2006.03.15.BoardMinutespay for Land Fred Young

8/4/2019 2006.03.15.BoardMinutespay for Land Fred Young

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MINUTES OF THE BOARD MEETINGOFTHE BOARD OF COMMISSIONERSOF THE ORLEANS LEVEE DISTRICTMARCH 15, 2006

PAGE3Mr. Young advised, Corps appraisers have been looking at all theland to determine what is owned by the property owners on the Pratt side nearthe canal. Ownership--whether private, Orleans Levee District or the Sewerage& Water Board--has not yet been determined relative to an alleyway along thefloodwall. Information has been collected on the properties, which appear to be130 feet deep, in the areas of the breaches. The Corps is concerned about the4trees located within 15 feet of the levee and floodwall toe, which can effect thestability of the levee and if fallen can damage the ground near the floodwall, and

the removal of the trees in the 15-foot strip is being considered. There are stillon-going discussions and no property is being expropriated at this time; however,in the breach areas the Corps is looking to expropriate probably 15 feet beyondthe toe of the new levee, which probably will not affect a single piece of propertyas far as expropriating the whole property. The Corps is also considering theremoval of trees in the levees or on the levee toe along the London Avenue and17th Street Canals, and discussions are on-going as to how this matter will beaddressed. At some point the 15 foot free zone may run the entire length of thelevee on both sides of the canals.


2/32

MINUTES OF THE BOARD MEETING

OF

THE BOARD OF COMMISSIONERS

OF THE ORLEANS LEVEE DISTRICT

MARCH 15, 2006


3/32

i



MARCH 15, 2006

ACTION PAGE

ROLL CALL. ...................................................................................................... 1

PLEDGE OF ALLEGIANCE. .............................................................................. 2

OPENING REMARKS AND PRESENTATIONS:

1. Presentation by representative of the U.S. Army Corps of Engineers onTask Force Guardian..................................................................................... 2

APPROVAL OF MINUTES:

Approval of minutes of Regular Board Meeting held on February 15, 2006. ...... 5

MOTIONS:

*To authorize employment of the Godfrey Firm, P.L.C., as counsel to doand to perform legal and professional work relating to post Hurricane

Katrina general financial matters, subject to review and authorization bythe Legal Department or Chairman of the Legal Committee; to direct thatsaid engagement be submitted to the Attorney Generals office forapproval; and to authorize the President or appropriate Director to signany and all documents necessary to carry out the above................................... 5

To select counsel for services related to Bohemia litigation and claims,and oil and gas matters; to direct that this Resolution be submitted to theOffice of the Attorney General for the State of Louisiana for approval;and to authorize the President or the Director of Real Estate,Recreational and Non-Flood Assets to sign any and all documents

necessary to carry out the above........................................................................ 8

*To ratify the agreement authorized with Broadmoor, L.L.C. for theemergency cleanup, installation of rip-rap and grading of the runways atthe New Orleans Lakefront Airport and installation of a temporary roof onthe Franklin Avenue Administration Building; to approve execution of awritten contract with Broadmoor, L.L.C. for said emergency services andfor the price and sum of $1,235,277.06, which shall not be exceeded,and that funding be designated in the General Fund for FY 2006; and toauthorize the Chief Engineer/ Director Hurricane and Flood Protection ofthe Orleans Levee District or the President or Vice-President to sign any

and all documents to carry out the above........................................................... 9

*To approve a lease with Fluor Enterprises, Inc. for the Jimmie WedellHangar, including approximately 18,000 square feet of hangar deck, plusapproximately 184,000 square feet of concrete, at an approximate rentalrate of $10,683 per month, to provide covered areas for maintenanceand servicing purposes related to the provision of FEMA trailers, for aperiod of 90 days, extended monthly by mutual agreement; and toauthorize the President, Director of Real Estate, Recreational and Non-Flood Assets, or the Director of Aviation to sign any and all documentsnecessary to carry out the above........................................................................ 12

*Denotes approval


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MARCH 15, 2006

ACTION PAGE

*To approve revisions to the Fiscal Year 2006 General Operating andMajor Maintenance/Capital Improvement Budget and Special LeveeImprovement Projects (SLIP) Fund Budget. .......................................................14

To approve the Fiscal Year 2007 General Operating and MajorMaintenance/Capital Improvement Budget and Special Levee

Improvement Fund Budgets. ..............................................................................15

*To approve and authorize Professional Service Contracts with theconsultants listed in this resolution to complete the associated projects;to provide that the awarded projects be prioritized and authorization toproceed to depend upon the financial ability of the District to fund theprojects within the contract; to provide that the appropriate Director directadditional work items as identified by FEMA to any of the consultantslisted through Supplemental Agreements; and to authorize the President,Director of Real Estate, Recreational and Non-Flood Assets or theDirector of Hurricane and Flood Protection to sign any and all documents

necessary to carry out the above........................................................................16

*Denotes approval

COMMUNICATIONS:

1. Discussion of Lakeshore Drive. .....................................................................20

2. Discussion of retaining the services of a public adjuster. ..............................23

COMMITTEE REPORTS:

STANDING COMMITTEES:

1. Ethics and Policy Committee ........................................................................24

2. Executive Committee ....................................................................................24

3. Finance Committee and Planning, Engineering andConstruction Committee ................................................................................24

SPECIAL COMMITTEES:

1. Legal Committee ..........................................................................................24

PUBLIC COMMENTS.........................................................................................24


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MARCH 15, 2006

ACTION PAGE

EXECUTIVE SESSION:

1. ODwyer v. USA, et al, USDC EDLA 05-4181; ..............................................26

2. Lambert v. OLD, et al., USDC EDLA 05-5931, CDC 2005-12295; ................26

3. N-Y Associates, Inc. v. OLB, La. 4th Cir. 04-CA-1598;..................................26

4. Phillips Land Co., Inc. V. OLD, 25th JDC 52-857; ..........................................26

5. OLD v. DNR, Phillips Land Co., 19th JDC 537,925; .......................................26

6. Union Title v. OLD, 19th JDC 537,924; .........................................................26

7. OLD v. Union Title, 25th JDC 52-856; ...........................................................26

8. Succ of Carter Ursin, et al v. OLD, 25th JDC 53-112; ...................................26

9. In Re Isabelle Stevens Conner, 25th JDC 52-539; ........................................26

10. OLB v. Belle of Orleans, Civil District Court Case No. 06-283, Div. L;.........26

11. OLB v. Belle of Orleans, USDC, Southern District of Alabama....................26

12. Discussion of security issues relative to the Naval Reserve Stationlocated on Lakeshore Drive.........................................................................26

ADJOURNMENT ...............................................................................................27


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MINUTES OF MONTHLY BOARD MEETING

MARCH 15, 2006

__________________________________________________________

The regular monthly meeting of the Board of Commissioners of the

Orleans Levee District was held on Wednesday, March 15, 2006, 1:25 p.m., in

the Second Floor Hall of the Lake Vista Community Center, 6500 Spanish Fort

Boulevard, New Orleans, Louisiana, after due legal notice of the meeting was

sent to each Board member, the news media, and a copy of the agenda was

posted.

