period in which prices steadily declined from a high this year of around $3.65 a gallon. Seven cents over three weeks isn't exactly skyrocketing prices, and Louisiana is still enjoying some of the lowest prices in the nation. Just four states—Alabama, Mississippi, South Carolina and Tennessee—have a lower average than Louisiana's $3.32. Motorists in several states are now paying more than $4 per gallon. The U.S. average as of this morning is $3.65, up 8 cents from a week ago. You can find the complete AAA Daily Fuel Gauge Report here. Meanwhile, a survey by Bankrate.com says despite lower prices this year, most people are not increasing their spending elsewhere. About 80% of the 1,000 people Bankrate surveyed said they have not increased their discretionary spending in response to lower prices. CNN has the full story here.

Should robots offset dearth of workers in elder care?

Daily Report staff — Mon, 20 May 2013 10:36:00 EST

If the number of care workers for the elderly across America fails to grow alongside the aging baby boomer generation, many people might end up being cared for by robots, The New York Times reports. According to the Health and Human Services Department, there will be 72.1 million Americans over the age of 65 by 2030, which is nearly double the number today. According to the Bureau of Labor Statistics, the country will need 70% more home aide jobs by 2020, a decade before that bubble of retirees. But filling those jobs is proving to be difficult because elder care salaries are low. In many states, in-home aides make an average of $20,820 annually. "There are two trends that are going in opposite directions. One is the increasing number of elderly people, and the other is the decline in the number of people to take care of them," said Jim Osborn, a roboticist and executive director of the Robotics Institute's Quality of Life Technology Center at Carnegie Mellon University. "Part of the view we've already espoused is that robots will start to fill in those gaps." The technology is nearly there, as several universities have shown. But some researchers worry about a more fundamental question: Should we entrust the care of people in their 70s and older to artificial assistants rather than doing it ourselves? Read the full story here.

Economists predict increase in consumer spending

Daily Report staff — Mon, 20 May 2013 10:29:00 EST

Consumer spending is likely to pick up this year while government spending declines at a faster rate, according to a survey of business economists. The economists predict that the U.S. economy will grow 2.4% this year and 3% next year. That's unchanged from the most recent forecast issued in February. But they are more bullish on consumer spending and housing than they were three months ago, in part because of more positive data on unemployment. The survey was released today by the National Association for Business Economics, which periodically surveys economists for banks, manufacturers and universities. The group of 49 economists who were questioned between April 16 and April 30 predicted that consumer spending will rise 2.3% this year, up from a forecast of 1.9% in February. They were also more upbeat about the auto market, predicting 15.4 million vehicles sales, an increase of 1 million over 2012. The economists predicted home prices will rise 4.4% this year and 4% next year, and that residential housing investment will jump 15% this year, boosted by new construction. Corporate profits after taxes they foresee rising 5.3% in 2013 and 7.5% next year. Both of those are more bullish forecasts than the economists offered in February. The Associated Press has more details from the survey in the full story here.

Jindal says guilty IRS officials deserve to be jailed

Daily Report staff — Mon, 20 May 2013 10:11:00 EST

Speaking to the Virginia GOP on Friday, Gov. Bobby Jindal says recent national controversies—the IRS's scrutiny of conservative groups, the Obama administration's handling of the Benghazi attacks, and the Justice Department's subpoenas of Associated Press phone records—are the "inevitable fruits of a federal government that has grown so big and so intrusive," The Washington Post reports. As for the IRS controversy, Jindal suggests those responsible should see jail time. In the prepared remarks he shared with Politico, Jindal says: "You cannot take the freedom of law-abiding Americans, whether you disagree with them or not, and keep your own freedom. When you do that, you go to jail." Jindal also urged Republicans nationwide to stop "hand-wringing" and "navel-gazing" and move forward with the project of reshaping their message. "As a party we just need to get over ourselves. I'm tired of all the public confessions. I'm tired of all the psychoanalysis."

News roundup: Yahoo targets youth market with $1.1 billion buy of Tumblr … A look at Facebook, one year after IPO … Many fliers willing to pony up for better seats, poll finds

Daily Report staff — Mon, 20 May 2013 09:53:00 EST

The big deal: Yahoo is buying online blogging forum Tumblr for $1.1 billion as CEO Marissa Mayer tries to rejuvenate an Internet icon that has fallen behind the times. The deal announced this morning represents Mayer's boldest move yet since she left Google 10 months ago to lead Yahoo's latest comeback attempt. And it marks Yahoo's most expensive acquisition since the Sunnyvale, Calif., company bought online search engine Overture a decade ago for $1.3 billion in cash and stock. The Associated Press has the full story here.Happy anniversary? After a market debut marred by technical glitches and a deep dive in the company's stock price, Facebook has spent the past year focused on its biggest weaknesses: how to make money and keep its more than 1 billion users tethered to the social network. As The Washington Post reports, the results have been mixed. The company's stock price has recovered some of its worst losses, and Facebook has announced several moneymaking initiatives. But the circumstances surrounding the IPO are still under investigation by the U.S. Securities and Exchange Commission, and some investors remain unconvinced the social network has staying power. The full story is here.Sky high: Most of us will put up with a cramped middle seat on a short flight. But on trips longer than three hours, we are ready to crack open our wallets and pay for a window or aisle seat. That's just one of the findings of a recent Harris Interactive poll of 2,276 adults on the subject of airline pet peeves and passenger fees. On a flight shorter than two hours, 33% of those surveyed said they would pay for extra legroom. If a flight lasts more than three hours, 58% said they would be willing to pay. Thirteen percent said they'd pay more than $25. The Los Angeles Times has more survey findings in the full story here.

Today's poll question: On a flight longer than three hours, would you be willing to pay a fee to secure a window or aisle seat?

BRAC working to bring more local alumni back home

April Castro — Mon, 20 May 2013 09:44:00 EST

BRAC is trying to lure far-flung LSU alumni back to Baton Rouge. It's part of a nascent program to develop the region's talent pool and to help draw business to the area. In addition to personalized regional tours to potential employers, BRAC has been attending LSU alumni crawfish boils around the country, telling them, among other things, "Here's a free koozie. … We're trying to get people to move back to Baton Rouge," says Phillip LaFargue, BRAC's senior vice president of marketing. "And then their eyes light up." LaFargue says many of the alumni they meet want to come home; they just don't think the jobs are available. Those who are interested can provide their r�sum�s to be added to a database. The r�sum�s are then matched to employers. BRAC has been using the talent development program for about a year and a half. In addition to working to bring LSU alumni back home, BRAC also signed agreements with alumni associations from Southern University as well as several local high schools to partner in promoting the Capital Region and job opportunities within it at various events. The goal of those partnerships is also to increase the number of r�sum�s included in the online talent database, which BRAC has been building as part of its five-year strategic plan. Those interested in learning more about the database and being a part of it can find more information here. —April Castro

'Business Report': Impact of IBM deals in Midwestern cities debated

Daily Report staff — Mon, 20 May 2013 09:43:00 EST

In May 2010, state and local officials in Columbia proudly announced one of Missouri's biggest economic development wins in recent history: IBM was coming to town to open a technology service delivery center that would create 800 permanent jobs, put Columbia on the radar of cutting-edge tech companies, and transform the local economy. "Today is a great day for IBM and the state of Missouri," Gov. Jay Nixon said at the time. Sound familiar? Earlier this spring, state and local officials here made a similar announcement when they welcomed IBM to Baton Rouge. As in Columbia, the deal promises to be a so-called game changer that will create 800 jobs, ramp up computer science education at LSU and other universities, and transform the local economy and downtown riverfront at the same time. "This will impact our state's future while continuing to position us as a leader in the global technology sector," gushed Gov. Bobby Jindal at the March 27 announcement. But will IBM really be able to deliver on all the hype? The experience in Columbia—and also in Dubuque, Iowa, which welcomed Big Blue to its community of 95,000 residents in much the same manner in 2009—suggests that although IBM has been good for those cities, the expectations were, at the very least, unrealistic. "These towns think it's Christmas when they land IBM, but not very many towns in the U.S. are up to the task of looking deeply and analytically at what IBM is really doing," says Paul Sturtz, who served on the Columbia City Council when that city signed its IBM deal. Read the full story by Editor Stephanie Riegel from the current issue of Business Report here.

Louisiana's first charter school union is formed

Fri, 17 May 2013 15:13:00 EST

The first charter school–based labor union in Louisiana has been formed by teachers at Morris Jeff Community School in Mid-City New Orleans, The Times-Picayune reports. The school's board of directors voted unanimously Thursday night to recognize the Morris Jeff Association of Educators. Ninety-four percent of school staff signed union support cards, according to a statement. The group is affiliated with the Louisiana Association of Educators. Board President Aesha Rasheed says the idea had been brewing for a long time and did not come in response to any incidents at the school, adding that she believes having an official teachers association will improve the quality of education at the school. The relationship between unions and the post–Hurricane Katrina school system has been uneasy, with charters typically opposing some teacher protections that are supported by unions, such as tenure. Any individual teacher may join a union, including Teach For America instructors, but Morris Jeff is the first school where a union has been recognized as the sole voice representing staff. The full story can be found here.

BRAC relieved, hopeful as session rolls on

Fri, 17 May 2013 15:08:00 EST

BRAC officials are less concerned today about the state’s various economic incentive programs than they were a couple of weeks ago. But they’re still hoping the Legislature doesn’t suspend the Competitive Projects Payroll Incentive Program, which gives incentives of up to 15% of a company’s payroll for up to 10 years, or the Corporate Headquarters Relocation Program. BRAC President/CEO Adam Knapp says the payroll incentive is so new that it doesn’t cost anything yet, so freezing it won’t actually help fill any budget holes. BRAC also is backing legislation that officials say would streamline the application process for the state’s R&D tax credits. On the workforce front, BRAC supports Senate Bill 45, which merges local Louisiana Technical College campuses with Baton Rouge Community College, and Senate Bill 204, which would allow issuance of bonds for projects for the Louisiana Community and Technical College System, such as the BRCC expansion at Smiley Heights. Both bills are meant to help LCTCS ramp up workforce development. "We have a realistic shot of competing for perhaps $130 billion, $150 billion worth of industrial construction over the next two years," says Iain Vasey, who directs BRAC’s business development group. "We’re going to have to add to the resources of the training programs to be able to build these things; otherwise, we’re going to miss out." —David Jacobs

'National Geographic' spotlights eroding La. coastline, restoration projects

Fri, 17 May 2013 15:04:00 EST

For its weekly "In Focus" feature, National Geographic today is shining a spotlight on the eroding Louisiana coastline. The article notes what many Louisianans already know only too well: that the area is one of the fastest-disappearing landmasses on Earth. It has lost nearly 1,900 square miles since the 1930s, and is still losing a swath about the size of a football field every hour. "And yet, as a slowly unfolding catastrophe, it gets much less national attention than acute disasters like Hurricane Katrina in 2005 or the Deepwater Horizon oil spill in 2010," the magazine says. "Land loss threatens not only the people, culture, and economy of southern Louisiana, but also unique wetland ecosystems." However, the magazine also notes that the Louisiana Coastal Protection and Restoration Authority this week unveiled a list of 39 long-term coastal restoration projects that it hopes to pay for, at least in part, with money the state receives from BP to compensate it for the 2010 oil spill. The projects are all part of a 50-year, $50 billion master plan that the authority announced last year. "That plan has an incredibly ambitious—some would say impossible—goal: to stop the land loss and even reverse it, in the face of a global rise in sea level, by the second half of this century," reads the article, the full version of which you can find here.

News roundup: Dalai Lama kicks off New Orleans visit … Energy Dept. backs Texas LNG plan … Judge delays trial for ex-BP engineer charged in Gulf oil spill case

Fri, 17 May 2013 14:53:00 EST

The word: The Dalai Lama brought his message of peace and compassion today to New Orleans, a city plagued by persistent street violence. The Tibetan Buddhist spiritual leader expressed condolences to victims of a shooting spree at a Mother's Day parade four days before his arrival here. "Nonviolence is the only way of solving problems," he told reporters before addressing a gathering at the city's convention center. "The real gun control, ultimately it comes here," the Dalai Lama said, pointing at his heart. The Associated Press has the full story here.

New competitor: The Energy Department has given conditional approval to a Texas company that wants to export liquefied natural gas, the second LNG export project the Obama administration has approved as it faces a wave of export requests. The permit would allow Freeport LNG Expansion L.P. to export up to 1.4 billion cubic feet of natural gas per day from its terminal near Freeport, Texas, south of Houston. It is subject to environmental review and final regulatory approval. Today's approval follows the department's authorization for the Sabine Pass LNG Terminal in Louisiana in 2011.

Further on down the road: A federal judge today delayed for nearly six months the trial of a former BP engineer charged with obstruction of justice stemming from his actions after the 2010 Gulf of Mexico oil spill. U.S. District Judge Stanwood Duval says in a court filing that Kurt Mix's trial, which had been set for June 10, will now begin Dec. 2. The delay was requested by Mix's lawyer, who says the defense needs more time to prepare. The government did not oppose a delay. Mix has pleaded not guilty.

'225': How to do Las Vegas on $300

Fri, 17 May 2013 14:46:00 EST

2 Broke Guys is a trio of gentlemen who want to experience everything the best cities have to offer. In the May issue of 225, the crew showed the magazine how to do Las Vegas on a measly budget of $300. Most say this would be an impossible task. However, the guys only spent money on a hotel room and airplane tickets. Upon landing, 2 Broke Guys grabbed every tourist pamphlet they could, enjoyed a lot of free sightseeing, then took advantage of some amazing deals. Their money-saving highlights include the tour of M&M World, the Nathan Burton Comedy & Magic show, and some other attractions made more attractive if one is visiting Sin City with limited funds. Read the full feature here.

La. jobless rate up in April, fourth month in a row

Fri, 17 May 2013 14:43:00 EST

Louisiana's unemployment rate rose in April for the fourth straight month, as fewer people reported having work. While the labor force was basically flat, according to the federal Bureau of Labor Statistics, the number of people who reported having a job fell by nearly 5,000. The jobless rate rose to 6.5% from 6.2% in March, though it remained below April 2012's rate of 6.8%. The number of unemployed Louisianans rose to 135,000 in April, up from 129,000 in March but down from roughly 142,000 in April 2012. Nevada had the highest jobless rate among the states in April at 9.6%, while North Dakota again had the lowest rate at 3.3%. The national unemployment rate fell to 7.5% in April from 7.6% in March. It was also below the 8.1% level of April 2012. The monthly unemployment rate is calculated by a survey that asks how many people are looking for a job. A second survey each month asks employers how many people are on their payrolls, a measure many economists use as their top labor market indicator. Those numbers, also published by BLS, show payrolls were flat from March at 1.94 million but continued to hover just below Louisiana's all-time high of 1.95 million, set in December. About 16,000 more people had a job in April 2013 than in April 2012. Payroll numbers, like unemployment numbers, are adjusted to cancel out predictable seasonal fluctuations.

New airline coming to Baton Rouge this summer

Stephanie Riegel — Fri, 17 May 2013 13:34:00 EST

Elite Airways—a six-year-old airline that, until now, has provided only charter service—will begin offering regularly scheduled commercial flights from Baton Rouge this summer. Elite's president, John Pearsall, tells Daily Report the Portland, Maine-based company will be expanding into several markets around the country in the coming months, and that Baton Rouge will be its first hub city.“We think Baton Rouge is a great area and I think they can use some unique flights,” he says, adding that service is tentatively scheduled to begin in mid-July. “We are excited.”Pearsall declines to disclose at this time the number of flights Elite will offer locally or the destinations to which it will fly, but says the airline will offer non-stop service from Baton Rouge to destinations that currently can only be reached via connecting flights.“We've been working closely with the Baton Rouge Metro Airport,” Pearsall says. “They have been after us and showed us the need for service in certain markets and we agreed.”Officials at Baton Rouge Metro Airport say the addition of new, non-stop service is a boon to the local airport, particularly at a time when major airlines are merging and cutting back on the number of new flights they are adding.“Any time you can provide new, non-stop service to frequently requested destinations it's a good thing,” says airport marketing manager Jim Caldwell, adding that Elite's fares will be competitively priced. “We feel very fortunate Baton Rouge was the first city they wanted to expand in.”Initially, Elite will fly CRJ200 aircraft, which are 50-seat jets used by many regional carriers. The company is in the process of acquiring several 737 jetliners and will put those into service if there is sufficient demand. Elite, which has a southern base of operations in Melbourne, Fla., has a total of 50 aircraft in its fleet, and has specialized in providing charter service to destinations throughout the U.S., Canada, Mexico and Caribbean.

Rouzan viable with or without a library, representatives say

Stephanie Riegel — Fri, 17 May 2013 10:33:00 EST

If the East Baton Rouge Library Board of Control does, in fact, decide to pull the plug on the long-planned Rouzan library and relocate the branch elsewhere—as board members indicated at Thursday's meeting they may well do—the traditional neighborhood development is still viable. So says the lender on the project, businessman John Engquist, who acquired the mortgage on Rouzan from BancorpSouth last year. "That is a very viable, vibrant development with or without a library," says Engquist. "Would I rather have the library? Absolutely. But I would not say 'oh, no!' if it fell apart." The library board, parish attorney's office and Rouzan developer Tommy Spinosa have been negotiating for months over the scope of infrastructure work Spinosa is responsible for completing within the Southdowns-area TND before construction on the library can begin. Late Thursday, he reached an agreement with the parish attorney. However, library board members were frustrated they did not have enough time to review the agreement before their meeting and said, given the delays and history of troubled negotiations, they are ready to pursue alternative sites. Engquist believes the board will ultimately sign the deal and build the library at Rouzan, as planned. If it doesn't, Spinosa will use the space for retail instead, says his spokesman Jeff Wright. "There has been a lot of interest in that space from potential retail tenants," Wright says. "In terms of the viability of the development, [the library] won't make any difference one way or the other." —Stephanie Riegel

Today's poll question: Where should the new library branch originally planned for the Rouzan TND be located?

News roundup: LSU graduates 3,735 at 280th commencement … Gauge of U.S. economy's future health up in April … Future retirees at risk of downward mobility, Pew finds

Daily Report staff — Fri, 17 May 2013 10:30:00 EST

Book ends: When LSU wraps up its 280th commencement ceremonies later today, it will have handed out 3,735 degrees, including 22 to faculty and staff members. The ceremonies feature 416 people who graduated with academic honors. Commencement activities began Thursday and end today. You can find a complete listing of all the graduates' names and hometowns online here.Feeling better: A measure of the U.S. economy's future health rose solidly in April, buoyed by a sharp rise in applications to build homes and by a better job market. The Conference Board reports today that its index of leading indicators increased 0.6% last month to a reading of 95. That followed a 0.2% decline in March. The index is intended to signal economic conditions three to six months out. The Associated Press has more details here.Golden years? The retirement prospects of Americans are slipping for the first time in generations, according to a report by the Pew Charitable Trusts, adding a new voice to those warning that future retirees face the risk of downward mobility when they leave the workforce. As The Washington Post reports, Americans born after 1955 are carrying more debt than the generations that came before them, putting them in danger of not having enough savings to maintain their standard of living in retirement. Read the full story here.

Galvez Plaza stage sculpture completion delayed again

April Castro — Fri, 17 May 2013 10:22:00 EST

Completion of the Galvez Plaza sculpture and stage cover has been delayed yet again, this time due to filming in the area. The nearly $1 million, stainless steel sculpture and stage cover at North Boulevard Town Square is now slated to be finished in June, rather than in late May as officials had previously hoped. It has been in the process of being built for months, and workers were recently forced to stop working on it while the Bonnie and Clyde miniseries and Search Party movie were being shot downtown, says Davis Rhorer, executive director of the Downtown Development District. Work to finish the crest can resume next week, he says. Progress on the project previously came to a halt earlier this year because of an ill-fitting piece of the massive overhead crest. The piece was reordered from fabricators in Kansas City. It arrived in April, and developers thought live performances could commence on the stage this month. Before that delay, they had hoped the project would be complete in time for the April start of the spring concert season. The structure is being funded with state sales tax rebates dedicated to River Front Master Plan projects. You can check out a rendering of it here. —April Castro

CABL: Compromise on the budget

Daily Report staff — Fri, 17 May 2013 10:21:00 EST

Amid all the political theater that has surrounded this year's state budget, CABL says, some good things have happened. The Revenue Estimating Conference found an extra $155 million to spend next year, and the House protected higher education from having to rely so heavily on contingent dollars. The budget is "in decent enough shape for everyone to find some way to compromise," but there will be plenty of opportunities to screw it up and force lawmakers to come back for a costly special session. "If the Senate restores non-recurring revenues to the budget, will the House compromise?" the council wonders. "Will the governor see a reduction of tax exemptions or credits as a tax increase and veto the budget as he has promised?" Then there's the question of what to do about vouchers, now that the original funding mechanism has been ruled unconstitutional by the Louisiana Supreme Court. "Spending hundreds of thousands of dollars on a special session to take care of unfinished business would send a terrible message," CABL says. "Louisiana has its problems, but so far, acting like Congress has not been one of them. We don't need to start that now."

Nearly 700 city-parish employees could be made to take driver safety course

Steve Sanoski — Fri, 17 May 2013 10:08:00 EST

After taking the four-hour course himself earlier this week, Metro Councilman Buddy Amoroso says he's moving forward with his push to require all city-parish employees who drive municipal vehicles—except those in the police and fire departments—to get the driver safety certification."I thought it was an excellent class, and I think it would accomplish what I'm trying to do," Amoroso says.What he's trying to do, aside from improving safety, is reduce the number of insurance claims on which the city-parish is paying out due to accidents involving its employees where they're found to be at fault. He says the claims are routinely on the council agenda. They range from a few thousand dollars to much higher. For example, at the council's most recent meeting, a claim of $450,000 was approved for payment.The course is administered by the city-parish Human Resources Department and certified by the National Safety Council. When completed, the certification is good for two years."There's no giant pearl of wisdom that I learned" at the course, Amoroso says, "It just reinforces the kinds of things we should be aware of. It makes you think about how you're driving out there."Amoroso says the ordinance he's introducing on Wednesday would require 671 city-parish employees to take the course. The 981 fire and police department employees would be exempt, he says, because they're already required to take various safety courses.Though he previously told Daily Report the course would cost the city-parish $2 per employee, he says he has since learned the cost of taking it is actually double that, $4. Still, he says, that's a bargain if the ordinance results in fewer accidents and insurance claims."I know this is just the low-lying fruit, but this is something we can do right away that I think would help reduce all these claims we're paying out," Amoroso says. "Myself and Councilmen (Ryan) Heck and (John) Delgado, we think there's some other programs that can be put in place that will reduce the number of accidents our employees are having, but those will take time."Amoroso did not elaborate on other options the councilmen are discussing. Should the council approve introduction of the ordinance next week, it would then be up for a vote at the council's June 12 meeting.

'225 Dine': Chow down for National Burger Month

225 staff — Fri, 17 May 2013 09:58:00 EST

May is National Burger Month, and the Red Stick has more than a few options if what you want is a great burger. Each week, Maxwell's Market locations have been celebrating the American staple with its Burger of the Week, taking the normal dish and fashioning it into the talk of the town. Maxwell's launched this serial innovation last year. Some of Maxwell's past burgers include the Breakfast Bistro Burger, with a fried egg and bacon; the Wang Chuck Burger, with peanut-Sriracha sauce; and the Blue Apple Burger, with slices of red apple and blue cheese. This week's variation is the Cowboy Burger, dressed with peppered applewood bacon, barbecue sauce, beer-braised onion rings and light mayo. Read the full story on Maxwell's burgers and others around town and get your fill of local culinary news in this week's edition of the 225 Dine e-newsletter here.

Editor: Costco just the latest beneficiary of B.R. 'corporate welfare'

Daily Report staff — Fri, 17 May 2013 09:56:00 EST

The most pressing problem facing our great state, says Business Report Executive Editor JR Ball in his latest column, is "preserving every penny of tax credits, tax exemptions, tax loopholes and direct cash subsidies as well as every other corporate welfare program required to keep every business in this state from fleeing to Texas or Florida—the cost to Louisiana's bloated and unbalanced books be damned." The most recent case of this "corporate welfare," he says, is the Metro Council's approval of a $7.8 million tax incentive deal for Costco so it will locate a warehouse store at the intersection of Airline Highway and Interstate 12. The warehouse retailer will "soon ring up an estimated $150 million to $200 million in annual area sales," thanks to the Metro Council, Ball says. "The move into retail is new for Baton Rouge, which historically reserves its largesse for the hotel industry. Ever since tax increment financing made the rebirth of the downtown Capitol House Hotel possible in 2004, the use of TIF has become synonymous with hotel construction in the Capital City, enabling starving developers to use public money to cover construction costs," he says. Read the full column here. Send your comments to editors@businessreport.com.

LaPolitics by Maginnis: Potential money move to fund vouchers

John Maginnis — Fri, 17 May 2013 09:55:00 EST

The burning question in the Capitol is, where will Gov. Bobby Jindal's administration find the estimated $40 million needed to fund 8,000 voucher slots, after the Supreme Court ruled the money cannot come from the Minimum Foundation Program? One theory is that a new student count, minus the voucher students, would allow BESE to back that funding out of the MFP and enable the Legislature to insert the same amount of money into a supplemental appropriations bill, resulting in a wash. To do so not only would invite opposition from the usual pack of legislators but, if the budget passed with the funding, would likely prompt another lawsuit from parish school boards and teachers unions, according to Louisiana Federation of Teachers President Steve Monaghan.—"The sky always opens up a little on the Senate side," said a lobbyist with a wink after the Revenue Estimating Conference recognized $155 million more for the next budget and $129 million for the current one. The new money marks a welcome break from the bad fiscal news that has preceded budget debates since the 2008 onset of the national recession. The REC meeting's timing, which the administration can control, gives the Senate, in consultation with Jindal, first crack on deciding where the money goes.

They said it: "I respect the Senate. Sometimes." —Rep. Kevin Pearson, R-Slidell, sending his bill to the other chamber

This year's La. charter school applications double 2012's

Stephanie Riegel — Thu, 16 May 2013 15:43:00 EST

Seven of the country's strongest charter school operators—including two with proven track records of success in New Orleans—have applied to open charter schools in north Baton Rouge.The groups are among 35 organizations that have applied for charters to operate 100 new schools in 19 parishes across Louisiana, according to a news release from the Louisiana Department of Education today, which notes that nearly twice as many organizations applied for charters this year as in 2012.Locally, where many public schools are failing, the number and quality of applicants is particularly significant, according to charter school advocates. They credit the interest, in large part, to the efforts of New Schools for Baton Rouge, a community partnership focused on bringing in charter operators to improve public education in north Baton Rouge's so-called Achievement Zone: a cluster of ZIP codes in which 26 of the 31 public schools received a D or F on the state's latest report card.In its first year in operation, New Schools recruited seven top-performing charter organizations for the Achievement Zone. They include: Celebrity Education Group, Collegiate Academies, Democracy Prep Public Schools, Family Urban Schools of Excellence, Green Dot Public Charter Schools, Knowledge Is Power Program (KIPP) and YES Prep Public Schools. Collegiate Academies and KIPP both operate top-performing schools in New Orleans.In a separate announcement today, New Schools for Baton Rouge says it will partner with a team from LSU to analyze the track record of those applicants, as well as with all others applying for charters to operate in the Achievement Zone, and will make recommendations to the state and the East Baton Rouge Parish School System.Applicants that are identified as top performers in LSU's analysis and authorized by either the state or EBR schools will be invited to apply to New Schools' Excellence Fund, which will award grants this fall. Decisions for the awards will be based on an applicant's academic track record, leadership, plan for transformative change, ability to engage the community, and financial sustainability."I think this partnership with LSU raises the bar on looking at quality schools," says New Schools for Baton Rouge CEO Chris Meyer. "It gives us better information and more options, and should provide the community with better choices for schools."

Renovation planned for Marriott Residence Inn

Stephanie Riegel — Thu, 16 May 2013 15:37:00 EST

The new owner of the Courtyard Inn by Marriott and Marriott Residence Inn hotels, both on Siegen Lane, is planning a complete renovation of the 108-room Residence Inn. Anticipated improvements include replacement of soft goods, upgrades to the guestrooms, meeting rooms and lobby area, and new signage. As reported Wednesday in Daily Report, the New York-based Lightstone Value Plus Real Estate Investment Trust acquired both properties last week for $15.6 million. "The acquisition contains two well-located premium franchise hotels that were acquired at a substantial discount to replacement cost," says David Lichtenstein, chairman and CEO of LVPR. "Both hotels have a diversified base of business and leisure travelers and are representative of The Lightstone Group's ability to identify attractive investment opportunities." The 121-room Courtyard Inn by Marriott was renovated in 2010. Both hotels were developed and previously operated by the Florida-based Olshan Hotel Management. —Stephanie Riegel

Sports roundup: Saints 'don’t have much room to work with' on salary cap … 'USA Today' highlights field trip to Tiger Stadium … Morgan reportedly leaving LSU men’s basketball team

Thu, 16 May 2013 15:34:00 EST

Capped out: According to the most recent update from ESPN, the New Orleans Saints are $1.6 million under the NFL salary cap. "The Saints don’t have much room to work with," says Pat Yasinskas of ESPN "They’ll need more than $1.6 million to eventually sign practice-squad players and keep some money available in case they have injuries and need to sign replacements." According to the report, the other NFC South teams under the salary cap are: Atlanta Falcons, by $2.18 million; Carolina Panthers, by $8.46 million; Tampa Bay Buccaneers, by $19.3 million.

Happy little Tigers: A first-grade University Lab School field trip to Tiger Stadium on Wednesday—and the photos of it that LSU Senior Associate Athletic Director Herb Vincent tweeted of—have grabbed the attention of USA Today, among others. The report says the kids "had the best field trip any little Tigers fan could ever dream of," and the clear excitement on their faces in the photos is the proof. Check out the full story and the pictures here.

About to bounce: It looks like Malik Morgan’s short career at LSU is over. Multiple media outlets are reporting today that they’ve confirmed Morgan, who played just one season with the Tigers, will ask for a release from the team. The 6-foot-4 shooting guard started 14 games last season for the Tigers, averaging 18.4 minutes, 5.3 points and 2.9 rebounds a game with 39 assists and 38 steals. The Times-Picayune says neither Morgan nor LSU Coach Johnny Jones responded to its messages seeking comment. The school has not released official word. You can read the full story here.

Toughened school safety bill headed to Jindal's desk

Thu, 16 May 2013 15:28:00 EST

Public schools, already required to have written crisis management plans, will now have to coordinate those plans with local law enforcement and emergency preparedness officials—and hold annual safety drills to rehearse them. The Associated Press reports the bill rewriting Louisiana's school safety law received final passage today with a unanimous Senate vote. It comes in response to the mass shooting at Sandy Hook Elementary School in Newtown, Conn. It will require classroom doors to remain locked during instructional time, as long as that's in compliance with fire safety standards. School crisis management plans won't be subject to Louisiana's public records law. The measure now heads to Gov. Bobby Jindal, who is expected to sign it into law.

Jindal's state salary provides main income in 2012

Thu, 16 May 2013 15:28:00 EST

Gov. Bobby Jindal's latest financial disclosure report shows his annual state salary of nearly $128,000 provided the main source of income for his household in 2012. Jindal's yearly report was posted today by the Board of Ethics. It doesn't indicate net worth. The report shows Jindal and his wife also received income from capital gains and dividends paid from investments—but it doesn't offer specific amounts, instead providing the information in financial ranges. Jindal and his wife bought and sold investments. They also invested money in Louisiana START, a college savings program, for each of their three children. The report doesn't list any liabilities over $10,000 and shows no property exceeding $2,000 in value. You can take a look at the report here.

Survey collects public input on Expressway Park

Thu, 16 May 2013 15:19:00 EST

BREC and the DDD are seeking public input for the renovation of Expressway Park. Through an online survey, planners want to know which amenities are most preferred, with options like a community garden, food truck area and outdoor exercise equipment. A new dog park seems to be emerging as a priority, says DDD Executive Director Davis Rhorer. He says more than 100 people had responded to the survey by mid-afternoon, just a few hours after it was published. The survey is open through May 27. Once final details are approved, construction could begin this summer. Expressway Park sits on 40 acres of state land under the Interstate 10 and Interstate 110 split between downtown and Old South Baton Rouge. It has a playground, picnic areas, recreation center, basketball courts, and baseball and football fields. Renovations to Expressway Park will be funded through the "Imagine Your Parks" property tax, which was approved by voters in 2004. Expressway Park is one of seven BREC parks to be connected by the proposed Downtown Greenway, a planned 2.75-mile bicycle and pedestrian path that will eventually connect City-Brooks Community Park to Memorial Stadium. "The park is an important one because the greenway goes through the park," Rhorer says. "Also, it's the park that ties in downtown with Old South Baton Rouge and with Mid City." You can take the survey here; and check out the conceptual plan for the renovations here.

News roundup: RPCC chancellor to retire … Ascension economic development leader gets high praise … Southern gets 6 nominations in HBCU Excellence competition

Thu, 16 May 2013 15:16:00 EST

Time to move on: River Parishes Community College Chancellor Joe Ben Welch has announced his retirement, effective Aug. 31. Under Welch’s leadership, RPCC has experienced unprecedented growth; in 2010 it was named the fastest-growing community college of its size in the nation by Community College Week magazine. As chancellor, Welch also oversaw RPCC’s 2010 merger with the Louisiana Technical College-Ascension Campus, as well as the purchase of the site for the future home in Gonzales. RPCC has not yet announced plans for finding a replacement for Welch but has more information on his 50-plus year career here.

Making a difference: Ascension Economic Development Corporation President and CEO Michael Eades has been included in Southern Business & Development magazine’s "Ten People Who Made a Difference in the South" list. "Few places in the South are seeing more action than Ascension Parish and the national media has noticed," the magazine says, noting stories in Bloomberg and The Washington Post that highlight the parish’s expansion. "We're just seeing an incredible amount of activity," Eades says. "The supply of natural gas and the price are the driving factors, and we're swimming in natural gas down here." See the complete feature here.

Bringing it all back home: Southern University has been nominated in six categories, including Best Marching Band, in the annual competition for HBCU of the Year. Along with its band nomination, Southern is nominated in the Best Nursing Program, Best Student Newspaper, Male Coach of the Year, Men’s Team of the Year, and Male Student of the Year categories. The winners will be announced at the 2013 Historically Black Colleges and Universities Awards celebration June 28. Award nominations come from more than 600 entries submitted by administrators, students, alumni, faculty and supporters of 45 public and private four-year HBCUs located around the nation.

Capitol Views: House passes bill to reactivate tax credits

Thu, 16 May 2013 15:05:00 EST

After lengthy debate today, the House passed a bill to reactivate the New Markets Tax Credit program to incentivize business investments in low-income areas. Under House Bill 726, the state would forgo a total of $49 million in insurance premium taxes, beginning in fiscal year 2016-17 and ending in 2020-21. The credits will only be triggered if a required $110 million in private investment is made over the next two years. The author, Speaker Pro Tem Walt Leger, D-New Orleans, predicted an economic boost from investments in projects that might easily go to other Southern states with even larger tax credit programs. Some legislators praised the program, an earlier version of which created jobs in their district. Speaking against it, Rep. Jay Morris, R-Monroe, asked, "When do we stop giving up our revenues? At some point, we’ve got to say no." The measure passed, 63-33. If it becomes law, the Department of Revenue will begin taking applications in November for the first $55 million in investments.

