Nov. 17
November 17, 2009
Mr. Heath Adam Perkins
November 19, 2009
The Terrebonne Economic Development Authority, the parish’s public economic development agency, received positive words from Parish President Michel Claudet on the agency’s recent efforts at bringing business to the area.
“TEDA has been pushing forward,” Claudet said.
TEDA CEO Mike Ferdinand and staff brokered the development of the new Courtyard by Marriott hotel next to the Houma-Terrebonne Civic Center, one of the major initiatives undertaken by TEDA since the agency was created in 2005.
Construction on the $21 million, 143-room hotel began in September.
At a Terrebonne Parish Council meeting in Oct. 2007, Ferdinand recommended San Antonio-based K Partners Hospitality Group to develop the Marriott after K Partners said it would sink at least $18 million into the project.
K Partners was confirmed by the parish council in December that year. The group purchased parish-owned property to build the hotel.
Ferdinand said the Marriott’s location next to the civic center is crucial. Organizations look for accommodations near venues where events take place.
“They said they were looking to put out a high quality accommodation,” he said. “The hotel will improve and expand the events that can be brought to the civic center.
“If it’s not available, that civic center or venue is not considered as a site for the event. Basically, they want accommodations across the street. It makes it easier for them to put together.”
And TEDA helped to secure federal Community Development Block Grant funds for the construction of a new cold storage facility for use by the area’s fisheries industry.
Claudet announced last week that the cold storage facility could be part of a new parish government complex located near the intersection of U.S. Highway 90 and La. Highway 24.
TEDA is seeking further CDBG funding for the facility, which will save seafood dealers and fishermen from having to go as far away as Mobile, Ala., to store catches. The seafood would be stored in Terrebonne while seafood processors are sought out.
Avoiding transportation costs allows seafood dealers to have more competitive pricing, Ferdinand said.
A business incubator is part of the project.
“The incubator portion will assist small business to develop and go to the next market level,” Ferdinand said.
The $123 million in CDBG funds Terrebonne Parish is receiving for recovery from hurricanes Gustav and Ike in 2008 will help especially with building affordable housing.
The parish plans to sink at least $10 million of the CDBG funds into an affordable housing complex in Gray.
“Any funds used to address housing makes us a more viable community, a more competitive community,” Ferdinand said.
The parish will be using CDBG funds to build housing intended for people with low to moderate incomes, those who were most affected by the hurricanes of 2008, he said.
“The CDBG money is trying to provide a limited amount of relief for worker housing,” Ferdinand said.
“Rental housing will provide some relief for our population,” he said. “Because of the storms, we lost workforce housing.”
People in occupations such as teaching and plant foremen have limited access to housing in a higher price range, he said.
The CDBG funds will also be used to improve surface drainage and develop a backup levee system for the Morganza-to-the-Gulf project.
“Each project has its own impact,” Ferdinand said. “It helps to make us more viable as a community.”
The money turns over many times to create jobs, he said.
Ferdinand has also asked the Terrebonne Parish Council to allow the creation of Tax Increment Financing districts.
Widely used in the rest of the country, TIF districts levy taxes to finance improvements for businesses. The parish would receive increased revenue resulting from the improvements.
“We’re asking the parish to create a set of guidelines for people interested in that type of financing,” Ferdinand said. “TIFs take a portion of the incremental increase in taxes and applies it to infrastructure development, economic development funds and sinking funds.”
Ferdinand said TIFs and other incentives are potential tools businesses can use to expand, relocate or acquire other businesses.
“As we move forward next year, we’re competing against 1,500 other communities nationwide for business,” he said. “We’ve been blessed in this community with a strong entrepreneurial spirit. We must continue to work to grow existing businesses. You always want to create a more sustainable economy and diversify.”
TEDA is currently working with several companies, Ferdinand said.
“They’re at a point to make a final decision between us and other communities,” he said. “We’re being evaluated. It’s a competitive process.”
Work continues on the Courtyard by Marriott hotel being constructed next to the Houma-Terrebonne Civic Center. TEDA CEO Mike Ferdinand recommended K Partners Hospitality Group to the Terrebonne Parish Council in 2007. * Photo by MIKE BROSSETTE
