YEAR IN REVIEW

After the 2005 hurricane season dealt many businesses a heavy blow, the Tri-parishes welcomed the new year with the hope that Katrina and Rita’s tides would turn. By year’s end, the area showed strong signs of recovery. Unemployment was among the state’s lowest and new businesses were popping up across the region. The oil and gas industry also remained a strong player in the region’s success.

January

P-Chouest investors begin building storage, preservation facility

Construction of a massive oil and gas storage facility n the first of its kind n was launched in Gray. The project teams British Petroleum (BP) and Galliano-based Edison Chouest Offshore.

Officials expect the center to not only serve as a model for similar facilities in the future, but also for the development of commerce along Hwy. 90.

Chouest is building the facility, and will lease it to BP for the next 10 years, beginning in 2007.

In the meantime, Terrebonne Parish officials are hopeful that the expansion will attract more industries to the Hwy. 90/La. 311 corridor. “We will undoubtedly see a ripple effect from this business,” said Patrick Gordon, director of the parish’s Planning and Zoning department. “…if other companies join BP you will start to see more commerce spring up in the area. This will be huge for the local economy.”

In other news, Petroleum Helicopters Incorporated (PHI) settled at Houma-based Hammonds Air, inking a two-year deal to use half of owners Charlie Hammonds’ total office space, a ramp area for PHI’s helicopters and a large parking lot.

January 2006 also saw a new leader take the helm at the Terrebonne Economic Development Authority. Michael Ferdinand came to the region after serving as executive director of the Natchez-Adams County Development in Natchez, Miss. The Louisiana State University graduate had over 14 years of economic development experience.

And January marked a big boom in the restaurant industry along Houma’s Martin Luther King Boulevard. Among the new eateries to open in 2006: Chick-Fil-A, Logan’s Roadhouse, Shane’s Ribshack, Johnny Karinas, Cici’s Pizza and WOW Café and Wingery.

February

National office supplier OfficeMax closed five of its seven Louisiana stores, including a site in Houma. After a dismal financial return the previous year, the company decided to shut its Martin Luther King store.

In the meantime, Sam’s Club opened its wholesale operation in Houma. With 170 local employees, the operation was heralded by locals. “The quality merchandise and additional benefits we offer help to ensure that small businesses in the community continue to thrive for years to come,” said John Rochelle, general manager of the Houma Sam’s Club.

March

With soaring gas prices showing little sign of slowing, crawfish consumers were hopeful for a price break. At their peak, prices reached $3.25 per pound in some places.

Local hotels were continuing to do big business, thanks in part to the presence of a number of Hurricane Katrina victims who were being housed locally by the Federal Emergency Management Administration.

Improvements to the Houma-Terrebonne Airport’s main runway were completed in March. The runway was expanded to accommodate larger planes n and attract more business n to the area. Over the course of 2006, the airport would continue to experience more upgrades and improvements.

Greater Lafourche Port Commission executive director Ted Falgout announced plans to retire after 27 years’ service. Among Falgout’s successes while at the helm of the port, he helped secure the funding to improve the infrastructure leading to the port.

Lea Rutter Homes announced plans to build Sugar Mill Olde Towne, a neighborhood/shopping community that follows a “new urbanism” trend. Located on 55 acres on St. Charles Street, the development is expected to include about 10 acres of retail space, homes with porches and alcoves and plenty of park space, Rutter said.

At the close of March 2006, the economic outlook for the Tri-parishes was excellent. Although oil production off Louisiana’s coast was down, Port Fourchon had expanded its role in the recovery effort. Terrebonne Parish’s main shopping hubs also proved to be economic forces, with many outlying hurricane victims choosing to shop for supplies and home goods in the Houma area. St. Mary’s Bayou Vista community and Lafourche’s Thibodaux also benefited from the flourishing economic market.

April

With spring in the air, Tri-parish residents were ready for the outdoors in April. Southdown Plantation’s bi-annual Marketplace Arts & Crafts Festival welcomed over 8,000 visitors, helping boost the local economy.

Thibodaux won the first round of the Cleanest City Contest thanks in large part to the hard work of the city’s Garden Club. Thibodaux edged out Morgan City for its first district-level win in four years.

