[00:00:03]
JERALD JONES: ALL RIGHT, GOOD MORNING.[1. Call to Order – Jerald Jones, Chairman]
WELCOME TO THE OCTOBER 29, 2026 MEETING OF THE BOARD OF COMMERCE AND INDUSTRY.MS. SIMMONS, IF YOU WILL CALL THE ROLL.
DEBORAH SIMMONS: GOOD MORNING, EVERYONE.
REPRESENTATIVE VINCENT ST. BLANC FOR REPRESENTATIVE DESHOTEL.
DEBORAH SIMMONS: SENATOR EDDIE LAMBERT FOR FRANKLIN FOIL.
DEBORAH SIMMONS: KYLE POLOZOLA.
DEBORAH SIMMONS: JERALD JONES.
DEBORAH SIMMONS: RONALD REMEDIES.
DEBORAH SIMMONS: REPRESENTATIVE TONY BACALA.
DEBORAH SIMMONS: MICHAEL TANNER.
DEBORAH SIMMONS: GEORGE NASSAR.
DEBORAH SIMMONS: ERWIN THOMPSON III.
DEBORAH SIMMONS: RIDGE MIGUEZ.
DEBORAH SIMMONS: WESLEY BLAKE WHEELIS.
DEBORAH SIMMONS: JULIE EMERSON.
JERALD JONES: THANK YOU, MS. SIMMONS.
[3. Approval of Minutes from September 23, 2026 meeting]
AND I NOTICED IN YOUR EMAIL, MS. SIMMONS, THERE WAS AN ISSUE ABOUT WHETHER THEY'VE BEEN CORRECTED OR NOT.I DIDN'T KNOW WHAT THAT MEANT EVEN.
YEAH, WE GOT THE MINUTES YESTERDAY AROUND 10:00-ISH.
AND THERE WERE SOME CORRECTIONS THAT NEEDED TO BE MADE.
I SENT THEM BACK TO VERITEX AND THE RECORDER.
I HAVE NOT GOTTEN THEM BACK CORRECTED.
WHAT I'D LIKE TO DO IS DEFER APPROVAL OF THE MINUTES UNTIL WE GET THE ACTUAL MINUTES THAT ARE FROM THE COURT REPORTER.
AND THAT WAY, EVERYBODY WILL HAVE A CHANCE TO READ.
SO I WOULD ENTERTAIN A MOTION TO DEFER APPROVAL OF THE MINUTES FOR MR. CALLAIS, SECOND FROM MAYOR TOUPS.
ANY DISCUSSION OR QUESTIONS FROM THE BOARD? HEARING NONE.
ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE ARE NONE.
HOW ARE YOU? MICHAELA ADEGBE: GOOD MORNING.
WELL, AND YOURSELF? JERALD JONES: DOING VERY WELL, THANK YOU.
PLEASE WALK US THROUGH THE QUALITY JOBS PROGRAM, PLEASE.
[4. Quality Jobs Program – Michaela Adegbe]
MICHAELA ADEGBE: THERE ARE SIX NEW APPLICATIONS-- 20230353 CP2 LNG OPERATIONS LLC, CAMERON PARISH, 20230473 CP2 LNG OPERATIONS LLC, CAMERON PARISH, 20250454 CHENIERE LNG O&M SERVICES, LLC, CAMERON PARISH, 20240346 HRM CONCRETE LLC, EAST BATON ROUGE PARISH, 20250339 HYUNDAI-POSCO LOUISIANA STEEL LLC, ASCENSION PARISH, 20250151 LAITRAM LLC, JEFFERSON PARISH.JERALD JONES: FIRST OF ALL, ENTERTAIN A MOTION TO APPROVE.
I HAVE A MOTION, MR. CALLAIS, SECOND FROM MR. WHEELIS.
FIRST OF ALL, $45 BILLION IN QJ PROJECTS.
I REMAIN AMAZED AT WHAT'S GOING ON IN LOUISIANA RIGHT NOW.
BUT WE THANK YOU TO THESE COMPANIES FOR YOUR CONTINUED CONFIDENCE AND INVESTMENT IN THE STATE OF LOUISIANA.
NUMBER TWO, PROBABLY SHOULD HAVE BEEN NUMBER ONE.
BUT SOME PEOPLE ARE GOING, I THOUGHT WE DIDN'T HAVE A QJ PROGRAM ANYMORE.
BUT THESE ARE APPLICATIONS THAT WERE FILED PRIOR TO THAT PROGRAM'S DEMISE.
SO WE WILL CONTINUE SEEING THOSE BEFORE THIS BOARD UNTIL THEY RUN OUT.
OK, SO ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? MEMBER: MR. CHAIRMAN, I NEED TO RECUSE MYSELF FROM CP2 AND ALSO HYUNDAI, PLEASE.
JERALD JONES: OK, WE WILL NOTE THAT RECUSAL FROM MR. [INAUDIBLE].
ROBBY MILLER: I NEED TO RECUSE MYSELF FROM LAITRAM.
JERALD JONES: AND WE HAVE A RECUSAL FROM MR. MILLER ON LAITRAM, YOU SAID? OK, VERY GOOD.
ALL RIGHT, DO WE HAVE ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
MICHAELA ADEGBE: TWO RENEWAL APPLICATIONS.
20210427 CONTROLWORX LLC, CALCASIEU PARISH, 20210447 CONTROLWORX LLC, ASCENSION PARISH.
JERALD JONES: DO WE HAVE A MOTION TO APPROVE THESE TWO RENEWALS? MOTION FROM MR. MOSS, SECOND FROM MR. NASSAR.
[00:05:02]
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY, AYE.JERALD JONES: ANY OPPOSITION? THERE IS NONE.
MICHAELA ADEGBE: THIS CONCLUDES QUALITY JOBS.
HOW ARE YOU? TRAVIS ROSENBERG: GOOD MORNING.
WALK US THROUGH THE RESTORATION TAX ABATEMENT PROGRAM.
[5. Restoration Tax Abatement Program – Travis Rosenberg]
TRAVIS ROSENBERG: SO THERE ARE TWO RENEWAL APPLICATIONS.20200080 FOR ANDRESS ARTIST AND ENTREPRENEUR CENTER LLC IN CADDO PARISH AND 20190017 FOR TWIN OAK INVESTMENTS LLC IN CADDO PARISH.
JERALD JONES: ALL RIGHT, DO I HAVE A MOTION TO APPROVE THESE RENEWALS? I HAVE A MOTION FROM SENATOR MIZELL.
SECOND FROM REPRESENTATIVE ST. BLANC.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
TRAVIS ROSENBERG: AND THAT CONCLUDES THE RTA AGENDA.
HOW ARE YOU, MS. METOYER? JOYCE METOYER: I'M GOOD.
HOW ARE YOU? JERALD JONES: DOING VERY WELL.
JOYCE METOYER: I HAVE EIGHT NEW EZ APPLICATIONS.
JERALD JONES: THIS IS FOR THE ENTERPRISE ZONE PROGRAM?
[6. Enterprise Zone Program – Joyce Metoyer]
JOYCE METOYER: YES.JERALD JONES: PLEASE WALK US THROUGH THEM.
JOYCE METOYER: 20230434 BOISE CASCADE COMPANY, ALLEN PARISH, 20240316 LABORDE PRODUCTS INCORPORATED, ST. TAMMANY PARISH, 20210102 NOBLE PLASTICS INCORPORATED, ST. LANDRY PARISH, 20220385 OCHSNER LSU HEALTH SYSTEM, OUACHITA PARISH, 20240219 S&W WHOLESALE FOODS LLC, TANGIPAHOA PARISH, 20240114 WILLIS KNIGHTON MEDICAL CENTER INCORPORATED, BOSSIER PARISH, 20240115 WILLIS KNIGHTON MEDICAL CENTER INCORPORATED, CADDO PARISH, 20240116 WILLIS KNIGHTON MEDICAL CENTER INCORPORATED, CADDO PARISH.
JERALD JONES: I DON'T THINK SO.
DO WE HAVE A MOTION TO APPROVE THESE ENTERPRISE ZONE APPLICATIONS? HAROLD CALLAIS: MOVED.
JERALD JONES: MOTION FROM MR. CALLAIS, SECOND FROM MR. MOSS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
JOYCE METOYER: WE HAVE FOUR TERMINATIONS.
IN ACCORDANCE WITH SECTION 717D OF THE ENTERPRISE ZONE PROGRAM RULES, A BUSINESS MAY SUBMIT A REQUEST TO TERMINATE THEIR ENTERPRISE ZONE CONTRACT IF ONE, THE CONTRACTS HAVE BEEN IN EFFECT FOR AT LEAST 30 MONTHS, TWO, THE BUSINESS HAS MET ALL THE REQUIREMENTS OF THE PROGRAM, WHICH INCLUDES TIMELY FILING OF ALL PROGRAM FORMS, DOCUMENTS, AND APPROPRIATE FEES.
THE FOLLOWING CONTRACTS WERE PREVIOUSLY APPROVED BY THE BOARD OF COMMERCE AND INDUSTRY, AND THE CONTRACT HOLDERS LISTED BELOW HAVE SUBMITTED A REQUEST TO TERMINATE THEIR ENTERPRISE ZONE CONTRACTS.
THE CONTRACTEE UNDERSTANDS BOARD DECISION IS FINAL AND CONTRACTS CANNOT BE REINSTATED OR REACTIVATED.
20220481 METAL PLATE GALVANIZING LP, JEFFERSON DAVIS PARISH.
THE EXISTING CONTRACT IS 11-11-22 TO 11-10-2027.
THE REQUESTED TERM DATE IS 11-10-2025.
20180326, OCHSNER CLINIC FOUNDATION, JEFFERSON PARISH.
THE EXISTING CONTRACT IS 6-13-22 TO 6-12-2027.
THE REQUESTED TERM DATE IS 12-13-2024.
AND 20200298, OCHSNER CLINIC FOUNDATION, ASCENSION PARISH.
THE EXISTING CONTRACT IS NOVEMBER 1, 2022 THROUGH 10-31-2027.
THE REQUESTED TERM DATE IS 10-31-2025.
AND 20180149 DIVERSIFIED FOODS & SEASONINGS LLC, ST. TAMMANY PARISH.
THE EXISTING CONTRACT IS 6-1-18 TO 5-31-2023.
AND THE REQUESTED TERM DATE IS ONE 1-1-21.
JERALD JONES: DO WE HAVE A MOTION TO APPROVE THESE TERMINATION REQUESTS? MOTION MR. NASSAR, SECOND FROM MAYOR TOUPS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
[00:10:04]
JOYCE METOYER: OK, FOR THE CANCELLATIONS, THE COMPANY PALMISANO 20170475, I WANT TO REMOVE THAT BECAUSE HE FILED A TERMINATION ON TUESDAY THIS WEEK.JOYCE METOYER: SO WE'RE ONLY CANCELING TWO OF THESE.
JOYCE METOYER: 20210212 GULF COAST HOTEL GROUP, CALCASIEU PARISH, GULF COAST HOTEL GROUP LLC, CALCASIEU PARISH.
THE COMPANY DID NOT MEET THE PROGRAM REQUIREMENTS.
AND 20180076 KEROTEST MANUFACTURING INCORPORATED, AVOYELLES PARISH.
THE COMPANY DID NOT MEET THE PROGRAM REQUIREMENTS.
JERALD JONES: OK, SO LET'S JUST MAKE SURE THE RECORD IS CLEAR.
WE'RE ONLY-- EXCUSE ME, I WOULD ACCEPT A MOTION TO APPROVE THE CANCELATION OF GULF COAST HOTEL GROUP LLC AND KEROTEST MANUFACTURING CORP.
THERE IS NO ACTION AT THIS TIME ON PALMISANO LLC.
IS THAT CORRECT? JOYCE METOYER: CORRECT.
JERALD JONES: I HAVE A MOTION FOR MR. CALLAIS.
DO I HAVE A SECOND? SECOND FROM MR. MIGUEZ.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? JOYCE METOYER: GOOD MORNING.
JERALD JONES: PLEASE STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.
BILL SHOCKEY: MY NAME IS BILL SHOCKEY.
I'M A LAWYER HERE IN BATON ROUGE.
LAW FIRM IS SHOCKEY & ASSOCIATES.
WE ARE THE LOUISIANA ATTORNEYS FOR KEROTEST MANUFACTURING CORPORATION.
I KNOW CHAIRMAN JONES MAY RECALL BECAUSE I AND THE PRESIDENT OF THE COMPANY AT THAT TIME, MR. CHRIS LEE HAD BEEN BEFORE YOU ON JUST A-- CHRIS WHITE, FORGIVE ME, HAD BEEN BEFORE YOU A NUMBER OF TIMES BECAUSE WE WERE ALSO AT AN ITE CONTRACT.
AND ESSENTIALLY, 2018 WAS A BANNER YEAR FOR US.
THAT'S WHEN WE ENTERED INTO THE CONTRACT.
2020 WE ALL RECALL COVID, DON'T WE? AND ESSENTIALLY, WE RAN IN REVERSE, IF YOU WILL, FOR THE FIRST 100 YARDS OF A MILE-LONG RUN, MEANING TRYING TO MEET OUR JOB REQUIREMENTS.
AND WE WERE JUST NEVER ABLE TO CATCH UP BECAUSE IT WAS A CUMULATIVE EFFECT.
SO I'M JUST HERE AS A COURTESY, FOR LACK OF A BETTER TERM.
