Speculation about future bond proposal mixed

Speculation about whether or not Mayor Kip Holden will bring back a bond proposal for the third time after Saturday’s resounding defeat is mixed at best. Mayor Pro Tem Mike Walker says he has not had any discussions with the mayor’s staff about another run, but it would likely depend on analysis of the election returns to determine if East Baton Rouge Parish voters turned down parts of the proposal, such as the Alive project, or simply rejected the entire proposal because of the lack of support for any new taxes. “Analyzing the results is important because if voters are saying that they will vote no for any parishwide tax, then there’s no point in pursuing bringing it back a third time,” Walker says. “We’ll make do with what we have.” Calls to Holden’s administration went unreturned Monday morning. While Walker believes taxpayers will not vote for any parishwide tax proposal, Councilman Joel Boé says combining Alive with infrastructure and public safety killed the entire measure, and any new proposal should take that into account. “I would love to see them bring it back,” Boé says. “I hope that if they do, the structure is significantly different and more strategically presented.” What’s your reaction to the bond issue’s defeat? Send your e-mail to editors@businessreport.com.—Emma James

Some Stanford victims still awaiting justice

Though some Stanford victims were awarded the rights to their investments late Friday when the Fifth Circuit U.S. Court of Appeals in New Orleans ruled against receiver Ralph Janvey in his pursuit to claw back funds from investors, many are still waiting to get funds back. The court ruled to deny Janvey’s claims for interest and principal on the allegedly fraudulent certificates of deposits from the now-defunct Stanford International Bank. That means that investors who were able to withdraw their cash before the Feb. 17 seize on Stanford's assets by the Securities and Exchange Commission will keep their money.

Thousands of Stanford investors who did not cash out before that date, however, are still left with little to nothing of their original investments. Phil Preis, a Baton Rouge-based attorney who represents Stanford investors that fall into both categories, says “the short-end way of looking at this is that all of the investors need to get their money back. The SEC assisted a group of investors [represented in the Friday decision] to get their money unfrozen. … The second step is getting [Securities Investor Protection Corporation] coverage for people who weren’t able to get their money back.” Stanford victims’ groups have long pleaded with SIPC for coverage of their lost assets—pointing to the fact that many victims of the Bernie Madoff scandal were compensated by the organization that is supposed to protect investors in the event of a brokerage firm’s failure.

To read the full judgment, click here.—Olivia Watkins

Louisiana senators faced with health-care choice

Now that the U.S. House of Representatives has passed a health-care reform plan, Louisiana’s two senators find themselves on the hot seat as the legislation moves to the upper chamber. It’s a debate you can expect to hear more of—almost immediately. Senate Majority Leader Harry Reid, D-Nevada, says he will bring the legislation to the floor this week. Additionally, beginning today, the Employment Policies Institute, a D.C.-based nonprofit research group that leans Democrat, will be airing advertisements in the Baton Rouge area. It’s known as a “high-saturation campaign,” meaning there’s a good chance that you won’t miss the media buy, which totals $10 million for six states—Arkansas, Connecticut, Louisiana, Maine, Nebraska and North Dakota. The ad features June O’Neill, former director of the Congressional Budget Office, who says in the spot, “They will add hundreds of billions of dollars to the already $12 trillion national debt. We are paying $500 million a day in interest alone. This growing debt is unsustainable.” For the full version of this story, click here.—Jeremy Alford

Shaw gets contract for Navy work

The Shaw Group has been awarded a share of five-year contract for construction services at Navy facilities across the West. Shaw is one of eight contractors that will compete for task orders at Naval Facilities Engineering Command installations in California, Arizona, Nevada, New Mexico, Utah and Colorado. The value of the contract was not disclosed, but it covers everything from building combat training ranges to canals and channels.

IberiaBank expanding Florida presence

IberiaBank has increased its presence in Florida by taking over two failed banks. The Lafayette-based bank took over two banks Friday evening: Century Bank of Sarasota, Fla., and Orion Bank of Naples, Fla. The two banks had 34 branches across Florida. IberiaBank took over a failed Florida bank in August, acquiring three branches of CapitalSouth Bank.

U.S. retail sales rise 1.4% in October

Retail sales rose more than expected in October due largely to a big rebound in auto sales. But broader consumer spending remains under pressure, raising questions about the durability of the recovery. The Commerce Department says retail sales rose 1.4% last month. Economists surveyed by Thomson Reuters had expected a gain of 1%. But excluding auto sales, retail demand rose 0.2%, half of the expected 0.4% rise. The government also revised the September performance down to show a 2.3% decline, from the 1.5% drop initially reported. The big swing in overall activity reflects the recent roller-coaster ride for auto sales. New car sales surged in August as shoppers rushed to take advantage of the government's Cash for Clunkers sales incentives before they expired at the end of the month. Sales plunged in September. For October, auto sales jumped 7.4%, recouping about half of the 14.3% drop in September. Automakers already reported that their sales rebounded last month to an annual rate of 10.5 million units from 9.2 million in September.

Fittest Exec registration ends today

Think you are more fit than your peers? There's not much time left to find out. The deadline to enter Business Report’s second Fittest Execs competition, in which Capital Region business executives compete in four categories (men 44 and under, men 45 and over, women 44 and under and women 45 and over), is 5 p.m. today. The competition is open to executives (C-level, president, vice president, owner, partner, executive director or retired executives) and mid-level managers. In addition, companies with a minimum of five participants are eligible for a team competition. Fitness appraisals will take place at Bally Total Fitness Baton Rouge through Friday, with the results to be announced in the Dec. 29 issue of Business Report. Click here to register or for more information.

Poll: Readers siding with Martin in TOPS

The majority of people who participated in a Daily Report poll say they agree with LSU Chancellor Michael Martin's view of the TOPS program and not LSU System President John Lombardi. Sixty-eight percent of people who took the poll say they agree with Martin in that TOPS shouldn't be capped for students from upper-income families, but that standards for the scholarships should be raised. Twenty-six percent say they agree with Lombardi in that upper-income families should not be eligible for the free scholarships and 6% are undecided. More than 1,350 people participated in the survey.

Today's question: Should Mayor Kip Holden bring his capital improvement plan back before voters, but this time minus the Alive project?

News roundup: Memorial set for historic structures ... Gift-card sales expected to pick up

Dearly departed: A group of historic preservation activists will hold a memorial for some of Baton Rouge's dearly departed historic structures at 5 p.m. today at 657 Spanish Town Road. Dave Hinson and the Boys will provide dirge music. The event is being organized by Marie Constantin, a local photographer who contributes to Business Report.

Holiday rebound: Gift-card sales, which dropped nearly 6% during the holiday season last year, are expected to rebound this year, according to USA Today. Lower store inventories and fewer restrictions on gift cards are expected to increase sales, along with value conscious shoppers wanting to make sure they choose presents that will be appreciated. Stores are also expected to offer incentives, such as giving discounts with gift card purchases. Read the full story here.