The Woodlands Township will receive $2.2 million in taxes from a canceled tax abatement previously held with Anadarko Petroleum Corp. now that the company has been acquired by Occidental and occupies a smaller profile in the township’s employment base.

A tax abatement with Anadarko had been set to expire in 2022 but was ended by a 6-1 board of directors decision March 25. According to information from the township, Occidental requested to be released from the agreement because it would not be able to comply with the agreement’s job creation requirements.

Board of directors Chair Gordy Bunch said the company had employed 4,300 individuals in January 2019 but had about 1,500 in January 2020.

“We are appreciative of the employees they do have here, [but] we have gone to 4,300 to 1,500 or less—that’s a loss of local employment of 2,800 jobs,” Bunch said. “At the same time they communicated we should anticipate a significant reduction to sales tax as they adjust their business practice moving forward.”

Anadarko had previously occupied the 30- and 31-story buildings now known as The Woodlands Towers at The Waterway. Occidental occupies one of the two towers, the other of which is available for lease, according to Howard Hughes Corp., which acquired the buildings in January.

Director Ann Snyder voted against the measure.