—This was to be a year with no statewide elections, but that could change with a bill moving to the House to put constitutional amendments on the Oct. 19 ballot. In a meeting lasting exactly two and a half minutes, the House and Governmental Affairs Committee brought up HB 522 again, at it had been previously deferred, and passed it without objection. If the bill by Rep. Katrina Jackson, D-Monroe, passes, it will add $4.3 million to the budget under consideration. A statewide vote costs $6 million, but $1.7 million already has been budgeted for local elections then. "I was asked to do it by leadership," said Chairman Tim Burns, R-Covington. If the bill passes, constitutional amendment bills carrying 2014 election dates would need to be amended.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

MAPP, architects in settlement talks over Baton Rouge High

Thu, 16 May 2013 10:25:00 EST

Settlement negotiations are under way between MAPP Construction and the architecture firms that designed Baton Rouge Magnet High School's $45.9 million renovation project, and "significant progress has been made," according to MAPP's attorney, Gray Sexton. But there are still a lot of issues to work through before the lawsuit that MAPP filed against the firms last year is resolved. In September, MAPP sued Chenevert Architects, Remson-Haley-Herpin Architects, as well as a joint venture between the two firms, claiming an incomplete and defective design led to delays on the project and cost MAPP more than $6 million. Over the past several months, attorneys for MAPP, the architects and the East Baton Rouge Parish School Board—which is not named in the litigation—have met three times and are working through about 80 discrete claims made by MAPP. Sexton says about 50 of those claims have been settled, though issues raised in the lawsuit itself have not been resolved. Attorneys for both sides say they hope to settle the lawsuit and avoid costly litigation. School board members will get an update on the matter at their meeting tonight. "It has been a tense situation for the past year," says school board member Craig Freeman. "We'd like to see it resolved, though it doesn't involve us directly." —Stephanie Riegel

Legislation would allow drilling to resume at inactive La. wells

Thu, 16 May 2013 10:19:00 EST

Under a new bill making its way through the state Legislature, oil producers would be able to resume work, for a two-year, initial exemption period beginning in July, on inactive wells that had been deemed inactive prior to July 1, 2010. During that initial period, oil and gas production from the wells would face a lower severance tax. The (Lafayette) Advertiser reports that the legislation filed by second-year lawmaker Rep. Stuart Bishop, R-Lafayette, may prove to be one of the most important bills of the 2013 session, as it would benefit both state coffers and the interests of the state's oil and gas industry. House Bill 474 essentially restores some incentives for oil and gas producers to return to work on inactive wells, which produce no or little oil and, hence, no revenue for the state or the producer, says Don Briggs, president of the Louisiana Oil and Gas Association. Previous state severance tax exemptions lapsed in 2010. Oil and gas industry representatives say the bill is the most important bill of the session for them. The incentive is necessary, they say, because reopening inactive wells carries with it some financial risk for producers, which accompanies the effort of drilling deeper. The bill has been approved by the House of Representatives and is awaiting a Senate committee hearing. Read the full story here.

News roundup: Incoming LSU president and chancellor gets humanitarian award … U.S. housing starts fell in April but permits surged … La. taps oil spill money to bring 'Top Chef' to New Orleans

Thu, 16 May 2013 10:03:00 EST

Honored: Incoming LSU President and Chancellor F. King Alexander has received, along with three other Long Beach, Calif., community leaders, the California Conference for Equality and Justice Humanitarian Award. Alexander, currently the president of California State University Long Beach, is to take over as president and chancellor of LSU at the end of June. "CCEJ has been committed to the fight for equality and justice for decades," Alexander says in a prepared statement. "I am humbled to be recognized by such a distinguished organization when so many others are deserving."On the home front: U.S. builders broke ground on fewer homes in April, one month after topping the 1 million mark for the first time since 2008. But most of the decline was in apartment construction, which tends to vary sharply from month to month. The Commerce Department reports that builders started construction at a seasonally adjusted annual rate of 853,000, a 16.5% drop from the March pace of 1.02 million. Applications for building permits rose 14.3% to a rate of 1.02 million, the most since June 2008. The Associated Press has the full story here.Action! Of the $375,000 Louisiana is paying the Bravo network to bring Top Chef to New Orleans for its 11th season, $200,000 is reportedly coming from the recovery fund established by BP following the 2010 Gulf of Mexico oil spill. "There are definitely useful areas for that [BP] money to go to—none of which are a cable television show," entertainment and political publicist Angie Olszewski tells Fox News. "Shame on Bravo." State officials, however, defend the use of spill funds for the show and say it will promote tourism. Others also say payments in exchange for exposure are standard today in Hollywood.

Today's poll question: Do you think there's anything wrong with spending BP recovery fund dollars on a TV show such as Top Chef?

Reality TV casting crews widening search for next La. stars

Thu, 16 May 2013 10:00:00 EST

In recent years, viewers across the nation have seen reality TV shows about Louisiana alligator trappers, exterminators, sheriffs, prisoners, brides, shrimpers, nutria hunters, mixed martial arts fighters, garbage collectors, "bad girls," overnight millionaires, run-of-the-mill rednecks, and pawnshop owners (about whom there are multiple shows). And there's more on the way, including former Gov. Edwin Edwards' show, which begins airing this summer. Which has led The New York Times in a new feature story to wonder if "there actually are any interesting people left in Louisiana." "There's more material to be found in Louisiana; it's just going to be harder to find," David McKillop, executive vice president for programming at A&E, tells the newspaper. To find the next reality TV stars in Louisiana, casting agents are scouring the state, cold calling people with promisingly colorful occupations. Producers are hosting pig roasts to get to know potential subjects, and local contacts are being pressed to recall particularly engaging characters they might have come across or who were rejected from other reality shows. In some cases, the colorful characters and the colorful situations or jobs are even discreetly matched up by the producer of a show, several people in the industry tell the newspaper, though nobody wanted to say so on the record. Read the full story here; and check out a Business Report cover story from August 2011 on the reality TV boom in Louisiana here.

Publisher: CATS needs to outsource management

Daily Report staff — Thu, 16 May 2013 09:45:00 EST

As CATS faces a firestorm of criticism over poor operations and services—despite benefiting from last year's dedicated tax approval in Baton Rouge and Baker—Business Report Publisher Rolfe McCollister says the public transit system is making a mistake by not hiring contract management as a consulting firm has recommended. "CATS has gone through several leadership changes, and its problem is more than just the top spot," writes McCollister in his latest column, noting the recent resignation of CEO Brian Marshall. "TMG Consulting issued a report to the board saying basically that CATS is understaffed, overspends, and ranks 15th out of 16 peer systems in service efficiency. To fix things, the report recommended replacing everyone in the CATS C-suite with better-qualified experts from a private company." Some members of the board, as well as BRAC and the Center for Planning Excellence, are in favor of contract management, McCollister notes. "The mayor, Metro Council and Together Baton Rouge should join them and support an RFP for management," he says. "We need to get our transit system moving in the right direction for taxpayers who just got snookered in last year's tax election." Read the full column here. Send your comments to editors@businessreport.com.

'225 Weekender': Be a part of the story at the Storybook Ball

225 staff — Thu, 16 May 2013 09:42:00 EST

Family Road of Greater Baton Rouge is hosting a whimsical gala for the entire family this weekend. The fifth annual Storybook Ball kicks off at 5 p.m. Saturday at the Baton Rouge River Center. The event will feature classic stories, such as The Jungle Book, Where the Wild Things Are, Harry Potter and more. Each book will have its own station full of interactive activities. The Young Band Nation Blues Project, Tim the Magician, stilt walkers and more will also be on hand. Proceeds benefit Family Road. Children's tickets are $20; adult tickets are $60. Specials and reserved tables are also available for purchase here. Get the lowdown on more local happenings taking place this weekend in the new 225 Weekender e-newsletter here.

BREC to bring the fun to 'play deserts' this summer

April Castro — Thu, 16 May 2013 09:35:00 EST

A new mobile playground will be making its way through the parish this summer. The newly purchased BREC on the Geaux vehicle will begin making appearances in June, bringing supervised physical recreation to "play deserts." BREC Superintendent Carolyn McKnight says the initiative will bring exercise and physical play to both children and adults who otherwise might not have access to such facilities. "We have several areas throughout the parish … where there are kids who are in apartment complexes or … some places where you have to cross major thoroughfares to get to a park," McKnight says. "We want to make sure that we are able to impact kids in those zones." McKnight says she hopes to eventually link BREC on the Geaux with a mobile farmers market launched on Wednesday and the library system's Bookmobile. "That would be something that I think would be just awesome," McKnight says. BREC on the Geaux was purchased using a grant from the Blue Cross and Blue Shield Foundation of Louisiana. —April Castro

News roundup: B.R. sales tax collections down slightly in March … Local AAF wins regional awards … Former BP exec's lawyer denies conflict of interest in Gulf oil spill case

Wed, 15 May 2013 15:50:00 EST

Just about flat: March sales tax collections in the city and parish were off about $53,000 compared to the same month last year, including taxes collected on vehicle sales. A total of $15,433,851 was collected during the month. Collections were off both inside the city limits and outside. The monthly decline leaves year-to-date collections in the city and parish also down slightly—about $41.8 million this year, compared to $42 million last year. You can see the full report here.

Make it three: The American Advertising Federation-Baton Rouge has received AAF District 7 Division III club and president of the year awards for the third consecutive year. AAF District 7 includes advertising clubs from Alabama, Georgia, Louisiana, Mississippi and Tennessee. AAF-BR President Hunter Territo says he believes the group's stand against Gov. Bobby Jindal's proposed tax reforms also aided the club in garnering from the AAF the distinction of having the best government relations section in the nation.

Creating conflict: Lawyers for a former BP executive charged with lying to Congress about how much oil was flowing following the 2010 Gulf of Mexico spill say the government is trying to manufacture a conflict of interest to disqualify one the defendant's attorneys on the eve of trial, The Houston Chronicle reports. In court papers filed this week, David Rainey's attorneys say the government's challenge of Brian Heberlig's representation of Rainey should be thrown out. The full story is here.

DHH hires former federal agent as compliance officer

David Jacobs — Wed, 15 May 2013 15:43:00 EST

The Louisiana Department of Health and Hospitals has hired a new inspector general and chief compliance officer to lead internal and external audit efforts. The move comes less than two months after the resignation of Bruce Greenstein, the department's former secretary, amid allegations that he improperly helped a former employer secure a state contract worth nearly $200 million. William Root is the former assistant special agent in charge of the Office of Investigations at the U.S. Department of Health and Human Services. Root's team was credited with helping secure 31 indictments of 29 Baton Rouge-area defendants in just a few months, DHH says, and uncovered fraudulent Medicare schemes worth nearly $250 million. Root will oversee DHH's Program Integrity section, which is responsible for identifying fraud in the Medicaid system. "While we prioritize identifying and stopping Medicaid fraud, Bill Root will also oversee audits and special investigations within the Department," interim DHH Secretary Kathy Kliebert says. The position of chief compliance officer was created by DHH in response to a January Legislative Auditor's report, which recommended beefing up fraud prevention and detection and highlighted the need for an internal audit function. Jina Hughes, who was hired by DHH to be the program integrity director, is on leave pending a review of her role in amending the contract at the center of the scandal that led to Greenstein's resignation. —David Jacobs

Senators chide LSU board

Wed, 15 May 2013 15:36:00 EST

Senators told members of the LSU Board of Supervisors that they want an explanation for why the university system's former hospitals chief, Fred Cerise, was directed not to attend a legislative hearing to discuss plans to privatize the LSU hospitals. Sen. Ed Murray, D-New Orleans, says he asked Cerise, who is still an employee of LSU, to come to a recent budget hearing. He says he was told that Cerise was denied his request to take a personal leave day to attend the meeting. "That's really disturbing," says Murray, who made the remarks during LSU board members' confirmation hearings before the Senate and Governmental Affairs Committee today. "I think that sends a really bad message." The Associated Press reports Cerise was pushed out of his hospital leadership job after clashing with Gov. Bobby Jindal, who is seeking to privatize the hospitals. LSU board members John George and Ann Duplessis told lawmakers they didn't know anything about Cerise not being able to attend the meeting. They said they would look into the matter and report back to the committee, after several senators said denying an information request from a lawmaker was inappropriate.

La. schools owed $30M because of court ruling

Daily Report staff — Wed, 15 May 2013 15:35:00 EST

Superintendent of Education John White says the state owes local school districts $30 million because the Louisiana Supreme Court threw out this year's public school funding formula. The Supreme Court ruled that lawmakers couldn't fund a voucher program using the formula for public schools to send children to private schools. The high court also said lawmakers didn't follow the proper process to pass the formula, declaring the entire 2012-13 financing plan null and void. White says that means the state reverts to the formula for the 2011-12 school year. That changes several state funding calculations and will require $30 million more in payments to districts. Of that, he says $12 million will be paying back local school districts for a reduction in funding they received because of vouchers. Another $14.5 million, he says, was tied to a change this year that required local districts to pay for a portion of the funding for eight charter schools whose costs previously had been paid entirely by the state. Other dollars were tied to financing changes at several schools throughout the state.

Lee High campus a possible option for library if Rouzan falls through

Stephanie Riegel — Wed, 15 May 2013 15:26:00 EST

If the long-planned Rouzan branch library falls through, could the campus of the newly rebuilt Lee High School be a fallback location? It's an option the East Baton Rouge Library Board of Control is exploring, and a spokeswoman for the East Baton Rouge Parish School System says Superintendent Bernard Taylor likes the idea. "The [library board] staff reached out to us and I presented the idea to Dr. Taylor and … we are absolutely open to conversations with them," says EBR schools spokeswoman Susan Nelson. "Obviously, we would need to get board approval … but we want Lee High to be a community school and a community center." Preliminary discussions between the staffs of the library board and school system took place a couple of weeks ago—before the library board and Rouzan developer Tommy Spinosa hit the latest impasse in their long-running negotiations over construction of the Rouzan branch library. Though it appeared earlier this week that Spinosa and the board had finally reached an agreement over construction plans for the new branch, that deal has now hit a snag. While the issue may be resolved, library board Chairman Travis Woodard says it's time to begin exploring other options and calls the Lee High idea "an intriguing possibility." Woodard says he expects the board will be briefed on the matter at Thursday's meeting. Lee High will be demolished later this month and completely rebuilt. The project is currently in the design phase, with construction due to begin in early 2014 and the campus set to open for the 2015-16 school year. The board meeting starts at 4 p.m. at the BREC administrative office at 6201 Florida Blvd. You can check out a tentative agenda here. —Stephanie Riegel

Editor's note: This story has been changed since its original publication to correct the name of EBR schools spokeswoman Susan Nelson. Nelson was originally identified as Susan Taylor. Daily Report regrets the error.

Capitol Views: BESE asked to redo MFP

John Maginnis — Wed, 15 May 2013 15:13:00 EST

As hundreds of voucher students rallied on the Capitol steps, the Senate Education Committee decided to ask BESE to rewrite the school funding formula in light of the recent Supreme Court ruling. The validity of the current Minimum Foundation Program formula has been in doubt since the state high court ruled last month that MFP funds cannot be used for the scholarship program. After conferring with Senate lawyers, committee Chairman Conrad Appel, R-Metairie, determined that simply severing the voucher and Course Choice language from the current MFP resolution would not resolve conflicts with the court ruling. That differs from the opinion of BESE Chairman Chas Roemer, expressed earlier this week, that the current resolution still could be used by the Legislature. The question hanging over the MFP is where the administration will find the estimated $50 million to fund 8,000 voucher slots and a still-unknown cost of the new Course Choice program. One theory is that a new student count, minus the voucher and Course Choice students, would allow BESE to back that funding out and enable the Legislature to insert the same amount of money into the appropriations bill, amounting to a wash. To do so not only would invite opposition from legislators opposing vouchers but, if the budget passed with the funding, would likely prompt another lawsuit from parish school boards and teachers unions, according to Louisiana Federation of Teachers President Steve Monaghan. The Supreme Court ruling did not address how state and local funds could be used toward the voucher program, only that it cannot be done through the MFP.

—Louisiana high school students attending out-of-state universities still will not be eligible for TOPS awards to go to graduate school in Louisiana. Rep. Hunter Greene, R-Baton Rouge, said the legislation he authored, which would allow graduate-only TOPS eligibility, would encourage students who leave the state for undergraduate studies to come home to continue their education. The awards would be restricted to graduate students in fields of study leading to employment in four- or five-star jobs, as defined by the Louisiana Workforce Commission. Speaking against Greene's bill was James Caillier of the Taylor Foundation, who said it would encourage students to leave the state for college, knowing they would have the option of returning to use TOPS for graduate school in Louisiana. But once those students leave, he said, most do not come back. "We're trying to keep the kids here," he said. According to the fiscal note, the bill if passed would add $800,000 in TOPS spending in fiscal year 2014 and $1.5 million in FY 2015. The bill failed, 2-3.

—With a gubernatorial veto hanging over it, a bill to require the state to accept the expansion of Medicaid comes before House members today, many of whom would rather avoid voting on the controversial measure. House Bill 223 by Rep. Pat Smith, D-Baton Rouge, which squeaked out of the House Health Committee, would have the state adopt the Arkansas model to enable up to 400,000 residents to attain private insurance coverage through the health insurance exchanges being set up in accordance with the federal Affordable Care Act.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

Hollywood and local celebrities team up to promote tax incentives

Matthew Sigur — Wed, 15 May 2013 14:54:00 EST

Celebrities and state politicians walked the red carpet Tuesday night for the Louisiana Film and Entertainment Association's Laissez Louisiana Film Rouler event at the Celtic Media Centre. While the affair brought a Hollywood vibe to Baton Rouge, its purpose was simple: to show support for Louisiana's film industry tax incentives. Currently, a bill approved by the House would reduce the tax credits for nonresident workers hired from 30% to 20%, while the credit for resident workers would remain at 35%. The event was dubbed Scott Niemeyer's "baby." Niemeyer is the chief financial officer of Gold Circle Films, the production company behind Pitch Perfect and the upcoming Search Party, both of which were filmed in Baton Rouge. "The Legislature has a big job cut out for them to balance the budget," he says. "We recognize that's not an easy task. We also want to mention the significance of our industry—the 15,000-plus jobs, the billions of dollars of in-state spending. Despite the fiscal cost of the program, the economic impact of the industry on the state is much more significant." Celebrities who attended the event include Search Party actors T.J. Miller and Adam Pally as well as actress Faith Ford, a Louisiana native. "Baton Rouge is one of those places where you can't find … nicer people and more locations to film," Miller says. "We'd like to keep coming back here." —Matthew Sigur Read the full story here.

Confusing tax code hindering La. competitiveness

April Castro — Wed, 15 May 2013 14:53:00 EST

The effective tax rate in Louisiana is actually lower than it is in Texas, but it's just too complicated for out-of-state employers to realize it, a Republican lawmaker says. Rep. Alan Seabaugh of Shreveport says the Lone Star State is "whipping everybody's butt" in job creation and growth. "The fact of the matter is, four of the nine fastest-growing cities in America are in Texas," he says. "Businesses go where the tax structure is favorable, and the people follow the businesses." But that's a battle Louisiana should be winning, he says. "The problem with our income tax is it's confusing," he says. "We have a high rate of 6 and 8 percent. It's really not real because of all of the exemptions and credits; the effective rate of taxation is about a third of that. But when businesses in Delaware are looking to relocate, they see a 6 and 8 percent top rate and they say, 'Nope, we're out.' " Seabaugh says a lower tax rate with fewer exemptions, similar to the failed plan floated by Gov. Bobby Jindal earlier this year, would be preferable and less confusing. Louisiana was ranked No. 32 in a 2013 index of state business tax climates by the Tax Foundation, while Texas was ranked No. 9. "We're better than Texas now," Seabaugh says. "People just don't think so." —April Castro

Lockdown at Southeast Middle this morning likely due to prank

April Castro — Wed, 15 May 2013 10:21:00 EST

A Baton Rouge middle school was on lockdown for about an hour this morning after a 911 caller reported a gun on campus. The campus of Southeast Middle School was given an all clear after a search turned up no gun. Susan Nelson, a spokeswoman for East Baton Rouge schools, says the call appears to be a prank. "No one at the school would call 911; they would call the School Drug Task Force," she says. "It was clearly not someone on campus." The task force is a part of the East Baton Rouge Parish Sheriff's Office. With five days left in the school year and final exams imminent, Nelson speculated that the call could have been an end-of-school student prank. —April Castro

Mobile farmers market gets ready to roll

Wed, 15 May 2013 10:14:00 EST

One week from today, the Red Stick Mobile Farmers Market will begin bringing locally grown, farm-fresh produce to areas in north Baton Rouge lacking access to grocery stores and other outlets for healthy food. City-parish officials are holding a grand opening event at 1 p.m. today to provide details on the new initiative as well as to cooking demonstrations; they'll also hand out food samples, recipes, nutrition cards, and tips for buying fresh produce. The event takes place at Star Hill Baptist Church, 1400 North Foster Dr., which is among the locations at which the mobile market will make stops starting May 22. Each Wednesday, the market will be open from 9 to 11 a.m. at Scotlandville Branch Library, 7373 Scenic Hwy., and will then be at Star Hill Baptist Church from 1 to 3 p.m. Officials hope to increase the number of weekly stops to between six and eight locations this year. The produce offered at the mobile market will come from the same local farmers who participate in the Red Stick Farmers Market. The mobile market is being funded in part by a $1 million grant obtained by Mayor Kip Holden through his Healthy City Initiative's Fresh Beginnings Project.

Income-forecasting panel boosts its estimates

Wed, 15 May 2013 10:07:00 EST

Louisiana's income forecast has brightened, giving lawmakers more money to spend in the budget. The Revenue Estimating Conference this morning adjusted next year's forecast by $155 million—$65 million more than what was assumed in the House-passed version of the 2013-14 budget. Economists say the state's individual income tax collections are higher than expected, a sign of a strong labor market. The four-member income-forecasting panel also bumped up projections for this year by $129 million, which could help fill gaps in the current year's budget or be used for other items. The changes will give the Senate Finance Committee more wiggle room in crafting the Senate's version of spending plans for the coming fiscal year and the one to follow. The committee starts combing through the House-approved budget later this week.

With tax break OK'd, New Orleans set to get $28M movie studio

Daily Report staff — Wed, 15 May 2013 10:00:00 EST

Construction on a $28 million movie production complex in New Orleans is slated to begin this fall, following approval Tuesday of a property tax break for Starlight Studios by the New Orleans Industrial Development Board. The project, to be built on a 32-acre vacant plot of land across from the Michoud Assembly Facility, is projected to include four soundstages with 96,000 square feet of space and a 30,000-square-foot office building. The Times-Picayune reports the industrial development board has agreed to assume title to the property for 10 years, during which time it will lease the land back to the Starlight developers in exchange for an annual PILOT, or payment in lieu of taxes. Starlight's first payment to the board in 2014 will be based on the current tax rate and the assessed value of the vacant property, which is approximately $10,000. Subsequent payments will be based on the projected value of the property upon the project's completion, determined to be $444,000. The facility is expected to take one year to construct once ground is broken.

News roundup: Southern board gets new student member … Small business owners more upbeat about economy, but still troubled … U.S. factory output falls in April

Wed, 15 May 2013 09:58:00 EST

A seat at the table: Southern University Student Government Association President Simone Bray has been selected as the next student member on the Southern University Board of Supervisors. She was selected by SGA presidents of the three campuses in the SU System, and will take her seat on the board in June. Bray, 20, is a junior mass communications major and Baton Rouge native.Ups and downs: Small-business owners were more optimistic about the economy in April, but "pessimism abounds" in a sector that is barely growing, the National Federation for Independent Business reports. The trade group's Index of Small Business Optimism increased 2.6 points to 92.1 last month after dropping in March. Still, the April figure was below the 94.5 reading a year earlier. The Los Angeles Times has more details here.Determined to make it: U.S. factories cut back sharply on production in April, as auto companies cranked out fewer cars and most other industries reduced output. The Federal Reserve reports that manufacturing output dropped 0.4% in April from March. It was the third decline in four months and the biggest since October. Production of autos and auto parts fell 1.3% in April. The Associated Press has more on the report released this morning here.

Today's poll question: Should the threshold for drunk driving be lowered to 0.05% blood alcohol content, from 0.08%, as the National Transportation Safety Board is recommending?

'Business Report': An in-depth look at B.R.'s newest power broker, John Georges

Daily Report staff — Wed, 15 May 2013 09:56:00 EST

In 1999, John Georges went into the tugboat business. It was unchartered territory for him. Though he had a successful wholesale distribution company and a thriving video poker business, offshore maritime was a totally new ballgame. The business was extremely tough and capital intensive. Though Georges, by his own account, did well with the company—growing market share and making money—he ultimately was unable to compete with the real heavyweights in the industry. Taking them on would have required either devoting all his resources to tugboats, or remaining a niche player, and being a niche player isn't Georges' style. He is not one to compete with anyone who puts him at a competitive disadvantage from which he cannot emerge victorious. He is hard-wired to win. Lives for it. Thrives on it. If he can't be first, he would sooner move on than settle. His life and career are a testament to that drive and determination. He is among the top 10 convenience store wholesalers in the country. He is the largest video poker operator and distributor in the state. He is the 30th-wealthiest Greek in America. He owns one of New Orleans' most famous restaurants. He married a woman from one of New Orleans most prominent families. He lives on New Orleans' most exclusive street. Now he has taken over one of Baton Rouge's most important and influential institutions. On April 30, he acquired The Advocate in a deal that cost him somewhere in the neighborhood of $50 million, according to sources. "You always want to be a star," Georges says. "Not a comet." Read the complete profile of Georges, by Business Report Editor Stephanie Riegel, in the new issue here; and send your comments to editors@businessreport.com.

Local Marriott hotels sold for $15.6 million

Stephanie Riegel — Wed, 15 May 2013 09:54:00 EST

The Marriott Courtyard and Marriott Residence Inn, both on North Mall Drive near Siegen Lane, have been acquired for $15.6 million by the Lightstone Group, a privately held real estate company that owns and manages a diverse portfolio of office, retail, residential and industrial properties around the U.S. The motels were previously owned by Olshan Hotel Management, a San Marcos, Fla.-based company that built the Courtyard and Residence motels in 1997 and 2000, respectively, and has managed them since. Both motels will continue to operate under the Marriott flag, which is the No. 1 brand in the industry based on reservations. Earlier this spring, Olshan's John Dougherty told Daily Report his company's decision to sell was not based on the performance of the properties, both of which have average occupancy rates of between 75% and 80%. "Rather, it's part of an overall strategic plan that we're getting out of that market and moving into other opportunities," Dougherty said at the time. Industry experts say the Siegen properties are in a location deemed desirable because of its high growth rate, visibility, access to the interstate and proximity to LSU. The Siegen motels are not the only Marriotts in play. In January, Daily Report confirmed the company that owns the iconic high-rise Marriott on Hilton Avenue near Interstate 10 is in the process of tendering the property back to its lender and that it could change hands later this year. —Stephanie Riegel

New La. seafood certification program gives seal of approval to first product

Tue, 14 May 2013 15:33:00 EST

The first product to carry the Certified Authentic Louisiana Wild Seafood label was announced at LSU today by officials behind the certification and branding campaign. The Vermilion Bay Sweet White Shrimp gumbo pack is the first of what officials at the Louisiana Seafood Promotion and Marketing Board hope will be many products in the state to carry the seal. Ewell Smith, executive director of the seafood board—which partnered with the Louisiana Department of Wildlife and Fisheries to establish the program—calls the first certified product "the first step in elevating the Louisiana Seafood Brand to the status achieved by the Idaho potato or Alaska salmon." The Vermilion Bay gumbo shrimp was chosen as the first product for certification in part because it doesn’t contain sodium tripolyphosphate, or STP. "STP is a chemical that is widely used in the seafood industry in raw frozen product as an aid to prevent product moisture loss during the thawing process," explains Thomas Hymel of the LSU AgCenter, which conceived of the program along with the Louisiana Sea Grant marine extension program. "We wanted this shrimp pack to be just like if you bought the shrimp fresh off the boat and peeled them yourself … with nothing added but shrimp." The Louisiana seafood board has more details on today’s announcement and the certification program here.

News roundup: DDD wants dog-friendly businesses highlighted … La. bill to circumvent federal gun restrictions gets committee approval … Tougher drunken driving threshold recommended

Tue, 14 May 2013 15:20:00 EST

Bring your best friend: The DDD is looking into the possibility of creating a "doggie trail" in downtown Baton Rouge spotlighting dog-friendly places, including businesses. Companies interested in being included on the trail are asked to contact Gabe Vicknair or Justin Tassin at the DDD by calling 389-5520.

Sticking to their guns: A Senate judiciary committee approved a bill today that would circumvent any possible federal gun regulations by creating a made-in-Louisiana brand of firearms and ammunitions. House Bill 45, which already gained House approval, was passed unanimously by members of the Senate Judiciary C Committee.

At the wheel: States should cut their threshold for drunken driving by nearly half—from 0.08% blood alcohol level to 0.05%—matching a standard that has substantially reduced highway deaths in other countries, the National Transportation Safety Board is recommending. More than 100 countries have adopted the 0.05% alcohol content standard or lower, according to a report by the board's staff. The Associated Press has the full story here.

House lawmakers kill Citizens rate review bill

Tue, 14 May 2013 15:14:00 EST

Lawmakers in the House have rejected a proposal seeking legislative review of large rate hikes for customers of Louisiana's property insurer of last resort. The House Insurance Committee scrapped the idea today in a 9-4 vote against the bill by St. Mary Parish Sen. Bret Allain, R-Patterson. The Senate unanimously agreed to require annual rate hikes over 25% by the Louisiana Citizens Property Insurance Corp. to get approval from the House and Senate insurance committees. That faced opposition in the House, so Allain reworked the measure to simply require rate hikes above 25% to go to the insurance committees for review, not approval. Insurance Commissioner Jim Donelon opposed the idea. The House committee rejected the rewritten version, killing the bill.

Representatives disagree on whether Senate will OK budget deal

April Castro — Tue, 14 May 2013 15:10:00 EST

Shreveport Rep. Alan Seabaugh, a top Republican in the state House of Representatives, predicts that the nearly $25 billion budget plan his chamber approved on Friday will not survive the Senate. And even if it does, he says, Gov. Bobby Jindal will veto it. "Part of it is a good package; the part of it on changing the budget process needs to pass, it really does," says Seabaugh, a guest speaker today at the Ronald Reagan Newsmaker Luncheon. "I don't think it's going to, which is going to, I believe, doom the rest of it." Seabaugh predicts that when the measure gets to the Senate, members will resist linked provisions that overhaul the budget-writing process. "Because what we're essentially doing is tightening the strings and taking away some latitude that they have used in the past and plan to use in the future," he says. "Long-term, I will be shocked if it actually passes." Seabaugh voted against the bipartisan package, illustrating a fissure in the ranks of House Republicans, particularly among the group who call themselves the "fiscal hawks." Rep. Brett Geymann, a Lake Charles Republican who helped craft the proposal, acknowledged the plan's lack of support from Jindal and from the state GOP. However, Geymann says he believes the Senate will pass the bill. "I believe the state party, the House delegation and the administration are finally going to sit down and work this thing out. I believe that's what it took and I believe that's finally going to happen." The compromise plan was an overhauled version of Jindal's budget proposal, which drew objections from fiscal conservatives over the use of one-time money and other budgetary maneuvers without addressing a widening gap between spending and revenue.

Youth day camps, training programs in jeopardy

Stephanie Riegel — Tue, 14 May 2013 15:02:00 EST

With East Baton Rouge Parish Schools letting out next week, the clock is ticking on the fate of some summer youth programs—including day camps and job-training programs—for which several Metro Council members have requested funding in the mayor's midyear supplemental budget. "We've been waiting, but everyone is kind of scrambling because we haven't heard anything," says Councilwoman Tara Wicker, who requested about $100,000 for several programs, including a film-industry training center for teens. "We have this age group of kids who are too old for camp but too young to get a job, and those kids are going to be out on the street for the summer—and that is never a good thing." Councilwoman Donna Collins-Lewis is also frustrated that her requests for Big Buddy and summer camp programs have gone unanswered. "It's looking kind of iffy at this point," she says. City-parish Finance Director Marsha Hanlon says the administration is working through the many budget requests that have come in but doesn't have a total dollar figure yet. In any case, she says, the surplus funds available are not plentiful: somewhere in the range of just $2 million. "There's not a whole lot to work with," she says. Wicker says she is particularly frustrated that the council was asked to rubber-stamp some $4 million for IBM and was told then other requests would be vetted later. "They still haven't gotten back to us," she says. "This is an opportunity for economic development and job training, and it's almost too late."

Capitol Views: B.R. breakaway school district bill headed to House

Tue, 14 May 2013 14:55:00 EST

The next step, likely the hardest, lies ahead for the proposed breakaway school district in southeast Baton Rouge, after legislation passed the House Education Committee today. Senate Bill 73, the constitutional amendment by Sen. Bodi White, R-Central, after getting ballot language approved in the Civil Law Committee, will need two-thirds approval from the House. The same bill fell four votes short of that mark last year. If it passes the House, it will go on the constitutional ballot in 2014. The bill would create a new school district for the 10 public schools educating 7,000 students in the area between Interstate 10 and Interstate 12. Testimony from supporters and opponents went on for more than two and a half hours today before the committee voted to approve it, 10-6, with all Republicans and one independent in favor and all Democrats opposed. Senate Bill 199, the enabling bill, passed by the same margin. Members of Local Schools for Local Children said the new district would enable parents in the area to improve those schools and run them more efficiently than the East Baton Rouge Parish School Board does. Members of One Community One School District warned the change would further balkanize public education in Baton Rouge. Residents from the proposed school district area said that it would lead to higher taxes for everyone in the area.

—It is described as a way to build a skilled workforce but also as a debt ceiling–busting end run on the constitution that will take resources from other college systems. SB 204 by Sen. Robert Adley, R-Benton, which passed House Education Committee today without objection, would allow $240 million in state bonds to be sold for 28 construction projects at community colleges around the state. The bill requires a 12% local match, which the business communities in different regions have promised to put up. Because the state is close to its borrowing limit, the bill would require a two-thirds vote of the House and, ultimately, inclusion by the governor’s office in the list of approved projects to go before the Bond Commission. It passed the Senate, 30-6. Matt McKay of All-Star Automotive Group spoke in favor of one of the projects included in the package: a $10.2 million technology center for the new Smiley Heights campus of Baton Rouge Community College. The center would train students for certification as auto mechanics to work on new model cars. "This is a great situation for our kids who want to learn the tools of the trade," he said. "The local money will be there," he said of the local match. Treasurer John Kennedy warned that legislators would be creating a new statutory dedication in approving financing that would take $20 million a year out of the general fund for the next 20 years. Board of Regents Chairman Bubba Rasberry said the bill would undo the coordinating role of the Regents. "You are creating an environment for competition in a most vulgar way," he said. Unsaid in committee but working strongly in its favor of the bill is the support of Gov. Bobby Jindal.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

'Real Estate Weekly': Police could be relocated into former Woman's Hospital by year's end

Tue, 14 May 2013 14:30:00 EST

If the Metro Council approves amending this year's capital improvement budget to free up $11 million for the purchase of the former Woman's Hospital campus on Airline Highway, the Baton Rouge Police Department's headquarters could be relocated there by the end of the year, says William Daniel, Mayor Kip Holden's chief administrative officer. While the former hospital building itself is outdated, has no use and will need to be demolished, Daniel says, the Physician's Tower on-site can be renovated with relative ease. "We can move the police in there pretty quickly," he says. The Metro Council will consider the budget amendment at its May 22 meeting, during which a public hearing will also be held on the matter. Daniel says it's important that the Metro Council approve the plan at its next meeting because the purchase agreement the city-parish signed in December for the 24-acre campus expires in early June—before the council would meet again following the May 22 meeting. "We're still doing our due diligence, and we haven't found anything that would make us think that we wouldn't want to move forward," says Daniel. "We feel really good about this deal. We think the reports are all going to come back favorable … and we don't think it's going to be controversial at all with the Metro Council." Councilman Joel Bo� agrees. "I haven't heard any negative comments from any council members on this," he says. —Steve Sanoski Read the rest of this story and get more local real estate news in the new Real Estate Weekly e-newsletter here.