KEROTEST EMPLOYS OVER 150 PEOPLE IN AVOYELLES PARISH, HAS BEEN IN THE AVOYELLES PARISH SINCE 1983 IS MY UNDERSTANDING, REMAINS COMMITTED TO LOUISIANA, WANTS TO APOLOGIZE, FOR LACK OF A BETTER TERM ON BEHALF OF THE COMPANY, AND DEMONSTRATE WE'RE A GOOD CORPORATE CITIZEN AND ASSURE YOU THAT KEROTEST IS COMMITTED TO THE STATE OF LOUISIANA.
JERALD JONES: MR. SHOCKEY, APPRECIATE THAT.
AND PLEASE EXTEND TO THE COMPANY OUR APPRECIATION FOR ITS INVESTMENT IN THE STATE.
BUT WE ALSO TRUST IT UNDERSTANDS THAT WHEN PROGRAM REQUIREMENTS ARE NOT MET, WE'RE LEFT WITH FEW ALTERNATIVES.
BILL SHOCKEY: OH, I UNDERSTAND, SIR.
WE UNDERSTAND AND APPRECIATE THAT.
WE DID NOT FULFILL OUR RESPONSIBILITIES UNDER THE CONTRACT.
JERALD JONES: AGAIN, PLEASE EXTEND TO THE LEADERSHIP OF THE COMPANY OUR APPRECIATION FOR THEIR WORK IN THE STATE AND TRUST THAT THINGS ARE ON THE UPWARD TREND.
BILL SHOCKEY: HOPEFULLY, ONE DAY THERE WILL BE A FURTHER EXPANSION, AND WE WILL BE BACK BEFORE YOU WITH GOOD NEWS.
JERALD JONES: THAT'D BE GREAT.
DO WE HAVE A MOTION AND A SECOND TO APPROVE THESE CANCELLATIONS? ANY OTHER COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
JOYCE METOYER: THAT CONCLUDES EZ.
JERALD JONES: THANK YOU, MS. METOYER.
JERALD JONES: WALK US THROUGH THE INDUSTRIAL TAX EXEMPTION
[7. Industrial Tax Exemption – Hud Usie]
PROGRAM RULES.HUD USIE: WE HAVE ONE NEW APPLICATION FOLLOWING THE PRE-EXECUTIVE ORDER RULES.
20151141-C VENTURE GLOBAL CALCASIEU PASS LLC IN CAMERON PARISH.
JERALD JONES: AND AGAIN, TO BE CLEAR FOR THE BOARD, WHEN WE SAY PRE-EO, THIS IS THE JOHN BEL EDWARDS EXECUTIVE ORDER OF 2016.
IS THAT CORRECT? HUD USIE: CORRECT.
PRE ANY EXECUTIVE ORDER BY JOHN BEL EDWARDS.
SO WE DON'T SEE MANY OF THOSE ANYMORE.
WE'RE KIND OF TOWARD THE END OF THAT STRING.
ALL RIGHT, SO THIS IS AN APPLICATION UNDER THAT SET OF RULES.
DO WE HAVE A MOTION TO APPROVE? MOTION, MR. MOSS, SECOND FOR MR. CALLAIS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? MEMBER: MR. CHAIRMAN, NOTE MY RECUSAL ON THIS DOCKET.
JERALD JONES: NOTE THAT MR. [INAUDIBLE] IS RECUSING HIMSELF FROM THE ISSUE.
[00:15:03]
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, AND COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY, AYE.JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: NEXT, WE HAVE TWO NEW APPLICATIONS FOLLOWING THE 2018 ITEP RULES.
20220395-A AIR PRODUCTS AND CHEMICALS INC. ST.
JAMES PARISH AND 20200068-A REG GEISMAR LLC, ASCENSION PARISH.
JERALD JONES: OK, WE HAVE A MOTION TO APPROVE THESE 2018 RULES.
MOTION FOR MR. NASSAR, SECOND, MR. WHEELIS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: NEXT, WE HAVE THREE NEW APPLICATIONS FOLLOWING THE 2024 EMERGENCY RULES.
20240309 CCI PIPING SYSTEMS LLC, ST. MARTIN PARISH, 20240600 LEXICON INC. DBA STEEL FABRICATORS OF MONROE, OUACHITA PARISH, AND 20240084-A PLASTIPAK PACKAGING INC.
WE HAVE A MOTION TO APPROVE THESE 2024 RULES.
MOTION, MR. CALLAIS, SECOND FROM MAYOR TOUPS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: NEXT, WE HAVE 19 NEW PROJECT APPLICATIONS FOLLOWING THE 2025 RULES.
WE DO HAVE ONE REQUESTING DEFERRAL TO THE FEBRUARY 2027 BOARD MEETING.
IT IS 20250174 FOR LONE STAR SAND LLC IN BOSSIER PARISH.
JERALD JONES: BUT FIRST, LET'S ENTERTAIN-- EXCUSE ME, ENTERTAIN A MOTION TO DEFER LONE STAR SAND.
MOTION FOR MR. MILLER, SECOND, MR. WILLIS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? THERE IS NONE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
THAT MATTER IS DEFERRED TO THE FEBRUARY MEETING.
HUD USIE: 20260107 BE STEEL LLC, ASCENSION PARISH, 20260112 BLUE RUNNER FOODS INC. ASCENSION PARISH.
20260230 CCI PIPING SYSTEMS LLC.
ST. MARTIN PARISH, 20260274 CLECO POWER LLC, RAPIDES PARISH, 20260232 COMMUNITY COFFEE COMPANY LLC, WEST BATON ROUGE PARISH, 20260239 ELECTROMEDICAL EQUIPMENT COMPANY INC.
EXXON MOBIL CORPORATION, WEST BATON ROUGE PARISH.
20260157 GM LEASING COMPANY LLC, ST. MARTIN PARISH, 20260285 GARYVILLE REFINING LOGISTICS LLC, ST. JOHN THE BAPTIST PARISH, 20250591 GULF COAST TACTICAL LA LLC, IBERIA PARISH, 20260229 HUGHES MACHINE SHOP INC.
WASHINGTON PARISH, 20260284 MARATHON PETROLEUM COMPANY LP, ST. JOHN THE BAPTIST PARISH, 20260233 QUALITY CONSTRUCTION AND PRODUCTION LLC, IBERIA PARISH.
SHINTECH LOUISIANA LLC, IBERVILLE PARISH.
AND JUST A NOTE THAT SHINTECH IS BEING RECOMMENDED BY THE LOCAL ITEP COMMITTEE AS A MEGA PROJECT WITH AN INCREASED PERCENTAGE OF 100% EXEMPTION.
20250605 ST. MARY SUGAR COOPERATIVE INC.
ST. MARY PARISH, 20260287 VALERO REFINING NEW ORLEANS LLC, ST. CHARLES PARISH, 20260291.
VALERO REFINING NEW ORLEANS LLC, ST. CHARLES PARISH, AND 20260218 WESTLAKE CHEMICALS AND VINYLS LLC, IBERVILLE PARISH.
JERALD JONES: VERY GOOD AND THANK YOU.
AGAIN, THESE PROJECTS REPRESENT AN INCREDIBLE INVESTMENT IN THE STATE.
AND FOR THAT, WE'RE APPRECIATIVE.
DO WE HAVE A MOTION TO APPROVE THESE APPLICATIONS? A MOTION FROM MAYOR TOUPS, SECOND FROM SENATOR MIZELL.
RIDGE MIGUEZ: I RECUSED MYSELF FROM ST. MARY'S SUGAR.
JERALD JONES: THANK YOU, MR. MIGUEZ.
[00:20:01]
RECUSAL FROM ST. MARY'S SUGAR BY MR. MIGUEZ.MEMBER: MR. CHAIRMAN, I NEED TO RECUSE MYSELF FROM COMMUNITY COFFEE, EXXON MOBIL, AND WESTLAKE CHEMICAL.
JERALD JONES: AND LAST ONE? WESTLAKE? MEMBER: WESTLAKE CHEMICAL.
JERALD JONES: WESTLAKE CHEMICAL.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: NEXT, WE HAVE ONE CONTRACT FOLLOWING THE 2017 ITEP RULES THAT WAS NON-COMPLIANT.
IT IS CONTRACT 20170070 FOR MAUSER USA LLC IN ASCENSION PARISH.
THEY ARE NON-COMPLIANT FOR THE 2024 REPORTING PERIOD.
THE EXHIBIT A FOR THE CONTRACT REQUIRED THE COMPANY TO CREATE AND MAINTAIN 28 JOBS, WITH $1,858,168 IN PAYROLL.
THE ACTUAL JOBS AND PAYROLL CREATED AND MAINTAINED WAS 23 JOBS, WITH $1,396,234 IN PAYROLL.
THE PARISH SCHOOL BOARD AND SHERIFF SUBMITTED RECOMMENDATIONS REQUESTING BCNI TO NOT PENALIZE THE COMPANY.
JERALD JONES: DO WE HAVE ANYBODY HERE FROM MAUSER USA? THANK YOU.
IF YOU WOULD STATE YOUR NAME, YOUR POSITION WITH THE COMPANY, PLEASE.
KEITH BABIN: YEAH, MY NAME IS KEITH BABIN, AND I'M THE PLANT MANAGER AT THE GEISMAR FACILITY.
TELL US WHAT WAS GOING ON HERE FOR THE YEAR 2024.
KEITH BABIN: SO FROM OUR INITIAL ESTIMATES IN 2018, WE HAD REALLY KIND OF OVERESTIMATED WHERE WE WOULD BE WITH OUR FACILITY.
AND JUST BECAUSE OF THE VOLUME OF BUSINESS, OUR WAGES DIDN'T MEET THE EXPECTATIONS.
THE NUMBERS FOR '25, THOUGH, IN '24 WE IMPLEMENTED A PAY INCREASE, WHICH THE WAGES ARE CONSIDERABLY HIGHER THAN THEY WERE THE PRIOR YEAR.
AND I DO WANT TO JUST ADD THAT AT THE END OF LAST YEAR, WE DID ADD AN ADDITIONAL VERY LARGE CUSTOMER TO OUR BASE.
AND WE'RE CURRENTLY UP TO 35 EMPLOYEES RIGHT NOW.
SO THIS IS REALLY THE GROWTH WE WERE EXPECTING.
JERALD JONES: WELL, IT'S OBVIOUS YOU DEVELOP A GOOD RELATIONSHIP WITH THE LOCAL GOVERNMENTAL ENTITIES.
THEY'RE ALL RECOMMENDING THAT WE TAKE NO ACTION FOR THE NON-COMPLIANCE.
AND WE THANK YOU FOR INVESTMENT.
AND THANK YOU, FRANKLY, FOR STICKING WITH IT AND WAITING FOR THAT OPPORTUNITY TO ADD BOTH PAYROLL AND JOBS.
ROBBY MILLER: YOU SAID THAT YOU CURRENTLY HAVE 35 EMPLOYEES.
DO YOU KNOW WHAT AN AVERAGE SALARY IS? I'M LOOKING AT THE NUMBERS THAT WERE PUT ON THE APPLICATION AND THE ACTUAL NUMBERS.
KEITH BABIN: I DO NOT KNOW THE AVERAGE SALARY.
ROBBY MILLER: ALL RIGHT, THANK YOU.
JERALD JONES: ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? MEMBER: YEAH, I HAD DONE-- I JUST DID THE QUICK MATH HERE.
AND SO THE JOB CREATION RETENTION REQUIREMENTS HAD AN AVERAGE OF 66,000 ON THE SALARIES, BUT THE ACTUALS ARE AT 60,000.
SO I'M WONDERING WHY THERE'S SUCH A BIG GAP THERE.
IS IT THAT SOME OF THE JOBS THAT WEREN'T FILLED AT THE TIME OF THIS REPORTING, WERE THOSE JOBS LOWER PAYING JOBS THAT BROUGHT THE AVERAGE DOWN? I'M JUST WONDERING BECAUSE THERE'S A DIFFERENCE BETWEEN PAY DISPARITY AND ALSO NOT BEING ABLE TO FIND PEOPLE.
SO I'M WONDERING, WHAT'S THE DRIVER? KEITH BABIN: MY GUESS IS THAT PROBABLY IS BECAUSE OF THE NO OVERTIME.
MAYBE THEY WERE PROJECTING THE EMPLOYEES WORKING MORE OVERTIME, GETTING A LARGER SALARY.
WITH THE LOWER VOLUME THAT WE HAD THERE, THERE JUST WASN'T A LARGE AMOUNT OF OVERTIME FOR THE PEOPLE THAT WERE THERE.
JERALD JONES: DO WE HAVE A MOTION TO APPROVE-- EXCUSE ME, A MOTION TO-- LET ME REPHRASE MY QUESTION.
WHAT IS THE MOTION THAT YOU WISH TO PUT FORWARD? DAVID TOUPS: YOU'RE REPRESENTING LOCAL GOVERNMENT AND THEY SAID TAKE NO ACTION.
I MAKE A MOTION TO TAKE NO PENALTY.
JERALD JONES: ALL RIGHT, THANK YOU.
THANK YOU FOR BAILING ME OUT THERE, MAYOR TOUPS.
AT TIMES IT TAKES A WHOLE VILLAGE.
DO I HAVE A SECOND ON MAYOR TOUPS MOTION? THANK YOU, MR. CALLAIS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC?
[00:25:02]
HEARING NONE, ALL IN FAVOR, SAY, AYE.JERALD JONES: ANY OPPOSITION? THERE IS NONE.
AGAIN, THANK YOU FOR YOUR INVESTMENT.
HUD USIE: NEXT, WE HAVE EIGHT NON-COMPLIANT CONTRACTS FOLLOWING THE 2018 ITEP RULES.
