By Rita Shirley LeBleu
In 2027, Cameron Parish will begin to see an influx of property taxes when LNG facilities Venture Global and Cheniere Energy’s Industrial Tax Exemptions expire. (Cameron LNG’s exemption will expire later.) A recent Community Benefit Agreement (CBA) between Cheniere’s Sabine Pass and the parish could provide funds in the meantime.
On June 22, the local Industrial Tax Exemption Program (ITEP) committee met to adopt a resolution recommending an Industrial Tax Exemption for Sabine Pass Liquefaction with respect to the company’s expansion.
Sabine Pass will receive a 93/7 tax exemption.
“Cheniere probably could have gotten a 100 percent exemption,” said Sonny McGee, Cameron Parish Police Juror. “It meets the state’s mega project qualifications. Instead, they asked to sit down with us first and talk.”
A (CBA) was designed to be implemented upon Final Investment Decision (FID) for the expansion, which will create an obligation including some large payments to the parish in the next couple of years.
In 2016 when Cheniere built Sabine Pass, the Industrial Tax Exemption Program (ITEP) was handled by the State. Sabine Pass received a 100 percent abatement.
Under a previous administration, the standard exemption was changed to 80/20. That means an 80 percent tax abatement. Industry pays 20 percent. Mega projects may qualify for an abatement of 93 to 100 percent, provided the project meets a certain capital expenditure threshold and meets other state criteria.
In 2025, Cheniere Energy gave the Cameron Parish School Board $20 million and there has been talk of the company’s announcement of a second large payment to the Cameron Parish Sheriff’s Office. This does not include grant monies.