President McCrossen called the meeting to order.

The roll was called and a quorum was present.

PRESENT:

The Honorable Michael P. McCrossen, PresidentThe Honorable Allen H. Borne, Jr., Vice PresidentThe Honorable Dan S. Foley, CommissionerThe Honorable Brenda Hatfield, CommissionerThe Honorable Darrel J. Saizan, Jr., CommissionerThe Honorable David R. Voelker, Commissioner

ABSENT:

The Honorable Eugene J. Green, Jr., CommissionerThe Honorable Cynthia Willard-Lewis, Commissioner

ALSO PRESENT:

Bruce White, Coconut BeachDemarcus Gordon, Gordon, ArataMatt Randazzo, Gordon, ArataMichael Botnick, Gordon, ArataJarrell Godfrey, The Godfrey Firm

Richard McCloskey, RCL ConsultantsPatrick Bartley, Broadmoor, L.L.C.Fred OBoyle, Broadmoor, L.L.C.Jamie WalterRay Hoffman, Hoffman & Haggerty, L.L.C.Mark Waln, Lake VistaAddie Fanguy, Million AirAnn Duffy, Lake Oaks Neighborhood AssociationElsa Gaskell, West End Tennis ClubBroderick Grubb, Hub InternationalFred Herman

John Holtgreve, DEI


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2



MINUTES OF MONTHLY BOARD MEETING

MARCH 15, 2006

__________________________________________________________

ALSO PRESENT: (continued)

Tom BarberaMichael Chopin, BKI

Walter Baudier, DEITim Avegno, Eagan Insurance AgencyHamid Alizadeh, SCIFred Young, US Army Corps of EngineersRay Landish

OLD STAFF & CONSULTANTS PRESENT:

Stevan Spencer, Director Hurricane and Flood ProtectionLouis J. Capo, Director Real Estate, Recreational and Non-Flood AssetsCornelia Ullmann, Interim Counsel

Glenda Boudreaux, Executive DepartmentLouis Durr, Operations and MaintenanceAlbert Pappalardo, Pappalardo ConsultantsCynthia Taylor, Human ResourcesRobert Maureau, South Shore HarborDawn Wagener, Finance DepartmentRick Loggins, Information TechnologyMary Herbert, ComptrollerPam Zeringue, Purchasing DepartmentGerry Gillen, Engineering DepartmentDonald Booth, OLD Police

Richard Lewis, OLD PoliceNina Hebert-Marchand, Compliance DepartmentCarol Kiefer, Auxiliary Services

Commissioner Voelker led in the pledge of allegiance.

I. OPENING REMARKS AND PRESENTATIONS:

1. Presentation by representative of the U.S. Army Corps of Engineers onTask Force Guardian.

Mr. Frederick Young with U.S. Army Corps of Engineers Task

Force Guardian, which is charged with rebuilding the levees in the metropolitan

area, explained he is the project manager assigned to the Orleans East Bank

Basin, which consists basically of the three outfall canals and Lakefront

protection. Mr. Young reported presently 59 contracts are underway, with the

majority in Chalmette, Plaquemines and New Orleans East being 40 to 50

percent complete.


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3

Contracts were recently awarded for the three closure structures at

the Orleans, London and 17th Street Canals, with most of this contract activity

currently taking place at the pre-fabrication yards. Jackets, piles and other

required supplies are being prefabricated and will be brought to the sites where

the structures will be built fairly quickly. He anticipated a flurry of activity,

basically 24 hours a day/seven days a week, during April and May at the sites.

Currently, piles are being driven for cell structures that will be part of the final

control structures. Sheet pile with a maximum 4-ft stickup will be driven to

reinforce the levees from the Orleans and London closures to the lakefront

levees in order in to provide a consistent elevation and prevent overtopping. The

sheet pile will go down an average elevation of -48, to cut off seepage in the area

where the WPA pumped in fill with different types of materials under the existing

levees. Scour repairs are being performed along the Lakefront levee, with dirt

and new sod. Also, in several locations spalled concrete and floodwall cracks

are being repaired.

Nine contracts have been awarded on the IHNC, with the last

contract award being the scour protection behind the wall located in the Ninth

Ward.

Ten contracts in New Orleans East are underway, with the latest

contract awarded for repair around the pumping stations.

Contracts are on-going on the back levees in Chalmette and along

the MRGO.

Commissioner Foley asked about the possibility of land south of

Robert E. Lee along the London Avenue Canal being expropriated by the Corps.

Mr. Young advised, Corps appraisers have been looking at all the

land to determine what is owned by the property owners on the Pratt side near

the canal. Ownership--whether private, Orleans Levee District or the Sewerage

& Water Board--has not yet been determined relative to an alleyway along the

floodwall. Information has been collected on the properties, which appear to be

130 feet deep, in the areas of the breaches. The Corps is concerned about the


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4

trees located within 15 feet of the levee and floodwall toe, which can effect the

stability of the levee and if fallen can damage the ground near the floodwall, and

the removal of the trees in the 15-foot strip is being considered. There are still

on-going discussions and no property is being expropriated at this time; however,

in the breach areas the Corps is looking to expropriate probably 15 feet beyond

the toe of the new levee, which probably will not affect a single piece of property

as far as expropriating the whole property. The Corps is also considering the

removal of trees in the levees or on the levee toe along the London Avenue and

17th Street Canals, and discussions are on-going as to how this matter will be

addressed. At some point the 15 foot free zone may run the entire length of the

levee on both sides of the canals.

