Aug 24, 2022 Board of Commerce and Industry

SO IT'S GOOD TO SEE EVERYBODY ON A WET MORNING IN BATON ROUGE FOR THE AUGUST MEETING OF THE BOARD OF COMMERCE AND

[1. Call to Order – Jerald Jones, Chairman]

[00:00:10]

AND MISS SIMMONS, WOULD YOU CALL THE ROLL TO ENSURE WE HAVE A QUORUM? GOOD MORNING. GOOD MORNING.

WE HAVE A QUORUM. THANK YOU, MA'AM.

IT IS GOOD TO SEE EVERYONE THIS MORNING.

ONE THING JUST AS A MATTER OF HOUSEKEEPING FOR EVERYONE WHO IS COMING TO THE TABLE OR SPEAKING AT THE MICS AND ALSO FOR THE BOARD MEMBERS.

WE ASK THAT YOU SPEAK CLOSE, GET YOUR MOUTH CLOSE TO THE MIC AS POSSIBLE.

IT HELPS THE COURT REPORTER AS SHE'S TRYING TO TRANSCRIBE THE MINUTES OF THE MEETING LATER JUST AND IF I REMIND YOU, I'LL THOROUGHLY ENJOY DOING THAT.

SO ANY RATE, JUST KIND OF KEEP THAT IN MIND.

SO FIRST OF ALL, WE HAVE THE MINUTES FROM THE JUNE 22 MEETING.

[3. Approval of Minutes from June 22, 2022 meeting]

WE HAVE A MOTION FROM MR. SLOAN TO APPROVE A SECOND FROM MR. MOSS. ANY COMMENTS OR QUESTIONS FROM THE BOARD? HEARING ANY COMMENTS FROM THE PUBLIC.

HEARING NONE, ALL IN FAVOR, SAY AYE.

ANY OPPOSITION? HEARING NONE, THE MINUTES ARE APPROVED.

[4. Quality Jobs Program – Michaela Adegbe]

HAVE THREE NEW APPLICATIONS.

2020-0246 JM TEST SYSTEMS. EAST BATON ROUGE PARISH.

2020-0252. LOUISIANA SUGAR REFINING LLC.

SAINT JAMES PARISH.

2020-0274. STEWART ENTERPRISES, JEFFERSON PARISH.

VERY GOOD AND AS A REMINDER TO THE BOARD MEMBERS AND I KNOW WE HAVE SOME FOLK ON THE BOARD REPRESENTING OTHER FOLK TODAY, AND THIS MAY BE YOUR FIRST BOARD MEETING WHEN WE ENTERTAIN MOTIONS ON ON MULTIPLE ITEMS LIKE THIS AT ANY POINT IN TIME, IF ANY MEMBER WANTS TO HANDLE A SPECIFIC APPLICATION INDEPENDENTLY, ALL YOU HAVE TO DO IS LET US KNOW AND WE CAN PULL THAT OUT AND HANDLE THOSE INDIVIDUALLY.

SO AS WE WORK THROUGH THE AGENDA, WE'LL HANDLE MOST, MOST THINGS IN A GLOBAL AND GLOBAL FASHION.

BUT AGAIN, IF YOU WANT TO HANDLE IT INDIVIDUALLY, WE CAN CERTAINLY DO THAT.

ALL YOU GOT TO DO IS LET ME KNOW.

ALL RIGHT. SO FOR THESE THREE, WE WOULD ENTERTAIN A MOTION HAVE A MOTION FROM DR.

WILSON TO APPROVE A SECOND FROM MR. NASSER. ANY COMMENTS OR QUESTIONS FROM THE BOARD HEARING? NONE. ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE. ALL IN FAVOR SAY AYE.

AYE. ANY OPPOSITION? THERE IS NONE. THE MOTION CARRIES.

HAVE FIVE RENEWAL APPLICATIONS.

2017 0471 CONTROL WORKS LLC, EAST BATON ROUGE PARISH.

2017 0481 MAN TRACK TECHNOLOGIES RAPIDES PARISH 2017-0346, SLEEP NUMBER CORPORATION, JEFFERSON PARISH 2017-0270 TOTAL QUALITY LOGISTICS ORLEANS PARISH 2017-0281, WAITER INC, LAFAYETTE PARISH.

AND JUST TO MAKE SURE THE RECORD IS CLEAR, MS. ADEGBE, YOU SAID THESE WERE NEW APPLICATIONS.

THESE ARE ACTUALLY RENEWALS.

THESE ARE RENEWAL APPLICATIONS.

OKAY, VERY GOOD. THANK YOU.

I WOULD ENTERTAIN A MOTION ON THESE RENEWALS.

WE HAVE A MOTION FROM MR. MOSS SECOND FOR MAYOR TOUPS.

ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE ANY COMMENTS FROM THE PUBLIC.

THERE BEING NONE ALL IN FAVOR, SAY AYE.

AYE. ANY OPPOSITION?

[00:05:01]

HAVE TWO CHANGE OF PROJECT, PHYSICAL LOCATION 2018 0061 ALINE TECHNOLOGIES CORP.

PREVIOUS ADDRESS 307 TCHOUPITOULAS STREET NEW ORLEANS, LOUISIANA 70130.

ORLEANS PARISH, NEW ADDRESS 4176 CANAL STREET, NEW ORLEANS, LOUISIANA 70119.

ORLEANS PARISH 2020 00 2020 0149 SCHOOLMINT INC PREVIOUS ADDRESS 1100 BERTRAND DRIVE, SUITE B LAFAYETTE, LOUISIANA 70506 OR LAFAYETTE PARISH.

NEW ADDRESS 214 JEFFERSON STREET, LAFAYETTE, LOUISIANA 70501 LAFAYETTE PARISH.

RIGHT. ONE THING FOR THE RECORD, MISS SIMMONS, MR. MUELLER HAS ARRIVED.

I HATE TO CALL YOU OUT, JAN, BUT I WILL MAKE SURE THE RECORD'S CLEAR THAT YOU'RE HERE TO VOTE.

SO WOULD ENTERTAIN A MOTION FOR THE SPECIAL REQUEST ON THESE NEW ADDRESSES.

I HAVE A MOTION FROM MR. NASSER, SECOND FROM MR. SLOANE. ANY COMMENTS OR QUESTIONS FROM THE BOARD? HEARING NONE ANY COMMENTS FROM THE PUBLIC.

THERE BEING NONE ALL IN FAVOR, SAY AYE.

AYE. ANY OPPOSITION? THERE IS NONE. THE MOTION CARRIES.

THIS CONCLUDES QUALITY JOBS.

THANK YOU, MA'AM. YOU HAVE A GREAT DAY.

GOOD MORNING, MISS LAMBERT.

GOOD MORNING. WALK US THROUGH THE RESTORATION TAX ABATEMENT PROGRAM.

[5. Restoration Tax Abatement Program – Becky Lambert]

FIRST ONE IS 2019 0318 FOR 511 SOUTH MAIN ENTERPRISES, LLC IN CLAIBORNE PARISH.

THE SECOND ONE IS 20 0180422818 HOWARD LLC IN ORLEANS PARISH.

THIS CONCLUDES THE NEW APPLICATION LISTING.

AND JUST AS A REMINDER TO THE BOARD MEMBERS THE RESTORATION TAX ABATEMENT PURSUANT TO THE TERMS OF THE CONSTITUTION, THIS THESE MATTERS HAVE ALREADY GONE TO THE LOCALS FOR APPROVAL BEFORE THEY COME TO THE BOARD.

UNLIKE OTHER PROGRAMS. SO THIS THIS IS.

THAT IS ALREADY HAPPENED.

SO IF YOU HAVE ANY, DO I HAVE A MOTION FOR THESE TWO NEW APPLICATIONS? HAVE A MOTION FROM MAYOR TOUPS, SECOND FROM DR.

WILSON. ANY COMMENTS OR QUESTIONS 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.

THE NEXT ORDER OF BUSINESS IS ARE TWO PARTIAL TRANSFERS OF OWNERSHIP FOR CONTRACT NUMBER 2015 0237, STUDIO NETWORK, SHREVEPORT 1 LLC TO THE NEW OWNER 624 DOWNTOWN LOFTS LLC IN CADDO PARISH.

THE SECOND IS THE SAME CONTRACT NUMBER SOLD BY THE SAME OWNER, BUT THE NEW OWNER IS LAS PALMAS GROUP LOFTS LLC IN CADDO.

I DIDN'T PUT THE PERCENTAGES, BUT IT'S ABOUT A 72 AND 28% DIFFERENCE WITH ONE AND THE OTHER.

RIGHT. THANK YOU VERY MUCH.

HAVE A MOTION FROM DR.

WILSON. SECOND.

MS. KOLA ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR SAY AYE.

AYE. ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.

THANK YOU. THANK YOU MS. LAMBERT. YOU HAVE A GREAT DAY TOO.

MS.

[6. Enterprise Zone Program – Joyce Metoyer]

I WANT TO MAKE YOU AWARE OF TWO OF MY APPLICATIONS.

THEY'RE BASED ON ACT 28, WHICH IS DUE TO COVID RELIEF, AND IT ALLOWS 721 722.

40 FOURS AND 40 FIVES TO APPLY DURING BETWEEN JULY ONE OF 20 THROUGH 1231 OF 21.

OKAY, SO I HAVE FOUR NEW APPLICATIONS.

2018 0528 GUARANTY RESTORATION SERVICES LLC.

EAST BATON ROUGE PARISH.

20210074 SIEGEN RETAIL LLC, EAST BATON ROUGE PARISH 2020 10015 VLW LLC, LAFAYETTE PARISH IN 2019 0356 WCJ CONSULTANTS LLC, ORLEANS PARISH

[00:10:01]

ALL RIGHT, SO WHAT HOW DOES THAT AFFECT THESE CORE APPLICATIONS? SIEGEN RETAIL, 20210074 IS A 721, WHICH IS A HOTEL AND VLW IS A RESTAURANT.

THOSE WERE NOT ELIGIBLE ANYMORE BASED ON ACT 18.

I DON'T WANT TO MISQUOTE YOU, BUT THEY HAVEN'T BEEN ELIGIBLE FOR A WHILE NOW.

ONLY DUE TO COVID WERE THEY ALLOWED THAT SHORT WINDOW.

OK, BECAUSE OF BECAUSE OF SPECIAL TREATMENT.

DURING THE COVID PERIOD, THEY WERE ALLOWED TO TAKE THE INDUSTRIAL EXCUSE ME, ENTERPRISE.

OKAY. GOT IT. THANK YOU.

THAT MAKES MUCH MORE SENSE TO ME NOW.

ALL RIGHT. WITH THAT EXPLANATION, DO WE HAVE A MOTION? MOTION TO APPROVE FROM MR. NASSER. SECOND FROM MR. WILSON. OR, EXCUSE ME, DR.

WILSON. ANY COMMENTS OR QUESTIONS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC.

THERE BEING NONE ALL IN FAVOR, SAY AYE.

AYE. ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.

MOVE ON. THEY ARE FOR TERMINATIONS.

2019 0007, EDWARD VIA VIRGINIA COLLEGE OF OSTEOPATHIC MEDICINE, OUACHITA PARISH.

THE EXISTING CONTRACT IS 116 OF 19 THROUGH 115 OF 2024.

THE REQUESTED TERM DATE IS AUGUST ONE, 2021.

THE PROGRAM REQUIREMENTS HAVE BEEN MET.

NO ADDITIONAL JOBS ARE ANTICIPATED.

2016 0984 GATOR MILL WORKS, INC..

LIVINGSTON PARISH.

THE EXISTING CONTRACT IS 11 2018 TO 1231 2022.

THE REQUESTED TERM DATE IS 1231 OF 20.

THE PROGRAM REQUIREMENTS HAVE BEEN MET.

NO ADDITIONAL JOBS ARE ANTICIPATED.

2018 0111 IP AVANTI, LAFAYETTE OPCO, LLC.

LAFAYETTE PARISH.

THE EXISTING CONTRACT IS APRIL 3RD, 2018 THROUGH APRIL 2ND, 2023.

THE REQUESTED TERM DATE IS OCTOBER TWO OF 2020.

THE PROGRAM REQUIREMENTS HAVE BEEN MET.

NO ADDITIONAL JOBS ARE ANTICIPATED.

2018 0408 OCTA FORMER PLASMA INC..

EAST BATON ROUGE PARISH.

THE EXISTING CONTRACT IS OCTOBER FOUR, 2018 TO OCTOBER 3RD OF 2023.

THE REQUESTED TERM DATE IS 1231 OF 2021.

THE PROGRAM REQUIREMENTS HAVE BEEN MET.

NO ADDITIONAL JOBS ARE ANTICIPATED.

VERY GOOD. WE HAVE A MOTION TO RECOGNIZE THESE TERMINATIONS.

I HAVE A MOTION FROM MR. SLOAN'S.

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.

AND BEFORE YOU GO ON, SECRETARY PEARSON, WOULD YOU TALK TO YOUR LANDLORD AND TELL THEM TO TURN THE STROBE LIGHTS ON AFTER TURN, TURN THEM OFF AFTER THE PARTY AT NIGHT BECAUSE THEY'RE A LITTLE DISTRACTING IN THE MORNING, SO.

ALL RIGHT. GO RIGHT AHEAD.

I HAVE ONE REQUEST TO CHANGE THE NAME OF AN EXISTING CONTRACT.

2016 1499 CDG ENERGY LLC TO SHELTON ENERGY SOLUTIONS LLC IN RAPIDES PARISH.

ALL RIGHT.

WE HAVE A MOTION TO APPROVE THE CHANGE OF NAME FROM MAYOR TOUPS SECOND FROM DR.

MCQUEEN. ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NOT ANY COMMENTS FROM THE PUBLIC? THEY'RE BEING NON NONE ALL IN FAVOR SAY AYE.

AYE. ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.

THAT CONCLUDES EZ. THANK YOU, MA'AM.

STAY DRY.

THANK YOU. GOOD MORNING.

GOOD MORNING. ALL RIGHT, WHO'S UP FIRST?

[7. Industrial Tax Exemption – Kristin Cheng/Hud Usie]

ONE COMPANY IS REQUESTING DEFERRAL 2020 10171 INDORAMA VENTURES OLEFINS LLC IN CALCASIEU PARISH.

I'M SORRY, WHICH NUMBER HUD? 20210171 INDORAMA.

INDORAMA, OKAY, THANK YOU VERY MUCH.

[00:15:02]

WILSON, SECOND FROM MR. MOSS. ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC.

ALL IN FAVOR SAY AYE.

ANY OPPOSITION.

THERE BEING NONE MOTION TO DEFER PASSES.

WE ALSO HAVE ONE CORRECTION TO MAKE.

IT IS FOR 2022-0091 LINDY INC IN ASCENSION PARISH, THE NEW PERMANENT JOBS STATE 26 THAT SHOULD BE 20 AND THE SALARIES FOR NEW PERMANENT JOB STATES 2,350,000.

AND IT SHOULD BE 2,200,000.

THANK YOU, SIR. 2020 10037 ASH INDUSTRIES INC.

LAFAYETTE PARISH 20210244 BOLLINGER HOUMA SHIPYARDS, LLC TERREBONNE PARISH.

20220290 CF INDUSTRIES NITROGEN LLC, ASCENSION PARISH.

20220169 AQUILINE ENTERPRISES, LLC DBA SHELL OIL PRODUCTS US ASCENSION PARISH.

2022-0170 EQUILON ENTERPRISES, LLC DBA SHELL OIL PRODUCTS US ST JAMES PARISH.

2018 0148C FLO PAM INC IBERVILLE PARISH 2020 0467 GREEN SHUTTER TEES, LLC ST CHARLES PARISH.

2019 0159 HOOD CONTAINER OF LOUISIANA LLC WEST FELICIANO PARISH 2020 0133B INTERNATIONAL PAPER COMPANY, WASHINGTON PARISH.

2020 20091 LINDI INC ASCENSION PARISH 2020 20175 LINDI INC ASCENSION PARISH 2017 0492C LOUISIANA SUGARCANE COOPERATIVE INC.

SAINT MARTIN PARISH 2020 10142A LOUISIANA SUGAR REFINING LLC SAINT JAMES PARISH 2020 0418 MID SOUTH EXTRUSION INC, OUACHITA PARISH.

2022-0013 ORIGIN US MEGA-SITE ONE LLC IN ASCENSION PARISH.

2017 0074 PROCESSORS LLC IN SAINT MARTIN PARISH.

AND NOTE THAT THAT APPLICATION HAD A LATE FILING.

20210264 TERNIUM USA INC IN CADDO PARRISH.

AND THAT CONCLUDES THE NEW APPLICATIONS.

ALL RIGHT. BEFORE WE MOVE TO A MOTION, I NOTE THAT DR.

THOMPSON WILL BE RECUSING HERSELF FROM TWO APPLICATIONS.

2000, EXCUSE ME, 20220169 CAROLINE ENTERPRISES, LLC, AND 20220170 AT CAROLINE ENTERPRISES IN SAINT JAMES PARISH.

SHE WILL BE RECUSING HERSELF, WHICH MEANS YOU WILL NOT PARTICIPATE IN THE DISCUSSION OR THE VOTE ON THOSE MATTERS.

I DO HAVE A QUESTION.

THE LATE APPLICATION THAT YOU MENTIONED, WHICH APPLICATION IS THAT? THAT IS FOR PROCESSORS LLC 2017 0074.

UNDER THE RULES, WHAT IS THE SIGNIFICANCE OF THE LATE APPLICATION? IT STATES THAT IF THE APPLICATION IS SUBMITTED AFTER THE FILING DEADLINE, THE TERM OF EXEMPTION AVAILABLE UNDER INITIAL CONTRACT AND RENEWAL THEREOF SHALL BE REDUCED BY ONE YEAR FOR EACH YEAR OR PORTION OF THE YEAR THAT THE APPLICATION IS LATE.

SO IT'S MY UNDERSTANDING THAT HAPPENS AUTOMATICALLY.

IT TAKES NO ACTION BY THIS BOARD.

IS THAT CORRECT? CORRECT.

THAT'S WHAT I WANT TO GET CLARIFICATION.

SO SO AGAIN, SO THE BOARD IS UNDERSTANDING WHAT WE ARE DOING HERE.

IS THAT ALL THE IF WE HAVE A MOTION IN GLOBO AND AGAIN, IF ANYBODY WANTS TO HANDLE ANY ONE OF THESE INDIVIDUALLY, WE CAN CERTAINLY DO SO.

ALL YOU GOT TO DO IS ASK.

BUT IF WE HANDLE THEM IN GLOBO, THEY WILL THEY WILL BE GETTING THE STANDARD EXEMPTION WITH THE EXCEPTION OF THE PROCESSORS EXCUSE ME, PROCESSORS LLC APPLICATION, WHICH WILL HAVE A ONE YEAR PENALTY EMBEDDED INTO THEIR SITUATION.

ALL RIGHT. NOW WE HAVE A MOTION FROM MR. NASSER. WE HAVE A SECOND FROM DR.

WILSON TO APPROVE THESE.

ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE ANY COMMENTS FROM THE PUBLIC.

HEARING NONE, ALL IN FAVOR, SAY AYE.

ANY OPPOSITION.

THERE IS NONE. THE MOTION CARRIES AND SOMETHING THAT, YOU KNOW, WE DO THIS EVERY OTHER MONTH AND BUT JUST SO THAT IF ANYBODY IS LISTENING OR PAYING ATTENTION, WE JUST APPROVED $4.7 BILLION IN CONSTRUCTION WITH OVER

[00:20:02]

AND SOME OF THESE PROJECTS ARE HUGE.

2 BILLION. 1.3 BILLION.

SOME OF THEM ARE SMALLER.

111,000. BUT THE IMPORTANT THING FOR US TO REMEMBER AS A BOARD IS THAT EVERY ONE OF THESE PROJECTS ARE IMPORTANT.

EVERY ONE OF THESE PROJECTS BRING DEVELOPMENT TO THE COMMUNITIES THEY'RE IN.

AND SO WHAT WE'RE DOING HERE IS IMPORTANT TODAY, ALL RIGHT, MR. NASSER, I JUST WANT TO MAKE A COMMENT THANKING SHELL EQUILON FOR REINVESTING IN ST JAMES PARISH.

AND IT'S VERY WELCOME AND VERY NEEDED.

SO THANK YOU ALL FOR INVEST IN US AND HOPEFULLY WE'LL HAVE THE SAME AMOUNT OF YEARS GOING FORWARD AS WE HAVE IN THE PAST.

THANK YOU. YOU DON'T WANT TO HAVE SOME COMMENTS.

PLEASE STATE YOUR NAME, YOUR POSITION WITH THE COMPANY, PLEASE.

MR. CHAIRMAN. MR. NASSER. MEMBERS, I AM FRED PALMER.

I AM SHELL'S CORPORATE AND GOVERNMENT RELATIONS REGIONAL MANAGER FOR THE SOUTHEAST U.S.

BASED HERE IN LOUISIANA.

IN FACT, WITHIN THE NEXT COUPLE OF WEEKS, I'LL BE A RESIDENT OF BATON ROUGE.

I HAVE WITH ME KIRK KELLENBERGER, WHO IS OUR GENERAL MANAGER FOR THE CONVENT SITE.

WE'RE EXCITED TO BE HERE TODAY.

WE APPRECIATE MR. NASSER'S COMMENTS.

THIS IS THE FIRST OF A REINVESTMENT IN THE REPURPOSING OF THE CONVENT SITE.

AND WITH THAT, I'D LIKE TO TURN IT OVER TO KIRK TO EXPLAIN A LITTLE BIT ABOUT WHAT WE'RE DOING WITH THIS PROJECT.

EXCELLENT. THANK YOU. GOOD MORNING.

THANK YOU, FRED. I AM THE GENERAL MANAGER AT SHELL CONVENT.

I'VE WORKED AT CONVENT FOR 18 OF MY 31 YEARS AND LIVED IN LOUISIANA FOR 22 OF THOSE YEARS.

I ALSO RESIDE IN PRAIRIE PERRYVILLE.

BACK IN FEBRUARY THIS YEAR, MY FORMER BOSS, ROMAN HARDIE, CAME BEFORE THIS BOARD AND SHARED THAT AS PART OF SHELL'S ENERGY TRANSITION PLANS IN THE US THAT THE CONVENT FACILITY WAS NO LONGER BEING MARKETED.

AND SHELL WAS INTENDING TO REPURPOSE THE FACILITY.

THIS MORNING I'M HERE TO SHARE THAT EXCITED ACTUALLY TO SHARE MORE ABOUT THE FIRST NEW PROJECT AT CONVENT TO REPURPOSE THE FACILITY FOR THE FUTURE.

SHELL INTENDS TO DESIGN AND BUILD A RENEWABLE FUELS, HEFA, HYDRO, PROCESSED ESTERS AND FATTY ACID FACILITY THAT WILL PRODUCE RENEWABLE DIESEL AND SUSTAINABLE AVIATION FUEL.

AND IF YOU ALL CAN REMEMBER WHAT HEFA STANDS FOR, CONGRATULATIONS.

SHELL WILL UTILIZE THE PROPRIETARY RENEWABLE REFINING PROCESS TECHNOLOGY TO CONVERT CROP OILS, ANIMAL FATS, USED COOKING OIL, AND OTHER BIO BASED WASTE OILS INTO LOW CARBON INTENSITY TRANSPORTATION FUELS.

THIS APPROXIMATELY $1.5 BILLION PROJECT WILL BRING 51 NEW DIRECT JOBS TO THE SITE BETWEEN ASCENSION AND SAINT JAMES PARISHES.

IT ALSO WILL ADD APPROXIMATELY 610 CONSTRUCTION JOBS.

SHELL'S BROADER ENERGY TRANSITION PLANS INCLUDE A SUITE OF POTENTIAL PROJECTS AT ALL OF ITS EXISTING US GULF COAST FACILITIES PENDING FINAL INVESTMENT DECISION AND UNDERPINNED BY CARBON CAPTURE SEQUESTRATION HERE IN LOUISIANA.

THE CONVENT FACILITY WILL ESSENTIALLY BECOME THE HUB FOR MANY OF THESE PROJECTS.

SHELL HAS A GREAT RELATIONSHIP WITH THE STATE OF LOUISIANA AND WITH THE COMMUNITIES IN WHICH WE OPERATE, WHICH POSITIONS US WELL FOR NEW GROWTH AND THE TRANSITION TO LOW CARBON FUELS AND PRODUCTS.

AS A TRUSTED OPERATOR AND COMMUNITY PARTNER IN LOUISIANA FOR MORE THAN 100 YEARS.

SHELL IS EXCITED TO BUILD ON THAT LEGACY TO HELP LEAD THE NEXT 100 YEARS OF ENERGY IN LOUISIANA AND IN THE US.

