Nevada to Consider Economic Development Incentives For eBay Data Centers and Other Projects

At its next meeting tomorrow, the Board of the Nevada Governor’s Office of Economic Development will consider two separate applications for tax abatements from eBay, Inc., along with applications by several other companies.

eBay

eBay (photo – Coolcaesar./wikipedia)

The eBay applications are for data center projects in Clark County and Storey County, and are supported by the respective Las Vegas and Reno economic development agencies.

eBay is planning on establishing new data center operations in Storey County with a capital investment of $230 million for building improvements and equipment. The company has stated that it plans to hire 50 employees there by the first year of operation. These will be jobs with an average wage of $20.34 per hour.

eBay Inc. has applied for an estimated $16,522,167 in abatements of sales and use tax (two percent), Modified Business Tax (50 percent for four years), and personal property tax (50 percent for 10 years), associated with the proposed project. The requested tax incentives are critical to the selection of Nevada as the location of choice for their ongoing projects. eBay has large operations in other western states including California, Utah and Arizona, all of which could just as well house the data center operations.

Not to mention that eBay’s proposed projects in Nevada will set the stage for potential additional investment and job creation, which will significantly increase their presence in the State.

Reno economic development agency EDAWN supports eBay Inc.’s application for the tax abatements and SB 170 (data center bill) incentives.

Similarly, eBay has submitted another application for an estimated $13,611,716 in tax abatements for an expansion project in Las Vegas. The company will make a capital investment of $182 million for this Clark County data center project.

Once again, the requested tax incentives are critical to the selection of Nevada as the location of choice for their ongoing expansion projects, since eBay is working on several projects that will create several new, high-paying jobs over the next eighteen months. This application is supported by the Las Vegas Global Economic Alliance (LVGEA).

Apart from the eBay data center projects, the GOED Board will also consider abatement applications by several aviation companies including the Maverick Aviation Group, Steelman Aviation, Inc, and Tactical Air Support, Inc.

Also seeking tax abatements is Premium Waters, a wholly owned subsidiary of the Chesterman Company. The company intends to process purified water in single service water bottles to service a broad area west of the Rockies, and has narrowed their site location search for the $10.6 million project with 29 new jobs to the Clark County area, from their original site choices which included Arizona, as well as Nevada.

Another application is by Franzen-Hill, Inc, a Construction and Maintenance Company that has facilities in Tulare CA, and has recently purchased a company similar to theirs in Reno. The company is planning to invest $4.25 million for relocating their headquarters to Northern Nevada, and will hire 15 employees.

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