The chipmaker would exempt up to $100 billion in equipment from the property taxes that other businesses pay.
The agreement would save Intel something like $2 billion over the life of the deal and effectively lock in the company's tax structure through Super Bowl LXXX. Compensatory payments – minimums Intel agrees to pay to compensate local taxing authorities for the foregone revenue – aren't indexed for inflation, so their value will drop substantially over the years.
Intel's 17,500 Oregon employees and its $2.8 billion state payroll give the company a uniquely powerful role in the regional economy, and even critics of this deal are broadly supportive of tax breaks on the monstrously expensive equipment that outfits the chipmaker's multibillion-dollar Washington County factories.
Read more at OregonLive.com