I'M ESPECIALLY EXCITED TO CELEBRATE THE 55TH ANNIVERSARIES AT OUR CONVENT AND GUYS FOR FACILITIES LATER THIS YEAR.

AND IT JUST SO HAPPENS THAT I'M ALSO 55, SO I GET TO HAVE TWO BIRTHDAY PARTIES.

THIS MORNING WE ARE SEEKING APPROVAL FROM THE BOARD OF OUR ITEP.

APPLICATION FOR THIS FIRST PROJECT AT CONVENT.

IF APPROVED, WE'RE THEN WE WILL THEN TAKE FORWARD TO SAINT JAMES AND ASCENSION PARISH GOVERNING BODIES TO SEEK THEIR ENDORSEMENT AS WELL.

I REALLY WANT TO THANK YOU FOR THE OPPORTUNITY TO COME BEFORE YOU AND SPEAK THIS MORNING.

WE'RE EXCITED ABOUT WHAT'S HAPPENING AT OUR SITE, CONSIDERING WHAT WE'VE BEEN THROUGH OVER THE LAST TWO YEARS.

SO REALLY APPRECIATE THE OPPORTUNITY.

THANK YOU. THANK YOU.

AND JUST AGAIN, SOME OF THE BOARD MEMBERS, NOT ME, MAY NOT BE AWARE OF WHEN THE REFINING WHEN THEY ANNOUNCED THE REFINERY SHUTDOWN.

ONE THING THAT SHELL DID, WHICH I WAS PERSONALLY VERY APPRECIATIVE OF, IS THEY WORKED WITH THE PARISH AND THE GOVERNING AUTHORITIES THERE THAT HAD RELIED ON THE PROPERTY TAX AND

[00:25:07]

IT'S YOU SHUT DOWN A MAJOR FACILITY LIKE THAT.

OBVIOUSLY, IT'S IT'S PAINFUL.

AND WE THANK YOU FOR WORKING WITH THEM IN THE INTERIM AND NOW REINVESTING IN THE COMMUNITY TO BRING THAT SITE BACK TO LIFE.

AND WE THANK YOU FOR YOUR CONFIDENCE IN THE STATE OF LOUISIANA AND IN SAINT JAMES PARISH.

THANK YOU VERY MUCH. THANK YOU.

MR. NASSER, DO YOU HAVE ANYTHING ELSE? YOU PRETTY MUCH SAID AT ALL BUT WHAT YOU ALL DID FOR OUR LOCAL GOVERNMENTS AFTER THE SHUTDOWN, IN HELPING US THROUGH THE HARD TIMES WITH A LITTLE EXTRA AD VALOREM TAXES, WENT A LONG, LONG WAY.

AND AS I SAID BEFORE, WE THANK Y'ALL FOR REINVESTING IN OUR COMMUNITY.

THANK YOU. ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? DR. THOMPSON. ALTHOUGH I RECUSED MYSELF FROM THE VOTE, I WOULD LIKE TO THANK SHELL PUBLICLY FOR YOUR VERY DEEP INVESTMENT IN OUR STATE AND SPECIFICALLY IN HIGHER EDUCATION.

SO TWO MONTHS AGO I MADE A $27.5 MILLION INVESTMENT IN OUR FLAGSHIP INSTITUTION AT LSU AND OUR CHAMBER OF COMMERCE.

SO THANK YOU SO MUCH FOR THAT AND WE APPRECIATE VERY MUCH YOUR REPRESENTATION HERE.

THANK YOU. ANYTHING ELSE FROM THE BOARD? THANK YOU VERY MUCH, GENTLEMEN. THANK YOU.

ALL RIGHT. BUT.

NEXT, WE HAVE SEVEN PRE-EO RENEWAL APPLICATIONS.

2014 09778 EXPERT RISER SOLUTIONS LLC LAFOURCHE PARISH.

2012 1215 HONEYWELL INTERNATIONAL, ASCENSION PARISH.

2015 1706 HONEYWELL INTERNATIONAL, ASCENSION PARISH.

2016 0760 HONEYWELL INTERNATIONAL, ASCENSION PARISH.

2016 0175A, HOOD CONTAINER OF LOUISIANA LLC, WEST FELICIANO PARISH.

2015 1753 OCCIDENTAL CHEMICAL CORPORATION, ASCENSION PARISH AND 2014 0273A POD PACK INTERNATIONAL LLC IN EAST BATON ROUGE PARISH.

ALL RIGHT. DO WE HAVE A MOTION ON THESE RENEWALS? WE HAVE A MOTION FROM MR. MOSS, SECOND FROM MR. NASSER. ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC.

HEARING NONE, ALL IN FAVOR, SAY AYE.

ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.

NEXT WE HAVE ONE PREO LATE RENEWAL APPLICATION, 2012-1092 HONEYWELL INTERNATIONAL ASCENSION PARISH . THE RENEWAL, THE CONTRACT EXPIRATION DATE WAS 12/31 OF 2020 AND THE LATE RENEWAL REQUEST DATE WAS 12/22 OF 2021.

DO WE HAVE SOMEONE HERE FROM HONEYWELL? PLEASE COME FORWARD.

PLEASE STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.

JAMES HUDSON, PLANT MANAGER.

THANK YOU.

PHYLLIS SIMMS WITH THE LAW FIRM OF KEAN MILLER, REPRESENTING HONEYWELL.

THANK YOU.

MR. HUDSON, YOU WANT TO TELL US WHAT HAPPENED ON..

I'M GOING TO LET MISS SIMS EXPLAIN THE DETAILS OF IT.

PROBABLY THE SMART THING.

I'LL TELL YOU ABOUT THE PLANT SHE CAN HANDLE.

SO, MR. CHAIRMAN, THIS IS A LITTLE BIT CLOSER, PLEASE.

EXCUSE ME. THERE YOU GO.

SO, UM, THIS ORIGINAL APPLICATION WAS ONE OF THOSE THAT WAS FILED PRIOR TO THE GOVERNOR'S EXECUTIVE ORDER.

SO IT WAS ORIGINALLY FILED IN MARCH OF 2016.

IT WAS NOT YET READY TO COME BEFORE THE BOARD BY THAT JUNE 24TH, 2016 DATE BECAUSE LED TO HAVE SOME QUESTIONS ABOUT IT.

SO WE WORKED WITH AT THE TIME MS..

WEBBER AND MS.. CHANG BECAUSE THERE WAS A TRANSITION, AS YOU KNOW, GOING ON AND ANSWERED THOSE QUESTIONS AND THEN SUBMITTED THE A RENEWAL, NOT A RENEWAL APPLICATION, SUBMITTED AN AMENDED APPLICATION IN OCTOBER OF 2016, BUT AS YOU ALL WELL KNOW WHAT HAPPENED FROM THAT TIME ON.

SO THIS APPLICATION, THE ORIGINAL APPLICATION, WAS THEN JUST PUT ON HOLD FOR AT LEAST A COUPLE OF YEARS WHILE THE NEW RULES WERE BEING DEVELOPED.

AND THEN THROUGH A SERIES OF SIMILAR DELAYS, THE ORIGINAL APPLICATION WAS NOT EVEN APPROVED BY THE BOARD UNTIL AFTER THE FIRST FIVE YEAR TERM HAD RUN. SO THAT'S WHY THE RENEWAL APPLICATION WAS LATE, BECAUSE OF THE DELAY IN APPROVING THE ORIGINAL APPLICATION.

AND I CAN GO INTO A LOT OF DETAIL, BUT I'M NOT GOING TO TO DO THAT UNLESS THE BOARD HAS SPECIFIC QUESTIONS.

[00:30:07]

AND IT WAS IT WAS WITH A FEW OTHERS AND IT WAS ON THE BOARDS AGENDA FOR DECEMBER.

AND THEN THE BOARD COULD NOT GET A QUORUM.

AND SO THAT SERIES OF APPLICATIONS WERE THEN APPROVED IN FEBRUARY EARLIER THIS YEAR.

OKAY. SO THE APPLICATION FOR THE ORIGINAL THE ORIGINAL TERM, FIVE YEAR TERM WAS JUST APPROVED WITHIN.

PLUS THE LAST TWO MEETINGS, I WOULD GUESS.

CORRECT. AND SO.

SO YOU'RE ALREADY INTO YOUR SECOND TERM? THAT IS CORRECT. SO IT WAS THERE.

WAS THERE A REASON THAT WE COULD NOT GO AHEAD AND FILE THE RENEWAL PRIOR TO THE APPROVAL OF THE FIRST APPLICATION.

I DON'T KNOW WHO I'M ASKING THAT QUESTION OF EVEN.

IS THERE A REASON THAT THE RENEWAL COULD NOT HAVE BEEN FILED? AFTER AN APPLICATION IS BOARD APPROVED AND THE PROJECT IS COMPLETE, THE COMPANIES ARE REQUIRED TO FILE AN AFFIDAVIT OF FINAL COST AND PROJECT COMPLETION REPORT AND THE SYSTEM WILL NOT ALLOW A RENEWAL APPLICATION TO BE FILED UNTIL THOSE REQUIRED ARTICLES OF THE CONTRACT ARE ALSO FILED.

SO LITERALLY, THEY COULD NOT FILE THE RENEWAL UNTIL WE APPROVE THE ORIGINAL CONTRACT.

CORRECT. SO EVEN IF THEY HAD TRIED TO FILE BY 1231, 2020, THE SYSTEM WOULD NOT HAVE ALLOWED THEM TO DO SO.

WELL, OUR RECOLLECTION OF THE REASON FOR THE APPLICATION BEING ON HOLD WAS NOT DUE TO WHAT WAS STATED BY MISS SIMS. WE WERE REQUIRING CORRECTIONS TO BE MADE TO THE APPLICATION AND THERE WERE LONG DELAYS ON BOTH ENDS IN PROCESSING THE APPLICATION I GUESS WAS WHAT I'M TRYING TO UNDERSTAND THOUGH IS THAT THE AGREE.

YEAH, WHATEVER HAPPENED HAPPENED.

BUT THE APPLICATION NEEDED BOARD APPROVAL FIRST THAT HAD TO COME FIRST DID NOT HAPPEN UNTIL AFTER THIS DID NOT OCCUR UNTIL JANUARY OF 2022.

OKAY. SO TO MAKE SURE MY QUESTION GETS FINISHED.

IT DID NOT HAPPEN BEFORE 12/31 2020 WHEN THE WHEN THE CONTRACT EXPIRED.

AND SO THE RENEWAL APPLICATION WAS FILED.

IT WAS FILED 1222 2021.

HOW DID THEY FILE THE LATE RENEWAL REQUEST THEN, IF WE DID NOT APPROVE IT TILL JANUARY OF 22? SO IT'S ALLOWED IN THE SYSTEM, THEY JUST CAN'T BE PROCESSED.

SO IT COULD TECHNICALLY BE FILED, BUT WE WOULDN'T REVIEW IT BECAUSE WE HAVE TO HAVE THE CONTRACT.

THEN THE AFC AND THE PCR AND THEN THE RENEWAL CAN BE PROCESSED BECAUSE THE RENEWAL DATA IS PULLED FROM THE AFFIDAVIT OF FINAL COST FOR THE PROJECT.

SO THE RENEWAL WOULD NEVER BE ACCURATE UNTIL THE AFFIDAVIT OF FINAL COST WAS REVIEWED AND PROCESSED BY US.

I'M TRYING TO WRAP MY HEAD AROUND THIS, GUYS, BECAUSE I THOUGHT I WAS UNDERSTANDING AND I THOUGHT I WAS TRACKING.

BUT NOW APPARENTLY I'M NOT.

MR. CHAIRMAN, IF I MAY.

PLEASE, IF YOU CAN IF YOU CAN SHED SOME LIGHT INTO MY CONFUSION, THAT WOULD BE WONDERFUL.

THERE WERE SEVERAL APPLICATIONS THAT EXPERIENCED THE SAME TYPE OF DELAYS WHEN THE BOARD WASN'T ABLE TO GET A QUORUM FOR DECEMBER OF 2021. THEN I WENT TO..

I'M GOING TO STOP YOU.

2021 OR 2022, DECEMBER OF 2021, THAT I BELIEVE THAT WAS THE MEETING THAT A QUORUM WAS NOT ESTABLISHED.

WE'VE HAD A COUPLE OF THOSE.

OKAY. SO IS THAT CORRECT HUD.

OKAY. AND SO BECAUSE AT THAT TIME, I WAS WAITING ON BOARD APPROVAL FOR SEVERAL APPLICATIONS ORIGINALLY FILED.

I KNEW ONCE THAT THEY AND THEY WERE ON THE AGENDA FOR DECEMBER WHEN THEY WERE NOT APPROVED.

I WENT TO MR. CHANG AND MR. UZI AND SAY, WHAT DO WE DO? THESE ARE GOING TO BE LATE NOW.

AND SO WE WORK TOGETHER AND MR. UZI THEN SAID, IF YOU GO AHEAD AND GET THE AFFIDAVIT OF FINAL COST FILE, THE PROJECT, THE PROJECT COMPLETION REPORT, I BELIEVE THE SYSTEM WILL THEN ALLOW YOU TO FILE THE RENEWAL, EVEN THOUGH THE ORIGINAL APPLICATION HAS NOT BEEN APPROVED.

BUT WE DIDN'T KNOW THAT.

SO THERE WERE A FEW APPLICATIONS WHERE I WAS ABLE TO DO THAT, BUT THIS ONE WAS ALREADY INTO ITS SIXTH YEAR.

AND AGAIN, FOR BOARD MEMBERS WHO ARE SITTING HERE TODAY FOR THE FIRST TIME, THE REASON THAT WE'RE WRESTLING WITH THIS A BIT IS BECAUSE UNDER THE RULES, WE CAN PENALIZE A APPLICANT WHEN THEY HAVE FILED A RENEWAL LATE.

AND AS A MATTER OF COURSE, WHAT THIS BOARD HAS DONE HISTORICALLY IS THERE'S A ONE YEAR PENALTY FOR EACH MONTH THAT

[00:35:09]

SO IT'S A SIGNIFICANT VALUE.

THE PENALTY IS OF SIGNIFICANT VALUE FOR ALL PARTIES CONCERNED.

SO WHAT I'M TRYING TO WRAP MY HEAD AROUND TODAY, AND I HOPE THE BOARD IS IS WRESTLING WITH ME AND WILL HELP ME GET THERE IS IS THERE IS IS THERE AND I HATE TO USE THE WORD FAULT BECAUSE THAT'S NOT THE RIGHT WORD.

IS THE CAUSE FOR THE RENEWAL SYSTEMIC OR WAS IT FOR FAILURE ON THE APPLICANT'S PART? AND THAT'S WHAT I'M TRYING TO UNDERSTAND.

THE REASON I'M DIGGING A LITTLE BIT HERE, I COULD GO INTO A LITTLE MORE DETAIL.

IT WAS, LIKE I SAID, A SERIES OF THINGS.

LIKE I SAID, THE ORIGINAL APPLICATION WAS FILED IN MARCH OF 2016.

IT WASN'T PROCESSED AND READY FOR APPROVAL BY THE BOARD'S DATE FOR JUNE 24TH, 2016, WHEN THE GOVERNOR ISSUED THE EXECUTIVE ORDER.

SO THEN WE MET IN MS..

CHANG'S OFFICE TO SAY, WHAT DO YOU NEED? AND THE APPLICATION AND BREAKDOWN OF PURCHASES WAS THEN REVIEWED AND WE NEEDED TO REVISE A BIT.

THEN WE FILED AN AMENDED APPLICATION REVISING THE BREAKDOWN OF PURCHASES ON OCTOBER OF 2016 AND WITHIN THE FAST LANE SYSTEM.

THEN IT SAYS ON HOLD.

SO IT LITERALLY SAT THERE FOR A COUPLE OF YEARS, JUST AS I SAID EARLIER, JUST WAITING FOR ALL OF THE NEW RULES TO BE ESTABLISHED.

THEN I REACHED OUT TO LED.

I'D SAY, OKAY, THESE THINGS ARE MOVING.

THESE THINGS THAT WERE FILED PRIOR TO THE GOVERNOR'S EXECUTIVE ORDER ARE MOVING.

WHAT DO WE NEED TO DO TO GET THIS MOVING? AND THE ANSWER WAS, OKAY, YOU NEED A CONTRACT AFFIDAVIT.

FOR THOSE OF YOU THAT WERE NOT FAMILIAR WITH WHAT HAPPENED PRIOR TO THE GOVERNOR'S EXECUTIVE ORDER AND AFTER THE CONTRACT AFFIDAVIT WAS A NEW REQUIREMENT.

AND SO IT TOOK SOME TIME FOR THE COMPANY TO ACTUALLY REVIEW THE REQUIREMENTS OF THE CONTRACT AFFIDAVIT AND THEN COMPLY WITH IT.

SO THAT WAS DONE.

GOT THAT UPLOADED TO THE SYSTEM IN EARLY 2019 AND A COUPLE OF MONTHS LATER I REACHED OUT TO LED AND SAID, HEY, REACH OUT TO MR. UZI AND SAID, HEY, HUD, I FILED THESE, YOU KNOW, WHAT DO WE NEED? AND HE SAID, I DON'T SEE THEM.

AND I SAID, WELL, I'M LOOKING AT THEM.

AND SO WE GOT TOGETHER ON THE PHONE AND HE SAID, OH, YOU UPLOADED THEM TO THE SUMMARY PAGE.

AND I SAID, SO WHAT DOES THAT MATTER? AND HE SAID, WELL, IF YOU UPLOAD THEM TO THE SUMMARY PAGE IN THE SYSTEM, WE DON'T RECEIVE A NOTIFICATION THAT ANYTHING HAS BEEN UPLOADED.

REUPLOAD THEM, SO A REUPLOADED THOSE.

AND SO THAT WAS THAT WAS A SEVERAL MONTH DELAY.

THEN I SAID, ALL RIGHT, WHAT ELSE DO WE NEED? AND MISS CHANG SAYS, WELL, BECAUSE IT'S BEEN SITTING HERE SO LONG, WE NEED A VERIFICATION FROM THE ASSESSOR THAT THESE ASSETS HAD HAVE NOT BEEN PUT ON THE TAXABLE ROLLS.

OKAY, WE GOT THAT.

SO IT UPLOADED THAT.

AND I CAME BACK AND SAID, OKAY, WHAT ELSE DO WE NEED? WELL, THEN IN NOVEMBER OF 2019, I GET A NOTIFICATION AND IT SAYS WE NEED A LITTLE PAYROLL INFORMATION, BUT BY THE WAY, WE NEED THE BREAKDOWN OF PURCHASES.

AND I WAS A LITTLE SHOCKED BECAUSE I WENT BACK AND NOT ONLY RE-UPLOADED THAT, BUT I WENT BACK TO LED AND SAID, WE FILED THIS THIS APPLICATION AND BREAKDOWN OF PURCHASES TWICE IN MARCH OF 2016.

THEN WE HAD A MEETING ABOUT IT AND REFILED IN OCTOBER OF 2016.

WHERE IS IT? SO PRESUMABLY WHEN THE FAST LANE SYSTEM ROLLED OVER FROM THE OLD GENERATION TO THE NEW GENERATION, DOCUMENTATION WAS LOST, BUT NOBODY KNEW THAT.

AND SO THAT WAS ANOTHER DELAY.

SO WHEN I SAY THERE WAS A SERIES OF DELAYS LIKE THAT, THAT'S WHAT I MEAN.

ANY COMMENTS FROM HUD YOU OR KRISTEN ON THIS? ANY ENLIGHTENMENT YOU CAN PROVIDE? THERE WERE SEVERAL DELAYS.

IT WASN'T JUST THE FACT THAT IT WAS ON HOLD, BUT LIKE SHE ORATED, THERE WERE CHANGES TO THE PROGRAM AND WHENEVER AN APPLICATION IS REVIEWED, THEY HAVE TO BE REVIEWED TO THE STANDARDS OF THE DAY THAT YOU'RE REVIEWING IT.

SO THERE DID NEED TO BE CHANGES TO THE BREAKDOWN OF PURCHASES.

THERE DID NEED TO HAVE A NOTARIZED AFFIDAVIT.

ALL OF THAT IS CORRECT.

BUT THE RENEWAL, EVERYTHING GOT DELAYED BECAUSE THE APPLICATIONS WERE DELAYED AND BEING BROUGHT TO THE BOARD FOR APPROVAL.

SO IT CAUSED A DOMINO EFFECT AND EVERYTHING ELSE BEING REVIEWED AND PROCESSED TIMELY.

ANY I KNOW WE'RE WE'RE FOLLOWING OUTSIDE OF PARLIAMENTARY PROCEDURE.

WE'RE HAVING DISCUSSION WITHOUT A MOTION.

BUT I'M, THIS IS ONE OF THOSE THAT TRYING TO FIGURE OUT WHAT THE MOTION OUGHT TO BE.

[00:40:05]

THE FAULT OF THE OF THE LATE RENEWAL FALLS ENTIRELY ON THE APPLICANT.

SO I WOULD.

I'LL ENTERTAIN A MOTION.

I THINK I KNOW WHAT IT OUGHT TO BE, BUT I'LL DEFER TO YOU GUYS WHAT YOU THINK IT OUGHT TO BE.

I'LL MAKE MOTIONS, RONNY.

MR. SLOAN, I THINK WE.

THE MOTION SHOULD BE THAT WE APPROVE THE ENTIRE FIVE YEAR WITHOUT THE PENALTY THAT WE NORMALLY DO.

BASED UPON THE CIRCUMSTANCES, IT SEEMS LIKE THE INITIAL DELAY, THE EXECUTIVE ORDER, FAST LANE AND THINGS GOING BACK AND FORTH, THAT WOULD BE MY MOTION.

OKAY. WE GOT A SECOND ON THAT FROM MR. MCGINNIS. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? VERY NOT ALL IN FAVOR SAY I IN THE OPPOSITION THERE BEING NONE THE MOTION CARRIES.

THANK YOU VERY MUCH, CHAIRMAN, VERY MUCH.

YEP. NEXT WE HAVE A RENEWAL FOLLOWING THE POST EXECUTIVE ORDER 2017 RULES 2017 0164 CORE TECH LLC AND WEST BATON ROUGE PARISH.

ALL RIGHT. WALK ME THROUGH THE COMPLIANT, NON-COMPLIANT INFORMATION HERE ON THIS.

UH, THEY WERE COMPLIANT FOR ALL FOUR YEARS.

WITH THE EXCEPTION OF REPORTING YEAR TWO AND THREE.

THE APPLICANT WAS COMPLIANT FOR THE JOBS AND PAYROLL, BUT THEY HAD A LATE FILING FOR THOSE YEARS.

THEY WERE BROUGHT BEFORE THE BOARD AND THERE WAS NO PENALTY IMPOSED FOR THOSE TWO REPORTING PERIODS FOR THE LATE FILING.

OKAY. SO THOSE THOSE NON COMPLIANT ISSUES HAVE ALREADY BEEN DEALT WITH BY THIS BOARD, CORRECT.

OKAY, GOOD. SO, LADIES AND GENTLEMEN, WE HAVE A RENEWAL.

THERE WERE COMPLIANCE ISSUES.

THIS BOARD HAS ALREADY ACTED ON THOSE.

SO THOSE SHOULD NOT BE ISSUES OR DON'T HAVE TO BE ISSUES ON THE RENEWAL UNLESS YOU CHOOSE TO MAKE THEM SO.

SO I WOULD ENTERTAIN A MOTION FOR QUARTET LLC IN WEST BATON ROUGE PARISH.

I HAVE A MOTION FOR MR. YARBOROUGH TO APPROVE.

YES, SIR. SECOND FROM MAYOR TOUPS.

ANY QUESTIONS OR COMMENTS FROM THE PUBLIC? VERY. NOT ANY. EXCUSE ME.

FROM THE BOARD. ANY.

ANY FROM THE BOARD.

HEARING. NONE. ANY COMMENTS FROM THE PUBLIC.

THERE BEING NONE ALL IN FAVOR SAY I ANY OPPOSITION.

THERE BEING NONE OF THE MOTION CARRIES.

NEXT WE HAVE A POST EXECUTIVE ORDER RENEWAL APPLICATION FOLLOWING THE 2018 RULES 2017 0001Z AND Z, MARINE AND REPAIR LLC AND PLAQUEMINES PARISH IN ALL FOUR REPORTING PERIODS WHERE COMPLIANT.

ALL RIGHT. ENTERTAIN A MOTION TO APPROVE FROM MR. NASSER, SECOND FROM DR.

WILSON. ANY COMMENTS OR QUESTIONS FROM THE BOARD? THEY'RE BEING DONE. ANY COMMENTS FROM THE PUBLIC HEARING? NONE. ALL IN FAVOR. SAY I.