The Tri-parish jobless rate continued to fall, but a new problem began to emerge: A worker shortage. Despite a 3.1 percent jobless rate, many companies were experiencing headaches with finding qualified staffers.

Three years after receiving a grant to fund the work, the Greater Lafourche Port Commission installed a security system. In all, 17 cameras were installed with monies made available following the 9-11 attacks on the U.S. The cameras were positions in Port Fourchon and on the Leeville bridge crossing Bayou Lafourche.

April was a good month locally for business expansions and additions. IberiaBank opened its first Branch on St. Charles Street in Houma, and J. Ray McDermott’s Morgan City Fabrication Division celebrated 50 years in business.

But the news wasn’t all good. Local farmers faced $1 billion loss in the wake of the previous year’s storms and a drier-than-usual spring. The opening of locals farmers markets was delayed until May in hopes that April’s showers would cure their woes.

May

Pepper’s Pizzeria began construction on Corporate Drive in Houma on its third restaurant. Owner Grady Verret’s pizzeria will feature a pizza bar and three times the square footage of his original restaurant in Thibodaux.

Capitol One signs went up across the region replacing the familiar Hibernia and marking the final step in the bank’s buyout. Banking across the Tri-parishes was a booming business with several operations opening new, expanded sites. MidSouth was among them in May, opening a retail operation in Thibodaux.

TEDA’s Mike Ferdinand was among coastal leaders to pitch Terrebonne Parish as an idea site for future businesses to locate during a trade mission headed by U.S. Commerce Secretary Carlos Gutierrez in early-May. It marked the U.S.’s first domestic trade mission.

The earliest signs that the parish’s new and improved building codes would likely slow progress surfaced in May. After a pre-code rush, the parish’s Planning and Zoning Department director, Pat Gordon, said the application process had slowed to a trickle. “We’re in a transition period, and the contractors are trying to find individuals that can design the homes to the 130 and 140 mph wind load,” he said.

June

Thibodaux Regional Medical Center and Terrebonne General Medical Center both underwent major changes in June. TRMC opened a five-story, 90,000-square-foot Medical Office Building, while TGMC opened a new Women’s Center. June was also a month of change for St. Anne General Hospital, which joined the Ochsner Clinic Foundation.

When Hurricanes Katrina and Rita made landfall along Louisiana’s coast, several local hotels served as a shelter of last resort. But parish officials have nixed a repeat of that action. Beginning with the 2006 hurricane season, it was announced that hotels would be required to close if a mandatory evacuation is ordered.

Several Kirschman’s stores were closed in the wake of Hurricane Katrina. In the case of the Houma store, it would never reopen. Rooms To Go, a Florida-based furniture store, purchased most of the stores. The fate of the Houma store remains in question.

The local tourism industry was still reeling from Katrina’s blow in June. Across the Tri-parishes, company’s like Annie Miller’s son’s Swamp Tour in Bayou Black saw few visitors once operations were back online.

After months of preparation, the Greater Lafourche Port Commission, the U.S. Coast Guard and FEMA officials finally began pulling sunken vessels downed by Katrina and Rita from the bottom of Bayou Lafourche. FEMA paid the cleanup tab, which saved the port as much as $400,000.

The announcement that Lafourche’s Chacahoula and Clovelly sites were being considered for the national oil reserve created local buzz in the oil and gas field. The reserve holds petroleum for use in case of supply interruptions. In addition to construction jobs, the work would eventually bring several management jobs to the area.

After years of being cut out of oil revenue sharing, Louisiana looked to be on the right track to be cut into a share of the profits after a bill written by Congressman Bobby Jindal cleared a House committee. It wouldn’t be until December in the closing moments of the Congressional session that a final deal would be hammered out.

July

The Thibodaux Chamber of Commerce celebrated its 40th year of service in July. Since its start, the 211 membership has nearly quadrupled to 625. “Our mission is to help businesses develop and grow,” said president Kathy Benoit.

Bollinger Shipyards, Inc., Lockport facility was tapped to build the U.S. Navy’s third Littoral Combat Ship. The $198 million contract marked yet another major deal struck by a Tri-parish shipbuilder.

