Post-Lili hiring could cost Terrebonne $1.25M

Staff Writer

A delegation of top Terrebonne Parish officials went to Baton Rouge Thursday to ask state Homeland Security officials, and representatives of the federal government, to support the parish’s appeal to FEMA to eliminate a $1.25 million fine the agency assessed the parish following Hurricane Lili in 2002.

State Reps. Gordon Dove and Damon Baldone, along with State Sen. Reggie Dupre, joined Terrebonne President Don Schwab, Parish Manager Barry Blackwell, Planning and Zoning Director Pat Gordon, Parish Attorney Courtney Alcock, and Parish Comptroller Jamie Elfert to attend the meeting held in a Capitol conference room.

Gordon reported after the meeting that the state will support Terrebonne Parish’s appeal of the fine to FEMA.

“It was a good meeting,” he said. “The state says we have a good case. Terrebonne Parish appreciates the help from our (state) delegation.”

FEMA assessed the fine, which was originally $900,000, after the parish hired the consulting firm Aegis to administer $13 million in Hazard Mitigation Grant Program money the parish received from FEMA for Lili. The money was to be spent on elevating homes, and acquiring homes for demolishment, in designated flood-prone areas of Terrebonne Parish.

FEMA is saying that Terrebonne Parish needed to follow federal guidelines, and put the consultant-hiring process out to bid.

But Gordon said Terrebonne Parish is required to follow state guidelines when contracting for professional services, such as consultants, which do not mandate bidding.

Even if Terrebonne Parish had known about the federal rule, the parish could find no other consultant in Louisiana besides Aegis to administer the grant money, Gordon said.

“It’s unreasonable to be held responsible for something we’re unaware of,” he said. “The state didn’t know. The feds have a (bidding) requirement for procurement” of professional services, he said.

“In 2003, we asked if anyone in the state does that work,” he said. “Aegis was the only one doing project mitigation hazard work. Had there been anyone else to do the work in Louisiana, we would have bid it out.”

After the initial federal grant, in 2004, FEMA gave Terrebonne Parish an additional $4 million.

“It was because we did such a good job,” Gordon said. “The state said we were in compliance. But in 2005, the state said we didn’t procure the project manager (Aegis) correctly.”

The parish delegation met in Baton Rouge with Louisiana Office of Homeland Security and Emergency Preparedness Acting Director Jeff Smith, three representatives from FEMA, and representatives from the offices of U.S. Sen. David Vitter and U.S. Rep. Charlie Melancon.

Terrebonne Parish has less than half of the $13 million FEMA grant money left. At Wednesday night’s regular council meeting, Blackwell said he had directed Elfert to reserve $1.25 million in parish funds.

Before 2005, Blackwell told the council, “we had gotten extraordinarily high marks for our program.”

He said that Terrebonne Parish was assessed the highest fine of any of the surrounding parishes because Terrebonne had received the largest amount of hazard mitigation money.

Blackwell said at the council meeting that 60-70 properties in Terrebonne Parish are set to receive the FEMA money.

According to Gordon, Terrebonne Parish could not give any grant money to those 60-70 residences because the parish owed the fine.

But since the state will support Terrebonne Parish’s appeal of the fine, grant money can flow to the owners of those properties.

Through June 2006, Hurricane Lili hazard mitigation money from FEMA had acquired 45 homes for demolishment in Terrebonne Parish, and paid to elevate another 50 homes.

“We can only work on so many homes at once,” Gordon said. “We don’t know if we’ll be able to fund everyone.”

Around 10 homeowners in Terrebonne Parish (who are on the list to receive the grant money) have already paid to have house-elevation designs drawn up. Others have begun the appraisal process to have their homes demolished.

Gordon said that the parish will work with those homeowners first who have spent their own money to plan for their properties.

“Some applicants who applied three or four years ago may have elevated their homes on their own,” he said. “We want to see everyone follow FEMA rules.”

Terrebonne Parish appealed to FEMA for additional hazard mitigation money after hurricanes Rita and Katrina.