ANY OPPOSITION? THERE IS NONE. THE MOTION CARRIES.

NEXT WE HAVE THREE CHANGE IN NAMES WESTLAKE PETROCHEMICALS LP 2016 1336, 2016, 1337 AND 2016 1338. CHANGING THEIR NAME TO WESTLAKE PETROCHEMICALS LLC.

AND THESE ARE IN CALCASIEU PARISH.

HAVE A MOTION FROM MR. MOSS SECOND FROM MAYOR TOUPS.

ANY QUESTIONS OR COMMENTS FROM THE PUBLIC EXCUSE ME? FROM THE BOARD? THEY'RE BEING NONE.

ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY I AND THE OPPOSITION.

THERE IS NONE. THESE CHANGES IN NAME ARE APPROVED.

WE HAVE ONE PARTIAL TRANSFER.

SASOL USA CORPORATION 2015 0156.

SASOL USA CORPORATION IS RETAINING $5,474,191 AND LOUISIANA INTEGRATED POLYETHYLENE POLYETHYLENE JV LLC IS RECEIVING $6,199,895.

AND THIS IS IN CALCASIEU PARISH.

ALL RIGHT. A MOTION TO APPROVE FROM MR. MOSS. SECOND FOR MR. SLOANE. ANY QUESTIONS OR COMMENTS FROM THE BOARD? THERE BEING NONE. ANY COMMENTS FROM THE PUBLIC? HEARING NONE. ALL IN FAVOR SAY AYE.

AYE. ANY OPPOSITION? THERE BEING NONE. THE MOTION CARRIES.

WE HAVE EIGHT CONTRACT CANCELLATIONS.

[00:45:03]

NEXT WE HAVE BLACKWATER HARVEY LLC 2015 0828 IN JEFFERSON PARISH LED REQUESTS CANCELLATION UPON NOTIFICATION BY THE COMPANY'S CONSULTANT THAT THE SITE SOLD ON JULY 31ST, 2020, AND THE ITEP CONTRACT SUBSEQUENTLY WAS NOT TRANSFERRED TO THE NEW OWNER.

THE NEW OWNER HAS FILED TAX RENDITIONS WITHOUT ANY EXEMPT PROPERTY PER THE CONSULTANT.

NEXT WE HAVE COMMUNITY COFFEE COMPANY LLC IN WEST BATON ROUGE PARISH CONTRACT NUMBER 2017 0559 AND THE COMPANY REQUESTS CANCELLATION. JUNIPER SPECIALTY PRODUCTS LLC 2016 1808 AND CALCASIEU PARISH LED REQUEST CANCELLATION DUE TO THE COMPANY FAILING TO FILE A TRANSFER OF OWNERSHIP AND THE ANNUAL PROJECT STATUS REPORTS FOR FRONT END CONTRACTS REQUIRED PER ITEP RULE OR COMPLY WITH COMMENCEMENT OF OPERATIONS AND JOB REPORTING REQUIREMENTS OUTLINED IN THEIR EXHIBIT A AGREEMENT.

COMPANY CONTACTS WERE NOTIFIED AND THE ASSESSOR IS AWARE OF THE SITUATION.

LAST WE HAVE SOUTH ALEXANDER DEVELOPMENT ONE LLC 2018 0355 IN LIVINGSTON PARISH, SOUTH ALEXANDER DEVELOPMENT THREE LLC 2018 0414 IN LINCOLN PARISH AND SOUTH ALEXANDER DEVELOPMENT TEN LLC 2018 0287 AND CALCASIEU PARISH AND ALL THREE LED REQUESTS CANCELLATION OF THESE CONTRACTS DUE TO THE COMPANIES FAILING TO FILE ANNUAL PROJECT STATUS REPORTS FOR THE FRONT END CONTRACTS AND AFFIDAVIT OF FINAL COSTS, PROJECT COMPLETION REPORTS, OR COMPLY WITH THE COMMENCEMENT OF OPERATIONS AND JOB REPORTING REQUIREMENTS OUTLINED IN THE EXHIBIT A AGREEMENTS. COMPANY CONTACTS WERE NOTIFIED.

ALL RIGHT. SO WE HAVE THESE REQUESTS FOR CANCELLATION OF CONTRACT.

DO WE HAVE A MOTION MOTION FROM DR.

WILSON SECOND FROM MR. MUELLER? ANY COMMENTS OR QUESTIONS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? INCLUDING ANY OF THESE COMPANIES HERE THAT ARE HAVING THEIR CONTRACTS CANCELED.

MR. LEONARD.

CHAIRMAN, BOARD MEMBERS, JIMMY LEONARD, ADVANTIS CONSULTING.

I AM NOT HERE SPECIFICALLY REPRESENTING ANY COMPANY.

I WAS ON THE PHONE EARLIER THIS MORNING WITH SOUTH ALEXANDER DEVELOPMENT.

THEY'RE DRIVING IN FROM NEW ORLEANS.

I KNOW HE'S INTENDING TO BE HERE TO MAKE A CASE BEFORE THE BOARD.

SO I ON HIS BEHALF, I WOULD ASK IF WE COULD DEFER THIS BY CHANCE UNTIL LATER IN THE MEETING TO GIVE THEM A LITTLE MORE TIME TO ARRIVE HERE.

OKAY. SO HE WAS IN THE CAR DRIVING HERE ON MY WAY TO THE BOARD MEETING THIS MORNING.

WHAT IS THE PLEASURE OF THE BOARD? HUH? OKAY.

ALL RIGHT. WHO WAS.

WHO WAS MY MOTION? WHO MADE MY MOTION? MR. NASSER, WOULD YOU AGREE TO MODIFY YOUR MOTION TO EXCLUDE FROM YOUR MOTION THE SOUTH ALEXANDER, THE THREE SOUTH ALEXANDER DEVELOPMENTS TO GIVE THEM AN OPPORTUNITY TO GET HERE? YES. WHO WAS MY SECOND? WELL, MR. MUELLER, WOULD YOU AGREE TO THAT? ALL RIGHT. SO SO EXCUSE ME.

DR. WILSON WAS YOUR ORIGINAL.

OH, I'M SORRY, DR. WILSON.

OKAY. WASN'T MR. NASSER.

SO WE HAVE THE MOVER AND THE SECOND HAVE AGREED TO AMEND THEIR MOTION TO EXCLUDE.

SO NOW THE MOTION IS TO CANCEL ALL OF THESE CONTRACTS, WITH THE EXCEPTION OF THE THREE SOUTH ALEXANDER DEVELOPMENT LLC.

THEN WE WILL COME BACK TO THOSE ONCE THE REP ASSUMING THE REPRESENTATIVES GET HERE BY THE END OF THE MEETING.

IF THEY DON'T GET HERE BY THE END OF THE MEETING, WE WILL STILL TAKE THEM UP.

THAT'S FAIR. ALL RIGHT. THANK YOU VERY MUCH.

THANK YOU. ALL RIGHT.

SO NOW WE HAVE AN AMENDED MOTION AND SECOND, TO APPROVE THESE CANCELLATION OF CONTRACTS FOR ALL THAT HAVE BEEN REQUESTED, WITH THE EXCEPTION OF THE THREE SOUTH ALEXANDER DEVELOPMENT CONTRACTS.

ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY AYE.

ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.

HUD, YOU AND KRISTEN MAKE SURE WE COME BACK TO THESE BEFORE WE BEFORE WE LEAVE TODAY.

WE HAVE A SPECIAL REQUEST FROM SIERRA FRAC SAND APPLICATION 2018 05020-ITE.

[00:50:04]

LED RECEIVED NOTICE THAT THE TAXES WERE PAID UNDER PROTEST ON THOSE ASSETS AND THAT THE ASSESSOR IS ACTIVELY CONTESTING THE PROTEST.

THIS LED TO THE IMPLEMENTATION OF SECTION 517 B OF THE ITEP RULES.

LAD HAS RECEIVED LETTERS FROM THE BOSSIER PARISH POLICE JURY, BOSSIER PARISH SCHOOL BOARD, BOSSIER PARISH SHERIFF AND BOSSIER PARISH ASSESSOR CONCERNING THIS APPLICATION FOR BCN EIS REVIEW AND CONSIDERATION.

THANK YOU, MA'AM. DO WE HAVE SOMEONE HERE FROM SIERRA FRAC SAND.

I'VE GOT CARDS FROM NICOLE GOULD FRYE AND TROY VILLA.

ALL RIGHT.

STATE YOUR NAME FOR THE RECORD AND YOUR POSITION WITH THE COMPANY, PLEASE.

RHONDA BOATNER, DIDIER CONSULTANTS REPRESENTING SIERRA FRAC SAND.

AND MY NAME IS KIP AMICK.

I WORK FOR SIERRA FRAC SAND.

OKAY, SO THOSE AREN'T THE FOLKS THAT GAVE ME CARDS, BUT THAT'S OKAY.

I CAN BE. I CAN BE FLEXIBLE.

ALL RIGHT. TELL US WHAT'S GOING ON HERE.

SO THE COMPANY HAD AN EXISTING FACILITY IN BOSSIER PARISH AND THEY EXPANDED THAT FACILITY.

AND WE'VE APPLIED FOR THE EXEMPTION, THE ASSETS THAT ARE RELATED TO THIS EXEMPTION OR PART OF THE MANUFACTURING PROCESS.

AND THE APPLICATION WAS FILED TIMELY.

SOME OF THE ASSETS WERE PLACED ON THE ROLLS, THE TAX ROLLS, AND THE COMPANY HAS FILED SUIT AND PAID UNDER PROTEST. SO HELP ME OUT.

I'VE BEEN WORKING UNDER THE ASSUMPTION THAT THE RULES PROVIDE THAT IF ASSETS ARE PLACED ON THE TAX ROLLS, THAT THAT PRECLUDES THE ABILITY TO APPROVE THESE APPLICATIONS, IS THAT NOT? I THINK I'VE COME TO UNDERSTAND THAT THAT UNDERSTANDING IS INCORRECT.

MISS BOURGEOIS, CAN YOU HELP ME WITH THAT? BECAUSE I WANT TO I WANT TO CROSS THAT HURDLE FIRST.

ANN BOURGEOIS FOR THE BOARD? YES, SEMANTICALLY, THAT IS HOW THE RULES READ THAT YOU NEED PERMISSION FROM THE ASSESSOR AND THE LOCALS IN ORDER TO MOVE FORWARD WITH YOUR EXEMPTION.

NOW IT WAS PAID UNDER PROTEST.

AND SO PART OF IT IS THAT THEY HAVE NOT PAID THEIR TAXES UNTIL THE THE SUIT PLAYS OUT.

BUT WE HAVE RECEIVED LETTERS FROM THE LOCALS, THE THREE LOCAL GOVERNING ENTITIES, SAYING THAT THEY DO NOT OBJECT TO THE BOARD CONSIDERING THE APPLICATION AND THAT THEY WOULD AGREE TO REMOVE IT FROM THE ROLLS.

WE GOT A LETTER FROM THE ASSESSOR INDICATING THAT THEY HAVE NO OBJECTION TO THE BOARD ENTERTAINING THE APPLICATION WITHOUT WEIGHING IN ONE WAY OR THE OTHER AS TO WHETHER THEY WOULD ACTUALLY REMOVE THE TAXES FROM THE ROLLS.

SO THAT'S HOW I UNDERSTAND THE POSTURE.

SO LET ME LET ME SEE IF I CAN.

AND I KNOW THAT WE'VE HAD TWO SUMMARIES OF WHAT'S GOING ON HERE.

BUT FROM MY PERSPECTIVE, HAVING LOOKED AT THIS OVER THE COURSE OF THE LAST SEVERAL DAYS, WE HAVE AN APPLICATION AND WE HAVE TAXES THAT WERE PAID UNDER PROTEST.

AND THERE'S LITIGATION GOING ON BETWEEN THE ASSESSOR AND THE APPLICANT OVER THAT PARTICULAR PAYMENT IN PROTEST.

AND I KNOW THERE WAS A JUDGMENT AT THE TRIAL COURT LEVEL THAT IS NOW UNDER APPEAL TO THE SECOND CIRCUIT COURT OF APPEAL.

AND SO INITIALLY WHEN ALL THIS WAS BROUGHT TO THE CHAIR AND I WAS LOOKING AT THIS AS WE GOT THE AGENDA, AS I WAS TRYING TO WRAP MY HEAD AROUND WHAT THE IMPLICATIONS OF ALL THE LITIGATION WAS.

AND WHILE I'M ONLY ONE VOTE ON THE BOARD.

WHERE I'VE LANDED PERSONALLY IS THAT THERE'S A LOT OF NOISE AROUND THIS APPLICATION THAT HAS NOTHING TO DO WITH THE APPLICATION.

THERE'S THINGS THAT ARE GOING ON IN THE COURT SYSTEM THAT THAT ARE OUT THERE AND THAT WE THAT MAY HAVE IMPLICATIONS ON US AT SOME POINT IN THE FUTURE, BUT TO BUT NOT YET TODAY.

AND THAT'S WHERE I LANDED.

I KNOW MR. EDMISTON, THE TAX ASSESSOR AND HIS ATTORNEY ARE HERE, AND I WANT TO BE SURE TO GIVE THEM AN OPPORTUNITY TO COME.

AND IF MY IMPRESSIONS ARE INCORRECT OR IF THEY WANT TO WANT TO CORRECT MY IMPRESSIONS, THEN I SURE WANT TO GIVE THEM THE OPPORTUNITY TO DO SO. SO LET'S DO THAT NOW, MR. EDMISTON, OR MR. ADDINGTON.

[00:55:10]

I'M BOBBY EDMISTON, BOSSIER PARISH ASSESSOR AND BRIAN EDINGTON, COUNSEL FOR THE PARISH ASSESSOR'S OFFICE.

I'M NOT HERE TO ADD ANYTHING.

YOU ALL HAVE THE 517 LETTER.

YOU ALL OBVIOUSLY KNOW WHERE THIS IS IN THE COURT SYSTEM.

YOU KNOW, I'M NOT I'M NOT HERE TO ADD ANYTHING TO THAT UNLESS SOMEBODY HAS A QUESTION.

RIGHT. RIGHT. ARE YOU, YOU OR MR. ADDINGTON, YOU HEARD MY IMPRESSION OF WHERE THIS BOARD IS.

DO YOU HAVE ANY PROBLEM WITH THAT? I HAVE NO PROBLEM WITH THAT. OKAY.

ALL RIGHT. VERY GOOD.

ALL RIGHT. THANK YOU VERY MUCH.

I APPRECIATE THAT. THANK YOU.

NOW AGAIN, WE HAD TWO OTHERS THAT WANTED TO SPEAK ON THIS ISSUE, TROY VILLA AND NICOLE FRYE.

GOOD MORNING. TROY VILLA, BRAZIL, SAXON, WILSON, ATTORNEY FOR SIERRA FRAC SAND.

YES, SIR. I DON'T HAVE ANYTHING MORE TO ADD OTHER THAN I THINK YOU KIND OF SUMMARIZED IT PROPERLY, THAT THE PAYMENT ON THE PROTEST WAS REALLY JUST TO PROTECT THE TAXES THAT CAME DUE BECAUSE THE COMPANY RECEIVED AN INVOICE FORM.

THE PROJECT HAD NOT BEEN COMPLETED OR PUT IN OPERATION AT THE TIME WE DID THAT.

OUR APPLICATION WASN'T FILED UNTIL WITHIN THE 90 DAYS AFTER THAT HAPPENED, WHICH IS PERMITTED UNDER THE RULES.

SO THERE'S KIND OF A CROSSOVER OF THE CALENDAR THERE, ACCORDING TO 517, WHICH IS SORT OF A LEFTOVER PROVISION FROM PRIOR RULES.

TECHNICALLY, IF IT'S ON THE TAX ROLLS AND THE TAXES HAVEN'T BEEN PAID, WE HAVE TO GET THE TAXPAYER HAS THE APPLICANT HAS TO GET THE PERMISSION OF THE ASSESSOR AND THE LOCAL GOVERNMENTS TO AGREE TO REMOVE IT IF THE EXEMPTION IS GRANTED.

WELL, WE'RE NOT SURE THAT THE TAXES ARE CONSIDERED PAID.

AND I THINK LED, MS. BOURGEOIS SORT OF MADE MAKE CLEAR OF THAT TO THAT.

BUT WE WENT THROUGH THAT PROCESS ANYWAY BECAUSE LED SAID WE HAD TO DO THAT.

SO HERE WE ARE.

THE TAXES ARE ON THE TAX ROLL.

TAXES HAVE BEEN PAID UNDER PROTEST FOR TWO TAX YEARS NOW.

OUR APPLICATION WAS TIMELY.

IT'S TAKEN US THIS LONG THROUGH THE DELAYS IN GETTING THE LETTERS AND SOME OTHER THINGS TO GET A HEARING HERE TODAY.

THE TAXPAYER IS HAS IN GOOD FAITH GOING FORWARD WITH THEIR EXPANSION, COMPLETED IT, OPERATING IT OR THROWING A LOT OF MONEY TOWARD THE PUBLIC FISC AND THE PARISH IN BOTH THE PROPERTY TAXES THAT ARE NOT CONTESTED AND IN SALES AND USE TAX, WHICH IS SUBSTANTIAL AMOUNTS OF MONEY.

SO THEY HAVE BEEN OPERATING, WE THINK THEY ARE A GREAT EXAMPLE OF WHY ITEP WAS CREATED TO ATTRACT A COMPANY FROM ANOTHER STATE TO COME HERE, LOCATE, EMPLOY PEOPLE AND AND CONTRIBUTE TO THE LOCAL ECONOMY AND THE TAX FISC.

AND THEY'VE DONE THAT AND THEY'LL CONTINUE TO DO THAT.

BUT I THINK THAT THE DELAYS HAVE BEEN UNFORTUNATE.

AND WE WOULD JUST LIKE TO MOVE FORWARD TOWARD GOING BACK TO THE LOCALS AND MAKING OUR CASE FOR THE FOR THE CONTRACT BEING GRANTED.

AND AGAIN, JUST FOR PURPOSES OF, AGAIN, NEWER BOARD MEMBERS OR PEOPLE WHO ARE REPRESENTING OTHERS, AGAIN, WHAT WILL HAPPEN ASSUMING IF THIS BOARD WERE TO APPROVE THE APPLICATION, THAT DOES NOT NECESSARILY MEAN THEY GET THE EXEMPTION.

THAT WHAT THAT MEANS IS THAT THE APPLICANT MUST GO BACK TO THE LOCAL TAXING AUTHORITIES AND GET APPROVAL OF THE EXEMPTION.

SO ALL THE I DON'T MEAN TO SOUND ARGUMENTATIVE, BUT WHAT THIS WHAT AN APPROVAL OF THE APPLICATION DOES IS SIMPLY ALLOW THAT PROCESS TO MOVE FORWARD. IS IS IN SIMPLEST TERMS. SO WITH THAT, ANY OTHER COMMENTS FROM THE FROM THE STAFFS? THANK YOU. THANK YOU VERY MUCH.

FROM THE STAFFS PERSPECTIVE.

ARE THERE ANY IMPEDIMENTS OTHERWISE TO APPROVING THE APPLICATION? IT WAS TIMELY.

OTHERWISE, IT'S EVERYTHING WAS FILED.

OKAY. ALL RIGHT.

THANK YOU VERY MUCH. WE HAVE A MOTION FROM DR.

WILSON, A SECOND FROM MS. COLA. YES, OF COURSE YOU CAN.

BUT LET ME LET ME GET TO THE PUBLIC FIRST.

I JUST THOUGHT YOU WANTED MORE CHAIR TIME.

I DIDN'T KNOW. OKAY, SO WE HAVE A MOTION SECOND TO APPROVE THE APPLICATION.

ANY COMMENTS OR QUESTIONS ON THE BOARD? HEARING NONE, NOW FROM THE PUBLIC.

MR. LEONARD.

I JUST WANTED TO SHARE WITH THE BOARD THAT THEY'RE OVER AT THE LOUISIANA TAX COMMISSION.

THERE ARE CONCERNS REGARDING THE TIMING OF WHEN CONTRACTS ARE BEING EXECUTED OVER CALENDAR YEAR PERIODS, AND THAT IN THE CIRCUMSTANCES PRESENTED TO YOU TODAY, THE PAYMENT UNDER PROTEST IS A RIGHT THAT THE TAXPAYER HAS IN ORDER TO PREVENT TAXES BEING PAID BECAUSE THE RULE IS CORRECT

[01:00:04]

AND SO YOU CAN'T TAKE EXISTING PROPERTY AND THEN GO SEEK AN EXEMPTION AND REMOVE REVENUE FROM A LOCAL JURISDICTION.

BUT IN TERMS OF TRYING TO PREVENT TAXES FROM BEING PAID TO ONLY RIGHT.

THE TAXPAYERS HAVE, IS THIS PAYMENT UNDER PROTEST PROCESS.

SO IT'S A WAY TO POSTPONE THE PAYMENT WHILE THE MATTER GETS RESOLVED, AS ALL I REALLY WANT TO ADD TO THE BOARD.

SO IT'S NOT AS MUCH OF A CONTENTIOUS IT'S A WAY TO POSTPONE AN ACTION UNTIL IT ISSUE GETS RESOLVED, ALLOW THE PROCESS TO MOVE FORWARD.

ALLOW THE PROCESS. YES, SIR.

THANK YOU. THANK YOU VERY MUCH.

ANY OTHER COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR OF THE MOTION SAY AYE.

ANY OPPOSITION, THERE BEING NONE THE MOTION CARRIES.

THANK YOU ALL FOR CLARIFYING THAT SITUATION.

NEXT. GRANT ANOTHER SPECIAL REQUEST.

THIS IS FOR GRAHAM PACKAGING COMPANY LP, CONTRACT 2018 0413 ITE.

AT THE TIME IN THEIR ITEP APPLICATION WAS FILED, GRAHAM EMPLOYED 55 FULL TIME JOBS THAT IS AT ITS WEST BATON ROUGE PLANT.

OF THESE POSITIONS, 12 ARE DIRECTLY ASSIGNED TO A D PALLETIZING FUNCTION, WHICH IS THE LAST STEP IN THE PLANT'S PROCESS TO DELIVER ITS PRODUCTS IN READY TO USE CONDITION.

THE D PALLETIZING FUNCTION IS A NECESSARY STEP IN THE OVERALL PRODUCT DELIVERY TO THE CUSTOMER.

SUBSEQUENTLY, TO OUR SUBSEQUENT TO OUR IT APPLICATION FILING GRAM AND ITS PRIMARY CUSTOMER ALSO LOCATED WITHIN WEST BATON ROUGE COUNTY AGREED TO A NEW SUPPLIER AGREEMENT WHICH ACCOMMODATED THE CUSTOMER'S PREFERENCE TO MOVE THE DEPALLETIZING FUNCTION IN-HOUSE.

AS A RESULT OF THIS NEW SUPPLIER AGREEMENT, OUR WEST BATON ROUGE PLANT STUDY STATE HEAD COUNT TARGET WAS ADJUSTED TO 43 FULL TIME POSITIONS.

IN RESPONSE TO THIS OPERATIONAL CHANGE IN EARLY 2021, ALL THREE LOCAL GOVERNMENT BODIES, PARISH COUNCIL, SCHOOL BOARD AND SHERIFF TOOK ACTION TO RECOMMEND TO THE BOARD OF COMMERCE AND INDUSTRY THAT THE TERMS OF THE ITE CONTRACT BE AMENDED.

WE RESPECTFULLY REQUEST THAT THE BC&I AGREED TO AMEND THE TERMS OF OUR INDUSTRIAL TAX EXEMPTION CONTRACT BY ALTERING EXHIBIT A SECTION 4.2 TO ADJUST THE REQUIRED ANNUAL JOBS FROM 5055 TO 43 FOR ALL REMAINING PROJECT YEARS.

MAINTAINING THE SAME EXEMPTION PERCENTAGE OF 80% AND A TEN YEAR TERM IN THE FORM OF TWO FIVE YEAR TERMS. NOTABLY, OUR PAYROLL COMMITMENT OF 2,402,000 WILL REMAIN UNCHANGED DESPITE THE REDUCTION IN JOBS.

SO WHAT IS HAPPENING HERE TO MAKE SURE I UNDERSTAND IS WE HAVE A COMPANY THAT'S TAKING THE PORTION OF ITS MANUFACTURING PROCESS AND BASICALLY OUTSOURCING THAT TO ONE OF ITS SUPPLIERS.

THINK TO THEIR CUSTOMER..

OR TO EXCUSE ME TO ONE OF THEIR CUSTOMERS.

YES AND SO SO THE JOBS ARE REMAINING.

THEY'RE SIMPLY MOVING OUT FROM UNDER THEIR SHOP OR MOVING INTO A CUSTOMER SHOP.