THE FIRST TWO ARE FOR-- ONE IS FOR 20190324 HUNTSMAN INTERNATIONAL LLC.
AND THE OTHER CONTRACT IS FOR 20190325 FOR RUBICON LLC, BOTH IN ASCENSION PARISH THAT ARE NON-COMPLIANT FOR THE 2023 AND 2024 REPORTING PERIODS.
BOTH OF THESE CONTRACTS COVER ONE PROJECT AT THE SAME SITE, AND THEY SHARE AN EXHIBIT A AGREEMENT OUTLINING THE REQUIRED JOBS AND PAYROLL TO BE CREATED AND MAINTAINED BY RUBICON, WHICH IS THE EMPLOYER AND OPERATOR FOR THE GEISMAR PLANT.
THE EXHIBIT A AGREEMENT PROVIDED A RAMP UP IN PAYROLL FOR THE FIRST FEW YEARS.
SO THE 2023 REPORTING PERIOD THEY WERE REQUIRED TO CREATE THREE JOBS BUT HAD ZERO PAYROLL.
AND FOR THE 2024 REPORTING PERIOD, THEY REQUIRED TO CREATE THREE JOBS, WITH $137,280 IN PAYROLL.
AND THE ACTUAL JOBS AND PAYROLL CREATED AND MAINTAINED FOR BOTH REPORTING PERIODS WERE ZERO.
THE PARISH SCHOOL BOARD AND SHERIFF SUBMITTED RECOMMENDATIONS REQUESTING BCNI TO NOT PENALIZE THE COMPANY.
MY INSTINCT IS WHEN I LOOK AT THE LOCAL RECOMMENDATIONS, I SEE A RAFT OF TAKE NO ACTION OR NO RESPONSE RATHER THAN PULL EACH COMPANY UP HERE TO EXPLAIN THE NON-COMPLIANCE.
IT IS MY SENSE FROM BOARD'S PRIOR ACTIONS THAT WHEN WE SEE THAT KIND OF RESPONSE FROM THE LOCAL GOVERNMENT, THAT WE TEND TO FOLLOW THAT RECOMMENDATION.
SO WITH THAT, I WOULD ACCEPT A MOTION IN GLOBAL TO TAKE NO PENALTY AGAINST ANY OF THESE.
I HAVE A MOTION FOR MR. CALLAIS.
I HAVE A SECOND FOR MR. TOUPS-- MAYOR TOUPS, EXCUSE ME.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: NEXT, WE HAVE ONE PRE-EXECUTIVE ORDER RENEWAL APPLICATION.
20161550 METHANEX LOUISIANA LLC IN ASCENSION PARISH.
JERALD JONES: A MOTION TO APPROVE THIS RENEWAL.
MOTION FROM MR. CALLAIS, SECOND FROM REPRESENTATIVE ST. BLANC.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: NEXT, WE HAVE ONE RENEWAL APPLICATION FOLLOWING THE 2017 ITEP RULES.
20180158 SOUTHSIDE MACHINE WORKS INC. IN CALCASIEU PARISH.
DO WE HAVE A MOTION TO APPROVE THIS RENEWAL MOTION FROM MAYOR TOUPS? SECOND FROM MR. MIGUEZ.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: NEXT, WE HAVE 22 RENEWAL APPLICATIONS FOLLOWING THE 2018 RULES.
20210037 ASH INDUSTRIES INC, LAFAYETTE PARISH, 20200094-A AURORIUM DENHAM SPRINGS LLC, LIVINGSTON PARISH, 20190056 BASF CORPORATION, ASCENSION PARISH, 20170648 BUNGE LODERS CROKLAAN USA LLC, JEFFERSON PARISH, 20200178 GULF ISLAND LLC, TERREBONNE PARISH.
20190178-A INTERNATIONAL PAPER COMPANY, DESOTO PARISH, 20190178-B INTERNATIONAL PAPER COMPANY, DESOTO PARISH, 20200133-B INTERNATIONAL PAPER COMPANY, WASHINGTON PARISH, 20200058 KITCHEN MAJGEK LLC, REN'S KITCHEN, LAFAYETTE PARISH, 20200348 LASALLE BIOENERGY LLC, LASALLE PARISH, 20190147 LASALLE BIOENERGY LLC, LASALLE PARISH.
20170492-B LOUISIANA SUGAR CANE COOPERATIVE INC. ST.
MARTIN PARISH, 20170492-C LOUISIANA SUGAR CANE COOPERATIVE INC. ST MARTIN PARISH, 20210142-A LOUISIANA SUGAR REFINING LLC, ST. JAMES PARISH, 20190002 MCM PLASTICS INC.
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LIVINGSTON PARISH, 20190416 MOREHOUSE BIOENERGY LLC, MOREHOUSE PARISH, 20220026 RELIABLE EDM LLC, LAFAYETTE PARISH.20190391-B THE FOLGER COFFEE COMPANY, ORLEANS PARISH, 20190392-B THE FOLGER COFFEE COMPANY, ORLEANS PARISH.
20210139-A W.R GRACE AND CO-CON, CALCASIEU PARISH, 20180053 W.R GRACE AND CO, ST CHARLES PARISH, AND 20210148-A WEYERHAEUSER NR COMPANY, LIVINGSTON PARISH.
DO WE HAVE A MOTION TO APPROVE THESE RENEWALS? MOTION FROM MR. NASSAR, SECOND FROM MR. CALLAIS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR, SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: NEXT, WE HAVE ONE LATE RENEWAL APPLICATION FOLLOWING THE 2018 RULES.
20180014 PROCTER & GAMBLE MANUFACTURING, RAPIDES PARISH.
INITIAL CONTRACT EXPIRATION DATE, 12-31-2023.
LATE RENEWAL REQUEST DATE APRIL 27, 2026.
JERALD JONES: DO WE HAVE ANYBODY HERE FROM PROCTER & GAMBLE? IF YOU WOULD STATE YOUR NAME AND YOUR POSITION WITH THE COMPANY, PLEASE.
I AM THE PLANT FINANCE DIRECTOR FOR PROCTER & GAMBLE.
MAYRA CERON: YOU CAN USE THIS.
WILL KING: IT'S WORKING? GREAT.
WILL KING, CONSULTANT WITH PRICEWATERHOUSECOOPERS, ON BEHALF OF P&G.
JERALD JONES: SO WITH PRICEWATERHOUSE AND YOU'RE ACTUALLY WITH PROCTER & GAMBLE.
JERALD JONES: OK, JUST TO LEVEL SET FOR THE BOARD AS A REMINDER, THIS MATTER CAME UP BEFORE THE BOARD AT THE LAST MEETING.
AND FRANKLY, WE DO NOT SEE MANY COMPLIANCE CASES WHERE THE RENEWALS ARE IN THIS CASE FILED ALMOST THREE YEARS LATE.
AND THERE WAS SOME DISCONNECT BETWEEN THE LED STAFF AND PROCTER & GAMBLE PERSONNEL AS TO WHAT HAPPENED.
AND RATHER THAN TRY TO FLESH THAT OUT IN THE MEETING, WE ASKED THAT THE STAFF MEET WITH PROCTER & GAMBLE OVER THE COURSE OF THE LAST FEW WEEKS.
AND I BELIEVE THERE'S BEEN AT LEAST A COUPLE OF MEETINGS ON THE SUBJECT.
AND SO IT'S COMING BACK NOW BEFORE THE BOARD FOR CONSIDERATION.
SO FIRST OF ALL, WHAT I'D LIKE TO DO IS BE SURE, BECAUSE WE DID HAVE A DISCONNECT ON WHAT THE FACTS WERE LAST MEETING.
AND I'D LIKE TO GO AHEAD AND TRY TO GET LEVEL SET ON THAT TO SEE IF WE DO HAVE AT LEAST A CONSENSUS ON WHAT THE FACTS ARE.
AND I'M GOING TO TRY TO RECITE FACTS AS I UNDERSTAND THEM.
AND PLEASE, HUD, FROM LED STAFF'S PERSPECTIVE OR FROM PROCTER & GAMBLE'S PERSPECTIVE, IF I MISSTATE THE FACTS, PLEASE CORRECT ME BECAUSE I WANT TO MAKE SURE WE'RE ALL WORKING FROM THE CORRECT SET OF FACTS.
IT'S MY UNDERSTANDING THAT WHAT LED TO THIS IS THAT PROCTER & GAMBLE ATTEMPTED TO FILE A RENEWAL APPLICATION, AND OUR FASTLANE SYSTEM WOULD NOT ALLOW THAT FILING.
UPON FURTHER REVIEW, THE REASON FOR THE SYSTEM NOT ALLOWING THE FILING IS BECAUSE CERTAIN REPORTS HAD NOT BEEN TIMELY FILED UNDER THE FIRST CONTRACT.
AND FRANKLY, THAT IS A FEATURE, NOT A BUG.
THAT IS INTENDED TO BE THAT WAY.
IF WE EXPECT DURING-- AND I'M GLAD WE HAVE A GOOD CROWD HERE TODAY BECAUSE I WANT PEOPLE TO UNDERSTAND THIS.
WHEN WE HAVE THESE ARE VERY, VERY VALUABLE INCENTIVE PROGRAMS, AND WHEN WE HAVE SYSTEMS IN PLACE AND REPORTING REQUIREMENTS IN PLACE, THOSE REPORTS ARE THERE FOR A REASON.
AND WE NEED THEM FOR OUR ABILITY TO ADMINISTER THESE PROGRAMS. AND SO AS A RESULT, WHEN THE REPORTS ARE NOT TIMELY FILED, THEY WILL NOT ALLOW APPLICATIONS FOR A RENEWAL.
BECAUSE THE VERY SIMPLE THEORY BEING, IF YOU CAN'T COMPLY WITH THE FIRST CONTRACT, WE'RE NOT GOING TO ENTERTAIN RENEWAL.
SO LONG STORY SHORT, THE LED STAFF
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ADVISED PROCTER & GAMBLE THAT IT NEEDED TO FILE THESE REPORTS.THEY WERE ULTIMATELY FILED, AND THEN THE RENEWAL APPLICATION WAS ALLOWED AND IT HAS PROCEEDED.
BUT WE ARE STILL IN A SITUATION WHERE IT IS THE APPLICATION WAS ALMOST TWO AND 1/2 YEARS LATE.
AND SO I'M STILL TRYING TO WRAP MY HEAD AROUND, AND WHAT I HOPE TO HEAR TODAY IS A BETTER UNDERSTANDING OF WHAT HAPPENED? WHY WERE THE-- A, WHY WERE THE REPORTS NOT FILED IN A TIMELY MANNER? AND B, EVEN IF THE REPORTS WERE FILED, IT SEEMED LIKE THERE WAS SOME DELAY IN TIME BEFORE THE RENEWAL APPLICATION WAS FILED.
SO FROM PROCTER & GAMBLE STANDPOINT, IF Y'ALL COULD WALK ME THROUGH THAT, THAT WOULD BE VERY HELPFUL.
SO THE TWO REPORTS YOU'RE REFERRING TO ARE THE PCR AND THE AFC.
AND THIS PREDATES BOTH MY AND MAYRA'S INVOLVEMENT.
BUT MY UNDERSTANDING IS THEY WERE DUE ORIGINALLY IN EARLY 2020 RIGHT AROUND WHEN COVID STARTED.
AND UNFORTUNATELY, DUE TO COVID THERE WAS SOME TURNOVER IN PEOPLE AT THE PLANT AND AT THE COMPANY WHO WERE RESPONSIBLE FOR MAKING THOSE REPORTS, AND THEY JUST NEVER GOT FILED.
WE DIDN'T REALIZE THEY WEREN'T FILED UNTIL THE APPLICATION CAME UP FOR RENEWAL, AT WHICH TIME, AS YOU REFER-- JERALD JONES: EXCUSE ME.
SO THE 2020 REPORTS WERE NOT FILED.
AND AGAIN, I'M HAVING A LITTLE BIT OF A HARD TIME UNDERSTANDING YOU.
IT'S PROBABLY BECAUSE OF MY AGE AND MY HEARING AIDS AREN'T WORKING.
SO IN 2020, THE FORMS WERE DUE.
THERE WERE COVID COMPLICATIONS, PERSONNEL OUTAGES AND THAT SORT OF THING.
SO WHEN WERE THE REPORTS FINALLY FILED? WILL KING: THEY WERE ULTIMATELY FILED, I BELIEVE, IN JULY OF '24.
JERALD JONES: '24 SO ALMOST FOUR YEARS LATE.
SO WHEN WAS THE RENEWAL APPLICATION FILED? WILL KING: THE RENEWAL APPLICATION WAS FILED, I BELIEVE, IN APRIL OF '26.
SO AGAIN, IF THE REPORTS WERE FILED IN 24 AND THE CONTRACT EXPIRATION WAS DECEMBER OF '23, WHY WAS THE RENEWAL APPLICATION NOT FILED UNTIL '26? WILL KING: WE DO BELIEVE THERE WAS-- MAYBE IT'S NOT AN ISSUE, BUT THE SYSTEM DIDN'T ALLOW THE RENEWAL APPLICATION TO BE FILED BEFORE THE 12-31-23 DEADLINE, WHEREAS THESE PRIOR REPORTS WERE NOT.
JERALD JONES: BUT YOU FILED THE REPORTS IN 2024.
WHY WASN'T THE APPLICATION NOT FILED IMMEDIATELY THEREAFTER? WILL KING: THE SYSTEM DIDN'T ALLOW IT AT THAT TIME.
