2017-0355
INTRODUCED BY: LARRY COCHRAN, PARISH PRESIDENT
(DEPARTMENT OF ECONOMIC DEVELOPMENT & TOURISM)
RESOLUTION NO.
Title
A resolution authorizing the St. Charles Parish Council to approve Barriere Construction Company - Application Number 20161647 - ITE for participation in the Industrial Tax Exemption Program at Boutte, Louisiana 70039.
Body
WHEREAS, Article 7, Section 21(F) of the Louisiana Constitution provides for the Board of Commerce and Industry (“BCI”), with the approval of the Governor, to approve contracts for the exemption of ad valorem taxes of a new manufacturing establishment or an 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; and,
WHEREAS, Barriere Construction Company has applied for an Industrial Tax Exemption (“ITE”) and seeks approval of the BCI and the Governor for a contract granting that exemption; and,
WHEREAS, Governor Edwards, through Executive Order JBE 16-73, has set forth the conditions for his approval of ITE contracts, and affirmed that those conditions are in the best interest of the State of Louisiana; and,
WHEREAS, Executive Order JBE 16-73 provides that ITE contracts should be premised upon job and payroll creation at new or expanded manufacturing plants or establishments, and that the percentage of exemption from ad valorem taxes, and length of the contract for such exemption, may vary depending upon the nature of the project and its economic development benefit in accordance with guidance received from the Secretary of Economic Development and concurred in by the appropriate parish and/or municipal council, school board, and sheriff; and,
WHEREAS, Executive Order JBE 16-73 mandates that each exemption contract approved by the Governor shall include as Exhibit “A” a Cooperative Endeavor Agreement for the ITE between the State of Louisiana, the Louisiana Department of Economic Development (“LED”), and the applicant for the ITE contract, which provides for the creation or retention of jobs, and provides for the exercise of the option in the Louisiana Constitution for the term or percentage of the parish ad valorem tax exemption granted in the contract, and provides for the reduction or loss of the exemption based upon the applicant’s compliance with the contract; and,
WHEREAS, Executive Order JBE 16-73 further requires that the St. Charles Parish Council, together with the other required local governmental entities signify consent to the terms of the exemption by resolution and the sheriff of this parish shall signify consent to the terms of the exemption by letter. Executive Order JBE 16-73 further provides that the resolutions of approval and the sheriff’s approval shall be attached as Exhibit “B” to the ITE contract between the BCI and Barriere Construction Company; and,
WHEREAS, Barriere Construction Company and LED have advised that certain terms and conditions forming Exhibit “A” to the ITE Contract pending approval before the Louisiana Board of Commerce and Industry have been reached and have conveyed the same to the St. Charles Parish Council, and thus this matter is now ready for a determination of approval of the St. Charles Parish Council as required by Executive Order JBE 16-73.
NOW, THEREFORE, BE IT RESOLVED, THAT WE, THE MEMBERS OF THE ST. CHARLES PARISH COUNCIL upon consideration of the foregoing and the public discussion held this day, approve the terms of the Industrial Tax Exemption contract based on the inclusion of the following terms and conditions into Exhibit “A” (the Cooperative Endeavor Agreement between the State of Louisiana, LED, and Barriere Construction Company) to the Industrial Tax Exemption Program contract between the Board of Commerce and Industry and Barriere Construction Company with respect to its manufacturing plant located at 1327 Esperanza Plantation Road, Boutte, St. Charles Parish, Louisiana and ITE Application Number 20161647:
1 New Direct Jobs at the Manufacturing Establishment
$53,000 New Direct Payroll at the Manufacturing Establishment
15 Retained Jobs at the Manufacturing Establishment
$918,940 Retained Payroll at the Manufacturing Establishment
$2,707,353 Investment Amount Considered for Exemption (Cannot Exceed 120%)
Term of Exemption Contract: 5 years at 100% subject to renewal for 3 years at 80%
Documentation of the investment and yearly review of employment and payroll provided that a greater than 15% reduction of jobs or payroll may result in reconsideration of the terms of the exemption including the opportunity to renew the initial five year exemption under the terms provided above.
BE IT FURTHER RESOLVED, that the St. Charles Parish Council further authorizes LED, on behalf of the Board of Commerce and Industry, to include this resolution in Exhibit “B” to the ITE Contract between the Board of Commerce and Industry and Barriere Construction Company.
BE IT FURTHER RESOLVED, that Barriere Construction Company must annually:
1. Report the number of jobs and total payroll at the manufacturing facility.
2. Report the number of St. Charles Parish residents employed at the manufacturing establishment.
3. Document the percentage and value of goods and services procured from St. Charles Parish domiciled businesses.
4. Advertise all job openings in the Official Journal of St. Charles Parish and submit all job openings to the St. Charles Parish Business and Career Solutions Center and to the St. Charles Parish Department of Economic Development & Tourism.
5. Submit all of the aforementioned and other relevant and requested data and information to the St. Charles Parish Department of Economic Development & Tourism.
BE IT FURTHER RESOLVED, that the St. Charles Parish Council does hereby support Barrier Construction Application Number 20161647 - ITE for participation in the Industrial Tax Exemption Program at Boutte, Louisiana 70039.
The foregoing resolution having been submitted to a vote, the vote thereon was as follows:
And the resolution was declared adopted this day of , 2017, to become effective five (5) days after publication in the Official Journal.
CHAIRMAN:
SECRETARY:
DLVD/PARISH PRESIDENT:
APPROVED : DISAPPROVED:
PARISH PRESIDENT:
RETD/SECRETARY:
AT: RECD BY: