Some eight months later, Brown, the CFO who is also senior vice president and a director at LHC Group, has announced his resignation from the company and is hoping to relieve Walker ' who also is head of auxiliary services ' of his temporary duties. The athletic director's job was left vacant last July when Nelson Schexnayder, citing limited financial support for the university's athletic programs, asked to be reassigned within the university.
On Monday, Brown confirmed he was finalizing an update of his rÃ©sumÃ© and would be delivering it and an application letter later in the day to the UL search committee.
The Natchez, Miss., native who now calls Lafayette home is applying for a job that did not immediately yield many quality candidates, in part due to fundraising constraints and UL's limited athletic budget. The search committee, chaired by Hunter Trahan, has been in a holding pattern since early November, pending the outcome of this legislative session so the university can better assess its budgetary situation.
The pay ' Schexnayder was earning $89,440 when he left after 11 years ' is far less than the $334,000 Brown earns at LHC Group, which provides post-acute health care services primarily to Medicare beneficiaries in rural markets in the southern United States.
Trahan says the salary, which is sure to have a cap, will depend on the person's qualifications and experience. Early Monday afternoon he was unaware Brown planned to apply for the job.
The salary does not appear to be an issue for Brown, who is staying on at LHC Group through June in order to play an active role in finding his replacement.
"I don't do everything in life for money," says Brown, who turns 50 this year. "At this point in my life, I want to do something different. I still have ownership in LHC and will continue to do so." In the IPO, which raised $67.2 million, Brown made $536,000 from the sale of his shares in the company and still owns $3.6 million worth of stock.
Though Brown admittedly has little background in athletics, he maintains that he is qualified, saying most universities are favoring professional experience in the workplace over former coaches and others with related skills. "I think you have to promote, you have to raise money, you have to run the athletic department as a business," he says. "It's something I really want to do."
A four-sport letterman and football standout at Cathedral High School in Natchez, Brown walked on as a football player at LSU in 1974. He earned a scholarship, though he only played on the scout team. "It basically was a way to pay for my education," says Brown, who earned a bachelor of science from LSU. About 16 years later, when he was 35, Brown approached then-LSU athletic director Joe Dean about a position in his department, but there were no openings. Brown says he never shook the itch.
The finance chief also downplays the role his political connections ' First Assistant Attorney General Nick Gachassin Jr. and his Lafayette law firm serve as legal counsel to LHC Group, and Gachassin is a legal adviser and close friend of the Blancos ' will have in the decision-making process. In addition to Gachassin's current role at LHC Group, advice the lawyer offered the company's founders in the mid-1990s was a turning point that ignited LHC Group's first real growth spurt ("Health Care Jackpot," March 15).
Brown maintains the AD's job is far from a slam dunk. "I'm as big a dark horse who ever entered [the running]," he says. "I hope to have an opportunity to interview." Brown declined to comment on the prospect of taking over a department in the midst of an NCAA investigation that now concerns eligibility of a former basketball standout and possible illegal summer football practices.
In the meantime, Brown also has secured the rights to develop a Doe's restaurant in Baton Rouge, which he hopes to open before the end of the year, and on the Mississippi Gulf Coast. His Doe's of Lafayette at 530 W. Pinhook Road, a steak and tamale eatery, is located in the same complex as LHC Group's headquarters.
Brown worked as senior auditor for Arthur Young & Co. in Houston from 1979-1984 and has spent most of his professional career in the public company arena, including a 1984-1991 stint at California-based Kasler Corp., a general contractor specializing in road and bridge construction; and a five-year run with Equity Corporation International, a funeral home and cemetery company based in Lufkin, Texas.
Brown's resignation, made public in connection with a March 31 announcement of a fall in earnings at LHC Group for the year (which the company had pre-released Feb. 23), does not appear to have adversely affected the company's stock price. The stock, which closed at $15.81 on March 30, was up slightly, closing at $16 the day of the announcements. For the full year, LHC Group posted net income of $8.6 million, or 59 cents per share, down from $9.3 million, or 76 cents per share, in 2004. Excluding one-time items, the company earned 81 cents per share for the year versus 73 cents in 2004. Revenue rose 32 percent to $162.5 million from $123 million.
The company also reported a 34 percent rise in fourth quarter profit, attributable mainly to a $10 million increase in quarterly revenue. In contrast, LHC Group competitor Amedisys' disappointing fourth quarter and abrupt resignation of its CFO sent the Baton Rouge-based company's stock tumbling almost 25 percent overnight in late February.
"There's absolutely no similarity [with Amedisys]," Brown says. "We hit our estimate."