Mr. Young showed six trees and shrubs in the area of the London

Avenue Canal which will be removed in order to drive sheet pile.

Commissioner Foley asked, if there is a more permanent solution

that replaces the structures in the Canal, would the 4-ft. length of sheet pile

remain above the levee?

Mr. Young responded the sheet pile may be left in and cut down to

the top of the levee, as long as that type of protection is not needed in that area.

He anticipated that with a pumping station at the front of the canal at the lake, a

14-ft. to 16-ft. elevation would no longer be required inside of the flood protection.

Mr. Young showed a diagram of a typical control structure, which

includes a series of gates, with pump platforms placed behind the structure. The

pumps will be driven by motors located on raised platforms outside of the canal.

The motors will be diesel driven, with approximately four days of diesel fuel to be

kept on site.

Ms. Anne Duffy, President of the Lake Oaks Neighborhood

Association, asked whether the Corps of Engineers will do anything about the

erosion behind the seawall.

Mr. Young responded the fill removed at the three sites where the

control structures will be built will be dried out, the Corps will assure there are no


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5

contaminants and then dispose of the fill along the Lakefront where it can be

used by the Orleans Levee District behind the seawall or in any other manner

needed.

President McCrossen pointed out that the Lakefront area will be

discussed under Communications.

Mr. Young advised that the Corps is working with Coconut Beach at

the 17th Street Canal. At the present time the entire yard is being utilized;

however, as construction is on-going, they will try to maneuver the yard and

determine what area can be freed to help Coconut Beach get back into

operation, since this facility provides revenues back into NORD.

President McCrossen thanked Mr. Young for his report.

II. APPROVAL OF MINUTES:

There were no corrections, additions or deletions to the minutes of

the Regular Board Meeting held on February 15, 2006; therefore, the minutes of

the Regular Board Meeting held on February 15, 2006 were approved as

submitted.

III. MOTIONS:

A. To authorize employment of the Godfrey Firm, P.L.C., as counsel to doand to perform legal and professional work relating to post Hurricane

Katrina general financial matters, subject to review and authorization bythe Legal Department or Chairman of the Legal Committee; to direct thatsaid engagement be submitted to the Attorney Generals office forapproval; and to authorize the President or appropriate Director to signany and all documents necessary to carry out the above.

Vice President Borne explained that Mr. Godfreys expertise is

needed to represent the Board before the Bond Commission, and in the area of

the Districts outstanding bonds and other financial matters. The contract has

been reviewed and is in the Districts new contract format, and Vice President

Borne recommended approval.

Mr. Godfrey outlined the scope of services, which includes meeting

with bond insurers, rating agencies and tax collecting entities, reviewing drafts of

the Finance Department staffs submittals to the Legislature for legislative

drafting purposes, and keeping the District in compliance with reporting


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6

requirements. At some point an interface will be necessary between the Orleans

Levee District and Division of Administration, and possibly the crafting of a

Cooperative Endeavor Agreement and working out how the finances will be

handled so as not to impair bond obligations. Services will be only at the request

of the Legal Committee, the President or General Counsel.

There was no further discussion on the motion, therefore,

Resolution No. 1-031506, offered by Vice President Borne, seconded by

Commissioner Saizan, was unanimously adopted, to-wit:

MOTION: 1-031506

RESOLUTION: 1-031506

BY: Vice President Allen H. Borne, Jr.Chairperson, Legal Committee

SECONDED BY: Commissioner Darrel J. Saizan, Jr.

March 15, 2006

R E S O L U T I O N

A resolution authorizing the President to engage the Godfrey Law Firm toperform services relating to post Hurricane Katrina general financialmatters, subject to review and authorization by the Legal Department orChairman of the Legal Committee.

WHEREAS, the Godfrey Firm, P.L.C. has the experience and

knowledge of the financial matters of the Orleans Levee District, and is ready and

available to undertake such engagement; and

WHEREAS, it is the recommendation of the Legal Committee that

the Godfrey Firm, P.L.C. be requested to do and to perform, from time to time as

directed by the District, comprehensive, legal and coordinate professional work

relating to post Hurricane Katrina general financial matters, subject to the review

for the necessity of such legal services and authorization of the Legal

Department, the President or the Chair of the Legal Committee (in said order);

and

WHEREAS, the aforementioned legal work shall include, but not be

limited to, comprehensive, legal, and coordinate professional financial work,

discussions with bond insurers, counseling regarding existing or potential


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7

defaults on outstanding bonds, assisting in preparing a financial recovery plan,

advice with respect to availability and remedies under Chapter 9 of the Federal

Bankruptcy Act applicable to political subdivisions of the state, assisting in

developing a Katrina Recovery Plan, borrowing, restructurings of outstanding

debt through the issuance of restructuring/refinancing bonds, coordinating and

authorizing a working capital financing facility, and other related matters; and

WHEREAS, the Godfrey Firm is to be compensated at the rates

approved by the Attorney General, as set forth below:

NAME: RESPONSIBILITY: HOURLY RATE:

Jarrell E. Godfrey, Jr. Supervising attorney $225.00

Elizabeth Earnest $175.00

Patrick Files $175.00

Julie G. Hines, CPA $135.00

John S. Godrey $100.00

Paralegals $ 35.00

WHEREAS, with respect to any post Katrina matter involving the

issuance of debt which is actually delivered, credit will be allowed for amounts

previously paid on the hourly rates basis, with respect to the issuance of such

issued debt against a fee calculated in accordance with the Louisiana Attorney

Generals fee schedule for Coordinate professional Work with Respect to

Revenue Bonds (the Fee Schedule); and

WHEREAS, the Godfrey Firm, at the request of staff and the Acting

President of the District, has been working on such matters since November 2,

2005, and the Firm shall be paid for activities relating to this subject engagement

from said date; and

WHEREAS, said engagement shall be submitted to the Louisiana

Attorney Generals office for approval.

BE IT HEREBY RESOLVED, That a real necessity exists to retain

special counsel experienced with financial matters and the debt structure of the

District, and accordingly, the Godfrey Firm, P. L. C., New Orleans, Louisiana, is


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hereby employed as counsel to do and to perform legal and professional work as

set forth in this Resolution.

BE IT FURTHER RESOLVED, That said engagement be submitted

to the Attorney Generals office for approval.

