[1. Call to Order – Jerald Jones, Chairman]
[00:00:02]
WE WILL CALL THE MEETING TO ORDER OF THE LOUISIANA'S BOARD OF COMMERCE AND INDUSTRY FOR JANUARY 14, 2022.
HAPPY NEW YEAR! I HOPE EVERYONE HAD A GOOD HOLIDAY SEASON.
IT'S GOOD TO BE BACK IN THE SWING OF THINGS.
ONE THING IS JUST A MATTER OF HOUSEKEEPING.
I'LL ASK THAT AS YOU SPEAK, AS YOU COME TO SPEAK, WHETHER HERE AT THE AT THE BOARD LEVEL OR PEOPLE WHO COME TO SPEAK AT THE TABLE, PLEASE BE SURE TO SPEAK INTO THE MIC WE HAVE.
WE HAD A LITTLE BIT OF TROUBLE, ONE OF OUR MEETINGS TRANSCRIBING SOME OF THE MINUTES, JUST MAKE SURE YOU SPEAK CLEARLY AND INTO THE MIC.
AND IF YOU'RE NOT DOING SO, THEN I HAVE TO CALL YOU DOWN AND YOU DON'T WANT ME TO DO THAT. SO ANYWAY, IT'S GOOD TO SEE YOU, EVERYONE THIS MORNING AND MS. SIMMONS. WILL YOU ROLL, CALL ROLL? MAKE SURE WE HAVE A A QUORUM.
GOOD MORNING, EVERYONE, AND HAPPY NEW YEAR! BRANDON [INAUDIBLE] PROXY FOR LIEUTENANT GOVERNOR HERE.
YVETTE COLA, GUY MCINNIS, HERE.
RICKEY FABRA, MANUEL FAJARDO, STUART MOSS HERE.
BLOCK PROXY FOR PAULA DAVIS HERE, SENATOR RICK WARD HERE.
KENNETH HAVARD, JERALD JONES HERE.
JAN MOLLER, SECRETARY DON PIERSON PRESENT.
DARREL SAIZAN, MARSHALL SIMIEN JR., HERE.
DR. WOODROW WILSON, TRAVIS HOLLEY HERE.
DR. BEVERLY THOMPSON, WE HAVE A QUORUM.
LET'S SEE, WE HAVE MINUTES FROM THE OCTOBER 27TH MEETING BOARD MEMBERS, YOU HOPE YOU'VE
[3. Approval of Minutes from October 27, 2021 meeting]
HAD A CHANCE TO REVIEW THOSE.IF SO, I WILL TAKE A MOTION TO APPROVE.
SO MOVED. WE HAVE A MOTION FROM MR. MOSS. SECOND, MR. SIMIEN. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE ALL IN FAVOR, SAY AYE, AYE.
ANY OPPOSITION, THERE BEING NONE, THE MOTION CARRIES.
[4. Quality Jobs Program – Michaela Adegbe]
NOW, LET'S MOVE TO THE QUALITY JOBS PROGRAM, MRS. ADEGBE. HOW ARE YOU THIS MORNING? WELL, AND YOURSELF? DOING WELL THANK YOU. PLEASE LEAD US THROUGH.THERE'S ONE NEW APPLICATION 20190333.
CLICK HERE PUBLISHING LLC EAST BATON ROUGE PARISH.
THIS CONCLUDES NEW APPLICATIONS.
OK, DO WE HAVE A MOTION ON THIS ONE APPLICATION? SO MOVED. WE HAVE A MOTION FROM MR. MOSS, SECOND FROM MR. NASSER. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE ALL IN FAVOR, SAY AYE, AYE.
ANY OPPOSITION THERE BEING NONE, THE MOTION CARRIES.
TWO NEW RENEWAL APPLICATIONS 2016 1667 AXOSIM INC.
20161807 HR NU BLUE ENERGY LLC, WEST BATON ROUGE PARISH.
MOSS SECOND, SECOND, FROM MS. COLA. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC HEARING, NONE ALL IN FAVOR, SAY AYE.
ANY OPPOSITION THERE BEING NONE THE MOTION CARRIES.
TWO CHANGE OF PROJECT PHYSICAL LOCATION, 20170637.
AMPIRICAL SOLUTIONS LLC PREVIOUS ADDRESS 4 SANCTUARY BOULEVARD SUITE 100, MANDEVILLE, LOUISIANA.
PREVIOUS PARISH ST TAMMANY NEW ADDRESS 1654 OCHSNER BOULEVARD, COVINGTON.
TAMMANY, 20141138 CGI FEDERAL INC.
PREVIOUS ADDRESS 538 CAJUNDOME BOULEVARD, LAFAYETTE PARISH NEW ADDRESS 102 VERSAILLES BOULEVARD, LAFAYETTE PARISH.
THIS CONCLUDES CHANGE OF PROJECT LOCATION.
MAY ENTERTAIN A MOTION, SO MOVED.
WE HAVE A MOTION FROM MR. NASSER, A SECOND FROM MR. SIMIEN. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
ANY OPPOSITION THERE BEING NONE, THE MOTION CARRIES.
[00:05:05]
ONE FULL TRANSFER OF OWNERSHIP TO NEW COMPANY.20161807 HR NU BLUE ENERGY LLC, NEW COMPANY STABILIS LNG, PORT ALLEN LLC, WEST BATON ROUGE PARISH. THIS CONCLUDES TRANSFER OF OWNERSHIP.
I HAVE A MOTION FOR MS. COLA SECOND. SECOND, SECOND FROM MR. MOSS. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
ANY OPPOSITION THERE BEING NONE, THE MOTION CARRIES.
THANK YOU, MS. ADEGBE. THANK YOU.
GOOD MORNING, MS. LAMBERT, HOW ARE YOU TODAY? I'M FINE, THANK YOU. GREAT.
TAKE US THROUGH THE ENTERPRISE ZONE OR RESTORATION TAX EXEMPTION.
[5. Restoration Tax Abatement Program – Becky Lambert]
I'M SORRY. RIGHT? WE HAVE ONE APPLICATION FOR THE RESTORATION TAX ABATEMENT PROGRAM.IT'S 20161122 COMPANY IS 111 IBERVILLE LLC IN NEW ORLEANS.
ALL RIGHT, WE ENTERTAIN A MOTION ON THE RESTORATION TAX ABATEMENT.
SO MOVED. HAVE A MOTION FROM MR. NASSER SECOND FROM MR. SIMIEN. QUESTIONS OR COMMENTS FROM THE BOARD.
ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION THERE IS NONE THE MOTION CARRIES.
THIS CONCLUDES THE ACTIVITY FOR RTA ON THIS.
THANK YOU, MA'AM. MORNING MS. METOYER, HOW ARE YOU TODAY? GOOD MORNING, I'M GOOD, HOW ARE YOU? WE'RE DOING WELL. THANK YOU.
[6. Enterprise Zone Program – Joyce Metoyer]
LET'S WALK US THROUGH ENTERPRISE ZONE.I HAVE 14 NEW APPLICATIONS 2021-0222, 1507 MAGAZINE OWNER LLC ORLEANS PARISH.
2019-0388 ALLPAX PRODUCT LLC ST.
2020-0216 [INAUDIBLE] TRADITIONS FOOD PROCESSORS LLC ACADIA PARISH.
2019-0361 KENNEDY RICE MILL LLC MOORHOUSE PARISH.
2019-0093 NEIGHBORS LLC WASHITA PARISH.
2019-0240 PMG OPCO ALPINE LLC LINCOLN PARISH.
2019-0241 PMG OPCO BRADFORD LLC.
2019-0245 PMG OPCO COLONIAL LLC BOSSIER PARISH.
2019-0248 PMG OPCO GUEST HOUSE LLC CADDO PARISH.
2019-0238 PMG OPCO PILGRIM LLC BOSSIER PARISH.
2019-0242 PMG OPCO SHREVEPORT LLC CADDO PARISH.
2019-0247 PMG OPCO SPRING LAKE LLC CADDO PARISH.
2019-0246 PMG OPCO WASHINGTON LLC, CADDO PARISH.
AND 2020-0544 SOUTHERN TEXTILE SERVICES RAPIDS PARISH.
GREAT. DO WE HAVE A MOTION FOR THESE ENTERPRISE ZONE APPLICATIONS? HAVE A MOTION FROM MR. NASSER.
QUESTIONS OR COMMENTS FROM THE BOARD.
