Iberia Parish School Board member Brad Norris talks about the economic benefits of the new business at the meeting. 

The Iberia Parish School Board voted to approve an industrial tax exemption for a new company to the area that will be located in Jeanerette.

Delta Biofuel CEO Phil Keating said his company was seeking to build a plant in Jeanerette that cost about $70 million capital expenditures and will get started in three to four months if all goes to plan.

“If we get the relevant approvals we’ll have 126 full-time jobs and 200 construction jobs,” Keating said.

If extended to a 10 year period, the tax exemption would waive about $1 million in taxes for the company, which some members of the board disagreed with.

“Are we going to be able to make that up by taxing someone else,” board member Mike Mayeux asked.

However, other board members said they were excited about the potential for new jobs in the area once the company gets started. Board member Brad Norris asked Keating what the economic impact of the company would be to the parish.

“One Acadiana did an analysis and the 10-year economic impact beyond capital expenditures and payroll would be around $500 million,” Keating said.

“Kind of a no-brainer,” Norris responded.

Delta Biofuel is a planned production facility that would produce biomass fuel pellets made from residual sugarcane fiber, known as bagasse. Delta has secured long-term supplies of feedstock bagasse, which can be processed into biomass fuel pellets and used alongside, or in lieu of, standard industrial wood pellets in power generation.

The Jeanerette facility is expected to produce up to 300,000 metric tons of bagasse fuel pellets annually.

Board President Elvin Pradia also asked Keating if the labor supply for the company would be coming from people in the community or outside labor.

“We were concerned about the influx of foreign labor here, and on payday they send their money back to their home country,” Pradia said.

“This is a concern that we have if you want to locate in Jeanerette,” he added. “I love the people of Jeanerette and I want to support Jeanerette knowing the labor force will be taken care of in Jeanrette and not outside.”

Keating responded by saying that part of the reason he moved to Iberia Parish in the first place was because of the expected workforce.

“Part of the reason we’re here is that the industrial workforce here is great and available,” Keating said. “We’re counting on the fact that people are here. With volatility in oil and gas we’re expecting we’ll have plenty of local labor.”

The resolution passed 9-2, with board members Mike Mayeux and Kenric Fremin voting against.