BE IT FURTHER RESOLVED, That the President or appropriate

Director be authorized to sign any and all documents necessary to carry out the

above.

AYES: Commissioners Borne, Foley, Hatfield, Saizan and Voelker

NAYS: None

ABSENT: Commissioners Green and Willard-Lewis

RESOLUTION ADOPTED: Yes

B. To select counsel for services related to Bohemia litigation and claims,and oil and gas matters; to direct that this Resolution be submitted to theOffice of the Attorney General for the State of Louisiana for approval; and

to authorize the President or the Director of Real Estate, Recreational andNon-Flood Assets to sign any and all documents necessary to carry outthe above. (Recommendation to be made and resolution to be presentedat Board meeting.)

Ms. Cornelia Ullmann, Interim Counsel, advised that Mr. Hoffmann

and representatives of Gordon and Arata were present. Mr. Milazzo was not in

attendance due to a scheduling conflict. Presentations were made at the Legal

Committee meeting.

Commissioner Foley stated this issue had been discussed at

several meetings he was aware of the immediate need for these services. He

indicated he had spoken with the individuals who had authority within the

Attorney Generals Office to assign counsel from the Natural Resources section

and was told yesterday that there was a probability that Attorney General Foti

could assign an oil and gas lawyer to the District at no cost for the balance of the

year. In order to afford Attorney General Fotis representative sufficient time to

speak with President McCrossen and Ms. Ullmann for confirmation,

Commissioner Foley offered a motion to table the motion for thirty days, which

was seconded by Commissioner Voelker and unanimously adopted.


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Ms. Ullmann pointed out the urgent need for assistance in the

routine Bohemia Spillway matters.

C. To ratify the agreement authorized with Broadmoor, L.L.C. for theemergency cleanup, installation of rip-rap and grading of the runways atthe New Orleans Lakefront Airport and installation of a temporary roof onthe Franklin Avenue Administration Building; to approve execution of awritten contract with Broadmoor, L.L.C. for said emergency services andfor the price and sum of $1,235,277.06, which shall not be exceeded, andthat funding be designated in the General Fund for FY 2006; and toauthorize the Chief Engineer/ Director Hurricane and Flood Protection ofthe Orleans Levee District or the President or Vice-President to sign anyand all documents to carry out the above.

Commissioner Voelker asked whether this cost could be dealt with

by the successive entity handling the Airport.

Mr. Stevan Spencer explained this cost has been submitted,

reviewed and priced out by FEMA, and should be 100 percent reimbursable as a

clean up cost.

Mr. Randy Taylor, Director of Aviation, added, funding should be

reimbursable either through FEMA or insurance proceeds.

Commissioner Foley clarified this is the ratification of an emergency

contract that was let some time ago.

Commissioner Saizan stressed, no matter which entity takes over

the Airport, the Airport has immediate issues that need to be solved and this work

needed to be done.

Vice President Borne stated Mr. Gerry Metzger, Legal Counsel, has

reviewed the contract and recommended it be capped at $1,235,277.06.

Commissioner Foley offered a motion that the contract that the

Board executes be approved with additional language that specifies the sum of

$1,235,277.06 is a ceiling which cannot be exceeded, which was seconded, and

unanimously approved.


Resolution No. 3-031506, offered by Commissioner Saizan, seconded by Vice

President Borne, was unanimously adopted, to-wit:

MOTION: 3-031506



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BY: Commissioner Darrel J. Saizan, Jr., Chairperson

Planning, Engineering and Construction Committee

SECONDED BY: Commissioner Allen H. Borne, Jr.

March 15, 2006

R E S O L U T I O N

WHEREAS, on August 29, 2005 Hurricane Katrina struck the State

of Louisiana resulting in catastrophic flooding and damage, including in the City

of New Orleans, and caused extensive damage to private property and public

facilities in southeastern Louisiana; and

WHEREAS,Hurricane Katrina caused emergency declarations to

be issued by Governor Blanco on August 26, 2005 and by President Bush on

August 27, 2005; and

WHEREAS, the impact of the Hurricane on New Orleans Lakefront

Airport caused catastrophic damage as a result of both wave/surge and wind

action, and mud from Lake Pontchartrain was deposited on the runways and

debris from the Airport facilities covered practically the entire 480 acres of the

Airport; and

WHEREAS, shortly after the Hurricane, the FAA notified the

Orleans Levee District that reopening the New Orleans Lakefront Airport as soon

as practicable was a top priority, and the District was also determined to have the

Airport reopened without delay; and

WHEREAS, the District was not in a position to commence the

work required to reopen the Airport with its equipment and employees; and

WHEREAS, the OLD was contacted by Broadmoor, L.L.C., a large,

well known local contractor, which offered its services to immediately begin the

Airport cleanup, and the offer submitted by Broadmoor was only extended for a

short duration because of the great amount of other work available to Broadmoor

for the restoration of Southeast Louisiana; and

WHEREAS, the Orleans Levee District had to act quickly to secure

the services of Broadmoor, L.L.C., which was an experienced company with a


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11

good reputation for the type of heavy work required to cleanup the runways and

reopen the Airport; and

WHEREAS, for these reasons, the District authorized Broadmoor to

start and complete the Lakefront Airport cleanup, and under the agreement

entered into with Broadmoor, charges for services rendered were to be based on

time and materials in view of the many unknowns involved in the cleanup work at

the Airport, including weather, the availability of personnel, and the equipment

necessary to access the site; and

WHEREAS, the services provided by Broadmoor included not only

debris removal at the Airport and installation of rip-rap along the Airport bulkhead

to fill eroded areas to prevent further loss and damage to the public

runway/taxiways, but also installation of a temporary roof on the Franklin Avenue

Administration Building; and

WHEREAS, Broadmoor, L.L.C. has submitted a statement for

services rendered pursuant to the authorized agreement in the amount of

$1,204,561.56 for the airport work and $30,715.50 for the roof repair, and the

statement has been reviewed by the Boards Engineering Consultant which has

recommended payment; and

WHEREAS, the cost of the airport emergency work is subject to

reimbursement by the Federal Emergency Management Agency.

BE IT HEREBY RESOLVED, That the Board ratifies the agreement

authorized with Broadmoor, L.L.C. for the emergency cleanup, installation of rip-

rap and grading of the runways at the New Orleans Lakefront Airport and

installation of a temporary roof on the Franklin Avenue Administration Building.

