Sulphur council introduces lease for Lake Charles Methanol 2; residents urge council to vote no

The Sulphur City Council moved to introduce an ordinance authorizing Mayor Mike Danahey to execute a lease with Lake Charles Methanol 2 for roughly 2.73 acres adjacent to the city wastewater treatment facility, with a proposed annual rent of $81,900. City staff told the council the parcel would be used mainly for parking and administrative offices and said the offer’s valuation exceeded typical market appraisals.

The introduction is procedural and does not constitute final approval. As the council’s presiding official explained, an affirmative introduction vote would only move the item to a subsequent meeting for further review and a final public vote. "The vote cast on an introductory item tonight is to allow for further review and or discovery with a following meeting to confirm or deny the item presented," the presiding official said.

Public opposition was strong and sustained. Danny DePetta told the council he and a team of industry veterans had reviewed documents and concluded the city did not need to sell or lease the property, calling the lease and sale paperwork “riddled with items that seem counterproductive to the city's well-being.” He urged at least three council "no" votes to stop the measure at introduction.

Several speakers warned about CO2-pipeline safety and environmental risks. Brady Labbe referenced a Denbury-area pipeline incident that sent people to the hospital and said similar infrastructure near homes, schools and businesses would be dangerous. "If this project happens, you pack up and move out as soon as you can," DePetta said, reflecting local fear of pipeline hazards.

Residents also raised health and pollution concerns tied to the proposed facility. Molly McCarthy said the project would "propose to emit over 350 tons per year of air pollutants," naming nitrogen oxides, volatile organic compounds, methanol and ammonia and citing EPA data and the Louisiana Tumor Registry for elevated local cancer rates; she asked the council to vote no. Robin Thicpen, Wendy Wingate and other commenters said the community already faces industrial burdens — including an existing salt-dome emergency — and argued that $81,900 a year did not justify additional risk.

Cindy Robertson questioned the city's compliance with Louisiana statutory notice requirements and warranty language. She cited Louisiana R.S. 33:47.12 and said the city must advertise and solicit comparable proposals before disposing of municipally owned immovable property valued at $100,000 or more. Robertson said she could not find the required public notices in the local press and urged the council to follow the statute and decline to advance the ordinance.

City staff answered several procedural and technical questions on the record. When asked about lease length, staff said the term would be 40 years with two 10-year extensions. Staff also described site acreage and explained the wastewater-plant parcel totals roughly 40 acres, with the wastewater treatment operations occupying about 15 acres; the proposed lease area was described as a small strip primarily for parking and laydown yard.

Speakers also raised questions about Lake Charles Methanol 2’s financing and obligations. DePetta and others pointed to company debt and tax-credit reliance and noted the Port of Lake Charles had levied penalties on late lease payments, saying these facts raised doubts about the company’s financial readiness.

The presiding official repeatedly reminded the public that tonight’s action was an introduction and that detailed review, environmental surveys, and further public discussion would follow if the council chose to advance the item. The council heard extensive public comment opposing the introduction; the transcript ends before a final introduction vote is recorded on this item in the provided segments. The council will determine next steps at a subsequent meeting when the item returns for full consideration.