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Sun, Jul 20 2008 

Published March 26, 2008 10:43 am - Action by Port of Port Arthur commissioners will allow Total Petrochemicals access to tax exempt financing on a portion of the refinery’s expansion project.

Bonds to help finance Total project


David Ball
The Port Arthur News

Action by Port of Port Arthur commissioners will allow Total Petrochemicals access to tax exempt financing on a portion of the refinery’s expansion project.

Commissioners approved issuing environmental facilities revenue bonds not to exceed $50 million to provide for acquisition, construction and improvement of solid waste disposal and sewage facilities at the Total plant.

Greg Salinas of Austin’s McCall, Parkhurst and Holton said the obligation will be Total’s for financing a portion of their $2.2 billion expansion project at tax-exempt rates. Port Attorney Scot Sheldon added the financial obligation will not be on the port.

Also approved was the port’s exemption of facilities revenue bonds for Total and authorizing execution of a trust indenture, an installment sale agreement, a purchase contract and official statement.

Commissioners also approved a sponsorship in the form of scholarships for the Lamar State College-Port Arthur Discovery 2008 program. Twenty students will be sponsored for a $100 scholarship each, for a total of $2,000.

“We have done this every year since its inception,” Vice President Morris Albright said. “This is a wonderful program that has helped enrich Port Arthur children’s lives during the summer.”

Discovery 2008 at LSC-PA began in 1992 as an enrichment program for students of South Jefferson County. Discovery Camp begins in June and classes include computer graphics, computer game programming, music, clay sculpting, Spanish, Comic Zone — where students learn how to draw a cartoon character and “A Step Back in Time” about the history of the city of Port Arthur.

An item for the approval for maintenance and repairs to the wharf clerk office one and two was tabled. N & T Construction Co. is the contractor for the project. The estimated cost to repair the office and remodel the restrooms will be for $51,000 and guidelines state the port must put out for bids if the total is greater than $25,000 since it cannot be a change order.

Emergency repairs and Hurricane Rita repairs are nearly completed with the exception of some roof work and paneling. The estimated project date completion is June 22.

Orlando Ciramella, senior director of trade development, reported on meetings with the U.S. Army Corps of Engineers that the port is seeking to change the waterway with a three-month project to realign the channel.

And commissioners authorized a plan to implement SB 61 to hold a meeting without a quorum in the event of catastrophes or other emergencies. A specific plan for the port will be developed by Sheldon and presented at next month’s meeting.



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