RIGHT, SO AS A RESULT, THE NUMBER OF APPROVED JOBS IS BEING REDUCED FOR THIS PARTICULAR CONTRACT? THAT'S CORRECT. BUT THEY'RE NOT CHANGING THE PAYROLL.

NO. OKAY. AND THE LOCAL GOVERNMENTS HAVE APPROVED THIS.

YES, SIR. OKAY.

ALL RIGHT. WE HAVE A MOTION FROM WE HAVE MOTION FROM MAYOR TOUPS TO APPROVE SECOND FROM DR.

WILSON. ANY COMMENTS OR QUESTIONS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC.

THERE BEING NONE ALL IN FAVOR SAY AYE.

ANY OPPOSITION? HEARING NONE, THE MOTION CARRIES.

NEXT, WE HAVE POST EXECUTIVE ORDER, NON-COMPLIANT CONTRACTS FOLLOWING THE 2017 RULES.

WE HAVE ONE CONTRACT NUMBER 2018 0076 FOR KEROTEST MANUFACTURING CORPORATION IN A AVOYELLES PARISH THAT IS NON-COMPLIANT FOR THE 2019 AND 2020 REPORTING PERIODS.

THE EXHIBIT A FOR THE 2019 YEAR REQUIRED THE COMPANY CREATE AND MAINTAIN 170 JOBS WITH $317,445 IN NEW JOBS, PAYROLL AND EXHIBIT A FOR THE 2020 YEAR REQUIRED THE COMPANY CREATE AND MAINTAIN 177 JOBS WITH $465,586 IN NEW JOBS PAYROLL.

NEITHER REPORTING PERIODS WHERE SUBMITTED BY THE DUE DATE.

THIS ITEM WAS PRESENTED AT THE JUNE BOARD MEETING AND THE BOARD ALLOWED THE COMPANY TIME TO SUBMIT THESE FILINGS.

[01:05:06]

THE SCHOOL BOARD APPROVED A RECOMMENDATION TO LED TO TAKE NO ACTION AGAINST KEROTEST AND DEFER TO THE BOARD OF COMMERCE AND INDUSTRY.

AND I CAN CONFIRM THE 2019 AND 2020 REPORTING PERIODS HAVE SINCE BEEN SUBMITTED BY THE COMPANY.

THEY HAVE BEEN SUBMITTED.

DO WE HAVE ANYBODY HERE FROM KEROTEST? THANK YOU. IF YOU PLEASE STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE, AND PULL THAT MIC CLOSE SO WE CAN HEAR YOU.

YES. GOOD MORNING.

MY NAME IS CHRISTOPHER WHITE.

I AM THE PRESIDENT AND CFO OF KEROTEST MANUFACTURING CORPORATION.

AND I GREATLY APPRECIATE THIS OPPORTUNITY TO REAPPEAR BEFORE THE BOARD AND DISCUSS OUR ISSUES.

EXPLAIN WHAT'S BEEN GOING ON.

WELL, YOU HAVE TO GO BACK AND LOOK AT KEROTEST FROM 2018.

IN 2018, WHEN KEROTEST MADE THE APPLICATION, WE HAD A RECORD YEAR.

WE GROSS REVENUE APPROXIMATELY $41.7 MILLION.

WE ALSO EMPLOYED 163 EMPLOYEES IN THE LOUISIANA PLANT.

2019, WE SAW SOME CANCELLATION OF CONTRACTS AND DELAYS IN CONTRACTS WHICH REALLY AFFECTED OUR TOP LINE.

WE LOST APPROXIMATELY ONE THIRD OF OUR OVERALL BUSINESS.

REVENUE FELL FROM $41.7 MILLION TO $28.3 MILLION.

SUBSEQUENTLY, WE REDUCED OUR HEADCOUNT FROM 163 DOWN TO 97 EMPLOYEES.

2020, IT WAS MORE OF THE SAME.

WE WE SAW A STABILIZATION IN OUR GROWTH FACTOR DURING THE COVID PERIOD, AND WE SAW GROSS REVENUE OF ABOUT 28.9 MILLION. WE DID INCREASE OUR EMPLOYMENT LEVEL TO 127 EMPLOYEES.

IN 2021, WE CONTINUE TO GROW.

WE HAD GROSS REVENUE OF ABOUT 35 MILLION.

WE HAD 127 FULL TIME EMPLOYEES AND ANOTHER 48 CONTRACT EMPLOYEES FOR A TOTAL OF EMPLOYMENT OF 175 EMPLOYEES.

OUR CURRENT ESTIMATES FOR 2022 ARE TO DO ABOUT $40.7 MILLION.

WE CURRENTLY HAVE 142 EMPLOYEES, FULL TIME EMPLOYEES AT THE END OF JULY AND ANOTHER 30 CONTRACT EMPLOYEES FOR A TOTAL EMPLOYMENT OF 170 EMPLOYEES AT THE LOUISIANA PLANT.

FORGIVE ME, BUT WHAT DO YOU MANUFACTURE? KEROTEST, AND I APOLOGIZE FOR NOT EXPLAINING THAT EARLIER.

KEROTEST IS A COMPANY THAT WAS ESTABLISHED BACK IN 1909.

WE BUILD VALVES FOR THE INDUSTRIAL GAS INDUSTRY AND IN 1983 KEROTEST BECAME AN ESOP.

SO ALL OF OUR EMPLOYEES ARE OWNERS IN THE COMPANY.

AND JUST AS AN INSTANCE, LAST YEAR, WE DISTRIBUTED TO OUR EMPLOYEES, CURRENT AND FORMER EMPLOYEES WHO WERE WITH THE COMPANY.

APPROXIMATELY $2.2 MILLION IN REPURCHASED STOCK AND THINGS OF THAT NATURE.

SO TO BE SURE I UNDERSTAND, YOU HAD THE DIP.

YES. YOU BROUGHT IT BACK TO 140 PERMANENT JOBS.

CORRECT. PLUS 35 CONTRACT CONTRACT EMPLOYEES, IS THAT CORRECT? WE BROUGHT IT BACK, CURRENTLY AT THE END OF JULY, WE'RE AT 142 FULL TIME EMPLOYEES AND ANOTHER 30 CONTRACT EMPLOYEES.

I'M SORRY. NOW, THE CONTRACT EMPLOYEES TALK TO ME ABOUT THAT.

WHAT WE HAVE FOUND, WHERE OUR PLAN IS LOCATED IS A RELATIVELY RURAL AREA.

AND WHAT WE HAVE FOUND, THE BEST WAY TO INTRODUCE OUR EMPLOYEES INTO THAT ENVIRONMENT IS TO BRING THEM IN AS A CONTRACT EMPLOYEE.

WE DO THIS FOR A PERIOD OF 90 DAYS AND IT GIVES THEM A CHANCE TO SEE IF THIS WHAT THEY'D LIKE TO DO IS WORK IN A MANUFACTURING ENVIRONMENT.

AT THE END OF THAT PERIOD, WE ROLL THEM OVER TO FULL TIME EMPLOYEES.

SO HOW LONG A PERIOD IS THAT NORMALLY? IT'S 90 DAYS.

NINETY DAYS. I'M SORRY. 90 DAYS.

ALL RIGHT. STAFF, FROM THE CONTRACT EMPLOYEES COUNT AS EMPLOYEES FOR PURPOSES OF THE ITEP.

NO. IT HAS TO MEET THE DEFINITION OF JOB WHICH IS FULL TIME PERMANENT AT THE SITE.

MY THOUGHT. SO WE'RE IN A SITUATION WHERE YOU HAVE DIPPED.

YOU'VE COME BACK.

[01:10:02]

AS YOU SEE THAT, UH, 2019, WHEN WE INCURRED THE FIRST SIGNIFICANT DIP, WE REORGANIZED THE COMPANY AND THAT'S AT THE PERIOD THAT I BECAME I WAS ACTUALLY PROMOTED TO PRESIDENT AT THE END OF 2018 OR I'M SORRY, 2019.

IN 2020, AS WE REORGANIZED THE COMPANY, WE GOT INTO THE COVID SITUATION, HAD SOME PEOPLE WORKING FROM HOME AND THINGS OF THAT NATURE.

AND UNFORTUNATELY AND I APOLOGIZE FOR THAT, THIS FELL THROUGH THE CRACKS.

OKAY. NOW, ALL THE REPORTS HAVE BEEN TIMELY, HAD BEEN FILED NOW, ALTHOUGH NOT TIMELY, YES 19 AND 20 HAVE BEEN FILED.

2021 ALSO BEEN FILED.

BUT IT HASN'T THE REVIEW HASN'T BEEN COMPLETED FOR THAT ONE YET, BUT ALL THREE REQUIRED HAVE BEEN FILED.

OKAY. TO ENSURE THAT WE STAY IN COMPLIANCE, WE'VE HIRED WILLIAM SHOCKEY OF SHOCKEY AND ASSOCIATES HERE IN BATON ROUGE TO ENSURE THAT WE STAY IN COMPLIANCE WITH THIS PROGRAM.

OKAY. AND MY COMPUTER IS SET TO LIGHT UP LIKE A CHRISTMAS TREE.

ANY TIME THERE'S A DEADLINE LOOMING UNDER THIS.

TRUST ME, IT DOES.

I HEAR WE HERE AT THIS BOARD LEVEL A LOT OF TIMES THAT FILINGS FALL BETWEEN THE CRACKS.

AND I'M AND I'M SYMPATHETIC TO THAT.

ON THE ONE HAND. ON THE OTHER HAND, IN TODAY'S WORLD, I'M HAVING A REAL HARD TIME UNDERSTANDING HOW DIARIES DON'T WORK.

BUT I'M GLAD TO KNOW THAT YOU'VE IMPLEMENTED A SYSTEM NOW TO HOPEFULLY OPTIMIZE THE OPPORTUNITY TO HAVE TIMELY FILINGS FROM THIS POINT FORWARD.

YES. ONE OF THE OTHER THINGS I'D LIKE TO JUST POINT OUT THAT WE DIDN'T TALK ABOUT, YOU KNOW, AND I'VE SAT THROUGH YOUR JUNE MEETINGS AND THINGS OF THAT NATURE.

AND ONE OF THE COMMON THINGS THAT I'VE HEARD WAS THE DIFFICULTY IN AND HIRING NEW EMPLOYEES.

AND I WOULD AGREE IT'S BEEN VERY DIFFICULT, ESPECIALLY DURING THE COVID PERIOD.

WE TRY TO BE AS PROGRESSIVE AND PROACTIVE IN THAT STANCE AS POSSIBLE.

SO WE TALKED WITH A NUMBER OF PEOPLE IN THE LOCAL COMMUNITIES AND A NUMBER OF OUR CONTRACT AGENCIES AND THINGS OF THAT NATURE, AND WORK WITH THEM TO COME UP WITH A NEW STARTING WAGE SKILL.

AND EFFECTIVELY, AUGUST 1ST, WE DID RAISE OUR OUR STARTING RATES APPROXIMATELY 14 AND A HALF PERCENT OR I'M SORRY, 13 AND A HALF PERCENT TRYING TO MAKE OUR EMPLOYMENT AT KEROTEST THE PLACE TO BE AND AND FOR THAT TO BE A DESTINATION FOR FUTURE EMPLOYEES.

SO WE'VE TRIED TO BE VERY AGGRESSIVE AND PROACTIVE IN TRYING TO ATTRACT NEW EMPLOYEES.

IS YOUR MANUFACTURING SCHEDULE A 24 SEVEN? YES, IT IS. SO YOU HAVE LITERALLY THREE SHIFTS WORKING AROUND THE CLOCK? YES, WE DO. AND ARE YOU HAS THAT BECOME AN ISSUE, FILLING CERTAIN SHIFTS? YES, IT HAS. NOW, I'M JUST GETTING CURIOUS MORE.

NO, IT IS IT IS A BIG ISSUE.

AND I THINK IF YOU TALK TO ANYBODY TRYING TO HIRE EMPLOYEES TODAY IS IS A MAJOR ISSUE FOR PEOPLE.

WELL, ONE OF THE AND ONE OF THE THINGS I THINK WE'RE ABOUT TO FACE IS OBVIOUSLY YOU'RE TRYING TO SOLVE THE PROBLEM WITH HIGHER WAGES.

AND I'M NOT SURE THAT'S GOING TO SOLVE THE PROBLEM FOR SOME PEOPLE.

I THINK. I THINK FOR FOR A CERTAIN POPULACE, WE ARE WORK LIFE BALANCE AND WORK HABITS ARE BECOMING MORE OF AN ISSUE THAN PAYING THE BILLS.

WE UNDERSTAND THAT WE ALSO PROVIDE A FULL BENEFIT PROGRAM FOR OUR EMPLOYEES, AS WELL AS THE ESOP PROGRAM, WHICH DOESN'T REQUIRE ANY CONTRIBUTIONS FROM AN EMPLOYEE. IT'S A GREAT WAY TO VIEWED FUTURE WEALTH.

RIGHT. AND CHRIS, YOU HAD MENTIONED THAT THE SHIFT WORK WAS A REASON FOR HAVING THE 90 DAY CONTRACTS.

YES. ONE OF THE REASONS WE DO BRING PEOPLE IN THIS CONTRACT, AGAIN, IS AS YOU INDICATED, 24 SEVEN OPERATION.

PEOPLE MAY COME IN AND FIND OUT, YEAH, I'D LIKE TO WORK IN A MANUFACTURING ENVIRONMENT, BUT THEN THEY START WORKING ON A SECOND OR THIRD SHIFT AND THEY FIND OUT THAT IT'S NOT ALWAYS THE GREATEST CUP OF TEA IN THE WORLD.

YES, INDEED.

WELL, I SYMPATHIZE WITH THE ISSUES THAT YOU'RE DEALING WITH.

IT'S UP TO THIS BOARD TO DETERMINE WHETHER OR HOW YOU SHOULD BE PENALIZED FOR THE NONCOMPLIANCE.

NOW, THE ONLY LOCAL BODY THAT WE'VE HEARD FROM IS THE SCHOOL BOARD, AND THEY DEFER TO THE BOARD.

BUT THERE WERE POSITIVE COMMENTS IN THERE IN THEIR LETTER.

IS THAT CORRECT? IT STATED APPROVED A RECOMMENDATION TO LED TO TAKE NO ACTION AGAINST KEROTEST AND DEFER TO BC AND I.

[01:15:02]

AND THAT'S HOW THEY WORDED IT.

WELL, I'M TO SAY THAT'S A LITTLE BIT OF A MIXED SIGNAL, BUT I THINK I UNDERSTAND WHAT THEY'RE TRYING TO SAY.

AND THEN THE SHERIFF AND THE AND POLICE JURY MUNICIPALITY SIMPLY DID NOT RESPOND.

HAVE YOU HAD ANY CONVERSATION WITH THE LOCALS? WE HAVE NOT. NO, NO, WE HAVE NOT.

ALL RIGHT, LADIES AND GENTLEMEN, WHAT'S THE PLEASURE OF THE BOARD? I JUST WANT ONE QUICK CLARIFICATION, IF I MAY, AND I APPRECIATE THAT YOU'VE RAISED SALARIES.

BUT ON OUR AGENDA HERE, IF YOU COULD CLARIFY THE RELATIONSHIP BETWEEN THE NUMBER OF JOBS AND THE SALARIES, BECAUSE IT SAYS 170 JOBS AND 317,000 SOME IN SALARIES, WHICH COMES TO A VERY LOW FIGURE IF YOU JUST..

THAT I'D HAVE TO GO BACK AND VERIFY THAT.

BUT THAT DOESN'T SOUND RIGHT AT ALL.

I CAN I CAN CLARIFY IT IF YOU NEED.

THE 170 IS MEANT TO ENCOMPASS THE RETAIN JOBS AND THE NEW JOBS.

SO RETAIN MEANING THE JOBS EXISTING PRIOR TO THE PROJECT STARTING THAT WAS 155 AND THAT PAYROLL WOULD BE 4,085,906. NO, 4 MILLION, I'M SORRY, 468,000 FOR THE 155.

AND THEN THEY WERE TO CREATE 15 NEW JOBS HELD TO THE 317445 IN PAYROLL.

THANK YOU. THANK YOU FOR THAT, MR. MUELLER. ANY OTHER QUESTIONS, MR. MUELLER? ANY OTHER QUESTIONS FROM THE BOARD? SO WHAT IS THE PLEASURE OF THE BOARD? WE IT'S TIME FOR A MOTION.

WE CAN TAKE NO ACTION, ALLOW THE MATTER TO MOVE FORWARD OR WE CAN PENALIZE AS APPROPRIATE.

REMIND ME HOW WE'VE HANDLED THESE IN THE PAST.

I MEAN, THE WORLD IS OUR OYSTER PRETTY MUCH.

SO WE CAN BE AS CREATIVE AS WE WISH TO BE.

WE HAVE WE HAVE PENALIZED A YEAR.

YOU KNOW, WE'VE PENALIZED.

I DON'T THINK WE'VE EVER PENALIZED MORE THAN A YEAR.

FOR THE MOST PART, I DON'T THINK WE'VE.

HAVE WE PENALIZED ANYBODY YET? I'M SORRY, MR. CHAIRMAN. I THINK WE'VE TAKEN SOME YEARS FROM ITS.

FORGIVE ME. I SHOULD HAVE ALL THIS AT THE TIP OF MY, OH, WE HAVE ALSO CANCELED CONTRACTS.

WE'VE, I KNOW WE'VE CANCELED SOME CONTRACTS.

SO AGAIN, YOU CAN BE AS DRACONIAN AS YOU WISH OR AS GENEROUS AS YOU WISH.

I'M SYMPATHETIC TO PAPERWORK SNAFUS, BUT I THINK A YEAR PENALTY WOULD BE WARRANTED AND THAT WOULD BE MY MOTION.

WE HAVE A MOTION FOR APPROVE THE APPROVED THE LET THE, EXCUSE ME CONTRACT CONTINUE BUT WITH A ONE YEAR PENALTY.

DO WE HAVE A SECOND? I JUST WANT TO CLARIFY, THAT'S OFF OF THE INITIAL CONTRACT.

YEAH. YES.

OKAY. SO WE HAVE A MOTION FOR A ONE YEAR PENALTY ON THE INITIAL CONTRACT.

DO WE HAVE A SECOND? MOTION DIES FOR LACK OF A SECOND.

DO WE HAVE A SUBSTITUTE MOTION OR AN ALTERNATIVE MOTION? MR. CHAIRMAN? YES.

I'D BE GLAD TO MAKE THE MOTION THAT WE DEFER ACTION ON THIS ITEM AND TAKE NO PENALTY ON THE CONTINUANCE OF THE CONTRACT FOR KEROTEST MANUFACTURING.

VERY APPRECIATIVE OF THE WORK THEY'VE DONE TO REGAIN THEIR FOOTING THERE.

AND VERY IMPORTANT EMPLOYER AVOYELLES PARRISH.

SO YOU WANT TO DEFER ACTION? YEAH. TAKE NO ACTION. TAKE NO PENALTY.

TAKE NO WAY. NOT DEFER ACTION, BUT TAKE NO ACTION.

OKAY. I COVERED ABOUT TEN, TEN PIECES OF TERMINOLOGY THERE IN THAT MOTION.

I THINK SO. HOPEFULLY IT'S THE RIGHT ONE.

CAN I PICK WHICH ONE I LIKE? PICK THE ONE MOST APPROPRIATE.

SO WE HAVE A MOTION TO TAKE.

TAKE NO ACTION ON THESE TWO KEROTESTS.

HAVE MOTION, WE HAVE A SECOND FROM DR.

MCQUAIN. ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY AYE.

ANY OPPOSITION, THERE IS NONE.

THE MOTION CARRIES, TAKE NO ACTION.

THANK YOU VERY MUCH.

VERY MUCH. APPRECIATE YOU BEING HERE.

THANK YOU FOR WHAT YOU'RE DOING FOR AVOYELLES PARISH.

WE APPRECIATE IT. WE HAVE CONTRACTS 2018 0120 AND 2018 0120A, RELIANT TECHNOLOGIES, INC.

IN WEST BATON ROUGE.

THESE TWO CONTRACTS, 2018 0120 WAS NON-COMPLIANT FOR REPORTING PERIODS

[01:20:05]

THEY WERE REQUIRED TO CREATE THREE JOBS WITH $100,000 IN PAYROLL.

FOUR 2018 0120 THE 2019 REPORTING YEAR.

THE ACTUAL JOBS CREATED WAS ONE YEAR, ONE JOB AND 17,687 IN PAYROLL.

AND IT WAS FILED LATE.

2018 0120 FOR 2020.

THEY CREATED ZERO JOBS WITH $56,001 IN PAYROLL AND FOR 2018 0120A, FOR THE 2020 REPORTING YEAR.

THEY CREATED ZERO JOBS WITH $56,001 IN PAYROLL.

THE SCHOOL BOARD SHERIFF DID NOT RESPOND AND THE PARISH COUNCIL DID SUBMIT A RESOLUTION.

STATING THAT IT DEFERS DECISIONS TO THE BOARD OF COMMERCE AND INDUSTRY, BUT ATTACHED COMMENTS.

WE'VE MET WITH RELIANT TECHNOLOGIES AND DO NOT UNDERSTAND THE DIFFERENCE IN THE REPORTS THAT HAVE BEEN SUBMITTED.

AND THE NUMBERS THAT LED IS SHOWING IS OUR BELIEF THAT RELIANT TECHNOLOGIES, WHILE LATE ON REPORTING, HAVE MET THE JOBS AND SALARY REQUIREMENTS AGREED UPON FOR THE ABOVE REFERENCED CONTRACTS.

IN SUMMARY, WEST BATON ROUGE PARISH GOVERNMENT DEFERS ACTION ON THE COMPANY'S NONCOMPLIANCE IN ACCORDANCE WITH SECTION 6.184.

AND REQUEST THAT NO PUNITIVE DAMAGES BE ASSESSED AT THIS TIME AND NO FURTHER ACTION BE TAKEN.

OKAY. BEFORE WE MOVE FORWARD, I'M TRYING TO UNDERSTAND THESE NUMBERS.

I'M KIND OF LIKE WHERE MR. MUELLER WAS ON UNDERSTANDING THE JOBS VERSUS SALARIES.

I CAN UNDERSTAND ONE JOB CREATING A SALARY OF $17,000.

I DON'T UNDERSTAND.

CREATING NO JOBS AT A SALARY OF $56,000.

JOBS HAD TO BE BACKFILLED ON THE BASELINE, AND THERE WERE STILL JOBS THAT WERE ELIGIBLE FOR THE SALARY TO BE COUNTED TOWARDS THE NEW JOBS.

BUT THERE WEREN'T ANY NEW JOBS.

THERE WERE, THERE WEREN'T.

THEY CREATED NEW JOBS, BUT THEY HAD TO USE THEM TO BACKFILL THEIR BASELINE.

OKAY, I'M WITH YOU.

I'M WITH YOU. SO THERE WERE NEW PEOPLE BROUGHT IN, BUT.

BUT THEY WERE FILLING HOLES IN THEIR OLD EMPLOYMENT NUMBERS.

I'M SORRY. DO WE HAVE SOMEONE HERE FROM RELIANT? THANK YOU, SIR. YEAH.

PLEASE STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY.

GOOD MORNING. I'M BARRY HUGGINS.

I'M THE CEO AND I GUESS YOU'D SAY CHIEF COOK AND BOTTLE WASHER FOR RELIANT TECHNOLOGIES.

FIRST OF ALL, TELL ME. TELL ME WHAT Y'ALL DO.

WHAT DO Y'ALL MAKE? WE'RE A SMALL SPECIALTY CHEMICAL MANUFACTURER IN WEST BATON ROUGE PARISH.

AND SEVERAL YEARS AGO, I COME UP WITH A CONCEPT OF SOME VERY UNIQUE SPECIALTY DRILLING FLUID ADDITIVES.

IN FACT, I EVEN HAD A LONG CONVERSATION WITH MR. PIERSON ABOUT IT, AND I THINK HIS COMMENT AT THE TIME WAS, IF YOU CAN GET THIS OFF THE GROUND, YOU'RE EXACTLY WHAT WE WOULD LIKE TO SEE IN LOUISIANA, BECAUSE WE MAKE PRODUCTS HERE AND ALMOST ALL OF THEM ARE SOLD SOMEWHERE ELSE.

SO WE'RE BRINGING MONEY FROM NOT JUST OUTSIDE THE STATE, BUT OUTSIDE THE COUNTRY INTO LOUISIANA.

IT TOOK US SEVERAL YEARS TO GET THE PROJECT OFF THE GROUND AND WE WERE SUCCESSFUL IN BEING ABLE TO DO THAT.

