When companies break the law, they usually face consequences. But what happens when the same companies get rewarded with millions in public money—even while polluting the environment and harming local communities?
Welcome to Point Comfort, Texas, where Formosa Plastics has turned pollution into profit.
Formosa Plastics, one of the world’s largest petrochemical manufacturers, has operated a sprawling facility in Point Comfort for decades. The company is no stranger to controversy. In 2019, after a landmark lawsuit by citizen activist Diane Wilson and local fishing groups, Formosa was found liable for discharging billions of plastic pellets—also known as nurdles—into Lavaca Bay and surrounding waterways.
The court described Formosa as a “serial offender.” The company eventually settled, agreeing to pay $50 million and to achieve “zero discharge.” It was the largest Clean Water Act settlement ever won by private citizens.
But the story didn’t end there.
Even after the record-breaking settlement, Formosa continued violating its discharge permits. By March 2024, the company had racked up over 590 additional violations, according to state filings. The toxic discharges include not just plastic pellets, but also heavy metals and other harmful pollutants that put marine life and human health at risk.
For local residents—many of whom rely on fishing and tourism—this isn’t just about environmental harm. It’s about their livelihoods.
Here’s the twist: even as Formosa was breaking the law and polluting public waterways, it was receiving massive tax subsidies from local governments.
Between 2012 and 2022, the Point Comfort facility received nearly $69 million in property tax abatements from the Calhoun County school district and other public agencies. That means money that could have gone toward local schools, teachers, or infrastructure instead padded the bottom line of a multibillion-dollar petrochemical giant.
This pattern isn’t unique to Formosa—it’s part of a broken economic development model that rewards polluters while leaving communities to deal with the consequences.
Let’s be clear: the people of Calhoun County are footing the bill. They’re losing both clean water and potential revenue that could have supported community services. Children are attending underfunded schools while corporations like Formosa get taxpayer-funded deals.
This is what we call a false solution—propping up dirty industry with public dollars under the guise of “economic development.” What we need are great solutions: investment in clean industries, good-paying jobs that don’t sacrifice our health, and policies that hold polluters accountable.
Formosa’s story is a case study in what happens when accountability takes a back seat to corporate influence. But there’s still time to change course. Policymakers must:
Let’s stop rewarding companies for harming our communities. Let’s demand more.