HEARING NONE ANY COMMENTS FROM THE PUBLIC.
THERE BEING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION, HEARING NONE THE MOTION CARRIES.
2016-0812 COLUMBIA HCA OF NEW ORLEANS INCORPORATED ORLEANS PARISH, THE EXISTING CONTRACT IS 9/13/17 TO 9/12/2022 THE REQUESTED TERM DATE IS MARCH 12, 2020.
THE PROGRAM REQUIREMENTS HAVE BEEN MET NO ADDITIONAL JOBS OR ANTICIPATED.
2017-0218 ELECTRIC DEPOT LLC EAST BATON ROUGE PARISH.
THE EXISTING CONTRACT IS MAY 5TH 2017 TO MAY 4,2022 THE REQUESTED TERM DATE IS NOVEMBER 4, 2019.
THE PROGRAM REQUIREMENTS HAVE BEEN MET NO ADDITIONAL JOBS ARE ANTICIPATED.
2016-1482 IP AVONTE COVINGTON OPCO LLC, ST.
THE EXISTING CONTRACT IS JUNE 2ND 2016 TO JUNE 1ST 2021.
[00:10:05]
THE REQUESTED TERM DATE IS JUNE 1, 2019.THE PROGRAM REQUIREMENTS HAVE BEEN MET, NO ADDITIONAL JOBS ARE ANTICIPATED.
SECOND FROM MR. SIMIEN. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
NO OPPOSITION THE MOTION CARRIES.
THAT CONCLUDES ENTERPRISE ZONE.
[7. Industrial Tax Exemption – Kristin Cheng/Hud Usie]
MS. CHENG AND MR. USIE, HOW ARE YOU? HOW ARE YOU ALL TODAY? WE'RE GREAT. THIS IS ALWAYS OUR FAVORITE PART OF THE MEETING.AND WITH YOUR MASK ON, I CAN'T I CAN'T MEASURE THE LEVEL OF YOUR ENTHUSIASM.
WHO WANTS TO GO FIRST? WE HAVE FIVE PRE-EO NEW APPLICATIONS.
2012-1092 HONEYWELL INTERNATIONAL ASCENSION PARISH.
2012-1215 HONEYWELL INTERNATIONAL, ASCENSION PARISH.
2012-1215 A HONEYWELL INTERNATIONAL ASCENSION PARISH.
2012-1215 B HONEYWELL INTERNATIONAL, ASCENSION PARISH AND 2015-1722 HONEYWELL INTERNATIONAL EAST BATON ROUGE PARISH.
OK, DO WE HAVE A MOTION ON THESE PRE-EO APPLICATIONS FOR HONEYWELL? NO MOTION. SO MOVED.
WE HAVE A MOTION FOR MR. MOSS, SECOND FROM MR. NASSER. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
HEARING NONE, THE MOTION CARRIES.
NEXT, WE HAVE FOUR NEW APPLICATIONS FOLLOWING THE POST-EO 2017 RULES.
2018-0199 A CITADEL COMPLETIONS LLC CALCASIEU PARISH.
2018-0199 ZERO B CITADEL COMPLETIONS LLC CALCASIEU PARISH.
2018-0158 SOUTH SIDE MACHINE WORKS INC, CALCASIEU PARISH AND 2018-0142 A MAIN CO US LLC, IBERVILLE PARISH.
ALL RIGHT. ANY MOTION FROM THE BOARD, MOTION FROM MR. SIMIAN, SECOND FROM MR. NASSER.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION HEARING ON THE MOTION CARRIES THANK YOU.
NEXT, WE HAVE 12 NEW POST-EO APPLICATIONS FOLLOWING THE 2018 RULES.
TWO COMPANIES HAVE REQUESTED DEFERRAL.
THE FIRST IS 2020-0214 PLASTIC PACK PACKAGING INC IN RAPIDES PARISH AND 2017-0622 VIDALIA INDUSTRIAL FACILITIES LLC IN CONCORDIA PARISH.
OK FIRST LET'S TAKE UP A MOTION ON WHETHER TO DEFER PLASTIC PACK PACKAGING AND VIDALIA INDUSTRIAL FACILITIES.
IS THERE A MOTION? WE HAVE A MOTION FROM MS. COLA TO DEFER THOSE TWO APPLICATIONS.
WE HAVE A SECOND FROM MR. MCGINNIS. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION THERE BEING NONE, THE MOTION CARRIES THOSE TWO ITEMS ARE DEFERRED TO THE NEXT MEETING. 2021-0435 AIR PRODUCTS, BLUE ENERGY LLC ASCENSION PARISH . 2021-0399 CSP DE RIDDER LLC BEAUREGARD PARISH.
2019-0349 CUSTOM METAL WORKS INC EAST BATON ROUGE PARISH.
2021-0266 FISHER MANUFACTURING SERVICES LLC TANGIPAHOA PARISH.
2018-0148 B FLOW PAYAM INC ABBEVILLE PARISH.
2020-0052 HOOD CONTAINER OF LOUISIANA LLC, WEST FELICIANA PARISH.
2017-0492 B LOUISIANA SUGAR CANE COOPERATIVE INC IN ST.
2018-0283 [INAUDIBLE] AND SON LIMITED LLC IBERIA PARISH.
[00:15:02]
2021-0516 VENTURE GLOBAL CP TWO LNG LLC IN CAMERON PARISH.AND 2021-0532 VENTURE GLOBAL C.P.
TWO LNG LLC IN CAMERON PARISH.
RIGHT, DO WE HAVE A MOTION FOR THESE APPLICATIONS? MOTION FROM FROM SENATOR ALLAIN, SECOND FROM MR. MOSS. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION THERE BEING NONE THE MOTION CARRIES.
TWO ARE REQUESTING, WELL, THREE COMPANIES ARE REQUEST TWO COMPANIES ARE REQUESTING DEFERRAL, THREE CONTRACTS.
THE FIRST IS 2015-1210 PLASTIC PACK PACKAGING INK IN RAPIDES PARISH.
2014-1452 SASOL CHEMICALS USA LLC IN CALCASIEU PARISH AND 2014-1453 SASOL CHEMICALS USA LLC IN CALCASIEU PARISH.
OK. LET'S FIRST TAKE UP WHETHER WE WANT TO DEFER THOSE THREE REQUESTS.
IS THERE A MOTION TO DEFER THE PLASTIC PAC PACKAGING AND THE TWO SASOL CONTRACTS? WE HAVE A MOTION, A MOTION FROM SENATOR WARD, DO WE HAVE A SECOND? SECOND FROM MR. NASSER.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? MR. CHAIR I HAVE TO RECUSE MYSELF THANK YOU, MR. SIMIEN, MR. SIMIEN WILL BE RECUSING HIMSELF FROM ANY DISCUSSION OR ACTION ON THE SASOL CHEMICALS CONTRACTS. ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY, AYE.
AYE. ANY OPPOSITION? HEARING NONE THE MOTION CARRIES.
THOSE ITEMS ARE DEFERRED THE NEXT MEETING.
2016-0033 AXIAL LLC, ABBEVILLE PARISH.
2015-0970 CRYING EAGLE BREWING CO., LLC CALCASIEU PARISH.
2015-0267 DANBURY ONSHORE LLC RICHLAND PARISH.
2014-1149 APT [INAUDIBLE] STEEL LLC ST.
2012-0848 DOW CHEMICAL CO., WEST BATON ROUGE PARISH.
2014-0993 DOW CHEMICAL CO., ABBEVILLE PARISH.
2015-0368 DOW CHEMICAL CO., WEST BATON ROUGE PARISH.
2015-1167 DOW CHEMICAL CO., WEST BATON ROUGE PARISH.
2015-0189 EPIC PIPING LLC LIVINGSTON PARISH.
2013-0125 [INAUDIBLE] ENTERPRISES LLC, DBA SHELL OIL PRODUCTS U.S.
2014-0815 [INAUDIBLE] ENTERPRISES LLC, DBA SHELL OIL PRODUCTS U.S.
2015-2019 EXXON MOBIL CORP, DBA EXXONMOBIL CORP CHEMICAL EAST BATON ROUGE PARISH.
2015-2014 EXXON MOBIL CORPORATION LUBES WEST BATON ROUGE PARISH.
2015-0, 2015 EXXONMOBIL CORPORATION LUBES WEST BATON ROUGE PARISH.
2015-2018 EXXONMOBIL CORPORATION PLASTICS EAST BATON ROUGE PARISH.
