City to reveal details of downtown Audubon project

At a news conference this afternoon, city-parish officials will unveil the second component of a $989 million proposed bond proposition--a major one-of-a-kind tourism attraction in the form of a 220,000-square-foot nature center on the riverfront.

According to the proposal, the Audubon Nature Institute will run Audubon Alive, which will cost $305 million to build. It is contingent upon East Baton Rouge Parish voters agreeing to a 9.9-mil property tax and a ½-cent sales tax over a 30-year period, and upon the state agreeing to kick in $55 million. If the Metro Council gives the go-ahead, the measure likely will be put on the Nov. 4 ballot.

Audubon Alive, slated for completion in 2012, will offer four venues: Earth, Wind, Fire and Water. Among the attractions:

· An aquarium with hands-on activities and walk-through underwater environments;

· Virtual experiences similar to Disney's Soaring -- an interactive experience with 270-degree IMAX like view in a glider simulation;

· A fast-paced adventure attraction featuring HD film technologies and virtual reality;

· Weather- and storm-related interactive theater programming providing experiences of hurricanes and global-warming issues in the setting of the wetlands;

· Live animal encounters focused on habitat and species preservation;

· An indoor walk-through swamp with an interactive theater;

· Celebrations of local culture and heritage with Rythms & Blues -- a 900-seat theater with animal-centered live shows and performances.

An economic impact study done by the Audubon Nature Institute predicts the attraction will generate net earnings through job creation of $167 million in its first four years of operation, rising as high as $700 million by 2021. The Institute also estimates the project could prompt as much as $575 million in new spending in Baton Rouge during those initial four years and boost tax collections by as much as $30 million.

Audubon Alive also could create an estimated 5,000 new jobs by 2016.

For the full version of the story, click here. -- Penny Brown

Kyle says no strategy behind mayoral run

Last fall, former Legislative Auditor Dan Kyle helped manage Metro Councilman Wayne Carter's campaign for agriculture commissioner. So it might have come as a surprise Friday afternoon when Kyle qualified to run for mayor—especially since Carter had announced months ago he would challenge incumbent Kip Holden. There's been some speculation that Kyle entered the race as part of a strategy to force Holden into a runoff. The thinking is that Carter would pick up rural votes, while Kyle could peel away some of Holden's support in the south Baton Rouge business community. But Kyle says that isn't the case. "The only agreement I have with Wayne is may the best man win," he says. Kyle had considered running for mayor in 2004, but held off. "I kept saying I would get back in," he says. Kyle says he's still friends with Carter and compared their relationship to that of top-ranked tennis players Rafael Nadal and Roger Federer. "The way both of us are looking at this, we can't lose. One of us is either going to be mayor or have a good friend in the mayor's office," Kyle says. "It will be an interesting race."—Timothy Boone

Two Cents: Finally a governor with the guts to end the 'slush'

Sen. Yvonne Dorsey called Gov. Bobby Jindal "asinine" after his 258 vetoes in House Bill 1. Asinine is defined as "foolish, unintelligent, or silly; stupid." I would bet that few people, if any, would accuse Jindal of being any of these for his actions. We know Dorsey, as a state representative, had her “Serenity 67” slush fund, whose use was questioned on several occasions. And now she is angry because more than $300,000 was vetoed for the McKinley High School Alumni Association in her district. (How come the proud McKinley alums don't fund this organization?) Because of these vetoes, Dorsey, like so many other legislators, can no longer play Santa, doling out jobs and stockpiling political favors with their slush funds. There are many other government and nonprofit programs that provide the same type of services. She should assist her constituents by guiding them to these agencies or advising them to call 211 for aid through United Way (1,600 agencies listed). As for some of the other worthwhile services cut, let the churches or the community step up. Many, like Habitat for Humanity, Girl Scouts or YMCA, should be privately funded. Jindal is to be applauded for looking out for the taxpayers and making the tough decisions. Legislators now are discussing a veto-override session in August. Warning: If they thought the public was mad over their pay raise, just wait until they return to the Capitol to recapture their slush funds and pork. C'mon down! Send comments to editors@businessreport.com.—Rolfe McCollister

Jindal might be finished with vetoes

Gov. Bobby Jindal is expected to inform the House and Senate today that is he finished reviewing bills from the recent session, and that includes possible vetoes. Jindal has vetoed all or part of 31 bills this year. None were as emotionally charged, however, as the vetoing of lawmaker’s pay raises and more than $16 million worth of their pet projects. Angered by the red ink, some lawmakers now are calling for a veto session, where Jindal’s various vetoes can be overridden. Technically, they already have one on the books for Aug. 2-6. That’s because, by law, a veto session is scheduled 40 days following the close of a regular session and lawmakers must vote by mail to call it off.

House Clerk Butch Speer says his staff will be mailing veto packages Wednesday morning to lawmakers, and they have until July 28 to respond. It won’t be a light mailer, either. By contrast, former Gov. Kathleen Blanco barely vetoed half of the bills Jindal did during her final regular session last year. Moreover, Jindal had an astounding 258 line-item vetoes in House Bill 1, which contains the state’s spending plan. If you’re keeping track, that’s more than double the number of line items that all of Louisiana’s other governors have issued since 1996. “We have quite a few to send out,” Speer says.