GOT IT OFF THE GROUND, CONSTRUCTED THE THE EXPANSION TO DO THIS WORK HARD THE PEOPLE.

I HAVE NO IDEA WHERE THEY COME UP WITH NO NEW JOBS.

WE FILED I'VE GOT COPIES OF THE REPORTS THAT WE FILED IN ONE YEAR WE HAD.

CERTAINLY HAD THREE NEW JOBS.

WE'VE GOT SIX NEW PEOPLE WORKING NOW THAT ARE INVOLVED WITH THIS PROJECT.

MY WIFE HAS CALLED SEVERAL TIMES TO TRY TO UNDERSTAND WHERE THEY COME UP WITH THESE NUMBERS.

NEVER GET A RETURN PHONE CALL.

ANNA, WHO'S THE HEAD OF THE WEST BATON ROUGE CHAMBER OF COMMERCE, HAS CALLED TO TRY TO HELP RESOLVE IT.

SHE WAS TOLD TO FILE A PUBLIC RECORDS REQUEST.

SO WE DON'T UNDERSTAND HOW THEY'VE COME UP WITH THIS.

AND, YOU KNOW, WE'VE PAID WAY MORE THAN WE AGREED TO PAY.

I MEAN, I PRESENTED THESE NUMBERS TO THE PARISH COUNCIL, PRESENTED THEM TO THE SCHOOL BOARD.

TALK TO THE SHERIFF.

[01:25:01]

BUT I JUST DON'T KNOW WHAT ELSE WE COULD DO.

AND I DON'T KNOW WHY WE'RE IN NONCOMPLIANCE.

EXCEPT FOR THE REPORTS.

AND YES, SIR, WE DIDN'T FILE THOSE REPORTS.

WE WERE NOT AWARE THAT WE WERE SUPPOSED TO.

AS SOON AS WE WERE MADE AWARE OF THE REPORTS WERE FILED.

AND THEN WE HAVE FILED REPORTS FOR SUBSEQUENT YEARS.

AND I'VE BEEN OVER THIS WITH THE COUNCIL.

I'VE TALKED TO MAYOR TOUPS.

I THINK MAYOR TOUPS TALKED TO THE PARISH PRESIDENT AND THE SCHOOL BOARD PRESIDENT YESTERDAY.

AND AS THE COUNCIL SENT A RESOLUTION WITH A COMMENT LETTER ASKING THAT THE BOARD TAKE NO ACTION.

I DON'T KNOW WHY WE'RE BEING HELD AND ABOUT THE JOBS THING, BUT WE DID IT EXACTLY WHAT WE TOLD THE REPRESENTATIONS WE MADE WERE TO THE COUNCIL AND THE SCHOOL BOARD AND WE DID EXACTLY WHAT WE TOLD THEM WE WOULD DO.

IN FACT, WE'VE EXCEEDED THAT.

SO I WOULD ASK THAT THAT THE BOARD TAKE NO ACTION ON US AND LET US GO BACK TO MAKING PRODUCT AND TRYING TO SELL STUFF SO WE CAN MAKE SOME MONEY AND PAY SOME MORE TAX. WE ASK YOU THIS, MR. HUGGINS, WHO IS FILING YOUR REPORTS FOR YOU? I'M SORRY? WHO IS PREPARING AND FILING YOUR REPORTS FOR YOU? MY WIFE. OKAY.

WE'RE A LITTLE GUYS MR. JONES. I UNDERSTAND. THAT'S WHAT I'M TRYING TO SORT OF TRYING TO WRAP MY HEAD AROUND.

I WISH WE COULD AFFORD A CONSULTANT, BUT..

I'M WITH YOU. I'M WITH YOU.

ALL RIGHT. ANY OTHER COMMENTS FROM MISS CHIN OR HUD? ANY COMMENTS FROM YOU GUYS ON THIS? OKAY. ALL RIGHT.

MR. MAYOR. TOOPS, YESTERDAY.

I DID HAVE CONVERSATIONS, I.

I GOT IN TOUCH WITH THE PARISH GOVERNMENT, WHICH ALSO HAS A REPRESENTATIVE OF THE SCHOOL BOARD BECAUSE I WANTED TO CLARIFY WHAT THEIR RESOLUTION WAS AND THE DOCUMENT THAT WAS. AND IN MY UNDERSTANDING WITH THEM AND TO CLARIFY, THEY DID STATE THEY WOULD WANT NO ACTION TO BE TAKEN NO PENALTIES TO BE PUT ON THIS.

SO AT THE PROPER TIME, I WILL MAKE A MOTION TO APPROVE WITHOUT.

JUST ONE SECOND, SECRETARY PEARSON.

JUST TO BRING SOME FURTHER CLARITY TO THIS, BECAUSE ON THE SURFACE, IT CAN SOUND CONFUSING.

BUT OVER TO STAFF, THE NUMBER YOU'RE EVALUATING WHEN YOU SAY NO NEW JOBS IS A NO NEW NET JOBS IN THE PICTURE. SO IF THE NEW OPERATION IS SUCCESSFUL AND IS EMPLOYING MORE PEOPLE, BUT THE OLDER TECHNOLOGY AND THE OLDER PRODUCT IS CAUSING LAYOFFS, THAT'S THE CIRCUMSTANCE THAT WE'RE TRYING TO EVALUATE HERE.

AM I CORRECT TO THE STAFF? YES, SIR. THEY HAVE TO BE ACTIVE AT THE END OF THE YEAR.

SO IT IS NET.

YOU HAVE TO BACKFILL THE JOBS THAT ARE LOST.

MR. PIERSON, WE HAD NO JOBS LOST, BEFORE WE STARTED THE PROJECT, WE HAD THREE EMPLOYEES.

AT THE END OF THE FIRST YEAR THAT WE REPORTED, WE HAD SIX.

NOW WE'VE GOT NINE.

SO TYPICALLY THE WAY WE WOULD DOCUMENT OUR FILES IS WORKING WITH THE DEPARTMENT OF REVENUE.

ABSOLUTELY. AND CALL OUT THE APPROPRIATE PAYROLL RECORDS THAT WE HAVE ACCESS TO.

SO THIS IS HOW WE TYPICALLY EVALUATE BY YEAR YOUR NUMBER OF EMPLOYEES.

AND I UNDERSTAND OUR CALCULATIONS.

I UNDERSTAND THAT'S EXACTLY WHAT I WOULD HAVE EXPECTED TO HAPPEN.

AND I CAN.

I'VE GOT 941'S AND W-2S TO TO BACK THIS UP.

I MEAN, I DIDN'T BRING THEM WITH ME THIS MORNING BECAUSE I DIDN'T THINK WE'D WANT TO SIT HERE AND GO OVER THAT STUFF.

BUT IT SOUNDS LIKE WE MIGHT NEED SOME MORE TIME TO BRING FURTHER CLARITY TO THE BOARD ON THIS.

WE WOULDN'T WANT TO UNFAIRLY PENALIZE YOU, BUT WE'RE IN A CONTRACTUAL RELATIONSHIP WHERE, YOU KNOW, WHAT WE HAVE LAID OUT INTERNALLY INDICATES THIS OUTCOME HERE.

BUT IF IT'S NOT CORRECT, I WOULD BE AN ADVOCATE FOR SAYING YOU HAVE AN OPPORTUNITY TO CLARIFY AND HELP US BETTER UNDERSTAND YOUR POSITIONING.

I WOULD BE HAPPY TO DO THAT.

AND I WOULD POINT OUT TO YOU THAT EVERYBODY MAKES MISTAKES.

AND I SUGGEST THAT LED SIMPLY MADE A MISTAKE.

AND WE'VE TRIED TO CLARIFY THAT, BUT WE'RE HAD TROUBLE WITH COMMUNICATION.

ALL RIGHT, MAYOR TOUPS, YOU WANT TO MAKE YOUR MOTION? I DO WANT TO CONTINUE WITH MY MOTION. OKAY.

SO WE HAVE A MOTION TO TAKE NO FURTHER ACTION ON THESE THREE RELIANT TECHNOLOGY CONTRACTS.

IS THERE A SECOND? WE HAVE A SECOND FROM MR.

[01:30:02]

ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.

THANK YOU. ALL RIGHT.

NEXT. NEXT.

WE'RE MOVING ON TO NONCOMPLIANT CONTRACTS THAT FOLLOW THE 2018 ITEP RULES.

THE FIRST CONTRACT IS NUMBER 2019 0003A FOR C AND C, MARINE AND REPAIR LLC AND PLAQUEMINES PARISH.

THEY ARE NON-COMPLIANT FOR THE 2020 REPORTING PERIOD.

THE EXHIBIT A FOR THE CONTRACT REQUIRES THE COMPANY CREATE AND MAINTAIN 26 JOBS WITH 575,000 IN PAYROLL.

THE ACTUAL JOBS CREATED WAS 19, WITH $775,868 IN PAYROLL.

THE COMPANY IS NON-COMPLIANT DUE TO THE JOBS NOT BEING MET ONLY.

THE PARISH DENIED THE INITIAL EXEMPTION AT THE TIME OF APPLICATION.

THEREFORE, IT IS NOT APPLICABLE.

THE SCHOOL BOARD SUBMITTED A LETTER STATING THEY WILL DEFER TO THE BOARD OF COMMERCE AND INDUSTRY ON THE MATTER AND NO RESPONSE WAS RECEIVED FROM THE SHERIFF.

IS SOMEONE HERE FROM C&C MARINE.

GOOD MORNING. JUST STATE YOUR NAME, YOUR POSITION WITH THE COMPANY, PLEASE.

I'M LISA MARCEL, CMC MARINE.

I'M THE CONTROLLER.

RIGHT. AND WE FABRICATE BARGES, OFFSHORE SUPPLY VESSELS AND TOW BOATS AND DREDGES.

RIGHT. AND FIRST, I'D LIKE TO THANK HUD AND KRISTEN BECAUSE THEY ARE PHENOMENAL TO WORK WITH.

WE RETAINED OUR BASELINE OF 97.

WE ACTUALLY HIRED FOUR PEOPLE, BUT UNFORTUNATELY THEY DID NOT STAY WITH US THROUGHOUT THE WHOLE YEAR.

SO THEY DID NOT COUNT.

AND ONE LIVES IN MISSISSIPPI, SO HE DID NOT COUNT.

WE EXCEEDED THE PAYROLL BY 200,868.32 IN 2020.

UNFORTUNATELY, WITH COVID PROVED TO BE A VERY HARD TIME FOR US IN 2021, WE DID MEET THE GOAL AND AS OF RIGHT NOW, WE ARE TRYING TO WORK WITH THE LOCALS TO ACTUALLY AMEND EXHIBIT A TO GET THE JOBS DECREASED BECAUSE WE STILL HAVING TROUBLE TO HIRE THE GOAL OF 26.

BUT WE HAVE JOB POSTINGS ON LA WORKS.

INDEED AND SOCIAL MEDIA.

WE'RE TRYING OUR BEST, BUT WE ARE STILL BEING AFFECTED BY COVID, AS WITH MOST BUSINESSES.

IS YOUR OPERATION A 24 SEVEN OPERATION? NO, BUT WE DO HAVE A NIGHT CREW.

YEAH. SO YOU HAVE TWO SHIFTS? YES. IS IT SEVEN DAYS A WEEK? YES. OKAY. AND HOW WERE YOU? THIS IS THE FIRST TIME THAT WE HAVE NOT MET ANNUAL COMPLIANCE.

HOW WERE YOU ABLE TO INCREASE THE SALARY WITH A REDUCED NUMBER OF EMPLOYEES WHERE YOU'RE PAYING? THE SALARY NUMBERS ARE BEING COUNTED FOR THE GUY THAT LIVES IN MISSISSIPPI OR.

YES. YES.

SO THAT'S HOW WE'RE DOING IT.

RIGHT. AND YOU'RE MEETING THE NUMBERS WITH EVEN THE PEOPLE WHO DID NOT STAY FOR THE ENTIRE YEAR.

CORRECT. GOT IT. AND AS OF TODAY, WE HAVE 131 EMPLOYEES.

OKAY. AND EVERYTHING WAS OTHERWISE FILED TIMELY.

CORRECT. CORRECT. AND WE DO NOT HAVE A HIGH TURNOVER RATE.

OKAY, GOOD.

THANK YOU VERY MUCH.

THANK YOU. WE HAVE A MOTION.

WE HAVE A MOTION.

WE CAN TAKE NO ACTION.

WE CAN PENALIZE.

I'M SORRY. WELL, IT COULD BE ANYTHING YOU WANT IT TO BE.

THEY'VE. THEY'RE THEY'RE OFF BY SEVEN, SEVEN JOBS.

YOU COULD PENALIZE THEM ONE YEAR.

YOU COULD. ONE THING WE HAVE DONE BEFORE IS WE HAVE PUT OFF THE PENALTY DETERMINATION UNTIL THE RENEWAL AND WE HAVE BEEN PARTICIPATING.

WE'VE BEEN IN BUSINESS SINCE 1997.

AND I THINK WE'VE BEEN PARTICIPATING IN THE PROGRAM SINCE 2003, IF I REMEMBER CORRECTLY.

ALL RIGHT. SHOULD WE. WE HAVE A MOTION FROM DR.

[01:35:02]

WE HAVE A SECOND FROM MR. SLOAN. EXCUSE ME.

WE HAVE A MOTION AND A SECOND.

TAKE NO FURTHER ACTION.

ANY COMMENTS OR QUESTIONS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE ALL IN FAVOR, SAY AYE.

ANY OPPOSITION.

THERE IS NONE. THE MOTION CARRIES.

THANK YOU. THANK YOU. APPRECIATE YOU BEING HERE.

NEXT. NEXT WE HAVE ONE CONTRACT NUMBER 2017 0188 FOR COMMUNITY COFFEE COMPANY LLC IN WEST BATON ROUGE PARISH.

THEY ARE NON-COMPLIANT FOR THE 2020 REPORTING PERIOD.

THE EXHIBIT A FOR THE CONTRACT REQUIRES THE COMPANY MAINTAIN 484 JOBS STATEWIDE WITH 31,050,000 IN PAYROLL.

THE ACTUAL JOBS MAINTAIN WAS 458 JOBS, WITH $37,841,427 IN PAYROLL.

THE COMPANY IS NON-COMPLIANT DUE TO THE JOBS NOT BEING MET ONLY.

NO RESPONSE WAS RECEIVED FROM THE SCHOOL BOARD AND THE SHERIFF REGARDING THE NONCOMPLIANCE.

HOWEVER, THE PARISH COUNCIL SUBMITTED A RESOLUTION DEFERRING TO THE LOUISIANA BOARD OF COMMERCE AND INDUSTRY WITH THE FOLLOWING COMMENTS.

WE ARE IN RECEIPT OF THE ABOVE REFERENCED NONCOMPLIANCE LETTERS FOR THE YEARS INDICATED IN ACCORDANCE WITH SECTION 601 B4.

WE ARE REQUESTING THAT NO PUNITIVE ACTION BE TAKEN AGAINST COMMUNITY COFFEE COMPANY LLC AT THIS TIME.

WE HAVE MET WITH COMMUNITY COFFEE AND UNDERSTAND THAT SHORTFALL IN JOBS CREATED WAS IN JOBS RETAINED WAS DIRECTLY IMPACTED BY COVID 19.

COMMUNITY COFFEE ALSO EXCEEDED THE PAYROLL REQUIRED IN TOTAL.

IN SUMMARY, WEST BATON ROUGE PARISH GOVERNMENT DEFERS ACTION ON THE COMPANY'S NONCOMPLIANCE IN ACCORDANCE WITH SECTION 601B4 AND REQUEST THAT NO PUNITIVE DAMAGE BE ASSESSED AT THIS TIME.

SOMEONE HERE FROM COMMUNITY COFFEE.

STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.

GOOD MORNING. I'M ANNETTE VACCARO.

I'M THE CFO WITH COMMUNITY COFFEE.

THANK YOU. RENEE MILLER, TAX MANAGER FOR COMMUNITY COFFEE.

PULL THE MIC A LITTLE BIT CLOSER, PLEASE.

RENEE MILLER, TAX MANAGER FOR COMMUNITY COFFEE.

TELL US WHAT'S GOING ON? IN THIS PARTICULAR CONTRACT, LIKE YOU'VE HEARD IN SOME OTHER CASES.

COVID 19 HAD A SIGNIFICANT IMPACT ON THE BUSINESS, AND BECAUSE OF THAT, WE WERE NOT ABLE TO HIT THE JOB TARGET THAT WAS LISTED IN THE CONTRACT. AS WE MENTIONED, WE DID EXCEED THE PAYROLL BY $6 MILLION, 22%, BUT THE JOBS WERE NOT MET.

LOUISIANA IS OUR HOME BASE.

THIS IS WHERE OUR HOME OFFICES THIS IS WHERE THE MAJORITY OF OUR EMPLOYEES ARE.

WE HAVE 510 EMPLOYEES IN THE STATE CURRENTLY, WHICH DOES EXCEED THE ORIGINAL CONTRACT OF 484 EMPLOYEES.

SO WE HAVE BEEN ABLE TO MAKE SOME RECOVERY AND BECAUSE OF THAT, WE ARE NOW GOING TO EXCEED THAT ORIGINAL NUMBER OF EMPLOYEES.

RIGHT. WHEN DID YOU SEE THE NUMBERS START COMING BACK UP? ABOUT WHAT TIME FRAME? WE WERE PROBABLY BORDERLINE IN 2021.

IT'S REALLY BEEN IN 2022 WHERE WE'VE PICKED IT BACK UP AND WE THINK IT'S GOING TO GROW FROM THERE.

WE'RE CONTINUING TO HIRE ON TOP OF THAT 510 THAT WE CURRENTLY HAVE.

OKAY. ALL RIGHT.

AND THE ONLY COMMENT WE'VE HAD IS FROM THE POLICE JURY OR THE THE PARISH COUNCIL.

PARISH COUNCIL, EXCUSE ME.

THAT SAID, TAKE NO ACTION.

RIGHT. CORRECT. ALL RIGHT.

ANY MOTION FOR MAYOR TOUPS? MOTION TO APPROVE OR A MOTION NO FURTHER ACTION.

SECOND, FROM MS. COLA. OR DO YOU HAVE A QUESTION? SECOND FROM MS. COLA. ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? VERY NOT ALL IN FAVOR, SAY AYE.

ANY OPPOSITION.

THERE IS NONE. THE MOTION CARRIES.

THANK YOU VERY MUCH. THANK YOU.

AND THANK YOU FOR THE OPPORTUNITY TO PARTICIPATE IN LED HAS BEEN VERY HELPFUL IN WEST BATON ROUGE PARISH AND ALL THE PARTIES INVOLVED REALLY APPRECIATE THE SUPPORT, RIGHT? KEEP MAKING COFFEE.

WE NEED IT. ALL RIGHT.

NEXT. NEXT, WE HAVE ONE CONTRACT, NUMBER 2017 0588 FOR DEPENDABLE GLASSWORKS IN SAINT TAMMANY PARISH THAT IS NON-COMPLIANT FOR THE 2019 AND 2020 REPORTING PERIODS.

THE EXHIBIT A FOR THE CONTRACT REQUIRES THE COMPANY CREATE AND MAINTAIN FOUR JOBS WITH 120,000 IN PAYROLL.

THE ACTUAL JOBS CREATED AND MAINTAINED FOR 2019 WAS SIX JOBS, WITH $133,529 IN PAYROLL.

HOWEVER, THE FILING WAS LATE.

IT WAS DUE AUGUST 23RD, 2020, BUT NOT RECEIVED UNTIL 8/12 OF 2021.

[01:40:01]

THE FILING WAS LATE.

IT WAS DUE ON APRIL 30TH, 2021, BUT NOT RECEIVED UNTIL AUGUST 12TH OF 2021.

ALL FOUR LOCALS THE PARISH COUNCIL, THE SCHOOL BOARD, THE SHERIFF AND THE CITY OF COVINGTON ALL RESPONDED WITH RECOMMENDATIONS TO DEFER TO THE BOARD.

WE HAVE SOMEONE HERE FROM DEPENDABLE GLASSWORKS.

PLEASE STATE YOUR NAME, YOUR POSITION WITH THE COMPANY, PLEASE.

JAKE MICKENS WITH SAINT TAMMANY CORPORATION, WHERE THE ECONOMIC DEVELOPMENT OFFICE FOR ST TAMMANY.

I'M ACTUALLY HERE ON THE COMPANY'S BEHALF.

THEY PROVIDE ME WITH A LETTER THEY WISH TO READ INTO THE RECORD.

THIS IS FROM TASHA JAKES, THE FINANCE MANAGER.

THROUGH THE BOARD OF COMMERCE AND INDUSTRY.

I WANT TO APOLOGIZE FOR OUR INABILITY TO ATTEND TODAY'S MEETING IN PERSON.

WE ARE A SMALL BUSINESS WITH A DEMANDING SCHEDULE THAT OCCASIONALLY DOES NOT ALLOW FOR FLEXIBILITY.

WITH THAT BEING SAID, WE APPRECIATE YOUR CONSIDERATION REGARDING OUR HEADSET PROJECT PROJECT AND WANT TO OFFER A BRIEF EXPLANATION FOR THE LATE FILING OF OUR 2019 AND 2020 ANNUAL REPORTS.

IN 2021, OUR PLANT AND OPERATIONS MANAGER, JILL FOXWORTH, BECAME VERY ILL AND DUE TO PROLONGED COMPLICATIONS FROM COVID 19, TRAGICALLY PASSED AWAY AT THE SAME YEAR.

AMONG MANY OTHER RESPONSIBILITIES, THE MANAGEMENT OF THE ITEP INCENTIVE, INCLUDING REPORTING, WAS HANDLED SOLELY BY MS. FOXWORTH. WHEN I STEPPED INTO THE ROLE OF FINANCE MANAGER IN LATE 21 AND BECAME AWARE OF THE LAPSE, WE CONNECTED WITH OUR LOCAL ECONOMIC DEVELOPMENT ORGANIZATION AND WITH THEIR ASSISTANCE, GOT CAUGHT UP ON THE PREVIOUS YEAR'S ANNUAL REPORTS.

WE NOW HAVE PROTOCOLS IN PLACE TO MAKE SURE THAT TIMELY REPORTING IS NO LONGER AN ISSUE.

AS I AS I MENTIONED, WE ARE A RELATIVELY SMALL COMPANY.

AND WHEN A TEAM MEMBER IS CRITICAL, AS MS..

FOXWORTH IS LOST, THERE ARE SUBSTANTIAL PERSONAL AND OPERATIONAL IMPACT.

WE REGRET THE DELAY IN ADDRESSING THIS ISSUE, BUT OUR CONFIDENCE IT WILL NOT BE A PROBLEM MOVING FORWARD.

IN LIGHT OF THESE EVENTS, WE RESPECTFULLY REQUEST THAT NO PENALIZING ACTION BE TAKEN FOR THESE TWO YEARS IN QUESTION.

AND AS SHE MENTIONED, OUR OFFICE DID GET CONTACTED BY A LADY ACTUALLY WHENEVER THERE WAS TROUBLE REACHING MS..

FOXWORTH ABOUT THE COMPLIANCE ISSUE.

AND I KNOW THERE IS A GENTLEMAN, THE REFERENCE TO COMPUTER LIGHTING UP LIKE A CHRISTMAS TREE WHENEVER THERE'S A PROTOCOL REMINDER AND WE HAVE THE SAME COMPUTER NOW.

SO I'M CONFIDENT THAT BETWEEN OUR OFFICE, AS WELL AS DEPENDABLE GLASSES, NEW FINANCE MANAGER WILL BE ABLE TO GET EVERYTHING IN ON TIME MOVING FORWARD.

HOW MANY TOTAL EMPLOYEES DO THEY HAVE? 36. OKAY.

ALL RIGHT. SO WE HAVE TWO CONTRACTS THAT WERE FILED LATE DUE TO DEATH IN THE OFFICE.

WHAT IS THE PLEASURE OF THE BOARD? MOVE THAT WE TAKE NO ACTION ON THIS.

MOTION FROM MR. NASSER, NO ACTION.

SECOND FROM MR. SLOANE. ANY COMMENTS OR QUESTIONS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? NONE. ALL IN FAVOR SAY AYE. AYE.

ANY OPPOSITION? HEARING NONE, THE MOTION CARRIES.

THANK YOU VERY MUCH. THANK YOU.

APPRECIATE YOU BEING HERE. NEXT WE HAVE TWO CONTRACTS NUMBER 2018 0149 AND NUMBER 2018 0149A FOR DIVERSIFIED FOODS AND SEASONINGS LLC IN SAINT TAMMANY PARISH THAT ARE NON-COMPLIANT FOR THE 2019 AND 2020 REPORTING PERIODS.