WE REACHED OUT TO LED TO DISCUSS THIS, BUT WE DIDN'T SEE THE ABILITY EVEN AFTER THESE REPORTS WERE FILED.
WE'RE NOT ALLOWED AT THAT TIME TO SUBMIT THE RENEWAL APPLICATION.
THE SYSTEM STILL-- JERALD JONES: OK, HUD, HELP ME UNDERSTAND.
IF THEY FILED THE REPORTS IN 2024, WHY WOULD THE SYSTEM NOT THEN ALLOW THEM TO FILE THE APPLICANT RENEWAL APPLICATION? HUD USIE: I UNDERSTAND THAT RESEARCH WAS CONDUCTED BY THE ENGINEERS OF FASTLANE AND THE REPORTS THE SYSTEM IS WORKING PROPERLY, AND THE RENEWAL APPLICATION WOULD HAVE BEEN ABLE TO BE FILED.
AND WE DIDN'T HAVE ANY DOCUMENTATION OF AN ERROR OR ANY SCREENSHOTS WHERE AN ERROR WAS ENCOUNTERED TO SAY THAT THE SYSTEM DID NOT ALLOW IT.
JERALD JONES: SO THERE WAS NO INDICATION THAT THERE WAS A RENEWAL APPLICATION ATTEMPTED.
IS THAT WHAT YOU'RE SAYING? HUD USIE: ATTEMPTED? NO.
THE FIRST DOCUMENTATION WE HAVE OF RENEWAL APPLICATION BEING CREATED IN THE SYSTEM IS DECEMBER 18 OF 2025.
THAT'S WHEN THE FORM, THE ELECTRONIC FORM, FIRST EXISTED AND WAS CREATED BY MR. KING IN THE FASTLANE SYSTEM.
JERALD JONES: SO MR. KING, I'M TRYING TO WRAP MY HEAD AROUND THIS.
SO YOU'RE SAYING THERE WAS AN ATTEMPT MADE SHORTLY AFTER 2024 WHEN THE REPORTS ARE FILED AND THE SYSTEM.
BUT WE HAVE NO INDICATION THAT SUCH AN ATTEMPT WAS MADE.
DO YOU HAVE ANY EXPLANATION FOR THAT? WILL KING: CORRECT.
SIMILAR TO WHEN WE TRIED PRIOR TO THE 12-31-23 DEADLINE, THERE'S JUST NO OPTION IN THE SYSTEM TO CREATE THE REPORT.
AND SO AT THE SAME TIME, WE LOOKED ONCE WE SUBMITTED THOSE REPORTS IN '24 AND STILL DID NOT SEE IT.
I DON'T HAVE ANY PROOF OR SUPPORT OF THAT OTHER THAN WE DID SEND A NOTE, I BELIEVE, IN SEPTEMBER STILL REFERENCING THAT WE DIDN'T SEE THAT ABILITY.
BEFORE I EVEN TRY TO ENTERTAIN A MOTION, I'M GOING TO GIVE THE BOARD AN OPPORTUNITY.
DO YOU ALL HAVE ANY QUESTIONS OR COMMENTS? KYLE POLOZOLA: WERE THERE COMMUNICATIONS BETWEEN THE COMPANY AND THE LED DURING THIS TIME WHERE YOU WERE HAVING THIS CONFUSION? CAN YOU EXPLAIN MAYBE ASIDE FROM JUST DEALING WITH THE COMPUTER SUBMISSIONS, WHAT KIND
[00:40:02]
OF COMMUNICATIONS WERE BEING HAD? WILL KING: WE DID EMAIL THEM TO ASK ABOUT IT.WE'VE SHARED THAT CORRESPONDENCE WITH LED BETWEEN THE LAST SESSION AND THIS SESSION, NOTING THAT WE DO BELIEVE WE'D ASK THEM AND SAID, WE'RE NOT SEEING THE ABILITY TO SUBMIT THIS REPORT AND WHAT DO WE HAVE TO DO HERE? AND NO OPTION WAS PROVIDED OR NO GUIDANCE ON THAT WAS PROVIDED BY LED AT THAT TIME.
JERALD JONES: HUD, HELP ME UNDERSTAND THAT.
HUD USIE: FROM MY PERSPECTIVE, I THINK THE CONFUSION AROSE WHENEVER THEY ORIGINALLY INQUIRED ABOUT NOT BEING ABLE TO FILE THE RENEWAL IN DECEMBER OF 2023 BEFORE THE CONTRACT EXPIRED.
I USE THE WORDS IN ORDER TO RENEW.
YOU HAVE TO FILE THE AFC AND PCR BECAUSE THOSE ARE REQUIREMENTS OF THE CONTRACT.
AND I THINK THAT GOT MISINTERPRETED ON THEIR END.
I CAN'T SPEAK FOR THEM, BUT THAT'S THE ONLY THING I CAN IDENTIFY IN OUR COMMUNICATION WHERE THERE COULD HAVE BEEN SOME MISCOMMUNICATION.
BUT I WAS SPEAKING FROM A GENERAL PERSPECTIVE IN THAT NO ONE CAN RENEW A CONTRACT UNTIL THEY'RE IN COMPLIANCE WITH THE INITIAL CONTRACT.
AND I THINK THAT'S WHERE THE MISINTERPRETATION OCCURRED.
BUT THERE WAS NO FOLLOW-UP AFTER THAT TO SAY, ARE YOU SURE OR WHY IS THERE A DELAY? WHY IS THE SYSTEM STILL NOT WORKING? LIKE I SAID, NORMALLY IF THERE'S AN ERROR ENCOUNTERED, THE USER WITH THE ERROR WILL SEND US A SCREENSHOT OF WHAT THEY'RE SEEING ON THEIR END.
JERALD JONES: OK, SO KYLE, I DON'T MEAN TO COMMANDEER, BUT I'M TRYING TO WRAP MY HEAD AROUND THIS A LITTLE BIT MORE.
SO AFTER 2023, WHEN THEY COULDN'T FILE A RENEWAL APPLICATION, YOU TOLD THEM, GO FILE THE REPORTS.
YOU CAN'T FILE THE RENEWAL APPLICATION UNTIL YOU GET THAT DONE.
AFTER THAT COMMUNICATION, WAS THERE ANY MORE COMMUNICATION FROM THEM TO YOU ABOUT WAIT A MINUTE, WE STILL CAN'T GET IT FILED? HUD USIE: YES, THAT WAS IN JULY OF 2024.
THEY FOLLOWED UP AGAIN TO SAY, HEY, THE STATUS IN FASTLANE SHOWS CONTRACT COMPLETE.
WHY DOES IT SAY OUR CONTRACT IS COMPLETE? AND THEN I REITERATED, AS I DID IN DECEMBER OF 2023, WELL, THAT'S BECAUSE YOU STILL HAVEN'T FILED YOUR AFC AND PCR.
SO THE SYSTEM UPDATED ACCORDINGLY.
JERALD JONES: SO THEY STILL HADN'T FILED IT.
HUD USIE: AND THEN THEY LATER FILED IT ON AUGUST 27, 2024 IS WHEN THE AFC AND PCR FORMS WERE BOTH RECEIVED IN FASTLANE.
JERALD JONES: SO ONCE THEY FILED THE REPORTS, DID FASTLANE ALLOW THEM TO FILE THE RENEWAL APPLICATION? HUD USIE: PER THE ENGINEERS THAT DID THE TESTING AND RUN THE SYSTEM WITH THE CODING, IT DOES ALLOW USERS TO, AT THAT TIME, FILE A RENEWAL APPLICATION.
WILL KING: I JUST DON'T BELIEVE THAT'S CORRECT.
WE DID FOLLOW UP IN EARLY SEPTEMBER, AND I DID SHARE AGAIN NOTES WITH LED WHERE WE HAD SAID, HEY, WE'VE NOW SUBMITTED THESE.
WE STILL DON'T SEE THE OPTION TO SUBMIT THIS RENEWAL APPLICATION.
AND I DO BELIEVE I RECEIVED A NOTE BACK FROM HUD ON THE 10TH OF SEPTEMBER THAT SAID, THERE MAY BE A SYSTEM ISSUE.
JERALD JONES: I'M SORRY, WHAT WAS THE DATE OF THAT COMMUNICATION? WILL KING: THAT WAS SEPTEMBER 10, 2024.
JERALD JONES: 2024? WILL KING: YES.
HUD USIE: AND JUST TO CLARIFY, I SAID THAT AFTER THAT COMMUNICATION WAS ME SAYING THAT IF AFTER THE AFC IS PROCESSED, REVIEWED BY THE LED, IF YOU STILL HAVE AN ISSUE, THEN IT MAY BE AN ERROR AT THAT POINT.
BUT PRIOR TO THAT, IT WAS NEVER CONSIDERED AN ERROR ON OUR END BECAUSE THAT IS HOW THE SYSTEM IS DESIGNED TO OPERATE.
JERALD JONES: BETWEEN 2024 AND APRIL OF 2026 IS TWO YEARS.
WAS THERE ANY ATTEMPT, MR. KING, TO GET THIS APPLICATION FILED-- I'M GOING TO GIVE YOU MY REACTION AND THEN CORRECT ME WHEN MY UNDERSTANDING IS WRONG.
IF I'VE GOT AN INCENTIVE BASED ON ALMOST $60 MILLION PROJECT AND MY RENEWAL HAS NOT BEEN RESOLVED, I'M ON THE PHONE EVERY FREAKING DAY UNTIL I GET IT RESOLVED.
I DON'T UNDERSTAND HOW THERE'S ALMOST A TWO-YEAR LAG BEFORE YOUR RENEWAL APPLICATION FINALLY GOT FILED.
WHAT WAS GOING ON? YOU COULDN'T FILE IT, SO YOU SAT BACK AND JUST DID NOTHING? WILL KING: NO, WE CHECKED THE SYSTEM, PROBABLY ABOUT MONTHLY.
WE DIDN'T SEE THE ABILITY TO FILE IT UNTIL, AGAIN, I THINK THIS WAS MAYBE LATE '25, EARLY '26 THAT WE BELIEVE THE SYSTEM OPENED UP AND UPDATED, ALLOWED US TO SUBMIT THAT APPLICATION.
IN THE INTERIM, WE JUST FILED ALL THE OTHER REQUIRED REPORTS, INCLUDING ANNUAL CERTIFICATES OF COMPLIANCE.
AGAIN, ALL TIMELY FOR THIS ITEM.
ROBBY MILLER: NO EMAIL TO HUD AFTER AUGUST OF '24 SAYING, I CAN'T FILE.
WHY CAN'T I FILE? THERE'S NO EMAILS THAT WE CAN SEE OR PHONE CALL RECORDS?
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WILL KING: THE AFC THAT WAS SUBMITTED WASN'T APPROVED UNTIL EARLY '26.SO I WAS UNDER THE IMPRESSION THIS REPORT, THIS PRIOR REPORT THAT WAS DUE HAD TO BE APPROVED BEFORE THIS RENEWAL APPLICATION COULD BE SUBMITTED.
HUD USIE: SO WE HAVE GOT FASTLANE RECORDS THAT SHOW WHEN THE FORM IS CREATED VERSUS WHEN IT'S SUBMITTED AND RECEIVED.
THE CREATED DATE IS DECEMBER 18 OF 2025 WHEN THE FORM WAS CREATED AND THE SYSTEM WOULD HAVE BEEN FIXED IF THERE WAS AN ERROR.
THAT'S THE DATE THAT MR. KING CREATED THE FORM.
AND THEN THE RENEWAL WAS NOT RECEIVED UNTIL APRIL OF 2026.
SO IT WAS CREATED IN DECEMBER, BUT THERE STILL WAS A FOUR-MONTH DELAY IN IT BEING PAID AND SUBMITTED THROUGH THE SYSTEM.
AND THE AFC WAS NOT PROCESSED UNTIL MARCH OF 2026.
SO STATING THAT THE RENEWAL COULDN'T BE ADDED UNTIL THE AFC IS PROCESSED IS INACCURATE BECAUSE THE SYSTEM HAS DATES SHOWING OTHERWISE.
ROBBY MILLER: I GUESS TO CUT TO THE CHASE TOO AT THE SAME TIME, WHEN WAS THE ORIGINAL RENEWAL FILING SUPPOSED TO BE DONE? HUD USIE: DECEMBER 31, 2023 WAS THE DEADLINE.
ROBBY MILLER: WE ABSOLUTELY KNOW THAT THE REPORTS WERE NOT DONE TILL 2024, A WHOLE YEAR FOR SURE.
THEY INQUIRED ON DECEMBER 13-- ROBBY MILLER: TO BECOME COMPLIANT WITH THE FIRST CONTRACT TOOK THEM UNTIL 2024-- ALMOST THE END OF 2024, MIDWAY FOR SURE.
ROBBY MILLER: TO COMPLY WITH THE FIRST FIVE-YEAR CONTRACT.
HUD USIE: YES, THE AFC, THE AFFIDAVIT OF FINAL COST, WHICH IS A LISTING OF PROPERTY AND THE PROJECT COMPLETION REPORT, WHICH ARE DATES CONFIRMING WHEN THE PROJECT WAS COMPLETED.
ROBBY MILLER: SO THOSE WERE A COMPLETE YEAR LATE.
HUD USIE: THOSE WERE SEVERAL YEARS LATE.
ROBBY MILLER: HOW MUCH? HUD USIE: SEVERAL YEARS LATE.
THEY WERE DUE IN 2020, AND THEY WEREN'T SUBMITTED UNTIL 2024.
