LSU, Tulane near agreement on teaching hospital

LSU and Tulane could be close to a proposal that could settle disagreement over who should run the $1.2 billion teaching hospital proposed for lower Mid-City New Orleans. Neither Tulane spokeswoman Debbie Grant nor LSU System spokesman Charles Zewe would give details, but Tulane's board will consider the proposal Friday, and LSU's board on Monday. State Health and Hospitals Secretary Alan Levine confirms the schools have an agreement in principle, but says a memorandum of understanding is still being drafted. LSU runs Louisiana's public hospitals, and wants to be in charge of the nonprofit corporation that would run this one. Tulane wants a seat on the board, but LSU has opposed that, saying Tulane's private hospital would be a direct competitor.

Local nonprofits eye state budget

Nonprofit agencies that rely on state government for large portions of their funding are watching the Capitol, knowing big cuts at the state level will trickle down to them. The Greater Baton Rouge Food Bank has been getting a share of $5 million in state money in recent years, about $775,000, to buy food from Louisiana producers. “There’s still time at the Capitol, but it’s not looking too good for that,” says Food Bank CEO Mike Manning. The Baton Rouge Crisis Intervention Center has several service contracts with state agencies, so big cuts at, say, the Department of Social Services, will be reflected in those contracts. Nonprofit leaders largely agree that the needs here have increased since the post-Katrina population increase. A sluggish economy also causes private contributions to dip, while the demand for social services only grows. “We obviously know we can’t expect additional funding, which is really what’s needed,” says Norma Rutledge, executive director of the Crisis Center. “We’re praying for level.”—David Jacobs

Green legislation on agendas today

A slew of legislative committees are scheduled to meet today. Three, in particular, will be hearing so-called “green” bills that largely focus on nonpolluting energy sources. This morning, the House Commerce Committee is expected to grant swift passage to House Resolution 104 by Rep. Regina Barrow, D-Baton Rouge, which calls for the state to develop an official “green energy policy.” Barrow says the goal of the study will be to “develop and negotiate opportunities to help transform the state of Louisiana into the greenest and healthiest in the country.” The House Ways and Means Committee will also hear Senate Bill 26 by Sen. Nick Gautreaux, D-Abbeville, which would create special tax credits for vehicles running on compressed natural gas.

Later this afternoon, the Senate Revenue and Fiscal Affairs Committee is expected to take up another trio of green bills, including House Bill 858 by Rep. Erich E. Ponti, R-Baton Rouge, which expands the tax credit homeowners can receive for installing wind and solar systems. House Bill 733 by Rep. Walt Leger, D-New Orleans, would authorize a brand new tax credit for certain "green job industries." House Bill 192 by Rep. Neil Abramson, D-New Orleans, would reduce the severance taxes levied on producers and oilmen who use carbon dioxide—that’s CO2 that would otherwise drift into the atmosphere—for oil recovery projects. More information on all of these bills can be found at legis.state.la.us.—Jeremy Alford

Publisher: Change is the only constant

Baton Rouge has changed. Local businesses have changed. The world has changed. What’s next? More change, says Business Report Publisher Rolfe McCollister. "Change is all around us and it’s not going to stop. Ever," he says. Read his column here. Send comments to editors@businessreport.com.

Houston company to buy Wink's engineering business

Willbros Group says it has reached a deal to buy the engineering division of Baton Rouge-based Wink Companies. Willbros, based in Houston, did not disclose terms of the deal, but says it expects the transaction to close early in the third quarter. Wink provides engineering services to refineries and petrochemical plants across the South. Willbros, an independent contractor, says the deal will allow the company to perform engineering, procurement and construction in house, to better serve clients.

Personal income drops slightly in Louisiana

The amount of money Louisiana residents brought in during the first quarter of 2009 was down 0.6%, when compared to the last three months of 2008. According to the U.S. Department of Commerce's Bureau of Economic Analysis, personal income in Louisiana was $161.1 billion during the first three months of the year, compared with $162.1 billion in the fourth quarter. That's slightly ahead of the national average, which fell by 0.5% in the first quarter. Thirty-seven states saw drops in personal income because of widespread job losses, low interest rates and smaller corporate dividend payments. Hawaii had the biggest increase in personal income, increasing by 0.8% because of rising government and military salaries. Alaska saw a 3.2% drop in personal income because of a special oil revenue payment in 2008. For more information, click here.

Total U.S. unemployment numbers drop sharply

The total number of people on the unemployment insurance rolls dropped for the first time since early January, the government says, while new claims for benefits rose slightly. The Labor Department said the total unemployment insurance rolls fell by 148,000 to 6.69 million in the week ending June 6, the largest drop in more than seven years. The decline is a sign that layoffs are easing. The drop also breaks a string of 21 straight increases in continuing claims, the last 19 of which were records. A dip in continuing claims several weeks ago was later revised higher. The department also said initial claims rose 3,000 to a seasonally adjusted 608,000 last week, above analysts' expectations. The four-week average, which smoothes fluctuations, fell by 7,000 to 615,750. Continuing claims data lags initial claims by one week. The drop in continuing claims could signal a slowing in the rise of the unemployment rate, which reached a 25-year high of 9.4% in May. Many economists forecast the rate could reach 10% by the end of the year.

Woods 1 over as rain halts U.S. Open

Tiger Woods’ defense of the U.S. Open championship at Farmingdale, N.Y., started with an adventure. Woods pulled his tee shot 50 yards into the rough before scrambling for an improbable par on his opening hole Thursday morning, as increasingly strong rain pelted an already-moist course and led to a suspension less than 3½ hours after play began. As Woods worked to salvage his first hole, not far behind him crews worked to protect the 18th hole—which was practically waterlogged. Hoses pumped water off that fairway, and four workers pushed squeegees on the green to keep it as dry as possible. Woods is among 29 players tied for 12th at 1 over, two shots back. Jeff Brehaut, Johan Edfors, Andrew Parr and Ryan Spears share the early lead at 1 under. Ian Poulter, Justin Leonard, Angel Cabrera and Bubba Watson are among seven golfers at par.

Poll: Most think Jindal presidential push should stop

Seventy-five percent of people who responded to a Daily Report survey say organizers should stop an effort to get Gov. Bobby Jindal to run for president. Twenty-one percent of respondents say the draft Jindal program should go on, and 4% are undecided. More than 1,300 people participated in a survey. The organizer of the draft Jindal effort announced yesterday he was stepping down from the group at the request of backers of the governor's re-election committee.

Today's question: Are you spending more or less this Father's Day?

News roundup: All I-12 lanes open through Denham Springs ... Deaf photographer will be honored

Free to travel: The scheduled nightly lane closures of one section of Interstate 12 have been canceled for the rest of the week. A lane was being closed so crews can drive pilings and widen the section of highway from O'Neal Lane to east of Pete's Highway. The project should be completed by November 2011.

Local recognition before big D.C. event: Tate Tullier, a local photographer who is up for a national honor for deaf and hard-of-hearing trailblazers, will be honored at 6:45 p.m. Sunday at the Baton Rouge Marriott. Tullier is one of 10 finalists for the Dream Bigger award, which will be presented in Washington, D.C., in October. As a finalist, Tullier has already won $1,000, which he presented to the Louisiana School for the Deaf. If he gets the national award, he will receive $10,000, which he can give to the charity of his choice. To vote for Tullier to receive the Dream Bigger award, click here.