2015-2017 EXXONMOBIL CORPORATION POLYOLEFINS EAST BATON ROUGE PARISH.
2015-2016 EXXON CORPORATION REFINERY EAST BATON ROUGE PARISH.
2016-0034 GEORGIA GULF LAKE CHARLES LLC CALCASIEU PARISH.
2015-2053 GEORGIA PACIFIC CONSUMER OPERATIONS LLC EAST BATON ROUGE PARISH.
2012-0977 B HAINES INTERNATIONAL INC BIENVILLE PARISH.
2015-0303 [INAUDIBLE] COMPANY IBERIA PARISH.
2014-1150 B MILLENNIUM GALVANIZING LLC, ST.
2011-182 A NUTRITION AND BIOSCIENCES USA ONE LLC ABBEVILLE PARISH.
2016-0700 PBF HOLDING COMPANY LLC, ST.
2014-1278 PERFORMANCE ENERGY SERVICES LLC, TERREBONNE PARISH.
2014-1344 A REAGENT CHEMICAL AND RESEARCH INC ASCENSION PARISH.
[00:20:09]
2013-0770 SHELL CHEMICAL COMPANY LP, ST.CHARLES PARISH. 2014-1576 SHELL CHEMICAL COMPANY LP, ST.
2014-1577 SHELL CHEMICAL COMPANY LP, ST.
CHARLES PARISH. 2014-1578 SHELL CHEMICAL COMPANY LP ST.
2015-2032 STELLAR INC LAFAYETTE PARISH.
2014-0795 SYNGENTA CROP PROTECTION LLC ABBEVILLE PARISH.
2012-0041 A UNION CARBIDE CORPORATION ST.
2014-0991 UNION CARBIDE CORPORATION ST.
CHARLES PARISH AND 2015-2058 W.R.
GRACE AND CO. EAST BATON ROUGE PARISH.
VERY GOOD. DO WE HAVE A MOTION ON THESE RENEWALS? MOTION TO APPROVE FOR MR. NASSER, SECOND FROM MR. MCGINNIS. ANY QUESTIONS OR COMMENTS FROM THE BOARD ABOUT ANY OF THESE RENEWALS? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION HEARING NONE, THE MOTION CARRIES.
NEXT, WE HAVE ONE LATE RENEWAL.
2016-1048 HUNTING ENERGY SERVICES INC IN TERREBONNE PARISH.
THE INITIAL CONTRACT EXPIRATION DATE WAS 12/31/2020.
THE LATE RENEWAL REQUEST DATE WAS OCTOBER 8TH OF 2021.
DO WE HAVE ANYONE HERE FROM HUNTING ENERGY SERVICES? ANYONE HERE TO SPEAK FOR THE COMPANY? AND HAVE WE HEARD FROM THEM AT ALL? I DID RECEIVE A CALL FROM THEIR CONSULTANT SAYING THAT SHE DIDN'T THINK ANYONE CAN MAKE IT HERE FROM THE COMPANY OR HERSELF.
AND I TOLD HER WE NEEDED A REQUEST IN WRITING IN ORDER FOR IT TO BE DEFERRED TO THE NEXT MEETING, AND I DID NOT RECEIVE THAT REQUEST.
OUR PAST PRACTICE, WHICH IS NOT NECESSARILY HOLDING, BUT OUR PAST PRACTICE HAS BEEN WHEN THERE'S NOT SOMEONE HERE TO HELP US UNDERSTAND.
THE REASON FOR THE LATE RENEWAL IS THAT THE WORLD IS YOUR OYSTER AND THE BOARD CAN DO WHAT IT PLEASES WITH THIS RENEWAL.
WE CAN TERMINATE OR REFUSE TO RENEW.
IS WHAT IS THE PLEASURE OF THE BOARD? MS. COLA. YEAH, JUST COULD YOU REMIND US IN THE PAST WHAT WE'VE DONE IN TERMS OF PROTOCOL FOR THIS? WHEN USUALLY SOMETHING AND IT'S NOT ABOUT WE HAVEN'T TALKED ABOUT IT IN A WHILE, SO IT'S NOT ABOUT BAD IDEA TO DISCUSS IT.
BASICALLY, SOMEONE HAS FAILED OR REFUSED TO FILE FOR RENEWAL TIMELY.
ITAP IS PROBABLY THE MOST VALUABLE INCENTIVE PROGRAM THE STATE OF LOUISIANA OFFERS, AND IT HAS BEEN THE PRACTICE OF THE BOARD THAT IF SOMEONE IS NOT GOING TO BE PAYING ATTENTION CLOSE ENOUGH ATTENTION TO THAT CONTRACT TO FILE A RENEWAL IN A TIMELY WAY THAN IT, IT IS THIS BOARD'S INTEREST TO KNOW WHY.
MANY TIMES IT'S BECAUSE THERE'S BEEN A CHANGE OF ADMINISTRATION, THERE'S BEEN A CHANGE IN IN LEADERSHIP OR THERE'S BEEN A CHANGE IN THE PERSON RESPONSIBLE FOR FILING THE APPLICATIONS. SOMETIMES IT'S THE FAULT OF A CONSULTANT.
BUT GENERALLY WE HAVE SOMEONE HERE TO HELP US UNDERSTAND WHAT HAPPENED AND WHEN SOMEONE IS NOT HERE TO EXPLAIN.
IT HAS BEEN THE PAST PRACTICE OF THIS BOARD, FRANKLY, TO DENY THE RENEWAL.
IF SOMEONE IS HERE TO EXPLAIN AND WE ARE SATISFIED WITH THAT EXPLANATION, THEN THEY ARE GENERALLY PENALIZED ONE YEAR FOR EACH MONTH THAT IT IS LATE.
SO IT'S IT'S A YEAR FOR EVERY YEAR.
I'M SORRY, FORGIVE ME, I MISSPOKE, THANK YOU.
KEEP ME BETWEEN THE DITCHES MS. CHENG. THANK YOU. ALL RIGHT, SO THAT'S THAT'S KIND OF BEEN OUR PRACTICE THAT HAS BEEN WHERE WE HAVE BEEN.
WHAT IS THE BOARD'S PLEASURE TODAY? THEY HAVE THIS COMPANY WAS TOLD THEY NEEDED TO BE HERE, THEY WERE TOLD THAT IF THEY CANNOT BE HERE, THEY HAVE THE OPTION TO DEFER.
THEY DID NOT TAKE THE OPPORTUNITY TO REQUEST A DEFERRAL.
[00:25:04]
MAKE A MOTION TO REDUCE IT BY YEAR.OK, THERE IS A MOTION FROM MR. MOSS TO TO APPROVE THE RENEWAL, BUT WITH A ONE YEAR PENALTY.
IS THAT FAIR? THAT'S THE MOTION FOR MR. MOSS. IS THERE A SECOND? WE HAVE A SECOND FROM SENATOR WARD.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? ALL RIGHT. ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION THERE BEING NONE, THE MOTION CARRIES.
NEXT. NEXT, WE HAVE ONE CHANGE IN LOCATION WESTLAKE POLYMERS LP 2013 -1140. PREVIOUS LOCATION 900 HIGHWAY 108 SULFUR LOUISIANA 70665 IN CALCASIEU PARISH.
NEW LOCATION THIRTY FIVE TWENTY FIVE CITY SERVICES HIGHWAY SULFUR, LOUISIANA 70665 IN CALCASIEU PARISH. ALL RIGHT.
DO WE HAVE A MOTION TO APPROVE THIS CHANGE.
SO MOVE. MOTION FROM MR. MOSS SECOND FROM MR. SIMIEN.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION THERE BEING NONE, THE MOTION CARRIES.
NEXT, WE HAVE SIX SPECIAL REQUEST THERE FROM SENTIENT PIPE LLC, CONTRACTS TWO 2008-1221T B. 2014-0501, 2014-1008, 2018-0519, 2018-0516 A AND 2020-0026.
LED RECEIVED NOTIFICATION FROM THE BOSSIER PARISH ASSESSOR THAT THE MANUFACTURING ESTABLISHMENT, LOCATED AT 430 HAMILTON ROAD, BOSSIER CITY, LOUISIANA, WAS NOT CURRENTLY OPERATIONAL.
ITAP RULES REQUIRE ANY CHANGES IN OPERATIONS AT THE CONTRACT SITE TO BE REPORTED TO THE BOARD OF COMMERCE AND INDUSTRY.