THAT WAS THE NUMBER I WAS TRYING TO GET TO.
HUD USIE: SO THE ORIGINAL INQUIRY CAME FROM-- ROBBY MILLER: BUT THEY WERE SUPPOSED TO FILE IT 2020 TO COMPLY WITH THE FIRST FIVE-YEAR-- HUD USIE: CONTRACT.
IS THAT CORRECT OR FINISHED IN 2024? I'M NOT SURE WHEN IT BEGAN.
HUD USIE: SO THE AFC AND PCR ARE ARTICLES OF THEIR CONTRACT, AND THEY'RE REQUIRED TO FILE THE PCR WITHIN 90 DAYS OF THE PROJECT BEING COMPLETE OR RECEIPT OF A FULLY EXECUTED CONTRACT, WHICHEVER IS LATER.
THE AFC IS SIX MONTHS FROM THE PROJECT BEING COMPLETE OR RECEIPT OF A FULLY EXECUTED CONTRACT, WHICHEVER ONE IS LATER.
BUT THOSE FORMS WERE NOT RECEIVED UNTIL AUGUST OF 2024.
ROBBY MILLER: MR. KING, WAS THERE ANYTHING THAT CAUSED Y'ALL NOT TO BE ABLE TO DO THE REPORT BETWEEN 2020 AND WHEN IT WAS FINALLY DONE IN 2024? WILL KING: NO.
WILL KING: YES ROBBY MILLER: OK.
JERALD JONES: WAS THERE A MISUNDERSTANDING AS TO THE DATES THOSE REPORTS WERE TO BE FILED? BECAUSE AS I APPRECIATED, THOSE DATES ARE EITHER SET FORTH IN THE REGS OR IN THE CONTRACT.
WAS THERE A MISUNDERSTANDING AS TO WHEN THOSE DATES SHOULD BE-- THOSE REPORTS SHOULD BE FILED? WILL KING: WE JUST DIDN'T REALIZE THEY HAD NOT ALREADY BEEN FILED BECAUSE THEY WERE SO FAR DUE.
WE THOUGHT THEY'D ALREADY BEEN DONE.
MEMBER: HAS PROCTER & GAMBLE HAD ANY OTHER ITEP CONTRACT BEFORE OR IS THIS THE ONLY ONE THEY'VE EVER HAD? HAVE YOU HAD EXPERIENCE WITH THAT BEFORE? JERALD JONES: GREAT QUESTION.
MAYRA CERON: NO, WE DO HAVE SEVERAL ITEMS BEFORE THIS ONE.
AND AS A PROOF FOR COMPLIANCE, THIS REPORT, THIS WAS-- YEAH.
MEMBER: ON ONE HAND, IT'S PROOF OF COMPLIANCE.
ON THE OTHER HAND, IT ALSO STATES THAT YOU KNOW THE SYSTEM.
YOU KNOW HOW THAT WORKS AND YOU KNOW HOW REPORTS HAVE TO BE FILED.
SO I'M WONDERING WHAT HAPPENED ON THIS ONE? REPORTS WEREN'T FILED THEN THE RENEWAL WASN'T FILED.
AND ACTUALLY, SIMULTANEOUSLY, WE DO HAVE ADDITIONAL ITEMS. AND WE APPLY FOR ADDITIONAL TAX INCENTIVES.
AND WE FILED THOSE ONES ON TIME.
SO AT THE SAME TIME, SIMULTANEOUSLY, WE WERE WORKING WITH SEVERAL ITEMS, BUT THIS WAS THE ONLY ONE THAT WE COULDN'T ALLOW US TO SUBMIT IT INTO THE SYSTEM.
MEMBER: THAT WAS BECAUSE REPORTS WERE FILED.
YOU COULDN'T DO THE RENEWAL BECAUSE REPORTS WEREN'T FILED.
SO IT GOES BACK TO WHEN THOSE REPORTING TIMES WEREN'T FILED IN A TIMELY MANNER FOR FOUR YEARS, IS THAT CORRECT? SO HOW DID THIS ONE GET OUT OF THE SYSTEM? I WAS ASSUMING PROCTER & GAMBLE HAD OTHER ITEP CONTRACTS AND THIS ONE-- THIS ONE FELL OUT OF THE SYSTEM SOMEHOW FOR A LONG, LONG TIME.
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AND THAT'S JUST ODD TO ME.WILL KING: LIKE WE WERE SAYING, WE DIDN'T REALIZE THIS ONE WASN'T FILED.
AND AGAIN, WE APOLOGIZE FOR IT.
IT WAS DROPPED DURING COVID BECAUSE IT WAS DUE IN EARLY 2020, WHICH PRECEDES MAYRA AND MYSELF'S INVOLVEMENT.
AND SO WHEN WE PICKED THIS UP, WE DIDN'T REALIZE THIS HAD NOT ALREADY BEEN DONE.
SO WE SCRAMBLED TO DO IT ONCE WE REALIZED IT WAS DUE.
BUT LIKE MAYRA SAID, WE'VE MADE EVERY EFFORT TO COMPLY WITH EVERY OTHER ITEP.
WE HAVE, I THINK, NEARLY 10 AGREEMENTS IN PLACE, AND WE'VE MADE EVERY FILING AS REQUIRED.
OTHERWISE, WE APOLOGIZE FOR THIS ONE NOT BEING DONE.
JERALD JONES: I'M GLAD YOU RAISED THAT BECAUSE THAT'S A QUESTION I HAD.
WERE THESE FILINGS BEING DONE INTERNALLY WITH PROCTER & GAMBLE OR THROUGH OR THROUGH A CONSULTANT? MAYRA CERON: THE FILINGS? JERALD JONES: YEAH, THE FILINGS.
MAYRA CERON: IT IS IN CONJUNCTION.
PULL THE MIC A LITTLE BIT CLOSER TO YOU.
I REALLY CAN'T HEAR YOU VERY WELL.
MAYRA CERON: IT IS TOGETHER WITH PWC.
JERALD JONES: HAS ALWAYS BEEN WITH PWC.
MAYRA CERON: WELL, NO, WE STARTED OUR RELATIONSHIP WITH PWC, I BELIEVE, IN 2021.
WILL KING: OR A BIT LATER, I THINK.
JERALD JONES: WHAT YEAR? MAYRA CERON: I BELIEVE BETWEEN 2021 OR 2022.
JERALD JONES: OK, SOMEBODY'S COMING TO HELP, I THINK.
KELLY FULLER: I'M KELLY FULLER, AND I'M THE TAX ANALYST WITH PROCTER & GAMBLE.
IN 2020, ALL OF OUR CONTRACTS WERE BEING-- EVERYTHING WAS BEING DONE THROUGH CORPORATE TAX, WHICH IS BASED OUT OF CINCINNATI.
DURING THAT TIME, EVERYTHING GOT PUSHED TO THE PLANTS.
AND SO BETWEEN THAT HAPPENING AND COVID, THAT'S WHEN THE MISS HAPPENED.
SO THE REPORTS WERE BEING DONE BY PROCTER & GAMBLE CORPORATE IN CINCINNATI.
AND THEN AT SOME POINT IN TIME, THEY WERE BROUGHT IN-HOUSE AT THE RAPIDES PARISH LOCATION.
AND AT WHAT POINT WAS IT OUTSOURCED THEN TO THE CONSULTANT PWC? KELLY FULLER: I THINK 2022.
ROBBY MILLER: CAN I ASK SOMETHING? JERALD JONES: YEAH.
ROBBY MILLER: ON MR. WHEELIS'S THREAD, HE ASKED ABOUT OTHER CONTRACTS.
ARE THERE ANY OTHER ITEP CONTRACTS IN THE SAME KIND OF CALENDAR TIME FRAME, THE SAME OVERLAPPING THAT YOU WERE WORKING ON? WILL KING: I BELIEVE THERE'S THREE OTHERS.
ROBBY MILLER: SO THERE WERE THIS ONE AND TWO OTHERS WITH THE SAME TIMING? WILL KING: ONE FROM 2017 AND I BELIEVE TWO OTHERS FROM 2018.
ROBBY MILLER: AND THOSE WERE ALL COMPLIANT AND RENEWED PROPERLY AND EVERYTHING? HUD USIE: YEAH, THEY WOULD HAVE APPEARED AS LATE ON THE AGENDA TOO.
BUT TO MY KNOWLEDGE, THEY WERE NOT.
WILL KING: WELL, THERE WAS A NON-COMPLIANCE ISSUE WITH THREE OF THOSE DUE TO PAYROLL OR HEADCOUNT NOT BEING MET DURING COVID AS WELL.
I BELIEVE THAT CAME UP TO A BOARD MEETING PRIOR, AND NO ACTION WAS TAKEN ON THOSE THREE.
THIS IS THE LAST OF THE FOUR COVID ERA DISRUPTION NON-COMPLIANCE ISSUES.
OTHERWISE, THEY'RE FULLY COMPLIANT.
ROBBY MILLER: BUT BACK TO CUTTING TO THE CHASE IS THE REPORTS THAT WERE DUE TO FINALIZE THE FIRST FIVE YEARS WERE NOT EVEN LOOKED AT TILL 2024.
IS THAT CORRECT? WILL KING: WERE NOT SUBMITTED UNTIL THEN FOR THIS ONE.
YES, THE OTHER THREE WERE ALL FILED TIMELY.
I BELIEVE THIS WAS THE LAST ONE THAT WAS DUE BACK IN 2020.
THE OTHERS MAYBE EVEN DUE MORE IN 2019.
ROBBY MILLER: SO ALL THREE OF THEM WERE LATE, AT LEAST OUT OF COMPLIANCE FOR A LITTLE WHILE.
HUD USIE: I DON'T HAVE THOSE RECORDS.
I DON'T BELIEVE THE AFFIDAVIT OF FINAL COSTS AND PROJECT COMPLETION REPORTS WERE LATE FOR THOSE TO THE EXTENT AS THIS ONE.
IT WAS SO LATE FOR THIS ONE THAT IT CREATED THE RENEWAL ISSUE.
TO MY KNOWLEDGE, THE OTHER ONES DIDN'T HAVE THE SAME RENEWAL ISSUE.
TONY BACALA: OK, SO IT LOOKS LIKE WE BASICALLY HAD A DOMINO EFFECT.
YOU DID FILE A REPORT IN 2020 WHENEVER CORPORATE SENT IT TO THE LOCAL AND LOCAL, WHATEVER.
WHATEVER THE REASON IS, I MEAN, OBVIOUSLY, THERE'S A FAILURE OF PROCTER & GAMBLE AT THE SITE LEVEL TO PROPERLY FILE THE REPORTS.
AND THE DOMINO EFFECT IS IT AFFECTED RENEWAL.
YOU COULDN'T DO ANYTHING ELSE AFTER THAT, AND YOU COULDN'T GET IT FIXED FOR WHATEVER REASON.
I KIND OF AGREE WITH OTHER MEMBERS.
I THINK I WOULD HAVE BEEN ON THE PHONE EVERY DAY SAYING, WHAT I NEED TO DO? I DO HAVE A COUPLE QUESTIONS.
WERE ANY REPORTS FILED AFTER 2020 PROPERLY? I MEAN, A 2021, OR 2022, OR 2023 REPORT? IS THERE ONE GAP OR IS IT A COMPLETE ABSENCE FROM 2019? HUD USIE: SO THE AFC AND PCR ARE ONLY DUE ONE TIME.
THEY'RE DUE AFTER THE PROJECT ENDS, ONLY ONE TIME.
AND YOU HAVE TO DO BOTH OF THOSE FILINGS BEFORE YOU'RE ABLE TO RENEW AFTER THE FIRST FIVE YEARS EXPIRES.
TONY BACALA: OK, SO NOTHING IN 2020 AND NOTHING DUE THEREAFTER, OR THEY COULDN'T BE FILED THEREAFTER BECAUSE 2020 WAS STILL THE BLOCKING?
[00:55:01]
HUD USIE: SO THE AFC AND PCR-- TONY BACALA: I CAN'T HEAR YOU.HUD USIE: THE AFC AND PCR WERE DUE IN 2020, BUT THEY'RE ONLY FILED ONE TIME.
ONCE THOSE ARE FILED IN PROCESS, THERE'S NO OTHER COMPLIANCE REPORTING ASIDE FROM JOBS AND PAYROLL IF THE CONTRACT HAD JOBS AND PAYROLL REPORTING.
BUT THAT'S SEPARATE FROM THE AFFIDAVIT OF FINAL COSTS AND PROJECT COMPLETION REPORT.
WILL KING: I'M SORRY IF I COULD JUST-- THAT JOB AND COMPLIANCE REPORTING, THAT IS DUE ANNUALLY.
THAT WAS DONE EVERY YEAR FOR THIS CONTRACT TIMELY, INCLUDING AFTER 12-31-23.
WE CONTINUED TO FILE THOSE ANNUAL REPORTS.
WE FILED TIMELY FOR '25 FOR THOSE.
WE FILED A JOBS OPT OUT FORM, JUST AS I CAN-- TONY BACALA: SO YOU FILED FORM-- YOU MISSED 2020 BUT AFTERWARDS YOU WERE FILING COMPLIANCE REPORTS? WILL KING: THE ANNUAL REPORTS, CORRECT.
WE FILED THOSE TIMELY EVERY YEAR AS THE SYSTEM ALLOWED US TO EVEN UP THROUGH AGAIN THROUGH 2024, 2025.
AND WE AGAIN, PLAN TO FILE TIMELY FOR 2026, OBVIOUSLY PENDING THE OUTCOME OF THIS MEETING.
