Bloomberg BNA: Processor Giant Intel Corp. Enters $100 Billion Incentive Agreement to Invest in Oregon
media mentionBy Michael Kerman
Processor and semiconductor giant Intel Corp. entered a Strategic Investment Program Agreement Aug. 11 with Washington County, Oregon’s second-largest county, located just outside Portland, the Portland Business Journal reports. The agreement is loaded with property tax incentives to ensure that Intel continues to invest in manufacturing and developing technologies in the state. While county officials have not announced how much Intel will save through the agreement, one estimate put it at $2 billion. The deal must still be approved by the county and Hillsboro City at an Aug. 26 meeting, reports the Oregonian.
…
Similarly, the Institute on Taxation and Economic Policy stated that tax incentives bring little benefit to states and localities, and are a “drag” on the national economy. The Institute noted that tax incentives are rarely the deciding factor in whether a taxpayer chooses to stay or locate to the jurisdiction offering the incentive—rather it serves as a windfall benefit for a company that already knows where it wants to be. Further, the money that goes toward the incentive takes away from what would otherwise contribute to improving public services—and if the incentive attracts lots of new employees to the state, that also means more services are needed, the report adds.