LED SUBSEQUENTLY RECEIVED A LETTER FROM CENTRIC PIPES STATING THAT MANUFACTURING AT THE FACILITY WAS TEMPORARILY IDLED ON AUGUST 31ST 2021.
THEY ARE REQUESTING THAT THE BOARD OF COMMERCE AND INDUSTRY CONSIDER KEEPING THEIR ACTIVE CONTRACTS IN PLACE WHILE THEIR FACILITY IS TEMPORARILY IDLE.
THE COMPANY EXPECTING TO REOPEN THE MILL IN Q1 OF 2022.
DO WE HAVE ANYONE HERE FROM CENTRIC PIPE? YEAH, THAT'LL BE FINE. MORNING.
GOOD MORNING. YOU JUST STATE YOUR NAME, YOUR POSITION WITH THE COMPANY, PLEASE, FOR THE RECORD. JEFF PLUMMER, I'M THE CFO AT CENTRIC PIPE.
GREAT. TELL US WHAT'S GOING ON, MR. PLUMMER. WELL, I WROTE A LETTER.
WE WERE CONTACTED BY THE LOCAL TAXING AUTHORITY SAYING THAT WE WERE OUT OF COMPLIANCE WITH THE CONTRACTS THAT WE HAD IN PLACE FOR FOR THE TAX ABATEMENTS, I THINK WOULD BE I'M NOT AN EXPERT IN THIS AREA BY ANY MEANS, BUT YOU KNOW, WE'RE A SMALL COMPANY AND WE'RE IN THE STEEL AND ENERGY INDUSTRY.
SO WE'VE HAD KIND OF A UNTIL LATELY A PRETTY ROUGH TIME OF IT.
SO WE HAD TO IDLE THAT FACILITY IN AUGUST.
SINCE THEN WE'RE GOING TO START THE MILL BACK UP IN MARCH AND REHIRE ABOUT 50 PEOPLE BACK IN THAT AREA. MOST OF THESE PEOPLE HAVE WORKED WITH US FOR A LONG TIME.
IN MY LETTER, YOU KNOW, I'M NOT HERE TO SAY THAT WE DID IT CORRECTLY.
OK, I'M JUST HERE TO SAY THAT THIS HELP WOULD WOULD REALLY HELP US GET THE FACILITY BACK UP AND RUNNING AND REEMPLOY THE PEOPLE AND ALL THIS KIND OF STUFF.
AND INTERNALLY, WHAT WE'VE DONE IS PUT IN PLACE A BETTER PROCESS.
WE'RE ON THE CONTACT PERSON AND WE CAN STAY ON TOP OF THIS.
I MEAN, THAT'S THAT'S ESSENTIALLY WHAT HAPPENED.
SO TO MAKE SURE I UNDERSTAND SO ON AUGUST 31, THE COMPANY HAD TO MAKE THE DECISION TO GO IDLE DUE TO DEMAND MARKET DEMAND.
YEAH, IN OUR INDUSTRY, SO WE WILL WE DO ERW PIPE, WHICH IS WHICH IS IT'S AN OIL AND GAS OCTG TUBING IN CASING THAT GOES DOWN HALL AND WELLS.
AND SO ANYBODY THAT'S IN THAT INDUSTRY, THERE'S A CRU INDEX FOR HOT ROLLED COILS SO THAT.
PER TONE COST WENT UP FROM YEAR OVER YEAR FROM LIKE $700 TO NINETEEN HUNDRED DOLLARS, SO EFFECTIVELY LIKE IF YOU GO BACK AND LOOK AT LIKE [INAUDIBLE], THE BIGGEST ONE IN THE WORLD THAT DOES THIS, THE CEO GOT ON THERE AND SAID, WELL, THERE'S NO ONE THAT'S GOING TO BE PRODUCING THIS DOMESTICALLY IN THE U.S.
AND SO EVERYBODY WAS KIND OF IN THE SAME CONDITION.
[00:30:03]
WE HAD THE PANDEMIC GOING.WE HAVE PEOPLE NOT IN THE OFFICE, ALL THIS KIND OF STUFF GOING ON.
WE WE RETAINED OUR CORE EMPLOYEES, YOU KNOW, LIKE THE GENERAL MANAGER AND THESE KIND OF PEOPLE, THE LONG TERM PRODUCTION PEOPLE THAT WE HAD THERE, WHICH MOST OF THESE PEOPLE HAVE BEEN THERE FOR 10 PLUS YEARS, WE ACQUIRED IT IN 2013, BUT THEY WERE THERE EVEN BEFORE THAT.
WE SOME OF THEM, WE FOUND TEMPORARY JOBS.
WE TRIED TO PLAY SOMETHING DIFFERENT, YOU KNOW, HELP THEM OUT AND EVERYTHING.
AND SO NOW THAT YOU HAVE $82 OIL AND THE PRICE OF THE COILS HAVE GONE DOWN TO ABOUT $1100, BUT WHAT'S HAPPENED IS BECAUSE NO ONE PRODUCED ANY PIPE FOR SO LONG, THERE'S A BIG SHORTAGE. SO THE MARGINS HAVE INCREASED DRAMATICALLY.
SO IT MAKES SENSE FOR US TO PUT THE MILL BACK ON LINE AND THAT'S WHAT WE'RE DOING.
SO. A COUPLE MORE QUESTIONS IS TO GIVE US SOME BETTER INSIGHT INTO THE COMPANY.
HOW LONG IS THE COMPANY BEEN IN OPERATION? WELL, WE ACQUIRED THEM FROM A COMPANY BASED IN PORTLAND, OREGON, CALLED NORTHWEST PIPE IN 2013. BEFORE THAT, I THINK THEY WERE THERE LIKE 10 YEARS.
AND THEN BEFORE THAT, THE MILL WAS ACTUALLY BUILT IN LIKE 1972.
SO IT'S BEEN AROUND FOR A LONG TIME? YEAH, SO. SO THESE PRODUCTION EMPLOYEES, YOU KNOW, THE FORMANS AND EVERYTHING RIGHT THERE, THEY'VE BEEN THERE FOR A LONG, LONG TIME.
SO HOW MANY TOTAL EMPLOYEES DOES THE FACILITY HAVE? WELL, WE, YOU KNOW, WAS ON A DOWNTURN.
SO WE HAD 50, SO WE HAD TO REDUCE IT DOWN TO ABOUT, WELL, WE LAID OFF 50 IN AUGUST.
WE HAD SOME SHIPPING PEOPLE THERE AND STUFF THAT STILL SHIP OUT PIPE THAT WAS STILL IN THE YARD AND STUFF LIKE THAT.
SO WE'RE WE'RE PUTTING BACK ON FIRST SHIFT AT THE END OF MARCH, WHICH WOULD BE THE 50 PEOPLE COMING BACK. BUT THE BUT THE MARKET IS SO GOOD THAT WE'RE PROBABLY GOING TO PUT ON A SECOND SHIFT AND MAYBE A THIRD.
SO IN TOTAL, YOU COULD SEE 100, ONE HUNDRED AND TWENTY PEOPLE.
ANY OTHER QUESTIONS CONCERNING THIS, AND AGAIN, WHAT THEY'RE ESSENTIALLY ASKING THEY'RE WHAT HAPPENS, FOLKS, UNDER THE RULES, WHEN A COMPANY GOES IDLE, THEY'RE SUPPOSED TO BE A NOTIFICATION SO THAT SO THAT LED IS UNDERSTANDS THAT THEY HAVE IN FACT GONE IDLE.
SO ESSENTIALLY WHAT'S HAPPENED HERE, THEY FAILED TO DO SO SHOULD HAVE DONE SO, FAILED TO DO SO. AND SO THAT'S WHAT BRINGS US HERE TODAY.
THE WAY LED FOUND OUT ABOUT IT IS THE TAX ASSESSOR REALIZED IT HAD HAPPENED AND AND ACTUALLY CONTACTED US.
SO. SO NOW WE I THINK I THINK WHAT MR. PLUMBER? THANK YOU.
THANK YOU. IS TELLING US IS NOW WE REALIZE WE SHOULD HAVE DONE IT.
AND WE'RE ABOUT TO GO BACK INTO OPERATIONS AT THE END OF THIS QUARTER, SOMETIME IN MARCH.
SO THE YOUR ALTERNATIVES, AS I SEE THEM, YOU CAN WE CAN SHUT DOWN THE CONTRACT.