At least one analyst, Arthur Henderson of Jefferies & Co., LHC Group's lead underwriter on the IPO, is holding firm to a positive outlook for the company. Henderson downgraded Amedisys from a buy to an underperform, citing management's credibility in light of the significant miss on earnings expectations and the company's 2006 outlook. Henderson, who has since upgraded Amedisys to a hold, maintains a buy recommendation on LHC Group.
Brown also was quick to dismiss any effect The Independent Weekly's March story on LHC Group may have had on his standing with the company. For that story, the CFO threatened in a voice mail message that publishing data on insider transactions ' specifically easily accessible public information that the IPO had been a multi-million windfall for a number of LHC Group shareholders ' would affect the company's advertising purchases in this newspaper.
"My thought process had begun for this long before that story came out," Brown says.
Despite sweeping changes enacted by Gov. Bobby Jindal's administration, the health insurance program for state workers and public school employees will have to use $88 million from its reserve fund to cover its costs this year.
The LPSB races are sure to get heated between now and Nov. 4, and with only 9 available seats, this year's field of 20 candidates will surely be wanting to set themselves apart from the crowd early; they'll get their chance next week, starting Tuesday with the kick-off of a three-day series of candidate forums.
Lawmakers say they've received complaints that waits have spiked, with people being forced to wait in line for more than an hour — and sometimes three hours — to handle routine tasks.
The campaign announced that Rep. Stuart Bishop of District 43 and Nancy Landry, District 31, have thrown their support behind the Naval Academy graduate and entrepreneur in his bid to unseat current Hunter Beasley in District 8.
A Lafayette man with an alleged taste for child porn was busted Thursday evening during a cyber crime sting launched by the Attorney General’s Office.
U.S. Rep. Vance McAllister says his chief of staff is on temporary leave after being booked with drunken driving.
It was a rare moment in Congress this week as Republicans briefly put aside partisanship in support of President Barack Obama's request to train and arm Syrian rebels, and while a number of Democrats opposed the measure, Louisiana's Democratic Sen. Mary Landrieu found herself on the same side of the issue as her Republican challenger Rep. Bill Cassidy.
Home Depot breach bigger than Target; Alibaba IPO could be big; Rivers' last project and more national and international news for Friday, September 19, 2014.
Friday's Blogs from the Bog!
City-Parish President Joey Durel is asking the council to sign off on a resolution approving a pair of deals that would lead to razing the seedy Lesspay Motel at Four Corners to build a new police substation as well as transforming nearly a block Downtown where the old federal courthouse building now molders into a mixed-use development.
In 2013, the IRS — already the least popular governmental agency in the country — became the target of intense investigations after it was revealed that they had specifically and improperly scrutinized applications for tax-exempt status from organizations associated with the nascent Tea Party movement.
Improving the running game was "a point of emphasis" during the offseason and the results have manifested themselves in the form of substantially greater production.
Louisiana's health department said Wednesday that its evaluation of the state's Medicaid privatization was on target, despite criticism from the legislative auditor that it lacked key data and contained inconsistencies.
The feds converge on your office, seizing records on several employees as part of a pay-for-plea investigation. WWYD? If you’re Mike Harson, you give yourself a $12k raise.
It’s football season and after back-to-back winless weekends for the Saints and the Cajuns many citizens are finding it difficult to be civil much less happy. Well, chew on this.
Considering his repeated stays in the local penal system, David Narcisse Jr. should have known that having a semiautomatic shotgun, even one given to him by a friend, wasn’t the brightest of ideas.
A state district judge on Tuesday threw out a last-minute retirement hike lawmakers gave to the state police superintendent, ending a political firestorm over a pension boost passed without public scrutiny on the last day of the legislative session.
The House has passed a bill to increase oversight of veterans' hospitals under construction, following a report that some medical centers take three years longer to complete than estimated and cost an extra $366 million per project.
An obvious follow-up question for any Republican politician who accuses Democrats of being science deniers is one about science, to which Jindal bobbed and weaved like a welterweight champ.
The Lafayette City-Parish Council is expected to decide tonight (Tuesday) whether to go along with a proposal City-Parish President Joey Durel made in February’s State of the Parish Address and consolidate taxes for mosquito control and the parish health units into a broader tax program that would also cover animal control.
U.S. District Judge Richard Haik has dismissed Greg Davis’ lawsuit against the LPSB, yet in his ruling, the federal judge doesn’t bite his tongue in pointing out the "threat" being posed by certain board members.
Of all the political offices being contested throughout Lafayette Parish, the race for Broussard’s top police post has literally become one of the most heated.
A state district judge is deciding whether to issue an injunction against the enforcement of a last-minute retirement hike that lawmakers gave to the state police superintendent.
A new website is up for Louisiana's state government employees and retirees to choose their health insurance plans for next year, a choice they must make by October.
That fact that New Orleans led both games in the final 10 seconds of regulation, and lost each by a field goal or less, is of little solace.