[00:00:08]
[1. Call to Order – Jerald Jones, Chairman]
IT'S GOOD TO SEE EVERYONE THIS MORNING AT THE FIRST MEETING OF 2024 FOR THE BOARD OF COMMERCE AND INDUSTRY.FOR THOSE OF YOU WHO ATTEND THESE MEETINGS, THE PEOPLE UP HERE, THERE'S A LOT OF NEW FACES, AND THAT'S EXCITING FOR ALL OF US BECAUSE WE ALL GET TO FIGURE OUT HOW TO DANCE THIS DANCE TOGETHER.
IT'S GOOD TO HAVE YOU HERE THIS MORNING.
I'M GOING TO CALL THE MEETING TO ORDER.
I WANT TO ESPECIALLY RECOGNIZE THE NEW MEMBERS OF THE BOARD.
I'M GOING TO APOLOGIZE IN ADVANCE BECAUSE AS I TRY TO WORK THROUGH THE AGENDA OVER THE COURSE OF THE NEXT FEW MONTHS, I'LL LEARN EACH OF YOUR NAMES AND FACES.
TODAY, I'M GOING TO BE REAL BAD AT IT.
I'M GOING TO APOLOGIZE IN ADVANCE, BUT PLEASE BE PATIENT WITH ME.
IF YOU HAVE ANY QUESTIONS OR IF YOU HAVE A POINT YOU WANT TO MAKE, JUST RAISE YOUR HAND, LET ME KNOW, AND WE'LL GET THAT DONE.
I KNOW A COUPLE OF YOU HAVE TALKED TO ME ABOUT NEEDING TO RECUSE YOURSELF FROM CERTAIN ITEMS. WHEN WE GET TO THAT ITEM, JUST RAISE YOUR HAND AND LET ME KNOW AND WE'LL MAKE SURE THAT GOES ON THE RECORD.
I ALSO WANT TO INTRODUCE, IF EVERYBODY HASN'T MET HER, OUR NEW SECRETARY OF LED, SUSAN BOURGEOIS.
WE'RE EXCITED TO HAVE HER SITTING ON THE BOARD WITH US.
THEN THE GOVERNOR'S REPRESENTATIVE, MR. KYLE RUCKERT.
IT'S GREAT TO HAVE HIM HERE AS WELL.
THEY'RE NOT ANY MORE IMPORTANT THAN THE REST OF THE BOARD MEMBERS.
BUT WE HAVE A LOT OF WORK TO DO.
THE FEBRUARY MEETING WAS POSTPONED OR ACTUALLY DID NOT HAPPEN DUE TO LACK OF QUORUM, AND WE'VE MADE UP FOR IT IN SPADES TODAY.
I'M EXCITED TO HAVE EVERYBODY HERE TODAY.
WITH THAT, THE MEETING IS CALLED TO ORDER.
LET'S CALL THE ROLL SO WE MAKE SURE WE HAVE A QUORUM.
>> GOOD MORNING, EVERYONE. STUART MOSS.
REPRESENTATIVE DARYL DESHOTEL.
>> HERE. I'M SORRY IF I MISPRONOUNCE YOUR NAME.
REPRESENTATIVE JULIE EMERSON. MICHAEL TANNER.
>> THANK YOU, MA'AM. FOR THE BOARD MEMBERS, YOU HAVE RECEIVED A COPY OF THE MINUTES FROM THE DECEMBER 6, 2024 MEETING.
[3. Approval of Minutes from December 6, 2023 meeting]
ARE THERE ANY OBJECTIONS TO ADOPTING THOSE MINUTES? HEARING NO OBJECTIONS, ALL IN FAVOR SAY AYE.>> ANY OPPOSED? THERE BEING NONE, THE MOTION CARRIES.
THAT WILL MOVE US TO THE QUALITY JOBS PROGRAM.
[4. Quality Jobs Program – Michaela Adegbe]
MS. ADEGBE, WOULD YOU WALK US THROUGH THAT, PLEASE, MA'AM.>> THERE ARE NINE NEW APPLICATIONS.
20210454, 1,4GROUP, INC, ASCENSION PARISH.
20210507, ALLIANCE COMPRESSORS, LLC, NATCHITOCHES PARISH.
20220090, C-DIVE, LLC, TERREBONNE PARISH.
20210633, GOEX INDUSTRIES, LLC, WEBSTER PARISH.
20210388, HAYNES INTERNATIONAL, INC, BIENVILLE PARISH.
20210573, LOUISIANA SPIRITS, LLC, JEFFERSON DAVIS PARISH.
20220181, NEW STAR EQUIPMENT LLC, LAFAYETTE PARISH.
20210458, PCS NITROGEN FERTILIZER LP, ASCENSION PARISH.
20210612, SOUTHLAND STEEL FABRICATION, INC, ST. HELENA PARISH.
>> THANK YOU, MA'AM. AGAIN, FOR THE BENEFIT OF THE BOARD, OUR PRACTICE IS TO HANDLE THESE IN GLOBO AND ACTUALLY HAVE ONE MOTION TO APPROVE OR DISAPPROVE ALL.
IF THERE ARE ANY THAT YOU WANT TO PULL OUT AND HANDLE INDIVIDUALLY, WE CAN CERTAINLY DO THAT.
JUST LET ME KNOW THAT YOU WANT TO DO THAT.
WITH THAT, I WILL ENTERTAIN A MOTION ON THESE. YES, SIR.
[00:05:04]
>> RECUSAL IN THE MATTER 20210633, 20210458, 20210612.
>> WERE YOU ABLE TO PICK THAT UP? OUR GOAL, MAKE SURE THAT OUR STENOGRAPHER WAS ABLE TO GET THAT.
WILL BE RECUSING HIMSELF FROM THREE MATTERS. GO AHEAD, KYLE.
>> 20210633, 20210458, AND 20210612.
>> HE WILL BE RECUSING HIMSELF, MEANING HE WILL NOT PARTICIPATE IN ANY DELIBERATIONS OR THE VOTE ON THOSE MATTERS.
ANYTHING ELSE BEFORE WE ENTERTAIN A MOTION? IS THERE A MOTION ON THESE MATTERS? MOTION FROM MR. SIMIEN, SECOND FROM MR. MOSS TO APPROVE.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSED? THERE IS NONE.
>> THERE ARE FOUR RENEWAL APPLICATIONS.
20180061, ALIGN TECHNOLOGIES CORP, ORLEANS PARISH.
20170421, AMERICAN SUGAR REFINING, INC, ST. BERNARD PARISH.
20190024, REDGUARD, LLC, IBERIA PARISH.
20180261, SHINTECH LOUISIANA, LLC, IBERVILLE PARISH.
>> WE HAVE ANY MOTIONS ON THIS? MOTION FROM MR. NASSER TO APPROVE, SECOND FROM MR. MOSS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE.
I'M SORRY. WE WILL LEARN THAT WE ALL WILL ENVY MR. POLOZOLA'S CLIENT LIST AS WE WORK THROUGH THE AGENDA TODAY.
MR. POLOZOLA, YOU HAVE A RECUSAL?
>> SHINTECH. I'M SORRY. FORGIVE ME.
WITH THAT RECUSAL, WE HAVE A MOTION AND SECOND TO APPROVE.
ANY COMMENTS OR QUESTIONS FROM THE BOARD? THERE BEING NO OTHERS, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES. YES, MA'AM.
20170637, EMPIRICAL SOLUTIONS, LLC, ST. TAMMANY PARISH.
CONTRACT EFFECTIVE DATE 1/6/2018.
INITIAL CONTRACT EXPIRATION 1/5/2023.
LATE RENEWAL REQUEST DATE 12/15/2023.
>> FOR THE BENEFIT OF THE BOARD AND THE PUBLIC, ANYTIME WE HAVE LATE RENEWALS, THERE ARE PENALTY OPPORTUNITIES FOR THE BOARD TO IMPOSE.
THE IDEA BEING THAT THESE ARE IMPORTANT BENEFITS, THE COMPANY SHOULD VALUE THESE BENEFITS, AND WHEN RENEWAL TIME COMES, THEY SHOULD BE SUBMITTING THEM IN A TIMELY FASHION.
IN SOME OF THESE PROGRAMS, THOSE PENALTIES ARE SET FORTH BY THE RULES, AND SOME, THEY ARE NOT.
THE QUALITY JOBS PROGRAM, THEY ARE NOT SET BY RULE.
THEY ARE PURELY OPTIONAL FOR THE BOARD.
YOU WILL SEE IN YOUR AGENDA UNDER OPTIONS OF THE BOARD, YOU CAN APPROVE THE FIVE YEAR RENEWAL WITHOUT PENALTY, YOU CAN APPROVE WITH A PENALTY, OR YOU CAN DENY THE REQUEST FOR RENEWAL ALTOGETHER.
NOT THAT IT MATTERS NECESSARILY, BUT THE CUSTOM OF THE BOARD HAS BEEN THAT FOR EVERY YEAR OR PORTION OF A YEAR THAT THE RENEWAL APPLICATION IS LATE, THERE IS A ONE-YEAR PENALTY FOR THE BENEFIT.
BUT THAT IS ENTIRELY UP TO THIS BOARD ON HOW YOU WANT TO MOVE FORWARD.
DO I HAVE A MOTION? MR. SIMIEN. PULL YOUR MIC DOWN, PLEASE, SIR.
>> GIVEN THE DATE THAT THEY ACTUALLY RENEWED, I MOVE FOR RENEWAL WITHOUT PENALTY.
>> WE HAVE A MOTION TO APPROVE WITHOUT PENALTY.
>> I HAVE A SECOND FROM MR. MOSS.
>> WAS THERE A REASON STATED FOR WHY THEY'RE FILING SO LATE FOR IT?
>> IT'S A FAIR QUESTION. DO WE HAVE A REPRESENTATIVE HERE FROM EMPIRICAL SOLUTIONS? HAVE A SEAT RIGHT HERE, PLEASE.
YOU'LL PULL THE MICROPHONE TO YOU SO THAT THE STENOGRAPHER CAN PICK UP.
YOU'LL STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.
[00:10:01]
>> GOOD MORNING, MATTHEW SACHS, PRESIDENT AND OWNER OF EMPIRICAL SOLUTIONS AND PAM FLUKE RVP OF FINANCE.
>> GREAT. THANK YOU. OBVIOUSLY, WE HAVE A LATE RENEWAL, ALMOST A YEAR LATE, BUT WHAT IS THE BASIS? WHAT WAS THE REASON FOR THE LATENESS?
>> GOOD REASON. SIMPLY DIDN'T SEE IN A CONTRACT, ANY KIND OF RENEWAL OF TERMS. HAD OUR HEAD DOWN, HAVE BEEN BLESSED BY THE QUALITY JOBS PROGRAM WITH GREAT HIRING RESULTS, AND THERE WAS NO TRIGGER. IT WEREN'T ALERTED.
IT ALSO COMES AT A TIME OF YEAR WHEN WE'RE IN TAX AUDIT AND ALL THAT IN THE FIRST QUARTERS OF THE YEAR.
IT SIMPLY FLEW UNDER THE RADAR AND WE MISSED IT.
>> YOU SAID IT WAS A REAL SUCCESS TO YOUR BUSINESS, CAN YOU TALK A LITTLE BIT ABOUT WHAT THE JOBS YOU CREATED?
>> CERTAINLY CAN. 2017 WAS A BASELINE YEAR, SO IN 2018, FIRST YEAR WE STARTED COUNTING THE NET NEW HIRES.
FROM THAT BASELINE OF OVER 10 MILLION IN PAYROLL, WE'VE ADDED ANOTHER 13.6 MILLION IN PAYROLL OF NET NEW JOBS THAT QUALIFIED.
FROM 2018 THROUGH 22, 18, 27, 32, 47, AND 85 NET NEW HIRES, EACH OF THOSE SUCCESSIVE YEARS, SO 209 TOTAL NEW HIRE.
>> THAT PAYROLL AMOUNT WAS WHAT?
>> THE ADDITIONAL PAYROLL OVER 13 MILLION.
THAT DOES INCLUDE ANOTHER FOUR MILLION IN ADDITIONAL BASELINE PAYROLL.
THAT'S NOT PART OF THE NET NEW AS WE REPLACE PEOPLE THAT FELL OFF THE BASELINE WITH HIGHER WAGES, FOR EXAMPLE.
>> ANY OTHER COMMENTS OR QUESTIONS FROM THE BOARD? SECRETARY?
>> I WOULD JUST LIKE TO ADDRESS, MOVING FORWARD, OUR DEPARTMENT IS GOING TO PAY MUCH CLOSER ATTENTION TO THAT ON YOUR BEHALF AS WELL.
ULTIMATELY, IT IS YOUR RESPONSIBILITY, CLEARLY.
NOT SURE WHAT THE PROCESS FOR THE LAST EIGHT YEARS HAS BEEN, BUT MOVING FORWARD, WE'LL MAKE SURE THAT AT LEAST AN EMAIL OR SOME TYPE OF TRIGGER GOES OUT, SO OVERSIGHTS WILL BE LESS LIKELY.
>> JUST TO BE FULL FULL TRANSPARENCY, ONE REASON THAT THE BOARD STARTED ADOPTING PENALTIES IS BECAUSE IT WAS AT LEAST THE BOARD'S IMPRESSION THAT THE COMPANIES DIDN'T SEE ANY REAL NEED TO MEET BECAUSE THERE WERE NO PENALTIES FOR LATE RENEWAL, AND SO IT BECAME A BOOKKEEPING DIFFICULTY FOR US.
THE LOGIC OF THE BOARD AT THE TIME WAS WHY ARE WE PUTTING MORE EMPHASIS ON THE STAFF WHEN IN FACT, THESE PROGRAMS ARE VALUABLE AND YOU ALL NEED TO BE VALUING THEM AS MUCH AS WE DO.
I APPRECIATE I THINK YOU'VE GOT A GREAT STORY TO TELL.
OBVIOUSLY, THE COMPANY HAS BEEN SUCCESSFUL, AND WE CONGRATULATE YOU FOR THAT.
RIGHT NOW, WE HAVE A MOTION AND A SECOND TO APPROVE THE RENEWAL WITHOUT PENALTY, IS THERE ANY FURTHER DISCUSSION OR QUESTIONS? ANY OTHER COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR SAY AYE.
>> IS THERE ANY OPPOSITION? HEARING NONE, THE MOTION CARRIES.
>> THANK YOU FOR YOUR CONTRIBUTIONS TO THE STATE.
>> THERE ARE TWO CHANGE OF PROJECT PHYSICAL LOCATIONS, 2020-0423 AQUEOUS CORPORATION.
PREVIOUS ADDRESS 231 HIGHWAY 96, BROSSARD, LOUISIANA, 70518, PREVIOUS PARISH LAFAYETTE.
NEW ADDRESS 1186 PETROLEUM PARKWAY BROSSARD LOUISIANA 70518, LAFAYETTE PARISH, 2014-0927 SENTINE MANAGEMENT COMPANY, LLC, 2000 COVINGTON CENTER, COVINGTON, LOUISIANA, 70433, ST. TAMMANY PARISH, NEW ADDRESS, 144 NEW CAMELLIA BILL BOULEVARD, COVINGTON, LOUISIANA, 70433 ST. TAMMANY PARISH.
>> MISS DAGB CORRECT ME IF I OVERLY SIMPLIFY THIS, BUT FOR THE BOARD'S EDIFICATION, THIS IS SIMPLY AN ATTEMPT TO CHANGE THE MAILING ADDRESS AND THE NOTICE ADDRESS FOR THE COMPANY.
IT'S FOR ALL INTENTS AND PURPOSES OF BOOKKEEPING AND ADMINISTRATIVE ISSUE.
IS THAT REASONABLY CORRECT, MISS DAGB?
>> THIS IS THEIR PROJECT SITE, SO THEY MOVE THEIR OPERATIONS FROM ONE LOCATION TO ANOTHER LOCATION BUT OPERATIONS ARE STILL THE SAME.
>> MORE THAN MAILING ADDRESS CHANGE THEN?
>> SEE, IT TAKES A VILLAGE TO RAISE THIS CHAIRMAN.
I'VE BEEN DOING THIS A FEW TIMES, SO THANK YOU FOR THE CORRECTION, BUT THANK YOU FOR THE EXPLANATION AS WELL, MISS DAGB.
DO WE HAVE A MOTION TO APPROVE THESE CHANGES? WE HAVE A MOTION FROM MR. NASSER.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? THERE BEING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.
[00:15:01]
>> THERE ARE FOUR FULL TRANSFER OF OWNERSHIP TO NEW COMPANY, 2019-0206.
CURRENT COMPANY CALCO U PASS OPERATIONS LLC FORMERLY VENTURE GLOBAL LNG INC. NEW COMPANY, CALCO U PASS OPERATIONS LLC, CAMERON PARISH.
2020-0246 JM TEST SYSTEMS INC, NEW COMPANY NAME, JM TEST SYSTEMS, LLC, EAST BATON ROUGE PARISH.
2020-0068 REG GEISMER LLC, NEW COMPANY NAME, CHEVRON USA INC, ASCENSION PARISH.2020-0253, VENTURE GLOBAL LNG INC., NEW COMPANY NAME, PLAQUE MAN'S LNG OPERATIONS, LLC, PLAQUEMANS PARISH.
>> I'M GOING TO ASK FOR A MOTION TO DEFER TWO OF THESE MATTERS, THAT BEING 2019-0206 CALCO U PASS OPERATIONS LLC, FORMERLY VENTURE GLOBAL LNG INC, AS WELL AS NUMBER 2020-0253 VENTURE GLOBAL LNG INC.
I'M ASKED YOU TO DEFER THOSE TO THE NEXT MEETING.
I HAVE A MOTION FROM MR. NASSER, A SECOND FROM MR. SLOAN.
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, THAT MOTION CARRIES.
THOSE ITEMS WILL BE CONSIDERED AT THE NEXT MEETING.
NOW WE HAVE THE TWO REMAINING PROJECTS.
DO WE HAVE A MOTION TO APPROVE THESE TRANSFER OF OWNERSHIP? MOTION FROM MAYOR TOUPS.
SECOND FROM SECRETARY BOURGEOIS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR SAY AYE?
>> ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.
>> ONE CHANGE OF AFFILIATES OWNERS, 2020, 0068 REG GEISMAR LLC, ASCENSION PARISH, OLD AFFILIATES AND LLC MEMBERS, RENEWABLE ENERGY GROUP INC, NEW AFFILIATES AND LLC MEMBERS, RENEWABLE ENERGY GROUP INC, AND REG GEISMAR LLC.
>> DO WE HAVE A MOTION TO CHANGE? MOTION FROM MR. MOSS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE. ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE IS NONE.
>> THIS CONCLUDES QUALITY JOBS.