THAT IS ONE OPTION BECAUSE THEY FAIL TO FOLLOW THE RULES OR WE CAN WAIVE THAT AND ALLOW THEM TO CONTINUE UNDER THE CONTRACT BECAUSE OF THE SITUATION.
I MAKE A MOTION THAT WE WAIVE THE.
THAT WE WAIVE IT AND WE ALLOW THEM TO CONTINUE UNDER THE CONTRACT.
WE HAVE A MOTION TO ALLOW THE CONTRACT TO CONTINUE.
YOU HAVE A SECOND MR. SAIZAN. ANY QUESTIONS OR COMMENTS FROM THE BOARD? SURE, GO RIGHT AHEAD. PLEASE SPEAK INTO THE MIC.
THANK YOU. HOW LONG HAVE YOU BEEN PARTICIPATING IN THE ITIP PROGRAM? WHEN WE MADE THE ACQUISITION, THERE WERE ALREADY SOME CONTRACTS IN PLACE BECAUSE I THINK THE CONTRACTS, THE NOMENCLATURE OF THE IDS ARE LIKE THE YEAR.
SO LIKE EVEN ON THIS LIST, IT'S LIKE 2008.
AND SO YOU CAN SEE WHEN WE CAME IN HERE AT 2014 AND 2018 AND 2020, BUT THEY HAD SOME EVEN BEFORE THAT, I THINK.
AND YOU FEEL COMFORTABLE TODAY SAYING THAT, THAT THAT THE COMPANY HAS TAKEN STEPS TO ENSURE THAT THE LOCAL ASSESSOR WON'T HAVE TO NOTIFY THIS BOARD OF NONCOMPLIANCE.
I CAN ASSURE YOU ON THAT BECAUSE NOW I'M PERSONALLY INVOLVED.
NOW I KNOW THE ASSESSORS PERSONALLY AND EVERYTHING I CAN ASSURE YOU THAT WE WILL BE IN COMPLIANCE. THANK YOU, MR. CHAIRMAN. THANK YOU. THANK YOU.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? GOOD, ANY COMMENTS FROM THE PUBLIC.
HEARING NONE, WE HAVE A MOTION TO WAIVE THE PENALTY AND ALLOW THE CONTRACT TO CONTINUE.
[00:35:02]
HEARING NONE, THE MOTION CARRIES.THANK YOU VERY MUCH. THANK YOU, APPRECIATE YOU BEING HERE TODAY.
GET THOSE PEOPLE BACK TO WORK.
NEXT, WE HAVE ONE NONCOMPLIANT CONTRACT THAT FOLLOWS THE 2017 RULES IT IS FOR INFERNO MANUFACTURING 2016-1891 IN CADDO PARISH.
THE REPORTING PERIOD WAS FOR 2017.
THE COMPANY WAS REQUIRED TO CREATE THREE JOBS WITH A TOTAL OF TWO HUNDRED AND THOUSAND IN PAYROLL. THEY CREATED THE THREE JOBS BUT ONLY CREATED FIFTY SIX THOUSAND NINE HUNDRED AND TEN IN PAYROLL.
LED RECEIVED NOTIFICATION FROM THE TWO ENTITIES THAT APPROVED THE CONTRACT, INITIALLY, THE PARISH AND POLICE JURY CHOSE TO DEFER TO THE BOARD.
THE SCHOOL BOARD DIDN'T APPROVE THE EXEMPTION.
THE SHERIFF DIDN'T APPROVE THE EXEMPTION.
INITIALLY THE MUNICIPALITY, THEY WERE NOTIFIED AND WE DID NOT RECEIVE ANY RESPONSE.
WHEN YOU SAY THEY DID NOT APPROVE THE EXEMPTION INITIALLY, IS THAT ON THE VERY FIRST? THE ORIGINAL CONTRACT, SO THEY DIDN'T NEED TO BE NOTIFIED OF NONCOMPLIANCE BECAUSE IT WAS NEVER APPROVED FROM THE START.
OK. AND THE TWO THAT DID APPROVE ARE THE PARISH POLICE JURY, THEY ACTUALLY DEFERS TO THE DEFER TO THE BOARD.
CORRECT. OK, THANK YOU VERY MUCH.
WE HAVE SOMEONE HERE FROM THE COMPANY, PLEASE COME FORWARD.
IF YOU'LL STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.
GOOD MORNING, MY NAME IS ALAN ORGANIC.
I'M THE PRESIDENT AND OWNER OF INFERNO.
OK, SO ESSENTIALLY WHAT WE HAVE HERE YOU UNDER THE ORIGINAL CONTRACT, YOU HAD AN OBLIGATION OR RESPONSIBILITY TO CREATE THREE JOBS, WHICH APPARENTLY YOU DID UNDER THE RULES, BUT THERE WAS A SHORTFALL IN THE TOTAL PAYROLL FOR THOSE THREE JOBS.
CAN YOU KIND OF TELL US WHAT HAPPENED HERE? YES. WE BOUGHT THE MACHINE IN DECEMBER 2016 AND COMPLETED THE INSTALLATION A COUPLE OF WEEKS LATER.
SO LED CALCULATES THAT OUR FIRST YEAR OF OBLIGATION IS 2017, BUT IT TOOK US SIX MONTHS BEFORE WE HIRED THE FIRST PERSON AND THEN A COUPLE OF MONTHS LATER, WE HIRED ANOTHER AND THEN ANOTHER.
AND SO THE PAYROLL NUMBERS REFLECT THAT.
LESS THAN A FULL YEAR, LESS THAN A FULL CALENDAR YEAR.
IN ADDITION, THE WHEN WE WHEN WE MADE OUR APPLICATION, WE MADE IT FOR IN TWO PHASES ONE PHASE IN 2016 AND THE NEXT PHASE THE NEXT YEAR.
AND DURING THE APPLICATION PROCESS FOR THE FIRST GO AROUND, THE APPLICATION GUIDE COMPUTER SOFTWARE GAVE US MESSAGES SAYING THAT THIS IS PHASE ONE AND WE WE PUT DOWN TWO NEW EMPLOYEES AND ONE HUNDRED AND FORTY FIVE THOUSAND DOLLARS, SO OUR NUMBERS DON'T AGREE WITH THE CONTRACT.
OKAY. ALL RIGHT, MS. BOURGEOIS, YOU'VE COME TO THE TABLE, SO I HAVE A FEELING YOU WANT TO TELL ME SOMETHING.
I REALLY WAS JUST HOPING TO RECAP BECAUSE I KNOW WE TALKED A LOT ABOUT THIS LAST TIME.
TAM BOURGEOIS, COUNSEL FOR THE BOARD.
THERE'S A LOT OF DISCUSSION, SO I JUST WANTED TO BRIEFLY SUMMARIZE THAT THEY'RE HERE TODAY BECAUSE OF NONCOMPLIANCE.
IN THEIR FIRST YEAR, THEY CREATED THE JOBS, BUT NOT THE PAYROLL, AND IT IS BECAUSE THEY HIRED THOSE EMPLOYEES MID-YEAR.
IT WASN'T CAUGHT IN THE CONTRACTING PROCESS THAT THAT WAS, YOU KNOW, THE ACTUAL PLAN CONTRACT IS THE CONTRACT.
AS OF NOW, AS I UNDERSTAND IT, THEY'RE EMPLOYING MORE PEOPLE THAN THEY ORIGINALLY PROMISED. AND JUST TO EXPAND UPON, I KNOW THE THE LETTER FROM THE POLICE JURY SAYS THAT THEY FULLY ENDORSE THE COMPANY'S CONTINUED PARTICIPATION IN THE PROGRAM.
SO JUST WANTED TO KIND OF BOIL DOWN.
ONE THING FOR THE FOR THE BOARD JUST TO AND THIS IS SOMETHING THAT.
I'M NOT REAL CRAZY ABOUT ABOUT THE PROGRAM, BUT IT'S THIS IS THE WAY IT WORKS AND I'M NOT THERE MAY BE A BETTER WAY TO DO IT, BUT I'M NOT SMART ENOUGH TO FIGURE IT OUT.
BUT WHEN, WHEN, WHEN THESE COMPANIES HAVE TO ESTIMATE THE THE PAYROLL, THE BASICALLY IT'S A 12 MONTH PAYROLL.
AND SO IF YOU HIRE SOMEONE IN JULY, YOU'RE PAYING THEM ONE HUNDRED THOUSAND DOLLARS.
