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New Orleans Public Belt Railroad board to meet Wednesday to consider 'disciplinary action'

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Offering the first evidence that James Bridger, the embattled general manager at the New Orleans Public Belt Railroad, is in trouble with his bosses, the board that oversees the agency's operations has scheduled a special Wednesday meeting to consider "disciplinary action" against its top official. The meeting agenda does not elaborate on what options board members may discuss regarding...

Offering the first evidence that James Bridger, the embattled general manager at the New Orleans Public Belt Railroad, is in trouble with his bosses, the board that oversees the agency's operations has scheduled a special Wednesday meeting to consider "disciplinary action" against its top official.

new_orleans_public_belt_railroad_building.JPGNews reports have revealed a culture of extravagance at the century-old, state-chartered New Orleans Public Belt Railroad, which oversees 100 miles of railroad track and the Huey P. Long Bridge.

The meeting agenda does not elaborate on what options board members may discuss regarding Bridger, whose extravagant spending practices have been under review by state auditors for several months.

The meeting notice says the board may meet behind closed doors in "executive session to discuss this matter." By law, public agencies can review personnel issues out of public view.

The agenda also says the board might hold a closed-door session to discuss "allegations of misconduct" at the agency that were investigated by the railroad's special counsel, New Orleans attorney Walter Becker.

Since news reports last month revealed Bridger's lavish spending habits and other allegations related to his management, board members have referred all questions about Bridger and the agency's fiscal policies to Becker, a former federal prosecutor who was hired in June to conduct an internal probe.

Representatives of the state legislative auditor's office began reviewing the railroad's books in May. A draft report on the audit's findings is expected to be completed soon.

Lavish spending

News reports have revealed a culture of extravagance at the century-old, state-chartered agency, which oversees 100 miles of railroad track and the Huey P. Long Bridge. Though the Public Belt is financed by user fees and receives no tax revenue, its assets are owned by the city, and it operates tax-free.

The railroad's fiscal practices also have drawn the attention of Mayor Mitch Landrieu, the city's inspector general and the watchdog Metropolitan Crime Commission.

Among the issues under scrutiny are credit-card charges by commission staffers, which averaged more than $145,000 annually between 2007 and 2009, with much of the spending on meals, rampant overtime and the use of two 1920s-era railroad cars -- acquired and restored by the agency for about $2 million -- to host boozy catered parties for prospective clients, commissioners and local charities.

Bridger, who was hired in 2001, has defended his practice of dining out almost daily on his public credit card and authorizing other eye-popping expenditures.

jim_bridger.JPGIn July, James Bridger said he runs the railroad in line with the standards of corporate America and never acts without the approval of his board.

In an interview last month, Bridger said he runs the railroad in line with the standards of corporate America and never acts without the approval of his board. Bridger, who earns $350,000 a year, charged more than $108,000 to his Public Belt credit card between 2007 and 2009.

He called such expenditures commonplace in the railroad industry, which he entered 35 years ago as a conductor on a local line in Virginia. He later held various executive posts at Union Pacific Railroad and Western Union/First Data Corp.

"I'm the general manager, and I'm the No. 1 salesman for the railroad. So, I'm always meeting with somebody," Bridger said. "That's my job: to sell the Belt and promote the Belt."

'Everything's on the table'

Bridger said Monday that he hopes the board will hold off on an extensive discussion of his job performance until the legislative auditor's office delivers its report.

Bridger noted that Landrieu, who as mayor is president of the railroad board, has stated that he will reserve comment on the controversy until he can review the audit findings.

"I would hope they would respect Mayor Landrieu's wishes to wait until the audit report is out," Bridger said of the board members.

Landrieu said Monday that he will not attend Wednesday's meeting or any future meetings until he reviews the pending audit.

"After I see that report I intend to weigh in fairly forcefully about what direction the Public Belt Railroad ought to go in," he said. "In the meantime, we have communicated to them that they should comply with all of the directives that have been issued from my office about public expenditures and about board members' fiduciary responsibility to do the job that they were appointed to do."

Landrieu said he might request resignations from the full slate of commissioners. "That's a possibility," he said. "I would say everything's on the table."

Bridger said while he anticipates the state auditor will recommend "substantial changes" at the Public Belt, he feels his position is secure.

"We were running it like a private business, and it's not a private business," Bridger said. "There are different rules that we weren't really aware of.

"I am all for compliance. I just want to know what the rules are, and that hasn't been the case before."

Bridger also said he believes the time has come for the board to hire full-time legal counsel like other public agencies, including the Aviation Board, the Port of New Orleans and the Regional Transit Authority.

"We've never had one, and that's part of our problem here," he said. "I'm all for it. I wish we had had one nine years ago."

Issues on the agenda

While Public Belt board members have said nothing publicly about the furor swirling around the agency, Wednesday will offer an opportunity to end the silence. Among the policy issues listed for discussion at Wednesday's meeting are:

  • Public Belt expense accounts and changes in how public credit cards are issued and used.
  • The use of the agency's two vintage Pullman cars, the City of New Orleans and the Louisiana, and the sale of a third coach, the City of Peru, which remains unfinished and sits in storage. Bridger said repairs to the third car have stalled because of the poor economy; $1 million has been spent already, and another $300,000 in repairs are needed.
  • The authority vested in the board's Finance Committee, which some veteran employees say is too broad, and the agency's whistleblower policy.
  • The use of the 51 automobiles owned by the agency and the possible sale of those turned in recently by employees. Last month, Bridger said he would enact the same strict policy on take-home cars that Landrieu has implemented at City Hall.

Michelle Krupa contributed to this report. Frank Donze can be reached at fdonze@timespicayune.com or 504.826.3328.


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