Kerrigan to deliver keynote at Influential Women in Business luncheon

April Castro — Tue, 14 May 2013 14:28:00 EST

Access to capital remains one of the greatest challenges to female entrepreneurs, says Karen Kerrigan, president and CEO of the Small Business & Entrepreneurship Council. Women only get 3.5% to 4% of the nation's venture capital, or what Kerrigan calls "just an amazingly small slice of that pie." Kerrigan, who’s also chair at the Center for International Private Enterprise, will be the keynote speaker at this year’s Influential Women in Business luncheon in Baton Rouge, presented annually by Business Report. Along with being profiled in the May 28 issue of the magazine, the recipients of this year’s awards will be honored at the luncheon. Kerrigan says cultural barriers still hamper women's ability to secure banks loans, despite some recent improvement. "Those are the types of things we need to work on to help more women entrepreneurs become [leaders of] high-growth firms," she says. As keynote speaker, Kerrigan says she will urge Baton Rouge businesswomen to "think big." The luncheon will be held June 7 at Crowne Plaza, 4728 Constitution Ave., from 11:45 a.m. to 2 p.m. Tickets are $40 and are available online here.

LFEA president: Industry can survive latest proposed cut to film tax credit

Steve Sanoski — Tue, 14 May 2013 10:40:00 EST

Actors, actresses and politicians—including former Gov. Edwin Edwards and his wife, Trina—will be among those attending a private event in Baton Rouge tonight to promote the positive effect the film industry has in the state. And while the event was originally organized by the Louisiana Film and Entertainment Association to rally, at least in part, against a budget proposal that would have seen the film industry's tax credit cut by 15%, the shelving of that plan means there will be more fun and less politics tonight. Nonetheless, LFEA President Will French says the deal reached Monday in the House—which would result in a much smaller cut to the film tax credit—could still reduce Louisiana's competitiveness in relation to other states vying for film business via tax credits. "The question is, what exactly will it mean for us? Are we going to lose a little business, maybe a movie or two a year, or are we going to start to lose dozens of films, or worse?" French says. "That's a bit of best-guess scenario at the moment. But as it's written now, I think we survive." The bill approved by the House would reduce the tax credit for non-resident crew workers hired from the current 30% to 25% or 20%, French says. The tax credit for resident workers would remain at 35% he says. The measure now advances to the Senate, where French acknowledges "anything could happen," adding, "We're not celebrating yet." Well, except for tonight, where actors confirmed to attend include Wendell Pierce, Adam Pally, T.J. Miller, Thomas Middleditch, Shannon Woodward and others. The event, which is not open to the public, is taking place at Celtic Media Centre. —Steve Sanoski

Downtown Greenway may connect with Wards Creek trail

David Jacobs — Tue, 14 May 2013 10:33:00 EST

The planned Downtown Greenway could connect with the Wards Creek trail BREC is building now, BREC and DDD officials say. The first phase of the Wards Creek Trail, from the Mall of Louisiana to near Siegen Lane, is under construction now, says Angela Harms, assistant director of planning and engineering with BREC. The agency is working on grants that would allow it to extend the trail through the Pennington Biomedical Research Center property to Pollard Estates and Rouzan. The greenway will connect Memorial Stadium through downtown to City Park, and DDD Executive Director Davis Rhorer says long-term plans are for the two trails to connect. Pollard and the Perkins Road Community Park next to Kenilworth Parkway were mentioned as connection points. BREC also is working with DOTD on possible additional lighting for Expressway Park at Interstate 10 and Interstate 110, which is a key link for the greenway, Harms said today at the DDD's monthly meeting. —David Jacobs

Editor’s note: This story has been changed since its original publication. Due to incorrect information provided to Daily Report, an earlier version of this story said the first phase of Wards Creek Trail would end near Perkins Rowe.

American importer costs fall, pushed by cheaper oil

Tue, 14 May 2013 10:24:00 EST

Prices paid by U.S. importers fell in April for the second straight month, pushed lower by another decline in imported petroleum. The Labor Department says import prices—which when decreasing help keep inflation in check—fell 0.5% last month compared with March, when prices had fallen 0.2%. It was the largest decline since a 0.6% drop in December. Imported petroleum products decreased 1.9% in April. Excluding petroleum, import costs dropped only 0.1%. Import prices have now fallen 2.6% over the 12 months ending in April. The prices charged by U.S. exporters, meanwhile, fell 0.7% in April compared with March. The decline was propelled by a 2.2% drop in U.S. farm exports. Over the past year, export prices have decreased 0.9%.

Jindal calls on Obama to name a special prosecutor to investigate IRS

Tue, 14 May 2013 10:23:00 EST

Through the Republican Governors Association he leads, Gov. Bobby Jindal is calling on President Barack Obama to appoint a special prosecutor to investigate the IRS's targeting of conservative groups, Politico reports. "To be blunt, this is Big Brother come to life and a witch hunt to prevent Americans from exercising their First Amendment rights," Jindal, RGA chair, and Wisconsin Gov. Scott Walker, RGA vice chair, wrote in a letter to Obama. "The actions of the IRS are an attempt to gag the voices of Americans who may disagree with the policies and left-leaning ideology of your administration. Quite frankly, this is un-American." The RGA leaders are demanding the president fire all employees involved in the targeting and say he should appoint a special prosecutor to discover if any laws were broken. The IRS apologized Friday for having targeted for additional questioning some conservative groups' applications for nonprofit status, which delayed the processing of those applications. At a press conference Monday, Obama called the targeting "outrageous" and said those who participated would be "held accountable."

Today's poll question: Do you agree with Gov. Bobby Jindal that a special prosecutor should investigate the IRS over the targeting of conservative groups?

Pipelines spill three times as much oil as trains, IEA says

Daily Report staff — Tue, 14 May 2013 09:48:00 EST

Pipelines in North America spilled three times as much crude oil as trains for comparative distances over an eight-year period, the International Energy Agency reports in a study it based on U.S. Department of Transportation data. However, as Bloomberg reports, the Paris-based energy adviser also says that the risk of a train spill was six times greater than a pipeline incident over the period between 2004 and 2012. The calculation included an estimate that the average load of crude carried by train travels 1,000 miles, which the organization says is conservative, since most Bakken crude, for example, is shipped 1,700 miles from North Dakota to St. James, La. The analysis of the eight-year period didn't include a spill of 715 barrels of crude from a derailment in Minnesota in 2013 that was more than double the amount spilled by trains in the previous four years, the report notes.

News roundup: Junior elected new student member of the LSU Board of Supervisors … Applications being accepted for B.R. small business development program … Spots available for EBR chamber of commerce's gun training program

Daily Report staff — Tue, 14 May 2013 09:47:00 EST

A seat at the table: LSU junior John Woodard has been elected the new student member of the LSU Board of Supervisors. Woodard, a native of Covington, was elected to a one-year term on the governing board at a meeting of LSU System student body presidents on Monday. Beginning June 1 he succeeds Justin Mannino of Baton Rouge, whose term expired. Woodard is a finance major with a minor in leadership development and was recently elected president of LSU Student Government.In development: Capital One Bank is accepting applications for its Getting Down to Business small business development program in the Capital Region. The 14-week program begins May 28 and is designed to provide qualified business owners with information and guidance to help them grow their businesses. The program is free and will be held on Tuesday evenings, with exact dates to be announced, at Capital One Bank's Government Street branch, 5220 Government St. You can apply online here.Locked and loaded: The Chamber of Commerce of East Baton Rouge Parish says there are still openings for participants in its gun training course Saturday, set to take place from 8 a.m. to noon at Baker Range, 3220 Jefferson St. in Baker. The course is free, but participants must pay the range $15 and supply their own ammunition. The course is open to all (legal) residents of East Baton Rouge Parish. You can get more details or reserve your spot by emailing ChamberEBR@hotmail.com.

Surplus envy creeps in as other states do better

John Maginnis — Tue, 14 May 2013 09:42:00 EST

Through the last five years of ongoing, agonizing budget deficits and midyear cuts, Louisiana politicians could at least console themselves knowing that other states were grappling with the same financial woes brought on by the national recession. But not anymore.While action by the Legislature is still needed to end the current fiscal year in the black, a growing number of other states, recently mired in deficits, are now piling up big surpluses. A story in The Daily Beast credits growing revenues and reduced spending for enabling governors and legislators to tackle deficits, cut taxes and raise teacher pay.Texas, which had a budget deficit two years ago, projects an $8.8 billion surplus for its coming two-year cycle. Florida, forced to make deep spending cuts in recent years, projects a $437 million surplus. Beyond the Sun Belt, Ohio is looking forward to a surplus of $1 billion and Iowa one of $484 million, according to the National Association of State Budget Officers. Even North Dakota, strong in energy and agriculture like Louisiana, estimates it will take in $1.6 billion more than it spends in the next two years.Back home, after a round of painful midyear budget cuts, the state finished fiscal year 2012 with a $133 million surplus, proportionate to Florida's. But Gov. Bobby Jindal's administration needs to use most of that to move money around to get fiscal year 2013 out of the red, after Congress slashed the state's Medicaid funding last summer.That other states are stabilizing their finances and moving ahead spawns surplus envy at our state Capitol. What's wrong here?Not everything. After a turbulent week and a few false steps, the House came together to pass an appropriations bill that is more reasonable and less squishy than what Jindal proposed. Not by a lot, but just being different is big in itself.Instead of propping up higher education with mostly one-time money, as did the governor's budget, the House replaced that with cuts in spending, reductions to tax breaks and—the big piece—a new tax amnesty program.As it has been only three years since the last tax amnesty program, lawmakers worried aloud they could be "training" corporations to wait on paying their tax bills until the next forgiveness program rolls around. But as proceeds from the three-year program are not, technically, one-time money, legislators managed to get over their qualms.Under the House plan, the faction of so-called fiscal hawks can claim they are funding recurring expenditures with only recurring revenues, and not with expected property sales, legal settlements and leftover balances from dedicated funds, as the governor planned to do.Jindal appears ready to go along with the tax amnesty program, but not with smaller, targeted reductions of tax exemptions and credits in several House bills, which he vows to veto if they are not balanced by equal tax cuts.Two-thirds of representatives and a majority of Republicans voted for those measures, which include a revision of the movie tax credit program that the movie industry supported and even helped to write. No matter. Not even the willingness of those taxed can overcome the governor's opposition. That's because he answers to a higher power: Grover Norquist, leader of Americans for Tax Reform and keeper of signed pledges by Jindal and other elected officials to never ever agree to any net tax increase.When they cling to positions not supported by common sense, both the fiscal hawks and the governor fail to act in the state's best interests.The hawks' obsession with one-time money mistakes the problem. Budgeting prospective property sales and legal settlements should and can be avoided. But much of what is termed non-recurring revenue isn't that at all, but are, rather, small portions of many statutorily protected funds, which will be replenished next year. It is wrong for those funds to be wholly protected in hard times if health care and higher education are not.Gov. Jindal is as much or more at fault for threatening to veto any change to the tax code—including parts he has said need fixing—just because it puts more money in the state treasury.The budget process still has a long way to go, but neither the hawks nor the governor seem ready to retreat from their absolute positions, even if it means that Louisiana government will continue lunging from one budget crisis to the next while sister states advance on solid fiscal ground.

Maginnis: Surplus envy creeps in as other states do better

John Maginnis — Tue, 14 May 2013 09:40:00 EST

News roundup: Deadline to file La. taxes is Wednesday … Feds study Gulf wildlife to make way for wind turbine … U.S. retail sales rise in April on cars, clothing

Mon, 13 May 2013 15:39:00 EST

Time is running away: The deadline for filing 2012 Louisiana individual income tax returns is Wednesday. The state Department of Revenue says the average processing time for electronic filing is 10 business days, while paper returns usually require 12 to 16 weeks. Taxpayers needing more time to prepare 2012 individual state income tax returns must submit an extension request by May 15 to avoid late-filing penalties. You can get more information and file online here.

Sea breezes: Two federal agencies are laying the foundation for wind turbines to join oil derricks in the Gulf of Mexico, by launching a study of the effects that seismic research poses on whales and fish in the region. As The Houston Chronicle reports, an environmental impact study will look closely at the potential impacts from seismic surveys and other geological research meant to help pinpoint oil reservoirs as well as scout locations for wind turbines and other energy infrastructure. Read the full story here.

Ring it up: Lower-priced gas in April allowed Americans to step up their spending at retailers, from cars and clothes to electronics and appliances. Retail sales edged up 0.1% last month, the Commerce Department reports. That's an improvement from a 0.5% decline in March, which was the largest drop in nine months. The April gain was stronger when taking out the effect of lower gas prices, which reduced sales at gas stations 4.7%. The retail sales report is not adjusted for price changes. When excluding gas station sales, retail spending rose 0.7%. The Associated Press has more details on the report here.

Executive Spotlight: Jennifer Vosburg

Mon, 13 May 2013 15:38:00 EST

Have you ever heard of NRG Energy? Or its fully-owned subsidiary, Louisiana Generating? Maybe not. But Jennifer Vosburg says most people catch on when they hear "Big Cajun I and Big Cajun II," which Fortune 300 energy company NRG owns. Since leaving the Long Law Firm in 2007, Vosburg has moved up the ladder at NRG, which sells energy primarily to large companies such as Demco. She started as director of regulations and next took over responsibility for transmissions assets. In January 2011 she became a vice president and was promoted to head Louisiana Generating that summer. Click here to read the full Q&A with Vosburg in the new issue of Business Report. The following is a sample of what you'll find:
If you could have dinner with any three living people, who would they be?
"Bill Clinton: I've attended the Clinton Global Initiative meetings a few times, and the humanitarian work his organization is doing is inspiring. My mentor, Mike Patterson: Although he is in Baton Rouge, we can never meet up for lunch. Condoleezza Rice: Politics aside, she is a strong female role model."

Capitol Views: Movie industry supports tax increase

Mon, 13 May 2013 15:34:00 EST

It's not often that an industry agrees to the proposition of paying more in taxes, but the movie industry has backed a bill, which cleared House committee today, that would reduce the movie tax credit for out-of-state investors to 25% from 30%. Speaker Pro Tem Walt Leger, D-New Orleans, introduced this bill as a back-up to a similar bill passed on Friday, in case the other bill runs into trouble in the Senate. Leger negotiated with the film industry to address potential for abuse of the program. "This is a big step forward," says Leger, in that it cracks down on out-of-state vendors trying to operate as in-state vendors. It also requires that all salaries claimed under credits have state income taxes withheld. Leger notes that his bill could be linked to others that would reduce other taxes, in order to satisfy Gov. Bobby Jindal's opposition to any bill that causes a net tax increase.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

RDA to seek $425,000 from city-parish for Smiley Heights

Stephanie Riegel — Mon, 13 May 2013 15:17:00 EST

The East Baton Rouge Redevelopment Authority is asking Mayor Kip Holden for $425,000 to begin clearing land and doing site preparation work on the 40-acre, first phase of Smiley Heights, a 200-acre mixed-use development in Mid City that the RDA is developing. The funding request will be contained in the mayor's midyear, supplemental budget, which is currently being compiled by the administration and will likely be presented to the Metro Council either later this month or in early June. RDA President and CEO Walter Monsour says the first phase of Smiley Heights—which has been described as "an urban traditional neighborhood development"—will include a new Baton Rouge Community College campus with an automotive training facility as well as a Career Academy for EBR Schools. "This initial funding will be to clear and grub and start preparing the site," Monsour says. "We will also be doing some master planning as well as a housing survey so we can determine what type of housing we will need, based on what we anticipate brining in." Subsequent phases of Smiley Heights will include apartments and single-family homes, a retail development and an extended-stay facility. Monsour says he has spoken to Holden and chief administrative officer William Daniel about the RDA's supplemental budget request but "has not been told it will happen." He says the funding is critical in order for Smiley Heights to get off the ground. —Stephanie Riegel

Dyke Nelson Architecture wins Grow Mid City competition

Steve Sanoski — Mon, 13 May 2013 15:14:00 EST

Dyke Nelson says his architectural firm will use the $10,000 it received in taking first place in the Grow Mid City business plan competition to purchase additional equipment that will allow it to manufacture more eco-friendly products itself rather than outsource that work. "For example, we recently built a couple bistro tables for Rock-n-Sake. We designed those but had to have them fabricated off-site and then assemble them here," Nelson says. "The idea is to create a real tight circle with our production, keep it all in-house, and ship off products that are truly sustainable—and eventually provide an option to purchase those products through our website." Nelson says his firm uses a "tremendous amount of recycled materials" for its products, which range from furniture and lighting fixtures to panels and installation pieces, many of which come from historic properties. Along with Dyke Nelson Architecture—or DNA Workshop, as it's also known—two other Mid City businesses won cash awards through the competition, created by Capital One Bank in partnership with the Mid City Redevelopment Alliance of Baton Rouge. Vintage clothing store Time Warp Boutique took second place and $7,000, and Carco Awards won $3,000 for its third place finish; owners of each will use the money to improve their business. A spokesperson for Capital One says this was the first time the competition was held in Baton Rouge, and it was created here following the success of a similar contest that it has conducted for several years in New Orleans' Gentilly neighborhood. —Steve Sanoski

Large, long-stalled development south of LSU 'back on track'

April Castro — Mon, 13 May 2013 14:47:00 EST

A Metairie-based developer is hoping to move forward with a 600-acre, environmentally friendly, mixed-use development on River Road south of LSU. Charles Lambert, the property owner and developer, is awaiting approval from regulators to start clearing the site for the Village at Riverwood, which could ultimately include 1,550 homes.Lambert says he hopes to start developing the property, which he purchased in 1992, by early next year. About 130 acres between Elbow Bayou and River Road would be developed as part of the first phase, including residential lots and some commercial space.In addition to full-size homes, the draft plan filed with the Planning Commission also details more compact town and garden homes. Lambert says the project has been on hold for at least five years as market conditions slumped. But, he says, the Baton Rouge economy looks strong and "we're back on track."Plans call for a pedestrian-friendly urban village with 200,000 square feet of retail space and 18,000 square feet for restaurants. The project also would include about 100,000 square feet of office space. With a focus on minimizing environmental impacts, the project also would include more than 180 acres of green space, including parks and sports fields, as well as a series of lakes and ponds "to detain storm water and replace vegetation that was removed during construction."Lambert says the property will be more residential and less commercial than Perkins Rowe. He says his focus is to keep the property convenient to residents, even bringing in a small grocery store so that residents "don't have to drive off every time they need groceries." Lambert would not discuss the estimated cost for the project.Lambert previously received approval for the development from the Planning Commission, but it has since expired. The commission will consider his application for reapproval on July 15.

Bills seek legislative oversight of privatization

David Jacobs — Mon, 13 May 2013 14:24:00 EST

The Louisiana Legislature should have greater oversight of state privatization efforts, says Rep. Kenneth Havard, R-Jackson. He says the private sector often is more efficient than government, and hopes his House Bill 240, rather than blocking privatization, allows legislators to tell their constituents that they've vetted a contract and concluded it's the best option for the state. "Right now, we don't know," Havard says. He suggests the contract debacle that led to DHH Secretary Bruce Greenstein's resignation and a lawsuit being filed against the state might have been avoided with better oversight. Havard says his bill would require contractors to at least consider hiring qualified state workers who would lose their jobs through privatization. The Jindal administration has raised concerns about Havard's bill and a similar one, House Bill 519, by Rep. Cameron Henry, R-Metairie. Last week, the Reason Foundation, a libertarian think tank, blasted the legislation, saying the bills nearly are identical to a 1993 Massachusetts law that "has basically shut down all privatization efforts in state government," according to a Boston Globe editorial. "Louisiana taxpayers would be right to question why some of their own state legislators are trying to replicate the law that has been so counterproductive in the Bay State for decades," argues the Reason Foundation's Leonard Gilroy. Both local bills are expected to be taken up Tuesday by the House and Governmental Affairs committee. HB 240 would apply to contracts costing $5 million or more per year, not counting engineering or design services contracts. —David Jacobs

'Business Report' planner: Two GOP representatives talk legislative issues, budget … Arrigo to address B2B luncheon … BRAC presents Tech Tuesday at L'Auberge

Daily Report staff — Mon, 13 May 2013 14:14:00 EST

Tuesday — Reps. Brett Geymann, R-Lake Charles, and Alan Seabaugh, R-Shreveport, will discuss issues in the state Legislature, including budget, at the Ronald Reagan Newsmaker Luncheon, to be held at Caf� Am�ricain, 7547 Jefferson Hwy., beginning at 11:30 a.m. The meeting is open to registered Republicans and guests. Cost is $15. For more information, call Woody Jenkins at 921-1433.

Tuesday — The Better Business Bureau hosts a B2B Luncheon featuring Visit Baton Rouge President and CEO Paul Arrigo as the guest speaker. The luncheon will take place at Oak Lodge Reception and Conference Center, 2834 S. Sherwood Forest Blvd., Suite E-1. Registration begins at 11 a.m., with the program to follow from 11:30 a.m. to 1 p.m. Cost is $18 for BBB accredited businesses and $25 for non-accredited guests. More details can be found here.

Tuesday — BRAC hosts Tech Tuesday, a networking event for the technology community, from 5:30 to 7:30 p.m. at the Stadium Sports Bar & Grill in L'Auberge Casino & Hotel, 777 L'Auberge Ave. The event is free. You can find more details and RSVP here.

The Business Report planner is open to events of general interest to the Capital Region business community. Items must be submitted no later than noon Friday before the event occurs. Email ssanoski@businessreport.com with information.

For the full list of upcoming events, click here.

Library board and Spinosa reach deal on Rouzan

Stephanie Riegel — Mon, 13 May 2013 10:29:00 EST

After years of delays and negotiations, it appears the East Baton Rouge Parish Library Board of Control and developer Tommy Spinosa have reached an agreement over construction plans for the Rouzan branch library. Board President Travis Woodard tells Daily Report the board and the parish attorney's office expect to sign off on a revised cooperative endeavor agreement with Spinosa before the board's regular monthly meeting, which is Thursday. Under the terms of the agreement—which is an amended version of a document first signed in 2010—Spinosa will agree to complete by November all the infrastructure work that's needed to begin construction of the library. The infrastructure work includes constructing roads, parking lots and utilities within the area of the TND on which the library will be situated, as well as turn lanes and signal modifications on Perkins Road. Previously, Spinosa had agreed to post a performance bond, but the parish attorney's office did not think that was sufficient to guarantee that the developer's portion of the project would be completed. "There is a small escrow Spinosa will have to post (under this revised agreement)," Woodard says. "But the lion's share of this agreement centers on him completing the work, and it spells out exactly what he has to do." Once the infrastructure is completed, the library board will bid out the construction project, which is estimated to cost between $5 million and $6 million. Construction could begin as soon as early next year, with the library opening sometime in 2015. —Stephanie Riegel

B.R. gas prices rise but remain among lowest in U.S.

Daily Report staff — Mon, 13 May 2013 10:20:00 EST

For the second straight week, the average price of a gallon of regular, unleaded gasoline has risen slightly in Baton Rouge, according to the AAA Daily Fuel Gauge. Nonetheless, at $3.29 as of this morning—an increase of 5 cents on the week, following a penny rise the week previous—motorists in the Capital Region are still enjoying some of the lowest prices in the country. Just four states in the U.S. have a slightly lower average than Baton Rouge: Alabama, Mississippi, South Carolina and Tennessee. The increases over the past two weeks were preceded by price declines for nine consecutive weeks. The Baton Rouge average one month ago was 4 cents higher than today, and the average a year ago was 25 cents higher. The Louisiana average this morning is $3.31, up 4 cents from a week ago but down 6 cents from a month ago. A year ago, the average price in Louisiana was $3.55. The U.S. average today is $3.57, up 5 cents on the week and 3 cents on the month—but down 15 cents from one year ago. You can see the complete report here.

New health insurance co-op gets state license

David Jacobs — Mon, 13 May 2013 10:19:00 EST

Louisiana Health Cooperative, a new nonprofit health insurer, has been licensed by the state's Department of Insurance. LAHC, based in Metairie, was selected in September by the U.S. Department of Health and Human Services to create and operate a statewide "CO-OP," or Consumer Oriented and Operated Plan. "Our members will eventually be our board of directors," says company spokesman Jim Pittman. Enrollment begins Oct. 1, when the Federal Health Insurance Marketplace online exchanges are scheduled to go live. Brokers also will sell the plans. The company was established with help from a $65 million federal loan last year. Ochsner Health System is a sponsor of the new company, while at least 30 to 40 business leaders have endorsed the concept, Pittman says. LAHC says it will offer preventive programs with early health screenings, a comprehensive medical network, and coordinated care programs, among other benefits. —David Jacobs

News roundup: Lafayette economy continues to expand … More than 20,000 filed for protective orders in Louisiana in 2012 … Video released of possible suspects in N.O. Mother's Day shooting

Daily Report staff — Mon, 13 May 2013 09:57:00 EST

Booming: Lafayette Economic Development Authority President and CEO Gregg Gothreaux says the Lafayette economy is thriving, as evidenced by record-setting retail sales last year, low unemployment and major business investment, The (Lafayette) Daily Advertiser reports. "It's a great time to be an entrepreneur in Acadiana," Gothreaux says. The local economy has weathered the national recession and the 2010 drilling moratorium, he says, and is steadily growing. Read the full story here.Seeking safety: Louisiana residents filed more than 20,800 protective orders last year, The (Alexandria) Town Talk reports, and nearly 5,000 already have been filed this year. Only domestic or dating abuse requests for protection are included in the Louisiana Protective Order Registry. Though many terms are used to describe court-ordered distance between two people, protective orders are specific to domestic abuse. Read the full story here.In pursuit: Video released this morning by New Orleans police shows a possible suspect in the Mother's Day gunfire that wounded 19 people—at least three seriously—during a neighborhood parade. Still pictures of the suspect have been posted on YouTube, police say. Police believe more than one gun was fired in the burst of Sunday afternoon violence, and they've vowed to swiftly track down those responsible. The reward for information leading to arrests and indictments in the case is $10,000. Read the full story by The Associated Press and see the video here.

Today's poll question: What is an appropriate contingency fee for a law firm to receive in its representation of Baton Rouge in the municipality's lawsuit against BP?

As employees laid off, LSU hospitals may need to pay about $42M

Daily Report staff — Mon, 13 May 2013 09:56:00 EST

When the LSU Health System turns over state public hospitals to various private operators this summer, its employees will be owed $29 million in "termination pay," while the system could have to pay out another $13 million in unemployment costs, according to a new report by the Louisiana Legislative Auditor. As The Times-Picayune reports, LSU officials told the auditor's office they are aware of this $42 million expense and are working with Gov. Bobby Jindal's administration to find funding. Over the long term, the LSU Health Care Services Division, which currently operates the seven public hospitals in south Louisiana, estimates it will have to pay about $26 million annually in retiree health insurance and life insurance premiums. The system anticipates that many eligible employees will take early retirement when the hospitals are turned over to private operators. The auditor's report was intended as an overview for Louisiana lawmakers as the privatization agreements near finalization. The full story and complete Legislative Auditor's report can be found here.

'Times-Pic' transformation a 'jaw-dropping blunder,' says 'NY Times' columnist

Daily Report staff — Mon, 13 May 2013 09:45:00 EST

"Clearly, commanding a market to change on a dime because it suits your business plan does not mean readers will obey," says The New York Times' David Carr in a column Sunday. "Just ask Advance Publications, owned by the Newhouse family, which is back to where it started in New Orleans with The Times-Picayune." The attempted transformation of The Times-Picayune to a digitally focused news organization—initially scaling back publication to just three days a week, but more recently reversing course and launching a new publication called TPStreet to once again have a printed product every day—has been "a jaw-dropping blunder to watch," Carr says. "Advance misjudged the marketplace … and failed to execute a modern digital strategy. Now it is in full retreat with new competition," he writes. The Advocate has been raiding The Times-Picayune's editorial staff since new owner John Georges purchased the newspaper, Carr notes, and is continually ramping up competition in New Orleans. "That doesn't mean that The Advocate will have anywhere near the impact on New Orleans that The Times-Picayune once did, or that it will magically defy the laws of contemporary publishing economics," he says. "But it does suggest that Advance's belief that it had New Orleans to itself and could do as it wished was deeply mistaken." You can read Carr's complete column here. And be sure to check out the new issue of Business Report that hits newsstands Tuesday afternoon, which includes an in-depth, exclusive cover story on The Advocate’s new owner.

Hampton Inn leasing state garage spaces for guests

Penny Font — Mon, 13 May 2013 09:43:00 EST

Hampton Inn guests who park in the state-owned LaSalle Garage need not worry about getting towed. The downtown hotel is leasing 137 parking spaces in the facility, which provides unreserved parking spaces for state employees and YMCA patrons. "There is no public parking in this garage, so there is no anticipated need for towing," says Division of Administration spokesman Michael DiResto. Towing became an issue in another of the state-owned garages on Third Street when Republic Parking, which manages the state's five parking garages, hired Riverside Towing for enforcement. The company—known for its aggressive tactics—towed the vehicles of several patrons attending events downtown who had parked in spaces they assumed were reserved only during normal business hours. The state has since suspended the practice. The agreement between the Hampton Inn and the state is a 20-year base lease, with two 10-year renewal options. The hotel is paying $164,400 annually in the first five years of the arrangement, with lease rates rising every five years after that. "Towing hasn't been an issue since we sat down with the state and discussed it," says DDD Executive Director Davis Rhorer. "I think this is a very smart use of garages. The majority of people will be staying in the hotel on evenings and weekends, when the parking garage is empty. It makes a lot of sense." Read a November Business Report cover story about parking problems downtown and the tactics of Riverside Towing here. —Penny Font

Capital Area United Way selects a new leader

Fri, 10 May 2013 15:19:00 EST

Darrin Goss Sr. has been selected as the new president and CEO of the Capital Area United Way, the organization's board of directors announced today. Goss, who will take over the position July 1, comes to Baton Rouge from the United Way of Greenville County in South Carolina, where he's been vice president of community impact since 2007. He will take over from Richard Williams, who has served as interim president and CEO for about the past year. CAUW Board Chair Christy Reeves says Goss "embodies the mission of United Way," and calls him "the ideal choice" to take over in Baton Rouge. Goss holds a degree in psychology from Wofford College in Spartanburg, S.C., and he's also a veteran of the U.S. Army. "I am excited about the opportunity to join the Baton Rouge community and the Capitol Area United Way," Goss says in a prepared statement. CAUW has more details here.

'Bonnie & Clyde' filming to close downtown streets Monday

Fri, 10 May 2013 15:15:00 EST

Filming of the History Channel's Bonnie & Clyde in downtown on Monday will force some road closures in the area and will include "loud simulated gunfire," city officials announced today. Filming is scheduled to take place between noon and midnight along Third Street, between its intersections with Laurel and Convention streets. During filming, police will be stopping traffic intermittently while the cameras are rolling to ensure no modern cars slip into the frame of the period feature. Along with partial street closures, parking will also be restricted on portions of Third, Laurel, Florida and Convention streets. The four-hour mini-series, distributed by Sony Entertainment, is being directed by Bruce Beresford and is based on the true story of legendary bank robber, Clyde Barrow. The cast includes Emile Hirsch, William Hurt, Holly Hunter and Holliday Grainger.

McKnight: We want elephants at Baton Rouge Zoo

Fri, 10 May 2013 15:08:00 EST

BREC Superintendent Carolyn McKnight says she's talking to various groups about building a new elephant exhibit for the Baton Rouge Zoo. "We want elephants at our zoo, and the way that we have to do that is to build a new exhibit," McKnight says. She's hoping the parish will reauthorize a property tax dedicated to BREC next year that will allow for an elephant exhibit. If the tax is renewed, McKnight says BREC could leverage public dollars with private donations to carry out the project. Judy the elephant died in March and the zoo plans to host a going-away party for Bozie, a 37-year-old Asian elephant, on Saturday, May 18. She will be leaving the zoo shortly after that for the Smithsonian's National Zoo in Washington, D.C. Because elephants are a herd species, zoo officials say they couldn't leave Bozie alone after her 46-year-old companion died. —April Castro

News roundup: Rain forces Live After Five cancellation … La. weekly unemployment insurance claims drop … LSU in lower half of SEC in player arrests over past three years

Fri, 10 May 2013 15:05:00 EST

Too wet to rock: Today's Live After Five downtown concert downtown has been cancelled because of the rainy conditions. Also, with expected showers throughout tomorrow, a grand opening event for the Team Automotive Group Sportsplex at BRAC's Perkins Road Park has been moved indoors on site from 10 a.m. to 1 p.m. Saturday's second-annual Baton Rouge Greek Festival has also been moved indoors at the atrium of the Belle of Baton Rouge. Also, the "Meet Your Neighbor Day" event slated to take place Saturday at the Dr. Martin Luther King Jr. Community Center has been cancelled.

On the way down: First-time claims for unemployment insurance in Louisiana for the week ending May 4 decreased from the previous week's total. The state labor department figures released today show the initial claims decreased to 2,466 from the previous week's total of 2,541. For the comparable week a year earlier, there were 3,124 initial claims. The four-week moving average, which is a less volatile measure of claims, increased to 2,562 from the previous week's total of 2,556.

By the numbers: The arrest of LSU running back Jeremy Hill recently has made for negative headlines for LSU. But when it comes to player arrests, The Times-Picayune LSU is in the lower half of the SEC dating to 2010. According to an unofficial tally by the newspaper, four programs are in double figures, led by newcomer Missouri with 18, not counting DWI arrests of two coaches. Vanderbilt has the fewest only one in that span. LSU has six. Read the full story here.

HEAD2toe happening Saturday

Fri, 10 May 2013 14:58:00 EST

InRegister and 225 will present HEAD2toe on Saturday at the Crowne Plaza Hotel, 4728 Constitution Ave. The daylong event focuses on good health and beauty, featuring local medical spas, health clinics and hospitals to salons and spas. Doors to the exhibit hall will open at 9 a.m. Guests can visit VIP Exhibition Suites to learn about the products and services offered by local companies. Seminars will begin at 9:30 and 11 a.m., with each running about 50 minutes. General admission tickets, which are $10, can be purchased in advance online or at the door. The event is sponsored by Woman's Hospital, Blue Cross and Blue Shield of Louisiana, and The Fabre Group. You can get all the details and advance tickets here.

Capitol Views: House agrees on changes to funding budget

Fri, 10 May 2013 14:46:00 EST

The House of Representatives followed through today on its bipartisan budget accord, replacing $490 million in one-time money from the governor’s proposed budget with a mix of spending cuts, targeted tax-break reductions and a new tax amnesty program. It is taking up the appropriations bill itself later today. The biggest piece of the revenue package, the tax amnesty program, took the least time to pass. Rep. Joel Robideaux, R-Lafayette, estimated that the 30-month program would net $200 million for the state in first year, with another $200 million spread over the next two years. “There are no questions on the bill,” said Speaker Chuck Kleckley, R-Lake Charles. It passed, 87-8. Before that and with only a few questions raised, the House approved a series of revenue raisers, which face an uncertain future in the Senate and the threat of the governor’s veto if they are not balanced by equal tax cuts, which they won’t be.