THE EXHIBIT A FOR BOTH CONTRACTS REQUIRES THE COMPANY CREATE AND MAINTAIN 44 JOBS WITH $1,000,245 AND $1,245,200 IN PAYROLL FOR THE 2019 AND 2020 REPORTING PERIODS.

THE ACTUAL JOBS CREATED FOR 2019 WAS 41 JOBS, WITH $1,120,357 IN PAYROLL.

THE ACTUAL JOBS CREATED FOR 2020 WAS 21 JOBS, WITH $414,345 IN PAYROLL.

ALL THREE LOCALS THE PARISH COUNCIL, THE SCHOOL BOARD AND THE SHERIFF ALL RESPONDED WITH RECOMMENDATIONS TO DEFER TO THE BOARD.

WE HAVE SOMEONE HERE FROM DIVERSIFIED FOODS.

YOU NAME YOUR POSITION WITH THE COMPANY, PLEASE.

GOOD MORNING, BOARD. MY NAME IS JIMMY LEONARD WITH ADVANTIS CONSULTING.

MR. DARREN JAMES, SENIOR DIRECTOR OF MANUFACTURING FOR DIVERSIFIED FOODS, WAS GOING TO BE HERE TODAY.

HE HAD A MEDICAL MATTER THAT OCCURRED LATE YESTERDAY.

SO HE SENT ME A STATEMENT TO READ INTO THE BOARD, IF I MAY, PLEASE.

CHAIRMAN, MEMBERS OF THE BOARD, THANK YOU FOR THIS OPPORTUNITY TO SPEAK REGARDING DIVERSIFIED FOOD, SEASONINGS, JOBS AND PAYROLL NONCOMPLIANCE FOR CONTRACTS 2018 0149

[01:45:07]

WE ARE A LEGACY FIRM AND LEADING MANUFACTURER AND LOCAL SAINT TAMMANY PARISH BUSINESS PARTNER OPERATING IN THE COMMUNITY FOR THE LAST 35 PLUS YEARS.

AT OUR MADISONVILLE FACILITY, WE PRODUCE A NUMBER OF SOUPS, SAUCES AND SIZE FOR OUR RESTAURANT, RETAIL AND INDUSTRIAL CUSTOMERS.

YOU MAY BEST KNOW US AS THE LARGEST SUPPLIER TO POPEYES LOUISIANA CHICKEN WITH AN EXCLUSIVE SUPPLY CONTRACT RUNNING THROUGH 2034.

DUE TO THIS CONTRACT.

WE ARE IN THE MIDST OF A PHASE TWO $30 MILLION EXPANSION, WHICH IS A TREMENDOUS BENEFIT TO THE PARISH ECONOMY.

INCENTIVE PROGRAMS SUCH AS ITEP HAVE BEEN AND CONTINUE TO BE AN IMPORTANT FACTOR IN INVESTMENT DECISIONS OF THIS MAGNITUDE.

IN ADDITION, DIVERSIFIED FOODS AND SEASONINGS CONTRIBUTES OVER 17 MILLION IN PAYROLL TAXES AND EXPENDITURES TO THE LOCAL ECONOMY EVERY YEAR.

AS WITH MANY BUSINESSES THROUGHOUT OUR STATE AND LOCAL COMMUNITIES, DIVERSIFIED FOODS WAS IMPACTED SIGNIFICANTLY BY THE COVID 19 PANDEMIC AND ITS ASSOCIATED IMPACTS. FOR STARTERS, THE RESTAURANT INDUSTRY DOWNTURN AND WIDESPREAD CLOSURES RESULTED IN MANUFACTURING, PRODUCTION REDUCTION AND FINANCIAL LOSSES.

EVEN MORE DEVASTATING TO OUR BUSINESS OPERATIONS WERE MASS EMPLOYEE RESIGNATIONS IN AN ABSENCE OF NEW QUALIFIED APPLICANTS, THAT WAS PARTLY DUE TO GOVERNMENT ASSISTANCE PROGRAMS. IT IS EXTREMELY IMPORTANT TO NOTE THAT OUR EMPLOYMENT DOWNTURN WAS NOT DUE TO ANY COMPANY MANDATED WORKFORCE REDUCTION NOR SALARY CUTS.

IN FACT, WE ACTIVELY SOUGHT TO REPLACE EMPLOYEES AS SOON AS POSSIBLE.

WE UTILIZE RECRUITING SERVICES, JOB FAIRS, SECONDARY SCHOOLS, TRADE SCHOOLS, ONLINE JOB POSTINGS, ADVERTISING AND EMPLOYEE REFERRAL INCENTIVES.

WE HAVE IMPLEMENTED SIGN ON BONUSES AND INCREASED OUR BASE WAGE IN AN ATTEMPT TO ATTRACT QUALIFIED CANDIDATES.

WE ARE ALSO REQUIRED OVERTIME HOURS AND UTILIZE CONTRACT LABOR TO FILL THE GAP OF EMPLOYMENT.

DUE TO THIS VOID.

THE COMPANY CURRENTLY HAS A SIGNIFICANT FINANCIAL BURDEN DUE TO THE NEED TO RELY HEAVILY ON EXPENSIVE EXTRA HELP.

DESPITE OUR BEST EFFORTS, WE ARE STILL STRUGGLING TO FIND AND HIRE ADDITIONAL QUALIFIED EMPLOYEES TO FILL OUR OPEN POSITIONS.

WE ARE ASKING THAT THIS BOARD GRANT US GRACE FOR THESE THREE NON COMPLIANCE ITEMS AS WE CONTINUE TO REGAIN OUR FOOTING.

SINCERELY, DARREN JAMES, SENIOR DIRECTOR OF MANUFACTURING, DIVERSIFIED FOODS AND SEASONINGS.

I HAVE A QUESTION. I SHOULD KNOW THE ANSWER TO THIS QUESTION, BUT I'M NOT.

I DON'T. AND SO WE'VE GOT TWO CONTRACTS HERE, ESSENTIALLY.

THE 44 JOBS THAT ARE THAT WERE TO BE BROUGHT IN FOR 2018 0149 VERSUS THE 44 JOBS FOR 2018149A.

IS THAT A IS THAT 44 PLUS 44 OR IS THIS ALL THE SAME NUMBER? THEY HAVE THE SAME REPORTING REQUIREMENTS TOTAL BEING 44.

OK FOR FOR FOR BOTH CONTRACTS.

IT'S ONE PROJECT JUST THAT ASSETS WERE PLACED IN THE SERVICE IN DIFFERENT CALENDAR YEARS INDICATING THE PHASE.

THANK YOU. THANK YOU.

SO I GUESS THEN MY QUESTION BECOMES, WHY DID THE 41 JOBS, AND THE 21 JOBS, HOW IS THE ACTUAL JOBS DIFFERENT? SO THE A CONTRACT INDICATES A PHASE OF ASSETS THAT WERE PLACED IN THE SERVICE PRIOR TO THE OVERALL PROJECT BEING COMPLETE.

SO WHEN THOSE ASSETS WERE BECAME ACCEPTABLE, IT INITIATED THE CONTRACT REPORTING REQUIREMENTS TO BE SUBMITTED.

SO THAT'S WHY THE A CONTRACT HAS TWO REPORTING PERIODS AND THE MAIN NUMBER DOES NOT.

NEXT YEAR, IN ALL THE REMAINING YEARS, BOTH CONTRACTS WOULD HAVE THE SAME REPORTING REQUIREMENTS.

BECAUSE WHAT I'M TRYING TO UNDERSTAND HERE, IT LOOKED LIKE IN 2019, THEY WERE AT 41, STILL SHORT OF THE 44.

RIGHT. AND AND 2019 WAS PRE COVID.

CORRECT. SO I'M SENSITIVE TO THE COVERT ARGUMENT, BUT I DON'T UNDERSTAND ITS APPLICATION TO THAT CONTRACT.

BECAUSE 2019 THEY STILL HAD A 44 JOB REQUIREMENT.

AND I HAVEN'T HEARD WHY THAT IS.

I WOULD LIKE TO DRILL DOWN INTO THAT.

[01:50:04]

I UNDERSTAND COVID, BUT NOT IN 2019.

SO WE HAVE A WE HAVE A MOTION FROM MR. SLOAN. SECOND FROM DR.

WILSON TO DEFER TO THE NEXT MEETING.

ARE ANY QUESTIONS, COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE. ALL IN FAVOR SAY AYE. IN THE OPPOSITION THERE IS NONE.

THE MOTION CARRIES.

THOSE THREE CONTRACTS ARE DEFERRED.

ALL RIGHT. NEXT.

NEXT WE HAVE TWO CONTRACTS NUMBER 2017 0492 AND NUMBER 2017 0492A FOR LOUISIANA SUGAR CANE COOPERATIVE INC AND SAINT MARTIN PARISH THAT ARE NON-COMPLIANT FOR THE 2019 AND 2020 REPORTING PERIODS.

AND I JUST LIKE TO STATE UNLIKE THE PREVIOUS ONE FOR DIVERSIFIED THIS ONE IS TWO CONTRACTS BUT THEY DO NOT SHARE IN EXHIBIT A AGREEMENT.

SO BOTH CONTRACTS HAVE DIFFERENT EXHIBIT A REQUIREMENTS.

I'M GOING TO READ OUT LOUD. THEY'RE CUMULATIVE.

NOT. OKAY.

GOT IT. THANK YOU. THANK YOU FOR THAT.

THE EXHIBIT A FOR CONTRACT 2017 0492 REQUIRES THE COMPANY CREATE AND MAINTAIN 20 JOBS WITH 1,650,000 IN PAYROLL FOR THE 2019 AND 2020 REPORTING PERIODS.

THE ACTUAL JOBS CREATED FOR 2019 WAS 20 JOBS, WITH 1,334,393 IN PAYROLL.

THE REASON FOR THE NONCOMPLIANCE IS DUE TO THE PAYROLL NOT BEING MET, AND IT WAS ALSO A LATE FILING.

THE COMPLIANCE WAS DUE AUGUST 23RD OF 2020, BUT NOT RECEIVED UNTIL JULY 28TH OF 2021.

THE ACTUAL JOBS CREATED FOR THE 2020 REPORTING PERIOD FOR CONTRACT 2017 0492 WAS 19 JOBS WITH $1,229,799 IN PAYROLL.

THE REASON FOR THE NONCOMPLIANCE IS DUE TO THE PAYROLL NOT BEING MET AND THE LATE FILING .

THE COMPLIANCE WAS DUE APRIL 30 OF 2021 FOR BOTH CONTRACTS, BUT NOT RECEIVED UNTIL JULY 28, 2021.

THE EXHIBIT A FOR CONTRACT 2017 0492A REQUIRES THE COMPANY CREATE AND MAINTAIN SIX JOBS WITH $222,850 IN PAYROLL. THE ACTUAL JOBS CREATED WAS ZERO JOBS AND $0 IN PAYROLL.

THE FILING WAS ALSO LATE.

IT WAS DUE APRIL 30TH OF 2021 AND RECEIVED FEBRUARY 8TH OF 2022.

THE PAIR SUBMITTED RECOMMENDATIONS FOR BOTH CONTRACTS AND ALL REPORTING PERIODS THAT THE LOUISIANA BOARD OF COMMERCE AND INDUSTRY ADOPT NO REMEDIAL ACTION FOR THE ALLEGED VIOLATIONS. NO RESPONSE WAS RECEIVED FROM THE SCHOOL BOARD, AND THE SHERIFF SUBMITTED A LETTER STATING, I HAVE MADE THE DECISION TO TAKE NO ACTION AND ENFORCE NO PENALTIES FOR THESE VIOLATIONS.

I TRUST THAT THE BOARD WILL RESPECT AND APPROVE MY RECOMMENDATION.

OKAY. ANYONE HERE FROM THE LOUISIANA SUGARCANE COOPERATIVE? PLEASE STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.

I AM SEAN KIDDER AND I'M A CONTROLLER.

ALL RIGHT. MY NAME IS MICHAEL COLEMAN, THE GENERAL MANAGER.

GREAT. OKAY.

TELL US WHAT HAS WHAT WAS GOING ON WITH THESE CONTRACTS.

AND WHILE THE WHY THE PROBLEMS IN 2019 AND 2020, I'LL ADDRESS THE LATE FILING FIRST.

A LITTLE BIT LATE FILING FIRST.

THAT'S OKAY. THAT'S GREAT.

IT'S AN OVERSIGHT. IT'S BEEN CORRECTED ALL THE MONTHS OF THE CURRENT YEAR HAVE BEEN FILED TIMELY.

IT'S NOT GOING TO HAPPEN AGAIN GOING FORWARD.

BUT WHAT I DON'T UNDERSTAND ON THE LATE FILING IS.

OBVIOUSLY. AND.

IN 7/28.

JULY 28, 2021.

YOU FILE TO BUT.

WHAT HAPPENED TO THE THIRD ONE? WHY DID IT TAKE FROM JULY TO FEBRUARY TO FILE THAT THIRD ONE? YOU OBVIOUSLY WERE AWARE OF THE PROBLEM BY THAT POINT.

ALL RIGHT. THE TWO ARE FILE AND I DID NOT FILE THE NEXT ONE UNTIL I UNDERSTOOD THAT I WAS DOING IT CORRECTLY OR SOME BACK AND FORTH

[01:55:03]

SO I MADE SURE I WAS ON THE UNDERSTOOD THE PROCESS TO GET IT DONE CORRECTLY.

OKAY. ALL RIGHT.

VERY GOOD. THEN TALK TO US ABOUT THE THE SHORTFALLS ON THE EMPLOYEES AND THE PAYROLL ON THE INITIAL CONTRACT OR THE PAYROLL FELL SHORT AT 1.6.

IN THE ORIGINAL PROCESS, THE REPORT, [INAUDIBLE] HAD NEW HIRES ON IT, WHICH INCLUDED H-2B WORKERS WHICH SHOULD HAVE BEEN EXCLUDED.

AND FOR THAT REASON, WE NEED WE'RE IN THE PROCESS OF AMENDING THAT APPLICATION BECAUSE THAT NUMBER IS IS TOO HIGH.

SO IN OTHER WORDS, IF.

WHEN I RUN OUR PORT OF NEW HEARTS, IT WOULD HAVE BEEN HIGHER THAN 20, BUT THE NUMBER 1.6 WOULD HAVE BEEN MET.

BUT IT WOULD HAVE BEEN WITH WORKERS THAT WEREN'T DIDN'T FIT THE DEFINITION OF A JOB.

GOT IT. SO IS THIS THE FIRST CONTRACT THAT YOU GUYS HAVE PARTICIPATED IN? FOR MYSELF, IT IS, YES.

OKAY. SO THERE'S I WILL SAY THERE'S DEFINITELY BEEN A LEARNING CURVE AND HUD'S DEFINITELY BEEN A GREAT PROFESSOR.

SO HE'S HE'S HE'S BEEN SUPER HELPFUL.

YOU'VE JUST GOT A NEW NICKNAME.

ALL RIGHT.

SO IT WAS AN ISSUE.

YOU MET THE NUMBERS, BUT WITH NOT WITH JOBS THAT DID NOT QUALIFY UNDER THE DEFINITION OF JOBS, RIGHT? YES. BECAUSE YOU WERE USING IMMIGRANT WORKERS INSTEAD OF STATE RESIDENTS OF THE STATE OF LOUISIANA.

YES, SIR. GOT IT. OKAY.

IS THAT THE SAME SITUATION IN 2020? YES, SIR. FOR THAT CONTRACT? YES. OKAY. SO WHAT ABOUT THE THIRD CONTRACT WHERE YOU HAD SIX EMPLOYEES AND NOBODY HIRED? NO PAY, NO SALARIES.

FOR THAT CONTRACT, OUR ORIGINAL ADVANCE NOTIFICATION HAD 20 NEW HIRES FOR THE ENTIRE PROJECT, WHICH IS BEING DONE IN FIVE PHASES, WHICH THE 20 WAS MET IN THE ORIGINAL PHASE.

SO THAT ALSO GOT THEM IN THAT CONTRACT.

BECAUSE IT SHOULD HAVE BEEN ZERO, SHOULDN'T HAVE BEEN SIX.

THAT YOU USE THOSE SIX TO BACKFILL TO KEEP OUR BASE NUMBER IN COMPLIANCE.

SO YOU'VE OBVIOUSLY TALKED TO THE LOCAL GOVERNING AUTHORITIES.

YES, SIR. I'VE BEEN IN CONTACT WITH ST.

MARTIN ECONOMIC DEVELOPMENT TO GET THE BALL ROLLING.

IT IS ROLLING FOR THEM.

SO YOU CAN MAKE WHATEVER AMENDMENTS MIGHT BE NECESSARY TO BETTER REFLECT WHAT THE TRUTH WILL BE OUT THERE.

YES, SIR. I WILL SAY THE TURNOVER IN OUR INDUSTRY IS SUPER LOW.

I MEAN, THE LAWYERS ARE LOYAL.

THERE ARE IF YOU IF YOU COME OUT AS PEOPLE HAVE BEEN THERE A LONG TIME AND.

IT'S. THERE'S NOT A LOT OF TURNOVER THERE TO LOWER THE NUMBER.

OKAY. ALL RIGHT.

GOOD DEAL. ANY QUESTIONS OR COMMENTS FROM THE BOARD BEFORE WE EVEN GO TO A MOTION? EXCUSE ME. BEFORE WE ENTERTAIN A MOTION.

DO WE HAVE A MOTION.

MAKE A MOTION. GO AHEAD.

I'M SORRY. OK, REPRESENTATIVE ST BLOOR.

NO ACTION THE SECOND FROM DR.

WILSON. ANY COMMENTS OR QUESTIONS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY AYE.

ANY OPPOSITION.

HEARING NONE, THE MOTION CARRIES.

THANK YOU, GENTLEMEN. THANK YOU VERY MUCH.

THANK YOU VERY MUCH. KEEP MAKING SUGAR.

THE COFFEE NEEDS THE SUGAR.

LAST. WE HAVE ONE CONTRACT NUMBER 2017 0087 FOR MECHANICAL EQUIPMENT COMPANY INC IN ST TAMMANY PARISH.

THAT IS NON-COMPLIANT FOR THE 2019 AND 2020 REPORTING PERIODS.

THE EXHIBIT A FOR THIS CONTRACT REQUIRES THE COMPANY CREATE AND MAINTAIN TEN JOBS WITH 320,000 IN PAYROLL.

THE ACTUAL JOBS CREATED AND MAINTAINED FOR 2019 WAS 28 JOBS, WITH $422,204 IN PAYROLL.

THE COMPANY IS NON-COMPLIANT DUE TO THE LATE FILING.

ONLY THEIR COMPLIANCE WAS DUE AUGUST 23RD OF 2020, BUT NOT RECEIVED UNTIL JULY 2ND OF 2021.

THE ACTUAL JOBS CREATED AND MAINTAINED FOR 2020 WAS 38 JOBS, WITH $1,347,320 IN PAYROLL.

THE COMPANY IS NON-COMPLIANT DUE TO LATE FILING ONLY.

THIS FILING WAS DUE APRIL 30TH OF 2021, BUT NOT RECEIVED UNTIL JULY 2ND OF 2021.

ALL THREE LOCALS THE PARISH COUNCIL, THE SCHOOL BOARD AND THE SHERIFF ALL RESPONDED WITH RECOMMENDATIONS TO DEFER TO THE BOARD.

YOU HAVE SOMEONE HERE FROM MECHANICAL EQUIPMENT COMPANY?

[02:00:13]

GOOD MORNING. BRANDON LESTER.

I'M AN ACCOUNTANT WITH MECHANICAL EQUIPMENT COMPANY.

MR. LESTER, YOU HAD A GREAT STORY TO TELL.

WHY DIDN'T YOU TELL IT? OKAY. I MEAN, YOU WERE.

YOU WERE BLOWING THE TOP OFF YOUR JOBS NUMBERS.

YOU'RE BLOWING THE TOP OFF YOUR PAYROLL NUMBERS.

I THINK I WOULD HAVE TAKEN THE AD OUT IN THE PAPER.

WELL, I'M NOT SURE.

I MEAN, IT WAS JUST CLEARLY AN OVERSIGHT AS FAR AS THE REPORTING GOES.

I MEAN, Y'ALL CAN SEE CLEARLY WE EXCEEDED THE JOBS AND THE SALARIES FOR BOTH REPORTING PERIODS.

PROCEDURES HAVE BEEN PUT IN PLACE NOW TO MAKE SURE THIS DOESN'T HAPPEN, YOU KNOW, FURTHER.

SO YOU'RE HANDLING IT INTERNALLY.

YES. AND AND AGAIN, DIARIES OR WHATEVER TO MAKE SURE, BECAUSE, AGAIN, THERE'S YOU'RE OBVIOUSLY THE COMPANY APPEARS TO BE DOING WELL. YOU APPEAR TO HAVE SURVIVED COVID FAIRLY WELL, WHICH RUNS COUNTER TO WHAT WE HEAR NORMALLY.

RIGHT. AND SO, AGAIN, I HATE YOU'RE GOOD TO BE SPOKEN EVIL OF TODAY.

SO DON'T LET'S DON'T DO THIS AGAIN.

I JUST I MEAN I MEAN, TRULY, WHEN I SEE THOSE NUMBERS, I'M JUST GOING.

IT'S A GREAT REPORT FOR YOUR COMPANY.

CONGRATULATIONS ON THE GROWTH..

AND TO FURTHER THAT THEY ACTUALLY HAD PLANS TO DO SOME MORE EXPANSION MOVING FORWARD.

SO EXACTLY WHAT KIND OF EQUIPMENT DO? THEY MANUFACTURE WATER PURIFICATION SYSTEMS WHICH ARE BIG CUSTOMERS ARE PHARMACEUTICAL WE FOOD AND BEVERAGE SOME MILITARY CONTRACTS, YOU KNOW, EXCUSE ME, MUNICIPALITIES.

INTERESTING. OKAY, VERY GOOD.

SO WE HAVE TWO CONTRACTS WITH NON COMPLIANCE DUE TO LATE FILING DESPITE MEETING JOBS AND PAYROLL NUMBERS, WHICH IS NORMALLY THE BIGGER ISSUE.

BUT IN ALL, ALL THE LOCAL ENTITIES HAVE DEFERRED TO THE BOARD.

SO WHAT IS THE PLEASURE OF THE BOARD? MOTION FROM DR. WILSON.

NO PENALTY.

SECOND, FAMILIAR TO ANY QUESTIONS OR COMMENTS FROM THE BOARD.

YOU HAVE A NEW COMPUTER YET? OKAY. LOTS OF LIGHTS.

ALL RIGHT. ANY COMMENTS FROM THE FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR, SAY AYE.

ANY OPPOSITION? THERE IS NONE. THE MOTION CARRIES.

THANK YOU. LET'S GO BACK TO I'M PRESUMING SOMEONE IS HERE FROM I'M GOING BLANK ON THE NAME OF THE COMPANY NOW FOR SOUTH ALEXANDER. FOR THE SOUTH ALEXANDER DEVELOPMENT.

PLEASE COME FORWARD. AND PLEASE STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY. ROBERT SCHMIDT, PRESIDENT.

AND BEFORE WE DO, HUD, REMIND US WHAT WE ARE DOING HERE.

YOU HAVE REQUESTED THAT WE CANCEL THESE CONTRACTS FOR THE FAILURE TO FILE YOUR PROJECT STATUS REPORTS FOR FRONT END CONTRACTS.

NO AFC OR PCR WAS FILED AND THE COMPANY DID NOT COMPLY WITH THE COMMENCEMENT OF OPERATIONS AND JOB REPORTING REQUIREMENTS OUTLINED IN EXHIBIT A AGREEMENTS.

OKAY. FIRST OF ALL, WHAT DO YOU ALL MANUFACTURE? WE ARE A SOLAR DEVELOPMENT COMPANY.

WE PRIMARILY BUILD PROJECTS.

RIGHT NOW, IT'S ALL OUT OF STATE.

BUT WE STARTED IN LOUISIANA IN 2009 AND MOVED MOSTLY OUT OF STATE IN 2016.

OUR PRIMARY OPERATIONS ARE IN TEXAS, MARYLAND AND NEW YORK TODAY.

OKAY. AND WHAT'S THE ISSUE WITH THE FAILURE TO FILE THE NECESSARY REPORTS? SO TO BE CLEAR, WE HAVEN'T YET RECEIVED AN INCENTIVE.

SO THESE PROJECTS ARE STILL UNDER DEVELOPMENT GOING BACK TO 2020, OF COURSE, WE RAN INTO COVID, BUT THE BIG DEVELOPMENT ISSUES THAT WE RAN INTO WERE HURRICANES LAURA AND IDA.