>> THANK YOU, MS. DAVY. APPRECIATE YOUR HELP.
AS MR. ROSENBERG COMES TO THE TABLE, I JUST WANT TO COMMENT.
I KNOW WHEN I FIRST STARTED SERVING ON THIS BOARD, WE WOULD GO THROUGH THESE AND IT WOULD APPEAR AS THOUGH THERE'S NOTHING BUT A RUBBER STAMP GOING ON.
I WANT TO DISABUSE YOU OF THAT NOTION IN AS MUCH AS WHAT THAT REALLY REPRESENTS THAT BEHIND THE SCENES, BOTH THE APPLICANTS AND THE STAFF HAS BEEN DOING THEIR JOBS.
IF THEY ARE DOING THEIR JOBS, OUR BOARD MEETINGS OUGHT TO BE FAIRLY STRAIGHTFORWARD AND CLEAN.
WE ARE HERE TO STEP IN WHEN ONE OR BOTH OF THOSE PEOPLE ARE NOT DOING THEIR JOBS, AND WE NEED TO BREAK TIES OR MAKE DECISIONS THAT CLARIFY WHAT'S GOING ON.
I DON'T WANT ANYBODY TO THINK THAT THIS IS SIMPLY NOBODY'S PAYING ATTENTION.
THE REALITY IS THESE APPLICATIONS ARE COMING TO US AND THE STAFF HAS ALREADY DONE THEIR HOMEWORK AND ARE RECOMMENDING APPROVAL BECAUSE THEY HAVE DOTTED THE IS AND CROSSED THE TS, IS THAT FAIR? GREAT. THANK YOU. MR. ROSENBERG, WALK US THROUGH RESTORATION TAX ABATEMENT, PLEASE.
[5. Restoration Tax Abatement Program – Travis Rosenberg]
>> THERE ARE THREE NEW APPLICATIONS, 2021-05601015 CANAL LLC, NEW ORLEANS PARISH, 202-03-0350, LEIGHTON PROPERTIES, LLC AND OUACHITA PARISH AND 2023-0315 FOR ROBERT FERRIS AND ST. TAMMANY PARISH.
THE RESTORATION TAX ABATEMENT PROGRAM IS CONSTITUTIONALLY THE LOCALS ALREADY HAVE SAID GRACE OVER THESE MATTERS.
THAT IS SET FORTH IN THE CONSTITUTION, AND THEY HAVE APPROVED THESE BEFORE THEY EVER COME TO LED.
SO WITH THAT, I WOULD ENTERTAIN A MOTION TO APPROVE.
[00:20:01]
MOTION FROM MR. NASSER, SECOND FROM MR. NELLY.ANY QUESTIONS OR COMMENTS FROM THE BOARD?THERE BEING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE. ALL IN FAVOR SAY AYE.
>> THERE BEING NONE, THE MOTION CARRIES.
>> THERE ARE THREE RENEWAL APPLICATIONS, 2017- 0018 FOR GEORGIA TUCKER, LLC IN OUACHITA PARISH.
2014-1093 FOR HALL DOWNTOWN, LLC IN OUACHITA PARISH AND 2016-1898 FOR THIRD FLOOR PROPERTIES IN OUACHITA PARISH.
>> DO WE HAVE A MOTION TO APPROVE? MOTION FROM MAYOR TOUPS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE. ALL IN FAVOR SAY AYE?
>> ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.
>> THERE IS ONE FULL TRANSFER OF OWNERSHIP TO NEW COMPANY REQUESTS FOR CONTRACT NUMBER 2015- 1972, FORMER OWNER IS GIBRALTAR MANAGEMENT COMPANY, LLC, AND THE NEW OWNER IS ARDENDALE OAKS APARTMENTS, LLC, EAST BATON ROUGE PARISH.
>> DO WE HAVE A MOTION ON THIS TRANSFER OF OWNERSHIP? I HAVE A MOTION FROM SECRETARY BOURGEOIS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE. ALL IN FAVOR SAY AYE?
>> ANY OPPOSITION? THERE IS NONE. THE MOTION CARRIES.
>> THAT CONCLUDES THE RTA AGENDA.
[6. Enterprise Zone Program – Joyce Metoyer]
>> GOOD MORNING. THERE'S 16 NEW EC APPLICATIONS.
2023-0307, ACADIANA WAY SERVICES, LAFAYETTE PARISH.
2015-1318 CAJUN INDUSTRIES, LLC, EAST BATON ROUGE PARISH, 2019-0166, COMMUNITY CARE CENTER OF COVINGTON, LLC, ST. TAMMANY PARISH.
2021-0025, GOOD JOB INCORPORATED, LAFOURCHE.
2020-0057, LANDMARK HERITAGE LLC, EAST BATON ROUGE PARISH.
2019-0330 NMC OPERATING COMPANY, LLC, EAST BATON ROUGE PARISH.
2021-0100 NOBLE PLASTICS, LLC, ST. LANDRY PARISH.
2021-0101 NOBLE PLASTICS, LLC, ST. LANDRY PARISH.
2020-0296, OCHSNER CLINIC FOUNDATION, ASCENSION PARISH.
2021-0318, OCHSNER CLINIC FOUNDATION, JEFFERSON PARISH.
2021-0320 OCHSNER CLINIC FOUNDATION, EAST BATON ROUGE PARISH.
2021-0274, PHILIP 66 COMPANY, CALCASIEU PARISH.
2020-0167, SOUTHWEST LOUISIANA HOSPITAL ASSOCIATION, CALCASIEU PARISH.
2021-0496, STERLING PLACE, LLC, EAST BATON ROUGE PARISH.
2019-0133 WILLIS KNIGHT MEDICAL CENTER INCORPORATED, CADDO PARISH AND 2020-0447, WILLIS KNIGHT MEDICAL CENTER INCORPORATED, BOSSIER PARISH.
>> AGAIN, WE WOULD HANDLE THESE IN GLOBAL UNLESS ANYONE WANTS TO CARRY ANYONE INDIVIDUALLY.
>> JUST ONE, THE RECUSAL FOR 2015-1318, CAJUN INDUSTRIES AND 2021-0274 PHILIP 66.
>> MR. POLOZOLA WILL BE RECUSING HIMSELF FROM CAJUN INDUSTRIES, LLC AND PHILLIPS 66 APPLICATIONS.
ALL RIGHT. ANY MOTION? WE HAVE A MOTION FROM MR. MOSS TO APPROVE. WE HAVE A SECOND?
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE. ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE. ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.
>> THERE ARE SIX TERMINATIONS.2019-0101 BATON ROUGE DENTAL ASSOCIATES, LLC, EAST BATON ROUGE PARISH.
THE EXISTING CONTRACT IS 5/16/'19-5/15/2024.
[00:25:01]
THE REQUESTED TERM DATE IS 5/15/2022.THE PROGRAM REQUIREMENTS HAVE BEEN MET, NO ADDITIONAL JOBS ARE ANTICIPATED.
2020-0137E DREW CLEMENT, DDS, LLC LAFOURCHE PARISH.
THE EXISTING CONTRACT IS 14/20-4/09/20205.
THE REQUESTED TERM DATE IS 4/09/2023.
THE PROGRAM REQUIREMENTS HAVE BEEN MET, NO ADDITIONAL JOBS ARE ANTICIPATED.
2019-0152, KENNER DENTAL ASSOCIATES, LLC, JEFFERSON PARISH.
EXISTING CONTRACT, 5/16/'19-5/15/2024.
THE REQUESTED TERM DATE IS 5/15/2022.
THE PROGRAM REQUIREMENTS HAVE BEEN MET, NO ADDITIONAL JOBS ARE ANTICIPATED.
2020-0109, METALPLATE GALVANIZING, LP, JEFFERSON DAVIS PARISH.
THE EXISTING CONTRACT IS 3/12/'20-3/11/2025.
THE REQUESTED TERM DATE IS 9/12/2022.
THE PROGRAM REQUIREMENTS HAVE BEEN MET, NO ADDITIONAL JOBS ARE ANTICIPATED.
2019-0093, NEIGHBORS LLC, WASHINGTON PARISH.
THE EXISTING CONTRACT IS 4/26/'19-4/25/2024.
THE REQUESTED TERM DATE IS 10/31/'21.
THE PROGRAM REQUIREMENTS HAVE BEEN MET, NO ADDITIONAL JOBS ARE ANTICIPATED.
AND 2018/03/27, OCHSNER CLINIC FOUNDATION, JEFFERSON PARISH.
THE EXISTING CONTRACT IS 8/30 OF '18 TO 8/29 OF 2023.
THE REQUESTED TERM DATE IS 8/29 OF '22, AND THE PROGRAM REQUIREMENTS HAVE BEEN MET, NO ADDITIONAL JOBS ARE ANTICIPATED.
>> DO WE HAVE A MOTION TO APPROVE THESE TERMINATIONS? WE HAVE A MOTION FROM MISS ARDWALE, A SECOND FROM MAYOR TOUPS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE ARE BEING NONE, THE MOTION CARRIES.
>> THE US CENSUS BUREAU RECENTLY RELEASED THE 2020 CENSUS APPOINTMENT RESULTS IN ACCORDANCE WITH LARS 511784.
LOUISIANA ECONOMIC DEVELOPMENT USES FEDERAL DECENNIAL CENSUS DATA IN QUALIFYING THE BOTTOM 40% OF BLOCK GROUPS IN THE STATE AS ENTERPRISE ZONES BASED ON PER CAPITA INCOME, UNEMPLOYMENT, AND PERCENTAGES OF RESIDENTS RECEIVING PUBLIC ASSISTANCE.
IN ACCORDANCE WITH LARS 511785, LED DESIGNATES THE UPDATED QUALIFIED BLOCK GROUP WITHIN THE STATE EVERY 10 YEARS USING THE FEDERAL CENSUS DATA AND UPDATES THIS LIST OF ELIGIBLE TRACKS IN EACH JURISDICTION FOR THE ENTERPRISE ZONE INCENTIVE PROGRAM.
ADMINISTERED BY LED IS REQUIRED.
AS A PART OF THIS UPDATE, LOCAL GOVERNMENTS ARE INVITED TO APPROVE THE ENTERPRISE ZONES IN THEIR JURISDICTION.
AFTER AN INITIAL OUTREACH AND SEVERAL FOLLOW-UP WITH THE LOCAL GOVERNMENTS, LED NOW SEEKS BOARD APPROVAL OF THE 2020 EZ, ENTERPRISE ZONE DESIGNATION FOR THE FOLLOWING PARISHES LISTED BELOW.
>> STOP RIGHT THERE. I DON'T WANT YOU TO READ THE NEXT.
>> FIFTY PAGES. BOARD MEMBERS, YOU HAVE IN YOUR PACKETS, THE PAGES 12 TO 59 REPRESENT THESE ENTERPRISE ZONES BLOCKS.
AGAIN, THE LOCAL GOVERNMENTS HAVE HAD THE OPPORTUNITY FOR INPUT, AND THIS IS THE RECOMMENDATION FROM STAFF BASED ON THE CENSUS INFORMATION.
WE ONLY HAVE TO DO THIS ONCE EVERY 10 YEARS, YOU'RE LUCKY ENOUGH TO DEAL WITH IT TODAY.
I WOULD ENTERTAIN A MOTION TO APPROVE.
ANY QUESTIONS OR COMMENTS FROM THE PUBLIC? EXCUSE ME FROM THE BOARD. THERE BEING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION. THERE BEING NONE, THE MOTION CARRIES. THANK YOU.
LET'S MOVE INTO THE INDUSTRIAL TAX EXEMPTION PROGRAM.
[7. Industrial Tax Exemption – Kristin Johnson/Hud Usie]
>> GOOD MORNING. WHO IS UP FIRST?
>> WE HAVE 13 POST EXECUTIVE ORDER 2018 RULES, NEW APPLICATIONS.
>> BUT LET'S STOP THERE AND MAKE SURE WE'RE LEVEL SET.
OVER THE COURSE OF THE LAST EIGHT YEARS, THIS BOARD HAD TO LEARN TO WORK THROUGH ABOUT THREE DIFFERENT SETS OF ITEP RULES BECAUSE WE HAD
[00:30:01]
ITEP CONTRACTS THAT WERE IN PLACE PRIOR TO THE EXECUTIVE ORDER THAT GOVERNOR EDWARDS IMPLEMENTED IN 2016, THEN THE BOARD TRIED TO IMPLEMENT THAT EO BY RULE AND ADOPTING RULES IN 2017.UNFORTUNATELY, THOSE RULES WERE NOT AS CRISP AS THEY NEEDED TO BE, AND WE DID A REDO IN 2018.
WE HAD PRE-EO APPLICATIONS, WE HAD 2017 RULE APPLICATIONS, AND WE HAD 2018 RULE APPLICATIONS.
BY THE WAY, WE'RE ABOUT TO GO THROUGH ANOTHER RULE MAKING.
WHAT THAT DOES IS THAT WE DIVIDE THE AGENDA BASED UPON WHICH SET OF RULES THESE APPLICATIONS ARE UNDER.
THAT MEANS THE STAFF AND THE APPLICANTS, THEY HAVE TO UNDERSTAND THREE DIFFERENT SETS OF RULES BASED ON WHERE THEIR PROGRAM FITS.
I THINK WE'VE GOTTEN IT DOWN TO WHERE IT MOVES RELATIVELY SMOOTHLY, BUT BY ALL MEANS, IF YOU HAVE ANY QUESTIONS OR YOU DON'T UNDERSTAND WHERE WE ARE, WHEN WE GET INTO ITEP, THERE'S NO SUCH THING AS A STUPID QUESTION UNLESS YOU ASK IT TWICE.
FAIR ENOUGH? IF WE CAN MOVE FORWARD NOW.
>> 2018 RULES, MEANING WE HAVE NO APPLICATIONS RIGHT NOW FOR ANYTHING PRE-EO. IS THAT CORRECT?
>> GREAT. OR 2017 FOR THAT MATTER?
>> SORRY. THIS IS FOR THE RECORD, I'M KRISTEN CHEN.
>> THANK YOU, KRISTEN CHEN. I DIDN'T CALL YOU BY NAME, FORGIVE ME.
>> WE HAVE 2020-0450, ALLEN'S ELECTRIC MOTOR SERVICE INC, CADDO PARISH, 2022-0056-A, ASH INDUSTRIES INC, LAFAYETTE PARISH, 2020-0094-B, AURORIUM DENHAM SPRINGS, LLC, LIVINGSTON PARISH, 2022-0302, BIENVILLE LUMBER COMPANY, LLC BIENVILLE PARISH, 2023-0434 BOISE CASCADE WOOD PRODUCTS, LLC ALLEN PARISH, 2023-0410, QUARTET LLC, WEST BATON ROUGE PARISH, 20203-0414, QUARTET PROPERTIES LLC, WEST BATON ROUGE PARISH, 2019-0394, HONEYWELL INTERNATIONAL INC, EAST BATON ROUGE PARISH, 2023-0205, HOWELL FOUNDRY, LLC WEST FELICIANA PARISH, 2021-0121-A, LACC, LLC US CALCASIEU PARISH, 2022-0394, MCILHENNY COMPANY, IBERIA PARISH, 2020-0049-C, SUPREME RICE, LLC ACADIA PARISH, AND 2022-0512, TSRC SPECIALTY MATERIALS, LLC IBERVILLE PARISH.
>> JUST RECUSAL ON 2019-0394, HONEYWELL.
>> 2019-0394, HONEYWELL, MR. POLOZOLA WILL BE RECUSING HIMSELF FROM CONSIDERATION OF THAT MATTER.
DO WE HAVE A MOTION? A MOTION TO APPROVE FROM MR. MOSS, SECOND FROM MR. SLOAN.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? JUST ONE THING I WANT EVERYBODY TO NOTE, ESPECIALLY ON 2022-0394, MCILHENNY COMPANY.
YOU'LL NOTE THE DOUBLE ASTERISK.
THERE WAS A LATE APPLICATION HERE.
UNDER OUR RULES PRESENTLY, IF THE APPLICATION IS SUBMITTED AFTER THE FILING DEADLINE, THE TERM OF EXEMPTION AVAILABLE UNDER AN INITIAL CONTRACT RENEWAL SHALL BE REDUCED BY ONE YEAR FOR EACH YEAR OR PORTION THEREOF THAT THE APPLICATION IS LATE.
SO AS I SAID EARLIER, THIS IS ONE OF THOSE SITUATIONS WHERE THE PENALTY IS BAKED INTO THE REGULATIONS.
IF WE APPROVE THE MCILHENNY COMPANY APPLICATION, THERE WILL BE, IS IT A ONE-YEAR?
>> YES, SIR. IT'S ONE YEAR OFF OF THE INITIAL CONTRACT.
>> INSTEAD OF HAVING A FIVE-YEAR INITIAL CONTRACT, THEY WILL HAVE A FOUR-YEAR INITIAL CONTRACT.
BUT CARRYING FORWARD WITH THAT LOGIC, MS. CHING, IF THEY GET TO THE RENEWAL, THEN WOULD BE CONSIDERED AFTER FOUR YEARS?
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? THERE BEING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.
>> WE HAVE 11 PRE-EO TIMELY RENEWALS.
[00:35:02]
>> 2016-1534-A, CABOT CORPORATION, ST. MARY PARISH, 2013-0429-B-PT, CAMERON LNG, LLC, CALCASIEU PARISH, 2013-0429-C, CAMERON LNG, LLC CAMERON PARISH, 2014-0816, EQUINE ENTERPRISES, LLC, ST. CHARLES PARISH, 2014-1601, MARATHON PETROLEUM COMPANY, LP, ST. JOHN THE BAPTIST PARISH, 2015-2030-A, MARATHON PETROLEUM COMPANY, LP, ST. JOHN THE BAPTIST PARISH, 2015-0945-A, SHELL CHEMICAL COMPANY LP, ASCENSION PARISH, 2016-1458, SHELL CHEMICAL COMPANY, LP, ST. CHARLES PARISH, 2015-0910-A SHINTECH LOUISIANA, LLC, IBERVILLE PARISH, 2016-1478-A SHINTECH LOUISIANA, LLC, WEST BATON ROUGE PARISH, AND 2013-1233 ZARANS, JEFFERSON PARISH.
>> MR. CHAIRMAN, BASICALLY, EVERYTHING ON THIS DOCKET, EXCEPT CABOT CORPORATION AND ZATARAIN'S.
>> CABOT CORPORATION AND ZATARAIN'S.
>> MR. POLOZOLA IS GOING TO RECUSE HIMSELF FROM ALL MATTERS WITH THE EXCEPTION OF CABOT CORPORATION AND ZATARAIN'S.
MAYBE NEXT YEAR, YOU CAN PICK THEM UP.
>> SORRY. [LAUGHTER] JUST PURE JEALOUSY IS ALL IT IS. DO WE HAVE A MOTION?