BE IT HEREBY FURTHER RESOLVED, That the Board approves

execution of a written contract with Broadmoor, L.L.C. for said emergency

services and for the price and sum of $1,235,277.06, which shall not be

exceeded, and that funding be designated in the General Fund for FY 2006.

BE IT HEREBY FURTHER RESOLVED, That the Chief

Engineer/Director Hurricane and Flood Protection of the Orleans Levee District or


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12

the President or Vice-President of the Orleans Levee Board be and is hereby

authorized to sign any and all documents to carry out the above.


NAYS: None



D. To approve a lease with Fluor Enterprises, Inc. for the JimmieWedell Hangar, including approximately 18,000 square feet of

hangar deck, plus approximately 184,000 square feet ofconcrete, at an approximate rental rate of $10,683 per month,to provide covered areas for maintenance and servicingpurposes related to the provision of FEMA trailers, for a periodof 90 days, extended monthly by mutual agreement; and toauthorize the President, Director of Real Estate, Recreationaland Non-Flood Assets, or the Director of Aviation to sign anyand all documents necessary to carry out the above.

Mr. Randy Taylor, Director of Aviation, reported a representative

advised yesterday that Flour Enterprises wishes to rent the Jimmie Wedell

Hangar, in lieu of the Walter Wedell Hangar, and an addition area, and estimated

the monthly rental at $9,640 per month, subject to modifications as needed.

Vice President Borne offered a substitute motion to include the

modifications requested by Mr. Taylor, which was seconded by Commissioner

Hatfield.

There was no further discussion on the substitute motion, therefore,

Resolution No. 3-031506, offered by Vice President Borne, seconded by

Commissioner Hatfield, was unanimously adopted, to-wit:

MOTION: 4-031506


BY: Vice President Allen H. Borne, Jr.Acting Chairperson, Finance Committee

SECONDED BY: Commissioner Brenda Hatfield

March 15, 2006

R E S O L U T I O N


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WHEREAS, the Board owns and operates New Orleans Lakefront

Airport, which is located on the south shore of Lake Pontchartrain in eastern New

Orleans; and

WHEREAS, on August 29, 2005 Hurricane Katrina struck south-

eastern Louisiana causing catastrophic flooding and damage including within the

City of New Orleans; and

WHEREAS, Fluor Enterprises, Inc., a California Corporation

authorized to do business in Louisiana, has been authorized by FEMA to

construct, provide and service temporary housing in Louisiana for residents

displaced by Hurricane Katrina; and

WHEREAS, Fluor Enterprises, Inc. presently leases a large parcel

of paved ramp at Lakefront Airport (the East Ramp) for the purpose of staging

and servicing FEMA trailers; and

WHEREAS, Fluor Enterprises, Inc. has additionally requested to

lease (as-is) one of the Wedell Hangars located on the east side of the Airport,

adjacent to the presently leased East Ramp, to provide covered areas for

maintenance and servicing purposes related to the provision of FEMA trailers;

and

WHEREAS, Fluor Enterprises, Inc. proposes to lease both a

hangar and adjacent ramp at rate of $1.50 per square foot per annum for hangar

deck and $0.55 per square foot per annum for paved ramp, for a period of 90

days, extended monthly by mutual agreement, subject to standard terms and

conditions for leases at the Airport; and

WHEREAS, the hangar and adjacent ramps are not in condition to

lease for aviation purposes and it is the recommendation of the Director of

Aviation that the lease be approved.

BE IT HEREBY RESOLVED, That the Board approves the

proposed lease with Fluor Enterprises, Inc. for the Jimmie Wedell Hangar

including approximately 18,000 square feet of hangar deck, plus approximately


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14

184,000 square feet of concrete, at an approximate rental rate of $10,683 per

month.

BE IT FURTHER RESOLVED, That the President, Director of Real

Estate, Recreational and Non-Flood Assets, or the Director of Aviation be

authorized to sign any and all documents necessary to carry out the above.


NAYS: None



E. To approve revisions to the Fiscal Year 2006 General Operating andMajor Maintenance/Capital Improvement Budget and Special LeveeImprovement Projects (SLIP) Fund Budget.

There was no discussion on the motion, therefore, Resolution No.

4-031506, offered by Vice President Borne, seconded by Commissioner Hatfield,

was unanimously adopted, to-wit:

MOTION: 5-031506


BY: Vice President Allen H. Borne, Jr.Acting Chairperson, Finance Committee

SECONDED BY: Commissioner Brenda Hatfield

March 15, 2006

R E S O L U T I O N

WHEREAS, by Resolution No. 4-011905, the Board approved the

General Operating and Major Maintenance/Capital Improvement Budget, and

Special Levee Improvement Projects (SLIP) Fund Budget for Fiscal Year 2006 to

provide for required expenditures for personnel services, contractual services,

operating supplies, equipment, annual debt service and capital projects; and

WHEREAS, a review of the operations to date indicates that for

accounting purposes, budget revisions and adjustments are necessary to be in

budgetary compliance in several areas of the general operating and SLIP Fund

budgets, all as indicated on the financial schedules attached hereto and made a

part hereof:


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General Operating Budget

1. Decrease in Revenues $ 15,158,302

2. Decrease in Expenditures $ 4,807,726

3. Increase in Other Financing Sources $ 750,000

4. Increase in Other Financing Uses $ 743,324

5. Accumulated Prior Year Funds $ 10,342,225

SLIP Fund Budget

1. Decrease in Revenues $ 7,140,394

2. Decrease in Expenditures $ 900,000

WHEREAS, the foregoing adjustments are determined to reflect the

projected operating requirements based on the latest revenue and expenditure

estimates.

BE IT HEREBY RESOLVED, That the revisions to the Fiscal Year

2006 General Operating SLIP Fund budgets are approved.


NAYS: None



F. To approve the Fiscal Year 2007 General Operating and MajorMaintenance/Capital Improvement Budget and Special LeveeImprovement Fund Budgets.

Commissioner Foley requested, in order to have sufficient time for

detailed discussion and to receive input from the Coastal Protection and

Restoration Authority (CPRA), which will be meeting with the Districts staff on

Monday, that a decision on the budget be postponed and that the Board have a

Special Board Meeting devoted exclusively to these budgetary matters. He then

offered a motion to table the motion for a period of three weeks to be brought up

at a Special Board Meeting to be called by the President prior to March 31, 2006,

which was seconded by Commissioner Voelker.