[00:40:04]
WELL, YOU'VE COMMITTED YOURSELF TO A $100000 PAYROLL, BUT YET YOU ONLY PAID 50 BECAUSE THEY CAME IN MID-YEAR.SO WHILE FROM A FROM AN EMPLOYER'S PERSPECTIVE, THEY THEY HIRED THE EMPLOYEE THAT THEY AGREED TO HIRE. THEY PAID THEM THE SALARIES THEY AGREED TO PAY THEM.
AND BASED ON THEIR MATH, YEAH, WE'VE GOT THREE EMPLOYEES MAKING WHAT WE PROMISED TO PAY THEM. BUT YET, BECAUSE WE HIRE THEM LATER IN THE YEAR, THE TOTAL PAYROLL FOR THAT YEAR FALLS SHORT. SO I AND STAFF, STOP ME IF I'M IF I'M OUT OF BOUNDS HERE.
BUT I THINK THAT'S THE POTHOLE WE FOUND OURSELVES IN IN THIS SITUATION.
IS THAT CORRECT? IS THAT CORRECT? STAFF? YES, OK.
ALL RIGHT, NOW, MR. ORGANIC, YOU HAD SOMETHING ELSE YOU WANTED TO ADD.
WELL, YES. THE WAY LED TREATS ARE, THE AUDIT THEY GIVE US.
THEY GAVE US CREDIT FOR ALL THREE PEOPLE THAT WE HIRED, BUT THEY DON'T GIVE US CREDIT FOR THE PAYROLL DOLLARS. SO IT'S IT'S INCONSISTENT.
WHY GIVE US THREE CREDITS IF WE.
IF THE AVERAGE OUT LESS THAN THREE FULL YEARS.
LIKE I SAY, IT'S ACTUALLY IT'S ACTUALLY AMOUNTS PAID DURING THE YEAR AND WHEN YOU HIRE PEOPLE LATE IN THE YEAR, YOU'RE NOT THEY'RE NOT GOING TO GET ONE HUNDRED PERCENT OF THE SALARY BECAUSE THEY GOT HIRED LATE IN THE YEAR.
THE GREAT THING ABOUT COMING BEFORE THE BOARD IS THAT WE HAVE AN OPPORTUNITY TO DO WHAT MAY BE THE RIGHT THING IF THAT IS THE BOARD'S DESIRE.
AND AND SO WE HAVE A SITUATION WHERE HE, THE COMPANY, MET THE OBLIGATION TO HIRE THE PEOPLE AND THEY AGREED AND THEY'RE PAYING THEM THE SALARY THEY AGREED TO PAY THEM.
IT'S JUST THAT FIRST YEAR THEY DIDN'T COME IN TILL LATER IN THE YEAR.
JUST WANT TO ADD THE COMMENT TO THE RECORD THAT WE ARE NOT INCONSISTENT, WE ARE VERY CONSISTENT. WE DON'T MAKE THE NUMBERS.
THE PAYROLL FIGURES COME TO US THROUGH ANOTHER BRANCH OF GOVERNMENT DEPARTMENT OF REVENUE. WE SEE THE SALARIES PAID AND THE STAFF IS JUST REQUIRED TO TELL YOU WHAT THE NUMBERS ARE. SO DIDN'T WANT TO LET A FLOATING COMMENT ABOUT, YOU KNOW, WE HAVE THREE PEOPLE, BUT WE HAVE FIFTY SIX THOUSAND IN PAYROLL, WHICH IS TELLING YOU WHAT THE NUMBERS REFLECT. RIGHT? ALL RIGHT.
WE HAVE AN OPPORTUNITY HERE TO WE CAN PENALIZE THE COMPANY OR WE CAN WAIVE THE PENALTY AND ALLOW THE CONTRACT TO MOVE FORWARD WITHOUT A PENALTY.
WHAT IS THE PLEASURE OF THE BOARD? DO I HAVE A MOTION? MAKE A MOTION TO WAIVE THE PENALTY.
A MOTION FROM MR. NASSER TO WAIVE THE PENALTY.
WE HAVE A SECOND WAS THAT MR. SIMIEN? WE HAVE A SECOND FROM MR. SIMIEN. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION THERE BEING NONE, THE MOTION CARRIES.
WHAT WE HAVE NEXT? NEXT, WE HAVE NONCOMPLIANT CONTRACTS FOLLOWING THE 2018 RULES, THE FIRST COMPANY IS AOUOPS INC AND EAST CARROLL PARISH.
IT IS TWO CONTRACTS 2017-0103 AND 2017-0103-A.
2017-0103 THE FIRST YEAR OF NONCOMPLIANCE IS A 2018 YEAR THEY WERE REQUIRED TO CREATE FIVE JOBS WITH 50 THOUSAND IN PAYROLL.
THEY ONLY THEY CREATED FOUR JOBS WITH SALARIES OF EIGHTY EIGHT THOUSAND ONE HUNDRED AND NINETY ONE IN PAYROLL, AND THE LOCAL ENTITIES WERE NOTIFIED.
AND THE PARISH POLICE JURY, SCHOOL BOARD AND SHERIFF ALL MADE RECOMMENDATIONS TO DEFER TO THE BOARD. THE NEXT CONTRACT IS 2017-0103.
AGAIN, THIS ONE IS FOR THE 2020 REPORTING PERIOD.
THEY WERE REQUIRED TO CREATE FIVE JOBS.
THEY HAD A RAMP UP IN PAYROLL, SO IT WAS NOW ONE HUNDRED AND TWENTY FIVE THOUSAND IN PAYROLL. THE ACTUAL JOBS CREATED WERE ZERO WITH NO PAYROLL AND THE SHERIFF, SHERIFF, SCHOOL BOARD AND PARISH ALL DEFERRED TO BOARD FOR THAT YEAR AS WELL.
THE LAST YEAR IS FOR THE CONTRACT 2017-0103-A.
FOR THE 2020 CALENDAR YEAR THEY WERE REQUIRED, THE FIVE JOBS WITH ONE HUNDRED AND TWENTY FIVE THOUSAND AND IT WAS ZERO AND ZERO JOBS AND PAYROLL ACTUALLY CREATED, AND THE PARISH POLICE JURY, SCHOOL BOARD AND SHERIFF DEFERRED TO BOARD FOR THAT YEAR AS WELL.
[00:45:03]
ALL RIGHT. DO WE HAVE ANYONE HERE FROM AOUOPS? ALL RIGHT. YOU, I THINK EACH OF YOU, THE BOARD MEMBERS SHOULD HAVE AT YOUR DESK A COPY OF AN EMAIL CHAIN ACTUALLY FROM THE OWNERSHIP OF THE COMPANY AND ACTUALLY THIS WAS SENT IN PREPARATION FOR THE DECEMBER MEETING, WHICH DID NOT TAKE PLACE.THIS IS FROM THE SECRETARY TREASURER.
I DON'T KNOW IF THAT'S A MISTER OR MISS LEE.
AND I'LL LET YOU READ IT YOURSELF.
BUT ESSENTIALLY THE THIS IS THAT THEY CANNOT BECAUSE THEY ARE A SMALL COMPANY.
THEY SIMPLY CANNOT COME TO BATON ROUGE FOR THE MEETING.
THEY THEY'VE HAD SOME ILLNESS ISSUES.
THEY HAD A FACILITY THAT ACTUALLY BURNED DOWN WHEN AS THEY WERE TRYING TO REBUILD, THEY RAN INTO ISSUES. THEY ARE IN EAST CARROLL PARISH, WHICH THEY SAY IS A POOR PARISH AND THEY ARE HAVING A FRANKLY A DIFFICULT TIME GETTING PEOPLE BACK TO COME TO WORK, WHICH IS LED TO THE SITUATION AND THEN TO COMPOUND IN 2020.
OF COURSE, COVID MADE WHOLE SITUATION THAT MUCH MORE COMPLICATED.
SO I'LL LET YOU READ THE EMAILS YOURSELF, BUT THAT IS THE ESSENCE OF WHAT THEY'RE SAYING.
THEY ARE THEN BASICALLY SAID WE CAN'T COME TO THE MEETINGS, BUT WE'RE ASKING FOR A REPRIEVE FROM THE BOARD.
MS. BOURGEOIS, DO YOU HAVE ANYTHING TO ADD OR YOU JUST HERE TO ANSWER QUESTIONS? I'M HERE TO ANSWER QUESTIONS.
