Study: Jobs, growth on tap for SW La.

Published 10:00 am Saturday, November 8, 2014

As several of the billion-dollar industrial projects get under way in Southwest Louisiana, the region could see employment grow by nearly 5 percent a year over the next five years, along with 22,000 new residents, according to a report issued Friday that details the effects those projects will bring.

Funded by Sasol for an undisclosed seven-figure amount, the Southwest Louisiana Regional Impact Study was discussed in front of dozens of local officials and business leaders at the Lake Charles Civic Center. Baton Rouge engineering and planning firm CSRS, along with other firms in the state, spent nine months developing the 300-plus-page report.

“Our entire region is going to see challenges that have not come before us,” said Travis Woodard, a principal with CSRS. “In order to tackle those challenges, we are going to have to approach (them) with a different mindset.”

Email newsletter signup

Employment

If the employment rate reaches its projected 4.7 percent annual growth rate, Lake Charles “will likely be the fastest-growing employment center in the country,” Woodard said. While local residents will have job opportunities, he said the real challenge will lie in filling the jobs that will become available.

“People across the country would love to have this sort of scenario in their backyard,” he said. The region’s unemployment rate is forecast at 3 percent, compared with the current national unemployment rate of 5.8 percent.

Growth, housing

More than 65 percent of the people who are expected to move into Calcasieu Parish will live in the unincorporated areas, Woodard said. Moss Bluff, Carlyss and south Lake Charles are expected to see the most growth.

With that growth will come more demand for housing, including more than 14,000 temporary dwelling units and 8,000 permanent homes. The region now has about 80,000 households.

The temporary housing demand is expected to peak in 2016. Right now, Woodard said, the region is more than 7,000 units short of filling that need.

“You can either continue and look for opportunities to bring in worker villages, or you need to build more hotel/motel apartments that can then become vacant after these folks leave,” he said.

Woodard said the average sale price of homes is up more than 14 percent over last year, and the average monthly rent is up by $300. These increases, he said, could cause a rise in the homeless population as rents move beyond the reach of some people.

He said the region should be careful “not to overbuild” or be too aggressive with development.

There will also be more permit requests for development.

Woodard said the growth will put a strain on government services, like water and sewer, especially in unincorporated areas.

Services

The study predicts a 45 percent total increase in traffic delays, according to figures from this year. Freight output, including water, rail and pipeline, could double by 2021, Woodard said.

He said the existing transit systems “underperform some of our peers” and especially larger cities. Woodard said officials should look into improving that service to reduce the strain on traffic.

Schools could see 6,000 more K-12 students by the year 2019, with 5,000 attending schools in Calcasieu Parish, a 15 percent increase in enrollment, he said. The study also showed Moss Bluff and south Lake Charles now have the most crowded schools.

Woodard said the region would have to add about 75 new hospital beds to maintain the ratio of bed count to population. He said medical services will be strained and that employee villages could become problematic in controlling the spread of illnesses.

Comments

The study was developed from interviews with more than 200 elected officials, residents and business leaders and was based on the $68 billion in capital expenditures announced over the summer. Calcasieu Police Juror Hal McMillin said the latest figures are estimated at $85 billion.

The report was led by the Southwest Louisiana Task Force for Growth and Opportunity, or Go Group. McMillin, Go Group chairman, said the study can assist local officials in handling the growth. He said it is vital that the region maintain its quality of life.

Lake Charles Mayor Randy Roach said the region has room to accommodate growth but that “the question is how are we going to grow.”

Calcasieu Parish Administrator Bryan Beam said the study is a starting point and that each entity will review the full report and move forward on plans to prepare for the growth ahead.

The Southwest Louisiana Economic Development Alliance is expected to release the Southwest Louisiana Regional Housing Strategic Plan, also being developed by CSRS, in January.

l

Online: www.gogroupswla.com.(MGNonline)