I had the same problem. The (same) script worked in Intrepid, too. The behavior 
of /etc/rc.local must have changed in Jaunty.
My solution is to use start-stop-daemon:

start-stop-daemon --start --name acerfand --startas
/usr/local/bin/acerfand --background

I don't know if it is important, but I removed the & in the last line of the 
script ("govern" without "&").
Now the script detaches correctly from the tty:

$ ps -Af | grep 'UID\|acerfand'
UID        PID  PPID  C STIME TTY          TIME CMD
root      3105     1  0 10:18 ?        00:00:00 /bin/bash 
/usr/local/bin/acerfand

-- 
since an upgrade to jaunty the rc.local is not loaded at startup
https://bugs.launchpad.net/bugs/332210
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