Return to the main page | Previous document | Next document


Program A: Business Recruitment and Retention

Program Authorization: R.S. 36:103 et. seq.; R.S. 25:315 et. seq.; R.S. 33:4702(H); R.S. 51-1921-1932; R.S. 47:3201-3206, 3204(J); R.S. 30:142D.5(a-c) R.S. 47:4301-4319; R.S. 36:101(c); R.S. 36:108(e); R.S. 47:34; R.S. 47:1951.1-1951.3; R.S. 39:991-997; R.S. 47:6005; R.S. 46:813-814; R.S. 17:3388; RS 51:2401 et seq.; RS 36:4(B)(1)(bb) and (cc); RS 51:1781-1787; RS 47:1121-1128; Art VII, Part II, Section 21 (F&I)

PROGRAM DESCRIPTION

The mission of the Business Recruitment and Retention Program is to market Louisiana as a business and industrial location; help Louisiana companies find international markets for their goods and services; and administer Louisiana's business incentives.

The goals of the Business Recruitment and Retention Program are:

1. Promote a growing and diverse economy.

2. Provide timely and accurate information and services to internal/external clients.

3. Improve communications.

The Business Recruitment and Retention Program includes the following activities: Executive Administration, Business Incentives, National Marketing, International Marketing, International Trade, Business Services and Red River Development Council.

OBJECTIVES AND PERFORMANCE INDICATORS

1. The Business Recruitment and Retention Program, through the national marketing activity, will recruit 55 U.S. firms to locate or expand in Louisiana in FY 1998-99.

2. The Business Recruitment and Retention Program, through the national marketing activity, will provide 500 Louisiana businesses with the opportunity to expand their sales of goods and services within the state by holding Matchmaker events in various Louisiana cities in FY 1998-99.

3. The Business Recruitment and Retention Program, through the international marketing activity, will recruit 5 foreign projects to Louisiana in FY 1998-99.

4. The Business Recruitment and Retention Program, through the international trade activity, will provide at least 3,000 trade opportunities for Louisiana firms in FY 1998-99.

5. The Business Recruitment and Retention Program, through the business incentives activity, will efficiently process the 1.6% decrease anticipated in the number of applications for business incentives filed with the Department of Economic Development in FY 1998-99.

6. The Business Recruitment and Retention Program, through the Red River Development council activity, will improve the movement of goods and people across central Louisiana by the year 2020 through the El Camino Real Highway.

1 Cumulative since inception of project.

7. The Business Recruitment and Retention Program, through the Red River Development Council activity, will implement a master plan for 22 recreational sites along the Red River by 2007.

1 Cumulative total.

8. The Business Recruitment and Retention Program, through the Red River Development Council activity, will reduce sodium chloride intrusion into the Red River to an acceptable level by the year 2010.

Approximately 2,200 tons per day of sodium chloride have been removed in the last ten years. An additional 1,500 tons will be removed by 2002. This is a multi-year project and depends on the Corps of Engineers and funding from Congress.

9. The Business Recruitment and Retention program, through the Red River Development Council activity, will induce 480 retirees to relocate into seven parish pilot areas by 2003.

10. The Business Recruitment and Retention Program, through the Red River Development Council activity, will have the research station at Lock and Dam #3 fully operational by the year 2,000.

11. The Business Recruitment and Retention Program, through the national marketing activity, will assist the development of business recruitment and retention programs in 10 communities in FY 1998-99.

SOURCE OF FUNDING

The Business Recruitment and Retention program is funded with State General Fund, Interagency Transfers, Fees and Self-generated Revenues, and Federal Funds. Interagency Transfers are provided by the Department of Environmental Quality for support of one position to assist in assessing and developing expertise for marketing recycled materials. Fees and Self-generated Revenues are from the Business Incentives Division, which was authorized by Act 684 of the 1986 Louisiana Legislature, to establish and collect certain fees from persons/businesses applying for business incentives granted by the department. Other fees are derived from Investor-owned utilities as a matching share for costs associated with Louisiana's European office. Federal Funds are provided from the Department of Commerce Market Development Cooperative Program (Federal grant) to plan, develop and implement a statewide export promotion program targeting companies in the environmental products, services, technologies, power generation equipment and services and the oil and gas industries.

ANALYSIS OF RECOMMENDATION

GENERAL FUND

TOTAL

T.O.

 

DESCRIPTION

 

 

 

 

 

$5,476,473

$6,228,934

49

 

ACT 18 FISCAL YEAR 1997-1998

 

 

 

 

 

 

 

 

 

BA-7 TRANSACTIONS:

$450,000

$450,000

0

 

Carryforward for Caddo parish for construction and infrastructure improvements for a manufacturing facility located in Shreveport

$2,683,130

$2,683,130

0

 

Carryforward for Bienville Parish Poultry Hatchery, for land acquisition, planning, design, engineering, utility relocation, etc.

$300,000

 

$300,000

 

0

 

Carryforward for Lincoln parish for a storm water/drainage improvements associated with a feed mill in conjunction with poultry hatchery in north central Louisiana

$1,000,000

$1,000,000

0

 

Funding provided for James River Corporation with enactment of Act 693 of 1997

($1,000,000)

($1,000,000)

0

 

BA-7 Approved transferring funding for James River Corporation, not required, to the Office of the Secretary

 

 

 

 

 

$8,909,603

$9,662,064

49

 

EXISTING OPERATING BUDGET - December 10, 1997

 

 

 

 

 

($450,000)

($450,000)

0

 

Non-Recurring Carryforward for Caddo Parish for construction and infrastructure improvements for a manufacturing facility located in Shreveport

($2,683,130)

($2,683,130)

0

 

Non-Recurring Carryforward for Bienville Parish Poultry Hatchery, for land acquisition, planning, design, engineering, utility relocation, etc.