>> SHOULD I WAIT AFTER THE MOTION?
>> LET'S HAVE A MOTION THEN WE'LL ASK THE QUESTION. YES, SIR.
WE HAVE A MOTION FOR MR. RECORD TO APPROVE GLOBO.
DO I HAVE A SECOND? SECOND FROM MAYOR TOUPS. YES, MR. MILLER.
>> WANT SOME CLARITY JUST TO MAKE SURE I REMEMBER THIS PROPERLY.
EVEN THOUGH THESE APPLICATIONS ARE 2013, '16, '14, THE ACTUAL EXEMPTION DOESN'T START TILL THE PROJECT GOES ON THE ROLLS.
SOME OF THE PROJECTS COULD HAVE BEEN STARTED IN '13, BUT NOT ACTUALLY GOING ON THE ROLLS UNTIL '17, '18, '19 AND THEREFORE THEIR FIVE-YEAR STARTS THEN AND THEN THE RENEWAL STARTED FIVE YEARS AFTER THAT; IS THAT CORRECT? MORE THAN 10 YEARS AFTER SOME OF THESE APPLICATIONS BEGAN.
>> THEY FILE THE ADVANCE AND THEN THE PROJECTS PROCEED THROUGH ENGINEERING, CONSTRUCTION, THAT SORT OF THING.
THEN ONCE THE FIVE-YEAR DOES NOT START RUNNING UNTIL THEY'RE ACTUALLY ON THE BOOKS.
>> ACTUALLY, THE ASSETS ARE PLACED IN SERVICE, I THINK, IS THE APPROPRIATE TERM.
>> THANK YOU. I JUST WANT TO MAKE SURE I CLARIFY FOR MYSELF.
>> THANK YOU. THAT'S THE REASON IT LOOKS LIKE IT'S MORE THAN 10 YEARS. GOOD QUESTION.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.
>> WE HAVE ONE PRE-EO LATE RENEWAL.
THAT'S 2016-1409 LINDY INC IN ASCENSION PARISH.
THEIR INITIAL CONTRACT EXPIRED 12-31 OF 2022, AND THEY FILED THEIR LATE RENEWAL ON 9/28/2023.
>> WE'VE HAD TWO PEOPLE THAT HAVE SIGNED TO SPEAK ON THE MATTER OF LINDY.
MR. BRAXTON, DO YOU WANT TO COME FORWARD, AND MISS HARDY, FORGIVE ME.
>> CHAIRMAN, I NEED TO RECUSE MYSELF.
>> MR. AUSTIN WILL BE RECUSING HIMSELF FROM CONSIDERATION OF THIS LINDY LATE RENEWAL.
MR. BROXTON, YOU WANT TO STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.
>> SURE. MY NAME IS RODNEY BROXTON.
I AM WITH SOUTHERN STRATEGY GROUP OF LOUISIANA, AND WE REPRESENT LINDY.
I APPRECIATE THE OPPORTUNITY TO BE HERE TODAY.
RATHER THAN GET INTO OUR ISSUE, IF SOMEBODY WAS GOING TO MAKE A MOTION, I DON'T WANT TO CLOUD IT UP.
[LAUGHTER] BUT I KNOW EARLIER WITH A SIMILAR SITUATION AND THEY ASKED, WHAT WAS THE PROBLEM? IN LATE 2022, LINDY WAS GOING THROUGH A REORGANIZATION.
SOMEONE WHO HAD THIS RESPONSIBILITY LEFT THE COMPANY, AND IT WAS AT THE SAME TIME WE WERE CONSOLIDATING SOME DEPARTMENTS THAT WOULD TAKE THIS OVER.
THIS SIMPLY SLIPPED THROUGH THE CRACKS.
THAT'S LEGITIMATELY WHAT HAPPENED.
WE HAVE COMPLIED WITH EVERY ASPECT OF THE CONTRACT, WE HAVE DONE AND PERFORMED EXACTLY AS W PROMISED WHEN THE CONTRACT WAS SIGNED.
CERTAINLY, WE WOULD JUST ASK FOR FORGIVENESS QUITE FRANKLY, BECAUSE IT CERTAINLY WASN'T INTENTIONAL,
[00:40:02]
IT WAS AN OVERSIGHT.I KNOW, MR. CHAIRMAN, YOU PROBABLY REMEMBER WE HAD A SIMILAR ISSUE IN OCTOBER BECAUSE THERE WERE TWO INVOLVED IN THIS.
I WE WANTED TO BE TRANSPARENT. THIS IS THE OTHER ONE.
I THINK I MENTIONED IN OCTOBER, THERE WAS ANOTHER ONE. THIS IS IT.
WE WERE FORTUNATE TO GET THAT ONE APPROVED AND RENEWED AND HOPEFULLY WE'LL GET THE SAME RESULTS HERE TODAY.
>> BEFORE, I DIDN'T REALIZE IT WAS OCTOBER, BUT WE APPROVED YOU WITHOUT A PENALTY AT THAT TIME.
>> I GUESS THAT'S WHAT YOU ARE ASKING?
>> THAT'S EXACTLY WHAT I'M ASKING FOR AGAIN.
>> WITH THAT EXPLANATION, IS THERE A MOTION?
>> WE HAVE A MOTION FROM MR. MOSS TO APPROVE THE LATE RENEWAL WITHOUT PENALTY.
WE HAVE A SECOND FROM MR. SLOAN.
ANY QUESTIONS OR COMMENTS FROM THE BOARD, ANY QUESTIONS FOR MR. BRAXTON OR MISS HARDY.
HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR OF APPROVING THE RENEWAL WITHOUT PENALTY, SAY AYE.
>> ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.
>> WE HAVE ONE TIMELY POST-EO 2017 RULES RENEWAL.
IT'S 2016-1576-B, LOUISIANA SUGAR REFINING, LLC IN ST. JAMES PARISH.
>> THEY ARE SIMPLY UP FOR RENEWAL. DO WE HAVE A MOTION? I HAVE A MOTION FROM MR. NASSER TO APPROVE.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? THERE BEING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION. THERE IS NONE, THE MOTION CARRIES.
>> WE HAVE 11 TIMELY POST-EO 2018 RULES RENEWALS.
2018-0001 CNC MARINE AND REPAIR, LLC PLAQUEMINES PARISH, 2018-0045 HUNT FOREST PRODUCTS, LLC GRANT PARISH, 2018-0123 INTERNATIONAL MEZZO TECHNOLOGIES INC., EAST BATON ROUGE PARISH, 2018-0087-A LASALLE LUMBER COMPANY, LLC, LASALLE PARISH, 2019-0093 NEIGHBORS, LLC, WHIT PARISH, 2016-1850 PACKAGING CORPORATION OF AMERICA, BEAUREGARD PARISH, 2017-0296 PACKAGING CORPORATION OF AMERICA, BEAUREGARD PARISH, 2017-0297 PACKAGING CORPORATION OF AMERICA, BEAUREGARD PARISH, 2018-0226 STERLING SUGARS, LLC, ST. MARY PARISH, 2017-0587 STULLER INC, LAFAYETTE PARISH, AND 2017-0205-A WESTLAKE VINYLS COMPANY, LP IN ASCENSION PARISH.
>> DO WE HAVE A MOTION TO APPROVE THESE RENEWALS? ALL TIMELY, MR. DAWS.
MOTION FROM MR. DAWS, SECOND FROM MR. MOSS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? THERE BEING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.
>> NEXT, WE HAVE TWO CHANGE IN NAME ONLY.
BURSON INC, A DIVISION OF CRANSTON PRINT WORKS CORPORATE COMPANY, 2015-0240, CHANGING THEIR NAME TO AURORIUM DENHAM SPRINGS, LLC IN LIVINGSTON PARISH, AND CF INDUSTRIES NITROGEN, LLC 2020-0433, CHANGING THEIR NAME TO CF INDUSTRIES CLEAN ENERGY, LLC IN ASCENSION PARISH.
>> WE HAVE A MOTION FROM MR. NASSER TO APPROVE THESE CHANGE IN NAMES.
QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.
>> NEXT, WE HAVE TWO CHANGE IN LOCATION ONLY.
SHELL CHEMICAL COMPANY, LP 2014-1578-A.
PREVIOUS LOCATION 16122 RIVER ROAD, NORCO, LOUISIANA, 70079 IN ST. CHARLES PARISH.
NEW LOCATION 15536 RIVER ROAD, NORCO LOUISIANA, 70079 ST. CHARLES PARISH, AND ST. JAMES SOLAR LLC 2018-0145; PREVIOUS LOCATION COORDINATE 29.97593, -90.73313, VACHERIE, LOUISIANA 70090, ST. JAMES PARISH, NEW LOCATION 2561 BACK QUARTERS STREET, VACHERIE,
[00:45:03]
LOUISIANA, 70090 IN ST. JAMES PARISH.>> DO WE HAVE A MOTION TO APPROVE THESE CHANGE IN LOCATIONS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? THERE BEING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.
>> NEXT, WE HAVE SEVEN TRANSFERS OF CONTRACTS.
CHALMETTE REFINING, LLC 2021-0277, NEW OWNER ST. BERNARD RENEWABLES, LLC IN ST. BERNARD PARISH.
DOW CHEMICAL COMPANY 2014-0993, NEW OWNER DOW HYDROCARBONS AND RESOURCES, LLC WEST BATON ROUGE PARISH.
MCUS3 LLC 2015-0356-PT2, NEW OWNER LANXESS CORPORATION, ST. CHARLES PARISH.
IN UNION CARBIDE CORPORATION CONTRACTS 2014-0991, 2014-1263, 2014-1263 A, AND 2015-1589, NEW OWNER DOW HYDROCARBONS AND RESOURCES, LLC IN ST. CHARLES PARISH.
>> DO WE HAVE A MOTION TO APPROVE THESE TRANSFERS? MOTION FROM MAYOR TOUPS, A SECOND FROM SECRETARY BOURGEOIS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE.
ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR, SAY AYE. OKAY.
>> ANY OPPOSITION? THERE IS NONE.
I'VE JUST BEEN HANDED A NOTE THAT WE DO NOT HAVE A VIDEO STREAM OF THIS MEETING.
FOR THOSE WHO ARE ATTEMPTING TO VIDEO STREAM, YOU'VE PROBABLY FIGURED THAT OUT BY NOW.
BUT I'LL MAKE THAT AS A PART OF THE RECORD. THANK YOU.
>> NEXT, WE HAVE TWO PARTIAL TRANSFERS OF CONTRACT.
THE FIRST IS CORTECH LLC 2018 0030-A.
CORTECH LLC IS RETAINING $2,134,632 IN PROPERTY.
CORTECH PROPERTIES LLC IS RECEIVING $1,375,851 IN PROPERTY, AND THIS IS IN WEST BATON ROUGE PARISH.
THEN CORTECH LLC 2018 0072-A, CORTECH LLC IS RETAINING $1,188,136 IN PROPERTY.
CORTECH PROPERTIES LLC IS RECEIVING $4,614,691 IN PROPERTY, AND THIS IS IN TERREBONNE PARISH.
>> DO WE HAVE A MOTION TO APPROVE THESE PARTIAL TRANSFERS? A MOTION FROM MR. NASSER, SECOND FOR MAYOR TOUPS ANY QUESTIONS OR COMMENTS? MR. MAYOR?
>> ELABORATE ON WHY WOULD SUCH A TRANSFER TAKE PLACE?
>> FAIR QUESTION. EXPLAIN, MR. JOSE, WHAT THESE KIND OF TRANSFERS ARE ABOUT.
>> WE PERFORMED A SITE INSPECTION AND IT WAS DISCOVERED THAT IT WAS INCORRECTLY REPORTED WHEN THEY INITIALLY APPLIED THAT THE BUILDING PORTION OF THEIR PROJECT WAS OWNED BY CORTECH PROPERTIES, AND THE MACHINERY AND EQUIPMENT SHOULD STAY AS CORTECH LLC, SO THEY'RE JUST CORRECTING IT.
>> IS THAT A COMMON OCCURRENCE FOR WHEN THIS TYPE OF TRANSFER TAKES PLACE?
>> BECAUSE CONTRACTS HAVE TO BE COMPANY-SPECIFIC, SITE-SPECIFIC.
WITHOUT THIS TRANSFER, CORTECH PROPERTIES DOESN'T HAVE A CONTRACT IN THEIR NAME TO EXEMPT THOSE ASSETS.
>> THE BOARD DOESN'T SEE THIS THAT OFTEN.
>> MR. MAYOR, WOULD YOU PULL YOUR MIC TO YOU.
>> THE BOARD DOESN'T SEE SUCH THINGS THAT OFTEN UNLESS IT'S A SITE-SPECIFIC ISSUE.
>> OR IF A COMPANY IS SELLING ASSETS, CHANGING OWNERSHIP, THAT'S THE OTHER TIMES YOU WOULD SEE IT?
>> ONE OF THE THINGS WE WILL SEE COMMONLY IS A BUILDING OR LAND WILL BE OWNED BY ONE COMPANY, THE MACHINERY AND EVERYTHING ELSE IS OWNED BY ANOTHER.
WHAT WILL BE INTERESTING ABOUT THAT IS THE LAND WILL PRODUCE NO JOBS, THE MACHINERY, AND EVERYTHING ELSE WILL PRODUCE 112, AND THAT'S A DISCONNECT FOR SOME PEOPLE UNTIL YOU START REALIZING IT'S USUALLY A FINANCING MECHANISM AND HOW THE FINANCING IS SET UP.
>> CORTECH IS ON THE NEW APPLICATIONS, PART OF THIS AGENDA, THE CORRECT WAY, ONE APPLICATION FOR THE MACHINERY AND EQUIPMENT AND ANOTHER FOR THE BUILDING.
THESE ARE JUST THE OLD ONES THAT THEY'RE CORRECTING.
>> ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? WE DO HAVE A MOTION AND A SECOND, CORRECT? GREAT. ALL IN FAVOR, SAY AYE.
[00:50:02]
ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.>> NEXT, WE HAVE A CANCELLATION OF CONTRACT, J & R JUNEAU LLC, 2019 0029 IN BOSSIER PARISH.
LED REQUESTS CANCELLATION UPON BEING INFORMED BY THE PARISH ASSESSOR OF 100% OF TAXES BEING BILLED AND PAID FOR THE FIRST YEAR OF EXEMPTION, THE 2020 YEAR.
PER SECTION 517B OF ITEP RULES, THE ESTABLISHMENT IS NOT ELIGIBLE FOR THE EXEMPTION.
>> I'M GOING TO ASK MS. PORTER TO COME FORWARD, PLEASE.
MS. PORTER IS THE BOARD OF COMMERCE AND INDUSTRIES ATTORNEY.
I TRY NOT TO BE AN ATTORNEY BECAUSE SHE'S BETTER AT IT THAN I AM.
I'M GOING TO ASK YOU TO WALK US THROUGH THIS, PORTER, SO THE BOARD CAN BE CLEAR ON WHAT THIS IS ABOUT.
>> WELL, IF YOU CAN GIVE JUST A LITTLE BACKGROUND, MAYBE WHAT HAPPENED WITH J & R JUNEAU, AND THEN I CAN GO THROUGH WHAT LEGALLY IS REQUIRED.
>> IT WAS DISCOVERED THROUGH NON-COMPLIANCE DISCUSSIONS, THEY WERE FOUND NON-COMPLIANT FOR THE 2022 PROJECT YEAR FOR THIS CONTRACT.
DURING THOSE DISCUSSIONS, IT WAS UNCOVERED THAT 100% OF THE PROPERTY TAXES WAS PAID IN THE VERY FIRST YEAR OF EXEMPTION.
STAFF CONFIRMED THAT WITH THE ASSESSOR THAT IT WAS BILLED AND IT WAS PAID.
THROUGH THOSE CONVERSATIONS, WE BROUGHT IT TO THE ATTENTION OF MS. PORTER.
BASED ON ITEP RULES, IF AT BARE MINIMUM, IF A COMPANY IS BILLED AND THE ASSESSOR AND THE LOCALS DON'T AGREE TO REMOVE IT FROM THE ROLLS IF AN EXEMPTION IS GRANTED, THEY'RE INELIGIBLE FOR THE PROGRAM. THAT'S WHY IT'S HERE.
>> AGAIN, CORRECT ME IF I'M WRONG HERE.
BUT THE CONCEPT IS, IS THAT ONCE THE TAXES HAVE BEEN PAID, WE'RE NOT GOING TO BE ASKING THE LOCALS TO DISGORGE THAT PAYMENT BACK TO THE COMPANY.
IS THAT EFFECTIVELY THE THEORY BEHIND THE RULE?
>> THAT'S CORRECT. WHAT HAPPENS IF YOU LOOK AT IT TWOFOLD, ONE, YOU LOOK AT IF THE PROPERTY IS ISSUED OR LISTED ON THE TAXABLE ROLL, IT IS DEEMED INELIGIBLE, THAT'S JUST NUMBER 1.
HOWEVER, SECTION 517B PROVIDES AT LEAST AN OPTION IF TAXES HAVE NOT BEEN PAID.
PROPERTY LISTED ON A ROLL, IT'S STILL DEEMED INELIGIBLE REGARDLESS OF WHETHER TAXES ARE PAID OR NOT.
HOWEVER, 517B PROVIDES THAT IF YOU GET THE CONSENT OF THE ASSESSOR AND THE LOCALS IN ORDER TO AGREE TO PLACE THE PROPERTY BACK ON THE TAX ROLLS, IF THE TAXES HAVE NOT BEEN PAID, THEN THE COMPANY WILL BE GRANTED A TAX EXEMPTION.
SO YOU DON'T HAVE THAT IF THE TAXES HAVE BEEN PAID AND THE PROPERTY IS ON THE TAX ROLLS.
>> I'M TRYING TO MAKE THIS A LEARNING EXERCISE, AN OBJECT LESSON, IF NOTHING ELSE.
>> IF A COMPANY LEARNS THAT WHAT THEY BELIEVE SHOULD BE TAX-EXEMPT PROPERTY IS PLACED FOR SOME REASON ON THE TAX ROLLS, IT BECOMES INCUMBENT UPON THEM TO APPROACH THE ASSESSORS AND THE LOCALS AND HAVE THAT REMOVED FROM THE TAX ROLLS PRIOR TO PAYMENT.
>> THAT'S CORRECT. YOU SHOULDN'T PAY.
>> THE DIFFICULTY, I THINK, AND MS. ARDOIN, I'M NOT A CPA AND NEITHER HAVE I PLAYED ONE ON TV, BUT IT'S MY UNDERSTANDING THAT A LOT OF TIMES THE DEFAULT POSITION IS, WELL, LET'S PAY IT AND PROTEST AND WE'LL ARGUE ABOUT IT.
