Oil company pulls request for disposal

September
September 1, 2009
Sept. 3
September 3, 2009
September
September 1, 2009
Sept. 3
September 3, 2009

Houma-based oil exploration company U.S. Oil and Gas has withdrawn its application to build a saltwater disposal well in East Houma.

Company Attorney Sid Sundbery wrote a letter to the Terrebonne Parish Council announcing the withdrawal that was read at last week’s parish council meeting. No reason was given for the withdrawal.

Councilman Alvin Tillman, whose district would have contained the well, said he was opposed to the well’s construction at the previous council meeting on Aug. 12. “Mission accomplished,” he said at last week’s meeting.

The salt water is a by-product of oil drilling. U.S. Oil and Gas required a variance from the council before a parish permit could have been granted.

Also last week, the Council’s Budget and Finance Committee extended the amount of time for San Antonio-based hotel developers K Partners Hospitality Group to begin construction of the $21 million, 143-room Marriott Courtyard Hotel adjacent to the Houma-Terrebonne Civic Center.

The parish’s June 2008 contract with K Partners stipulated that the firm begin construction by April 2009. Failing that, the parish could use a reversionary clause in the contract to buy back the property, which the parish sold for $794,970.

The reason for the delay, Mark Crisci with K Partners told the committee, was that the financial institution backing the project had problems with the reversionary clause.

In addition, Terrebonne Economic Development Authority CEO Mike Ferdinand said the parish had to be reevaluated following hurricanes Gustav and Ike and the national economic downturn had made obtaining financing more difficult.

Crisci said that financing had been secured for the project and asked the committee to allow K Partners until March 1 next year to begin.

He said construction would probably start in early September this year and would be completed by December 2010, with operation beginning by March, 2011.

The council handled several other items as well last week.

The Budget and Finance Committee extended its contract for one year with Chem Spray South to maintain the grass on parish levees, accepting the parish administration’s recommendation.

Chem Spray charges $36 an acre to spray herbicides on the levees.

However, Parish President Michel Claudet wants to compare the effectiveness of spraying and mowing grass, said Parish Manager Al Levron.

In response, Chem Spray agreed to mow the grass for one year on the 6.5 miles of levees in Dulac that were recently completed by the Army Corps of Engineers. The company charges $55 an acre to mow.

Councilmen Johnny Pizzolatta, Kevin Voisin, and Tillman want the parish to begin relying on cutting grass and reduce the dependence on spraying. Pizzolatto said he was concerned about the chemicals washing off when it rains.

“I want to see the day we cut more,” said Voisin. “I don’t like chemicals in general.”

Tillman said he wants the parish to return to cutting grass on the levees using parish employees.

Claudet cautioned that cutting the grass on levees can compromise their integrity and he indicated the greater cost of mowing compared to spraying.

“Beauty costs,” Tillman said. “Cheaper is not always better … I prefer to see nice green levees as opposed to brown and burnt. We were doing better in-house.”

At last week’s parish council meeting, Tillman passed a motion to send the proposed ordinance requiring parading krewes to have at least 200 members back to the parish’s Mardi Gras Review Advisory Committee. The committee came up with the minimum number figure at a meeting earlier this year.

Tillman, Voisin and Councilwoman Teri Cavalier said the committee had been charged with recommending a minimum number of riders, not for overall membership.

“The Mardi Gras committee might have missed the point,” Voisin said. “They (the krewes) could still have only one person per float.”

“We need a minimum number of riders on floats so that we have a reason to have a parade,” Cavalier said. “What we got back was not what we asked for.”

Council members said they wanted the parish to have impressive parades.

Pizzolatto failed to pass a motion accepting the committee’s 200 member minimum recommendation.

The parish council passed an ordinance permitting members of the Houma Fire Department and personnel in other fire districts to use parish streets to solicit money for the Muscular Dystrophy Association on the second weekend in March and the second weekend in November.

The parish will still disallow solicitation on parish streets for other organizations.

Council members Clayton Voisin, Kevin Voisin, Teri Cavalier and Joey Cehan voted against the ordinance.

“The reason is we had so many organizations shaking cans it became a terrific hazard,” Clayton Voisin said. “I’m concerned about rear ends (accidents).”

“I have great respect and admiration for firefighters,” Kevin Voisin said. “It’s hard for me to say I don’t support this but it creates traffic problems.”

Both said they have received calls from other organizations asking to solicit money on streets.

Ordinance supporter Tillman called charitable organizations like the MDA “angels.”

“Until you’ve been touched you don’t know,” he said.

The ordinance states that Terrebonne Parish government must be listed on a $1 million liability insurance policy when the solicitation takes place.