Cash for Clunkers stimulates business, frustrates dealers

The Cash for Clunkers program has brought prospective buyers into local auto dealerships in droves, but some dealers are worried because they have not yet been reimbursed for their participation in the program.

Robinson Brothers Ford sold about 30 vehicles through the program, raising their profit margins by 20% to 25% since it began July 1. The worry is that the $150,000 the dealer has fronted to make the purchases possible will not come through from the federal government, says Chris Savage, general manager at Robinson Brothers.

“We’ve acted in good faith,” Savage says. “If we’re not funded for the first deal soon, we’ll have to limit our exposure and cut back.”

A slow reporting system and 136 pages worth of changing rules have hampered the process significantly although there has been a tremendous response, says Mike Venable, general manager at Brian Harris Chevrolet. Brian Harris sold close to 40 vehicles through Cash for Clunkers and increased profits by 30% to 40%.

“Submissions in the system are a nightmare,” Venable says. “It’s a tough program, but it was intended to stimulate business. It’s achieved its purpose.”

Savage says that Ford F150's and Escapes have been popular, while Venable says most higher-end gas mileage vehicles such as the Chevrolet HHR, Cobalt and Malibu are popular picks. For the full version of this story, click here.—Emma James

Perkins Road Overpass set to reopen Friday

The Perkins Road Overpass is set to reopen Friday morning, after being closed since mid-March. Jim Ferguson, the city-parish drainage and bridge engineer, says the opening is a few weeks ahead of schedule. "We pushed it hard to get it open in time for the first day of school," he says. The 72-year-old overpass underwent a much needed rehabilitation. The closing caused headaches for businesses by the overpass, which had customers scared away by all of the work and detours. "There are some regular customers I haven't seen since the bridge closed," says Cliff Boulden, manager of Bet-R grocery store, which is right by the overpass.

Dave Remmetter, owner of Chelsea’s Café, which is underneath the overpass, says his business was off 25% to 30% while the overpass was closed. Chelsea's faced a triple whammy during the construction: one of the direct routes was cut off, a temporary fence was put up that hid the bar and eliminated parking and Remmetter temporarily lost his liquor license during a well-publicized dispute with state Alcohol and Tobacco Control office. Remmetter is thankful the work wrapped up a few weeks ahead of schedule and is ready for a busy fall. "Getting the fence taken down last week was a little burst of excitement," he says. "We're looking forward to being back to normal."—Timothy Boone

Historic foundation, Spanish Town Civic Association hold joint event to oppose development, demolitions

The Foundation for Historical Louisiana is “100% in support” of the Historic Spanish Town Civic Association’s opposition to the proposed Capitol Lofts apartment building. “In any other place it would be a wonderful development, but it doesn’t belong in Spanish Town,” says Mark Upton, foundation board chairman. He says the most important factor of the FHL’s opposition is the proposed destruction of seven houses considered contributing elements to Spanish Town’s status as an historic district. City-parish planning commission staffers have recommended approving developer David Slaughter’s request to demolish the seven houses to make room for Capitol Lofts, although the Historic Preservation Commission would still have to approve it.

Darryl Gissel, a realtor and Spanish Town resident, says he has sold and renovated a number of houses that are in the same condition as the houses that may be demolished. “People are eager to buy and renovate houses in Spanish Town,” Gissel says. “Why would the city’s planning staff encourage anyone to tear them down?”

Charles Brousseau and Estelle Tees, who were among the heirs that sold the properties with the houses to a company called Old Town Development, said they sold with the understanding that the houses would be renovated.—David Jacobs

H&E plans to cut staff

H&E Equipment Services, which earlier today reported a 98% drop in second quarter profits, says it plans to close an office in Salt Lake City. John Engquist, chief executive officer of the Baton Rouge-based heavy equipment company, told analysts H&E would look at hiring freezes and layoffs over the next three months. "We're looking at that on a daily basis and looking at it by region," Engquist says, in statements reported by Reuters. The company, which has just fewer than 1,900 full-time employees, cut its staff by 3% in the first quarter. For the quarter that ended June 30, H&E reported a net income of $263,000, or 1 cent per share, compared with $16.1 million, or 45 cents per share, a year ago. A severe reduction in demand for non-residential construction, and a drop in rental rates for equipment caused the plunge in profits.