>> THE BETTER MOVE IS TO GO TO THE TAX ASSESSOR AND ASK THE LOCALS TO REMOVE IT.
GENERALLY, AS I APPRECIATE WHAT A LOT OF TIMES HAPPENS, IT DEPENDS ON WHAT TIME OF THE YEAR THESE THINGS HAPPEN.
THE TAX ROLLS ARE, I THINK, FORMALIZED IN LATE FALL-ISH.
IF THE COMPANY DOES NOT YET HAVE A CONTRACT BACK FROM THE GOVERNOR'S OFFICE, MR. RUCKERT, IT'S IMPORTANT TO GET THOSE CONTRACTS TURNED AROUND REAL QUICKLY.
[OVERLAPPING] IF THEY'RE NOT TURNED QUICKLY, THERE'S CONSEQUENCES THAT GO ALONG WITH THAT.
BUT A LOT OF TIMES WE SEE THIS SCENARIO ARRIVING TOWARD THE END OF THE YEAR.
THEY HAVE NOT YET GOTTEN A SIGNED CONTRACT.
THE TAX ASSESSOR HAS NO WAY OF KNOWING AND THINGS HAPPEN.
MR. [INAUDIBLE], GET THE MIC PLEASE.
>> IF THE PROPERTY THEN GOES TO THE TAX SALE AND THE TAXES ARE PAID AT THE SHERIFF'S SALE,
[00:55:02]
WHAT HAPPENS TO THE PROPERTY AT THAT POINT?>> WELL, WE'RE NOT TALKING ABOUT THE SHERIFF'S SALE SITUATION.
THIS IS JUST A MATTER OF PUTTING IT ON THE TAX ROLLS FOR THE PAYMENT OF TAXES, JUST FOR THE PAYMENT.
>> WELL, THE AD VALOREM PAYMENT OF TAXES.
>> [OVERLAPPING] WHEN THEY HAVE AN ITEP CONTRACT, THEY'RE PUT ON THE EXEMPT ROLLS.
THIS ONE WAS PUT ON THE TAXABLE ROLLS AND THEY PAID.
>> I GUESS IF THE TAXES ARE NOT PAID OUT OF PROTEST OVER A PERIOD OF TIME, THE ASSET WOULD BE SOLD AT SHERIFF'S SALE, RIGHT?
>> AGAIN, STOP ME, STAFF, IF I'M WRONG HERE.
IF THEY DID NOT PAY THE TAXES AND THEY WENT TO THE TAX ASSESSOR AND WENT TO THE LOCALS AND THEY REFUSED TO TAKE IT TO PUT IT ON THE EXEMPT ROLLS, AND THEY SAID, NO, WE'RE KEEPING IT ON THE TAXABLE ROLLS, THEN THEY HAVE NO CHOICE THAN TO DEAL WITH THAT.
THAT'S THAT'S A TAXPAYER AND TAX ASSESSOR, LOCAL GOVERNMENT PROBLEM.
FROM THE WAY THE RULES ARE WRITTEN RIGHT NOW, THE CONSEQUENCE OF THAT IS THEY'RE NO LONGER ELIGIBLE FOR THE ITEP PROGRAM.
>> MS. PORTER, WHAT IS THE COMPANY'S POSITION ON THIS ISSUE?
>> DO WE HAVE SOMEONE HERE FROM J & R JUNEAU? APPARENTLY NOT. MS. PORTER, IF YOU KNOW, SAY SO, IF NOT, SAY SO.
>> MY UNDERSTANDING IS THAT THEY UNDERSTAND CORRECT ME IF I'M WRONG.
THEY UNDERSTAND THAT TAXES WERE PAID, AND THEY ARE OKAY WITH THAT.
THEY'RE NOT EVEN LOOKING FOR A REIMBURSEMENT, BUT THERE'S SOME STUFF BEHIND IT BECAUSE THEY'RE GOING TO COME UP AND THEY'RE DELINQUENT AS WELL.
>> AGAIN, IT JUST CAME ABOUT FROM CONVERSATIONS ABOUT THE COMPANY BEING NON-COMPLIANT FOR JOBS AND PAYROLL IN 2022.
WHEN THAT WAS DISCUSSED AND THE LOCALS WERE NOTIFIED, THE LOCALS GAVE US RECOMMENDATIONS TO CANCEL THE CONTRACTS.
HENCE THEM NOT BEING ABLE TO GET THE LOCALS AND ASSESSOR TO TAKE IT OFF THE ROLLS OFF THE TAXABLE ROLES.
>> JUST SO I CAN EXPLAIN TO THE BOARD, THIS HAS BECOME A GREAT OBJECT LESSON, SO MANY DIFFERENT LEVELS.
TO FURTHER COMPLICATE J&R JUNO, IF YOU FLIP OVER A COUPLE OF PAGES TO THE COMPLIANCE SECTION OF YOUR AGENDA.
YOU WRITE AT THE FIRST LINE, YOU HAVE A.W. CHESTERTON COMPANY.
AS I EXPLAINED EARLIER, YOU CAN HAVE A SINGLE PROJECT UNDER TWO DIFFERENT CONTRACTS BECAUSE ONE MAY OWN A CERTAIN PART OF THE ASSETS, THE OTHER ONE MAY OWN ANOTHER SET OF THE ASSETS.
IN THIS SITUATION, WE'VE GOT THE PROJECT IS SIMPLY NON-COMPLIANT.
WE'RE GOING TO DEAL WITH J&R JUNO 2.0 IN JUST A FEW MINUTES FEW OF THE AGENDA.
AT THE END OF THE DAY, I WANT THE BOARD TO UNDERSTAND THAT THERE'S REASONS FOR THE RULE AND THE MAIN REASON FOR THE RULE IS THAT ONCE THOSE TAXES ARE PAID, WE CANNOT GO BACK TO THE LOCALS AND FORCE THEM TO PAY BACK THE MONEY THAT WAS PAID.
ONCE THE PAYMENT IS MADE, IT BECOMES INCREDIBLY INCUMBENT UPON THE COMPANY TO EXERCISE WHATEVER AUTHORITY OR WHATEVER POLITICAL WILL THEY HAVE AT THEIR LOCAL GOVERNMENT TO GET THE PROPERTY TAKEN OFF THE TAX EXEMPT.
THE TAX ROLES IF THEY DON'T BELONG THERE.
BUT THAT'S THEIR RESPONSIBILITY TO DO THAT.
THE STATE CANNOT FORCE LOCAL GOVERNMENT TO DO THAT.
WE HAVE NO BULLET IN OUR BELT TO MAKE THAT HAPPEN.
THIS IS AN OBJECT LESSON ABOUT SIX DIFFERENT LEVELS.
IS THAT CLEAR AS MUD EVERYBODY? YES.
>> MR. MAXWELL. THEY ARE NON-COMPLIANT, BUT THEY ARE NON-COMPLIANT, BUT ELSE ON MEETING THE REQUIREMENTS.
J&R JUNO OWNS THE BUILDING PORTION OF THE PROJECT.
AW CHESTERTON, THAT YOU'LL SEE LATER AS NON-COMPLIANT OWNS THE MACHINE AND EQUIPMENT, BUT THEY SHARE A JOB IN PAYROLL REPORTING.
IS BEING BROUGHT AS A CANCELLATION BECAUSE 2020 OCCURRED WAY BEFORE THE 2022 NON-COMPLIANT.
THAT'S WHY IT'S BEING SHOWN AS A CANCELLATION RATHER THAN PART OF NON-COMPLIANCE.
>> THEY'RE NOT HERE THIS MORNING?
THE CONTRACT IS CANCELED FOR GOOD.
THERE'S NO COMING BACK FOR EIGHT YEARS OR NINE YEARS.
[01:00:02]
>> IT'S ON THE ROLLS AND THE TAXES ARE PAID, IT'S OFF.
>> THAT'S A SIGNIFICANT ISSUE.
I DON'T WANT TO MAKE ANY BONES ABOUT IT.
IT COMES BACK TO THE GENERAL PHILOSOPHY OF WHEN THERE'S LATE RENEWALS, WHEN THERE'S LATE APPLICATIONS.
A WHOLE LOT OF BAD DOMINOES START FALLING AND IT'S INCUMBENT UPON THE APPLICANTS AND THE COMPANIES TO MAKE SURE THAT THEY ARE DILIGENT IN FOLLOWING THE RULES BECAUSE ONCE TAXES GET PAID OR ONCE APPLICATIONS AREN'T MANAGED IN A TIMELY FASHION, THINGS HAPPEN BACK HOME WITH THE TAX ASSESSOR THAT HAS REAL SERIOUS IMPLICATIONS.
WE'RE NOT TRYING TO MAKE EXAMPLES OF PEOPLE.
THIS ISN'T A STOCK AID UP HERE.
WE'RE JUST TRYING TO MAKE SURE THAT THE COMPANIES RECOGNIZE THAT THERE'S DILIGENCE BECAUSE WHEN THE DOMINOES START FALL AND IT'S A BAD DAY; IS THAT FAIR?
>> [OVERLAPPING] CAN WE MAKE A MOTION OR DO WE HAVE IT ALREADY.
>> I'M FRANKLY NOT CLEAR ON WHETHER, DO WE HAVE A MOTION YET, MISS SIMIEN? OKAY. WE DO NOT HAVE A MOTION FROM MR. MILLER BEING TO CANCEL THE CONTRACT.
ANY COMMENTS OR QUESTIONS FROM THE BOARD.
ANY FURTHER COMMENTS OR QUESTIONS? ANY COMMENTS FROM THE PUBLIC? THERE IS NONE. ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE IS NONE.
THE MOTION CARRIES. SPECIAL REQUESTS.
>> NEXT, WE HAVE ONE SPECIAL REQUESTS FOR TAMINCO US LLC CONTRACT 2018-0142.
TAMINCO US LLC IS REQUESTING TO AMEND THEIR EXISTING EXHIBIT A AGREEMENT FOR CONTRACT 2018-0142 TO LOWER THE REQUIRED NUMBER OF RETAINED JOBS 106-100.
>> I'M GOING TO ASK THAT WE DEFER THIS MATTER UNTIL THE NEXT MEETING.
I BELIEVE WE'VE HAD SOME CONVERSATIONS WITH THE APPLICANT.
I THINK THERE IS A PATH FORWARD HERE TO DO WHAT NEEDS TO BE DONE, BUT WE WANT TO BE SURE THAT WE DON'T CREATE ANY UNINTENDED CONSEQUENCES.
THERE'S GOING TO BE DISCUSSION BETWEEN STAFF AND TAMINCO BETWEEN NOW AND THE NEXT MEETING, WE'LL BRING THIS MATTER UP THERE, IF THAT'S ALL RIGHT.
I WOULD ENTERTAIN A MOTION TO DEFER, A MOTION FOR MR. MOSS.
SECOND FROM MR. NASSER, ANY QUESTIONS OR COMMENTS.
THERE BEING NONE, ANY COMMENTS FROM THE PUBLIC? THERE BEING NONE, ALL IN FAVOR, SAY AYE?
>> ANY OPPOSITION, THE MATTER IS DEFERRED.
>> NEXT, WE HAVE ANOTHER SPECIAL REQUEST FOR FORMOSA PLASTICS CORPORATION, LOUISIANA, CONTRACT 2019-0225.
FORMOSA PLASTICS IS REQUESTING TO AMEND THEIR EXISTING EXHIBIT A AGREEMENT FOR CONTRACT 2019-0225 TO ADD AN ADDITIONAL YEAR TO THE TWO YEAR PERIOD ALLOWED TO COMMENCE OPERATION.
>> DO WE HAVE SOMEONE HERE FROM FORMOSA? PLEASE, COME ON.
OKAY. WHILE THEY ARE COMING FORWARD, THIS IS NOT FORMOSA AND ST. JAMES PARISH AND MR. POLOZOLA WILL BE RECUSING HIMSELF FROM ANY DELIBERATION OR ACTION ON THIS MATTER.
>> MR. CHAIRMAN, IS MR. AUSTIN.
>> MR. AUSTIN, WILL BE RECUSING HIMSELF AS WELL.
PLEASE STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.
>> MY NAME IS PAUL SCOTT HALE.
I AM THE DIRECTOR OF ADMINISTRATIONS WITH FORMOSA PLASTICS CORPORATION, LOUISIANA.
>> GREAT. THANK YOU FOR BEING HERE THIS MORNING.
TELL US WHAT'S HAPPENED HERE AND WHAT YOU NEED.
>> WELL, MR. CHAIRMAN, MADAM SECRETARY, BOARD MEMBERS, I APPRECIATE THE OPPORTUNITY TO COME HERE AND DISCUSS THIS REQUEST HERE.
I COULD GIVE A LAUNDRY LIST OF DIFFERENT REASONS AND VALID REASONS WHY THE THINGS HAVE TAKEN PLACE SINCE WE FIRST FILED OUR FRONT END APPLICATION OR FRONT END CONTRACT.
WE ACTUALLY EXECUTED THAT FRONT END CONTRACT BACK IN AUGUST OF 2019.
I DON'T WANT TO SOUND LIKE A BUNCH OF EXCUSES.
I'VE GOT A LIST OF FIVE DIFFERENT THINGS.
SOME OF THOSE THIS BOARD HAS HEARD BEFORE HERE.
CERTAINLY COVID OVER THIS PERIOD OF TIME WAS SOMETHING THAT TOOK PLACE, RAW MATERIALS IN THE GLOBAL SUPPLY CHAIN ISSUE WERE THERE, MANPOWER ISSUES, AND EVEN WEATHER PLAYED A ROLE OVER THIS PERIOD OF TIME INTO THE COMPLETION OF THIS PROJECT.
THE BOARD HAS HEARD OTHER SIMILARLY SITUATED COMPANIES COME HERE AND ESPOUSE THESE REASONS BEFORE.
I CAN GO INTO DETAIL ON THOSE THINGS IF YOU'D LIKE, BUT I'D LIKE TO CERTAINLY FOCUS ON ONE AREA THAT WAS UNIQUE TO FORMOSA PLASTICS.
[01:05:01]
THAT WAS OUR FRP FIBER-REINFORCED TANK MANUFACTURER RECEIVED FROM THE US DEFENSE PRIORITIES AND ALLOCATION SYSTEMS, WHAT THEY CALL A RATED ORDER.ESSENTIALLY WHAT THAT MEANS IS THE FEDERAL GOVERNMENT STOPPED AND APPROPRIATED THE FULL PRODUCTION CAPABILITIES OF THAT COMPANY THAT WAS PRODUCING OUR FIBER-REINFORCED TANKS FOR SOMETHING THAT THEY CHOSE AS BEING MORE IN THE NATIONAL INTEREST THAN PRODUCING THE TANKS FOR OUR PROJECT.
AS SUCH, WE HAD THEY WERE IN THE MIDST OF PRODUCING FIVE TANKS AT THAT TIME.
WE DID ACTUALLY RECEIVE THOSE FIVE TANKS, BUT THEY WERE NOT ALLOWED TO WORK ON ANYTHING ELSE UNTIL THEY HAD COMPLETED THIS RATED ORDER.
DELIVERIES THAT WERE SUPPOSED TO HAVE TAKEN PLACE IN AUGUST OF 2022, WERE NOT RECEIVED UNTIL 10 MONTHS LATER IN JUNE OF 2023.
THAT'S MIRRORED SEVERAL TIMES OVER WITH MATERIAL AVAILABILITY AND THAT TYPE OF THING.
THINGS JUST GOT KICKED DOWN THE ROAD, POST-COVID.
THINGS THAT SHUT DOWN, PEOPLE TOOK A WHILE TO COME BACK UP, MANPOWER REQUIREMENTS AS OTHER COMPANIES IN THE AREA CAME OUT OF COVID.
THEY DECIDED, WELL, IT'S TIME FOR US TO START WORKING ON OUR DELAYED PROJECTS THAT WE HAD DURING THE COVID PERIOD TWO, MANPOWER BECAME QUITE AN ISSUE OR WHATEVER IN THIS AREA, ESPECIALLY FOR SKILLED LABOR.
I COULD GO THROUGH THOSE ISSUES OR WHATEVER, SOME DETAILS ON THOSE, BUT I THINK YOU ALL HAVE HEARD SOME OF THESE BEFORE, THAT LAST ONE THERE, AND IT IS DEFINITELY UNIQUE TO FORMOSA.
>> MANY OF THESE BOARD MEMBERS HAVE NOT HEARD OF SOME OF THOSE THINGS, BUT IF I MAY, LET ME LAY SOME CONTEXT.
>> WHEN THESE CONTRACTS ARE NEGOTIATED BETWEEN THE APPLICANT AND THE STATE OF LOUISIANA FOR TAP, THEY BASICALLY AGREE UPON SOME MILESTONES, WHEN CONSTRUCTION WILL BEGIN WHEN OPERATIONS WILL BEGIN, AND THERE'S EVEN BUILT INTO THE CONTRACT, A TWO-YEAR GRACE PERIOD IF YOU DON'T HIT IT BECAUSE THINGS HAPPEN.
USED TO WHEN WE WERE BUILDING $250,000,000 PROJECTS, THINGS HAPPEN WHEN YOU'RE BUILDING $1,000,000,000 FACILITY, THINGS REALLY HAPPENED.
WHAT WE'VE SEEN SINCE 2020, FRANKLY, BETWEEN SUPPLY CHAIN ISSUES, WORKFORCE ISSUES THAT ALL OF US IN OUR COMPANIES HAVE HAD TO DEAL WITH AT ONE SHAPE OR.
THESE REQUESTS HAVE NOT BEEN UNUSUAL, FRANKLY.
WE'VE SEEN A NUMBER OF THEM IN THE PAST WELL, SINCE COVID, BASICALLY.
I THINK WHAT YOU'RE SAYING RINGS TRUE FROM THE STANDPOINT OF BOTH SUPPLY CHAIN, WORKFORCE, AND YOU SIMPLY HAVE NOT BEEN ABLE TO MEET WITHIN WHAT YOU THOUGHT WAS GOING TO BE A GOOD CONSTRUCTION TIMELINE TURNED OUT TO STUFF HAPPENED.
WE TOOK A GUEST BACK IN 2019 WHEN WE'D BE FINISHED AND WE CHOSE 2022, AND WE DIDN'T MAKE 2022.
WITHIN THE TWO-YEAR GRACE PERIOD WOULD HAVE BROUGHT US INTO APRIL 30 OF 2024, AND WE DETERMINED LAST YEAR, WE'RE NOT GOING TO MAKE THAT DATE ANYWAY.
SO WE STARTED THE YEAR TURNING-IN PROCESS IN ORDER TO ASK FOR THIS REQUEST IN THIS DELAY.
I DO HAVE SOME BRIGHT SPOTS ALONG THESE LINES OR WHATEVER FOR THE BOARD.
