The Nevada Board of Economic Development gave the green light on Wednesday to plans to give Apple $89 million in tax cuts for their proposed data center and other buildings in downtown Reno, and the town of Sparks.
The gesture is considered to be largely for show, reports the Associated Press, as the body does not have the authority to change the deal first reported in June. A law approved in 2011 gave the NBED’s executive director the power to broker deals that meet certain predefined requirements.
Brian Sandoval, Governor of Nevada, said the deal was a “win” for the state, as the data center construction may encourage increased interest from other companies looking to expand.
Negotiations were started in February, with Apple receiving an $89 million tax break which includes property tax reductions of 85 percent over 10 to 30 years.
In return, the project is expected to bring in $343 million while tax revenue will gain local and state governments $16 million over the next 10 years.
The construction is expected to create around 580 jobs, and put $103 million into the local economy.