Cassidy to host green business summit

U.S. Rep. Bill Cassidy will hold a green business energy summit Aug. 13, featuring representatives from LSU, Southern University, and state and federal agencies. The day-long event will be held at the Louisiana State Museum, starting at 9 a.m. Cassidy, a Baton Rouge Republican, says the summit was set up to help broaden the state's economy in emerging fields. “Louisiana is an energy state,” Cassidy says. “We are one of the country’s leading producers of oil and gas. We should also be a leader in developing next generation energy sources.”

Along with representatives from the two local universities, officials from the U.S. Department of Energy, the U.S. Small Business Administration and the state Department of Natural Resources will participate in the discussion. For more details, call Cassidy's office at 929-7711.

Suicides hit a record high in St. Tammany

Middle-aged white men are killing themselves in record numbers in St. Tammany Parish. Five people committed suicide in July -- four of them in a 48-hour period last week. It's the highest number in a single month this year. It's also the most ever seen in that particular month since the St. Tammany Outreach for the Prevention of Suicide started keeping records seven years ago.

So far this year, the parish has had 15 suicides --13 of them white males. But apparently no single element -- say, the economy -- is to blame. One involved post-Katrina finances, one substance abuse, one chronic illness and one depression. "They're all entirely different," says Cheri Carter, president of STOPS and executive director of the Mental Health Association of St. Tammany. "But they are consistently white males predominantly in their 40s and 50s."

STOPS offers resources to those considering suicide and outreach to family survivors of those who commit suicide. The organization is currently seeking volunteers [who will receive proper training] to comfort and counsel families and other survivors. For more information, call 985-237-5506. To read the rest of 10/12 Corridor Weekly, click here.—Penny Font

Bush leaves Saints practice

After Reggie Bush left Saints practice this morning to ice his surgically repaired left knee, the running back said that he wasn't worried. "I iced it just as a precaution, so when I ice it, that means I'm just maintaining," Bush says. "I've got to stay on top of it and treat it as if it was the first day I injured it." Bush discarded the ice after a while and continued to stand with the running backs, still wearing his jersey and shoulder pads, for the remainder of practice. But he did not participate in drills and looked stiff as he walked with a slight limp.

Bush had surgery on his left knee last December to repair cartilage. Drafted second overall in 2006, the former Heisman Trophy winner out of Southern California has missed 10 games in his past two NFL seasons. Head coach Sean Payton already has held Bush out of a couple practices on days when the Saints practice twice, limiting the star running back to one practice a day.

When Bush has practiced, he has done so vigorously. As recently as Tuesday afternoon, he turned an end run into a 15-yard touchdown during 11-on-11 drills.

Bush said he's had one MRI performed since training camp began late last week and says, "everything came back great."

News roundup: Traffic shift planned for Twin Span drivers ... First manager named for biofuel plant

Get ready to move: Construction crews will shift westbound traffic on the Interstate 10 Twin Span Bridge to the former eastbound span Thursday morning. The work will begin at approximately 10 a.m., and should be completed by the end of the day. If it rains, the work will be rescheduled for Friday. The new Twin Span Bridge opened to eastbound traffic last month. The rest of the $803 million bridge should be completed by mid-to-late 2011.

Meet the new boss: Don Duga has been named manager of the Dynamic Fuels plant currently under construction in Geismar. Duga, who has more than 33 years of experience in plants, has worked for major employers such as Union Carbide Corporation, Rhône Poulenc SA and Rhodia Group. Dynamic Fuels is a joint venture between Tyson Foods Inc. and Syntroleum Corporation, that plans to convert animal fat, vegetable oils and waste greases into an ultra clean diesel fuel.