This Morning's Headlines / Wed, Dec. 09, 2009
News Alert: Our Lady of the Lake ends relationship with Blue Cross
The Franciscan Missionaries of Our Lady Health System, which includes Our Lady of the Lake Regional Medical Center, will not renew its contracts with Blue Cross and Blue Shield of Louisiana, Blue Cross announced in a news release late this morning. Effective Feb. 1, FMOL System hospitals and certain affiliated providers will no longer be contracted as in-network providers for the state’s largest health insurer. “Regrettably, the FMOL System has chosen not to renew its agreement with Blue Cross and to leave our networks,” says Mike Reitz, Blue Cross’ president and CEO. “The amount they requested to renew their contract was unjustifiable. We have a responsibility to our members to manage costs, and we take this very seriously.” FMOL officials were not immediately available for comment.
In addition to Our Lady of the Lake, FMOL hospitals that will no longer be in the Blue Cross network include:
—The Tau Center of Baton Rouge
—St. Elizabeth Hospital, Gonzales
—Our Lady of Lourdes Regional Medical Center, Lafayette
—Heart Hospital of Lafayette, Lafayette
—St. Francis, Monroe (both campuses)
—Assumption Community Hospital, Napoleonville
Streamlining commission finalizes initial recommendations
The 10-member Commission on Streamlining Government, chaired by Sen. Jack Donahue, has finalized its initial recommendations to Gov. Bobby Jindal and the Legislature to make Louisiana government more efficient and less costly. The 236 recommendations are the result of hours of hearings and public testimony before the commission and its five advisory groups over the last four months regarding reducing the size and cost of state government while improving the delivery of services to citizens. The recommendations impact almost every area of state government from state employees and state contracts to privatization of state services and improving productivity in state agencies with less state dollars. "I believe the commission's recommendations will better enable Louisiana to decide what our priorities should be in state government," Donahue says. With state government facing a $1 billion budget shortfall for the 2010-11 fiscal year and a $2 billion shortfall the following fiscal year, Jindal asked the commission to identify at least $802 million in state general fund savings for the 2010-11 fiscal year. A reorganization plan for the initial recommendations is due by Jan. 4, 2010. The work of the Streamlining Government Commission will continue through 2011. The list of 236 recommendations will be available at the commission Web site. A reorganization plan for the initial recommendations is due by Jan. 4, 2010. The work of the Streamlining Government Commission will continue through 2011.
Georges becomes majority owner of Galatoire’s
New Orleans businessman and mayoral candidate John Georges today announced the “completion of his investment” in the Galatoire’s restaurants in Baton Rouge and New Orleans. Galatoire family members Leon Galatoire, Michele Galatoire, Duane Galatoire Attaway, Ashley Attaway and Craighten Attaway and businessman Todd Trosclair are part of the new ownership group, according to a separate announcement. Family member David Gooch will remain part of the management team. The restaurants had been owned by 32 family members, COO Melvin Rodrigue says. Rodrigue and executive chef Brian Landry also will keep their jobs, and no staff or menu changes are planned at either restaurant, according to today’s announcements.
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Forbes says Baton Rouge area recovering 10th-fastest from recession
The Baton Rouge Area Chamber and Mayor Kip Holden are touting a Forbes study that ranks the Baton Rouge Metro area the 10th-fastest-recovering city among 100 areas studied. The ranking was based on a study of the 100 largest metro areas in the country based on unemployment rate, gross metropolitan product [a measure of the size of a city’s economy], foreclosures, home prices and home sales rates. Omaha-Council Bluffs, Neb.-Iowa, ranked No. 1. Read the report here.
Louisiana Health Care Review changes name to eQHealth Solutions
Louisiana Health Care Review announced today the company has changed its name to eQHealth Solutions. The new name supports the Baton Rouge-based company’s growth into other markets, as well as underscores its key strength of providing effective and high quality health care solutions. “Although we are headquartered in Baton Rouge, the majority of our business is in other states,” said Gary Curtis, the chief executive officer of eQHealth Solutions. “We found that our Louisiana name, as well as the state-specific names of our affiliate companies, did not always align with our business objectives. For that reason, we sought a name that was not tied to a specific state or region, and that better reflected our products, services and multi-state presence.” In addition to Louisiana Health Care Review, the company is known as HealthSystems of Mississippi and HealthSystems of Illinois in those respective states. But, because so many clients and business associates are familiar with these companies, eQHealth Solutions will continue to do business under these names in their respective markets.
TraceSecurity co-founder researches Internet scams
Jim Stickley, co-founder of Baton Rouge-based TraceSecurity, is featured in an Associated Press story about how con artists can dupe Internet search engines into giving top billing to Web sites that prey on consumers. Stickley created a Web site purporting to belong to the Credit Union of Southern California, which agreed to be part of the experiment. He then used his knowledge of how search engines rank Web sites to get his phony site a No. 2 ranking on Yahoo, ahead of the credit union's real site. Read the full story here.
