Dardenne concerned about budget for park repairs

Seven months after Hurricane Isaac, deluxe cabins battered by the storm at Fontainebleau State Park on Lake Pontchartrain remain closed to the public.

The state is losing $120 to $150 a night for each cabin at one of Louisiana’s most popular parks until repairs are made. Those repairs require money.

Lt. Gov. Jay Dardenne said Friday that the shuttered cabins give him concern about Gov. Bobby Jindal’s revenue projections hitting their targets in the upcoming fiscal year.

“We’re sitting there with the biggest moneymaker non-operational and we’re afraid that will reduce our revenue,” Dardenne said.

Fees paid by state park visitors go into a Louisiana State Parks Improvement and Repair Fund. Instead of using the fund strictly for maintenance, Jindal wants to use it for operations, as he has in the past.

Dardenne said the fund generated $7.9 million in the current fiscal year, when the Fontainebleau cabins were open for several months. In the budget year that starts July 1, the governor is banking on the fund generating $8.5 million even though the cabins are closed, Dardenne said.

“This is the dog chasing its tail,” Dardenne said.

In a prepared statement, Commissioner of Administration Kristy Nichols said the park maintenance fund has continued to generate increasing revenue every year.

“The parks maintenance fund has been used as it is allowed, for park operations and maintenance,” she said. “Even so, since (fiscal year 2008-09), in addition to being appropriated a sufficient amount to meet his needs, the lieutenant governor has had at least $2.9 million left over in the park maintenance fund at the end of the year, which was available and could have been used for repairs.”

Budget hearings soon will kick off to debate the governor’s proposed $24.7 billion state operating budget for the fiscal year that starts July 1.

The budget funds hospitals, colleges, parks and other state services.

The House Appropriations Committee will start meeting March 12 to take an agency-by-agency look at the budget.

Dardenne said he is happier with the proposed budget than he has been with past budgets.

Still, Dardenne and the Jindal administration continue to be at odds over how state parks and tourism efforts should be funded.

At issue is whether the governor, facing slumping revenue, is diverting dollars meant to maintain state parks and historic sites as well as tax dollars designed to market the state as a tourism destination.

Additionally, rural libraries across the state likely will have to make do without any state aid.

Dardenne said $8.6 million is coming out of his tourism budget to pay for the Senior Olympics, a Creole plantation home, the state library, the arts and other expenses.

He also must help pay for a Shreveport bowl game, the Essence Festival, the New Orleans Bowl, the Greater New Orleans Sports Foundation and the Louisiana Book Festival.

Dardenne said he is getting a little bit of relief because he does not have to write checks to the Super Bowl and the Final Four in next year’s budget.

Nichols said expenses like the Senior Olympics and other events should be funded with tourism dollars. The alternative, she said, would be to make reductions to other public services.

“We believe it’s important to maximize those available dollars instead of cutting healthcare and higher education,” Nichols said.

Comments

1) Comment by Mygulfbleedsforu - 04/03/2013

Thanks, whodat70816, for being like you are. One last thing from me: there is never enough profit. There never will be. Profit-seeking has an insatiable appetite. If you turn everything over to it there will be nothing left.

2) Comment by Mr. T - 04/03/2013

This sounds like something that could actually be privatized. Get the state out of the hotel buiness, and hire Motel 6 to rent out these cabins.

3) Comment by whodat70816 - 04/03/2013

I guess most of you believe only those kids who's parents can afford it should have a place to get out breath fresh air.

4) Comment by whodat70816 - 04/03/2013

It's very sad to see all of the coments about turning over State Parks to private companies. Fontainebleau is the busiest state park in the state, people use this park....rich, middle class and poor....and the reason many can do this is because it is afordable. State Parks are not in the business of making money, they are in the business of preservation (private companies will distroy wildlife habitats, and endangered species), promotion of recreation and education. Boy Scouts, Girl Scouts, Schools, LOOP and even private childen groups use State Parks for free to educate and to have a hands on place to learn about nature....even home schoolers take their kids to parks for educational purposes....How much would a private company charge our kids to learn about nature? You can't place a value on everything.....espcially when it comes to educating our youth!

5) Comment by Mygulfbleedsforu - 04/03/2013

foldgers, thanks for your thoughts. FTR, I absolutely believe there is a place for capitalism, just as there is a place for government and a place for academia, and they are all three different but should interact to temper one another. I don't believe an academic should be married to a political cause or administration (paging Dr. Sadow) and I don't believe a government administration should be married to capitalism (paging so-called governor Jindal), nor do I believe the best answer to every decision is whatever makes the most money, but capitalism does, and it should. That is why there is government and academia. Can't you imagine all nature preserves, all green spaces, all forests disappearing because, even though people might happily pay to visit, the people who might want to live there, or build a plant there, will pay so much more. Free enterprise is an economy's lifeblood, but the economy is not all there is or even almost all there is. I frankly wish we didn't need money to live, because so few will see its rightful place in the heirarchy of what's importance until it is too late to fix the damage. /soapbox

6) Comment by foldgers - 04/03/2013

Mygulfbleedsforyou: Sure, not all businesses are concerned. but I will tell you that businesses, the larger ones especially, account for much much money going to charities, education or heck, even building dog parks here in BR. This land should not be owned by the government. Like I said, for taxes sake, how much revenue is that city missing out on when it comes to what property taxes a private entity would pay to own it? The beauty of capitalism is that if there is a demand for something, it will appear because people will want the profits it could generate. In a socialist economy, why would anyone risk losing their money to meet a demand if the result would be the government taking most of the profits. Look at North and South Korea... which would you rather live in? If it weren't for capitalism, home computers would still be a dream, heck, probably just the government would have the computers because with no competition, the cost of a computer would be insane. And you can kiss your smartphone goodbye as well as Steve jobs would have never busted his butt in those younger years in his mom's garage trying to build a computer, there would have been no rewards for doing it...

