Marathon pays $93 million St. John tax bill

Published 12:00 am Wednesday, January 18, 2006

GARYVILLE — St. John the Baptist Parish’s tax coffers were enriched by $93 million from Marathon Petroleum Refining Company’s division in Garyville, representing the company’s 2005 property taxes.

The total amount paid of $9,284,823 represents a 10 percent increase, or by $8,72,806, from the previous year’s amount and nearly 26 percent of the total property taxes collected by St. John the Baptist Parish.

The checks were presented by Division Manager Rich Bedell, Division Controller Dan Ehrhart and Human Resources Manager Bruce Rhodea to St. John Parish Sheriff Wayne L. Jones.

In addition to property taxes, Marathon further helps support the parish’s taxing offices with more than $4 million, either directly or through reimbursement to its contractors and vendors, through sales taxes on its purchases of materials and equipment used in the refinery for ongoing operations.

Significant additional parish sales tax revenue is generated during major expansion projects at the refinery, as the company has elected in the past to waive any parish sales tax refund obtainable through Louisiana’s Enterprise Zone Program, as a result of these projects.

Ongoing investments associated with the construction of new refinery units resulting from Marathon’s &#8220Clean Fuels Project,” has contributed an additional $1 million in sales tax revenue during 2005, and construction will continue through May 2006.

Marathon’s financial contribution to the parish and state is not limited to the amount of taxes paid. The refinery also conducts business with more than 100 local merchants and suppliers, thus generating a significant amount of employment for area residents.

Marathon’s refinery operation in Garyville employs on a daily average 550 regular company employees and 350 contract employees. An additional 750 contractors have been employed on an average daily basis in construction of the new &#8220Clean Fuels” process units.

The company has invested millions of dollars in St. John Parish to fully comply with new environmental regulations and enjoys one of the best environmental records in Louisiana. This is evident by the number of Louisiana Governor’s Awards for Environmental Excellence earned by the refinery.

Marathon’s Garyville refinery is the only one in the United States which has been accepted into the United States’s Environmental Protection Agency’s National Environmental Performance Track Program. The refinery has also been recognized by OSHA for its commitment to safety and health, as it is one of only 20 in the United States designted as an OSHA STAR facility.

Additionally, Marathon and its employees contribute to the community through involvement and financial support of the San Francisco Plantation Foundation, Louisiana Technical College River Parishes Campus, public education, volunteer fire departments, charitable organizations and other activities.

Bedell said Marathon is dedicated to environmental stewardship, a safe workforce and ongoing community involvement and support.