More GO Zone funding to become available
Businesses interested in GO Zone bonds should get on the ball. Funding dedicated to the parishes most impacted by hurricanes Katrina, Rita and Wilma that remains unused on Dec. 31 will be placed into a competitive pool, which allows all 31 parishes under the Gulf Opportunity Zone Act another crack at funding for capital projects, including those in the Capital Region. State bond commission director Whit Kling says approximately $270 million is currently available in the competitive pool and that the commission anticipates that number to rise to $1.47 billion by next year. Kling says all projects must secure financing and be approved by the program’s Dec. 31, 2010 deadline, leaving a very short window of opportunity unless the commission moves the deadline back. Kling says there has been no proposal to do so. Baton Rouge Area Chamber CEO Adam Knapp says the if the bond market is steady, the funds could provide good opportunities for Capital Region businesses, which received the lion’s share of funding when GO Zone bonds became available in 2005. “Businesses need to pay attention,” Knapp says. “If they have capital projects at $3 million or more, they should really be looking at GO Zone.”—Emma James
Geithner plans bailout extension
The federal government will extend the $700 billion Troubled Asset Relief Program until Oct. 3, 2010, Treasury Secretary Timothy Geithner announced today. He says the program will focus on curbing home foreclosures, providing capital to small banks, and boosting lending to consumers and small businesses. No additional costs to taxpayers are expected. Congress approved the program in October 2009; Geithner can extend the program without lawmakers’ approval.
State responds to flooding
The Governor's Office of Homeland Security and Emergency Preparedness began sending assistance teams Tuesday to assess damage caused by the storms that moved through south Louisiana on Monday night. Iberia, St. John the Baptist and Assumption parishes issued emergency declarations; at least 200 homes and businesses were affected by flooding, the state says. The assessments by the review teams will determine whether GOHSEP will recommend an emergency declaration by the state.
State announces $54.8 million for farmers
Louisiana farmers and agribusinesses affected by hurricanes Gustav and Ike will get $44.8 million in federal grant and loan funding plus $10 million for infrastructure needs, the state announced. Gov. Jindal says this is the first time Community Development Block Grants have been spent on agriculture.
Politics roundup: Landrieu, Republicans spar on abortion amendment … Melancon, Cao cooperate on housing
In defense of choice: Sen. Mary Landrieu voted against Nebraska Democratic Sen. Ben Nelson's abortion-funding amendment to the health care reform bill. The amendment, which was defeated, would have gone beyond current law preventing taxpayer-funded abortions by preventing many women from using their own money to obtain coverage that includes abortions, Landrieu says. "One of the pledges we made at the start of this debate was that we would ensure that Americans who like their current health coverage would get to keep it," she says. "The Nelson amendment would break that promise by taking legal abortion coverage out of private policies that currently cover it." State Republican chairman Roger Villere disputed that description, saying Landrieu was the first Louisiana senator since 1976 to vote to permit "taxpayer funding of abortion."
Across the aisle: Republican Congressman Joseph Cao and Democrat Charlie Melancon introduced an amendment yesterday to extend the placed-in-service deadline for GO Zone low-income housing credits for two years. The program currently has a Dec. 31, 2010 deadline that many developers won't be able to hit due to the economic climate and tight credit, Cao's office says. Without an extension, the Gulf Coast could lose nearly $1 billion of investments, Cao says.
NCAA investigating Tennessee recruiting practices, use of 'hostesses'
The NCAA is conducting a wide-ranging investigation into Tennessee’s football recruiting practices, according to several prep prospects, their family members and high-school administrators, the New York Times reports today. A significant part of the investigation is focused on the use of recruiting hostesses who have become folk heroes on Tennessee Internet message boards for their ability to help lure top recruits. The newspaper says NCAA officials have visited four prospects and are scheduled to visit two others this week in an investigation covering at least three states. Tennessee Athletic Director Mike Hamilton confirmed that an investigation was under way but declined to elaborate. Since Tennessee Coach Lane Kiffin took over in December 2008 after being fired as the Oakland Raiders’ coach, the Volunteers have committed at least six secondary NCAA violations—unintentional violations that provide minimal recruiting or competitive advantage. To read the New York Times story, click here.
Poll: Plurality says Richardson should not have been fired
About 43% of respondents to Tuesday’s Daily Report poll say Southern University head football coach Pete Richardson should not have been fired. Thirty-seven percent say the firing was the right move, and 18% were undecided of the 1,150 people who participated. Richardson was fired Monday after compiling a 134-62 record in 17 seasons with the Jaguars, including five Southwestern Athletic Conference titles and four black-college national championships.
Today’s poll: Do you agree with Treasury Secretary Timothy Geithner’s decision to extend the federal bailout program?