Today, the Cameron County Commissioner’s Court voted to approve a tax abatement agreement for the proposed Annova LNG fracked gas export terminal, which is 80% owned by Exelon, a Fortune 500 company.
Despite significant public opposition, including more than 40 groups, businesses, and public officials who co-signed a letter of opposition to the project, the Court voted 3-2 in favor of the abatement.
The last time the Commissioners Court took up the tax deal, approximately 50 Cameron County residents showed up to urge the County to say no to the deal. In 2015, public opposition compelled the Point Isabel Independent School District to deny Annova LNG’s application for a similar type of tax abatement in response to public opposition. Residents of the Rio Grande Valley and several local organizations and communities have also voiced opposition to LNG development and companies’ requests for tax breaks.
This is the second time the commissioners approved an unpopular tax abatement for an LNG project proposed for the Rio Grande Valley: Rio Grande LNG was granted a $373 million cut in 2017.
In response, Rebekah Hinojosa, Brownsville Organizer for the Sierra Club, issued the following statement:
“By approving this terrible tax break deal, Cameron County commissioners failed their constituents who will bear the costs of Annova LNG’s polluting facility. The communities of South Padre Island, Port Isabel, Laguna Vista, and Long Island Village, have all passed anti-LNG resolutions. Annova LNG would pollute Latinx communities and poses a huge environmental risk to the Rio Grande Valley.”
In response, Maria Galasso, resident of Laguna Vista and member of the Save RGV from LNG Coalition, issued the following statement:
"I’m disappointed with the outcome of today’s vote. I feel the Cameron County Commissioners Court dropped the ball again, especially Commissioner Benavides who failed to represent the Laguna Madre community where there is tremendous local opposition to the LNG projects. There is even more opposition to the LNG tax abatements because it's like adding insult to injury. It's an injury for an industry to say they want to be a good neighbor but end up polluting the air, destroying wildlife, and negatively impacting our lifeblood-industries of tourism and shrimping. It's an added insult if they also don't want to pay their fair share.”
Background
Annova LNG is one of three proposed LNG terminals that would be built in the Rio Grande Valley. Granting Annova LNG an undeserved tax break would add a financial burden on RGV communities in addition to the environmental and public health risks that LNG poses. Exporting large quantities of gas through South Texas would put communities of the Rio Grande Valley at risk of hazardous air pollution and explosions. Annova LNG’s negative contribution to South Texas does not warrant a tax break.