SO THE FIRST PROJECT SINCE WE'RE TALKING ABOUT THREE IN ONE IN CALCASIEU, ONE IN LIVINGSTON AND ONE IN LINCOLN PARISH, THE FIRST PROJECT IN CALCASIEU PARISH, THE FIRST PROJECT THAT WE PLANNED TO BUILD WAS IN CALCASIEU.

WE RAN INTO AN ISSUE WITH HURRICANE LAURA, BUT THAT PUT THAT ON THE BACK BURNER.

THE SECOND PROJECT WAS IN LIVINGSTON PARISH, WHICH WE THOUGHT WE HAD SITED WELL, AND TOWARDS THE END OF

[02:05:05]

SO WE'RE STILL WORKING THROUGH THAT WITH THE INSURANCE COMPANY.

SO SINCE THE BEGINNING, WE WERE PLANNING ON BUILDING THE LINCOLN PARISH PROJECT LAST.

I KNOW LAURA AND IDA DID NOT HIT RUSTON.

SO WHAT HAPPENED WAS HAPPENED WITH THE LINCOLN PARISH ONE.

RIGHT. SO THAT HAS BEEN ALWAYS PLANNED TO GO ON THE BACK END OF THOSE FIRST TWO PROJECTS.

SO WE HAVE A LOT OF MONEY TIED UP IN BOTH THE CALCASIEU PROJECT AND THE LIVINGSTON PARISH PROJECT THAT WE HAVE TO MOVE FORWARD WITH CONSTRUCTION AND PLACING THOSE PROJECTS IN SERVICE BEFORE WE CAN EVENTUALLY BUILD THE LINCOLN PARISH PROJECT.

WHY IS THAT? I DON'T UNDERSTAND.

I DON'T UNDERSTAND THE CHRONOLOGY AND WHY ONE IS DEPENDENT ON THE OTHER.

UH, WELL, TO PUT IT SIMPLY, WHERE I'M A SIMPLE GUY, SO KEEP IT SIMPLE.

SMALL LOUISIANA COMPANY, AND WE SIMPLY DON'T HAVE ACCESS TO A LARGER BUDGET FOR THESE CAPITAL INVESTMENTS.

SO, CALCASIEU, WHAT WAS THE WHAT WAS GOING TO BE THE CHRONOLOGY AT THE BEGINNING? WHAT CALCASIEU FIRST LIVINGSTON FIRST? CALCASIEU, THEN LIVINGSTON, THEN LINCOLN.

WHEN WHEN LAURA HIT CALCASIEU, WERE Y'ALL ARE ALREADY UNDER CONSTRUCTION? WE HAD NOT YET BEGUN CONSTRUCTION? HAS LAND HAD BEEN ACQUIRED? YES. ARE THE? PERMITTED LEAST SHOVEL READY.

YES. CURIOSITY YOU MIGHT NOW STEWART REPRESENT CALCASIEU PARISH.

SO WHERE ARE YOU IN COACH.

YOU PARISH? DIRECTLY ACROSS THE STREET FROM THE REGIONAL AIRPORT.

OKAY. GOTCHA.

ON GO. OKAY. YEAH, I KNOW EXACTLY.

I JUST. I HADN'T SEEN ANYTHING, SO THAT'S WHY I WAS CURIOUS AS TO WHERE THE PROJECT STOOD.

SO THE LAND IS LEASED, BUT.

SO WHY HAVE YOU NOT STARTED CONSTRUCTION? I MEAN, LAURA WAS NOT YESTERDAY.

IT HAS BEEN SOME TIME AGO.

SO WHY HAVE YOU NOT STARTED CONSTRUCTION THERE? SO WE BEGUN BEGAN CONSTRUCTION ON THE LIVINGSTON PARISH PROJECT.

AND THAT WAS JUST THAT, THE POINT OF BEING PLACED IN SERVICE WHEN WE WERE HIT BY IDA.

WHAT I'M NOT UNDERSTANDING IS, IS IF CALCASIEU WAS FIRST, LAURA HAPPENED.

OKAY, I GET IT.

BUT LAURA DID NOT, I MEAN, YOU DIDN'T HAVE BUILDINGS.

I MEAN, ARE YOU'RE DEALING WITH THIS RAW LAND? I PRESUME WHEN YOU LEASED YOUR ACREAGE TO BUILD YOUR SOLAR FARMS, YOU HAD JUST RAW LAND.

HOW DID LAURA KEEP YOU FROM GOING FORWARD WITH CONSTRUCTION? OH, SO THE TIMING CAN BE A LITTLE BIT TRICKY WITH SOME OF THE OTHER AGREEMENTS THAT WE HAVE TO HAVE IN PLACE, BOTH ON THE FINANCING SIDE, WE HAVE END OF YEAR DEADLINES FOR SOME OF THE FINANCING.

WE ALSO HAVE DEADLINES WITH ENTERGY.

SO WE HAVE REVENUE CONTRACTS WITH ENTERGY.

AND SO, YOU KNOW, IT'S BEEN AN UNFORTUNATE SCHEDULING ISSUE WHERE WE'RE PLAYING WHAC-A-MOLE, WHERE RIGHT NOW, TODAY WE'VE EXTENDED ALL OF OUR CONTRACTS WITH ENTERGY UNTIL THE END OF 2023.

AND IF WE WERE TO LOSE THE CURRENT CONTRACTS IN PLACE WITH THE STATE OF LOUISIANA FOR THE ITEP INCENTIVE, WE WOULD ESSENTIALLY BE RUNNING INTO THAT SAME ISSUE WHERE WE WOULD BE PRESSED UP AGAINST THE END OF 2023 IF WE HAD TO START THIS PROCESS FROM THE BEGINNING.

SO HURRICANE LAURA PUSHED US OUT TO THE POINT WHERE WE WOULD NOT HAVE BEEN ABLE TO COMPLETE BEFORE THE END OF THAT YEAR.

AND WE WE BEGAN THE PROJECT IN LIVINGSTON EARLY THE FOLLOWING YEAR.

AND LINCOLN, YOU'RE SIMPLY WAITING ON SOME PROJECT FINANCING.

UH. WE ARE.

WE ARE WAITING ON GETTING SOME OF THE INVESTMENT THAT'S CURRENTLY SITTING ON THE BALANCE SHEET OFF, AND THAT HAPPENS WHEN WE PLACE THESE PROJECTS IN SERVICE.

THE LONG TERM BANK FINANCING AND INVESTMENT, THIRD PARTY INVESTMENT COMES IN.

AND SO HAD WOULD HAVE HAVE.

HAVE YOU ALL ALL HEARD THIS STORY BEFORE? BECAUSE, I MEAN, HAS THERE BEEN ANY COMMUNICATION WITH LED ON WHAT'S BEEN GOING ON SINCE I, UM, STARTED REACHING OUT TO SEE WHY THE COMPLIANCE WASN'T FILED.

[02:10:05]

SO SINCE I HADN'T RECEIVED ANY CORRESPONDENCE REGARDING THE FIRST EMAIL I SENT IN MAY, I SENT A FOLLOW UP EMAIL ON JULY 7TH OR FIFTH.

I RECALL STATING THAT THEY WERE GOING TO BE CANCELED.

AND THEN SINCE THEN, MR. SCHMIDT HAS REACHED OUT AND EXPLAINED WHAT HE JUST EXPLAINED TO YOU GUYS CONCERNING THE PROJECTS THAT HAS.

HAVE ANY REPORTS BEEN FILED AT ALL SINCE I CHECKED THE ANNUAL PROJECT STATUS REPORTS AS OF THIS MORNING AT 9:00 AND NOTHING WAS FILED.

FOR THOSE OF YOU FILING A REPORT, IT'S OKAY TO SAY NOTHING'S HAPPENING.

I MEAN, WE DON'T WE'VE GOT TO KNOW WHAT'S GOING ON WITH THESE PROJECTS.

YOU UNDERSTAND THAT, RIGHT? I DO. I MEAN, DID YOU UNDERSTAND IT BEFORE NOW? I CERTAINLY DID NOT.

I GUESS MR. SCHMIDT, THE THING I'M STRUGGLING WITH, FRANKLY, I'M JUST GOING TO BE JUST REAL HONEST, IS THAT.

THESE, THIS ITEP PROGRAM IS THE MOST VALUABLE PROGRAM THE STATE OF LOUISIANA OFFERS FROM THE STANDPOINT OF INCENTIVE.

IT'S HIGHLY CONTROVERSIAL, HIGHLY VALUABLE.

I DON'T UNDERSTAND WHEN A COMPANY GETS THAT BENEFIT AND DOESN'T DOESN'T ATTACH SIGNIFICANCE TO THE REQUIREMENTS OF THE CONTRACT TO THE POINT WHERE THEY MAKE IT A PRIORITY.

I DON'T GET THAT.

I RECOGNIZE THAT THERE ARE ISSUES.

I RECOGNIZE THAT THE HURRICANES CREATED ISSUES FOR YOU.

I GET ALL THAT.

BUT HAVING SAID THAT.

IF YOU GOT AN EMAIL FROM HUD IN MAY AND IT'S NOW AUGUST, AND NO ATTEMPT HAS BEEN MADE TO BRING ANY OF THESE DOCUMENTS CURRENT.

I STRUGGLE WITH THAT, QUITE FRANKLY.

AND AND I'M NOT AND WHAT I'M HEARING FROM YOU IS NOT A REAL STRONG EXPLANATION, FRANKLY.

I. I UNDERSTAND WHAT PROJECT FINANCING IS ALL ABOUT, AND I UNDERSTAND ABOUT MEETING CONTRACTS.

AND I UNDERSTAND THAT WHEN YOU'RE A PROJECT MANAGER, YOU'VE GOT TEN PLATES SPINNING ALL AT THE SAME TIME AND YOU'RE DRIVING YOURSELF CRAZY, TRYING TO MAKE SURE NONE OF THEM FALL.

I GET THAT, TOO.

BUT UNLESS THE ITEP PROGRAM IS AT LEAST ONE OF THE MOST IMPORTANT PARTS OF THOSE PLATES, I GUARANTEE ALL THE REST OF THEM FALL.

AND I JUST, I DO NOT UNDERSTAND HOW THESE CONTRACTS HAVE NOT GOTTEN YOUR ATTENTION BEFORE NOW.

THAT MAKES NO SENSE TO ME.

DO YOU HAVE A CONSULTANT THAT YOU HAVE HIRED OR ARE YOU DOING ALL THIS IN-HOUSE? SO DURING THE PROCESS OF GETTING THE LOCAL TAXING AUTHORITIES TO APPROVE THE INCENTIVE INDIVIDUALLY, WHICH WAS A CHANGE THAT WE WERE JUST DEALING WITH WHEN WE STARTED THE APPLICATION PROCESS, WE DID WORK WITH A CONSULTANT.

HOWEVER, ONCE THOSE WERE APPROVED, WE DID NOT UNDERSTAND THAT REPORTS WERE DUE UNTIL THESE PROJECTS WERE PLACED IN SERVICE.

SO THAT'S THE DISCONNECT.

I CERTAINLY DO AGREE WITH YOU THAT THIS IS AN EXTREMELY VALUABLE PROGRAM.

IT'S SO VALUABLE THAT WE SIMPLY AREN'T ABLE TO GET BANK FINANCING WITHOUT IT.

SO IT IS CRITICAL.

ABSOLUTELY.

WELL. I HAVE MY THOUGHTS.

WHAT'S THE PLEASURE OF THE BOARD? I'D BE WELCOME TO HEAR SOME OF YOUR THOUGHTS BECAUSE.

MR. CHAIRMAN. YES? I JUST CAME ON THIS BOARD AND WE TALKED ABOUT SOLAR AND EVERYTHING AND I TOLD YOU WHAT WAS HOW I WOULD RECOMMEND THAT A I DIDN'T REALIZE THIS WAS GOING TO HAPPEN A DAY AND CONSULTANTS AND EVERYTHING THAT I DIDN'T HAVE HERE TODAY.

AND I WOULD LIKE TO DEFER THIS TILL NEXT MEETING AND MAKE THEM COME WITH EVERYTHING, AND THEN WE CAN HAVE THE RIGHT QUESTIONS.

THERE'S A LOT TO THIS, AND THAT'S JUST MY OPINION, JUST ONE VOTE ON THIS BOARD.

BUT I UNDERSTAND EVERYTHING HE'S TALKING ABOUT AND EVERYTHING, AND IT TAKES TIME FOR YOU TO UNDERSTAND.

AND I THINK THAT WE SHOULD DEFER IT TO THE NEXT MEETING AND COME UP BETTER.

[02:15:04]

AND WE'LL KNOW MUCH MORE ABOUT THIS.

I'M SORRY. I DIDN'T MEAN TO HURT YOU.

WE WERE FIRST LEARNING ABOUT SOLAR AND STUFF, AND WE SURE WANT TO BE A PART OF IT.

BUT THERE'S A LOT OF THINGS TO SOLAR THAT THAT ARE.

IT'S A LOT OF TRICKS AND STUFF THAT GOES ON, SO THAT'S MY OPINION.

I'LL MAKE THAT MOTION THAT WE..

HAVE A MOTION TO DEFER.

IS THERE A SECOND? YOUR SECOND.

MR. MUELLER. ANY QUESTIONS OR COMMENTS FROM THE BOARD? I'M GOING TO ASK ONE QUESTION JUST FROM THE STANDPOINT OF WHAT DO WE ANTICIPATE LEARNING DURING THIS TIME OF DEFERRAL? WHEN WE COME TO THE NEXT MEETING, WE'RE IN AUGUST, SEPTEMBER, OCTOBER WHAT? WHAT WILL WE LEARN THEN? CAN I JUST CLARIFY SOMETHING? I WOULD LOVE TO CLARIFY SOMETHING.

SO ONE ASPECT OF THE MISFILING IS ANY APPLICANT THAT FILES AN APPLICATION PRIOR TO THE BEGINNING OF OPERATIONS OR END OF CONSTRUCTION, WE REFER TO THAT AS A FRONT END CONTRACT. THEY ARE REQUIRED PER SECTION 503 OF ITEP RULE.

IT STATES IF THE APPLICANT FAILS TO TIMELY FILE A STATUS REPORT, THE BOARD MAY AFTER NOTICE THE APPLICANT TERMINATE THE CONTRACT, AND THESE ARE REQUIRED TO BE FILED BY DECEMBER 31ST OF EACH YEAR UNTIL THE PROJECT COMPLETION REPORT AND AFFIDAVIT OF FINAL COST ARE FILED.

SO THAT IS SOMETHING THAT COULD BE FILED AND RECEIVED PRIOR TO THE NEXT BOARD IF IT WAS DEFERRED.

BUT THE OTHER ITEM IS THE COMPANY DEFAULT IN THEIR EXHIBIT A AGREEMENT AND THAT ALLOWS THE COMPANY THAT IF THEY DO NOT COMMENCE OPERATION WITHIN A TWO YEAR PERIOD BEGINNING ON THE DATE IDENTIFIED IN SECTION 402A THE BOARD MAY TERMINATE OR OTHERWISE MODIFY THE EXEMPTION CONTRACT AS PROVIDED IN THE RULES.

IN THAT TWO YEAR PERIOD.

WHEN I DUG DEEPER IN FINDING OUT WHY THE COMPLIANCE WASN'T FILED, THAT HAD LAPSED IN 2021.

SO THOSE ARE THE THAT THAT IS NOTHING THAT MR. SCHMITT COULD PROVIDE AT THE NEXT BOARD MEETING, THE ANNUAL PRODUCT STATUS REPORTS YES, BUT THE FACT THAT THEY WERE IN DEFAULT DUE TO THAT COMMENCEMENT OF OPERATIONS ISN'T NOTHING. BUT THE BOARD'S RESPONSE TO THAT IS OUR DISCRETION.

YOUR DISCRETION TO TERMINATE OR OTHERWISE MODIFY THE EXEMPTION CONTRACT AS PROVIDED IN THE RULES.

YEAH, I KNOW YOU HAVE.

I KNOW YOU HAVE A MOTION SITTING OUT THERE.

THERE HAS NOT BEEN A VOTE TAKEN.

RIGHT. I'D LIKE TO SEE WHERE THE VOTE IS, BECAUSE PERSONALLY, I KNOW YOU HAVE A PROJECT IN MY BACK YARD.

I UNDERSTAND THAT AND I APPRECIATE THE SOLAR ASPECT.

BUT AT THE SAME TIME, YOU'VE HAD ALL THIS TIME TO HAVE THESE DOCUMENTS IN.

IF THIS PROJECT IS THAT IMPORTANT, YOU NEED TO BE ON TOP OF THAT.

I WOULD HAVE A MOTION FOR A ONE YEAR PENALTY.

BUT WE HAVE A MOTION CANCELLATION.

I KNOW YOU HAVE A PRESENT MOTION ON THE TABLE.

MR. CHAIRMAN, SO I DON'T KNOW HOW YOU WANT TO ADDRESS BOTH.

BUT FIRST OF ALL, LET'S, LET'S, LET'S, LET'S HAVE AN ACTION ON THE MOTION.

MR.. ON A POINT OF ORDER, I'LL JUST.

YOU WANT ACTION ON YOUR MOTION, RIGHT? ALL RIGHT. LET'S VOTE ON THE MOTION TO DEFER.

ALL IN FAVOR, SAY AYE.

I WOULD EXPECT THE MOTIONER TO MOVE.

I'LL TRY THAT ONE MORE TIME.

THERE WAS A MOTION AND A SECOND TO DEFER ANY ACTION.

ALL IN FAVOR, SAY AYE.

OKAY. MOTION FAILS FOR LACK OF A VOTE.

NOW WE HAVE A MOTION FROM MR. MOSS. WE HAVE A SECOND FOR ONE YEAR PENALTY.

ARE THERE ANY CONDITIONS TIED TO THAT? I MEAN, FROM THE PERSPECTIVE OF THEY'VE GOT TO GET EVERYTHING FILED.

THEY GOT TO. I WOULD YEAH.

I WOULD PUT THE CONDITION THAT EVERYTHING NEEDS TO BE BROUGHT UP TO OFFICE IMMEDIATELY.

I CAN'T SEE CONTINUALLY DELAYING SOMETHING THAT IF THIS IS IMPORTANT TO YOUR CONTRACTS AND THIS NEEDS TO BE DONE IMMEDIATELY AND I HOPE YOU UNDERSTAND MY POSITION, I'M NOT OPPOSED TO YOUR PROJECT.

I JUST THINK THAT. WE'RE USING TAXPAYER MONEY TO HAVE YOU PUT PROJECTS TO HELP THE ECONOMY.

THEN YOU NEED TO ABIDE BY OUR RULES.

WE HAVE A MOTION. IS THERE A SECOND? IF I COULD JUST SAY ONE THING.

JUST A SEC. JUST A SECOND.

YOU'LL HAVE AN OPPORTUNITY.

IS THERE A SECOND TO THE MOTION? SECOND. WE HAVE A SECOND FROM MR. NASSER. ANY COMMENTS OR QUESTIONS FROM THE BOARD, MR. BLOCK. I DO HAVE A QUESTION, AND I REALIZE YOU WANT TO MAKE A COMMENT, SO WE'LL CERTAINLY GIVE YOU THE OPPORTUNITY TO DO THAT.

BUT. THE MAIN THING I'M CURIOUS ABOUT IS WHEN DID YOU RECEIVE NOTICE THAT THAT LED WAS SEEKING TO TERMINATE THIS CONTRACT.

[02:20:01]

I BELIEVE THAT WAS THE JULY EMAIL THAT JULY 7TH OF 2022 OC AND SO I THINK THAT BRINGS US IN LINE WITH THE THE COMMENTS THAT HAVE BEEN MADE SO FAR IS THAT HERE WE ARE ALMOST AT THE END OF AUGUST AND HAS THERE BEEN SOME EFFORT TO TO TRY AND REACH OUT TO LED TO TO GET THESE DOCUMENTS IN? BECAUSE, I MEAN IT'S IT'S HARD TO UNDERSTAND HOW IF YOU WERE NOTIFIED THAT THERE WAS GOING TO BE AN EFFORT TO SEEK THIS BOARD'S APPROVAL TO CANCEL THE CONTRACT.

AND YET STILL, AS OF THIS MORNING, THERE'S BEEN NOTHING FILED WITH LED.

I SORT OF AGREE WITH THE CHAIRMAN.

I'M NOT SURE WHAT WHAT THE DIFFERENCE IS GOING TO BE BETWEEN NOW IN NEXT MONTH, WHEN YOU'VE KNOWN FOR TWO MONTHS THAT THAT THIS WAS A SIGNIFICANT PROBLEM.

SO IF YOU COULD JUST KIND OF WALK THROUGH WHAT WHAT IT'S GOING TO CHANGE GOING FORWARD AND WHAT IS IT THAT YOU INTEND TO DO? SO ABOUT 60 MINUTES AGO THEY WERE UPLOADED.

THE PRIMARY QUESTION THAT WE HAD WAS, IF THIS IS NOT YET BEEN PLACED IN SERVICE, WHAT WOULD THAT REPORT LOOK LIKE? IT WOULD JUST HAVE ZEROS BECAUSE IT HASN'T YET BEEN PLACED IN SERVICE.

SO THAT'S WHAT THE REPORTS SHOW NOW.

OUR INITIAL QUESTION WAS WHETHER WE NEEDED TO SUBMIT REPORTS PRIOR TO THE PROJECTS BEING PLACED IN SERVICE.

CAN I CLARIFY? THOSE REPORTS THAT WERE MISSING ARE REQUIRED PRIOR TO ANY CONSTRUCTION TAKING PLACE? SO IT COULD JUST SAY THAT NOTHING, NOTHING HAD BEEN DONE OR WHAT THE STATUS WAS.

WE'RE NOT LOOKING FOR THE JOB REPORTS BECAUSE THERE CAN'T BE JOB REPORTS UNTIL AFTER THE PROJECT IS COMPLETE.

THESE ARE STATUS REPORTS AND MISSING.

TO YOUR POINT. I'M SORRY, MATTHEW, ARE YOU.

OH, GO AHEAD. TO YOUR POINT, I THINK THIS IS ONE OF THE THINGS I'M STRUGGLING WITH A LITTLE BIT.

AND THE REASON I ASKED WHETHER YOU HAVE.

CAN THESE CAN THIS STUFF BE DONE WITHOUT A CONSULTANT? ABSOLUTELY. BUT WHAT I'M HEARING IS, IS A DISCONNECT OF OF UNDERSTANDING WHAT THESE REPORTS ARE.

ON YOUR PART BECAUSE YOU'RE OBVIOUSLY UNDER THE IMPRESSION THAT REPORTS AREN'T DUE UNTIL YOU YOU'RE UNDER CONSTRUCTION OR UNDER OPERATION.

WELL, NO, THAT'S NOT SO.

SO I THINK THAT AT THE VERY LEAST, YOU NEED TO HAVE SOMEBODY TASKED WITHIN YOUR ORGANIZATION TO FIGURING OUT WHAT THESE THERE'S A THERE'S THERE'S A REASON FOR THE RULE.

THE REASON WE REQUIRE THIS SORT OF STUFF.

WE'RE NOT WE'RE BELIEVE IT OR NOT, WE'RE NOT TRYING TO CREATE RED TAPE FOR YOU.

WE ARE TRYING TO UNDERSTAND SO THAT WE CAN RESPOND TO THE TAXPAYERS, THE STATE OF LOUISIANA, WHEN WE'RE ASKED, WELL, WHAT IS THE STATUS OF THOSE SOLAR FARMS? WE NEED TO BE ABLE TO RESPOND TO THOSE QUESTIONS.

AND AND THE INFORMATION IN OUR HANDS IS HELPFUL TO US FOR A LOT OF DIFFERENT REASONS.

SO I DON'T THINK IT'S TOO MUCH TO ASK FOR THESE KIND OF REPORTS TO BE FILED IN A TIMELY WAY.

AND I STRONGLY SUGGEST THAT YOU MAKE SURE THAT THE FOLKS IN YOUR ORGANIZATION ARE PROPERLY TASKED TO LEARNING HOW TO DO IT AND DO IT TIMELY.

I DON'T KNOW WHAT YOU'VE UPLOADED WITHIN THE LAST 60 MINUTES, BUT AGAIN, I WANT TO BE SURE THAT TO MR. BLOCK'S POINT THAT IF IF THIS MATTER IS DEFERRED RIGHT NOW, WE'VE GOT A MOTION TO DEFER THAT'S FAILED.

I'VE GOT A MOTION FOR A ONE YEAR PENALTY THAT HAS NO SECOND.

I'M NOT SURE WHAT THE BOARD IS GOING TO DO TODAY.

OH, WE DID HAVE A SECOND. OH, I'M SORRY.

I DID GET A SECOND FOR A ONE YEAR PENALTY.

ALL RIGHT. GOOD DEAL. BUT.