7) Comment by jeffsadow - 04/03/2013

"So, who is lying? Nichols or Dardenne? I know who my money is on, and it's not Dardenne." You lose; neither. According to the 2012 CAFR supplemental, that fund had a shade over $6 million in it at the end of the last fiscal year. Dardenne reported it as all committed to other purposes, but of course the storm happened after the end of the fiscal year. Act 11 committed $7.9 million more to the fund for this year, but in the previous FY $8.65 million came into the account. The reason why it declined in balance was because over $11 million was used from a beginning balance of about $8.5 million. This fund gets its money as match for user fees, so with the cabins not clearing some money, that will decline somewhat. Still, it's clear that several million will come in, and Dardenne will have to make choices about what to fund (since we won't have HB 1 filed for another month or so, it's not obvious how much will come from the fund for operations and will be left for maintenance). If it's important enough to him, he has the money available to do it.

8) Comment by Mygulfbleedsforu - 04/03/2013

Because capitalism is always concerned with the public welfare, right? I hear Easter Island calling.

9) Comment by yadodge0501 - 04/03/2013

It's the basic problem of the state mismanaging a private enterprise. That park should be privately run. The cabin shown would not be so obviously badly designed to take the average 12 foot surge of hurricanes . Its true that the current revenue generated should be able to cover such minor damage if left in the local coffer, but that's called planning ahead and governments don't do that.

10) Comment by foldgers - 04/03/2013

Woody, that was my FIRST question. Where is their insurance? If the state is going to be in the business of making money, then why are they not required to get insurance? And AuntSandy, this park does not MAKE money. These cabins help with the costs of upkeep of said parks. When they say, "...The state is losing $120 to $150 a night for each cabin...", is that really true? Let's just say $150 a night. Ok, well much does each cabin cost to clean up after each guest leaves, the A/C and/or heat being run 24/7 while people stay there, the phone line bill, the cable'satellite bill, the water bill and so on. I would venture to guess that "profit" would be at least half if not less than half of the $150 a night. Once again, sell the land to someone who is willing to keep it a park, or heck, let them do what they want with it. If there is a demand for cabin retreats in this state, a private company/citizen will make it happen! All this land being wasted in this state. Does the state pay the local governments property taxes on all this land? If not, then the state is robbing peter to pay paul or whatever you guys say. And MEM, one thing you and I will ALWAYS agree on, the government should not be in the business to make money. If there is a demand for something, it will happen in the private sector. If these parks are so expensive to keep up and need cabins to help offset the costs, sell it ALL!

11) Comment by Woody - 04/03/2013

better question. does the state not have insurance on the property? you know, where you pay a deductible and the insurance company pays for repairs. just a thought.

12) Comment by markedwardmarchiafava - 04/03/2013

It's not the duty of state to make money. That is the function of the private sector.

13) Comment by Attila - 04/03/2013

This is nothing new for Lil Booby. He has a habit of stealing money that is dedicated whenever he feels the need. Case in point: There is an artificial reef program that uses money from oil companies to convert old platforms that are no longer in production to artificial reefs. The DWLF administers these dedicated funds. For the last couple of years Lil Booby has seen fit to rob the fund of monies for these projects to bolster the state budgetary shortfalls. So robbing Peter to pay Paul is nothing new for him.

14) Comment by Woody - 04/03/2013

advocate, let me do your job for you. Mr Dardenne, how much money is actually needed to repair these cabins?

15) Comment by Mygulfbleedsforu - 04/03/2013

In contrast to AuntSandy's opinion, I can't imagine anything worse for Louisiana and its residents -- all of mankind, in fact -- than governance by profit motive. Whoever's lame brain first expressed the thought that government should be run like a business should be inducted into the Hall of Shame. Government and capitalism have very different purposes and should be kept separated as much as possible for balance. My question about this article is: what did Dardenne say when asked about the $2.9 million Nichols says has been available for repairs to the cabin? I'd love to know.

16) Comment by Mygulfbleedsforu - 04/03/2013

In contrast to AuntSandy's opinion, I can't imagine anything worse for Louisiana and its residents -- all of mankind, in fact -- than governance by profit motive. Whoever's lame brain first expressed the thought that government should be run like a business should be inducted into the Hall of Shame. Government and capitalism have very different purposes and should be kept separated as much as possible for balance. My question about this article is: what did Dardenne say when asked about the $2.9 million Nichols says has been available for repairs to the cabin? I'd love to know.

17) Comment by SuzanneMS - 04/03/2013

So, who is lying? Nichols or Dardenne? I know who my money is on, and it's not Dardenne. AuntSandy, your comment makes no sense. TOPS does not make money for the state, neither does higher education directly. Jindal is not cutting movie tax credits -- which are not only not making money for the state, they are costing the state money. Negative ROI. What I'd like to know is why the state has to pay a red cent for the Super Bowl. Why isn't that funded out of its own ticket sales? If it's costing the state money, why are we bribing them to come here? And why is the state paying for local events, such as the Shreveport bowl game?

18) Comment by AuntSandy - 03/03/2013

TOPS, state parks, movie tax credits, higher education.....why is everything that Mr. Jindal wants to cut something that actually MAKES money for the state? Why doesn't he cut things that COST the taxpayers money, like social services (sorry, Children and Family Services) and DHH? And while he's at it, stop putting people in jail for marijuana and dedicate every penny that would have been used for that to the LSU system.