Council Members, Ladies and Gentlemen:

It is with great excitement that the president's report is delivered this evening. As we reach the 18 month mark of the current term in office, a quick review of the status of our Recovery and Growth indicates continued progress and momentum in many areas.

In Water and Sewer, we started with one lift station operating out of 92, today we have 88 lift stations in operation. Despite the challenges of a gravity sewer system that is under repair as well, the lift stations have moved steadily toward total completion. We started with not a single fire station under repair; today we have three completed stations and seven under construction. Even with the current challenges regarding station number 5, all stations are on schedule to be completed at the first part of 2010. We started with no street repair program in place, to date we have obtained approval for some 77 million dollars and 20 miles of parish streets. With 5 miles of completed street repairs being completed, another estimated 50 miles will become eligible for repair. We started with no improvements to our recreation fields and facilities, today we have two new gyms scheduled for completion in August and two repaired gyms to be completed in August as well. The Val Reiss Complex project Phase I is nearing completion with four new fields, a new concession/restroom building, new bleacher and visitor covers, new lighting, and a new walking/jogging path under construction, with Phase II which includes four additional fields, an additional concession/restroom building and climate controlled bistro, additional bleachers and visitor covers, additional parking, lighting, and batting cages. The Phase III design is at significant completion and scheduled for bid next month. Improvements to a vacant and blighted Hannan Complex began and now include new lighting, three new fields, a new concession/restroom building under construction, a new youth center under construction, and renovations to the stadium field under way. And a new Violet #2 field complex under construction with lights, new dugouts, off-street parking, and an improved concession/restroom building.

Additional milestones include the MRGO closure and hurricane protection system reaching final design, a new ballroom and an auditorium now under construction, a newly renovated government building and completed Council On Aging Building, the start of construction of the new Animal Control Shelter, the completion of the public works building, the construction of the water and sewer office building, the demolition and reconstruction of the Aycock Barn, renovations underway at the parish water towers, newly designed and construction of the 22 parish pump stations, a completely newly renovated plan and design of the public works main yard building and mosquito control facility. The start of construction of a new St. Bernard

Sheriff's Administration Building is also underway as well as the restoration of the government complex grounds and Torres Park. Over 25 canal crossing projects are also under design. Also the design on the historical repairs to the St. Bernard Parish Courthouse, the start of design on the entrance way landscape projects, and the canal cleaning projects with NRCS have all started. The elimination of the blighted Village Square area is underway with almost 30 properties having closed and approximately 30 more scheduled for the next couple of weeks.

Related landmark progress includes the Hospital Service District beginning design on the hospital project, the anticipated opening of Walmart and the continued support of the local business community, the start of the construction and renovations to the Islenos Complex and Museum, the demolition process nearing its completion and the start of the slab removal process, the completion of the repair of 90% of all parish street lights, and the start of numerous civic and social programs through the partnership with the residents and businesses of St. Bernard Parish. It is indeed exciting to report on the progress of our community as we continue to move from Recovery to Growth.

It is important to note that despite the strides that we have made, there is still a great deal of work to be done. Internally, we will continue to improve our level of responsiveness for all citizen needs. Recent adjustments and a new case management system is currently being implemented to the Resident Services Department and to the Community Development office and are anticipated to streamline both departments. As projects are moved forward and closeout activities become the focus, a significant amount of attention will shift to documentation procedures, including accounting of project costs and project worksheet reviews. Our recent 2008 audit identified several areas of federal funding activities that will require an increased level of detail which will directly support the proper close out activity.

The 2008 Financial Audit is complete and we are awaiting the final release from the auditors. There were 19 findings cited in the audit but the audit was an unqualified audit. While we continue to make significant strides to establish a financial accounting of activity dating back to 2006, the current audit reflects a few primary areas in need of attention. Specifically, the audit report supports current sound fiscal operations but is in need of a more accurate monthly reconciliation of accounts so as to lessen the year end citations of audit activity.

As grant funding has been exhausted for the WIA employees assigned to grass cutting, a modified approach to addressing the abandoned lots is being implemented. As noted in discussions with Mr. Cavignac, local established lawn service companies are being solicited to partner with St. Bernard Parish Government to address properties much in the same way that local civic groups are in that cutting properties and being in line for the lien of the property for payment. Partial pay plans are also being explored as well.

Great news has been received in terms of one of the many coastal projects that are being sought. St. Bernard Parish in conjunction with Coastal Environments, Inc., The Nature Conservancy, and the State of Louisiana, supported by our federal delegation has been chosen as a site for a 4 million dollar oyster reef project. The project was selected on a competitive basis out of some 700 proposals and scored in the 98th percentile. The goal of the project is to accelerate the growth of marshlands as part of the coastal restoration efforts in St. Bernard Parish. The target area of the project is in the northern basin of the Breton Sound area. The project will involve the creation of oyster reefs by planting reef frames in the marsh and using oysters to produce mud flats as a foundation for marsh land recreation.

As a result of the last two trips to Baton Rouge by our council-administration contingent, the LHFA subcommittee on multi-family housing will be visiting St. Bernard Parish next week on Monday, July 13, 2009. The visit will include a driving tour of the parish, a meeting with civic leaders and land owners, as well as a public gathering during which residents who have registered in advance will be allowed to address the subcommittee members. A dinner with elected officials and the committee will follow. The public portion of the meeting is scheduled to take place at 5:15 - 6:00 p.m. in the council chambers.

Finally, it is with great joy that I announce on behalf of Col. and Mrs. David Dysart the birth of their daughter, Elyse Claire, born July 6, 2009. Nicole and the Colonel's "e-Claire" are doing well.

Craig P. Taffaro, Jr.
St. Bernard Parish President