($300,000)

($300,000)

0

 

Non-Recurring Carryforward for Lincoln Parish for a storm water/drainage improvements associated with a feed mill in conjunction with the poultry hatchery in north central Louisiana

 

 

 

 

($85,000)

($85,000)

0

 

Non-Recurring completed portion of the first of a five year commitment for the Louisiana Resources Center for Educators (remaining recommended funding is $255,000 for the Louisiana Resources Center for Educators)

($6,845)

($13,690)

0

 

Equipment /Major repairs adjustment(s) (Non-recurring: General Fund -$6,845)

$30,413

$39,717

0

 

Annualization of 1997-98 Merit pay Adjustment(s)

$37,208

$45,697

0

 

1998-99 Merit pay Adjustment(s)

$3,211

$3,211

0

 

Attrition Adjustment(s)

($7,964)

($10,343)

0

 

Retirement Rate Adjustment

($92,163)

($115,418)

(3)

 

Personnel Reduction(s) due to the elimination of three vacant positions

$396

$396

0

 

Adjustments for Civil Service and other Statewide Interagency Transfer Activities

($25,988)

($25,707)

0

 

Risk Management Adjustment(s)

$99

$169

0

 

UPS Fees

$826

$826

0

 

Legislative Auditor Fees

$0

$1,207

0

 

Increase in support services for the Office of the Secretary

$6,257,928

$6,257,928

0

 

Annualization for UNO/Avondale Maritime, design and construction of new vessels

($20,000)

($20,000)

0

 

Reduction of Travel to prior year spending levels

($50,000)

($50,000)

0

 

Reduction of North West and North Central Louisiana Economic Development efforts, to enhance regional economic development efforts

($200,000)

($200,000)

0

 

Reduction of Macon Ridge Economic Development Region, for economic development in North Louisiana

($300,000)

($300,000)

0

 

Reduction of Northeast Louisiana Economic Development efforts, to assist all communities in the Delta region and existing local development organizations to develop and execute programs to expand economic opportunities

$0

$186,860

0

 

Additional Support Services

 

 

 

 

 

$11,018,594

$11,944,787

46

 

GRAND TOTAL RECOMMENDED

 

 

 

 

 

$2,108,991

$2,282,723

(3)

 

DIFFERENCE (TOTAL RECOMMENDATION AND EXISTING OPERATING BUDGET)

The total means of financing for this program is recommended at 123.6% of the existing operating budget. It represents 82.8% of the total request ($14,203,573) for this program. At the recommended level of funding, this program should provide approximately the same level of services. Reductions are primarily due to the elimination of one time expenditures, offset by the annualization for the University of New Orleans Maritime, design and construction of new vessels agreement.

PROFESSIONAL SERVICES

$87,038

 

Representative for Mexico Contract to promote Louisiana's economic development and trade internationally

$134,822

 

Representative for Taiwan Contract to promote Louisiana's economic development and trade internationally

$81,000

 

Representative for Europe Contract to promote Louisiana's economic development and trade internationally

 

 

 

$302,860

 

TOTAL PROFESSIONAL SERVICES

OTHER CHARGES

$1,000,000

 

New Orleans Sugar Bowl - to augment the Sugar Bowl's bid to be a member of the College Football Alliance

$250,000

 

Funding provided to support the Independence Bowl in Shreveport

$500,000

 

METROVISION Partnership - for the nine parish regional economic development organization in the Greater New Orleans area and to market the METROVISION and River Region nationally and internationally to new companies, and to create new jobs in the region

$50,000

 

Department of Commerce Market Development Cooperative Grant to plan, develop and implement a statewide export promotion program for large emerging markets of Argentina, Chile, Brazil, Mexico. Japan, Taiwan, Thailand, Malaysia and Indonesia or any other Southeast Asian or Latin American countries which are deemed to have market potential. This grant targets companies in the environmental products, services, technologies, power generation equipment and service sand the oil and gas industries.

 

 

176,636

 

Special Marketing Activities- to provide for group activities, prospects, special ceremonies, and activities to promote economic activity and stimulate interest in the Louisiana market

$252,078

 

Small Business Development Centers (SBDC) - Maintenance and provision of management assistance and business counseling to Louisiana small businesses

$255,000

 

Louisiana Resource Center for Educators for operational and start up costs

$80,000

 

Enterprise Zone Technical Assistance - to provide funding for the local Planning Districts who will be responsible for providing information on approximately 1,200 Enterprise Zones located in the 64 parishes to local and parish offices. The Planning Districts will also be required to make appearances at hearings, plus respond to requests for information from local officials.

 

 

$8,076

 

Legislative Auditor charges

$6,257,928

 

University of New Orleans/Avondale maritime project for the design and construction of new vessels

 

$8,829,718

 

TOTAL OTHER CHARGES

 

 

 

 

 

Interagency Transfers:

$5,463

 

Pro-rata share of cost of operations for the Department of Civil Service

$517

 

Pro-rate share of cost of operations for the Comprehensive Public Training Program

$1,757

 

Pro-rata share of cost of operations for the Uniform Payroll System

$178,667

 

Support services provided by the Office of Management and Finance

$48,095

 

Payment to the Governor's office for Ombudsman Activities

 

 

 

$234,499

 

TOTAL INTERAGENCY TRANSFERS

ACQUISITIONS AND MAJOR REPAIRS

This program does not have funding for Acquisitions and Major Repairs for fiscal year 1998-99

05 DEPARTMENT OF ECONOMIC DEVELOPMENT


Return to the main page | Previous document | Next document