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The Terrebonne Economic Development Agency will again be assisting entrepreneurs in starting up small businesses after being cut out of parish funding since 2013.
Terrebonne Parish President Michel Claudet eliminated the funding local government gave to TEDA, the mainstay of its financial income, which was derived from half of the parish’s occupational license fees in the 2014 parish budget.
TEDA’s mission is to grow the economic base of Terrebonne Parish by offering assistance to businesses growing or moving to the parish, said Terrebonne Parish Economic Development Department Marketing Manager Katherine Gilbert-Theriot. Since last year, the parish had assumed all of the organization’s duties.
The revival of the quasi-governmental agency was introduced by state Rep. Joe Harrison, R-Gray, as a legislative bill during last state Legislative Session, and signed into law by Gov. Bobby Jindal on June 23. It becomes effective Aug. 1.
Act 191 gives new life to the agency with organizational changes.
The new agency will have fewer members – nine versus the previous 11 – and removes taxing authority for industrial, commercial, and research. All board members are appointed from nominees submitted by various local business organizations. But the parish council has the final say on who sits on the TEDA board.
“There’s a belief that a smaller board can be more efficient and more reactive and just work a little cleaner,” Gilbert-Theriot said. “Also, large boards can become unwieldy. The appointment of board members was effectively streamlined.”
The parish council will appoint the new board at its Aug. 12 council meeting, according to Pat Gordon, Terrebonne Parish planning director. The new board is set to meet for the first time on Aug. 19.
A Legislative Auditor’s report released in late June 2014 found 265 totaling $20,527 for meals, entertainment, travel and gifts that lacked receipts, but the parish government had completely taken over the agency by the end of June that year and the misspending seemed to stop.
No parish officials would speak of the events leading to the dismantling of the agency, but The Times has previously reported on them. Emails between parish officials in 2013 disclosed that the agency wasn’t producing many business loans and were not working to attract new businesses to Terrebonne, but were instead catering to already established ones.
The tracking of loans fell behind and some became delinquent after a newly hired TEDA Executive Director Steve Vassallo laid off two key employees in an attempt, he said, to streamline operations.
Vassallo resigned in September 2013 over concerns that political issues and personality conflicts threaten the group’s continued relationship with the local government.
A project intended to attract offshore firm Danos & Curole to the Port of Terrebonne was cited as a failure – the firm eventually opened shop in St. Mary Parish – as was lack of “incentive guidance” for expanding or relocating firms. Site selection assistance was cited as a shortcoming and inaction on flood insurance rate increases was also listed as a problem.