TONY BACALA: SO THE ONLY THING-- SO YOU HAD REPORTS BEFORE 2020, POTENTIALLY REPORTS AFTER 2020.
BUT THE 2020 SOMEWHERE IN THAT GAP YOU STILL DIDN'T GET THE FILING.
TONY BACALA: OK, NEXT QUESTION.
THE REPORTS ARE TO ENSURE COMPLIANCE WITH THE CONTRACT, CORRECT? HUD USIE: CORRECT, THERE ARE ARTICLES OF THE CONTRACT.
REGARDLESS OF WHETHER THE PROPER PAPERWORK WAS FILED OR NOT, THIS IS A SEPARATE QUESTION.
WAS PROCTER & GAMBLE IN COMPLIANCE WITH THE REQUIREMENTS OF THE CONTRACT OTHER THAN THE REQUIREMENT TO FILE THAT REPORT IN 2020? HUD USIE: YEAH, SO IT'S ON THE AGENDA PAGE.
WE HAVE THE ANNUAL COMPLIANCE SUMMARY FOR THE FIRST FOUR YEARS.
AND THEY WERE DEEMED COMPLIANT FOR EACH FOUR OF THOSE REPORTING YEARS FOR JOBS AND PAYROLL.
TONY BACALA: THEY DID WHAT THEY WERE SUPPOSED TO DO, EXCEPT THEY DIDN'T FILE THE REPORT.
AND THEN AGAIN, THE DOMINO EFFECT, IT SCREWED UP EVERYTHING THEREAFTER.
JERALD JONES: THANK YOU, REPRESENTATIVE BACALA.
ALL RIGHT, ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? I THINK WE UNDERSTAND THE FACTS.
I THINK WE UNDERSTAND WHAT HAPPENED.
FRANKLY, THE DIFFICULTY ON THIS ONE FOR ME IS TO MY-- I'VE BEEN DOING THIS A LONG, LONG, LONG TIME ON THIS BOARD.
I DON'T REMEMBER ONE THAT HAS BEEN THREE YEARS LATE BEFORE.
WELL, I KNOW WE'VE HAD ONE WITH MULTIPLE YEARS.
I THINK IT WAS TWO YEARS LATE, BUT I'M JUST HAVING A HARD TIME UNDERSTANDING.
TO MY EARLIER COMMENT, I DON'T UNDERSTAND WHY THIS WASN'T-- GETTING THIS RESOLVED AND GETTING THIS-- FINDING OUT HOW TO GET THIS DONE WASN'T MORE OF A PRIORITY FOR THE COMPANY.
I DON'T EVEN VOTE UNLESS THERE'S A TIE ON THIS BOARD.
UNDER OUR RULES, UNDER THE TERMS OF THE CONTRACT, THESE FORMS ARE IMPORTANT.
I HADN'T EVEN ASKED THE QUESTION OF SINCE THIS WAS NEVER RENEWED, DID THE PROPERTY GO ON THE TAX ROLLS OR NOT? I'M AFRAID TO ASK THAT QUESTION.
AND I'M NOT TALKING JUST PROCTER & GAMBLE RIGHT NOW BUT EVERYBODY IN THE ROOM.
THE RULES AND THE CONTRACT ARE IMPORTANT.
I KNOW A LOT OF Y'ALL SIT THROUGH THESE MEETINGS EVERY MONTH AND YOU GO, AND ALL WE'RE DOING IS MOTION SECOND APPROVED, MOTION SECOND APPROVED.
THAT'S THE WAY IT'S SUPPOSED TO WORK WHEN ALL THE RULES ARE BEING COMPLIED WITH AND WHEN THE CONTRACT IS BEING COMPLIED WITH.
AND IF PROCTER & GAMBLE HAD COMPLIED WITH ITS RESPONSIBILITIES IN THIS SITUATION, WE WOULDN'T HAVE BEEN DEALING WITH THIS FOR THE LAST HALF HOUR.
SO THERE ARE REASONS FOR THE RULES.
THERE ARE REASONS THAT WE REQUIRE THIS INFORMATION.
IT KILLS ME TO PENALIZE A COMPANY BECAUSE UNDER OUR RULES, THIS COULD BE A THREE-YEAR PENALTY OF A FIVE-YEAR RENEWAL, WHICH IS SIGNIFICANT ESPECIALLY FOR A $60 MILLION PROJECT.
BUT AT THE SAME TIME, I HAVE A HARD TIME UNDERSTANDING HOW WE CANNOT DO IT.
I HAVE A HARD TIME BEING ABLE TO JUSTIFY NOT PENALIZING, BECAUSE THE PROBLEM IS THAT WHEN WE HAVE THE NEXT COMPANY
[01:00:04]
COME BEFORE US AND IT FELL THROUGH THE GAP OR WE HAD A COVID ISSUE.AND FRANKLY, I'M SICK AND TIRED OF THE COVID EXCUSE.
THAT WOULD HAVE BEEN A REALLY GOOD EXCUSE IN 2021 AND 2022.
BUT I WANT COMPANIES TO APPRECIATE IF THESE INCENTIVES ARE AS VALUABLE AS WE BELIEVE THEY ARE.
AND AS COMPANIES TELL US THEY ARE, THEN THEY SHOULD BE TREATED AS SUCH.
READ THE RULES, READ THE CONTRACT, AND COMPLY WITH IT.
AND IF THERE'S AN ISSUE, RAISE YOUR HAND QUICKLY AND CONSISTENTLY AND PERSISTENTLY.
I'M NOT GOING TO SAY THAT LED STAFF IS PERFECT.
THEY MAY BE PRACTICALLY PERFECT LIKE MARY POPPINS, BUT THEY'RE PROBABLY NOT PERFECT.
BUT IF YOU CAN'T GET A RENEWAL APPLICATION FILED FOR SOME REASON, AGAIN, I WOULD BE ON THE PHONE EVERY DAY UNTIL I GOT IT RESOLVED BECAUSE IT'S THAT IMPORTANT TO MY COMPANY.
SO THAT'S THE CHAIR'S FEELING ON THIS.
AGAIN, I DON'T HAVE-- I DON'T HAVE A VOTE UNTIL THERE'S A TIE.
AND RIGHT NOW WE DON'T EVEN HAVE A MOTION.
BUT AT THIS POINT, I'M GOING TO ENTERTAIN A MOTION ON WHAT TO DO ABOUT THIS THREE-YEAR SITUATION.
KYLE POLOZOLA: MR. CHAIRMAN, BEFORE WE DO THAT, IN THE PAST WITH THIS BOARD, BECAUSE I'VE ONLY BEEN ON IT FOR A SHORT TIME, HAS IT MADE A DIFFERENCE TO THE BOARD THAT THE COMPANY HAS BEEN OTHERWISE COMPLIANT EVEN THOUGH THEY'RE FACING THESE LATE FILINGS? JERALD JONES: I DON'T BELIEVE THAT THE RULES GIVE US THAT FLEXIBILITY UNDER THE 2018 RULES.
THERE IS SOME FLEXIBILITY UNDER SOME OF THE OTHER SETS OF RULES.
AND ONE OF THE THINGS I'VE TOLD STAFF I WOULD LIKE FOR US TO DO A REVIEW OF ALL THE RULES, BECAUSE I THINK THERE'S TIME TO DO SOME CLEANING UP AND TO MAKE SOME CONSISTENCY, BECAUSE ONE OF THE THINGS THAT FRUSTRATES ALL OF US, I THINK, IS THAT WHEN WE-- ESPECIALLY UNDER ITEP, SINCE 2016, WE'VE GOT ABOUT FIVE SETS, MAYBE FOUR BUT SEVERAL SETS OF RULES THAT WERE OPERATING UNDER, AND THEY'RE NOT ALL CONSISTENT.
AND I WORKED THIS PROBABLY CLOSER THAN A LOT OF PEOPLE ON THE BOARD AND I GET CONFUSED.
AND I UNDERSTAND HOW EVERYBODY CAN BE CONFUSED.
BUT NEVERTHELESS, THE RULES OF THE RULES, CONTRACTS ARE CONTRACTS.
AND SO WHAT I'M ASKING THE LED STAFF TO DO IS TAKE A LOOK AT THE CONTRACTS.
LET'S DO SOME RULEMAKING TO GET THINGS A, CONSISTENT AND B, IF THERE'S A BETTER WAY TO DO IT, THEN WE NEED TO REVIEW THAT AS WELL.
BUT TO YOUR POINT AND TO YOUR ANSWER YOUR QUESTION, THERE IS NO PROVISION IN EITHER CONTRACTS OR THE RULES THAT SAY, WELL, IF THEY'VE BEEN GOOD GUYS AND THEY HAVE ONE MESS UP, THEN THEY GET A PROBATION OR THEY-- HAROLD CALLAIS: YEAH, SO MY COMMENT THAT I HAVE TO MAKE IS REALLY ABOUT THE NATURE OF THE STUFF THAT WASN'T FILED.
SO THE STUFF THAT WASN'T FILED HAS TO DO WITH VERIFICATION THAT THE MONEY WAS SPENT AND THAT ALL THESE CONDITIONS WERE MET.
SO FROM THE PERSPECTIVE OF THE STATE, WE HAVE NO WAY OF VERIFYING OR VALIDATING WHETHER OR NOT THE MONEY WAS SPENT THE WAY THAT IT WAS TOLD TO US IT WAS.
AND SO, IN MY OPINION, THAT'S THE NATURE OF THOSE DOCUMENTS THAT WEREN'T FILED ON TIME.
SO HOW, IN ANY WAY, CAN THE STATE IN TURN OR LOCALS OFFER AD VALOREM WHENEVER THEY DON'T EVEN KNOW IF THE PROJECT'S BEEN DONE AS THE WAY IT'S SUPPOSED TO BE? SO IT'S NOT JUST ABOUT THE BLACK AND WHITE TERMS TO ME.
IT'S ALSO ABOUT HOW IS THIS BEING DONE PRACTICALLY? WHAT ARE THE PRACTICAL MEANINGS OF THESE FILINGS? IT'S GOOD FOR THE STATE TO KNOW THAT THE ANNUAL CERTIFICATIONS LIKE JOBS AND WHATEVER, ALL THE THINGS ARE BEING DONE.
BUT THAT'S NOT THE WAS IT DONE THE WAY IT WAS SUPPOSED TO BE IN THE BEGINNING? AND SO THAT TO ME IS-- IT'S NOT JUST ABOUT THE CONTRACTS.
IT'S ALSO ABOUT THE INTENT BEHIND IT AS TO HOW IMPORTANT ARE THOSE DOCUMENTS TO THE ENTIRE CONTRACT STICKING? AND SO THAT'S THE HARD PART I HAVE, IS THAT HOW ARE WE SUPPOSED TO LOOK BEYOND NOT EVEN KNOWING FOR FOUR YEARS WHAT'S HAPPENING? WAS THE MONEY SPENT? HOW WAS IT SPENT? SO THAT THAT'S THE THING I HAVE THE BIGGEST HEARTBURN ABOUT.
JERALD JONES: AND MR. CALLAIS RAISES A GOOD POINT.
AND ONE THING THAT PROBABLY A LOT OF PEOPLE AREN'T AWARE OF-- AND LED DOES SPOT VISITS.
THEY GET THESE REPORTS IN AND THEY DO SITE VISITS.
AND THEY SAY, OK, THIS IS WHAT YOU SAID.
[01:05:02]
LET'S SEE THIS IS WHAT REALLY HAPPENED.WELL, IF DON'T GET THE REPORT, THERE'S REASONS FOR THE RULES.
AND AS DIFFICULT AS THAT IS, THAT'S PART OF THE GIG.
ANY OTHER COMMENTS? YES, MR. WHEELIS.
WESLEY WHEELIS: WHEN WE DEFERRED THIS, I DESPERATELY HOPED THAT WE WOULD GET SOMETHING TODAY THAT MADE US HAVE REASON TO CONCEDE ON THIS.
I DIDN'T HEAR THAT, AND I DON'T KNOW IF IT'S APPROPRIATE TO SAY, IS THERE ANYTHING THAT WE'VE MISSED THAT YOU'D LIKE TO SAY-- BECAUSE THAT'S JUST WHERE MY MIND IS.
I HAVEN'T HEARD ANYTHING THAT MAKES ME WANT TO BE LEN-- OR FEEL THE URGE TO BE LENIENT ON IT.
AND IF WE DON'T, I THINK WE NEED TO MAKE A MOTION TO APPROVE WITH THE PENALTY AS PER THE CONTRACT.
IS THAT OUR OPTION? JERALD JONES: YEAH.
WESLEY WHEELIS: BUT I WOULD LIKE TO SEE, HAVE WE MISSED ANYTHING THAT-- JERALD JONES: IS THERE ANYTHING ELSE YOU'D LIKE TO SAY IN YOUR DEFENSE? MAYRA CERON: I JUST ONLY WANT TO SAY THAT PRIOR TO THAT ONE, WE WERE FILLING THIS ONE AND WE WERE IN COMPLIANCE.
AND SIMULTANEOUSLY, WE WERE DOING AND WE ARE DOING A LOT OF ITEPS, AND WE ARE IN COMPLIANCE.
YES, THERE IS A PART OF THE SUBMISSION, RIGHT? AND THIS IS VERY IMPORTANT TO DO IT ON TIME.
DON'T MIND WITH ME BUT AS WELL IT IS THE OTHER PART THAT AS A COMPANY WE ARE COMPLIANCE WITHIN THE CAPITAL INVESTMENTS, WE ARE IN COMPLIANCE WITH GENERATING ADDITIONAL WORK HEADCOUNT THAT IT IS INCLUDED INTO OUR SITE FACILITIES AS WELL.
