By Phil Riske | Managing Editor
(STATE CAPITOL) — After a Democrat’s attempt to hold Apple accountable for its projection of permanent jobs created at its Mesa plant, the Senate on Wednesday advanced a $5 million sales tax credit (SB1468) for the company.
The incentive package is expected to be on Governor Ducey’s desk by next week.
To qualify for the credit, Apple would have to invest at least $100 million in new renewable energy facilities and use some portion of that energy to power its data center at the proposed international operations center at the former First Solar facility in Mesa, operated by GT Advanced Technologies. The bill also exempts Apple’s facility from sales taxes on electricity or natural gas, which will cost the state budget $1.3 million.
The Senate defeated a floor amendment offered by Tucson Democrat Steve Farley which would have held Apple accountable for the 150 full-time, high paying permanent jobs it stipulated would exist in five and 10 years from completion of construction.
Farley said the state must get return on its investment in the Apple plant, and “permanent jobs are the ultimate long-term goal.”
The bill’s sponsor, Sen. Andy Biggs of Mesa, said the amendment would cause a protracted delay in enactment because the Senate bill mirrors a bill passed by the House (HB2670)on Tuesday 57-3, and that bill would go to the governor.
Mesa Senator Bob Worsley called Farley’s amendment “getting into the weeds,” and it was defeated 9-18.
In initial estimates for what is now called Project Cascade called for the creation of an estimated 1,300 construction jobs over two years at the Apple site and at least 700 full-time manufacturing jobs over five years with an average wage not less than $45,000.