—The most debate at the Capitol today came on amendments to a bill that would postpone the start of new rebates for corporate relocation, competitive projects payroll incentives and donations to a private school tuition fund for low-income students. Robideaux says the amendment suspended rebates that had not been used yet. But administration staffers passed out notes warning that the suspension of the payroll incentive rebates would affect negotiations over the Sasol and Michoud projects in Lake Charles and New Orleans, respectively. Rep. Ray Garofalo, R-Meraux, argued the suspension sends the message to business that “we started a game and at halftime we’re gonna change the rules on you.” Rep. John Schroder, R-Covington, revised his amendment to take exempt any company that had a cooperative endeavor as part of negotiations with LED. It also exempted any donations already made to the tuition fund. The amendment passed, 75-24, and then House Bill 571 passed, 76-23.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

Visit Baton Rouge predicts strong year

Fri, 10 May 2013 14:34:00 EST

Last year was a big one for Baton Rouge tourism, with the U.S. Bowling Congress delivering an estimated $113 million economic impact. But while there's nothing that big expected for 2013, Visit Baton Rouge President/CEO Paul Arrigo sees a good year ahead for the local convention business. In fact, the first several months of the year compare favorably “to any other year we've had,” he says. Ren�e Areng, the agency's executive vice president of sales and marketing says “[2013] is going to be as strong, we think, as '12,” adding, “[2014] is looking good too. [2015] we probably only have about 10 groups in the system, so that's the year we're working right now.” Take last year's bowlers out of the equation, Arrigo says, and 2013 might actually end up being a bit stronger than 2012, thanks in part to the improving national economy. For 2013, Visit Baton Rouge says it is working 416 “conventions in progress,” which could attract more than 211,000 people and lead to more than 128,000 hotel room bookings. That number includes “qualified leads” along with confirmed events, and as such is fluid. But potentially, Baton Rouge could be well on its way to exceeding the 317 conventions it hosted last year, Areng says. You can read about the agency's 2013 marketing strategy here. —David Jacobs

'225': Moms talk about how they balance work, family

Fri, 10 May 2013 14:22:00 EST

In honor of Mother's Day on May 12, 225 spoke to five dynamic working moms of Baton Rouge. The feature, "Working Moms," focuses on the mothers' daily challenges, motherly advice, tips for connecting with their children, and holding it all together. The profiles look at a range of women from the Capital Region. There's fashion designer Ann Tillage, who has two children and knows all too well about the sleep deprivation and not being able to find personal time. However, she takes a break with a 15-minute walk, or by reading a chapter of her favorite book. Another featured mom is Alicia Marion, a server from California Pizza Kitchen who has five children. Read all the profiles in the current issue of 225 here.

LaPolitics by Maginnis: House to rework budget today

John Maginnis — Fri, 10 May 2013 10:37:00 EST

It took two tries in four days, but House members have approved a fiscal plan different from the governor's and are ready to debate the budget bill this morning. With the scaled-back plan that omits across-the-board reduction of business tax breaks, LABI lifted its objection to advancing the revenue bills so that they can be heard on the same day as the appropriations bill. Still, some conservative Republicans considered the plan only a minor improvement. "They are doing exactly what they accused the governor of doing," says Rep. Alan Seabaugh, R-Shreveport.—Even before the business community began mobilizing, Republicans began distancing themselves from the proposal that reduced a wide range of business tax exemptions and credits by 15%. Instead of targeting the exemptions, the broad-swath approach ignited opposition throughout the business and agricultural sectors. A good number of Republicans, some of whom have voted with the fiscal hawks, thought they overreached in trying to remove all $490 million in one-time money from recurring expenditures. Many of them sided with the hawks' objection to the budget placing all the one-time money into higher education. But they also say that outside the legislative rails, they heard almost no objections from their constituents.They said it: "I think I just got kicked out of the GOP." —Rep. John Schroder, R-Covington, on his support for the alternative budget plan.

(John Maginnis publishes LaPolitics Weekly, a newsletter on Louisiana politics, at LaPolitics.com.)

News roundup: LSU gator research facility expanding … Bernanke says Fed increasing financial monitoring … Hackers get $45 million, arrested in ATM card breach

Fri, 10 May 2013 10:30:00 EST

Chomping at the bit: Small studies on alligator nutrition have been ongoing at the LSU AgCenter Aquaculture Research Station in Baton Rouge, but with the addition of new facilities, those projects are being expanded. A newly constructed building to house larger animals at the station will allow the number of alligators raised to marketable size in the laboratory to increase from about 100 per year to 250, says Robert Reigh, resident director of the Aquaculture Research Station. The AgCenter has the full story here.On the lookout: The Federal Reserve has broadened its oversight beyond banks and now monitors a wide range of financial institutions that could hasten another financial crisis, says Chairman Ben Bernanke. The Fed is still monitoring banks and other systemically important financial institutions, he says, but it has widened its scope to include other important participants that could either trigger a crisis or make the system more vulnerable. The full story is here.New age bank robbery: A worldwide gang of criminals stole $45 million in a matter of hours by hacking their way into a database of prepaid debit cards and then draining cash machines around the globe, say federal prosecutors. Outmoded U.S. card technology may be partly to blame. Seven people are under arrest in the United States in connection with the case, which prosecutors says involved thousands of thefts from ATMs using bogus magnetic swipe cards carrying information from Middle Eastern banks. U.S. Attorney Loretta Lynch is calling it "a massive 21st-century bank heist" carried out by brazen thieves. Read the full story here.

'225 Dine': New direction, chef coming to Walk-On's

225 staff — Fri, 10 May 2013 10:25:00 EST

Last In Concepts, the restaurant group behind Walk-On's, The Roux House, Happy's and others, has hired Chef Jeremy Coco as its director of culinary operations and training. Coco will primarily focus on developing the menu and training the staff at all Walk-On's locations. Coco has an impressive background: He has worked at Juban's and was formerly the executive chef at Cafe Vermilionville in Lafayette as well as at Fleming's in Baton Rouge, in addition to serving as the dean of education at the Louisiana Culinary Institute. Walk-On's co-owner Jack Warner says Coco will improve patrons' experience. "We want to build a better team to grow [Walk-On's]. To take that to the next level, we needed to bring in [someone to] teach, coach, train and lead our staff," he says. Coco says he wants to concentrate on fixing the small things now before developing any new menu items and that he thinks the future is bright for Walk-On's. "This company has great growth potential," Coco says. "I have a feeling Walk-On's is going to be another LSU/Baton Rouge success story." Get your fill of local culinary news in the new 225 Dine e-newsletter here.

New airline eyeing Baton Rouge

Stephanie Riegel — Fri, 10 May 2013 10:13:00 EST

The announcement Monday that Southwest Airlines is adding new nonstop flights this fall between New Orleans and Austin, Texas, is good news for travelers not only in the Crescent City but also in Baton Rouge, which is just an hour's drive from Louis Armstrong International Airport. But it's not a cause for celebration at Baton Rouge Metro Airport, which struggles—like most smaller airports—to increase service and attract new carriers. "Anytime a competing airport gets something new like that, it doesn't help us," says Jim Caldwell, the airport's marketing director. That said, sources tell Daily Report BTR is in talks with a small, regional airline that is considering adding flights from Baton Rouge to other destinations in the South. Caldwell confirms negotiations are under way but will not disclose the name of the airline involved. He also says the airport continues to reach out to other airlines but concedes it's a hard sell because of market conditions nationwide. "There has been no increase in seating capacity, domestically, over the past five years, and with the mergers you're down to just the network carriers," he says. "The pickings are slim." On the bright side, flight service at the Baton Rouge airport was up about 10% in April over the same period last year, a fact Caldwell attributes to the addition of a handful of new flights and also to the use of larger aircraft. —Stephanie Riegel

Public meetings set for discussion on Livingston Parish master plan

Fri, 10 May 2013 10:04:00 EST

Livingston Parish officials have set a pair of meetings later this month to give a review of a proposed comprehensive master plan and to get feedback from residents. It's the second round of meetings on the plan; meetins were also held in April. The first meeting this month will be held at 6 p.m. Thursday at the Livingston Parish Council Chambers, 20355 Government Blvd., in Livingston. The second meeting will take place at 8 p.m. on Thursday, May 23, also at the council chambers. Parish officials began working on Livingston's first master plan in March 2011. It is intended to help the parish prioritize needs and improvements for the next 10 to 20 years in areas such as transportation, water and sewer, recreation, housing, and economic development. Key recommendations in the proposed plan include utilizing a land-use map as a guide for development and infrastructure decisions; adopting zoning and basic design guidelines along U.S. 90 and Interstate 12; and adopting a Major Street Plan to ensure interconnected roadways and to reduce traffic congestion. You can take a look at the complete working draft of the parish's master plan here.

Greek Fest moved indoors due to weather concerns

Steve Sanoski — Fri, 10 May 2013 09:54:00 EST

A stormy weekend forecast has prompted organizers of the Baton Rouge Greek Festival to move Saturday's event indoors. Instead of being held at North Boulevard Town Square downtown, the second annual festival will now take place in the atrium of the Belle of Baton Rouge, 103 France St. The hours are staying the same: 11 a.m. to 10 p.m. Overnight and early-morning thunderstorms knocked out power for about 6,000 Entergy customers in Baton Rouge, and there are continued warnings of possible severe weather and flash flooding in the area. Heavy rain is expected to last into the weekend, with an 80% chance of rain Saturday. Though the forecast is also calling for a 70% chance of rain through this evening, DDD Executive Director Davis Rhorer says Live After Five has not been canceled as of this morning. "We don't know at this point in time if it's going to be affected [by the weather], but for now it's still on for 5 to 8 p.m. at Repentance Park," Rhorer says. —Steve Sanoski

Early childhood education revamp looks likely

Daily Report staff — Fri, 10 May 2013 09:53:00 EST

Proposals to tie public funding to student performance and issue letter grades to Louisiana's public and private early childhood education programs are finding easy passage through the Legislature. Two Senate bills are the cornerstones of Gov. Bobby Jindal's attempt to restructure early childhood education and to create uniform standards for kindergarten readiness. They have cleared the Senate with very little discussion and no objections from lawmakers, and aren't expected to run into trouble in the House, The Associated Press reports. The bills, by Sens. Conrad Appel and Mike Walsworth, are enabling legislation for Act 3, a structural framework approved by lawmakers last year. Public and private programs receive $1.4 billion a year in federal and state money to educate students from birth to 5 years old. Jindal wants to bring some academic uniformity to those programs and to give parents a report card on providers' efforts. State education officials have said that just over half of Louisiana youngsters arrive in kindergarten prepared to handle the curriculum and that the state ranks 49th in the nation for its early childhood education. More details on the bills can be found in the full story here.

Today's poll question: Do you think issuing report cards on early childhood education programs will increase kindergarten readiness among Louisiana's children?

Wampold plans to tear down, rebuild Stanford Avenue apartments

Steve Sanoski — Thu, 09 May 2013 15:38:00 EST

Developer Mike Wampold has filed for site plan approval to tear down One Lakeshore Place apartments on Stanford Avenue and build a new, upscale 240-unit apartment complex called Lakeshore Place on Stanford, says Ryan Holcomb, Planning Commission planning project coordinator. The aging apartment complex, built in 1963 on a roughly 5.5-acre site, is located next to the Crescent at University Lakes condos—also developed by Wampold—across the street from the LSU lakes. Because Wampold plans to build more than 100 residential units on the site, Holcomb says, he is required to get site plan approval for the project. Wampold's new plan is slated to go before the Planning Commission on June 17. Approval from the Metro Council is not required for the site plan, nor does Wampold need any permission to demolish One Lakeshore Place. —Steve Sanoski

News roundup: Former BP executive's trial delayed … Burbank dog park in running for renovation grant funds … Special meeting of LSU board rescheduled for May 28

Thu, 09 May 2013 15:30:00 EST

Further on down the road: A federal judge has agreed to postpone the trial of a former BP executive charged with concealing information from Congress about the amount of oil that was leaking from the company's blown-out well in the Gulf of Mexico in 2010. David Rainey's trial was scheduled to start on Sept. 23, but U.S. District Judge Kurt Engelhardt has agreed to move the trial date to Oct. 15 at the request of Rainey's attorneys. Rainey pleaded not guilty in November to charges of obstruction of Congress and making false statements.

Speak! The dog park at BREC's Burbank Park is in the running to receive a $25,000 or $100,000 grant from PetSafe to upgrade the park as part of its Bark for Your Park contest. "Winning this contest would allow us to build a pavilion for our small dog park at Burbank and possibly add a water feature and other amenities," says BREC Superintendent Carolyn McKnight. The winners will be selected by a public online vote. You can vote one time per day here. Registration is required. Fifteen finalists will be announced June 5; the winners, July 31.

On the agenda: The LSU Board of Supervisors will hold a special meeting at 10 a.m. Tuesday, May 28, to consider additional cooperative endeavor agreements for the LSU hospitals. The meeting was previously scheduled to take place Friday, May 17. Additional information about the agenda will be posted online here in the next few days.

In Texas, Obama presses middle-class jobs agenda

Thu, 09 May 2013 15:24:00 EST

Offering a more upbeat view of the economy, President Barack Obama resurrected his jobs proposals today, advancing modest initiatives as he pushed for action on more ambitious efforts that face resistance from congressional Republicans. "We're poised for progress," he declared to an audience in Austin, Texas. The president chose the bustling state capital as a backdrop to refocus on higher wages, education and a manufacturing-driven agenda that has been eclipsed by his struggles over gun control and spending cuts and his ongoing push for an overhaul of immigration laws. "You might not know this, because if you listen to all the doom and gloom in Washington and politics, and watching cable TV, sometimes you might get kind of thinking nothing is going right," Obama told students at a technology high school. "The truth is, there's a lot of reasons for us to feel optimistic about where we're headed as a country." Nevertheless, Obama said that while housing markets are improving, corporate profits are skyrocketing, and the energy and auto industries are thriving, there is still a need to improve. The Associated Press has the full story here.

Capitol Views: House approves new revenue plan

Thu, 09 May 2013 15:18:00 EST

After being stung by attacks from the governor, business and farm interests, and the state Republican Party, the House passed another revamped revenue-raising plan in a series of unanimous votes this afternoon. The new proposal eliminates the across-the-board reduction of tax exemptions that had generated so much opposition and had Republicans backing away from it. The major piece to make the new deal work is a new tax amnesty program estimated to bring in $200 million in past-due taxes during the next fiscal year, with an equal amount split over the following two years. It also tightened up movie production, Enterprise Zone and solar energy tax credit programs. The plan maintains the $106 million in spending cuts that were agreed to by House Democrats. With those revenue bills amended, they can be brought up Friday along with the budget, which the House looks to approve and send to the Senate.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

Dog chaining ordinance tabled

April Castro — Thu, 09 May 2013 15:16:00 EST

The Metro Council had delayed a vote on a proposal to ban pet owners from chaining their dogs for more than an hour. After taking testimony on the proposal Wednesday, the council raised concerns that the ordinance would not be enforceable, and asked for 30 days to gather more information. If adopted, Baton Rouge would join a growing list of communities that restrict dog chaining. Violators could be fined a maximum of $500 and could face up to 180 days in jail. Councilman John Delgado, who co-authored the measure, says the issue is very important to him personally, as the owner of three rescue dogs. "If something is wrong, call it wrong and make it against the law," he says. "When I see that animals are being mistreated, if I have the ability to do even the smallest thing about it, I'm going to do it." Councilman Buddy Amoroso, also a co-author, previously commented to Daily Report that it's a public safety effort aimed at combating dog fighting. He says chaining is used by dog fighters as a way to keep the animals "in a constant state of aggression." —April Castro

Sports roundup: Bertman to be honored among SEC Baseball Legends … LSU's Plaisance, Ballard invited to USA team trials … Former Tiger, Saint Randall Gay arrested at B.R. bar

Thu, 09 May 2013 15:13:00 EST

Respect: Former LSU baseball coach Skip Bertman will be among those honored as SEC Baseball Legends during the 2013 SEC tournament in Hoover, Ala., later this month. Along with Bertman, the 2013 class includes: Hal Baird, Auburn; Terry Shumpert, Kentucky; and Gene McArtor, Missouri. Each will receive an on-field recognition and award presentation Saturday, May 25. LSU has more details here.

Represent: After leading the LSU women's basketball team to a Sweet 16 appearance, forward Theresa Plaisance and guard Danielle Ballard have been invited to participate in the 2013 USA Basketball Women's World University Games Team trials. They are among 31 of the nation's top players invited to convene at the U.S. Olympic Training Center in Colorado Springs, Colo., May 16-19, where a 12-member squad will be chosen to represent the USA at the World University Games, set for July 8-15 in Kazan, Russia. Click here for more details from LSU.

Caged: Former LSU and New Orleans Saints cornerback Randall Gay was arrested early this morning after a disturbance at The Bulldog Pub on Perkins Road. The Times-Picayune reports Gay, 31, of 1935 Orr St., Brusly, was charged with entry or remaining on premises when forbidden, two counts of simple battery, resisting an officer and disturbing the peace by public intoxication. He bonded out of East Baton Rouge Parish Prison at 7:15 a.m. after posting a $1,200 bond. The full story is here.

Judge rips BancorpSouth in ruling

Stephanie Riegel — Thu, 09 May 2013 15:09:00 EST

For nearly three years, BancorpSouth "willfully refused to comply" with discovery requests made by developer Windy Gladney in his protracted court battle with the bank over $2 million in construction loans. So says 19th Judicial District Judge William Morvant, who delivered a major blow to BancorpSouth's case late Tuesday, when he threw out the bank's claim against Gladney and also dismissed its defense to allegations contained in a countersuit he filed against the bank."The Court has lost confidence in the ability of [Gladney] to properly defend this matter based on the number and the extent of discovery abuses by the plaintiff … and when I say 'plaintiff' I mean the bank," Morvant says in a written transcript of his ruling, obtained by Daily Report. "The record in this case … is replete with instances that go beyond simple inadvertence or negligence. There are too many to write this off as a simple oversight or a slip up on the part of the bank."Gladney's attorney, Mary Olive Pierson, has argued BancorpSouth refused to turn over thousands of pages of bank records, emails and other documents that are relevant to the case, which centers on loans the bank made to Gladney and his partnership, Kleinpeter Trace, to develop a retail center known as the Greens at Millerville. In 2010, BancorpSouth sued Gladney for defaulting on the loan. He countersued, alleging the bank engaged in fraud by allowing his partner in Kleinpeter Trace, Jim Tanner, to use Kleinpeter Trace funds for his own personal gain.At times, Morvant's ruling makes for interesting reading."I can't come to grips with how something that is supposed to be preserved for litigation ends up being shredded," the judge says, referencing certain documents that were never produced and were, apparently, destroyed. "We basically have a total failure of the officers and employees of BancorpSouth to follow any document retention policy, written, oral or other."The judge adds: "I think the plaintiff has demonstrated a pattern of somewhat obstructive behavior and delaying tactics."An attorney for BancorpSouth declines to comment. But banking analyst Woody Briggs, of Chaffe & Associates in New Orleans, says the judge's ruling is somewhat unusual in the world of banking."I've seen plenty of disagreements in banking suits about what a subpoena means," says Briggs. "But very rarely does the bank just refuse to comply with it."Still, Briggs says it is likely BancorpSouth will appeal the ruling."If they drop the case and don't appeal—now that would be significant," he says. "But I would expect they would appeal."
Read a Business Report cover story from October on the case here.

Jobless applications fall to 5-year low

Thu, 09 May 2013 10:43:00 EST

The number of Americans who applied for unemployment benefits fell by 4,000 last week to a seasonally adjusted 323,000, a five-year low. Layoffs have returned to pre-recession levels, a trend that could lead to more hiring. The Labor Department reports that the less volatile four-week average dropped 6,250 to 336,750. That's the fewest since November 2007, one month before the Great Recession began. Applications are a proxy for layoffs. Weekly applications have fallen about 9% since November and are now at a level consistent with a healthy economy. The last time weekly applications were lower was in January 2008, when they were 321,000. Economists were largely encouraged by the decline. "This is a very positive trend and we should embrace it," says Jennifer Lee, an economist at BMO Capital Markets, in an email to clients. The job market has also improved over the past six months. Net job gains have averaged 208,000 a month from November through April. That's up from an average of 138,000 a month in the previous six months. The Associated Press has the full story here.

Costco said to help B.R. become 'world-class city'

Thu, 09 May 2013 10:42:00 EST

A planned Costco Wholesale store in Baton Rouge took a step toward fruition on Wednesday when the Metro Council approved a roughly $7.8 million incentive package for the retailer, a move supporters say is critical to making Baton Rouge a world-class city. "I don't know that you can have a world-class city, in my mind right now, without a Costco," says Patrick Mulhearn, director of studio operations at Raleigh Studios Baton Rouge at Celtic Media Centre. "And I know this because the California people and the people that come in from all over the country, they always ask me, 'Where's your Costco?' Well, we don't have one." The members-only warehouse retailer plans to build a 150,000-square-foot warehouse at the intersection of Airline Highway and Interstate 12 on the site of a former Coca-Cola bottling plant. The project had been on hold as Costco pushed for the incentive deal to help with road and infrastructure improvements at the site. William Daniel, chief administrative officer for Mayor Kip Holden, says the incentive package will allow Costco to make roadway improvements that the city would have had to pay for anyway. Ted Johnson, Costco's project development director for the Baton Rouge store, says it could potentially be open by next spring. Costco locations generally hire about 250 people, Johnson says. Councilman Ryan Heck, who cast the lone dissenting vote against the incentive package, argued that it's not the role of government to pick winners and losers. —April Castro

Today's poll question: How excited are you that a Costco will be built in Baton Rouge?

News roundup: B.R. firm launching online platform for custom graphics … Smoothie King aims for big growth in 2013 … New online encyclopedia of Louisiana governors launched

Thu, 09 May 2013 10:30:00 EST

On the starting line: Baton Rouge-based Vivid Images is launching a new online platform that allows customers to generate their own professionally designed products. Company CEO Jason Gardner created CoolFlyers.net as a startup company at Springboard Baton Rouge, and says his decision to launch the Web-based business was driven by the highly competitive nature of traditional graphic design and printing business. Gardner is hosting a live demonstration of how the Web business works on Saturday, May 18, at 7 p.m., at The Loft at Perkins Rowe.Smooth moves: Smoothie King says it has signed 49 new franchise agreements since the start of the new year, more than double the number signed during 2012. The Covington-based franchise says the majority of the new agreements should lead to openings by the end of the year, during which 100 new openings are anticipated. Smoothie King plans to add 1,000 new franchised and corporate locations domestically over the next five years. International development plans include Korea, Singapore and Malaysia, with 50 new stores planned in South Korea and 10 in Singapore this year.Historic heads of state: The Louisiana Endowment for the Humanities has launched a new "Governors of Louisiana" online encyclopedia section, providing a comprehensive overview of all of the state's governors since Sieur de Sauvole, commander of the first French settlement in Louisiana in 1699. Profiles include 83 governors, covering more than 300 years and including Gov. Bobby Jindal. You can check it out here.

Interior secretary to oil industry: Don't throw regulators under the bus

Daily Report staff — Thu, 09 May 2013 10:28:00 EST

Interior Secretary Sally Jewell delivered a blunt message to some of the nation's top oil industry executives during an inaugural meeting with the group on Wednesday: Don't cast blame our way. "I did poke them a little bit about not throwing the regulators under the bus or blaming us when there is actually shared responsibility, perhaps, when something doesn't move forward," Jewell tells The Houston Chronicle. "We don't want to be in the way of development, but we have a job to do protecting the assets of the American people." The closed-door gathering at the Offshore Technology Conference included top representatives from oil companies Anadarko, BP and Marathon Oil, as well as contractors FMC Technologies, Halliburton, Transocean and Schlumberger, and the trade groups American Petroleum Institute and National Ocean Industries Association. Some oil industry leaders have loudly complained about the pace of regulatory changes coming from the nation's capital and pleaded for a more stable, predictable landscape. Jewell says she sensed the executives understood that the Bureau of Ocean Energy Management and the Bureau of Safety and Environmental Enforcement have worked "to be responsive to the needs of industry" even as they craft new rules, some resulting from the 2010 Gulf oil spill. Read the full story here.

'225 Weekender': Baton Rouge Greek Festival downtown Saturday

225 staff — Thu, 09 May 2013 10:28:00 EST

Celebrate Greek culture, cuisine and music this Saturday at the free Baton Rouge Greek Festival. Hosted by the Holy Trinity Greek Orthodox Church of Baton Rouge, the festival takes place at the North Boulevard Town Square, 11 a.m. to 10 p.m. Festivities include music by Alpha Omega Sound from Atlanta, authentic Greek dishes made by church members, and traditional dance lessons. Arts and crafts, food, beverages and more will also be available in the festival area. For more information, visit brgreekfest.com. Get the lowdown on more local happenings on tap for this weekend in the new 225 Weekender e-newsletter here.

'Jurassic Park 4' shoot in doubt

David Jacobs — Thu, 09 May 2013 10:26:00 EST

Filming of Jurassic Park 4 has been delayed, the studio confirmed to trade publications on Wednesday. While Universal Pictures has not said so publicly, it has been widely believed that much of the film would be shot in Baton Rouge. Universal reserved stage space at Raleigh Studios Baton Rouge at the Celtic Media Centre, and had been working toward a June 2014 release. Patrick Mulhearn, director of Studio Operations at Raleigh Studios, tells Daily Report he has not received any official word from Universal, but says their production office and construction mill on the lot have been told to shut down and pack up. "It wouldn't surprise me one bit if they were at least somewhat spooked by what the Louisiana House of Representatives is proposing," Mulhearn says in an email, referring to possible cutbacks to the state's film incentives. "For Baton Rouge and the studio, it is devastating to lose a huge production that was just in its infancy. I think there is still hope that they will be back after the session." Universal confirmed the delay yesterday to counter rumors that the project is dead altogether. According to The Hollywood Reporter, the studio only received a draft of the script this week, and decided it needed to postpone "its much needed franchise player." A new release date was not announced. —David Jacobs

Mallard Trails developer sues city-parish

Stephanie Riegel — Thu, 09 May 2013 10:24:00 EST

Developer George Robinson is suing the city-parish and the East Baton Rouge Parish Planning Commission for denying preliminary approval of his planned subdivision, Mallard Trails, off Hoo Shoo Too Road. In a suit filed Tuesday, Robinson argues the Planning Commission acted arbitrarily and capriciously, and abused its discretion, when it denied his request last month to put 90 single-family lots on 57 acres on the south side of Hoo Shoo Too Road, east of Wood Duck Drive. Residents of the area largely opposed the planned subdivision, citing fears of increased traffic, road safety and drainage problems. Robinson's suit says that public opinion should not have factored into the Planning Commission's decision at this stage of the preliminary approval process. In contrast to, say, a requested zoning change, the suit argues that the preliminary approval process for a subdivision should not be influenced by public opinion, provided the applicant has complied with the city-parish Unified Development Code and followed existing zoning regulations—something, the suit says, Robinson has done. The suit asks the court to force the Planning Commission to approve the preliminary plans, and also seeks unspecified damages. —Stephanie Riegel

National data shows hospital charge disparities

Wed, 08 May 2013 15:25:00 EST

Baton Rouge General Medical Center charged Medicare on average about $44,000 to implant a pacemaker in 2011, while receiving an average total payment of $17,415. Meanwhile, Our Lady of the Lake charged about $41,000 for the same procedure, while being paid almost $16,000. A patient receiving a respiratory system diagnosis with a ventilator was charged an average of $30,880 by Ochsner Medical Center Baton Rouge, while Regional Medical Center of Acadiana charged nearly three times as much: $88,489. That's according to an unprecedented release today of hospital pricing data by the Centers for Medicare & Medicaid Services. The agency says it released the information—which in some cases shows large pricing disparities within the same market—to promote transparency in the health care system. According to The Washington Post, which got an early look at the data, for-profit hospitals tended to bill Medicare at a 29% higher rate than nonprofit or government-owned hospitals. Medicare and many private insurers never pay the full charge, says Renee Hsia, an assistant professor at the University of California at San Francisco Medical School. "But you have a lot of private insurance companies where the consumer pays a portion of the charge," she says. Hospitals say the prices, which come from a master list known as a "chargemaster," are rarely relevant to consumers, because it's generally not what they pay.

Metro squads discussion delayed

Wed, 08 May 2013 15:23:00 EST

At its meeting this afternoon, it appears the five-member committee that's looking into options for consolidating the Baton Rouge Police Department and East Baton Rouge Parish Sheriff's Office may be left with little to discuss. Baker Police Chief Mike Knaps was to bring a report to the committee today on an idea to revive "metro squads," but is at an out of town conference this week. "Without that information it's going to be difficult to proceed, at least for today," says Metro Councilman and committee member Joel Bo�. "I'm not certain how much is going to get done today … maybe some of the other members will have some things they want to discuss." The metro squad idea arose at the committee's meeting last month. Instead of consolidation of agencies, the squads essentially would involve memorandums of understanding between similar agency departments to work closer together and share more information in specific areas. The squads were used effectively in the parish in the 1980s, several committee members said last month. Bo�, who spearheaded the effort to form the committee, had requested more details on the squad proposal at last month's meeting, after which he told Daily Report he's still pushing for full consolidation. —Steve Sanoski

BP spill settlement payouts surpass $2 billion mark, administrator says

Wed, 08 May 2013 15:05:00 EST

BP oil spill claims administrator Patrick Juneau says that his Deepwater Horizon Claims Center has paid out more than $2 billion to businesses and individuals who lost money after the 2010 oil spill, The Times-Picayune reports. In total, the office has sent offers totaling $3.06 billion to 162,603 eligible claimants as of May 6, Lafayette lawyer Patrick Juneau says, adding about $2.08 billion has been paid so far to businesses and individuals. Juneau is expected to file a more detailed report this week on the center's progress with U.S. District Judge Carl Barbier, who is hearing the massive civil trial without a jury. "This is another milestone in the claims process," Juneau says in a statement. "We started this new process in June of 2012 and in less than a year, we have reviewed claims and determined, by the settlement agreement, that over $3 billion in claims are eligible for payment."

Capitol Views: First big vote could come today on controversial budget plan

John Maginnis — Wed, 08 May 2013 14:49:00 EST

With Republicans split over a bipartisan budget plan that is being attacked by Gov. Bobby Jindal and the business community, a showdown vote on the issue could be held today. The budget plan written by a group of Democrats and the so-called fiscal hawks relied on hearing a host of revenue-raising bills on the same day as the appropriations bill, which is scheduled for debate Thursday. But to bring up those revenue bills out of regular order would require a two-thirds vote for each. Representatives are not sure the support is there to advance the plan. The plan circulated on Monday included $329 million to be raised by cutting or delaying a number of tax exemptions and credits and making across-the-board 15% reductions in many more. That ignited strong opposition from the governor and business lobbyists, who labeled the plan a giant tax increase. As a result, an untold number of Republicans distanced themselves from the plan, which also contained about $100 million in spending cuts. If the revenue bills are not advanced today, it could push back the budget debate to next week.

—A major business versus union clash takes place today over a bill to stop union dues from being deducted from public employee paychecks. House Bill 552 will be heard in the Labor & Industrial Relations Committee after the House adjourns today. If successful, the bill by Rep. Alan Seabaugh, R-Shreveport, would most affect the state's two teacher unions, whose representatives are wearing lapel stickers opposing the bill. The Wisconsin Legislature made news last year by passing a similar bill.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

News roundup: House committee approves fee increase bill for LSU … JPSO gets $2.2M for Isaac recovery … LSU names new chancellor of research and economic development

Wed, 08 May 2013 14:47:00 EST

No free lessons: LSU students could see a $60 fee increase per semester this fall, if lawmakers agree to a bill approved by the House Education Committee today. Baton Rouge Republican Rep. Franklin Foil, sponsor of the fee bill, says the money raised would be used for campus maintenance projects. For the Baton Rouge campus, Foil says that fee could generate up to $4 million in the first year. With a 9-3 vote today, the proposal now goes to the full House.

Reimbursements: The Jefferson Parish Sheriff's Office is getting a nearly $2.2 million federal grant to reimburse its efforts to protect residents during and after Hurricane Isaac. FEMA says the office will receive $2,198,261 to reimburse it for expenses associated with providing emergency patrols, responding to emergency calls, closing roads, conducting search and rescue, and staffing the 911 center and Jefferson Parish Correctional Center. The funds are a portion of the more than $365.4 million in Individual Assistance and Public Assistance recovery dollars approved for applicants in the state since the 2012 storm.

Promoted: LSU's Kalliat Valsaraj has been selected to serve as the university's vice chancellor of research and economic development. Currently associate vice chancellor of research and economic development, Valsaraj has been at LSU for more than 27 years. He will start in his new position beginning July 1. Valsaraj replaces Interim Vice Chancellor of Research & Economic Development Thomas R. Klei, who will return to his research role at the LSU School of Veterinary Medicine.

Editor’s note: This story has been changed since its original publication to clarify the details of the proposed fee increase at LSU. An earlier version said the fee could top out at $300 by 2017. An LSU spokesperson says it will never be more than $60 per semester, or $120 a year.

Judge throws out BancorpSouth claims against Gladney

Stephanie Riegel — Wed, 08 May 2013 14:40:00 EST

Developer Windy Gladney won a significant victory late Tuesday in his long-running legal dispute with BancorpSouth, when 19th Judicial District Court Judge William Morvant dismissed the bank's $2 million claim against Gladney and his partnership, Kleinpeter-Trace. In his ruling, Morvant also threw out BancorpSouth's defense to claims filed against it by Gladney in a countersuit. Morvant issued his ruling from the bench after a lengthy hearing over the production of bank records, emails and documents that Gladney's attorneys have been trying unsuccessfully for months to obtain from the bank. In a late December ruling, Morvant warned BancorpSouth was facing sanctions for failing to turn over the documents, but said the bank was entitled to an evidentiary hearing on the matter. That hearing was Tuesday. "We were very pleased with the outcome because the discovery in this case has been nothing but a struggle since the suit was filed," says Gladney's attorney Mary Olive Pierson. "You shouldn't have to fight that hard to get your client's bank records." The ruling would seem to leave BancorpSouth with little option but appeal in the three-year-old case, which centers on construction loans the bank made to Gladney and Kleinpeter-Trace for a project known as the Greens at Millerville. BancorpSouth sued Gladney and his partner in Kleinpeter-Trace, Jim Tanner, for defaulting on $2 million worth of construction loans. Gladney countersued that BancorpSouth defrauded him by conspiring with Tanner to allow Tanner to use Kleinpeter Trace funds for his personal gain. An attorney for BancorpSouth declined to comment. —Stephanie Riegel

Costco deal uncertain as council prepares to vote

April Castro — Wed, 08 May 2013 14:31:00 EST

A Costco Wholesale store planned for Baton Rouge that once seemed like a slam dunk could be in jeopardy as its reception by the Metro Council appears to be losing its footing. An incentive package that would refund Costco roughly $7 million in sales tax receipts—which Costco says it needs for road and infrastructure improvements—is up for a vote at tonight's Metro Council meeting. With some council members still on the fence about how they'll vote, others have privately expressed skepticism that the deal will get approved.An incentive package that would refund Costco roughly $7 million in sales tax receipts—which Costco says it needs for road and infrastructure improvements—is up for a vote at tonight's Metro Council meeting. With some council members still on the fence about how they'll vote, others have privately expressed skepticism that the deal will get approved."Boy, I'm really torn on this one," says councilman Joel Bo�. "I know Costco is a good company and they bring a lot of value to the table, but we're giving away the farm here ... it's a big price tag to swallow."At least one member has gone from an aye to a nay since Monday."I don't have a problem with the free market, I love the free market," says councilman Ryan Heck, whose district includes the site at Airline Highway and Interstate 12 that would house the new Costco. "But subsidizing a retailer is choosing winners and losers."Heck argues that Costco's presence won't increase sales tax receipts in Baton Rouge. Rather, he says it would merely cannibalize sales from other local business such as Associated Grocers or Calandro's."I won't vote to subsidize retail at the expense of our local businesses," he says.Council member John Delgado says critics of such economic development initiatives put Baton Rouge at a disadvantage."That's just the way business is done these days," Delgado says. "We can long for the day when we didn't have to … but we're in competition with other cities for these finite resources and if you don't pay to play, then someone else will."Heck says he's willing to take a gamble that Costco will still come to Baton Rouge—rather than choose a neighboring parish that ponies up more incentive cash—if the council votes down the $7 million package tonight."If they want to be in Baton Rouge, they'll come regardless," he says. "That's a decision they'll have to make. This is the population center and they want to be in an area that is densely populated. Livingston Parish is not densely populated. Ascension Parish is not densely populated."