Commissioner Voelker asked about the oil and gas report and

assumptions, which he felt should be a part of Mondays meeting with the CPRA.


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President McCrossen indicated everyone was e-mailed the oil and

gas report, and after the Committee meetings the recommended budget was

forwarded to the CPRA. He further invited any Commissioner who wished to

attend to Mondays meeting with the CPRA.

After a brief discussion the Board agreed on a date and time for the

special meeting, and Commissioner Foley amended his motion to table the

motion to be brought up at a Special Board Meeting on Thursday, March 23,

2006 at 11:00 a.m., and that the President be directed to issue the appropriate

notice to call the Special Board Meeting, which was seconded by Commissioner

Voelker, and unanimously adopted.

G. To approve and authorize Professional Service Contracts with theconsultants listed in this resolution to complete the associated projects; toprovide that the awarded projects be prioritized and authorization toproceed to depend upon the financial ability of the District to fund theprojects within the contract; to provide that the appropriate Director direct

additional work items as identified by FEMA to any of the consultantslisted through Supplemental Agreements; and to authorize the President,Director of Real Estate, Recreational and Non-Flood Assets or theDirector of Hurricane and Flood Protection to sign any and all documentsnecessary to carry out the above.

Ms. Ullmann advised a copy of the substitute motion was provided

to the Commissioners, which revised some of the language to clarify the intent.

Mr. Louis Capo, Director Real Estate, Recreational and Non-Flood

Assets, explained the Engineering Department advertised a Request for

Qualifications and responses were received from five civil engineers, two

architects and one electrical engineer, all of which were qualified. The selection

committee met and scored the firms and the proposed assignments were

included in the resolution.

Mr. Gerry Gillen further explained, after evaluating and rating the

firms, the selection committee looked at the strengths of each firm and developed

this list. Fees offered for design services were limited by the FEMA curve;

therefore, those firms experienced and familiar with certain projects were

designated to continue work on those projects. FEMA will pay for 90 percent of

uninsured projects, and the Orleans Levee District will have to come up with 10

percent. The District has received $6 million of the estimated $13 million of flood


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and wind insurance proceeds, which is available to begin work, and

approximately $7 million of FEMA funds are in the Baton Rouge account

available for FEMA projects.

Commissioner Saizan expressed his concern about the recovery of

the lakefront park area.

Ms. Ullmann pointed out the Orleans Levee District is the local

sponsor, however, in the past the State has shared in 10 percent local share for

FEMA projects.

Mr. Gillen explained the Airport and South Shore Harbor buildings

were insured; however, the bulk of the projects, which were not buildings, are to

be funded by FEMA. The District is going forward with the design of the projects

and the 10 percent match for design will be small; however, the larger 10 percent

match for construction will need to be discussed. Architects will do an

independent structural analysis to determine whether a building should be

repaired. Projects will be prioritized, and, in order not to over obligate the

District, funding for those projects last on the priority list may be used initially to

fund some of the higher priority projects to get those facilities back into

commerce.

Vice President Borne asked that the Board be appraised if funding

is taken from one project to fund another.

Ms. Kiefer reported the South Shore Harbor Harbormaster Building

maxed out the flood insurance at $332,800 and the amount for wind damage has

not yet been received.

Mr. Bob Maureau, Senior Marina Manager, advised the South

Shore Harbor Harbormaster Building has been infested with termites for many

years and is located on Airport property. He recommended the building be

demolished and relocated to marina property.

Vice President Borne asked whether the Harbormaster Buildings

funding could be used for the design of a new building, and Mr. Gillen responded


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that could be done, and if the building is under-insured, FEMA could be

approached relative to an alternate project for additional funding.

Mr. Capo pointed out that any monies provided by FEMA for a

certain project must be used for that project.


Resolution No. 5-031506, offered by President McCrossen, seconded by

Commissioner Saizan, was unanimously adopted, to-wit:

MOTION: 7-031506


BY: President Michael P. McCrossen

SECONDED BY: Commissioner Darrel J. Saizan, Jr.

March 15, 2006

R E S O L U T I O N

WHEREAS, the Orleans Levee District sustained catastrophic

damage to the majority of its facilities as a result of Hurricane Katrina; and

WHEREAS, the facilities located at the New Orleans Lakefront

Airport, South Shore Harbor, Orleans Marina and Lakefront roadways and

recreational areas require repair for safety and revenue production for the

District; and

WHEREAS, the District was insured for flood and wind on a

majority of the facilities, and those facilities under-insured or not insured will be

repaired with FEMA funds; and

WHEREAS, insurance proceeds and FEMA funds are in the

process of being received by the District; and

WHEREAS, in order to move forward with the repairs, the District

requires the services of architects, civil engineers and an electrical engineer to

prepare plans and specifications for public bid; and

WHEREAS, a Request for Qualifications was advertised and

Statements of Qualifications (SOQs) were received on March 3, 2006 for

architects and engineers; and


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WHEREAS, the SOQs of the single electrical engineer, two

architects and six civil engineers were evaluated by an in-house selection board

and all firms were determined to be qualified for the required services.

BE IT HEREBY RESOLVED, That the Board approves and

authorizes Professional Service Contracts with the following consultants to

complete the associated projects:

Civil Engineers

ECM Consultants, Inc. - Airport projects, including sewerage pumpstations, wash rack, fuel farm retention walls and southwestretaining wall drainage.

Design Engineering, Inc. Lakeshore Drive Reaches 1, 2, 3, 4 and 5repairs to utilities, roadway, erosion, and any futuremitigation allowed by FEMA.

Burk-Kleinpeter, Inc. Orleans Marina and New Basin Canal facilities.

Shaw-Coastal, Inc. South Shore Harbor, including clean-up, repairs to

piers and utilities.

Hartman Engineering, Inc. Seabrook Boat Launch and picnic area,South Shore Harbor floating piers, roadways, parking areas,aids to navigation.

Architects

Murray Architects, Inc. Orleans Marina Harbormaster and SchubertMarina Buildings; South Shore Harbor Harbormaster, publicrestroom, guard house, boathouses, and east marina

buildings; Lake Vista Community Center building and sign;Lakefront picnic shelters, bus stops, police station, andplayground equipment; Franklin Facility Warehouse and LoftBuildings.