THAT IS OUR ORIGINAL CONTRACT WAS ORIGINALLY TO HAVE 15 NEW JOBS AND CREATE 1.165 MILLION IN NEW PAYROLL.
IT LOOKS LIKE RIGHT NOW AS OF THE END OF 2023, WE'VE ACTUALLY CREATED 24 DIRECT NEW JOBS.
AN ADDITIONAL NINE NEW JOBS AND WE HAD ORIGINALLY ANTICIPATED WITH PAYROLL NEW ELIGIBLE WAGES UP TO THAT DATE OF ALMOST $3 MILLION.
WE'RE EXCEEDING WHAT WE HAD ORIGINALLY CONTEMPLATED IN THAT CONTRACT AS WELL.
ALSO, WE HAD LOOKED AT $332 MILLION OF INVESTMENT AT THE ONSET OF THIS.
I CAN TELL YOU WE'RE PROBABLY OVER 357 ALREADY AND PROBABLY LOOKING AT BEING NORTH OF 400 MILLION BY THE TIME THAT THIS ALL HITS THE BOOKS.
>> THANK YOU FOR THAT UPDATE AS WELL.
WITH THAT, WE WOULD ENTERTAIN A MOTION, WE HAVE A MOTION FROM MR. MOSS TO APPROVE THIS SPECIAL REQUEST.
SECOND FOR MR. MELE. ANY QUESTIONS OR COMMENTS FROM THE BOARD? YES, SIR.
>> IF YOU WOULDN'T MIND, JUST GIVE US A UPDATED SCHEDULE AND HOW YOU FEEL SO WE WOULD BE EXTENDING TO APRIL 30, 2025 FOR COMMERCIAL OPERATIONS.
HOW DO YOU FEEL ABOUT THAT DATE AND ANY MARGIN OF SAFETY BETWEEN HERE AND THERE?
>> YES, SIR. WE WERE LOOKING WE WERE PUSHING HARD TO GET DONE BY THE END OF LAST YEAR, AND WEREN'T GOING TO MAKE IT.
SO WE SAID, WELL, WE WANT 2024 TO BE OUR FIRST CONTRACT YEAR.
SO IT IS OUR FULL INTENTION AT THIS TIME TO HAVE ALL OF OUR ASSETS HIT THE TAX ROLLS BY THE END OF THIS YEAR.
>> ANY OTHER QUESTIONS OR COMMENTS? HEARING NONE. ANY COMMENTS FROM THE PUBLIC? THERE ARE BEING NONE, ALL IN FAVOR OF GRANTING THE SPECIAL REQUESTS.
SAY AYE. THERE ANY OPPOSITION? THERE ARE BEING NONE, THE MOTION CARRIES.
THANK YOU FOR YOUR INVESTMENT IN THE STATE.
[01:10:07]
>> NEXT, WE HAVE NON-COMPLIANT CONTRACTS FOLLOWING THE 2018 ITP RULES.
>> BEFORE WE GET INTO IT, LET ME AGAIN SET THE TABLE JUST A LITTLE BIT HERE.
THE MOST COMPLIANCE ISSUES THAT WE'VE HAD WITH ITEP FALLS ESSENTIALLY INTO TWO CATEGORIES.
THREE. THEY DIDN'T MEET THE JOB REQUIREMENTS THAT WAS SET UP UNDER THE LAST EIGHT YEARS OF ADMINISTRATION.
THEY DIDN'T MEET THE PAYROLL REQUIREMENT THAT WAS SET UP IN THE LAST EIGHT YEARS OF ADMINISTRATION, OR THEY DIDN'T FILE TIMELY.
>> THANK YOU. WHEN WE FIND THESE NON-COMPLIANCE ISSUES, THE STAFF NOTIFIES THE LOCAL GOVERNMENTS THAT THIS HAS HAPPENED AND WE ASK THE LOCAL GOVERNMENT TO TELL US WHAT YOU THINK.
IT'S NOT BINDING ON THE BOARD, BUT THE LOCAL GOVERNMENT CAN TELL US.
MUCH TO MY CHAGRIN, ABOUT 60-70% OF THE LOCAL GOVERNMENT SAYS, WE DEFER TO THE BOARD.
YOU WILL HEAR FROM ME AS THE LAST BOARD GOT TIRED OF HEARING FROM ME, WHEN LOCAL GOVERNMENT SAID THEY WANTED TO BE IN THIS PROCESS, I EXPECT THEM TO BE IN IT, AND WHEN THEY CHOOSE TO OPT-OUT WHEN THE GOING GETS TOUGH, THEN THAT MEANS THEY DON'T CARE WHETHER WE APPLY A PENALTY OR NOT TO THE NON-COMPLIANCE.
BUT THAT'S JUST ME, I'M JUST ONE VOTE.
BUT THAT'S THE WAY I WILL VOTE EVERY TIME WHEN I SEE DEFER TO THE BOARD.
IN THIS SITUATION, ALL THE NONCOMPLIANCES ARE ALL ABOUT JOBS, PAYROLL, OR DIDN'T FILE TIMELY.
THE WAY THE AGENDA TABLE IS SET UP, IT WILL TELL YOU WITH THE INDEX, WHETHER THE LOCAL GOVERNMENT DEFERRED TO THE BOARD OR WANTS TO TERMINATE OR REDUCE THE TERM OR WHATEVER THEIR RECOMMENDATION IS, THAT THE STAFF HAS BASICALLY SET UP A CODE FOR YOU.
YOU HAVE TO UNDERSTAND THE CODE, BUT ONCE YOU DO, IT'LL GET EASIER AS WE WORK THROUGH THESE.
WITH THAT, I JUST WANTED TO LEVEL SET WHERE WE ARE AND HOW WE'RE GOING WITH. GO AHEAD, MISS DUES.
>> WE HAVE ONE CONTRACT NUMBER 201-90-0070 FOR A.W. CHESTERTON COMPANY AND BOSSIER PARISH AS NON-COMPLIANT FOR THE 2022 REPORTING PERIOD.
THE EXHIBIT A AGREEMENT FOR THE CONTRACT REQUIRED THE COMPANY CREATE AND MAINTAIN 14 NEW JOBS WITH 910,000 IN PAYROLL.
THE ACTUAL JOBS CREATED WAS TWO WITH $155,817 IN PAYROLL.
PARISH SUBMITTED A RESOLUTION RECOMMENDING TO TERMINATE THE CONTRACT DUE TO NON-COMPLIANCE FOR THE 2022 PROJECT YEAR.
THE SCHOOL BOARD SUBMITTED A RESOLUTION RECOMMENDING TO TERMINATE THE ITEP CONTRACT RETROACTIVE TO THE BEGINNING OF THE CONTRACT DUE TO NON-COMPLIANCE FOR PROJECT YEAR 2022.
THE SHERIFF AND THE CITY DID NOT RESPOND WITH RECOMMENDATIONS.
>> WE HAVE NON-COMPLIANCE WITH THE ONLY TWO ENTITIES WHERE THERE WAS AN TP CONTRACT IN PLACE, RECOMMENDING TERMINATION.
THIS IS THE SECOND PORTION OF THAT AS WE DISCUSSED EARLIER.
SO WE HAVE A MOTION FROM MR. NASSER TO TERMINATE THE CONTRACT.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE ARE BEING NONE.
ALL IN FAVOR SAY AYE. ANY OPPOSITION.
THERE ARE BEING NONE, THE MOTION CARRIES. OKAY.
>> WE HAVE TWO CONTRACTS, 2018 0323 A IN 20180-3203 B FOR BAGWELL ENERGY SERVICES IN IBERIA PARISH.
THEY'RE NON-COMPLIANT FOR THE REPORTING PERIODS OF 2020, 2021, AND 2022.
THE EXHIBIT A FOR BOTH THE CONTRACTS REQUIRED THE COMPANY CREATE AND MAINTAIN 40 JOBS WITH 2.8 MILLION IN PAYROLL FOR PROJECT YEAR 2020.
THE ACTUAL JOBS CREATED AND MAINTAINED FOR PROJECT YEAR 2020 WAS SEVEN JOBS WITH 276,950 IN PAYROLL.
FOR PROJECT YEAR 2021, THE EXHIBIT A REQUIRED 60 JOBS WITH 4.2 MILLION IN PAYROLL.
THE ACTUAL JOBS CREATED AND MAINTAINED IN PROJECT YEAR 2021 WAS 16 JOBS WITH 435,620 8,000 IN PAYROLL.
FOR PROJECT YEAR 2022, THE EXHIBIT A REQUIRED 90 JOBS WITH 6.3 MILLION IN PAYROLL.
THE ACTUAL JOBS CREATED FOR PROJECT YEAR 2022 WAS 16 JOBS WITH 848,790 6,000 IN PAYROLL.
[01:15:01]
THE PARISH SUBMITTED THREE RESOLUTIONS, STATING TO RECOMMEND TO THE LOUISIANA BOARD OF COMMERCE AND INDUSTRY FOR DEFERRAL OF ANY DECISION OR ACTION FOR NON-COMPLIANCE FOR PROJECT YEAR 2020 BY BAGWELL ENERGY SERVICES ITP CONTRACT 2018-0323 A, TO RECOMMEND TO LOUISIANA BOARD OF COMMERCE AND INDUSTRY FOR DEFERRAL OF ANY DECISION OR ACTION FOR NONCOMPLIANCE FOR PROJECT YEAR 2020 BY BAGWELL FOR ITP CONTRACT 20180-3203 B.TO RECOMMEND TO THE BOARD LOUISIANA BOARD OF COMMERCE AND INDUSTRY FOR DEFERRAL TO THE BOARD ON ANY DECISION OR ACTION FOR NON-COMPLIANCE BY BAGWELL ENERGY SERVICES FOR ITAP CONTRACTS 2018 0323 A AND 2018 0323B FOR THE PROJECT YEARS OF 2021 AND 2022.
THE SCHOOL BOARD SUBMITTED A RESOLUTION TO RECOMMEND THAT THE TAX EXEMPTION REGARDING SAID CONTRACT BE ENTIRELY ELIMINATED THAT BAGWELL ENERGY SERVICES BEGIN PAYING THE FULL AMOUNT OF ALL TAXES OWED TO THE IBERIA PARISH SCHOOL BOARD, BEGINNING WITH TAX YEAR 2023.
THE BOARD FURTHER RESERVES ALL RIGHT TO COLLECT THE AMOUNT OF TAXES THAT WERE EXEMPTED FOR THE YEARS 2020, 2021, AND 2022.
THE SHERIFF ORIGINALLY DENIED THE EXEMPTION, SO HE WAS NOT REQUESTED TO PROVIDE A RECOMMENDATION.
>> WE HAVE A SITUATION WHERE WE HAVE THE NON-COMPLIANCES.
WE'RE GOING TO HEAR FROM A COMPANY REPRESENTATIVE HERE IN JUST A MOMENT.
THE PARISH HAS DEFERRED TO THE BOARD.
THE SCHOOL BOARD HAS RECOMMENDED TERMINATION OF THE CONTRACT.
WOULD YOU STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE?
>> YES, SIR. I'M ROGER BAGWELL.
I'M CEO OF BAGWELL ENERGY SERVICES.
>> TELL US WHAT'S BEEN HAPPENING HERE.
>> IT'S PRETTY MUCH THE SAME STORY.
WHEN WE MADE THE ASSUMPTIONS ON THE NUMBER OF PEOPLE TO BE HIRED GOING FORWARD, WE WERE PRETTY AGGRESSIVE.
COVID HIT. WE WERE LOOKING AT THE LNG PLANTS, THE CARBON CAPTURE.
THE WIND TURBINE MILLS ARE SUPPOSED TO BE COMING IN.
PNA AND ALL THESE COMPANIES AND PROJECTS GOING FORWARD WERE PRETTY MUCH STALLED.
WE REALLY HAD A TOUGH COUPLE OF THREE YEARS THERE WITH COVID.
IT'S JUST NOW REALLY STARTING TO PICK BACK UP.
BUT NATURALLY, WE DID NOT MEET OUR NUMBERS.
WE WERE ABOUT 50% OF WHAT WE SAID WE WOULD DO, WHICH IN CONSIDERATION, I THOUGHT THAT WAS PRETTY GOOD.
MOST OF THE INTERMEDIATE SIZED CONTRACTORS LIKE US IN THE AREA ACTUALLY WENT OUT OF BUSINESS.
THERE'S ABOUT FIVE LARGE COMPANIES IN OUR AREA THAT REALLY WENT OUT OF BUSINESS ON COVID.
SOME OF THEM, I'M SURE YOU'RE FAMILIAR WITH; DYNAMIC, OMEGA, HONIRON, CPE.
ALL THESE COMPANIES ARE NOW GONE.
WE WERE ABLE TO MAKE IT THROUGH IT, BUT IT WAS TOUGH.
>> FIRST OF ALL, WHAT IS IT YOU MANUFACTURE?
>> WE ARE A WELDING FABRICATION COMPANY.
WE DO CONSTRUCTION AND ALSO OFFSHORE CONTRACTOR.
WE DO SANDBLASTING, PAINTING, WELDING, HYDRO TESTING.
WE BUILD ASME VESSELS, WELDING AND PIPING AND PACKAGES FOR THE OIL FIELD.
>> HOW LONG HAVE YOU BEEN IN BUSINESS?
>> WELL, I'VE BEEN A STAPLE OF THE COMMUNITY.
I'M WAY OUT OF DELCAMBRE. WE STARTED BAGWELL BROTHERS BACK IN 1980.
WE SOLD IT TO THE SHAW GROUP IN '97.
I WAS STILL IN THE OIL FIELD FOR ABOUT 15 YEARS.
WE ENDED UP STARTING BAGWELL ENERGIES, AND WE ENDED UP BUYING THE FACILITY BACK FROM CHICAGO BRIDGE & IRON, WHICH BOUGHT IT FROM SHAW.
I'VE BEEN IN THE AREA FOR A LONG TIME.
I'VE BEEN BAGWELL ENERGY NOW SINCE 2014.
>> GENERALLY, HOW MANY EMPLOYEES DO YOU MAINTAIN ON THE PAYROLL?
>> WELL, RIGHT NOW, WE'RE ABOUT 135.
DURING COVID, WE WERE PROBABLY HALF THAT, I THINK. LET ME SEE.
IT WAS TOUGH DURING THAT TIME, BUT WE TRIED TO KEEP OUR PEOPLE BECAUSE THAT'S YOUR MOST VALUABLE ASSET.
WE'VE BEEN THERE A LONG TIME AND WE'VE ALWAYS BEEN A PART OF THE COMMUNITY THERE.
WE FEEL LIKE WE WENT THROUGH SOME TOUGH TIMES, NOT JUST US, BUT EVERYBODY HAS BEEN IN THE SAME BOAT.
I UNDERSTAND THE LOCAL GOVERNMENT.
THEY'RE IN A BIND WITH THEIR TAXES.
THEY WANT THE TAXES, BUT WE'RE IN A SITUATION WHERE IT HURTS US AT THIS POINT BASED ON THE WAY EVERYTHING'S BEEN.
>> SINCE WE'VE COME OUT OF COVID, HOW HAS HIRING BEEN, GETTING THE WORKFORCE YOU NEED IN ORDER TO MEET YOUR CUSTOMERS?
>> WELL, IT'S BEEN TOUGH. GOOD PEOPLE ARE HARD TO FIND.
EXPERIENCED WELDERS, FITTERS, A LOT OF THEM LEFT.
[01:20:01]
A LOT OF THEM WENT TO PUTTING UP THE WINDMILLS ALL OVER THE COUNTRY.WE'VE BEEN ABLE TO GRADUALLY GET SOME BACK.
WE'RE TRAINING NEW KIDS NOW AND WE'VE INVESTED PRETTY HEAVILY IN HIGH TECH EQUIPMENT WITH WELDING EQUIPMENT AND CUTTING EQUIPMENT.
WE'RE TRAINING THESE YOUNGER KIDS TO BE ABLE TO DO THAT TYPE OF WORK.
WE'VE BEEN THERE A LONG TIME. WE PLAN ON BEING THERE A LONG TIME.
>> DO YOU BELIEVE YOU'LL BE ABLE TO ULTIMATELY REACH THE PAYROLL OR THE EMPLOYEE NUMBERS?
>> WELL, IN ALL REALITY, I WOULD LOVE TO BE ABLE TO REASSESS THE NUMBER.
WE WERE REAL AGGRESSIVE WHEN WE CAME IN ON THIS DEAL AND WE HAD A LOT OF CONFIDENCE THAT WE WERE GOING TO BE ABLE TO MEET OUR NUMBERS.
THE WORLD'S TOTALLY DIFFERENT NOW.
I THINK WE WILL BE ABLE TO GROW.
I JUST DON'T KNOW IF WE'LL BE ABLE TO GROW AT THE PACE THAT WE ORIGINALLY SAID WE COULD IN 2019.
>> I DEAL WITH CHEVRON, HESS, OXY, A LOT OF THE SMALLER ONES, ARINA, RENAISSANCE, A LOT OF THE LOCAL CONTRACTORS.
WE WORK FOR HALIBURTON, WEATHERFORD.
WE BUILD A LOT OF THEIR EQUIPMENT.
CETCO. A LOT OF THESE COMPANIES THAT BUILD EQUIPMENT, WE BUILD THEIR VESSELS AND THEIR PIPING.
WE DEAL WITH A LOT OF PEOPLE IN OUR AREA.
IN REALITY, WE REALLY BLANKET THE WHOLE ENERGY INDUSTRY.
IN MY WORLD, I JUST WANT TO KNOW WHAT IT LOOKS LIKE FROM YOUR SIDE OF THE TABLE.
>> I THINK IT LOOKS BETTER, BUT IT'S BEEN TOUGH.
>> IF YOU LOOK AT THE PORT OF IBERIA, IT'S ALMOST LIKE A GHOST TOWN COMPARED TO WHAT IT USED TO BE.
WE'RE IN THE TWIN PARISH PORT, WHICH IS A SMALL PORT RIGHT THERE ON THE DELCAMBRE CANAL.
I THINK WE'RE GROWING AND WE'RE STILL THERE.
WE GOT A PRETTY NICE OPERATION, ONE OF THE NICEST FABRICATION FACILITIES IN SOUTH LOUISIANA.
>> I FIGURE WE MIGHT SPUR SOME QUESTIONS.
I'M GOING TO NOT FOLLOW A PARLIAMENTARY PROCEDURE, BUT I'M GOING TO LET THE QUESTIONS PROCEED BECAUSE I THINK THAT MAY HELP INFORM WHAT THE MOTION OUGHT TO BE.
MR. NASSER FIRST, AND THEN WE'LL COME OVER HERE.
>> DID YOU MEET WITH THE SCHOOL BOARD PRESIDENT, SUPERINTENDENT BEFORE?