Administration turns up heat on budget proposal

Wed, 08 May 2013 10:33:00 EST

Gov. Bobby Jindal's administration has been busy this week voicing its opposition to a bipartisan budget proposal that contains $329 million in cuts to tax breaks that largely benefit businesses. A day after Louisiana Department of Revenue Executive Counsel Tim Barfield penned a guest column blasting lawmakers for trying to pass the proposal without coming clean with the public about what's in it, today the governor himself has a guest column that says the proposal "would result in job-killing tax increases to businesses and individuals across Louisiana." The deal, proposed for House floor debate Thursday, would rework the $24.8 billion budget submitted by Jindal for the fiscal year that begins July 1. As currently discussed, it would cut a number of tax credit programs by 15% each, including those for filmmaking, digital media, angel investing, and research and development, among others. "All of our progress is now in jeopardy," Jindal says in the column. "We cannot afford to turn back the clock. We have made great progress, and we have come too far. We want more people paying less taxes, not fewer people paying more taxes." You can read Jindal's complete guest column here.Editor's note: If you have a guest column that you'd like Daily Report to consider for publication, please email it to editors@businessreport.com. Business Report editors will make all decisions on publication, and reserve the right to edit for content or clarity.

Today's poll question: Do you agree with cutting spending on tax credit programs by 15% as outlined in a bipartisan budget proposal?

News roundup: CNSI's Louisiana woes not expected to hurt work in home state … Exxon beginning development of $4 billion Gulf field … Medicare reveals hospitals' prices for first time

Wed, 08 May 2013 10:19:00 EST

Watching from afar: Maryland health department officials are closely following a federal investigation into Gaithersburg-based Client Network Services Inc.'s contract with Louisiana for a new Medicaid IT system, but do not think the ordeal will impact the company's work on a similar system in Maryland, the Baltimore Business Journal reports. "We don't have concerns about their performance developing our system because of the nature of the problems in Louisiana," says Charles Milligan, deputy secretary of the Maryland Department of Health and Mental Hygiene. "CNSI continues to be the best company to develop these systems." The full story can be found here.Drilling down to it: Exxon Mobil Corp., the nation's largest oil company, says it will invest more than $4 billion in the development of its Julia oil field in the Gulf of Mexico, Bloomberg reports. Oil production is expected to start in 2016 from the field, which was discovered in 2007, Irving, Texas-based Exxon says in a statement. The resources in the area are estimated to be able to produce nearly 6 billion barrels, Exxon says. The Julia unit was the subject of a 2011 Exxon lawsuit against the United States over the government's decision to cancel the offshore leases because Exxon hadn't proceeded quickly enough with development. The litigation was later settled. The full story is here.Sticker shock: Consumers will today finally get some answers about one of modern life's most persistent mysteries: how much medical care actually costs. As The Washington Post reports, for the first time, the federal government is releasing the prices that hospitals charge for the 100 most common inpatient procedures. Until now, these charges have been closely held by facilities that see a competitive advantage in shielding their fees from competitors. What the numbers reveal is a health care system with tremendous, seemingly random variation in the costs of services. Read the full story here.

Amoroso wants city-parish drivers to take safety course

Steve Sanoski — Wed, 08 May 2013 10:14:00 EST

In an effort to increase the safety of both city-parish employees and the public—as well as cut down on the number of insurance claims the city is paying out for auto accidents—Metro Councilman Buddy Amoroso is proposing that employees who drive municipal vehicles be required to take a driver safety course. "Every meeting, we're paying out on some pretty costly settlements for automobile accidents that city-parish drivers have gotten into and they're at fault," Amoroso says. "Tonight, actually, we have one that is for $450,000, and it's not the only one on the agenda." Amoroso is asking the council at today's meeting to set a public hearing on May 22 to discuss the issue. Amoroso says he intends on taking the course himself before the public hearing to ensure it's worth employees' time and the $2 per participant fee it would cost the city-parish. The police department, Amoroso says, would not be included in the requirement. Also at today's meeting, the council will take up an incentive package for Costco, among other issues. You can see the full agenda here. The council meeting begins at 4 p.m. on the third floor of City Hall, 222 St. Louis St. —Steve Sanoski

Blue Cross turns in 50-plus plans for Obamacare exchange

David Jacobs — Wed, 08 May 2013 10:12:00 EST

Blue Cross and Blue Shield of Louisiana recently submitted all of its plans for the online health insurance marketplaces known as exchanges that are mandated by the federal Affordable Care Act, commonly referred to as Obamacare. Open enrollment is scheduled to begin Oct. 1. "We are very ready," says Allison Young, senior vice president, benefits administration division with Blue Cross. "We are excited for the opportunity, and we're looking forward to the challenge." Blue Cross won't disclose the number of plans submitted for competitive reasons, but Young says it's somewhere between 50 and 100. Louisiana residents will shop on the federal exchange, since the state does not plan to set up its own. Lower-income buyers will qualify for subsidies. For Blue Cross, that opens up a whole new market: people who don't qualify for Medicaid but previously couldn't afford insurance. Young says Blue Cross has come up with a suite of products to suit all of these potential new customers, but she says many of them will need a lot of guidance in picking the right product. —David Jacobs

Discussion on electing police chief to be put off once again

Steve Sanoski — Wed, 08 May 2013 10:00:00 EST

Metro Councilwoman C. Denise Marcelle says she plans to delete an item on tonight's agenda calling for a discussion about whether the police chief should be an elected position. She says it's "certainly" something she intends to bring before the council in the future, when she's armed with essential data. "I'm waiting on a report from the [law enforcement] unification committee, and I'm not ready to bring it back tonight," she says. The issue, which was first raised and placed on the agenda in March, was most recently deferred at the council's last meeting, on April 24. It came about following the controversial firing of former Chief Dewayne White. In order to change the police chief position from one selected by the mayor to one selected by a vote, the Plan of Government would need to be changed, which would also require voter approval. Meanwhile, a search for a permanent replacement for White continues. "It's going to be difficult to pass, yes. It's difficult to even get it on the agenda and have a discussion about it," says Marcelle, who supported White after his firing by Mayor Kip Holden. "But I think the ordeal with Chief White brought a lot of things to light. I heard from a lot of constituents who want to have their voices heard on this, and I think they should." —Steve Sanoski

Public to decide the fate of City Park, McKnight says

April Castro — Wed, 08 May 2013 09:44:00 EST

BREC Superintendent Carolyn McKnight sees a key difference between residents of Baton Rouge and those in Dallas, where she spent 20 years working in the parks system: Folks in Baton Rouge are passionate about their parks. The parks director says she doesn't even mind the brewing controversy over the future of City Park Golf Course. She's just happy to see people engaged. "We're not taking sides on either side of the issue, but we're excited that we have passionate people in this community who really want to see the park system strong and are willing to take a stand for what they like and what they want to see," she says. A push to convert the city's oldest public golf course into a public park began with an online petition started by Business Report Publisher Rolfe McCollister that, as of this morning, has garnered 750 signatures. But supporters are facing pushback from opponents who want to keep the 97-year-old golf course intact. A change could be included as part of the next strategic plan, which is scheduled to be adopted next year. It will be contingent, she says, on "the majority voice of the community." For now, McKnight is working to issue an RFP for a consulting firm by the end of the month. The selected firm will be tasked with gathering public input. "Part of that process will be gathering community input to tell us what people want to see, not only at that park, but in other parks throughout the parish," McKnight tells Daily Report. "I don't know what the outcome will be, but we will conduct a public input process, a very scientific survey process that we will go through to see what's out there, what do people really want." —April Castro

'Business Report': Despite rejecting CATS tax, Zachary retains service

Daily Report staff — Wed, 08 May 2013 09:39:00 EST

It is bus service as usual in the city of Zachary. Although the community isn't paying the additional property taxes to the Capital Area Transit System that Baton Rouge and Baker are, its routes have remained the same. Documents obtained by Business Report through a public records request indicate that buses still run through Zachary almost hourly 16 times a day, from 5:35 a.m. to 8:15 p.m., just as they did before the April 2012 election. "Here we have an example of Zachary voting not to pay the tax still getting the service," says Elizabeth Dent of Taxbusters.us, which opposed the 10.6-mill property tax. "What's wrong with that picture?" Zachary rejected the additional millage with a whopping 79% of the vote, while voters in Baton Rouge and Baker approved it. The election excluded Central and the unincorporated areas of East Baton Rouge Parish. CATS officials didn't respond to questions about why routes for Zachary have not changed since the tax election, or whether there are any plans to scale them back. Read the full story by Penny Font, from the current issue of Business Report, here.

Judge sets new date for sale of Perkins Rowe

Stephanie Riegel — Tue, 07 May 2013 15:36:00 EST

June 19 is the new date scheduled for the foreclosure sale of Perkins Rowe. A U.S. district judge this afternoon granted KeyBank National Association's request to postpone the auction, which was supposed to be held Wednesday.But sources familiar with the 3.5-year-old court battle between the Ohio lender and developer Tommy Spinosa say the June sale may also be postponed, as were previously scheduled foreclosure sales set for dates in March and May. That's because the bank keeps putting them off, which suggests the bank is trying to negotiate a deal with Spinosa.Why Spinosa would want the property is a no-brainer. If he can find investors willing to partner with him on the project—and sources say he has found them—he gets back a mixed-use development that has proven to be a financially viable and popular retail destination, while also getting out from under the more than $200 million he owes KeyBank and several smaller banks.Why KeyBank—which has fought Spinosa tooth and nail since initiating foreclosure proceedings in July 2009—would sell to him after such a lengthy and costly court fight may be less comprehensible. But real estate experts, who ask not to be identified, say the bank has several reasons for wanting to deal with Spinosa.First, he still owns the facility that supplies chilled water to the Perkins Rowe tenants for the air conditioning system. If the bank sells to someone else, he can keep the deal tied up for a long time by preventing access to the chilled water. Second, he can file bankruptcy, which would delay a sale and keep the bank from getting its money. Third, banks really don't want distressed assets in their portfolios anyway, even as they fight to foreclose. In other words, it would be preferable for KeyBank to cut its losses and deal with Spinosa and any new partners he may have than to risk the hassles that would come with selling to someone else.Granted, it's not KeyBank's decision alone to make. While it is the main lender on the project, several smaller banks are also involved. Whether those institutions are willing to play ball with Spinosa and a new investor group is not at all clear, and sources say part of the reason for the continued delays may center on efforts by KeyBank to buy out the interests of the other banks so it can determine the outcome of the negotiations.

LSU committee looks to research collaboration

David Jacobs — Tue, 07 May 2013 15:26:00 EST

If LSU is going to increase its ability to compete for large research grants, it will need to find ways to collaborate more effectively across campuses and disciplines. At least, that was one of the primary discussion points at an LSU Transition Advisory Team subcommittee meeting this afternoon. In particular, meeting attendees say the administrative burden perhaps could be shared among university units so that faculty are freed up to focus on what they do best. Members say researchers should receive better incentives for their work, but acknowledge that's easier said than done in an era of tight budgets when LSU has been losing faculty. Christel Slaughter of SSA consultants, who is facilitating the Transition Advisory Team meetings, says there's a strong correlation between the loss of professors and researchers in recent years and a decline in research dollars obtained by LSU. —David Jacobs

Business groups oppose cuts to tax credits

Tue, 07 May 2013 15:21:00 EST

LABI President Dan Juneau and BRAC are among those expressing opposition today to a bipartisan budget proposal that contains $329 million in cuts to tax breaks that largely benefit businesses. The deal, proposed for House floor debate Thursday, would rework the $24.8 billion budget submitted by Gov. Bobby Jindal for the fiscal year that begins July 1. The plan being discussed would cut a number of tax credit programs by 15% each, including those for filmmaking, digital media, angel investing, and research and development, among others. "The move would be severely detrimental to economic development efforts and eliminate the factors that have made the Baton Rouge area, and the whole state, competitive while the rest of the U.S. and much of the world struggled through the recent recession," reads a release from BRAC. Juneau, meanwhile, says in a column posted on LABI’s website today that the plan amounts to "the largest tax increase on businesses in recent times (perhaps ever)." Manufacturers would be especially hard hit by the plan, he says, "at a time when $70 billion of potential manufacturing investments and thousands of manufacturing jobs in Louisiana have been announced." While supporters of the plan have framed the reduction in tax break programs as a cut in state spending that subsidizes specific businesses, critics are calling it a tax increase.

Voucher proponents hope to maintain program

David Jacobs — Tue, 07 May 2013 15:17:00 EST

Supporters of private school vouchers say they'll look for new ways to pay for the program, now that the Louisiana Supreme Court has ruled the funding mechanism unconstitutional. "We are committed to making sure this program continues, and we will fund it through the budget," says Gov. Bobby Jindal in a prepared statement. "Hopefully, we can find some dollars," says Rep. Steve Carter, R-Baton Rouge and chairman of the House Education Committee. "But the budget is tight. There's just not an awful lot of dollars floating around." Like Carter, Sen. Conrad Appel, R-Metairie and head of the Senate Education Committee, says he hasn't yet had a chance to discuss the next steps with his colleagues. "We're going to be fighting to find a way to make it work that adheres to the constitution," Appel says. "That's the big question of the day: What would work?" says BESE member Holly Boffy. Beyond the funding question—lawmakers say about $25 million is needed—opponents likely will try to re-argue the merits of the program. "Diverting dollars from our already struggling school districts to private school vouchers for a select few students is wrong," says Louisiana Democratic Party Chair Sen. Karen Carter Peterson of New Orleans. Today's 6-1 decision upholds a state district court ruling that the Louisiana Constitution forbids using money earmarked for public schools in the state's Minimum Foundation Program to pay for private school tuition. —David Jacobs

News roundup: LSU names new dean for College of Human Sciences & Education … Elio Motors may lack investors, report says … Landrieu delivers upbeat state-of-city address

Daily Report staff — Tue, 07 May 2013 15:10:00 EST

Head of the class: LSU has named Damon Andrew as the new dean of the College of Human Sciences & Education. Andrew comes to LSU from Troy University in Troy, Ala., where he is professor and dean of the College of Health & Human Services. He will officially begin his duties at LSU on July 1. He will succeed Laura Lindsay, who is retiring after more than 30 years at LSU. Lindsay has served as interim dean of the College of Education since 2010 and oversaw its realignment into the College of Human Sciences & Education in the summer of 2012.

Spoke in the wheel? Although auto startup Elio Motors has just announced it's unveiling a prototype of its three-wheeled vehicle later this week, a TV station reports there's worry within the Caddo Commission that the company doesn't have enough investors to manufacture the vehicles in Shreveport as planned. Monday, the Caddo Economic Development Committee met to discuss the new motor company. However, commissioners were advised not to disclose too much about the meeting's purpose because it dealt with Elio's sensitive information, KTBS reports. Parish Attorney Charles Grubb says Elio has expressed the need for help from the parish, but he wouldn't disclose what kind.

On the bright side of the road: Delivering his annual state of the city address today, New Orleans Mayor Mitch Landrieu said the city is growing in population, its home values are rising, and there's an influx of startup businesses. The Associated Press reports Landrieu stressed his administration's efforts at police reform and collaboration among local, state and federal agencies as he reviewed efforts to fight persistent violent crime. Today's speech was delivered at a community center in the historic Treme neighborhood. According to a recent University of New Orleans poll, Landrieu is entering his fourth year in office with a 70% approval rating.

Capitol Views: Are there cracks in the budget coalition?

John Maginnis — Tue, 07 May 2013 14:33:00 EST

Gov. Bobby Jindal steps up his counteroffensive today against a bipartisan effort in the House to rewrite his proposed budget. The House plan being discussed by both Democrats and the Republican fiscal hawks would reportedly raise over $300 million by trimming a broad range of tax exemptions and credits by 15% across the board. The motion picture investor tax credit plan would be among those affected. Today, one of those so-called hawks, Rep. Alan Seabaugh, R-Shreveport, broke ranks with his colleagues by opposing the plan to reduce exemptions, which he labeled a tax increase. In a statement, he says he still supports the hawks' position against using one-time money in the budget, but he wants to achieve the goal by cutting spending instead. On Monday Jindal criticized the plan for its secrecy and labeled the tax break reduction a tax increase. The Republican Party, meanwhile, is turning up the heat on GOP House members to get them to not make a deal with Democrats to raise revenue. In a release touting Louisiana's jump to No. 11 on business rankings from Chief Executive magazine—up 33 spots from 2009— Jindal says: "The last thing we should be doing is raising taxes on businesses and families in our state. Let's stay the course."

—The gun-rights bills that moved so quickly through the House got a mixed reception today from Senate committees, which approved two but shot down another. Advancing to the Senate floor, just one step from the governor's desks, were measures that would bar the enforcement in Louisiana of any federal law restricting the right to possess automatic weapons and that would criminalize the public release of records of persons holding concealed weapons permits. Critics claim that both bills are unconstitutional under federal law. But just down the hall, a bill attracting more attention, to allow concealed weapons to be carried into restaurants that serve alcohol, was set aside by the Senate Judiciary B Committee. As originally written, the bill covered only off-duty law enforcement officers, but it was amended in committee to cover anyone with a concealed weapons permit. The author, Rep. Henry Burns, R-Haughton, said law enforcement agents are never off duty and should be able to carry guns into restaurants at any time. "This honors our law enforcement officers," he said. Bill Langkopp of the Louisiana Hotel-Motel Association said his group could live with the bill if it only applied to law enforcement officers but that association members "are adamantly opposed" to it in its broadened form. That was enough for the committee that deferred the bill, likely killing it for the session.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

'Real Estate Weekly': Bluffs Golf Resort getting its game back

Daily Report staff — Tue, 07 May 2013 14:14:00 EST

Owners of the Bluffs Golf Resort in St. Francisville have been quietly working to bring the once-troubled country club back to life. So far, the efforts appear to be paying off. Businessman Clyde DuBois, who joined Claude Penn as managing partner in January, helped guide the resort's cash flow from red to black within two weeks of taking over the club's management. Under his stewardship, new home construction, golfing and two restaurants on the resort grounds are booming, DuBois says. Play at the Arnold Palmer-designed golf course has increased by 30%, and membership is up almost as much since DuBois "reversed the nine," or reversed the direction of play of the first 10 holes, in April. The public 18-hole course is getting top rankings in national golf publications; and for the first time, later this month, it will host a U.S. Open qualifying event. That's a big turnaround for a course that was temporarily closed by an insolvent owner in 2009. —April Castro Read the rest of this story and the rest of the new Real Estate Weekly e-newsletter here.

B.R. Costco deal slightly larger than what wholesaler got in N.O.

Steve Sanoski — Tue, 07 May 2013 10:37:00 EST

The incentive deal that the Metro Council is considering approving for a proposed Costco Wholesale store in Baton Rouge is about $1 million larger than the roughly $6 million deal the store got from the New Orleans City Council last year. "It's very similar," says William Daniel, Mayor Kip Holden's chief administrative officer. "I think they had a location that had [fewer] challenges than we have, so New Orleans may not have had to do as much in infrastructure improvements." Like the $7 million deal the Baton Rouge council is considering, New Orleans officials approved a deal for Costco that rebated local sales taxes and provided for infrastructure improvements. Costco had requested as much as $9 million in incentives in New Orleans. If the deal is approved Wednesday by the Metro Council, the city-parish will provide a $7 million sales tax rebate, $5.5 million of which would go toward infrastructure and road improvements in the area. The other $1.5 million would go toward the $4.5 million cost of tearing down the former Coca-Cola bottling plant on the property at Airline Highway and Interstate 12. "There's very little utility for that property without those improvements," Daniel says. "Whoever would come in, we would have to assist them." Metro Council members have expressed mixed views on the incentive deal for Costco. A public hearing will precede any action the council may take on the issue. The meeting begins at 4 p.m. Wednesday on the third floor of City Hall, 222 St. Louis St. You can check out the complete agenda here. —Steve Sanoski

Today's poll question: Do you want the Metro Council to sign off on the incentive deal for Costco?

News roundup: Elio Motors to unveil prototype Wednesday… Morganza project moves ahead in D.C. … $14M raised for hurricane museum in Lake Charles

Tue, 07 May 2013 10:28:00 EST

On the road: Elio Motors, the startup auto manufacturer that is opening its plant in Shreveport, says it will unveil its new prototype and announce its North American supply chain Wednesday, The Shreveport Times reports. Elio Motors plans to use the former General Motors plant in west Shreveport to produce a three-wheel passenger vehicle that the company says will get 84 miles per gallon on the highway, 49 in the city. The anticipated cost of the vehicle is $6,800. The full story is here.Current affairs: Terrebonne's $13 billion federal levee system cleared a major administrative hurdle when the U.S. Army Corps of Engineers' senior review panel voted to recommend advancing an updated report on the Morganza-to-the-Gulf project. Terrebonne Levee Director Reggie Dupre tells The (Houma) Courier the approval was the last major hurdle before the corps could release a chief's report to Congress, allowing lawmakers to authorize, if they so choose, the long-awaited project for construction. The full story is here.Headwinds: Efforts to raise an estimated $68 million for the proposed National Hurricane Museum and Science Center continue. Gray Stream, chairman of the museum's board of directors, tells the (Lake Charles) American Press that talks with large corporations have paid off, as the fundraising project has netted $14 million in commitments. Plans are for the museum to be constructed near the Lake Charles Civic Center. The group is also targeting federal agencies for financial support. The full story is here.

American job postings fell in March; hiring slowed

Tue, 07 May 2013 10:20:00 EST

U.S. employers posted fewer job openings in March compared with February and slowed overall hiring, underscoring a weak month of job growth. The Labor Department reports today that job openings fell 1.4% on the month to a seasonally adjusted total of 3.8 million. Total hiring, meanwhile, declined 4.3% to 4.3 million. The separate jobs report for March showed U.S. employers added just 138,000 net jobs during the month, well below February's 332,000. Today's report shows that the slowdown occurred because gross hiring fell and layoffs increased. The unemployed faced heavy competition in March. There were 3.1 unemployed people, on average, for each job opening. That's above the ratio of 2-to-1 that is typical in a healthy economy. The Labor Department reports the economy performed better in April, when employers added 165,000 jobs and the unemployment rate dropped from 7.6% in March to a four-year low of 7.5%

Company sees big business in blowout preventers

Daily Report staff — Tue, 07 May 2013 10:19:00 EST

In the frantic days and weeks after BP's Macondo well exploded on April 20, 2010, blame was focused on a piece of equipment to which, under ideal circumstances, people don't give much thought. Bulky, heavy and designed for redundancy rather than beauty, blowout preventers are the last line of defense against a runaway well. But the collection of valves and shears sitting atop the BP well on the bottom of the Gulf of Mexico failed to stop the flow of oil in 2010. Three years later, Pete Miller, CEO of National Oilwell Varco, still bristles at the suggestion that the blowout preventer was at fault. Never mind that his company didn't make it—competitor Cameron International built the device—and wasn't involved with the Macondo well. As The Houston Chronicle reports, Miller has staked a piece of his company's future on expanding production of blowout preventers and exporting them around the world. So he takes criticism of the blowout preventer used on the Macondo well almost personally and says the device doesn't deserve blame for the disaster. A federal judge agreed last month, dismissing charges against Cameron six weeks into a civil trial in New Orleans, saying evidence relating to the blowout preventer pointed not at Cameron itself but rather at Cameron's customers. Read the full story here.

Newspaper rivalry good for readers

Tue, 07 May 2013 10:16:00 EST

When I was growing up in Baton Rouge, after my family moved here from New Orleans just before I was born, The Times-Picayune was thrown in our yard each morning. After school, I would get on my bike to deliver The State-Times, the afternoon counterpart of the then-called Morning Advocate.Besides the paper route, I've never worked for either paper (this is a syndicated column), but as with most of their dual readers, their newly engaged business rivalry holds my attention as much as any stories they publish these days.
On May 1, both papers ran front-page banner headlines announcing their big changes: "Georges buys Advocate" and "T-P adding newsstand tab 3 days a week."The great south Louisiana newspaper war is on. This one is unlike those from the early 20th century in big cities, when the struggle was between two established papers rooted in the same market. New publisher John Georges plans to expand on The Advocate's recent incursion into New Orleans, while the The Times-Picayune prepares to defend its turf with its new tabloid, TP Street, to be published on three of the four days of the week on which it has stopped printing. The Times-Picayune also is making a foray into the capital with its new tabloid BR, while both companies will compete digitally through their websites.It is an audacious move by Georges to buy a newspaper that one member of the owning Manship family said was not worth what he was offering to pay. Such an assessment by a seller would give the ordinary buyer pause. But Georges is nothing if not confident, optimistic and driven.He built a family fortune into a much bigger one that supplies grocery and convenience stores and services cigarette and video poker machines. He will say that gambling makes up only a small part of his holdings; but Georges Enterprises, which he founded, is a major player in the state's video gaming industry.With those businesses producing enormous cash flow, Georges has estimated his net worth at about $100 million. But men richer than he have lost more than that by trying their hands at newspaper publishing. (Ask Chicago real estate tycoon Sam Zell what owning The Chicago Tribune did to his bottom line.)Georges becomes a publisher after running unsuccessfully for governor in 2007 and for mayor of New Orleans in 2010, making him a Louisiana-style William Randolph Hearst in reverse.In his brief career as a politician (who's to say it's over?), he distinguished himself as one of the more colorful characters of the post-Edwards era. The man would say anything, and on the record. My favorite quip of his came after Bobby Jindal—then running for governor in 2007, as was Georges—delivered his wife's baby in their Kenner bedroom when there was no time to get her to Woman's Hospital in Baton Rouge. While others heralded Jindal's heroics, Georges faulted him for "poor planning."In those days, Georges loved talking to political reporters, helpfully telling them how they should write their leads. To succeed as publisher he will need to resist that temptation, mighty as it is.The daunting challenge facing him is to publish separate editions for two vastly different communities. The two cities have grown somewhat closer since Hurricane Katrina, but the remaining gap can still be as wide and impenetrable as the great swamp that lies between them.To increase its New Orleans circulation to the point where it can compete for advertising, the new Advocate needs to offer a product that is embraced and not just accepted, while not losing the connection to its hometown readers.TP Street needs to be more than a day filler if the Times-Picayune is to woo back former subscribers who feel jilted by not having their daily paper on their front steps every morning.The solution for both, of course, is to beat each other to the best stories and to better capture the cultural vitality of both cities. Doing so will require big long-term investments for both companies, with the dividends to be reaped by better-informed and entertained readers. How this all plays out could foreshadow the future of daily journalism across the land. The whole newspaper world is watching. Gentleman, start your presses.

Maginnis: Newspaper rivalry good for readers

Daily Report staff — Tue, 07 May 2013 10:14:00 EST

La. ranked 11th-best state for business

Daily Report staff — Tue, 07 May 2013 10:10:00 EST

CEOs nationwide rank Louisiana the 11th-best state for business, according to Chief Executive magazine's 2013 survey, released Monday. That's a jump of two spots for Louisiana since last year and the highest ranking the state has ever received in the survey, Gov. Bobby Jindal's office says. "The report continues the state's ascent in national business climate rankings, with Louisiana showing the greatest improvement of any state in the U.S. over the past four years," reads a release from the governor's office. "Since 2009, Louisiana has improved a nation-best 33 spots in the Chief Executive survey. In the survey, Louisiana is given 3.5 out of 5 stars when it comes to taxation and regulations; 3.5 stars for workforce quality; and 4 stars for living environment. Chief Executive Editor-in-Chief J.P. Donlon, who last year described Louisiana as "the Cinderella of business improvement," writes this year that "Louisiana has come a long way since 2006 when it ranked 47th." The top five states in this year's ranking—Texas, Florida, North Carolina, Tennessee and Indiana—are all unchanged from last year. California is ranked the worst state for business, as it was last year. See the complete rankings here. The governor's office has more on the rankings here.

With office almost ready, IBM moving in next month

Stephanie Riegel — Tue, 07 May 2013 10:08:00 EST

Work crews are putting the finishing touches on the fourth-floor space in Essen Centre that will be the temporary office of IBM Services Center: Baton Rouge, and the space is almost ready for its new tenants. But the company won't be moving in until sometime in June, and even then it is unclear how large the local operation will be. As part of its cooperative endeavor agreement with the state, city-parish and BRAF's Wilbur Marvin Foundation, IBM is getting temporary office space in the building at 5353 Essen Lane while its permanent office tower on the downtown riverfront—due to be completed in mid-2015—is under construction. The temporary space will total some 20,000 square feet on the fourth and sixth floors of the building, and will be configured to accommodate about 200 employees, says building manager Norman Bacon. For now, though, only the fourth floor—which has offices and workstations for about 160 employees, as well as a training room, conference space and a common area—is being completed. "We have no plans at this point for the sixth floor," says Bacon. "I don't think it will be before next year." IBM's director of external relations, Lisa Lanspery, would not comment on how many employees will be moving into the Essen Lane building this summer, except to say the office will open sometime in June. According to its agreement, IBM must hire 100 workers by the end of this year, 300 by the end of 2014, 500 by the end of 2015, and 800 by the end of 2016. —Stephanie Riegel

News roundup: Two B.R. high schools make 'America's best' list … Conservative La. group blasts Medicaid expansion … CNSI files suit against Jindal administration

Mon, 06 May 2013 15:41:00 EST

Making the grade: Though far from the top of the list, two Baton Rouge schools have made The Daily Beast's annual listing of the 2,000 best public high schools in America. Baton Rouge Magnet is ranked No. 339, and the LSU Lab School is ranked No. 522. Louisiana has just seven schools on the list, which you can see in its entirety here.

Voicing opposition: The Pelican Institute for Public Policy, a right-leaning research organization, says in a report issued today that Medicaid "spreads wealth without improving health." Citing new research and data, the institute says that's just one of a few reasons Louisiana lawmakers should reject the proposed expansion of Medicaid. "Louisiana policymakers should instead act to incorporate market-based principles into our health care system," the institute says. You can check out the complete report here.

Ready to rumble: The Maryland-based company whose nearly $200 million Medicaid contract was canceled amid an ongoing federal investigation today sued Gov. Bobby Jindal's administration for terminating the deal. Client Network Services Inc., known as CNSI, filed the lawsuit in state district court in Baton Rouge. The company, which had previously said it would fight back against the cancellation of its contract with the Department of Health and Hospitals, is seeking compensation for all work done, reimbursement for its costs, and unspecified financial damages for harm to its reputation.

Baton Rouge home prices near new peak

Mon, 06 May 2013 15:36:00 EST

According to a report in USA Today citing data from real estate tracker Lender Processing Services, Baton Rouge is among a handful of housing markets in the country that are at or near previous price peaks. Like most of the cities at or near a peak, the report says, Baton Rouge never saw prices plummet during the recession. Of the cities within 5% of their previous peaks, none saw more than an 11% decline in home values from mid-2006 to the market's bottom in early 2012, LPS data shows. Nationally, prices fell almost 28% during that time. Baton Rouge is also said to be among a number of cities in which job growth in particular is fueling home price increases. The report notes that the Capital Region "posted stronger annual job growth than the national average of 1.4%," citing Bureau of Labor Statistics data. You can find the full story here. According to the Greater Baton Rouge Association of Realtors, the average home sale price in March was $194,979, up from $183,134 in March last year.

'Business Report' planner: Workshop on starting a small business is Tuesday evening … BRAC monthly investor luncheon features Hillar Moore III … Seminar on laws affecting advertising industry is Thursday

Mon, 06 May 2013 15:13:00 EST

Tuesday — The Louisiana Small Business Development Center at Southern University hosts a free workshop on the essentials to starting a small business, from 5:30 to 7:30 p.m. at the Scotlandville Branch Library, 7373 Scenic Hwy. Topics of discussion will include writing a business plan, sources of funds for startup and expansion, small business resources, and required licenses.

Tuesday — BRAC hosts East Baton Rouge Parish District Attorney Hillar Moore III as guest speaker at its monthly investor luncheon at the seventh-floor offices of Kean Miller at II City Plaza, 400 Convention St. An 11:30 a.m. networking session will be held before the program, slated for noon to 1 p.m. Cost is $15 for investors, $20 for guests. You can find complete event details and register here.

Thursday — Kean Miller hosts a seminar on laws affecting the advertising industry at its seventh-floor offices in II City Plaza, 400 Convention St. Registration and networking will be from 4 to 5 p.m., with the presentation and a Q&A session to follow from 5 to 6 p.m. There is no charge, but you must reserve your spot by emailing rsvp@keanmiller.com or calling 382-3472.

The Business Report planner is open to events of general interest to the Capital Region business community. Items must be submitted no later than noon Friday before the event occurs. Email ssanoski@businessreport.com with information.

For the full list of upcoming events, click here.

Audit: TOPS canceled for 44% of recipients in 7-year period

Mon, 06 May 2013 15:10:00 EST

A state audit shows that more than 44% of Louisiana students who received scholarships from the state's TOPS program over a seven-year period had their awards canceled. The audit says the state spent $165 million in TOPS awards to offset tuition for more than 42,000 students whose awards were eventually canceled. In response, TOPS administrators say more than 80% of money paid for TOPS awards went to students who completed the program, and that most of the canceled awards were lost by students who failed to maintain enough credit hours but still had good grades. The audit itself notes that 25% of TOPS recipients who graduated from Louisiana public colleges during the period measured graduated even after losing their awards. You can see the complete audit report here.

CDC: Louisianans among least physically active in U.S.

Mon, 06 May 2013 15:02:00 EST

With just 15.5% of the state's adults meeting aerobic and muscle-strengthening guidelines for physical activity, Louisiana ranks behind just four other states as the least exercised in the nation in a new study by the U.S. Centers for Disease Control and Prevention. On average, just slightly more than one in five adults across the country—20.6%—got the recommended amount of exercise, according to the study, which uses 2011 data. The South was found to be the least exercised region in the United States, with 18.7% of Southerners meeting the aerobic and muscle-strengthening guidelines. That's compared with 23.5% in the West, 21.3% in the East, and 20% in the Midwest. The only states that by CDC standards have a lower percentage of physically active people than Louisiana are: Alabama, 15%; Mississippi, 14.2%; Tennessee, 12.7%; and West Virginia, 12.7%. You can check out the complete study results here.

Ban on using social media while driving moves closer to law

Mon, 06 May 2013 15:01:00 EST

An attempt to ban posting to Facebook, Twitter and other social media sites while driving is nearing final passage in the Louisiana Legislature. The proposal, approved today by the House transportation committee, is designed to close what lawmakers call a loophole in the state law that prohibits texting while driving. The Senate-approved bill would add accessing, reading and posting to social media sites to the prohibition. It heads next to the full House. Livingston Sen. Dale Erdey, the Republican sponsor of the bill, says he's trying to cut down on distracted driving and improve public safety. If passed into law, violators would face a fine up to $175 for the first offense and up to $500 for second and subsequent violations.

Capitol Views: Revenue-raising bills head to house floor

Mon, 06 May 2013 14:54:00 EST

The bipartisan plan by legislators to raise revenue to replace one-time money in the governor's budget took off from a House committee today. The House Ways & Means Committee began rolling through a series of bills to reduce tax credits, exemptions and exclusions and to increase sales taxes, some of which were part of Gov. Bobby Jindal's parked tax swap plan. Committee Chairman Joel Robideaux signaled the intention of a new coalition of Democrats and Republican fiscal hawks to amend the bills on the House floor to form part of their undisclosed plan to raise revenue and cut spending in order to replace up to $490 million of non-recurring revenue now in the appropriations bill. For instance, Robideaux mentioned that the 108-page House Bill 653, the much-opposed sales tax on services, would be used to reduce or eliminate vendors' compensation for collecting sales taxes. Because the bills are set to be amended on the floor, the committee used the unconventional parliamentary maneuver of reporting them unfavorably, in order to get them out of committee. Up to four dissenting Republicans, agreeing with the governor's objections, tried and failed to have the bills involuntarily deferred, in order to hold them in committee. Department of Revenue Executive Counsel Tim Barfield complained that the "rumors" of legislators' plans to report out bills to be amended later violates the spirit of transparency that the administration adhered to in presenting its tax package. He also warned that any attempts to make across-the-board reductions in tax credits and exemptions would be a "nightmare to administer" and that "all tax credits are not created equal."

