Beauregard School Board rejects ITEP request
Published 11:08 am Tuesday, November 19, 2024
The Beauregard Parish School Board rejected an industrial tax exemption request for Packaging Corporation of America (PCA) with a split vote at a meeting last week.
PCA is a containerboard mill in DeRidder with 562 employees. It is the only PCA location in Louisiana and manufactures Kraft paper with pine logs recycled paper.
The ITEP was a first-time request for maintenance for the mill’s facilities.
The five-year exemption at 80 percent would lead to an exemption of about $100,000.
Vice President Bryan Redler expressed concern over “tax dollar loss across the parish,” stating his main issue lies with the “continuation of exemptions.”
“I can understand a one-time. I cannot understand an exemption. You’re not helping my community. Now you’re hurting it,” he said.
The ITEP that was denied was an initial request for a maintenance project.
Scott Sandier, District 1, echoed the sentiments of Redler, stating that the district needs revenue.
“We’re not doing very well either as a business, so how about some understanding on their end,” Sandier said.
For some board members, the question was, “What does PCA provide our community?”
Jared Kibodeaux, District 4A, noted that industries that receive tax exemptions in Calcasieu Parish give back to the district through the Partners in Education program, which connects private-sector entities to individual schools to provide educational support.
“I don’t see that here.”
President Cynthia LaFitte, District 3C, warned the board that denying exemptions could encourage PCA to pull out of Beauregard Parish.
“I know at some point they’re going to take the path of least resistance and they’re going to go to Texas, they’re going to go somewhere else.”
Though he understood the hesitation of some board members Garrett Greene, District 3B, agreed with LaFitte.
“This is the game. I’m not saying it’s right or wrong. But I’m saying that I just think that we need to be very cautious because at some point … it costs a business more money to stay in one area than to go somewhere else, they will go to another area.”
He also believes the board needs to set a standard for ITEP approvals.
In July, the board approved an ITEP for a $15 million PCA lime kiln upgrade project. In September, they denied three PCA ITEP renewals.
“I don’t understand our position as a board,” he said. “When do we say yes? When do we say no? I feel like we’ve been kind of inconsistent here … I don’t want us to be wishy-washy here.”
Carlos Archield, District 3A; Ray Bowman, District 4B; Greene; LaFitte; and David Shirley, District 3E, voted in favor. Kibodeaux; Kristi Neely, District 2; Redler; Sandifer; and Nikki Weldon, District 5 voted in opposition.