News that property near the Houma-Terrebonne Civic Center would be purchased to build a five-story Hilton brand hotel signaled the continued growth of the local tourist market. Integral Hospitality solutions, a Birmingham, Ala.,-based firm, bought the land in December from the Terrebonne Parish Council.

August

It was a short-lived effort, but Congress again nixed an increase in the minimum wage. District 3 Rep. Charlie Melancon supported increasing the minimum wage from $5.15 an hour to $7.25 per hour. “Americans who put in a hard day’s work should not still live in poverty in the richest nation in the world,” he said.

Louisiana insurance companies took a pounding after the 2005 hurricane season. The losses were major. Allstate announced in August that its decision not to buy reinsurance for Louisiana cost the company $2 billion, a loss it sought in part through rate hikes.

Port Fourchon got a boost from FEMA in late August when it announced $3.8 million would be spent dredging the port. Workers dredged silt and sediment built up on Bayou Lafourche in the wake of Hurricane Katrina.

September

Rising building costs n stemmed in large part by the new, stricter codes n continued to plague homebuilders and contractors. Many were still baffled by the new codes, slowing construction in the Tri-parishes.

The 2005 hurricane season would continue to be the biggest good news, bad news story in 2006. On the bright side, good paying jobs were plentiful. On the flip side, qualified workers were hard to come by. Employers had to find creative incentives to attract much-needed workers.

Chevron Corp. announced in September that it had tapped into the biggest domestic oil find in 38 years. The petroleum pool is located about 270 miles south of New Orleans in the Gulf of Mexico. “It confirms a new frontier, a new horizon in the ultra-deep water,” said Daniel Yergin, chairman of Cambridge Energy Research Associates and author of “The Prize,” the Pulitzer Prize-winning history of the oil industry.

October

The Amelia Belle Casino opened a free school in St. Mary Parish to train future staff. In addition to casino jobs, the operation said it would pump an estimated $15.2 million a year in payroll into the local economy. In addition, the casino expects to spend about $8 million on goods and services and has allocated $1.5 million annually to the St. Mary Parish Council over the next 10 years for use of the land.

Expert economist Dr. Loren Scott delivered good news to businesses in the Tri-parishes. In his Economic Outlook for the state, Scott said Louisiana stands to gain over 50,000 jobs in 2007. As the recovery from the 2005 hurricane season continues, the local economy will be the main beneficiary, he said.

In preparation for an influx of traveling workers, Terrebonne Parish saw a boom in the local hotel industry. Holiday Inn and LaQuinta Inn & Suites both opened operations in Houma, and talk of more hotels being built has been heard around the area, according to parish officials.

November

Nicholls State University kicked off November with a bang. The local university received word that NSU accounting grads are passing the Uniform Certified Public Accountants Examination at a rate above their peers across the nation.

This was a month of change for some businesses. Regions and AmSouth Bank’s merger was finalized. And KTIB-AM 640 entered a sales agreement with Gap Broadcasting, a Dallas-based firm.

Plains All American Pipeline caused concern when it announced plans to buy land near Greenwood Middle School in Terrebonne Parish for a crude oil storage facility. The application process is ongoing.

When the PlayStation 3 went on sale, several hard core locals set up camp outside Best Buy, Wal-Mart and a few other stores to be among the first to get the “must have” player. The $600 units were quickly scooped up, to the delight of storeowners and those lucky enough to buy the player.

December

The Houma-Terrebonne Airport and Industrial Park received approval for $8 million bond to continue its expansion and maintenance projects. GE Airport Finance Corp. will issue the bond. “We’ve landed on what we’ve deemed the best for the future of the airport,” airport commission chairman Jeffery Teuton said.

It was years in the asking and in December Louisiana finally got its just due. Congress approved, and President George W. Bush signed legislation giving Louisiana and neighboring Gulf Coast states 37.5 percent of the federal royalties from new oil and gas leases off their coast. The monies will be used to help rebuild Louisiana.

File photo * Louisiana as a whole was a winner by year’s end when Congress approved a share of royalties generated from new oil and gas drilling. Louisiana’s congressional delegation pushed hard through the year for a portion of the money, which will be used in large part to rebuild the state’s hurricane ravaged areas.