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

Kean's likely to close Perkins Road store when Acadian Village opens

Stephanie Riegel — Mon, 06 May 2013 14:52:00 EST

When Kean's Fine Dry Cleaning opens in the Acadian Village Shopping Center under development at the intersection of Perkins Road and South Acadian Thruway, it's unclear what will become of Kean's freestanding store just a few blocks away—in an iconic midcentury structure at 3109 Perkins Road. But Kean's owner Rock Rockenbaugh says the existing location will likely shut down. "We could keep both open, but I think we could probably do better if I close Perkins Road," says Rockenbaugh, who decided to relocate to Acadian Village primarily because the new venue will enable the dry cleaner to offer in-car service. "Most of our locations allow us to do in-car service, and I told the guys at [Acadian Village developer] Commercial Properties years ago I would move if they could give me in-car service." Relocating to a destination center also makes good business sense for Kean's, says Rockenbaugh. Acadian Village was originally supposed to open in September, though Rockenbaugh says he believes now it will be sometime later this fall. There's no word on what might replace Kean's at its current Perkins Road location. The building is actually owned not by the dry cleaner but by its previous owner, Frank Kean, who sold the business, but not all its properties, to Rockenbaugh in 2003. —Stephanie Riegel

B.R. gas prices post penny rise to end nine-week slide

Mon, 06 May 2013 10:28:00 EST

After posting decreases in each of the nine weeks previous, the average price of a gallon of regular, unleaded gas ended its downward trend last week, according to the AAA Daily Fuel Gauge Report. At $3.24 as of this morning, the average price is one penny more than it was a week ago. However, it's still 15 cents lower than a month ago, and about 40 cents lower than it was when it started a period of steady reduction more than two months ago. One year ago this week, the Baton Rouge price was $3.61. The Baton Rouge average is now 3 cents lower than the Louisiana average and 28 cents lower than the national average. You can check out the complete AAA Daily Fuel Gauge Report here.

News roundup: Louisiana's levee plan concerns Mississippi leaders … Study: U.S. Supreme Court the most business-friendly in decades … Buffett hot on equities, cool on bonds

Mon, 06 May 2013 10:23:00 EST

At the borderline: Mississippi Secretary of State Delbert Hosemann tells the Sun Herald of Biloxi that he's worried a new levee in Louisiana could place low-lying areas of south Mississippi in danger because water would be pushed toward Hancock County and other coastal areas. Louisiana officials said earlier this year they're looking at various proposals to reduce flooding in problem areas there, but maintained they have no intention of building levees that would flood Mississippi. The full story can be found here.Everybody rise: The current U.S. Supreme Court, led by Chief Justice John Roberts Jr., is only slightly more conservative than previous courts led by Chief Justices Warren Burger and William Rehnquist, according to political scientists who study the court, but The New York Times reports its business rulings are another matter. They have been, a new study finds, far friendlier to business than those given by any Supreme Court since at least World War II. You can find the complete feature on the rulings and what they've meant for American businesses and their customers here.Advice from the oracle: Billionaire Warren Buffett tells CNBC that bonds are a terrible investment at the moment and owners of long-term bonds may see big losses when interest rates eventually rise. The head of Berkshire Hathaway Inc. says stocks are generally selling for reasonable prices, even with the market at record levels. Buffett says bond prices are artificially inflated because the Federal Reserve continues to buy $85 billion of bonds a month. He says the average investor should keep enough cash to be comfortable and invest the rest in equities. You can find the recent interview with him here.

Today's poll question: Do you think bonds are a good investment at the moment?

Capital Region 101 welcomes new residents

Mon, 06 May 2013 10:03:00 EST

Ryan Simpson moved to Baton Rouge five months ago from Kalamazoo, Mich. The BRAC policy and research project manager didn't know what to expect when he relocated, and was a bit nervous about the culture shock. On Saturday morning, Simpson was one of many new Baton Rouge residents taking part in a half-day event called Conquer the Learning Curve. It was a part of BRAC's Capital Region 101 series of events that welcomes new residents to the Baton Rouge area with a meet-and-greet breakfast, presentations, and a trivia trolley ride before ending at the Red Stick Farmers Market. While Simpson attended as part of BRAC's talent program, he also wanted to take advantage of the event for personal reasons. The dual purpose of Capital Region 101 is to bring newcomers together to form new social circles and to get them acclimated to the region, says Julie Laperouse, Director of Talent Development for BRAC. Read the full story from 225 on the Capital Region 101 event here.

Entrepreneur: Stephen Smith and Matthew Valiollahi

Daily Report staff — Mon, 06 May 2013 10:02:00 EST

As a student, Matthew Valiollahi noticed the many styles and varieties of T-shirts his peers were wearing. Inspired by those designs—and also by Garden and Gun magazine, which celebrates Southern culture—he decided to create a brand of high-quality T-shirts and casual wear with a distinctly Southern style and flair. While still in his senior year at LSU, he approached friend Stephen Smith to design the Southern Marsh brand, with its trademark mallard logo. At first, the pair simply sold their designs. As they began to investigate the quality of fabrics, they came up with a better idea: "That's when we decided to build the T-shirt from the yarn stage and create quality garments from the ground up," Valiollahi says. When the idea first struck, the pair went to adjunct professor Walter Morales, who helped them refine their business plan. "We talked to everyone we could find," Valiollahi says of the early days in 2007. "We couldn't find any capital or backers. I put down a good bit of personal savings and got access to a credit line from the bank using the equity in my house." Valiollahi's father let him use his place for a minimal fee. Valiollahi concentrated on the business end, while Smith focused on the creative side of the business. "At the beginning and for the first year, no one thought the idea would work," says Valiollahi. Read the full Entrepreneur feature from the current issue of Business Report here.

Barfield: House needs to give the public details on tax plan

Mon, 06 May 2013 09:58:00 EST

When it was first announced that Louisiana Department of Revenue Executive Counsel Tim Barfield would lead Gov. Bobby Jindal's tax reform efforts, Barfield says he was "bombarded with concerns from many stakeholders about the 'process.' " In a new guest column, Barfield says he met with many editorial board members, policy organizations, industry organizations, and taxpayer advocates, and commonly heard comments such as: "The end does not justify the means" and "Do not ramrod these reforms through the Legislature." "Members of the Legislature, however, were among the first to warn me that such actions would not be well received by them," Barfield says. Now, citing recent news reports, Barfield says, "A significant majority of members of the House of Representatives are poised to follow the leadership of an unlikely alliance of the Legislative Black Caucus and the 'fiscal hawks' (purportedly conservative Republicans)" to "finalize a tax increase of an estimated $500 million." And, in what he calls "the ultimate irony," Barfield says it is his understanding that the "House members will use a procedure called 'a committee meeting of the whole' in order to effectively avoid the typical committee hearing process." Barfield contends the process "removes the voice of the people from knowing exactly what these elected representatives are doing with constituents' tax money," adding: "These Republican House members will seek to consider and amend bills on the House floor pushing for a vote for final passage of a very hastily produced package of tax increases. Is this transparency?" Read the full column here.

Editor's note: If you have a guest column that you'd like Daily Report to consider for publication, please email it to editors@businessreport.com. Business Report editors will make all decisions on publication, and reserve the right to edit for content or clarity.

Restaurateurs, retailers eye legislation to improve access to capital

April Castro — Mon, 06 May 2013 09:57:00 EST

Louisiana restaurateurs and retailers who have been holding off on a renovation could soon get some encouraging news. A measure is winding its way through Congress that would permanently extend the 15-year recovery period for qualified improvements on restaurant and retail properties. Proponents, including local restaurant owner Jim Urdiales, say the extension would spur construction. "If you guarantee a 15-year schedule over 30 years, we'll see some restaurants who were putting this off from last year go ahead and do it now," says Urdiales, who owns Mestizo Restaurant. The 15-year depreciation schedule would otherwise expire at the end of this year, giving some restaurant owners heartburn about moving forward with needed renovations. The National Restaurant Association estimates that restaurants undergo renovations every six to eight years just to stay current and combat the effects of daily high traffic. Sen. Robert Casey, a Pennsylvania Democrat, filed the measure last month. Casey's office says the measure would "give companies the certainty they need to invest in their businesses and expand." If it attracts bipartisan support, which is expected, Urdiales predicts the measure will be adopted. "The restaurant industry is one of the few industries that will continue to grow," despite economic conditions, he says. "If you want to stimulate the economy, one thing you want to do is stimulate the restaurant industry to invest." Casey's office claims the resulting capital investments will fuel economic activity, citing a Bureau of Economic Analysis report that every dollar spent in the construction industry generates an additional $2.39 in spending in the rest of the economy. —April Castro

La. ranked No. 2 among 'best states for retirement'

Daily Report staff — Mon, 06 May 2013 09:55:00 EST

After naming Louisiana among the worst states to retire in last year, Bankrate.com has ranked the Bayou State as the second-best state in which to retire on its latest list. The Florida-based aggregator of financial rate information appears to be using some new criteria on its list this year, including climate. Louisiana's crime rate—called "among the highest in the nation," citing FBI statistics—was among the key factors that landed Louisiana on the worst list last year. On this year's list, however, Bankrate.com says: "Besides jazz and beignets, Louisiana offers retirees an excellent combination of low taxes (the Tax Foundation ranks it as the fourth-lowest in the nation) and balmy weather. Louisiana has a 30-year average temperature—that includes both winter lows and summer highs—of 66.7 degrees. That's higher than every other state except Hawaii and Florida. It also has better-than-average access to medical care and a relatively low cost of living." As for the crime rate, Bankrate.com notes it remains "one major knock on Louisiana." You can check out the complete list—which this year Bankrate.com is calling the "10 unexpectedly best states for retirement"—here.

Manda to begin distributing deli meats again

Fri, 03 May 2013 15:21:00 EST

Three weeks since issuing a recall on some of its deli meats and idling its Baker facility, Manda Fine Meats today announced it will begin distributing deli meats again as soon as this weekend. The Baton Rouge-based company says it should be distributing near pre-recall levels "within a few weeks." Manda says it has secured alternative USDA-approved facilities to produce its roast beef, ham, turkey breast, hog head cheese, corned beef, and pastrami products once again. Manda sausage products were not included in the recall issued last month, which came after some cooked roast beef was found to be contaminated with the bacterium known as Listeria monocytogenes. Manda says the continued idling of its Baker facility is expected to result in "minimal decreases in labor hours," adding that the company "will continue to aggressively work toward our goal of employee retention." Manda says an investigation into its Baker facility showed it was "extremely clean," but one of 171 environmental samples reviewed at the site "was a potential concern." The company says it is in the process of "evaluating options" for the Baker facility. Complete details on the recall and resumption of distribution can be found at Manda's website here. In Business Report's 2012 Top 100 listing of the largest private companies in the Capital Region by revenue the year previous, Manda is listed as No. 75, with just under $43 million in revenue and a total of 225 employees.

Lightning possible culprit in oil tank explosion

Fri, 03 May 2013 15:05:00 EST

Investigators suspect lightning may have sparked an oil tank explosion in Denham Springs that led to the evacuation of about 30 homes late Thursday. Livingston Parish Office of Homeland Security and Emergency Preparedness Director Mark Harrell says the cause of the blast is still under investigation today by the state fire marshal's office. But he tells The Associated Press that residents of the neighborhood saw lightning just before the explosion late Thursday at a storage facility. No injuries were reported. Plano, Texas-based Denbury Resources Inc. owns the facility where the tanks are located.

News roundup: Weekly unemployment insurance claims drop in La. … Second arrest made in fight involving LSU's Hill … BREC zoo's elephant moving to D.C.

Fri, 03 May 2013 15:04:00 EST

Downward trend: First-time claims for unemployment insurance in Louisiana decreased for the week ending April 27. The state labor department figures released today show the initial claims decreased to 2,541 from the previous week's total of 2,619. For the comparable week a year earlier, there were 3,303 initial claims, according to The Associated Press. The four-week moving average, which is a less volatile measure of claims, increased to 2,556 from the previous week's total of 2,337. See the full story here.

The plot thickens: Authorities say they've arrested a second suspect in a bar fight last weekend, which also resulted in the arrest of LSU running back Jeremy Hill. Baton Rouge police Lt. Don Kelly says the second suspect is Robert Bayardo, who has no connection to LSU football. Kelly says the 20-year-old Bayardo has been booked with felony second-degree battery following his arrest this morning. Police say he was caught on a mobile phone video knocking out another man early Saturday morning.

Traveling on: Bozie, a 37-year-old Asian elephant whose companion died at the Baton Rouge Zoo in March, is being moved to the Smithsonian's National Zoo in Washington, D.C., the two zoos announced today. Bozie will join three other elephants at the National Zoo. In March, a 46-year-old elephant named Judy died at the BREC zoo, leaving Bozie alone. As elephants are a herd species, zoo officials say they don't want to leave one alone. Bozie has a talent for painting, and the Baton Rouge Zoo once auctioned off one of the elephant's paintings to raise money for tsunami relief in Sri Lanka.

Ruffino's buys Cochon Lafayette

Stephanie Riegel — Fri, 03 May 2013 14:49:00 EST

Ruffino's previously announced deal to purchase Cochon Lafayette on the Vermilion River closed today for $3.3 million, according to sources familiar with the transaction. The new restaurant—Ruffino's on the River—will open May 20. "We are very excited about opening our doors in Lafayette," say Ruffino's co-owners, Ruffin Rodrigue and Peter Sclafani, in a written statement. "The community has welcomed us with open arms, and we look forward to bringing the same energy and experience of Ruffino's Baton Rouge to Lafayette." Cochon Lafayette closed earlier this year so that the restaurant could focus on the New Orleans market, where Chef Donald Link's upscale Cajun fare has been better received than it was in the heart of Acadiana. Ruffino's on the River hopes to succeed where Cochon failed by focusing on the cuisine that has proven so popular among its diners in Baton Rouge—steaks, seafood and Italian. Sclafani says the Lafayette menu will be very similar to that at the Highland Road restaurant, though it will "evolve and have its own identity that is influenced by the Lafayette community."—Stephanie Riegel

CABL urges college tuition flexibility

Fri, 03 May 2013 14:28:00 EST

Colleges and universities ought to be able to decide how much to charge in tuition, argues CABL in a commentary released Thursday. "CABL doesn't like the notion of raising tuition any more than anyone else," the piece reads. "But … we don't want to have a postsecondary education system that doesn't meet our needs. That could be where we're headed." Louisiana is the only state that requires a two-thirds vote from the Legislature to raise tuition, which helps explain why average tuition at LSU, for example, is 30% less than that of peer institutions around the nation, despite recent hikes. Higher education funding from the state has declined more than 30% over the past five years, and CABL sees no reason to believe the next few years will be any different. State policy is driving higher education into more of a market-driven model, the council observes, so institutions ought to have the flexibility to price their product accordingly, to protect quality. House committees this week approved bills that, if passed, would give university management boards the authority to raise tuition rates.

'225': An insiders' guide to summer in the Red Stick

Fri, 03 May 2013 14:27:00 EST

There is no avoiding the challenge of prolonged summertime in the Red Stick. Make the most of the next few months with the aid of "Summer Crush," the May issue cover story in 225 magazine. Think of it as a guide to not just surviving but actually enjoying the season. In the story, writers Amy Alexander, Jeff Roedel, Benjamin Leger and others give tips on everything from how to stop a brain freeze to how to lower your electric bill, as well as supplying the lowdown on what's happening in Baton Rouge. The story also includes fashion tips, summer movie and book picks, news of noteworthy music and performances to help the season pass lightly. Read the entire article here, and check out the rest of 225's May issue here.

Gambino's moving into Panache Plaza

Fri, 03 May 2013 14:25:00 EST

Gambino's Bakery is moving into Panache Plaza. The world-renown baker of king cakes plans to move its Essen Lane location into the fledgling retail center at 8342 Perkins Road, between Essen and Bluebonnet Boulevard, by the end of the summer, says Gambino's manager Paul Scelfo. He says the new 2,100-square-foot space will be "more suitable to our customers' wishes, as well as our needs." That means a bigger retail area and a smaller kitchen. "The location we're in now is equipped for a lot more than what we do," he says. The New Orleans-based bakery has been in the Essen Lane location for almost three years, Scelfo says. —April Castro

News roundup: Survey says growth of service firms slowed in April … 10 La. programs for homeless get HUD grants … Attorney says Jeremy Hill was heckled

Daily Report staff — Fri, 03 May 2013 10:22:00 EST

Serving it up: A survey of U.S. service firms says the sector expanded at a slower pace in April than March, as companies reported less business activity and couldn't raise their prices. The Institute for Supply Management reports that its index of non-manufacturing activity fell to 53.1 in April from 54.4 in March. Any reading above 50 indicates expansion. The report measures growth in industries that cover 90% of the workforce. More details can be found here.Shelter from the storm: Ten programs to help the homeless in seven Louisiana cities have been awarded a collective $1.2 million from the U.S. Department of Housing and Urban Development. Among the awards, $63,723 is going to the Capital Area Alliance for the Homeless, for Scott Housing in Baton Rouge. The Continuum of Care grants will also benefit programs in Alexandria, Lafayette, Lake Charles, Mandeville, New Orleans, and Shreveport.One thing leads to another: The attorney of LSU running back Jeremy Hill tells ESPN her client was heckled about his past legal trouble before he was allegedly involved in a fight outside of a Baton Rouge bar last weekend. Hill's attorney, Marci Blaize, says the heckling began before a cell phone caught Hill on video punching a man during the altercation. Read the full story here.

Today's poll question: Do you believe the continued use of red light cameras in EBR should be determined by the Metro Council or a vote of the people?

No injuries reported following overnight oil tank explosion

Daily Report staff — Fri, 03 May 2013 10:17:00 EST

As of this morning, no injuries have been reported following an overnight explosion of an oil tank in the Denham Springs area, The Associated Press reports. The occupants of about 30 to 35 homes in the area of the explosion were evacuated as emergency rescue responders worked to contain fire at the site. Livingston Parish Office of Homeland Security and Emergency Preparedness Director Mark Harrell tells The Times-Picayune that one of two oil holding tanks at the scene ruptured and caught fire. He says it wasn't known why the tank ruptured. The second oil tank had not exploded but was bulging from the heat. Harrell says the fire has been contained in a 200-square-foot area. He added that evacuated residents will be allowed to return to their homes once the fire is out.

Lawsuit looming over canceled Medicaid contract

Daily Report staff — Fri, 03 May 2013 10:09:00 EST

Gov. Bobby Jindal's administration is facing a likely lawsuit from the Maryland-based company whose nearly $200 million Medicaid contract with the state was terminated. Client Network Services Inc., known as CNSI, issued a statement this morning through lawyer Kathryn Harris saying the state won't negotiate in good faith about how to avoid legal action. Harris says the company will pursue "all legal remedies" to seek compensation for what she calls the improper termination of the contract. The Jindal administration scrapped the contract after details emerged about a federal investigation into the contract award. Since then, the administration says the governor's former health secretary, Bruce Greenstein, improperly exchanged repeated phone calls and text messages with CNSI during the bid process, creating an "unfair advantage" for the firm. Greenstein once worked for CNSI.

Southern plans to tweak controversial contract

David Jacobs — Fri, 03 May 2013 10:08:00 EST

Southern University System President Ronald Mason plans to amend a controversial contract with online course provider EOServe. As written, it stipulates that if a student first enrolled in an online program then later enrolls in traditional classroom-based coursework, EOServe would get 40% of the revenue from that student's campus courses. Mason says he would rather see EOServe receive a one-time payment of about $2,500 per student to cover marketing costs, and the rest of the revenue would stay with Southern. The Board of Supervisors would have to approve the change, which would not affect other contract provisions that have been criticized by faculty leaders, such as the 70/30 split in EOServe's favor of the online course revenue. "LSU basically gets 50 percent of the revenue coming in from online student enrollment," says Southern faculty senate President Thomas Miller. "Our system gets 30 percent." Mason stresses that all of the startup expenses come out of EOServe's end, and says once costs are taken out of the equation, it's basically a 50/50 split, if not slightly in Southern's favor. "We get 30 percent of the revenue without having to put up a dime," Mason says. "We don't have the cash to pay for the things that EOServe is paying for." —David Jacobs

Gerry Lane dies at age 82

Daily Report staff — Fri, 03 May 2013 10:07:00 EST

Family members and friends of Gerald "Gerry" Lane are mourning the passing of the businessman and philanthropist today. Lane died early this morning after a long battle with cancer, his family says. He was 82. An Oklahoma native, Lane built a thriving auto sales franchise in Baton Rouge that today includes seven dealerships. Over the course of 46 years, gross sales at Lane's dealerships topped $10 billion. His son, Eric Lane, vice president of Gerry Lane Enterprises, says the dealerships will continue to be run with the same principles that his father instilled in them. "Customer service, innovation and being deeply involved in the community—this is Dad's legacy, and we are going to keep running the dealerships just the way we have been doing, like he taught us to do," says Eric Lane, one of three surviving children. Lane's life story is recounted in a biography published late last year, Gerry Lane—An American Success Story, written by Leo Honeycutt. Along with his business endeavors, Lane was involved in a number of charitable efforts in the community. The Lane family, including Gerry's surviving wife of 55 years, Faye, donated more than $30 million to various causes through the years, including March of Dimes, Cystic Fibrosis Foundation, ARC of Baton Rouge, LSU's Rural Life Museum, AMIkids and others. Visitation will be held at Greenoaks Funeral Home, 9595 Florida Blvd., from noon to 5 p.m. Monday. A private burial will follow.

Editor: Public schools need a new playbook

Daily Report staff — Fri, 03 May 2013 09:56:00 EST

If high school football teams were run in the same by-the-book, one-size-fits-all way that public schools across Louisiana are, "I suspect the response would be an angry revolt by parents and the public," says Business Report Executive Editor JR Ball. "Yet few are screaming in outrage" about the school situation, Ball writes in his latest column. "The dichotomy between what the public fervently demands on the football field and what it passively accepts in the classroom explains why public education is largely a dismal failure." While we expect athletes from low-income districts to compete for state championships on the field, Ball says, we make excuses for why those same students can't compete in the classroom. Ball says there is "no magic bullet solution when it comes to the education of our children." Charters, vouchers, private schools and recovery school districts have advantages and disadvantages, he says. "The only solution we know that positively won't work is what public schools are doing now," Ball says. "If we held teachers, principals, school administrators and school board members to the same standards as football coaches, who are regularly fired after two non-playoff seasons, then the state of public education would look far different. If parents formed academic booster clubs and were every bit as passionate, inquisitive and demanding as those in gridiron clubs, then our elected officials would have no choice but to take on the teachers unions and anyone else who doesn't have the education of children as their primary focus." Read the full column here; and send your comments to editors@businessreport.com.

Unemployment rate falls to 7.5% in April as U.S. adds 165K jobs

Daily Report staff — Fri, 03 May 2013 09:54:00 EST

U.S. employers added 165,000 jobs in April, and hiring was much stronger in the previous two months than the government first estimated. The job increases helped reduce the unemployment rate from 7.6% in March to a four-year low of 7.5% in April, the Labor Department reports this morning. The government revised up its estimate of job gains in February and March by a combined 114,000. It now says 332,000 jobs were added in February and 138,000 in March. The economy has created an average of 208,000 jobs a month from November through April—above the 138,000 added in the previous six months. An additional 210,000 people started looking for work in April, and many of them found jobs. The hiring last month was broad-based. The only sectors of the economy that cut jobs in April were construction and government. Professional and business services, which include high-paying fields such as accounting, engineering and architecture, added 73,000 jobs. Retailers added 29,000 employees, and health care 19,000. A total of 11.7 million Americans were unemployed in April. The Associated Press has more details on the report here.

'225 Dine': Street Breads now open on Perkins

Matthew Sigur — Fri, 03 May 2013 09:53:00 EST

Street Breads, the Lake Charles-based eatery, opened its Baton Rouge location in the Perkins Road overpass area on Monday. By Tuesday, a crowd had packed into Street Breads, eager to try its concoctions of fresh-made sauces, spreads and breads. The concept is not unlike a Subway or Izzo's, with the ingredients displayed so you can see the sandwiches being built right in front of you. However, there is a wide range of ingredients and flavors, with sauces and fresh toppings prepared daily. You can try an Italian Roast Beef, topped with Asiago cheese, sun-dried tomato relish, Cajun r�moulade and bacon; or the Mediterranean Portobello, which features the meaty mushroom along with eggplant, zucchini, feta cheese, sun-dried tomato and pesto hummus. Each sandwich comes prepared on fine artisan bread, in a wrap or pita, or on fresh focaccia. Delivery and online ordering will begin in about a month, says owner Josh Priola, and a pickup window will be in service then, too. Access the complete menu and get your fill of local culinary news in the new issue of the 225 Dine e-newsletter here. — Matthew Sigur

LaPolitics by Maginnis: House plans to cut spending and exemptions

John Maginnis — Fri, 03 May 2013 09:51:00 EST

The bipartisan budget proposal in the works in the Louisiana House is said by sources to include spending cuts and the suspension of some tax credits and exemptions. Members are considering either targeted suspensions or an across-the-board reduction of 15% of exemptions. The governor can veto the repeal or reduction of an exemption or credit, but not a one-year suspension. Also, House members look to use up to $100 million more in projected revenues that are expected to be recognized when the Revenue Estimating Committee meets next week, but new revenue from a cigarette tax or other mechanism still isn't on the table, lawmakers say.

—In a luncheon meeting Thursday with Republican state senators, Gov. Bobby Jindal told them he would not sign off on the expansion of Medicaid even if a bill that calls for the increased coverage passes the Legislature. He further told them to let him take the blame with their constituents who want the expansion. "I'll take the heat," he said, according to three senators.

They said it: "The Legislature ought to be independent. I subscribed to that philosophy for all but 16 years of my life." —Former four-term Gov. Edwin Edwin, addressing the state Senate on old-timers day.

(John Maginnis publishes LaPolitics Weekly, a newsletter on Louisiana politics, at LaPolitics.com.)

BRAC named top 10 economic development organization for 2012

Thu, 02 May 2013 15:29:00 EST

Site Selection magazine has named BRAC one of the nation's top 10 economic development organizations for 2012, marking the fourth year in a row BRAC has received such recognition. BRAC says just four other peer organizations have achieved that distinction. The industry trade publication is a "staple in the economic development industry," says BRAC President/CEO Adam Knapp in a prepared statement. Knapp says the recognition is "testament to our team, our regional partners from the nine parishes, our counterparts at LED, and our investors." In 2012, BRAC reports, it worked on 13 projects that resulted in announced relocations or expansions in the region. The projects secured 1,128 jobs and generated over $78.1 million in payroll, BRAC says, as well as $3.5 billion in new capital investment. That exceeded BRAC's previous record for total capital investment announced over one year, and also produced the organization's top average annual wage per announced job, at $69,237.

Education department says 63 districts have submitted performance-based pay plans

Daily Report staff — Thu, 02 May 2013 15:20:00 EST

Due to the creation of new teacher payment plans linking compensation to student achievement at nearly every school district across the state, an estimated 50,000 teachers in Louisiana are now eligible for raises, the Department of Education says. A report was released by the department today outlining the progress 63 school districts—more than 90% of those in the state—have made to create the new payment plans since last year. "While tens of thousands of teachers will be eligible for an increase in salary, no teacher will see their salary reduced based on these changes," the department says in a news release. The report says, "The vast majority of Louisiana's school districts have designed new salary schedules that meet their local needs, based on three criteria, with none accounting for more than 50% of the salary formula." The three primary criteria are "effectiveness, based on student achievement and observations; experience, as defined locally; and demand, such as high-need or hard-to staff subject areas or schools." The report also highlights some of the more innovative plans the department has received from school districts. Calcasieu Parish, for example, is proposing a reward plan whereby teachers would each earn a $1,500 stipend for two consecutive years of highly effective teaching. You can find the report in its entirety here.

Katrina hero undertaking residential development in B.R.

Stephanie Riegel — Thu, 02 May 2013 15:16:00 EST

Lt. Gen. Russel Honor�, best known for his role in coordinating relief efforts along the Gulf Coast after Hurricane Katrina, is taking his career in a new direction: speculative home building. The 65-year-old Honor�, who retired from the U.S. Army in 2008, has formed a new venture—Mid City Development—and will begin construction next month on four homes on a lot he bought in 2012 on College Drive near Jefferson Highway. Honor� says he did not intend to get into the residential construction business. For the past several years, most of his time has been spent giving speeches and doing consulting. However, he purchased the College Drive lot hoping to sell it, but after six months decided a better idea would be to redevelop the property—with the help of his brother-in-law, contractor David Darensbourg. "We decided the best way to do it is to put a concept design in for four houses, and if they complement each other they'll sell better," Honor� says. "I think the future of that neighborhood is great because of its location." Homes will be between 2,500 and 3,000 square feet and will be priced between $475,000 and $500,000. Appropriately, for a developer who commanded Joint Task Force Katrina, the homes will be designed with hurricanes in mind: Each will have a generator as well as shutters that double as storm windows. —Stephanie Riegel

La. House members pass bills regulating salt mines

Thu, 02 May 2013 15:15:00 EST

Two measures aimed at regulating the operations of salt domes were approved unanimously today by the Louisiana House in response to a 13-acre sinkhole in Assumption Parish, The Associated Press reports. The measures by Rep. Karen St. Germain, D-Pierre Part, and Sen. Rick Ward, D-Port Allen, would require stricter guidelines for monitoring and assessing areas around salt domes. Among other things, one measure would call for surveying salt dome formations every five years. The other bill would require legal notification of the location of underground caverns to prospective property owners. A massive sinkhole in Assumption Parish that opened up in August has forced the evacuation of 150 homes near Bayou Corne. The proposals head next to the Senate for debate.

News roundup: Louisiana Entrepreneurship Fest looking for student entrepreneurs … 2013 Gates Millennium Scholars include 3 from B.R. … Local businessman with famous name running for Congress

Thu, 02 May 2013 15:11:00 EST

Open for business: Organizers of the inaugural Louisiana Entrepreneurship Fest: For Youth and First Time Entrepreneurs are encouraging all Louisiana college and university students, as well as high school juniors and seniors, to register for the event slated to take place June 20-21 in Houma. Spearheaded by LED and the Terrebonne Parish Economic Development Authority, the aim of the conference is to teach young entrepreneurs the basics of establishing and growing a business. You can find complete details and register online here.

Head of the class: Three high school students in the Capital Region are among just eight in the state and 1,000 across the country to be named 2013 Gates Millennium Scholars. Funded by the Bill & Melinda Gates Foundation, the scholarship program for minorities covers virtually all college tuition expenses. Selected from an estimated pool of 54,000 applicants in the Capital Region this year are: Aaliyah Furqan, of Capitol High School, and Maresa Watson and Dominique Scott, both of Scotlandville Magnet High School.

Off and running: Paul Dietzel II, grandson of the national championship-winning former LSU football coach of the same name, has announced his candidacy for Louisiana's 6th Congressional District seat, currently held by Bill Cassidy, who is running for Senate. Dietzel is the founder and CEO of Anedot, a Baton Rouge software company. Dietzel describes himself as a conservative, pro-life Republican and National Rifle Association member.

Capitol Views: Speaker urges unity for budget deal

John Maginnis — Thu, 02 May 2013 15:10:00 EST

Speaker of the House Chuck Kleckley told representatives today not to bend to pressure from "outside groups" that will try to get them to defeat a bipartisan budget plan in the works. "Let's stick together, and don't commit to anybody trying to get you to not support the plan," he told representatives. He did not identify who is applying the pressure, but the state Republican party this week urged GOP lawmakers not to negotiate with Democrats on a budget plan that would raise taxes or remove tax exemptions or credits. Democrats and Republicans say ongoing discussions involve a mix of spending cuts and exemption removals. Gov. Bobby Jindal has said he will oppose any revenue-raising measures that are not balanced by tax cuts.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

Sports roundup: Two more LSU baseball games picked for national TV … SEC network to be broadcast on ESPN 24/7 … Saints given a B grade on draft

Daily Report staff — Thu, 02 May 2013 14:22:00 EST

Screen time: Two of the LSU-Ole Miss baseball games slated to take place in Alex Box Stadium later this month will be televised by national networks, the SEC announced today. The game on Thursday, May 16, will air on ESPNU at 6:30 p.m., while the Saturday, May 18, game will air on the CBS Sports Network at noon. Game two of the series, on Friday, May 17, will air on Cox Sports Television at 7 p.m. The announcement means all 10 of LSU's remaining regular season games will be televised. The full schedule can be found here.

It's always on: The SEC and ESPN announced a 20-year agreement and rights extension deal today that includes a new television network and digital platform that will show SEC sports 24/7, including more than 1,000 events in the first year. The 24-hour SEC Network will launch in August 2014. Included in the programming will be 45 football games, more than 100 men's and more than 60 women's basketball games, 75 baseball games, and select events from the other 17 SEC sports. ESPN has more details here.

Sorting through the selections: In his grading of the NFC South teams' draft picks posted today, NFL.com analyst Bucky Brooks gives the New Orleans Saints a B and says the team's first-round, No. 15 overall pick of safety Kenny Vaccaro was the best pick in the division. "The Saints must address their suspect defense to reclaim their spot at the top of the division. [Coach] Sean Payton took care of the unit's biggest need by claiming Vaccaro in the first round," Brooks says. The analyst also says the Saints' fifth-round, No. 144 overall pick of Kenny Stills was the biggest steal. Read the full feature here.

Central Florida selected as destination for Canvas trip

Thu, 02 May 2013 10:28:00 EST

Elected officials, business professionals and community leaders from the Baton Rouge and New Orleans metro areas will travel together to central Florida, including the Orlando and Tampa metro areas, later this year for the 2013 Super Region Canvas trip. BRAC, which is organizing the trip along with Mayor Kip Holden's office and Greater New Orleans Inc., announced the destination this morning. "This trip will represent a new day for alignment and cooperation between our two regions," says BRAC President/CEO Adam Knapp in a prepared statement. "Central Florida has a lot for us to learn from, particularly in how our two regions can collaborate to further economic development in Southeast Louisiana." BRAC announced in March that, for the first time, its Canvas trip would be taken jointly with GNO Inc. Registration for the 2013 trip will officially open in June. More information and registration details can be found here.

Louisiana, Texas community groups sue EPA for emissions

Thu, 02 May 2013 10:25:00 EST

Community groups in Louisiana and Texas have filed a lawsuit against the U.S. Environmental Protection Agency accusing it of using "outdated and inaccurate formulas" to report emissions from refineries and chemical plants. The Louisiana Bucket Brigade, The Environmental Integrity Project in Texas, Air Alliance Houston and other groups filed the lawsuit today in the U.S. District Court in Washington. The groups say recent studies at three large Gulf Coast refineries found emissions to be up to 100 times higher than estimates reported to the agency using what the environmental community believes to be "outdated and inaccurate" information and technology. The Associated Press could not immediately reach the EPA this morning for comment on the lawsuit.

News roundup: 'Reveille' named nation's best all-around daily student newspaper … LSU researchers find long-term impacts on fish from oil spill … Edwards gets standing ovation from lawmakers

Thu, 02 May 2013 10:23:00 EST

On the record: The Daily Reveille, LSU's student newspaper, was named the nation's best all-around large daily student newspaper by the Society of Professional Journalists. The paper was honored at SPJ's recent Mark of Excellence Awards banquet in Indianapolis. The Reveille was selected from 12 regional winners from schools with enrollments of more than 10,000 students. The Reveille has more on the award here.Developmental abnormalities: Researchers have found that exposure to oil sediments from the 2010 Gulf of Mexico oil spill is causing cardiovascular defects, delayed hatching and reduced overall hatching success in Gulf killifish embryos. The research team from LSU, the University of California-Davis and Clemson University use this species as a "canary in the coal mine" that can indicate impacts on a variety of species. LSU has more details and access to the complete study here.Warm welcome: Former Louisiana Gov. Edwin Edwards got a standing ovation from the state Senate on Wednesday, The Times-Picayune reports. Edwards, who was visiting the Capitol on a day set aside to honor former legislators, discussed his time in prison and urged the Legislature to pass a balanced budget and help the sick, poor and indigent. Read the full story here.

Today's poll question: Did former Gov. Edwin Edwards deserve a standing ovation from the Louisiana Senate Wednesday?

DOTD to upgrade portion of U.S. 90

Daily Report staff — Thu, 02 May 2013 10:23:00 EST

A section of U.S. 90 in Lafayette Parish may soon be upgraded as part of the Interstate 49 South project. The Louisiana Department of Transportation and Development issued a notice of intent Wednesday seeking a company to design and build the section of U.S. 90 from just north of Ambassador Caffery Parkway South in Lafayette to Albertson Parkway in Broussard. DOTD says the project will consist of widening the highway to six lanes and potentially building several miles of frontage roads and several overpasses. It is expected to cost between $75 million and $85 million. DOTD expects to award the project to a firm no later than January 2014. Construction could be finished by early 2017. The construction of I-49 South from Lafayette to the West Bank of New Orleans has been in the department's plans for decades, but the multibillion-dollar price tag has stalled completion. State and local officials recently announced they're working to divide the project into smaller sections that can be built now and function while awaiting completion of the entire project, as was done in Iberia Parish.

Publisher: It's time for Louisiana to let go of the status quo

Daily Report staff — Thu, 02 May 2013 10:21:00 EST

Louisiana has the highest percentage of native-born residents of any state in the country, with about 80% its population having been born here, notes Business Report Publisher Rolfe McCollister—a Louisiana native. "Louisiana folks are a proud people who are deeply rooted in family, tradition and geography," writes McCollister in his latest column. While this can be a very special asset for our state, he says, Louisiana's large native population and long-lived traditions also have their downside. "And when change or reforms are advanced, they often run into a fierce monster named 'STATUS QUO'—especially in politics," he says. "In visiting with ex-pats from Louisiana in Austin, Texas, while a group of us were on BRAC's first canvass trip, we were told that new ideas were met in Baton Rouge with, 'Well, that's not the way we used to do it.' And that is often the problem." But McCollister says the status quo is changing in health care, higher education, K-12 education, and other important areas—because it has to. "Most Louisianans (eight of 10) have grown up thinking it is the norm for the governor and leaders at the State Capitol to take care of everybody. 'Throw me somethin', mista.' When they want something, our cities, parishes, groups or institutions go down to the Capitol with their hand out. And when there is no money, it's no fun for the politicians. No chicken for the pot from the Capitol," McCollister says. "Much of the population in Louisiana won't like that news—just ask our governor and legislators. The Louisiana of the future will be better than our past if we accept this new reality and innovate, leaving the past behind. Creating and implementing the new models is our responsibility, so 'think different'—and let's move forward." Read the full column here; and send your comments to editors@businessreport.com.

'225 Weekender': Treat your pets right Saturday at Fur Ball

225 staff — Thu, 02 May 2013 10:00:00 EST

If you love to spoil your dog, you won't want to miss this weekend's Fur Ball. The area's premier pet-friendly gala celebrates well-behaved canines for a good cause. While dogs enjoy a day at the Petz Plaza Spa, owners can enjoy a silent auction, live music from the Doc Holliday Band, food and drinks. Proceeds from the event benefit the Companion Animal Alliance of Baton Rouge. Fur Ball kicks off at 6:30 p.m. at Crowne Plaza, 4728 Constitution Ave. Individual tickets are $125, $75 for those under age 35, and $75 per dog. Tickets can be purchased here, and for more information visit furball.org. Get the lowdown on more local happenings on tap this weekend in the new 225 Weekender e-newsletter here.

Downtown Hampton Inn & Suites eyes Friday opening

April Castro — Thu, 02 May 2013 09:59:00 EST

The $17 million Hampton Inn & Suites is set to open at Lafayette and Main streets downtown on Friday, pending some final certifications from its parent company, Hilton Worldwide. Allison Crump, director of sales for the new hotel, says Hampton is already taking online reservations for Friday, May 10, and later. Bookings for this weekend will commence as soon as Hilton gives the go-ahead, she says. "We have a lot of demand, and it's going to do fabulous," Crump says. "Many people are interested in the hotel. It's beautiful." Most of the hotel's 137 guest rooms include balconies with Mississippi River views. A staff of 40 full-time employees is already in place. The seven-story hotel will offer guests complimentary breakfast, access to a fitness center, and 1,000 square feet of meeting space. —April Castro

B.R. General buys Perkins Road clinic for Gastroenterology Center

Steve Sanoski — Wed, 01 May 2013 15:28:00 EST

A day after closing on the purchase of the Digestive and Liver Disease Clinic at 6615 Perkins Road for $2,650,000, Baton Rouge General today opened a new Gastroenterology Center in the facility. Dr. Shabon Faruqui sold the clinic to Baton Rouge General, according to records from the East Baton Rouge Clerk of Court. Faruqui is now among the physicians leading the Gastroenterology Center, along with Drs. Karen Diamond, Paul McNeely, Alan Sonsky and Elizabeth Alonso-Rubiano. Baton Rouge General is partnering with its private physicians network, Baton Rouge General Physicians, at the new facility. Baton Rouge General Interim President and CEO Evelyn Hayes says the new center "combines the very best that the General is known for—dedicated physician experts and compassionate staff committed to clinical quality excellence—to serve patients' GI and digestive health needs within the hospital's comprehensive care community." Baton Rouge General has more details on the services the center is offering here. —Steve Sanoski

Measure killed to place term limits on statewide officials

Daily Report staff — Wed, 01 May 2013 15:26:00 EST

A Vermilion Parish lawmaker's repeated attempt to put term limits on all statewide elected officials has again failed to gain support in the Louisiana Legislature, The Associated Press reports. The House and Governmental Affairs Committee today voted 6-2 against Rep. Simone Champagne's proposal. Champagne wants to limit statewide elected officials to three consecutive four-year terms. The bill would have applied to the lieutenant governor, attorney general, agriculture commissioner, insurance commissioner, secretary of state and treasurer. Louisiana's governor already is limited to two consecutive terms. Champagne has tried the idea for several years, but it has never won passage in the House. If the term limit proposal got the backing of lawmakers, it would also have needed approval from voters in a statewide election.

News roundup: Public invited to give ideas on Expressway Park master plan … Hurricane preparedness tax holiday set … La. House committee rejects gay discrimination ban

Daily Report staff — Wed, 01 May 2013 15:24:00 EST

Have your say: BREC is hosting a community open house at Expressway Park, 935 South 11th St., between 4 and 6 p.m. Thursday to publicly unveil the conceptual master plan for improvements envisioned at the park. Residents are invited to check out illustrations of the plan, discuss their own ideas for the park with BREC officials, and fill out a survey to help determine which changes will be implemented. Renovation construction could begin as soon as this summer. More details on the meeting can be found here.

People get ready: The Louisiana Department of Revenue says the state's annual sales tax holiday on purchases of hurricane preparedness items or supplies will take place on the last Saturday and Sunday of May. During the two-day annual holiday, May 25-26, tax-free purchases are authorized on the first $1,500 of the sales price of a number of items including flashlights, radios, tie-down kits, batteries, coolers, portable generators and more. A complete product listing and more details are available here.

Support lost: A ban on discrimination against state employees because of their sexual orientation has failed to win support from the House and Governmental Affairs Committee. The 6-3 vote today shelves the proposal by New Orleans Rep. Austin Badon, The Associated Press reports. Badon's bill would have declared it unlawful for a state employer to use different standards of treatment based on sexual orientation or gender identity. Opponents say the measure would advance a sexual politics agenda and that existing laws provide adequate protection.

Committee backs increased textbook choice

Daily Report staff — Wed, 01 May 2013 15:11:00 EST

A bid to give local school districts more freedom in choosing the textbooks they use received the backing of the House Education Committee without objection today. House Bill 116 by Rep. Frank Hoffmann, R-West Monroe, would establish that BESE cannot require local school districts to purchase specific textbooks or instructional materials. Erin Bendily, assistant superintendent for the Department of Education, says the bill dovetails with the department's efforts to hold local school leaders accountable for results, without micromanaging them. "It's autonomy for the local school systems," Hoffmann says. A state-recommended textbook list still will be developed, Hoffmann says, adding that he expects 98% of books to be taken from that list. The Associated Press reports Hoffmann unsuccessfully pursued similar legislation two years ago, with critics charging it was a backdoor attempt to include creationism in science classes. The proposal heads next to the full House for debate.

Capitol Views: Jindal grounds fiscal hawks in court

John Maginnis — Wed, 01 May 2013 15:08:00 EST

On the day after the so-called fiscal hawks won a victory in the House over handling the budget, two of its leaders lost a bid in district court to declare the current state budget unconstitutional. District Judge Tim Kelley threw out a lawsuit brought by Republican Reps. Kirk Talbot and Cameron Henry that alleged the state's use of one-time money for recurring expenses was unconstitutional. Kelley declared that the suit, if successful, would create a budget deficit, which would violate state law that prevents a judge from issuing a ruling that would create a deficit in a state agency. While getting no relief from the judicial branch, House members made a stand that will set up a debate over using one-time money in the next budget. In essence, a coalition of GOP fiscal hawks and Democrats blocked a committee amendment that would remove one-time money from the budget, which would set it up to move to the Senate, where the one-time money would be restored, with no input from the House. As a result, the leaders of both the Republican and Democratic caucuses say they will negotiate a package of spending cuts and revenue measures that could replace part of the $490 million in non-recurring revenue that the governor used in his executive budget.

—Two new ideas for electing statewide officials each received a cold reception in two legislative committees today. A bill to set a three-term limit for statewide elected officials was deferred in the House & Governmental Affairs Committee. The same bill by Rep. Simone Champagne, R-Jeanerette, made it to the House floor last year despite the opposition of some statewide officials. Across the Capitol, the Senate & Governmental Affairs Committee refused to pass out a bill to elect the superintendent of education. Sen. Bob Kostelka, R-Monroe, conceded to members that he doesn't think Louisiana Superintendent of Education John White has been a good superintendent, but he couched his argument on providing greater accountability by letting the people choose the education leader. The state last elected a superintendent of education in 1983; the Legislature made the office an appointed one in 1985. The committee decided not to change it again.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

RDA investigating funding sources

David Jacobs — Wed, 01 May 2013 14:57:00 EST

The East Baton Rouge Redevelopment Authority received a $60 million federal New Market Tax Credit allocation in 2009, which went toward two YMCAs; a Hampton Inn & Suites; the Emerge Center for Communication, Behavior & Development; and a green technologies project at the Honeywell plant in north Baton Rouge. The RDA didn't get any New Market credits in the most recent round of allocations announced last week, but that doesn't mean they're slowing down, says President/CEO Walter Monsour. He says RDA staffers are going through the list of possible projects and reaching out to other community development entities in other parts of the country, some of which have a national mission, to see if those entities might be interested in deploying their credits in East Baton Rouge Parish. On the Honeywell project, two other CDEs partnered with the RDA, he explains. The RDA also plans to seek a recurring funding stream from taxpayers. Monsour says he's not ready to discuss how that might work, but expects "the discussion will begin soon with the elected officials." "The successful models all around the country have all had to have either state or local funding or both," he says. "Ultimately, they reach a critical mass where they can sustain themselves." —David Jacobs

Holden defends hiring Florida firm in BP suit

Stephanie Riegel — Wed, 01 May 2013 14:55:00 EST

Mayor Kip Holden is defending a contract that his chief administrative officer, William Daniel, signed with a Florida law firm to represent the city-parish in a claim against BP regarding the 2010 Gulf oil spill. Some Metro Council members are questioning the deal because the firm, Farrell and Patel of Coral Gables, Fla., will get 40% of any money it recovers from claims of lost revenues as a result of the spill. "We didn't go out hunting for this firm," Holden tells Daily Report. "They came to us and said, 'This money is out there. … Are you interested in trying to get it?' Our answer was yes." Some council members have suggested local law firms would charge much less on a contingency basis than 40%. But Holden says out-of-state firms are involved in a variety of class action suits in the state, including the multibillion-dollar tobacco litigation. What's more, he says, "If local law firms knew about the potential of recovering money from BP, why didn't they call us?" Council members have also criticized Daniel for signing a contract on behalf of the city-parish that was never brought before the council for approval. Daniel has said the contract is nonbinding until the council approves it, a position Holden reiterated today. "I would urge caution and tell people not to prejudge this," he says. "We still have time to negotiate the terms of this arrangement." —Stephanie Riegel

Governor, mayors join Georges in announcing 'Advocate' buy

Stephanie Riegel — Wed, 01 May 2013 14:50:00 EST

No less than Gov. Bobby Jindal, Mayor Kip Holden and New Orleans Mayor Mitch Landrieu joined the new owner and publisher of The Advocate, John Georges, at a news conference this morning to officially announce the New Orleans businessman's acquisition of the state's largest daily paper. In a crowded conference room at The Advocate headquarters, Georges spoke glowingly about his predecessors, the Manship family, the Baton Rouge market and the opportunities presented by this latest of his many business ventures. He also introduced his two top managers: veteran journalists Dan Shea, general manager, and Peter Kovacs, editor. But the event was more a passing of the torch than a briefing on what changes may be in store for the newspaper or on the terms of the sale, which were not disclosed. Outgoing publisher David Manship, whose family operated the daily for more than a century, delivered an emotional farewell to his longtime employees and co-workers. Later, his brother, Richard Manship, who will continue to run the family-owned WBRZ-TV, drew enthusiastic applause when he said Georges is a visionary and successful businessman committed to running, "not a three-day-a-week paper, but a seven-day-a-week paper." Last year, The Times Picayune reduced its print circulation to three days a week, though on Tuesday—in what is a growing competitive threat—the newspaper's owners announced they will begin publishing a tabloid called TPStreet on three days it had previously ceased publication. —Stephanie Riegel

Downtown street closures set for 'Search Party' filming

Daily Report staff — Wed, 01 May 2013 10:32:00 EST

Several streets in the downtown area will be closed to traffic over the next two weeks, beginning Thursday, to accommodate the filming of Search Party, a comedy from the producers of Baton Rouge-filmed Pitch Perfect. Road closures and parking restrictions through Saturday will include portions of Lafayette Street and North Boulevard, as well as North Fourth Street. On Monday, portions of Spanish Town Road will be affected, as well as some of the previously mentioned streets. Filming will also affect North Boulevard on Tuesday, May 14. You can read the specifics on the street closures and parking restrictions related to the filming here. Search Party is being produced by Universal Pictures and Gold Circle Films. The film is directed by Scot Armstrong, who is best known for writing Hangover, Elf, and Old School. It stars T.J. Miller, Adam Pally and Thomas Middleditch.

Hospital association backs 'stabilization fund'

David Jacobs — Wed, 01 May 2013 10:29:00 EST

A proposed state constitutional amendment that would allow for a new charge on hospital revenue easily cleared two committee hurdles and is set for a floor debate next week. House Bill 532, by Republican House Speaker Chuck Kleckley and Democratic Speaker Pro Tempore Walt Leger III, would allow the Legislature to create a "hospital stabilization fund" meant to offset cuts to Medicaid. Sean Prados, executive vice president with the Louisiana Hospital Association, says the goal is to collect about $92 million to raise about $230 million per year once the federal match is included. Prados says the constitutional amendment doesn't spell out how much would be collected from each hospital, but says it would likely be less than 2% of revenue. "We can revisit that formula every year," he says. "This is not something that's going to be passed along to patients or to businesses." Department of Health and Hospitals Undersecretary Jerry Phillips says the department is concerned that the bill would lock the state into paying a set rate to hospitals with built-in inflation adjustments. "It takes away flexibility," Phillips says. The measure "would allow the Legislature to approve a tax each year of up to 6 percent on hospitals, which would mean over $700 million in new taxes," says Republican Party of Louisiana Executive Director Jason Dor�. "The cost of the tax on hospitals is going to be passed on to the consumer in the form of higher hospital bills for patients." —David Jacobs

Jindal, other GOP governors trying to shake off setbacks

Daily Report staff — Wed, 01 May 2013 10:22:00 EST

Gov. Bobby Jindal is just one of a number of Republican governors across the nation who are struggling with political or ethical problems that might crimp any national ambitions they have in 2016, according to The Associated Press. "Two governors eyeing possible White House bids—Bob McDonnell of Virginia and Bobby Jindal of Louisiana—suddenly find themselves fending off critics and trying to shore up legacies they hope will withstand national scrutiny," reads the analysis. "Other high-profile governors run the gamut from maintaining solid popularity to being in danger of losing re-election next year." The 2016 presidential election is far away, the AP notes, and the GOP has plenty of possible contenders. They include current and former governors, such as Chris Christie of New Jersey and Jeb Bush of Florida. "Still, McDonnell's and Jindal's struggles—combined with those of Republican governors in Pennsylvania, Florida, South Carolina and elsewhere—prove that governorships can be far from ideal incubators of political ideas and national ambitions." Jindal's recent setbacks and his political future are the dual focus of the new Business Report cover story. Read it here.

News roundup: 3 La. bridges on '10 longest' list … Judge orders some BP attorney materials turned over in Gulf oil spill case … U.S. Treasury says debt auctions could be trimmed

Wed, 01 May 2013 10:15:00 EST

The great divide: A list of the 10 longest bridges in the world compiled by USA Today is dominated by spans familiar to Louisiana motorists. It contains three of the state's bridges, including the longest: The Lake Pontchartrain Causeway, at 126,122 feet. The second longest on the list is also in Louisiana: the Manchac Swamp Bridge on Interstate 55, at 120,440 feet. Also making the list at No. 6 is the Atchafalaya Basin Bridge between Baton Rouge and Lafayette on Interstate 10, at 96,100 feet. You can find the full list here.Show and tell: A judge has ordered BP to turn over to the U.S. government and Transocean some previously withheld documents that involve discussions by its lawyers about how to prepare the company's responses to investigative inquiries about the amount of oil that was flowing after the 2010 Gulf of Mexico disaster, The Houston Chronicle reports. BP had argued that the documents should be subject to the attorney-client privilege and therefore barred from disclosure to third parties.Pay it down: The U.S. Treasury Department says it could begin decreasing the size of some of its debt auctions in coming months based on an improving deficit situation that will allow it to pay back some of the national debt this quarter. The Treasury says today that any decrease in the size of the securities it sells to raise money to finance government operations will be gradual and that investors will be alerted to the changes. The Associated Press has the full story here.

Councilman says chaining restriction aimed at dog fighters

April Castro — Wed, 01 May 2013 10:08:00 EST

Baton Rouge could soon join a growing list of communities that ban dog owners from chaining their pets. An ordinance up for a vote at next week's Metro Council meeting would ban dog chaining for more than an hour. Under the ordinance, violators could be fined a maximum of $500 and could face up to 180 days in jail. Councilman Buddy Amoroso says he co-authored the measure as a public safety effort and to combat dog fighting. He says chaining is used by dog fighters as a way to keep the animals "in a constant state of aggression." Chained or tethered dogs also can pose a public safety hazard once they're freed, he says. The Humane Society has worked to promote prohibitions on dog chaining, claiming that chaining dogs is inhumane and dangerous to humans. As part of an anti-chaining campaign, the Humane Society outlines the dangers, saying: "A chained dog, unable to take flight, often feels forced to fight, attacking any unfamiliar animal or person who unwittingly wanders into his or her territory." The group says numerous such attacks have been documented and that the victims are often children who are unaware of the chained dog's presence until it's too late. At least 16 states have adopted statewide regulations on dog chaining, including Louisiana. The measure being considered by the Metro Council is more restrictive than the statewide prohibition, which does not specify a time limit and only pertains to chaining that is "inhumane, cruel or detrimental" to the animal. The Metro Council will take up the issue at its 4 p.m. meeting Wednesday, May 8. —April Castro

Private employers add 119,000 jobs in April, survey says

Daily Report staff — Wed, 01 May 2013 10:07:00 EST

A private survey released today in advance of the U.S. government's official April jobs report Friday shows U.S. companies added 119,000 jobs during the month, the fewest in seven months. The report from payroll processor ADP suggests that government spending cuts and higher taxes could be starting to weigh on the job market. And new requirements under President Barack Obama's health care law may be prompting some small and midsize companies to hold back on hiring. ADP also says job growth in March was slower than first thought: showing 131,000 added, down from an initial estimate of 158,000. "This is a bit disappointing; it shows the economy is growing more slowly as we go into the spring and summer," Mark Zandi, chief economist at Moody's Analytics—which compiles the report from ADP's data—tells The Associated Press. The slowdown in April was broad-based, the survey shows. Manufacturers cut 10,000 jobs, while firms in the service sector added the fewest in seven months. Construction firms added 15,000 jobs. The ADP report is derived from payroll data and tracks private employment each month. It has diverged at times from the government's more comprehensive monthly jobs report. In March, for example, the government said employers added 88,000 jobs, much lower than ADP's figure. More details from the report can be found in the full story here.

'Advocate' to ramp up run at 'Times-Pic' under new ownership

Stephanie Riegel — Wed, 01 May 2013 10:05:00 EST

Dan Shea, the former managing editor of The Times-Picayune who has been tapped as new general manager of The Advocate, tells Poynter that the Baton Rouge daily is looking to compete with the New Orleans paper head on under its new owner, John Georges. "Our plan is simple," Shea says. "Give the people of metro New Orleans what they want: a seven-day, home-delivered truly local newspaper. We'll provide the resources to get that done quickly." As reported by Daily Report on Tuesday afternoon, Shea and Peter Kovacs—also a former managing editor at The Times-Picayune—have been hired to lead The Advocate under its new ownership. The Advocate officially announced the hires and the closing of the newspaper's sale to Georges on Tuesday evening. The Columbia Journalism Review's Ryan Chittum reports: "It will take a lot of investment by Georges to make a true run at the Picayune," noting the New Orleans' publication still has a much larger staff than The Advocate. Nonetheless, Chittum adds, "The Advocate has a big built-in advantage in state politics and in LSU sports. It will also not have a hard time poaching talent from the Picayune and its layoff pool." More details on what Georges' purchase of The Advocate could mean may emerge from a news conference scheduled at the newspaper's offices this morning.

Today's poll question: Do you believe John Georges' buying the Advocate will be beneficial for Baton Rouge?

'Advocate' buyer mum on new 'Times-Pic' publications

Stephanie Riegel — Tue, 30 Apr 2013 15:38:00 EST

As New Orleans businessman John Georges prepares to close on his pending acquisition of The Advocate—a deal which could be finalized in the next few days, according to sources—NOLA media group, parent company of The Times-Picayune, has announced that it's adding another print product to the marketplace this summer. TPStreet will appear in a tabloid-size format in the New Orleans area on newsstands and in newspaper boxes only, on Mondays, Tuesdays and Thursdays—days when The Times-Picayune is not published. Georges declines to comment on the latest development in the increasingly competitive battle for subscribers between the New Orleans and Baton Rouge newspapers. "My sole focus is on The Advocate," Georges tells Daily Report. "I don't focus on potential competitors." Meanwhile, sources say Georges' editorial leadership team for The Advocate is in place and includes two former Times-Picayune managing editors: Dan Shea and Peter Kovacs. Georges declines to comment, but sources say Shea and Kovacs will officially be named to top positions at The Advocate in the coming days. —Stephanie Riegel

News roundup: N.O. named among 'Top 12 American Boomtowns' … Smoking ban near state buildings gets backing … Apple to sell $17B in bonds

Daily Report staff — Tue, 30 Apr 2013 15:12:00 EST

Growing strong: New Orleans in included in Bloomberg's "Top 12 American Boomtowns" report released today. To compile the list, Bloomberg says it sorted through U.S. census data for metropolitan areas to rank those with the greatest population growth, then scored areas on growth in gross domestic product, adjusted for inflation. You can check out the complete list here.

Snuffing it out: A bid to ban smoking within 25 feet of the entrance to Louisiana state buildings received the backing of the House Health and Welfare Committee in a 15-1 vote today. Rep. Frank Hoffmann, R-West Monroe, said he's pushing House Bill 111 to keep nonsmokers from the risks of secondhand smoke. He proposed a similar idea last year, but the measure was rejected by the state Senate, The Associated Press reports. The proposal has exceptions for the Louisiana Superdome and the New Orleans Arena, along with parish and city school board buildings.

Record sales: Apple is selling $17 billion in bonds today, a record amount for a U.S. investment-grade corporate offering, investors familiar with the deal tell The Wall Street Journal. The offering generated more than $50 billion in new orders, the sources say. An Apple spokesman declines to comment on the timing or specifics of the sale, other than to say that the company wants to return $100 billion to shareholders by the end of 2015 and is issuing debt to help fund that plan. The full story is here.

BP to give $340 million for La. coastal restoration efforts

Tue, 30 Apr 2013 15:06:00 EST

BP has agreed to fund approximately $340 million in coastal restoration projects for Louisiana, Gov. Bobby Jindal says. The investment is part of the $1 billion that BP agreed to pay for damaged natural resources resulting from the Deepwater Horizon oil spill of 2010. The $340 million will go toward the restoration of four barrier islands from Terrebonne Parish to the east bank of Plaquemines Parish, as well as two Fish Stock Research and Enhancement Centers. Prior to today's announcement, BP had only approved 10 projects, representing nearly $70 million of the $1 billion it has agreed to pay. Jindal says the state has been frustrated by the slow pace of progress from BP in committing funds for restoration needs and that this new investment is long overdue. "We are going to hold BP accountable for all of the damages they have caused to our coast, our fishermen, our small businesses and our families," the governor says in a statement. Although the spill occurred three years ago, Jindal says there are still an estimated 200 miles of shoreline in Louisiana that remain oiled, and that it's the only Gulf state that still has heavily or moderately oiled shorelines. The governor has more on today's announcement at his website here.

Lawmakers refuse to expand public records access

Daily Report staff — Tue, 30 Apr 2013 14:40:00 EST

Lawmakers on the House ethics committee backed Gov. Bobby Jindal's effort to keep most of his records shielded from public view. The House and Governmental Affairs Committee voted 6-3 today against a measure that would have opened more of the governor's office to scrutiny, The Associated Press reports. Jindal opposed the bill. Under existing law, most of the documents and emails in the governor's office are shielded with a broad exemption that hides anything considered part of the governor's "deliberative process." The argument is that internal decision-making is protected to allow for the free flow of ideas. Thibodaux Rep. Jerome "Dee" Richard wanted to limit the governor's public records exemption to internal communication between the governor, his chief of staff and his executive counsel.

Capitol Views: Legislators take Jindal administration to court Wednesday

John Maginnis — Tue, 30 Apr 2013 14:36:00 EST

Consideration of the state budget moves from the Capitol to a Baton Rouge courtroom Wednesday. District Judge Tim Kelley will hear a constitutional challenge brought by Rep. Kirk Talbot, R-River Ridge, to the governor's proposed spending plan. The House Appropriations Committee took nearly $500 million in one-time money out of the budget before sending it to the House floor on Monday, but the Senate is expected to put that money back when the budget reaches the upper chamber.

—A bill passed in House Education Committee today would take the Legislature out of the business of approving college tuition increases. Speaker Pro Tem Walt Leger, D-New Orleans, said that his House Bill 174 would offer more stability in financial planning by not having to count on the Legislature to pass increases. Louisiana is the only state in the nation that requires a two-thirds legislative approval for tuition increases. The state's public colleges also have among the lowest tuition costs in the country. University presidents were on hand to testify for the bill, which passed the committee, 13-4. Opponents argued that successive tuition increases would in effect be a massive tax increase on students and their families. They also warned that the administration, as it has done in recent years, could continue reducing state support equal to the amount of tuition increases, resulting in no net gain for universities.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

'Real Estate Weekly': Studio head rooting for Costco deal to close

Daily Report staff — Tue, 30 Apr 2013 14:03:00 EST

Costco is interested in the former site of a Coca-Cola bottling facility off Airline Highway, and East Baton Rouge Parish officials are pushing for a tax increment financing district to help close the deal. Patrick Mulhearn, who directs studio operations for Raleigh Studios Baton Rouge at the nearby Celtic Media Centre, is among those hoping the deal goes through. He says Celtic already is leasing a building on the site, and Celtic tenant Pixomondo is moving in. "We have gone ahead and renovated it, with the understanding that we're going to be able to acquire it," Mulhearn says. The problem is that Celtic only is interested in about six or seven acres of land, but Coca-Cola wants to sell the approximately 26-acre tract all at once. If Costco buys the land, Mulhearn says, then Celtic could buy what it wants from Costco. Celtic may build a mill shop on the new property, where sets could be constructed and decorated. Universal Pictures has booked space at Raleigh for a possible big-budget film—the specifics have not been announced, although most observers assume it will be Jurassic Park 4—and the extra space could be useful for parking, Mulhearn says. —David Jacobs Read the rest of the new Real Estate Weekly e-newsletter here.

How lame of a duck is Gov. Jindal?

John Maginnis — Tue, 30 Apr 2013 13:57:00 EST

Even before Gov. Bobby Jindal scrapped his tax swap plan, the chatter about the Capitol was that the inevitable lame-duck phase of his second term was starting early. He went on for a week calling for an income tax repeal, though without a plan to pay for it, until all such bills were buried in committee without even a hearing.A day later feisty House members actually passed a tax—albeit only 2 cents a month on cell phones to aid the hearing impaired—despite furious texting from the governor's staffers that they cease and desist.The major achievement of his second term, broad changes in public education from vouchers to tenure, remains mired in court, the constitutionality of its legislation in question. Jindal is not standing in the way of efforts to delay his new teacher evaluation system and changes in pension benefits for new state employees.His slumping approval ratings, caused by his incessant budget cuts and out-of-state politicking, limit his ability to put public pressure on legislators.Worse still, he is running low on borrowed money that he uses to offer to fund local projects as a way of getting legislators to do his bidding.As one state senator sums it up: "The governor is broke. Now we decide what's right and wrong."An interesting concept. But how much the lamer the governor is in relation to the Legislature depends on who is trying to do what.Compared to last year, when he rammed through his education package, it is much harder now for the governor to get the Legislature to do something big, especially without solid public support. Such was the case with his quest to repeal income taxes and raise sales taxes.No amount of his speeches to Rotary clubs or TV commercials paid for by his rich friends (who had the most to gain) could overcome the angry phone calls to legislators' district offices from small business owners and retirees, who objected to new and increased sales taxes.As for those education changes to teacher tenure and hiring rules: If an eventual Supreme Court ruling does not go the governor's way, it will be a lot harder for him than it was last year to get the Legislature to pass do-over bills that conform to the constitution.Yet, when he is not trying to impose his will on the Legislature, the governor maintains the strong advantage playing defense, especially with Republican majorities in both chambers.House Democrats were unable to get a bill out of committee to force the governor to accept the expansion of Medicaid under the Affordable Care Act, even with editorial and public opinion on their side.Over in the Senate, not all Republicans agree with the governor's position, but they sense the futility of crossing him, as long as he wields veto power, which takes a two-thirds vote to override. The same goes for those who want to put a cap on the free college tuition program TOPS, or who want to raise revenue by increasing tobacco taxes or eliminating exemptions. Even a lame duck can get his back up and hold his ground.Also, legislators have had little success in challenging Jindal's executive authority. The biggest thing going on in state government is the transformation—some would say dismantling—of the LSU hospital system. The governor cannot close a public hospital without legislative permission, but turning its management over to private hospitals and laying off its state workers take only the signing of contracts to redirect the flow of hundreds of millions of state and federal dollars. According to an attorney general's opinion, approval by legislators is not required, and they do not appear willing to press that issue.Somewhere in the middle of the power struggle lies the budget, where the governor is meeting resistance from both wings. Democrats complain about deep cuts; and conservative Republicans object to using one-time funds, not-yet realized sales of assets, and other forms of what they consider funny money. But since Democrats and less hawkish Republicans cannot countenance further cuts, Jindal figures in the end to get a budget much like the one he presented from the start.Overall, the governor's power to press legislators to enact big initiatives is not what it used to be, but then their ability to force changes on him is about where it has always been.

LaPolitics by Maginnis: How lame of a duck is Gov. Jindal?

John Maginnis — Tue, 30 Apr 2013 13:52:00 EST

'Business Report': Jindal paying political price for flirting with national politics, tackling big issues at home

Daily Report staff — Tue, 30 Apr 2013 13:48:00 EST

On the heels of a failed tax swap proposal—which was to be his top priority this legislative session—and facing some of his lowest approval ratings since taking office, Gov. Bobby Jindal has perhaps never been a more popular target for his critics. Along with encountering resistance while taking on big issues at home, Jindal's frequent trips out of state to promote the GOP are increasingly under fire. Former Florida Gov. Jeb Bush, a Republican, is sympathetic to Jindal, suggesting the governor is paying a political price for taking risks. "You can be popular and not do much, or you can invest your political capital in significant policy changes," Bush says. "[Jindal has] been bold and a little controversial. He's probably wearing people out a little bit. He fits into the category of a risk taker, and that may yield lower popularity." Even high-profile Democratic political strategist James Carville cautions the governor's growing flock of critics against writing his political obituary just yet. "There's no doubt he's taken on some water," Carville says. "He outran his supply lines on the tax bill. But he still has a lot of power, and has a lot of time left in his term. He's an energized, bright guy. Be careful about throwing dirt on him." Read the rest of the new Business Report cover story here; and send your comments to editors@businessreport.com.

THRIVE founder up for national award

Tue, 30 Apr 2013 10:33:00 EST

Sarah Broome, founder of the THRIVE charter boarding school in Baton Rouge and a 2012 Business Report Forty Under 40 honoree, is one of nine women from across the United States who are up for a Lady Godiva award and grant. The awards honor women "who exemplify the values of selflessness, generosity and leadership on a national or global level," according to The Lady Godiva Program. Broome is a semifinalist in the Children, Families and Poverty category, which is one of three. Online votes will determine one honoree in each of the three categories, with each receiving a $3,000 grant for her work. One of those three honorees will later be selected for a $10,000 grant. You can find Broome's and the other semifinalists' profiles, as well as cast your vote, here.

'Green Colleges' guide features LSU

Tue, 30 Apr 2013 10:30:00 EST

LSU is among 320 U.S. colleges and two Canadian schools included in The Princeton Review's Guide to 322 Green Colleges: 2013 Edition, LSU announced today. The LSU flagship campus is "committed to the issues of sustainability on campus, and its Campus Committee for Sustainability is leading the charge," says the guide. The sustainability committee was established in 2008 to create an inventory of the campus's existing carbon footprint, document LSU's existing efforts toward achieving sustainability, develop an action plan to improve sustainability efforts, and promote public awareness of those efforts. Green action taken at LSU and highlighted in the Princeton Review guidebook are: employing a sustainability officer and providing guidance on green jobs; developing programs that reduce the number of vehicles on campus, including a bus service study, restricted parking, a guaranteed ride home program, and a bike share/rent program; and having 44% of food expenditures directed toward local and organic food or food otherwise produced in an environmentally responsible fashion. LSU has more on the announcement and its green efforts here; and you can also check out the complete guide here. Aside from LSU's flagship campus in Baton Rouge, the only other Louisiana campus to make the list is Tulane.