LAST YEAR, AS AN EXAMPLE, WE RAISED ALMOST $100 MILLION AND WE GENERATE 150 MORE EMPLOYMENTS IN OUR SITE FACILITIES.
SO YES, THERE IS A PART OF THE LATE SUBMITTAL, BUT AS WELL IT IS THAT IN PARALLEL, WE ARE IN COMPLIANCE WITH WHAT THE CONTRACT IS REQUESTING US AS A SITE-- AS A COMPANY.
MR. CHAIRMAN, WOULD YOU EXPLAIN-- AND I'M READING THE TERM OF THE RENEWAL CONTRACT SHALL BE REDUCED BY ONE YEAR FOR EACH CALENDAR MONTH OR PORTION THEREOF THAT THE RENEWAL APPLICATION IS FILED LATE.
I WANT TO TALK ABOUT PART TWO OF THAT.
BUT UNDER THAT RULE, WHAT IS THE PENALTY IF WE USE THE FIRST SENTENCE OF THAT STATEMENT? JERALD JONES: THE WAY THAT THE BOARD HAS BEEN APPLYING THAT SENTENCE, IT'S ONE YEAR-- IT WOULD BE A THREE-YEAR PENALTY.
TONY BACALA: THREE-YEAR PENALTY? JERALD JONES: IT WOULD BE A THREE-YEAR PENALTY.
TONY BACALA: OK, AND I SEE ALSO THAT THE BOARD MAY IMPOSE ANY OTHER PENALTY FOR LATE RENEWAL SUBMISSION THAT IT DEEMS APPROPRIATE.
DOES THAT MEAN THERE'S FLEXIBILITY IN THAT? JERALD JONES: THAT'S NOT THE WAY THAT SENTENCE HAS BEEN INTERPRETED BY THE BOARD.
IN FACT, THAT'S ONE OF THE THINGS I WOULD LIKE TO SEE CHANGED.
WHAT THAT SENTENCE HAS BEEN INTERPRETED TO MEAN BY THE BOARD IS THAT IF THE ONE YEAR FOR-- IF THE ONE YEAR PENALTY FOR EACH YEAR IS NOT ENOUGH, THEY CAN IMPOSE ADDITIONAL PENALTIES.
IT'S NOT AN OPPORTUNITY TO-- BECAUSE THE PROBLEM IS IN 529D, THE FIRST SENTENCE THE WORD IS SHALL.
THE SECOND SENTENCE IS MEANT TO ALLOW ADDITIONAL PENALTIES IF IT'S APPROPRIATE UNDER THE CIRCUMSTANCES.
TONY BACALA: AND I PROBABLY-- IF I JUST LOOK AT THIS FROM A COMPANY THAT COMPLIED WITH EVERYTHING BUT MISSED THE REPORT BECAUSE OF CIRCUMSTANCES, FIRST OF ALL, THE BIGGEST PENALTY IS SOMEBODY AT THE COMPANY OUGHT TO GET FIRED, ALL RIGHT? WHOEVER IS RESPONSIBLE FOR NOT DOING THEIR JOB OUGHT TO GET FIRED.
AND THE COMPANY SHOULD FACE SOME PENALTY BUT NOT A DEATH SENTENCE.
AND THIS IS AN INTERNAL MATTER THAT SHOULD BE HANDLED.
I THINK THERE THE MITIGATING CIRCUMSTANCES.
THEY COMPLIED WITH EVERYTHING, EVERY CONTRACTUAL REQUIREMENT EXCEPT FOR THE REPORTING ASPECT AND OBVIOUSLY THE REPORTING, THE DOMINO EFFECT.
WOULD IT BE REASONABLE THAT WE REDUCE THIS THREE-YEAR PENALTY BASED ON THE CIRCUMSTANCES? I MEAN, I KNOW WE HAVE A RESPONSIBILITY HERE, AND I DON'T WANT TO SHIRK THE RESPONSIBILITY.
AND I KNOW WE'RE SETTING THE PRECEDENT, BUT EVERY CASE HAS A DIFFERENT SET OF CIRCUMSTANCES.
AND I THINK THE CIRCUMSTANCE OF THIS CASE MAY OFFER SOME MITIGATING FACTORS.
WOULD THAT BE INAPPROPRIATE THAT WE IMPOSE SOMETHING LESS THAN THREE YEARS? JERALD JONES: I DON'T BELIEVE THE RULES ALLOW US TO DO IT
[01:10:02]
BECAUSE OF THE WORD SHALL.HAROLD CALLAIS: MAYBE ONE OF THE AMENDMENTS WE CAN ASK LED TO LOOK INTO MIGHT BE SOMETHING AROUND IN A CASE LIKE THIS OR IN A COMPLICATED CASE, MAYBE IT CAN GO BACK TO THE LOCALS AND GET THE LOCALS TO OPINE ON WHAT THEY WOULD RECOMMEND WE DO.
BECAUSE I THINK IT REALLY COMES DOWN TO THE LOCALS BECAUSE THAT'S $717,000 RIGHT THERE, THAT'S PAID TO THE LOCAL GOVERNMENT.
AND SO A THREE-YEAR PENALTY, THAT'S A GOOD BIT OF MONEY.
JERALD JONES: AND I APPRECIATE MR. BACALA'S SENTIMENT.
AND I AM NOT THE LAWYER FOR THE BOARD, MS. PORTER.
BUT I CAN'T NOT WEAR MY LAWYER HAT SOMETIMES.
THE DIFFICULTY IN ANY TIME WHEN YOU HAVE A OPPORTUNITY TO SHOW MERCY, WHICH I THINK ALL OF US ARE GOOD PEOPLE AND I'VE ALWAYS SAID EVERYBODY CRIES FOR JUSTICE AS LONG AS IT APPLIES TO YOU.
BUT IT APPLIES TO ME, I WANT MERCY.
BUT THE PROBLEM IS THAT SNEAKY LITTLE WORD CALLED ARBITRARY AND CAPRICIOUS.
YOU'VE GOT TO BE ABLE TO ARTICULATE WHY THIS SITUATION IS DIFFERENT FROM THE NEXT SITUATION.
AND THE ARTICULATION OF THAT DIFFERENCE IS ESSENTIAL.
OTHERWISE, IF SOMEBODY THAT IS OTHERWISE SIMILARLY SITUATED AND WE STILL-- AND THEN WE GIVE THEM A THREE-YEAR PENALTY, THEY'RE GOING TO SAY, WAIT A MINUTE, WHY DIDN'T I GET THE PROCTER & GAMBLE DEAL? SO IF YOU'RE GOING TO SHOW MERCY AND NOT EXTEND THE THREE-YEAR PENALTY, WE NEED TO BE ABLE TO ARTICULATE WHY.
AND WHAT IS THE DIFFERENCE BETWEEN WHAT IS THE DIFFERENCE BETWEEN THIS SITUATION AND THE NEXT ONE THAT WILL COME? AND FRANKLY, WE HAD ONE WITHIN THIS ADMINISTRATION THAT GOT A TWO-YEAR PENALTY BECAUSE THEY WERE TWO YEARS LATE, AND THEY GOT A TWO YEAR PENALTY.
AND IF I WERE THEY, I WOULD GO, WHY DIDN'T I GET-- WHY DIDN'T I GET THE PROCTER & GAMBLE DEAL? AND HOWEVER THE BOARD VOTES IS HOW THE BOARD VOTES.
BUT I HAVE TO WARN YOU, THAT HAS CONSEQUENCES.
TONY BACALA: I KNOW WE COULD BE SETTING A PRECEDENT.
DOES LED HAVE A RECOMMENDATION? HAROLD CALLAIS: THEY WANT US TO TAKE THE RISK.
JERALD JONES: I THINK THIS IS A BOARD-- I THINK LED STAYS OUT OF THESE POLICY DECISIONS.
I THINK THEY'RE GOING TO POINT TO US AND SAY, THAT'S Y'ALL'S JOB.
MEMBER: WAS THE COMPANY YOU'RE REFERRING TO WITH THE TWO YEARS, WERE THEY PREVIOUSLY COMPLIANT AS PROCTER & GAMBLE? JERALD JONES: FAIR QUESTION, BUT I DON'T KNOW THE ANSWER.
I DIDN'T GET INTO IT THAT DEEPLY.
HAROLD CALLAIS: I FEEL THAT-- AND I'M SORRY, GUYS.
BUT I'M KIND OF A STICKLER ON THIS IS KIND OF WHERE I'M FEELING AND I'M COMING DOWN IS THAT I THINK THAT THERE WAS A BIG MISS ON THE PERIODS.
I THINK THAT YOU GUYS HAVE GOTTEN A LOT OF BENEFIT AS WELL FROM THE OTHER ITEP CONTRACTS.
JUST KEEP THOSE GOING, KEEP FILING THEM, KEEP THEM THE SAME WAY.
BUT I THINK THAT WE CAN'T BREAK FROM OUR RULES ON THIS ONE PARTICULAR DISCRETE ISSUE FOR ALL THAT OTHER CONSIDERATION UNTIL WE HAVE DIFFERENT RULES.
I THINK THAT THE RULES ARE VERY CLEAR.
AND WHAT WE HAVE TO DO IN APPLYING THEM IS VERY CLEAR.
IT'S LED CAN'T GIVE AD VALOREM RELIEF ON SOMETHING THAT THEY DON'T KNOW WAS COMPLETED.
AND SO THAT TO ME IS THE BIG GATING ITEM.
AND SO, TO ME, WITHOUT THE INFORMATION BEING PRESENTED IN TIME, THERE SHOULD NOT BE AD VALOREM RELIEF FOR THE SAME TIME IT WASN'T PRESENTED.
MY FEELING IS THAT WE SHOULD PROBABLY PROCEED WITH A PENALTY.
THAT'S KIND OF WHERE I'M LEANING TOWARDS.
I FEEL A LOT LIKE MR. WHEELIS DOES, WHICH IS GIVE ME A REALLY GOOD REASON TO NOT DO THIS.
THAT'S WHERE MY HEAD IS AT, AND SO IT'S LIKE, MAKE SURE THAT THE OTHER FILINGS ARE DONE ON TIME AND SAVE THAT MONEY THERE.
BUT IT'S LIKE THERE HAS TO BE SOME CONSEQUENCE, I THINK, FOR MISSING THESE THINGS.
JERALD JONES: I THINK IT'S TIME TO LET'S ENTERTAIN A MOTION.
AND WE CAN HAVE A VOTE ON THE MOTION.
AND IF A MOTION DOES NOT PASS, THEN WE CAN LOOK AT ALTERNATIVES.
BUT DO I HAVE A MOTION FIRST? HAROLD CALLAIS: I'LL MOVE THE PENALTY.
[01:15:01]
JERALD JONES: SO MR. CALLAIS, MAKE SURE I UNDERSTAND YOUR MOTION IS TO APPROVE THE RENEWAL BUT WITH A THREE-YEAR PENALTY? HAROLD CALLAIS: YES, SIR.JERALD JONES: OK, DO I HAVE A SECOND? WE HAVE A SECOND FROM MR. WHEELIS.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD? DO WE HAVE ANY COMMENTS FROM THE PUBLIC? IF YOU HAVE AN OPINION, NOW'S A GOOD TIME TO EXPRESS IT.
THERE ARE NO COMMENTS FROM THE PUBLIC.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
AGAIN, WE THANK PROCTER & GAMBLE FOR YOUR PRESENCE IN LOUISIANA.
I HOPE YOU SENSE THAT WE DON'T LIKE DOING THIS.
AND WE THANK YOU FOR KEEPING YOUR OTHER CONTRACTS IN PLACE AND ABIDING BY THOSE THE WAY WE SHOULD BE.
ANNE VILLA: AND I WOULD BE REMISS ACTING AS THE SECRETARY'S DESIGNEE TO JUST EMULATE EXACTLY WHAT THE CHAIRMAN SAID IS THE CONTINUED INVESTMENT.
IT'S NOT JUST THE PAST INVESTMENTS, BUT IT'S THE CONTINUED INVESTMENT THAT YOU HAVE MADE IN LOUISIANA AND THE CONFIDENCE THAT YOU HAVE IN US AND OUR WORKFORCE.
AND SO WE JUST COMMEND YOU FOR THAT.
AND AGAIN, UNFORTUNATELY, IT'S THE SITUATION THAT WE'RE IN BECAUSE I'M REALLY CONCERNED WITH ARBITRARY AND CAPRICIOUS ACTIVITIES AS WELL.
JERALD JONES: ALL RIGHT, MR. USIE.
HUD USIE: NEXT, WE HAVE THREE CONTRACT CANCELATION REQUESTS.
THE FIRST IS FOR GEORGIA GULF LAKE CHARLES LLC IN CALCASIEU PARISH, CONTRACT 20160034.
COMPANY REQUEST CANCELATION AND LINDE INC. IN ASCENSION PARISH CONTRACT 20220091 AND 20220175.
JERALD JONES: AND BEFORE WE ENTERTAIN A MOTION, THE COMPANIES HAVE BEEN NOTIFIED OF THESE PLANNED CANCELATIONS? HUD USIE: YES, THEY REQUESTED THEM.
DO I HAVE A MOTION TO APPROVE? MOTION, MR. CALLAIS.
ANY OTHER QUESTIONS OR COMMENTS FROM THE BOARD.
HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: AND LAST, WE HAVE TWO OPT OUT JOBS, PAYROLL, AND COMPLIANCE COMPONENTS EXHIBIT A AMENDMENT REQUEST FOR MEXICHEM FLUOR INC, CONTRACTS 20230016 AND 20230017.
JERALD JONES: MOTION TO APPROVE.
MOTION, MR. MILLER, SECOND FROM MAYOR TOUPS.
ANY QUESTIONS OR COMMENTS FROM THE BOARD? HEARING NONE, ANY COMMENTS FROM THE PUBLIC? HEARING NONE, ALL IN FAVOR SAY, AYE.
JERALD JONES: ANY OPPOSITION? THERE IS NONE.
HUD USIE: AND THAT CONCLUDES ITEP.
JERALD JONES: THANK YOU, MR. USIE.
MS. VILLA, DO YOU HAVE A REPORT FOR US?
[9. Secretary Remarks – Secretary Susan Bourgeois]
ANNE VILLA: I DO.SO AGAIN, ON BEHALF OF SECRETARY BOURGEOIS, THANK YOU FOR THE OPPORTUNITY TO PROVIDE A BRIEF UPDATE ON THE STATE OF ECONOMIC DEVELOPMENT IN LOUISIANA.
SO SINCE THIS BOARD LAST MET ON SEPTEMBER 23, THE MOMENTUM THAT WE HAVE BEEN EXPERIENCING ACROSS LOUISIANA HAS CONTINUED, BOTH THROUGH TRADITIONAL ECONOMIC DEVELOPMENT AND THROUGH NEW AREAS OF OUR ECONOMY THAT WE INTENTIONALLY ARE WORKING TO GROW.
ON THE PROJECT SIDE, LEADING EDGE MANUFACTURING ANNOUNCED AN EXPANSION OF ITS OPERATIONS IN YOUNGSVILLE AND IN BROUSSARD, CREATING 20 NEW DIRECT JOBS WHILE RETAINING 62 EXISTING POSITIONS.
THIS IS IMPORTANT BECAUSE ECONOMIC DEVELOPMENT IS NOT SIMPLY ABOUT RECRUITING NEW COMPANIES TO LOUISIANA.
IT IS EQUALLY ABOUT HELPING OUR EXISTING BUSINESSES INVEST, GROW, AND CREATE OPPORTUNITIES HERE AT HOME.
MORE RECENTLY, COPADO ANNOUNCED THAT IT WILL ESTABLISH ITS GLOBAL HEADQUARTERS IN NEW ORLEANS.
THE ENTERPRISE SOFTWARE COMPANY WILL CREATE 59 NEW DIRECT JOBS, AVERAGING MORE THAN $103,000 ANNUALLY WHILE RETAINING 70 EXISTING POSITIONS.
PERHAPS MOST SIGNIFICANT IS COPADO FIRST ESTABLISHED LOUISIANA OPERATIONS LESS THAN TWO YEARS AGO AND NOW HAS CHOSEN LOUISIANA AS THE HEADQUARTERS FROM WHICH IT WILL LEAD ITS GLOBAL OPERATIONS.
THAT ANNOUNCEMENT ALSO SPEAKS DIRECTLY TO THE PROGRESS WE ARE MAKING THROUGH OUR INNOVATION VERTICAL LA.IO.
A COMPANY CAME TO LOUISIANA, EXPERIENCED THE TALENT AND ECOSYSTEM FIRSTHAND, AND WITHIN TWO YEARS CHOSE LOUISIANA FOR ITS GLOBAL HEADQUARTERS.
THAT MAKES THE INNOVATION STRATEGY TANGIBLE RATHER THAN CONCEPTUAL.
WE ARE INTENTIONALLY BUILDING AN ECOSYSTEM
[01:20:02]
AROUND INNOVATION THAT CONNECTS ENTREPRENEURS, TECHNOLOGY COMPANIES, UNIVERSITIES, MANUFACTURERS AND CAPITAL.LOUISIANA INNOVATION LABS IS EXPECTING THAT WORK-- IS EXPANDING THAT WORK STATEWIDE THROUGH A FEDERAL MANUFACTURING EXTENSION PARTNERSHIP AWARD.
COMBINED WITH STATE AND PARTNER FUNDING, THE INITIATIVE REPRESENTS MORE THAN $15 MILLION OVER FIVE YEARS TO HELP LOUISIANA MANUFACTURERS ADOPT TECHNOLOGIES SUCH AS SUPERINTELLIGENCE, ROBOTICS, AUTOMATION-- I GOT IT, ADVANCED MATERIALS AND ADAPTIVE MANUFACTURING.
WE ARE ALSO SEEING THE PHYSICAL INFRASTRUCTURE OF THAT INNOVATION ECONOMY DEVELOP.
EARLIER THIS MONTH, JEDCO UNVEILED THE 480-ACRE CHURCHILL INNOVATION AND RESEARCH CAMPUS IN JEFFERSON PARISH, BRINGING TOGETHER DEVELOPMENT-READY PROPERTY, ADVANCED MANUFACTURING, RESEARCH, WORKFORCE DEVELOPMENT, AND EDUCATION.
LOUISIANA CURRENTLY LEADS THE NATION IN PARTICIPATION IN THE SITE SELECTORS GUILD READY SITES PROGRAM.
AND CHURCHILL IS ONE OF THE SIX LOUISIANA PROPERTIES TO EARN A GOLD DESIGNATION.
AND IMPORTANTLY, THE PROGRESS WE ARE SEEING IS BEING RECOGNIZED NATIONALLY.
AREA DEVELOPMENT HAS RANKED LOUISIANA THE NUMBER NINE STATE IN AMERICA FOR DOING BUSINESS IN ITS 2026 RANKINGS.
INDUSTRY LEADERS HAVE TAKEN NOTICE, RANKING LOUISIANA AS A TOP 10 STATE TO DO BUSINESS FOR THE SECOND YEAR IN A ROW.
THE LAST TIME WE WERE IN THE TOP 10 WAS IN 2019, EXCEPT FOR THE TWO PAST YEARS, SO THIS IS GREAT.
SITE SELECTION RANKED LOUISIANA NUMBER TWO NATIONALLY IN ITS 2026 GLOBAL GROUNDWORK INDEX, WHICH MEASURES THE INTERSECTION OF MAJOR ECONOMIC DEVELOPMENT, INVESTMENT, AND INFRASTRUCTURE DEVELOPMENT.
LOUISIANA ALSO RANKS NUMBER EIGHT NATIONALLY FOR STATE ECONOMIC COMPETITIVENESS IN THE SITE SELECTIONS PROSPERITY CUP AND NUMBER TWO IN THE SOUTH CENTRAL REGION.
THOSE RANKINGS MATTER BECAUSE THEY ARE EXTERNAL VALIDATION THAT THE WORK BEING DONE ACROSS LED STRENGTHENING OUR SITES, OUR WORKFORCE, OUR INFRASTRUCTURE, INNOVATION ECOSYSTEM, AND OVERALL BUSINESS ENVIRONMENT IS CHANGING HOW LOUISIANA IS BEING VIEWED NATIONALLY AS WELL AS GLOBALLY.
CURRENTLY, LED HAS MORE THAN $260 BILLION IN ANNOUNCED CAPITAL INVESTMENTS SINCE THE GOVERNOR'S STARTED IN THIS ADMINISTRATION IN 2024, INCLUDING GLOBALLY RECOGNIZED NAMES SUCH AS SPACEX, META, HYUNDAI STEEL, WOODSIDE ENERGY, AND AWS, TO NAME A FEW.
MORE IMPORTANTLY, THE JOB CREATION SIDE IS OVER 20,000 DIRECT AND ALMOST 40,000 INDIRECT IS A TELLING STORY.
BUT BETTER THAN THAT, THAT'S OVER 44,000 OF RETAINED JOBS HERE IN LOUISIANA.
SO A LOT OF THIS GROWTH IS COMING FROM EXISTING BUSINESSES.
THE AVERAGE PAY OF THOSE JOBS IS ALMOST $87,000, WHICH IS ALMOST 40% HIGHER THAN LOUISIANA'S CAPITAL INCOME REPORTED CAPITAL PER CAPITA INCOME REPORTED LAST YEAR.
WHAT ALSO IS TELLING IS THAT WE HAVE OVER $345 BILLION OF ACTIVE PROJECTS IN OUR PIPELINE.
THESE ARE PROJECTS THAT ARE TOUCHED BY OUR PROJECT MANAGERS CONSISTENTLY.
SO WHAT THIS NUMBER MEANS IS THAT WE'RE NO LONGER AT A MOMENT IN TIME.
WE HAVE CREATED THIS MOMENTUM OF WHAT LOUISIANA'S FUTURE LOOKS LIKE.
BUT AGAIN, THERE STILL IS A LOT OF WORK TO DO, BUT THE TRAJECTORY IS CLEAR.
LOUISIANA IS COMPETING DIFFERENTLY.
WE'RE COMPETING FOR A BROADER RANGE OF OPPORTUNITIES, AND INCREASINGLY, WE ARE WINNING.
SO ON BEHALF OF SECRETARY BOURGEOIS AND THE ENTIRE LED TEAM, THANK YOU FOR YOUR CONTINUED PARTNERSHIP AND SUPPORT.
I'D ALSO BE REMISS TO SAY I ATTENDED THE INTERNATIONAL ECONOMIC DEVELOPMENT COUNCIL'S 100TH CELEBRATION OF THEIR EXISTENCE IN NEW ORLEANS THE PAST FEW DAYS.
AND AGAIN, FOR MOST OF YOU, YOU KNOW THAT THIS IS ALSO LED'S 90TH YEAR OF EXISTENCE.
SO IT LOOKS LIKE WE FOLLOWED SUIT PRETTY CLOSELY AFTER THE INTERNATIONAL ECONOMIC DEVELOPMENT COUNCIL WAS FORMED.
BUT I HAD THE OPPORTUNITY TO SIT ON A COUPLE OF PANELS AND ALSO TO ATTEND.
AND LED DID WIN TWO AWARDS THERE AS WELL.
[01:25:03]
SO I WANTED TO HIGHLIGHT THAT.ONE OF THEM WAS A SILVER AWARD AT IDC AWARDS FOR OUR LA.IO BRAND.
AND SO THAT WAS AN AWARD THAT WE WON, AS WELL AS OUR LED FAST START TEAM AROUND WORKFORCE RECRUITMENT WITH THE FIRST SOLAR PROJECT IN NEW IBERIA.
SO THAT WAS REALLY A SPEED-TO-MARKET PROJECT OF GETTING THE JOBS THAT WERE NEEDED FOR THAT NEW MANUFACTURING FACILITY OF SOLAR PANELS IN IBERIA PARISH, AND WE EXCEEDED EXPECTATIONS.
AND SO IT WAS NICE TO BE RECOGNIZED BY IDC FOR THAT AWARD.
SO JUST AGAIN, WANTED TO SHARE THOSE WITH YOU SO THAT WAS COMING OFF THE CUSP OF THOSE MEETINGS.
JERALD JONES: THANK YOU, MS. VILLA.
I SIT THERE AND LISTEN TO THAT REPORT AND ALL THE AMAZING THINGS THAT ARE HAPPENING.
THE PARADOX OF WHAT WE'VE BEEN THROUGH IN THE LAST HOUR IS PRETTY AMAZING.
IN LED WE HAVE THIS BUSINESS DEVELOPMENT HAT THAT WE WEAR, BUT WE ALSO HAVE A REGULATORY HAT THAT WE WEAR.
AND IT'S SOMETIMES DIFFICULT TO BE BOTH.
I LIKE BEING THE BUSINESS DEVELOPMENT GUY.
BUT WHEN YOU GOT TO BE THE REGULATOR, SOMETIMES YOU GOT TO BE HARD AS WELL.
AND SO THANK YOU FOR-- THE STAFF IS THE ONE AND ALL THE PEOPLE THAT WORK WITH SUSAN ALL THE WAY DOWN TO-- I DON'T KNOW THE GUY THAT PICKS UP THE TRASH EVERY NIGHT.
I KNOW DEALING WITH THE PUBLIC IS NOT ALWAYS EASY, AND I KNOW SOMETIMES GIVING BAD NEWS IS NOT ALWAYS EASY.
BUT THANK YOU TO ALL THE STAFF MEMBERS FOR WHAT YOU DO, FOR THE DIFFICULTY THAT SOMETIMES YOU HAVE TO ENDURE, EVEN AT THE HANDS OF THE CHAIR OF THE BOARD OF COMMERCE AND INDUSTRY.
BUT I THANK YOU FOR ALL THAT YOU ARE DOING.
PLEASE EXTEND TO SECRETARY BOURGEOIS OUR APPRECIATION FOR ALL THAT THE DEPARTMENT IS DOING WITHIN THE STATE.
ALL RIGHT, WITH THAT, ANY OTHER COMMENTS FROM THE BOARD? I HAVE A MOTION TO ADJOURN.
JERALD JONES: ANY OPPOSED? THERE IS NONE.
ANNE VILLA: I DO HAVE ONE MORE FINAL COMMENT.
THANK YOU, DEBORAH, FOR REMINDING ME BECAUSE SHE DID ASK ME THIS.
ALL OF YOU KNOW OF THE ETHICS TRAINING THAT NEEDS TO BE DONE AND THE SEXUAL HARASSMENT TRAINING THAT NEEDS TO BE DONE BEFORE YEAR END.
SO THANK YOU, MS. DEBORAH, FOR REMINDING ME ONCE AGAIN TO REMIND ALL THE BOARD MEMBERS THAT WE ALL NEED TO DO THAT.
* This transcript was compiled from uncorrected Closed Captioning.