AT THE LAST MEETING THEY HAD, I WANTED TO BE THERE, BUT I HAD PRIOR OBLIGATIONS IN HOUSTON AND I WASN'T ABLE TO MAKE IT.
BUT I HAVE TALKED TO THE GUYS OVER THERE. YES, SIR.
THEY DIDN'T REALLY WANT TO PENALIZE US, BUT THEY'RE IN A BIND.
UNFORTUNATELY, THEY NEED MONEY.
>> BECAUSE THE WAY IT LOOKS, THE SHERIFF, HE DENIED THE INITIAL EXEMPTION, CORRECT?
>> YES, SIR. IT WAS PRETTY MUCH THE SAME THING.
THEY WERE TIED, AND HE JUST PRETTY MUCH SAID, LOOK, I JUST CAN'T AFFORD TO GIVE ANYBODY AN EXEMPTION. I DID MEET WITH THEM.
>> ACCORDING TO JERALD, THEY DEFERRED TO THE BOARD ON THIS MATTER.
TORN ON THIS ONE, TO BE HONEST WITH YOU.
>> BECAUSE THE LOCALS HAVE WEIGHED IN.
I WORKED CONSTRUCTION IN MY EARLY YEARS AND I WORKED IN INDUSTRY FOR 38 YEARS.
>> WELL, I AGREE WITH YOU. I'M TORN TOO.
I WISH I COULD JUST PAY THESE GUYS WHAT I PROBABLY OWE THEM, BUT WE'RE IN THE SAME BOAT AS THEY ARE.
IT'S JUST A MATTER OF WHO NEEDS IT THE WORSE, I GUESS.
>> THANK YOU FOR SHOWING UP THIS MORNING TO ANSWER THESE QUESTIONS.
YOU SAID THAT YOU FELT YOU ALL HAVE MET 50% OF YOUR OBLIGATIONS.
>> FROM WHAT I'M LOOKING AT RIGHT HERE, WHAT DOES THAT COMPUTE? I'M LOOKING SALARIES, AND I'M LOOKING AT BOTH IN ACTUAL JOBS AND REQUIRED.
>> WELL, I'M SAYING, WE PROBABLY HIRED ABOUT 50% OF THE NUMBER OF PEOPLE THAT WE SAID THAT WE WOULD HIRE.
>> GOT YOU. YOUR BUSINESS, I HEARD FABRICATION IN THE OIL INDUSTRY, BUT ALSO IN SOLAR PANELS.
>> WELL, ONE THING THAT WE DID WHEN WE AGREED WHAT WE WERE GOING TO HIRE, WE REALLY THOUGHT THAT WIND TURBINE BUSINESS WOULD BE COMING TO SOUTH LOUISIANA.
I'VE BEEN HEARING FOR FIVE, 10 YEARS, WE'RE GOING TO START DOING THIS.
WE'RE GOING TO START EXPANDING INTO THE WIND TURBINES, OFFSHORE PLATFORMS TO BE ABLE TO PUT THESE WINDMILLS ON.
THE LNG PLANTS, WHEN COVID HIT, A LOT OF THE PERMITS GOT SLOWED DOWN.
WE DO A LOT OF THE LNG WORK, BUT A LOT OF THE BIG PROJECTS HAVE BEEN POSTPONED FOR SEVERAL YEARS NOW.
A LOT OF THE THINGS THAT WE LOOKED AT THAT WE THOUGHT WERE GOING TO BE VERY AGGRESSIVE IN
[01:25:03]
OUR AREA TO BE ABLE TO HIRE PEOPLE HASN'T COME ABOUT.THESE PROJECTS JUST HAVEN'T COME AROUND LIKE WE THOUGHT THEY WOULD.
I THINK THEY EVENTUALLY WILL, BUT IT'S BEEN THREE YEARS SINCE COVID, OR 2021, '22.
REALLY JUST NOW SEEING A LOT OF THE LARGER OIL COMPANIES STARTING TO DO SOME OF THESE LARGER PROJECTS.
NATURALLY, WE WEREN'T ABLE TO MEET OUR NUMBERS.
>> MR. MELE, THIS MAY HELP YOU UNDERSTAND THE NUMBERS A LITTLE BIT BETTER.
THEY DO HAVE TO STILL MAINTAIN THEIR BASELINE NUMBER OF JOBS FROM BEFORE THE PROJECT STARTED.
HE MAY HAVE HIRED MORE THAN THE 16 OR SEVEN THAT YOU'RE SEEING ON THE AGENDA, BUT IF HE LOST ANYONE OFF THE BASELINE, HE WOULD HAVE TO BACK FILL THOSE JOBS BEFORE ANY NEW JOBS WOULD COUNT.
>> THIS QUESTION IS FOR STAFF.
FIFTY PERCENT OF WHAT HE'S SAYING THAT HE ACTUALLY HAS ON PAYROLL, WOULD HE HAVE QUALIFIED FOR THE PROGRAM IF HE HAD USED THAT NUMBER IN HIS PROJECTIONS?
>> WHAT HE WAS REQUIRED WAS THE 40, 60, AND 90 WITH THOSE PAYROLLS.
I DON'T SEE THAT THE NUMBERS THAT THEY ACTUALLY CREATED WOULD BE 50% OF.
>> YES. BUT HE'S SAYING THAT HE'S HIRED ABOUT 50% OF.
>> THAT'S WHAT I'M SAYING. YOU HAVE TO MEET THE BASELINE.
>> NO, I UNDERSTAND THAT. I'M JUST ASKING IF HE HAD PROJECTED 50%.
>> YOU'RE SAYING HALF OF 90 WOULD BE 45.
>> IF HE HAD PLACED THAT ON HIS APPLICATION, WOULD HE HAVE BEEN ELIGIBLE FOR THIS PROGRAM?
>> I'M JUST TRYING TO UNDERSTAND THE PROGRAM A LITTLE BETTER.
>> THE JOB REQUIREMENTS ARE WHAT THE COMPANY IS COMMITTING TO.
IT'S NOT EVER NUMBERS THAT LED REQUIRES THEM TO CREATE.
THAT'S WHAT THEY ARE SAYING THEY'RE COMFORTABLE WITH COMMITTING TO AT THE TIME OF APPLICATION.
>> THANK YOU. THIS OTHER QUESTION, I GUESS WOULD BE FOR THE CHAIR.
IS IT NORMAL PRACTICE THAT THE BOARD VOTE CAN ALLOW THE SCHOOL BOARD TO GO BACK ON A BUSINESS OWNER FOR SEVERAL YEARS FOR THE TAXES THAT THEY WERE EXEMPT FROM?
>> THAT'S OUTSIDE OUR PROVINCE AT THIS POINT.
>> BECAUSE IN THEIR REQUEST, IT SOUNDED LIKE THEY WERE ASKING FOR THAT, AND THAT MAY NOT BE SOMETHING THAT WE COULD OR COULD NOT APPROVE.
>> I THINK THAT IS SOMETHING THAT THEY ARE PERHAPS INTENDING TO DO.
>> JUST TRYING TO UNDERSTAND THAT PROCESS.
>> THAT'S BETWEEN THEM AND THEIR LAWYERS.
>> FAIR QUESTION THOUGH. YES, SIR. MR. MOSS.
>> ALSO FOR STAFF. JUST WANTED TO CLARIFY.
THE BENEFIT TAKEN SO FAR IS ROUGHLY $20,000 PER YEAR, 2021, '22, AND THERE'S AN ADDITIONAL TWO YEARS, '23 AND '24, ON THE ORIGINAL CONTRACT. IS THAT CORRECT?
>> RIGHT. IT'S AROUND 20 PER YEAR.
>> THEN TO FOLLOW UP, SO JUST TO CLARIFY, WE HAVE NO OPTION AT THIS BOARD TO SPLIT WHAT'S BEEN TAKEN TO DATE AND WHAT IS FUTURE BENEFIT.
>> NO, WHERE WE ARE, OUR OPTIONS IN NONCOMPLIANCE AND TIME WE HAVE A NONCOMPLIANCE SITUATION IS REALLY THE SWORDS, THE ARROWS IN OUR QUIVER, IF YOU WILL, IS WE CAN REDUCE THE NUMBER OF YEARS THAT ARE LEFT IN THE CONTRACT AND THAT'S ESSENTIALLY IT.
I THINK I'M GOING THROUGH MY MIND TRYING TO CHECK THE LIST IF THERE'S OTHER THINGS WE CAN DO, OR WE CAN IGNORE ALTOGETHER, OR WE CAN CANCEL THE CONTRACT IF YOU HAVE AN EGREGIOUS SITUATION, TO MY KNOWLEDGE, TO MY RECOLLECTION, I DON'T BELIEVE WE'VE EVER CANCELED A CONTRACT, NOT SINCE I'VE BEEN HERE AT LEAST, BUT USUALLY THE RESPONSE IS CUTTING BACK ON THE NUMBER OF REMAINING YEARS IN THE CONTRACT.
MS. CHING, MR. ISSAY, AM I RIGHT?
>> I THINK WE HAVE TERMINATED IF THAT WAS THE RECOMMENDATION OF THE LOCALS.
>> YOU'RE CORRECT. YOU'RE 100% RIGHT.
>> I'M THINKING IF IT'S BEEN DEFERRED TO BOARD THE BOARD HAS DONE.
>> IF IT'S DEFERRED TO THE BOARD, WE'VE NOT TERMINATED.
IF THE LOCALS WANTED TO TERMINATE IT, WE HAVE GENERALLY FOLLOWED THAT. MS. BISHUA.
>> STAFF, IS THERE ANY NON COMPLIANCE ISSUES OTHER THAN THE JOBS AND PAYROLL REQUIREMENT? WAS THE CAPITAL INVESTMENT COMPLIANT?
[01:30:01]
>>THERE IS NOT REALLY A CAPITAL INVESTMENT REQUIREMENT.
THEY COMPLETED THEIR PROJECT AND DID MEET WHAT THEY INTENDED TO SPEND. YES.
>> I'M GOING TO SAY SOMETHING SO POLITICALLY INCORRECT.
I'M GOING TO APOLOGIZE AHEAD OF TIME. NOW YOU'LL ARE LISTENING.
WE'VE NEVER HAD COMPLIANCE ISSUES UNTIL OUR JOBS AND PAYROLL GOT ADDED TO THE CONTRACT REQUIREMENTS AND AS A RESULT, WHEN THE EO IS IMPLEMENTED, WE WILL NO LONGER HAVE JOBS IN PAYROLL, AND IT MAY TAKE A FEW YEARS, BUT WE WILL NOT HAVE COMPLIANCE ISSUES AT SOME POINT.
THE REASON FOR THAT IS THAT JUST AS MR. BAGWELL, JUST AS FORMOSA, JUST AS MANY OTHER COMPANIES HAVE COME BEFORE US TO SIT IN 2019 AND SAY, WHEN I GET THIS PROJECT GOING, THE MARKET, AND THE BUSINESS CLIMATE, AND THE WORKFORCE IS GOING TO BE THERE, SO I CAN HIRE 20 PEOPLE, TO BE ABLE TO LOOK IN THE CRYSTAL BALL AND NOW YOU SAY, YOU COULD HAVE A HURRICANE, YOU COULD HAVE COVID, YOU COULD HAVE WHATEVER NEXT DISASTER COMES ALONG, BUT SOMEHOW WE CAN SEE IN ADVANCE AND KNOW HOW WE CAN DO THAT, OR EVEN THE BETTER EXAMPLE IS, OR I'M GOING TO INVENT A NEW WIDGET IN MY FACTORY THAT SAYS, I NO LONGER NEED THREE EMPLOYEES, I CAN DO IT WITH ONE EMPLOYEE.
BECAUSE AS HENRY FORD HAS TAUGHT US, MANUFACTURING IS ALWAYS LOOKING HOW TO MAKE MORE WIDGETS WITH FEWER PEOPLE, ALWAYS.
WHEN WE HAVE A PUBLIC POLICY THAT SAYS WE'VE GOT TO MAINTAIN JOBS AND PAY ROLL WHEN MANUFACTURING IS TRYING TO CUT JOBS AND PAYROLL BECAUSE THAT IS WHAT MANUFACTURING DOES, YOU'VE GOT POLICY AND REALITY ARE NOT ALIGNED.
I'M FRANKLY GRATEFUL THAT WE ARE COMING TO A POINT WHERE WE ARE GOING TO GO BACK TO WHAT THE BUSINESS AND INDUSTRY REALITY REALLY IS AND GET RID OF THE JOBS AND PAYROLL REQUIREMENT ALTOGETHER.
BUT I'M SORRY THAT DOESN'T HELP YOU TODAY, MR. BAGWELL, BUT GOT THAT OFF MY CHEST.
I WON'T EVER SAY IT AGAIN, IN ANY EVENT.
NOW, WE HAVE A SITUATION HERE WHERE WE HAVE A POLICE JURY HAS DEFERRED TO THE BOARD, AND AGAIN, IN MY MIND, THAT MEANS THAT THEY DON'T CARE, SO THAT MEANS NO PENALTY.
IT IS POSSIBLE FOR US TO GRANT NO PENALTY FOR THE POLICE JURY PORTION OF THE AD VALOREM BUT STILL TERMINATE THE CONTRACT FOR THE SCHOOL BOARD.
THAT'S AN OPTION IF THAT'S SOMETHING THE BOARD WANTS TO DO.
>> THAT'S THE MOTION I WOULD LIKE TO MAKE.
>> THE REASON IS BECAUSE AS YOU SAID EARLIER WE ASKED THE LOCALS TO GET INVOLVED AND THE LOCALS ARE NOW INVOLVED, AND THIS IS UNDER THE OLD EXECUTIVE ORDER, SO THAT'S MY MOTION THAT WE TERMINATE THE EXEMPTION FOR THE SCHOOL BOARD.
AS YOU SAID, THE POLICE JURY DEFERRED TO THE BOARD SO IF IT WOULD BE THE WISHES OF THE BOARD, I COULD INCLUDE IN THAT MOTION THAT WE DON'T TERMINATE THE EXEMPTION FOR THE POLICE JURY.
THE SHERIFF HAS ALREADY DENIED THE EXEMPTION ORIGINALLY.
>> WE HAVE A MOTION TO TERMINATE THE SCHOOL BOARD PORTION OF THE CONTRACT, KEEP THE PARISH PORTION OF THE CONTRACT.
DO I HAVE A SECOND TO THAT MOTION?
>> I HAVE A SECOND FROM MAYOR TOUPS.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD, MR. MELE?
>> WHERE DOES THE FACTOR RAN THIS IS FOR A MODIFICATION OF FROM DAY FORWARD? I KNOW THAT WAS BROUGHT UP, THERE MAY BE SOME ADJUSTMENT.
>> MODIFYING THE CONTRACT ALTOGETHER. MS. JANE, HELP US OUT.
>> THERE'S AN OPTION TO GO TO THE LOCALS.
WELL, AT THIS POINT, IT WOULD JUST BE TO THE POLICE JURY AND REQUEST THAT THEY AMEND THEIR EXHIBIT AIDE FOR A LOWER JOB CREATION AND PAYROLL CREATION NUMBER AND HOPEFULLY, THEY'D BE ABLE TO MEET IT AT THAT POINT IF THE LOCALS AGREED TO IT.
>> BUT THAT WOULD MAKE IT MORE PROBLEMATIC FOR APPROVAL.
>> THAT WOULD HAVE TO GO TO THE LOCALS FIRST.
>> THAT WOULD HAVE TO GO TO THE LOCALS? OKAY.
>> MR. BAGWELL, I THINK WHAT IS BEING SUGGESTED IS AS YOU LOOK AT YOUR REALISTIC JOBS AND PAYROLL NUMBERS FOR THE BALANCE OF THE ITEP PROGRAM, YOU MAY WANT TO CONSIDER GOING BACK NOW TO THE POLICE JURY AND SAYING, LISTEN, INSTEAD OF 40 JOBS AND 2.8 MILLION IN SALARY, PUT IT IN WHAT MAY BE NOW THE MORE REALISTIC NUMBER AND THERE MAY BE SOME, I CAN'T SPEAK FOR THE POLICE JURY,
[01:35:02]
BUT WHAT WOULD HAPPEN MECHANICALLY IS THAT YOU WOULD GO TO THEM, IF THEY APPROVE IT, IT WOULD COME BACK TO US, WE WOULD AMEND YOUR CONTRACT AND YOU MAY FOREGO POTENTIALLY FUTURE COMPLIANCE ISSUES.>> YEAH. WE DID HAVE A DISCUSSION ABOUT THAT WITH THE PARISH AND THEY WERE THEY WERE PRETTY MUCH IN AGREEMENT WITH IT, SO I GUESS WE WOULD HAVE TO GO BACK TO THEM.
>> THAT MAY BE THAT MAY BE SOMETHING WORTH CONSIDERING.
>> IF WE'RE GOING TO DO THAT THOUGH, IF WE VOTE ON IT THE WAY IT'S BEEN PRESENTED, DOES THAT STOP HIM FROM BEING ABLE TO GO FORWARD?
>> NO. BECAUSE Y' ALL WOULD STILL BE LETTING THE PARISH PORTION OF THE EXEMPTION GO FORWARD.
>> WHAT IF HE WENT TO THE SCHOOL BOARD THOUGH AND DID THE SAME THING?
>> WELL, HE CAN'T BECAUSE IT'D BE TERMINATED AT THIS POINT.
>> HE WOULD NOT BE ABLE TO GO TO THE SCHOOL.
>> IF WE GO FORWARD, IF WE DEFERRED AND GIVE HIM TIME TO GO BACK TO THE SCHOOL BOARD AND GO BACK TO THE POLICE JURY.
HE'S GOT UNTIL OCTOBER UNTIL THE TAX ROLLS CLOSE.
>> I LOVE OUT OF THE BOX THINKING, MR. MILLER.
WHERE YOU'RE GOING IS RATHER TAKE ANY ACTION ON THIS MATTER TODAY, DEFER IT TO AT LEAST THE NEXT MEETING, GIVING MR. BAGWELL AN OPPORTUNITY TO GO SPEAK TO THE SCHOOL BOARD AND THE PARISH AND SEE IF THEY WOULD AGREE TO A MODIFICATION, AND THERE MAY BE A NEGOTIATED RESOLUTION OF WHATEVER YOU HAVE.
>> THAT WAY, OUR NEXT MEETING IS NOT UNTIL JUNE, THE LATTER PART OF JUNE, SO THAT GIVES YOU SOME TIME AND IF IT WORKS OUT, GREAT, IF IT DOESN'T, I THINK YOU SENSE THE SENTIMENT OF THIS BOARD TODAY.
>> I UNDERSTAND. I APPRECIATE THAT.
IT MIGHT GIVE ME A LITTLE TIME TO GO GIVE THEM SOME OPTIONS AND WORK IT OUT WITH THEM. THAT'D BE GREAT.
