Calcasieu School Board OKs tax exemption for Lotte Chemical Louisiana
Published 5:23 am Wednesday, August 9, 2023
- Production at Lotte Chemical’s ethylene glycol manufacturing plant in Westlake is underway. The plant is part of a $3.1 billion project, which also includes an ethylene cracker plant that will produce 1 million tons of ethylene per year. (Special to the American Press)
The Calcasieu Parish School Board unanimously approved a new industrial tax exemption program (ITEP) without discussion at the regular meeting on Tuesday.
The proposed ITEP is for Lotte Chemical Louisiana, LLC, a chemical plant on the Bayou D’Indie Pass in Westlake that produces MonoEthylene Glycol and by-products, DEG, TEG and HEG.
According to the ITEP application, the project, completed on Dec. 21, 2022, was the first phase of a larger project that included the purchase and installation of two chillers for Lotte’s Lean Cycle Water Loop, a new meter for the wastewater system, two new pumps and one new jumper line. In addition, control instrumentation was purchased and installed on the equipment and in the control room.
The total estimated investment for this project is $7,151,658.
The ITEP guarantees two direct jobs with a combined annual salary of $120,000 and five construction jobs. The projected revenue to be generated over 20 years for CPSB from the project is $144,687.
The company requested an 80 percent exemption on property taxes for a ten-year period. The estimated amount of forgone revenue for CPSB over a ten-year period is $180,349.
At the meeting, Damon Hardesty, District 9, was unanimously appointed by the board as a new Director of Louisiana Local Government Environmental Facilities and Community Development Authority, following the resignation of Mack Dellafosse, who stepped down from the role on June 22.
Eric Tarver, vice-president, district 8, and Shawn Baumgarten, district 15, were not present for the meeting.