La. small businesses slightly reduce jobs in April, index says

Tue, 30 Apr 2013 10:24:00 EST

The good news from Intuit Payroll's Small Business Index released this morning is that U.S. small businesses added an estimated 20,000 jobs in April. The bad news is that Louisiana didn't contribute to that rise. Small business employment in the state was down 0.01% in April, according to the index. Meanwhile, a statement accompanying Intuit's separate index on revenue says, "Small business revenues are gradually recovering from recessionary depths, but are just now reaching levels seen before the recession began in 2007." The revenue index indicates that small businesses overall saw a revenue decline in March of 0.4%. Among the industries tracked by the index, only construction saw an increase in March. Average monthly pay for small business employees decreased to $2,676 in April, about a 0.4% decline from March; and monthly hours worked decreased 0.8% in April, at approximately 104.9 hours. Intuit compiles its index figures from approximately 186,000 small-business customers using its online payroll systems.

Consumer confidence rebounds in April

Tue, 30 Apr 2013 10:24:00 EST

Americans' confidence in the economy jumped this month, helped by a better outlook for the job market and widespread expectations for higher pay. The Conference Board, a New York-based private research group, reports today that its consumer confidence index rose to 68.1 in April. That's up from a reading of 61.9 in March, bringing the index back to its February level. Consumer confidence is watched closely because consumer spending accounts for about 70% of U.S. economic activity. Despite several brief spikes, the confidence index remains well below the 90 reading that indicates a healthy economy—a level it hasn't reached since the Great Recession began in December 2007. The April gain in confidence was driven by greater expectations for growth in hiring and income over the next six months. Confidence fell sharply in March, coinciding with a weak month of job creation. Employers added just 88,000 jobs in March, down from the previous four months, when job growth averaged 220,000 a month. But many economists say the slowdown was temporary and that hiring likely has picked up this month. The Labor Department releases its April employment report Friday. Economists forecast that employers added 160,000 jobs. The Associated Press has more details from the report here.

Professional athletes team up to buy Mid City building

Stephanie Riegel — Tue, 30 Apr 2013 10:22:00 EST

Baton Rouge native and former NFL player Anthony Kimble, now a business consultant, has acquired the building at 4242 Government St., along with former LSU athlete Tyrus Thomas, and plans to turn the property into shared space for artists, architects and other creative professionals. "This has been a dream of mine since moving back to Baton Rouge last year," says Kimble, who went to high school at LSU Lab. "We want to really focus on developing shared creative space for artists in the community, and this is the perfect neighborhood for the type of tenant we want to attract." Joining Kimble and Thomas—who is currently with the NBA's Charlotte Bobcats—in the venture is Glen "Big Baby" Davis, also a former LSU basketball star, now with the Orlando Magic. Though Davis will not have an ownership stake in the building, he will be involved in its redevelopment with his two high-school buddies. Already, the three have several shared business and charitable ventures together. The renovation of 4242 Government St., which Kimble and Thomas acquired Monday for $400,000 from the owners of the soon-to-be-shuttered Bible and Book Center, is their latest endeavor. Kimble says the renovation should take about six months and says the space should be ready by the end of the year. In addition to several creative suites, the building will house Kimble's consulting business, Aoot Branding & Management, as well as foundations that both Thomas and Davis have created to help inner-city youth. Says Kimble: "We want to be part of moving Baton Rouge forward." —Stephanie Riegel

News roundup: La. Revenue Department encourages electronic filing as deadline nears … Corps awards $41M contract to raise levee … U.S. employment compensation up in 1Q

Tue, 30 Apr 2013 09:53:00 EST

Time to file: As the May 15 state individual tax filing deadline approaches, the Louisiana Department of Revenue is encouraging taxpayers to file electronically for the quickest return. Paper filers can expect to wait as long as four months, says LDR Executive Counsel Tim Barfield, while taxpayers who file electronically can expect their refunds in an average of 10 business days. You can get complete details and file online here.People get ready: The U.S. Army Corps of Engineers has awarded a $41.6 million levee enlargement contract for the west bank of Plaquemines Parish to create protection from a so-called 50-year storm. The Times-Picayune reports the 30-month contract with Nevada-based Target Construction stipulates that 8.2 miles of earthen levee between Oakville and La Reussite will be raised to an elevation between 7.5 and 9 feet. Construction is expected to be complete in late 2015.Ups and downs: Americans' wages increased at a faster rate from January through March than during the previous quarter, but their benefits barely grew. The Labor Department reports an index that measures wages and benefits rose 0.3% during the first quarter. That's down from a 0.4% gain in the October-December quarter and the smallest gain in a year. Wages and salaries rose 0.5%, up from the 0.3% gain in the previous quarter. Benefits, which include health insurance and pension contributions, rose just 0.1% after a 0.6% rise in the fourth quarter.

Today's poll question: When was the last time you got a raise?

BP's profit triples in 1Q, but Gulf oil spill liabilities remain uncertain

Tue, 30 Apr 2013 09:52:00 EST

British oil giant BP says its first-quarter profit nearly tripled as it recorded a big gain from the sale of its 50% stake in a Russian joint venture. The company has reported its profit attributable to BP shareholders for the three months ended March 31 was $16.86 billion, compared to a profit of $5.77 billion a year earlier. Revenue in the quarter rose 10% to $107.21 billion, compared to $97.42 billion a year earlier. BP completed the sale of its interest in TNK-BP to Rosneft on March 21, for a total of $27.5 billion in cash and Rosneft shares. The gain on the sale was $15.5 billion for BP. As for its continuing liability from the 2010 Gulf of Mexico oil spill, BP says its total cumulative charge for the disaster remained at $42.2 billion at the end of the January-March quarter. There persists significant uncertainty, however, about what its total financial exposure will be, BP says. The first phase of a civil trial in federal court in New Orleans ended earlier this month. The second phase is set to begin in September. Billions of dollars are at stake. "While the final decision rests with the court, BP believes the evidence and testimony presented at trial confirms that it was not grossly negligent and that the accident was the result of multiple causes, involving multiple parties," the company says in a statement. The Houston Chronicle has more details from today's report here.

First Community Bank shareholders OK acquisition by Investar

Mon, 29 Apr 2013 15:26:00 EST

The shareholders of Hammond-based First Community Holding Co. today approved a previously announced acquisition by Baton Rouge-based Investar Bank. The deal, which was first announced in January, is expected to close May 1, according to a release from Investar. The conversion of the First Community branches to Investar locations will take place June 20-23. Until then, "First Community customers will see no changes in their banking services and should continue to use their checks, make loan payments, conduct online banking and take advantage of other First Community services as before," reads the statement. Following the deal, Investar will have nine total branches. More details can be found here.

La. spent $800M on film tax credits over 5 years

Mon, 29 Apr 2013 15:24:00 EST

A new audit says Louisiana shelled out $800 million over the last five years in tax breaks for the film industry. And the review released today by the Legislative Auditor's Office suggests the state's coffers get little in return for the expense. For example, the audit says the state spent $197 million tax credits for production projects in 2010—and received $27 million in tax revenue. Supporters of the program say the industry has created thousands of new jobs. Critics question whether Louisiana gets enough return on its investment. LED says a recent analysis estimated that every $1 issued in film tax breaks generates $5.71 in economic output. But the state also loses at least 85 cents in tax revenue for every $1 it spends. The process for granting credits could be strengthened if LED had some authority in selecting the certified public accountant used by the production companies to audit its cost reports, the audit states, adding that LED also did not collect all the required transfer processing fees. LED Secretary Stephen Moret says LED is in agreement with the auditor's findings for the most part. "We agree that the Motion Picture Tax Credit program has a positive return on investment from a state economic-impact perspective but a negative ROI from a state fiscal perspective," says Moret in a prepared statement, adding that LED only disagreed with a "couple of relatively minor findings concerning the collection of fees and the calculation of rates in limited situations where state law changed during the course of certain productions."

Downtown Grocery begins filling food void downtown

April Castro — Mon, 29 Apr 2013 15:19:00 EST

Toothbrushes, bread and wine have been the hot sellers at Baton Rouge's first downtown grocery store since it opened last Thursday with little fanfare. While not a full-service grocery store, Downtown Grocery at the corner of Third and Florida streets, is the closest thing to it downtown. As evidence of that, the small grocer had completely run out of bread by Saturday. White bread, wheat bread, hamburger buns—it was all gone, says co-owner Michael Matroodnejad. "It's been a good crowd," Matroodnejad says, "a lot better than expected on the first day." Doors opened on Thursday morning for a "soft" opening, but the grand opening and ribbon cutting won't take place until Monday, May 6. In addition to increasing bread supplies, Matroodnejad says he plans to stock more toothbrushes and wine, which have been popular with tourists. DDD Executive Director Davis Rhorer says even though the grocery store is small, it fills a void downtown. The store will stock Louisiana-made items such as Community Coffee, Tabasco, Tin Roof beer and produce from local farmers. Matroodnejad says patrons also are being encouraged to suggest items they'd like to see on the shelves. On his list so far: pantyhose and roach spray. —April Castro

Bill would require LSU, Southern to name scholarship recipients

Mon, 29 Apr 2013 15:13:00 EST

So far, Senate Bill 31 by Republican Sen. Dan Claitor of Baton Rouge has encountered surprisingly little opposition, sailing through a Senate committee and the full Senate with little notice or fanfare.Surprisingly, because the bill takes on one of the longtime sacred cows of higher education in Louisiana: It requires members of the LSU and Southern University boards of supervisors to disclose the names of recipients of scholarships they award each year, information they can presently keep private.But the bill's smooth sailing may end as it makes its way toward the House. An editorial about the legislation by Sam Hanna Jr. that appeared last week in three north Louisiana newspapers is generating quite a buzz in that part of the state among those who would prefer to keep the names of scholarship recipients out of the public domain."People are telling me, 'Boy, you touched a nerve up here,' " says Hanna.Members of the LSU and Southern boards of supervisors are able to award 20 discretionary scholarships per year. Claitor's bill would require them to disclose the names of the recipients, how much they receive, and whether the awards consist of tuition waivers, cash or both.So far, Rep. Steve Carter, R-Baton Rouge, who chairs the House education committee—the bill's next stop—says he has not heard of any opposition on the House side."We have so many other things going on right now, I don't think it's on anyone's radar yet," Carter says. "It may just slip through the cracks."Perhaps; but supporters of the measure aren't so sure and predict a fight—provided the House even makes time on the calendar to take up the bill."This is one of those sacred cows that no one wants to tackle," says Hanna. "People are opposed to it, even though they shouldn't be, because they're terrified their names are going to appear in print."

News roundup: LSU suspends running back Hill following arrest … Louisiana House committee votes to phase out solar energy tax credits … Bill to phase in property tax payments backed

Mon, 29 Apr 2013 15:07:00 EST

Off-field fumble: LSU has indefinitely suspended its leading running back, Jeremy Hill, following his weekend arrest in connection with an alleged bar fight near the campus. Hill was already on probation after he pleaded guilty in January 2012 to misdemeanor carnal knowledge of a juvenile. Following the early Saturday incident, he was charged with simple battery, also a misdemeanor. LSU coach Les Miles announced the suspension today in a brief emailed news release, saying he will let the case "play out through the legal system" before commenting further.

Blocking out the sun: Louisianans receiving solar energy tax credits could see those incentives phased out under a bill passed in committee today, The Times-Picayune reports. The legislation was introduced as the state's clean energy tax credits are coming under increased scrutiny due to a ballooning price tag and questions from the state's power companies. Rep. Erich Ponti, R-Baton Rouge, is sponsoring House Bill 705. Read the full story here.

Spreading it out: A House committee agreed that property owners whose tax assessments increase by 15% or more in one year should be able to spread the increase over three years. House Speaker Chuck Kleckley, who sponsored the bill, says the proposal would allow for splitting the total increase and paying one-third of it annually on top of the base amount of the tax bill. The House Ways and Means Committee backed the measure without objection. It moves next to the House floor. If approved by the House and Senate, the constitutional change would need approval from voters in November 2014 to take effect.

Capitol Views: Committee cuts and passes governor's budget

John Maginnis — Mon, 29 Apr 2013 15:01:00 EST

In a maneuver not expected to be permanent, the House Appropriations Committee today took out all of the one-time money, nearly $500 million, from the governor's budget and sent the amended budget to the full House. "This is to remove all the one-time money so the bill can be heard on the floor," said Chairman Jim Fannin, D-Jonesboro. The reduction is meant to get around a recent House rule that would require a two-thirds vote before the budget could be heard if it contains more than $200 million in non-recurring funds. The cuts fall most heavily on higher education and health care, which make up most of general fund spending. Fannin's move is designed to get the budget bill to the Senate, where those deep cuts are expected to be restored. If the Senate does what it did last year, it will restructure the bill to match up one-time funds to one-time expenses, which will conform to the House rule when it returns to the lower chamber. When the strategy was first reported last week in LaPolitics Weekly, the so-called fiscal hawks labeled it as an end-run on their attempt to limit the use of one-time money. "No one wants a bogus amendment just to move the budget forward," said Rep. Brett Geymann, R-Lake Charles. "That's ridiculous." But other legislators see it as the only way out of the latest budget bind. Fannin said the appropriations bill will be heard in the House on May 9.

(John Maginnis will publish a daily update throughout the legislative session on Daily Report PM. The report is also available to LaPolitics Weekly subscribers on the Subscribers Only page at LaPolitics.com. Registration is available on the homepage.)

Louisiana Public Broadcasting is providing a daily video update featuring highlights of the session, which you can see beginning at 6 p.m. here.

La. agriculture hits record-high value in 2012

David Jacobs — Mon, 29 Apr 2013 14:59:00 EST

Agriculture pumped $11.4 billion into the Louisiana economy in 2012, according to the LSU AgCenter. That's up 6.5% compared to 2011 and represents a record high in the 35 years the AgCenter has been reporting the numbers. High prices and record yields for corn and soybeans were the main drivers of the new high, says AgCenter economist John Westra. Drought conditions in other parts of the country pushed up prices for feed grains, which are mostly corn. The fisheries industry saw a 40% increase in "landings" from 2010 to 2011; unlike other numbers in the AgCenter report, there's a one-year lag time on fisheries statistics because of how the data is collected, reflecting a recovery from the BP oil spill of 2010. "We don't know what the long-term impacts from the Deepwater Horizon oil spill may be," Westra says. "Only time will tell." About 1.4 million sacks of oysters were collected in 2011, a big jump from 2010 but still short of the 1.9 million sacks harvested in 2009. A more detailed explanation of the AgCenter report can be read here. —David Jacobs

Executive Spotlight: Kathy Trahan

Mon, 29 Apr 2013 14:40:00 EST

Before taking over as president and CEO of the Alliance Safety Council, Kathy Trahan had previously worked at PPG as an operator and instrument manager, in addition to having taught at McNeese State. She was petrochemical training director at Baton Rouge Community College when she realized her ambition to head up the safety council. Since landing the job, Trahan says she has aimed to make ASC more decentralized by getting closer to the members through the Internet, as well as opening satellite offices in Gonzales and Addis. Last year, more than 120,000 people received training from the council, and Trahan's staff has grown from about 15 people to more than 68. You can find the full Q&A with Trahan from the new issue of Business Report here. The following is a sample of what you'll find:
What is your favorite weekend activity?
"I own several horses, so I spend a great deal of time working with them. When I'm not mucking horse stalls, I'm out hunting for architectural salvage. I've been slowly renovating my house over the past several years, adding reclaimed elements from my weekend hunting expeditions."

'Business Report' planner: Overton talks Gulf oil spill and La. impact … Business Solutions Summit for Health Care Reform is Friday … Capital Region 101 aims to welcome and assist newcomers

Mon, 29 Apr 2013 14:38:00 EST

Tuesday — Ed Overton, professor emeritus of environmental science at the LSU School of the Coast & Environment, will discuss the events of the BP oil spill and details about the oil and its impact on Louisiana as featured speaker of LSU's Science Caf� at Chelsea's, 2857 Perkins Road. Networking and dining begin at 5 p.m., with the program to start at 6 p.m. The event is free. More details can be found here.

Friday — LABI and Blue Cross and Blue Shield of Louisiana host the Business Solutions Summit for Health Care Reform at L'Auberge Casino & Hotel, 14777 River Road., from 7:30 a.m. to noon. The conference will provide employers with a general overview of the Affordable Care Act. Registration ranges from $40 to $60. You can find complete details and register online here.

Saturday — BRAC holds Capital Region 101, an event to welcome and assist newcomers to the region, from 9 a.m. to noon at the seventh-floor offices of Kean Miller in II City Plaza, 400 Convention St. Short presentations, a brief tour, and an opportunity to ask knowledgeable locals a variety of questions are planned. Anyone new to the area is invited to attend the free event. You can get more details on it and register here.

The Business Report planner is open to events of general interest to the Capital Region business community. Items must be submitted no later than noon Friday before the event occurs. Email ssanoski@businessreport.com with information.

For the full list of upcoming events, click here.

Offshore workers 7 times more likely to die on the job, study says

Daily Report staff — Mon, 29 Apr 2013 10:38:00 EST

The chance of getting killed while working in the offshore oil and gas industry is seven times higher than for all workers in the United States, according to a new study by the Centers for Disease Control and Prevention of offshore fatal injuries between 2003 and 2010. As The Times-Picayune reports, it's getting to work that is the most dangerous part of an offshore worker's job. The study concludes that 65 of the 128 deaths during the seven-year period studied, or 51%, were attributed to transportation accidents, and 49 of those involved helicopter accidents, all in the Gulf of Mexico. "Catastrophic events like the Deepwater Horizon explosion attract intense media attention, but do not account for the majority of work-related fatalities during offshore operations," says an editor's note accompanying the study. "This report found that transportation events (specifically helicopter crashes) were the most frequent fatal event in this industry." The study also points out that since the adoption of new technology in late 2009 that uses satellites to send weather and other emergency information to air traffic controllers and aircraft, no fatal weather-related helicopter crashes have occurred in connection with oil and gas operations. The note also recommends that the oil and gas industry adopt aircraft operation guidelines developed by the International Association of Oil and Gas Producers that have more stringent safety requirements than Federal Aviation Administration rules. Read the full story here.

Brown-Vitter banking bill 'changes everything,' former IMF economist says

Daily Report staff — Mon, 29 Apr 2013 10:34:00 EST

A bipartisan bill by Republican Sen. David Vitter and Democratic Ohio Sen. Sherrod Brown that aims at ensuring banks are not "too big to fail" is one that "changes everything," says Simon Johnson, who served as chief economist at the International Monetary Fund in 2007 and 2008, in a Bloomberg column. "The news isn't that Brown wants to make the financial system safer," says Johnson, noting that the senator has long made it a top priority. Rather, Brown says, the big news is that a conservative such as Vitter is now pressing the proposal, which would, among other things, require all banks with more than $500 billion in assets to hold a safety cushion of at least $15 in equity capital for every $100 in assets. The bipartisan push makes it all the more likely that the bill will be passed and the financial system will be strengthened, he says. "Intellectually, the tide has turned," Johnson writes. "The dangers of reckless behavior by global megabanks are now understood much more broadly. And Brown-Vitter provides an appropriate road map for addressing some of the core problems and making the financial system significantly safer." Read the full column and access the complete bill here. Meanwhile, The Washington Post also penned an editorial Sunday praising the bill. You can find it here.

After more than five decades, Bible and Book Center closing

Stephanie Riegel — Mon, 29 Apr 2013 10:18:00 EST

The Bible and Book Center at 4242 Government St. will close its doors for good on Saturday after 54 years in business. Competition from online retailers and big-box stores, which carry many of the Christian book series that have been a main staple of the shop's merchandise mix, have taken a toll, and the family-owned business can no longer compete, says owner Janet Dearman. "When we bought the business, there weren't any chain bookstores in town," says Dearman, whose parents, Jim and Billie Sykora, bought the store from its original owners in 1980. "Once Sam's and Walmart came into the market, things started to change." Online retailers exacerbated the problem, then Hurricane Gustav in 2008 forced the shop to remain closed for a week. "That was sort of the nail in the coffin," says Dearman. "We never really recovered from that." The Bible and Book Center is the last independently owned, non-denominational Christian bookstore in Baton Rouge, according to Dearman, though there are two Catholic bookstores on Florida Boulevard as well as the nationally owned Life Way on Bluebonnet Boulevard. The 15,000-square-foot building that has housed Dearman's store will be sold today for $400,000, and the new owners plan to redevelop the space into apartments and offices, though Dearman declines to elaborate until after the sale closes. —Stephanie Riegel

BRAC praises Turner in wake of racism lawsuit

Mon, 29 Apr 2013 10:11:00 EST

In response to a lawsuit filed last week against Turner Industries Group by a former employee who says racial discrimination against black workers has been ignored by the firm, BRAC has issued a statement praising Turner for its "strong community commitment … for over fifty years." While BRAC refers to the statement as "comments on allegations" against Turner, it never directly addresses the discrimination charges. Instead, it lists various service organizations Turner has supported in the Capital Region through the years. One organization BRAC doesn't list in the statement is its own, despite the fact that Turner is an "executive council" investor, giving $50,000 annually to the economic development organization. "Turner Industries is the largest private employer in the Baton Rouge area," BRAC says in its statement. "Overall, the company has proved itself to be committed and focused on improving the region, creating opportunities for all, and setting an example for corporate stewardship." BRAC also says Turner has "demonstrated a deep commitment to helping all people get careers, specifically those who are under- and unemployed." A Turner attorney has said the company will not be commenting on the latest allegations of discrimination or on previous cases brought against the company that have included similar allegations.

House committee working on 2013-14 budget

Mon, 29 Apr 2013 09:51:00 EST

Louisiana lawmakers are making their first changes to Gov. Bobby Jindal's $24.7 billion budget proposal today for the next fiscal year in the House Appropriations Committee. Among the largest points of contention facing those at the committee hearing is whether to use piecemeal financing from land sales, legal settlements and fund sweeps to pay for ongoing programs and services. The Associated Press reports conservative House Republicans say the patchwork budgeting causes repeated cycles of financial problems, leaving lawmakers to scramble to fill gaps when the dollars fall away. Supporters of the one-time funding, including the Jindal administration, say without those dollars, health care and higher education budgets would undergo unnecessary slashing. House leaders want to strip the patchwork funding in today's committee, to get the budget through the House—and to then reinstate some of the money in the Senate.

News roundup: Americans increased spending last month … GOP backs oil-gas benefit for renewable energy … SBA administrator calls entrepreneurship 'America's secret sauce'

Mon, 29 Apr 2013 09:37:00 EST

Ringing it up: Americans kept increasing their spending in March and their income grew. The Commerce Department reports this morning that consumer spending rose 0.2% in March from February. That followed a 0.7% jump in February and a 0.3% gain in January. Income increased 0.2% last month, following a gain of 1.1% in February. After-tax income also rose 0.2%. The Associated Press has more details in the full story here.What's good for the goose: Renewable energy developers may get some tax benefits from Congress that only oil and gas companies have enjoyed until now, Bloomberg reports. A bipartisan bill introduced in the Senate last week would allow renewable and clean energy-related companies to structure their businesses as master limited partnerships, thereby avoiding double taxation while also trading ownership interests on the market, similar to corporate stock. The bill is receiving support from both parties. Read the full story here.Pouring it on: In a guest column for the The Washington Post today, Karen Mills, administrator for the U.S. Small Business Administration, says, "Entrepreneurship is America's secret sauce," adding: "It's what built the greatest economy in the world and the strongest middle class. It's what fuels American innovation, makes our industries more globally competitive and creates new jobs across our economy." While growing in recent years, Mills says, new business starts remain below pre-recession levels. Find out how the SBA plans to change that by reading Mills' full column here.

Today’s poll question: Do you support a bill that would allow people to carry concealed weapons into Louisiana restaurants that serve alcohol?

B.R. gas prices dip 9th week in a row

Mon, 29 Apr 2013 09:34:00 EST

With another 3-cent drop over the past week, the average price of a gallon of regular, unleaded gas has now fallen for nine straight weeks in Baton Rouge. Gas is selling for $3.23 as of this morning, according to the AAA Daily Fuel Gauge Report. That's about 11.5% less than it was selling for—$3.65—when it began to trickle down more than two months ago. One month ago, the local average was $3.44, and one year ago it was $3.69. The Baton Rouge average continues to be less than the Louisiana average, $3.28, and the U.S. average, $3.50. AAA attributes falling prices across the country in recent weeks to "low demand, continued disappointing economic news and lower crude oil prices." You can check out the complete AAA Daily Fuel Gauge Report here.

Lawmakers say LSU deals keep information from the public

Daily Report staff — Fri, 26 Apr 2013 15:16:00 EST

Lawmakers are raising questions about whether the LSU privatization agreements devised by Gov. Bobby Jindal's administration permit enough public scrutiny of the hundreds of millions of dollars at stake. The Associated Press reports the concerns were voiced today as the Legislature's joint budget committee reviewed agreements to turn over management of LSU's Lafayette and New Orleans hospitals to nonprofits that run private hospitals. Committee members also say information is murky on the cost of the deals and how they will affect the state budget annually. LSU and Jindal administration leaders told lawmakers that the privatization efforts will lower state costs while also improving patient access to care and maintaining medical training programs. Lease arrangements have been approved for two of LSU's nine public hospitals. Jindal intends to negotiate deals for six others.

2013 LSU 100 rankings released

Daily Report staff — Fri, 26 Apr 2013 15:11:00 EST

Along with honoring at a luncheon today those included on its third annual listing of the 100 fastest-growing businesses led by Tiger alumni, the LSU Stephenson Entrepreneurship Institute released a complete ranking of the businesses on the list. Cordina New Orleans Cocktails (of New Orleans) took top ranking, while Houston-based Shoreline Energy was No. 2, and a pair of Baton Rouge-headquartered firms—Utiliworks and Immense Networks—took the No. 3 and No. 4 spots. The 2013 class consists of nine business that are veteran owned, 14 that are family owned, 30 that operate internationally, and 25 that are on the list for the third straight year. Other Capital Region-based firms in the top 25 include: Launch Media (6th), Coastal Ecology Group of St. Francisville (11th), Interior Web Design (12th), Stuart & Company General Contractors (16th), PreSonus Audio Electronics (19th), Last In Concepts (20th), Composite Effects (21st) and Gladden Sales Inc. (25th). You can find the full rankings here.

News roundup: Kelley Construction Inc. opens Gonzales office … Louisiana Video Gaming Association launched … State unemployment insurance claims a mixed bag

Daily Report staff — Fri, 26 Apr 2013 14:53:00 EST

Setting up shop:Kelley Construction Inc. announced today the opening of its latest office in Gonzales. It is the second office location for the general contracting, commercial and industrial construction management firm, headquartered in Louisville. The company says in a statement that the Gonzales location is ideal because it's "strategically located in an area known for dense petroleum activity, a market Kelley has been serving for more than 30 years."

Game on: Video gaming industry leaders throughout the state have joined forces to establish the Louisiana Video Gaming Association. According to a news release issued today, the association was formed earlier this month in an "effort to improve communication among gaming industry members while monitoring legislation affecting their industry." The association is open to all "active professionals in the video gaming and video poker industry" and will soon launch a media campaign to increase membership, raise operating funds and publicize its message.

Ups and downs: Initial unemployment insurance claims for the week ending April 20 decreased to 2,619 from the previous week's total of 2,620, the Louisiana Workforce Commission reports today. Initial claims were also lower than the 3,076 filed during the comparable week last year. However, the four-week moving average of initial claims, considered a less volatile measure, increased to 2,337 from the previous week's average of 2,196. Continued unemployment insurance claimed for the week also increased to 22,934 from the previous week's total of 22,761.

B.R. representative plans to scale back movie credit bill

David Jacobs — Fri, 26 Apr 2013 14:43:00 EST

State Rep. Ted James, D-Baton Rouge, filed a bill for this session that would have slashed the value of the state's film incentives in half, made the credits non-transferable, and ended the state's buyback program for the credits. While James says he's not going to pull his bill, he plans to make changes to soften the impact it would have on the industry. He says he has learned the importance of credit transferability in funding small productions. He also says he has met with representatives of local people who work in the business behind the scenes. "I didn't want to do anything to hurt those guys," James says. "I still think we spend too much on the program." He says he'll continue to meet with industry representatives to find an appropriate way to tweak the program, and he hopes legislators will find ways to limit the budget damage from the state's myriad other tax breaks and incentives. "I don't think that the will of the Legislature is there to really take an honest look at our tax credits," James says. "We have folks that are still filing bills to enact more credits. I don't think that my colleagues are serious enough about the budget situation." However, he says there has been talk among lawmakers about reducing the cost of all credits by a certain amount, such as 5%. —David Jacobs

Local business owners closely watching Internet sales tax bill

Steve Sanoski — Fri, 26 Apr 2013 14:28:00 EST

The fate of the Marketplace Fairness Act—a federal bill requiring online retailers to collect and remit sales taxes just as brick-and-mortar stores do—is being closely watched by Baton Rouge retailers who stand to be impacted by it."I'm all for it, obviously," says Danny Plaisance, owner of Cottonwood Books on Perkins Road. "To be objective, if I was a vendor who sold books online all over the country, it would be very difficult, so I'd hate to have to be facing it. But in fairness, it does level the playing field."That's the general argument most brick-and-mortar retailers make when they're asked about the bill. Plaisaince says one only has to consider the decline of independent booksellers in Baton Rouge in the years since online shopping has gained popularity to see the truth in the argument."At our peak we had seven independent bookstores," in the city, he says. "Now I'm pretty much the only one left that has full service. It's gotten much more difficult for us, and I think this [bill] would certainly help us."Corey Tisdale, CEO of ShoppersChoice.com—which generates the majority of its revenue via online sales—says he doesn't support the bill and isn't convinced it's really about "leveling the playing field." Rather, he feels it will give large online retailers like Amazon.com—which is now supporting the bill after years of opposing the proposal—an unfair advantage over smaller online businesses such as his own.Nonetheless, while Tisdale acknowledges the effects of the bill will hurt his business in the short term, he says he's prepared if the bill is passed into law."Smart businesses always have a Plan B, so I have a Plan B," he says. "At the end of the day, I'm not scared. It's not going to end my business. I don't think it's fair, but that's life."Exemptions to the bill are still being discussed. The bill as currently written would exempt online retailers generating $1 million or less annually, and some lawmakers are pushing for that threshold to be raised to $10 million. Either way, Tisdale's company isn't going to be exempted. According to Business Report's 2012 listing of the largest local companies by revenue, ShoppersChoice.com was at No. 89, with 2011 revenues of nearly $32 million.Senators have agreed to end debate on the bill, setting up a final vote early next month. It remains uncertain whether the House will support it. President Barack Obama favors the measure.

OLOL performs first surgeries under LSU partnership

Daily Report staff — Fri, 26 Apr 2013 14:21:00 EST

Surgeons at Our Lady of the Lake's renovated Perkins Surgery Center on Tuesday performed the first surgery on a patient who would ordinarily have been treated at Earl K. Long Medical Center before its closure. That's according to a news release today from LSU Health Baton Rouge, a division of Our Lady of the Lake. The new surgery center is averaging 16 to 19 procedures a day, officials say, compared to last month's average of six surgeries per day at Earl K. Long. Since services and programs were transferred from EKL to OLOL on April 15, officials say, through April 25:
• A 1,200-prescription backlog has been cleared, and turnaround time has been improved.
• The urgent care clinic in north Baton Rouge has seen 442 patients.
• The number of residents on clinical rotations at OLOL increased from 73 to 163.
The original agreement to shut down EKL and transfer most of the public hospital's services was reached in 2010; you can read a Business Report cover story about that deal here.

Claitor to start construction on second phase of shopping center

Stephanie Riegel — Fri, 26 Apr 2013 14:19:00 EST

Jon Claitor says he is getting ready to begin construction on the 10,000-square-foot, second portion of his shopping center, Acadian-Perkins Plaza, at the corner of Perkins Road and South Acadian Thruway. Construction on the build-out is scheduled to begin in May, and will include seven retail spaces, five of which have tenant deals in the works, including a restaurant. Claitor tells Daily Report he expects to finalize those deals next week. Claitor has also signed a letter of intent with an undisclosed developer for the 12,500-foot-space that was occupied by CVS before fire destroyed the shopping center in January 2010. Claitor has signed a confidentiality agreement with the developer and cannot discuss specifics of the plans, which he says are related to family entertainment. —Stephanie Riegel

'225': First Impressions with Jordana Pomeroy

225 staff — Fri, 26 Apr 2013 13:56:00 EST

Jordana Pomeroy moved to Baton Rouge from Washington, D.C., in June 2012 to take the job of LSU Museum of Art executive director. Drawn to the job by the passion, exuberance and dynamism of the local art scene, Pomeroy has spent time here studying how the museum has evolved and how it can be better utilized. "I have focused on thinking about ways the museum can better serve LSU and the city," Pomeroy says. "This involves changes in our curatorial and educational programming, in fundraising, and updating crucial assumptions and decisions about how we are perceived." Check out Pomeroy's complete Q&A from the current issue of 225 here.

News roundup: La. Democratic Party leader says Medicaid expansion issue not dead … U.S. economy accelerates at 2.5% rate in first quarter … Texas town's blast crater shows risk of patchwork zoning laws

Daily Report staff — Fri, 26 Apr 2013 10:20:00 EST

He said, she said: Responding to a comment by House Speaker Chuck Kleckley on Thursday that he doesn't believe any proposal to tap into the federal Medicaid expansion money will win passage in the Louisiana Legislature this year, Louisiana Democratic Party Chair Karen Carter Peterson says it is "the height of fiscal irresponsibility to draw a line in the sand when we're just starting to negotiate." In a prepared statement, she adds: "[Kleckley's] voice is just one of many in this debate. The Senate will consider this proposal next Tuesday, and I look forward to working with my colleagues across the aisle to expand access to Medicaid health insurance for 400,000 Louisianans."On the rebound: U.S. economic growth accelerated to an annual rate of 2.5% from January through March, buoyed by the strongest consumer spending in more than two years. Government spending fell, though, and tax increases and federal budget cuts could slow growth later this year. The Commerce Department says that the economy rebounded from an anemic 0.4% annual growth rate in the October-December quarter. Consumer spending surged at an annual rate of 3.2%—its biggest jump since the end of 2010. Read the full story here.A hard lesson to learn: With two schools near a plant storing ammonium nitrate—the fertilizer used in the Oklahoma City bombing—West, Texas, Superintendent Marty Crawford says he had always worried about an explosion like the one that happened last week. "We crossed our fingers that that could never happen," Crawford said following the April 17 blast that killed 14 people, wrecked two schools, destroyed a nursing home, and left a crater 93 wide and 10 feet deep. As Bloomberg reports, Crawford's dilemma is echoed across the United States, where land use near plants handling dangerous chemicals is controlled by a patchwork of federal and state regulations, as well as zoning laws that are often more attuned to rights of property owners than those of people who live and work near industrial sites. Read the full story here.

Arts Council of Greater Baton Rouge names new CEO

Daily Report staff — Fri, 26 Apr 2013 10:15:00 EST

The Arts Council of Greater Baton Rouge announced this morning that it has hired a successor to former CEO Derek Gordon, who died in September. The new CEO is Eric Vaughn Holowacz, a South Carolina native who most recently served as arts and culture manager at the Mildura Arts Centre in Midura, Australia. There, he was responsible for a $2.2 million operating budget, facilities and assets of more than $25 million, and the artistic direction for multiple disciplines and venues. In a statement issued this morning, Arts Council Board Chair Cheri Ausberry says, "We knew the importance of finding the right individual to build upon the incredible imprint that Derek [Gordon] created for the arts in Baton Rouge." Holowacz was also previously producer and director of the Cairns Festival in Tropical North Queensland; founding executive director of The Studios of Key West in Florida; arts programs and services manager for Wellington City Council in the New Zealand capital; and executive director of a small coastal arts council and performing arts centre in Beaufort County, S.C. "After a global odyssey working to advance the arts, I am so looking forward to calling Baton Rouge my home," Holowacz says in a statement. Ausberry says Holowacz "has a knack for developing projects and collaborations that engage artists and communities in new and unique ways—often revolving around cultural identity, local heritage, creative process, and the expression of sense of place."