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Summary of the January 23, 2006 Memo from Linda Labure Chief or Corps Real EstateDepartment for the New Orleans District

This memo is to her superior, the Chief Realty Officer at the Mississippi Valley Division of theCorps (Vicksburg Office (CEMVN-PD-SP)

She is requesting to purchase the rear portions of the properties along the 17th Street Canal aswell as the London Ave Canal. (The memo is interwoven with a request regarding borrow pits inPlaquemine Parish. It clearly includes our properties.

Background section explains that additional rights of way are needed.She explains that this is in accordance with the ASA(CW) (Assistant Secretary to The Army-Civil Works) one time exception to policy the Corps is buying the property for the locals. Ibelieve that this may explain why they purchased many of these properties, then began tofabricate a scheme to steal the remainder.

Explanation of the issues: Explains that policy normally requires the acquisition of a perpetutaleasement. But then goes on to give the reasons why it is better to purchase the property.

The cost of that easement is essentially equal to the cost of purchasing the property.They believe that homeowners are more willing to sell the property that an easement.The Corps recommends acquiring additional right of way in order to clear any trees, sheds etcthat may have contributed to the levee failure. As well as for inspection, maintenance andoperation of the levee. Purchasing the property is recommended to make sure the area is keptclear and cost to do that with an easement would be as costly as purchasing the actual property.

Interface with Other Federal and State Issues: The Orleans Levee District agrees that underthe circumstances described herein, the acquisition of fee, excluding minerals, in lieu ofperpetual/temporary easements, will greatly facilitate both the acquisition process and futureoperations and maintenance.

Impact to schedule: In Orleans Parish, for LP&V, if perpetual easements are required over aportion of the landowners backyards, the landowners will remain the fee owner of this portionof their property and will be required to pay taxes over this area that they can no longer use.Under these circumstances, condemnation will be very likely, which will increase the timelinefor providing compensation to the owners.

Impact to budget: Condemnation will increase the cost to acquire each property by about$30,000-$35,000 per right-of-way.

There are 45-50 ownerships on the LP&V (Lake Pontchartrain & Vincintity-a description forprojects in our area) affected this acquisition. This is important because it shows that we areincluded in this. There is no way to split this amount that would not and does not include ourproperties. Please look at the below green map produced by the Corp AFTER they acquired thedozen or so properties to the north of us under virtually identical circumstances as is being stolenfrom us. It shows 49 affected properties.

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