Jeff Davis School Board approves ITEP extension for Louisiana Spirits
Published 7:57 pm Thursday, January 19, 2023
The Jeff Davis Parish School Board unanimously agreed Thursday to grant a one-year industrial tax exemption extension for Louisiana Spirits, which produces Bayou Rum at its Lacassine facility.
Finance Committee Chairman Philiip Arceneaux recommended a one-year extension of the Industrial Tax Exemption Program (ITEP), which offers tax relief for manufactures who create local jobs and generate payroll and tax revenues for the parish.
The measure will also be voted on by the Jeff Davis Parish Police at 6 p.m. Jan. 25.
“We voted for this because they have met their commitment on the hiring and we want to try to keep them focused,” Arceneaux said after the meeting. “They are moving in the right direction.”
Stoli Director of Manufacturing and Louisiana Spirits President Angelo Torre appeared before the School Board and Police Jury’s finance committees earlier this week seeking the tax extension to allow the company to continue increasing employment and production and begin expansion projects at its location off I-10 in Lacassine.
The estimated tax impact by the exemption is expected to be $3,600 for one year.
Torre said the company failed to meet previous ITEP employment requirements in 2021 due to COVID-related workforce challenges. However, he said new management has been able to turn the operations around doubling its staff, payroll and production which are expected to continue to grow as the company moves forward on $20 million in expansion projects in the next three years.
During his tenure with Louisiana Spirits, Torre said employment has increased from 19 full-time employees in 2021 to 35 in January.
The goal is to reach 40 full-time employees by the end of the year, he said.
In addition, payroll has increased to $897,000 in 2021 with an estimated payroll of $1.8 million this year, he said.
Production at the facility has also increased which has generated additional sales tax revenue. Monthly gift shops sales have also increased from $21,000 in 2021 to just over $40,000.
Increases in productivity and sales are expected to continue when the company upgrades its bottle line system to increase production from 300 bottles per hour to 3,600 bottles per hour. The warehouse and barrel storage area will also be expanded to handle the increase in production.