THE POINT OF ALL OF THIS IS EVEN WITH THE ONE YEAR PENALTY YOU NEED, YOU NEED TO UNDERSTAND THAT YOU SHOULD BE STRONGLY INCENTIVIZED, PARDON THE PUN, TO BE FILING THIS STUFF IN A TIMELY MANNER FOR A LOT OF DIFFERENT REASONS.

SO SO FORGIVE ME.

THANK YOU FOR KEEPING ME STRAIGHT, GUYS.

WE HAVE A MOTION A SECOND.

ANY OTHER COMMENTS OR QUESTIONS FROM THE BOARD? I WOULD LIKE TO GET LED'S THOUGHTS ON ON HOW THE ONE YEAR PENALTY WOULD WORK AND WHETHER OR NOT THAT'S ADVISABLE.

YES. MS.. TATUM WELL, INITIALLY CAME UP HERE BECAUSE THE OTHER ISSUE THAT WILL HAVE TO BE DEALT WITH AT SOME POINT IS THAT THEY DID NOT COMMENCE OPERATIONS TIMELY. SO NOW WE NEED TO FIGURE OUT WHEN THEY WILL COMMENCE OPERATIONS.

PERHAPS THEY COULD GO THROUGH THE AMENDMENT PROCESS FOR EXHIBIT A'S THAT WE HAVE PUT INTO PLACE AND THAT HAS BEEN IMPLEMENTED SUCCESSFULLY.

TO MR. BLOCK'S POINT, IF YOU.

[02:25:03]

WHAT WE DON'T KNOW IS WITH THIS DELAY IN THE PUSH BACK OF THE COMMENCEMENT OF OPERATIONS, WILL THAT BE A SITUATION THAT MIGHT REQUIRE A NEW ADVANCE AND A NEW APPLICATION? I JUST I DON'T I DON'T HAVE ENOUGH INFORMATION HERE TODAY, BUT WE CAN WORK WITH THE COMPANY TO FIGURE OUT IF IT IS AS SIMPLE AS AN AMENDMENT OR IS THIS A WHOLE NEW PROJECT? I MEAN, LINCOLN PARISH, NOTHING'S BEEN DONE YET.

MS.. BOURGEOIS, LET ME ASK YOU THIS QUESTION.

WOULD IT BE IN ORDER TO TRY TO THREAD ALL THOSE NEEDLES THAT YOU'VE JUST DESCRIBED, WOULD IT BE HELPFUL FOR THIS BOARD TO DEFER SO THAT WE CAN BRING IT BACK TO NEXT MEETING? AND HOPEFULLY BETWEEN NOW AND THEN, STAFF AND THE APPLICANT CAN GET THESE ISSUES AT LEAST UNDERSTANDING WHAT THE PATH FORWARD LOOKS LIKE.

WOULD THAT DO WE NEED TO DEFER FOR THAT? OR CAN WE GO AHEAD AND MOVE ON THIS MOTION FOR A ONE YEAR PENALTY? I THINK THAT'S AT THE PLEASURE OF THE BOARD.

I DON'T THINK THE. I THINK IF YOU IF WE DON'T MAKE YOUR LIFE, WE DON'T MAKE Y'ALL'S LIFE EASIER TRYING TO SOLVE THIS PROBLEM GOING FORWARD.

YOU DON'T HAVE ANY ISSUES ABOUT DEFERRING THE PENALTY? I DON'T THINK SO. OKAY.

BUT BUT, MR. SCHMITT, ONE THING I WOULD STRONGLY RECOMMEND, WHATEVER THE BOARD IS ABOUT TO DO, I WOULD STRONGLY RECOMMEND, AGAIN, WHOEVER IN YOUR IN YOUR SHOP IS TASKED WITH WITH THIS INCENTIVE PROGRAM THAT YOU GET WITH STAFF AS QUICKLY AS POSSIBLE.

BECAUSE THE ISSUES THAT MS. BOURGEOIS JUST RAISED ARE REAL SIGNIFICANT.

AND AND I THINK YOU UNDERSTAND INTUITIVELY WHAT THE IMPACT ON YOUR POTENTIAL FOR PROJECT FINANCING IF THESE IF YOU DO HAVE TO FILE A NEW ADVANCE NOTIFICATION. AND I DON'T AND I DON'T KNOW THE ANSWER TO THAT TODAY, BUT I THINK IT'S AN QUESTIONS THAT YOU NEED TO BE ABLE TO TO GET STRAIGHT IN YOUR OWN SHOP SO THAT YOU CAN KNOW WHAT THE PATH FORWARD IS FOR YOUR FOR YOUR FINAL INVESTMENT DECISIONS MOVING FORWARD.

OKAY. I HAD A QUESTION.

DR. WILSON? YES, SIR. IS THERE A NEW START DATE FOR THE PROJECT? BECAUSE THE APPLICATION DATE WAS 2018.

SO WHEN DO YOU ALL WANT TO START THE CONSTRUCTION OF THE PROJECT? SO CURRENTLY WE HAVE DEADLINES OF DECEMBER 31, 2023 FOR ALL THREE.

SO IN THE SOLAR INDUSTRY, WE SAY THE START DATES ALWAYS GET PUSHED BACK, BUT THE DATES STAY THE SAME.

RIGHT NOW WE HAVE A FEW INVESTORS AND FINANCING COMPANIES THAT ARE AWAITING THE RESULTS OF THIS MEETING FOR US TO BE ABLE TO MOVE FORWARD.

SO BETWEEN Q ONE AND Q TWO, ALL THREE WELL, PARDON ME.

CALCASIEU AND LINCOLN WILL START NEXT YEAR.

Q1 AND Q2, WE WILL BE REBUILDING THE LIVINGSTON PARISH PROJECT, WHICH ALMOST REACHED COMPLETION, AND THAT WILL START NEXT MONTH.

RIGHT. ONE MORE QUESTION.

SO IF THOSE INVESTMENT DECISIONS ARE BASED UPON THE OUTCOME OF THIS MEETING, I'M NOT SURE HOW THE OUTCOME OF THIS MEETING, NO MATTER WHAT ACTION WE TAKE, ARE GOING TO ALLOW YOUR INVESTORS TO MAKE THOSE DECISIONS BECAUSE.

FROM WHAT LED IS SAYING YOU HAVE OTHER ISSUES OTHER THAN THE THE NONCOMPLIANCE ISSUES WITH THE CONTRACT MAINLY THE START DATE.

SO I'M NOT SURE.

I'M NOT SURE THAT WE'RE NOT GOING TO BE BACK HERE AGAIN ON THOSE SAME ISSUES WITH YOU BEING SAYING THAT THAT YOU STILL DON'T HAVE RESOLUTION.

YOU UNDERSTAND WHAT THE CONCERN ABOUT THAT? I DO. SO I THINK ONE OF THE QUESTIONS WAS, YOU KNOW, HAVE THESE PROJECTS CHANGED? THE PROJECTS HAVE NOT CHANGED.

IF WE HAVE TO AMEND THE START DATE, IF THAT'S THE PRIMARY ISSUE.

IF I'M UNDERSTANDING THAT CORRECTLY.

I THINK THE PROBLEM IS YOU I'M IDENTIFYING THE PROBLEM IS I THINK HUD IT IS THAT THERE WAS A TWO YEAR GRACE PERIOD IN WHICH TO START AND YOU MISSED IT.

I THINK START IS BEING USED INTERCHANGEABLY HERE.

COMMENCEMENT OF OPERATIONS MEANS THEIR PROJECT IS COMPLETE.

THEY'RE BEGINNING. THAT'S A GOOD POINT.

IT'S NOT STARTING CONSTRUCTION OPERATIONS FULLY COMPLETED.

SO I THINK THE POINT THAT'S BEING RAISED BY MS. BOURGEOIS IS THAT BECAUSE YOU'VE MISSED THE TWO YEAR GRACE PERIOD, THERE'S NO WAY OR I SHOULDN'T BE THAT DOGMATIC, BUT IT APPEARS TO BE VERY PROBLEMATIC.

HOW DO YOU PROCEED UNDER THESE CONTRACTS? WHEN YOU'VE ALREADY WHEN THE GRACE PERIOD HAS ALREADY EXPIRED, AND FOR YOU TO NOT COMMENCE CONSTRUCTION, BUT TO COMMENCE OPERATIONS, MR.

[02:30:07]

AND THEN DUE TO STORM DAMAGE AND IS NOW INVOLVED WITH INSURANCE PROCEEDS, CONVERSATIONS AND THINGS THAT ARE REQUIRED TO GET BACK UNDERWAY. SO AS WE TALK ABOUT DELAYS IN MEETING TIMELINES, THERE MAY BE THREE DIFFERENT VARIETIES OF PROJECTS THAT WE HAVE IN FRONT OF US.

AND I GUESS THAT'S THE POINT I'M MAKING IS, IS THAT IF IF YOU ARE WAITING TO BE ABLE TO MAKE DECISIONS AND YOUR INVESTORS ARE ARE MAKING DECISIONS BASED ON THE OUTCOME OF THIS MEETING, I TAKE IT, MS. BOURGEOIS, ANY AMENDMENTS WOULD NEED TO COME BACK BEFORE THIS BOARD FOR APPROVAL.

I MEAN, I WOULD REQUEST THAT THAT THE STAFF HAS TIME TO BE THOUGHTFUL ABOUT WHAT AN AMENDMENT WOULD BE REQUESTED AND COME BACK TO THE BOARD WITH.

YOU KNOW, I WOULDN'T WANT TO DO THAT.

SO SO THE POINT IS, NO MATTER WHAT DECISION THIS BOARD MAKES TODAY, YOU'RE NOT GOING TO RECEIVE THE FINALITY OF WHETHER OR NOT, WHETHER IT'S MINUS ONE YEAR OR NOT TO GO FORWARD.

AND MR. BLOCK, I THINK I THINK WHAT WHAT WILL HAPPEN.

WHAT I HOPE WILL HAPPEN IS THAT MR. SCHMIDT WILL BE ABLE TO TAKE TO HIS INVESTORS A SENSE OF URGENCY THAT THEY WORK OUT, GET THE LED ISSUES RESOLVED AS QUICKLY AS POSSIBLE, BECAUSE UNTIL THEY DO THAT, THEY MAY HAVE A HARD TIME MAKING A FINAL INVESTMENT DECISION.

AND SO I, IF NOTHING ELSE, I THINK WE'VE CREATED A WHAT I HOPE IS A SENSE OF URGENCY AS TO GET THESE ISSUES WRANGLED AND FIGURE OUT WHAT THE PATH FORWARD IS.

I DON'T SEE ANY REASON WE CANNOT PROCEED WITH THE VOTE ON THE MOTION AS PRESENTLY STATED.

BUT I DO BELIEVE JUST SO THAT THE BOARD TO MANAGE EXPECTATIONS ON EVERYONE'S PART, THAT THIS IS NOT THE LAST WE HAVE SEEN OF THESE PROJECTS BEFORE. MR. MCKNIGHT.

BEFORE WE MOVE FORWARD, LET ME ASK ONE QUESTION IS, IF WE DID DEFER THIS AND LUMPED ALL OF THIS TOGETHER, COULD THIS BE RESOLVED ALL AT ONE TIME WITH THE OTHER DATES, AMENDMENTS AND STUFF? AND THAT WAY YOU HAVE A FINAL PICTURE OF WHAT YOU'RE ACTUALLY APPROVING AT THE END OF THE DAY, OR IS THIS SOMETHING THAT WE MUST DO IN TWO STEPS NOW? NO, IT CAN BE DONE ANY WAY THE BOARD WANTS TO DO IT.

IT'S JUST. THERE'S NO THERE'S NO REASON IT CAN'T BE HANDLED.

I GUESS THE POINT IS, IS THIS DOESN'T MOVE HIM FORWARD ANY WITH HIS INVESTORS AS FAR AS THE FINALITY OF WHETHER YOU'RE GOING TO BE YOU'RE GOING TO BE IN THE PROGRAM OR NOT WITH THIS OTHER ISSUE HANGING OUT THERE.

AND SO IF WE WANT TO TAKE ONE VOTE MOVING FORWARD TO KNOW WHAT REALLY THE OUTCOME OF THIS IS, YOU KIND OF LUMP THEM TOGETHER AND GIVE THE GIVE EVERYBODY TIME BETWEEN NOW AND THE NEXT MEETING TO TO PUT THAT TOGETHER AS ONE ONE ISSUE AND ONE MOTION.

MY ONLY THOUGHT ON THAT IS, IF WE WERE TO VOTE TO TO PENALIZE TO TO TO IMPOSE A ONE YEAR PENALTY.

THAT IS SOMETHING FINAL.

THAT IS SOMETHING THAT EVEN IF WHATEVER WHATEVER MOVES FORWARD, I MEAN, IF WE HAD TO DO IT, LET ME RETHINK THAT FOR A MINUTE.

IF WE HAD TO MOVE TO A NEW CONTRACT, A ONE YEAR PENALTY WOULD BE MOOT, WOULDN'T IT? THAT'S AND THAT'S KIND OF MY POINT IS, IS THAT IF THE PROJECT DOESN'T MOVE FORWARD, IF WE VOTE A ONE YEAR PENALTY AND THERE'S A NEW CONTRACT, THAT ONE YEAR PENALTY WOULDN'T APPLY TO THE NEW CONTRACT. I THINK THOSE ARE TWO SEPARATE AGENDA ITEMS BECAUSE YOU STILL HAVE THE CANCELLATION FOR FAILURE TO PROVIDE THE REPORTS.

I THINK THAT WOULD NEED TO BE DISPOSED OF.

I MEAN, THAT'S WHAT THAT'S WHAT WE'RE THAT'S WHAT WE'RE HERE TO DO.

THAT'S WHAT WE'RE HERE TO DO TODAY, IS TO RESOLVE THE CANCELLATION.

AND I THINK WHAT THE WHAT THE SENSE OF THE MOTION PENDING BEFORE THE BOARD RIGHT NOW IS TO IS TO NOT CANCEL IT, BUT IMPOSE A ONE YEAR PENALTY. BUT WHAT I'M WHAT I'M WHAT I'M ASKING IS, IS IF YOU IF AFTER THIS MEETING IS OVER, YOU ALL GET AROUND A TABLE AND DECIDE, YOU KNOW, UNDER THE CIRCUMSTANCES, YOU CAN'T PROCEED UNDER THE EXISTING CONTRACT BECAUSE YOU DIDN'T START COMMENCE OPERATIONS WITHIN THE TWO YEAR PERIOD.

THEREFORE, THERE HAS TO BE A BRAND NEW ADVANCED NOTIFICATION AND THEY HAVE TO START ALL THIS PROCESS OVER AGAIN.

WELL, WE VOTED A ONE YEAR PENALTY ON A CONTRACT THAT IT WOULD JUST COME BACK FOR A CANCELLATION AT THAT POINT.

[02:35:08]

RIGHT. SORRY, GUYS.

I'M SLOWER THAN Y'ALL. ALL IT TAKES.

[INAUDIBLE] IF THE APPLICATION IS CANCELED, THEY CAN REAPPLY.

YEAH, THEY CAN. THEY CAN. BUT MY POINT IS, IS THAT IF WE CAN VOTE ON A PENALTY, BUT IT MAY BE IRRELEVANT.

SO I'M JUST TRYING TO PUT A SENSE OF URGENCY ON IT.

THAT'S WHY. YEAH.

MR. HAVARD. YES.

I'LL BE THE BAD GUY HERE.

I'LL MAKE A MOTION OR MAYBE A SUBSTITUTE MOTION.

THAT WE CANCEL THE CONTRACT.

TAKE THE LED'S RECOMMENDATIONS.

THAT WE CANCEL THE CONTRACT SINCE THEY DIDN'T MEET ANY OF THE REQUIREMENTS.

WHOA, WHOA, WHOA, WHOA, WHOA.

OKAY. MY FIRST MOTION WAS A ONE YEAR PENALTY.

THAT WAS YOUR MOTION? WHO WAS MY SECOND BUT MY SECOND OR MR. NASSAR? SO WOULD YOU ALL ACCEPT MR. HAVARD'S MOTION AS A SUBSTITUTE MOTION? BUT WOULD YOUR MOTION BE CANCEL THE CONTRACT? THEY CAN START OVER POSSIBLY.

WELL, I UNDERSTAND THE START OVER, BUT I'M I THINK HE'S I THINK HE'S WANTING TO PROCEED FORWARD.

SO I JUST WANTED TO PUT THAT SENSE OF URGENCY UNDER HIM FOR THE ONE YEAR PENALTY.

I REALLY UNDERSTAND YOUR POINT, BUT I'M REALLY NOT IN THAT PHASE TO GO.

I'M JUST WANT TO CANCEL IT.

PAM OKAY.

SO YOU WILL NOT ACCEPT IT AS I'M SORRY.

ALL RIGHT. SO WHAT WE NEED TO DO, WE'RE GOING TO WHERE THE CHAIR'S GOING RIGHT NOW IS WE'RE GOING TO NEED TO VOTE ON THE MOTION, ORIGINAL MOTION FOR A ONE YEAR PENALTY.

WE CAN VOTE IT UP OR DOWN AND THEN MOVE ON.

MR. PIERSON, HAVE SOMETHING TO SAY? WELL, YOU SHOULD BE KNOWLEDGEABLE THAT CONSTRUCTION HAS BEEN COMPLETED OUT THERE ON CONTRACT NUMBER 20180355. AND SO IF THEY WERE TO BE CHUTES AND LADDERS, GO BACK AND START AT THE BEGINNING.

THEY WON'T BE ABLE TO TAKE TAX RELIEF ON EXISTING CONSTRUCTION.

I WOULDN'T THINK SO.

AGAIN, DOING THIS IN GLOBO AS IS A BIT PROBLEMATIC THAT DOES REQUIRE SINCE IT'S REPLACEMENTS TO OR.

EXISTING ASSETS, IT WOULD QUALIFY FOR ANOTHER ADVANCE SINCE ITS REPLACEMENTS DUE TO A QUALIFIED DISASTER AS STATED IN THE RULES.

OKAY, GUYS, I'M GOING TO I DON'T DO THIS VERY OFTEN, I DON'T THINK.

BUT I'M GOING TO ASK, I'M GOING TO ASK THE BOARD TO DEFEAT THE MOTION.

AND WE GO BACK INTO DEFER BECAUSE THIS THING HAS SO MANY MOVING PARTS TO IT THAT SOLVING THAT IN THIS COMMITTEE IS GOING TO BE PROBLEMATIC. SO I'LL MAKE IT SIMPLE FOR YOU, MR. CHAIRMAN. I'LL WITHDRAW MY MOTION.

MR. NASSER. AND WE'LL GO BACK TO THAT SIDE AND LET THEM GO.

ALL RIGHT, I'M GOING TO I'M GOING TO GO BACK TO MR. ST BLANC'S MOTION.

YOU WANT TO MAKE YOUR MOTION TO DEFER AGAIN? OKAY, WE GOT THE MOTION TO DEFER.

DO WE HAVE A SECOND? WE HAVE A SECOND FROM MR. MOSS. AND ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY OTHER COMMENTS FROM THE PUBLIC? MR. SCHMIDT, MY STRONG ADVICE TO YOU AS YOU GET WITH THE BECAUSE YOU ALL REALLY DO NEED TO TO THINK ABOUT GET TOGETHER WITH YOUR YOUR ADVISERS AND THINK THROUGH THE PATH FORWARD. BECAUSE I KNOW YOU MAY FEEL LIKE WE'RE COMING DOWN HARD ON YOU.

THE REASON THE REASON FOR MY FRUSTRATION IS THE LACK OF SENSE OF URGENCY THAT I SENSE.

AND I MAY BE WRONG ABOUT THAT.

AND IF SO, I APOLOGIZE.

BUT I BUT I HOPE IF WHATEVER WE'VE DONE TODAY, WE'VE CREATED THAT SENSE OF URGENCY FOR YOU TO GET THIS THESE ISSUES RESOLVED MOVING FORWARD.

THAT WORK. ALL RIGHT.

THERE'S A SENSE OF A SENSE OF URGENCY.

YES, SIR. VERY GOOD.

ALL RIGHT. ALL IN FAVOR OF THE MOTION TO DEFER SAY AYE AYE.

ANY OPPOSED.

THERE BEING NONE, THE MOTION CARRIES.

THANK YOU, SIR. THANK YOU.

GOOD. I'LL GET, Y'ALL GET THAT, AND LET'S FIGURE OUT HOW TO HOW TO MOVE FORWARD.

ALL RIGHT, GUYS. I THINK WE'RE AT THE END OF THE AGENDA.

[9. Secretary Remarks – Secretary Don Pierson]

I KNOW WE'VE HELD YOU LATE TODAY, SO I'LL TRY TO MOVE THROUGH THIS QUICKLY, BUT ACKNOWLEDGE THE SUPPORT OF THE BOARD, AS THE CHAIRMAN POINTED OUT, OF $4.7 BILLION IN MANUFACTURING OPERATIONS ACROSS 12 PARISHES, AS I SEE IT IN LOUISIANA, NOTABLY CF INDUSTRIES.

AND THERE ARE $200 MILLION COMMITMENT FOR BLUE AMMONIA MOVES OUR REDUCTION OF GREENHOUSE GAS AND ENERGY PIVOT FORWARD.

ALSO NOTABLE IS BASF'S FINAL INVESTMENT DECISION AROUND A $780 MILLION INVESTMENT AT GEISMAR WITH THE RETENTION OF

[02:40:03]

PLEASED TO REPORT WHAT WE CALL SUPER BOWL TROPHY NUMBER 13 FOR FAST START RECOGNIZED NATIONALLY AS BEST PRACTICES IN WORKFORCE DEVELOPMENT.

CALL YOUR ATTENTION WITH GREAT PRIDE TO WATCH ON MONDAY, SOMEWHERE AROUND 7:30 TO 8:30 EASTERN TIME, THE LAUNCH OF NASA'S ARTEMIS BASE, WHICH IS BOEING'S SPACE LAUNCH SYSTEM WITH LOCKHEED MARTIN'S ORION SPACE CAPSULE ON THE TOP.

IT SHOULD HAVE THAT CERTIFICATION ON THE SIDE THAT SAYS A CAJUN CERTIFIED BECAUSE BUILT IN LOUISIANA.

SO A TREMENDOUS NATIONAL ATTENTION ALL EYES WILL BE ON ON MONDAY ON A PRODUCT AND ADVANCED MANUFACTURING MADE HERE IN LOUISIANA APPRECIATIVE OF THE LOUISIANA COMPETES REGIONAL ECONOMIC DEVELOPMENT PROGRAM THAT WAS ESTABLISHED IN THIS LEGISLATIVE SESSION THAT WILL PROVIDE $8 MILLION ACROSS THE STATE, A MILLION PER REGION TO DO ENHANCEMENT TO SOME OF OUR SITES THAT ARE AVAILABLE OUT THERE.

SO WE'RE MOVING FORWARD WITH THE ESTABLISHMENT OF RULES TO GOVERN THAT PROGRAM AND ALSO A REVIEW OF SITES WHERE WE SEE SOME GREAT INVESTMENTS CAN BE MADE FOR QUICK FIXES AND CONTINUE TO IMPROVE OUR PRODUCT THAT'S READY AND AVAILABLE FOR NEW INVESTMENTS COMING.

ROBUST EFFORTS CONTINUE AROUND RURAL REVITALIZATION AND SMALL BUSINESS SUPPORT.

WE'RE AS LED ON THE ROAD WITH COLLEAGUES HERE ACROSS THE STATE WITH RURAL ROADSHOWS OVER THE NEXT FOUR WEEKS, THE FIRST ONE COMMENCING TODAY AND ALSO WILL BE THE PENDING AWARD FROM THE US TREASURY FOR OUR STATE SMALL BUSINESS CREDIT INITIATIVE, WHICH WE THINK WILL BE NORTH OF $100 MILLION, COMING TO ESTABLISH REINVESTMENT IN VENTURE CAPITAL AND SOME NEW PROGRAMS SUCH AS MICRO-LENDING TO HELP DISADVANTAGE BUSINESSES THAT HAVE NOT HAD ACCESS TO CAPITAL IN THE PAST.

BE ABLE TO SECURE THAT.

SO WE'RE BUSY, APPRECIATIVE OF THE WORK THAT THIS BOARD DOES AND YOUR TIME AND ATTENTION TODAY.

THANK YOU, MR. PIERSON.

ANYTHING ELSE? FOR THE GOOD OF THE ORDER? WE RECOGNIZE THE MOTION TO ADJOURN.

GOT A MOTION. A SECOND, MR. MOLLER. ALL IN FAVOR SAY AYE.

AYE.

WE WILL SEE YOU IN OCTOBER.

* This transcript was compiled from uncorrected Closed Captioning.