Richard C. Lambert Consultants, L.L.C. New Orleans Lakefront AirportAdministration Building, Hangars, FAA Building and firestation.

Electrical Engineers

Burk-Kleinpeter, Inc. New Orleans Lakefront Airport main powerdistribution system and twenty electric vaults andtransformers.

BE IT FURTHER RESOLVED, That the awarded projects be

prioritized and authorization to depend upon the financial ability of the District to

fund the projects within the contract.


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BE IT FURTHER RESOLVED, That the appropriate Director direct

additional work items as identified by FEMA to any of the consultants listed

through Supplemental Agreements.

BE IT FURTHER RESOLVED, That the President, Director of Real

Estate, Recreational and Non-Flood Assets or the Director of Hurricane and

Flood Protection be authorized to sign any and all documents necessary to carry

out the above.


NAYS: None



IV. COMMUNICATIONS:

1. Discussion of Lakeshore Drive.

Mr. Stevan Spencer reported the Corps of Engineers will provide

the District with fill material from its projects through July 1st, which can be used

in the area between the seawall and the north side of Lakeshore Drive. FEMA

has proposed a half-million dollar mitigation project for at least one section

between the roadway and seawall, similar to the promenade in front of the Mardi

Gras Fountain, and should that section be approved, FEMA will proceed with

other sections along the Lakefront. Storms and northeasters have been eroding

the area behind the seawall for years, causing the District to expend a lot of

money to clean the roadway and replace the fill.

President McCrossen pointed out the seawall is not considered a

Federal project; therefore, the Orleans Levee District has had to foot the bill to

refurbish that area. FEMA has now been asked to intercede. President

McCrossen explained he has asked the Coastal Protection and Restoration

Authority for assistance, and they have turned to the Governor and petitioned

Congress to include the seawall as a Federal area in order to receive funding.

Mr. Spencer pointed out there are two particularly bad areas--one

at Canal Boulevard and the lake, and the second in front of Shelter 2. He further


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advised the District no longer has roadway and bridges insurance, and there are

no lights along Lakeshore Drive, and that staff is concerned about safety along

the roadway itself and has discussed closing the north side lane in sections with

special signage to prevent possible problems, and closing the entire area north of

the roadway to the seawall due to scouring. The two south side lanes (east

bound) and one north side lane (west bound) would be remain open. The

Engineering Department is attempting to obtain estimates for temporary repairs

for the area around Shelter 2.

Chief Richard Lewis, OLD Police Superintendent, expressed

concern about the safety of the area, and felt since there are currently no

restroom facilities and the park is torn up, if the Board could not close the area in

its entirety, then it should at least be closed at night for safety reasons.

Ms. Carol Kiefer, Auxiliary Services Director, concurred, advising

the green space is unsafe due to holes and debris, and until the area can be

cleaned for its intended purpose, it should be closed.

Commissioner Saizan asked whether a plan was in place to clean

the area.

Mr. Spencer explained in the past week a great deal of trash has

been cleared and the Corps of Engineers has been removing stumps that were

not previously removed and backfilling holes. Welders will be sent to cut the

rebar sticking out from the broken bench foundations. Playground equipment

has been fenced off with safety fencing, and the Engineering Department is

looking into fencing the Shelterhouses due to safety hazards such as loose

bricks.

President McCrossen commented that everyone is in agreement

that the seawall side should be closed to all pedestrian traffic and that no

vehicular traffic should be allowed to park on that side due to damage. The

question remained as to what degree and how effectively could the green space

be limited to pedestrian traffic.


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Vice President Borne indicated, in view of the fact that the District

does not currently have liability insurance and of the conditions along the

lakefront, the Board should consider staffs recommendation.

President McCrossen advised it was felt a Board decision was not

necessary, and that an internal decision would be made by staff; therefore this

item was placed on the agenda as a Communications item so that it could be

brought before a public forum for input. He felt, until the District has a specific

plan, and the money and manpower to implement it, the seawall side of the

roadway should be closed. He asked Mr. Stevan Spencer, Director of Hurricane

and Flood Protection, and Mr. Louis Capo, Director of Real Estate, Recreational

and Non-Flood Assets, to develop a formal plan, immediately closing the most

dangerous area and closing the area during the night, and present it to the

Board.

Commissioner Foley asked whether the nighttime closure was also

for vehicular traffic, and Chief Lewis responded that vehicular traffic could be

allowed and the District could determine whether traffic could effectively be kept

moving through the area.

Commissioner Saizan asked that part of the next report on

Lakeshore Drive include what assistance can be expected from FEMA and/or

any other entities, and further commented, even if the District can only make one

side of Lakeshore Drive safe for public use, then it should attempt to do so.

Mr. Albert Pappalardo commented the Districts Police Chief and

insurance manager have come before the Board, and the District does not have

liability insurance; therefore, the Board would be taking a tremendous risk

allowing anyone to negotiate the green space. Six months ago, one could travel

on Lakeshore Drive; however, there was a check point with two National

Guardsmen at one end and periodically throughout. He did not see a problem

with allowing vehicular traffic to continue moving through the area; however, until

such time as the hazards on the green space can be identified and quantified, he

asked, why wouldnt the Board consider making the entire Lakefront off limits


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because of safety reasons, but allow traffic to flow. He suggested more work

could be done if time and money are not spent just fencing hazards.

A clarification was requested on this item, and Ms. Ullmann replied

her understanding was that a staff decision would be made based on the

Insurance, Legal and Police Departments determinations as to safety.

2. Discussion of retaining the services of a public adjuster.

President McCrossen commented he had voiced his displeasure in

the process delay and asked Mr. Avegno to outline his roll.

Mr. Tim Avegno with Eagan Insurance Agency explained, as the

agent for the property insurance, his duty is to notify the insurance company at

the time of loss, which was done in late August-early September. The Orleans

Levee District must then furnish proof of loss, which has been done since

September. Hartford used independent adjustors to analyze the damages for the

past six to seven months. Hartford has come up with a summary of what they

feel is wind damage, and in turn it is up to the District as the insured to either

agree or disagree with that summary. When the advance payment was delayed,

Mr. Avegno called the Boston office and had the check in the amount of

$947,000 delivered within the week. He explained, the District has yet to agree

or disagree with Hartfords figures, and the only way to do that is to get bids for

the damages, and determine whether the District agrees with the assessment of

flood vs. wind damage. The problem with the Districts engineering survey of

damages which was done in November was that it did not differentiate between

flood and wind damage. The District was given a summary of every building

analyzed and replacement cost vs. actual cash value is provided. The actual

cash value was used for Hartford to come up with the $947,000 advancement;

however, replacement cost will eventually be awarded once the damages are

replaced or repaired.