It only takes a vote of one of the Legislature’s two chambers to cancel the veto session. If a veto session is held, all of Jindal’s vetoes are on the table, but it’ll take a two-thirds vote of each body for an actual override. Senate President Joel Chaisson II, a Destrehan Democrat, says Jindal sacrificed many worthy projects, and the governor might have circumvented the Legislature’s authority to appropriate. Still, it’s probably not worth a fight, or coming back to Baton Rouge this fall. "I would encourage all of my colleagues to unite and to refocus our energies and attention on the future and come up with ways which we can all improve this state and strengthen our government so that it functions in a way that is truly representative of all of our citizens," Chaisson says. —Jeremy Alford

NGOs mixed on Jindal’s cuts

A number of non-governmental organizations will see critical funds cut from their budgets as a result of Gov. Bobby Jindal’s 258 line-item vetoes from House Bill 1.

James Wayne, executive director for Capital Area Legal Services, says his organization, which requested $100,000 from the state, will be very heavily impacted by the denial of funding. “This money is strictly for the handling of cases,” Wayne says. “I will lose two lawyers right off the top—specifically, one of the ladies who handles violence-against-women cases. It is a very callous move. It’s very unfortunate because this is all about people who can’t afford to help themselves.”

But Kelli Stevens, the executive director for the Knock Knock Children’s Museum, says she is not discouraged by Jindal’s cuts. The museum had requested $250,000. “Really, I think he’s doing what he thinks is best,” Steven says. “Hopefully, we will be able to find resources through other foundations, individuals or corporations.”

Kelly Viator, executive director of the ALS Association, said the organization worked diligently to understand Jindal’s requirements for funding. Viator described the anxiety before learning the group’s funding request remained intact. “We did have confidence, but there was always the chance that we wouldn’t get it,” she says. “We worked very hard to show why these funds were important to our organizations and these funds specifically will help ALS patients throughout the state that otherwise are not receiving help.”—Olivia Watkins

State gaming board approves Belle loan

The Louisiana Gaming Control Board unanimously approved a $67 million credit agreement this morning for Tropicana Entertainment, the parent company of the Belle of Baton Rouge Casino. The agreement for debtor in possession financing essentially amounts to a loan from Silver Point Finance of Connecticut to supplement Tropicana’s working capital until it emerges from Chapter 11 bankruptcy. Officials said Tropicana is still getting positive cash flow from its properties and does not plan to sell the Belle or other properties; the new financing is an “insurance policy” to assure creditors the company will keep operating.—David Jacobs

Investar Bank buys Coursey property

Investar Bank has purchased a .9-acre lot on Coursey Boulevard and plans to open its second Baton Rouge branch there within the next year. The company paid about $472,000 for the land, which is next to The Chimes East. Two weeks ago, Investar bought some property along La. Highway 1 in Port Allen and planned to open a branch there by early 2009. Investar moved into its permanent home on Perkins Road between Essen Lane and Kenilworth Parkway at the end of May.—Timothy Boone

Real Estate Weekly: Metro home sales down, but home prices up

Real Estate Weekly has news on the number of homes sold in metro Baton Rouge during the first half of 2008 falling by 19% and average home prices increasing by 5%. Also: apartments near the Perkins Road overpass will be turned into condominiums, a local firm joins a Kansas appraiser, Maestri-Murrell Real Estate relocates and the latest columns from Tom Cook and Brian Andrews. To read the newsletter, click here.

News roundup: Lockwood continues as American Heart Association national officer; economist says surging costs 'clobbering' construction budgets; oil prices drop more than $10 a barrel

Second year in role: Debra Lockwood, executive vice president and chief financial officer of the Provident Group, has started her second term as secretary-treasurer of the American Heart Association. Lockwood oversees the national association's operations and revenue-generating opportunities. She has been a volunteer with the American Heart Association for more than 10 years. Rising fuel, asphalt and steel costs: A price index for construction materials has increased 10.4% over the past year, while the index for road construction shot up 18.9%, Associated General Contractors of America reports. Ken Simonson, chief economist for the AGC, says the surging costs for fuel, asphalt and steel are "clobbering" construction budgets. Simonson says the numbers are actually worse, because asphalt costs shot up as much as 40% over the past two weeks and rebar has gone up $200 a ton. For a recent Business Report story on construction costs, click here. Going down: Oil prices tumbled this morning as U.S. stocks sold off amid worries about the nation's economic health. Prices dropped more than $10 a barrel from their highest point of the day. At midday, light, sweet crude fell $6.27 to $138.91 in an extremely volatile session. The turnaround may not signal a lasting shift in sentiment—prices have swung violently in recent days as they flirted with record highs. Retail gas prices in the U.S. remained at a record near $4.11 a gallon, according to auto club AAA, the Oil Price Information Service and Wright Express. Diesel rose six-tenths of a penny to its own high of $4.83 a gallon.