Apple Makes a Deal with Local Governments for Oregon Data Center

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Apple has agreed to a deal with local governments for its soon-to-be-built data center in Prineville, Oregon. The Associated Press reported that the deal involves payments, investment commitments, and employment guarantees from Apple in return for tax exemptions from the government jurisdictions.

 

Apple in Oregon

 

The city of Prineville and Crook County have entered an agreement with Apple in which Apple will pay them a total of $150,000 for a “project fee” that they will share. In return, Apple will get a 15-year exemption from property taxes.

Apple also committed to employing at least 35 people at the data center at wages that are 150% of the county average. And Apple must invest a minimum of $250 million at the 160 acre parcel of land it has already purchased.

The value of the tax exemption is unknown at the present time as it will depend on the investment that Apple makes in the facility. However, Google has a nearby data center worth $1.3 billion and similar tax concessions there are estimated to be worth $24 million annually.

Apple will be joining several other companies operating data centers in central Oregon. Facebook has a similar center nearby, as do Amazon and Google. 

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