>> AS A POINT, ALL OF OUR ACTIONS DURING THE YEAR, WE TALKED ABOUT EARLIER, THAT IF IT GOES ON THE TAX ROLLS AND YOU PAY THE BILL, WE'RE OUT OF THE QUESTION, IT'S DONE.
>> ALL OF OUR DECISIONS, IF THEY CAN BE MADE ALL THE WAY UP UNTIL IT GOES ON THE TAX ROLLS AND YOU PAY THE BILL.
>> THERE'S NO RUSH FOR US TO DO IT TODAY.
>> YOU WITHDRAW YOUR MOTION AND A SECOND.
>> MAYOR TOUPS WITHDRAWS HIS SECOND.
MR. MILLER WILL MAKE A SUBSTITUTE MOTION.
>> TO DEFER THE MATTER UNTIL THE JUNE MEETING.
I THINK THAT'S A GREAT SOLUTION.
I HAVE A SECOND FROM MR. SIMIEN.
ANY OTHER 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.
>> NEXT, WE HAVE ONE CONTRACT, 20170588 FOR DEPENDABLE GLASS WORKS IN ST. TAMMANY PARISH THAT IS NON COMPLIANT FOR THE 2022 REPORTING PERIOD.
THE EXHIBIT A AGREEMENT FOR THE CONTRACT REQUIRES THE COMPANY CREATE AND MAINTAIN FOUR JOBS WITH 120,000 IN PAYROLL.
THE ACTUAL JOBS AND PAYROLL CREATED FOR 2022 WAS ZERO.
THE PARISH AND CITY DID NOT RESPOND WITH RECOMMENDATIONS.
THE SCHOOL BOARD AND SHERIFF BOTH SUBMITTED RECOMMENDATIONS, STATING TO DEFER THE MATTER TO THE BOARD.
>> DO WE HAVE SOMEONE HERE FROM DEPENDABLE GLASS WORKS? IF YOU WILL STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.
>> HELLO. MY NAME IS ACTUALLY KYLE BUCKLEY, AND I'M THE INCENTIVE SPECIALIST FOR ST. TAMMANY CORPORATION, WHICH IS THE ECONOMIC DEVELOPMENT ORGANIZATION FOR ST. TAMMANY PARISH.
DEPENDABLE GLASS IS A SMALLER COMPANY, AND BY NATURE OF THAT AND THEN BEING IN THE MIDDLE OF TAX SEASON AND WHATNOT, THEY WERE NOT ABLE TO SPARE AN EMPLOYEE TO ATTEND THE MEETING TODAY.
BUT THEY HAVE PROVIDED A LETTER AND THEY ASKED THAT I HAVE IT READ INTO THE RECORDS.
>> TO THE MEMBERS OF THE BOARD OF COMMERCE AND INDUSTRY.
I'M THE FINANCE MANAGER OF DEPENDABLE GLASS WORKS, A HISTORIC GLASS MANUFACTURING COMPANY LOCATED IN DOWNTOWN COVINGTON, LOUISIANA.
I APOLOGIZE FOR BEING UNABLE TO ATTEND THE MEETING TODAY TO DISCUSS THE ANNUAL COMPLIANCE FOR OUR INDUSTRIAL TAX EXEMPTION PROGRAM.
THIS PROGRAM HAS PROVIDED GREAT ASSISTANCE TO OUR COMPANY, AND WE ARE GRATEFUL FOR THE OPPORTUNITY TO PARTICIPATE IN PREVIOUS YEARS.
HOWEVER, SINCE WE FIRST APPLY FOR THIS PROGRAM, WE HAVE FACED SEVERAL UNFORESEEN CHALLENGES THAT HAVE MADE IT DIFFICULT TO NOT ONLY CREATE THE NEW JOBS WE ORIGINALLY INTENDED, BUT ALSO MAINTAIN THE EXISTING WORKFORCE.
WE ARE A COMPARATIVELY SMALL COMPANY THAT HAS TO PUNCH ABOVE OUR WEIGHT TO COMPETE IN OUR INDUSTRY.
FINDING AND RETAINING QUALIFIED WORKERS IS A MAJOR DIFFICULTY THAT WE ARE CONSTANTLY HAVING TO ADDRESS.
AS SUCH, AND IN LOOKING AT CURRENT PROJECTIONS,
[01:40:01]
WE DO NOT EXPECT TO BE IN COMPLIANCE IN 2023 OR SUBSEQUENT YEARS.WE DO NOT WISH TO CONTINUALLY GO BEFORE LOCALS WHO HAVE BEEN VERY UNDERSTANDING TO DATE AND ASK FOR THEIR PATIENCE WHEN WE KNOW THERE'S NO SOLUTION ON THE HORIZON.
WE ARE CURRENTLY AT THE LAST YEAR OF THE INITIAL FIVE-YEAR TERM OF OUR ITP CONTRACT.
OUR UNDERSTANDING IS THAT WE HAVE THE OPTION TO RENEW FOR AN ADDITIONAL FIVE YEARS.
WE WOULD LIKE TO REQUEST THAT NO PENALTY BE APPLIED FOR 2022 AND THAT OUR CONTRACT BE CANCELED FOR FUTURE YEARS RATHER THAN MOVING FORWARD WITH OUR FIVE-YEAR RENEWAL.
TO CLARIFY, WE ARE REQUESTING THAT THE CONTRACT BE CANCELED EFFECTIVE 12/31/2022.
PLEASE KNOW THAT WE ARE GRATEFUL FOR THE OPPORTUNITY TO PARTICIPATE IN THE INITIAL TERM OF THIS CONTRACT, AND THOUGH THIS PROJECT MAY SEEM SMALL COMPARED TO SOME OF THE OTHER ITAPS ON TODAY'S AGENDA, THE ABATEMENT PROVIDED MADE A CRITICAL DIFFERENCE IN THE EARLY DAYS OF THIS EXPANSION.
WE ARE ALSO THANKFUL FOR THE PATIENCE OF OUR LOCAL GOVERNING BODIES, THIS BOARD, AND OUR LOCAL ECONOMIC DEVELOPMENT OFFICE WHO HAVE HELPED US NAVIGATE THIS PROCESS AS BEST WE COULD GIVEN THE CIRCUMSTANCES.
SINCERELY, TASHA JAKES, FINANCIAL MANAGER, DEPENDABLE GLASS WORKS.
>> I APPRECIATE IT, THEY DO NOT INTEND TO CONTINUE IN THE PROGRAM FOLLOWING THE INITIAL FIVE-YEAR TERM, IS THAT CORRECT?
>> NOW, GUYS, HELP ME OUT PROCEDURALLY.
THEY'VE ESSENTIALLY ASKED FOR A CANCELLATION.
IS THAT A MATTER FOR ANOTHER BOARD MEETING OR CAN WE ACT ON THAT TODAY?
>> IT'S MY UNDERSTANDING THAT THEY'RE ASKING FOR A CANCELLATION BECAUSE IT WOULD BE FOR FOUR YEARS, SO IF IT WAS CANCELED EFFECTIVE 12/31/2022, THAT WOULD GIVE THEM A FOUR-YEAR CONTRACT.
IF THE RENEWAL WASN'T DUE UNTIL THE END OF 2023, THEY CHOSE NOT TO RENEW IT.
IF THEY JUST LET IT EXPIRE AND JUST DIDN'T FILE A RENEWAL LATE, THEN THEY WOULD STILL HAVE COMPLIANCE DUE FOR 2023 UPCOMING IN 2024, SO THEY DON'T WANT TO HAVE TO SUBMIT COMPLIANCE FOR 2023.
>> WHICH IS WHY THEY'RE REQUESTING THE CANCEL BACKDATED AND HAVE 2022 BE THE LAST YEAR THEY'RE RESPONSIBLE FOR.
>> MISS JANE, SO YOU HAVE SOMETHING YOU WANT SAY? OKAY, I THOUGHT YOU WERE REACHING FOR THE MIC.
I GUESS MY QUESTION IS, CAN WE CANCEL THEIR CONTRACT EFFECTIVE NOW IN THIS MEETING?
>> OKAY. THAT CANCELLATION WOULD BE EFFECTIVE WHAT DATE?
>> THEY'RE REQUESTING, CORRECT ME IF I'M WRONG, 12/31/2022 [OVERLAPPING].
>> ESSENTIALLY BYPASSING ANY COMPLIANCE ISSUES.
>> CORRECT. BECAUSE IF THEY JUST LET IT EXPIRE AND JUST NOT RENEW IT, IT WOULD AUTOMATICALLY EXPIRE 12/32/2023.
>> BUT THAT 2023 COMPLIANCE WOULD BE DUE THIS YEAR, AND THEY WOULD HAVE TO GO BACK TO THE LOCALS IF THEY KNOW THEY'RE ALREADY NON-COMPLIANT.
>> I UNDERSTAND. WHAT HAPPENS WITH THE TAXES THAT WERE NOT PAID FOR 2022 AND 2023.
>> IT WOULD JUST BE 2023'S TAXES.
>> JUST 2023'S? HAVE THEY CONSIDERED THAT OBVIOUSLY, 2023 TAXES ARE PROBABLY PAST DUE BY NOW? OR HAVE THEY [OVERLAPPING]? I GUESS THEY HAVEN'T BEEN PLACED ON THE ROLL AT THIS TIME POINT.
>> I WAS GOING TO SAY, I DON'T KNOW THAT THE ASSESSOR WOULD HAVE PLACED THEM ON THE ROLL SINCE THEY TECHNICALLY HAVE A CONTRACT.
>> YOU'RE RIGHT. SO THEY HAVEN'T BEEN ON THE ROLLS, THEY'RE NOT PAST DUE, THE TAX ASSESSOR WOULD HAVE TO PUT THEM ON THE ROLLS, AMEND THE 2023 TAX ROLLS, AND THEN SEND A TAX BILL, AND THEN THEY WOULD HAVE TO PAY IT.
WELL, WITH THAT, DO WE HAVE A MOTION? MR. [INAUDIBLE]? WE HAVE A MOTION FROM MR. [INAUDIBLE] TO TERMINATE WITH AN EFFECTIVE DATE OF 12/31/22, IS THAT ACCURATE?
>> DO WE HAVE A SECOND TO THAT MOTION? I HAVE A SECOND FROM MR. MOSS.
I GOT TO SAY THAT IS THE MOST CREATIVE APPROACH TO, AND I'M NOT BEING PEJORATIVE.
WHEN YOU RECOGNIZE THAT YOU'RE IN OVER YOUR HEAD AND THAT THE PROJECTIONS WERE WRONG AND YOU'RE NOT GOING TO BE ABLE TO, AT SOME POINT IN TIME, YOU HAVE TO DECIDE, OKAY, IT'S TIME TO SAY, THIS WAS A GOOD RUN, BUT WE'VE DONE THE BEST WE CAN DO, SO I RESPECT THAT. I RESPECT THAT.
>> WE HAVE A MOTION AND A SECOND TO TERMINATE EFFECTIVE DECEMBER 31, 2022.
ANY OTHER COMMENTS OR QUESTIONS FROM THE BOARD? THERE BEING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE. ALL IN FAVOR SAY AYE.
[01:45:01]
>> ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES. THANK YOU VERY MUCH.
>> NEXT, WE HAVE TWO CONTRACTS, 2018/04/03 AND 2018/04/03-A FOR INDORAMA VENTURES OLEFINS, LLC AND CALCASIEU PARISH THAT ARE BOTH NON-COMPLIANT FOR THE 2022 REPORTING PERIOD.
THE EXHIBIT A AGREEMENT FOR BOTH CONTRACTS REQUIRES THE COMPANY CREATE AND MAINTAIN FIVE JOBS WITH 150,000 IN PAYROLL.
THE ACTUAL JOBS AND PAYROLL CREATED AND MAINTAINED WAS ZERO.
THE POLICE JURY SUBMITTED A RESOLUTION RECOMMENDING FOR EACH CONTRACT TO REDUCE THE TERM BY ONE YEAR.
THE SCHOOL BOARD ISSUED A RESOLUTION RECOMMENDING FOR EACH CONTRACT TO REDUCE THE EXEMPTION PERCENTAGE FROM 80% TO 40% FOR THE REMAINING AGREEMENT TERMS PREVIOUSLY GRANTED TO INDORAMA, AND THE SHERIFF DID NOT RESPOND WITH A RECOMMENDATION.
>> YOU'RE HERE REPRESENTING INDORAMA?
>> STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.
>> DAVID HEXT, I'M THE SITE MANAGER FOR INDORAMA VENTURES, WEST LAKE.
>> OKAY. TELL US WHAT'S HAPPENED HERE.
>> FIRST, I WANT TO SAY WE ARE IN COMPLIANCE AND HAVE SUBMITTED OUR FULL COMPLIANCE FOR 2023, SO WE WON'T NEED TO APPEAR IN THE FUTURE.
THE JOB POSITIONS ARE EXISTING AND HAVE EXISTED, WE JUST WERE UNABLE TO FILL ALL OF THOSE JOBS, AND WE HAD ATTRITION AND LOSSES.
WE STRUGGLED THROUGH COVID, WHERE WE FELL BEHIND AND THEN HIRING OUT OF THAT, IT'S A VERY COMPETITIVE JOB MARKET IN THE WEST LAKE, THAT LAKE CHARLES AREA FOR EXPERIENCED QUALIFIED OPERATORS, IN 2023, WE ONBOARDED 25 EMPLOYEES AT AN AVERAGE SALARY OF $100,000, SO WE'VE DONE A MASS HIRING TO FILL EXISTING JOBS THAT WE HAD IN OUR ORGANIZATIONAL STRUCTURE.
THE REQUEST WE HAVE IS THAT WE NOT BE PENALIZED.
WE'VE WORKED VERY HARD TO GET IN COMPLIANCE.
WE EMPLOY WITH OUR OWN WORKERS AND OUR RESIDENT CONTRACTORS OF 200 PLUS EMPLOYEES ARE WORKING THERE EVERY DAY.
WE REPRESENT A BILLION DOLLAR INVESTMENT IN THAT AREA.
WE HAVE LAND AND INFRASTRUCTURE AND ROOM FOR GROWTH.
WE'VE PAID 25 MILLION AND EXPENSES TO LOUISIANA LOCAL AND STATE BUSINESSES LAST YEAR WITH THE ASSOCIATED TAXES THAT GO ALONG WITH THOSE EXPENSES FOR US.
WE'VE PARTNERED WITH SOELA TO GET CO OPS IN, TO GET THOSE EXPERIENCED OPERATORS.
WE'VE WORKED WITH MCNEICE ON TECHNICAL PROFESSIONALS.
WE'VE WORKED WITH LA JOB WORKS, AND IT'S JUST BEEN A STRUGGLE TO GET IN QUALIFIED.
IT'S A HIGHLY HAZARDOUS INDUSTRY, SO GETTING QUALIFIED CHEMICAL OPERATORS IS A CHALLENGE WHERE TRADING THEM BACK AND FORTH WITH ALL THE LOCAL PLAYERS, THE LNGS, THE [INAUDIBLE] LAND LBS SALES.
WE'VE WE RAISED OUR PAY IN 2023 TO BE A TOP TIER PAYER IN THE AREA.
WE'VE DONE RETENTION BONUSES FOR OUR CHEMICAL OPERATORS FOR CONSECUTIVE YEARS.
WE'RE ONE OF THE TOP PAYERS IN THE AREA.
WE'VE GOT EMPLOYEES WORK FOR US LEFT, AND WE BROUGHT THEM BACK BECAUSE WE'RE PREFERRED EMPLOYER IN THE AREA, OR THEY THINK WE ARE.
WE'VE DONE A LOT OF WORK TO REALLY GET THESE PEOPLE BACK.
THE SITE HAS IMPROVED IMMENSELY IN THE LAST TWO YEARS IN RELIABILITY AND ENVIRONMENTAL HEALTH AND SAFETY.
WE JUST HAVE DONE A LOT OF WORK IN THE AREA OF RELIABILITY AND RESILIENCY.
THE COMPANY CONTINUES TO INVEST IN US.
WE BROUGHT IN OLD OXY KM ASSET THAT WAS DOWN FOR 15 YEARS.
WE BROUGHT IT BACK FROM THE DEAD AND WE'VE GOT 200 PLUS PEOPLE THERE WORKING EVERY DAY AND CONTRACTORS COMING IN.
WE GOT A BIG TURNAROUND COMING UP THIS YEAR.
WELL, THAT'LL BRING ANOTHER 25 MILLION INTO THE SPEND.
I THINK WE HAVE A GREAT STORY, AND THESE TAX EXEMPTIONS ARE GENEROUS AND THEY'RE VERY HELPFUL TO US.
IN 2023 WAS OUR FIRST YEAR OF BEING POSITIVE EBITDA.
YOU THINK THEY'RE MAKING, NO, WE'RE NOT.
WE'RE STILL STRUGGLING TO BRING UP A 15 YEAR OLD PLAN, AND IT IS VASTLY IMPROVED AND THE PERFORMANCE IS REALLY GOOD RIGHT NOW, AND WE'RE STARTING TO SEE SOME OF THAT BACK.
BUT THESE TAX INCENTIVES HAVE REALLY HELPED US AND WILL CONTINUE TO HELP US AS WE INVEST AND CONTINUE TO IMPROVE THE SITE.
[01:50:01]
>> I HAVE I HAVE LETTERS AND HAD BEEN CONTACTED BY THE POLICE JURY AND BY THE SCHOOL BOARD REQUESTING THAT A ONE YEAR REDUCTION FROM BOTH ENTITIES BE SUBMITTED TO THE BOARD, SO I'M MAKING A MOTION TO REDUCE IT BY ONE YEAR.
>> WE HAVE A MOTION TO REDUCE BY ONE YEAR.
BUT BEFORE I TAKE YOUR MOTION, CAN WE HANDLE THE OTHER QUESTIONS IS THAT ALL. MR. MILLER?
>> SORRY, I MAY HAVE MISSED IT, IF YOU CAN REPEAT IT IF YOU DIDN'T.
BUT THIS CONTRACT WAS TO RESTART AN OLD PLANT OR IT WAS IN ADDITION TO WHAT YOU WERE ALREADY DOING.
HOW MANY JOBS DO YOU ALREADY HAVE? WHAT'S YOUR PAYROLL ALREADY? WHAT YOUR CAPITAL INVESTMENT OUTSIDE OF THIS CONTRACT?
>> OUTSIDE OF THIS CONTRACT, THE SITE ITSELF, THE INVESTMENT IS A LITTLE OVER A BILLION DOLLARS.
OUR INTERNAL HEAD COUNT, AND WHAT I CALL OUR COMPANY HEAD COUNT IS OPEN JOBS ON OUR ROLE ARE ABOUT 144.
