Jeffrey D. Sadow is an associate professor of political science at Louisiana State University Shreveport. If you're an elected official, political operative or anyone else upset at his views, don't go bothering LSUS or LSU System officials about that because these are his own views solely. This publishes five days weekly with the exception of 7 holidays. Also check out his Louisiana Legislature Log especially during legislative sessions (in "Louisiana Politics Blog Roll" below).
1.4.13
Unlike Shreveporters, Bossier voters can punish politicians
A month after red-faced as Bossier City
officials announced the distinctly unfavorable settlement in a needless lawsuit their actions created, Shreveport officials could have matched that when they announced the
city finally was throwing in the towel on its notorious Bioset deal – even if they,
unlike most of their Bossier City counterparts, had no direct complicity in the
mess.
This saga began a dozen years ago during the first
administration of former Mayor Keith Hightower as a response to Environmental
Protection Agency concerns over the city’s waste treatment. One alternative was
to buy technology to deal with it at a cost of $26 million. But another was to make
a deal with Bioset, as the firm had a process by which sludge could be turned
into sod.
Hightower did the latter – but on distinctly
unfavorable terms for the city. In a total contract of $32 million over 20
years, along with the city backing a $10 million loan, low
interest and tax exempt, of then-available small-issue Industrial Development
Revenue Bonds from the state’s Louisiana Community Development Authority to build
facilities, for an estimated value of $700,000 the city would get sod from
Bioset for its use on various city properties. Over time, rumors surfaced that this
had been a sweetheart deal for associates of Hightower and/or a result of
campaign contributions; certainly it made little economic sense as, in this particular
instance, the cost of the city doing this itself actually would have been lower
and would have left it with a permanent facility to do it with.
Then, four years later the firm blew town amid reports
creditors were ready to seize it. That relieved the city of the contract, minus
some startup costs, but not of the obligation to pay back the loan, and it
still had to deal with the wastewater problem. To add insult to injury, Bioset
subsequently sued the city for patent violation and it settled
for nearly $1.4 million.
Earlier this year, Shreveport’s City Council considered
a deal that would wipe out the remaining debt, at around $6 million, by the end
of next year, thus ending the mistake but not undoing the damage. Of course,
being that this happened so long ago – no elected member of city government
still is in city office, thanks to term limits – there’s nothing that voters
can do to punish Hightower and others who approved of the bad deal.
But over in Bossier City, Mayor Lo Walker, first as city chief administrative officer and then as mayor, was in power to decide to build both a parking garage for a developer who could have paid for it for a property that then went into receivership and a high-tech office building that failed to land the client it was built for, created almost none of the jobs it promised, and doesn't come close to offsetting its costs to the city. On the Council for these then as well as with
Walker apparently seeking reelection now were David Montgomery, Tim Larkin, Scott
Irwin, Jeff Darby, and Don Williams, of whom only Irwin is seeking reelection opposed. Their blundering away of garage’s and CIC’s costs of
more than $60 million and the retrenchment of city services it eventually caused,
and now the potential $25 million needlessly lost by the suit’s outcome,
appropriately merits voters’ wrath on Irwin this spring.
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