Update: Williamson County elected to award Apple tax breaks worth $16 million over 15 years. The Williamson County commissioners voted 5-0 to approve the deal. Another $25 million will come from the Texas Enterprise Fund.
Apple apparently netted itself a good deal for its newly announced $1 billion campus in Austin, Texas. According to a new report, Williamson County could pay back 65 percent of property taxes to Apple in exchange for a long-term commitment to creating jobs.
The money would be paid in yearly installments. It would start when Apple hires 700 people, then continue for the next 15 years. In return, Apple would invest $400 million and hire 4,000 people for the new site.
At present, the stretch of land Apple’s new campus will be built on brings in just $78 in taxes annually. Under Apple’s ownership, it should rake in hundreds of millions of dollars.
Still, some people question why one of the world’s biggest tech giants should receive such incentives. But it seems Williamson County views the potential gains from Apple’s expansion as more than worth the tax breaks.
County leaders will vote on the deal Tuesday.
Apple’s new campus in Austin, Texas
Apple revealed plans for its new Austin digs last week. The 133-acre campus will initially house 5,000 employees, although this number should expand to 15,000 people. The site will house engineering, R&D, operations, sales and other departments.
Apple already employs 6,200 people in Austin, the second-biggest concentration of employees after Cupertino proper. The new Apple campus will sit less than a mile away from the company’s existing offices. The expansion will make Apple Austin’s biggest private employer.
The company also plans new offices in Seattle, San Diego and Culver City, California.