Secrecy legislation advances

• By MICHELLE MILLHOLLON
• Advocate Capitol News Bureau
• Published: Apr 3, 2008 - Page: 1A - UPDATED: 12:05 a.m.

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A Senate committee advanced legislation Wednesday that would allow state government to continue to negotiate behind closed doors with businesses.

Economic Development Secretary Stephen Moret said the state stands to lose the opportunity to land thousands of new jobs if negotiations cannot be conducted in secret.

On large projects, businesses often require “an absolute commitment of confidentiality” because they are contemplating locations in multiple states, he said. Louisiana officials also do not want other states to know what incentives they are offering, he said.

“We’re in a competition that’s growing more and more challenging every day,” Moret told the Senate Committee on Commerce, Consumer Protection and International Affairs.

The panel approved the legislation without objection.

Four years ago, then-Gov. Kathleen Blanco held private talks on a deal her administration simply referred to as “Project U.”

Project U turned out to be Union Tank Car, which built a manufacturing plant near Alexandria.

Senate Bill 343 would extend the Department of Economic Development’s ability to conduct confidential negotiations to July 1, 2012.
Currently, state law allows businesses to request that active negotiations with the department be kept confidential. The confidentiality is authorized through June 30.

The law requires the department publish notice of the confidentiality agreement no more than 10 days after determining secrecy is necessary.

At the end of negotiations, records related to the talks are supposed to be open to the public.

Carl Redman, executive editor for The Advocate, said the public should at least know the type of projects that are considering coming to Louisiana.

“We just believe that sunshine has a sanitizing effect and that sunshine is not going to jeopardize the long-term economic growth of the state,” Redman said.

Sen. Mike Michot, R-Lafayette, said a business may consider several locations in Louisiana.