Shreveport hears proposals to increase revenue
Chesapeake to drill in southwest Shreveport in next few months.
By Adam Kealoha Causey • acausey@gannett.com • June 24, 2009


Shreveport City Council members Tuesday heard three proposals that eventually could raise more revenue for the city's tight budget.



One would mean leasing public property to Haynesville Shale natural gas producer Chesapeake Energy Corp. The company plans to drill soon in southwest Shreveport, according to Kevin McCotter, Chesapeake Energy's corporate development director for Louisiana.

"We will be drilling wells in these sections in the coming months. We would love to get this city acreage under lease."

The 500 or so acres, McCotter said, are among some 2,500 Shreveport put out to bid through the Louisiana Mineral Board in October. The city set a minimum up-front bonus payment at $27,500 per acre, but no companies offered.

"Obviously, the market has changed," McCotter said. The going rate for lease bonuses is $700 to $900 an acre.

Council members stayed quiet on McCotter's talk but chimed in during a public hearing on local proposals to regulate oil and gas production.

Jodee Bruyinckx, director of north Louisiana for the Louisiana Oil and Gas Association, asked council members to hold off approving local laws until after they review the state conservation commissioner's regulations for the Haynesville Shale.

Councilman Calvin Lester said the intent of local regulations wouldn't be to hinder business. "We look at it as our attempts to use our police power to protect our citizens."

Other money talk centered on collecting fines.

Shreveport's new volunteer parking collection guru, Paul Glanville, soon should start administering hearings to ensure use of the city's "smart boot" vehicle locks is fair, Downtown Development Authority Director Don Shea said. The agency oversees Shreveport's parking meters.

"When I left office to come over here," Shea said during the council meeting, "Mr. Glanville was being oriented and briefed in our office about his new duties."

Smart boots are electronic devices that can be unlocked remotely when drivers pay fines with credit cards, Shea said. Vehicles with three or more overdue fines could be booted.

Right now, some 2,100 drivers face the boot, Shea said. If they pay up, $364,000 would go into city coffers.

The mayor's office still is pondering using collection agencies for other fines, similar to the companies that collect on bills for water, sewer and ambulance services.


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