SO. WHAT IS THE PLEASURE OF THE BOARD? A QUESTION. YES, SIR, MR. BOURGEOIS WAS THERE ANY ONE YEAR? THAT THEY WERE IN COMPLIANT.
THEY WERE IN COMPLIANCE FOR 2019 YEAR.
SO THAT'S WHY YOU'LL SEE THE FIRST ONE WAS 2018.
THEY WERE SHORT ONE JOB WHICH MADE THEM NON-COMPLIANT.
2019 IS NOT SHOWN ON HERE FOR EITHER CONTRACT BECAUSE THEY WERE COMPLIANT FOR THAT YEAR.
AND THEN THEY WENT BACK TO NON-COMPLIANT FOR THE 2020 YEAR FOR BOTH CONTRACTS.
AND BOTH OF THOSE CONTRACTS COVER ONE PROJECT THE AGES AND THE CASE THAT IT'S A PHASE.
SO ASSETS WERE PLACED IN THE SERVICE IN TWO DIFFERENT CALENDAR YEARS, BUT IT WAS ONE PROJECT, ONE SET OF JOB CREATION REQUIREMENTS.
SO APPARENTLY THEY THE WAY I INTERPRET THAT AND STOP ME IF I'M WRONG, BUT THE WAY I INTERPRET THAT IN TWENTY SEVEN OR TWENTY, EXCUSE ME, 2018 THEY WERE STARTING UP WITH WITH UNDER THE CONTRACT, THEY WERE OBLIGATED TO HIRE FIVE PEOPLE.
THEY HIRED FOUR, BUT THEY EXCEEDED THE PAYROLL OBLIGATION.
2019 THEY MET THEIR OBLIGATIONS BOTH.
THEY HAD FIVE EMPLOYEES AT OVER WHAT ONE HUNDRED AND TWENTY FIVE THOUSAND.
CORRECT. IN SALARY AND THEN 2020 HIT WITH COVID.
AND TOOK A DOWNTURN TOOK A DOWNTURN.
SO THAT AND THAT'S WHERE WE ARE.
YES. DOES ANSWER YOUR QUESTION, MR. HOLLY?. YES, SIR.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? FOLKS, I THINK ONE OF THE THINGS THAT WE ARE DEALING WITH AND AS WE, YOU KNOW, WE'RE WE'RE RELATIVELY NEW INTO THE COMPLIANCE GAME AS A BOARD, Y'ALL KNOW THAT WE'VE ONLY ONLY THE THIRD, SECOND OR THIRD MEETING THAT WE'VE ACTUALLY HAD COMPLIANCE ITEMS ON THE AGENDA THAT WE'VE HAD TO DEAL WITH.
THIS IS NOT THIS IS THE FIRST TIME WE'VE SEEN COVID BEING RAISED AT THE LEVEL IT'S BEING RAISED, BUT I DON'T BELIEVE IT'LL BE THE LAST TIME.
SO FOR WHATEVER THAT'S WORTH, IT'S SOMETHING THAT.
AND AGAIN, I THINK WHEN WE STARTED THIS PROCESS OF DEALING WITH COMPLIANCE, WE HAD MUCH DISCUSSION AT THIS BOARD ABOUT.
ARBITRARY AND CAPRICIOUS, AND BUT AT THE SAME TIME, WE DON'T WANT TO HAVE COOKIE CUTTER ANSWERS BECAUSE EVERY PROJECT IS DIFFERENT, EVERY SITUATION IS DIFFERENT, AND THAT'S WHY IT'S IMPORTANT FOR US TO DELVE INTO WHAT THE FACTS ARE AND WHAT HAPPENED AND WHY IT HAPPENED. SOME, SOME REASONS FOR MEETING THE CONTRACT ARE APPROPRIATELY EXCUSED.
AND IT IS. IT'S UP TO THIS BOARD TO MAKE THOSE DETERMINATIONS.
SO YOU HAVE A SET OF FACTS IN FRONT OF YOU BASED ON THE EMAILS AND DISCUSSIONS WE'VE HAD THIS MORNING. SO WE NEED TO MAKE A DECISION.
[00:50:06]
WHAT IS THE PLEASURE OF THE BOARD? CAN I ASK ONE MORE QUESTION? AS I UNDERSTAND IT NO TAXING AUTHORITY HAS OPPOSED THE CONTINUATION OF THIS PROGRAM, IS THAT CORRECT? THAT'S CORRECT.ALL THEY DID WAS THEY DID ALL SEND THEIR RESPONSE.
THEIR RESPONSE WAS JUST TO DEFER TO THE BOARD FOR THE DECISION.
MAKE A MOTION THAT WE GRANT A REPRIEVE TO THE COMPANY.
ALL RIGHT, AND WE HAVE A MOTION FROM MR. NASSER TO GRANT THE REPRIEVE AND ALLOW THE CONTRACT TO GO CONTINUE WITHOUT PENALTY.
WE HAVE A SECOND FROM MR. MOSS. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
AYE. ANY OPPOSITION THERE BEING NONE, THE MOTION CARRIES.
AND YOU WILL COMMUNICATE THAT TO THE MS. SHUMATE. THANK YOU.
THE NEXT COMPANY IS OIL AND GRID LLC IN EAST FELICIANA PARISH CONTRACT 2017-0302.
THE FIRST NON-COMPLIANT REPORTING PERIOD IS THE 2019 YEAR.
THE COMPANY WAS REQUIRED TO CREATE SIX NEW JOBS WITH TWO HUNDRED AND SIXTY SIX THOUSAND IN PAYROLL. THE ACTUAL JOBS CREATED WERE FIVE AND THE PAYROLL WAS ONE HUNDRED AND FIFTY THREE THOUSAND FOUR HUNDRED AND SIXTY, AND THE LOCAL ENTITIES WERE NOTIFIED THE PARISH, THE SCHOOL BOARD AND THE SHERIFF.
FOR THE 2020 REPORTING PERIOD FOR THE SAME CONTRACT 2017-0302.
THEY WERE REQUIRED TO CREATE SIX JOBS, TWO HUNDRED AND SIXTY SIX THOUSAND IN PAYROLL.
THE LOCAL ENTITIES WERE NOTIFIED AND THE JOBS AND SALARY ARE UNKNOWN BECAUSE THE COMPANY DID NOT SUBMIT ANNUAL COMPLIANCE FOR THAT YEAR FOR IT TO BE DETERMINED.
OK. DO WE HAVE ANYONE HERE FROM OIL AND GRIT LLC.
MS. [INAUDIBLE]? PLEASE STATE YOUR NAME AND YOUR RELATIONSHIP WITH THE COMPANY PLEASE.
RHONDA [INAUDIBLE] DDA CONSULTANTS, WE ARE THE CONSULTANT FOR THIS COMPANY.
UNFORTUNATELY, BECAUSE OF COVID, THIS FACILITY HAS CLOSED DOWN.
THAT'S THE REASON WE DON'T HAVE ANY REPORTING FOR 2020 IS BECAUSE THEY NO LONGER HAVE ANY EMPLOYEES. SO BASED ON THE RULES OF THE PROGRAM AND THEY HAVE NO PLANS TO REOPEN THE FACILITY THEY ARE, THEY ARE HOPING TO SELL IT.
SO BASED ON THE PROGRAM RULES.
YOU KNOW, IT'S THE BOARD'S DECISION AS TO WHETHER OR NOT WE SHOULD CONTINUE WITH THE ITIP.
WHAT IS THE PLEASURE OF THE BOARD? I MOVE THAT WE TERMINATE THE PROGRAM.
WE HAVE A MOTION TO TERMINATE.
WE HAVE A SECOND FROM MR. SIMIEN. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? I WOULD LIKE TO MAKE ONE MORE COMMENT, PLEASE.
JUST FOR CLARIFICATION PURPOSES, THE TOTAL INVESTMENT IS THE THREE POINT TWO MILLION, NOT THE SUM, BECAUSE IF YOU LOOK AT THE TOTALS NUMBER AT THE BOTTOM, IT SEEMS TO REFLECT THAT THEY INVESTED $6 MILLION AND IN FACT, IT'S ONLY THREE POINT TWO MILLION.
GOOD, THANK YOU. ALL RIGHT, WE HAVE A MOTION, A SECOND TO TERMINATE THE CONTRACT.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.
THERE IS NO OPPOSITION THE MOTION CARRIES THANK YOU, MS. [INAUDIBLE]. THANK YOU. AND THAT CONCLUDES THE ITIP PORTION OF THE AGENDA.
ALL RIGHT. WE HAVE ANY OTHER BUSINESS.
[9. Secretary Remarks – Secretary Don Pierson]
PEARSON, THE FLOOR IS YOURS, BRING US UP TO DATE.THANK YOU, MR. CHAIRMAN, AND I'LL BE BRIEF, BUT I APPRECIATE THE OPPORTUNITY TO UPDATE THE BOARD HERE.
WE'RE FINISHING UP, AS YOU KNOW, 2021, AND WE'VE HAD A REMARKABLE YEAR REMARKABLE IN THAT SUSTAINING HURRICANES AND MAJOR STORMS REMARKABLE IN THE BACKDROP OF THE PANDEMIC.
IMPACTING COMPANIES, AS YOU'VE HEARD HERE TODAY, BUT DESPITE THAT, A RECORD YEAR FOR ECONOMIC DEVELOPMENT IN OUR STATE.
PROJECTS IN THIRTY ONE PARISHES.
SIX THOUSAND SEVEN HUNDRED NEW DIRECT JOBS, CREATING ELEVEN THOUSAND FOUR HUNDRED
[00:55:05]
INDIRECT JOBS.NINE THOUSAND SEVEN HUNDRED RETAINED JOBS THROUGH PROJECTS THAT WE CAN POINT TO AND A COMMITTED. CAPITAL INVESTMENT IN OUR STATE OF TWENTY POINT SIX BILLION.
SO JUST THINGS HEADED IN A VERY FAVORABLE DIRECTION, PARTICULARLY CONSTRUCTION INDUSTRIES AND A WIDE PORTFOLIO OF OPPORTUNITIES OUT THERE.
DEPARTMENT OF COMMERCE TO BUILD BACK BETTER.
PHASE ONE APPLICATION FOR AWARDS FIVE HUNDRED AND TWENTY NINE COMMUNITIES ACROSS THE NATION SUBMITTING SIXTY BEING SELECTED AND LOUISIANA HAVING TWO OF THOSE ONE AROUND THE ENERGY PIVOT AND THE FORMATION OF THE HYDROGEN ECONOMY.
THE RELIANCE MORE SO ON RENEWABLES.
REDUCTION OF GREENHOUSE GASES AND WIND, SOLAR AND OTHER RENEWABLES COMING TOGETHER TO HELP POWER THAT.
THAT WILL BE LED BY THE GREATER NEW ORLEANS INC.
ALSO, THE SECOND ONE WILL BE LED BY THE NEW ORLEANS BIO INNOVATION CENTER, BUT IT'S AROUND A HEALTH CORRIDOR THAT STRETCHES FROM BATON ROUGE, PENNINGTON HEALTH DISTRICT TO NEW ORLEANS TULANE MEDICAL SCHOOL, LOUISIANA HEALTH SCIENCE CENTER.
NEW ORLEANS BIO INNOVATION CENTER.
AND ALL THE RURAL AREAS IN THIS IN THIS REGION.
SO THESE TWO AWARDS CARRIED A $500000 AWARD TO FURTHER DEFINE DEVELOP PLANS GOING FORWARD. BUT IMPORTANTLY, REPRESENT THE OPPORTUNITY TO COMPETE FOR THE PHASE TWO AWARD.
THESE 60 COMMUNITIES WILL BE NARROWED TO 30 FINAL AWARD WINNERS THAT CAN RECEIVE UP TO $100 MILLION.
SO WE'RE BEING SEEN NATIONALLY FOR SOME EXCELLENCE BEING REPRESENTED THROUGH THESE PROGRAMS. THE OTHER VERY SIGNIFICANT EVENT THAT IS UPON US HERE IN 2022 IN A FAVORABLE WAY IS FUNDS THAT WILL BE AWARDED BY THE U.S.
TREASURY, WHERE WE'VE SUBMITTED APPLICATION FOR AND HAVE AN ALLOCATION OF $74 MILLION AND THAT NUMBER MAY BE ENHANCED THAT IS BEING PROVIDED IN ORDER TO ACCELERATE ENTREPRENEURSHIP AND SUPPORT OF SMALL BUSINESSES ACROSS THE STATE.
THOSE FUNDS WILL BE DEPLOYED THROUGH LOUISIANA ECONOMIC DEVELOPMENT CORPORATION, WHICH IS A SEGMENT OF LED'S MANAGEMENT THAT WORKS WITH A BOARD APPOINTED BY THE GOVERNOR AND THE FUNDS HAVE BEEN AWARDED ONCE NOT TOO LONG AGO, 09 AND 10 AND THE POST BUILDING HOUSING BUBBLE BURST WHERE THE ECONOMY WAS STRUGGLING AND FUNDS WERE AWARDED.
AND LOUISIANA DID A GREAT JOB WITH THE DEPLOYMENT OF THOSE FUNDS, LARGELY THROUGH OUR BANKS WHERE WE PARTICIPATE WITH LOUISIANA BANKS ON A LOAN GUARANTEE PROGRAM, BUT ALSO PLACING MONEY IN VENTURE CAPITAL FUNDS THAT WERE ESTABLISHED.
WE'VE BEEN IN STRONG CONVERSATIONS WITH STAKEHOLDERS AND PREPARING FOR THIS NEXT ROUND OF INVESTMENT BY THE TREASURY.
AND SO A SIGNIFICANT INFLUX OF FUNDS WILL HOPEFULLY ARRIVE LATER IN THE SUMMER TIME OR THEREABOUTS. WE'LL BE ABLE TO AGAIN MAKE SOME VENTURE CAPITAL INVESTMENTS.
WE WILL BE ABLE TO REINFORCE OUR LOAN GUARANTEE PROGRAM.
AND IMPORTANTLY, WHENEVER YOU TAKE FEDERAL MONIES THEY COME WITH FEDERAL REPORTING REQUIREMENTS AND OTHER GUIDANCE THAT YOU HAVE TO COMPLY WITH.
BUT ONE OF THE ELEMENTS HERE WILL BE TO TRY TO REACH OUT TO A LOT OF UNDERSERVED POPULATIONS OR DISTRESSED SMALL BUSINESSES ACROSS OUR STATE AND COME WITH WHAT WE CALL MICRO-LENDING. SMALLER, LESS DOCUMENTATION, EASIER TO SUPPORT AND EVEN SOME COLLATERAL SUBSTITUTION PROGRAMS WHERE FUNDS CAN BE PUT UP SO THAT A COMPANY THAT'S STRAPPED FOR ASSETS MAY NOT HAVE COLLATERAL AND MAY TYPICALLY BE TURNED DOWN BY THE BANK WILL WILL QUALIFY.
SO I THINK FOR HARD HIT AREAS FROM THE STORM DAMAGE SUCH AS SOUTHWEST LOUISIANA, A LOT OF RECOVERY ON GOING DOWN IN THE BAYOU, WE'RE GOING TO HAVE SOME GREAT OPPORTUNITIES TO
[01:00:01]
SUPPORT AND ASSIST THESE SMALL BUSINESSES.IT'LL BE A NEW FEATURE, NOT SPECIFICALLY NEW.
I TOLD YOU WE'D BEEN AWARDED FUNDING OF THIS NATURE BEFORE, BUT THE SEGMENT OF MICRO-LENDING AND A MORE FOCUSED APPROACH FOR DISTRESSED SEGMENTS OF OUR ECONOMY ARE GOING TO BE NEW FEATURES THAT WILL BE DEVELOPED AND DEPLOYED.
SO WITH THAT, I'LL CONCLUDE MY REMARKS.
AND IF YOU HAVE ANY QUESTIONS, I'D BE HAPPY TO TRY TO ANSWER THEM.
THANK YOU, MR. PEARSON, GREAT REPORT.
IT'S GOOD TO KNOW THAT SOME OF OUR D.C.
ALL RIGHT, ANYTHING ELSE FOR THE GOOD OF THE ORDER TODAY? THANK YOU, ALL, LADIES AND GENTLEMEN, I HOPE YOU HAVE A GREAT WEEKEND.
TO THE PUBLIC. THANK YOU VERY MUCH FOR BEING HERE WE ARE.
OH, I GUESS I NEED TO GET A MOTION.
DO I HAVE A MOTION TO ADJOURN? MOTION FOR MR. NASSER.
SECOND, FOR MR. MCQUAIN, ALL IN FAVOR, SAY AYE.
THANK YOU.
* This transcript was compiled from uncorrected Closed Captioning.