Ms. Kiefer further explained this is an on-going process--as bids

come in, they are submitted to the adjustor and the insurance company pays that

particular amount. Also, supplemental claims can be submitted.


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Commissioner Foley commented in some instances the in-house

engineering staff may be in a position to agree or disagree with Hartford relative

to wind damage, and the list could be narrowed to those instances where further

investigation is warranted and a structural engineer may be necessary.

Ms. Kiefer pointed out that the engineers and architects approved

today will used on these projects, and Mr. Gillen further advised the first task for

these architects and engineers will be to assess the projects which they are

assigned, and determine whether additional insurance proceeds should be

received for wind damage. These architects and engineers will be redesigning

these projects, therefore, they will be in a position to assess the true damage.

Commissioner Foley pointed out, in addition to assessing the true

damage, they must offer opinions in writing as to the cause of the damage.

V. COMMITTEE REPORTS:

A. STANDING COMMITTEES:

1. Ethics and Policy Committee:

No meeting held, therefore no report.

2. Executive Committee:

No meeting held, therefore no report.

3. Finance Committee and Planning, Engineering and ConstructionCommittee:

Minutes of joint Committee meeting were included in agenda packet.

B. SPECIAL COMMITTEES:

1. Legal Committee:

Minutes of Committee meeting were included in agenda packet.

VI. PUBLIC COMMENTS:

Commissioner Foley asked whether the District was being

conscientious on a timely basis with its obligations relative to DBE requirements.

Mr. Louis Capo advised engineering and architectural firms are

required to address their DBE participation.

Ms. Nina Marchand, Compliance Director for the DBE program,

stated there was a problem with the Airport project and that a call was received


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25

from the FAA advising the District is about to receive $12 million and they did not

see goals on these particular projects. She stated she has been attempting in

the last month to obtain the actual FAA application, and even though the dollar

figures may not be the entire amount to be received, she would be able to put on

a wish list goals on those projects, and when the actual monies are received

adjustments could be made and submitted to the FAA. Tentative goals were

submitted to the FAA today, and those goals will probably come back with minor

adjustments. She stated she used all of the data needed to be used to get to this

point, but stressed the need to receive information early in the process. Goals

will be included in the project bids, however, goals have not been placed in the

designs. She stated she assured OIG today there was still time to place these

goals. She further explained the need to be involved early in the process in order

to develop forms and to advertise for community input.

Commissioner Foley commented these are Federal regulations and

the District did not want to frustrate any efforts to secure funding for the Airport,

and asked when was the goal due.

Ms. Marchand advised the goal was due on August 1, 2005, and

was extended to March 1, 2006. She stated the reason this was not submitted

on August 1st was because she was not given a wish list; i.e., Capital Outlay

Projects or anything related to the FAA, on August 1st.

Commissioner Foley asked Ms. Marchand whether she was in a

position to rectify any delays and get this brought up to speed so that the FAA is

not upset.

Ms. Marchand replied, correct.

Mr. Gerry Gillen advised years ago the Board expressed a 16

percent goal, which is placed in all advertisements for projects. After projects are

awarded, Ms. Marchand assists in getting local DBE firms involved. The last

FAA project met the 16 percent goal. He pointed out the FAA grant is not a block

grant, but has been split, and, his understanding was, as long as there is

participation under one of the other parts of the grant, it would reach the goal.


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Richard Lambert and Associates will be using a DBE firm for inspection and

testing, which is a very large contract and a significant percentage towards the

total goal.

Ms. Marchand pointed out that under special legislation that was

passed goals were due by March 1st on the $12 million total grant.

President McCrossen stated he has requested Mr. Capo and Mr.

Spencer to crystallize this situation.

Mr. Capo pointed out that one of the engineering firms selected and

approved is a DBE firm.

Commissioner Foley commented, if the overall goal is met, it is not

critically important that it is met across the board, so long as the total dollars of

the $12 million equals the desired goal.

VII. EXECUTIVE SESSION:

1. ODwyer v. USA, et al, USDC EDLA 05-4181;2. Lambert v. OLD, et al., USDC EDLA 05-5931, CDC 2005-12295;3. N-Y Associates, Inc. v. OLB, La. 4th Cir. 04-CA-1598;4. Phillips Land Co., Inc. V. OLD, 25th JDC 52-857;5. OLD v. DNR, Phillips Land Co., 19th JDC 537,925;6. Union Title v. OLD, 19th JDC 537,924;7. OLD v. Union Title, 25th JDC 52-856;8. Succ of Carter Ursin, et al v. OLD, 25th JDC 53-112;9. In Re Isabelle Stevens Conner, 25th JDC 52-539;10. OLB v. Belle of Orleans, Civil District Court Case No. 06-283, Div. L;

11. OLB v. Belle of Orleans, USDC, Southern District of Alabama; and12. Discussion of security issues relative to the Naval Reserve Station

located on Lakeshore Drive.

Commissioner Foley offered a motion to convene in Executive

Session to discuss the items stated on the agenda, which was seconded and

unanimously approved by a roll call vote. The Executive Session convened at

3:25 p.m.

The Board reconvened in regular session at 4:00 p.m.

Ms. Ullmann, Interim Counsel, advised the Board met in Executive

Session and no action was taken.


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VIII. ADJOURNMENT:

Due to the absence of a quorum returning from the Executive

Session, Commissioner Foley offered a motion to adjourn the meeting, which

was seconded and unanimously approved; therefore the meeting was adjourned

at 4:02 p.m..

Respectfully submitted,

_________/S/

__________________

LOUIS J. CAPO,SECRETARY

I, Louis J. Capo, Secretary of theBoard of Commissioners of theOrleans Levee District do herebycertify that the foregoing is a true andcorrect copy of the minutes of the Boardmeeting of March 15, 2006.

_________/S/

_________________LOUIS J. CAPO, SECRETARY

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