DOTD head says state needs to better manage wrecks

Louisiana Secretary of Transportation Bill Ankner said this morning the state needs to come up with better ways to manage wrecks and breakdowns on highways to improve traffic flow. Ankner, who was part of the Louisiana Leadership Symposium at the BizTech Expo, says part of the problem is that in Louisiana, unlike other states, the state is not allowed to push heavy commercial trucks off the road because the state could be liable for damage to the contents. He says the state tends to erect signs for people who already know where they’re going, which needs to change. The department needs to change from a “landlord” model to a true transportation department that promotes more sidewalks and bike lanes. “We can’t build our way out of congestion,” Ankner says.—David Jacobs

FEMA to cover Ike recovery costs

The Federal Emergency Management Agency announced Wednesday that it intends to cover 100% of the Category A and B Hurricane Ike recovery costs incurred in Texas and 14 Louisiana parishes from Sept. 14-Oct. 25. A and B costs can include emergency response, debris removal and evacuation, Louisiana Department of Administration Commissioner Angele Davis says. Davis made the announcement this morning during the Louisiana Leadership Symposium at the BizTech Expo. Of more concern to the Capital Region, the state is also pushing for a 100% reimbursement rate for Hurricane Gustav. “The strain of having to [pay those costs] within existing budgets has a real impact on those communities, and is slowing down recovery efforts in those communities,” Davis says.—David Jacobs

Library hires Trahan to study downtown branch

The East Baton Rouge Parish Library has hired Trahan Architects to study the existing River Center branch to determine if the downtown building can be saved. Mary Stein, assistant library director, says the firm will decide to renovate or replace the building. "This building was designed before we were using electric typewriters in the libraries," she says. "There are no public meeting rooms, no story rooms, no place for computers." Stein says the study is part of the due diligence, a similar survey was done on the Main Library building on Goodwood Boulevard. "This will give us hard information," she says. Trahan was awarded the contract last week, and a report is expected in early spring. Stein says a new downtown branch is several years away. "We're forced to have the money for the location in the piggy bank before we start," she says. Ground will be broken in the spring or summer for the new Main Library; construction is expected to take about 18 months.—Timothy Boone

Publisher supports capital improvement bond issue

Business Report Publisher Rolfe McCollister says he supports the $989 million bond issue that will be on the Nov. 4 ballot. McCollister says the measure is a referendum on Baton Rouge's future. "We can establish our brand, enhance our image, address overdue problems and finally develop our riverfront—all of which could provide an economic boom," he says. Read the column here. Send comments to editors@businessreport.com.

Deadline Friday for 'Forty Under 40' nominations

Business Report is presenting its annual "Forty Under 40" awards to the young men and women who are making the Capital Region a better place to live, work and play. You can nominate someone or submit your own applications. Nominations/applications will be accepted through Friday. All nominations must be made online here.

Government considering ownership stake in banks

The Bush administration is considering taking part ownership in certain U.S. banks as an option for dealing with a severe global credit crisis. An administration official, who spoke on condition of anonymity because no decision has been made, said the $700 billion rescue package passed by Congress last week allows the Treasury Department to inject fresh capital into financial institutions and get ownership shares in return. The official said all the new powers granted in the legislation were being considered as the administration seeks to deal with a serious credit crisis that has caused the biggest upheavals on Wall Street in seven decades and continues to roil global markets. Supporters of this approach, such as Sen. Charles Schumer, D-N.Y., argue that injecting fresh capital into U.S. banks that want to participate in the program would be an effective way to bolster banks' balance sheets and get them to resume lending. Taxpayers would benefit because the government would receive an equity stake in the bank in return for providing the capital.

Construction starts on Perkins Road project

Work has started on Perkins Oak, an upscale gated community across from the Acadian Village Shopping Center. Stan Gibbens of Cheynne Development says the first of four 3,000 square foot homes will open by the end of November-mid December. "These have been very well received," says Gibbens. Gibbens wouldn't disclose pricing, but says the homes will be on the "upper end" and feature amenities such as marble floors and antique hardwood. "They're going to be in an Uptown New Orleans style," he says. One property has been sold and there's a purchase agreement on the second. Three of the houses will face the Perkins Oak, named after Verdie Reese Perkins, who developed University Gardens. -- Timothy Boone

B.R. mattress maker, furniture wholesaler liquidates in advance of closing

Fraenkel Co. has begun to liquidate inventory at its north Baton Rouge showroom, furniture warehouse and bedding plant. The 50-year-old company announced in August it was shutting its South Choctaw Drive location. Fraenkel says it has been affected by a shrinking customer base post-Katrina and competition for employees. The company’s locations in Dallas and Olive Branch, Miss., will remain open. Fraenkel hopes to sell off its local inventory by the end of the month or early November.

Redevelopment Authority to discuss strategic plan

The East Baton Rouge Redevelopment Authority will discuss its strategic plan at 9 a.m. Friday. The plan came out of a daylong meeting in August. Other agenda items include the presentation and adoption of bylaws and discussion of possible board trips to two cities to study successful redevelopment authorities. The agency has been established to make it easier to transition abandoned and blighted properties into productive use.

Poll: McCain gets edge in debate performance

Forty-six percent of Daily Report readers say U.S. Sen. John McCain won Tuesday night's presidential debate in Nashville, Tenn. Thirty-seven percent of respondents say U.S. Sen. Barack Obama was the winner in the second debate, while 17% were undecided. More than 1,2000 people participated in the survey. The third and final presidential debate will be held Wednesday night.

Today's question: What do you think about Loren Scott’s 2009-10 economic forecast for the state?

News roundup: Jobless claims drop from seven-year high … Former opponents endorse Cascio … Map shows which housing markets are 'under water'

Big plunge in Louisiana, post-Gustav: The government says new applications for unemployment benefits dropped last week from a seven-year high, though claims remain at elevated levels because of the struggling economy. The Labor Department reported today that initial claims for jobless benefits dropped 20,000 to a seasonally adjusted 478,000, the same level that Wall Street economists expected. Louisiana had the nation's largest drop in initial claims for unemployment for the week ending Sept. 27 as the effect of Hurricane Gustav began wearing off. Louisiana recorded a decrease of 17,816 initial unemployment claims that week. That follows a sharp increase in the weeks following Gustav and Hurricane Ike that totaled a little more than 30,000. … Metro Council candidate picks up support: Alison Cascio, a candidate for the Metro Council District 11 seat, has picked up the endorsements of the candidates who finished third and fourth in the race. Donald Hodge, a Democrat who got 18% of the vote in Saturday's primary, and Matt Watson, an independent who received 7%, say they are backing Cascio, because of her experience. Cascio, a Republican who worked as an aide for outgoing District 11 Councilman David Boneno, got 42% of the vote in the primary. She faces fellow Republican Scott Lemoine in the Nov. 4 election. … Possibility of more defaults? The Wall Street Journal has a map showing the percentage of homes in a metro area that are "under water"—where the homeowners owe more than their home is worth. Most of Louisiana falls outside of the most affected areas, with the exception of New Orleans, where 10% to 20% of homeowners are under water. Most of the worst areas are in California, Florida and Nevada, in cities such as Riverside, Calif., where 62% of the homeowners have more debt the value of their property. Economists worry this could lead to more foreclosures and a deepening crisis. To see the map, click here.