WE HAVE AN ADDITIONAL 60 PLUS RESIDENT CONTRACTORS THROUGH TURNER TRIAD, OTHER INDUSTRIES IN OUR AREA THAT WORK THERE EVERY DAY FOR US.
>> THE PAYROLL ON THOSE 200 PEOPLE IS ABOUT WHAT?
>> I HAVE MY PERSON WITH ALL THE BACKGROUND NUMBERS HERE.
>> ROUGHLY 100,000 DO PER JOB, SO OVER 15 MILLION FOR THAT.
>> I JUST WANTED TO ESTABLISH THAT YOU'RE A SIGNIFICANT COMPANY. THANK YOU.
>> IT'S OVER 100,000 AVERAGE SALARY PROPOSITION.
>> I MAY HAVE MISSED IT IF YOU SAID ANYTHING, BUT HAVE YOU MET WITH THE POLICE JURY IN THE SCHOOL BOARD AND CAN YOU TELL US A LITTLE BIT ABOUT THOSE MEETINGS FROM YOUR STANDPOINT?
>> WE WENT BEFORE THE BOARD MEETINGS AND I GAVE A SIMILAR PLEA TO THEM.
IT WAS JUST A VERY CLOSE VOTE.
IT WAS A MIXED GROUP IN BOTH GROUPS.
THERE WAS SOME THAT WERE SUPPORTIVE AND SOME THAT WEREN'T, AND THIS WAS THEIR RECOMMENDATION AT THE END OF THAT DISCUSSION.
WE ALSO TRIED TO MEET WITH SOME OF THEM AND OTHERS OUTSIDE OF THOSE BEFORE THEY DO.
I HAVE TO LAY SOME GROUNDWORK BEFORE TO TRY TO TELL THEM ABOUT OUR COMPANY AND INVITE THEM IN FOR TOURS AND THINGS OF THAT NATURE TO GET MORE FAMILIAR WITH US.
BUT THEY MADE THE RECOMMENDATION.
>> ANY OTHER QUESTIONS OR COMMENTS? WE HAVE A MOTION FROM MR. MOSS TO KEEP THE CONTRACT, BUT REDUCE THE TERM BY ONE YEAR.
THAT IS FOR BOTH THE POLICE JURY AND THE SCHOOL BOARD?
>> OKAY. WE HAVE A MOTION FROM MR. MOSS, SECOND FROM MR. NASSER.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE BEING NONE, THE MOTION CARRIES.
>> THANK YOU, SIR. THANK YOU FOR KEEPING THAT PLAN ALIVE.
>> NEXT, WE HAVE TWO CONTRACTS, 2017-0492B AND 2017-0492C FOR LOUISIANA SUGARCANE COOPERATIVE INC IN ST. MARTIN PARISH THAT ARE BOTH NON COMPLIANT FOR THE 2022 REPORTING PERIOD.
THE EXHIBIT A FOR CONTRACT 2017-0492B REQUIRES THE COMPANY RETAIN 116 JOBS WITH $7,671,336 IN PAYROLL.
THE ACTUAL JOBS RETAINED WAS 106 WITH $6,401,668 IN PAYROLL.
THE EXHIBIT AGREEMENT FOR CONTRACT 2017-0492C REQUIRES THE COMPANY RETAIN 84 JOBS WITH $6,516,297 IN PAYROLL.
THE ACTUAL JOBS CREATED WAS 84 JOBS WITH $5,782,694 IN PAYROLL.
THE PARISH RECOMMENDS THAT THE LOUISIANA BOARD OF COMMERCE AND INDUSTRY ADOPT NO REMEDIAL ACTION FOR THE ALLEGED VIOLATIONS.
THE SCHOOL BOARD SUBMITTED A RECOMMENDATION STATING OUR BOARD VOTED TO TAKE NO ACTION AGAINST LOUISIANA SUGARCANE FOR THEIR NON COMPLIANCE WITH THE ITAP EXEMPTIONS, 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 REQUEST.
[01:55:06]
>> GIVEN THE RECOMMENDATIONS FROM THE LOCAL GOVERNMENT, DO I HAVE A MOTION FOR MR. SIMIEN? TO TAKE NO ACTION.
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.
>> LAST, WE HAVE ONE CONTRACT 2018 0110 FOR SERVICE MACHINE AND SUPPLY INC IN LAFAYETTE PARISH, THAT IS NON COMPLIANT FOR THE 2022 REPORTING PERIOD.
THE EXHIBIT A AGREEMENT FOR THE CONTRACT REQUIRES THE COMPANY CREATE AND MAINTAIN TWO JOBS WITH 100,000 IN PAYROLL.
THE ACTUAL JOBS CREATED WAS FOUR JOBS WITH $138,001.32 IN PAYROLL.
THE COMPLIANCE REPORTING WAS DUE APRIL 30, 2023, BUT WAS NOT RECEIVED UNTIL MAY 2, 2023.
THE FILING IS NON-COMPLIANT FOR BEING LATE ONLY.
PARISH DENIED THE INITIAL EXEMPTION AT THE TIME OF APPLICATION, SO IT DOES NOT APPLY IN THIS SITUATION, AND NO RESPONSES WERE RECEIVED FROM THE SCHOOL BOARD OR THE SHERIFF.
>> I'M GOING TO ENTERTAIN A MOTION TO TAKE NO ACTION.
[8. April 24, 2024 Motion of the Board of Commerce & Industry]
OA MOTION FROM SECRETARY BOURGEOIS, SECOND FROM MAYOR TOUPS.ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE.
ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.
MAKES THAT RUBBER STAMP STUFF LOOK GOOD NOW, DOESN'T IT? ALL RIGHT.
[9. Industrial Tax Exemption – Emergency Rule]
WE HAVE A MOTION FROM I THINK SECRETARY BOUGO ARE YOU GOING TO MAKE THIS MOTION? ALL RIGHT. I'D DEFER TO MISS BOUGO.>> WAIT A MINUTE. UPON CONSIDERATION THAT THE LOUISIANA CONSTITUTION PROVIDES AN ARTICLE 7, SECTION 21 F, THAT THE STATE BOARD OF COMMERCE AND INDUSTRY WITH THE APPROVAL OF THE GOVERNOR MAY ENTER INTO CONTRACTS FOR THE EXEMPTION FROM AD VALOR ARM TAXES OF A NEW MANUFACTURING ESTABLISHMENT OR IN ADDITION TO AN EXISTING MANUFACTURING ESTABLISHMENT ON SUCH TERMS AND CONDITIONS AS THE BOARD, WITH THE APPROVAL OF THE GOVERNOR DEEMS IN THE BEST INTEREST OF THE STATE, BY VIRTUE OF THIS POSITION PROVISION, THIS BOARD IS SOLELY AUTHORIZED TO ADMINISTER THE GRANTING SUBJECT TO THE APPROVAL OF THE GOVERNOR OF THE INDUSTRIAL TAX EXEMPTION, AND PURSUANT TO THAT END, THIS BOARD WITH THE EXISTENCE OF THE LOUISIANA DEPARTMENT OF ECONOMIC DEVELOPMENT ESTABLISHED THE INDUSTRIAL TAX EXEMPTION PROGRAM AND HAS FORMULATED AND PROMULGATED RULES FOR ITAP THAT PROMOTES THE BEST INTERESTS OF THE STATE.
IN CONSULTATION WITH LED, ITAP ADMINISTRATORS, AND SUPERVISORS, I MAKE THE FOLLOWING MOTION WITH REGARD TO THE BOARD'S ESTABLISHMENT OF A RULES COMMITTEE AND THE PUBLICATION OF AN EMERGENCY ITAP RULE PURSUANT TO THE EMERGENCY PROVISIONS OF THE ADMINISTRATIVE PROCEDURES ACT.
NUMBER 1, FOLLOWING THE LEADERSHIP OF GOVERNOR JEFF LANDRY, PARTICULARLY HIS ISSUANCE OF EXECUTIVE ORDER JML 24-23, SETTING FORTH TERMS AND CONDITIONS THAT HE HAS DETERMINED TO REPRESENT THE BEST INTEREST OF THE STATE FOR HIS CONSIDERATION OF ITP CONTRACT APPROVALS BY THIS BOARD.
THE BOARD OF COMMERCE AND INDUSTRY WILL CONSIDER CRITERIA SET FORTH IN ITS RULES FOR PURPOSES OF DETERMINING WHAT IS IN THE BEST INTEREST OF THE STATE FOR CONSIDERATION OF ITAP CONTRACTS AND ESTABLISH A RULES COMMITTEE FOR THE REVISION OF ITS RULES TO ALIGN WITH THE EXECUTIVE ORDER JML 24 23.
TO ADDRESS BY RULE WHAT IT DEEMS NECESSARY FOR ITAP APPLICANTS.
NUMBER 2, THE RULES COMMITTEE SHALL CONSIST OF THREE OR MORE BOARD MEMBERS APPOINTED BY THE CHAIR.
THE COMMITTEE SHALL HAVE AND EXERCISE THE AUTHORITY OF THE BOARD IN THE REVISION OF ITS RULES, BUT ALL REVISIONS SHALL BE SUBJECT TO APPROVAL BY OF THE BOARD RATHER.
NUMBER 3, A CONSIDERABLE DELAY IN THE REVISION OF ITAP RULES TO ALIGN WITH EXECUTIVE ORDER JML 24-23 WILL ADVERSELY IMPACT THE EFFECTIVE ADMINISTRATION OF THE ITE PROGRAM, RENDERING DELAYED ACCESS BY QUALIFIED APPLICANTS, AND RESULTING IN AN ADVERSE FINANCIAL IMPACT ON LOCAL GOVERNING AUTHORITIES, THE STATE, THE DEPARTMENT, LOUISIANA BUSINESSES, AND TAXPAYERS.
NUMBER 4, BY VIRTUE OF THE AFOREMENTIONED, THE BOARD IN FORMULATING AND PROMULGATING RULES FOR ITAP THAT PROMOTE THE BEST INTERESTS OF THE STATE, RENDERS NECESSARY A PUBLICATION OF AN EMERGENCY ITAP PURSUANT TO THE EMERGENCY PROVISIONS OF THE ADMINISTRATIVE PROCEDURES ACT.
NUMBER 5, ALL AS SPECIFICALLY SET FORTH HEREIN, I HEREBY ENTER THIS MOTION INTO THE RECORD AND MOVE THAT THIS MOTION BE ADOPTED BY THE BOARD FOR THE PUBLICATION OF AN EMERGENCY ITAP RULE AND CREATION OF THE RULES COMMITTEE FOR THE PROMULGATION OF ITAP RULES TO ALIGN WITH EXECUTIVE ORDER JML 24-23 AND TO ADDRESS BY RULE WHAT IT DEEMS NECESSARY FOR ITAP APPLICATIONS.
>> SO WE HAVE A MOTION FROM SECRETARY OF BOURGEOIS.
DO WE HAVE A SECOND? SECOND FROM MR. MILLER.
[02:00:04]
AGAIN, TO SOME CONTEXT.WE'VE ALL HEARD ABOUT THE EXECUTIVE ORDER THAT THE DIFFICULTY WITH AN EXECUTIVE ORDER IS THAT ULTIMATELY THE STAFF PROVISION STAFF HAS TO DEAL WITH RULES.
RIGHT NOW WE DON'T HAVE RULES THAT ALIGN WITH THE EXECUTIVE ORDER.
SO THE PURPOSE OF THE EMERGENCY RULE IS TO GIVE STAFF GUIDELINES IN WHICH THEY CAN ADVANCE THE APPLICATIONS THAT HAVE BEEN FILED SINCE THE DATE OF THE EXECUTIVE ORDER IN FEBRUARY UNTIL NOW.
WE HAVE 30-SOMETHING ADVANCES THAT HAVE ESSENTIALLY BEEN SITTING IN LIMBO BECAUSE STAFF THEY HAVE THE GOVERNOR TELLING THEM ONE THING AND THE RULES TELLING THEM SOMETHING ELSE.
THIS EMERGENCY RULE WILL EFFECTIVELY PUT INTO EFFECT THE ITEMS THAT THE GOVERNOR CONTAINED IN THE EXECUTIVE ORDER, AND THEN SIMULTANEOUSLY OR BETTER STATED ON A PARALLEL COURSE WITH THE EMERGENCY RULE, WE'VE ESTABLISHED A RULES COMMITTEE, WHICH WILL DEVELOP A NEW SET OF TEP RULES THAT FRANKLY WE CONSIDER NOT ONLY THE EXECUTIVE ORDER ITEMS, BUT WE'RE GOING TO LOOK AT THE WHOLE PROGRAM.
SOUP TO NUTS, AND WE'RE GOING TO TRY TO STREAMLINE IT, MAKE IT SOMETHING THAT IS WORKABLE AND FRANKLY RECOGNIZES WHAT BUSINESS IN 2024 LOOKS LIKE.
HOPEFULLY, GOING FORWARD, AS THE SECRETARY WILL SAY, WE WANT TO GO FROM A NO BUT BUT TO A YES AND ATTITUDE WITH LED AND WE HOPE THESE RULES WILL ULTIMATELY REFLECT THAT.
IS THAT FAIR ASSESSMENT CAM THANK YOU.
WE HAVE A MOTION AND A SECOND TO ENACT THE EMERGENCY RULE AND TO CREATE THE RULES COMMITTEE.
>> ANY OPPOSITION? THERE BEING NONE.
I SHOULD HAVE ASKED FOR COMMENTS FROM THE PUBLIC. FEEL FREE.
IF THERE'S ANY COMMENTS FROM THE PUBLIC, WE CAN RECONSIDER THE VOTE.
THERE IS NO COMMENT FROM THE PUBLIC.
NOW, WITH THAT, I'M GOING TO APPOINT THE RULES COMMITTEE.
I'M GOING TO BE ON THAT COMMITTEE WILL SERVE AS CHAIR.
MR. KYLE POLOZ, WHEN HE'S NOT RECUSING HIMSELF, WILL FIND TIME TO SERVE ON THE BOARD.
MR. ROBBIE MILLER IS GOING TO SERVE ON THE BOARD AND MISSED IS GOING TO SERVE ON THAT BOARD.
WE ARE GOING TO TRY TO MEET AS SOON AS POSSIBLE.
THOSE MEETINGS WILL BE SUBJECT TO OPEN MEETINGS RULES AND WILL BE SUBJECT TO THE PUBLIC RECORDS ACT.
WE WILL BE STUDIOUS AND COMPLYING WITH ALL OF THAT.
FROM THE CHAIR'S PERSPECTIVE, I CAN'T SPEAK FOR THE COMMITTEE YET, BUT FROM THE CHAIR'S PERSPECTIVE, WE'RE GOING TO BE RATHER AGGRESSIVE AND TRY TO MOVE TO HAVE A SET OF RULES TO THIS BOARD BY ITS AUGUST MEETING.
I HOPE TO BE ABLE TO GIVE YOU AN IDEA IN JUNE, WHAT PROGRESS WE'RE MAKING, BUT THEY WILL COME TO YOU HOPEFULLY THAT QUICKLY.
WE HAVE A LOT OF MANY MILES TO GO BEFORE WE SLEEP BEFORE WE GET FROM HERE TO THERE, THOUGH.
BUT WE THANK THE GOVERNOR FOR HIS RECOGNITION OF THE NEED FOR THESE ACTIONS.
WE THANK YOU SECRETARY BOURGEOIS, FOR YOUR LEADERSHIP AND GETTING US TO THIS POINT, AND WE WILL TRY TO CARRY THE REST OF THE WAY.
ANY OTHER COMMENTS CONCERNING THE EMERGENCY RULE OR THE RULES COMMITTEE.
ANY QUESTIONS, COMMENTS, OTHERWISE.
HEARING NONE. ELECTION OF OFFICERS.
[10. Other Business-Election of Officers]
>> MR. CHAIRMAN, I'D LIKE TO MAKE A MOTION.
>> THAT YOU WOULD SERVE AGAIN, CONTINUE TO SERVE, WHATEVER THE PROPER VERNACULAR IS AS OUR CHAIR AS OUR VERY EFFECTIVE CHAIR, AND THAT ROBBIE MILLER SERVE AS OUR VICE CHAIR OF THE BOARD.
>> ALL RIGHT. DO WE HAVE OTHER NOMINATIONS, PLEASE? THERE BEING NONE.
DO WE HAVE A SECOND TO A SECOND FROM MR. SLOAN.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? THERE BEING NO COMMENTS FROM THE PUBLIC? HEARING NONE. ALL IN FAVOR SAY AYE.
>> ANY OPPOSITION? THERE IS NONE, THE MOTION CARRIES.
WELL, THAT BRINGS US TO THE END OF OUR FIRST BOARD OF COMMERCE AND INDUSTRY MEETING WITH THIS BOARD WITH THE EXCEPTION OF COMMENTS FROM OUR SECRETARY?
[11. Secretary Remarks – Secretary Susan Bourgeois]
WE LOOK FORWARD TO THIS EVERY MEETING BECAUSE THE SECRETARY ALWAYS GIVES US AN IDEA OF WHAT'S GOING ON IN HER WORLD. THANK YOU.>> THAT WOULD HAVE BEEN GOOD PREPARATION FOR ME.
BUT I'M REALLY GRATEFUL NOT ONLY TO THE MEMBERS OF THIS BOARD WHO ARE WILLING TO SERVE AND AS YOU CAN ALL TELL FROM OUR DELIBERATIONS THIS MORNING, IT'S IMPORTANT WORK TO MAKE SURE WE'RE
[02:05:03]
CREATING A PROGRAM THAT WORKS FOR BUSINESSES AND INDUSTRY IN THIS STATE AND MORE IMPORTANTLY, A CULTURE IN THIS STATE THAT WE ARE, IN FACT, OPEN FOR BUSINESS, AND WE WANT TO MAKE IT EASY AND PROMOTE PEOPLE'S ABILITY TO BE SUCCESSFUL HERE TO MAKE A LIVING TO BUILD SUCCESSFUL COMPANIES AND TO INVEST IN OUR STATE.FROM A PHILOSOPHICAL PERSPECTIVE, THAT IS WHAT YOU WILL HEAR FROM ME AS THE SECRETARY AND OUR DEPARTMENT MOVING FORWARD, AND I'M JUST VERY GRATEFUL TO ALL OF YOU FOR YOUR SERVICE IN THIS WORK.
>> THANK YOU, SECRETARY BISHUA. ANYTHING ELSE FOR THE GOOD OF THE ORDER TODAY? ANYTHING FROM ANYONE? THEN WE WILL ENTERTAIN A MOTION TO ADJOURN.
MOTION FOR MR. SIMIEN, SECOND FOR MR. NASSER, ALL IN FAVOR, SAY AYE.
WE ARE ADJOURNED. WE WILL SEE YOU IN JUNE. THANK YOU ALL.
* This transcript was compiled from uncorrected Closed Captioning.